AKHA Frowns wanton and systematic destruction of ALSCON The Akwa Ibom State House of Assembly during her plenary, frowned at the wanton and systematic destruction of the Aluminium Smelter Company of Nigeria, ALSCON, Ikot Abasi Local Government Area by RUSAL. Hon. Aboh Udoyok, the member representing Ikot Abasi/Eastern Obolo informed the House, through a Matter of urgent public importance, of the ongoing assets stripping of ALSCON by RUSAL, which according to him, the company was supposed to have been transformed into national productive assets for job creation and foreign exchange earnings. He said, the ploy by RUSAL was a deliberate attempt to further undermine the countries efforts to transform her economy. He said that the information was relayed to him by community youths under the platform of Mboho Ikot Abasi in a letter dated August 2, 2013. He added that the group demanded to meet with the management of ALSCON to express their concern and also requested for the tour of the facility but their request was turned down. He also informed the House that the serial pillage of ALSCON by RUSAL were repeatedly reported in the National tabloids such as the Vanguard of 18th August 2013, Premium Times of September 16, 2013, Vanguard of September 26, 2013, Daily Independent Newspaper of August 5, 2013, just to mention a few. Speaking further, he said that orgainsed labour under the aegis of Metal Products Senior Staff Association of Nigeria in ALSCON had also raised similar alarm over an attempt by RUSAL to sell vital components of ALSCON which include stem rods, anodes and Bussbarr/Riser used in the manufacturing of steel ingots, one of the major end products of the company. According to the association, if these vital components are eventually sold, it would automatically sound the death knell for ALSCON. He therefore called on the House to act now to prevent ALSCON, the only Federal industry situated in Akwa Ibom State from being destroyed as was the case with Oku Iboku Paper Mill. The Aluminum Smelter Company of Nigeria (ALSCON), an aluminum smelter with an annual capacity of 96 thousand tons, a port on the Imo River and gas-fired power station, was launched in 1997 in Ikot Abasi, Akwa Ibom State, Nigeria with high hopes that once the Smelter reached its full capacity, it will create 1900 local jobs and 90% as the employees will be Nigerian citizens. Additionally, 20000 jobs could be created in the downstream aluminum manufacturing sector and through the development of infrastructure around the Smelter, resulting in positive improvement in the standard of living for Akwa Ibom State residents. ALSCON produced its first metal in 1997, but was never full completed before it suspended production in 1999. Its output during the short period of operations total 40,000 tons of aluminum. In 2000, the Smelter was brought to stand still with high production cost, inadequate gas supply, complicated marine access and lack of working capacity cited as the main reasons. Whereas in February 2007 RUSAL closed a deal to acquire a majority stake in ALSCON. According to the terms of the deal, RUSAL purchased a 77.5% block of shares in ALSCON, Germany Ferrostaal AG and theGovernment ofNigeria remain minority shareholders with 7.5% and 15% blocks, respectively. Whereas controversy has continued to trail the rights over the plant since the Supreme Court in July, 2012 by declaratory judgment stripped UC RUSAL of the ownership of the plant after a long legal tussle by a Nigerian - American consortium, BFI Group, the original winners of the bid. Whereas the massive assets stripping and illegal removal of critical asset of ALSCON, a national asset, as canvassed by the Peoples Assembly, is a deliberate attempt by RUSAL to sabotage the transformational agenda of His Excellency, Dr. Good luck Ebele Jonathan, the President of the Federal Republic of Nigeria. The House however resolved that: (I) His Excellency, Chief (Dr.) Godswill O. Akpabio, CON to intervene in the matter of serial pillage of ALSCON. (ii)The Bureau for Public Enterprises (BPE) do take over the plant and secure its assets. (iii) Copies of the resolution be forwarded to Akwa Ibom representatives in the National Assembly. (i) A copy of the resolution be forwarded to His Excellency, Dr. Goodluck Ebele Jonathan, the President of theFederal Republic of Nigeria. The Speaker, Rt. Hon Samuel Ikon directed the House Committee on Commerce and Industry to carry out an investigation and report to the House soon, as Acting Clerk, Mrs. Mandu Umoren was mandated to communicate the resolution to the appropriate quarters.
Posted on: Fri, 01 Nov 2013 04:46:11 +0000
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