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National Automotive Policy will not inflict hardship on Nigerians – Jonathan

Freedom Reporter by Freedom Reporter
January 4, 2014
in Breaking News, Featured
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president_goodluck_jonathanPresident Goodluck Jonathan on Friday assured that the implementation of National Automotive Policy approved by the Federal Executive Council (FEC) in 2012 would not inflict pains on the people.

Jonathan gave the assurance when he received a delegation of the Road Transport Employers Association of Nigeria (RTEAN) at the Presidential Villa, Abuja.

The president, who spoke against the backdrop of criticism that had trailed the policy from certain quarters, said it would bring back the country to the right path in automobile sub-sector.

Specifically, as the policy commences in March, some group had criticised the proposed increase in clearing rates and tariff on imported fairly used cars also known as “Tokunbo”.

Similarly, prominent automobile dealers, Toyota, CFAO, Honda, Mercedez Benz, had late last year protested to the National Assembly seeking a review of the policy.

The dealers, who sent petition to the president on Nov. 6, had alleged that the policy was designed to favour a particular firm to the detriment of others.

Jonathan, who thanked RTEAN for supporting the policy, assured that the policy would ensure competitiveness and productivity in the automobile sector.

He added that the policy would assist in the establishment of automotive supplier parks and clusters and job creation.

“One area I want to commend you is on the Auto Policy of Government. People have different views, but the most important body that can comment on the policy is your body.

“From RTEAN position on the Auto Policy, I am quite pleased, let me use this opportunity to assure Nigerians that government cannot bring a policy that will increase the hardship of Nigerians.

“If that comes up, I will abort it even midway because we cannot come up with a policy that will make Nigerians suffer or pay higher prices for vehicles.

“However, we must come up with policies that Nigerians will pay less and especially job and wealth creation and improvement on our economy.

“As a nation, we spent an average of over four billion dollars in importing vehicles.

“If this chunk of money, even half of it, is invested in the country to assemble and manufacture, it will go a long way.’’

“When you assemble, other small cottage industries will come up to produce one component or the other to serve the main assemblage plant.

“This will create jobs and stimulate the economy. By the time you import, you are exporting jobs, but if you assemble locally you are creating jobs. That is the thinking of government.’’

The president thanked the association for coming to interface with government and commended its efforts to procure 4000 vehicles of various types for mass transit in the country.

He directed the Secretary to the Government of the Federation to incorporate the union in all programmes in the centenary celebrations.

Jonathan thanked them for decorating him with the highest honour of the association, “RTEAN Great Grand Patron” and for presenting him with a centenary card.

“Your decoration is intimidating, attempting to be your enemy is suicidal because you can stop people to develop. We consider you a great partner in our development plans.’’

Earlier, the RTEAN National President, Chief Musa Isiwele, commended Jonathan for the Automotive Policy and the improvement in road network across the country.

Isiwele acknowledged that the improvement on national highways had improved road transportation and reduced accident.

He said RTEAN with over 16 million members nationwide planned to create 1.5 million jobs for young people in the next one year.

Isiwele said that already, the association had commenced a special mass-transit scheme of 4,000 units of exotic brands of taxis and commercial buses/vehicles.

The RTEAN, he said, had also embarked on construction of world class transit parks and drivers academy to further give capacity to the transport operators.

He said the association embarked on 1000 units of housing projects for members.

Isiwele requested Federal Government’s Concessionary Sovereign Guarantee for loans and tariff waivers on all vehicles it imported.

He asked for land allocation for the establishment of world class ultra-modern transit motor parks in each geopolitical zones and Abuja.

He also urged the president to grant the establishment of Transport Development Bank (TDB) by the government to address critical transport infrastructures development.

Present at the event are Vice President Namadi Sambo, Ministers of Transport, Sen. Idris Umar, FCT, Sen. Bala Mohammed, Solid Minerals Development, Mohammed Sada, and the Minister of State for Works, Bashir Yuguda.

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