The Ghana Chamber of Mines is due to set up two committees to oversee effective implementation of the Mining Development Fund Law, a special fund to be created in and for mining communities.
One of the key structures is a governance board which will oversee how the monies are going to be utilized.
“When the royalties are returned from the consolidated fund to the special fund which will be set up at the community level, these will ensure that these monies are used judiciously for the benefits of the community, not some few people,” Chief Executive of the Chamber, Sulemana Konney told LUV FM.
Parliament passed the law last year to allow mining communities to effectively and efficiently utilise mining royalties.
However, officials are expectant that once the legislation is outdoored, they will speed up with these structures to enable the realisation of the benefits of the act.
Mining firms are worried the poor conditions in operational communities paint a bad image of an industry contributing hugely to national development.
According to Ghana Revenue Authority Report, 485.6 million Ghana Cedis was paid as mining royalties to the state in 2015.
Nine per cent of the amount, some of which has been in arrears for three years, goes to mining communities.
Records reveal over GH¢160,792,149 was ploughed back into mining districts between 2011 and 2015.
But there are questions as to whether there are manifestations of commensurate development.
Authorities in host communities often blame irregular disbursement for the ineffective utilization of royalty funds for development.
Sulemana Konney says the initiative has the potential to address the developmental imbalance in mining communities.
Meanwhile, the Chamber of Mines continues to advocate mining royalties be increased from 9 to 30 percent with future payment tied to specific projects to inure to the benefit of the people within the community.
Latest Stories
-
Fitch affirms ETI at B-; Outlook stable
33 mins -
Bawumia meets Pope Francis
41 mins -
Former Bibiani GoldStars midfielder Frank Adjei Jr continues fine form in Swedish League
45 mins -
J.B. Dankwah Adu’s Murder: Court orders Sexy Dondon to open his defence
48 mins -
Marrakech 2024: Five para-athletes to represent Ghana in WPA Grand Prix in Morocco
60 mins -
U.S Senate approves bill to ban TikTok
1 hour -
T-Pain involved in hit-and-run, warns culprit he’ll find them
1 hour -
Cedi hits GH¢14.00 to a dollar; depreciates 12.08%
1 hour -
Major portions of Kasoa-Winneba road to open to traffic in 8 months
1 hour -
Kwadaso onion traders reject new location, express fear over future eviction
2 hours -
Pensions: 81% of pensioners had benefit shortfalls in 2020 – Abdallah Mashud
2 hours -
All Regional Games: Torch relay ceremony hits Oti Region
2 hours -
CSO calls for immediate removal of COCOBOD CEO from office
2 hours -
How a young female geologist’s thesis is paving the way for Ghana’s Green Mineral Future 5 decades later
2 hours -
Pensions: The last time government paid Tier-2 funds was in June 2023 – Angel Carbonu
2 hours