Nigerian Lawmaker Calls for Legislation to Boost Local Value Addition in Solid Minerals Sector

A member of the House of Representatives, Clement Jimbo, has advocated for a new legal framework to promote local value addition and compulsory technology transfer in Nigeria’s solid minerals sector. Specifically, Jimbo is focusing on lithium mining and processing, seeking to avoid the mistakes made in the country’s oil sector, where dependence on raw exports hindered industrial growth.

In an interview on Channels Television’s breakfast program, Jimbo noted that Nigeria’s post-independence history has been marked by a shift from agriculture to oil, which, despite being lucrative, has stifled progress in other sectors. He emphasized the need for a legislative approach to ensure that companies importing lithium-powered devices, such as smartphones and electric cars, establish manufacturing plants in Nigeria, utilizing the country’s raw materials.

Jimbo’s proposed legislation would require these companies to set up manufacturing facilities in Nigeria, thereby attracting the necessary technology and promoting local value addition. He has proposed the establishment of a National Commission on Technology Transfer to oversee this process. This move is aimed at ensuring that Nigeria benefits fully from its lithium deposits, which are considered among the best globally, with up to 13% lithium content.

The lawmaker clarified that his proposal does not duplicate existing laws but rather addresses the lack of value addition within Nigeria. Currently, the law licenses individuals to mine raw minerals, but there is no provision for adding value within the country. Jimbo’s bill seeks to address this by ensuring that companies establish facilities in Nigeria to process materials into finished goods.

Establishing a legal framework, according to Jimbo, would guarantee long-term gains for the nation and ensure continuity beyond any administration. He also stressed the importance of empowering state governments to participate more actively in the mining sector, which could drive industrialization and local growth. By promoting local value addition and technology transfer, Nigeria can unlock the full potential of its solid minerals sector and avoid the mistakes of the past.