FG begins new process to privatise Ajaokuta steel coy – BPE

The Bureau of Public Enterprises (BPE) has announced that the Federal Government plans to begin another process to privatise the Ajaokuta Steel Company Limited (ASCL).
This is contained in a statement by the bureau’s Head, Public Communications, Mr Chigbo Anichebe, on Thursday in Abuja.
According to the statement, the Director-General of the bureau, Mr Benjamin Dikki, says Federal Government is exploring amicable resolution of encumbrances with the former investor of the company.
He said that when all ties between Ajaokuta steel and Global Infrastructure Nigeria Limited (GINL), the former core investor, had been severed, the privatisation process would begin.
He said the Federal Ministry of Justice was driving the process and was making steady progress on behalf of the Federal Government in resolving the agreement with GINL.
The Ministry of Mines and Steel concessioned the multi-billion naira plant to GINL but no significant progress was made to turn around the company.
This prompted the government to attempt to retake the company which had resulted in the on-going legal tussle.
Dikki said allegations that the initial privatisation of the steel mill failed because of interference by influential persons in the country was untrue.
He said that all its transaction processes followed laid down procedures and was in tune with world best practices.
“It is because of our strict adherence to the rules that security agencies and anti-graft agencies, bodies like the World Bank, DFID and many others have continued to applaud us.
“For the power transaction, it is acclaimed to be the world’s best.
“President Goodluck Jonathan received accolades from world leaders for the feat,” he said.
Dikki said that reforms had worked for Nigeria and appealed for support by all Nigerians in sectors where critical reforms were currently taking place.
Dikki said the bureau had proposed the setting up of a Privatisation Tribunal to handle cases of privatised enterprises.
He said the matter was receiving attention by the Attorney General of the Federation (AGF).
“When approved, it would quicken the dispensation of justice in the over 200 cases the bureau had in regular courts.”