From Taxation to Transformation: Ogun State's IGR Journey Before and After Gas-Fired Plants. A Blueprint for Oyo State's Economic Revitalization.

 Before the introduction of gas-fired plants, Ogun State's IGR may have been influenced by various factors such as taxation, agriculture, trade, and manufacturing. The state likely generated revenue from taxes, levies, and fees imposed on businesses, individuals, and commercial activities.

Following the introduction of gas-fired plants, several economic indicators may have experienced positive growth, indicating the impact on the state's economy:

Increase in Industrial Output: The establishment of gas-fired plants may have attracted industrial investment and stimulated the growth of manufacturing and processing industries. This has lead to higher production levels, increased employment opportunities, and expanded business activities.

Growth in Gross Domestic Product (GDP): The contribution of gas-fired plants to industrial growth and economic diversification have had a positive impact on Ogun State's GDP. The manufacturing sector, in particular, haveexperience significant expansion, contributing to overall GDP growth.

Rise in Employment Opportunities: The development of gas-fired plants and associated industries have created job opportunities for skilled and unskilled labor, leading to a reduction in unemployment rates and an improvement in living standards.

Expansion of Infrastructure: The influx of industrial investment facilitated by gas-fired plants could lead to the development of infrastructure such as roads, utilities, and transportation networks, further supporting economic growth and development.

Increase in Government Revenue: The growth of industries and businesses supported by gas-fired plants has resulted in higher tax revenue for the state government, contributing to an increase in IGR by Approximately 70% between 2012 and 2023

Lessons for Oyo State: Oyo State, with its recent successful agreement with Shell Nigeria and its strategic location with Ogun and Lagos state,has the potential to replicate Ogun State's success story. By harnessing the power of gas energy, Oyo State can attract investment, stimulate industrial growth, and diversify its revenue streams.

Ogungbade Abiola

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