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Home News Business & Economy

Informed, active participation of host communities crucial for sustainable growth in mining sector, says NEITI

Bassey Udo by Bassey Udo
November 12, 2024
in Business & Economy, News, Viewpoint & Comments
0
Ongoing engagement with extractive firms to sensitise them on industry auditing template, other issues, says NEITI

Executive Secretary, NEITI, Orji Ogbonnaya Orjii.

For the mining sector to continue to grow and contribute significantly to the country’s gross domestic product (GDP), communities hosting mining activities must show informed and active participation in the sector, the Nigeria Extractive Industries Transparency Initiative (NEITI) has said.

The position by the transparency and accountability agency was conveyed in the keynote speech delivered by its Executive Secretary/CEO, Dr Orji Ogbonnaya Orji, on Monday in Nasarawa State at the training programme for Indigenous Communities on the concept of Free, Prior, and Informed Consent (FPIC), Environmental Impact Assessment (EIA) and Community Development Agreement (CDA).

Organized by Global Rights Nigeria in partnership with NEITI, Orji said the training for traditional rulers and other representatives of host communities and stakeholders, was aimed at equipping indigenous communities with the knowledge and tools needed to effectively engage with mining industry actors.

He described the two-day programme as a pivotal step to foster a balance between the economic opportunities provided by mining and the pressing responsibilities of environmental stewardship and community well-being.

“For the growth in the mining sector to benefit everyone equitably, it must be accompanied by sustainable practices, and it must involve informed, active participation from the host communities,” Orji said.

The mining sector, he noted, holds vast potential for economic growth, job creation, and infrastructure development, which could be transformative for host communities.

However, he pointed out that mining activities could bring environmental and social challenges with profound and long-lasting negative impacts on land, water, and health of the host communities if not properly managed.

Reviewing the contributions of the mining sector to the Nigerian economy, the Executive Secretary of NEITI said latest data from the recently published 2022-2023 Solid Minerals Industry Report reflected the sector’s significantly evolving role.

Apart from a contribution of about N1.66 trillion (about 0.8% of the nation’s GDP), Orji said government receipts, in terms of revenues from the solid minerals sector, increased significantly by 44-fold, from N7.59 billion in 2007 to N341.27 billion in 2022, highlighting the huge potential for further growth.

While the government and mining companies have a role in ensuring responsible mining practices, Orji said the host communities must understand the processes and standards governing mining operations to derive the best benefits.

While the concept of FPIC ensures that communities are consulted and their consent sought before by prospective mining companies before mining activities that affect their lands are allowed to commence, he said EIAs would provide insights into potential environmental consequences and the role community inputs, to ensure necessary safeguards are put in place.

Also, he stressed the importance of CDAs, which are formalized commitments by mining companies to the socio-economic development of host communities, to ensure the needs of the communities were addressed through collaborative legal frameworks.

Besides, he underlined the significance of women’s participation in the mining sector activities, pointing out that inclusive engagement of women in all aspects of community development, including mining, could bring positive impact on the overall economy.

He urged all stakeholders to embrace dialogue, consultation and collaboration as foundations for sustainable growth, insisting that only through such collective engagement could mining be beneficial to both the environment and the community people.

In her introductory remarks, the Executive Director of Global Rights Nigeria, Biodun Baiyewu, who was represented by Prince Edosa, observed that mining activities often have profound impacts on the environment, health, and socio-economic structures of host communities.

Apart from frequently facing challenges such as pollution, land degradation, she said host communities also confront threats to their cultural heritage and way of life.

“Empowering mining host communities with the skills, knowledge, and resources needed to engage in safeguarding efforts not only mitigates these adverse effects, but also promotes sustainable development and long-term community resilience,” she said.

Capacity building for indigenous communities, as the primary custodians of local ecosystems and cultural landscapes, she pointed out, was essential to ensure their active involvement in the management and oversight of these resources.

The traditional knowledge and practices in mining host communities, the director said, provide valuable insights into sustainable land management and environmental preservation.

“Building their capacity helps them better protect these ecosystems from harmful mining practices, ensuring that the environmental costs of mining do not compromise their health, heritage, and quality of life.

“When empowered, mining host communities can effectively advocate for sustainable practices that align with both environmental preservation and the responsible extraction of resources.

“Empowering mining hosts communities also enhances their ability to negotiate with mining companies and government bodies, ensuring that their rights and interests are represented,” she said.

During the programme, some of the participants, including traditional rulers in mining host communities, narrated their experiences in their various communities and called on the government, through the National Assembly, to enact laws to protect the mining communities from undue exploitation by mining companies.

They also underlined the need for awareness of their rights and obligations to ensure a peaceful and sustainable development of the mining sector in the country.

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Bassey Udo

Bassey Udo

Bassey Udo is a Journalist, Communication & Media Practitioner PERSONAL DETAILS DATE OF BIRTH: March 3, 1965 GENDER: Male NATIONALITY: Nigerian GSM: +234 802 313 7335; 07032308000 EMAIL: bassey.udo@gmail.com CONTACT ADDRESS: Plot 743 Coral Park Street, Lugbe CRD, Abuja, FCT 900128 A multiple award winning investigative reporter with specialised interest in Business & Economy, Energy & Power, Oil, Gas, Mining & Extractive Industry, Environment & Climate Change, etc. at various times for some of Nigeria’s elite newspapers and magazines, including Post Express, NewsAfrica magazine, Independent, 234NEXT and Premium Times. A member of the Nigerian Guild of Editors (NGE), Nigeria Union of Journalists (NUJ), Nigerian Institute of Public Relations (NIPR) and Society of International Law & Diplomacy (SILD). He is also a distinguished Alumnus of the U.S. International Visitors Leadership Programme (IVLP) 2017.

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