(GUEST WRITER)
By: Festus Justus Margai, Strategic Communications Unit-MIC
National cohesion is President Julius Maada Bio’s leitmotif as the country moves to the June 24, 2023 elections. President Bio has before now been very concerned over the spate of violence in some parts of the country, hence, his decision to look at national cohesion as the way forward for Sierra Leone to develop holistically.
In his conviction that national cohesion is the way forward, President Bio on Wednesday 26th April 2023 turned the sod for the establishment of the Sierra Leone Industrial Zone (SIZ) in Koya Chiefdom. This is a milestone in industrial development achieved by the President in his first five years term.
This SIZ is one of the manifestos promises of His Excellency to increase the domestic processing of materials that can increase the export base of the country.
In his speech, he informed his audience that “No country develops without emphasis on industrialization in both the processing of raw materials and in the extractive industry.”
Before assuming office in 2018, the extractive industry was marred with inconsistencies in license awards and policy developments. Between 2019 and 2022 alone, a total of 114 licenses were recommended for the cancellation to deter unserious investors from holding on to mining rights without carrying out any demonstrable activity. This provoked a number of court actions against the government of Sierra Leone by some mining companies such as Marampa Mining Company.
Sierra Leone is endowed with minerals, and a number of them in the sector have already attracted investment like iron ore, bauxite, diamonds and gold.
In the diamond sector there are five major companies operating in the country. These are; the Koidu Limited, Meya Mining Company, Wongor Mining Company, Seawright Mining Company and Sierra Diamonds Limited.
In the Iron Ore sector, there are two major companies operating mainly in the southern region, where we have concentrates of this mineral. These are Sierra Rutile Limited and Sierra Mineral Holding Limited.
In the Bauxite sector, there are four major companies operating in the northern region, these are the Dayu Mining Company, Cheng Li Trading Mining Company, Kingho Mining Company Limited and Marampa Mines Limited.
To strengthen the extractive industry, the government of President Bio made key achievements in the transformation of the sector through the Ministry of Mines and Minerals Resources (MMMR) and the National Minerals Agency (NMA) that are spearheading the transformation drive.
One laudable undertaking by the government was the conduct of an airborne geophysical survey to determine the number and location of strategic minerals in the country. The survey was done in 2019, and for the first time in the history of Sierra Leone a comprehensive nationwide high-resolution airborne geophysical (aeromagnetic and radiometric) survey was undertaken. It has been augmented by detailed nationwide geological and geochemical surveys. These surveys have provided significant contributions to the mineral sector to help determine the full extent of the country’s mineral potentials, improve geological knowledge of Sierra Leone and assist investors in quickly and confidently selecting prospective areas for mining license applications at a reduced cost. The survey was funded by World Bank through EITAP 2 Project and was completed in December 2019.
The increase in the award of mining licenses and their compliance in meeting tax obligations has contributed to an increased export base within the sector with its concomitant increase of revenue base for the government.
Due to MNA’s effective management of the mining sector, its contribution to export and revenue mobilization has increased significantly. To achieve this, MNA increased existing processes for revenue assessment, tracking and reporting. This is coupled with frequent compliance and monitoring visits to exploration & mining operations.
Through regulatory oversight in implementing the local content provisions of the Mines and Minerals Act of 2009, the NMA has contributed to an increase in the total number of Sierra Leoneans employed by mining companies from 8,552 in 2018 to 14,768 in 2022. The NMA has also increased training and learning opportunities for Sierra Leoneans by providing internships for over 100 Engineering and Geology students since 2018, both at the NMA and at mining companies.
Mining companies have contributed over Le. 20 billion to implement development projects in their host communities since 2018. Such projects include a multi-purpose building and market centre in Lower Banta Chiefdom — Moyamba District; three schools in Kenema district; three schools in Kono district; etc. Mining Companies have paid the following amount as surface rents to landowners across the country: In 2018 Le 12 billion; in 2019 Le 13.8 billion; and in 2020 Le 13.9 billion. In 2022 over 15 billion Leones.
Plans are far advanced for the use of smart technology to improve efficiency and operational effectiveness. The NMA has developed an in-house improved, integrated and interoperable Enterprise Geo-Scientific Information Management System (IMS) and a Block-based Mining Cadastre Administration System (MCAS) to provide transparent, easy and timely access to geo-scientific data and information on exploration and mining licences, including fiscal and community development information in the management and administration of mineral rights in Sierra Leone.
In order to improve safety and resilience in mining communities the NMA has collaborated with relevant MDAs to ensure that internationally accepted environmental management processes and standards are observed. The Agency collaborated with the Environment Protection Agency (EPA-SL) in reviewing provisions of the EPA Act 2008/2010 and also developed an MOU to work collaboratively in conducting joint inspection and monitoring visits to all active mining and exploration operations. This has improved mine operational health and safety practices to achieve a significant reduction in incidents and accidents.
These achievements made by the government within the period under review have immensely contributed to national cohesion. Unlike in the past, there is no longer disgruntle in mining communities are most of the companies are meeting their corporate social responsibilities and paying surface rents to the people. To make the process more accountable and transparent, the Bio-government has ensured that surface rents paid by companies go directly to community beneficiaries, not political representatives.
This is exactly why President Bio recently personally handed over to the chiefs in Tonkolili District the sum of Le20 billion paid by Kingho Mines Company in surface rent.
Also, the launch of the Industrial Zone in Koya will engender the creation of more opportunities for the people of Sierra Leone, thereby fostering peaceful co-existence as an integral component of national cohesion.
As all of this is going on, the international community is very impressed with these developments and is also impressed over the fact that President Bio is using national cohesion as a means of bringing together all sectors of Sierra Leone, while they also hail him for being very pragmatic in promoting peace, unity and other nationalistic drives as the election approaches.