Curbing illegal mining

THE problem of illegal mining has been around for a long time and despite improving policing methods and laws and regulations governing the operations of mining enterprises, it still is posing a threat to the environment and deprives government of a huge sum of revenue. Poor countries with scarce financial resources and inadequate technology, coupled with rough terrain which creates severe logistical problems are even more challenged in dealing with the issue.

According to the Daily Graphic of Ghana: “A study conducted on small-scale mining in the country has revealed that the government is losing revenue due to unpaid royalties and taxes by illegal small-scale miners, popularly called galamsey’ operators.”

“According to the study, revenue that accrued from small-scale mining in 2008 amounted to $340 million, with annual income per miner estimated at $1,700. However, about 95 per cent of them did not pay royalties or any form of tax to the government.”

“The findings of the research, which were discussed at a stakeholder workshop in Accra, also indicated that a large number of Chinese, Togolese, Malians and Burkinabes have waded into the galamsey business, although the Minerals and Mining Act forbids foreigners from engaging in small-scale mining.”

“The study, which was commissioned by the Ghana Chamber of Mines, with support from the BUSAC Fund, sought to find a lasting solution to the challenges facing the small-scale mining sector.”

“Globally, about 100 million people in 70 countries are believed to be engaged in artisanal small-scale mining, producing about 10.6 million ounces of gold annually at a face value of $9.6 million.”

“In Ghana, it is estimated that between 100,000 and 300,000 people were engaged in artisanal small-scale mining as of 2008, producing about 425,000 ounces of gold, representing about 15 per cent of national contribution.”

“However, about 95 per cent of them, according to the study, did not have licences to operate.”

As in Ghana, mining is a major industry in our country and the Guyana Geology and Mines Commission(GGMC),  has also had to deal with the problem of illegal mining. The GGMC has made tremendous progress in curbing illegal mining;the problem, however,has escalated. Of course because of the terrain, it is a big challenge to oversee and monitor the industry, and this is compounded by corrupt officials who collude with illegal miners.
Nevertheless, it was most encouraging to hear that the GGMC in a crackdown on illegal mining last Wednesday closed down 14 illegal gold mining operations in the Omai area, Essequibo, in an ongoing campaign to curb a problem of widespread  “raiding” of gold-bearing, unoccupied state lands.

Major General (Rtd) Joe Singh, who is Chairman of the Board of Directors of the GGMC, disclosed Thursday that the campaign will continue, even as efforts are made to regularise occupation of these lands.
“There has to be some semblance of respect for law and order. People just cannot do as they please,” he said, addressing a meeting of the Guyana Gold and Diamond Miners Association (GGDMA).
He urged members of the GGDMA to self-regulate, to self-manage and to bring their influence to bear on operators within the industry to ensure that such aberrations are removed and that best practices prevail.
He also urged  closer collaboration between the GGMC and the GGDMA in this regard, stating that good, law-abiding miners get a bad name, and the industry on the whole gets a bad name when some miners indulge in illegal activities and get away with it.
It is hoped that this crackdown would be sustained because apart from the environmental damage and depriving the state of revenue, illegal mining provides unfair competition to the licensed miners and discourages  them from expanding their operations through greater investments.

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