Minister Dele Alake has warned against state governments shutting down mining operations, stating it could jeopardise FDI efforts and disrupt economic growth. He announced a fact-finding committee to address disputes between Osun State and Thor Explorations Limited, advocating for federal oversight in mining regulations to maintain industrial harmony.
The Nigerian Minister of Solid Minerals Development, Mr. Dele Alake, has expressed concerns regarding state governments’ indiscriminate closure of mining operations, suggesting such actions could hinder the federal government’s efforts to secure Foreign Direct Investments (FDI). Alake made this statement during the announcement of a fact-finding committee aimed at addressing a dispute between the Osun State government and Thor Explorations Limited over taxation issues. He emphasised that mining regulations fall under federal jurisdiction and urged that the Ministry of Solid Minerals should be involved before any operations are halted, stressing the potential risk of deterring foreign investments and prompting divestments from existing firms. Alake also highlighted the importance of maintaining industrial production for economic growth and community development, urging both parties involved in the dispute to cooperate with the fact-finding committee for a peaceful resolution.
The article focuses on the implications of state-level decisions on mining operations in Nigeria, highlighting the federal government’s authority over mining regulations. The context is a dispute concerning taxation between Thor Explorations Limited and the Osun State government, which has led to concerns regarding investment stability and economic growth within the solid minerals sector.
In conclusion, Mr. Dele Alake’s warning underscores the importance of federal control over mining activities to foster a conducive environment for FDI. The establishment of a fact-finding committee aims to mediate the ongoing dispute while promoting continued mining operations, ultimately benefitting the economy and local employment.
Original Source: www.arise.tv