Speaker of the House of Representatives, Abbas Tajudeen, has emphasised the urgent need to revive the Ajaokuta Steel Company by completing the remaining two percent of the plant, which has remained dormant for years.
Speaking at a public hearing on the proposed Ajaokuta Steel Special Trust Fund, Abbas said the initiative aims to provide a sustainable funding source for the steel sector, strengthening Nigeria’s economy.
He noted that the Trust Fund would ensure stable and predictable financing for the sector, even during economic downturns.
According to him, an analysis of the fund’s framework highlights its potential to enhance economic resilience, foster philanthropy, and support local development initiatives addressing critical national needs.
“I understand that the establishment of The Nigerian Ajaokuta Special Trust Fund raises important questions and concerns. I want to assure you that the House has carefully considered the governance structure, investment strategy, and distribution policies to ensure that the fund is managed in a responsible, transparent, and accountable manner and resolved to present the bill to the public for their input.
“There is an urgent need to position the Ajaokuta Steel Company for success to revive our steel industry and lead the world in steel production. This involves completing the remaining 2% of the project, which has been stalled for decades; diversifying products and services is another key strategy.
“I understand that the Ajaokuta Steel Company can explore producing a range of steel products, including flat sheets, long products, and specialty steels, to cater to various industries. It would also offer value-added services like fabrication, machining, and Infrastructure Development.
“The completion of the Itakpe-Ajaokuta-Warri railway line, which was inaugurated in 2020, will facilitate the transportation of raw materials and finished goods.
“Investing in modern equipment and technology will improve efficiency and reduce costs. Human Capacity Development is vital to ensure the company has the necessary skills and expertise to operate effectively,” he said.
He explained that the need for the bill is imperative, adding that “it cannot be done without the support and cooperation of Nigerians whose mandate we hold. It is for this reason that we have invited you to elicit your views and suggestions.
“We believe that the establishment of The Nigerian Ajaokuta Special Trust Fund is a critical step towards building a more sustainable, resilient, and prosperous steel sector for all”.
Chairman of the House Committee on Steel, Zainab Gimba said the gathering marks a turning point in the collective efforts to unlock the full potential of Nigeria’s industrial sector, through the revitalization of the Ajaokuta Steel Company.
She said the Ajaokuta Steel Plant is not just a national asset; it represents a symbol of industrial hope and economic independence, adding that It’s completion and full operation hold the key to ending Nigeria’s over-dependence on oil and transitioning the country from a mono-economy to a diversified and industrialized economy.
According to her, Steel remains the backbone of industrialization, powering sectors such as construction, transportation, energy, manufacturing, and technology.
She said: “Imagine a Nigeria where our industries rely on locally produced steel, reducing the pressure on foreign exchange, creating jobs, and stimulating local industries. A functional Ajaokuta Steel Plant would lead to cost-effective infrastructure development, affordable housing projects, and an industrial revolution that drives sustainable economic growth.”
