Mining Contractors Association protests against outrageous permit fees.

Minning contractors have been very unhappy due to the outrageous mining service permit charges from the minerals commission.

In a quest to make their voices heard after some attempts, the Ghana Mine Contractors Association is protesting against the Minerals Commission’s 500 percent increase in mining services permit.

In addressing the media, Vice-Chairman, Romeo Wilson revealed that, it is only the license fee that can be used to tender a contract from the mining companies despite the monies being charged.

He also indicated that despite the petition by the aggrieved contractors to the Ministry of Lands and Natural Resources on 13 May 2019, to review minerals commission charges, it was to no avail and nothing has been done.

The contractors have also hinted of a possible demonstration if despite all their plea’s the minerals commission fails to review the charges.

The association also said that not only are the outrageous charges collapsing their business but they also defeat government local content inclusion agenda.

“Members of the association can’t continue to pay the levies because it’s taking away our livelihoods,”

Mr Wilson stated.

The association, admonished the government to reduce the charges through the sector ministry or else in registering their displeasure they will demonstrate.

Breakdown of the charges

Local firms are now required to pay $10, 000, instead of 10, 000 cedis a year.

Registration form and processing fees are now US$250 and US$500 respectively. 

They say the commission also charges an additional US$10,000 as mining support service fee before granting the contractors license at a cost of GH¢5, 000.00.

The group also argued that the commission’s decision has compelled each of the 4,000 members to pay GH¢100,770 as annual fees.

The association also commits 7.5 percent of its contract fees as withholding tax for salaries, goods and works.

Members also pay for district assembly business permits, stool land fees, property rate, EPA, business certificate renewal, works and housing certificate, and factory and inspectorate fees.

Just this week more than 200 members of the Association of Local Mining Contractors of Ghana accused the Minerals Commission of working against Government’s drive to clean up Ghana’s mining sector and collapsing local businesses.

The displeased members also countered against the new fees introduced by the Minerals Commission, which is charged for obtaining renewable operational permits.

According to the Association, its members usually go through difficulty when acquiring operational permit to work in mining companies because they are made to pay huge sums before the permit is given to them.

Vice Chairman of the Association, Romeo Wilson, called for an independent committee to be established to investigate activities of the Commission saying he feels the Minerals Commission is working against the Government by collapsing local businesses.

The Association also demanded the government to urgently investigate the Minerals Commission and review the rates charged local contractors in the acquisition of mining permits.