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Tuesday, April 30, 2024
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Illegal Mining Robbing the Country of the Much Needed Revenue- CTPD

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Mining at Black Mountain

Fuelled by the rapid increase of global prices of mineral commodities, illegal mining has
recently come into light as a major environmental and social concern.

For instance, the use of mercury and other toxins in Gold mining continues to pose serious
dangers to human health. Illegal mining in the next years to come will be seen as one of the biggest global challenges that will lead to environmental degradation of ecologically
sensitive land.

Illegal mining is carried out without state permission and it is because of this reason that
unscrupulous firms operating in mineral-rich areas do not pay taxes. This robs the country
of the much-desired revenue thus undermining economic growth. Not only does illegal
mining lead to loss of revenue, but also leads to the loss of employment opportunities,
capital expenditure, exports and foreign exchange earnings.

To limit revenue losses, the government can take a strategic step in establishing a revenue task force aimed at maximizing the collection of revenue in mining areas. Spurred by widespread poverty and lack of alternative earning opportunities, illegal mining is a common phenomenon on the African continent.

For instance, a rapid increase in illegal mining activities in Zambia can also be attributed to
the fact that mining is seen as a source of livelihood for many citizens who cannot be
employed by the formal sector. Poor regulation of the artisanal and small scale mining
sector can also be seen as a reason that continues to birth illegal mining activities

Formalization of this sector will at least help limit the spread of illegal mining. Being
cognizant of the fact that illegal mining cannot be completely eliminated, the Centre for
Trade Policy and Development (CTPD) wishes to urge the government to undertake some of
the following strategic steps to limit its expansion.

  1. Undertake social control by creating alternative employment opportunities
  2. Strengthen regional bureaus with the needed expertise so as to elevate their supervisory role
  3. Provide platforms making it easy for miners to form cooperatives.
  4. Formalize, monitor and regulate the artisanal and small scale mining sector
  5. Establish a task force to crack down illegal mining activities
  6. Dialogue with mining companies to establish satellite-based surveillance systems to
    monitor illegal mining within their mining license areas.

Issued by
Webby Banda
CTPD Researcher (Extractives)

12 COMMENTS

    • Money and corruption are ruining the land, crooked politicians betray the working man, pocketing the profits and treating us like sheep, and we’re tired of hearing promises that we know they’ll never keep.

  1. ILLEGAL MINING IS A GOVERNANCE PROBLEM….. WHEN CRIME INCREASES THE RESPONSE MUST BE INCREASED SECURITY BUT OUR CURRENT GOVERNMENT SEEMS NOT TO KNOW THEY ARE IN CHARGE AS THEY ARE ALWAYS CONCERNED ABOUT THE WRONGS IN THEIR CHARGE AS OPPOSED TO AFFIRMATIVE ACTION.

  2. Illegal Plundering Robbing the Country of the Much Needed Revenue – CTPD (it should read)

    It’s policy and enforcement by the incumbent that makes these things possible.

    The main problem with Zambia’s economy is the theft by the incumbent politicians, not these small scale miners.

    • Corruption is a cancer: a cancer that eats away at a citizen’s faith in democracy, diminishes the instinct for innovation and creativity; already-tight national budgets, crowding out important national investments. It wastes the talent of entire generations. It scares away investments and jobs. – Joe Biden

  3. Corruption is the enemy of development, and of good governance. It must be got rid of. Both the government and the people at large must come together to achieve this national objective. – Pratibha Patil

  4. Corruption is worse than prostitution. The latter might endanger the morals of an individual, the former invariably endangers the morals of the entire country. – Karl Kraus

  5. When you see corruption, when you see injustice, you speak up. You don’t just shut up and say it’s none of my business. – Manal al-Sharif

  6. Corruption has reached an unacceptable level. It devours resources that could be devoted to the citizens. It impedes the proper carrying out of market rules and penalizes the honest and capable.

  7. Uncontrolled (NOT ILLEGAL) mining is giving the citizens their God given right to the country’s naturalresources. Lack of capital to apply for:
    * Environmental licence (following Environmental Impact Assessment (EIA), which is costly!)
    * Mining licence
    * Company registration, etc
    Working capital limitations precludes:
    * Hiring of suitable heavy equipment
    * Provision of suitable PPE, and
    * Recruitment of technicalstaff
    ALL OF WHICH CULMINATE IN UNCONTROLLED MINING

  8. Unfortunately all humanity is corrupt how can we solve that problem it is only through good laws that is not only for poor people but for every one in zambia many times politicians break laws and dont expect to be arrested either in opposition or in government .
    The law is the only solution you cannot trust any human being the bible is correct when it says all have sinned and come short of godly principles .
    Let us just implement laws for every citizen , these who store in the past and those stealing now and those who will steal to face the same law .

  9. How are Zambians benefiting from the legal mining on the Copperbelt?? Leave the poor Zambians to benefit from “uncontrolled” mining not illegal mining. Why Africans always siding with colonizers who benefit from our resources? I thought CTPD knows better kanshi ni ma labashi kawayawayafye

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