The hallmark of a great leader is etched in the steps he takes
when faced with a choice between personal gains and greater public
good. For Governor Akinwunmi Ambode, if events in recent weeks are
anything to go by, it seems that critical moment couldn’t come soon
enough. The governor was faced with fixing the inefficient tax
system in Lagos State, which could be wrongly interpreted by the
populace and thereby jeopardising his political future or
consolidating his political goodwill by pretending all was well
with the clearly obsolete and inefficient tax system. The governor
chose the harder and rougher road towards consolidating his
legacy.
The Lagos State government has over the past three years managed
to build an unusual rapport with the people of the state. Unusual
because what has, unfortunately, become the norm rather than being
the exception is that there is often a wide chasm separating the
governed from the government. As a result, many governments,
whether federal, state or local, struggle to gain the sympathy and
trust of citizens, which makes policy implementation and other
government initiatives sometimes difficult to achieve or
appreciate.
The Ambode-led government, it would seem, has managed to bridge
that invisible but ever present disconnect between the ruled and
the ruler in the country. Such trust is no doubt built on
noticeable and people-friendly policies and initiatives, which is
not in short supply in the Ambode administration. Coupled with the
mass-oriented developmental agenda of the administration is a
commendable predisposition to empathize with and listen to the
people and draw insights with which to further develop the state
and make it livable for residents.
The administration had stated it planned to focus attention on
three key developmental areas: Infrastructure, Economic
Empowerment, and Security. And so far, it has covered much ground
in the delivery of value in these areas.
Housing remains a huge challenge in Lagos; the housing deficit
in the state is put at 2.5 million units. To address this, the
government embarked on massive construction of affordable housing
estates. More than 27 low- to mid-income housing estates are under
construction/redevelopment or completed and assigned across the
state in Mushin, Oko-Oba, Egbogbo, Ojo/Igando, Lekki, Sangotedo,
Ikota, Ojokoro, Ogba, etc. Often, such housing schemes are hijacked
and acquired by speculators and real estate investors, which
effectively defeats their purpose. To ensure the targeted group is
not schemed out, the government established the Rent-to-Own Scheme,
a mortgage finance for first home buyers, and the Rental Housing
Scheme, a monthly rental housing scheme for those interested only
in rentals.
As part of its economic empowerment commitments, the government
budgets N6.25bn yearly to its N25bn Lagos State Employment Trust
Fund, which is targeted at supporting about 100,000 micro, small
and medium enterprises and creating at least 300,000 direct and
600,000 indirect jobs by 2019. So far, more than 5,893 businesses
have been given about N5bn. This year, over N700m has been approved
for 1,753 beneficiaries. The Trust Fund also provides training and
job placements for unemployed Lagosians. The Ready.Set.Work is yet
another entrepreneurship and employability training initiative by
the state government aimed at empowering Lagos residents by helping
to place fresh graduates in jobs both in the public and the private
sectors.
Perhaps, the most noticeable and appreciated intervention of the
Ambode administration has been its road infrastructure projects
because that affect all strata of society. Commuting in Lagos in
the past was very challenging. Commuters spent an average of four
hours in traffic daily on most routes due to bad roads, poor road
networks/management, and inadequate alternate routes, among others.
That had serious implications for productivity and the wellbeing of
Lagosians. But through road expansions and maintenance, opening up
of alternate routes, construction of lay-bys, bus stops,
interchanges, and pedestrian bridges, commuting within the
metropolis has improved tremendously. Notorious traffic flashpoints
such as Julius Berger, Iyana-Oworo axis, the Third Mainland Bridge,
Iyana Ipaja, Abule Egba, Ajah, Ayobo-Ipaja, and Ikotun Egbe have
all been transformed while others like Pen Cinema-Agege, Oshodi-
Airport Road, Mile 2-Badagry axis, Ikorodu, among others are
undergoing redesigning/rehabilitation. In 2016, the government
completed 114 roads, 181 in 2017, and just last February, the
governor approved the construction and rehabilitation of additional
285 roads across the 57 local council areas in the state.
In demonstration of strategic thinking, usually associated with
the private sector, the Ambode administration, determined to boost
food production in the state, collaborated with the Kebbi State
government to produce and market food items such as rice, sorghum,
wheat, groundnut, and livestock at subsidized rates, starting with
rice. Kebbi is one of the largest producers of rice paddy in the
country and Lagos State has a 2.5 metric tonne-capacity milling
plant in Imota where it can mill the rice. It was a well-informed
collaboration. And in August 2017, LAKE Rice was introduced into
the market at a price 45 per cent lower than the prevailing rate.
Initiatives such as this, no doubt, demonstrate the Ambode
administration as a listening and a caring one, which has the
interest of Lagosians at heart.
Expectedly, people have warmed to the administration and it has
enjoyed tremendous goodwill among Lagos residents and even
outsiders. A writer, Tunde Odesola, called it “immense goodwill
earned on the platter of non-lousy service delivery.” Indeed, even
the opposition parties in the state, particularly the Peoples
Democratic Party, have been impressed. The PDP, while
congratulating Ambode on his 53rd birthday in 2016, said he had
made “serious attempts to fulfil his campaign promises,” and
commended him “for rejuvenating governance.” Last year, the House
of Representatives Committee on Basic Education and other Services,
led by its Chairman, Zakari Muhammed, on inspection tour of
projects executed under the State Universal Basic Education
Projects across the country, lauded the Lagos State Government for
“embarking on schools infrastructure projects that are impacting
positively on the delivery of quality education in the state,” and
expressed satisfaction with the “quality of materials used in most
of the schools visited.”
However, despite the service delivery and goodwill enjoyed, the
controversy over the recently introduced Land Use Charge law has
pitted the state government against a section of Lagosians, mostly
the organised private sector, with some suggesting the
administration may have lost its goodwill with the people. Many
wonder, for instance, if the government is not shooting itself in
the foot by introducing such a controversial law on the eve of a
general election, when opposition could and would readily use the
law as a fodder to unseat the government. But then, the
government’s response suggests it carried the burden of leadership
with seriousness and utmost responsibility. According to the
government, rather than short term thinking of political gains, it
is determined to leave a legacy of prosperity for all and a
functional Lagos, one that every resident will be proud of. So it
is ready to do what is right, even at the expense of its political
health.
Yet, if one must be dispassionate, there is no doubt that
government needs to boost its revenue to continue to deliver
service on a sustainable basis. The state government had mainly
relied on borrowed funds and bond issuance to transform the city,
which is not sustainable in the long term, because the facilities
are interest bearing and must be paid back. The recent debt figure
released by the Debt Management Office showed that Lagos State has
a domestic debt overhang of N533.6bn. With federal allocation
declining, it is clear government must be efficient in its tax
revenue drive. For efficiency, effectiveness, and relevance, it
became expedient to reform the tax system, which the state
government is doing.
Olamilekan, a public policy analyst, wrote in from Agege,
Lagos
The hallmark of a great leader is etched in the steps he takes
when faced with a choice between personal gains and greater public
good. For Governor Akinwunmi Ambode, if events in recent weeks are
anything to go by, it seems that critical moment couldn’t come soon
enough. The governor was faced with fixing the inefficient tax
system in Lagos State, which could be wrongly interpreted by the
populace and thereby jeopardising his political future or
consolidating his political goodwill by pretending all was well
with the clearly obsolete and inefficient tax system. The governor
chose the harder and rougher road towards consolidating his
legacy.
The Lagos State government has over the past three years managed
to build an unusual rapport with the people of the state. Unusual
because what has, unfortunately, become the norm rather than being
the exception is that there is often a wide chasm separating the
governed from the government. As a result, many governments,
whether federal, state or local, struggle to gain the sympathy and
trust of citizens, which makes policy implementation and other
government initiatives sometimes difficult to achieve or
appreciate.
The Ambode-led government, it would seem, has managed to bridge
that invisible but ever present disconnect between the ruled and
the ruler in the country. Such trust is no doubt built on
noticeable and people-friendly policies and initiatives, which is
not in short supply in the Ambode administration. Coupled with the
mass-oriented developmental agenda of the administration is a
commendable predisposition to empathize with and listen to the
people and draw insights with which to further develop the state
and make it livable for residents.
The administration had stated it planned to focus attention on
three key developmental areas: Infrastructure, Economic
Empowerment, and Security. And so far, it has covered much ground
in the delivery of value in these areas.
Housing remains a huge challenge in Lagos; the housing deficit
in the state is put at 2.5 million units. To address this, the
government embarked on massive construction of affordable housing
estates. More than 27 low- to mid-income housing estates are under
construction/redevelopment or completed and assigned across the
state in Mushin, Oko-Oba, Egbogbo, Ojo/Igando, Lekki, Sangotedo,
Ikota, Ojokoro, Ogba, etc. Often, such housing schemes are hijacked
and acquired by speculators and real estate investors, which
effectively defeats their purpose. To ensure the targeted group is
not schemed out, the government established the Rent-to-Own Scheme,
a mortgage finance for first home buyers, and the Rental Housing
Scheme, a monthly rental housing scheme for those interested only
in rentals.
As part of its economic empowerment commitments, the government
budgets N6.25bn yearly to its N25bn Lagos State Employment Trust
Fund, which is targeted at supporting about 100,000 micro, small
and medium enterprises and creating at least 300,000 direct and
600,000 indirect jobs by 2019. So far, more than 5,893 businesses
have been given about N5bn. This year, over N700m has been approved
for 1,753 beneficiaries. The Trust Fund also provides training and
job placements for unemployed Lagosians. The Ready.Set.Work is yet
another entrepreneurship and employability training initiative by
the state government aimed at empowering Lagos residents by helping
to place fresh graduates in jobs both in the public and the private
sectors.
Perhaps, the most noticeable and appreciated intervention of the
Ambode administration has been its road infrastructure projects
because that affect all strata of society. Commuting in Lagos in
the past was very challenging. Commuters spent an average of four
hours in traffic daily on most routes due to bad roads, poor road
networks/management, and inadequate alternate routes, among others.
That had serious implications for productivity and the wellbeing of
Lagosians. But through road expansions and maintenance, opening up
of alternate routes, construction of lay-bys, bus stops,
interchanges, and pedestrian bridges, commuting within the
metropolis has improved tremendously. Notorious traffic flashpoints
such as Julius Berger, Iyana-Oworo axis, the Third Mainland Bridge,
Iyana Ipaja, Abule Egba, Ajah, Ayobo-Ipaja, and Ikotun Egbe have
all been transformed while others like Pen Cinema-Agege, Oshodi-
Airport Road, Mile 2-Badagry axis, Ikorodu, among others are
undergoing redesigning/rehabilitation. In 2016, the government
completed 114 roads, 181 in 2017, and just last February, the
governor approved the construction and rehabilitation of additional
285 roads across the 57 local council areas in the state.
In demonstration of strategic thinking, usually associated with
the private sector, the Ambode administration, determined to boost
food production in the state, collaborated with the Kebbi State
government to produce and market food items such as rice, sorghum,
wheat, groundnut, and livestock at subsidized rates, starting with
rice. Kebbi is one of the largest producers of rice paddy in the
country and Lagos State has a 2.5 metric tonne-capacity milling
plant in Imota where it can mill the rice. It was a well-informed
collaboration. And in August 2017, LAKE Rice was introduced into
the market at a price 45 per cent lower than the prevailing rate.
Initiatives such as this, no doubt, demonstrate the Ambode
administration as a listening and a caring one, which has the
interest of Lagosians at heart.
Expectedly, people have warmed to the administration and it has
enjoyed tremendous goodwill among Lagos residents and even
outsiders. A writer, Tunde Odesola, called it “immense goodwill
earned on the platter of non-lousy service delivery.” Indeed, even
the opposition parties in the state, particularly the Peoples
Democratic Party, have been impressed. The PDP, while
congratulating Ambode on his 53rd birthday in 2016, said he had
made “serious attempts to fulfil his campaign promises,” and
commended him “for rejuvenating governance.” Last year, the House
of Representatives Committee on Basic Education and other Services,
led by its Chairman, Zakari Muhammed, on inspection tour of
projects executed under the State Universal Basic Education
Projects across the country, lauded the Lagos State Government for
“embarking on schools infrastructure projects that are impacting
positively on the delivery of quality education in the state,” and
expressed satisfaction with the “quality of materials used in most
of the schools visited.”
However, despite the service delivery and goodwill enjoyed, the
controversy over the recently introduced Land Use Charge law has
pitted the state government against a section of Lagosians, mostly
the organised private sector, with some suggesting the
administration may have lost its goodwill with the people. Many
wonder, for instance, if the government is not shooting itself in
the foot by introducing such a controversial law on the eve of a
general election, when opposition could and would readily use the
law as a fodder to unseat the government. But then, the
government’s response suggests it carried the burden of leadership
with seriousness and utmost responsibility. According to the
government, rather than short term thinking of political gains, it
is determined to leave a legacy of prosperity for all and a
functional Lagos, one that every resident will be proud of. So it
is ready to do what is right, even at the expense of its political
health.
Yet, if one must be dispassionate, there is no doubt that
government needs to boost its revenue to continue to deliver
service on a sustainable basis. The state government had mainly
relied on borrowed funds and bond issuance to transform the city,
which is not sustainable in the long term, because the facilities
are interest bearing and must be paid back. The recent debt figure
released by the Debt Management Office showed that Lagos State has
a domestic debt overhang of N533.6bn. With federal allocation
declining, it is clear government must be efficient in its tax
revenue drive. For efficiency, effectiveness, and relevance, it
became expedient to reform the tax system, which the state
government is doing.
Olamilekan, a public policy analyst, wrote in from Agege,
Lagos
Read more https://nairalaw.com/interrogating-the-land-use-charge/