Another version...Mining Sector Wants Fair Licensing Process
Namibia: Mining Sector Wants Fair Licensing Process
Brigitte Weidlich
19 February 2009

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THE mining sector would like to see speedier and more efficient processing of mining and exploration licences at the Ministry of Mines and Energy, but a considerable backlog due to high staff turnover in that department is causing delays.

The Ministry invited mining companies to a two-day meeting, which started yesterday, to exchange views and opinions and to map out an "implementation plan" for an improved licensing process.

"Mineral exports make up 52 per cent of all foreign revenue earnings of Government," Joseph Iitha, Permanent Secretary in the Ministry, told the 70 attendants.

"Mining is thus an important sector and this mining and prospecting information-sharing meeting is intended to share views how to improve matters and draw up an implementation plan."

Deputy Mining Minister Bernhard Esau, who opened the conference, said networking and information sharing between the Ministry and the industry is important, since Government wants more investment in the sector, which should include local value addition and not just unprocessed mineral exports.

"Namibia remains a leading producer of diamonds, gold, copper, zinc, lead and uranium. These resources require your investment and skills to help build the country and to reduce the unacceptable high levels of poverty."

The Director of Mines in the Ministry, Erasmus Shivolo, said some large mining companies put pressure on the Ministry via "State House or the office of the Prime Minister" to issue exploration and mining licences quickly and ahead of other, smaller applicants who have to wait for several months.

"This makes our task difficult and added to that is the staff shortage. We want to bring down the backlog (of applications) in the next four months and we will start a new division for small mining once the new financial year starts in April," he said.

During a debate, several smaller local mining companies requested that licence applications be treated more fairly and without favour.

They also expressed unhappiness that in diamond mining only the Ministry can decide and approve which contractors may set up a mining plant and not the investor.

"This directive can lead to favouritism and corruption," one miner said.

The conference ends today.