Technology

Reps maintain position on Ajaokuta Steel Company

The Nigerian House of Representatives has maintained its stand on stopping the government from concessioning the Ajaokuta Steel Company to any foreign companies, urging the government not to contravene the resolution.

The chairman Adhoc Committee and Leader of the House, Mr Femi Gbajabiamila stated this during the investigative hearing on the reason for the failure of Ajaokuta Steel Company to commence operation fully in the last forty years.

Mr Gbajabiamila questioned the rationale behind the non-completion of the steel company which has already achieved 98% completion saying that concessioning the company will be against national interest and security.

The lawmaker however wondered why funds were not included in the 2018 budget by the Ministry to complete the project describing the action as counter-productive.

Even if you want to sell something it is always better to sell finish products, for all intent and purposes you've not finish product and you get all sorts of offers correct. If there are only two per cent left why didn't the Ministry inject some money for 2018 budget? Gbajabiamila stressed.

The Minister of State Steel, Alhaji Bawa Bwari, who attributed the non-funding of the Ajaokuta project to corruption embedded on it over time said already, over eleven foreign companies have indicated interest to partner with government in reviving the Steel Company to work.

The Minister said the government had stopped the funding on Ajaokuta steel company due to corruption embedded on it over time.

Over six hundred million dollars is required to complete the remaining two percent of the Ajaokuta steel company for it to commence operation.

Source: Voice of Nigeria