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Home Business News Politics

Reps to probe Ajaokuta’s deal, declare FG’s move unconstitutional

Abiola Odutola by Abiola Odutola
November 27, 2019
in Politics
Did Buhari bypass National Assembly as probe into Ajaokuta deal with Russian begins?, Buhari seeks speedy approval of the 2016/2018 external borrowing plan , Nigerians are enraged as lawmakers reject Innoson cars for latest Toyota Camry , Nigerians react as House of Reps suspend plenary for two weeks over Coronavirus fear, Reps to probe DStv, StarTimes for ignoring 'pay per view’ subscription, cheating Nigerians
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The House of Representatives has queried the deal signed by President Muhammadu Buhari and Russia over Ajaokuta Steel Company, as the lawmakers requested for details of the deal.

The partnership was sealed to resuscitate the Steel Company, which has been in a deplorable state for years, just as the House says such a deal is not backed by law.

The probe was prompted by a lack of details on the deal. This raises questions as to what was agreed upon, as there isn’t much information available for the public to vet. The lawmakers also intend to probe other agreements involving the Federal Government and other countries.

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Nairametrics had reported that a proposal to rejig the services of the long-abandoned Ajaokuta Steel was tabled before the Federal Government by MetProm Group, a Russian firm. The company doesn’t just want to rehabilitate the steel mill, but also expressed a desire to maintain the steel mill when fully operational.

30,000 job loss recorded in steel sector , Russian company, MetProm Group, identifies problem of Ajaokuta Steel , Ajaokuta Steel capable of creating not less than 600,000 jobs – NIMMME boss 

Reps request details for probe

According to the legislature, the reason for taking such action is to ensure the deals are in line with the constitution and not against it. And since little is known about the details of the Ajaokuta deal, the lawmakers have resolved to request the details of the agreement from the government.

This was after a unanimous adoption of a motion moved by Honourable Uzoma Nkem-Abonta, titled ‘Call for details of the agreement between Nigeria and Russia on the completion of the Ajaokuta steel company project.’ According to a Punch report, the House of Representatives directed the Committees on Steel, Treaties, Protocols and Agreements to interface with the Minister of Mines and Steel Development, Olamilekan Adegbite, on the agreement.

[READ MORE: Senate receives six aviation sector bills from Buhari]

Did Buhari bypass lawmakers? 

Although the 8th National Assembly passed the Ajaokuta Steel Completion Fund Bill in 2018, President Buhari didn’t assent to it after raising some concerns about it. The bill was later reviewed by the House and has already scaled first reading in the 9th House. However, Nkem-Abonta disclosed that President Muhammadu Buhari signed a government-to-government agreement with the Russian President, Vladimir Putin.

The Russian government had signed on behalf of MetProm. And according to Nkem-Abonta, such agreement is not backed by the law, except the National Assembly enacts it into law. He said no treaty between the Nigerian government and other countries “shall have the force of law except to the extent to which any such treaty has been enacted into law by the National Assembly.”


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Tags: Ajaokuta Steel CompanyAjaokuta Steel Completion Fund BillMetProm GroupOlamilekan AdegbitePresident Muhammadu BuhariUzoma Nkem-Abonta
Abiola Odutola

Abiola Odutola

For further inquiries about this article, contact: Email: abiola.odutola@nairametrics.com Twitter: @AbiolaOdutola @nairametrics

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