"Galamsey" - now a major challenge to mining companies

Takoradi, Sept 14, GNA- Ms Joyce Aryee, Chief Executive Officer of the Ghana Chamber of Mines has stated that illegal mining had now become a major problem confronting Mining companies in the country. This is because, the presence of illegal miners on the concessions of licensed mining companies adversely affect their operations immensely.

"The key challenges of the sector is how to wean the youth from illegal mining into a recognised Small-Scale mining concerns whose activities can be regulated by the Environmental Protection Agency (EPA) and the Minerals Commission", Ms. Aryee said.

She was speaking during an encounter with Media practitioners in the Western Region on mining activities in the country and the role of the Chamber of Mines at Takoradi on Wednesday.

The presence of illegal miners on the "bona fide concessions" of licensed companies, Ms Aryee noted, adversely affects the country's image as a safe investment destination and also impede the Chamber's ability to contribute positively towards national development.

She said illegal mining activities have been extended to underground mines of some licensed companies, and this had also delayed the commencement of underground operations of some companies.

Ms. Aryee re-affirmed the Chamber's commitment to observe honesty, transparency, good corporate citizenship, unity and responsible mining by ensuring good environmental practices.

Considering the strategic challenges for achieving the objectives of its vision, she said the Chamber would always promote and protect the interest and image of the mining industry, establish and maintain effective membership governance and also provide quality leadership. On Corporate Social Responsibility, Ms. Aryee said the mining industry's social responsibility programme includes activities that enhance capacity building for sustainable alternative livelihood, respect for cultural differences and building of skills of employees and the community.

She mentioned the provision of schools, health facilities, roads and agriculture, among others.

As a social responsible industry, the Chamber had been pro-actively collaborating with the Volta River Authority (VRA) to find solutions to the power crisis, Ms Aryee said.

She said the request for the mining companies to cut down power consumption by 50 per cent would mean the laying off of some workers; the losses to the state in royalties, dividends and cooperate taxes would amount to about 7.3 million dollars per month.

Ms. Aryee said, in order to minimize the social conflicts associated with mining, it has become necessary to involve the people in the deliberations of these companies and show sensitivity to their cultural and traditional values and needs.

"Consultative Community Committees, involving the Chiefs, youth groups and other opinion leaders have been formed in the mining communities to ensure compliance to laid down rules and regulations regarding mining".

Ms. Aryee disclosed that some mining companies in the country and the United States International Development Agency (USAID) have singed a memorandum of understanding to establish a "Ghana Responsible Mining Alliance" over a four-year period at the cost of about 4.5 million dollars.

She said this would address the developmental and social needs and concerns of host communities and stakeholders in the mining industry. The Extractive Industries Transparency Initiative (EITI), made up of oil, gas, and other mineral extractors had been formed to seek and create transparency and accountability in the revenue flows from the extractive industry, of which the Chamber of Mines is a member. Ms Aryee mentioned bamboo cultivation, fish farming, snail and grasscutter rearing as part of the sustainable alternative livelihood programme geared toward improving the social and economic lives of the people in the mining communities. 14 Sept. 06