Fashola: 35% Import Duty on Vehicles Unjustifiable
Fashola Rallies taxi operators for Ambode
Lagos State Governor, Mr. Babatunde Fashola, on Thursday deplored the federal government’s plan to increase duties on imported vehicles by 35 per cent, noting that such an increase could not be justified.
The governor urged the taxi operators to support the APC presidential candidate, Maj.-Gen. Muhammadu Buhari, the APC governorship candidate, Mr. Akinwunmi Ambode and all candidates of the opposition in the state.
He sought their support at a stakeholders’ meeting with the state’s taxi and cab operators at Lagos TV complex, Agidingbi he addressed alongside the governorship candidate of the APC, Mr. Akinwunmi Ambode and Commissioner for Transportation, Mr. Kayode Opeifa.
The governor said the 35 per cent tariff increase would stifle transport operations in the country considering the growing depreciation of naira and the worsening purchasing powers under the federal government led by the Peoples Democratic Parties (PDP).
At the meeting attended by thousands of taxi operators across the state, Fashola lamented that the decision of the federal government to imposed 35 per cent tariff on imported vehicles with a plan to effect another 35 per cent soon was unacceptable due to what he ascribed to its impact on transport operators.
The governor said the decision of the federal government under the administration of President Goodluck Jonathan would hinder the transport operators to acquiring recent vehicles, which he said, could make them effective.
He added that the federal government had dropped the idea “to implement the remaining 35 per cent. It only keeps the idea because elections are drawing closer. It will implement it if the president is re-elected.”
He decried the declining value of naira against dollars, which he said, was N140 to one dollar when his administration initiated the public transport management system, which would compel every operators to install metres in their vehicles in line with global best practice.
He said the Jonathan administration “has so much that Nigeria is facing hard times. We must send this administration away. When the APC takes over the government at the centre, things will change positively.”
At this instance, the governor approved a 12-year time limit for vehicles the taxi operators wanted to purchase for the purpose of commercial transport under the new public transport management system.
He said the time limit “was pegged at five years at the inception. But with the devaluation of naira and declined purchasing power, it becomes necessary to review the time lime from five years to 12 years due to the sharp rise in the cost of vehicles. This is the implication of worsening exchange rate.”
He justified the new uniform licensing system for all tax operators in the state, which he said, “is in compliance with international best practice. The new license can serve collateral security that can help operators secure loans with ease from the banks. The vehicles can wear or, but the license cannot depreciate.”
Fashola, therefore, asked the taxi operators to observe traffic regulations and obtain road worthiness certification, violation of which would compel officials of Vehicle Inspection Office (VIO) and Lagos State Traffic Management Authority (LASTMA) to enforce traffic laws against them.
The governor urged the taxi operators to support the APC presidential candidate, Maj.-Gen. Muhammadu Buhari, the APC governorship candidate, Mr. Akinwunmi Ambode and all candidates of the opposition in the state.
He sought their support at a stakeholders’ meeting with the state’s taxi and cab operators at Lagos TV complex, Agidingbi he addressed alongside the governorship candidate of the APC, Mr. Akinwunmi Ambode and Commissioner for Transportation, Mr. Kayode Opeifa.
The governor said the 35 per cent tariff increase would stifle transport operations in the country considering the growing depreciation of naira and the worsening purchasing powers under the federal government led by the Peoples Democratic Parties (PDP).
At the meeting attended by thousands of taxi operators across the state, Fashola lamented that the decision of the federal government to imposed 35 per cent tariff on imported vehicles with a plan to effect another 35 per cent soon was unacceptable due to what he ascribed to its impact on transport operators.
The governor said the decision of the federal government under the administration of President Goodluck Jonathan would hinder the transport operators to acquiring recent vehicles, which he said, could make them effective.
He added that the federal government had dropped the idea “to implement the remaining 35 per cent. It only keeps the idea because elections are drawing closer. It will implement it if the president is re-elected.”
He decried the declining value of naira against dollars, which he said, was N140 to one dollar when his administration initiated the public transport management system, which would compel every operators to install metres in their vehicles in line with global best practice.
He said the Jonathan administration “has so much that Nigeria is facing hard times. We must send this administration away. When the APC takes over the government at the centre, things will change positively.”
At this instance, the governor approved a 12-year time limit for vehicles the taxi operators wanted to purchase for the purpose of commercial transport under the new public transport management system.
He said the time limit “was pegged at five years at the inception. But with the devaluation of naira and declined purchasing power, it becomes necessary to review the time lime from five years to 12 years due to the sharp rise in the cost of vehicles. This is the implication of worsening exchange rate.”
He justified the new uniform licensing system for all tax operators in the state, which he said, “is in compliance with international best practice. The new license can serve collateral security that can help operators secure loans with ease from the banks. The vehicles can wear or, but the license cannot depreciate.”
Fashola, therefore, asked the taxi operators to observe traffic regulations and obtain road worthiness certification, violation of which would compel officials of Vehicle Inspection Office (VIO) and Lagos State Traffic Management Authority (LASTMA) to enforce traffic laws against them.
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