The African Centre for Leadership, Strategy and Development (Centre LSD) and its development partners have called on the Federal Government and all relevant stakeholders to intensify the effort being made to realize the set goals of the country’s mining sector, just as the organization commended the administration of President Muhamadu Buhari for its ‘determination to reposition the solid minerals and metal sectors.’
In a statement issued at the end of a one-day national webinar on artisanal and small scale mining in Nigeria, jointly signed by the President of the Centre, Mr Monday Osasah; President of the Miners Association of Nigeria, Alh. Kabiru Mohammed; A Representative of Host Communities, Ms Stella Okuri-Eze, and Mr Patrick Ojeka of the Artisanal and Small-Scale Mining Department of the Ministry of Mines and Steel Development, the group expressed concern that ‘the solid mineral sector is bedeviled by the challenge of insecurity with bandits now migrating and relocating from one region to the other across the country.’
While saying that ‘eighty percent of mining activities are done by artisanal miners with no one local government area out of the 774 LGAs in the Federation not having any one form of mineral endowment or the other,’ the group noted that the ‘fund for co-operative formalization which by design ought to be consistent as contained in the Ministry’s plan are never so,’ and that it has elicited a lot of concerns in the formalization process.
Lamenting the inability of artisanal and small scale miners to access the five billion Naira MMSD-BoI Intervention fund for ASM operators, the group said: ‘Although government and the Bank of Industry have put in place the 5billion Naira revolving loan scheme targeted at the artisanal and small-scale miners in the country, the criteria/conditionalities required by the BANK for accessing such fund are too cumbersome.’
It also lamented the non-functionality of the Integrated Automation and Interactive GIS Web Portal designed to improve the ‘ease of doing business’ in the sector, stating that the comatose web portal ‘has made it difficult to adequately respond to citizens’ concerns on the sector.’
‘Relevant stakeholders were enjoined to take the resolutions forward so that the challenges that have been encumbering the mineral sector are timely resolved to enable the sector be a virile revenue earner and contributor to the national economy,’ the statement said.
Kindly read the full statement below.
COMMUNIQUE ISSUED AT THE END OF A ONE-DAY NATIONAL WEBINAR ON ARTISANAL AND SMALL-SCALE MINING IN NIGERIA IN THE POST COVID-19 ERA HELD ON 9TH JULY 2020
Preamble:
The African Centre for Leadership, Strategy and Development (Centre LSD) in collaboration with the Ministry of Mines and Steel Development with support of the Open Society Initiative for West Africa (OSIWA), held a National Webinar on artisanal and small scale mining in Nigeria, July 9th, 2020 with focus on Artisanal and Small-Scale Mining in Nigeria in the Post-COVID-19 Era.
The webinar which had two presentations; Artisanal and small scale mining in the post covid-19 era and challenges of Artisanal and small scale mining in the post covid-19 era was attended by 90 participants drawn from the Ministry of Mines and Steel Development, State Ministries of Solid Minerals, Miners Association of Nigeria, Women in Mining, artisanal miners (from selected communities in Ekiti, Ebonyi, Taraba, Oyo, Benue), operators and Civil Society.
Participants at the meeting made the following observations:
Observations
- Participants applauded the current government of President Muhammadu Buhari not only for its determination to reposition the solid minerals and metal sectors to serve as a frontier for economic diversification and prosperity, but also for its efforts in working to cushion the impacts of the rampaging COVID-19 pandemic in Nigeria.
- The solid mineral sector is key to the growth, development and well-being of any nation including Nigeria and is recognized across the globe as a veritable sector that has capacity to liberate millions of people out of poverty.
- 80 percent of mining activities are done by artisanal miners with no one local government area out of the 774 LGAs in the Federation not having any one form of mineral endowment or the other.
- Fund for Co-operative formalization which by design ought to be consistent as contained in the Ministry’s plan are never so and this has elicited a lot of concerns in the formalization process.
- The solid mineral sector is bedeviled by the challenge of insecurity with bandits now migrating and relocating from one region to the other across the country.
- The meeting noted that despite the reform agenda in the mining sector, artisanal and small-scale miners continue to face the challenge/rigors of registration and certification which till date can only be done in Abuja.
- Though the solid mineral sector is capital intensive in nature but has capacity for wealth creation, job creation, curbing youth restiveness and has linkages to the development of other sectors, the reluctance on the part of government to fund it like it does to the Agricultural sector is worrisome.
- Although government and the Bank of Industry have put in place the 5billion Naira revolving loan scheme targeted at the artisanal and small-scale miners in the country, the criteria/conditions required by the BANK for accessing such fund are too cumbersome.
- The non functionality of the Integrated Automation and Interactive GIS Web Portal designed to improve the ‘ease of doing business’ in the sector has made it difficult adequately respond to citizens’ concerns on the sector.
- The lack of harmonization of sectoral policies has made coordination between and amongst the various Ministries, Departments and Agencies of government difficult, particularly with those that have bearing with the operations in the mineral sector.
- That despite the Federal Government palliative measures to cushion the impact of covid-19 on small scale businesses in the country, artisanal and small scale miners were not included in the intervention and as such did not benefit, the gender issues in mining as it relates to women and children notwithstanding.
Recommendations/Resolutions.
In view of the observations highlighted above, participants at the webinar resolved as follows:
- Federal government should take seriously the issues of the diversification of the nation’s economy and avoid paying lip service to its proclamations, so as to increase the contribution of the relevant sectors to the GDP and ultimately the growth and development of the Nigerian economy.
- The Federal government should further demonstrate its willingness for diversification and formalization of co-operatives by supporting the Ministry’s initiative of organizing 25 artisanal mining co-operatives in 2 States in each geo-political zone and its initiative of one mineral per LGA with subnational governments (States and Local Governments).
- The Federal government should investigate the insecurity pervading most parts of country and bring the situation under control to encourage both foreign investors and mines workers to carry out their activities without fear or any form of molestation
- Government through the Ministry of Mines and Steel Development should decentralize the processes and procedures of registration and certification in a way that it can be done from the regional or state offices of the Ministry to reduce the rigours small scale operators in the sector go through across the country.
- The Ministry, Bank of industry and the Executive of the Miners Association of Nigeria should jointly review the conditions for assessing the N5billion small scale and artisanal miners development fund and arrive at something acceptable to pave way for accessing the fund by Miners.
- Government and the Bank of Industry should in spite of the criteria for borrowing money from the Bank of Industry, work out other strategies including relaxing some of the conditionalities for borrowing, buying of heavy duty equipment required for mining activities and leasing them to MAN and its members to ease exploitation of minerals from the ground.
- The MMSD must up its game to revive the Integrated Automation and Interactive GIS Web Portal work in accordance with the objective for which it was created. This way, citizens’ concerns will be adequately addressed without going through the difficulties of having to interface directly with the Ministry.
- Government should ensure harmonization of sectoral policies to pave way for coordination, mutual reinforcement, and orderliness between and amongst the various Ministries, Departments and Agencies of government that have bearings with operations in the mineral sector.
- The Federal government should be fair in the distribution of palliatives and cease from deliberately discriminating against artisanal and small-scale miners for no reason. Ensuring fairness will help to address the gender issues in the mines, particularly in terms of ameliorating the impact of COVID-19 on women and children.
Conclusion
Participants’ at the Webinar commended the African Centre for Leadership, Strategy and Development (Centre LSD), Ministry of Mines and Steel Development (MMSD), and OSIWA for putting together the conference. Relevant stakeholders were enjoined to take the resolutions forward so that the challenges that have been encumbering the mineral sector are timely resolved to enable the sector be a virile revenue earner and contributor to the national economy.
Signed:
- Alh. Kabiru Mohammed – Miners Association of Nigeria (MAN)
- Mr Patrick Ojeka- Artisanal and Small-Scale Mining, Ministry of Mines and Steel Development
- Ms. Stella Okuri-Eze – Host Community Representative
- Mr. Monday Osasah – African Centre for Leadership Strategy and Development (Centre LSD).