Ondo state’s performance index with regards to its internally-generated revenue is ranked one of the best as BARNABAS OLABISI writes.
The paucity of funds caused by the acute fall in crude oil prices in the international market ultimately affected Nigeria’s earnings. This comes with its subsequent ugly effects on the money available to be shared among states from the Federation Account. To that extent, it affected the standard of living of the citizens.
As a result of this, states look inward for means of boosting revenue that accrues to them.
Painfully, the drastic reduction in the money shared to states led to non-payment of salaries with some states owing up to one year arrears or more with little or no capital project executed. This compelled many states to resort to borrowing of all sorts despite bailouts by the federal government.
Facts have emerged that states were not generating the required IGR not because there were no avenues or sources to generate, but such efforts were hampered by the lack of political will, required manpower and various forms of leakages thereby making such steps difficult.
Ondo state has experienced its own share of the recession and poor revenue which led to the accumulation of seven months salary arrears when the incumbent governor, Mr Oluwarotimi Akeredolu, assumed office on February 24, 2017.Akeredolu on assumption of office noted that a lot needed to be done to increase the state’s IGR base which was reported to be at a paltry sum of N700 million monthly on the average.At that time, he warned that the state board of internal revenue must be reorganised and strengthnted to improve the state’s IGR which would be ploughed into the state’s economy for a better future.The efforts of the Akeredolu-led administration has not only resulted in increasing revenue drive, it puts the Sunshine State in the fore front of states that had achieved more than double the amount they used to realise.Impressive performance index
The IGR of the state has moved from about N10.2b in 2017 to N24.8billion in 2018. This leap jump in the IGR pushed the state ranking from 20th position to 9 with the highest IGR in 2018 and the first in terms of annual growth, according to the Joint Tax Board (JTB) and the Nigerian Bureau of Statistics (NBS).
As at half year, a recent analysis shows that Ondo is number two after Rivers state in terms of year- on- year quantum growth in IGR for the first half of 2019. This source from the state account general office is a credit to Akeredolu’s administration and the state as a whole.
In his efforts to further keep the tempo on the ascendancy, Governor Akeredolu has approved all proposals encouraging deployment of ICT values into tax collections in the state and boost the economy base.
All the result of the initiative of the government was revealed recently by the National Bureau of Statistics (NBS) in its six months (Jan-June 2019) report, which puts the state IGR at N19 billion and also rated the state among the first 10 with the highest revenue during the period under review.This feat recorded by the state has been generating reactions and accolades from various stakeholders in the state. While some appreciate it, others gave it a knock.
Areas of performance
Akeredolu claimed that his administration started with the construction of roads in the state, more so he said that through proceeds from the revenue drive, the state would tremendously witness more developmental projects.He noted that his administration was poised to spread the construction of roads to every part of the state in order to improve economic activities and make life easy for the people.
He spoke on Tuesday, November 26, 2019 while addressing traditional rulers in the state during the inauguration of Oba Fedrick Obateru Akinruntan, the Olugbo of Ugbo as chairman of the State Council of Oba. held at the International Center For Culture And Events (DOME).
He assured that the ongoing rehabilitation of roads across the state would not stop, adding that a good number of them would be reconstructed as dual carriage-ways to ease transport and commerce and provide massive employment opportunities.
According to him, “I want to say with all sense of modesty that we have not let down the people in fulfilling our promises to impact positively on the state and her people. I want to state that Your Majesties are living witnesses to some of our achievements in the last three years.”
Governor Akeredolu listed some of the roads already constructed by his administration to include: Oke Alabojuto Road, Ikare-Akoko; Lennon Jubilee – Solaco Road, Ugbe Road, Ikare-Akoko; Selected Roads in Ifon; Oke Afa Road, Supare-Akoko; failed portions along Iwaro-Oka/Isua Road, reconstruction as dual carriageway of the road from Emure Junction–AUD and from the Ministry of Works to Iyere Junction, Owo; reconstruction as dual carriageway of ‘A’ Division to Ijoka Road (ongoing); reconstruction as dual carriageway of Akure to Oda Road (ongoing); construction of selected roads in Akure township; construction of selected roads in Idanre; Igbara-Oke – Ibuji Road; Oke-Ogba Community Road, reconstruction as dual carriageway of the road from CBN to Bishop’s Court in Alagbaka, Akure; Sabomi – Ajagba Road (2.3km); construction of Ile-Oluji township roads; construction of flyover across Ore – Benin Expressway (ongoing) and construction of Okitipupa – Igbokoda Byepass Road (ongoing).
He also disclosed that there have been massive renovation of public primary schools across the 18 local government areas, with the provision of school furniture, ICT facilities, fence to enhance security, amongst others.He said his administration has implemented these projects, such that no local government area in the state is left out.
He noted that the resolve of his administration to woo investors to the state is already yielding fruitful results with the Paper Mill Factory, Ethanol Plant, MDF/HDF Wood Plant and the Win-win Textile already established at the Ondo-Linyi Industrial Park in Ore for the rapid economic development of the state.He stressed that the proposed seaport is still very much on course, adding that, “It is gratifying to say that the project implementation plan for the deep seaport, spelling out milestones and timelines for the completion of the multibillion dollars projects has been received.
“The feasibility study of the proposed Port of Ondo has shown that it is economically viable as it has the deepest natural draught with the longest coastline in the West African Sub-region and capacity to harbour any ship in the world,” Akeredolu said.
APC applauds performance
Commenting on this development, Engineer Ade Adetimehin, chairman of the All Progressive Congress (APC) in the state described the tremendous move of revenue drive of the present administration as encouraging and commendable, saying blocking all loop-holes and harnessing available avenues to increase revenue base of the state is impressive.He added that all projects and initiatives embarked upon by the present administration, across the whole three senatorial districts and the 18 local government areas were due to improvement in revenue base of the state.
PDP faults records from revenue
However, a Peoples Democratic party (PDP) stalwart in the state, Chief Femi Mamayeyomi, alleged that the party noted foul-play in some of the consultants engaged to collect the revenue for the state, saying they are relatives of the governor. To that extent, he said it becomes difficult to ascertain the true revenue collected.
