The Senate on Tuesday passed the Bill for the Establishment of a Police Pension Board.
This followed the recent exit from the Contribution Pension Scheme by the National Assembly workers.
Pension operators have however said the expected funding provided in the police bill could not be sustained by the government if it was approved.
The bill excludes the Nigeria Police Force from the Contributory Pension Scheme, and returned the force to the old Defined Benefit Scheme.
Actuarial evaluations, according to industry stakeholders, it will cost the Federal Government N2tn pension liabilities to cater to about 300,000 police personnel.
The bill would make the Federal Government to fully fund the pensions for the police, as opposed to the CPS that requires contributions from workers and employees.
The upper chamber announced on its Twitter handle on Tuesday that it had passed the bill, despite opposition from industry stakeholders at the public hearing organised by the Senate Committee on Police Affairs on January 20, 2023.
The National Pension Commission which regulates the industry, the Pension Fund Operators Association of Nigeria and the Nigeria Labour Congress all opposed the bill.
Speaking with The Punch on the new development, the Chief Executive Officer, Pension Fund Operators Association of Nigeria, Oguche Agudah said, “Funding the N2tn from the independent actual valuation of the police is not sustainable. They should look at the bigger picture, the sustainability and affordability; they need to understand the financial implication.”