Politics

FCT ‘Park-and-Pay’ Scheme Questioned by Wike; Declares as illegal

Published by Tope Fakinlede on August 22nd, 2024.

FCT ‘Park-and-Pay’ Scheme Questioned by Wike; Declares as illegal

Nyesom Wike, Minister of the Federal Capital Territory (FCT), has raised concerns about the legality of the ‘Park-and-Pay’ scheme, alleging that the arrangement involves fraudulent practices between the scheme’s operators and the FCT administration.

Wike criticized the contract structure where private operators retain 80% of the revenue from the parking fees, leaving only 20% for the government. His remarks came during a press briefing marking his first year in office.

The ‘Park-and-Pay’ system, initially launched in 2014 and reinstated in 2023, was part of a significant agreement worth N908.3 billion with NAJEC Limited and Automaten Technik Bauman Nigeria Limited. This deal projects a revenue of approximately N26.93 billion over a decade. The previous FCT Permanent Secretary, Olusade Adesola, signed the agreement in August 2023, claiming it was approved by the six area councils and aimed at improving urban order.

However, Wike expressed surprise at the scheme’s reimplementation, highlighting that the contract unfairly allocated 80% of revenue to the operators and only 20% to the FCT administration. He has instructed the release of a public statement declaring the scheme illegal, emphasizing that residents should not be required to pay for parking in front of their homes or businesses.

Wike shared a recent incident where a senior advocate informed him that officials from the Transport Secretariat were attempting to enforce the ‘Park-and-Pay’ scheme. Wike questioned the legitimacy of this enforcement and was disturbed to learn about the disproportionate revenue sharing. He demanded clarification from the Transport Secretariat and called for a statement to notify the public about the scheme’s illegality.

The minister also mentioned ongoing efforts to tackle systemic corruption and inefficiencies within the administration, acknowledging the challenge of working with entrenched civil service practices while striving to minimize corruption.