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Abia Govt Refutes Claims of Draconian Taxation, Reaffirms People-First Reforms

 

The Abia State Government has dismissed as false reports alleging “draconian taxation” and “ruthless enforcement” in its revenue reforms, stressing that Governor Alex Otti’s administration is committed to fairness, transparency and ease of doing business.

 

 

In a statement signed by the Special Adviser to the Governor on IGR, Dr Emmanuel Okpechi, the State Government said the reforms are designed to “reclaim revenue, restore trust and end years of tout-driven harassment of citizens”.

 

 

He clarified that collections have been centralised under the Board of Internal Revenue with digital receipts via AbiaPay, banks and approved channels, while enforcement is handled by a single Harmonised Task Force to eliminate multiple ticketing and extortion.

 

Dr Okpechi further debunked claims that filling stations are charged ₦450 million each, describing them as “false, bogus and illogical”, and explained that Access Bank’s involvement in the State’s IGR drive is strictly a professional partnership, and not a revenue-sharing deal.

 

 

He reaffirmed the Governor’s philosophy stating that “Tax is the Government’s share of the prosperity it enables to be invested back into roads, markets, health and security to help businesses and families thrive”.

 

Below are the full details of the statement:

 

 

PRESS STATEMENT:

 

RECLAIMING REVENUE, RESTORING TRUST: FACTS ON ABIA’S PEOPLE-FIRST REFORMS.

 

The Abia State Government’s attention has been drawn to a recent article alleging “draconian taxation” and “ruthless enforcement.” The claims are inaccurate and false.

 

Below are the facts:

 

1. No More Touts; One Harmonised Enforcement.

 

Upon assumption of office, His Excellency Dr. Alex Otti, OFR, granted a three-month moratorium on daily collections to end years of tout-driven harassment and to deploy transparent digital systems. Enforcement is now streamlined under a single, Harmonised Task Force to stop multiple tickets and extortion.

 

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2. Treasury Single Account (TSA) for Accountability.

 

Abia has implemented the Treasury Single Account (TSA) model. All Government revenues are paid into a single account, and expenditures are made from the same account. This plugs leakages, improves cash management, enables real-time reconciliation and audit trails, and ends opaque MDA accounts. 

 

3. Ease of Doing Business: Central Billing and Receipts.

 

To prevent multiple taxation, collections are centralised under the Board of Internal Revenue (BIR) with consolidated demand notices and e-receipting via approved channels (AbiaPay, banks, PoS, card/transfer/USSD). An Ease of Doing Business Council is in place to keep processes predictable and investor-friendly.

 

4. Rate Review: Modest, Considerate, and Region-Competitive.

 

Following stakeholders’ consultations, the Government adopted moderate reviews that remain a little lower than prevailing benchmarks reported in several South-East/South-South States. In that same spirit – and in direct response to operators’ pleas – the daily e-ticket for tricycles is ₦500, a level tricycle unions have indicated they can shoulder, having eliminated loading bay payment to non-State actors per loading.

 

5. False Claim on Filling Stations.

 

The notion that ₦450 million is charged per filling station is false, bogus and illogical. If a single station were to pay ₦450 million in “fees,” what revenue would be left for them to operate? There is no such levy anywhere in Abia’s approved schedules.

 

6. Digital, Cash-Lite Payments Only.

 

Abia operates a cash-lite regime to curb leakages and protect taxpayers. Citizens are encouraged to pay only through AbiaPay, banks, or approved PoS/e-channels. Every payment generates an official e-receipt. (Abia’s transport e-ticketing is also enabled through approved applications).

 

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7. Partnership – Not Percentage Cuts.

 

The Access Bank collaboration is a professional partnership to strengthen financial processes and technology. Nowhere does any agreement grant the bank “15% of collections.” The State’s IGR ambition (₦120bn target for 2025) rests on a broader base: Aba’s commercial/industrial strength, urban renewal, and pro-business reforms, not on punitive rates.

 

8. Civic Duty and Shared Prosperity.

 

Dr. Otti’s philosophy is simple: Tax is the Government’s share of the prosperity it enables – To be invested back into roads, markets, health and security to help businesses and families thrive. Ndi Abia can already see the dividends of the reforms and are responding by paying lawful taxes, fees and levies through approved channels.

 

What Citizens Should Do Now:

 

1. Register for ABSSIN and cooperate with ongoing enumeration – This broadens the base and keeps rates fair. Citizens and Businesses can follow this link to enrol for the ABSSIN : https://abiapay.com/create-abssin.

 

2. Pay only via approved channels (AbiaPay, banks, approved PoS/e-channels) and insist on your e-receipt.

 

3. Report any touting, unofficial tickets, or cash demands to BIR/the harmonised task force.

 

The Abia State Government remains committed to fairness, transparency, and growth. Together – The Government and citizens can keep revenue honest, end harassment for good, and fund people-oriented development across our State.

 

Signed: 

 

Emmanuel Okpechi Ph.D, FCA

Special Adviser to the Governor on IGR,

Abia State Government.