THE Natural Resources Ministry has rubbished contentions by the Guyana Gold and Diamond Miners’ Association (GGDMA) that the Government has taken a decision to rescind all concessions granted to miners.In a strongly worded statement on Thursday, GGDMA said it has received “highly credible information” that the Finance Minister Winston Jordan, during his delivery of Budget 2017, will announce the rescindment of “all” concessions.
Those include, the VAT waivers, the concessions for fuel and lubricants, motor vehicles, spares and parts, and tools and equipment. Reference was also made to the non-renewal of the fuel import licenses.
“This is the ultimate betrayal of the miners by the APNU+AFC Government and will only serve to make the already difficult industry harder, if not impossible,” GGDMA stated while calling on the Government to restore the status quo and return all the concession granted to miners under the People’s Progressive Party/Civic (PPP/C) Administration.
It further contended that APNU+AFC Government has given no additional help to the industry.
“They have provided no new concrete concessions, and to date, they have not put in one single road or other infrastructural work that directly benefits the industry,” the association said.
Any attempts to remove concessions granted to gold miners will negatively impact the industry in the coming year, GGDMA said.
“This proposed backward step, to remove all waivers and concessions, will see a significant decline in the production targets next year and many more miners on the breadline. The industry is already suffering and this betrayal is going to kill mining in Guyana,” the association said, while noting that miners are prepared to take all necessary steps to ensure that the industry survives.
But the Natural Resources Ministry in a statement ruled out these fears.
In setting the record straight on Thursday, the Ministry said that in the latter part of 2015, agreements were signed among GGDMA, the Guyana Energy Agency and the Guyana Geology and Mines Commission (GGMC) for a number of exemptions from customs duties on fuel and equipment.
The contention that the current Government has given no additional help to the industry, simply have no basis in fact, the Natural Resources Ministry stated.
Currently, the Ministries of Natural Resources and Public Infrastructure are engaging members of GGDMA to address the maintenance and opening up of hinterland roads.
“We can state also that the Ministry of Finance is currently engaged in discussions regarding these concessions and other forms of support to the mining sector, including reviewing requests for renewal of these concessions.”
The Natural Resources Ministry is now urging the Executive of the GGDMA to await confirmed information from the Ministry of Finance or the Ministry of Natural Resources before making “inaccurate” pronouncements.
“The David Granger-led Government places immense value on the contribution of mining to the socio-economic well-being of Guyana, and especially hails the contributions of small and medium scale miners. The administration has no intention of turning its back on the miners at this critical time of national development,” the Ministry emphasised.
The gold industry is set to surpass the 600,000 ounces mark this year. Two-thirds of this figure is the direct effort of the small and medium scale miners.
