DAILY GRAPHIC, Friday, June 8, 2012, Center Spread Pg. 25.Govt formulates mining policy to regulate related activities

Story: Mary Ankrah

THE government has formulated a mining policy to regulate mining-related activities in the country, the Minister of Lands and Natural Resource, Mr Mike Allen Hammah, has said.

He said the policy provided the guiding principles to achieving sustainable development through the collaborative efforts of all stakeholders in the mining sector.

Through the implementation of the policy, he said, members of society would view mining as a desirable activity and, thereby, earn public consent.

Mr Hammah stated this at the launch of the ninth West African Mining and Power Conference (WAMPOC 2012) in Accra on Wednesday.

The conference is being held in conjunction with the 10th West African Mining and Power Exhibition (WAMPEX) slated for June 6 to 8, 2012.

The theme of the conference and the exhibition is: “Deeping Participation for the Sustainable Development of African’s Minerals and Energy Resources”.

More than 450 participants across the globe, as well as international suppliers of equipment, technology, services and consumables in the mining and power generation sectors and investors, are attending the conference to discuss the current state and development trends of the global market, as well as exhibit their products and services on the Ghanaian and African market.

Some of the participants include AngloGold Ashanti, the Scaw Metal Group, International Paint (Akzo Nobel), Atlas Copco Ghana and First Tech Group.

Mr Hammah said sustainable development involved integrating economic, environmental and social responsibility to provide value and balance the benefits of exploitation with the potential impact on the physical and social environment.

The minister observed that deepening stakeholders’ partnership was fundamental to advancing the industry to confront local and global challenges such as illegal mining and economic recession and accelerate progress towards international agreed goals such as the Millennium Development Goals (MDGs).

Through a deepened partnership of stakeholders, he said, the industry would achieve the six priority areas emphasised by the International Council on Mining and Metals (ICMM), including poverty reduction, revenue management, regional development planning, local content, social investment and dispute resolution.

Mr Hammah noted that success in partnership among the stakeholders would help better manage the social, economic, cultural and environmental impacts, both positive and negative, that mining could bring to the country, people and neighbours.

Currently, the mining sector contributes 49 per cent of total merchandise exports and seven per cent of the Gross Domestic Product (GDP).

In 2011, export revenues from the mineral sector amounted to over US$5 billion and presently contributes about 17.5 per cent of Ghana’s total corporate tax earnings and 28.3 per cent of government revenue.

The sector also attracted over US$2 billion in foreign direct investment (FDI) in mineral exploration and mine development during the last decade, representing over 56 per cent of total FDI flows to the country.

On employment, Mr Hammah mentioned that 28, 000 people had been employed in the large-scale and mine support services industry, while over one million people were engaged in small-scale gold, diamond and sand winning and quarry.

He noted that there were only 11 companies producing minerals on a large scale, while over 600 registered small-scale mining groups were engaged in the mining of gold, diamonds and industrial minerals.