Just In: FG raises mining rates by 50 per cent
The Federal Government through the Ministry of Solid Minerals Development has raised the dues and rates paid by operators in the mining sector.
The Minister of Solid Minerals Development, Dele Alake, announced the price increase at an ongoing press conference at the ministry headquarters on Thursday in Abuja.
He said the government increased a total of 286 rate regimes ranging from 50 per cent to 100 per cent adding that compliance begins immediately.
He also warned that defaulters will have their licenses revoked.
The minister said the review was necessary due to the paucity of funds repatriated to the coffers of the government by operators.
He said the new increase will also assist the ministry enhance the ease of doing business in the sector.
Alake added that relevant stakeholders were involved in deciding the new rates adding that all parties unanimously accepted the increase.
He said, “It is therefore equitable that those who use these services to invest in the mining sector and make profits from it should be on the frontlines of the government’s efforts to recoup rather than pass it to poor Nigerians.
“Thus, in line with the powers conferred on me by the Mining and Minerals Act 2007, I set up a committee of the directors of departments and directors-general of agencies under the ministry and charged them with the mandate to work out new rates to justify governments’ investment in the service infrastructures and to cope with the expected meteoric spike in the traffic of applicants besieging the regulatory machinery.
“Today we are taking a significant step in efforts to implement the seven-point agenda to reposition the sector and international competitiveness by announcing a new regime of rates and charges for various services, departments and agencies.
“This is given qualitative measures and technological capacity upgrades implemented in recent times to raise the level of technical efficiency and improve the traffic of transactions and cope with business interest.”
