THE Guyana Government, recognising the importance of mining as a major driver of the economy, is undertaking several strategic initiatives to reduce the costs and risks involved in mining, and help operatives to weather the cyclical vicissitudes of the industry.
Among these initiatives are tax waivers on new double-cab vehicles for miners; paying miners in foreign currency for the sale of their gold; helping them to reduce fuel importation costs; coordinating action on miners’ security concerns and illegal raiding; and supporting mercury-free mining.
Minister of Natural Resources and the Environment (MoNRE), Robert Persaud, made the disclosure on Sunday, and stressed that these and other related matters recently received attention of Guyana’s President when he met with the miners’ body recently, and he had given clear directions for these “strategic initiatives” to receive early attention.
Minister Persaud disclosed that the initiatives would be undertaken through collaborative efforts of the MoNRE, the Guyana Geology and Mines Commission (GGMC), the Guyana Gold and Diamond Miners Association (GGDMA), the Guyana Women Miners Organisation (GWMO); Small Miners’ groupings, and Amerindian communities.
Minister Persaud indicated support for the mining sector during the opening ceremony of Mining Week 2013, held at the Guyana International Conference Centre at Liliendaal, Greater Georgetown. Making a presentation captioned “Policy Statement on the sustainable development of the extractives of the Guyana economy,” he touched on the issues on which early action would be taken, and disclosed that with respect to waivers of duties and taxes on double-cab vehicles to be utilised in the mining industry, a revised proposal done by the GGDMA would be studied by the Minister of Finance.
At the moment, it is proposed that the concession would be available to miners based on their declarations to the Gold Board in the previous year, and that miners would be eligible for consideration once they have declared minimum quantities.
With respect to a request from the miners for payment in foreign exchange for gold sold to the Guyana Gold Board, a proposal submitted to the Ministry of Finance and Bank of Guyana is currently under consideration.
With respect to the cost of fuel as a major operational cost which miners face, the direct importation of fuel by the GGDMA and/or its designated representative, for distribution to the mining community in accordance with national guidelines, is being positively considered.
On Friday, August 23, a meeting was held between the miners’ body and the Commissioner of Police, following interactions with the Minister of Home Affairs on security concerns.
The MoNRE and the GGMC will work with the Ministry of Home Affairs (MoHA) and the Guyana Police Force (GPF) to better facilitate the security needs of the miners in the various mining districts. Areas to be addressed include firearm licences for miners; establishment of security checkpoints at critical ‘choke points’ within the mining districts, and increased police presence in mining communities;
effective action against ‘shakedowns’ by members of the Guyana Police Force (GPF) and the Guyana Defence Force (GDF); and clamping down on illegal conduct, such as suspected trafficking in persons, prostitution, and the use of narcotics in mining communities are also being studied, and are to be effected.
With respect to illegal mining or raiding, Minister Persaud disclosed that the GGMC would soon be using satellite imagery to track any illegal mining, and, in conjunction with the Guyana Defence Force Air Corps, would be able to have instant deployment from the centre.
The MoNRE is also working with the Chancellor of the Judiciary to address the prevalent tactic raiders use to obtain injunctions against the GGMC, which is then restrained from taking any action, while they continue with their illegal activities.
With respect to the imminent phasing out of the use of mercury in gold mining, Government, through the MoNRE, has been working — and will continue to work — on a range of initiatives to support the transition to mercury-free technology in the extraction of gold.
The focus, he said, is on support for technology transfer, technical support, training though Guyana’s recently launched Mining School, and access to international partnerships. The GGMC has been mandated to make this a priority area of work.
Minister Persaud stressed that mining is a complex sector in cautioning: “We must ensure that the costs, benefits and risks of mining are well understood by all stakeholders; and that all accept their respective roles and responsibilities.”
Managed in a transparent and sustainable fashion, the sector can help reduce poverty, and play its role as a principal catalyst for growth of the economy.
Mining Week 2013, which began on Sunday last, is being held under the theme “Propelling the Development of the Local Economy through Growth in the Extractive Industries: gold bauxite, diamonds, stones, loam, manganese, rare earth elements, iron and ore”.
Minister Persaud declared that, through the MoNRE, Guyana’s mining sector is currently being modernized with an updated legal framework, strong institutional capacity, and greater knowledge-sharing about the sector with all stakeholders, including small miners, investors, external partners, Members of Parliament and the general public.