An Appraisal of the Socia-Economic Impact of Privitization on Rural Communities in Nigeria: A Focus on Benue Cement Company Gboko (Dangote Cement PLC).
- Author Edward Aondona Apken-Ageh
- DOI
- Country : Nigeria
- Subject : Socioeconomics
Keywords : privatization, socio-economic impact, rural communities, local company, state owned enterprise (SOE)
Abstract
The study assessed the extent to which Benue Cement Company (BCC) now managed by Dangote industries engaged locals in menial jobs in the company and also provides basic amenities and welfare packages to the rural communities in mbayion Gboko local government area of Benue state, Nigeria. Before privatization (BP) that is when the company was managed by government and after privatization (AP), now that Dangote industries plc is in charge. A cross-sectional survey research design was used for the study. The population comprised all the three major communities of Tse-Kucha, Amua and Inonganor in Mbayion Gboko local government area. The sample consisted of 450 locals randomly selected in the three major communities in the study area. A check list titled; Menial Jobs and Basic Amenities for locals Checklist (MJBALC) and Locals Welfare Packages Questionnaire (LWPQ) were used for data collection. The instruments were validated by three experts, two in Community and Social Development and one in Test and Measurement. The reliability coefficient of the instruments was determined using Cronbach alpha and internal consistency of the instruments was obtained as 0.92 and 0.78. The three research questions which guided the study were answered using mean and standard deviation (SD), while the three null hypotheses were tested at 0.05 level of significance. The result revealed that the locals were engaged in menial jobs in Benue Cement Company moderately when it was managed by the state government compare to now that is managed by Dangote industries. Consequently, the company has provided basic amenities such as electricity, pipe born water and roads as well as welfare packages to the rural communities in mbayion where the factory is sited to a less extent at both intervals. It was recommended based on the findings that; the government through the Bureau for public Enterprises (BPE) in conjunction with the state government should ensure that Dangote industries keep to the terms of engagement for the takeover (privatization) of Benue Cement Company (BCC) Gboko with regard to the social-economic benefits of the rural communities in mbayion where the factory is sited. By providing to a great extent; Menial jobs such as electricians, mechanics, portals and drivers to the locals in the area, Basic amenities such as electricity, pipe born water, and good roads in the rural communities hosting the factory and Welfare packages such as housing and loan schemes, as well as health services to improve their livelihood.
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