1 month ago
23
The Nigeria Extractive Industries Transparency Initiative (NEITI) has applauded the national authorities for taking bold actions to woody with inefficiency successful the country’s mineral resources improvement industry.
NEITI’s connection comes pursuing Government’s determination to revoke 1,263 mineral licences for nonaccomplishment to wage licensing fees and different statutory fiscal obligations.
The licences affected see 584 exploration licences, 65 mining leases, 144 quarry licences, and 470 small-scale mining leases. With this move, the full fig of mineral titles revoked nether the contiguous medication has present risen to 3,794, including 619 revoked for non-payment of work fees and 912 revoked past twelvemonth for dormancy.
NEITI described the government’s enactment arsenic bold, timely, and afloat accordant with its ain audit findings.
NEITI explained that the agency’s 2023 Solid Minerals Industry Report recovered that 1,619 companies owed the Federal Government N680.3 cardinal successful unpaid fees and royalties.
Earlier reports had flagged akin trends: successful 2021, 238 companies holding 289 valid licenses owed N1.06 billion, portion the 2020 study revealed N2.76 cardinal owed by much than 2,000 companies. Its earlier reports besides travel akin trends.
NEITI expressed interest that the inclination of defaults had been a recurring problem: successful 2021, 238 companies holding 289 valid licences owed N1.06 cardinal successful work fees, portion the 2020 study revealed liabilities of N2.76 cardinal owed by much than 2,000 companies. NEITI added that its earlier reviews had besides flagged N654.28 cardinal outstanding from 233 companies holding 284 licences.
The NEITI enforcement secretary, Dr Orji Ogbonnaya Orji, remarked, “These figures underline a persistent civilization of non-compliance that has undermined gross postulation and assemblage credibility. By revoking the licences, the authorities powerfully conveys that mineral titles are not speculative assets to beryllium hoarded but ineligible instruments tied to wide obligations.”
Dr Orji added that these sanctions would deter further defaults and unfastened up caller opportunities for credible investors consenting to enactment superior and exertion into genuine exploration and mining.
He hoped that releasing the areas tied up by dormant oregon defaulting operators would grow entree for superior players, stimulate competition, and amended the wide concern clime successful the coagulated minerals sector.
The revocation besides addresses the occupation of gross leakages. Unpaid work fees and royalties, which person tally into billions of naira successful caller years, correspond resources urgently needed to money authorities priorities, including infrastructure, education, and healthcare.
Enforcing compliance, helium said, would boost gross inflows, portion besides helping to physique transparency and accountability successful the sector. In the agelong run, adding, “this strengthens Nigeria’s broader economical diversification agenda, reducing dependence connected lipid and positioning coagulated minerals arsenic a reliable root of sustainable growth.”
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