EDEN, RDI, others want 10% revenue for host communities in re-enacted Mining Act

EDEN, RDI, others want 10% revenue for host communities in re-enacted Mining Act

Advocacy groups have urged the House of Representatives Committee on Solid Minerals to increase the extraction net value revenue to host communities from mining proceeds from five percent proposed in the re-enacted Minerals and Mining Bill 2023 to 10% and want it reviewed upwards periodically.

The recommendation was made in a memorandum presented by the Environmental Defenders Network (EDEN) and supported by the Renevlyn Development Initiative (RDI), Community Development Advocacy Foundation (CODAF) and the Neighborhood Environmental Watch (NEW) Foundation

At a Public Hearing on the Minerals and Mining (Repeal and Re-enactment) Bill, 2023 and the Nigeria Mineral Development Company Limited (Establishment) Bill, 2023 which held in Abuja on Wednesday (July 17), the groups said that increasing revenue that goes to the communities is necessary as the communities carry the biggest burdens of solid minerals extraction and are left out in benefit sharing.

The groups also said that the government should introduce and incentivization strategy for artisanal and small scale miners to be formally captured and registered so that they can equally have access to loan facilities as this will encourage them to start paying royalties and operating within accepted standards.

The recommendations were presented by Philip Jakpor and Tobias Lenganan Dapam, Board member of Renevlyn Development Initiative.

The memorandum by EDEN proposed that all small scale and artisan miners should be documented in a Miners Register opened and domiciled in the Ministry of Mining/Solid Minerals in the State, local government area headquarters and mining communities.

EDEN also frowned at the excessive powers given in the proposed Bill to the Minister of Solid Minerals in Section 4, which it said should be subject to further review as most of the functions proposed are duplication of what the Ministry of Environment should be carrying out.

For instance, the group questioned Section 4 (u) of the Bill which proposes that the Minister of Solid Minerals shall have the power to designate a mineral as a radio-active mineral and by radioactive regulations make special provisions for the exploration, exploitation, possession, export or otherwise dealing in the radio-active mineral.

Instead, it proposed that the powers of the minister of solid minerals should be shared with other ministries relevant to the subject including environment.

Echoing the same concern, the memorandum by Renevlyn Development Initiative stated that “There is too much concentration of powers in the hands of the minister which should be shared with other ministries or government agencies. For instance, we recommend that the powers conferred on him to establish environmental procedures are shared with other relevant ministries including the Ministry of Environment to avoid duplication or clash of responsibility”.

 

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