Benue: Ortom To Enjoy N40 Million Allowance Every 4 Years, 2 SUVs And Life Pension

On May 25, 2023, the Benue state house of Assembly approved a bill for lifetime pensions and benefits for former governors and their deputies.

According to The Cable, the decision raised eyebrows amid reports of delayed salary payments and massive pension backlogs in the state.

The law, named “bill for a law to make provisions for the maintenance of former governors of the state and their deputies,” is designed to cover all democratically elected governors and deputies since 1999.

The legislation stipulates a monthly stipend for ex-governors and deputies equal to the salary of the current office holders.

The state government is also mandated to avail the former governors with six personal staff including one personal assistant, two drivers, two cleaners and one cook, while a former deputy governor will enjoy three personal staff including one personal assistant, one driver and one cleaner.

The law also provides that all former governors are entitled to N25 million and N15 million to the former deputies as maintenance allowance every four years.

The law also stipulates that a former governor will be entitled to two official SUV cars of his status “and one official SUV car of his status as former deputy governor”.

The funds, withdrawn from the state’s Consolidated Revenue Funds (CRF), take precedence over other financial obligations such as citizen salaries, pensions, and gratuities.

Additional benefits include personal staff, maintenance allowances, SUVs, round-the-clock security, and full medical coverage. It doesn’t specify a budget limit for these provisions.

The new law comes at a time when state workers and retirees face significant financial difficulties.

As of May 2, 2023, state employees and pensioners were owed 10-11 months and 38 months of salary and pensions, respectively.

Lawmakers themselves had suspended sessions due to six months of unpaid salaries and allowances.

Ex-governor Samuel Ortom acknowledged the pension backlog problem during the inauguration of the state’s Contributory Pension Scheme, attributing it to multiple crises including herder attacks and governance challenges.

Benue’s financial state raises further questions about the feasibility of the new law.

As of December 2022, the Debt Management Office (DMO) reports that Benue’s debt stood at N141.3 billion, making it the 13th most indebted state in Nigeria.

Despite the increasing debt, the state’s internally generated revenue (IGR) remains disappointing.

Benue accumulated N12.6 billion, N10.5 billion, and N17.2 billion in its IGR account for 2021, 2020, and 2019, respectively, according to the National Bureau of Statistics.

This dramatic law granting lifetime benefits to former state leaders, while many of the state’s citizens face economic hardship, promises to ignite passionate debate about fiscal responsibility and the priorities of the Benue government.