The Institute of Economic Affairs (IEA) has urged the government to restrict future mining leases in order to promote local ownership of Ghana’s mineral resources.

According to the Institute, a clear national policy must be adopted to prohibit the granting of new mining leases or the extension of existing ones to foreign entities.

Speaking at a media briefing, the Chairman of the Institute, Dr Eric Oduro Osae, emphasized that Ghana possesses substantial technical and managerial expertise in the mining sector.

He noted that it is time to harness this capacity to manage the country’s mineral resources in the national interest.

Dr Osae stressed that where specialized foreign expertise is unavoidable, it should be engaged “only through time-bound service contracts.”

Mining Lease Renewals: IEA punches hard at government

“Instead, a comprehensive transition framework must be developed to rapidly and sustainably move the mining sector towards full Ghanaian ownership,” he stated.

He added that such a model would ensure complete ownership of mining operations and all associated revenue remains with the state or Ghanaian entities.

He underscored the need for urgent review of the Minerals and Mining Act, 2006 (Act 703) and the Petroleum (Exploration and Production) Act, 2016 (Act 919) to ensure full local ownership and the accrual of benefits to the country.

Dr Osae underscored the importance of timely transition planning to avoid lease extensions.

To prevent lease extensions being justified on grounds such as smooth transition or safeguarding the livelihoods of local mine workers, Dr Osae recommended that the government issue formal notices well in advance to all foreign mining companies whose leases are nearing expiration.

SP/SA

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