National Assembly Rejects Ministry of Solid Minerals 2025 Budget Proposal
The National Assembly’s joint committee on Solid Minerals has rejected the budget estimates presented by the Ministry of Solid Minerals for the 2025 fiscal year, describing them as “grossly inadequate” for addressing the sector’s crucial role in Nigeria’s economic diversification.
The motion for rejection was raised on Friday after the Minister of Solid Minerals, Dele Alake, presented the ministry’s proposed budget before the committee. Senator Diket Plang (APC-Plateau), who moved the motion, was joined by Senator Natasha Akpoti-Uduaghan (PDP-Kogi) in seconding the motion.
Plang expressed strong discontent over the N9 billion allocated to the ministry out of the N539.7 billion proposed for capital expenditure in the 2025 budget. He emphasized the critical importance of the solid minerals sector in diversifying Nigeria’s economy, particularly at a time when the country is looking to reduce its dependence on oil revenues.
“This sector has the potential to contribute significantly to the nation’s economic diversification, and it is crucial that we address its concerns now, more than ever,” Plang said. “The estimates before us are far from adequate and will not support the growth of our economy at this crucial time. We need to invest in our future, as other countries are doing, and these estimates do not reflect that need.”
Senator Ekong Sampson, the chairman of the joint committee, echoed Plang’s sentiments, calling the budget proposal “grossly inadequate.” He urged for a radical increase in the allocation to the solid minerals sector, stating that the country’s economic diversification goals could not be achieved with such a low budget.
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“It’s time to take bold steps in exploration, data gathering, and addressing the major issues that have hindered our progress despite being a nation rich in resources,” Sampson said. “We believe the budget needs a significant upward review to help us move forward.”
The committee emphasized that it would not proceed with any further decisions on the budget unless these critical steps were taken.
In support of the motion, co-chairman of the committee, Gaza Gbefwi, representing Keffi/Karu/Kokona Federal Constituencies, also called for the suspension of the ministry’s budget screening. “What has been proposed is beyond imagination,” he said, urging the committee to invite the Minister of Planning and Budget to address the discrepancies in the budget allocation.
The ministry’s 2025 budget proposal, as presented by Minister Alake, included a total of N541.7 billion, with N539.7 billion earmarked for capital expenditure and N2 billion for overhead costs. However, Alake noted that the N9 billion allocated to the ministry was a far cry from the proposed amount, which would have been instrumental in driving the country’s push towards economic diversification through the solid minerals sector.
Alake also highlighted that the 2024 budget performance showed a 100% achievement in overhead costs but only a 18% performance in capital expenditure, largely due to delays in fund releases. He urged the committee’s support in rectifying these challenges to meet the sector’s objectives.
On a positive note, Alake reported that the ministry had exceeded its revenue target for 2024, generating N37.8 billion, surpassing the projected N11 billion.
