Kehinde Fajobi
The Academic Staff Union of Universities (ASUU) has warned that the federal government’s proposal to phase out the Tertiary Education Trust Fund (TETFund) by 2030 would devastate public tertiary institutions and education in Nigeria.
ASUU National President, Prof. Emmanuel Osodeke, criticised the plan, stating it would undermine the efforts behind TETFund’s establishment and make tertiary education unaffordable for the poor.
Osodeke’s remarks were in reaction to the Nigeria Tax Reform Bill 2024, currently under consideration by the National Assembly.
The bill, which consolidates several tax-related laws, includes provisions on how the Development Levy—a key source of TETFund’s revenue—will be distributed from 2025.
Under Section 59 (3) of the Nigeria Tax Bill 2024, TETFund will receive 50% of the Development Levy in 2025 and 2026, with the remaining portion allocated to NITDA, NASENI, and NELFUND.
However, starting in 2030, the entire levy will go to NELFUND, leaving TETFund and the other agencies without funding.
Osodeke argued that the proposal amounts to shutting down TETFund entirely.
“With all the Development Levy going to the Student Loan Scheme or NELFUND, public tertiary institutions will be forced to increase tuition fees, which will become exorbitant.
“Phasing out TETFund will threaten tertiary education in Nigeria, rendering all the efforts to establish the Education Tax Fund, which later became TETFund, futile,” he said.
He highlighted TETFund’s critical role in sustaining public universities, noting that many institutions rely on it for essential infrastructure and facilities.
“If you visit public tertiary institutions, you’ll see that anything new or decent on campus has been provided by TETFund,” he said.
Osodeke called on the federal government to abandon the plan, warning that its implementation would spell disaster for public tertiary education in the country.