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MDAs: Cutting Cost Of Governance

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Indications are rife that the Federal Government will soon cut down personnel cost and merge Ministries, Departments and Agencies (MDAs) following persistent low revenue. The Minister of Finance, Budget and National Planning, Zainab Ahmed, hinted at the “National Policy Dialogue on Corruption and Cost of Governance in Nigeria’’ organised in Abuja this month by the Independent Corrupt Practices and other Related Offences Commission (ICPC).
In this era of disastrous economic hardship, the Federal Government’s move to cut cost is most acceptable. This is a route that will be beneficial and long overdue, moreso as the country’s current system of democratic governance is very expansive and expensive. Besides scrapping or merging redundant MDAs, the constitutional provision mandating the President to appoint a Minister from at least each of the 36 States, should be amended to reduce the number of federal cabinet members.
The initiative to reduce cost of governance is an appropriate step towards the realisation that large federal structure is a driver of the high governance cost, engendering public outcry that government spending is largely on recurrent activities at the expense of capital or developmental projects. The subsisting fiscal policy is simply unsustainable and negatively impacts on the government’s fiscal situation.
In some countries, the general cost of administration is less than 10 per cent of the total annual budgets. For instance, the United States, with a higher population than Nigeria, has only 15 secretaries and executive departments as against Nigeria, which has 27 ministers, 16 ministers of state and 27 ministries. At the moment, the Federal Government is maintaining about 943 MDAs with many of them having duplicated functions.
Personnel cost alone was N1.87 trillion in 2016 while currently, the same cost has spiralled to over N3 trillion. With this revelation, it is apparent that the aftermath of the rising cost of running the government is the reason only 30 per cent of the budget is available for capital projects and the cause behind numerous abandoned projects nationwide.
Despite the administration’s unruly spending spree, federal agencies have similarly been accused of using “security votes” to siphon the public treasury. In a presentation at a virtual webinar to mark the 2021 World Press Freedom Day organised by the US Mission in Nigeria, BudgIT, a civic-tech non-profit organisation, said its inquiry exposed “over 316 capital projects worth N39.5 billion, among other loopholes for corruption.”
It disclosed that N1.9 trillion was allocated to the security sector in the 2021 budget, a 14 per cent increase from N1.78 trillion allotted in 2020. Notwithstanding the increase in the funds budgeted and Buhari’s promises to crush insurgents, arbitrary killings and kidnappings at the hands of Boko Haram, bandits, and killer herdsmen remain a regular experience of Nigerians.
BudgIT further revealed that other non-security agencies now receive massive allocations for “security votes”, and described the spending as “an opaque feature of the Nigerian security ecosystem devoid of accountability.” In the 2021 budget, a total of 117 federal agencies received allocations for “security votes” worth N24.3 billion, even though many of the agencies already have allotments for “security charges” to cover each agency’s security needs.
Investigations into the 2021 budget revealed at least 316 duplicated capital projects worth N39.5 billion, with 115 of those duplicate projects occurring in the Federal Ministry of Health. This is very disturbing and unacceptable, especially considering the immeasurable health infrastructure deficit and the raging Covid-19 pandemic affecting Nigeria.
We are miffed by the disclosures of fraud in the MDAs. Urgent steps must be taken to block the leakages. It is tragic that the Buhari’s government that chanted the familiar anti-corruption mantra in 2015 is shamefully unable to fulfill its promise of curbing corruption and grand theft with the budget riddled with gaping loopholes. A staggering N3.31trillion debt servicing burden which will wipe out nearly 41.63% of the projected N7.99 trillion 2021 revenue has become the spectre severely haunting the country.
One of the measures to reduce governance cost in the face of plummeting revenue is for the current administration to revisit the White Paper on Steve Oronsaye Panel’s Report on the Rationalisation of Ministries, Agencies and Parastatals, submitted in 2014. The committee, set up by the administration of former President Goodluck Jonathan, recommended among other measures, the reduction of statutory agencies of government from 263 to 161.
Nigerian leadership must task themselves on good governance. They have to be reminded that the success story of the Asian Tigers many years ago was a product of sound leadership and determination. Since it has been established that corruption is one of the viable drivers of high governance cost in Nigeria, the need to rectify the anomalies to boost revenue as projected by the Federal Government is more obvious.

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Editorial

Governor’s Pension Law Repeal, Otti’s Example 

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Abia State’s decision to repeal the governor’s pension law is a momentous move towards cutting down on
the expenses of governance and focusing on the welfare of pensioners in the State, who were last paid in 2014. Governor Alex Otti’s bold action in overturning this law demonstrates a dedication to financial prudence and transparency. This resolve will help in reducing the financial burden on the State.
Pension for governors and their deputies has been a contentious topic in Nigeria, with concerns raised about the ethics and morality of providing lifetime benefits to public officials who may only serve a limited term in office. Abia State has taken a bold step by repealing this law, setting a positive example for other States to follow. This move has sparked a much-needed conversation about the need for accountability and responsible governance in the country.
Governor Otti’s argument for repealing the governor’s pension law to alleviate the financial burden on the State and address the issue of unpaid pensions for Abia’s retirees is compelling. By prioritising the needs of the people over political considerations, Governor Otti is demonstrating strong leadership and a commitment to serving the best interests of the citizens.
The Abia State Governors and Deputy Governors Pension (Repeal) Law of 2024 has been widely reproached for its excessive provisions for former office holders. Not only does the law guarantee former governors and former deputy governors 100 per cent of the operative salary of their successors, but it also includes the provision of three police officers and two Department of State Services officers for life. Additionally, the State is responsible for paying for their domestic staff and building mansions for them in both their home State and in Abuja.
Proponents of these benefits assert that they are necessary to ensure that former governors are appropriately provided for after their tenure in office. They maintain that these benefits are in line with the sacrifices and responsibilities that come with holding a public office. Furthermore, supporters of the entitlements contend that these provisions are intended to attract qualified individuals to compete for gubernatorial positions, with the assurance that their welfare will be looked after once they leave office.
Despite efforts to eliminate these schemes in some States, about 18 States still retain pension for their former leaders, which many Nigerians view as a form of political hedonism. Zamfara set a precedent in 2019 by eliminating its pension law, signaling a shift away from the traditional practice of providing lucrative benefits to former governors and their deputies. Many other States continue to operate this practice, allowing former leaders to receive substantial pension and other perks even after leaving office.
In 2020, both Lagos and Kwara States announced their intentions to scrap their pension laws, acknowledging the increasing public outcry over the issue. Kwara went a step further by officially abrogating the law in January, 2021, demonstrating a commitment to reforming the system and promoting accountability. Meanwhile, Lagos took a more gradual approach by reducing the benefits for former leaders by 50 per cent in August , 2021. This move was perceived as a compromise between completely abolishing the scheme and maintaining the status quo.
According to the World Poverty Clock and the National Bureau of Statistics (NBS), Nigeria has been listed as the poverty capital of the world, with millions of people living in extreme poverty. The fact that States would continue to record more ex-office holders after every tenure only adds to the financial strain of these pension schemes. With the number of former office holders increasing each year, the costs associated with their pension become unsustainable for many States.
The funds that could be allocated towards alleviating poverty and improving infrastructure are instead being spent on providing lavish retirement benefits for a select few. The current pension schemes for ex-governors in Nigeria are not sustainable in the long term, especially in the face of the present economic realities. Reforms are needed to ensure that public funds are used more efficiently and effectively, and that the needs of the most vulnerable in society are given preference over the comfort of former government officials.
Pension for former governors often result in the enrichment of the wealthy elite at the expense of the struggling masses. These politicians typically only served in office for a maximum of eight years, yet, they are able to secure generous pension that allow them to maintain a life of luxury. Some even go on to hold positions as Ministers or Senators, further perpetuating their unjustified wealth.
Curiously, the 10th National Assembly is home to more than 12 former governors who continue to benefit from these lavish retirement benefits. In stark contrast, many public workers dedicate 35 years of their lives to serving the public and the government, only to receive meagre pension or sometimes none at all. Tragically, some pensioners pass away before ever receiving the benefits they are owed.
Other States should look to Abia State as a model for promoting democratic values and accountability. The active participation of civil society organisations, pressure groups, taxpayers, and activists is critical in upholding the principles of democracy and ensuring that the government is accountable to the people. The scandalous pension laws that have been passed in many States are not only unjust but also a detriment to the democratic process.
Nigerians should engage with their legislators and demand the immediate annulment of these obnoxious laws that serve to enrich a select few at the expense of the public. Citizens can help ensure that their voices are heard and that their rights are protected by actively participating in the legislative process and holding their representatives accountable. Abia is a constant reminder that democracy is a continuous process that requires the active involvement of all.

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Editorial

Enough Of Legislative Rascality In Rivers

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The political deadlock in Rivers State is showing no sign of abating, with the State House of Assembly voting once more to nullify Governor Siminalayi Fubara’s veto of the Rivers State Assembly Service Commission Bill. This is in addition to the one that occurred in January, when the legislators went against some of the governor’s decisions about four other bills, claiming it could cause chaos and violate certain laws.
The four bills include the Rivers State Local Government Law (Amendment) Bill; Rivers State Traditional Rulers’ Law (Amendment) Bill; Rivers State Advertisement and Use of State-owned Property Prohibition (Repeal) Bill and Rivers State House of Assembly Fund Management Bill. Unlike before, the amendment to the Assembly Service Commission Law now permits the Assembly to appoint the chairman and members of the Commission, not the governor.
But legal experts say that the amended law violates the 1999 Constitution, which prohibits the Assembly from overstepping the governor’s authority to appoint the chairman and other members of the Commission. If that position is accurate, then the Rivers State House of Assembly Service Commission (Amendment) Law, 2024, is legally void. The question is: why is Rivers State different if the President, working with the National Assembly, nominates members of the National Assembly Service Commission?
In yet another controversial move, the State Assembly has passed a bill to amend the Rivers State Public Procurement (Amendment) Law No. 1 of 2021. The bill, which was put forward at the 127th sitting, aimed to delete Section 3 of the 2021 Amendment Law to limit mobilisation fees to suppliers or contractors to not more than 20 per cent. We condemn this ill-motivated enactment, as the same Assembly had previously amended the law in 2021 to allow for 100 per cent payment of mobilisation fees to contractors.
While the House maintains that the laws are intended to bring more balance of power, we perceive it as an audacious endeavour to humiliate the governor and diminish his position. This power contest between the legislative and executive arms is unsettling and detrimental to the state. It is incomprehensible why the same Assembly members failed to challenge any bills during former Governor Nyesom Wike’s tenure, which period they also served as lawmakers.
We advise the state lawmakers to be wary of their actions and always prioritise the well-being of Rivers people by operating collaboratively with Governor Fubara. They should set aside their deep-rooted prejudices and concentrate on enacting good legislation to benefit the citizens. We insist that the governor should be allowed to administer the state freely in line with his constitutional mandate to ensure stability and progress in the state.
It is time for our renegade legislators to pay attention to their duties and not allow their paymaster to manipulate them for his narcissistic purposes. We find it disappointing to see those in power succumb to high-level corruption and disregard the people’s needs because of politics. What we need now is unity and cooperation, not the constant harassment of Fubara to create tension and division.
When individuals who are supposed to uphold the law and safeguard the people’s interests are being used as pawns in a murky political game, it is a sad state of affairs. The lawmakers need to understand that they owe it to the people of Rivers State to buck any attempts to jeopardise their integrity and independence. The trust of the people they represent is undermined by letting themselves be controlled, which also erodes their credibility.
Repealing and re-enacting laws without careful consideration by these lawgivers is reckless and unacceptable. Their actions could cause a crisis in the state, making governance more challenging. They need to understand that any problem they ignite will not only affect the general public but also themselves and their loved ones. That is why the legislators must contemplate the repercussions of the laws they revoke or make and how such statuses will impact their interests and all residents of the state.
Speaker Martins Amaewhule and his cohorts are pushing the boundaries of their rascality too far. After elections, politics in most states ends, allowing for genuine governance to take over. Unfortunately, this is not the scenario in Rivers, where political turbulence is destroying the state’s economy. If these parliamentarians truly cared about the state in which interest they have always claimed to act, they would end the ardent political imbroglio and unnecessary power struggles causing divisions and increased insecurity
Political tenseness in a state can sidetrack the attention of the government away from enforcing impressive policies to tackle challenges and promote progress. It is estimated that Rivers State has lost about N2 trillion in public sector investments over the past 12 years due to unrest in the political arena. Numerous projects valued at over N1.91 trillion have been impeded, along with other economic activities that could have profited many.
Some of the losses include the N250 billion bond approved in 2010 to build listed projects. However, a political dire straits in 2012 compelled the state to resort to bridging loans from commercial banks, as opposed to Lagos State that took bonds. The World Bank water project, that was supposed to transform Port Harcourt into a modern city, was allegedly not endorsed by the Goodluck Jonathan administration following political upheavals in the state.
To transform Port Harcourt into a fast and efficient transportation centre, the government invested over N20 billion in the monorail project. However, once Wike became the governor, he abandoned it. Former Governor Chibuike Amaechi used to set aside N100 billion each year for the Greater Port Harcourt City project, but Wike, following political disagreements with his predecessor, neglected it and instead used it as a means to reward his supporters. The unstable political climate prevented the realisation of these public sector investments, which could have greatly expanded the state’s economy.
Rivers people are indeed fed up with waking up every day to distressing news from the political space. Amaewhule and his troublesome allies must be told that enough is enough. The inept lawmakers should put aside their personal interests and those of their principal and work with Governor Fubara, who has been brandishing the olive branch to advance the state. Rivers State needs peace and development.

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Editorial

Another Look At Capital Punishment

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There are far too many prisoners in Nigeria’s correctional facilities. Thousands of them are awaiting trial inmates, while others are either serving their jail terms or have received death sentences. The approximate number of death row convicts in custodial facilities around the nation as of July 2022 was 3,145. Of the figure, 3,084 were men and 61 women, according to the Nigerian Correctional Service. This has over time put the process of decongesting the correctional facilities all but impossible.
As governors decline to sign the death warrants for the condemned, the number of the individuals on death row is growing, sparking reservations among human rights advocates and attorneys about what might happen to the prisoners. A few of them have proposed converting the death penalty to life in prison. Others contend that the death sentence ought to be abolished under the constitution if the governors are unwilling to sign the warrants. Femi Falana, SAN, maintains that keeping a prisoner on death row for a considerable amount of time is torture.
Despite repeated calls by the Federal Government for state governors to exercise their constitutional responsibility of signing death warrants of criminals condemned to death by courts of competent jurisdictions, no death row inmate has been executed in the last 10 years. Governors are delaying the wheel of justice and contributing to congestion in correctional centres by refusing to sign the death warrants. States should share in the burden of decongesting custodial facilities in the country.
Crimes that are punishable by death include homicide, kidnapping, and murder. The governors must still sign the warrants after the judges issue these orders for the execution to proceed. Over time, the governors, who are liable for confirming execution orders, have been dodging their role, which has made the already cramped jails even more cluttered. They justify their refusal to append the warrants by citing political correctness and feelings.
One of the most contentious and frequently discussed subjects in the world is the death penalty. Numerous organisations observe that it is cruel and barbarous. Its opponents frequently compare it to murder, pointing out that it has no effect on homicide rates and that the ends do not always substantiate the methods, particularly when people are wrongfully condemned.
Since Nigeria is yet to consider abolishing or suspending the death penalty, the onus is on the governors to take the correct course of action. The number of nations that have done so is expanding. According to the Death Penalty Information Centre, almost 70 per cent of nations worldwide have either outlawed or discontinued the death penalty. Kazakhstan and Papua New Guinea are among the most recent nations to ban it.
By the end of 2021, 108 countries had abolished the death penalty for all crimes under the law; 144 countries had done the same in practice; 28 countries had done so in effect by not carrying out an execution in the previous ten years; and 55 countries still applied the death penalty for common crimes. This information comes from data provided by Amnesty International.
However, proponents of capital punishment often view it as a necessary evil to protect society from individuals who commit the most heinous crimes. Despite the declarations from former Governors Seriake Dickson of Bayelsa State and Simon Lalong of Plateau State that they would not hesitate to approve the death penalty for convicted kidnappers, there is no concrete evidence of them following through on this promise. The only elected governor in recent Nigerian history known to have signed a death warrant was former Governor of Edo State, Adams Oshiomhole, which sparked criticism from various groups.
During his tenure as President of Nigeria, Goodluck Jonathan made a controversial statement urging state governors to sign death warrants for criminals condemned to death. Speaking at a Fathers’ Day Sunday service in 2013, Jonathan reminded the governors that their role as leaders involved both pleasant and unpleasant tasks. Jonathan’s call serves as a reminder of the dual responsibilities that come with leadership and the need for critical reflection on the consequences of such decisions.
Governors play a crucial role in the criminal justice system when it comes to deciding the fate of individuals on death row. They are faced with the weighty decision of either approving the death warrants of those who have exhausted their appeals process, converting their death sentence to life imprisonment, or offering them clemency. Failure to act on any of these options should result in the removal of Section 33, which permits the death penalty, from the constitution.
State governors must set aside personal emotions and make decisions based on the principles of justice, fairness, and compassion. Approving death warrants should only be done after careful consideration of all facts and evidence in a case, ensuring that justice is served. However, if governors find that there are mitigating circumstances or doubts about guilt, they have the option of converting the death sentence to life imprisonment or offer clemency. This allows for the possibility of exoneration or further legal proceedings to rectify any injustices.
Clearly, then, the death penalty in Nigeria should be re-evaluated. The lack of execution and the potential for injustices highlight the need for a more humane and effective form of capital punishment. Life imprisonment could provide a better alternative, ensuring that criminals are still held accountable for their actions while avoiding the risks and controversies associated with the death penalty.

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