Moving mining sector forward: Minister Fuh Calistus puts up spectacular show at National Assembly.

Minister Fuh Calistus responding to worries of MPs during session

The Interim Minister of Mines, Industries and Technological Development, Prof Fuh Calistus Gentry, on November 21, put up at a spectacular show at the National Assembly. This he did as he defended the bill relating to the new Mining Code in the country.

The legal instrument was validated by lawmakers after hours of heated debates.

This was during general debates in the course of a plenary sitting that was chaired by Senior Deputy House Speaker, Hon Hilarion Etong.

The 200-section bill, with 24 innovations, it should be said, had earlier been examined by the Production and Trade Committee, before the general discussion and its eventual adoption. Report of the Committee was read out during general debates at plenary by Hon Kenfack Sonna Ngneguim Anastasie. 

Responding to worries raised by over 20 MPs during the session, Minister Fuh Calistus explained that the new bill is a critical review of the previous Mining Code enacted in 2016, as a follow-up of the instructions of the Head of State during his 2022 end-of-year address to the nation, for the diversification of state revenue sources.

“That is why in our ministry, we have not spent a night of sleep. We have worked to see that the instructions of the Head of State, especially about the three projects that are to start, are fully observed. I am proud to announce that mining is not more potential, mining is a reality; and that next year, we will start exporting Iron Ore in Cameroon,” he told the MPs. 

The bill, Prof Fuh Calistus explained, seeks to “remedy the shortcomings” of the previous law and “incorporate the attractiveness, competitiveness and financial profitability concern that can help to fast-track the implementation of transformational mining projects and increase the solid minerals sector’s contribution to the Gross Domestic Product in the short or medium term”. 

Minister Fuh Calistus flanked by collaborators defending bill

 

Zooms on details of bill 

Speaking to reporters after the adoption of the bill, the visibly elated Prof Fuh Calistus, expressed delight to what he said is the interest Cameroonians are taking in the activities of the ministry.

He said the 2016 law did not take into account the existence of National Mining Corporation, SONAMINES, reason many sections of the law had to be revised. 

“This law brings in SONAMINES to represent the state in mining companies and will also give SONAMINES the right to buy gold in order to build gold reserves in the nation,” he revealed.

The bill, he added, also allows SONAMINES to take part in the nodal value, which permits the state not to depend solely on dividends, but take part in the next nodal value so that its interests are guaranteed. 

The law, Prof Fuh Calistus furthered, also envisages that Cameroonians will have up to 35% minimum in quarries and also gives SONAMINES the right to directly collect taxes as a law, unlike in recent past when the body was mandated by the Director of Taxes to do it on its behalf. 

All the moves taken, Prof Fuh Calistus stated, are in tandem with the instructions of the Head of State to transition from a mining potential nation to a mining nation”.

This, he stated, is with a view to increase the benefits of Gross Domestic Product of the country in the mining sector, as envisaged by President Paul Biya. 

Senior Vice House Speaker, Hon Hilarion Etong (middle), chairing session 

 

Revisiting concerns of MPs, Calistus’ responses

Before the bill was finally adopted, MPs had raised an avalanche of incongruities inherent to it which were all convincingly responded by Minister Fuh Calistus. 

Some of the worries of the MPs touched on the exclusive rights that the bill gives to SONAMINES over the purchase and sale of gold and diamond in the country.  To some lawmakers, SONAMINES is too young and does not have the technical knowhow to manage such huge reserves.

The people’s representatives suggested that by giving SONAMINES exclusive rights over diamond means Cameroon is technically withdrawing from the Kimberley Process Certification Scheme. 

Other worries were on the non-implications of local councils and regions in the mining processes and non-involvement of private initiatives in the sector, while others were skeptical if the new regulations would contribute significantly to the country’s budget.

Some MPs equally expressed the wish for the bill to be revised before being re-tabled in parliament for scrutiny. 

 

Minister Fuh Calistus clears doubts of MPs

However, Minister Fuh Calistus told lawmakers that the devolution of the management of non-industrial mining activities on regional and local authorities, as contained in the draft bill, is eloquent enough of the fact that government is keen on promoting decentralisation in the sector.

On the inability of SONAMINES to handle the purchase and sale of gold and diamond, he clarified that the new code, will reinforce its duty to and provide it with the necessary resources to efficiently defend the interest of the state in the solid mineral sector, thereby creating national wealth. 

He emphasised that all the 200 sections of the draft law take into account the wellbeing of all Cameroonians.  

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