Court declares Abuja ‘Park and Pay Policy’ illegal

An Abuja High Court on Thursday declared the ‘Park and Pay Policy’ introduced by the Federal Capital Territory Administration as illegal.

The policy, which required motorists in Abuja to pay fees whenever they parked their vehicles in designated areas, had been an unpopular one, with residents and visitors in the city complaining about the high-handed and oppressive practices of the park and pay operators.

In a judgment which would be welcome by many in the FCT, Justice Peter Affen held that although the policy may be laudable, it was not backed by the law.

The judge made the pronouncement while delivering judgment in a suit filed by a firm, Sun Trust Savings and Loans Limited, which approached the court to challenge the legality of the policy.

Through its lawyer, Ekene Okwubanego, the plaintiff had sued the Minister of the Federal Capital Territory and two companies commissioned to operate the policy, asking the court to stop the collection of fees from motorists through the park and pay scheme.

The court was asked to determine whether the park and pay policy was legal in the absence of any Act of the National Assembly as provided by the 1999 Constitution, and whether the FCT minister and the operators of the policy can exercise the powers to collect taxes, rates and fees without an Act of the National Assembly.

In the event that the questions were resolved in its favour, the plaintiff asked the court to declare that the policy was illegal and not in pursuant to any Act of the National Assembly.

Also, the court was asked to declare that the defendants are not constitutionally empowered to collect taxes, fees and rates in the FCT without an Act of the National Assembly.

In the same vein, the court was to make an order of perpetual injunction restraining the defendants and their agents from collecting taxes, fees and issuing parking violation charges in line with the policy.

The plaintiff equally asked the court to order the defendants to refund the sum of N20,000 collected from it as parking charges, in addition to the payment of N100 million as exemplary damages.

In his judgment, Justice Affen held that although the FCTA could make laws to collect taxes, fees and rates in the FCT, the 2005 by-law of the FCT did not contemplate the park and pay policy.

He noted that the by-law rather made provision for park and ride, which is not being implemented.

The judge further held that although the FCT Road Transport Regulation though made elaborate provisions for the policy, the scheme was not captured in the by-law.

“I was not fortunate enough to find the park and pay scheme in the 2005 FCT by-law.

“What it provided for under section 118 and 119 is the park and ride scheme.

“For reasons of clarity, I will state out those provisions.

“Section 118 states that the transport secretary may from time to time designate any operational area or zone as a park and ride area or route for the purposes of traffic management between 6.00am and 6.00pm,” he stated.

Granting the reliefs sought by the plaintiff, the judge declared the park and pay policy illegal, ultra vires, null and void.

The judge also restrained the FCTA from collecting any taxes, rates and fees from motorists, except when such is provided for by a valid legislation.

According to the judge, “The defendants by themselves, privies, agents, servants or whatsoever name called are hereby restrained from operating park and pay scheme save and except the same is provided for or authorized by a valid bye law.”

Ihuoma Chiedozie