The Minority Caucus in Parliament has accused the Majority Caucus of making inaccurate statements about Ghana’s mining royalty regime and government carried interest in mineral operations.
Speaking on behalf of the Minority Caucus, Hon. Francis Kwabena Berepong Owusu-Akyaw, Member of Parliament for Juaben, stated that the Majority’s claims are based on repealed provisions and misinterpretations of the law.
The Majority Caucus has claimed that the applicable royalty rate is a fixed 5% as provided under the Minerals and Mining (Amendment) Act, 2010 (Act 794). However, the Minority Caucus says this assertion is false, as Act 794 has been repealed.
The Majority has also claimed that the government cannot lawfully hold more than a 10% carried interest in mining operations, which the Minority Caucus disputes.
According to Section 43(2) of the Minerals and Mining Act, 2006 (Act 703), the government can negotiate additional carried or participating interest, including 13% or more.
The majority in Parliament has stated that the 10 per cent royalty agreement signed by the Akufo-Addo administration with Barari DV Ghana Limited for lithium mining was inconsistent with Ghana’s existing legal framework.
According to the caucus, the Minerals and Mining (Amendment) Act, 2010, sets a fixed royalty rate of 5 per cent for mining companies—making the 10 per cent provision in the earlier agreement unlawful.
This position follows the presentation of a revised lithium mining agreement by the Minister for Lands and Natural Resources, which now includes the legally required 5 per cent royalty rate.
The revision has drawn strong opposition from the minority, who argue that the new terms are less beneficial to the state.
But the Minority Caucus reaffirms that:
– The 5% fixed royalty under Act 794 is no longer in force.
– The current law allows royalty rates as prescribed.
– The government’s carried interest may exceed 10%, and a 13% carried interest is lawful under Section 43(2) of Act 703.
The Minority Caucus has urged the Majority to rely on the current law and refrain from further misrepresentation, emphasising its commitment to accuracy, transparency, and protecting national interests in Ghana’s natural resources.
By: Rainbowradioonline.com/Ghana
