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Editorial

Still On PIB

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The House of Representatives has once again pushed to the front burner for passage, the controversial Petroleum Industry Bill (PIB), which has been on the floor of the National Assembly since December, 2008, when it was originally introduced. This piece of legislation has since then undergone several revisions and has been the subject of controversy and debate. Right now, the Bill has been split into four documents.
Interestingly, former President Goodluck Jonathan had on July 18, 2012, presented a new version of the Bill to the Seventh National Assembly for reconsideration and re-enactment. The National Assembly graciously did that but the Bill was not signed into law until that regime fizzled out in 2015.
Inadvertently, another component of the Bill, the Petroleum Industry Governance Bill (PIGB), was passed by the Senate in May, 2017, while the House of Representatives followed suit in January, 2018, as part of a package of legislative reform for the oil and gas sector. However, President Muhammadu Buhari withheld his assent, and the document has remained in the cooler since then.
There is no doubt that the Nigerian oil industry is the mainstay of the country’s economy. Keen observers, however, believe that the oil industry is opaque in its dealings, as it is widely seen as a source of corruption in government circles.
Incidentally, various stakeholders within government, oil companies and even civil society organisations equally agree that the oil and gas sector in Nigeria needs urgent reforms. This arises from the fact that the current structures are convoluted and impede effective regulation. This is mainly because of overlapping regulatory functions exercised by multiple agencies which in themselves breed dysfunction.
As it were, the long term consequence of this persisting scenario has been a significant deterioration in the environment of the Niger Delta region as a result of oil spills and gas flaring, which ultimately has impacted negatively on the health of the local people, the loss of agricultural land, and the pollution of its creeks and surrounding seas.
Essentially, these are lapses among others the PIB intends to address. It also aspires to promote transparency and accountability in the oil and gas sector. While transparency encourages competition, accountable institutions reassure investors, improve regulation and revenue collection, and these result in higher production and earnings.
Besides, the PIB would also enhance and increase access to information within the sector by opening more kinds of documents and data to public scrutiny, and by so doing, improve incentives for performance and check corruption and other sharp practices within the sector.
It is in cognizance of this fact that the House of Representatives recently set in motion modalities to pass the long-awaited PIB into law in September, by setting up a 30-member committee with five members drawn from each of the six geo-political zones of the country. The Minority Leader of the House, Rep Ndudi Elumelu, told newsmen that the House would go ahead with the process of amending and passing the Bill even without the input of the Executive.
“We don’t need the Executive to tutor us. We are going ahead with considering the Bill,” Elumelu enthused, while another lawmaker, Rep. Nicholas Ossai, advised the President to cooperate with the National Assembly on this piece of legislation, so as to attract more investments to the oil and gas industry. The House and the Senate are expected to resume full business in the second week of September.
The Tide is elated that the House of Representatives has taken a bold step to revisit this nagging issue, and promised to do the needful in ensuring that the Bill is passed into law. We are not unmindful that this is the fourth time the Bill is being introduced and re-introduced without having a smooth sail in the National Assembly.
In fact, the passage of this Bill is long overdue as it has been unnecessarily over-delayed, and we believe that the assurances given by the members of the House of Representatives this time around would be good enough to see this all-important Bill see the light of day once and for all.
The first step, we think, is for the lawmakers to try as much as possible to harmonise the PIB, which has been split into four documents. This will enable the National Assembly to do a more thorough work on the Bill with a view to addressing all grey areas that may stand against it from securing the President’s assent, after it must have been passed into law.
There is no gainsaying the fact that the Bill, when passed into law and assented to by the President, would go a long way to bolster the interest and welfare of those who suffer the negative impact of oil exploration in the country. This is particularly so because the Bill is not only for the interest of the Niger Delta alone but also for the entire country, as it would help bring the much-needed peace in the region and facilitate development across the country.
We also lend our voice to the call by the lawmakers and other stakeholders on the Executive to cooperate with the National Assembly in the current move to make the PIB a reality. In fact, this time around, we should never allow primordial sentiments and other considerations for that matter to becloud and override the collective interest and zeal of bringing more investments to the country.
Indeed, in this matter, it behoves the current Federal Government to treat with the same passion the way it has treated Bills like the North East Development Commission, among others. Again, all that is required for us to move forward is for all hands to be on deck to give the PIB the expected push in order to give the country’s ailing economy a boost.

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Editorial

Opobo And The Proposed Higher Institution 

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Rivers State Governor, Sir Siminalayi Fubara, has recently taken an important step by unveiling plans to establish a new institution of higher learning in the historic Opobo Town. This forward-thinking initiative is designed not only to enhance educational opportunities but also to stimulate sustainable academic and economic growth in the region, thereby addressing some of the long-standing needs of the community.
The Governor made this important announcement during the inauguration ceremony for the 7-kilometre Opobo Town Ring Road, which stands as a testament to the government’s unwavering commitment to infrastructure development within the state. The proposed institution will serve as a vital educational resource, providing local students from Opobo and its surrounding areas with access to quality education. This initiative seeks to empower learners with the skills and knowledge necessary to actively contribute to economic prosperity and community development.
Additionally, the new institution is envisioned as a hub for research and innovation. It aims to promote sustainable practices and develop solutions tailored to the specific challenges faced by the local community. By investing in education, the government acknowledges the transformative power of learning as a crucial component in shaping the future of Rivers State and empowering its citizens.
The announcement has sparked a wave of enthusiasm among the native and resident population of Opobo Town, who eagerly anticipate the realisation of this promise to establish a higher educational institution in their community. This momentous development brings a renewed sense of hope and relief to a town that has historically been deprived of access to quality tertiary education.
For many years, the youths of Opobo have faced the daunting challenge of leaving their hometown to pursue higher education elsewhere. The emotional strain and financial burdens associated with this necessity have proven overwhelming for numerous families. However, the establishment of this institution is poised to transform the landscape of educational opportunities, allowing countless individuals — sons and daughters of this ancient kingdom — to attain affordable and accessible education right within their own community.
The gratitude expressed by the natives and residents of Opobo is truly palpable, with many extending heartfelt appreciation to the Governor for his steadfast dedication to fulfilling their educational aspirations. This strategic investment not only aims to empower the local population but also seeks to invigorate the economy through job creation and increased civic engagement.
The Tide commends the Governor for his initiative to establish a world-class educational institution in this historic town. Education is not merely a means of acquiring knowledge; it serves as the cornerstone of societal advancement. By equipping individuals with critical skills and the tools necessary for navigating the complexities of modern life, this initiative will undoubtedly foster a more informed and engaged citizenry. Furthermore, it would be prudent for the Governor to consider replicating such initiatives in other deserving riverine communities, extending the benefits of higher education throughout the region.
Looking ahead, it is imperative that the Rivers State Government ensures that this higher institution is adequately funded and supported. Prioritising the development of students, staff, and curriculum, as well as providing state-of-the-art research facilities, will be essential in guaranteeing that the institution meets international quality standards.
It is noteworthy to mention that, apart from a previous attempt to locate the Faculty of Law at what was then known as the Rivers State University of Science and Technology (UNITECH) in Degema during the administration of the late Chief Melford Okilo, the proposed higher education institution at Opobo marks the second concerted effort by a Governor of Rivers State to enhance academic opportunities in the area.
Governor Fubara’s initiative has effectively dispelled the notion that the riverine areas of the state are unsuitable for accommodating momentous projects due to land scarcity. His administration sets a precedent for future leaders, encouraging them to view riverine areas as viable and valuable locations for launching economic projects.
Undoubtedly, this transformative project will not only enhance the potential for human settlement in that portion of the state but also mitigate the ongoing trend of rural-urban migration. This higher learning institution will draw industrialisation and provide vital job opportunities, serving as a symbol of hope for the many unemployed young individuals in the area while unlocking fresh prospects for growth and advancement.
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Editorial

A New Dawn For Rivers’ Workers 

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Workers in the Rivers State civil service have been eulogising Governor Siminalayi Fubara for delivering on his promise to implement a new minimum wage of N85,000, which was reflected in the salaries paid for November. This increase is N15,000 higher than the national minimum wage of N70,000. This represents not only an enhancement in the financial welfare of civil servants but also a recognition of their hard work and dedication to public service. The raise has been met with widespread jubilation among the workforce, who have long advocated for a better wage to cope with rising living costs and economic challenges.
As the news spread, offices filled with laughter and sigh of relief, as employees exchanged stories of how this financial boost would positively impact their families and dependants. The new minimum wage is not just a number; it symbolises the government’s commitment to improving the standards of living for civil servants and fostering a more equitable workforce. Many workers expressed their gratitude for the governor’s timely intervention, highlighting how important it is for public servants to feel valued and adequately renumerated.
Governor Fubara’s decision is expected to reinforce morale within the civil service, fostering greater productivity and dedication among employees who contribute significantly to the state’s development. With the new wage in place, there is a renewed sense of optimism among civil servants, who now feel more empowered to serve the government and the citizens with greater enthusiasm and commitment.
The Governor had declared an increase in salaries for state workers, emphasising that this adjustment is not only a reflection of the government’s commitment to improving the welfare of its employees but also a strategic move fueled by the state’s enhanced Internally Generated Revenue (IGR). He assured workers that the financial backing for this increment is sustainable, stemming from the state’s focused efforts to bolster revenue through various initiatives, including tax reforms and enhanced efficiency in public service delivery.
Furthermore, the governor’s promise of funding the increment solely through increased IGR signifies a commitment to fiscal responsibility and transparency. It reassures the people that the government is proactively managing resources while investing in their future. As the state continues to explore opportunities for revenue enhancement, Fubara’s administration remains focused on ensuring that these initiatives translate into tangible benefits for the workforce, ultimately fostering a more motivated and dedicated public sector.
The decision by Fubara to be the first in Nigeria to implement the new national minimum wage is a commendable step that reflects a proactive approach to governance and an understanding of the pressing needs of the workforce. In an economy where many families struggle to make ends meet, especially in the face of rising living costs, this enterprise will improve the quality of life for workers and also set a precedent for other states to follow.
In recognising the various drives and support provided by Fubara’s government, it is necessary that the workers reciprocate by embodying a spirit of productivity and commitment to the current administration’s goals. They should align their daily operations with the administration’s objectives to enhance effectiveness and foster an environment of collaboration and trust. This reciprocal relationship can lead to innovative solutions and efficient service delivery, ultimately benefiting the state and strengthening public trust in government institutions.
Surprisingly, despite the political challenges the government has been navigating, alongside the myriad of ambitious projects it is embarking on, it has managed to raise funds to implement a minimum wage of N85,000 This achievement reflects a commendable level of resilience and resourcefulness within the government’s fiscal strategies. In a nation often marred by economic volatility and political discord, finding a way to sustain and even elevate the livelihoods of its employees is no small feat.
Workers in the state have truly found themselves in a remarkably advantageous position under this administration, especially when compared to the previous regime. The immediate past government’s blatant refusal to implement the minimum wage of N30,000 left many employees disheartened and struggling to meet their basic needs. What was even more disconcerting was the absence of meaningful negotiations with labour representatives, leaving workers feeling unheard and undervalued. In contrast, the present administration has prioritised dialogue and engagement with labour unions, recognising the importance of fair wage for workers’ contributions to the state’s economy.
With the current government’s commitment to improving wages and working conditions, it is clear that a major shift has taken place. This renewed focus on the welfare of workers empowers them and instils a sense of hope and optimism for the future, as they can now look forward to a more equitable and supportive work environment. Ultimately, the ongoing trajectory suggests a promising era for labour relations in the state, one where workers are valued and their rights upheld.
Siminalayi Fubara has consistently demonstrated his dedication to workers’ welfare since taking office in May last year. Unlike his predecessor, who left many employees feeling overlooked and unsupported, Fubara wasted no time in addressing the longstanding stagnation of promotions that had plagued the workforce for eight years. He took further steps towards financial justice by initiating the long-overdue payment of gratuities that were neglected during the last administration.
Similarly, we urge the governor to take another step forward by reviewing the stipends received by pensioners. The current pension amounts have become woefully inadequate, leaving many of them who dedicated their lives to public service struggling to make ends meet. These dedicated individuals who have contributed to the development of our dear state now find themselves in a precarious financial situation, receiving stipends that are alarmingly low and insufficient to cover basic living expenses. The rising cost of living has rendered their pensions nearly meaningless. Therefore, a comprehensive reevaluation of these stipends is a required measure to ensure that those who have served our state with honour can live their remaining years with dignity and security.

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Editorial

Another Look At Contributory Pension Scheme

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In a report from the National Pension Commission (PenCom), it was disclosed that only 26 states in Ni-
geria have implemented the Contributory Pension Scheme (CPS), two decades after the Pension Reform Act (PRA) 2004 was passed. The report highlights the inconsistent espousal of the CPS across states, with some states partially adopting the scheme, others not yet participating, and some facing challenges in getting the bill approved in their state legislative assemblies.
In 2012, the Rivers State Government, under the leadership of former Governor Chibuike Rotimi Amaechi, embarked on a critical initiative by enforcing the Contributory Pension Scheme. This strategic move aimed to establish a sustainable pension system by requiring contributions from both the employer and the employee. The arrangement was designed to ensure that employees have a secured and reliable source of income post-retirement, fostering financial security and stability for the workforce.
Following the introduction of the plan, the government adopted a three-year transition that aimed to fully implement the scheme by 2015. During this transition period, the authorities focused on educating both employers and employees about the benefits and responsibilities of the CPS. This included workshops, seminars, and public awareness campaigns to ensure that all stakeholders were well-informed about the scheme.
The creation of the CPS represents an important milestone in the ongoing efforts to overhaul and enhance the state’s pension system, aiming to establish a more robust and secure retirement savings framework for its workforce. The primary objectives of the CPS are to effectively tackle the inherent shortcomings of the former pension system, including limited coverage, insufficient benefits, and financial uncertainty. This strategic framework is designed to ensure that employees receive sustainable and dependable retirement benefits.
However, to ensure fairness and protect the rights of all workers, it is imperative that the effective date of the contributory pension law be prospective, applying only to workers hired in or after 2012. This would allow those employed before 2012 to continue to benefit from the provisions of theDefined Benefit Scheme (DBS), while ensuring that new hirees are subject to the updated pension provisions.
Unfortunately, the pension programme has experienced several challenges. Despite monthly deductions being taken from civil servants’ salaries for their counterpart funding, the government has not fulfilled its obligation to contribute its share. This has impeded the advancement of the scheme and has left many civil servants without sufficient pension arrangements upon retirement.
As a result, the state pension law has undergone multiple revisions to address the issue of retiring civil servants who ordinarily should be covered by the contributory scheme. The amendments have aimed to accommodate these individuals within the DBS which provides a guaranteed level of pension, based on years of service and salary grade level.
The inability of the contributory pension scheme to gain traction has sparked worries about the long-term viability of the state pension system. The absence of government contributions has resulted in a funding shortfall that jeopardises the government’s capacity to fulfil its pension commitments to employees in the future.
Even if the CPS was created to address the perceived shortcomings and lack of sufficient funding of the DBS by combining funds from employers and employees’ contributions to pension funds custodians, retirees under the scheme have not experienced better outcomes than those who retired under the DBS. On the contrary, the execution of the CPS is different from what its advocates led employees to expect.
The complaints regarding the implementation of the CPS are varied and concerning. Retirees are underpaid despite years of dedicated service, with some having served for the mandatory 35 years. Corruption is rampant within the system, and many state governments and employers are not complying with the provisions of the Reform Act, 2014. Labour leaders in the country have criticised the scheme as being anti-workers and retirees welfare. The Association of Senior Civil Servants of Nigeria (ASCSN) has even called for the scheme to be scrapped, labelling it as a “huge fraud.”
Similarly, we urge the Rivers State Governor, Siminalayi Fubara, to completely abolish the contributory pension scheme in the state, as it will not benefit civil servants. We are particularly concerned about the future of workers who will retire under this scheme, especially since the current legislation allowing for the Defined Benefit Scheme will be obsolete in June next year, when the contributory pension law will be effective.
Moreover, the state government is deducting and remitting workers’ contributions to the pension scheme, but failing to contribute their own counterpart funds as required by law. This action is a violation of the rights of contributors as outlined in section 4(1) of the Pension Reform Act 2014. According to this section, employers are mandated to contribute a minimum of 10 per cent of an employee’s monthly salary to their pension fund administrators. Employers are also required to deduct a minimum of eight per cent from the employee’s salary and remit it to the fund administrator.
A government that supports labour rights, like the current one, should not allow workers to suffer from a failed retirement scheme. Workers who are close to retirement age should not have to face unnecessary challenges. The failure of the scheme is evident from the number of agencies that have withdrawn from it. Therefore, it is important for the state leadership to revoke the legislation.
Unlike previous administrations that may have disregarded the experiences of workers in the state, the present government has consistently recognised and appreciated their contributions. The labour-friendly policies of this government have shown its dedication to the well-being of workers. However, the failed retirement scheme remains a critical issue that needs to be addressed.

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