The Oronsaye Report: A Blueprint for Public Sector Reform in Nigeria

The Oronsaye Report represents one of Nigeria’s most ambitious efforts to reform the country’s civil service structure. Established by former President Goodluck Jonathan in 2011 and led by Stephen Oronsaye, then Head of Service, the Presidential Committee on the Restructuring and Rationalization of Federal Government Parastatals, Commissions, and Agencies produced a thorough assessment aimed at streamlining Nigeria’s expansive, costly, and often redundant public service sector. This report, submitted in 2012, brought forth a blueprint for cost-cutting, structural reorganization, and operational efficiency—offering a roadmap to save Nigeria billions in public funds. Despite its potential to revitalize the Nigerian civil service, however, the Oronsaye Report remains only partially implemented, largely due to political and structural challenges.

Background and Purpose of the Oronsaye Report

The Oronsaye Report originated in response to Nigeria’s excessive spending on recurrent expenses, particularly in the public sector. The country’s burgeoning Ministries, Departments, and Agencies (MDAs) had grown to an unsustainable level, with multiple agencies performing overlapping functions, which drained financial resources and led to inefficiencies in service delivery. By 2011, it was estimated that about 70% of the national budget was allocated to maintaining recurrent expenditure, primarily the cost of running MDAs. In a bid to tackle these issues, the government established the Oronsaye Committee to assess the sector and propose measures to cut costs, boost efficiency, and reduce redundancy.

Key Findings of the Oronsaye Report

The Oronsaye Committee’s investigations revealed that Nigeria’s civil service was rife with duplication and overlap. Some agencies performed nearly identical functions, while others were created without a clear mandate or justification for their existence. Notable findings included:

  1. Redundant MDAs: The committee identified 541 government MDAs, many of which had overlapping or duplicative roles. For example, some agencies that handled similar responsibilities across education, research, and technology could be effectively consolidated.
  2. High Cost of Governance: With recurrent spending exceeding capital expenditures, the government’s fiscal priorities were skewed, limiting funds available for infrastructure, health, and education. The cost of maintaining MDAs, personnel, and their operations was crippling the nation’s budget.
  3. Wastage of Public Funds: A significant portion of public funds was being spent on administration, salaries, and operational costs rather than on development projects, meaning that the service was far less productive than it could have been.

Major Recommendations of the Oronsaye Report

To address these issues, the Oronsaye Report proposed a wide range of recommendations, which included:

1. Reduction of MDAs

The report recommended cutting down Nigeria’s 541 MDAs to 161 through various actions:

  • Dissolving 38 agencies entirely.
  • Merging 52 others with existing entities.
  • Reclassifying or streamlining 14 agencies to reduce redundancy and ensure better service delivery. The proposed changes would result in a smaller, more manageable public service structure focused on efficiency and cost-effectiveness.

2. Merger of Agencies with Similar Functions

Many agencies in Nigeria were created to serve specialized functions that eventually overlapped with other organizations. The Oronsaye Report recommended merging these agencies to minimize duplication. Examples included agencies involved in technology, financial regulation, and agricultural research.

3. Scrapping Non-Essential and Redundant Agencies

Several agencies that were deemed unnecessary or redundant were recommended for dissolution. These included commissions and boards that no longer served a distinct purpose or whose functions could be absorbed by other agencies without loss of service quality.

4. Improving Operational Efficiency

The Oronsaye Report also called for reforms to boost productivity and improve service delivery within the remaining MDAs. By reducing the number of agencies and focusing on performance metrics, the government could hold agencies accountable for their results, incentivizing better performance.

5. Cost-Cutting in Recurrent Expenditure

Implementing these recommendations would lead to an estimated savings of over ₦1 trillion over three years. These savings could then be reallocated to critical sectors such as infrastructure, health, education, and technology, spurring national development.

6. Developing a Smaller, Skilled Workforce

A streamlined public service would naturally lead to workforce reductions. By eliminating redundant roles and focusing on key functions, the government could provide better conditions for remaining employees, incentivize skill development, and ultimately create a smaller but more competent workforce.

Expected Benefits of the Oronsaye Report Recommendations

If fully implemented, the Oronsaye Report could have several far-reaching impacts:

  • Cost Savings: By reducing the number of MDAs and trimming down the workforce, the government could save billions in administrative costs annually, helping to balance the budget.
  • Efficient Service Delivery: With fewer agencies, the government would have a clearer focus, streamlined responsibilities, and less bureaucratic overlap, leading to faster decision-making and service delivery.
  • Increased Funding for Developmental Projects: Reducing recurrent expenditure would free up resources for capital projects, helping to improve infrastructure and services such as healthcare, education, and transport.
  • Stronger Civil Service: A leaner workforce would result in higher wages and better working conditions for remaining employees, leading to a more motivated and productive civil service.

Challenges Facing the Implementation of the Oronsaye Report

Despite the potential benefits, the implementation of the Oronsaye Report has faced numerous obstacles:

  1. Political Resistance: The prospect of reducing the number of MDAs and laying off workers is politically sensitive. Politicians may resist reforms that could lead to job losses or reduced influence over patronage-driven appointments within MDAs.
  2. Union Opposition: Labor unions in Nigeria have been vocal in opposing layoffs and agency dissolutions, arguing that this would lead to significant job losses and harm workers’ livelihoods.
  3. Structural Complexity: Many agencies have deeply embedded roles and functions that are difficult to dismantle. Consolidating or dissolving them requires extensive legal and bureaucratic maneuvers.
  4. Lack of Political Will: Successive administrations have lacked the will to push through these reforms in the face of significant opposition, preferring to make partial or symbolic changes rather than fully implementing the recommendations.
  5. Public Perception and Job Security Concerns: The Oronsaye Report’s recommendations affect a significant portion of the workforce, raising concerns among the public regarding job security and economic stability.

Partial Implementation and Current Status

Although the Nigerian government began to implement parts of the Oronsaye Report, these steps have been slow and incomplete. For instance, some agencies were merged or absorbed, but many of the more drastic recommendations—like the dissolution of 38 agencies—were not fully executed. This piecemeal approach has resulted in limited cost savings and little improvement in efficiency.

In recent years, there have been renewed calls from economic experts, civil society groups, and international organizations urging the government to revisit the Oronsaye Report to streamline the public service sector and reduce wasteful expenditure.

Conclusion: The Oronsaye Report as a Missed Opportunity

The Oronsaye Report represents a well-researched, practical approach to transforming Nigeria’s public service for greater efficiency and sustainability. Full implementation of its recommendations would drastically reduce the financial burden on the government and free up resources for more impactful projects. However, political, structural, and social obstacles have stymied progress, leaving the report as a largely unfulfilled promise.

As Nigeria continues to face budgetary constraints and seeks ways to improve governance, revisiting and implementing the Oronsaye Report could serve as a catalyst for positive change. The challenges are significant, but with strong political will and strategic engagement with stakeholders, the government could successfully implement this crucial reform to foster a leaner, more effective public sector.

Leave a Comment