Wednesday, July 09, 2008

Review compensation Law- Joyce Aryee

Story: Boahene Asamoah & Ryan Knutson

THE Chief Executive Officer of the Ghana Chamber of Mines, Ms Joyce Aryee, has called for a review of the compensation law that would ensure a sustainable livelihood of people affected by the activities of mining.
She said “ compensation should not only be monetary, but should include land”.
Speaking at the launch of the advocacy programme on the Establishment of Standards of Compensation on Mining concessions, she said there was the need to look at what she referred to as the “social dimension” of compensation.
The six-months advocacy programme, which is being funded by the Business Sector Advocacy Challenge Fund (BUSAC), is aimed at amending the mining law to ensure standards in compensation for mining lease.
The current mining law of 2006 leaves the negotiation of compensation to the parties involved and does not offer a standard compensation plan.
Ms Aryee stated that in most cases, the monetary compensation did not adequately cater for the needs of the people and stated that the mining law did not provide alternative lands as a form of compensation.
Ms Aryee stated that “ the Minerals and Mining law does not address the issue of compensation of alternative land”, adding that a new law could eliminate speculative land value among the communities.
She mentioned that the issue of land was an emotive one as well as a source of life, as such there was the need to have a practical way to reduce tensions between mining companies and the communities.
The BUSAC Fund Manager Dr Dale Rachmeler, told The Daily Graphic that the grant was worth roughly GH$ 100,000. He said the process of advocacy should lead to a change in the law that would ensure that businesses were able to operate within an environment devoid of mistrust.
“There is the need for actionable advocacy to solve these problems”, he stated.
A Consultant at AIDEC, Mr Ambrose Yennah, gave an overview of the issue on compensation under the Mining and Mineral law and stated that there were no clear guidelines on compensation.
The current law creates long disputes that delay mining firms access to lands to undertake their businesses, he said.
He also stated that the land owners most often felt dissatisfied with the compensation package and added that the law also deterred potential investors because of the lack of standardised compensation plan.
He said the goal of the project was to have a national policy that sets up a clear standard of compensation, adding that the current law left room for variations leading to speculative activities.
Mr Yennah stated that the project would involve stakeholder meetings, a visit to Tanzania to learn from that country’s best practises and sponsor appropriate legislation as well as establish the basis of standardisation of compensation packages.
The Social Investment Manager of Newmont Ghana Gold Limited, Mr Kwesi Amponsah Boateng, shared the experience of his company with the other stakeholders.
He mentioned that the company had undertaken to ensure that compensation came with both monetary and land.
“The objective is not to them leave worse off than we found them”, he stated.
The advocacy programme got off to a running start, considering two of the men who can have a great impact on changing the law attended Tuesday’s event, Mr Edward Ennin, the Vice -Chair of Mines and Energy Commitee of Parliament and Mr Alhaji Amadu Sonogho, Ranking Member on Mines and Energy each offered their direct support to the project.
Even still, Rachmeler, the BUSAC Fund Manager, told The Daily Graphic that he thought the programme could be successful after the conclusion of the December elections when politicians could shift their attention away from campaigns.

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