ADVERTISEMENT

Minister says FG will consolidate, allocate coal sites to power sector players

The minister disclosed this during a visit to the Abuja Steel Mills Limited, Minna on Monday,March 13, 2017.

Fayemi also told newsmen that his decision to examine the records of Fayose’s government is not with the aim of probing the incumbent governor.

The  Minister of Mines and Steel Development, Dr Kayode Fayemi, disclosed this during a visit to the Abuja Steel Mills Limited, Minna.

According to Fayemi, the ministry is considering the power sector as its  priority area that needs coal to address electricity deficit in the country.

“We are not saying that we will not give coal to others that need coals for the production of steel or relevant manufacturing works, but right now power sector needs coal,” he said.

ADVERTISEMENT

He said that the management of Abuja Steel Mill had requested for coal for the production of steel, adding that the ministry would support local steel manufacturers that could solve steel deficit.

“Our work as a ministry is to facilitate companies that have taken it upon themselves to manufacture steel locally, rather than importing substandard steel with our hard earned Forex," he added.

He expressed appreciation to the management of the company for employing 450 Nigerians and providing healthcare facilities, adding that the company should train its local engineers to perform or take over its expatriate tasks.

He also urged the company to continue to maintain its standard of production to gain adequate market and bridge steel importation gap.

He said the ministry would encourage the Ministry of Works, Power and Housing to link the company to construction giants in the country to patronise their products.

ADVERTISEMENT

He promised to liaise with Nigerian Customs Service on scrap metals being exported on a daily basis, as scarcity of the material had hiked prices of steel produced locally.

However, he promised to solve some of the requests presented by the company, adding  that it should also fulfill the ministry’s requirements to move the country forward.

Mr Richpal Singh, Executive Director and Advisor of the company, urged the minister to make coal sites available to the company to boost steel production.

Singh said availability of coal would enable the company to produce 6.8 million tonnes required for local consumption.

ADVERTISEMENT

He said the scrap metals being sold at the rate of N50,000 per tonne now sold at N250,000, as the materials were being exported due to high exchange rate.

He said one of the company’s challenges was scarcity of scrap metals being used for the production of steel, as Nigerians were now making brisk business with some Chinese firms to package and export them.

The company produces 150,000 tonnes yearly and is currently the highest steel producer in the country.

All the local steel companies in Nigeria are producing 2.5 million tonnes annually and Nigeria requires 6.8 tonnes of steel every year.

The company is an Indian organisation with other seven subsidiaries in steel, chemical and energy production.

JOIN OUR PULSE COMMUNITY!

Unblock notifications in browser settings.
ADVERTISEMENT

Eyewitness? Submit your stories now via social or:

Email: eyewitness@pulse.ng

Recommended articles

Obama, Clinton support Biden at NYC fundraiser amid protests

Obama, Clinton support Biden at NYC fundraiser amid protests

Tinubu’s refusal to celebrate 72nd birthday marks great leadership - Rahman

Tinubu’s refusal to celebrate 72nd birthday marks great leadership - Rahman

Adamawa Police reaffirms ban on motorcycles in Yola

Adamawa Police reaffirms ban on motorcycles in Yola

You make bold decisions & live with consequences - Ondo Gov hails Tinubu at 72

You make bold decisions & live with consequences - Ondo Gov hails Tinubu at 72

170 electrical vandalism cases in 2 years, 100 charged to court - EEDC

170 electrical vandalism cases in 2 years, 100 charged to court - EEDC

Tinubu appoints Bello as chairman of code of conduct bureau

Tinubu appoints Bello as chairman of code of conduct bureau

Don't curse, condemn Nigeria in your sermons - Tinubu tells clerics

Don't curse, condemn Nigeria in your sermons - Tinubu tells clerics

Lagos postpones eagerly anticipated Easter boat regatta indefinitely

Lagos postpones eagerly anticipated Easter boat regatta indefinitely

Third Mainland Bridge reopens in 1 week, formal ceremony later - Minister

Third Mainland Bridge reopens in 1 week, formal ceremony later - Minister

Pulse Sports

Nigeria vs Mali: Has Finidi George done enough to land Super Eagles job permanently?

Nigeria vs Mali: Has Finidi George done enough to land Super Eagles job permanently?

I want to emulate Keshi and win the AFCON - Finidi George shares ambitious Super Eagles dream

I want to emulate Keshi and win the AFCON - Finidi George shares ambitious Super Eagles dream

Michelle Alozie: I had to do it because of African referees

Michelle Alozie: I had to do it because of African referees

AC Milan star reveals he was named after Super Eagles legend Tijani Babangida

AC Milan star reveals he was named after Super Eagles legend Tijani Babangida

Give him the job! Super Eagles fans beg NFF to make Finidi George permanent coach after Nigeria's win over Ghana

Give him the job! Super Eagles fans beg NFF to make Finidi George permanent coach after Nigeria's win over Ghana

Super Eagles 2-1 Black Stars: Nigerians praise Iwobi, Lookman, Finidi George after friendly victory against Ghana

Super Eagles 2-1 Black Stars: Nigerians praise Iwobi, Lookman, Finidi George after friendly victory against Ghana

ADVERTISEMENT
ADVERTISEMENT