NIGERIAN TOURISM DEVELOPMENT AUTHORITY ACT, 2022
Section 1: Establishment of the Nigerian Tourism Development Authority.
(1) There is established the Nigerian Tourism Development Authority (in this Act referred to as "the Authority").
(2) The Authority shall be a body corporate with perpetual succession and a common seal and may sue and be sued in its corporate name.
(3) The supplementary provision contained in the First Schedule to this Act shall, where applicable have effect with respect to the proceedings of the Authority and other matters mentioned in it. [First Schedule]
Section 2: Membership of the Governing Board
There is established a Governing Board of the Authority (in this Act referred to as “the Board the Authority”) which shall consist of -(a) a part time Chairman who shall be -
(i) appointed by the President, and
(ii) a person of proven integrity and experience in the field of hospitality, travel and tourism;
(b) the Director General;
(c) one representative of the Federation of Tourism Association of Nigeria (FTAN);
(d) one member representing public interest who must be a private tourism practitioner; and
(e) a representative each of the Federal Ministries or Agencies responsible for -
(i) Foreign Affairs;
(ii) Immigration;
(iii) Industry, Trade and Investment;
(iv) Environment;
(v) Customs;
(vi) Culture and Tourism;
(vii) Nigerian Investment Promotion Commission (NIPC);
(viii) Nigerian Police Force;
(ix) National Institute of Hospitality and Tourism Development Studies; and
(x) Standard Organisation of Nigeria (SON).
Section 3: Tenure of office
Subject to the provisions of this Act, a person appointed to be a member of the Board of the Authority not being an ex-officio member shall hold office for a term of three years from the date of his appointment and may be re-appointed for a further term of three years and no more.
Section 4: Resignation, removal remuneration and allowances of Chairman and member.
(1) Any member of the Board of the Authority not being an ex-officio member may resign his appointment by a letter addressed to the Minister through the Chairman.
(2) A member of the Board of the Authority not being an ex-officio member shall be paid such remuneration and allowances as the Revenue Mobilisation, Allocation and Fiscal Commission may direct.
(3) Notwithstanding the provision of section 3, the President may on the recommendation of the Minister remove the Chairman or any member of the Board of the Authority from office for inability to perform the functions of his office arising from -
(a) infirmity of mind or body;
(b) bankruptcy;
(c) gross misconduct; and
(d) any other cause by which his continued membership will not be in the interest of the Authority.
(4) The Board of the Authority shall have the following Standing Committees-
(a) the Appointment and Establishment Committee; and
(b) the Finance and General Purposes Committee.
(5) The functions of the Standing Committees shall be as determined by the Board of the Authority.
(6) Membership of all Standing Committees shall be as determined by the Board of the Authority.
(7) Proceedings of Standing Committees shall be conducted in accordance with the provisions contained in the First Schedule to this Act.
(8) The Board of the Authority may, subject to such conditions as it may deem fit, delegate any or all of the powers conferred on it by this Act to any committee or committees of its members or the Director General to-
(a) inquire into and report to the Board of the Authority on any matter affecting the Authority;
(b) deal with matters of an urgent nature as approved by the Board of the Authority, subject to such conditions as the Board of the Authority may, in writing, specify; and
(c) appoint staff of the Authority and to advice on matters relating to appointments, discipline and other relevant tourism issues of the Authority.
(9) The Board of the Authority may co-opt any person or persons to carry out any of the functions of the Authority under this Act.
(10) Any person co-opted under subsection (9) may take part in the proceedings of the Board of the Authority but shall not be deemed to be a member of the Board of the Authority for the purpose of voting or forming of quorum.
Section 5: Functions of the Authority.
The functions of the Authority are to-(a) develop and promote Nigeria as a travel and tourism destination by encouraging people living in Nigeria to take their holidays in Nigeria and people from abroad to visit Nigeria;
(b) encourage the provision and improvement of tourism amenities and facilities in Nigeria including the development of hotels and ancillary facilities;
(c) regulate with the states and supervise tourism enterprises for quality assurance, consumer protection and public health and safety purposes, by the accreditation and certification of all such enterprises thereby establishing standards, guidelines and codes of practice in tourism, in partnership with relevant bodies;
(d) oversee the administration of the Tourism Development Fund to ensure that it is utilised for the required purpose;
(e) ensure collaboration with other public, private and international agencies;
(f) implement all government policies related to tourism; and
(g) advise the Minister on policy issues relating to tourism generally.
Section 6: Additional powers of the Authority.
In addition to the specific powers conferred on the Authority by the provisions of this Act, the Authority have powers to -(a) provide advisory and information services;
(b) undertake research in the field of tourism;
(c) render consultancy services in the field of tourism;
(d) render technical advice to relevant stakeholders;
(e) encourage investors to invest in the tourism sector; and
(f) provide statistics in all spheres of tourism.
Section 7: Incidental powers of the Authority.
The Authority in particular, have powers to-(a) carry on any undertaking which appears to the Authority to be necessary for the promotion and development of the tourism industry;
(b) assist in the promotion and marketing of-
(i) tourist attractions and festivals,
(ii) historic sites,
(iii) museums,
(iv) parks,
(v) game reserves,
(vi) beaches,
(vii) natural beauty spots,
(viii) holiday resorts, and
(ix) souvenir industries;
(c) advice appropriate authorities on ways of improving tourism facilities,
(d) publicise tourism, and
(e) do all such things incidental to the functions which in its opinion are calculated to facilitate the carrying on of the duties of the Authority
under this Act.
Section 8: Establishment of a tour operating company.
(1) The Authority shall set up a tour operating company (in this Act referred to as "the Company") to operate tour services within and outside Nigeria.
(2) The Company shall also operate offices in all the geo-political zones.
(3) The Authority shall -
(a) operate the Company on a commercial basis; and
(b) ensure that the revenue accruing to the Company from services provided by it are sufficient to meet the total cost of providing these services.
Section 9: Establishment of Conventions and Visitors Bureau.
(1) The Authority shall establish and manage the Conventions and Visitors Bureau.
(2) The Bureau shall be -
(a) in charge of destination marketing and promoting Nigeria as a top destination for meetings, exhibitions and events in partnership with relevant bodies; and
(b) involved in international biddings for Nigeria to host events.
Section 10: Power of Minister to give directions.
Subject to this Act, the Minister may give to the Authority directions of a general character or relating generally to particular matters (but not to any particular individual person or to any particular case) with regard to the exercise by the Authority of its functions and it shall be the duty of the Authority to comply with the directions.
Section 11: Appointment of the Director General.
(1) There is appointed for the Authority, a Director-General who shall have such professional qualification and experience in tourism and allied matters appropriate for a person required to perform the functions of that office under this Act.
(2) The Director General shall -
(a) be appointed by the President on the recommendation of the Minister;
(b) hold office for a term of four years in the first instance and may be reappointed for a further term of four years and no more;
(c) hold office on such terms and conditions as to emoluments, conditions of service as may be specified in his letter of appointment and on such other terms and conditions as may be determined by the Minister with the approval of the President;
(d) be the chief executive and accounting officer of the Authority for the purpose of controlling and disbursing funds accruing to the Authority as established under section 22 of this Act;
(e) be responsible for the execution of the policies of the Authority;
(f) be responsible for the administration of the affairs of the Authority and is answerable to the Board of the Authority for the performance of the functions of that office; and
(g) perform any other function determined by the Board of the Authority.
(3) The Director General may delegate a function to an officer of the Authority but shall not be relieved of the ultimate responsibility for the performance of the delegated function.
Section 12: Appointment of Secretary to the Board.
(1) There is appointed a Secretary to the Board of the Authority who shall -
(a) be the head of legal services and legal adviser of the Authority; and
(b) be a legal practitioner of at least 10 years post call experience.
(2) The Secretary to the Authority shall -
(a) keep the records, conduct the correspondence of the Board of the Authority, and generally administer the activities of the Board of the Authority; and
(b) discharge other duties as the Board of the Authority or the Director-General may direct.
Section 13: Appointment of employees.
(1) The Authority shall, subject to the provisions of this Act, have powers to -
(a) appoint such other employees of the Authority who shall be professionally and technically qualified for the purpose of their appointment;
(b) pay its employees remuneration and allowances not less than that payable to persons of equivalent grades in the Public Service of the Federation; and
(c) set up a superannuating scheme (whether contributory or not) in respect of its employees in compliance with the Pension Reform scheme.
(2) The conditions of service of the employees of the Authority shall be determined by the Head of Service of the Federation or the National Salaries and Wages Commission.
Section 14: Funds of the Authority.
The funds of the Authority include - (a) funds appropriated by the National Assembly;
(b) fees from income generating activities;
(c) donations, loans, bonds and grants;
(d) funds approved by the Board of the Authority;
(e) funds from the Tourism Development Fund;
(f) funds from the Tourism Development Levy; and
(g) any other fund that may be allocated by the Minister responsible for Finance.
Section 15: Annual budget.
The Authority shall, not later than three months before the end of each financial year, cause to be prepared and submitted to the appropriate authority, an annual budget in respect of the incoming financial year.
Section 16: Accounts and audit.
(1) The Authority shall prepare and submit to the appropriate authority, not later than 30 June each year, a report on the activities of the Authority during the immediate preceding year and shall include in the report a copy of the audited accounts of the Authority for that year, and the auditors report on it;
(2) The Authority shall cause to be kept proper account of the Authority in respect of each year and shall cause the accounts to be audited not later than six months after the end of each financial year by external auditors appointed from the list and in accordance with guidelines supplied by the Auditor-General of the Federation.
Section 17: Powers to borrow.
The Authority may, with the consent of the Board of the Authority or Minister, borrow on such terms and conditions as the Authority may determine such sums of money as it may require in the performance of its functions under this Act.
Section 18: Establishment of the Tourism Development Fund.
There is established the Tourism Development Fund, which shall be warehoused in the Central bank of Nigeria (CBN).
Section 19: Objects of the Tourism Development Fund.
The objects of the Tourism Development Fund is to -(a) provide funding for tourism development and tourism-related projects and programmes;
(b) apply the money from the Fund for relevant tourism activities as the Board of the Authority may determine including in particular -
(i) marketing and promotion of tourism,
(ii) capacity building, market research and development of tourism infrastructure,
(iii) development and promotion of other entrepreneurial activities,
(iv) tourism export trade-oriented activities of institutions, and
(v) tourism education and training.
Section 20: Sources of the Tourism Development Fund.
The sources of the Tourism Development Fund include -(a) such money as may be provided by the Federal Government as seed capital by the way of intervention fund, contribution, loan, grant or otherwise;
(b) donations from States, Federal Capital Territory, Local Government Councils, Area Councils, public agencies, private organisations and companies, multinational companies, organisations, agencies and individuals;
(c) 3% of funds from the Tourism Development Levy;
(d) money earned by the operation of any project, enterprise financed from the fund or investment and other sums collected or received by the Authority for services rendered; and
(e) any other money that the Minister responsible for Finance in consultation with the Minister may determine with the approval of the President.
Section 21: Tourism Development Fund Management Board.
(1) There is established the Tourism Development Fund Management Board (in this Act referred to as "the Management Board") to manage the Tourism Development Fund.
(2) The Tourism Development Fund shall be administered by the Management Board particularly as it concerns control, investment and administration of the Tourism Development Fund, including the proceeds of securities issued on the Tourism Development Fund Assets for the benefit and development of the tourism and hospitality industry.
Section 22: Appointment of Chairman and other members Tourism Development Fund Management Board.
(1) The Tourism Development Fund shall consist of the Chairman, Director-General and other members of the Board of the Authority appointed by the President, on the recommendation of the Minister, to manage the Tourism Development Fund.
(2) The money for the Tourism Development Fund shall be domiciled with CBN in accordance with the Treasury Single Account policy.
(3) In furtherance of subsection (1), the Management Board shall -
(a) arrange for the effective and efficient collection of money assigned to the Tourism Development Fund;
(b) identify other sources of funding;
(c) co-ordinate and ensure total and timely accountability of the Tourism Development Fund;
(d) prepare and publish procedures for disbursement of the Tourism Development Fund;
(e) formulate general financial strategies and policies for the growth of the Tourism Development Fund;
(f) evaluate, approve, review and monitor the execution of projects and programs approved for funding by the Authority;
(g) determine the certification necessary to ensure that work is completed according to specification;
(h) review the annual programmes and projects submitted by the public and private sector agencies for funding;
(i) provide financial investments by whichever instrument deemed desirable and beneficial in tourism, travel and hospitality development projects by tourism operators in the six geo-political zones and the Federal Capital Territory as the Management Board may approve;
(j) disburse approved funds and provide a framework for which registered and accredited tourism enterprises can access investment and financial incentives for the development of tourism and hospitality facilities;
(k) to manage and disburse resources from the Tourism Development Fund for the development of national standards in training and human resource skills and capacity building in hospitality and tourism; and
(l) subject to any general or special direction by the Management Board invest the Tourism Development Fund and maintain general financial reserves.
Section 23: Tourism Development Levy.
(1) There is established a Tourism Development Levy which shall be used to promote tourism and shall support the Fund where necessary.
(2) The sources of the levy shall include -
(i) tourism visa fee as may be approved;
(ii) tourism development contribution levy of 1% per room rate, or flat rate or any rate as may be prescribed by the Authority;
(iii) Tourism Departure Levy, for the promotion of domestic tourism, which shall be paid by all travelers leaving the country at a rate to be prescribed by the Authority; and
(iv) other levies or fees as the Authority may prescribe for the promotion and development of the tourism industry in Nigeria.
Section 24: Joint venture partnerships.
The Authority may enter into joint-venture partnerships with States and other stakeholders for the development of tourism sites and hospitality establishments.
Section 25: Accreditation.
The Authority shall accredit all hospitality and tourism establishments for the purpose of creating a tourism alliance.
Section 26: Alliance of tourism enterprises.
The Authority shall create an alliance of tourism enterprises after accreditation for the purposes of standardisation, quality assurance, consumer protection, and public health and safety.
Section 27: Accreditation of alliance of tourism enterprises.
The Authority shall accredit and renew all hospitality and tourism enterprises under its alliance from the beginning of the second quarter of the year to the end of the third quarter of every year being 1 April to 30 September.
Section 28: Classification of Tourism enterprises.
The Authority shall control the classification and grading of all tourism enterprises under the alliance.
Section 29: Membership of Alliance by Accreditation and Certification.
Membership of the alliance by accreditation and certification shall confer privileges and benefits as determined by the Authority including -(a) international status and recognition by the World Tourism Organisation (WTO) of which the Authority is a country member;
(b) eligibility for specific fiscal relief categories and tax exemptions;
(c) eligibility for custom duty exemptions by the Ministry of Finance to encourage infrastructural improvements and development of tourism facilities;
(d) eligibility for financial incentives, subsidy grants and concessionary interest loans from the Tourism Development Fund;
(e) authorisation of some hotels by CBN to purchase and sell foreign currency; and
(f) promotion of member establishments by the Authority.
Section 30: Establishment of Hospitality, Travel and Tourism Division.
(1) There is established, as a division of the Authority, the Hospitality, Travel and Tourism Division (in this Act referred to as "the Division").
(2) The Division shall -
(a) monitor the accreditation, classification and grading of hospitality, travel and other tourism establishments according to the prescribed standard as determined by the Authority; and
(b) collect fees and impose such sanctions as may be prescribed or reviewed by the Authority.
Section 31: Assignment of compliance officers.
(1) The Authority may, if it deems fit, assign persons as compliance officers for the purposes of this Act.
(2) Compliance officers assigned under this Act shall, for the purpose of the execution of this Act, have powers to -
(a) enter, inspect and examine by day or by night any premises being used as a hotel or allied hospitality establishment who is an accredited member of the alliance;
(b) by notice, require the proprietor of such hotel or allied hospitality establishment to furnish in such form as he may direct any information on such matters as may be specified by him on notice; and
(c) to make such examination and inquiry as may be necessary to ascertain whether any regulations made under this Act are being complied with.
(3) If a compliance officer is of the opinion that a hotel, or allied hospitality establishment who is an alliance member is not up to the prescribed standard, he shall serve an improvement notice on the persons under whose control the hotel or allied establishment operates, requiring the person to take measures to rectify any defects or meet the prescribed standards within such a period as he shall specify.
(4) Where a person fails to comply with an improvement notice issued under sub section (3), the compliance officer shall serve a notice of non-compliance on the hotel or allied hospitality establishment until such time as the prescribed standards are met.
(5) A person who is aggrieved by a notice issued by a compliance officer under subsection (4) may, within 30 days from the date of such notice, appeal to the Authority, who may after considering the appeal by order in writing confirm, revoke or vary the notice.
(6) A person who is aggrieved with a decision of the Authority made under subsection (5) may within 30 days from the date of the decision, appeal to the Board of the Authority.
(7) Without prejudice to the right of aggrieved persons to seek redress in the court of law, the decision of the Board of the Authority on the appeal lodged under subsection (6) will be final and binding on the Person.
Section 32: Offenses and penalties.
(1) Any person who -
(a) refuse access to a hotel or allied hospitality establishment to a compliance officer or a person assisting the compliance officer,
(b) obstruct the compliance officer in the exercise of his powers under this Act or any regulation made under it, or induces or attempts to induce any other person to do so,
(c) prevent or attempt to prevent any other person from assisting the officer,
(d) in any other way, hinder, impede or oppose the compliance officer in the exercise of his powers under this Act or any regulation made under it,
(e) fail to provide the compliance officer with any information required under this Act or any regulation made under it, or induce or attempt to induce any other person to do so,
(f) make a statement, which he knows to be false -
(i) in purported compliance with the requirement to furnish any information imposed by or under any of the relevant statutory provisions, or
(ii) for the purpose of obtaining a document under any of the relevant statutory provisions for himself or another person,
(g) with intent to deceive, forge or use a document issued or authorised to be issued under any of the relevant statutory provisions or required for the purpose under it make, or have in his possession a document so closely resembling any such document as to be calculated to deceive,
(h) falsely pretend to be a compliance officer, or
(i) refuse to renew accreditation within the prescribed time, commits an offence.
(2) A person who commits an offence under subsection (1) is liable on conviction to -
(a) a fine of at least N200,000 or imprisonment for a term not more than two years or both; and
(b) a further fine of N5,000 for each day during which the offence continues.
(3) Any establishment which refuses to comply with the standard improvement notice served, or refuses to renew accreditation within the prescribed time or refuses to comply with any other provision of this Act, will after the expiration of the prescribed time, lose its membership of the alliance and a public disclaimer will be made.
(4) Any establishment which contravenes the provisions of subsection (3) and the contravention is perceived to be against public interest and safety or to be as a security threat to the public, will be sealed by the Authority and the Authority may call in the assistance of any law enforcement agent and the law enforcement agent shall assist the Authority in enforcing the provisions of this Act.
(5) The Authority shall have power to impose such other sanctions as may be prescribed.
Section 33: Regulations.
The Minister may with the approval of the President, make regulations generally for the purpose of giving effect to the provisions of this Act.
Section 34: Repeal.
(1) The Nigerian Tourism Development Corporation Act CAP. N137 Laws of the Federation of Nigeria, 2004 is repealed.
(2) The transitional and savings provisions in the Second Schedule to this Act shall have effect in relation to the employees, assets and liabilities of the Corporation dissolved under this section and other matters mentioned in it notwithstanding anything to the contrary in this Act or any other enactment. [Second Schedule]
Section 35: Interpretation.
In this Act -
"Authority" means Nigerian Tourism Development Authority established in section 1 of this Act.
"company' means the tour operating company established in section 8 of this Act;
"compliance officer' means the person appointed as compliance officer in section 31 of this Act;
"Division" means Hospitality, Travel and Tourism Division established in section 30 of this Act;
"Director-General" means the person appointed as Director General in section 11 of this Act;
"Minister" means the Minister responsible for information, culture and tourism;
"person" includes hotels, travel agencies, tour operators and all other hospitality and tourism establishments who are accredited;
"President" means the President of the Federal Republic of Nigeria;
"Senate" means the Senate of the National Assembly;
"Tourism Development Fund" means the Fund established in section 18 of this Act;
"TSA" Treasury Single Account; and
"TDL" Tourism Development Levy.
Section 36: Citation.
This Act may be cited as the Nigerian Tourism Development Authority Act, 2022.