The many failings of NTDC proposed bill

Victor Kayode, executive secretary, Nigerian Hotel and catering Institute (NHCI), is not known to be flippant with words or seek media attention on most tourism issues that affect Nigeria. In the last few months, Kayode has led a silent but every effective revolution to draw the attention of the national assembly, particularly the senate committee on tourism to the many errors of the proposed attempts to enact, repeal and re-amend of National Institute for Tourism and Nigeria Tourism Development Cooperation (NTDC), respectively.

As he did for before the hearing for NIHOTOURS proposes bill Victor Kayode again sought me out to share his fears on the proposed amendment of some sections of NTDC Act which he described as Vexatious, un-implementable. He spoke with me in Lagos.

The Nigerian tourism development corporation act cap N137 LFN, 2004 (repeal & re-enactment) bill 2017(SB.429) sounds like ‘419’?

In its present form, it looks ambitious but cannot be implementable. It is audacious in nature but will achieve nothing in terms of tourism development in Nigeria. A cursory look at the following proposed amendments will confirm this conclusion/inference: The following sections are clear indication that the bill is dead on arrival (DOA): First, the proposed bill seeks to establish a new organization which is beyond NTDC mandate as a government agency. Only the parent Ministry could seek approval from the Executive council to establish a corporation within a corporation and seek legislative approval/enactment. It is also unclear, whether we are dealing with ‘’Tourism Development Corporation (NTC)”, Nigerian Tourism Development Corporation (NTDC) or Tourism Development Authority (NTA) as there are different documents speaking different things about the same bill. The proposed bill talks about Tourism Corporation whereas the publication talks about Tourism Development Authority just as we are expected to understand that this is an amendment to the NTDC bill which does not warrant any change in name but provisions to strengthen its purpose and make it achievable. We as industry practitioners and Professional body are at a loss, as we cannot understand whether a parastatal under a Federal/State Ministry can send a bill directly to the National Assembly except through the parent Ministry who must have seen the need for such an amendment as in the present case and forward same to the National Assembly.

Secondly, the amendments proposed (if any) did not expose the weakness of the current Act CAP 137 LFN 2004 which we are sure if well interpreted and managed, will achieve its mandate of Collaboration and cooperation to promote domestic and international tourism. This is because the bill is seeking to establish a new organization other than amending the provisions of her current bill.

What other areas need clear explanation?

Section 15 c, seeks to regulate but Regulation is for State ministries and government agencies and accreditation is for Professional bodies (NHCI, HATMAN & others) and therefore beyond the purview of the Corporation in whatever form. Section 16 c is also beyond NTDC mandate as the Corporation is not expected to go into consultancy directly except research but encourage Practitioners in the industry for consulting. It is in direct competition with indivduals and companies in the private sector that the Corporation should set out to protect. In any case how such consultancy will be carried out is not clear. Further down, Section 18 sets out to establish a commercial company. This is certainly not within the Mandate of the corporation and cannot be so as they can only organise the private sector providers involved in this trade for the purpose which the proposed company wishes to accomplish. Establishing a company within a corporation is alien to the Laws of Nigeria and should be deleted. On Section 19, if at all this proposed amendment is being considered, the specification and qualification of the Director General need to be redrafted as it is unprofessional as stated. Section 20, Lacks specifications, its ambiguous and will surely create confusion and role ambiguity among the officers concerned. It needs clarifications if at all necessary.

It is like this so called amendment will breed confusion?

Sections 22, 26 & 27 are incomprehensible. The provisions in these sections are completely a negation of the Federal government rule on TSA and un-implementable. It will also leave room for inconsistencies if passed into law. Section 28 is very unclear since funds generated by government agencies are now in the Treasury single account, how this will be accumulated and disbursed is not certain. Section 29 is virtually an additional burden on the industry that is already reeling under excessive taxes and unnecessary, it will lead to conflict and further litigation as collection of levies has been settled by the Supreme Court judgment of 2013. This can only further destroy the industry than rebuild it from ruins.

This section 29 appears like a time bomb?

The provisions here are an invitation to anarchy. Visa fees are already collected by immigration in the Ministry of Internal affairs and Finance just as States by virtue of the Supreme Court judgment 2013 are already collecting levies from Hotels in terms of consumption tax. How this section will be implemented without resistance from States thereby creating tensions and discouragement of tourists is unclear. Section 29:2, is very laughable as the provisions portend that the country is punishing departing tourists for leaving rather than encouraging them with free souvenirs on departure so as to return. It is unfathomable that the bill intend to treat tourists as if they are under obligation to visit the country.

The provisions in this proposed bill seem not perfect or well crafted?

The provisions of Sections 31, 32, 33, 34, 35 & 36 etc. are a negation of the Mandate of NTDC which is to promote and encourage tourism and will conflict with the states via the residual list of the Constitution as confirmed by the Supreme Court judgment of 2013. In any case, what purpose will the accreditation and regularization by NTDC serve in the current Tourism and Hospitality arrangement as enunciated by the Supreme Court Judgment which puts the making of laws regarding tourism firmly at the doorsteps of State Assemblies? The provisions of section 38 will only be a duplicate or photocopy of what the states are already doing and another burden on the industry.
It is the view of the Nigerian Hotel and Catering Institute, that energy need not be wasted in enacting a law that we know will achieve nothing other than creating more confusion in the already troubled tourism industry which is bedeviled by assassination, kidnapping, rituals, and exploitation by the states in multiple taxation.

Going forward?

It will rather be advised that the present administration of the NTDC should look into the provisions of the original Act CAP 137 LFN 2004 and key into the simple mandate of their supervising department in the Federal Ministry of Culture and Information which we think is achievable and will serve better purpose of cooperation and collaboration with states and relevant Professional bodies to promote tourism in Nigeria rather than creating more trouble in the already troubled industry. At best, the provisions of the amendments are intended to cause confusion, self-serving, exploitative and a distraction to the tourism development and tourists that are supposed to be encouraged. In any case, nothing in our view is wrong with the original Act as to warrant the legislation on another one neither is the establishment of a new organization necessary for the promotion and development of tourism in Nigeria other than currently provided in the current Act Cap 137 LFN 2004.