Reps rejects Capital Projects budget of Ajaokuta Steel Complex

Date:

By Christiana Ekpa

The House of Representatives Committee on Mines and Steel Development , Tuesday rejected the approval of funds for capital projects at Ajaokuta iron and Steel Complex for failing to meet the expectations of the entire citizenry.

The Chairman of the House Committee Hon Abdullahi Halims and other committee members stated this at the Ministry of Mines and Steel Development budget defense at the National Assembly Abuja.

According to the committee, huge national resources should no longer be wasted on the facility for capital projects by any government until the complex is revived for benefits of all.

The chairman of the committee told the Minister and other top officials of the ministry that they are supposed to justify the 2023 budge estimates on recurrent and capital allocations in relation to the level of the 2022 budget performance and the status of capital projects implementation.

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He said: “we are witnesses that Nigeria today is facing the most uncertain economic realities and set back by unprecedented debt profile due to nation’s over dependence on oil sector and petroleum industry”.

The House Committee also expressed displeasure that there is no veritable and reliable statistics on the issue of illegal mining of minerals by foreigners and called on the Minster and other relevant authorities to halt the menace.

In his response the Minister said the Ministry has got the records of 2,000 arisanal miners in parts of the country, adding that there is no statistics in the quantity of mineral resources taken away by them from illegal mining activities.

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He further he further added that the concessioning of the moribund steel complex is expected to be completed in 2023 and assured the committee that there is no budget for capital project for the steel complex in the current budget.

He had earlier presented before the Committee a budget estimate of N10.096.526.00 for personnel cost, N25.046,280.26.00 for capital and N2.058,594,187.00 for overhead cost for the Ministry and its agencies for 2023.

He  told the Committee that inadequate funding, illegal mining and insecurity are the major challenges facing the ministry in the discharge of its constitional mandate in the critical actor of the nation’s economy.

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Some notable members of the House Committee who spoke against approval of funds for capital projects at the foremost industrization facility include Hon.Victor Mela, Hon.Ben Nzomdu and Hon. Mark Elena that represent federal constituencies in Gombe, Benue and Jigawa states respectively.

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