Nigeria: Why We Gave ABU N1bn to Pay Electricity Debt - Govt

"...we had to bail out Ahmadu Bello University, Zaria, with about N1 billion to pay its electricity bill. The school just resumed academic sessions because they were in darkness."

The Federal Ministry of Education has said it bailed out the Ahmadu Bello University (ABU), Zaria, from its N1 billion electricity debt because of the inability of the institutions to pay the bill.

Andrew Adejo, the permanent secretary of the Federal Ministry of Education, said this on Tuesday while appearing before the House of Representatives Committee investigating the implementation of the student loan scheme.

While responding to questions from the committee members on the hike in charges by the federal universities, he said the institutions grapple with providing utilities in schools.

"For example, we had to bail out Ahmadu Bello University, Zaria, with about N1 billion to pay its electricity bill. The school just resumed academic sessions because they were in darkness.

"They were supposed to build theatres, and we told them you cannot build theatre when you are in the dark because you need power to operate," he said.

Funding of federal universities has become a major issue confronting the education sector lately.

President Bola Tinubu, in his manifesto, promised student loans to give institutions the ability to charge more cost-reflective tuition fees.

In June, Mr Tinubu signed the Student Loan bill into law.

According to Mr Adejo, the scheme will commence in the 2023/2024 academic session.

No provision for student loan in 2023 budget - CBN Director

Meanwhile, the Director of Legal Services of CBN, Kofo Alada, has asked the National Assembly to consider a supplementary budget to allow the take-off of the student loan.

He noted that the scheme is set to start by September, but there is no provision for It in the 2023 budget.

"What I will request or recommend to this committee is the funding requirement of this project. This body (parliament) has the power to convene and say we want to give a supplementary budget for this particular project; it is within your power," Mr Alada said while making a presentation before the committee.

Speaking on the loan scheme, the Chairman of the Committee, Teseer Ugbor, said the government must ensure that students in state universities also benefit from the scheme.

"There is the possibility that students from state- owned tertiary institutions will not be able to access the loan because if the states will not contribute to the funds, it would mean that students from state universities will not be able to participate in the scheme," Mr Ugbor said.

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