Daily Review Newspaper

Towards Reducing the Cost of Governance

By Isah Aliyu Chiroma

We live in a country where panic and pessimism become our mantra, of policies and actions, when we have the policy Advisory Council report that spelled out those strategic moves, since May 2023. What we are witnessing at the moment, is its implementation. This week, there was a lot of panic, with the decision of the Federal Government to implement the Oronsaye report.

Over the years, attempt has been made, from the Structural Adjustment program (SAP) Era, to The civilian rule and transition to democracy, to Buhari’s Administration and Treasury Single Account (TSA), Salary Reduction for Political Office Holders, National Economic Council’s Cost of Governance Committee and now, the Oronsaye Committee report.

The Oronsaye report was commissioned in 2010, submitted in 2012 to the Jonathan administration, where in 2014, the Jonathan government released a white paper on the report. The Buhari administration also released a second white paper in 2022. This report examined existing Federal Agencies, Parastatals and Commissions and determines areas of overlap or duplication of functions and make appropriate recommendations to either restructure, merge or scrap some to eliminate such overlaps, duplications or redundancies. And lastly to advice any other incidence to the foregoing which might be prune down to reduce the cost of governance.

This report has brought some panic, in a move to merge and restructure federal agencies and implement elements of the Oronsaye report on governance cost reduction.

To scrap, merge those existing ministries, agencies, MDAs which were created by an act, the government needs a legal and regulatory framework. New laws need to be created, which will give power and autonomy to scrap and merge.

Before implementing this report, to merge some parastatals, agencies, commissions and others subsumed, scraped or relocated, it needs to be reviewed. Reducing the cost of governance is a good move as government spending is very high, but in reducing it, the government needs to take proactive measures. This implementation might aid efficiency, to achieve the aim of regulating the government spending.

By reducing the cost of governance, it will foster sustainable economic growth, improve public services, and ensure effective resource allocation. High cost of governance significantly strains the country’s budget. Monies can be reallocated to critical areas like infrastructure, healthcare, and education. This can boost economic expansion and enhance well-being of the people.

Through improving the delivery of public services, it will correlate with lowering the cost of government. The inefficiencies in government policy and program implementation are caused by excessive spending. Reducing the cost of governance can result to an accountable and responsive government, which will improve services for the people.

Fair allocation of resources should be ensured by lowering the cost of governance, with an emphasis on meeting the needs of the most vulnerable groups of people in the society. This advances a more inclusive development agenda and is consistent with the social equity principles.

Through exemplary leadership, elected representatives and other public servants need to show by example, willingly taking pay reductions and giving up frivolous perks. This encourages a culture of accountability within the government in addition to setting a good example.

Lowering cost of governance must be institutionalized through legislative reforms. To address issues including the size of the government personnel, compensation systems, and budgetary allocations, this will entail examining and revising current laws. The government needs to design a framework for long-term cost-cutting initiatives, which will be both clear and enforced.

The government needs a strategy that includes political wills, legal reforms, to create a more effective, transparent, and egalitarian governance structure. This will promote sustainable development and enhances the quality of life.

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