Solid Minerals Ministry Pushes for Increased Budget Allocation
Nigeria’s Minister of Solid Minerals, Mr. Dele Alake, has presented a compelling argument to the House of Representatives Committee on Solid Minerals, urging them to increase the budgetary allocation for the mineral sector from N24 billion to a significant N250 billion in the year 2024.
In his testimony before the committee, Alake emphasized that the current budget allocation is insufficient to fully realize the potential of the solid mineral sector, which he believes should be able to contribute up to 50% of Nigeria’s Gross Domestic Product (GDP). He highlighted that despite the estimated $700 billion worth of mineral deposits in the country, the industry’s development has been hindered by challenges and obstacles.
Alake emphasized that a substantial increase in the budget would greatly enhance the ministry’s capacity to conduct exploration and other crucial activities necessary for the sector’s growth. He firmly stated, “For this ministry to contribute at least 50 per cent of the nation’s GDP, we need the sum of N250bn to take care of exploration.”
Furthermore, the Minister underscored the importance of government involvement in mineral exploration, arguing that the private sector alone should not bear sole responsibility for this critical task. He reasoned that the country possesses 44 valuable solid mineral deposits, which are in high demand globally, and the government cannot afford to relinquish control of exploration to private entities.
Additionally, Alake also brought attention to the issue of illegal mining and its ties to influential and powerful individuals in Nigeria. He expressed concern that prominent figures within the country are supporting illegal miners, leading to an increase in incidents of insecurity and banditry. The Minister acknowledged the government’s efforts to identify and address these clandestine supporters of illegal mining activities.
In response to these challenges, Alake revealed that the government has adopted a multi-faceted approach, integrating both kinetic and non-kinetic strategies to combat illegal mining and improve the livelihoods of artisan miners. He recognized the rights of all Nigerians to a decent standard of living and pledged to provide necessary support and resources, while also issuing a stern ultimatum to artisan miners to organize themselves into cooperatives.
The Minister’s advocacy for a significant increase in the budgetary allocation for the solid minerals sector underscores the critical importance of nurturing the industry’s potential to significantly contribute to Nigeria’s economic growth. His emphasis on government intervention in mineral exploration and his stance against illegal mining activities demonstrate a comprehensive approach to addressing the challenges faced by the sector.
As the government evaluates budget allocations for various sectors, the call for heightened support for solid minerals underscores the sector’s potential to drive economic development and contribute to the country’s long-term prosperity. It is essential for policymakers to consider these appeals and allocate resources effectively to ensure the sustainable growth and development of the solid mineral sector.
