The Minister of the Federal Capital Territory (FCT), Nyesom Wike, has declared the On-Street Parking scheme, commonly known as the ‘Park-and-Pay’ scheme, illegal, citing fraudulent practices in the contract between the managing contractors and the FCT administration.
Wike made this announcement on Wednesday, August 21, during a media briefing marking his first year in office.
Originally introduced in 2014 and reintroduced in 2023, the Park-and-Pay scheme was part of a N908.3 billion agreement between the FCT administration and concessionaires NAJEC Limited and Messrs Automaten Technik Bauman Nigeria Limited. The agreement was expected to generate approximately N26.93 billion in revenue over a 10-year term.
The reintroduction of the scheme, signed by the then Permanent Secretary of the FCT, Olusade Adesola, was reportedly done with the consent of the six area councils. The scheme was intended to enhance orderliness and organization in the city.
However, Wike stated that he was unaware of the scheme’s reintroduction. He criticized the contract terms, which stipulated that 80% of the revenue would go to the contractors, leaving only 20% for the FCT administration.
Wike emphasized that the scheme was illegal and that residents should not be charged for parking in front of their businesses or homes. He recounted an incident where a senior colleague called him to report that individuals claiming to be from the Transport Secretariat were attempting to seize cars as part of the Park-and-Pay scheme. Wike intervened, questioning the legitimacy of the scheme and the distribution of funds.
“I called the Transport Secretariat and the Mandate Secretary to ask who introduced this Park-and-Pay scheme and what it meant. It turned out that there were agreements between the Transport Secretariat and some individuals posing as consultants. They were taking 80% of the revenue, leaving the government with just 20%. I immediately instructed that a statement be issued to inform the public that the Park-and-Pay scheme is illegal,” Wike said.
The Minister also highlighted that contracts like the Park-and-Pay scheme were often arranged in collusion with secretariats within the administration, contributing to systemic corruption. He reaffirmed his commitment to minimizing corruption within the FCT administration, acknowledging the challenges but stressing the need for continued efforts to fight against such practices.
“No matter how you shuffle things, civil servants are still part of the system. It is not easy, but we must continue to fight hard to reduce corruption to the bare minimum,” Wike added.
Source: https://www.lindaikejisblog.com/
