Editorial
Rivers And Tax Evading Firms
The Rivers State Board of Internal Revenue recently sealed up the Head Office of the Union Bank Plc in Port Harcourt to drive home its threat to deal with firms that refuse to meet their tax obligations to Rivers State.
According to the authorities, the bank failed to remit taxes for four years amounting to N1.4bn. They said that the premises would not be open for business until the amount was paid because the bank deliberately ignored repeated warning of the board.
Apparently, this is one of the companies whose unpaid taxes added to the N10 billion the state government said it was being owed in taxes. To make these firms pay up, government had taken several steps including the use of threat to no avail. In fact, it looked like the demand for taxes lacked legitimacy.
That is why the use of force to collect the taxes has become very necessary, commendable and welcome. For too long, the leniency of government has been taken for weakness, a situation that should not be allowed to continue. Indeed, the failure of government agencies to act in the face of violations has created nothing but the culture of impunity.
We are happy that after sealing up the bank at Trans-Amadi, the board has further penciled down a number of other big corporate organisations that are likely to face similar sanction very soon. We are also glad to know that some companies owing huge sums have started paying up on installments.
While we commend the Board of Internal Revenue for steps being taken to recover the debt, the process should be sustained to achieve the desired result. Very often, steps like this are frustrated because officials get compromised in the process.
Besides, it should interest government to know the reason why so many companies in Rivers State would be in arrears of tax remittance. Could it be that they made deals with some officials of the board that did not reflect on government records? Or was it a clear case of lawlessness?
Also important is the reason why the authorities did very little to collect such taxes for as long as four years and more. Apart from the loss in value arising from the delay in payment, such firms would have gone away with such important revenues if they had re-located or closed shop.
That is why the debt drive must be driven to its logical conclusion. But also important is the need to get all the necessary revenue to enable the state government deliver on its promise of providing the kind of infrastructural development that would take the state to the next level.
Considering the massive development the Rt. Hon. Chibuike Rotimi Amaechi administration has embarked on, any attempt to deny the state of its due revenue would amount to a crime against the people of Rivers State.
On the other hand, we cannot understand why banks that declare huge profits at the end of every year would fail to meet their tax obligations to the government. These companies that run after their debtors with knives on one hand and guns on the other should have no reason owing Rivers State.
Rivers State is one place where the government has thoroughly acquitted itself in terms of its responsibility to its people and residents alike. The level of security and social amenities put in place are second to none in Nigeria, to say the least. Also, the idea of involving the private sector in its service delivery strategy should excite firms working in the state.
Because no company will have any reason to evade taxes in the state, we hope that firms, no matter how big, should be made to meet its corporate responsibility to the state and its people. They cannot continue to resist employing Rivers people and denying the people tax. Government must ensure that nobody, including officials of the revenue board, stand in the way to recover all the debts.
Editorial
Making Rivers’ Seaports Work
When Rivers State Governor, Sir Siminalayi Fubara, received the Board and Management of the Nigerian Ports Authority (NPA), led by its Chairman, Senator Adeyeye Adedayo Clement, his message was unmistakable: Rivers’ seaports remain underutilised, and Nigeria is poorer for it. The governor’s lament was a sad reminder of how neglect and centralisation continue to choke the nation’s economic arteries.
The governor, in his remarks at Government House, Port Harcourt, expressed concern that the twin seaports — the NPA in Port Harcourt and the Onne Seaport — have not been operating at their full potential. He underscored that seaports are vital engines of national development, pointing out that no prosperous nation thrives without efficient ports and airports. His position aligns with global realities that maritime trade remains the backbone of industrial expansion and international commerce.
Indeed, the case of Rivers State is peculiar. It hosts two major ports strategically located along the Bonny River axis, yet cargo throughput has remained dismally low compared to Lagos. According to NPA’s 2023 statistics, Lagos ports (Apapa and Tin Can Island) handled over 75 per cent of Nigeria’s container traffic, while Onne managed less than 10 per cent. Such a lopsided distribution is neither efficient nor sustainable.
Governor Fubara rightly observed that the full capacity operation of Onne Port would be transformative. The area’s vast land mass and industrial potential make it ideal for ancillary businesses — warehousing, logistics, ship repair, and manufacturing. A revitalised Onne would attract investors, create jobs, and stimulate economic growth, not only in Rivers State but across the Niger Delta.
The multiplier effect cannot be overstated. The port’s expansion would boost clearing and forwarding services, strengthen local transport networks, and revitalise the moribund manufacturing sector. It would also expand opportunities for youth employment — a pressing concern in a state where unemployment reportedly hovers around 32 per cent, according to the National Bureau of Statistics (NBS).
Yet, the challenge lies not in capacity but in policy. For years, Nigeria’s maritime economy has been suffocated by excessive centralisation. Successive governments have prioritised Lagos at the expense of other viable ports, creating a traffic nightmare and logistical bottlenecks that cost importers and exporters billions annually. The governor’s call, therefore, is a plea for fairness and pragmatism.
Making Lagos the exclusive maritime gateway is counter productive. Congestion at Tin Can Island and Apapa has become legendary — ships often wait weeks to berth, while truck queues stretch for kilometres. The result is avoidable demurrage, product delays, and business frustration. A more decentralised port system would spread economic opportunities and reduce the burden on Lagos’ overstretched infrastructure.
Importers continue to face severe difficulties clearing goods in Lagos, with bureaucratic delays and poor road networks compounding their woes. The World Bank’s Doing Business Report estimates that Nigerian ports experience average clearance times of 20 days — compared to just 5 days in neighbouring Ghana. Such inefficiency undermines competitiveness and discourages foreign investment.
Worse still, goods transported from Lagos to other regions are often lost to accidents or criminal attacks along the nation’s perilous highways. Reports from the Federal Road Safety Corps indicate that over 5,000 road crashes involving heavy-duty trucks occurred in 2023, many en route from Lagos. By contrast, activating seaports in Rivers, Warri, and Calabar would shorten cargo routes and save lives.
The economic rationale is clear: making all seaports operational will create jobs, enhance trade efficiency, and boost national revenue. It will also help diversify economic activity away from the overburdened South West, spreading prosperity more evenly across the federation.
Decentralisation is both an economic strategy and an act of national renewal. When Onne, Warri, and Calabar ports operate optimally, hinterland states benefit through increased trade and infrastructure development. The federal purse, too, gains through taxes, duties, and improved productivity.
Tin Can Island, already bursting at the seams, exemplifies the perils of over-centralisation. Ships face berthing delays, containers stack up, and port users lose valuable hours navigating chaos. The result is higher operational costs and lower competitiveness. Allowing states like Rivers to fully harness their maritime assets would reverse this trend.
Compelling all importers to use Lagos ports is an anachronistic policy that stifles innovation and local enterprise. Nigeria cannot achieve its industrial ambitions by chaining its logistics system to one congested city. The path to prosperity lies in empowering every state to develop and utilise its natural advantages — and for Rivers, that means functional seaports.
Fubara’s call should not go unheeded. The Federal Government must embrace decentralisation as a strategic necessity for national growth. Making Rivers’ seaports work is not just about reviving dormant infrastructure; it is about unlocking the full maritime potential of a nation yearning for balance, productivity, and shared prosperity.
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