The Government is taking steps to review the Minerals and Mining Act, 2006 (Act 703) as part of measures to strengthen regulation, transparency, and sustainable management of Ghana's mineral resources. Deputy Minister for Lands and Natural Resources, Dr Yusif Sulemana, announced the proposed reforms at the commissioning of the Ashanti Regional Office of the Minerals Commission in Kumasi.
The proposed reforms aim to modernise the mining sector and ensure that Ghana's mineral wealth contributes more effectively to national development. Dr Sulemana explained that the existing licensing arrangements could tie up mineral concessions for unnecessarily long periods, preventing other potential investors from accessing them.
Reducing Licensing Periods to Boost Efficiency
Under the proposed reforms, the maximum duration of mining leases would be reduced from 30 to 20 years, while reconnaissance and prospecting licenses would be consolidated into a single exploration license, with the exploration period capped at five years. Dr Sulemana said reducing and consolidating the licensing periods would make the regulatory regime more efficient and create opportunities for other credible investors to participate in the sector.
He cited instances where companies would go in for reconnaissance for a very long time and then go back and take prospecting licenses, only to leave the concessions tied up for years. "You have instances where companies will go in for reconnaissance for a very long time and then go back and take prospecting licences. Only God knows when they will finish," he said.
Decentralisation of Regulatory Services
The government has also taken steps to decentralise the operations of the Minerals Commission, ending the decades of excessive centralisation of regulatory services in Accra. Dr Sulemana explained that decentralisation would provide the Commission with the necessary personnel and operational capacity to regulate mining activities more effectively while bringing services closer to stakeholders.
The newly commissioned facility in Kumasi would serve as a major centre for the Commission's regulatory oversight activities in the Ashanti Region and parts of the middle belt, including the Bono and Ahafo regions. Dr Sulemana said the location was appropriate because of the Ashanti Region's historic and continuing contribution to Ghana's mining industry, particularly gold production.
A New Era in Mineral Governance
Mr Isaac Tandoh, the Chief Executive Officer of the Minerals Commission, described the facility as a tangible manifestation of a new era in mineral governance characterised by accessibility, efficiency, transparency, and a renewed commitment to sustainable development. He said the facility had been designed as a "one-stop shop" for mineral administration in the region and beyond, bringing together modern office accommodation, specialised laboratory services, and a public education museum.
Mr Tandoh stated that the seven-storey office block would serve as the principal administrative and operational hub for the Commission's regional activities, housing management, technical departments, administrative units, client services, records management, meeting facilities, and other support functions. A major feature would be the decentralisation of the Inspectorate Division's licensing examination services.
What's Next
The proposed reforms are part of the government's broader regulatory transformation aimed at modernising the mining sector and ensuring that the country's mineral wealth contributes more effectively to national development. The reforms are expected to create opportunities for other credible investors to participate in the sector, while also promoting transparency, accountability, and sustainability in the management of the country's mineral resources.
Source: Joy Online
