The President of the Miners Association of Nigeria (MAN), Dele Ayanleke, has raised concerns over what he described as a “regulatory confusion” threatening mining operations in the country and deterring both local and international investors.
“There is one big elephant in the room, and that is the issue of regulations. We know mining is in the exclusive list of the federal government, which means that it’s only the federal government that should regulate mining. But at the same time, mining takes place in the lands of the states, where the state governor has control over land through the Land Use Act,” Ayanleke said in an exclusive interview with Nigerian Mining.
He described the situation as a legacy-versus-emerging challenge that must be addressed urgently.
“There are some states that are banning mining activities. There are some states that are directing their own structures to regulate mining, where they are using executive orders to make sure that they checkmate government rights on the issue of mining regulations. This is a big challenge to government efforts at attracting foreign investment.”
He recounted how licensed operators have faced extreme actions from state authorities:
“We have some state governments that have set fire on equipment of some legitimate operators. Those who have been duly licensed by the federal government, going to the states — the state government will not only ban mining, the state government will confiscate their equipment, confiscate their earnings, jail their staff, and burn down their equipment.”
Calling for urgent federal intervention, Ayanleke said:
“If we are doing this to ourselves as Nigerians… how do you want a foreigner to come and invest in such kind of environment? This is a big minus for government efforts at attracting big foreign investment.”
MAN, he noted, has formally raised its concerns with the federal authorities.
“We have sent a petition paper to the minister, we have sent to the presidency, we have also forwarded to the National Assembly to save this sector from this kind of regulatory confusion which may not be in the best interest of government efforts to develop the sector.”
Regulatory confusion in Nigeria’s mining sector arises from a combination of factors, including overlapping jurisdictions between federal and state governments, weak enforcement of existing laws, and the lack of specific regulations for artisanal mining. This confusion leads to challenges in compliance, environmental protection, and investment attraction.
