The Miners Association of Nigeria (MAN) and the Nigerian Mining and Geosciences Society (NMGS) have expressed displeasure over new mining rates to be implemented by state governments.
National President MAN, Dele Ayankele said “To say the new rates are high is an understatement; it is unrealistic. In a situation where state governments keep on issuing unconstitutional regulations with attendant rates and charges with impunity and the Federal Government, through the Ministry, could not assert its authority on a subject located in the exclusive list.
MAN’s National President, Dele Ayankele, stated that the rate hike will push local miners out of business and expressed dissatisfaction with the lack of consultation.
“Outrageous upward review of rates and charges can only be interpreted that the government wants Indigenous operators out of mining business,”
He urged the government to address the sector’s regulatory and governance framework, including multiple taxation by state governments. NMGS President, Prof. Akinade Olatunji, also criticised the unilateral decision, noting that various factors govern royalty rates and that operators are already struggling with high costs. He suggested strengthening the Mines Inspectorate Division to improve regulation and enforcement. Both groups emphasised the need for stakeholder involvement in determining the best ways to optimise revenue generation and harness the sector’s wealth creation potential. They warned that the rate hike could drive many operators out of business, highlighting the need for a collaborative approach to address the sector’s challenges.
He said, “To say the new rates are high is an understatement; it is unrealistic. In a situation where state governments keep on issuing unconstitutional regulations with attendant rates and charges with impunity and the Federal Government, through the Ministry, could not assert its authority on a subject located in the exclusive list.”
