The Lagos Chamber of Commerce and Industry (LCCI) has suggested that each state of the Federation should be given aÂ sense of ownership of resources in its domain. The President of LCCI, Chief Solomon Onafowokan, said at the LCCIÂ quarterly press briefing on Thursday in Lagos that host communities should be allowed a stake in such resources.
Onafowokan said that it would go a long way in addressing the problem on payment of derivation and royalties to hostÂ communities. According to him, the policy should apply to all forms of resources, not just crude oil.
It should alsoÂ cover commercial activities from which revenue can be generated. He said that such a system would foster â€œ EconomicÂ Democracyâ€™â€™, and that it would promote economic justice, which is fundamental to peaceful co-existence among theÂ various sections of the country. â€œIt is equitable because there is a relationship between economic contribution andÂ economic benefits.
â€œThe good thing is that each geo-political zone in the country is blessed with various forms of natural andÂ commercial resources now lying untapped because of lack of incentives to attract investors,â€ he said.He said thatÂ Lagos State should benefit from the principle of derivation through revenue realised from company tax, port charges,Â Value Added Tax (VAT), Education Tax and Import Duty.â€œThe derivation principle should not be limited to the oilÂ producing areas. It should be extended to cover all forms of resources from which revenues are generated in allÂ parts of the country.
â€œWhat is good for the Niger Delta is good for other parts of the country,â€™â€™ he added.Onafowokan condemned theÂ attack on Atlas Cove, saying that the political leadership in the Niger Delta region should show some restraint inÂ their utterances in order not to unduly escalate the crisis.
He said that the attack could escalate Nigeriaâ€™â€™s country risk, create panic among investors, trigger capitalÂ flight, slow down domestic investments and compound the unemployment and poverty situation in the country.