Kiruswa: Mine licence holders have no royalty mandate

DODOMA: MINING royalties are collected through official government systems, with mine and pit owners having no mandate to impose or collect the statutory charges from small-scale miners, the National Assembly has been told.

Deputy Minister for Minerals, Mr Steven Kiruswa said royalties were charged at rates ranging from one to seven per cent, depending on the type of mineral, as provided for under the law.

Eng Kiruswa was responding to a supplementary question from Kahama Urban MP Benjamin Ngaywa (CCM), who raised concerns over various charges allegedly imposed on small-scale gold miners operating within licensed mining areas.

MP Ngaywa said some licence holders were demanding royalties on minerals extracted by small-scale miners working within their mining areas, alongside other charges. He called for clear guidelines to protect miners against arbitrary levies.

In response, Eng Kiruswa said royalty collection was regulated by law and conducted through official government mechanisms.

“That is why royalties, including the 0.3 per cent local government levy, are collected through the government system,” he said.

In another supplementary question, Mr Ngaywa sought clarification on measures being taken to complete surveys of areas covered by Government-held mining licences and make suitable areas available to small-scale miners who did not have licences.

Eng Kiruswa said the government had cancelled several licences whose holders had failed to develop the respective areas, while detailed exploration was continuing to identify additional mineral opportunities.

“Aircraft was deployed to conduct surveys in the Lake Zone and Masutu areas to identify mineral deposits that could be made available to small-scale miners,” he said.

The Deputy Minister added that the government was pursuing partnerships with foreign companies to undertake detailed exploration and identify mineral-rich areas suitable for small-scale mining.

He said the Geological Survey of Tanzania (GST) was working to increase the proportion of the country’s mineral potential that had been identified from the current 16 per cent to 50 per cent by 2030.

Responding to the basic question, Mr Kiruswa said the Mining Commission and resident mining officers in all regions continued to strengthen mine inspections, supervision, technical support and public education for smallscale miners.

He added that the Government was also addressing mining disputes and taking legal action against individuals who violated mining laws and licence conditions.

“These measures aim to improve productivity and safety in mining activities, strengthen environmental protection and safeguard the rights and interests of miners and investors,” he said.

Eng Kiruswa further said licence holders were required to comply with the Mining Act, Cap 123, the Mining (Mineral Rights) Regulations, 2018, and regulations governing environmental protection, occupational health and safety in mining operations.