Despite efforts to ensure due diligence in the natural resource exploitation of the country through parliamentary oversight, the Ghana Mine Workers’ Union (GMWU) has observed that the parliamentary ratification of mining leases is becoming inimical to business in the sector.
General Secretary of the Mine Workers’ Union, Abdul Moomin Gbana says that although the mining sector is a vital contributor to national revenue and employment, it is facing a major challenge in the ratification of licences.
The General Secretary, in an interview with Accra-based JoyNews, expressed the sector’s frustration over the lack of urgency in Parliament’s handling of lease agreements, particularly those that have already gone through all the legally mandated processes by the Minerals Commission and the Ministry of Lands and Natural Resources.
In his estimation, given that the leases have gone through processes at the Minerals Commission and the sector ministry for all the required scrutiny, he cannot fathom why a ratification by parliament will be a major hindrance and put the process at a halt.
A classic example, he says, is the ratification of the lease of the Bogoso-Prestea Mine. He argues that the delay in ratifying the license has become very contentious, creating bottlenecks that undermine investor confidence and threaten economic efficiency.
“This matter of parliament ratifying mining leases is increasingly becoming an issue. I do not see why the Minerals Commission, by extension, the Ministry of Land and Natural Resources, having gone through due diligence and done what they have to do by law, should find it difficult for Parliament to do the needful by ratifying these leases. It’s a constitutional matter, obviously. It’s a matter that requires Parliament to consider before ratification is done. But we believe that business efficacy requires that the Government prioritises some of these things and gets it going,” he indicated.
Gbana further emphasized that while legal scrutiny is essential, it should not become an impediment to productivity and investment. He called on the Minister for Lands and Natural Resources and the relevant parliamentary committees to act with speed and prioritize lease approvals for the sake of the industry’s growth and the national interest.
“One of the contentious issues is about whether or not the Bogoso-Prestea mining lease has been ratified by Parliament and that is also gradually becoming a bottleneck. We do not think it should be so. So as quickly as possible, we expect that the Minister for Land and Natural Resources, through the relevant committees, would make this available to Parliament for consideration and ratification,” he recommended.
The General Secretary maintains that the delay in ratification affects more than just mining companies; it has ripple effects across the economy, from job creation and local community development to revenue mobilization and foreign exchange earnings.
As Ghana seeks to attract investments into the mining sector, this is a call on the government to streamline the regulatory and legal framework to make it business-friendly.
