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The House of Representatives has launched an investigation into the operations and revenue management surrounding the issuance of driver’s licences in Nigeria over the last three years, following mounting concerns over alleged financial irregularities, system delays, and procedural violations by key stakeholders.
This followed the adoption of a motion sponsored by Hon. Afam Victor Ogene (LP, Anambra) during plenary on Wednesday. Ogene raised alarm over the opacity in revenue generated through the tripartite arrangement involving the Federal Road Safety Corps (FRSC), State Boards of Internal Revenue (BIR), and the Vehicle Inspection Office (VIO)—all responsible for the issuance and renewal of driver’s licences across the country.
According to the lawmaker, the process begins with the issuance of a learner’s permit by the Motor Vehicle Administration Agency (MVAA) in each state at a statutory fee, before a full licence is granted. However, he noted that the FRSC’s VIP Centres, which are meant exclusively for renewals, are allegedly being used to issue new licences without evidence of prior learner’s permits, thereby bypassing standard procedure.
Ogene further alleged that the FRSC’s Information Processing Centre (IPC) is being used to warehouse and manipulate driver’s licence data, effectively shortchanging state revenue offices and the VIO. “There are allegations that the FRSC is controlling receiving accounts for various revenue lines including those from driving school certifications and driving history applications used for foreign travel processing,” he said.
The Labour Party lawmaker also decried the absence of transparency in the handling of licence-related funds, some of which reportedly amount to hundreds of billions of naira annually. “The revenue generated from driver’s licence issuance is allegedly unaccounted for by both the VIO and State Boards of Internal Revenue,” he added.
He expressed concern over the Joint Tax Board’s (JTB) revised rates—N21,000 and N15,000 for five- and three-year motor vehicle licences, and N11,000 and N7,000 for motorcycles or tricycles—as announced in November 2024—raising questions about the revenue sharing formula and accountability mechanisms.
Another major concern raised was the prolonged delays in issuing licences, with applicants reportedly waiting up to two to three years after biometric capturing. Ogene attributed this to unpaid debts allegedly owed by the FRSC to Galaxy Backbone Ltd. and other technical consultants managing the biometrics and data systems.
In response, the House resolved to investigate the operational framework, revenue flows, and usage of funds related to driver’s licence issuance over the last three years. The probe is expected to be concluded within four weeks.
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