RMAFC condemns illegal mining activities in Nigeria

Odunitan Ayeni, Abuja

The Revenue Mobilisation Allocation and Fiscal Commission (RMAFC) has expressed its displeasure over continuous huge loss of government revenue as a result of  illegal mining activities arising from host communities’ active participation in artisanal and small-scale mining.

The RMAFC Chairman, Mohammed Bello Shehu stated this in his keynote address at this year’s mining week organized by the Federal Ministry of Mines and Steel Development (MMSD) in Abuja recently.

Bello noted that the host Communities carry out these illegal mining activities in collaboration with foreign partners by smuggling out the Minerals out of the country which in turn contributes to making it more difficult for the government to regulate the sector.

In a statement signed by the Commission’s Public Relations Officer,  Nwachukwu Christian, RMFAC boss said the process was to only carry out Commission’s constitutional roles of monitoring accruals into and disbursement of revenue from the Federation account, alongside advising the three tiers of government on fiscal efficiency and methods by which their revenue can be enhanced.

“The Commission discovered that other challenges leading to colossal loss of governments revenue generation from the sector are as a result of both informal and non documentation of mining activities in the country,” Shehu said.

RMFAC boss also added that in its effort to generate more revenue from the mining sector into the Federation account, the Commission has been actively involved in the proper development of the sector.

His words, “This will be done by the  Commission by engaging in opening of the solid mineral Component of the Federation account for sharing of 13% derivation to the 36 states and FCT. This is in addition to carrying out nationwide monitoring of Royalty and other tax collections in collaboration with MMSD and Miners association of Nigeria.

The statement however called for a    government’s review of the royalty regime in order to be in tune with the changing realities of the current global quest for some highly placed minerals such as lithium ore.