The Manufacturers Association of Nigeria (MAN), on Friday, called on the Lagos State Governor, Babajide Sanwo-Olu, to order the immediate re-opening of factories sealed by the Lagos State Water Regulatory Commission (LASWARCO) over alleged refusal to pay water abstraction fees.
MAN Director General Segun Ajayi-Kadir, in an open message to Governor Sanwo-Olu, said the sealing of some factories in Lagos State by the Water Commission was “unwarranted and ill-timed.” He, therefore, implored the governor to order the immediate re-opening of the factories.
Ajayi-Kadir said this will pave the way for a logical and passable conclusion of the ongoing conversations on how to permanently resolve the matter of outstanding fees imposed by the Commission, and also allow for the conclusion of the impending Memorandum of Understanding (MoU) between the Water Commission and the Organised Private Sector (OPS).
“This is more so that the private sector is currently awaiting the finalization of the text of the MoU from LASWARCO. We are full of expectations that immediate action is taken in the interest of the state’s economy and to forestall a possible degeneration in the already tense business atmosphere,” Ajayi-Kadir added.
He, however, pointed out that the possible loss of jobs and its attendant socioeconomic implications, as well as the negative signal to the investing public should serve as deterrent and encourage a business friendly regulatory environment.
The MAN DG stated that the Association was constrained to convey this open message to the Lagos State Governor, as all attempts at approaching the relevant heads of agencies and ministry failed.
He said MAN was appalled by “The inauspicious act of LASWARCO in sealing factories over their purported refusal to pay the astronomical and unjustifiable water abstraction fees imposed by the Commission.”
According to Ajayi-Kadir, “This action is ill-timed and quite unfortunate, as the Commission and MAN had engaged in meaningful dialogue and reached some agreements over the lingering issue about three months ago.”
He said the dialogue was expected to culminate in an MoU to commence in January 2025, adding that only three weeks ago, another round of discussions took place between LASWARCO and representatives of MAN.