Editorial note: This post reflects concerns raised by the Academic Staff Union of Universities during the 2013 university funding dispute. The claims of illegality, contract inflation and fraud reproduced below were allegations made by ASUU at the time and should be understood in that context. TETFund’s official history confirms that its development followed the 1992 agreement between the Federal Government and ASUU, while the 2011 Act established it as an intervention fund for public tertiary institutions.
The Origin of TETFund
The Tertiary Education Trust Fund, formerly known as the Education Trust Fund, was a product of a challenge posed to ASUU by the Federal Government in the early 1990s.
The government challenged ASUU to propose other viable sources of funding that could be used to support tertiary education through interventions outside the regular government budget.
ASUU developed a detailed policy and management structure for the proposed Education Trust Fund, which formed part of the 1992 FGN–ASUU Agreement.
At its initial conception, the fund was intended as a special intervention for tertiary education. However, the military government later expanded its scope to cover all levels of education—primary, secondary and tertiary.
According to ASUU, spreading the intervention across all levels prevented the fund from making the intended significant impact on tertiary education.
Establishment of TETFund
In 2011, the Education Trust Fund law was repealed and replaced by the Tertiary Education Trust Fund (Establishment, Etc.) Act.
TETFund was established as an intervention agency for the rehabilitation, restoration and consolidation of tertiary education in Nigeria.
While TETFund had made visible contributions to tertiary education, ASUU warned against attempts to turn it into the principal funding agency for tertiary institutions instead of maintaining it as a supplementary intervention agency.
The union argued that the regular funding of universities remained the responsibility of government and should not be transferred to TETFund.
Funding of the New Federal Universities
ASUU claimed that this concern was reflected in the manner in which the 12 new federal universities were being funded.
According to the union, after each university received a take-off grant of ₦1.5 billion from TETFund, another ₦2 billion was allocated to each institution through the National Universities Commission for the provision of “critical infrastructure” at its permanent site.
ASUU argued that this arrangement violated the TETFund Act because the Fund was meant to support existing public tertiary institutions rather than finance the establishment of new ones.
The union also questioned whether similar support would be extended to state governments seeking to establish new universities.
ASUU further claimed that the new universities had received little funding outside TETFund, except for the use of the University Stabilisation Fund to meet some personnel costs.
Hostel Development Grants
A hostel-development grant of ₦2 billion was reportedly approved for each of the 12 new federal universities.
However, ASUU alleged that the money was paid to the National Universities Commission to administer instead of being released directly to the universities.
The union argued that this violated the established procedure within the university system.
According to ASUU, money intended for universities should be released directly to the institutions and not to regulatory agencies.
The union also objected to the NUC acting as a tenders board, awarding contracts and sending contractors to the universities.
Alleged Inflation of Contracts
ASUU further alleged that the contracts awarded through the NUC were excessively inflated.
According to the union, approximately ₦1.2 billion of the ₦2 billion allocated to each university was intended for hostel construction, while the remaining amount was to be used for an ICT centre and administrative buildings.
The proposed hostel in each university was expected to contain 140 rooms and 560 bed spaces, with four students occupying each room.
At a cost of ₦1.2 billion, ASUU calculated that:
The union described the amounts as excessive and argued that intervention funds meant to improve declining tertiary institutions were being reduced through inflated, misplaced and irregular contracts.
Microteaching Laboratories in Colleges of Education
ASUU raised similar concerns about grants for microteaching laboratories in colleges of education.
According to the union, ₦12 billion was taken from TETFund for the construction of microteaching laboratories, but the funds were not released directly to the benefiting institutions.
Instead, the money was reportedly allocated to the National Commission for Colleges of Education through the Federal Ministry of Education.
ASUU argued that the NCCE, as a regulatory agency, was not intended to be a direct beneficiary of TETFund intervention grants.
The union stated that a single-hall structure intended to serve as a multimedia teaching laboratory was being constructed in each of 58 colleges of education at a cost of ₦200 million per institution.
While ASUU acknowledged that providing microteaching laboratories was relevant to teacher education, it criticised the process and described the contract costs as excessive.
First-Class Graduate Scholarship Scheme
The union also criticised the use of more than ₦1 billion from TETFund and the Petroleum Technology Development Fund to sponsor first-class graduates for postgraduate studies abroad.
More than ₦600 million was reportedly taken from TETFund for the programme.
ASUU argued that the beneficiaries were not members of staff of public tertiary institutions and that the expenditure therefore violated Section 7 of the TETFund Act.
The union also objected to the funds being administered by the NUC when a Federal Scholarship Board already existed within the Ministry of Education.
ASUU’s Position
ASUU called on the Federal Ministry of Education, the TETFund Board and the management of the Fund to respect the law establishing TETFund.
The union insisted that every operation and transaction involving the Fund should be guided strictly by the provisions of the Act.
It warned that it would not remain silent while bureaucrats and politicians allegedly took advantage of the absence of a properly constituted board or substantive executive secretary to misuse the Fund.
ASUU maintained that TETFund should remain an intervention agency and should not be used as a replacement for government’s responsibility to fund public tertiary education.
ASUU’s Demands
ASUU called on the Federal Government to:
immediately investigate the alleged irregularities involving TETFund, the Federal Ministry of Education and the National Universities Commission, and prosecute anyone found responsible;
direct the TETFund Board to ensure that funds meant for universities and other tertiary institutions were released directly to the institutions rather than regulatory agencies;
ensure that the approved 2013 TETFund budget allocations were implemented as approved; and
direct TETFund to begin releasing the 2013 regular and special interventions to all benefiting institutions without mixing them with the special intervention arising from the implementation of the 2009 FGN–ASUU Agreement.
Conclusion
The central concern raised by ASUU was that TETFund should remain a supplementary intervention fund rather than becoming the main source of government funding for tertiary education.
The union also demanded transparency, direct disbursement to benefiting institutions and strict compliance with the law establishing the Fund.
Whether every allegation made at the time was eventually established or not, the statement highlighted the importance of accountability in the management of funds intended to improve Nigeria’s public tertiary institutions.