FG pledges resuscitation of abandoned 37-year-old ALSCON plant

From Isaac Anumihe, Abuja

The federal government has pledged to revive the 37-year-old Aluminium Smelting Company of Nigeria (ALSCON) in Ikot Abasi, Akwa Ibom State, in a move expected to strengthen power generation and create employment for Nigerian youths and professionals.

Minister of Power, Adebayo Adelabu, made the announcement over the weekend during a working visit to the company.

He lamented that decades after ALSCON’s establishment, insufficient electricity supply has prevented Nigeria from reaping the benefits of the massive investment.

“Thirty-seven years after its conception, lack of alternative electricity supply has hindered the country from benefiting from this huge investment,” Adelabu said, addressing the management.

The minister promised a temporary solution that would see the company connected to the national grid while work continues on a long-term fix. He noted that when fully operational, ALSCON will contribute 540 megawatts of electricity to the grid and provide direct and indirect employment for about 15,000 Nigerians.

Adelabu also drew attention to the neglected 330KVA substation owned by the Niger Delta Power Holding Company (NDPHC), which was about 90 percent complete when it was abandoned. “Efforts will be made to ensure its completion within the shortest possible time, as this is the only way the country can get value for such huge investment in ALSCON,” he said.

Tracing the company’s history, Adelabu said ALSCON was conceived in 1989 but only completed in 1998.

With the Federal Government’s privatization programme in 2006, it was taken over by the Aluminium Smelting Company of Russia. “These huge investments by the country have suffered from lack of power supply in the last 27 years,” the minister said. “We are very much aware of the huge potential of an institution like this in the upstream, midstream, and downstream conversion of aluminium. It can create a lot of employment for our teeming youths, supply raw materials to downstream aluminium companies, and save us huge foreign exchange spent on imports.”

Adelabu emphasized that the revival aligns with the government’s goal of providing electricity to the majority of Nigerians by 2030, as outlined in Vision 2030 during the Tanzania declaration.

“Having appreciated your wonderful efforts, I have come to visit the company, to discuss with the owners and all other stakeholders—the Transmission Company of Nigeria (TCN), NDPHC, and contractors involved—to devise an immediate solution to solve the power problem this company has been facing,” he said.

Highlighting progress, he added, “I am happy that we made very good progress with this meeting. We have determined that the short-term solution is to connect this company to the national grid, and we have also agreed on what the medium-term solution should be. But the most important part of this meeting is that the company also has the potential of supplying 540 MW of power onto the national grid when fully completed.”

According to Adelabu, ALSCON has six turbines of 90 MW each, all in excellent condition. “Once all infrastructure are put in place—the 330/132KV substation being constructed by NDPHC, together with the 330KV lines from Ikot-Ekpene to Ikot Abasi—we will be able to evacuate the entire 540 MW to the national grid.

There is even the possibility of expanding this by about 120 MW, because this is an open circuit line. It can be made a combined circuit, by which an additional 20 MW per turbine can be added to make 660 MW of power. You can imagine what this will add to the national grid capacity,” he said.

The minister also highlighted the employment potential of ALSCON. “From the number of jobs they will generate, the company has the potential of employing up to 3,000 employees here,” he said, noting that the company’s role in supplying raw materials to downstream aluminium companies could save millions of dollars in foreign exchange.

“This is a company that we believe is going to add a lot to the fortune and prosperity of the country, and of the people of Nigeria. We know the impact of this on our nation, on our federal reserves, and on our Gross Domestic Product (GDP),” he added.

The Federal Government’s renewed focus on ALSCON is expected to unlock its long-dormant potential, turning the company into a key contributor to Nigeria’s power generation, industrial growth, and employment creation.