ABIA GOVERNMENT BEGINS PAYMENT OF N61.8BN GRATUITY ARREARS, TARGETS 2031

By: Balogun Ibrahim

The Abia State Government has commenced the payment of outstanding gratuities to verified state and local government retirees, with the total inherited liability put at N61.8bn.

The Commissioner for Information, Prince Okey Kanu, disclosed this on Monday while briefing journalists after the State Executive Council meeting presided over by Governor Alex Otti.

Kanu, who was accompanied by the Commissioner for Finance, Uwoma Ukandu; Special Adviser to the Governor on Media and Publicity, Ferdinand Nkoma; and Accountant-General of the State, Mrs Njum Onyemena, said the payment followed the recommendations of a committee set up to verify outstanding gratuity liabilities and develop a sustainable repayment plan.

He said the committee reviewed records from the State and Local Government Pension Boards and established outstanding liabilities of N61.8bn covering retirees from 2001 to 2025.

According to him, successive administrations had made limited payments towards the arrears, particularly for retirees who left the service between 2011 and May 2023.

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Kanu said the outstanding liabilities included N7.2bn accumulated between 2001 and 2010, while arrears from 2011 to May 2023 stood at N3.6bn.

He added that gratuity obligations incurred from May 30, 2023, to date amounted to N10.9bn, while the broader reconciliation exercise put the total liability at N61.8bn.

The commissioner said the government had adopted a phased payment plan to gradually clear the liabilities without compromising other financial obligations.

He explained that the committee recommended the inclusion of gratuity provisions for 2026 to 2031 in the state’s Medium-Term Expenditure Framework and annual budgets.

According to him, the arrangement would prevent further accumulation of arrears while allowing the government to meet its other financial commitments.

Kanu said the payment plan would prioritise the oldest outstanding claims and beneficiaries with the greatest social needs.

He added that the government was establishing a dedicated gratuity payment platform linked to the Treasury Single Account to ensure payments were made directly to verified beneficiaries.

The platform, he said, would incorporate biometric verification to prevent duplication, fraud and wrongful payments.

He noted that the exercise would also involve cleaning up the retirees’ database, many of whose inherited records were poorly maintained and largely kept in analogue form.

Kanu acknowledged that the administration could not realistically eliminate 24 years of accumulated liabilities within three years.

He, however, assured that the Otti administration remained committed to protecting the interests of retirees and serving workers.

According to him, the government’s approach was to progressively clear inherited liabilities while sustaining its broader development agenda.

The commissioner also announced the establishment of a dedicated contact centre to handle complaints arising from the gratuity payment exercise.

He gave the helpline as 0800 000 0232, available from 8am to 4pm on working days, while enquiries could also be sent to contactcenter@abiastate.gov.ng.

Kanu also announced the resolution of issues that led to the recent industrial action by the Academic Staff Union of Universities, Abia State University chapter.

He said Governor Otti had approved the union’s demands as far back as April 2026, adding that delays in implementation were caused by administrative processes rather than unwillingness on the part of the government.

Kanu said the governor subsequently directed the Secretary to the state government-led committee to resolve the outstanding issues within 48 hours.

He disclosed that outstanding check-off dues had been paid, while the new salary scale, Consolidated Academic Teaching Allowance and other related payments had been processed for payment with the August 2026 salary.

The new salary structure for other categories of staff at Abia State University, he added, had also been processed for payment this month.

Kanu announced that Governor Otti would on Tuesday commission the newly completed Obinwa General Hospital at Mgboko.

He described the facility as a modern hospital equipped with digital health technology, saying it would expand access to healthcare services across the state.

The commissioner disclosed that enrolment in the state’s health insurance scheme had increased to 269,900 beneficiaries, which he described as an indication of growing public confidence in the programme.

He also announced the inauguration of the Abia State Diaspora Healthcare Government Fund, aimed at supporting health insurance enrolment for indigent citizens and vulnerable people in the informal sector.

He said strategic healthcare oversight teams had also been inaugurated in four local government areas during the previous week.

Kanu added that recruitment of additional health personnel was ongoing, with the recruitment portal still open for medical officers, dental officers and consultants.

He said no outbreak of diseases of public health importance, including Ebola, COVID-19, diphtheria and cholera, had been recorded in the state during the period under review.

The government also announced the completion of another round of teacher recruitment into the state’s public schools.

Kanu said 4,074 successful candidates had received notifications of their appointments.

He said the recruitment was conducted based on merit and transparency, adding that the new teachers would begin onboarding and orientation the following week.

According to him, the recruitment would strengthen the state’s teaching workforce and address shortages in specific subject areas.

Kanu disclosed that a Federal Government ministerial committee had visited Abia to study the state’s Smart School project.

He described the visit as recognition of the progress recorded by the programme and evidence that the state’s education innovations were attracting wider interest.

The government also disclosed plans to improve electricity supply within the Aba ring-fenced area through the licensing of a power generation plant.

According to Kanu, the plan involves evacuating electricity from the plant to serve eight local government areas across Abia Central and Abia North.

The state is also considering interconnected mini-grids for underserved communities where vandalism of electricity infrastructure has disrupted supply.

The Commissioner for Power and Public Utilities, Ekeoma, clarified that the state government’s proposed takeover of electricity distribution operations had not yet been concluded.

He explained that the existing electricity distribution company remained responsible for distribution until the transaction was fully completed.

Ekeoma said the government had continued to intervene in the power sector by supporting the repair and rehabilitation of substations, transformers and other infrastructure to reduce the impact of poor electricity supply.

He said the state’s long-term objective was to gain greater control over power distribution while developing alternative generation and distribution arrangements to provide more reliable electricity for residents and businesses.

He acknowledged that electricity challenges were not peculiar to Abia but a national issue, insisting that the state was taking steps to address the problem.

Ekeoma also expressed concern over high electricity charges, particularly for consumers on estimated billing, saying the matter would be addressed once the state fully assumes control of power distribution.

On the ABSU-ASUU strike, Ekeoma distanced the state government from the suspension of a university lecturer who spoke about the matter on social media.

He described the suspension as an internal university matter, noting that the institution was autonomous and had established procedures for investigation and disciplinary action.

He urged the public to avoid politicising the issue and allow the university’s internal processes to take their course.

Meanwhile, the Commissioner for Finance, Ukandu, reiterated that verified beneficiaries of the gratuity scheme were being paid in full.

He said the exercise was part of the government’s deliberate effort to clear inherited liabilities and restore confidence among retirees and workers in the state public service.