The National Assembly Joint Committee on Solid Minerals has outrightly rejected the 2025 budget estimates presented by the Ministry of Solid Minerals, citing them as grossly inadequate for the pressing needs of the sector. The rejection took place during a review session held on Friday, following a detailed presentation by the Minister of Solid Minerals, Dele Alake.
According to reports from Punch Online, the budget was deemed insufficient to address the myriad challenges faced by the solid minerals sector, a key area identified for economic diversification and growth. The proposed budget, which the minister outlined for review, failed to meet the committee's expectations regarding necessary investments for future development.
Senator Ekong Sampson, who chairs the joint committee, expressed his disapproval of the proposed figures, emphasizing the critical role of the solid minerals sector in the nation’s economy. “The estimates presented before us are grossly inadequate and will not support our economy at this critical time when we must invest in the future,” Sampson said. He further stressed that the proposed funding fell far short of what is required to ensure the sector's growth and sustainability.
The decision to reject the budget was initiated by Senator Diket Plang (APC-Plateau) and seconded by Senator Natasha Akpoti-Uduaghan (PDP-Kogi). Plang particularly criticized the allocation of only N9 billion for capital expenditure, a glaring contrast to the N539.7 billion initially proposed by the ministry. He argued that such a limited allocation would cripple efforts to harness the full potential of the sector.
Highlighting the need for an extensive budget review, Senator Sampson called for bold measures to tackle exploration, data gathering, and other critical challenges in the sector. He stated, “This budget clearly needs a review. It’s time to take bold steps in exploration, data gathering, and addressing major challenges in this richly endowed sector.”
Gaza Gbefwi, co-chairman of the joint committee, also supported the motion to reject the budget. He suggested suspending the review process until the Minister of Planning and Budget could be brought in to address the discrepancies. “We are here to pass a budget for the progress of Nigerians, not for the ministry. I propose we suspend this screening and invite the Minister of Planning and Budget to address these issues,” Gbefwi added.
Earlier in the session, Minister Dele Alake disclosed that the ministry had initially proposed a total budget of N541.7 billion for the year 2025. This comprised N539.7 billion earmarked for capital expenditure and N2 billion allocated for overhead costs. However, the allocated envelope provided to the ministry was just N9 billion, creating a significant shortfall in funding.
Minister Alake also revealed that despite limited financial releases in 2024, the ministry managed to generate an impressive N37.8 billion in revenue, far exceeding its projected N11 billion. However, he noted that only 18% of the 2024 capital budget had been utilized due to these financial constraints, while the overhead budget achieved full performance.
The National Assembly’s rejection of the budget underscores the urgent need for adequate funding to unlock the potential of Nigeria’s solid minerals sector. The decision also highlights the government’s responsibility to prioritize economic diversification through sustainable investment in critical sectors.
