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Mining chamber faults govt over violation of contracts

Discussion in 'Jukwaa la Siasa' started by BAK, Sep 23, 2012.

  1. BAK

    BAK JF-Expert Member

    Sep 23, 2012
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    The Chairman of the TCME, Mr Joseph Kahama

    Mining chamber faults govt over violation of contracts

    By Waryoba Yankami

    21st September 2012

    Mining companies have levelled blames on the government saying it is breaching signed contracts without consulting the respective stakeholders thus creating more problems to the investors and the industry.

    This was said yesterday in Dar es Salaam by Tanzania Chamber of Minerals and Energy (TCME) chairman Joseph Kahama at the launch of a television programme aimed at educating people on the negative attitudes they harbour about mining exploitation and land pollution.

    Kahama called upon the government to observe the signed contracts between it and the mining companies and between it and other governments because violating them could lead investors to lose trust and fail to operate effectively.

    He added that mining firms face many challenges arising from government decisions, including increased research and mining fees which were raised recently without consulting the stakeholders.
    Kahama said almost all mining companies have started to pay 4 percent in royalty to the government which is a bit higher compared to previous years 3 percent.

    The government has raised the prospecting fees to both small and big mining companies by 1400 percent making them suffer from the added operational costs, he said.

    He also claimed that two years ago the Ministry of Energy and Minerals raised annual prospecting license fees by 250 percent which has been a big challenge to small and big mining companies.

    He raised his concerns that all these have been done by the government without consulting the stakeholders, hence posing a big hindrance to mining investors.
    TCME's Kahama said that the television series will show how mining activities operate, environment and the effects of mining, mining and the local community, and expanding knowledge and skills transfer.

    He said that mining industry is bringing huge Foreign Direct Investment (FDI) to Tanzania to effectively extract resources in a manner that benefits investors, the national economy and host communities, according to the first episode of the series.

    Modern mining companies spending of millions of dollars on monitoring the environmental impact and putting infrastructures in place to mitigate and minimise any impact forms the second episode.

    However, Kahama assured Tanzanians that the government is benefiting much from the income paid by the mining companies (huh! tell me about those benefits!!!) and adding that local investors have also increased than in the previous years.


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  2. K

    Kengedume Senior Member

    Sep 23, 2012
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    Serikali bila kuwahusisha wataalamu na wadau wa mining and exploration companies ni udhaifu wenye msukumo wa kisiasa zaidi, na udhaifu na mawazo mgando ya chama cha mapinduzi.
  3. A

    August JF-Expert Member

    Sep 23, 2012
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    kama ni hivyo mbona fedha yetu ina zidi kushuka thamani badala ya kuongezeka? pili elimu yetu na huduma nyinginezo ambazo zingekuwa bora kwa kuvunwa kwa madini mbona hatuzioni? something should be wrong somewhere
  4. Azipa

    Azipa JF-Expert Member

    Sep 23, 2012
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    Wonders will never cease in our country! Only a couple of days ago in the BBC interview, ZZK and prof Muhongo were using the 3% royalty rate but we are told here the latest is 4%

    These increases by the looks of it just came out of the blue because if they were approved by the parliament Mr. Kahama would not be bothered