Posted
on:www.dailyguideghana.com
By William Yaw
Owusu
Thursday, June
25, 2015
Chief Executive Officer (CEO) of Ghana Minerals Commission Dr. Tony
Aubynn says the adoption of proper local content policy can improve the image
of mining companies in the country.
“One thing is certain, local content framework is increasingly
gaining a central place in policy development in Ghana’s extractives
industries,” he said in Accra yesterday.
Dr. Aubynn was speaking at a dialogue on mining governance organized
by the African Center for Economic Transformation (ACET), an economic policy
institute supporting Africa's long-term growth through transformation with
support from the government of Australia.
Of late, Australian government is supporting a series of public forums
in Ghana that will bring key players together to discuss the future of mining,
and its role in promoting transformative development for the nation.
ACET is the main partner facilitating the Public-Private Sector
Dialogue on mining governance in Ghana.
The Minerals Commission CEO said although the Mineral and Mining Law
(PNDC Law 153) 1986 and the MMA (Act 703) 2006 contained key provisions of
local content requirements, the legal framework provided limited guidance on
implementation but the passage of the Regulations (LI 2173), Minerals and
Mining (General) Regulations, 2012 would become the ‘game changer.
He noted that Ghana’s desire to ensure that mining contributes to
its economic and social development had “evolved rather slowly and without
explicit policy in place.”
He said LI 2173 provided what he called “clear interpretation of the
MMA 703” and focused on three key areas including the employment and promotion
of local workforce, procurement of locally produced goods and services and
additional licensing and reporting requirements.
“The winning formula for all stakeholders is to develop a concerted,
collaborative strategy. What does that mean and how? It means developing an
efficient and competitive local supplier networks for the goods and services
that industry needs the most.”
Dr Aubynn further said “this takes time, consistent efforts and
learning. It requires three levels of collaboration.”
The three levels include collaboration between industry and
government, being an essential first step for a successful design and
effective implementation of local
content measures, as well as collaboration between the industry and
local suppliers, he said.
He said the government has a role to play, not least through its
industrial policy to signal directions, outline incentives and support to build
capacity and productivity, adding that grassroots collaboration between mining
companies and citizens in communities where mining operations occur was also
key.
"A successful strategy expands the depth of local outsourcing, opens
up opportunities for more local suppliers, creates jobs, promotes technology
transfer through learning by doing and offers opportunities for local
management. For industry, it means reduced supply chain costs, shorten delivery
times and contributing to inclusive growth. For government, it means a broader
tax and a diversified growth base.”
Australian High Commission’s First Secretary Development Cooperation,
Zabeta Moutafis, who opened the dialogue, said her government was determined to
help in discussing and building consensus around what she called “complex issues
in local content in Ghana.
“The extractives sector has a key role to play in transforming and
developing Ghana into the future.”
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