In what ways did the 1954 Constitution establish true federalism in Nigeria?

The Lyttleton Constitution of 1954 is widely regarded as the constitution that firmly established a federal system in Nigeria. It reversed the semi-unitary tendencies of the earlier Macpherson Constitution and introduced arrangements that reflected the essential features of true federalism.

1. Formal declaration of a federation: The 1954 Constitution expressly declared Nigeria a federation made up of three regions (Northern, Western and Eastern) together with the Federal Territory of Lagos, replacing the loose "unitary-federal" character of earlier arrangements.
2. Division of powers between two levels of government: It created a clear distribution of legislative powers through an Exclusive List (matters reserved for the Central Government such as defence, external affairs, currency and customs) and a Concurrent List (matters on which both the Central and Regional Governments could legislate). Residual matters were left to the regions. This constitutional sharing of powers is the hallmark of federalism.
3. Regional autonomy: Each region was given its own government, legislature and public service, and could act independently within its assigned sphere without interference from the Centre. The regions were no longer mere administrative appendages of the Centre.
4. Separate regional executives: Each region had its own Executive Council headed by a Premier, giving the regions genuine self-governing capacity.
5. Regionalisation of the public and judicial services: The civil service, the judiciary (regional High Courts) and other services were regionalised, so that each region controlled its own administrative machinery.
6. Removal of Lagos from the Western Region: Lagos was made a separate Federal Territory administered by the Central Government, underscoring the distinct status of the federal capital.
7. Provision for self-government at regional pace: Regions were allowed to attain internal self-government at their own time, which the East and West did in 1957 and the North in 1959, reflecting the autonomy of the component units.
8. Revenue allocation on the principle of derivation: Fiscal arrangements were reorganised so that regions retained a share of revenue derived from their areas, giving them financial independence to run their own affairs.

Through these features, the 1954 Constitution laid the foundation of Nigerian federalism by combining a strong Central Government with autonomous regional governments, each supreme within its constitutional sphere.