N/Assembly Frowns At Slow Pace Of Work At Ajaokuta Steel Firm

Senators on Wednesday expressed displeasure at the slow pace of work at the Ajaokuta Steel Firm as the Minister of Steel Development appeared to defend the ministry’s 2025 budget proposal.

Specifically, the lawmakers raised questions on the technical audit on various components of the firm, which the Minister, Shuaibu Abubakar Audu, assured will begin in February.

It’s the technical audit that would kickstart the rehabilitation, completion and operation of the steel plant.

It is also expected to pave the way for the operation of the National Iron Ore Mining Company (NIOMCO), both located in Kogi State.

The Federal Government signed the Memorandum of Understanding (MoU) with the original builders of the Ajaokuta Steel Plant Messrs, Tyazhpromexport (TPE).

A Consortium, Messrs Novostal M and Proforce Manufacturing Limited is also involved in the technical audit.

A member of the joint National Assembly committee, Senator Natasha Akpoti-Uduaghan, however, was not convinced about the dateline given by the Minister.

Answering Akpoti-Uduaghan’s question on the project, the
Minister said the MOU was signed in September last year.

The lawmaker then wondered why the Ministry has not commenced work on the MOU ever since.

Akpoti-Uduaghan said, “We are now approaching the end of January. When will the technical audit start? When will it start? Because to me, I believe we should tackle that project wholesomely. We need to start with a technical audit so that the buildup of repairs will commence immediately.

“Can you tell us when we would expect the Russians with their partners to commence the technical audit because we are running out of time.”

Replying the Minister said, “I had a conversation with the Permanent Secretary this morning Wednesday) on the commencement date.”

Taking it up from there, the Permanent Secretary, Dr. Chris Osa-Isokpunwu said,
“Immediately after the signing of the MOU, of the Ministry commenced the procurement process for the technical and financial audit.

“Advertisements were made, time was given. The stage we are now, is preparation to present it to the Federal Executive Council for approval.

“Once that presentation is made and the Federal Executive Council approves that project, then the technical audit will start”.

But Akpoti-Uduaghan fired back, “The Federal Executive Council sits every week. Are you guaranteeing Nigerians that at the next Federal Executive Council, the technical audit proposal will be approved?”

The Permanent Secretary replied, “What I would say at this point is that as soon as we get the ‘no objection’ to proceed to the Federal Executive Council by the Bureau of Public Procurement, we will take the memo to the Federal Executive Council.

“That will be based on the availability of slot for the presentation of memos at FEC. I do not run the Secretariat of FEC.

“However, once the Bureau of Public Procurement issues us the certificate of no objection, within 48 hours after, the Honourable Minister will transmit the memo to the Secretariat of FEC.”

Akpoti-Uduaghan then asked him when the BPP would send the ‘no objection’ to the Ministry, to which the Permanent Secretary said only the Director General of the BPE, Ayodeji Ariyo Gbeleyi, could answer the question.

Still not satisfied with the answer to her question, Akpoti-Uduaghan said, “How long have you been expecting the ‘no objection’ from BPP?”

“I need to know the timeline. How long has it been? Did you just submit the proposal last week? Or last month? Or two months ago? We need to know. Maybe it’s BPP we are going to hold responsible for the delay of the process. ”

But Osa-Isokpunwu said he was not familiar with the workings of the Bureau of Public Procurement.

“We submitted our request for ‘no objection’ about two months ago. So Chairman, I don’t know if I can help you.”

Piqued by the response of the Permanent Secretary, the committee members accused him of being lackadaisical with his approach to the project.

Apparently to douse the rising tension, the Minister accepted responsibility for the slow pace of the entire process.

The Minister said, “Mr. Chairman and distinguished members, I think the feedback from the joint committee is loud and clear. The speed at which we are going through the process of getting a ‘no objection’ from BPP is too slow.

“I think that is the message that I am hearing from the committee members. The feedback has been heard very loud and clear. I can assure you that I will continue to put the Permanent Secretary under a lot of pressure for us to get out the ‘no objection’.

“Perhaps, the methods and the way we have been following up is inadequate. We are going to put more gas to the pedal to ensure that the ‘no objection’ comes out.

“This is because it’s very, very important to Nigerians for the technical audit to start, particularly with the original builders and their Nigerian representatives.

“We have a lot more work to do in that regard. The Permanent Secretary has heard, directors of the ministries have heard very loud and clear that the joint committee on steel is unhappy with the pace at which we are processing the ‘no objection’ from BPP. So I want to appeal to your further patience.

“In the next few days, I can assure you that we are going to ramp up efforts to at least get out the ‘no objection’. Today is 22nd of January. I believe before the end of the month we will get it.

“I will do everything humanly possible to ensure that it comes out so that we can get these things going. So I want to assure you that I’ll put the ministry under pressure. I’ll continue to put the Permanent Secretary under pressure.

“Everybody can hear me. Nigerians can hear me. The directors are all here. The person that liaises with BPP is here. The Permanent Secretary is here. All the most senior memberships are here.

“The pace at which we are getting, we are processing this BPP ‘no objection’ is too slow. We need to bring it out, latest by the end of January and we hope to get the FEC approval immediately.”

The National Assembly joint committee unanimously knocked the ministry for holding on to about N2 billion meant for agencies under its supervision.

They then directed the Minister to return the N2 billion to the agencies to avoid its possible misappropriation.

N/Assembly Frowns At Slow Pace Of Work At Ajaokuta Steel Firm is first published on The Whistler Newspaper