The performance audit of agencies under the Federal Ministry of Transportation, as well as assessment of compliance level of the private terminal operators to the concession agreement would be ready by June 2018.
Former Chairperson of the Federal Inland Revenue Service (FIRS) Ifueko Okauru in a chat with Shipping Position Daily in Warri, Delta State recently disclosed that Transportation Minister, Rotimi Amaechi had contracted her firm; Compliance Professionals Plc. to carry out the audit.
Ifueko who is Managing Partner at the firm told our correspondent that the audit report is 50 percent completed and that by June 2018, it would be delivered to the minister.
Meanwhile, the minister while addressing stakeholders in Warri recently expressed dissatisfaction at the pace of achievements from all the agencies under him. He said this was why he ordered a performance audit of the agencies as well as the terminal operators.
Amaechi said there are too many difficulties in the maritime sector.
Ifueko while speaking with our correspondent however stressed that the government expects that the maritime sector ought to be generating more funds than it is currently bringing into the federation account.
She said, "We have been engaged by the federal ministry of transportation to undertake the performance audit of the maritime sector as well as compliance level of the private terminal operators to the concession agreement"
"This is an initiative of the honourable minister in ensuring that the maritime sector is properly positioned to contribute its bit to the federation revenue".
"This maritime is a very viable sector which has defied all odds in making relevant contributions to the federal purse. Revenue is generated through government agencies and more importantly, taxes that are collected from private sector operators in the maritime sector"
"We believe the maritime sector provides a hotbed for a lot of private sector initiatives and activities. So, hopefully with this project, we would be able to identify why over the years, the maritime sector has not taken the pride of place in the same way the oil has, as a veritable sector and what the critical issues" , she said.
The former FIRS boss however explained that the implementation of the audit report would rely solely on the transportation minister.
"We are over 50 percent done and by the end of June, we hope the project should be over, but in terms of take-off, it is not for us to say, as we are progressing, we are giving the ministry feedbacks on what we have done and I believe it would have an input in ongoing activities", she added.
She said that part of the report was to look into the ease of doing business at the port. She said that Nigerian ports cannot be viable to generate revenue if there is no friendly environment for business.
According to her, "you cannot generate revenue if you don't have a friendly environment, you cannot generate revenue if you don't have people that are interested in investing in that sector, revenue is not generated by the taxes you charge, it is generated by the base you create and the fact that more people are coming in because the sector is wired"
"There is a direct relationship between you wanting to generate revenue and the ease of doing business; ease of doing business helps the growth and development of the country, it helps you raise the revenue that would drive the economy. Ease of doing business is not just a nice word to have; it’s an important aspect of encouraging investor to come’’, she explained.
This is why the World Bank does ease of doing business ranking, in which Nigeria just moved higher, this is a message and signal to investors"
"My job is to audit and give the recommendation back to the ministry, it is now the job of the ministry and the administration to take it up from there" she said.
Discussion about this post