Publicizing mining payment good for mining industry- Miyoba
Livingstone, June 13, 2014 ZANIS———Government says publicizing payments made by the mining sector and revenue received by government empowers stakeholders in the country to participate in the management of mineral resources.
Southern Province Permanent Secretary Margaret Miyoba says this is because information has power which promotes transparency and accountability in the mining industry.
“Information is power. By making information on payments by mining companies and revenue received by government public, we are empowering all stakeholders to participate in the management of mineral resources,” she said.
ZANIS reports that the permanent secretary said this in Livingstone today, in a speech read for her by District Administrative Officer Harriet Kawina at the launch of the dissemination of Zambia’s 4th Extractive Industries Transparency Initiative (EITI) Reconciliation Report, based on the 2011 financial year.
She said launching the report in Southern Province was cardinal as it would enable stakeholders, put into context the development ambitions of the province and know exactly how much money goes to the national treasury.
Ms Miyoba also urged the Zambia EITI Council to continue improving the quality and content of its reports to enhance transparency in the management of mineral resources.
“I would like to urge the Zambia EITI Council to continue improving the quality and content of its reports to enhance transparency in the management of mineral resources and also inform policy formulation by the government,” she said.
And Zambia Extractive Industries Transparency Initiative representative Emmanuel Sibongo said K7.672 billion was paid by the mining sector to government in form of taxes and royalties but government received K7.721 billion.
Mr. Sibongo attributed the difference partly to some mining companies closing down after paying taxes but before EITI could capture information on their audited accounts.
He further said government revenue increased by 76 percent in 2011 compared to 2010.
“Five companies paid 88 percent of the government revenue. Kansanshi mines PLC made the largest contribution of K4 billion, representing 56 percent,” he said.
Meanwhile, Zambia Extractive Industries Transparency Initiative National Coordinator Siforiano Banda said his organization was not legally protected as there was no law to compel mining companies to disclose financial information to them.