HomeLocal NewsMining fees to be repealed

Mining fees to be repealed

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In a major turn of events for the mining sector, Parliament has sent Statutory Instrument 11 of 2012 to do with the raising of mining fees for repeal by President Robert Mugabe after the Parliamentary Legal Committee (PLC) found them ultra vires (against the law).

The repeal could see the mining fees being slashed. This was confirmed yesterday by chairperson of the committee Shepherd Mushonga, who said the statutory instrument had gone through Senate where it was rejected and taken back to the House of Assembly.

“The PLC produced an adverse report on Statutory Instrument 11 of 2012, which had increased mining fees and when it went to Senate it was said to contravene the law,” said Mushonga.

“After the Senate it was taken back to the House of Assembly where it was supposed to take 21 days for it to be amended, but the 21 days expired since both Houses had adjourned and what it means is that now it has to be taken to the President for repeal.”

According to Statutory Instrument 11 of 2012 published on January 27, 2012, mining fees were increased by 5 000%.

Sources said the fees were increased by Minister of Mines and Mining Development Obert Mpofu even before the statutory instrument was gazetted.

The increases saw registration of diamond claims increasing from $1 million to $5 million with a new ground rental fee of $3 000 per hectare per year.

Application fees for prospective coal investors increased from $5 000 to $100 000, while those for platinum claims for both ordinary and special prospectors were pegged at $500 000 up from $200.

Registration fees for metals also went up from $500 to
$2,5 million while cutting and polishing licences went up from $20 000 to $100 000 and a gold- buying licence went up from $2 500 to $100 000.

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