News
Taiwo Oyedele Defends Nigeria Tax Act, Says KPMG Misunderstood Policy Intent
Taiwo Oyedele Defends Nigeria Tax Act, Says KPMG Misunderstood Policy Intent
The Chairman of the Presidential Fiscal Policy and Tax Reforms Committee, Taiwo Oyedele, has strongly defended the Nigeria Tax Act (NTA), insisting that KPMG Nigeria misunderstood the policy intent and mischaracterised several deliberate choices embedded in the reform.
Oyedele made the clarification in a statement issued on Saturday in response to KPMG’s analysis of the Nigeria Tax Act, which highlighted what the firm described as “errors, inconsistencies, gaps, omissions and lacunae” in the new tax laws and called for urgent reviews.
Reacting to the critique, Oyedele said the committee welcomed constructive feedback but noted that much of KPMG’s publication reflected a poor understanding of the reform objectives.
“We welcome all perspectives that contribute to a shared understanding and successful implementation of the new tax laws,” Oyedele said. “However, the majority of the publication reflected a misunderstanding of the policy intent, a mischaracterisation of deliberate policy choices, and, in several instances, the presentation of opinion and preference as facts.”
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While acknowledging that some points raised by KPMG were useful—particularly those relating to implementation risks and clerical or cross-referencing issues—Oyedele stressed that many of the issues labelled as errors were either incorrect conclusions or matters taken out of context.
According to him, several of the so-called gaps identified by KPMG fall into categories such as the firm’s own analytical errors, failure to understand broader reform objectives, preference for alternative outcomes over deliberate policy choices, or minor editorial issues already identified internally by government.
“While it is legitimate to disagree with policy direction, disagreements should not be framed as errors or gaps,” Oyedele said, adding that KPMG could have achieved better results through direct engagement with policymakers, as done by other professional firms.
What KPMG Failed to Highlight
Oyedele also criticised KPMG for omitting key structural improvements introduced under the Nigeria Tax Act, which he described as transformative for the economy. These include:
- Simplification and harmonisation of taxes
- Reduction of corporate tax rate from 30% to 25%
- Expanded input VAT credits for businesses
- Tax exemptions for low-income earners and small businesses
- Elimination of minimum tax on turnover and capital
- Improved investment incentives for priority sectors
He noted that a balanced assessment would have recognised these reforms as central to building a more competitive and inclusive tax system.
Way Forward
Oyedele explained that the tax reform was the outcome of extensive stakeholder consultations, including public hearings during the legislative process, and opportunities for professional firms—local and international—to contribute technical expertise.
He acknowledged that minor clerical inconsistencies may arise in any major tax overhaul but said these were already being addressed within government.
“The tax reform represents a bold step toward a self-sustaining and competitive Nigeria,” Oyedele said, adding that the law’s effectiveness now depends on administrative guidance, regulatory clarity, and continuous engagement with stakeholders.
He urged critics to shift from what he termed “static critique” to “dynamic engagement” to support effective implementation of the new tax laws.
Taiwo Oyedele Defends Nigeria Tax Act, Says KPMG Misunderstood Policy Intent
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Education
Oyo Muslim Leaders Receive Saudi Delegation, Intensify Drive for Muslim College of Nursing
Oyo Muslim Leaders Receive Saudi Delegation, Intensify Drive for Muslim College of Nursing
OYO, August 1, 2026 – Muslim leaders in Oyo Kingdom on Saturday received a high-powered delegation from the Kingdom of Saudi Arabia in a visit that underscored growing collaboration in education, healthcare and Islamic development, with renewed commitment towards the establishment of a Muslim College of Nursing in Oyo.
The delegation was accorded a warm reception at a gathering attended by prominent Islamic scholars and community leaders from Oyo Land.
Among the dignitaries present were the Grand Chief Imam of Oyo Land, Fadhilatu Shaykh Imam Bilaal Husayn Akinola Akeugberu; Ash-Shaykh Sulayman Akhyar, who served as the special guest; Ash-Shaykh Mainasaro, the Ameerul Muslimeen; the Aare Musulumi of Oyo Land, Alhaji Adebayo Kamarise; the Chairman of the Muslim Community of Oyo Land; Khalifa Hasbunallah Al-Oyowiyy; and several other religious leaders and stakeholders.
The gathering focused on mobilising support for the proposed Muslim College of Nursing, an initiative aimed at expanding access to quality healthcare education while promoting excellence in professional training within the Muslim community.
In his welcome address, the Grand Chief Imam of Oyo Land, Shaykh Bilaal Husayn Akinola Akeugberu, expressed appreciation to the Saudi delegation and other distinguished guests for identifying with the vision of establishing the institution. He described the proposed college as a strategic investment in human capital development that would benefit not only Muslims but the wider society.
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Also present at the event were the Muslim Ummah of Oyo Land and Fadhilatu Shaykh Dr. Rofeeu Adisa Ballo, who joined other leaders in reaffirming their commitment to ensuring the successful establishment and growth of the proposed college.
Speakers at the event stressed the importance of strengthening educational and healthcare institutions capable of producing highly skilled professionals while nurturing moral and ethical values rooted in Islamic teachings.
Special prayers were offered for the success of the proposed institution, with participants praying that Almighty Allah bless the sponsors, donors, scholars and all individuals contributing to the realisation of the project.
The visit also featured discussions on strengthening the longstanding relationship between the Muslim community in Oyo Kingdom and the Kingdom of Saudi Arabia. Participants emphasised the need for sustained cooperation in religious, educational and humanitarian programmes aimed at advancing the welfare of the Muslim Ummah.
In a symbolic gesture that drew commendation from attendees, the Grand Chief Imam granted approval for the head of the Saudi delegation to lead the Jumu’ah prayer at the Oyo Central Mosque, Akesan.
The honour, according to participants, reflected the spirit of Islamic brotherhood, mutual respect and unity among Muslims across national boundaries.
Addressing the gathering, the Chief Imam reiterated that Islam encourages peace, dialogue and cooperation among believers, urging Muslim communities around the world to work together in promoting justice, harmony and understanding.
He said such partnerships remain essential to addressing contemporary challenges through education, religious enlightenment and community development.
Responding on behalf of the delegation, its leader expressed gratitude to the Chief Imam, traditional Muslim leadership and the people of Oyo for the warm reception accorded the visitors.
He described the opportunity to lead the Jumu’ah prayer as a great honour and reaffirmed Saudi Arabia’s commitment to strengthening religious cooperation and supporting initiatives that promote peace, unity, education and mutual understanding among Muslims.
The delegation noted that collaborations centred on education and healthcare development would contribute significantly to the growth of Muslim communities and the overall advancement of society.
The event concluded with prayers for enduring peace, stability and prosperity in Nigeria, Saudi Arabia and the global Muslim Ummah.
Participants described the visit as a landmark engagement that not only reinforced the bonds of brotherhood between Oyo Muslims and their Saudi counterparts but also provided renewed momentum for the actualisation of the Muslim College of Nursing, which they said would serve generations of students and healthcare professionals.
Oyo Muslim Leaders Receive Saudi Delegation, Intensify Drive for Muslim College of Nursing
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News
FG to phase out electricity subsidy from 2027 as power sector debts rise
FG to phase out electricity subsidy from 2027 as power sector debts rise
The Federal Government has announced plans to gradually phase out electricity subsidies from 2027 as part of efforts to address rising debts in the power sector, improve financial sustainability and strengthen electricity supply across the country.
Minister of Power Joseph Tegbe disclosed the plan during a media interactive session on Friday, saying the government would introduce the changes gradually while ensuring that Nigerians continue to have access to electricity.
Tegbe said the Federal Government had received a mandate from President Bola Tinubu to clear outstanding debts in the electricity industry and establish a sustainable system that would prevent the accumulation of new obligations.
“We have the mandate of Mr President to clear the legacy debt and come up with sustainable structures to make sure this doesn’t pile up any more,” the minister said.
He expressed confidence that the government would bring an end to the current electricity subsidy arrangement in 2027 while working to improve the quality and reliability of power supply.
“I promise you, next year, by God’s grace, we will put a stop to this so-called subsidy in the power sector,” Tegbe said.
The minister assured consumers that the planned reforms would not result in a loss of access to electricity services.
According to him, the government’s objective is to reduce the financial burden created by the subsidy system while improving the performance of the electricity sector.
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“Mr President, we will not deprive Nigeria of anything. We’ll make sure Nigerian consumers continue to have power and improve power services,” he added.
Tegbe also stated that there was no immediate plan to increase electricity tariffs, despite concerns that the proposed phase-out of subsidies could lead to higher electricity bills.
However, the minister did not provide details on the timetable for the subsidy withdrawal, the categories of consumers that may be affected or the measures that would be introduced to protect low-income and vulnerable households.
The planned reform comes amid growing concerns over the financial challenges facing Nigeria’s electricity industry.
The Federal Government previously estimated the cost of electricity subsidies at about ₦3 trillion as of February 2024, while power generation companies, known as GenCos, have continued to report significant unpaid obligations.
The Association of Power Generation Companies has said electricity generation companies are owed about ₦6.5 trillion, raising concerns about the financial health of the sector and its ability to sustain electricity generation.
The outstanding debts include unpaid invoices and other obligations linked to electricity supplied to the national grid.
To address the problem, President Tinubu recently approved a ₦4 trillion power sector debt reduction programme aimed at settling verified legacy debts and improving liquidity across the electricity value chain.
The programme is expected to support the payment of outstanding obligations owed to power generation companies and other participants in the sector.
In January 2026, the Federal Government issued an inaugural ₦501 billion bond under the Presidential Power Sector Debt Reduction Programme.
The bond was designed to help settle verified debts owed to electricity generation companies and support efforts to stabilise the sector.
On July 20, the government announced a second tranche of about ₦729 billion to settle additional verified debts owed to power generation companies.
The debt-settlement programme is expected to reduce financial pressure on electricity producers and improve their capacity to maintain operations, pay gas suppliers and invest in power infrastructure.
The proposed subsidy phase-out also aligns with recommendations by the International Monetary Fund (IMF), which has encouraged Nigeria to gradually reduce broad electricity subsidies and adopt more targeted support for households that need assistance.
Supporters of the reform argue that reducing subsidies could improve the financial viability of the electricity market, attract private investment and help power companies maintain and expand infrastructure.
However, consumer groups and businesses have raised concerns that higher electricity costs could increase financial pressure on households and raise operating expenses for companies.
The impact of the proposed reform may depend on the government’s ability to improve electricity supply, expand access to prepaid meters, reduce estimated billing and ensure that consumers receive better services.
Earlier this year, President Tinubu also directed ministries, departments and agencies to apply existing electricity laws in determining how subsidy costs should be shared among the federal, state and local governments in the 2026 budget.
The move is expected to support a more coordinated approach to electricity financing following reforms that expanded the role of state governments in electricity generation, transmission and distribution.
As the 2027 target approaches, the Federal Government is expected to provide more details on the implementation framework, consumer protection measures and the steps that will be taken to prevent the reforms from causing undue hardship.
The government will also face growing pressure to ensure that improvements in electricity generation, transmission and distribution accompany the gradual withdrawal of subsidies.
For many consumers, the success of the policy may ultimately be measured by whether it delivers more reliable electricity, fair billing, improved customer service and better value for money.
FG to phase out electricity subsidy from 2027 as power sector debts rise
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