FG transfer to control scrap steel worth chain

The federal authorities has intensified efforts to sanitise Nigeria’s scrap steel trade, shield vital nationwide infrastructure and strengthen the metal and metals manufacturing sector by way of the proposed Scrap Metal (Collection, Trading, Recycling and Regulation) Regulations, 2026.

The minister of metal growth, Prince Shuaibu Abubakar Audu, represented by Ime Eprikpo, director, Metallurgical Raw Material Development and Investment Promotion Dept, disclosed this on the on-going Stakeholders’ Engagement for the Validation of the Draft Scrap Metal (Collection, Trading, Recycling and Regulation) Regulations in Lagos.

Speaking on the theme, ‘Sustainable Scrap Metal Management through Effective Metallurgical Regulation: From Policy to Real Impact’, the minister defined that the proposed laws are designed to determine an organised, clear and sustainable scrap steel worth chain that helps Nigeria’s industrialisation agenda.

Prince Audu famous that scrap steel stays a vital uncooked materials for metal making, foundry operations and different steel manufacturing actions, with huge potential to cut back materials wastage, promote round manufacturing, create employment and stimulate financial actions throughout assortment, transportation, processing and recycling worth chain.

He, nonetheless, noticed that these advantages can solely be absolutely realised by way of efficient regulatory framework that ensures lawful sourcing, protected dealing with, transaction traceability and dependable provide of scrap supplies to official industrial customers.

According to him, poorly regulated scrap steel actions encourage the theft and vandalism of private and non-private infrastructure, unsafe dismantling practices, environmental degradation and financial losses, whereas creating uncertainty for official buyers and producers.

Prince Audu acknowledged that the proposed laws would offer a structured framework for licensing and supervising operators, regulating assortment and aggregation amenities, guaranteeing transaction traceability, strengthening environmental and occupational security compliance, stopping illicit commerce and enhancing monitoring and enforcement throughout the sector.

“Our objective is not to suppress legitimate commercial activities; rather, it is to establish a system in which lawful businesses can operate with greater clarity and confidence, while activities involving stolen materials, unsafe practices or environmental harm are addressed through appropriate regulatory and legal measures,” he acknowledged.

He additional emphasised the significance of accommodating small-scale operators throughout the regulatory framework, noting that hundreds of Nigerians rely upon scrap steel assortment and buying and selling for his or her livelihoods.

He defined that the laws would offer a sensible pathway in direction of formalisation, with necessities proportionate to the dimensions and dangers of various operations, whereas guaranteeing that large-scale aggregation, processing and recycling amenities adjust to applicable licensing and operational requirements.

On the safety of nationwide belongings, Prince Audu expressed concern over the persistent theft and vandalism of metallic parts of public infrastructure, together with electrical cables, railway parts, manhole covers and different important installations, stressing that such actions transcend the lack of metallic supplies, as they disrupt public companies, compromise security, improve upkeep prices and undermine nationwide infrastructure growth.

He subsequently referred to as for stronger provider identification, verification of fabric sources, dependable transaction information and enhanced collaboration with related safety and legislation enforcement businesses to curb the illicit acquisition and buying and selling of stolen metallic supplies.

Audu defined that the validation train offers an essential alternative for trade operators, authorities establishments, environmental and safety businesses, skilled our bodies and different stakeholders to critically look at the draft laws and provide sensible suggestions.

He urged contributors to make constructive and particular submissions, significantly on provisions requiring clarification, operational implications and potential implementation challenges.

He assured stakeholders that the ministry would give due consideration to submissions obtained throughout the session course of, topic to the relevant authorized framework and the basic targets of the regulatory initiative.

He additional reaffirmed the ministry’s dedication to working with related authorities establishments and trade stakeholders to make sure efficient implementation, institutional capability growth, public consciousness, dependable information assortment and constant enforcement.

The everlasting secretary, Amb. Nura Abba Rimi, represented by Christopher T. Wanje, director, Metallurgical Inspectorate & Environmental Protection Dept, acknowledged that the federal authorities, beneath the Renewed Hope Agenda of President Bola Ahmed Tinubu stays dedicated to constructing a resilient, aggressive and self-sustaining metal trade that may function a catalyst for Nigeria’s industrialisation, financial diversification and nationwide growth.

In his goodwill message, the nationwide president, National Association of Scrap and Waste Dealers Employers of Nigeria, Comrade Ogbu Luke Uchechukwu, described the engagement as a landmark growth within the metal sector.

Similarly, the director-general National Environmental Standards and Regulations Enforcement Agency (NESREA), Dr Innocent Bariate Bariko, represented by the deputy director, Base Metal Sector, Engr Walter Okoye noticed that the theme was each well timed and related.