General News of Tuesday, 20 June 2006

Source: Asamoah, Francis

Fobih, Antwi put Mining in the Spotlight

Sustainable Development – Minister Fobih and Henry Antwi put Mining on the Spotlight



Under the auspices of the University of Mines and Technology, the Minister of Lands, Forestry and Mines, Professor Fobih and Mr. Henry Antwi, an Australian based Mining Engineer and Mineral Economist reignited the sustainable development debate as the mining industry continues to profit from upsurge in commodity prices.

In his speech at the Biennial Alumni Lectures at the University of Mines, Mr. Henry Antwi discussed the year-on-year price increases across commodities, investor confidence in mining stocks and investment flow from Australian companies into the African continent --- iron ore in Mauritania, diamond exploration in Ghana, zinc in Burkina Faso etc. Underpinning the mineral boom is China’s appetite for minerals, according to Mr. Henry Antwi, as he discussed supply-demand trends, correlation between industrial production and mineral consumption and mining’s socio-economic impacts.

Mr. Henry Antwi used the occasion, which brought together Students of mining and related professions, University Lecturers, Mining Professionals, Politicians, Officials of the Minerals Commission and the Media to highlight the urgency for improved relations between mining companies and their host communities and the need for Ghana’s mining industry to share the profit gains with communities in the form of infrastructural development. The Minister of Lands, Forestry and Mines, Professor Fobih echoed the sustainable development initiative, disclosing that in the past, provision of amenities was handled in a manner devoid of commitment and involvement of the beneficiaries. Sustainability of such programmes therefore became suspect. The Minister emphasized that social responsibility obligation by mining communities has now become mandatory in the new Mining Act 2006, Act 703, passed by Ghana’s Parliament in December 2005. However it is the view of this author that the problem always comes to execution and holding mining companies accountable to their pledges. District Assemblies and Traditional Leaders should also accept responsibility because the impact of royalty payments made to them is not visible in many mining communities.

It will be interesting to see if Mr. Henry Antwi’s suggestion to the Ghanaian mining industry to establish voluntary codes of responsibility and sustainable development committees to coordinate development opportunities in mining communities will be taken seriously. There are still unresolved compensation and resettlement issues even as mining companies try to re-build its poor image with host communities. Professor Fobih’s disclosure that the new Mining Act 2006 has replaced Minerals and Mining Law 1986, PNDC Law 153 which had become ineffective because of changes in international mining practices also highlights the importance of human resource development as an integral part of sustainable development. Under the new law, a holder of mining lease is required to submit to the Minerals Commission a training programme designed towards the eventual replacement of expatriate personnel by Ghanaians. This is long over due in Ghana which boasts a world class institution in mining and competent graduates from the country’s other Universities. In fact the Government has acknowledged the recognition of the contribution of the University of Mines in the country’s mineral resources development and granted the university autonomous status. Prof Fobih mentioned that the University has been adopted by the African Mining Partnership (AMP) as one of its centres of excellence for human resource development for the mining industry in Africa. Ghana has to maximize opportunities in mining investments and develop its human resource base so that Ghanaians can manage these mines and reduce the reliance on expatriate management staff.

To involve the general public in the sustainable development discussion, Mr. Henry Antwi participated in radio discussions in the Tarkwa area and answered questions. It is my hope that Senior Mining Management Personnel in Ghana will take on this challenge and address issues with the general public. If there is going to be improved relations between mining companies and host communities, then there is the need for transparency and a commitment by mining companies to be a progressive and constructive partner to advance the economic, educational and social infrastructures of host communities as Mr. Henry Antwi rightly acknowledged.