Kogi Senator, introduced "The Gold Reform Bill" that give ownership to FG

 

The Gold Reform Bill, introduced by Senator Natasha Akpoti-Uduaghan, seeks to consolidate control over Nigeria's gold resources under the Federal Government, emphasizing greater regulation and oversight of mining activities.

 The bill has already passed its Second Reading, although the public hearing has been suspended indefinitely.

Key provisions of the bill include:

1. Government Control Over Gold Resources: 

All gold deposits, whether under or upon any land in Nigeria, are to be vested in the Federal Government on behalf of the Nigerian people. 

Lands with commercial quantities of gold will be acquired by the government in accordance with the Land Use Act.

2. Exclusivity of Mining Rights: The bill restricts exploration and exploitation of gold to those with proper authorization under the Mining Act, prohibiting unauthorized mining activities.

3. Protected Areas: The bill bans gold mining in certain areas, including military zones, towns, villages, cemeteries, sacred sites, and lands near infrastructure like pipelines and railways (a 50-meter buffer). 

This aims to preserve the cultural, historical, and infrastructural integrity of these locations.

4. Licensing and Regulatory Framework: The bill sets up a comprehensive licensing structure, covering exploration, prospecting, mining leases, and environmental compliance. 

It also includes a community engagement license, requiring miners to address the social impacts of their activities on local communities.

5. Financial Incentives for Miners: To encourage investment, the bill offers significant tax breaks and incentives, including:

   - 95% capital allowance on qualifying capital expenditure.

   - Exemption from customs duties on machinery.

   - Tax relief for up to three years (with a possible two-year extension).

   - Exemption from restrictions on foreign earnings transfer.

6. Environmental and Social Responsibility: Gold mining companies are required to set aside funds for environmental protection, rehabilitation, and mine closure. 

This ensures that mining activities do not cause long-term ecological harm and that sites are restored after extraction.

7.Investor Securit: The bill guarantees foreign exchange transferability through the Central Bank and provides legal assurances to foreign investors in the gold sector.

Overall, the Gold Reform Bill seeks to streamline and regulate gold mining in Nigeria, ensuring that the country’s gold resources are exploited responsibly while benefiting both the government and local communities. 

It aims to strike a balance between economic growth, environmental sustainability, and social responsibility.