By Sophia Afolabi
Governor of Enugu State, Peter Mbah, has dismissed claims that residents are subjected to excessive taxation, describing the allegation as a “pathetic misconception” being promoted by the opposition and individuals who benefitted from the previous revenue collection system.
Mbah said the criticism was driven by those uncomfortable with the reforms introduced by his administration to block leakages and expand the state’s revenue base. According to him, the government has grown the state’s Internally Generated Revenue (IGR) by widening the tax net to capture more taxable individuals and by tackling sharp practices that previously drained public funds.
He noted that the state also introduced measures such as the Consolidated Demand Notice, e-ticketing, recovery, optimisation and monetisation of state assets to improve revenue generation.
The governor, however, stressed that state governments do not have the constitutional authority to increase or reduce taxes, explaining that taxation is placed under the Exclusive Legislative List of the National Assembly of Nigeria by the 1999 Constitution of Nigeria.
Mbah made the clarification during an interview on a television programme.
“First, as a state, we are not able to legislate on taxation. It is in the exclusive legislative list, which can only be legislated on by the National Assembly. Whether it is your Personal Income Tax, Company Income Tax, Value Added Tax or Withholding Tax, those taxes can only be legislated by the National Assembly,” he said.
He added that critics of the administration had failed to acknowledge the growth in the state’s IGR, which rose from N26.8 billion in 2022 to N37.4 billion in 2023, N180.5 billion in 2024, and N406.7 billion in 2025.
According to him, the increase was largely driven by improved management of non-tax revenues through the optimisation of dormant state assets.
“For those framing this false narrative, it is beyond their imagination that we could optimise our dormant assets and grow our revenue exponentially,” he said.
Mbah further explained that tax revenue accounted for only N51.5 billion, representing 12.6 per cent of the N406.7 billion IGR recorded in 2025, while non-tax revenue contributed N355.2 billion, or 87.4 per cent.
On charges and levies within the competence of the state, the governor said his administration had already reduced several payable rates.
“For those rates and fees, we constituted a committee that also included market leaders, organised labour and the Chamber of Commerce and Industry, among others, which compared what other South-East states charge. It turned out that Enugu was the lowest in the region, but we still reduced the rates further by about 70 per cent, particularly in the land sector,” he said.
The governor also acknowledged the activities of illegal revenue collectors operating across the state, noting that the recently enacted Enugu State Harmonised Taxes and Levies (Approved List for Collection) Law, 2026 would address the problem.
He said the law was designed to eliminate roadblocks and unauthorised collections that had burdened residents, adding that enforcement efforts and public awareness campaigns would be intensified to curb extortion.
“Under our laws, we have consolidated these services so that citizens make a single payment for government services. However, some individuals still go about extorting money from citizens because the practice has existed for years.
“We have now constituted a standing task force to track and bring such persons to book. We are also encouraging citizens to report them through several toll-free lines, which they can call without airtime,” he said.
