Dear Editor,
The crackdown on illegal mining by the Guyana Geology and Mines Commission (GGMC), the police and other agencies is indeed most welcome. It is time that the ‘golden egg’ of our economy becomes more regularized and transparent and conforms to accepted standards. It would however be most disappointing if this crackdown does not correspond with an initiative from the Ministry of Natural Resources & the Environment/GGMC to make mining lands more easily available to the miner.
One of the key reasons for illegal mining is the absence of available lands for mining activities. The reason for this is that a vast portion of prime mining lands is held in reserve by GGMC or hoarded by a select few ‘rich’ miners.
A few years ago (when the gold price was much lower and the industry also much smaller) there was a process in GGMC for land application where an individual was able to go and apply for a mining block which was given up by another individual.
This meant that there was continuity in ownership of mining blocks which made it easier for an individual to own his own mining block.
However, GGMC changed that system. When mining blocks were given up they were immediately put into reserve. These blocks were to be made available through auction or lottery which was supposed to be held at least four times a year. For unknown reasons a lottery/auction of mining blocks has not been held for over two years.
This hold on mining blocks coincided with the surge in gold prices. This resulted in an industry imbalance whereby mining operations increased drastically but at the same time the availability of prime mining lands reduced drastically. Herein lies one of the key reasons for widespread illegal mining activities.
When the prime mining lands became difficult to acquire miners had to turn to block owners, especially the ‘rich’ miners who owned many blocks, for permission to operate.
This in turn created other difficulties for the miner who was frequently used by the block owner to find the payable lands, only to be put off whenever rich finds were made. GGMC sat idly by and never instituted any form of security for the miner against unscrupulous block owners. For all intents and purposes the agreement stipulated by law to be signed between the miner and block owner provided very little security to the miner. It was more economically feasible for the miner to operate illegally or raid a mining block rather than work through the correct system, simply out of fear of being robbed by the block owner if payable minerals were found.
The Minister would be wise to note that no one ever intends to work outside the ambit of the law, but circumstances force them to do this. In the case of illegal mining, as stated above, the main reasons are the absence of easily available prime mining lands and insecurity over agreements signed between block owners and miners.
The Minister has been very vocal in demanding change in the industry to correspond with the present times, and this is absolutely correct. But it is not only the miners that need change but also the regulating agency and its operational guidelines.
To change one without the other will only create further problems in the industry.
So far it seems that only the miners are feeling the brunt of this change.
Nothing has yet been changed in GGMC to deal with the main reasons why illegal mining is so rampant.
I humbly offer a few suggestions to the Minister to consider if he truly wants to bring about long-term change in the industry:-
1) Let GGMC return to the old system of making abandoned mining lands immediately available for reapplication. It boggles the mind why this system was changed in the first place, and moreso now when mining is at an all time high and mining lands are urgently needed. It does the industry and the national coffers no good to be holding prime mining lands in reserve when they could be economically utilized.
We need to make use of the current high prices.
2) The old process of reapplication is a much better and more balanced system than auction/lottery. An auction favours the rich while a lottery is, well, a lottery, and oftentimes does not provide the desired mining lands.
3) Implement terms and limits for mining blocks as stipulated by law. This would ensure that there is no hoarding of mining blocks and that those that are not properly utilized are made available to other interested miners.
4) Ensure that miners working on blocks through agreements/contracts are protected by the regulating agency against unscrupulous block owners.
This is an extremely important issue that has been almost completely ignored by GGMC, resulting in the small miner being left to the mercy of the block owner.
5) Return the many Prospecting Licence (PL) areas throughout the country which are underutilized to the state and make them available to miners.
6) Properly advertise any area which is opened so that everyone will have an equal opportunity to apply irrespective of their geographical location.
In closing I would like to commend the Minister for showing leadership in the mining industry and advocating much needed change and also taking action. He is, however, warned that showing the miners the long arm of the law while not dealing with the core issues as to why illegal mining is so rampant will only create feelings of injustice among the miners and destabilize the mining industry.
He should offset the present crackdown on illegal mining with an amnesty where all Guyanese miners found operating illegally who do not own any mining block would be allowed to apply for a mining block. This should be the first step towards fully opening the land application process so as to reduce the need for illegal mining/raiding.
Yours faithfully,
J Evans
