PRESS STATEMENT BY MINING CABINET SECRETARY HON.

NAJIB BALALA, EGH DURING MININSTRY OF MINING AND PARLIAMENTARY COMMITTEE ON ENVIRONMENT AND NATURAL RESOURCES RETREAT IN MOMBASA ON 27TH AND 28TH JANUARY 2014

Todays meeting was convened to deliberate on the Draft Mining Bill, Policy and Mission for Mineral Resources and Mining. Premised on the fact that the Mining Industry has been in the past shrouded in mystery, the government is committed to opening up the sector so that all stakeholders including the citizens benefit from the sector. The Draft Bill, Policy and Mission is therefore intended to influence and determine decisions, actions and other pertinent issues that will result in the reformation of the Mining Industry. In this regard, we are formulating regulations that will promote investment in mineral resources in line with international best practices. In the regulation, we envision to have in place; A mechanism for apportioning benefits between the National

government, the County Governments and Communities residing in locations where mining is being undertaken.

 Respect and encourage the substantial employee, gender and human rights issues and remove barrier to employment and participation in the mining sector. An Institutional, legislative regulatory framework that encourages local and foreign private sector participation in the development of mineral resources in line with the governments commitment to a free market enterprise economy.

The legal framework will also ensure; Maximization of the extensive economic and social benefits that could be accrued by the development of mineral resources and mining. Monetizing the mineral resource wealth of the county aimed at acceleration of economic growth which will ensure downstream benefits to the people of Kenya.

That the Mineral resources and mining sector fiscal regime is inclusive to investment in exploration and mining development and ensure maximum revenue to the Government.

Artisanal and small scale mining will have access to financing (including a range of measures such as co-operative savings, pooled equipment, leasing arrangements, Government supported concessional lending schemes and business training assistant,
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recognized minerals rights and adequate technical capacities and incentives to operate legally.

On the social front, the framework seeks to embed; A socially acceptable balance between mining and the physical, ecological, and human environment. This will be attained through observation of International Standards and practices in respect to health, safely human rights and environmental protection. Accelerated private mining sector led development of mineral resource that will significantly increase the socio economic benefits. The mining sector should therefore; Benefit current and future generations Eliminate child labor Maximize economic benefits and employment creating through development of mineral resources by equitably sharing the financial and market benefits of mining between investors and the people of Kenya. The policy framework on the mining industry will therefore foster seamless mining investment opportunities for greater social economic development. More so the Government wishes to foster development of a robust mining industry that will contribute to sustainable economic development through empowerment of Kenyans.
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For this to be achieved there should be concerted effort between the National and County Government. The National Government therefore, expects that County governments will work with other government agencies to establish policies and procedures for full engagement of local representatives and other relevant stakeholders in planning and supervising local community development.

Finally it is government policy that all operations/activities of Public Institutional are transparent. In this regard, the Ministry of Mining through the two documents, the draft mining bill and policy seeks to situate the mining industry in the open. We envisage and are confident that through the legal framework we are putting in place, the mining industry which has a lot of potential will soon deliver for the countrys economic take off.