ADDIS ABABA – The new mining and petroleum policy, which is under preparation, is set to attract and encourage more foreign companies and investors to take part in the sector, according to Ministry of Mines and Petroleum.
Acting Communication Director with the Ministry Kiros Alemayehu told The Ethiopian Herald that though geological studies have come up with significant discoveries of gold, tantalum, phosphorus, iron, salt, potash, soda ash, gemstones, coal, geothermal, natural gas, as well as other industrial and construction mineral in different parts of the country, absence of effective mining policy have hindered the effective utilization of the abundant wealth.
Further, as there has not been a comprehensive mining policy in the country for more than a century, the sector has been led by mere proclamations and regulations. Accordingly, the absence of a policy-based system to successfully exploit and discover minerals has lowered the contribution of the sector in the economy, Kiros further explained.
Hence, the new policy envisages the proper utilization of minerals and elements along with ensuring fair beneficiaries for citizens nationwide. As to him, the mining sector is targeting to put the country among middleincome countries, which is also incorporated in the national plan of the country, GTP. “To this end, a mining council under the leadership of the Prime Minister has recently been formed, which devolves up to the lower administrative units.”
We are reforming all the laws, the national mining policy and the strategy that goes with that policy. These reforms also include all fiscal regimes, which are instrumental to compete for global mining investments, Kiros said. The Acting Director also stated that the policy will make a clear distinction between traditional miners and companies extensively engaged in the sector.
Moreover, apart from gearing the country towards development, the policy also put in place issues of impact analysis upon environment and communities in the vicinities of mining areas.
The Ethiopian Herald, March 28/2019
BY LAKACHEW ATINAFU
