The Coalition For The Revival of Ajaokuta Steel Company Limited says it was against moves to concession the multi-million dollars steel company.
The group conveyed its feeling in a statement on Friday,saying it’s giving support to local investors to turn around the fortunes of the company
Mohammed BougeiAttah, NGO,National Coordination,andOtunba Dele Ajayi-Smith,member,Africa Citizens Development Foundation,signed the statement.
The coalition’s position was sequel to mixed reactions trailing the recent pronouncements by the Federal Government of Nigeria, to privatize the steel company.
This is coming on the heel of a protracted legal tussle that was put to rest recently.In particular, we view the recent comment by the Honourable Minister, Arc. Olamilekan Adegbite, where he informed Nigerians of the ongoing privatization process involving a review of select firms bidding as investors in the company, as positive and in the right direction,the statement added.
Though details about the procurement of the firms and consultants for the processes are not made public yet, the group expresses optimism that government will follow due process by applying the direct sourcing or selective bidding processes.
“As civil society group monitoring the developments around the steel plant, we wish to reinstate our earlier support to the government on the ongoing privatization efforts, which in our opinion is to encourage local investors in the affairs of the company for effective and efficient management and productivity.
“As a point to note, one of the recommendations of the November 25, 2021 National Conference on Ajaokuta Steel Complex and President Muhammadu Buhari Industrialization Agenda, was for the government to stop the concessioning agreement and consider the privatization of the ASCL and the National Iron Ore Mining Company, NIOMCO, by encouraging local investors.
“The conference however frowned at any attempt to reconsider the issue of concessioning the two companies or to allow foreign investors, as the above two factors have been the bane of setbacks recorded over the last 30 years by the two establishments
“The CSO coalition used the opportunity once again to commend the federal government over the settlement of debt owed to a foreign firm that has now set ASCL and NIOMCO on a positive new course”
According to him, the policy was in line with Sections 19, Subsections A and B of the CBN Act 2007.
