Business News of Friday, 22 January 2010

Source: GNA

NCOM pushes for implementation of 6% mining royalty

Accra, Jan 22, GNA - The National Coalition on Mining (NCOM) has called on government to implement the new royalty tax of six per cent contained in this year's budget to ensure availability of more funds for development. It also called on government to develop comprehensive mandatory guidelines for preferring sanctions against corporate impunity that is characteristic of mining firms in the country.

In a statement after its first strategic meeting in Accra on Thursday, NCOM said government's response in 2009 to issues concerning mining was commendable but added that more stringent actions needed to be taken to streamline the mining industry.

The meeting was to discuss complaints from mining communities, the rights of the communities, the Natural Resource and Environmental Governance programme among others.

The statement welcomed any amendments to the Minerals and Mining Act, 2006, Act 703 that would prevent surface mining in forest reserves as well as empower the Environmental Protection Agency to regulate corporate practice in mining.

It added that such amendment must enhance citizen's participation in mining, protect community rights, remove stability provisions and optimize the benefits of mining to the national economy.