Delta Government Laments Inherited N100bn Unpaid Pension

April 26, 2021
Okowa Delta State

By Adedapo Adesanya

The Delta State Government has revealed that Governor Ifeanyi Okowa inherited about N100 billion unpaid pensions under the Contributory Pension Scheme (CPS).

This was disclosed by Mr Okowa at the third session of the 8th Synod of the Church of Nigeria (Anglican Communion), Ughelli Diocese held at Bishop Agori-Iwe Memorial Church, Ughelli.

Mr Okowa said that the financial burden from the scheme forced 18 state governments out of 26 that enlisted in the initial programme to withdraw, leaving only eight state governments, including Delta, in the programme.

The Governor explained that the major challenge which forced the states to withdraw and others not to enrol in the scheme was the huge backlog running into billions of naira.

He said that his administration was up-to-date with the payment of pensioners in the old scheme, explaining that, “We have two types of pensions, the old pension scheme and the contributory pension scheme.”

“Those on the old pension scheme are paid regularly as we pay salaries, but there is a big challenge with those on the contributory pension scheme.

“It is a good scheme but it will take a very long time to solve the issues associated with it.

“For instance, if somebody had done 15 years before joining the contributory pension scheme, it provides that the government must contribute for those years and it runs into billions of naira.

“Out of 36 states in the country, only 26 states embraced the scheme, but as at today, only eight states are contributing to the scheme.

“When I assumed office in 2015, what Delta was owing was over N100 billion.

“The state government entered into the scheme in 2007 and up to 2015 no money was paid for past services amounting to over N100 billion.

“I have paid a few billions but it is a far cry from the over N100 billion we are owing.

“It is something we are committed to and I will continue to do the best that we can and by the time we are able to pay the accruals it will no longer be a burden to subsequent governments,” he said.

On other issues such as security, Mr Okowa said it was a tough issue in Nigeria currently, but assured that he would continue to do his best to secure the state.

He urged Nigerians to support the State and Federal Governments with prayers to address insecurity and other challenges.

On his part, Deputy President of the Senate, Senator Ovie Omo-Agege, also called for prayers to address insecurity in the nation.

He said that the country is in perilous times, adding that it could get worse with the death of the Chadian President who was a strong ally in the fight against insurgency.

“These are perilous times and it could become worse before it gets better.

“There is a likelihood of influx of illegal arms and more insurgents into the country with the death of the Chadian President, Idris Derby, who did his best to secure the Nigerian-Chadian borders.

“Security is a collective responsibility and not that of government alone.

“I, therefore, call on the church to continue to preach those things that will bring love and unite Nigerians rather than things that will divide the country further,” he said.

Adedapo Adesanya

Adedapo Adesanya is a journalist, polymath, and connoisseur of everything art. When he is not writing, he has his nose buried in one of the many books or articles he has bookmarked or simply listening to good music with a bottle of beer or wine. He supports the greatest club in the world, Manchester United F.C.

Leave a Reply

NASD Market capitalisation
Previous Story

Three Stocks Expand NASD Market Cap by N12.59bn in Week 16

Airstrike on Soldiers in Borno
Next Story

Nigerian Air Force Investigates Airstrike on Soldiers in Borno

Latest from General