Speaker of the House of Representatives, Tajudeen Abbas has expressed dismay that the 5% of the pump price of petrol and diesel should be allocated to FERMA and the State Maintenance Agencies in the proportion of 40% and 60% respectively in line with Section 14(1) (h) of the FERMA Amendment Act 2007 has been continuously violated.
He stated this at inauguration of the ad hoc committee to investigate the implementation and remittance of 5 per cent charge for road maintenance under the Federal Roads Maintenance Agency (FERMA) Act, 2007.
Recall that the House had on 19th March considered a motion brought by a member of the House, which showed a non-implementation of remittance of the 5% user charge on petroleum products meant for road maintenance under the (FERMA) Amendment Act, 2007.
Abbas said ‘It is important to recall that Section 14(1)(h) of the FERMA Amendment Act 2007 stipulates that 5% of the pump price of petrol and diesel should be allocated to FERMA and the State Maintenance Agencies in the proportion of 40% and 60% respectively.
“However, over the years, this section of the Act has not been complied with despite different attempts by the National Assembly through their oversight activities to compel compliance. This has somewhat affected the operations of the beneficiary agencies of government and by extension the Nigerian people who ply public roads.
“As Representatives of the people, we owe Nigerians the obligation by sections 88 and 89 of the Constitution of the Federal Republic of Nigeria 1999 (as amended) to conduct a comprehensive investigation into the status of the 5% user charge to determine the extent of the violation of the law and the amount of money unremitted and those responsible for the non-implementation.
“The assignment for this committee is clear: Nigeria now looks up to you to ask the relevant questions and scan through the necessary documents to establish how much has accrued from the collection of the 5% user charge from the date of commencement of the law till the time of this investigation and how much standing to the benefit of FERMA and similar agencies at the state level”.
In his welcome address, chairman of the ad hoc committee, Francis Waive (APC, Delta) said they will engage all relevant stakeholders, including government agencies responsible for the collection and disbursement of these funds, independent auditors, civil society organisations, and industry experts. “We will demand full disclosure and accountability from the relevant institutions, and where necessary, recommend legislative and administrative actions to correct any identified anomalies”.
He assured that “We, as representatives of the people, have a constitutional duty to ensure that every revenue stream meant for national development serves its rightful purpose. This 5% user charge on petrol was instituted with the clear intent of providing sustainable funding for road maintenance across Nigeria. However, the dismal state of our road infrastructure raises serious concerns about whether these funds have been properly collected, managed, and utilised”.
