The National Assembly’s joint committee on solid minerals rejected the Ministry of Solid Minerals’ budget estimates on Friday.
According to the committee, the provided estimations were woefully insufficient.
This was said by Sen. Ekong Sampson, the joint committee’s chairman, following the presentation of the ministry’s 2025 budget projection by Minister Dele Alake.
Sen. Diket Plang (APC-Plateau) made the motion to reject the budget, and Sen. Natasha Akpoti-Uduaghan (PDP-Kogi) seconded it.
Plang moved the motion and voiced his disappointment that the ministry only received N9 billion in an envelope out of the N539.7 billion it had suggested for capital expenditures in the budget for 2025.
The chairman also voiced his disapproval of the ministry’s budget, citing the solid mineral sector’s critical role in Nigeria’s economic diversification.
“This is due to the possibility of failing to address the major issues in this sector at a time when Nigeria is in dire need of economic diversification,” he stated.
“As is the case in other economies, the estimates that have been put in front of us are egregiously insufficient and will not support our economy during this crucial time when we must make investments for the future.”We’ve adopted this stance for the benefit of the nation and to support the government’s apparent perspective that this budget needs to be reviewed.
“This review’s necessity takes into account the sector’s peculiarities.”As time passes, you must make a very daring move in your research, data collection, and resolution of significant shortcomings that have left us in a precarious position as a wealthy country that has, as it were, been beset by contradictions. The joint committee is in favour of reviewing this sector’s budget from the top down.
“I believe that was the goal of the meeting; unless those actions are taken, we will halt further budgetary decisions.
“This sector’s budget requires a drastic upward review.” The estimate in front of us is thus rejected by the combined session. We will step everything down.”
The motion to suspend the budget defence was also endorsed by Mr. Gaza Gbefwi, the co-chairman, who represented the Keffi/Karu/Kokona Federal Constituencies.
“I propose that we halt the Ministry of Solid Minerals’ budget screening because, if it is accurate, what has been appropriated to them is unimaginable.
“Additionally, we are here to pass a budget for Nigerians and the advancement of our nation, not for the ministry or ourselves.”
As a result, he suggested that we stop reviewing the budget that was given to us and ask the Minister of Planning and Budget to come before the committee.
Alake previously stated that the ministry’s 2025 budget will reach N541.7 billion, with N539.7 billion allocated for capital expenditures and N2 billion for overhead costs.
“The package that the minister received was a long cry from our plan, which is an apology for the stated goal of diversifying Nigeria’s economy away from oil and towards green energy and the solid minerals industry.
The package that arrived is a pitiful N9 billion,” he stated, “despite our proposal of N539.7 billion for capex in 2025.”
According to Alake, the ministry’s 2024 budget performance showed that, based on releases, the capital department performed a pitiful 18%, while the overhead costs performed 100%.
“I discovered that it is somewhat of a general issue when I looked at the complete budget from other ministries.
“The capital budget in 2024 was severely hindered by the budget releases, which were not as anticipated.
He stated, “We depend on your assistance and work to rectify this anomaly, as there is no way we can accomplish all of our goals without it.”
In terms of earnings, Alake hinted that the ministry made N37.8 billion in 2024, which was more than the N11 billion anticipated.
