The All Progressives Congress (APC) governorship candidate in Ogun State, Senator Olamilekan Adeola, has pledged to pursue corporate taxes and other revenues linked to economic activities in Ogun State but currently paid to Lagos State.
Adeola, popularly known as Yayi, made the pledge during an interactive session with journalists at the Ogun State Council of the Nigeria Union of Journalists (NUJ) Secretariat in Abeokuta.
The senator, who represents Ogun West Senatorial District, outlined his economic plans ahead of the 2027 governorship election, with particular emphasis on increasing the state’s internally generated revenue (IGR).
Adeola argued that Ogun’s status as one of Nigeria’s major industrial centres has not translated into corresponding revenue because of what he described as structural leakages in the state’s tax system.
According to him, several companies operate large factories and industrial facilities in Ogun while maintaining their corporate headquarters in Lagos.
He said the arrangement means that some highly paid executives, directors and senior managers working with companies whose economic activities are based in Ogun reside in Lagos and pay their taxes there.
“Many of these industries establish themselves in our state but take their head offices to Lagos,” Adeola said.
He argued that Ogun should receive greater fiscal benefits from the economic activities taking place within its territory.
The APC candidate cited the difference between the revenue figures of Ogun and Lagos as evidence of what he described as an imbalance.
Adeola noted that Lagos had achieved an IGR figure of about ₦1.6 trillion, while Ogun’s revenue remains significantly lower despite its large concentration of manufacturing and industrial activities.
He estimated that more than 30 per cent of Lagos State’s corporate tax revenue could be connected to economic activities taking place in Ogun.
The claim was presented by Adeola as part of his argument for restructuring the way corporate tax contributions are captured between the two states.
Adeola proposes regional offices in Abeokuta
Rather than relying primarily on existing inter-state tax reconciliation arrangements, Adeola said his proposed administration would encourage companies operating in Ogun to establish regional executive offices in the state.
He said the arrangement would not require businesses to relocate their main headquarters from Lagos.
Instead, companies would be encouraged to establish regional offices within a proposed Central Business District in Abeokuta.
“I am not saying you should take your head office out of Lagos, but in my new Central Business District here in Abeokuta, come and establish your regional office so that I can have some of your managers and even an Executive Director here,” he said.
Adeola said the presence of senior executives in Ogun would help the state capture more personal income tax and other revenue associated with corporate activities.
He also maintained that the proposed approach would strengthen Abeokuta as a business centre while creating a closer relationship between industrial operators and the state government.
The plan forms part of his broader economic agenda for Ogun ahead of the 2027 governorship election.
Candidate targets mining revenue
Adeola also addressed the mining sector, promising to examine how solid mineral resources extracted from Ogun contribute financially to the state.
He criticised what he described as uncoordinated federal mining activities in the state.
According to him, commercial operators sometimes extract mineral resources in Ogun under federal permits without the state receiving what he considers adequate financial benefits from those activities.
The candidate said his administration would seek a stronger economic relationship between mining operations and the state.
His position reflects a broader argument over the division of responsibilities and revenue between federal and state authorities in the management of Nigeria’s natural resources.
Adeola did not suggest that the state would disregard federal regulatory powers. Rather, he said Ogun should obtain greater economic value from resources extracted within its territory.
Ogun businesses face local labour proposal
The APC candidate also promised changes to employment practices within major industrial facilities in Ogun.
He criticised companies that, according to him, rely heavily on workers from outside the state while offering local residents mostly casual or lower-level employment opportunities.
Adeola said a future administration under his leadership would introduce a local content policy designed to increase employment opportunities for qualified Ogun residents.
Under the proposed policy, companies would be expected to give qualified indigenous workers priority when filling available positions.
He also spoke of creating opportunities for Ogun residents to move into managerial positions within companies operating in the state.
The candidate said the policy would be aimed at ensuring that the presence of major industries produces broader economic benefits for local communities.
Revenue collection becomes 2027 campaign issue
Adeola’s proposals place revenue generation and the distribution of economic benefits at the centre of his campaign agenda.
Ogun is home to numerous manufacturing and industrial facilities, particularly around areas such as Sagamu, Agbara, Ota and other industrial corridors.
The state’s proximity to Lagos has also made it an important location for companies seeking access to the Lagos market while benefiting from available land and industrial infrastructure in Ogun.
Adeola’s argument is that the state should capture more revenue from the economic activities taking place within its borders.
His proposed approach would require greater coordination among the state government, businesses and relevant tax authorities.
It would also require companies to establish a stronger executive presence in Ogun without necessarily abandoning their existing corporate headquarters in Lagos.
The proposal comes as political parties prepare for the 2027 governorship election and candidates begin presenting their economic plans to voters.
Adeola, a former chairman of the Senate Committee on Finance, is seeking to use his legislative and economic experience as part of his campaign message.
His plans include increasing Ogun’s revenue base, attracting greater corporate investment, strengthening local employment and ensuring that the state derives more financial value from its industrial and mineral resources.
Whether the proposed measures would significantly alter the distribution of corporate tax revenue between Ogun and Lagos would depend on existing tax laws, the structure of corporate operations and cooperation among the relevant authorities.
For now, Adeola has made the recovery of what he describes as Ogun’s lost corporate revenue a major part of his economic agenda for the 2027 governorship election.
