News hotlines: 08111813019, 08025868561
The Senate Committee on Privatisation has given indications that it will propose a complete ban on the importation of used cars from next year to provide growth access for indigenous auto companies.
Accordingly, it has charged local automakers to manufacture affordable and energy-efficient cars for Nigerians so that when the ban was in place, the impact would not be felt.
It added that the automakers and marketers should have a flexible payment plan that stretches for about five years to enable low-income earners to buy.
The Chairman of the committee, Senator Ben Murray-Bruce, disclosed this while on an oversight visit to the assembly plant of Volkswagen of Nigeria Automobile Limited in Lagos on Monday.
Murray-Bruce, who was accompanied by the Clerk to the committee, Sadiya Abdullahi, and an official of the Bureau of Public Enterprises, Mrs. Rabbi Yahaya, maintained that there should be at least one million made-in-Nigeria cars available on demand annually.
“We want one million cars a year. Everybody who has a job should have a brand-new car. I will propose a ban on the importation of Tokunbo cars; but first, every Nigerian should be able to buy a brand new car in 10 seconds after we put up the ban, not ban and wait for two years.
“The car manufacturers should make provision for down payment of N250,000 and N30,000 monthly instalments. The vehicle should be fully insured for seven years.
“Another important thing is that the cars being sold in Nigeria are not energy efficient. You (VON) are a distributor for Nissan and the firm has the number one electric car in the world. The electric car should be sold here.”
The Managing Director of Volkswagen of Nigeria, Mr. Tokunbo Aromolaran, in his response, recalled that automakers had pledged to supply Nigerians brand-new cars at the prices they currently bought used cars.
On the flexible payment plan proposed by Murray-Bruce, the Aromolaran, who is also the Chairman, Nigerian Automobile Manufacturers Association (NAMA), said it was possible with the commitment and backing of banks and financial institutions.