The Federal Government has issued a significant announcement regarding the mining industry. A total of 268 mining items’ rates and charges are scheduled for an increase to enhance the quality of services provided by the Ministry of Solid Minerals Development.
Dr Dele Alake, the Minister of Solid Minerals Development, unveiled this new development during a press briefing in Abuja. He stressed that this move is a notable step towards aligning with the seven-point agenda to improve the economic consolidation and international competitiveness of the sector. The aim is to introduce a new regime of rates and charges for various services offered by the ministry’s departments and agencies.
The Minister also highlighted the qualitative measures and technological capacity upgrades that have been recently implemented. These upgrades are intended to enhance the technical efficiency of the services, streamline transactions, and develop infrastructure to accommodate the growing business interests in the sector.
Several agencies under the Ministry of Solid Minerals Development, including the mining cadastral office, the Nigerian Geological Survey Agency, and the artisanal and small-scale miners department, have undergone significant improvements. These enhancements are geared towards increasing transparency, accessibility, and efficiency in the mining sector.
In alignment with these improvements, the Minister has established a committee to develop new rates that would justify the government’s investment in the service infrastructures. The objective is to align with the expected substantial increase in the number of applicants utilizing the regulatory machinery.
The new rates will apply to various categories, such as mining leases, exploration licenses, small-scale mining licenses, quarry leases, and water user permits. Penalties for late renewal of mineral titles and royalty rates for different minerals are also set to be revised.
The Ministry has taken proactive measures to inform stakeholders about the impending reforms through a stakeholders summit. This demonstrates the dedication to involve and inform all parties involved in the mining sector.
The reforms are in line with the Ministry’s commitment to enhance the Nigerian mining sector and position it as an attractive and competitive industry in the international market. The increase in rates and charges is an essential step to ensure the sustainability and growth of the sector while providing high-quality services to stakeholders.
It is important to note that these adjustments are necessary to sustain the government’s efforts in the sector and to accommodate the surge in interest from potential investors. The focus is on fostering a conducive environment for investment and ensuring that those who benefit from the services provided contribute equitably to support the government’s initiatives in the mining sector.