The federal government has been advised to reduce expenditure on the proposed expansion of COVID-19 oxygen centres in the 36 states of the federation and allow Ajaokuta Steel Company to produce the product.
The advice was given yesterday by a procurement expert, Mr Mohammed Bougei Attah, while reacting to the approval of a sum of N836million by the Federal Executive Council (FEC) on Wednesday to support the 36 states and the FCT on COVID-19 Oxygen Plants.
Speaking to newsmen on the development in Abuja, Mr Attah who is the project director of NGO Network and secretary of the National Planning Committee (NPC) for the upcoming National Conference on Ajaokuta Steel Project and President Muhammadu Buhari Industrialisation Agenda, said
“There’s no need for the federal government to establish oxygen plants in all the 36 states again since Ajaokuta Steel Company Limited (ASCL) has the capacity to meet the oxygen demand of the states.”
He said it amounts to a waste of resources to invest in another project of this
magnitude, having spent over N 5.6 billion in June for the 36 states and the FCT on the COVID-19 phenomenon at the initial stage,
when Ajaokuta can effectively produce the oxygen for the states.
He argued that the initial take-off grant to each state from the sum and the approval of about N1billion are far above what ASCL needed to
provide the oxygen.