The Nigerian Tax Reform Bills have faced a lot of opposition since it was passed for deliberation, and recently, the Academic Staff Union of Universities (ASUU) has also raised its concerns.
ASUU is worried about section 59(3) of the Nigeria Tax Bill 2024, which plans to scrap the Tertiary Education Trust Fund (TETFund) by 2030. The bill suggests sending the money from TETFund to a new program called the Nigerian Education Loan Fund (NELFUND).
For over 30 years, TETFund has helped public universities, polytechnics, and colleges of education in Nigeria. It provides funding for things like building classrooms, supporting research, and paying bills like electricity. ASUU President, Prof. Emmanuel Osodeke, warns that without TETFund, many schools could struggle. “If we lose TETFund, schools will shut down,” he said. ASUU is even ready to go on strike to stop this bill from passing.
The Senior Staff Association of Nigerian Universities (SSANU) also shares ASUU’s concern. SSANU President, Mohammed Ibrahim, explains that many schools rely on TETFund for everyday expenses, like electricity bills. Without this funding, schools will find it much harder to stay open.
ASUU believes that cutting TETFund will hurt millions of students, especially those from low-income families who depend on affordable education. They think moving the money to NELFUND, a student loan program, is not the right solution. Instead, ASUU suggests finding other ways to support NELFUND, like using part of the VAT (Value Added Tax) money, without getting rid of TETFund.
ASUU also accuses the government of not talking to stakeholders involved in education before making this decision. The union says that TETFund has been key to public education and removing it would hurt the whole system. For ASUU, this is more than just about money—it’s about keeping education affordable for Nigerians.
