FG Moves to Review Mining License Rates

Folalumi Alaran in Abuja

The Ministry of Solid Minerals Development, has announced plans to review rates of mining licenses and other sundry fees payable by mining operators in the country.
Speaking during a consultative meeting with stakeholders in the mining industry, the Minister of Solid Minerals Development, Dele Alake, stated that the review became necessary to boost the capacity of government to effectively reposition the mining sector.

Highlighting efforts to reposition the mining industry, he revealed that aside from the on-going reforms, the federal government was also sanitising the mining environment through the newly unveiled mining marshals.

This, he disclosed, had been conducting operations in parts of the country to protect legitimate miners and combat illegal mining.
Soliciting the support of stakeholders for the impending increase in fees for mining licenses and other sundry fees, Alake stressed that this became inevitable if government was to effectively fulfil its obligations of providing an enabling environment for mining operations whilst also raising more revenue for government.

“For us to continue to ensure that we secure the mining environment and keep putting in place measures that will ease the operational difficulties and challenges that confront miners, we need to review the rates of mining licenses and other sundry fees. We felt that we can’t just do this without letting you know because invariably, you are the players in the industry,” the minister added.

On the recent revocation of dormant mining licenses, Alake noted that the government followed due process and extant laws guiding the action, emphasising that a 30-day restitution window still exists for operators that were affected.

In his submission, the Director-General of the Mining Cadastral Office, Engr. Obadiah Nkom, who also chaired the fees review committee, stated that the committee recommended new rates that were affordable and would enhance the competitiveness of the fiscal regime of the mining sector in comparison with regional and global standards.