12 June 2014

Tanzania: Councils Urged to Pass By-Laws On Mining Royalties

Dodoma — DISTRICT councils have been urged to pass bylaws so they can enjoy 0.3 per cent royalties due to them from mining activities in their areas.

Deputy Minister for Energy and Minerals, Mr Charles Kitwanga, told the National Assembly that all district councils were entitled to 0.3 per cent royalty from mining activities in their areas.

He was responding to a question by Freeman Mbowe (Hai - Chadema), who wanted to know the rights of locals in areas where mining activities were being undertaken and the rights of district councils where minerals were found.

Mr Mbowe also complained about the mining of construction minerals in Kware village in his constituency, saying the mining licence was issued in Arusha and Hai District Council had not benefited for ten years now.

In a supplementary question, Ms Grace Kiwelu (Special Seats - Chadema) asked the government to revoke the licence to give room for Hai District Council to issue a new one, owing to the fact that the mine was located in Hai.

She also wanted to know plans by the government to ensure Kware villagers benefited from the mining taking place in the area. Mr Kitwanga noted that the licence was a legal document that could not be easily revoked and thus advised Hai District Council to find new mining sites for which they could issue licences.

"The district council should also make sure that it passes by-laws that will help in ensuring that 0.3 per cent is remitted to it as royalty," he said.

He pointed out that in Kware village there were three licences for mining of construction minerals (laterite) owned by the Tanzania National Roads Agency (Tanroads), Mr James Munuo and Mr Isack Ndashauka, who were duly paying licence fees and royalties to the mining office in Arusha.

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