The Federal Government is poised to allocate additional intervention funds to universities and other tertiary institutions through the Tertiary Education Trust Fund (TETFund). TETFund has revealed that its collection of education tax for 2023 is the highest in a single year since its inception.
Arc Sunny Echono, the Executive Secretary of TETFund, expressed his appreciation for the Federal Inland Revenue Service (FIRS) for their diligent efforts in collecting education taxes. He made this announcement in Abuja during an interactive session with the heads of beneficiary institutions regarding the disbursement guidelines for the 2024 intervention cycle. Notably, the 2023 tax collection will be allocated to fund the 2024 intervention projects.
Echono attributed the increased revenue to approvals made by both former and current administrations, setting the education tax at 3 percent of accessible profit, and the effective collaboration between FIRS and TETFund.
Regarding the focus areas for the 2024 intervention program, Echono mentioned that TETFund has budgeted for a substantial increase in annual direct disbursements in response to improved tax collections. A significant 90.54 percent of the taxes generated will be allocated for direct disbursement, with 6.5 percent designated for specific projects and 2.94 percent set aside for stabilization to address emerging issues, all subject to final distribution and approvals.
New interventions in the annual direct disbursement will include the establishment of Career Centers/Units in all categories of beneficiary institutions, as well as institution-based skills development for polytechnics, aimed at enhancing the employability and career prospects of students. Additionally, the Special High Impact Programme (SHIP) will see increased allocation and a greater number of beneficiary institutions, focusing on providing hostels through Public Private Partnership arrangements.
The budget also includes provisions for disaster recovery, security infrastructure, completion of abandoned projects, research funding, upgrading of laboratories, workshops, and equipment in universities, polytechnics, and colleges of education, as well as additional entrepreneurship innovation hubs and a national skills development program for polytechnics and colleges of education (technical).
Echono described 2023 as a pivotal year marked by various initiatives, such as the TETFund ICT roadmap, the deployment of the Beneficiary Identity Management System (BIMS), the launching of the TERAS platforms, and the establishment of two central research laboratories.
Echono emphasized TETFund’s commitment to deepening research, promoting innovation, and nurturing skills, aligning with the renewed hope agenda of the present administration. He urged external stakeholders, including the National Assembly, to minimize distractions as TETFund mobilizes to restore tertiary institutions to the envisioned heights.
He also called on all heads of institutions to ensure the smooth and timely implementation of the Year 2023 allocation before the commencement of the 2024 intervention cycle.
In his remarks, Mr David Andrew Adejo, the Permanent Secretary of the Federal Ministry of Education, commended TETFund for its crucial role in providing support during issues with unions in tertiary institutions. He praised the decision to raise the disbursement percentage to 90.54 per cent, emphasising the government’s efforts to reduce reliance on public resources.
Prof. Paulinus Okwelle, the Executive Secretary of the National Commission for Colleges of Education (NCCE), praised TETFund’s activities and highlighted the successful commissioning of projects in colleges of education. He called for the maintenance of old infrastructure in some colleges, expressing the NCCE’s commitment to collaborating with TETFund for continued success in colleges.
. TheWitness
