News
Experts lament as FG spends N20bn on idle Ajaokuta Steel in six years
The Federal Government allocated N20.4bn to Ajaokuta Steel Company Limited from 2016 to 2021 despite the company’s idleness.
The data were collated from the appropriation bill for each year available on the website of the Budget Office of the Federation.
In 2016, N295.1m was allocated with N135.2m released by October of that year.
However, a detailed breakdown of the expenditures for the year was not available.
In 2017, the total allocation was N4.3bn with recurrent expenditures at N3.9bn and capital expenditures at N354.1m.
For the recurrent expenditures, total personnel cost was put at N3.8bn while total overhead cost was put at N75.3m.
In 2018, the total allocation was N4.3bn with recurrent expenditures at N3.9bn and capital expenditures at N354.1m.
For the recurrent expenditures, total personnel cost was put at 3.8bn while total overhead cost was at N75.3m.
Further breakdown showed that salaries and wages cost N2.9bn, allowances and social contribution cost 895.3m, uniforms and other clothing cost N2.5m, refreshments and meals cost N1.8m, and purchase of bus cost N41.3m.
Funds were also budgeted for certain projects such as the maintenance of power facilities for N106.3m, construction /provision of water facilities for N196.5m, lighting and security of Ajaokuta steel plant at N10m and purchase of a 30-seater bus at N413m.
In 2019, the total allocation was N3.6bn with recurrent expenditures at N3.3bn and capital expenditures at N262m.
For the recurrent expenditures, total personnel cost was put at N3.25bn while total overhead cost was put at N75.3m.
Further breakdown showed that salaries and wages cost N2.5bn, allowances and social contribution cost N793.6m, uniforms and other clothing cost N2.5m, refreshments and meals cost N1.8m, and purchase of bus cost N41.3m.
Funds were also budgeted for certain projects such as the maintenance of power facilities for N87.7m, construction /provision of water facilities for N123m, lighting and security of Ajaokuta steel plant at N10m and purchase of a 30-seater bus at N41.3m.
In 2020, the total allocation was N3.7bn with recurrent expenditures at N3.6bn and capital expenditures at N147.2m.
For the recurrent expenditures, total personnel cost was put at N3.5bn while total overhead cost was put at N51.5m.
Further breakdown showed that salaries and wages cost N43.3m, allowances and social contribution cost N5.4m, uniforms and other clothing cost N273,684, and refreshments and meals cost N1.6m.
Funds were also budgeted for certain projects such as the maintenance of power facilities for N43m, construction/provision of water facilities for N94.2m, and lighting and security of Ajaokuta steel plant at N10m.
In 2021, the total allocation was N4.2bn with recurrent expenditures at N4bn and capital expenditures at N253.9m.
For the recurrent expenditures, total personnel cost was put at N3.9bn while total overhead cost was put at N72.3m.
Further breakdown showed that salaries and wages cost N3bn, allowances and social contribution cost N846.5m, uniforms and other clothing cost N2.5m and refreshments and meals cost N1.8m.
Fund was budgeted for only one project in 2021, which was the construction/provision of water facilities for N80m.
Russia’s Tyazpromoexport built the plant, which was incorporated in 1979.
The steel mill reached 98 per cent completion in 1994, with 40 of its 43 plants having been built before it got stuck, with the remaining two per cent for external infrastructure like waterways and viable ports.
Despite the regular budget, the steel company is yet to commence full operations in over 42 years, with the government making failed attempts at privatisation and concession.
In an attempt to revamp the company, an Indian company, Global Steel Holdings Limited, won the concession of the Ajaokuta steel mill for a 10-year period but the agreement was revoked when the Federal Government accused the firm of asset stripping, a development which led to a court case between the two parties.
The Federal Government announced in 2016 that the legal dispute had been resolved, after it reportedly ceded the National Iron Ore Mining Company, Itakpe, to Global Steel for the remaining concession period, in line with an agreement reached during mediation talks.
However, the resolution has since turned contentious.
In 2019, the President, Major General Muhammadu Buhari (retd.), ordered the completion of the company.
In 2020, the Senate also passed a resolution urging the Federal Government to, as a matter of urgency, complete the Ajaokuta Steel Complex.
The Federal Government inaugurated the Ajaokuta Presidential Project Implementation Team.
The Minister of Mines and Steel Development, Olamilekan Adegbite, said that the Ajaokuta Presidential Project Implementation Team would enact a pact reached between Buhari and Russia’s President Vladimir Putin, which required the East European country to assist in completing the project and finding a Russian firm to manage it on Build-Operate-and-Transfer basis.
The minister said that Afreximbank would fund the project with $1bn, while the Russians would offer $460m, adding that a Russian firm, MetProm Group, would ensure the completion and operation of the steel company.
However, efforts at concession have failed.
There had also been calls on the Federal Government to privatise the company.
The Federal Government halted privatisation move, stating that the problem with the Ajaokuta Steel Company was very complex.
Adegbite had said that the Ajaokuta Steel Company Ltd. would function to capacity before the end of the regime of Buhari.
The minister added that the Federal Government had made efforts to ensure that the Russian company that built the steel industry would come to Nigeria to conduct a technical audit of the company.
Ajaokuta steel project, a waste of government scarce resources, say experts
An economist and a senior lecturer of economics at the Pan Atlantic University, Dr Olalekan Aworinde, who said that he was familiar with the establishment, described the company as a waste of government resources as it is currently inactive.
He, however, said that the company had the potential to significantly drive down unemployment, improve economic growth and boost the country’s foreign reserves.
He said, “I believe it is just a waste of government resources because If you go there you will see that there are a lot of workers, getting paid without working.
“Also, majority of the infrastructures that are put in place in that country are out of date and moribund; they can’t serve any purpose at this time.
“The only solution is to update the technology and equipment. The government should be ready to do a total overhaul of the establishment; bring in the right people and the latest technology.
“Iron oil is in abundance in Itakpe. So, if the government is able to revamp the establishment, it can reduce the rate of unemployment to a reasonable level.
“This will contribute immensely to the Gross Domestic Product growth of the country. It will also lead to the appreciation of the naira as we are going to demand less of the dollar.
“You see all those steel that we import into the country, they require foreign exchange to get them into the country.
“In summary, a functional Ajeokuta Steel Company will mean improved economic growth, reduction in unemployment. It will also help to stabilise the forex market and improve our foreign reserves.”
A former President of the Nigerian Metallurgical Society and a professor of metallurgical and materials engineering, Federal University of Technology, Akure, Benjamin Adewuyi, said that the problem with Ajaokuta was internal.
He said, “Ajaokuta Steel Company has a problem that is internal but it is not that it cannot be revived. Ajaokuta can be revived.
“The greatest problem is that those people who have benefitted in past in the corruption of Ajaokuta will not allow Ajaokuta to function.”
He added that the company could function in six to eight months if the government implemented a steel programme and allowed those in the Ajaokuta Presidential Project Implementation Team to function.
He added, “We have told the government several times that in less than six to eight months, Ajaokuta will start functioning if a steel programme is put in place.
“If the government allows the people who have been appointed to look at the situation in Ajaokuta to function, I am sure very soon we will see the difference between the moribund industry and the functioning industry.”
He further emphasised the need for a steel university, which he believed would provide manpower for the steel company.
“If Ajaokuta starts to work, it would require a steel university to bring out manpower for the steel plant to function well,” he said.
In May this year, the Senate passed the Nigerian Steel University Bill after the adoption of the report of the Senate Committee on Tertiary Institutions and TETFUND.
Sen. Sam Egwu, who presented the report of the Committee on behalf of the Chairman, Sen. Ahmed Kaita, said that the Nigeria Steel University, when established, would provide the required manpower for metallurgical and technological advancement in the country.
PUNCH
The Federal Road Safety Corps (FRSC) has announced the demise of its Enugu State Sector Commander, Corps Commander Franklin O Agbakoba.
This is contained in a statement issued by FRSC Deputy Corps Commander in-charge of Enugu State Operations, DCC Kyrian C Okolo, on Friday in Enugu.
“FRSC Enugu State Sector Command received the sad news of the demise of CC Franklin Agbakoba on Thursday, July 30,2026.
“The late Sector Commander died at Niger Foundation Hospital, Enugu where he was receiving treatment.
“His corpse have been deposited at the Eastern Medical Center, Enugu,” he said.
Until his death,CC Franklin Agbakoba made inter-agency collaboration and partnership his legacy and promoted safer roads within Enugu State.
The family’s head, Imo Aguiyi-Ironsi, made the demand during an interview with Arise News on Thursday.
“I think the family needs apology. The family needs to be compensated. We need sincere apology. We need sincere reconciliation,” he said.
He described his uncle as a visionary leader who was wrongly punished for a coup he had no role in.
“He was a man of vision. He was a detribalized Nigerian. He was a good leader,” he said.
Imo Aguiyi-Ironsi noted that his uncle’s tenure as Head of State was brief and ended violently.
“He occupied the seat of head of state for only six months, and he was taken away from us.
“Not because of a sin he committed, because he wasn’t part of the January 1966 coup.”
According to him, Aguiyi-Ironsi’s death resulted from his position rather than any wrongdoing on his part.
“Only because of his position as the most senior military officer, he was told to take charge. And then that cost him his life,” he said.
He expressed hope that his appeal would reach those with the power to act on it.
“Well, I hope there are people who are in positions to make this happen that are listening to you tonight,” he said.
Aguiyi-Ironsi served as Nigeria’s Head of State from January 16 to July 29, 1966, taking charge in the aftermath of the January 15, 1966 coup that had claimed the lives of the country’s political leadership.
He survived that coup and helped crush the mutiny, but his later decision to centralise power under Decree 34, along with his failure to prosecute the plotters, fuelled resentment among northern officers.
He was killed on July 29, 1966, alongside his host, Lieutenant Colonel Adekunle Fajuyi, in a mutiny by northern soldiers that became known as the July counter-coup
The directive was contained in a memorandum dated July 13, 2026, and signed by the Chief Registrar of the Supreme Court, Kabir Akanbi.
Addressed to litigation staff, legal practitioners, court registrars and lawyers, the circular said the order took immediate effect and formed part of efforts to uphold professional standards within the apex court.
The memorandum read, “I am directed by the Honourable the Chief Justice of Nigeria to notify all Litigation Staff, Legal Practitioners, Court Registrars, and Lawyers that the use of the title ‘Barrister’ as a prefix to names is inappropriate and inconsistent with the standards of professionalism expected within the Supreme Court of Nigeria.”
It further directed all affected officers to immediately stop using the title in official correspondence and other official materials.
The memo stated, “Consequently, all officers concerned are hereby directed to discontinue the use of the title ‘Barrister’ before their names in all official correspondence, records, documents, identity materials, and any other official engagements with immediate effect.”
The memorandum added, “Heads of Departments and Unit Heads are requested to ensure strict compliance with this directive by all officers under their supervision. Please be guided accordingly.”
The directive comes weeks after the Council of Legal Education cautioned prospective lawyers against wearing wigs and gowns or presenting themselves as qualified legal practitioners before they are formally called to the Nigerian Bar.
The council said such conduct undermined the dignity of the legal profession and warned that violators could face disciplinary measures.
It also reminded candidates that the use of legal regalia is governed by the Rules of Professional Conduct and is reserved for duly qualified legal practitioners
The Enugu State Government says it has intensified fight against quackery across all health professions, particularly in the laboratory practice within the state.
The Commissioner for Health, Prof. George Ugwu, revealed this on Friday while receiving the National President of Association of Medical Laboratory Scientists of Nigeria (AMLSN), Dr. Casimir Ifeanyi, on a courtesy visit to his office in Enugu.
Ugwu decried the growing trend of unprofessional practices and establishments where laboratory services are combined with pharmacies, patient treatment areas, provision stores, and other unauthorised activities.
According to him, such practices are unacceptable and dangerous to public health.
He reaffirmed the government’s resolve to eliminate quackery especially in laboratory practices and operations through sustained monitoring, regulation and enforcement.
The commissioner also commended the association for its dedication to promoting excellence in medical laboratory science and public health advocacy.
He assured the team of the ministry’s willingness to collaborate with professional bodies whose activities align with the government’s vision of delivering accessible, quality, and people-centred healthcare services across the state.
Ugwu stressed the remarkable strides recorded under the administration of Gov. Peter Mbah in transforming the health sector, including investments in healthcare infrastructure, workforce development, primary healthcare revitalisation and improved service delivery.
He urged the association to remain steadfast in upholding professionalism and ethical standards, emphasising that stronger partnerships between government and healthcare professionals remained essential in building a healthier Enugu State.
Earlier, Ifeanyi, who made the visit with some members of his national executive and Enugu State Chapter of AMLSN, briefed the commissioner on the association’s forthcoming AMLSN Annual Public Health Lecture.
He solicited the state government’s goodwill, support and participation in the event, which would be held in Enugu.
“The annual lecture is aimed at advancing quality healthcare delivery, promoting public health awareness, and fostering stronger collaboration among healthcare professionals and government institutions,” he said.
He noted that the association remained committed to improving professional standards and supporting initiatives that would enhance healthcare outcomes for residents of Enugu State and Nigeria at large.
…Inaugurates Amufie Town Union executives
By Chinedu Sabastine
The Enugu State Government has urged Town Union President Generals (PGs) across the state to adopt inclusive leadership that promotes peace, unity and sustainable development in their communities.
The Commissioner for Chieftaincy Affairs and Rural Development, Chief Charles Egumgbe, gave the charge on Wednesday while inaugurating the newly elected 14-member executives of the Amufie Town Union in Igbo-Eze North Local Government Area.
The executive committee, led by the President-General, Engr. Kenneth Okechukwu Ogili, was presented with certificates of return at the ministry’s headquarters in Enugu.
Egumgbe urged the new leadership to ensure transparency, accountability and regular engagement with members, stressing that women and youths must be carried along in decision-making.
He advised the executives against operating exclusive caucuses, noting that town union affairs should be conducted openly through regular meetings where decisions are collectively taken.
“You must carry everybody along. Let your policies be all-inclusive and ensure that members are well informed about your activities. Matters should be tabled before the executive and decisions reached collectively,” he said.
The commissioner warned against abuse of office, particularly in matters relating to community land, stressing that anyone found working against the interest of the community could be removed under the state’s Town Union law.
“I don’t know whether you will receive remuneration because this is service to humanity. But whatever you do, don’t sell community land illegally. Land has a way of fighting for itself,” he cautioned.
Responding, the new inaugurated President-General, Ogili, pledged to lead with transparency and work closely with his executive to promote peace, unity and development in Amufie.
He said the administration would prioritise security by strengthening the neighbourhood watch and collaborating with security agencies to flush out criminals from identified flashpoints.
Ogili also promised to maintain a cordial working relationship with the traditional ruler of the community.
“The Igwe is our father. We have different constitutional roles, and there will be no conflict between us. We shall work harmoniously for the peace and progress of Amufie,” he said.
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