The House of Representatives has issued a directive to the Industrial Training Fund (ITF) to clarify a discrepancy of over ₦12 billion in their accrued budget actuals as of December 31, 2022. The order came during the interactive session for the 2024-2026 Medium Term Expenditure Framework and Fiscal Strategy Paper in Abuja, chaired by Rep James Falake, Chairman of the House Committee on Finance.
Expressing concern, Hon Faleke highlighted the failure of ITF’s management to generate revenue from the multitude of private and public quoted companies operating in Nigeria. He pointed to a deficit in the accrued budget actuals, emphasizing the need for accountability.
Scrutinizing financial statements, Faleke questioned the operating expenditure of ₦39.8 billion in 2022 against a total revenue of ₦45.1 billion, considering ITF’s staff strength of only 2,691 nationwide. He warned that failure to account for the difference within 24 hours would result in a demand for the refund of the entire ₦3 billion to the government coffers.
Mrs Safiya Mansur, Director Finance and Accounts at ITF, explained that the fund derived its revenue from a one percent training contribution from public and private companies. She noted that out of the 128,000 registered contributing companies, only 57,000 were up to date in their contributions.
In a related development, the House questioned the Nigeria Electricity Regulatory Commission (NERC) about a company that received ₦39 billion to supply prepaid meters without fulfilling the contract. Rep Faleke demanded an explanation and asked NERC to bring the Managing Director of the company, Ziglasis, and officials from the Ministry of Power before the House on November 14.
Additionally, the House urged the Nigeria Communications Commission (NCC) to account for approximately ₦291 billion in revenue not remitted to the Consolidated Revenue Fund of the Federation between January 2022 and September 2023. The NCC explained that the funds were utilized for broadband connections in public places, such as markets.
The Committee Chairman insisted that the NCC provide detailed information on broadband projects, their locations, and how the funds were spent. The House also scrutinized an agreement between the Nigeria Bulk Electricity Company and Azura Power Company, questioning the country’s commitment to a $30 million monthly power purchase agreement regardless of actual power supply.
