The Civil Society Legislative Advocacy Centre (CISLAC) has called for transparency and adherence to legal standards in appointing a transaction adviser for the revitalisation of Ajaokuta Steel Complex Limited (ASCL).
Auwal Rafsanjani, Executive Director of CISLAC, emphasized the need for transparency in a statement issued in Abuja. He disclosed that CISLAC has formally written to the Federal Ministry of Steel Development and the Bureau of Public Procurement (BPP), urging due diligence and transparency in the ASCL revitalisation process and the procurement of the National Iron Ore Mining Company (NIOMCO) in Itakpe.
Rafsanjani expressed concerns about possible irregularities in the procurement process, which he said may contravene the Public Procurement Act of 2007 and its regulations. He pointed out that CISLAC’s analysis reveals significant procedural lapses, including the failure to specify the weight assigned to quality and cost factors in the Request for Proposal (RFP), as mandated by Section 51(1) of the Act.
“Given the strategic economic importance of ASCL and NIOMCO, a transparent and rigorous selection process is essential to ensure the most competent adviser is chosen,” he noted. CISLAC also observed that the technical scores of bidders were not disclosed before the financial proposals were opened, a potential violation of Section 51(4) of the Act, which could undermine fairness in the selection process.
Further concerns were raised about the omission of the Infrastructure Concession Regulatory Commission (ICRC) from the procurement process, in contravention of the ICRC Act of 2005. This exclusion, Rafsanjani argued, compromises the transparency of a project of such national significance.
CISLAC underscored the crucial role of civil society organisations in monitoring procurement processes, aligning with the National Anti-Corruption Strategy and global standards. Rafsanjani added that the Fiscal Responsibility Act and public ethics standards require accountability in the management of government resources, especially given that federal investments in ASCL and NIOMCO have exceeded $7 billion over the past 40 years with limited outcomes.
He called on the Minister of Steel Development and the Director-General of the BPP to ensure an open, fair, and transparent process in selecting a transaction adviser.
