New Minerals Development Resources Policy

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MINISTRY OF MINES, ENERGY AND
WATER DEVELOPMENT
MINERAL RESOURCES DEVELOPMENT
POLICY(2013)
14th February 2014
1
PRESENTATION OUTLINE
• Background( Historical perspective)
• 1995 Mining Policy(Repealed and replaced)
• Overview of the Mineral Resources Development
Policy (2013)
• Policy Measures and Strategies
• Implementation Framework
2
1. BACKGROUND (Historical
Perspective)
• Zambian large scale mining industry commenced in
the 1930s under private ownership
• Mines were Nationalized in the 70s
• In 1997 the Zambian Government initiated
reprivatization of the mining industry which ended
in 2000
• Privatization of the mining sector was necessitated
by the poor performance of the sector and the need
to attract private investment
3
BACKGROUND
(Cont.)
• The development of the private driven mining sector
was carried out within the frame work of the Mining
Policy which was put in place in 1995
• Hastily done and lack detail
4
2. 1995 MINING POLICY(REPLACED)
The 1995 Mining Policy failed to address the following:
• Inefficiency in the administration of the mining rights
• Undeveloped small scale mining and gemstone
subsectors
• Low revenues from the mining sector to the treasury
• Lack of financing for small scale miners
5
1995 MINING POLICY(REPLACED)
(Cont.)
• Poor marketing and mainstreaming of the gemstone
and small scale mining industry
• Non participation by Zambians in ownership of large
scale mines
Therefore, to address these challenges, the Mineral
Resources Development Policy of 2013 was
formulated
6
3. OVERVIEW OF THE MINERAL
RESOURCES DEVELOPMENT POLICY OF
2013
GUIDING PRINCIPLES
• Government’s commitment to ensure sustainable
exploitation of mineral resources
• Government’s commitment to a free market
enterprise economy
• The application of modern principles in
administration of mining laws and regulations
• Adherence to regional and international conventions
• Promotion of Citizen Economic Empowerment (CEE)
7
OBJECTIVES
Policy objectives of the Government for the mining
sector are to:
• Attract and encourage local and foreign private
sector participation.
• Facilitate the empowerment of Zambians to become
owners/shareholders in the mining industry
• Promote the development of a mining industry that
is integrated in the domestic economy
• Encourage sustainable development of small scale
mining sub-sector
8
OBJECTIVES(Cont.)
• Promote the development of a mining industry that
is integrated in the domestic economy
• Achieve acceptable safety, health and environmental
standards
• Promote research and development (R&D) in the
mining industry
• Encourage mining companies to develop a
participatory and collaborative approach to mine
planning development and decommissioning taking
into account the needs and concerns of local
communities
9
4. POLICY MEASURES AND STRATEGIES
The following sub-sections give policy measures and
strategies intended to achieve the outlined objectives:
Exploration and Mining
• Expedite geological mapping of the remaining
unmapped parts of the country, through non-tax
incentives
• Promote exploration of energy minerals
• Promote exploration and marketing of uranium in
accordance with national and international mining
law
10
POLICY MEASURES AND STRATEGIES
(CONT.)
• Spread the benefits of mining across Zambia
Mining Rights Administration
•Maintain an efficient computerised mining cadastre
system
The Legal Framework
• Regularly update the legislative framework for the
mining sector in line with the changing environment.
11
POLICY MEASURES AND STRATEGIES
(CONT.)
Safety, Health, Environment and Quality
• Government ensuring that exploration, mining and
processing of minerals comply with safety, health
and environmental legislation
• Maintaining Environmental Protection Fund(EPF)
• Government shall ensure that exploration and
mining activities within protected areas comply with
the environmental legislation
12
POLICY MEASURES AND STRATEGIES
(CONT.)
Large and Small Scale Mining
Government shall :
• Promote development of at least one large scale
mine in provinces with economical mineral deposits
• Collaborate with large prospecting and mining
associations
• Disseminate information to raise awareness on
safety, health and environmental risks to small-scale
miners
• Facilitate small-scale miners’ access to finance for the
development of the sub-sector
13
POLICY MEASURES AND STRATEGIES,
(CONT.)
Citizen Economic Empowerment in the Mining
Sector
• Promote Zambian ownership of large scale mines
through the Citizen Economic Empowerment Act
• Encourage mining companies to float their shares on
the Lusaka Stock Exchange
14
POLICY MEASURES AND STRATEGIES
(CONT.)
Human Resource Development
• Regularly identifying skills deficiencies and
promoting measures to address them
• Encourage mining companies to support training
through provision of bursaries, in-house training and
apprenticeships
Regional and International Co-operation
• Government will explore and engage in regional
initiatives to facilitate the development of the sector
and also cooperate with other Governments
15
POLICY MEASURES AND STRATEGIES,
(CONT.)
Marketing of Gemstones
• Government will devise mechanisms of auctioning
gemstones within the country
Value Addition
• Government shall promote and facilitate the
development of downstream processing capacities
for minerals
16
5. IMPLEMENTATION FRAMEWORK
The implementation framework will be as follows:
• Institutional Arrangement
• Legal framework
• Monitoring and Evaluation
• Resource mobilization and financing.
17
END.
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