Ajaokuta Steel Complex, located in the central senatorial district of Kogi state, was established about three decades ago, through Decree No. 19, to accelerate the development of the nation’s steel industry. OYIBO SALIHU, in this report, analyses how the failure of the giant company is inflicting pains on the host communities
Bedrock of Nigeria’s economy
The integrated steel complex was conceived with the vision of erecting a Metallurgical Process Plant, with other auxiliaries and facilities to stand as the bedrock of Nigeria’s economy.
Apparently, the project was embarked upon as a strategic industry that will be viable in creating jobs, as well as earning foreign exchange to boost the economy of the country.
Ajaokuta Steel Company Limited (ASCL), National Iron Ore Mining Company (NIOMCO) , Delta Steel Company (DSC), among others, in 1979, were established under Section 2 of National Steel Council Decree No. 60 of September 19, 1979, which were incorporated as limited liability companies.
Former President Shehu Shagari a, in 1979 laid, the foundation stone of an integrated steel plant in Ajaokuta, on 24,000 hectares of green-field landmass, built on 800-hectares and within his first tenure the project reached 98 percent completion .
The steel company has four different types of rolling mills inside the plant. The Billet Mill produces billets; the Light Section Mill also produces round, square, strip and angles metals.
In addition, the Wire Rod Mill produces wire rods and rebars used in construction companies and production of nails, fencing wire, rope mesh, bolts and nut and netting and the Medium Section and Structural Mill produces parallel flange channels, equal angles, unequal angles and standard channels
Source in the company however revealed that the project if completed and operational is capable of employing about 10,000 workers at the first phase of commissioning and the upstream and downstream industries that will evolve all over the nation will engage more than 500,000 workers both skilled and unskilled labour.
Military incursion into politics
Apparently, the military incursion into politics in late 1983, thwarted the effort and commitment of former President Shagari -led administration of actualizing the lofty idea of having steel industry in the country.
Interestingly, some completed units of the Plant operated at different times but had to shut down due to non-availability of fund in 1994, during the late General Sani Abacha’s administration.
Sadly, successive administrations since 1994 pay lips service to the completion of the steel industry expected to be the source of diversification of the country’s economy from crude oil.
At different for a however, the immediate past Sole Administrator of Ajaokuta steel company, Engineer Joseph Isah Onebere, lamented that there was so much misconception and misinformation about the steel industry, attributing it to ignorance and campaign of calumny against the country aimed at ensuring that Nigeria remains a dumping ground for steel products from developed countries.
Research institute
Even at a point in time and during the immediate past administration, an idea was muted to turn the giant industry into a research institute which was vehemently rejected by the then National Assembly.
Ray of hope
The recent visit of the Speaker, House of Representative Mr Yakubu Dogara, to the steel plant restored the hope of many Nigerians that the moribund steel industry may come back to life to serve the purpose of its establishment.
Dogara who was taken round the steel complex described the present state of the company as a national shame to entire Nigeria, saying the non-completion of the multi-billion dollars project should be a development that should give the people sleepless nights.
The Speaker, who visited the steel company along with the House committee on Power and Steel , as part of the oversight function of the House, lamented that several years after the construction of the company, it was still in its piteous condition.
National embarrassment
According to him, the shame associated with the non-completion and failure to inaugurate the plant was nothing but a national embarrassment and shame which required urgent steps to bring the steel company back to life.
He said, “Any patriotic Nigerian that visits this plant cannot but shed tears, any foreigner who visits this plant cannot but agree that we are from shit hole country.”
Speaking on efforts that would be required to make the plant work, the Speaker said the House would not support any arrangement that would involve concession of the plant, saying such move would amount to releasing the nation’s assets to assets stripers.
“Anyone who tries to reintroduced concessions as a way forward will definitely have a problem with us at the house”, Dogara maintained.
He, however, expressed belief that the plant would be brought back to life for the benefit of all Nigerians, assuring that the House would do its part in order to revive the company.
International conspiracy
“We are aware of local and international conspiracy against the plant, but we are resolute and determined to get the money from every angle to compete the project adding that money is available to fund the completion”, he said.
The Kogi State Governor, Alhaji Yahaya Bello, advocated the deployment of recovered looted funds to complete the plant and make it functional.
According to him, such action was necessary in view of the enormous economic benefits in terms of job provision for the teeming youths.
A youth leader and the state chairman of APC youth caucus who hails from Ajaokuta native community where the steel complex is located, Alhaji Abdulrahmam Dansebe , said Dogara’s recent visit was one out of many in the last 20 years that did not yield any tangible result.
Natural death
Danasebe said “Many of the government officials especially ministers came and expressed their worries and concern over the sad situation here, with promises that proactive measures will be taking to resuscitate the ailing industry , but the moment they stepped out of Kogi state those promises died natural death.
He pointed out that the non -completion of the project posed a lot of threats to the community, saying the dearth of basic social amenities such as water, electricity and health central are high.
According to him, “when the steel complex was functioning we enjoyed social responsibilities from companies operating within the steel company, but today such privilege are not there any longer.
“Again, there is no security of life and property as many kidnappings and armed robbery operations perpetrated in the state are from Ajaokuta. We are calling on President Buhari to come out and fulfil his campaign promises on revival of Ajaokuta steel company.
Another resident of Ajaokuta, Mallam Tijani Sani, while reacting to the current precarious situation in the community, lamented that the community out of their support for the realization of the steel company willingly gave out their land to the federal government, saying “today we don’t have the land and the company is moribund. We are farmers without land”
He appealed to President Buhari to go back to TYAZHPROMEXPORT (TPE), a Russian company that signed a contract with the federal government in 1970, to come and complete Ajaokuta project in the interest of the people.
