We will spend about N10 billion to maintain the 469 members of our National Assembly in the next 24 months.
And that's only because they have just agreed to reduce their allowances from the N13billion that they have received over the past two years.
The reviewed pay structure was recommended by the Revenue Mobilisation Allocation and Fiscal Commission (RMAFC) after a review of the salary of public officials.
The N10 billion includes the annual basic salaries and regular allowances for the lawmakers; but figures for the non-regular allowances are not provided for in the new package, except that for duty tour allowances and estacode.
President Umaru Yar'Adua had, in February, directed the commission to review the pay structure of all political and public office holders in the country, citing the economic meltdown as the reason.
But the commission, in its report concluded in June, only adjusted the allowances of the officers but retained their basic salaries.
Barring any further review, the present crop of political and public office holders will be paid the new allowances and salaries until May 2011 when the tenure of a new government begins.
All manner of allowances
According to the new salary/allowances regime, the 107 out of the 109 senators (excluding the Senate President and Deputy Senate President) will draw regular allowances totalling N975.626 per annum million, while 358 out of the 360 members of the House of Representatives (excluding the Speaker and Deputy Speaker) will take allowances totalling N2.845 billion.
Each senator will now receive N9.118 million per annum, as against N15.299 million before the review. If multiplied by the two years that they are going to be in office, each senator will be taking N18.236 million. If further added to each basic annual salary of N4.06 million for two years (N2.026 per year), a senator's total pay will come to N22.29 million.
Each member of the House will now receive N7.940 million per annum, as against N13.003 per annum, prior to the review. If multiplied by two years, each of them will go with N15.880 million in the period they will be in the parliament.
If the figure is added to their annual salary of N3.960 million (N1.985 million annually) , the total package for each of the representatives comes to N19.840 million.
These other allowances, numbering 23, include accommodation, motor vehicles maintenance, personal assistant, domestic staff, utility, recess, entertainment, special assistant, personal assistant, leave, newspapers/periodicals. They have all been monetized. No amount is written against the following allowances - medical, special assistant, hardship, entertainment, security, and constituency. They are provided for in percentages. However, there are non-regular allowances for furniture, motor vehicle loans, severance gratuity, duty tour allowances and Estacode.
The Senate President takes a total package of N3.353 million annually as allowances and this comes to N6.706 million for the two years.
When added to his annual basic salary of N2.484 million, his total package comes to N12.684 million.
The deputy senate president whose annual basic salary is N2.309 million, will take allowances totalling N3.117 million, annually and when multiplied by two years, it comes to N6.234 million. When the allowances are added to his basic salary, it becomes N10.952 million.
The Speaker, on his part will take a total allowances of N2.105 million, annually as against N3.063 million before the review and when multiplied by two years, it becomes N4.210. If added to the basic annual salary of N4.954 million for two years, the Speaker's total pay for the next two years comes to N9.164 million.
The deputy speaker takes a total allowance of N1.722 million as against the former N3.242 million and when multiplied by two years,
it comes to N3.444 million. If added to his basic salary of N4.052 million (N2.026 annually), the total comes to N7.496 million.
However, the four presiding officers, namely, the Senate President, Deputy Senate President, Speaker and Deputy Speaker are not entitled to accommodation and furniture allowances as well as motor vehicle loans. The Federal Government provides these for them. They are also entitled to security votes and robe allowance unlike the ordinary senators and representatives.
The non-regular allowances of each member of the National Assembly reportedly comes to between N30 million and N35 million monthly.
Trail of Controversy
Meanwhile, it is not clear if the implementation of the new allowance regime has begun since the commission finished its work in June.
Chairman of the House Committee on Rules and Business, Ita Enang told NEXT last Thursday in a telephone chat that the House had not received the reviewed allowances. The committee is the custodian of all bills and motions introduced to the House. However, the RMAFC denied that claim. Theodora Onyebuchi, the spokesperson of the commission said that the document is with the federal legislature. Mrs Onyebuchi said she personally delivered the reviewed structure, including that of the executive to the Office of the Clerk to the National Assembly.
Unlike the salaries and allowances of the officers in the executive and judicial arms at the three tiers of government, the federal lawmakers do not openly debate their remunerations. Their package is merely sent to them through the Presidency as a formality, since they are consulted by the RMAFC at the level of preparation.
Powers to fix
Section 32 (d) of Part One of the Third Schedule of the 1999 Constitution empowers the RMAFC to determine the salaries and allowances of the political office holders.
It says that the commission shall "determine the remuneration appropriate for political office holders including the President,
Vice President, Governors, Deputy Governors, Ministers, Commissioners, Special Advisers, legislators and the holders of the office mentioned in sections 84 and 124 of this constitution." Section 32 (e) says that the commission shall discharge such other functions as are conferred on the commission by this constitution or any Act of the National Assembly." Sections 70 and 111 are some other relevant sections that empower the RMAFC to prepare the salary package.
In carrying out this constitutional mandate, the commission considers the following factors: (a) changes in the basic fundamentals of the Nigerian economy (b) external reserves (c) GDP growth rate (d) rate of inflation (e) correct placement of some categories of office holders that are wrongly placed in the old package (f) need to modify old salaries and allowances, and introduce new allowances that were not included in the old package (g) need for a living wage to ensure honesty and dignity of the office holders and (h) need to ensure compliance with the provision of Section 84 (3) and 124 (3) of the constitution.
Presidential directive
Mr Yar'Adua had on February 10, written the RMAFC directing it to review the 2008 Amendment Act, which spelt out the salaries and allowances of the political/public office holders, in view of the impact of the global economic crisis and financial meltdown on the Nigerian economy, particularly the dwindling government revenue.
He said: "I have observed that like other nations, our country has suddenly found itself a victim of the current global financial meltdown and unprecedented economic crises. A critical evaluation of the impact of our domestic economy shows that declining oil sales and shrinking foreign direct investment flows are twin threats to the country's ambition development programmes. This can only be mitigated through a responsive review of recurrent costs to maintain the current momentum of development.
"Accordingly, in my opinion, it would be practically impossible and unrealistic for us to continue to implement the current provisions of the said Act. Indeed, it would amount to insensitivity on our part to continue to implement the Act under the circumstances. Certainly, there is need for the Commission to review such remunerations downwards to align them with the realities on the ground."


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