The Minister of Solid Minerals Development, Dele Alake, has said that miners and operators in the mining sector are owing the Federal Government more than N2 trillion.
The minister made this known at a meeting with Licensed Minerals Holders, Laterite /Sand Operators Dealers in Kaduna State, on Thursday.
Alake described the activities of illegal miners as unacceptable and a huge crime against Nigeria and Nigerians while also stressing that the current administration of President Bola Tinubu is determined to halt the activities of illegal miners across the country.
The minister, who was represented by the Acting Zonal Mines Officer, North-West Zonal Office, Kutman Hosea Ali, said “Miners and Operators owed the federal government more than N2trn” while “in Kaduna State, it’s over N300bn.”
“We have made it very clear that in Kaduna State, every operator should make bold steps and clear their debt.” He Added.
The minister also directed the Special Mines Taskforce which was activated in Kaduna State to clamp down on illegal miners and nonpayment of royalties which must be paid monthly as well as other taxes to the federal government.
The Special Mines Surveillance Taskforce includes members from the Nigeria Army, Police, Civil Defence Corps, Department of State Security Services, operatives of the Economic and Financial Crimes Commission, and Nigeria Immigration Service and headed by Mines officers in the state.
At the meeting, the minister stated that mining is on the exclusive list as such it is only controlled by the federal government while the state and local governments are not allowed to collect royalties or any mining tax while also criticizing the non-remittance of money collected as royalties and taxes on mineral resources to the federal government, warning that defaulting states would be penalized.
“Let me clarify it, state government and local government are entitled to collect other taxes such as ground rent and other taxes but they are not to collect royalty and tax on mining.
“Any state government or any local government that collects money in the name of Royalty or Mineral Tax will be deducted from the source allocated to the State.
“The Special Mines Taskforce has been activated in Kaduna State and they had commenced operation on the war against illegal Mining and nonpayment of royalties which must be paid monthly as well as other taxes to the Government of Nigeria,” the minister added.
In his remarks, the Chairman of the Miners Association of Nigeria, Kaduna branch, Ado Dogo, represented by the Secretary of the association, Kashim Hussaini, said the interface between miners and the regulators has become imperative.
He called on state Governments to stop interfering in mining activities and respect the laws guiding mining activities in their various states.
“We as miners know we are operating within a state, local government, and even down to villages but sometimes, state governors can stop you from working. Meanwhile, this mining operation is what we are doing by contributing to the federation account,” he explained.
