By Mercy Adi
The Minister of Steel Development, Mr. Shuaibu Audu, on Wednesday, announced that the long-awaited technical audit of the Ajaokuta Steel Company Limited will commence in early February. This development comes during the Ministry 2024 Budget Implimentation, and 2025 appropriation Defence with the joint committee on steel, at the national assembly complex Abuja.
Recall that the Federal Government signed a Memorandum of Understanding (MOU) with the original builders of the Ajaokuta Steel Plant, Tyazhpromexport, and their consortium members, Novostal M and Proforce Manufacturing Limited, in September 2024.
The technical audit is expected to pave the way for the rehabilitation, completion, and operation of the steel plant and the National Iron Ore Mining Company in Kogi State, Nigeria. However, Senator Natasha Akpoti-Uduaghan, a member of the committee representing Kogi Central Senatorial District, expressed concerns about the delay in commencing the audit, four months after the MOU was signed.
She 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. Yes, 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 Time is of the essence; we need a definite commencement date to ensure the project’s revival.”
Replying, the minister said, “I had a conversation with the Permanent Secretary this morning (Wednesday) on the commencement date.”
He then instructed the Permanent Secretary, Dr. Chris Osa-Isokpunwu, to update the panel on the start of the technical audit,
The permanent Secretary, Steel Development, Osa-Isokpunwu, responding to the questions said, “Immediately after the signing of the Memorandum of Understanding, the ministry commenced the procurement process for the technical and financial audit. Advertisements were made, time was given. The stage we are now in 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.
“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 slots 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 inquired about when the BPP would send the ‘no objection’ to the ministry, to which the Permanent Secretary replied that only the Director General of the BPE, Ayodeji Gbeleyi, could provide an answer.
Akpoti-Uduaghan further enquired, “How long have you been waiting for that ‘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 delay of process.”
Osa-Isokpunwu responded, “I’m not familiar with the processes 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.
The minister, in defence of the permanent secretary, attributed the delay to the procurement process and the need for approval from the Bureau of Public Procurement (BPP). He assured the committee that the ministry would ramp up efforts to obtain the necessary approvals by the end of January.
Audu 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’m hearing from the committee members. The feedback has been heard very loud and clear. I can assure you that I’ll 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’ve been following up is inadequate. We are going to put more gas to the pedal to ensure that the ‘no objection’ comes out.
“We have a lot more work to do in that regard. The Perm Sec 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’re 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’ll 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 to ensure that the ‘no objection’ comes out.”