The procedure of grant of mineral exploitation rights and the sustainable development of the copper mining industry in Zambia: a case study of Lumwana and Kansanshi mines.
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Date
2019
Authors
Masase, Pamela Malama
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Publisher
The University of Zambia
Abstract
Sustainable development in the mining industry requires, among other things, saving and reinvesting in the industry an amount equal to what has been extracted and sold. In Zambia, the economic benefits from the mining projects are not equitably distributed among the stakeholders due to lack of involvement of all stakeholders in the process of granting mineral exploitation rights to would be investors. The stakeholders were identified as: the mining companies; the government and the host community (local authorities and local community), using the stakeholder framework and a theory of access.The main objective of the research was to evaluate whether the method of granting mineral exploitation rights influences the equitable distribution of economic benefits among the stakeholders from mining projects. The research design was a case study of Lumwana and Kansanshi Mines of the North-Western Province in Zambia. A qualitative method of study was employed. The study evaluated the following: the extent to which the current way of granting mineral exploitation rights affects the equitable distribution of economic benefits among the stakeholders from a mining project; whether a grant of mineral exploitation rights through negotiations among the stakeholders before the commencement of a mining project would be capable of bringing about the equitable distribution of economic benefits among the stakeholders; and whether there are other factors which may impinge on the equitable distribution of economic benefits from the mining projects other than the method of granting mineral exploitation rights. Data was collected by way of in-depth interviews with key informants, who consisted of employees of the two mining companies, local authorities and the central government under the Ministry of Mines. These respondents were selected purposively. Further, six focus group discussions were held with each group consisting of ten respondents drawn from the local communities. The sample size for the community members was selected using cluster sampling. Data was analysed thematically. The study revealed that the current procedure for granting mineral exploitation affects the equitable distribution of economic benefits to a great extent. The study also revealed that the equitable distribution of economic benefits was achievable through negotiations with all stakeholders before granting mining licenses. Furthermore, the study revealed that there are other factors that affect the equitable distribution of economic benefits. The study concluded by recommending that the government should revise the procedure for grant of mineral exploitation rights to include all stakeholders in a negotiation before a mining licence is granted.
Description
Thesis of Master of Science in minning.