The Federal Government, through the Ministry of Solid Minerals Development, has announced a significant increase in the dues and rates paid by mining sector operators. The new rates were revealed by the Minister of Solid Minerals Development, Dele Alake, during a press conference at the ministry’s headquarters in Abuja on Thursday.
The revised rates cover 286 different categories and have been increased by 50% to 100%. The minister emphasized that compliance with the new rates is mandatory immediately and warned that operators who fail to comply will face license revocation.
Alake explained that the rate hike was necessary due to insufficient funds being returned to the government’s coffers by mining operators. He stated that the new rates would also help enhance the ease of doing business within the sector.
The minister highlighted that relevant stakeholders were consulted in determining the new rates, and there was unanimous agreement on the increase. He emphasized the importance of operators contributing fairly to the government’s efforts to recoup investments in service infrastructure.
“In line with the powers conferred on me by the Mining and Minerals Act 2007, a committee comprising department directors and agency directors-general was established. Their mandate was to devise new rates that justify government investments and handle the expected increase in regulatory applications,” Alake stated.
He further noted that the rate adjustment is part of the government’s seven-point agenda to reposition the sector for international competitiveness. The updated rates are intended to reflect recent qualitative and technological enhancements that aim to improve technical efficiency and manage increased business activity.
“This new regime of rates and charges for various services, departments, and agencies is a significant step in our efforts to raise the level of technical efficiency and improve transaction traffic in the mining sector,” Alake concluded.
Leave a Reply