NCDMB queries FG’s emphasis on rail along Iron/steel corridor without reviving plants
The Nigerian Content Development and Monitoring Board (NCDMB) has called on the Federal Government to revive the two steel plants in Ajaokuta, Kogi State and Aladja, Delta State, stressing that only the resolute revival of iron and steel plants can unlock local content development.
It would be recalled that the federal government in the last two years had pursued the completion of Ajaokuta-Itakpe-Aladja-Warri Port rail system even with borrowed fund without any sign of cognate interest in stabilizing the iron and steel plants on the corridor for production.
According to industry experts, the huge amount spent on the railway may after all, become valueless on delivery as the major driver of the rail scheme is yet to become productive.
Explaining more, the Executive Secretary of NCDMB, Engineer Simbi Wabote, who spoke at a sensitisation seminar on Local Content Development in Shipping, Oil and Gas Logistics Operations in Nigeria organised by the Maritime Reporters Association of Nigeria (MARAN), in Lagos, saying lack of local production of steel was among the challenges slowing down oil and gas industry from recording the expected growth.
Represented by the Board’s General Manager, Corporate Communication and Zonal Co-ordination, Dr. Ginah Ginah, Wabote maintained that non-passage of the Petroleum Industry Governing Bill by President Muhammadu Buhari led government and high cost of production have pushed back investors from investing in the sector.
According to him, production of oil and gas in Nigeria is the costliest in the world and not enough efforts are being made to reverse the trend even in the face of ease of doing business drive by the present administration and some presidential Executive Orders which are now six.
