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August 22, 2024

Solid minerals: Stakeholders lament State Govts’ interference in operations

Solid minerals: Stakeholders lament State Govts’ interference in operations

By Gabriel Ewepu

ABUJA – AS the Tinubu-led administration makes efforts to galvanize the solid minerals sector, stakeholders who called themselves Concerned Stakeholders of the Nigerian Minerals and Mining Sector, yesterday, cried out over state governments’ unbridled interference in their operations, thereby making them uncomfortable.

They said the interference by the state government had impeded their operations, which was one of the challenges they outlined in their position paper presented during a press conference held in Abuja, which was prepared, endorsed, and presented by the following signatories on behalf of the stakeholders: President, Nigerian Mining and Geosciences Society, NMGS, Prof Akinade Olatunji; National President Miners Association of Nigeria, MAN, ‘Dele Ayanleke; National President, Women In Mining In Nigeria, WIMiN, Engr (Mrs) Janet Adeyemi; President.

Others were the Nigeria Society of Mining Engineers, NSME, Dr. Umar Albarka Hassan; Deleoye; National President, National Association of Chambers of Commerce, Industries, Mines and Agriculture, NACCIMA, Hon. Kelvin Dele Oye; President, Gemstones Miners and Marketers Association of Nigeria, GMMAN, Engr Adeniran Ajibade; Chairman, ECOWAS Federation of Chambers of Mines, EFEDCOM, Alh. Sani Shehu; Secretary General, Association of Miners and Processors of Barite, AMAPOB, Patrick Odiegwu; and Mining Thematic Lead, Lagos Chamber of Commerce and Industry, LCCI, Seun Olatunji.

The stakeholders also acknowledged the efforts of the Minister in repositioning and revamping the sector.

However, they said there is a need to address issues affecting productivity and performance in the sector, which include the recent upward review of the rates of fees, rents, and royalties in the mineral resources sector.

According to them, it was done without consultation with stakeholders, irrespective of the well-publicized claim to the contrary.

They pointed out the non-alignment of Special Mining Marshals with the two departments of the Ministry, which are statutorily empowered to regulate mining operations and environmental compliance are the Mines Inspectorate (MI) and the Mines Environment Compliance (MEC) respectively, therefore, they demanded the Mining Marshals should be made to function as a back-up force to support the two Departments located in the States.

On processing, they said, however, the introduction of the value addition policy by the Ministry without precise specifications as to the type and level of processing required is de-marketing the Nigerian mineral production, which they want the Ministry as a matter of urgency, accelerate efforts at the establishment of the envisaged mineral processing centres.

Meanwhile, on the centralization of the approval of some mineral titles, permits, and certificates, they said it was not only inimical to the extant laws and regulations but has also increased the waiting time for obtaining the necessary documents to facilitate mining businesses in Nigeria, therefore defeats the objectives of the electronic Cadastre system that was launched by the Federal Government, and it amounts to policy summersault capable of taking the sector back to its old inglorious days.

They also requested the Minister to intervene in the release of the N2.5 billion warehoused with the Bank of Industries, BoI, for mining projects, which has not achieved its purpose as the funds have continued to be inaccessible to the intended beneficiaries.

The paper reads in part, “The Honourable Minister will recall that the Constitution of the Federal Republic of Nigeria (CFRN) and the Nigerian Minerals and Mining Act of 2007 (NMMA 2007) grants the Federal Government exclusive ownership and control of mineral resources.

“The NMMA 2007 also provides in Sections 1(2) and 22 for “the use of land for mining operations to have a priority over other uses of land and be considered for the purposes of access, use, and occupation of land for mining operations as constituting an overriding public interest within the meaning of the Land Use Act” with “all lands in which minerals are found in commercial quantities acquired by the government of the Federation in accordance with the provisions of the Land Use Act”.

“However, contrary to the inviolate provisions of the CFRN and NMMA 2007, virtually all the states of the Federation have in the past few years embarked upon concerted processes and activities that have crept into the control and regulation of mineral operations within their territories interfering in the process with the activities of duly licensed operators across the country.

“These interferences are manifest in several forms including: Establishment of ministries, departments or agencies (MDAs) for minerals and mining by state governments and requesting that all duly licensed operators should register with such state-run MDAs.

“Closure of operational sites using law enforcement agents and task forces not known to extant industry regulations; Confiscation of lawfully mined products from operators without reasons; Brutalization of personnel of operators in some instances, vandalization and setting on fire of hard-earned equipment; and using the state apparatus to institute frivolous court cases against operators.

“These unchecked usurpations of the functions of the Federal Government by State authorities is a direct affront to the preserved rights of the Federal Government as enshrined in the Constitution and the Mining Act and has thrown the entire sector into confusion.

“These actions from the sub-nationals do not only complicate the business environment for investors, but they also introduce a huge level of unquantifiable risks capable of hindering and sabotaging the Federal Government’s vision for the accelerated investment flows into the sector.”

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