Lagos denies introducing new tax on private boreholes, says regulation is not taxation
By Kazeem Ugbodaga
The Lagos State Government has dismissed reports circulating on social media that it has introduced a new tax on private boreholes, insisting that its ongoing exercise is aimed at regulating borehole drilling and groundwater extraction, not imposing additional levies on residents.
The Commissioner for the Environment and Water Resources, Tokunbo Wahab, said the exercise was part of the enforcement of existing environmental and water resource management laws and did not constitute a newly introduced tax regime.
In a statement issued on Thursday, Wahab explained that Section 312(1)(XVII) of the Environmental Management Protection Law (EMPL) 2017 empowers the Lagos State Water Regulatory Commission (LAWRECO) to regulate indiscriminate borehole drilling across the state.
He said the regulation of groundwater was an established environmental management practice globally, designed to protect water resources, prevent contamination, mitigate land subsidence and ensure long-term water security.
According to him, the Lagos State Water Regulatory Commission (LASWARCO), the agency responsible for groundwater regulation in the state, has intensified efforts to ensure compliance with existing permit requirements.
Wahab said the government recognised the difficulties residents faced in accessing potable water and remained committed to investing in water infrastructure to expand public water supply across Lagos.
He urged residents to distinguish between regulatory compliance and taxation, describing the portrayal of the exercise as a newly introduced borehole tax as inaccurate.
“While public scrutiny of government policies is welcome, it is important that discussions are based on verified facts. The characterisation of regulatory compliance measures as a newly introduced ‘borehole tax’ is inaccurate and does not reflect the policy being implemented,” he said.
The commissioner advised residents to obtain information through official government channels, reaffirming the state’s commitment to transparent engagement, environmental sustainability and improved service delivery.