The non functional  Ajaokuta Steel Company Limited (ASCL) is costing the country more than N1 billion annually in pensions, salaries, taxes, and administrative costs.

Prof. Linus Asuquo, Director-General (D-G) of the National Metallurgical Development Centre, Jos, stated this in his presentation at a panel discussion at the maiden edition of the National Steel Summit on Thursday in Abuja.

The discussion was titled “Dissecting the Current Policy Framework: Identifying Gaps and Building a Robust Institutional Regulation”.

The Tide source recalls that, according to a 2024 report by BudgIT’s accountability platform,  Ajaokuta’s financial burden has continued to grow, with about ?1.11 billion spent in the past two years.

The D-G listed the challenges of the steel company to include a huge financial burden, mismanagement, corruption, and a disconnected value chain infrastructure.

According to him, Nigeria has invested over eight billion U.S. dollars in the Ajaokuta project over a period of more than 40 years.

He said that persistent mismanagement and policy failures derailed the project, as funds were misappropriated and concessionaire deals failed, citing the Japanese Kob Steel and India-based Global Steel Holdings Limited (GSHL) as examples.

Asuquo explained that the ASCL was burdened with a disconnected value chain infrastructure, as the iron ore mines at the National Iron Ore Mining Company (NIOMCO) in Itakpe, Kogi, remained non-operational.

“Rail line for transporting ore from Itakpe to Ajaokuta was delayed, vandalised, it was only completed and inaugurated in 2020.

“Obsolete technology and degraded equipment because most of the installed machinery has degraded over decades and the plant lacks modern energy efficient steel making technologies.”

He also noted that local community displacement remains unresolved as 13 villages were displaced when the plant was built.

According to Prof. Asuquo, the way forward is to rebuild the integrated supply chain and adopt modern mini-mill technologies.

He recommended shifting from large-scale blast furnaces to compact strip production (CSP), a cheaper, more energy-efficient technology that can be built and made operational more quickly.

Other recommendations he made included adopting private sector concessions, which entailed a complete shift from government management to strategic private investors with proven expertise.

“The way forward includes-manufacturing and pulsed revival of the plant, community and civil society engagement through (ESIA) Environmental and Social Impact Assessment.

“It (ASCL) can be used as an industrial park and free trade zone,“ he said.

He noted that Nigeria’s key legacy steel assets were mostly underutilised and equipped with obsolete machinery, stating that revitalising them required policy and institutional reforms alongside strategic public-private partnerships.

The D-G listed other measures to include infrastructure and energy improvements; research, development and innovation; human capital development; raw materials exploration and processing; and sustainable financing mechanisms.

“Revitalising Nigeria’s legacy steel assets is a national imperative. With political will, coherent policies, private sector collaboration, and sustained investment, the steel sector can become a key driver of industrialisation and economic transformation,“ he said.

The theme of the summit is  Rebuilding and Consolidating Nigeria’s Steel Industry: Collaborative Action for Sustainable Growth and Global Competitiveness.

The Federal Ministry of Power, Works and Housing, yesterday said that the Third Mainland Bridge in Lagos was safe for use, contrary to a Facebook posting spreading fears about the bridge.
The Ministry in a statement attached a video of ongoing under water confirmatory tests on the bridge’s piles.
The statement, signed by Special Adviser, Communications, to the Minister of Power, Works and Housing, Mr Hakeem Bello, added that the expansion joints being speculated to be dangerous was among those slated for repairs.
“The General Public is hereby informed that the expansion joint shown in a Facebook video clip, is one of those slated for change during repairs on the Third Mainland Bridge which will commence soon.
“It is still functioning and our engineers and consultants have advised that it does not pose any structural danger to the bridge and it is safe for use.
“Commuters and Lagos residents will recall that the Third Mainland Bridge was shut down for a 3-day Investigative Maintenance in August 2018.
“Tests done on the expansion joints then — called static and dynamic load tests — were to check functionality. A number of expansion joints were identified for replacement then.
“More recently, in March this year, underwater confirmatory tests (video attached) preceding the repair works to be done on the Bridge, were carried out on the piles to determine if there is further deterioration or not on the piles from that done in 2013.
“However, all the tests done preparatory to closure of the Bridge to commence comprehensive Maintenance works indicate that the integrity of the Bridge is intact.
“Therefore, the Third Mainland Bridge is safe for use, and people should desist from spreading or sharing false information about the Bridge on Social Media platforms.
“The expansion joints to be replaced are part of a regular bridge maintenance programme that has been neglected for decades, which the President Muhammadu Buhari administration is now addressing frontally, on many bridges nationwide.

The Anglican Bishop of Abakaliki Diocese has called on the federal government to intervene over land and boundary disputes amongst Ebonyi, Benue and Cross River states and take over such where disputes persist.
The Rt. Rev. Monday Nkwoagu of the Diocese said that displacement of communities and families occasioning hardship in the aforementioned areas had been on the rise and  something needed to be done about it.
Nkwoagu, who was delivering an Easter message yesterday in Abakaliki, advised all warring communities and states to come together and resolve their differences through dialogue.
The cleric also urged the federal government to engage them in dialogue to resolve the issues for peace sake.
“Most rural dwellers are now displaced, and things are very difficult for them. One cannot even visit those areas freely.
“I plead to authorities responsible for quick response as lives and property worth millions had been lost to land disputes and may continue if not handled, “ the bishop said.
He reiterated that where solution to the disputes could not be easily found the federal government should take over and forestall further skirmishes.
Nkwoagu urged the communities and states to reflect on the death and resurrection of Jesus Christ which brought forgiveness and recognition so they could move forward.
“We should try and bury our prides, learn from Christ’s humility and sacrifice for the sake of peace and lives.