1. MINING AND SUSTAINABLE DEVELOPMENT IN GHANA
DEVELOPING MESSAGES FOR THE UN CONFERENCE ON SUSTAINABLE DEVELOPMENT REVIEW – DEVELOPING COUNTRY PERSPECTIVE
MINING AND SUSTAINABLE DEVELOPMENT IN GHANA
PRESENTED BY
Messrs. BEN ARYEE & JOSEPH Y. ABOAGYE
DATE: SAT. MARCH 1, 2008

2. PRESENTATION OUTLINE Introduction Governments Role
The Policy and Regulatory Framework
Basic Geo-scientific Data Availability
The Legal Framework/Regime
The Operating Environment
Maximization of local content in the mining sector
Mitigating the negative impacts
Stakeholder Participation
Corporate Social Responsibility
International Cooperation
Contribution of Mining to Ghana’s Economy
Conclusion

3. INTRODUCTION
It is noted that mining necessarily ends up depleting the resource it uses and is characterized by some negative impacts
However, it has significant potential for making positive impacts, as acknowledged in chapter 46 of the Johannesburg Plan of Implementation of the WSSD.

4. INTRODUCTION
As it was especially noted, it is possible for mining to contribute to sustainable development through:
(1) enhancing the benefits while mitigating the negative impacts both when mining is taking place and subsequently as well as
(2) improving stakeholder participation in the management of the resources.

5. INTRODUCTION In this context, this presentation reviews
Measures aimed at ensuring and
the extent of the contribution of mining in Ghana to Sustainable Development in line with the Brundtland Commission definition of such development as;
“Development that meets the needs of the present without compromising the ability of future generations to meet their own needs.”

6. Government’s Role
Governments are put in place to ensure, or at least facilitate,
the socio-economic development of the people within its jurisdiction through the use of the resources available to it, especially those in which comparative advantage exists or can be developed.
In this respect the interventions Government has been pursuing towards Sustainable Development through mining include:

7. Government’s Role The Policy and Regulatory Framework
Mining Policy which has sustainable development as its guiding principle
Basic Geo-scientific Data Availability
Currently, enormous geo-scientific data gathering – both in the form of airborne geophysical surveys and ground studies - is being undertaken in the country under a EU supported Mining Sector Support Programme.
The Legal Framework/Regime
A fair, stable regime based on Good Governance (Act 703)
Regime that ensures reasonable revenue to Government
Regime that demands environmental protection & Remediation
Regime that recognizes environmental protection and remediation
Regime demanding integration with local economy

8. THE OPERATING ENVIRONMENT/REGIME
Mining uses up the resources which promoted it, thus it must
catalyze the development of other economic activities and also
generate enough positive impacts to assist in sustainable
development.
Developments observed in Ghana’s Mining Sector include:
Maximization of local content
Human Resource Development (HRD)
Significant increase in number of locals in senior management
Other Local Resource
Significant increase in the number of Mine Support Service Companies, from 70 in year 2000 to 130 in 2007.
Local companies provide; assay, exploration, contract mining etc to mining companies
Ghanaian owned companies account for some 30% of the total

9. THE OPERATING ENVIRONMENT/REGIME
Mitigating the Negative Impacts
Environmental Permits made requirement for the acquisition of mineral rights
Stakeholder Participation
Publication of applications at the district and local levels
Public hearings
Corporate Social Responsibility
Mining companies assist local communities within close proximity of their operations through the establishment of fund or foundation for community development
This fund is financed by a stated amount for every ounce of gold mined and/or a stated amount proportion of pretax profits

10. THE OPERATING ENVIRONMENT/REGIME
International Cooperation
Governments subscription to the EITI
increase transparency in the receipt and utilization of payments and revenues generated by extractive industries.
Ghana has gone beyond the requirements of EITI to further incorporate transparency in the use of such receipts at the local communities through the MDF
Ghana has also associated itself with international
organizations, like the African Mining Partnership
and the Intergovernmental Forum on Mining and
Metals, with focus on sustainable development
through mining.

11. Contribution of Mining to Ghana’s Economy
Political Stability
Economic Contributions
5% GDP;
12% of Government Revenue;
7% of Ghana’s total corporate tax; and
41% of total export earnings
Export earnings from the mineral sector in 2007 amounted to US$2.5 billion
Employment Generation
Large scale mining sector employs 20,000 people;
While over 500,000 people are engaged in smaller scale operations; and
Mine Support Service Companies employ 4,000 people

12. Conclusion
These modest contributions have in no small way supported the development of other sectors of the economy of Ghana and are expected to be the foundation for broader-based sustainable development.
Opportunity exists to deepen the geoscientific knowledge base as a means of optimizing the exploitation and utilization of the country’s mineral resources while enhancing the capacity of regulatory agencies for the purpose.
While assistance, both bilateral and multilateral, would be welcomed in these respects, Government will continue to work at improving its facilitation role while working with all other stakeholders towards achieving sustainable development through mining.