The Chairman of Ughelli North Local Government Area, of Delta State, Olorogun Jaro Egbo, is at the center of allegations regarding the escalating sand price crisis in the local government.
This is as the Ekuigbo community on Saturday, announced a ban on the sale or purchase of sand above ₦45, 000. Also, the community placed a fine of N800, 000 on violators of its directive.
Investigation revealed that Egbo allegedly imposed a ₦10, 000 levy on every trip of sand transported within the local government, a move that has triggered widespread outrage and economic strain on residents and businesses.
According to insiders in the sand business, the levy led the Sand and Dredgers Union led by one Andrew Odibo, to increase the price of a trip of sand from ₦45, 000 to ₦60, 000.
It was gathered that the union had adopted a controversial system of allocating specific days for its members to sell sand to ensure compliance and streamline the revenue collection.
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This system, as designed will allow representatives of the council chairman to monitor and track the number of trips sold, and has been widely criticized as restrictive and monopolistic.
A tipper driver, speaking on condition of anonymity, who disclosed the details of the arrangement, said: “The chairman’s ₦10, 000 levy forced the union to raise prices, and then they introduced the allocation system to make it easier for the chairman’s representatives to monitor sales. This is why sand prices have skyrocketed.”
In a swift response against the new price regime, Ekuigbo community, one of the fast growing community in the area has vowed to resist the move by all means possible.
The community announced that violators, including property developers, sand sellers, and residents, face a hefty fine of ₦800, 000.
The community has accused the union of exploiting its monopoly and insists it will not tolerate further financial burden on its people.
Ekuigbo’s directive to cap sand prices at ₦45, 000 reflects growing resistance to the perceived collusion between the council chairman and the union.
Community leaders have maintained their determination to enforce the price limit, protect residents from exploitation, and challenge the restrictive practices imposed by the union.
