The Drivers and Riders Permit Levy newly introduced by the Transport Secretariat of the Federal Capital Territory Administration (FCTA) was suspended following a protest by the Abuja dispatch riders.

Although, the Secretariat said the suspension is intended to allow for further engagement with relevant stakeholders, our correspondent reports that the riders had last Thursday blocked the entrance of the FCT Minister’s office, protesting what they called multiple taxation by the administration.

Abuja Metro reports that the levy required each dispatch rider to pay N25,000, in addition to the N300 fee paid each time they enter a market managed by the FCTA.

The riders, incensed by the new charge, noted that they already pay various levies to the Abuja Municipal Area Council (AMAC) as well as the Bwari and Gwagwalada area councils.

Riders protest at Wike’s entrance gate

After several failed attempts to reach the authorities, hundreds of riders stormed the FCTA Secretariat last Thursday.

They protested what they described as “multiple taxation” and appealed to FCT Minister Nyesom Wike to intervene and stop the alleged extortion.

One of the spokespersons for the riders, Mr. Olawale Ilesanmi, stated that while they were aware of their obligation to pay taxes and have been doing so, the current burden would be too much to bear.

He explained that the protest was a collective “no” to multiple taxation.

The burden of fees

According to Ilesanmi, dispatch riders currently pay N13,000 annually to the area councils.

He expressed shock that a new revenue collector had emerged demanding an additional N25,000 on behalf of the FCT Administration.

“The N25,000 is significantly higher than what we pay the area councils. We are kicking against the multiple taxation that is directly affecting us in Abuja,” Ilesanmi said. “We have been complying year in, year out. But suddenly, another group of collectors emerged from nowhere with a higher demand.”

He further highlighted the daily operational costs: “Riders pay N300 ticket each time they enter a market. If we enter the market ten times in a day, we are bound to pay N300 ten times.”

Ilesanmi also noted that many motorcycles had already been impounded, with owners forced to pay the new fee before their bikes were released.

FCTA suspends enforcement

Shortly after the protest, the FCT Transportation Secretariat suspended the enforcement of the permit levy.

The Mandate Secretary, Dr. Chinedum Elechi, issued the directive in a letter addressed to the Managing Director of First Capital Cargo Ltd, the company contracted to collect the levy.

The decision followed a meeting with the leadership of the dispatch riders on February 19.

The letter read in part: “Following the meeting with the leaders of the Association of Dispatch Riders in the FCT and the concerns of multiple taxation raised, you are hereby directed to suspend the enforcement of the Drivers and Riders Permit Levy, pending further engagement with all relevant stakeholders. Please ensure this directive is accorded the needed attention and compliance.” (Daily Trust)