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Thursday, November 26, 2009

The Forgotten Glory!


LOGS FOR SALE! This is the sight that meets the eyes of a traveller on the road to the Copperbelt - Zambia. Local Community Members are hit hard by poverty and have no other thing but to be involved in felling of trees, contributing to the clearing of the natural rainforest in the country. PHOTO/ER


While the world is appalled on the decreasing rates of natural rain forests through illegal logging and ‘logging’ by local community members for domestic use purposes; we are faced with the questions as to who gives the permission for the felling of trees, how the timber is used and who audits the revenues from the logging that continues to ravage the once vibrant rain forest in Africa. Let’s read on, discuss and find solutions to bring back the lost glory of African Flora and Fauna...


“In our day, felling of trees for domestic use was not an issue to ask permission for therefore no one should today tell us that we have to be allowed by some authority.” These words were spoken by a senior citizen when we were on a live radio programme talking about the natural resources.


This is the view carried out by many which in many instances carries with it valid argument and implying that the natural resources should there for the benefit of all in the society and or those within the borders of a political jurisdiction. But this argument as valid as I would like to see it misses one important factor; and that is the regulatory legislatures that govern the controlled use and sustainability of the natural resources for the use of future generation without putting at risk the livelihoods of the present.


Deforestation in Africa
It is an undeniable truth that a number of countries in Africa have had a rich ecosystem over the years but which is now faced with depletion. Clearing of the natural rainforest for whatever purposes; has resulted in deadly floods and now making the changes in climate which poses great concerns. By and by, biodiversity is becoming a forgotten word if not already forgotten.


In the context of Africa and countries in the continent rich in natural resources in the extractive industry, forestry and fishing; the clearing of the natural rain forest is attributed to the growing business in the extractive and agricultural industries.


There has been a rush in the extractive and the agricultural industry where massive lands are given out by governments to investors in the mining industry and modern farming industry where deforestation is done to extract Gold, Copper, Cobalt, Uranium and other precious metals and stones or for purposes of feeding livestock.


Zambia and Tanzania comes to close view as the activities are proactively carried out through direct foreign investments. When you fly over the two countries one is shocked at the level of clearing of the natural rain forest. In Tanzania the clearing is caused by the extractive industry and agro-fuels while in Zambia it is caused by the extractive industry, livestock feeds (for the growing beef industry), agro-fuels and charcoal burning for both domestic use and  income generation by the local community members. The latter is shared in both countries.


With the said in focus, a number of questions come to mind; one - who benefits from all this, and two; who audits the revenues from the timber harvested when our natural rain forest is cleared – especially by the investors in our countries?
  
Deforestation and World Statistics
It is recorded that “barely in 40 years the world’s vibrant natural rainforest has been reduced at the rate of 20%.” This injustice against the environment is committed to feed livestock and replacement of the natural with plantations of Eucalyptus and Palm Oil trees in order to produce paper, cosmetics, fuel and false arguments on provisions of employment opportunities for local population.


The other sharp contrast which is also a huge contributor to the lost glory of the once vibrant ecosystem is the charcoal burning by the local communities to meet daily needs resulting from poor developmental infrastructures, imperialistic attitude of the Northern countries, lack of political will and  corruption in the poor countries which otherwise are rich in natural wealth.


Copenhagen and Ecological Debt
As we approach the summit for Climate Change in Copenhagen, there’s a need for those who will be attending from Africa and other developing economies in the world whose resources have for so long been looted to make economies in the Northern hemisphere strong to make their points clear.


As the looting continues, our water sources are polluted and environment degraded to irreparable measures. We need to stand and ensure that the ecological debt is dealt with. One question I would like to ask is this; what agenda does my colleagues from Africa and developing countries have as they will attend the Climate Change Summit in Copenhagen in a few weeks time?

Wednesday, November 11, 2009

A Firm Sues Government of Tanzania on Mining Contracts






What we have longed to see in Tanzania for a long time is now taking place. The government of Tanzania have played the accessory role and have helped a lot in continuing heinous crimes against Tanzanians by the mining companies with Barrick Gold Corporation topping the list. Our hopes now is that Civil Society and faith Based Organisations will back up these deliberate efforts by patriotic sons and daughters of the land... 
http://thecitizen.co.tz/newe.php?id=15476
By Bernard James 



A constitutional petition has been filed in the High Court, seeking to have all the mining contracts entered into by the government without Parliament's approval declared null and avoid, in an effort to curb the plunder of the country's natural resources. 


A Dar es Salaam-based environmental and human rights activist, Mr Rugemeleza Nshala, and a company called Mtetezi Limited, have sued the minister for Energy and Minerals and the Attorney General. 


They want the court to immediately stop the operations of the holders of special mining licences and mining companies that have signed Mining Development Agreements (MDAs) with the government "because their activities are unconstitutional". 


The petitioners claim that the powers conferred on the minister for Energy and Minerals to sign MDAs are unconstitutional, as they interfere with the duties of other ministries, councils, agencies and departments. 


The petitioners are challenging the Mining Act No 5 of 1998 that gives the minister powers to sign MDAs on behalf of the government. 


They now want the court to declare that all the MDAs signed with the holders of the special mining licences, which were not approved by Parliament in line with the mandatory requirements of articles 63 (3) (a-e) of the Constitution, be scrapped. 


The article gives the National Assembly powers to deliberate on and ratify all treaties and agreements to which the United Republic of Tanzania is a party, and lists provisions, which require ratification. It also empowers Parliament to put any questions to any minister concerning public affairs. 


The petitioners are accusing the energy minister of granting mining concessions to foreign mining companies of unlawfully, and allocating large areas that were initially owned by villagers and artisanal miners to foreign firms. 


They assert that the allocations are responsible for the forceful displacement of millions of agriculturalists, peasants, pastoralists and artisan miners from their lands, in total disregard of their land and property rights enshrined and protected in the Constitution. 


The petitioners want the court to order that all the people displaced to pave the way for large-scale mining be resettled on their land and paid compensation. 


"We feel that our country's mineral resources are being squandered, as the current exploitation is only benefiting the foreign mining companies and yet the current mining and its taxation legal regime are not only illegal, but also unconstitutional," they argue. 


The petitioners are also arguing that the granting of mining concessions to foreign companies through local affiliates under the guise of Section 10 (1) and (2) of the Mining Act No 5 1998, not only grants unconscionable incentives to those firms, but also purports to supplant the laws of the land, and curtail the legislative powers of Parliament. 


The section prevents Parliament from passing any law that might in "one way or another interfere with their tax, social and economic obligations that they found at the time they came to invest in the country". 


The petitioners argue that "the curtailment of the parliamentary powers is not only wantonly violates Article 13, which calls for equal treatment under the law, but also the entire democratic framework enshrined in the Constitution." 


Article 63 (3) (a) to (e) grant Parliament powers to oversee, monitor and supervise the workings and operations of the government, including the ratification of all agreements signed in the name of the United Republic of Tanzania. 


"Yet the respondents have never presented any Mining Development Agreement (MDAs) signed with foreign mining companies to Parliament for deliberation, review, ratification or rejection." 


The petitioners are also accusing the government of granting "generous and unwise incentives", including tax-holidays, tax exemptions, "unlimited immigration quotas for their so-called experts", and the fuel levy, all of which, they claim, have led to the plunder the country's mineral resources. 


To back up their petition, the petitioners are citing the tax-free sale of several mining companies. 


These include Lusu gold mine, which was sold by Samax Resources of Canada to Ashanti Goldfield in 1998, at $213 million, the Bulyanhulu gold mine disposed of by Sutton Resources of Canada to Barrick Gold, at $348 million in 1999, and Nyabigena and Nyabirama mines in Tarime district that were sold by East Africa Gold Mine to the Placer Dome at $252 million. 


During the hearing, the petitioners say they will demand that the minister and the AG produce in court all the documents on the sale of those assets by the foreign mining companies. 


They say they will also to rely heavily on the findings of commission on mining management (the Bomani team) appointed by President Kikwete in 2007. 


According to the Bomani report, while the foreign mining companies were raking in millions of dollars from Tanzania�s mineral resources, they paid no income tax and still enjoyed a lot of tax waivers. 


The petitioners will show to the court how six foreign mining companies were granted an Excise duty waiver of Sh39.8 billion and Sh59.0 billion in 2006/07 and 2007/08, respectively. 


The petitioners also challenge Section 10 (1) and (2) of the Mining Act No. 5 1998, which allows the minister to limit environmental management responsibilities of the holders of special mining licences, the obligations of which are demanded by sectoral environmental legislation and the Environmental Management Act No 20, 2004. 


Mr Nshala and the company are also challenging the dispute settlement procedure by way international arbitration, as set out in the Mining Act 1998. 


It is their contention that the procedure voids the jurisdiction of domestic courts in determining mining investment disputes, contrary to Article 107 (1) of the Constitution, which vests in the Judiciary the powers to hear and determine all disputes arising in the country. 


The petitioners are accusing the government of abdicating its responsibility of policy design, formulation and implementation and becoming an agent of the World Bank, implementing the latter's dictates, including the Strategy for African Mining, 1992, which paved the way for enactment of the Mining Act, No 5, 1998.






Wednesday, October 28, 2009

South African Firms Muscle in on Zimbabwe's Diamonds




It is treachery and betraying Brotherhood of Nations when a country which is extremely poor is plundered of her natural Resources leaving her people hungry and desolate. What South Africa is doing against the people of Zimbabwe. It does not matter at this stage whether the Government of the day in South Africa has knowledge of this or not but this is something no one expected to be done against a Country torn with wars of all sorts. But South African 'investors' (infesters!) are known of such activities even in other countries in Africa... 


Tuesday’s Special Assignment exposes the blatant disregard for the rule of law and continued plundering of the diamond fields in Eastern Zimbabwe.  New evidence suggests that South African firms have muscled in, and are mining there illegally.


“We have nothing to hide. We are going ahead with the exploitation of our resources, and nothing will stop us,” said Zimbabwean Minister of Mines, Obert Mpofu, confidently dismissing reports of atrocities and smuggling from the diamond fields in Eastern Zimbabwe.


Travelling the road to Chiadzwa, his words sound more and hollow. The area holds one of the world’s richest deposits of alluvial diamonds.  The gems lie close to the surface of the ground, making them easy to collect by hand. It is hard not notice the “gweja’s,” the Shona term for illegal panners.  Group after group of young men, carrying nothing but a plastic bag over their shoulder, head for the diamond fields hoping for a share in its riches.  It is at the risk of their lives.   


The area is heavily militarized and every few kilometers one is stopped by a security check point, manned by police and soldiers.  Only last month, Moreblessing Tirivangani, was beaten to death during a rotation of army units who patrol the area.   


A year ago the military killed hundreds of people, and tortured even more, in a brutal clampdown on illegal mining activities.  Now soldiers are cashing in on the gems.   


“Nearly every soldier that is in Chiadzwa at the moment is involved in panning in one way or the other. They have also formed syndicates so that those panners will get the escort of the military and they continue panning with the protection of the soldiers,” says Farai Maguwu, Director of the Centre for Research and Development, an NGO that has been documenting violations in Chiadzwa.  


Many of the diamonds are smuggled into Mozambique .  The town of Vila de Manica is only 18 kilometres from the border with Zimbabwe .  It is crawling with illegal dealers from countries like Lebanon , Sierra Leone , Guinea , DRC, Nigeria and Israel .  Newly painted houses, bristling with barbed wire and CCTV cameras, are guarded by men armed with AK 47s.  Every day streams of Zimbabweans arrive to sell their stones, stolen from Chiadzwa.  They admit it is with the help of army syndicates and senior government politicians. 


The lack of control on the diamond fields of Chiadzwa, extends beyond pillaging by the army. Last month, mining firm African Consolidated Resources plc. (ACR) won a High Court ruling confirming their title to the Marange diamond fields.  In 2006, the Zimbabwe government seized the claims from ACR and evicted them from the diamond fields barely a year after they had begun operations. High Court Judge Charles Hungwe ordered the Zimbabwe Minerals Development Corporation (ZMDC)to stop its mining activities and directed the government to restore African Consolidated Resources' right to mine in the area. 


ACR has still not been able to gain access to the diamond fields. The Zimbabwe Mineral Development Corporation has signed a shady joint venture with a Mauritian off-shore company, Grandwell Holdings. They are operating under the name Mbada Diamonds. Behind it all is a South African scrap metal company, Reclamation, who is understood to have spearheaded the deal. Any diamonds they trade, will be obtained illegally.  Reclamation director, David Kassell said this was inaccurate and refused to comment.   


Outraged by ZMDC’s flagrant disregard of the High Court ruling, Andrew Cranswick CEO of African Consolidated Resources said, “their foreign partners are bringing in experts and top machinery, so the foreign partners will rape it for the foreign interests as opposed to the national interests and that is the tragedy and that has to be stopped.”  


This comes at a time when Zimbabwe faces the possibility of being banned from tr adi ng in rough diamonds.  In July, the Kimberley Process Certification Scheme sent a review team to investigate the human rights violations and looting of diamonds from Chiadzwa.  The international watchdog on “conflict diamonds” found gross irregularities and recommended that Zimbabwe be suspended until they comply with minimum standards. It is the first time an state government, and not a rebel army, stands accused of “conflict diamonds.” Amidst heated debate, the KPCS is to meet in Nambia on 2 November to decide Zimbabwe ’s fate.
“The government of Zimbabwe until now, has not really disclosed how it conducts its trade in its minerals. It is a very closely guarded secret and that gives room for corruption by senior government officials, by the military bosses who are now in charge of Chiadzwa,” says Farai Maguwu. 
The Minister of Mines seems unconcerned. “We are going it as government alone, without their support. We are not going to stop because they have not supported us,” he said. 


Special Assignment’s programme “ Zimbabwe ’s Blood Diamonds” will be broadcast on Tuesday 27 October at 8.30 pm on SABC 3.