The federal government has unveiled a national vehicle dealership registration framework to sanitise the automotive sector and curb fraudulent practices.
The Director-General of the National Automotive Design and Development Council (NADDC), Joseph Osanipin, inaugurated the framework in Abuja on Friday.
Mr Osanipin said the initiative, spearheaded by the NADDC, sought to create a comprehensive database of vehicle dealers across the country.
He said the framework would address long-standing gaps in data, accountability and consumer protection in the sector.
“It has been long overdue for us to have full data, full details, and the identity of those who are motor dealers in Nigeria,” he said.
Mr Osanipin said the absence of reliable data had enabled fraudulent practices, including the sale of stolen or defective vehicles.
“We have heard stories of where people bought vehicles, and those vehicles turned out to be stolen vehicles, and it is the buyer now who will be arrested.
“The registration will ensure traceability of vehicles and dealers, improving transparency in transactions.
“Immediately we have this, we will be able to trace them; we have their identity, and we can have information about the number of vehicles being sold and where they were sold,” he said.
According to the director-general, the framework will also boost investor confidence and open access to financing for vehicle purchases.
“Banks will not want to finance someone they will give money to, and it will disappear.
“Immediately we do this, it will open up opportunities for those who want to buy used vehicles to approach the bank,” he said.
Mr Osanipin said the initiative would also support partnerships between dealers and vehicle manufacturers for improved after-sales services nationwide.
He said that only registered dealers would benefit from such partnerships and other incentives under the framework.
On enforcement, the NADDC boss said the system would largely be self-regulating, driven by consumer awareness and market forces.
“Nigerians on their own are going to systematically take out those that are not recognised,” he said.
The NADDC boss further said that the registration would be continuous, with certificates renewable annually.
Also speaking, the president of the Association of Motor Dealers of Nigeria (AMDON), Ajibola Adedoyin, described the initiative as a milestone for the industry.
Mr Adedoyin said that the framework would enhance security by enabling authorities to trace vehicles used in criminal activities.
“In order to develop the auto system. We need authentic dealers, and the government needs to identify them.
“With this, they will be able to trace every car to the doorstep of the source, which makes it a very good one. It will also ensure improved data, which will facilitate access to credit for dealers and buyers.
“The economy revolves around data, and with this exercise, credit can be facilitated more easily than it was before,” he said.
He urged unregistered dealers to comply with the new framework, noting that non-compliant operators would be phased out over time.
He also encouraged collaboration among stakeholders and the media to ensure extensive awareness of the importance of the registration and the need for buyers to patronise registered dealers.
The framework was developed following stakeholder engagements held in Lagos, Uyo, Kano, Bauchi and the Federal Capital Territory.
It is a collaborative effort among NADDC, AMDON, and Omnipact Ventures, and includes a digital portal for nationwide dealer registration.
(NAN)