Thursday, 17 September 2020

THE THIN LINE BETWEEN THE MINERAL BLESSING AND CURSE FOR KARAMOJA

 

By Phillo Aryatwijuka,


THE THIN LINE BETWEEN THE MINERAL BLESSING AND CURSE FOR KARAMOJA

Having silenced the gun in Karamoja, it’s now time to silence poverty! Karamoja is now Uganda’s apple of the eye. A region blessed with immense natural resources but lives in abject poverty. Could the huge mineral deposits underneath deliver the economic promise of development for the Karamojong people? The answer to this question could be YES or NO

The presence of over 50 different economic valuable minerals; gold, gemstones, limestone, marble and other minerals) and the return to security in Karamoja in the recent years has offered a great potential for the region to harness extractive resources for sustainable and equitable human development. Despite this potential Karamoja region remains one of the most impoverished Uganda

In the past years the sub-region suffered perennial conflicts characterized by a high level of insecurity, cattle raiding and inter-ethnic violence. The security challenges in Karamoja were exacerbated by the negative impact of harsh climatic conditions on livelihoods, porous borders with South Sudan and Kenya, easy access to small arms within the population, cattle raiding and prolonged political and economic marginalization.

Due to poverty and search of alternative livelihoods over 20,000 Karamojong men and women have turned to mining as livelihood. ASM in Karamoja use using crude, hazardous methods as a means of day-to-day survival. On the other hand the region has seen an inflow of private sector companies. As of 2016 statistics from the DGSM indicate that currently there are 136 concessions (active or exploration) held by foreign and local companies making the total land area under concessions to be over 64% of the total land area.

Community knowledge has remained low on mineral rights, land rights, legal issues, environmental issues, royalty and benefit sharing. There is no community involvement and consultation over land acquisition for mining exploration activities set by law and where it exists obligatory compensation or royalties to land owners as mandated by law are unpaid due to lack of proof of customary ownership.

On the other hand the regions potential for Development minerals that are key drivers to the growth of housing and infrastructure development have seen big mining companies on limestone and marble carry out vast exploration and active mining across the region. Despite the presence of these development minerals

If well managed, the mineral sector in Karamoja if has the potential to transform the region and consequently bring the region up to speed with achieving Uganda vision 2040, Africa Mining vision and ultimately contribute to the achievement of Sustainable Development goals

The critical issues that could turn this economic promise into a curse are currently related to;

The Legal and regulatory framework specifically the Mining Act 2003: Key concerns in the current legal regime relate to compulsory acquisition of land, compensation, lack of Free Prior and Informed Consent (FPIC), community participation and engagement, equitable revenue and royalty sharing, Artisanal and Small Scale Miners (ASM) formalization, local content, gender, access to information, environmental management and transparency and accountability. The current regime has several gaps in those areas

Limited formalization and Lack of Government regulations and development focused programmes for the Artisanal and Small Scale Miners (ASM)

For a region that has over 20,000 ASM 80% being women in gold, marble, limestone and quarrying it’s important for the government to formally recognize this sector as one of the biggest employers and drivers of economic growth. However the ASM in Karamoja are often referred to as illegal miners consequently they rarely receive adequate if any support to formalize and improve their activities

Mining and Gender concerns

Over 70% of the ASM workforce in Karamoja is women, as a result they experience unique challenges ranging from limited access to mining benefits through surface rights, lack of bargaining power thus exploitation by middlemen coupled by sexual and gender based violence at the mining sites. 

Environment Occupational Health and Safety

Mining has a strong bearing on environment, natural resources and the critical ecosystems as a whole. Mining companies and unregulated ASM have left vast areas degraded and un restored through destruction of vegetation, open pits and deforestation to provide fuel wood for heating rocks during marble and limestone mining. On the other hand most mining sites in Karamoja are characterized by lack of safety gear by ASM, sanitation facilities like toilets, adequate water sources, first aid kids and nearby health centers which has exacerbated accidents and brought about several health concerns in the sector.

Wildlife Vs Mining and Oil sector

Kidepo national park and Pian Upe game reserve which are some of wildlife and rich biodiversity areas   in Karamoja region are being threatened by mining activities considering that 62% of land in Karamoja is under concessions and some concessions are indicatively in wild life reserves and national parks. Likewise oil exploration activities will take place in the Kadam-Moroto basin which covers areas of Pian Upe game reserve. All these extractive activities indicate a possible biodiversity and critical ecosystems destruction.

Value Addition and low economic value of minerals

The limited value addition at each value chain right away from extraction has seen mineral prices in Karamoja continue to be valued lower. Minerals are usually sold in their raw form as such the economic cost of some minerals like marble, limestone and gold is at a much lower value than the market value. 

Indigenous people rights and livelihoods

Protecting cultural heritage/indigenous people is pertinent as enshrined in the UN charter on declaration on the rights of indigenous communities. Pastoralism is widely practiced by many in Karamoja and these should be considered “indigenous people”, as they have been living in their homelands for hundreds of years and still struggle to conserve the traditional nomadic lifestyle. Due to the large based land acquisition threats by mining activities and oil activities vulnerable communities could be deprived of their own land, natural resources, livelihoods, and property.

Limited access to information on the mining sector

Communities in Karamoja are largely illiterate with literacy rate 11% compared to 67% national average.The mining sector provides various opportunities for the people but unfortunately these communities are not aware of these opportunities and rights.ASM spread across the region are ignorant on the formalization process for acquiring licenses, communities have often failed to hold leaders accountable on mining entitlements like royalties on surface rights. On the other hand Karamoja remains one of the regions left out during the comprehensive Aerial Geophysical Survey of Uganda consequently investors lack real actual data on mineral quantities.

Land tenure Vs Benefits and conflicts

Land in Karamoja is owned communally and as a result there are challenges of royalty sharing and compensation for surface rights. Land grabbing has spread across the region in the recent years. Access to land by investors has brought about community dissatisfaction due to lack of open consultations between the community, government and investors. Most of the mining companies lack a Social License to Operate (SLTO)

Weak engagement between Private Sector and communities

There is limited success by communities and CSOs in accessing a common platform/ground for engagement. Mining companies’ sites in Karamoja are often enclosed from the public/communities. Communities are rarely consulted during exploration phases and before acquisition of mining leases. Dialogues on community issues on the mining sector are often characterized by absenteeism by the mining companies’ representatives.

Despite the above fears the mineral sector can be turned into a blessing through;

·         Strengthening the legal and policy framework through facilitating and supporting community consultations, dialogues on the review of the mining sector legal and regulatory framework. The Mining and Mineral policy 2019 addresses concerns relating to formalization and recognition of ASM, benefit sharing, environment, OHS concerns is now on green paper before the cabinet waiting approval. Similarly working together with other CSOs through community consultations and multi stakeholder dialogues.

·         Organization and formalization of ASM into groups and associations to facilitate organized mining thus reducing environmental footprints, increasing market bargaining power, acquisition of location licenses and financing for these organized ASM groups. For example Morulem Gold Miners Association in Abim now has location license with 16 hectares. In addition 9 organized ASM groups comprising of over 25 members each have benefited from financing to support their mining work

 

·         Strengthening access to information channels on mining rights and entitlements in mining communities through community dialogues and multi stakeholder dialogues at the local level involving government (DGSM), ASM, mining companies to share information on concessions, benefit sharing, exploration activities, active licenses, market prices, incensing for ASM among others. Since January 2017 Directorate of Geological Survey and Mines has established an office in Moroto for Karamoja sub region with a fulltime officer to support information needs in the region.

·         Promoting a gender responsive mining sector in the region which recognizes the contribution of women in the mining sector. This is through providing women with platforms for meaningful engagement and participation on key issues that affect them. This has been affected through gender sensitive platforms and gender focused activities to support women groups to organize themselves and formalize. 1000 ASM Women miners have been organized into 68 women and registered to engage into responsible mining.

·         Promoting mining communities meaningful participation in mining sector processes through community dialogues, debates on key emerging issues relating to community company relations, human rights, benefit sharing, land rights and compensation. For example the establishment of the District Mineral Watch Platform (DMWP) in Moroto and Abim has facilitated the consistency of debate and demand for transparency and accountability on mining issues amongst communities enhanced by the DMWP active participation in identifying emerging mining sector issues for debate.

·         Facilitating and supporting mining communities and ASM to meaningfully engage with mining companies in mediations and dialogues to effect community development agreements through Memorandum of understandings, Corporate Social Responsibility and peaceful co-existence. For example ECO supported and facilitated the community in Tapac with support from the Moroto District Local Government, District Mineral Watch Platform and other key stakeholders to develop an M.O.U between Tapac and Tororo Cement highlighting a number of concerns relating to compensation, labour rights and Corporate Social Responsibility among others.

·         Promoting environment responsible mining by empowering communities to protect the environment amidst mining activities through restoration activities and mining as organized groups. Similarly efforts have been directed towards supporting and facilitating local governments to pass and implement byelaws on protection of environment which has strengthened environmental protection for example ECO supported Rupa Sub County to develop a bye law on environmental protection which has specific aspects focusing on the mining sector. Moroto District local government has approved this byelaw and its now being popularized in the mining communities.

·         Addressing crosscutting issues on child exploitation particularly child labour in mining by setting up taskforces in mining communities and creating awareness in mining communities on the effects of child labour. Most importantly strengthening the local government’s capacity and commitment to carry out periodic inspections of mining sites to ensure that school going children are in school. On the other hand strengthening women ASM to report issues of sexual and gender based violence on mining sites by facilitating and supporting legal aid clinics at the mining sites

·         Research and development through profiling the mineral sector in Karamoja in order to increase baseline data on social conflict, use of mineral revenues, compensation, Corporate Social Responsibility, local content and cross sectoral linkages among others

·         Strengthening and supporting mining communities to demand for their mining benefits particularly royalties to the surface rights owners in the mining sector. This has been done through supporting the formation of communal land associations. For example Sokdec Miners Association and Rupa Miners Association respectively which are in advanced stages of formalization and Katekikile Action for Development which is already receiving the royalty benefits on behalf of surface rights owners in Katekikile Sub County.

·         Encourage Uganda to join the Extractive Industries Transparency Initiative (EITI) and to implement the requirements and recommendations of the EITI

Ultimately the sector could transform the lives of 1.2million Karamajong people and Uganda as a whole.

 

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