Experts to bang heads on Mining Sector Law
Government, through the Ministry of Natural Resources, Energy and Mining will next week Wednesday start hosting a series of symposium aimed at reviewing the Mines and Minerals Act (MMA) in Lilongwe.
The review of the Act comes on the back of unrelenting outcry by various civil society organisations (CSOs) that the piece of legislation is archaic and do not respond to emerging issues in the country’s infant mining sector.
Malawi is using the Mines and Minerals Act of 1981, the Environmental Management Act of 1996, the Petroleum (Exploration and Production) Act of 1983 and the Explosive Act of 1968 all which most mining experts say is not in tandem with the present mining boom in Malawi characterised by numerous exploration of precious minerals, oil and rear earth, among others.
Princiapl Secretary for Mining Leonard Kalindekafe admitted in a statement made available to Business News yesterday that the Mines and Minerals Act is obsolete hence needs for an urgent review.
“The Mines and Minerals Act (MMA), 1981, which is the legal framework governing the mining sector, is outdated and needs urgent review,” said Kalindekafe.
He said as a result, his ministry has planned to conduct a series of consultative workshops with relevant stakeholders to seek their views on the much-needed changes to the Act.
According to Kalindekafe, to kick-start the consultative process, the ministry has organised a two-day symposium on July 16 and 17 2014 at the Bingu International Conference Centre (BICC) in Lilongwe.
The Mining Ministry Secretary disclosed that the conference will be held under the theme ‘Mineral Resources for Socio-economic development.’
He said Minister of Natural Resources, Energy and Mining Atupele Muluzi will preside over the symposium.
“The ministry attaches great importance to the participation of all stakeholders and all Malawians in the review of this important legal instrument for the mining sector,” added Kalindekafe.
Last week, Muluzi assured donors who provide financial and technical support in the mining sector that a lot of people will be involved in the finalisation of the MMA, saying the document is for Malawians.
Muluzi also said government, through his ministry, is currently reviewing most legislation related to mining for them to be in line with the best practices in the region.
Recently, Citizens for Justice executive director Reinford Mwangonde complained that the outdated laws in the mining sector are fueling lack of transparency and accountability in the proceeds from mining, a situation he said is disadvantaging the socio-economic development of Malawi.
He also said the absence of up-to-date mining legislation is providing a hostile environment for the growth of the blossoming sector.
Currently, mining sector is contributing about ten percent to Malawi’s total wealth as measured by the Gross Domestic Product (GDP) but it is projected that the sector will contribute not less than 20 percent of GDP in 2016.
