…Mulls NITDA, USPF, Galaxy Backbone merger
From Kenneth Udeh, Abuja
The Senate through its Committee on Finance has questioned the relevance of the continued co-existence of the offices of the Universal Service Provision Fund (USPF), National Information Technology Development Agency (NITDA) and Galaxy backbone Limited, which are Internet and communications services provider agencies owned by the Federal Government.
While meeting with the heads of the above agencies on Thursday, Chairman of the Committee, Senator Sani Musa (Niger East) said that based on the Federal Government’s plans to reduce the cost of governance by implementing the Steve Oronsaye Report there was a dire need to review the functions and objectives of NITDA, USPF and Galaxy Backbone Limited.
He said findings had shown that the agencies might be running similar functions, which have to do with providing infrastructure to support connectivity and communication services in parts of the country.
The submission was made when the chief executives of the MDAs appeared before members of the Finance committee for an investigative hearing on the remittance of IGR and evidence of payment of their 1 percent stamp duty into the Consolidated Revenue Fund Account from 2020-2023.
In attendance were Secretary of the Universal Service Provision Fund (USPF), Mr. Yomi Arowosafe, Managing Director/Chief Executive Officer at Galaxy Backbone limited, Mr. Ibrahim Adeyanju and the Chairman, Revenue Mobilization Allocation and Fiscal Commission (RMAFC) Alhaji Muhammed Shehu.
Sani told the USPF Secretary: “The committee will have a conversation because some of what you do is what Galaxy Backbone and NITDA also do. The Federal Government is trying to reduce the cost of governance and again all revenues must go to the consolidated revenue.
He spoke further: “If the NCC collects revenue and they have a financial target with the Federal government and out of that target they remove money from the USPF. You must give us all those details that we need and all the projects that you have now. It will be good to streamline all these agencies.”
With regards to finances, the Senate Committee frowned at the “actuarial accounting system” used by the Agency, which the USPF Secretary admitted that they had been using since the year 2016.
Sani Musa faulted the accounting process saying it had created discrepancies in the financial report submitted by the USPF, adding that it is wrong to spend funds based on projections looking at the financial report presented by the Department.