MINISTERS LOSE PERKS
…Personal to holder vehicles, fuel allowances scrapped
FUEL allowances and personal to holder vehicles for ministers and permanent secretaries have been scrapped as part of government measures to reduce expenditure.
According to a Cabinet Circular Number 12 of 2018 issued to the Secretary to the Treasury and other relevant authorities, ministers would only have use of one vehicle and fuel allowances within station would be borne by themselves.
The measures include harmonization of all allowances and introduction of a vehicle replacement al-lowance effective 1st January 2018. All allowances already paid and not authorized in this circular, would be recovered forthwith.
fiA motor vehicle allowance, which shall be paid through the payroll at the rate of sixty (60) percent of monthly basic salary, plus total of statutory allowances has been introduced with effect from 1st January 2018,fl reads the circular.
fiMinisters shall now be re- quired to buy fuel for their official ministerial and personal motor vehicles within the district boundaries of the station. Government shall continue to maintain the official minis-terial vehicle.fl
The document states that allowances already paid will be recovered.
It states that ministers would not be entitled to a personal-to-holder motor vehicle.
fiThe entitlement to a personal-to-order motor vehicle has been monetized. To this effect, motor vehicle replacement allowance has been introduced to be paid at a fixed monthly rate of K32, 715, 20 through the payroll with effect from 1st January, 2018. Government shall not provide a personal-to-holder motor vehicles to ministers.fl
It also states that cabinet and provincial ministers would only be eligible to have one official ministeri-al vehicle which shall not be sold to them at the expiry of a contract.
Other measures introduced include harmonization of allowances for domestic and security guards.
Water, electricity, domestic servants, cell and land phone allowances have been consolidated into a non-statutory allowance which will be paid at a fixed monthly rate of K9, 975. 00 through the payroll with effect from 1st January 2018.
fiThis entails that ministers shall not be paid water, electricity, domestic servants, cell and land phone allowances from the Recurrent Department Charges (RDCs) with effect from 31st December 2017. Note that, whatever amounts have been paid in the form of above allowances from 1st January 2018, shall be recovered,fl it states.
The circular further noted that the harmonized conditions of service for ministers including salaries are taxable adding that only statutory allowances are non-taxable.
fiOther conditions of service not mentioned in this circular shall continue to apply. This circular super-sedes Cabinet Office Circular number 13 of 2002 with effect from 1st January 2018.fl