The Centre for Trade Policy and Development (CTPD) has welcomed the enactment of the Minerals Regulation Commission Act No. 14 of 2024, praising its potential to improve governance and regulation in Zambia’s mining sector.
However, the organization has highlighted critical gaps that could hinder its effectiveness.
The new law introduces the Minerals Regulation Commission, tasked with enforcing safety, health, and environmental protections while overseeing compliance in mining operations.
“This Act is a significant milestone in ensuring Zambia’s mining sector operates transparently and responsibly,” said Lucy Musonda, CTPD Legal Researcher, in a statement issued Thursday.
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She added that provisions requiring mining companies to submit detailed reports on operations and compliance are key to enhancing accountability.
While acknowledging the Act’s progressive elements, CTPD pointed out several shortcomings such as the community development agreements (CDAs).
Musonda noted that the absence of binding provisions for CDAs could undermine efforts to ensure mining companies deliver tangible benefits to affected communities.
“Without mandatory agreements, communities impacted by mining projects risk being left without adequate compensation or a voice in decisions affecting their lives,” she said.
She also said the compensation enforcement Acts provisions for compensating landowners lacked robust enforcement mechanisms, raising fears of delays and unfair settlements.
“This weakens trust between communities and mining companies, undermining the Act’s objectives,” Musonda cautioned.
On the small-scale mining licences, Musonda stated the prohibition on renewing exploration licences for small-scale miners has raised the alarm about its potential to disadvantage these operators, who often face financial and technical constraints.
“This provision risks pushing small-scale miners out of business and could exacerbate illegal mining activities,” she warned.
CTPD called for urgent revisions to the Act to address these concerns and ensure it delivered equitable benefits to all stakeholders in Zambia’s mining industry.
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