The Red Chambers of the Nigerian National Assembly has resolved to probe the affairs of Ajaokuta Steel Company Limited and the National Ore Mining Company in Kogi State from 2008 till date.
It was intended to solve the riddle surrounding the $496 million payment that the Federal Government is said to have made in September 2022 to Mr. Pramod Mittal, Chairman of Global Infrastructure Holdings Limited, as a settlement of contractual issues.
In addition, it decided to look into what caused NIOMCO to re-concession even after the Yar’adua administration had rightfully terminated the first concession arrangement, as confirmed by the International Chamber of Commerce, London.
Africa Today News, New York reports that the Senate’s resolutions to this effects were sequel to a motion sponsored by Senator Senator Natasha Akpoti-Uduaghan ( PDP Kogi Central) and exhaustively debated by many of the Senators.
She said the Ajaokuta Steel Company Limited and the National Iron Ore Mining Company located in Kogi State were established sometime in the late 70s by the Federal Government with the potential to put Nigeria on the path of technological and industrial advancement and establish the country as one of the leading exporters of steel products in the world.
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She lamented that decades after their establishment, the Ajaokuta Steel Mill and NIOMCO have been unable to produce steel despite efforts by successive administrations due to a lack of earnest political will and bureaucratic corruption.
According to her, Nigeria currently expends about $3.3bn annually on steel imports.
She said, “This has further worsened the inefficiency of the moribund company with the recently queried 33bn naira electricity debt incurred by Presidential villa.”
The Senate after debate on the motion, consequently set up a committee to be chaired by Senator Adeniyi Ayodele Adegbonmire ( SAN) with senators Natasha Akpoti (Kogi Central), Onawo Mohamed (Nasarawa South) Joel Onowakpa (Delta), Onyesoh Allwell Heacho (Rivers East) Abdullahi Yahaya (Kebbi North), Sen Patrick Chukwuba Ndubueze (Imo North), Tokunbo Abiru (Lagos East) and Osita Ngwu (Enugu West) as members.
While the committee is to report back to the Senate in two weeks, they are also to interface with relevant Ministries, Departments and Agencies and other critical stakeholders in the steel sector especially those with interest in Ajaokuta Steel Manufacturing Plant and (all mining company NIOMCO to obtain relevant information and submit a comprehensive report to the Senate regarding the affairs of the two plants between 2018 to date.