Monday, April 20th 2026

Senate Session on Ajaokuta Steel Turns Tense Over MoUs and Budget Scrutiny


Senate Session on Ajaokuta Steel Turns Tense Over MoUs and Budget Scrutiny
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A Senate committee session on Wednesday, focused on the performance of the Ministry of Steel Development and the Ajaokuta Steel Company, grew heated after prolonged questioning by lawmakers, particularly Senator Akpoti-Uduaghan.

The tension escalated when the Kogi Central lawmaker pressed ministry officials for additional clarifications on agreements and budget execution, even as Committee Chairman Senator Ndubueze attempted to close proceedings. Akpoti-Uduaghan objected, insisting she had critical questions to raise and emphasizing her dual role as a legislator and host community representative.

“I have something very vital to interface with the minister, and it doesn’t matter if I’ve spoken once or twice. This is an interactive session,” she said, highlighting her frustration over limited engagement with the ministry.

The senator criticized the ministry for what she described as repetitive rhetoric without tangible results, particularly regarding the handling of Memoranda of Understanding (MoUs) with private partners. She noted that despite prior requests, she had not been furnished with the MoUs, forcing her to rely on third-party information.

Minister of Steel Development Shuaibu Audu presented the ministry’s mandate and budget performance, noting that agencies under his ministry received N24.143 billion in the 2024 appropriation — including N9.5 billion for personnel, N383 million for overhead, and N11.06 billion for capital projects. As of December 31, 2025, only 56.5 percent of the appropriation had been released, with capital releases at 48.4 percent. He added that capital allocations for the 2025 budget had yet to commence.

Senator Isah Jibrin urged the ministry to explore domestic financing to revive Ajaokuta Steel rather than relying solely on foreign investors, noting that the company has over 20 production lines that could be activated in phases to stimulate economic activity and reduce unemployment.

Senator Ndubueze also expressed dissatisfaction with the ministry’s level of engagement with lawmakers, stressing that independent assessments suggested several units within Ajaokuta could operate if adequately supported.

Despite the disagreements, the committee resolved to hold additional sessions to address unresolved issues surrounding Ajaokuta Steel Company and pending agreements, signaling continued scrutiny of the ministry’s performance and investment partnerships.

 

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