Month: July 2021

An estimated annual revenue of N123.078 billion has been reported to be generated by Agberos in Lagos State which was amassed from daily road use taxes levied on bus drivers, tricycle riders as well as motorcycle operators in the state.

This revenue by the Agberos is according to a recent research report by the International Centre for Investigative Reporting (ICIR).

According to the report, the Agbero levies on commercial buses (danfos) are:

• Each commercial vehicle driver pays at least N3,000 to Agberos as ticket fee.
• There are an estimated 75,000 commercial buses operating in Lagos; according to the Lagos Metropolitan Area Transport Authority (LAMATA).
• Estimated daily total collection:  N225 million
• Estimated monthly total collection:  N6.75 billion
• Estimated yearly total collection:  N82.125 billion

Levies on Tricycle operators (keke napep)

• Each keke napep rider pays at least N1,800 to Agberos per day.
• There are an estimated 50,000 tricycles operating in Lagos, according to Techcabal.
• Estimated daily total collection:  N90 million
• Estimated monthly total collection:  N2.7 billion
• Estimated yearly total collection:  N32.85 billion

Levies on motorcycle operators (okada)

• Each okada rider pays at least N600 to Agberos per day.
• There are an estimated 37,000 okada riders operating in Lagos; according to Motorcycle Operators Association of Lagos State (MOALS).
• Estimated daily total collection:  N22.2 million
• Estimated monthly total collection:  N666 million
• Estimated yearly total collection:  N8.103 billion

Consequently, the annual revenue amassed by Agberos from the three major modes of transport in Lagos state amounts to N123.078 billion.

In comparison, Lagos State recorded the highest Internally Generated Revenue of N418.99 billion; accounting for 32.1% of the total, closely followed by Rivers State with N117.19 billion.

Other states with the highest IGR in 2020 include Abuja (N92.06 billion); Delta (N59.73 billion); Kaduna (N50.75 billion); and also Ogun (N50.75 billion); as well as Oyo State (N38.04 billion).

As the data shows, Lagos Agberos surpassed all other states besides Lagos in revenue generation beating oil-producing Rivers State by a handsome N5.89 billion naira.

Also, the report revealed that “although the Lagos State Internal Revenue Service (LIRS) says on its website that ‘road taxes’ are among the 25 taxes that are collected by the state government….the government agency provides no evidence on the website that road taxes are being collected by the state government.”

The report further revealed that although some of the revenue was being remitted to the National Union of Road Transport Workers (NURTW) and to the rival union RTEAN, the bulk of the money being generated was most likely completing its journey in private pockets.

“The [motor park] chairman takes the huge chunk of the money; shares the rest to his subordinates; and also leaves little in an account operated by his union,” it stated.