Rivers State Generates N55bn From Road Tax, Only N224m Reaches Treasury
Report BY KELVIN FELIX
Rivers State’s Road Tax Scandal: A Multi-Billion Naira Loot A shocking investigation has uncovered a massive corruption scandal in Rivers State, where a staggering N55 billion is generated annually from road taxes, but only a paltry N223.93 million finds its way into the government treasury. The investigation, funded by the International Centre for Investigative Reporting (ICIR), reveals that the majority of the money is being siphoned off by members of the National Union of Road Transport Workers (NURTW), community touts, and contractors. The investigation, which covered nine local government areas in Rivers State, including Port Harcourt, Obio-Akpor, and others, found that the trend of corruption has been ongoing since 1999. The report is a damning indictment of all past and present administrations in the state. According to the investigation, each commercial vehicle in Rivers State pays a daily road tax of N1,800, amounting to N41.121 billion annually. Tricycles pay an average of N1,400 daily, totaling N12.519 billion annually, while motorcycles generate over N1.5 billion annually. However, less than one percent of this money is accounted for in the government’s internal revenue records.
A United Kingdom-based economist, Dr. Ikechukwu Obiefuna, lamented that the state has deliberately failed to adopt technology to collect road taxes electronically, citing numerous online platforms available today or via bank transactions. The investigation also found that some contractors and officials have been exploiting the system, with De-Jonny West Africa Limited, which collects N100 from each tricyclist in Obio-Akpor Local Government, refusing to comment on their activities
Despite generating significant revenue from other sources, including N172.823 billion in internal revenue in 2022 alone, Rivers State’s domestic debt stands at N226 billion as at June 30, 2023, with an unemployment rate of 41.59 percent in 2020.
The state’s population is estimated to be 5.49 million people. The findings of this investigation are a stark reminder of the need for accountability and transparency in government revenue management.
The people of Rivers State deserve better than to have their hard-earned tax money mismanaged and misappropriated by corrupt officials and individuals.
