Fg Imposes Fuel Levy On Federal Roads - From Jan 2012

AS part of efforts to complement its yearly budgetary allocations for road construction and rehabilitation nationwide, the Federal Government has concluded plans for the collection of a five per cent fuel levy from January 2012.

The Minister of Works, Arch. Mike Oziegbe Onolememen, disclosed this yesterday in a keynote address at a meeting between the ministry and states commissioners for works held in Abuja.

The meeting, organised by the ministry, brought together stakeholders in the road sub-sector with the aim of charting a way forward for the sector.

According to the minister, the FERMA Act provides for fuel levy to be used for the maintenance of the national road network.

Under this arrangement, FERMA is entitled to 40 per cent of the funds collected through this levy while 60 per cent is to be shared by the various states road maintenance agencies.

Onolememen, however, stated that only state governments with road maintenance agencies would be entitled to draw from the fund, adding that some state governments have already established these agencies while others are yet to do so.

He urged states that are yet to establish road maintenance agencies to quickly do so as this would enable them to take advantage of the fund when it becomes operational.

The minister stressed that it had become necessary for the Federal Government to begin the collection of the levy as this was the only way it could raise funds to maintain roads adequately.

He said, 'In view of the paucity of funds for road rehabilitation and maintenance, the Federal Government can only reimburse states from annual budgetary provisions within its envelope.'

The minister also informed the commissioners on the guidelines that could qualify them for refund on federal roads already repaired by them. According to him, request for rehabilitation and subsequent reimbursements must be on the federal road network and duly gazetted with a route number.

He also said that state governments must obtain the prior approval of the president through the ministry to carry out rehabilitation works on federal roads adding that the road must be designed and must comply with the Federal Highway's specifications and standards.

Other guidelines, the minister explained, include the procurement process which must comply strictly with the 2007 Procurement Act.

He therefore charged the state commissioners of works to work together with his ministry to re-position Nigerian roads so that the major national roads could be motorable at all times.

He said: 'We must all put our hands on deck to ensure government gets value for money while generality of Nigerians enjoy the government's transformation agenda'.

Earlier, the Minister of State for Works, Ambassador Bashiru, said he was optimistic that the meeting would impact on the performances of the commissioners as they go back to their states

http://allafrica.com/stories/201110280564.html

The worst Govt Nigeria has ever had - by far!!

. . So after the fuel subsidy removal the price is to increase to N140.

And then add another 5% brings it to around N147 per litre.

So in the blink of an eye Nigeria has gone from subsidising fuel to taxing fuel.

This is what you get when you put a World Bank executive in charge and a retardeen as the President

This is just a lie - let us wait until January 2012.

As soon as I reached d part where d fed govt had to disburse funds to sister state road maintenance agencies,evn urging those who av none yet to establish one,my heart skipped several beats;d only thing that my mind cud finally comprehend was:'here comes anoda conduit pipe to enrich some people fraudulently'.Very soon,there wi b lobbying for who heads these agencies bc of d billions that wi soon b accruing to them wt no accounting to d nigerian people or any road maintenance to go wt it.

can someone fax, text, mail, phone GEJ and IWEALA okonji that stupid taxation caused the american civil war.
they should reason

FERMA is entitled to 40 per cent of the funds collected through this levy while 60 per cent is to be shared by the various states road maintenance agencies.


This is the sure way to corruption. The proceed will not be accounted for and thereby no result will be achieve at the end of the day. The money had already been shared, with 40% for administrative and 60% for states. na wah o

so is this road tax?

Bombarding the hapless masses from all directions - fuel subsidy removal, hike in electricity tariffs, devaluation of the Naira, and now imposition of an ill-defined fuel levy. . .does the government honestly expect the masses to stay off crime and remain "law abiding citizens"? Seriously, I foresee a mass 'reddening of eyes' next year. And a country filled with red-eyed and unsmiling citizens is a very scary prospect indeed.

Sun of god:



He urged states that are yet to establish road maintenance agencies to quickly do so as this would enable them to take advantage of the fund when it becomes operational.

We all know what this means

From subsidising fuel to taxing it

nonsense

these donkeys don lost their damn minds.

I foresee the imminent return of the Khaki boys

We need some one to speak to that guy that calls himself president to remember the commoners who are not working when designing his anti-masses policies. Deregulation at this time is bad enough, but Fuel Tax, God save us!

I cant wait for his tenure to end. Just hope he will not rig his way in for a second term, otherwise,

I'm loving this!!!

Am also loving this, All i know is that am relocating to my village to take cover in preparation for the Up-coming civil war

Gadaffi some people would join u soon, U won't be bored anymore

Guess the senate is yet to sit on this ?

Bad news everyday.
God forbid.

It is very sad,

Useless Govt. Useless President, Useless Iweala, All of them useless.

A Govt that refuses to carry the masses along, a Govt that will never do anything that would favour the masses, a Govt that derives joy in punishing the masses. That 2012 go sweet well well, I thank the Govt for informing us on time cos we're getting ready for the action film.

How can you 'Impose', Shebi na all of us dey d Naija, very soon una go see money una go dey run from am, We r counting down,

I dey Laff oh!!!

Sun of god:

Fg Imposes Fuel Levy On Federal Roads - From Jan 2012

[b
Under this arrangement, FERMA is entitled to 40 per cent of the funds collected through this levy while 60 per cent is to be shared by the various states road maintenance agencies.

Onolememen, however, stated that only state governments with road maintenance agencies would be entitled to draw from the fund, adding that some state governments have already established these agencies while others are yet to do so.


The minister stressed that it had become necessary for the Federal Government to begin the collection of the levy as this was the only way it could raise funds to maintain roads adequately.

He said, 'In view of the paucity of funds for road rehabilitation and maintenance, the Federal Government can only reimburse states from annual budgetary provisions within its envelope.'

The minister also informed the commissioners on the guidelines that could qualify them for refund on federal roads already repaired by them. According to him, request for rehabilitation and subsequent reimbursements must be on the federal road network and duly gazetted with a route number.

He said: 'We must all put our hands on deck to ensure government gets value for money while generality of Nigerians enjoy the government's transformation agenda'
http://allafrica.com/stories/201110280564.html

my observations:
What is FERMA doing with a whole 40% if states can only rehabilitate federal roads with their own 60%? 40% of 5% on all purchases of fuel products in Nigeria for even a day is not pittance.
from the fund allocation criteria analysed by Onolememen, it is evident that the tax would not be appropiated according to regions of collections. why should residents of lagos (a region with high volume consumption) pay for the federal roads in kotangora, kubwa or iseyin?
he wants us to put all hands on deck, the way things are going, all our hands, legs and neck is being placed on the gullotine bit by bit,
finally, if fuel subsidy is being removed in the first instance, why all these gibberish about "paucity of funds"

Maybe it will replace subsidy removal

All you stoopid Nigerians that voted PDP even after over a decade of misrule, I hope y'all are happy now?
After all the taxes you all pay, and in addition to the planned increase in Fuel price post subsidy removal, you all will now pay this insulting levy.

Welcome to Nigeria,a nation of 160 million people, mostly cowards and fools.

Why not just have toll roads like in Lagos?

What else do you xpect from a clueless president bereft of vision and ideas.
Okonji Iweala runs d whole package verbatim from her world bank text book!

looks like FG is trying to share responsibility for federal roads through the backdoor.

we are almost in January already

what an ambush!

o.chizo:

Useless Govt. Useless President, Useless Iweala, All of them useless.

A Govt that refuses to carry the masses along, a Govt that will never do anything that would favour the masses, a Govt that derives joy in punishing the masses. That 2012 go sweet well well, I thank the Govt for informing us on time cos we're getting ready for the action film.

How can you 'Impose', Shebi na all of us dey d Naija, very soon una go see money una go dey run from am, We r counting down,

I dey Laff oh!!!

Hahahaha!

That is absolutely fraud and double taxation.
FERMA is normally supposed to be entitle to about N1 per litre of petrol bought in Nigeria for road maintenance, what have they done with that money? have they complained that it is insufficient?
giving a govt agency whose fundamental framework generates corruption more money is just beyond me
FERMA BUILDS ROADS,FERMA AFTER A WHILE CONSIDER THE ROAD DUE FOR MAINTENANCE, FERMA DOES THE ESTIMATION OF THE COST, FERMA AWARDS THE CONTRACT FOR THE ROAD, FERMA SUPERVISES THE CONTRACT, FERMA ADJUDGES THE CONTRACT WELL DONE.
how on earth can anything happen good come out of them? ehn?

This is just the beginning oh! Expect more funny taxations.
Governments allover think of what to tax to generate income.
The painful thing is that after successive govts have continued to squander our oil wealth with little resistance from the masses, perhaps attempts to pull out the money from the populace under different headings will change the equilibrum