As Nigerians are dealing with the outcome of the fuel subsidy removal, the Federal Government has announced the introduction of an annual fee of N1,000 to be paid by motorists in the country for Proof of Ownership Certificate (POC) verification. This was after the meeting of the Joint Tax Board on May 9, 2023. The Permanent Secretary of the Lagos State Ministry of Transportation, Abdulhafiz Toriola, revealed this to Lagosians on June 27, 2023. Toriola also announced that the commencement of the annual renewal of the proof of ownership certificate for vehicles registered within the state would start from July 1, 2023.
He stated that the certificate would help vehicle owners and the government to guarantee the integrity of all vehicles registered on the National Vehicle and Identification Scheme database, as well as track car theft and recover stolen vehicles. The secretary said that the certificate is in compliance with the legal requirements that are fundamental to transparency, security and accountability within the transportation network. It was based on this that the government introduced this policy. The POC will contain vital information, including the vehicle’s registration details, such as licence plate numbers, models, year of manufacture, and the basic information of the owner.
Many car owners react against to this policy.
When the news was announced, it triggered another round of controversy in addition to the one created by the result of fuel subsidy removal, which had been announced much earlier before implementation. The new policy has generated reactions from various quarters, especially on social media platforms. Some opined that the policy is insensitive to the plight of the common man. According to them, Nigerians are still grappling with the reality of the removal of fuel subsidy. The removal almost tripled the price of premium motor spirit (PMS), causing an increase in cost of transportation and a rise in price of commodities.
They argued that it was ill-conceived of the government to impose another fee on citizens. This is especially when the traction created by the rise in price of PMS has not settled. Obviously, this did not sit well with many. A concerned resident of Lagos said that the latest policies have affected the cost of transportation and essential goods and services, but the income of most salary earners remains the same. So, these people urged the government to revisit the policy.
There are still others in favour of the annual fee.
On the flip side, there are those who believe that the Federal Government has the right to generate revenue for the effective running of government and its infrastructure. However, they believe that the timing was wrong. They argued that Nigerians are still grappling with the fallouts of the fuel subsidy removal policy, and that introducing the vehicle proof of ownership renewal at this point in time was ill-timed. The president of the Arewa Youths Consultative Forum, Alhaji Yerima Shetima, believed that the government had done nothing abnormal, but he stressed that money realized from such taxation must not be mismanaged.
But the majority of Nigerians were against the policy for one reason or another. Some believe that the people are over-taxed and adding any extra tax in any form would amount to overburdening the poor masses. Another concerned resident of Lagos and car owner himself could not fathom the usefulness and purpose of renewing his vehicle’s proof of ownership when other documents already prove that he is the owner of the vehicle. “Does not renewing it mean that I no longer own my car?” he inquired.
NBA team to examine if the policy is legal.
Meanwhile, amidst the mixed reactions, the Nigerian Bar Association Section on Public Interest Law (NBA SPIDEL) has set up a team to examine the legality of the imposition of N1,000 annual proof of ownership fee on vehicle owners. According to a joint statement by the chairman and secretary of NBA-SPIDEL, the team will critically examine the legality of the policy in according to their mandate, one of which is to defend the interest of the public against oppressive and illegal policies of public authorities.
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Outcry as FG mandates car ownership renewal – Citizens say that the policy is insensitive to the plight of Nigerians. – Express your point of view.
At this point in the country the outcry concerning the mandatory #1,000 payment for prove of ownership payment annually is not right because it is just ones in a year and the country also need money to settle debt and also run the country affairs. Where do you want the government to get the money? Should we keep borrowing till we enter slavery?
The federal government is just bringing different means and mode to exploit people in the disguise of paying tax. I don’t understand what the need for to renew license for 1000 on every vehicle. It is not necessary.
The recent policy mandating car ownership renewal in Nigeria has sparked controversy and concern among citizens. While it’s important to ensure that vehicles are safe and roadworthy, it’s also important to consider the potential impact of this policy on Nigerians, particularly those who are already struggling financially. For many people, owning a car is a necessity, not a luxury, and the cost of renewing ownership can be a significant burden. It’s important for governments to consider the potential impact of policies on citizens and to work to develop policies that are fair, equitable, and effective. This can involve engaging with citizens and stakeholders to gather feedback and input, conducting thorough research and analysis, and considering alternative approaches that may be more effective or less burdensome. Ultimately, it’s important to strike a balance between ensuring safety and protecting the interests of citizens, particularly those who are most vulnerable.
The uprising over the required payment for proof of ownership every year is a means to generate money to benefit and run the operation of the country. I hope if this money start to be generate is use for it purpose it been collect for
The federal government have start again using various techniques to take advantage of people while disguising their actions as something else the money been trying to collect from people may later end of in some people hand that it will not be used for the purpose it was collected to do
FG mandates car ownership renewal on the people it will bring in money from for the government and help the government know the cars been registered and be able to trace all vehicle in case there are problem like theft and so on