The Ghana Chamber of Mines (GCM) has issued a critical mandate to the government, demanding a significant overhaul of the country’s mineral royalty framework, specifically proposing an increase in the allocation of revenue to mining host communities from the current 8% to a staggering 30%. This pivotal call was made during a recent Inter-Mine First Aid and Safety Competition held in Kenyasi, Ahafo Region, where Chief Executive Officer (CEO) Engineer Dr Kenneth Ashigbey underscored the urgent need for a revised approach to resource distribution. For decades, the GCM has maintained a 8% royalty allocation to mining host communities, a figure Dr. Ashigbey contends is woefully inadequate to fuel meaningful development within these vital regions.
He voiced profound concern regarding the persistent developmental challenges confronting mining communities, arguing that despite the substantial tax revenue generated by mining companies through government levies and other payments, these communities continue to struggle to secure basic infrastructure and essential services. The GCM’s stance directly contradicts the notion that mining activities are solely a source of revenue, suggesting a disconnect between the economic benefits derived from resource extraction and the well-being of the people who host these operations. Dr. Ashigbey highlighted a worrying trend: many mining host communities are currently lacking the level of development projected by areas contributing significantly to the national economy through mineral wealth.
His appeal to traditional authorities, MMDCEs, religious leaders, and youth groups represents a concerted effort to galvanize a broader coalition of stakeholders towards a unified demand for a 30% increase in royalty allocations. He stressed the importance of increased pressure on the government to review and amend the mineral royalty framework, a move he believes will provide host communities with the necessary financial resources to accelerate their development and dramatically improve living conditions for residents. The GCM CEO emphasized that this adjustment would represent a crucial opportunity to empower communities, fostering economic growth and improving quality of life.
Furthermore, the GCM is actively advocating for a review of the existing framework, with Dr. Ashigbey explicitly mentioning a meeting with Tema Mayor and TDC CEO, a meeting that will likely involve a critical discussion of Mahama’s upcoming AU chairmanship agenda. The GCM is determined to proactively engage with the government and stakeholders to secure a more equitable distribution of resources, positioning the future of mining in Ghana as a cornerstone of national prosperity.
The GCM’s request is a direct challenge to the current system, demanding a fundamental shift in priorities and resource allocation. The proposed increase is viewed as a strategic investment in the long-term stability and prosperity of mining communities across the country.
Watch Related Video
Source: Adom Online
