LPRC, NPA, Maritime Fall Short US$24.4m

15
2743
Mrs. Elfrieda Stewart Tamba, Commissioner General of the Liberia Revenue Authority (LRA)

By Leroy M. Sonpon III

The Commissioner General of the Liberia Revenue Authority (LRA) has said she is disappointed over the failure of three institutions of state’s revenue collection for falling short of their forecast revenue to support the 2016/2017Budget in the amount of US$24.4m.

She named those government entities as the Liberia Petroleum Refining Company (LPRC), National Port Authority (NPA) and the Liberia Maritime Authority (LMA).

CG Elfrieda Tamba said the forecast revenue for LPRC Storage Fee is US$43m, but the LPRC has paid only US$24m up to May 30, which constitutes 56%. US$19m is yet to be paid with 25 days to the end of the 2016/2017 Budget, she noted.

CG Tamba told the lawmakers that the management of LPRC collects the proceeds (revenue) from the country’s storage facilities and remits them into government’s account.

She also said the forecast revenue of the Liberia Maritime Authority (LMA) is US$11.5m but up to May 30 only US$7.1m was paid, which constitutes 62%. Out of US$2.5m forecast revenue for the National Port Authority (NPA), US$1.5m was paid, and US$1m is outstanding, Tamba reported.

The LRA boss made the disclosures yesterday during the formal opening of the Revenue Component of the 2017/2018 Draft Budget in the House’s first-floor conference room. The Draft Budget is in the amount of US$526m.

She, however, vowed to work with the technical team of the Ministry of Finance and Development Planning and other revenue teams from other ministries.

Earlier, the Chairman of the Joint Committee on Ways, Means, Finance & Budget, Rep. Prince Moye, said his committee will work harder despite the brevity of time for the 2017/2018 Draft Budget to be approved before July 1, 2017.

Rep. Moye, who is also the House Chairman on Ways, Means, Finance & Budget, warned ministries and agencies to be punctual at every hearing.

He said the Joint Committee had planned the Revenue Component for a week, which runs from Monday-Friday, June 5-9; and then the Expenditure Component will be another week, beginning Monday, June 12.

The chairman further stated that the Joint Committee will take the third week to do an in-house working, and subsequently the passage of the 2017/2018 Draft Budget.

“Even though the time is short, we will work harder and carefully to pass the budget,” Rep. Moye said.

The Joint Committee on Ways, Means, Finance & Budget is comprised of members from the Ways, Means, Finance & Budget and Public Account & Expenditure Committees from both Houses.

There are 15 members each from both Houses of the Ways, Means, Finance & Budget Committee; and seven and five members respectively from the House of Representatives and Liberian Senate.

According to the Budget Law, the Liberian annual budget runs from July 1 to June 30.

The acting co-chairman of the Joint Committee on Ways, Means, Finance & Budget, Senator Henry Yallah, said the Committee will not tolerate rescheduling of ministries and agencies.

For his part the Deputy Finance Minister for Fiscal Affairs, Adolphus Forkpa, said the total draft resource envelope is US$526.5m; the core revenue is US$523.5m and the contingent revenue is US$2.9m.

Mr. Forkpa said the total revenue in Liberian dollars amounts to L$57.3m, at the projected annual average exchange rate of US$1=L$109.

Yesterday, according to the schedule of the Revenue Component, the following ministries and agencies appeared: Liberia Revenue Authority (LRA); Ministry of Finance and Development Planning (MFDP); the Environmental Protection Agency (EPA); the Liberia Petroleum Refining Corporation (LPRC); the Liberia Telecommunications Authority (LTA); and the Liberia Maritime Authority (LiMA).

In today’s schedule, the entities to appear are the National Port Authority (NPA), Forestry Development Authority(FDA), Ministry of Lands, Mines, and Energy (MLM&E), Roberts International Airport (RIA) and Ministry of Transport (MOT).

15 COMMENTS

  1. It’s called VOODOO ECONOMY. There is nothing MAGICAL about MONEY. Don’t count the CHICKS; before the EGGS HATCH. How good is Liberia’s MONETARY RESERVE? That’s the place to start. If there is no RESERVE, well then it’s Hand to Mouth; Hardtime…

  2. Thanks, Elfreda, LRA is leading a revolution vis – a – vis accountability and transparency in the revenue collection sector. It is encouraging. But you would need the assistance of a Legislature and President, very occupied with elections’ maneuvering, to enforce some form of compliance in these companies to meet targeted figures.

    The truth of the matter, though, is that with a new government coming in, the bosses of revenue – generating institutions are probably scrambling to line their pockets for the probability that others might take over their positions next year. The solution to the problem is two – fold: 1) make watertight internal accounting processes, and 2) ensure job security.

    Thanks again for a job well done in one of the most difficult countries to get anything meaningful done. Because things have been done wrongly for so long that people are resistant to innovations, especially those that block opportunities for illicit financial gains. We are getting somewhere, anyway.

  3. NPA Contribution set at $2.5M per year? Doggit. If reports of the nearly double increase in container input carried by APMT is anything to go by, income for just container alone should average at $30M. This does not include income from unitized, break-bulk and bulk cargo going through the port, marine charges (pilotage, towing, mooring, storage), rental of port property, revenue from Buchanan, Greenville and Harper. It will be interesting to know total royalty from APM Terminals. Considering the significent downsizing of the National Port Authority in view of its Landlord modeling, it shouldn’t too be difficult to contribute atleast $10M to the national budget, and I am saying this offhead. I make this assertion based purely on the income potential of the port if all its icome streams are kicking, and why shouldn’t they? There may be capital investment projects in which they NPA is involve that account for the low expectation. I do not know. On the face of it however, the NPA, in view of all at its disposal can do much, much better for the national revenue. Before concessioning the port, the average annual income was around $18M, even then, there was a general perception that the Port Authority was inefficient. Just saying… It will also be prudent, as a matter for full disclosure, to make public the Annual Report of the National Port Authority to enable us, the Liberian people, the stakeholder, appreciate the way this vital public corporation is operating on our behalf. Kindly provide me link to the Annual Reports(2011 – 2016). Thanks

    • Hmmmmmmmm, ayah, dar dey NPA today? Dar dey same NPA dat government use to borrow from? Mar pepo yor try hard with us oh.

  4. Mannn…… stop publishing these kinds of rubbishes. I don’t know why we can’t see beyond our noses. How does it sound when the institution responsible to strategize and collect government revenue starts point fingers at agencies its RULES and LAWS must govern and guide in the revenue generation process.

  5. Thanks, Henry, but, by profession, I’m a habitual worrier so to stay “positive” on delusions is a no – no. That’s why tribalism and partisanship don’t shape my judgement, because I’ve to call it the way I see it. After all, lives may depend on that impartiality.

  6. Maybe the problem with Maritime is that most of the Authority’s income goes to “lobbyists”, not to the Liberian Treasury. According to the US Attorney General’s Annual Reports to Congress, the following were paid by the Government of Liberia as fees to six American Lobbyists, from 2006-2013:
    2006 ————————————————– $19,786,135.00
    2007 ————————————————– $15,400,099.66
    2008 ————————————————– $34,832,219.50
    2009 ————————————————– $33,697,368.12
    2010 ————————————————— $45,861,271.00
    2011 ————————————————– $76,044,227.00
    2012 ————————————————– $71,264,959.00
    2013 ————————————————– $43,014,916.00
    GRAND TOTAL………..$339,901,195.28

    The American Lobbyists reportedly hired by Liberian Government during the period under review included the Liberian International Shipping and Corporate Registry (LISCR), the firm which manages the Liberian Maritime Authority and which received by far most of the lobbying fees (see table below):
    TOTAL FEES LIBERIA PAID AMERICAN LOBBYISTS (2006-2013)
    BKSH & Associates……………………………………….. $50,000.00
    JWI, LLC……………………………………………………$412,432.52
    KRL Int’l, LLC……………………………………………..$596,204.34
    LISCR, LLC……………………………………………$338,207,252.00
    Radelet, Steven Charles…………………………………..$90,000.00
    GRAND TOTAL…………….$339,901,195.28

  7. Mr. Freeman,

    Sorry, Liberia does not have monetary reserve. Because if Liberia as a country is still using US dollar as a legal currency than, Liberia as a nation does not have any sovereignty as a nation. A nation sovereignty is its currency.

    Imagine, Liberia sells all of its resources in a foreign currency since 1847. What a shame. And we have leaders who say they went to school in America.

    Ask the Chinas how they turned their economy in 2005 up to now. We will come back with companies and create jobs for our people. Not returning and only thinking about being ministers.

    That being minister the Liberian people will eat?

    What is the benefit of all the MBAs? When you are not able to create any job for your people to sustain themselves in any shape and forms.

    We need our sovereignty by making sure that we have a currency that we Liberian can control through our central bank.

    • PD; thanks! When we get our “Liberian Economy” on the right footing, it will be absolutely necessary to build a MONETARY RESERVE. Liberia have had so many such chances; during economic boom times. As you mentioned, Liberia has no shortage of pros. It’s a matter of applying themselves well; in the best interest of Liberia. Yes! we can do it. Liberia is reasonably well off…

  8. Yes, indeed! When it comes to either bribery and public relations, then
    entity like Maritime Authority has money. But when it comes supporting
    Liberia development, then no money. Madam Commissioner General, is
    the money generated by the Maritime Authority coming to Liberia or it
    is kept in New York for no relevant expenses?

    We klnow who is responsible for that money generated by the Maritime
    not coming into the National Revenue as physical cash. It is the President
    of Liberia, now President Ellen Johnson-Sirleaf. We saw here all the
    money spent on black market through the late Minister of State for
    Presidential Affairs- Dr. Mcclean amounted to US$359,000,000.00
    dollars. The US Justice Department here was conducting investigation
    for money laundering, why a country outside of the United States but
    went down with no more sound. Wow!

  9. Mr. Dormeyan, the worse thing about it is that, the little offshore fund
    that Liberia generate is managed and controlled vby an Israeli, not
    Liberian. He is responsible to nobody but the President of Liberia.

  10. My gosh! The indelible sin, I mean financial sin, it is of course sin is sin
    is that Maritime Authority Revenue. Relief the Israeli of his duty as
    Managing Director and replace him with a real native Liberian and
    mandate the Authority to report directly to Liberia Revenue Authority
    in Monrovia any and all pennies generated as Sales Income. Because
    the Maritime Authority sells Liberian Sovereignty to ships from all over
    the world and the President keeps the money there; spending it in
    bogus name of public relations. Liberia does not need to promote
    itself with the United States! How much money La Cote d’Ivoire,
    Nigeria, Sierra Leone, Ghana, The Gambia, Gabon, South Africa, Lesotho, Tanzania, Mozambi, Zambia and the rest of Africa spends every year
    to the Americans? Only few, but the one we Liberians do know is the
    poor and small country we say we belong to Liberia. Nobody asks
    Liberia to promote itself. And even if Liberia is asked to promote
    itself, it must stand its ground that it is sovereign and independent,
    a founding member of the United Nations and member of some if not
    all of the International Organizations and it is well known to the United
    States. Those some inordinate Americans here are using their tongue
    nothing else to befooled Liberia; Liberia itself is responsible for the
    indelible sin of money laundering.

  11. Mr. Peter Kortuwah,

    Congratulations, you also got the smoking gun and now know why Liberia couldn’t accept Obama’s 2014 offer of FBI assistance in EJS’s war against corruption. For if we got hold of such damaging evidence which could’ve been a live grenade in any accountable rule, imagine what others a federal institution like FBI with global sources could’ve discovered.

LEAVE A REPLY

Please enter your comment!
Please enter your name here