The Nigerian government has unveiled Mining Guidelines for production of Community Development Agreements (CDAs) to harmonize natural resources extraction between government, mining operators and the host communities.
The unveiling of the Revised Guidelines for the CDAs was organised by the Ministry of Solid Minerals Development, in collaboration with African Center for Leadership, Strategy and Development, in Abuja, the nation’s capital.
Minister of Solid Minerals Development, Dr. Oladele Alake, during the unveiling urged Governments around the world to introduce mechanisms that regulate the natural resources and implement policies that will benefit the host communities to achieve sustainable development in the sector.
The Minister emphasised the importance of the Mining Guidelines in the Mineral operations.
“The Community Development Agreements (CDAs) are increasingly being used by mining companies as a means to better define their relationships and obligations with their host Communities. It readily provides a means of strengthening and advancing their relationship.”
Vision
According to the Minister, the general visions of a Community Development Agreement (CDA), are”:
“To improve the relationships between the Companies, their host Communities, the Governments, the civil societies and other stakeholders; and to promote sustainable and mutually rewarding benefits from mining projects to the host communities.”
He explained that the Federal Government thought it wise to enshrine Community Development Agreement in the Nigerian Minerals and Mining Act (NMMA), 2007 in order to ensure that the Mining Communities are carried along by the Mining Operators.
“Section 116 (1) of NMMA, 2007 makes Community Development Agreement between the Mineral Title Holders and the Mining Communities mandatory,” the Minister explained
Objectives of the guidelines
Speaking about the objectives of the guidelines, Dr Alake said “The whole idea is that, if the mining companies or operators would extract minerals of economic values from the Community, then they have some obligations to protect and improve the welfare of the Community.
“The net effect is to enhance quality of life in the broadest possible way, through corporate support of educational institutions, community relation programmes and infrastructural developments, such as construction of roads, markets, hospitals, schools, provision of pipe-borne water, electricity, and other activities that are considered to safeguard the position of the organization.
“The concept of CDA has been introduced in the Solid Minerals Sector to promote harmonious and mutually beneficial relationship between the Mining companies and their host communities to forestall in the Sector the repeat of social crises experienced in the Niger/Delta by the Oil Sector, which may undermine the present efforts of the Federal Government aimed at diversifying our monolithic economy.”
In his opening remarks, the Director, Leadership Strategy Development, Mr. Monday Osasah, emphasised the importance of mining guidelines for the creation of conducive environment for solid minerals extraction, providing harmonious relationship with mining companies and the host communities.
The permanent secretary, Ministry of solid minerals development, Dr. Mary Ogbe explained that, the Community Development Agreements (CDA) “is a statutory provision that ensures the transfer of socio-economic benefits to mining host communities, it is a legal document that contains obligations by the Mineral Title Holder to her host community (ies) and vice versa”.
For ease of implementation, the Ministry produced a Guideline in 2014 and over the past years, some gaps were identified in the Guideline and coupled with some complaints and petitions from the communities, the Guidelines has been revised to meet up with global best practice.
