Alake blames powerful cabal for dysfunctional national economy
By Jeph Ajobaju, Chief Copy Editor
Terrorism and illegal mining across the country are being done or sponsored by “powerful Nigerians”, Solid Minerals Development Minister Dele Alake has affirmed.
He made the point when he led a delegation of top officials of the ministry to defend the 2024 budget estimates before the House Committee on Solid Minerals at the National Assembly (NASS) in Abuja.
Alake also stressed banditry in the land may have a foreign component but the major sponsors are Nigerians who are yet to be identified.
“Nigerians are those powerful people behind them (illegal miners); we are identifying them with both kinetic and non-kinetic means,” he said.
“The insecurity in the mining areas is sponsored by illegal miners and these are powerful individuals in the society who are Nigerians.”
In his view, for mining to generate sufficient revenue, there is need for a formal structure that a multinational company can deal with like the Nigeria National Petroleum Company (NNPC) in the oil industry.
Alaka explained, however, the approach of the ministry under his leadership will be different from that of the NNPC, as the structure being proposed for the Nigeria Mining Corporation (NMC) will be driven largely by the private sector.
Nigeria will also have its equity in the NMC, he added, so that no government can easily destabilise the structure.
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Mineral deposits worth more than oil
Alake put the conservative worth of mineral deposits in the country at more than $700 billion, saying Nigeria is yet to tap commercially into some of them because of institutional bottlenecks, even though the minerals are in high global demand, per The PUNCH.
He also
- Urged the House Committee to support the process, so as to help change the narrative about mining in Nigeria.
- Said mining host communities will be engaged to forestall possible breakdown of law and order.
- Pleaded with the House Committee to consider the amount budgeted for the ministry in the 2024 budget.
“What we have is N24 billion and this is a non-starter. For this ministry to contribute at least 50 per cent of the nation’s GDP [Gross Domestic Product], we need the sum of N250 billion to take care of exploration,” Alake pitched.
“If we are given that amount of money, I can tell you that what the ministry will contribute will outweigh other ministries, including what we are deriving from oil.
“We cannot leave exploration in the hands of the private sector. If we do that, they will keep part of the deal for pecuniary purposes.
“We can return trillions [of naira] to the coffers of this country as revenue if we are given such a budget as proposed.”
Alake disclosed Nigeria has more than 44 minerals in high demand globally.
Committee Chairman Gaza Gbefwi described the solid minerals sector as the last hope in the quest to diversify the economy.
He acknowledged the budget for the ministry is grossly inadequate and pledged the committee will help draw more funds to it to realise Alake’s seven-point agenda.
