Debates of 11 Feb 2010

MADAM SPEAKER
PRAYERS 10:30 a.m.

ANNOUNCEMENTS 10:30 a.m.

Madam Speaker 10:30 a.m.
Hon Members, I am pleased to announce to you, a visit to this Parliament by the Speaker of the ECOWAS Parliament and his delegation. Hon Members, we have them in our midst and he is leading a ten-member delegation from the ECOWAS Parliament on a three- day official visit to Ghana.
The Speaker has already held separate meetings with the Vice President and the Minister for Foreign Affairs and Regional Integration. Yesterday, he also paid a courtesy call on me and will, this afternoon, interact with you Hon Members in the Chamber, immediately after adjournment.
Hon Members, it is now my pleasure to acknowledge the presence of His Excellency Mr. Mahamane Ousmane, Speaker of the ECOWAS Parliament -- [Hear! Hear!] Hon Members, he is accompanied by Hon Shehu Matazu Garba, Member -- [Hear! Hear!]; Hon Roland Kaine, Member -- [Hear! Hear!]; Hon Kebbie Brima, Member -- [Hear!Hear!]; Hon Gomez Fernandes, Member - [Hear! Hear!] Mr. Mohamed Diakite, Secretary General -- [Hear! Hear!]; Mr. Dansoko A. K. Cheick, Chief Communication Officer -- [Hear! Hear!] Mr. Souleymane M. Sani , Special Advisor to the Speaker -- [Hear! Hear!]; Mr. Gerald Koffi Abalo, Chief Protocol Officer [Hear! Hear!] Col. Kandam Haitoo, ADC

Hon Members, I, on your behalf, wish the Speaker and his delegation a pleasant stay in our country.
Mr. Isaac Kwame Asiamah 10:30 a.m.
Madam Speaker, we most wholeheartedly welcome this wonderful delegation to our dear country. Just that it is not gender sensitive. That is my only concern. It is only made up of men. We would have loved to see female parliamentarians involved in this delegation. That is my only concern about the ECOWAS delegation.
Thank you.
Madam Speaker 10:30 a.m.
Mr. Speaker of the ECOWAS Parliament will take note, no doubt.
Thank you, Hon Members.
Mrs. Elizabeth K. T. Sackey 10:30 a.m.
Madam Speaker, I am so happy that the Hon Member for Atwima-Mponua (Mr. Isaac Asiamah) has raised this issue. Unfortunately, even from Ghana, out of the eight delegates we have, only one woman, yet he sits here to say that -- [Interruptions.] Madam Speaker, I take this opportunity to bring to your attention that the other side of the House should provide one more woman, so that next time, the delegates could have more women to top up and bring them down.
Madam Speaker 10:30 a.m.
Thank you Hon Member.
As you know, Hon Asiamah is a Member of the ECOWAS Parliament and a representative from Ghana. Hon Members may take note.
Thank you.
Shall we move on to Correction of Votes and Proceedings and the Official Report.
VOTES AND PROCEEDINGS AND THE OFFICIAL REPORT 10:30 a.m.

Madam Speaker 10:30 a.m.
Correction of Votes and Proceedings of Wednesday, 10th February, 2010.
Pages 1 - 11.
Mr. Charles S. Hodogbey 10:30 a.m.
Madam
Speaker, yesterday, the Public Accounts Committee met but it does not seem to
be captured in the Votes and Proceedings.
Madam Speaker 10:30 a.m.
Yes, Clerk to take note.
Hon Members , the Votes and Proceedings of Wednesday, 10th February as corrected is adopted as the true record of proceedings.
We now move to the Correction of the Official Report of Friday 5th February
2010.

Hon Members, in the absence of any corrections the Official Report of Friday 5th February, 2010 is hereby adopted as the true record of proceedings.

The next item is Question time.

Is the Hon Minister for Lands and Natural Resources with us?

Hon Members, the first Question stands in the name of Hon Isaac Kwame Asiamah (Member for Atwima-Mponua).
ORAL ANSWERS TO QUESTIONS 10:40 a.m.

MINISTRY OF LANDS AND 10:40 a.m.

NATURAL RESOURCES 10:40 a.m.

Minister for Lands and Natural Resources (Alhaji Collins Dauda) 10:40 a.m.
Madam Speaker, the Nyinahin deposits are the largest so far discovered in Ghana. The deposits have an estimated resource of 350 million tonnes at 44.5 per cent alumina
(AI2O
3). The deposit is located northwest of Nyinahin and occurs on ten hills stretching from about 32 kilometres from southwest to northeast, from Akokrom Bepo to Aya Bepo respectively. The
bauxite occurs as a laterite capping over the hill-tops and ranges in thickness from 12 to over 20 metres.
Government has been facilitating development of such resources by the private sector. Currently, four (4) companies have been granted access to the resource area at Nyinahin. The companies are:
VIMETCO NV 10:40 a.m.

Mr. I. K. Asiamah 10:40 a.m.
Madam Speaker, I want to find out from the Hon Minister, when were these mining companies granted access to the resource area.
Alhaji Dauda 10:40 a.m.
Madam Speaker, they had access at various times and I would not be able to give the Hon Member when and where they were granted access. But in all that, it takes not more than six months for them to complete whatever data they would want to collect during this period.
Mr. I. K. Asiamah 10:40 a.m.
Madam Speaker, I asked that question because I remember
Mr. Simon Osei-Mensah 10:40 a.m.
Madam Speaker, I want to ask the Hon Minister for Lands and Natural Resources -- [Interruption] -- Oh, this side.
Madam Speaker 10:40 a.m.
Well, since you have started yours, yes. We would go back to that.
Mr. Osei-Mensah 10:40 a.m.
Madam Speaker, recently, I think we have had several problems, as we said, with the mining companies, especially in relation to the socio-economic livelihood of the people living in the mining areas. What concrete measures is the Hon Minister putting in place to ensure that even when they start the mining operations, the socio-economic activities of the people and also the health aspect of the people will not be negatively impacted on?
Alhaji Dauda 10:40 a.m.
Madam Speaker, in the process of granting a mining licence to a company, we always encourage them to engage the communities where they mine, with the view to finding alternative livelihood jobs for them and this, we do. In some places, you have communities going into oil palm plantation, some into beekeeping, snail rearing and all others. So we are doing this to promote the living standards of the people who live in the mining areas. And this is on course.
Mr. D. T. Assumeng 10:40 a.m.
Madam Speaker, I would want to know from the Hon Minister whether these deposits will not in any way affect any forest reserve within that vicinity.
Alhaji Dauda 10:40 a.m.
Madam Speaker, indeed, some of the resources affect the forest reserves. But as I indicated, they are going through the process and at the right time a decision would be taken.
(VALCO) and others instead of using our foreign exchange to import the raw material -- alumina.
Alhaji Dauda 10:40 a.m.
Madam Speaker, integrated bauxite or aluminum industry is key in terms of the policy of this Government and we encourage people who go into bauxite mining to begin to think of adding value to the bauxite that is mined in the country.
You will recall that most of our mineral resources mined in the country are exported in the raw state and we are trying to add value to it. So my Hon Colleague's question is in place, and what we are doing which is, we encourage any company that comes in to do mining to try and add value to it and that is by way of further processing it.
These companies listed are companies that have come up with proposals indicating how they would want to mine bauxite and also refine bauxite into alumina and into aluminum products in Ghana.
Mr. I. B. Awuah 10:40 a.m.
Madam Speaker, the bauxite deposit at Nyinahin is known to be one of the richest resources in Ghana in terms of its alumina content. In fact, in the Answer, the Hon Minister quoted this to be around 44.5 per cent. It is also known that the aluminum from Ghana's bauxite and its resultant aluminum is one of the best, which is on a high demand.
I want to know from the Hon Minister, why is it that our deposit has all these qualities and yet it is not attracting the necessary investment that it demands.
Alhaji Dauda 10:40 a.m.
Madam Speaker, I can only point two major factors: one, is the capital required in this type of investment and number two, is about energy requirements for the processing of bauxite into alumina and into the other by products. You would realise that it is not
in the year 2008, around June, the then Hon Minister came to this House to inform us that these same companies had been given licence or granted access to the area, and they would have over six months to do the cross-validation exercise. So I want to find out whether within that time frame, between 2009 and this time, there was a freeze on their operations or they were asked not to operate. I do not know whether they could not finish within the time frame the then Hon Minister gave them. That was why I asked the question.
Madam Speaker 10:40 a.m.
Yes, put your question, then.
Mr. I. K. Asiamah 10:40 a.m.
The question is, did they stop operations at a point in time?
Alhaji Dauda 10:40 a.m.
Madam Speaker, the companies were granted access over a period of six months. After the expiration of the six months, it is presumed that they have lost access and that if they want to come back, they would have to reapply and that is how come we have these companies.
I personally met ALCOA for instance; they gave up the process -- But they have come back, to say that they have an interest in it and they still want to go and have some data collected in the resource base. So, we are working on it to ensure that we have the company to mine bauxite at Nyinahin.
Mr. I. K. Asiamah 10:40 a.m.
Madam Speaker, I want to find out whether these companies listed here are different from those ones mentioned in 2008.
Alhaji Dauda 10:40 a.m.
Madam Speaker, I do not know the companies that were mentioned in 2008 but I know these companies are companies that have
Mr. John Agyabeng 10:40 a.m.
Madam Speaker, the Hon Minister mentioned about five companies which are interested and have been given access to the mining sites. These deposits have been existing for a very long time and the Hon Member of Parliament who asked the Question wanted to know when the project would take off.
Alhaji Dauda 10:40 a.m.
Madam Speaker, the Ministry has done some work in the area and therefore, has some information on the bauxite deposit at Nyinahin and we have it in our offices, particularly, the Minerals Commission. This is public and we think that making the information available to us publicly is enough attraction to investors who would want to go into bauxite mining.
So that is what we can do and leave the investors to come on their own. We do not want to be seen luring investors into the sector. So we have the information, we put the information out and any investor who is interested can come forward, make an application for access to the area, and after that we would take him through the process of granting a mining licence and a licence would be ultimately granted.
Mr. C. S. Hodogbey 10:40 a.m.
Madam Speaker, I believe alumina is extracted from bauxite and we have several aluminum companies in Ghana. I would like to know from the Hon Minister if he has made any effort of contacting these aluminum companies, for example, the Volta Aluminum Company
Mr. David Hennric Yeboah 10:50 a.m.
Madam
Speaker, I want to ask the Hon Minister if the Ministry has made an arrangement with these companies so that bauxite can be processed in Ghana, for Ghanaians to get employment.
Alhaji Dauda 10:50 a.m.
Madam Speaker, in
my answer to one of the supplementary questions, I did indicate that these companies listed are companies that have come up with proposals to go downstream in the process of bauxite, so we have taken that into consideration.
Mr. Fritz F. Baffour 10:50 a.m.
Madam Speaker,
I want to ask the Hon Minister whether he has gone back to the records to look at the projects that were designed for Nyinahin and what is being done about that. He cannot reinvent the wheel. I want to ask the Hon Minister if they have done any homework on that. I know that a lot of project reports have been written about Nyinahin bauxite resource site.
Alhaji Dauda 10:50 a.m.
Madam Speaker, there are a lot of information on the Nyinahin bauxite deposits and we are taking all the factors on board in our process of granting licence to any company that would want to exploit the bauxite deposits at Nyinahin.
Mr. K. A. Twumasi 10:50 a.m.
Madam Speaker,
I want to know from the Hon Minister when these companies were granted access to the area and for that matter, how long they have been there.
Alhaji Dauda 10:50 a.m.
Madam Speaker, I
have answered this question in one of the supplementary questions by the Hon Member for Atwima-Mponua (Mr. Isaac K. Asiamah). I said that these companies applied for the access at various times and I am unable to give which date this or that company got the access, but what is known to me is that, they are all expected to come up with a report within a six-month period.
Mr. J. B. Aidoo 10:50 a.m.
Madam Speaker,
can the Hon Minister inform this House whether the Nyinahin bauxite deposits occur in the forest reserves or not? And if they do, what measures is the Ministry taking to ensure that the first -- [Interruptions] -- to protect these forest reserves.
Alhaji Dauda 10:50 a.m.
Madam Speaker, the
deposits occur in both the forest reserves and in the off reserves area of Nyinahin.
Madam Speaker 10:50 a.m.
I think he said ‘and
what measures are taken to preserve the forest'. Because I know he is going to shoot up again that you have not answered the question.
Alhaji Dauda 10:50 a.m.
Madam Speaker, the
process of granting mining licence begins with an application by the company and the Commission evaluates the application together with the materials that would be provided. And a recommendation will be made to me, that is, the Minister, for a licence to be granted. As I said early on, at the right time when the recommendations come, we will look at the recommendations and take appropriate decisions whether we would allow the mining to take place in the forest reserves or not. That decision will be taken when we get there.
possible and consistent with safety, efficiency and economy”. Detailed regulations to guide how this is done are being developed and should be available by the end of the year.
Staffing
In respect of staffing, section 50 of the Minerals and Mining Act 2006, Act 703 requires maximization of recruitment and employment of Ghanaians within an approved succession planning framework. This is effectively being implemented.
Sourcing of Other Goods and Services/ Mine Support Services
It is the Government's policy to promote the development if mine support service companies to provide services and also supply inputs to the mining sector, and subsequently other sectors. This can contribute to employment generation, skills strengthening, supplier and local enterprise development among others. Thus, since Government sees the mine support service sub-sector as an opportunity for local entrepreneurs to readily participate, a legal framework has now been provided.
It is significant to note that two small gold refineries have operated in recent times; one of them -- ASAP VASA -- is Ghanaian-owned and operated and continues to supply the refined product needs of some major local jewellers. Other companies with significant Ghanaian ownership include Hufra-Compu-Techs Limited which has a state-of-the-art facility producing all kinds of metal components and parts while Western Castings produces grinding media.
The provision of catering, laundry, haulage, transport and security services for the mining industry is being considered
I thank you very much.
Local Mining Companies (Support)
Q. 353. Mr. Christopher Addae asked the Minister for Lands and Natural Resources what steps Government was taking to support local mining companies to enhance their capacity to compete effectively in the industry thereby enhancing the benefits accruing from mining to Ghana.
Alhaji Dauda 10:50 a.m.
Madam Speaker, over the past two decades, there have been policies to encourage Ghanaian investment into mining related and ancillary industries, which do not require as much capital injection but could benefit the economy.
The following are highlights of some areas in which Government has adopted policies to support Ghanaians to effectively participate in the mining industry:
(1) Differential Fees
To address the difficulty of Ghanaians to initiate investment into mining, Government has operated a differential mineral right fee structure which requires Ghanaians to pay an average of 10 per cent of what foreign applicants pay. This has been very successful in attracting Ghanaians. Indeed, of a total of some 200 exploration right holders, Ghanaians account for about two-thirds (66 per cent).
(2) Local Content
This is provided for under section 105 of the Minerals and Mining Act 2006, Act 703. This requires mining operations to give preference to Ghanaian products and employment “to the maximum extent
Mr. Christopher Addae 11 a.m.
Madam Speaker, the Minister said that under “Local Content” there is an attempt to make sure that Ghanaians are very actively involved in the mining sector. There are regulations that are coming up to ensure that products and services in the mining industry are sourced locally.
Madam Speaker, the law was passed in 2006 and we are in 2010. How long is it going to take the Ministry to come up with the regulations which will define which areas Ghanaians would have to benefit from in terms of the services and products that are used in the mining industry?
Alhaji Dauda 11 a.m.
Madam Speaker, it is true that the law was passed in 2006 but I became a Minister about a year ago -- [Interruptions] -- and I have indicated that this regulation is in the Attorney-General's office and very soon, it will come out for Parliament to consider its passage into law and I believe these services would be protected under the “Local Content Policy”.
Mr. Addae 11 a.m.
Madam Speaker, I asked the question about the Ministry and not the Minister, and so the Minister's answer that he has been there only a couple of months, does not really answer the question. But I go to the second supplementary question.
Will the Hon Minister kindly define to us what is meant by a small-scale mining?
Alhaji Dauda 11 a.m.
Madam Speaker, small- scale mining is a mining activity that cannot be described as medium or large. These are mining operations at the local level and do not have the capacity to engage in medium or large-scale mining.
Mr. Addae 11 a.m.
Madam Speaker, is
to be reserved for Ghanaians under a Legislative Instrument which is currently at the Attorney-General's Office.
(3) Small-Scale Mining
This activity is reserved for licensing to Ghanaians only. Government through the Ministry is continuously imple-menting strategies to develop the capacities of these small-scale miners to improve upon their living conditions as well as manage the environment. Some of the strategies are:
(i) Geological Investigations of Areas Blocked out for Small Scale Miners --
About ten (10) areas identified from exploration reports as potential for mineable deposits for small- scale miners have been blocked out for detailed geological investigation under the Natural Resources and Environmental Gover- nance (NREG) Programme. When the investigations prove successful, the deposits will be licensed to small-scale miners.
(ii) Provision of credit facilities to organized small-scale mining associations for acquisition of mining equipment to improve production --
Government has advanced loan facilities to some well- organized, licensed and credible small-scale mining associations and co-opera- tives to assist them in their operations. Some of these mining co-operatives are the Konongo, Bolgatanga and Bibiani Mining Co-operatives
Madam Speaker 11 a.m.
No, the Hon Minister is not trying to suggest, he is answering questions.
Put your question, your last question?
Mr. Addae 11 a.m.
Madam Speaker, I will do so.
Madam Speaker, the small-scale miners in the country always complain that it is only the poorly resourced areas that are given to them and that the areas which are potentially rich go to the foreign mining companies. How will the Minister react to this?
Madam Speaker 11 a.m.
What you mean is, is it true, or how would he react?
Mr. Addae 11 a.m.
Madam Speaker, there are complaints that the small-scale miners always get lands that are not too rich in the minerals but then, all the rich deposits go to the big foreign mining companies and I wanted him to react to that.
Madam Speaker 11 a.m.
Well, I do not know that he should react, but Hon Minister, I think he wants facts.
Alhaji Dauda 11 a.m.
Madam Speaker, it is not true that the rich areas are reserved for the foreign companies. As indicated in my Answer, if you look at companies that hold exploration rights in the country, about 66 per cent of that is made up of Ghanaians and therefore, it gives an indication that the rich areas are not reserved for the foreign companies, as my Hon Colleague is trying to portray.
The Exploration Licence leads to a Mining Licence and therefore, it is presumed that people who come in for the exploration licence end up in getting a mining licence. So it is not true to say
that the rich areas are reserved for foreign companies.
Mr. C. S. Hodogbey 11 a.m.
Madam Speaker, the galamseys which are organized and also small-scale mining companies, according to research, employ over three hundred and something people. I would like to know if they are given any support from the Ministry or by the Government.
Madam Speaker 11 a.m.
Yes, the question dealt with mining companies.
Alhaji Dauda 11 a.m.
Madam Speaker, I would crave your indulgence to ask the Hon Minister to ask the question again. [Interruptions.] I did not hear him well.
Madam Speaker 11 a.m.
He is a Member, he is not a Minister yet.
Yes, Hon Member, he says put your question again.
Mr. Hodogbey 11 a.m.
Madam Speaker, the galamseys which are organized, sometimes they classify them as not licensed. I would like to know if the Government gives them support since most of them operate without licence. They employ a number of people.
Alhaji Dauda 11:10 a.m.
Thank you, very much, Madam Speaker.
Madam Speaker, Government certainly, will not support an illegality. So long as it remains an unlicensed operation, it is illegal and therefore Government has no intention of supporting any illegal activity in the country.
I thank you.
Mr. J. B. Aidoo 11:10 a.m.
Madam Speaker, mining in Ghana, whether on land, under
Alhaji Dauda 11:10 a.m.
Madam Speaker, if an
investor who is a Ghanaian decides to partner any foreign investor, I do not think that there is something wrong with that. It is for the purpose of helping our people to grow. And I do not think there is anything against such an initiative.
Thank you.
Madam Speaker 11:10 a.m.
Yes, Hon Member for Bimbilla (Mr. D. B. A. Nitiwul), I was going to come to you but --
Mr. D. B. A. Nitiwul 11:10 a.m.
Madam Speaker, I personally heard the Hon Minister talk about galamsey. I heard the President also talk about galamsey and that they should flush them out. I want to find out from the Hon Minister, what his view is on galamsey operations in Ghana. Should we flush them out or they should work -- [Interruptions.]
Madam Speaker 11:10 a.m.
Hon Member, let us have the question again.
Mr. Nitiwul 11:10 a.m.
Madam Speaker, what I said is, I want to find out from the Hon Minister whether he has a policy regarding galamsey operations in the country.
Alhaji Dauda 11:10 a.m.
Madam Speaker, galamsey operation is illegal and therefore it is treated as such.
Madam Speaker 11:10 a.m.
Let us hear from the Hon Member for Old Tafo (Dr. A. A. Osei).
Dr. A. A. Osei 11:10 a.m.
Madam Speaker, in his Answer, the Hon Minister said that there are about 66 per cent of Ghanaians account for 200 exploration right holders. Can the Hon Minister tell us, out of the 200, 66 per cent, that is, about 167 -- would the Hon Minister tell us how many of these Ghanaians have been allocated areas that are so-called rich areas and so- called poor areas?
Alhaji Dauda 11:10 a.m.
Madam Speaker, I am unable to provide this information at the moment and I would require notice.
I thank you.
Mr. Kofi Frimpong 11:10 a.m.
Madam Speaker, from the Hon Minister's Answer, he is saying that galamsey is illegal. What effort is his Ministry and Government putting in place to flush them out?
Alhaji Dauda 11:10 a.m.
Madam Speaker, we encourage these illegal operators to regularise their activities. We have provided desk officers at the Minerals Commission to process applications from these illegal operations and thereby regularising their activities. We are trying to encourage all of them to be law abiding. So, that is the policy of Government on this particular issue.
rose
Some Hon Members 11:10 a.m.
Sit down. Sit down.
Dr. A. Y. Alhassan 11:10 a.m.
Madam Speaker,
I had wanted to find out from the Hon Minister whether as a matter of policy, the Ministry allocates poor mining areas
Dr. Prempeh 11:10 a.m.
All right. Madam Speaker, I would ask a different question. I am asking a different question -- [Interruption.] what is your problem? [Interruptions.]
Dr. Prempeh 11:10 a.m.
The Hon Minister for Communications would sit down and respect the Chair. Let me ask my question.
Madam Speaker, Ghanaians who have partnered foreign companies to mine in this country are being harassed daily in the papers. And I would like the Hon Minister to come to the Dispatch Box and tell us why a particular Ghanaian or group of Ghanaians who have been so industrious are being harassed by his Government -- [Interruptions.] -- You did not hear it? I am saying -- [Interruptions.]
Madam Speaker 11:10 a.m.
Order!
Dr. Prempeh 11:10 a.m.
I am saying, why is his Government -- our Government, particularly the present Government, harassing the EO Group about the oil exploration?
Madam Speaker 11:10 a.m.
Hon Members, let us hear the answer from the Hon Minister. I think the Hon Member is capable -- Hon Minister, do you know these facts? He says they are being harassed. Do you know them?
Alhaji Dauda 11:10 a.m.
Madam Speaker,
unfortunately, I am not aware of any harassment of any sort. And that I would encourage my good Friend, the Hon Member for Manhyia to provide me with the information that he has that I do not and probably, I would go into it.
Madam Speaker 11:10 a.m.
Hon Members, thank you, we move on to -- [Interruption.]
to certain people and rich ones to others.
Alhaji Dauda 11:10 a.m.
Madam Speaker, that is certainly not the case. We do not grant rich areas to foreign companies and poorly endowed areas to Ghanaian companies.
Madam Speaker 11:10 a.m.
Yes, Hon Member for Manhyia (Dr. M. O. Prempeh).
Dr. M. O. Prempeh 11:10 a.m.
Madam Speaker, in an earlier answer from the Hon Minister, he made an emphatic statement that his Government -- our Government does not mind if a Ghanaian partners a foreign company to explore. He should come back to the Dispatch Box and tell Ghanaians why his Government is harassing the EO Group? [Uproar.]
Madam Speaker 11:10 a.m.
Harassing who? I
did not get the word.
Dr. Prempeh 11:10 a.m.
Madam Speaker, you did not hear, I would come again.
The Hon Minister in an earlier answer to a question, said that the Government had no policy and that if Ghanaians who were granted exploration licence partner with companies to mine, the Government was very supportive. He should come to the Dispatch Box and tell us why the Government has singled out a group of Ghanaians who have partnered a foreign company to mine oil in this country-- [Uproar] -- The EO Group. Madam Speaker, the EO Group.
rose
Madam Speaker 11:10 a.m.
Well, you have not mentioned any Ghanaian or that whether he knows. So, I do not think that is a question.
rose
Madam Speaker 11:10 a.m.
Yes, Hon Minority Leader, the last question from you.
Mr. Kyei-Mensah-Bonsu 11:20 a.m.
Madam Speaker, the Hon Minister responsible for Lands and Natural Resources has indicated to us that galamsey operations are illegal operations. Madam Speaker, he goes on to tell us that he is encouraging these illegal operators to do the right thing. That is a very good effort. But while they are engaged in the commissions of illegality, what is the Minister doing? While they are engaged in the commissions of illegality, is he telling us by his answer that his Ministry is condoning illegality?
Alhaji Dauda 11:20 a.m.
Thank you, Madam Speaker. We will certainly not condone any illegality in the country and therefore, we continue to see galamsey operations as illegal. And we are educating members of the public who would want to go into this illegal operation to desist from it and also provided the information necessary for them to regularize their activities.
Mr. Kyei-Mensah-Bonsu 11:20 a.m.
Madam
Speaker, this is an exercise in prevarication. I asked the Hon . Minister, is he saying that galamsey operators are committing illegalities? As a Minister of State, he knows what they are doing is illegal. At the time they are engaged in these commissions, what is he doing?
Alhaji Dauda 11:20 a.m.
Madam Speaker, in every situation, there is a legal framework dealing with it. If somebody commits an offence, somebody reports, investi-gations are done and possibly, prosecutions are made. In some of the cases where our attention had been drawn to these illegal operations, we report to the police or the security agencies for the necessary action to be taken.
I thank you, Madam Speaker.
Mr. Kyei-Mensah-Bonsu 11:20 a.m.
Madam Speaker, with respect to him, how many such cases has he reported or has his Ministry reported?
Alhaji Dauda 11:20 a.m.
Madam Speaker, in the Eastern Region for instance, the Regional Co-ordinating Council embarked upon an exercise where the police were deployed to arrest some of these illegal operators and -- [Interruptions] -- those who were arrested are being investigated and my information this morning from the Regional Minister is that, very soon, they would be put before the court.
Mr. Kyei-Mensah-Bonsu 11:20 a.m.
Madam Speaker, my Colleagues will know that -- [Interruption.]
Madam Speaker 11:20 a.m.
You are not supposed to argue. He is a Leader and he is entitled to these things but not to argue. If it was another question -- yes Honourable, last question.
Mr. Kyei-Mensah-Bonsu 11:20 a.m.
Madam Speaker, thank you for teaching them that I am entitled to the questions that I am asking.
Madam Speaker, the Hon Minister, in his Answer, page 8, small-scale mining, if I should read. It says:
“This activity is reserved for licensing to Ghanaians only. Government through the Ministry is continuously implementing strategies to develop the capacities of these small-scale miners to improve upon their living conditions as well as manage the environment.”
rose
Madam Speaker 11:20 a.m.
Is it a point of
living standards? What basis does he have in improving their living standards?
Alhaji Dauda 11:20 a.m.
Madam Speaker, the concern raised by the Minority Leader is a legitimate one. I realized that there is a typographical mistake; so in my response, in reading the Answer, I said “to improve upon the operations and also manage the environment”. So the “living standard” there is wrong. I crossed it out in my Answer here.
I thank you very much.
Madam Speaker 11:20 a.m.
Yes, that has been corrected.
Can we please, move on to the next Question which stands in the name of Hon Kwasi Ameyaw-Cheremeh, Sunyani East?
Sunyani Municipality Lands (De-vesting)
Q. 354. Mr. Kwasi Ameyaw- Cheremeh asked the Minister for Lands and Natural Resources when vested lands in the Brong Ahafo Region, particularly within the Sunyani Municipality would be de-vested.
Alhaji Dauda 11:20 a.m.
Madam Speaker, the lands within the Sunyani Municipality together with other lands in the Brong Ahafo Region were vested in Government in trust for the various stools by E.I. 46 of 18th February, 1961. The other vested areas include lands in the Asutifi, Asunafo, Wenchi and Techiman Districts.
The main reason for vesting these lands was to forestall the numerous land- related chieftaincy disputes and customary allegiances that were rampant prior to and immediately after the creation of the Brong Ahafo Region.
The second reason was to ensure the orderly planning and development of the settlements in these areas. This enabled Government to properly plan development in many of the towns within the vested
order?
Mr. Hodogbey 11:20 a.m.
Exactly so, Madam Speaker. I stand on Order 68 (6). If you can permit me to read.
“When any Question has been asked and answered no debate on it shall be permitted.”
Madam Speaker 11:20 a.m.
Well, except to say that I thought we had finished with this issue and the Honourable had accepted and put another question. But that is so, that is what the rules say.
Honourable, can you put your last question?
Mr. Kyei-Mensah-Bonsu 11:20 a.m.
Thank you for tolerating my Colleague. I do not think that he can lead evidence that I have engaged in any debate. Maybe, he needs to understand the word “debate” in the first place.
Madam Speaker, the Hon Minister says Government through the Ministry is continuously implementing strategies to develop the capacities of these small- scale miners to improve upon their living conditions as well as manage the environment. Madam Speaker, I do know that Government should be concerned about the environment, the havoc that these small-scale miners cause to the environment. So implementing strategies to improve on the environmental conditions is good.
Madam Speaker, I thought the Ministry would be trying to aid them to improve upon their operations. But he is telling us that they want to improve upon their living conditions. Madam Speaker, is that a good strategy? Must you concentrate on improving the operations of the small- scale mining operations or improve their
Mr. Ameyaw-Cheremeh 11:30 a.m.
Madam Speaker, the vesting of the lands in Sunyani and other parts of the Brong Ahafo Region created a trust situation, which means that the Government is the trustee of the lands while the stools remained the beneficiaries. I want to find out from the Hon Minister what benefits the stools have gained since the vesting took place in 1961.
Alhaji Dauda 11:30 a.m.
Madam Speaker, as he rightly indicated, Government only manages on behalf of the stools and therefore, benefits such as rents, royalties are always being paid to the stools.
Mr. Ameyaw-Cheremeh 11:30 a.m.
Madam Speaker, one of the reasons cited by the Hon Minister that gave rise to the vesting was that there were land related disputes arising out of chieftaincy. I want the Hon Minister to name some of those disputes he alluded to.
Alhaji Dauda 11:30 a.m.
Madam Speaker, presently, there is a dispute involving the Omanhene of Sunyani and the Omanhene of Dormaa with regard to Sunyani lands.
Mr. Ameyaw-Cheremeh 11:30 a.m.
Madam Speaker, the Hon Minister says in paragraph
2, on page 9, that the Ministry has charged the Regional Lands Commission in Brong Ahafo to study the situation critically and advise Government for action to be taken. I want to find out from the Hon Minister when this instruction was given to the Regional Lands Commission and the time line given to it to submit a report.
Alhaji Dauda 11:30 a.m.
Madam Speaker, on the day I commission the Brong Ahafo Lands Commission, I tasked the Commission to study the situation and advise the Ministry appropriately. Indeed, I concede that I never gave any time line within which the report must be given. But as he has indicated, I would write back to the Commission indicating when I expect a report to be handed to my office.
Madam Speaker 11:30 a.m.
Hon Members, the next Question to the Hon Minister stands in the name of Hon Ameyaw-Cheremeh.
State Lands in the Brong Ahafo Region
(Return to Owners)
Q. 441. Mr. Kwasi Ameyaw- Cheremeh asked the Minister for Lands and Natural Resources what measures Government was taking to return to the original owners all State lands in the Brong Ahafo Region which were not being used for the purposes for which they were acquired.
Alhaji Dauda 11:30 a.m.
Madam Speaker, to enable Government take a decision on the return of State lands in the Brong Ahafo Region, which are not being used for the purposes for which they were acquired, an inventory of all such lands is needed. Under the Land Administration Project, an inventory of all State acquired and State occupied lands is being undertaken. Due to resources constraints, three districts are being tackled in the Brong Ahafo Region.
These are Sunyani Municipality,
Mr. Ameyaw-Cheremeh 11:30 a.m.
Madam Speaker, I want to find out from the Hon Minister whether his Ministry or by extension, Government will not consider an unconditional release of State acquired lands in the Brong Ahafo Region to the original owners as we have done in certain parts of the country, particularly Accra.
Alhaji Dauda 11:30 a.m.
Madam Speaker, first of all, there has not been any unconditional release of lands to land owners in Greater Accra and that Government does not consider that option of unconditionally releasing all State acquired lands.
Mr. Kwame Anyimadu-Antwi 11:30 a.m.
Madam Speaker, the Hon Minister gives an impression that a decision or a study is now going to be made in order that Government would take a decision on releasing the land to the owners. By law, when a land is compulsorily acquired and it is not used for the purpose, it must be released to the rightful owners. My question now is, is it this Question that is prompting his Ministry to take such a decision or he has something in the pipeline for the people within the Brong Ahafo Region?
Alhaji Dauda 11:30 a.m.
Madam Speaker, this is an ongoing project where Government has decided to return lands that have been acquired for some particular purpose but are not being used for that purpose back to the owners. It is an ongoing project and it is not this Question that has prompted it. The Hon Member for Sunyani who asked the Question knows it is an ongoing process and it is not his Question that is prompting the Ministry.
Mr. Ignatius Baffour Awuah 11:40 a.m.
Madam Speaker, the Hon Minister said that an inventory of all State lands in the region was being undertaken under the Land Administration Project (LAP). Madam Speaker, I do know that this inventory
Techiman and Wenchi Metropolitan Assemblies. The inventory will indicate the size of land acquired, the purpose of the acquisition, the current use to which the land is being put, extent of development of the land and extent of encroachments on the land, if any. Based on the inventory, recommendations will be made as to which lands should be retained and those that should be returned to the original owners.
Mr. Ameyaw-Cheremeh 11:40 a.m.
Madam Speaker, the Hon Minister said that under the Land Administrative Project (LAP), an inventory of all State lands acquired in the Region was being undertaken. I want to find out from him whether LAP is not lapsing this year and whether or not an extension has been granted.
Alhaji Dauda 11:40 a.m.
Madam Speaker, LAP will end but luckily, we have the opportunity to renew it and go into the second phase of it. We are still working on that to ensure that we continue with this laudable project.
Mr. Ameyaw-Cheremeh 11:40 a.m.
Madam Speaker, in that case, if LAP is not renewed by the development partners, how is the study going to be undertaken to get the results to help whether or not State acquired lands in the Brong Ahafo Region should be returned to the original owners?
Alhaji Dauda 11:40 a.m.
Madam Speaker, this House has the capacity of lobbying Government to provide for these activities that are close to our hearts in the Budget. We approve Government expenditure and I hope and believe that even if this project lapses and a budget is put before this House to provide for inventory of these State acquired lands, it is my hope that I would have enjoyed the support of my Hon Colleagues in getting that approved for work to continue on this particular project.
I thank you.
Alhaji Dauda 11:40 a.m.
Madam Speaker, it is an ongoing process, and I will not be able to say that it is ending today or tomorrow. It is all over the country, and depending on when it started, we will not be able to indicate when the project would end.
In the case of Sunyani, as I said, we have zeroed on Techiman, Wenchi and Sunyani. These are the districts we are working on, to start with.
Madam Speaker, as soon as the report on these Municipalities is ready and a decision is taken, we will move on to the other areas.
Mr. Yaw Ntow-Ababio 11:40 a.m.
Madam Speaker, in the Hon Minister's Answer to the question about LAP, which you agreed with the Hon Member that it is coming to an end this year, that this House has the capacity to be lobbied so that you get through whatever that you bring to the House, and use that money to support the project, even if development partners refuse. I am quoting the Hon Minister. Madam Speaker, my question is, when is he thinking of bringing a budget proposal to this House so that we can approve for him to release the lands in the Brong Ahafo Region, and for that matter, lands which are vested in Government, and Government is not using them for that purpose for which they were acquired from the people?
Alhaji Dauda 11:40 a.m.
Madam Speaker, my Hon Colleague knows how budget is prepared and when budget is submitted to this House, and I have a difficulty appreciating his question. But what it is, is that, we will make provision for these projects in the next budget. And I hope, with his weight, he will support this proposal in the budget when the time comes.
rose
Madam Speaker 11:40 a.m.
Hon Members, I think we should move on to the next Question.
Let us have it from Hon Esther Obeng Dappah.
Yes, Madam.
Ms. Esther Obeng Dappah 11:40 a.m.
Madam
Speaker, in the Hon Minister's Answer, he stated that there are conditions attached to the release of lands. I would like to ask him, under what conditions are the lands in Accra being released; and how far has he gone in completing the release of those lands?
Alhaji Dauda 11:40 a.m.
Madam Speaker,
this question I have been called upon to answer relates to Sunyani Municipality and Brong Ahafo lands. I would be very grateful to the Chair if I would be given an opportunity to make a Statement that will cover all these areas in this House.
Madam Speaker, I thank you.
Madam Speaker 11:40 a.m.
Yes, thank you, Hon Members.
Shall we move to the next Question?
Hon Kwasi Ameyaw-Cheremeh, Member of Parliament for Sunyani East.
Mr. Ameyaw-Cheremeh 11:40 a.m.
Madam Speaker, I think this Question goes to the Ministry of --[Interruption.]
Madam Speaker 11:40 a.m.
Yes, I think I need
to discharge the Hon Minister for Lands and Natural Resources first.
Hon Minister for Lands and Natural Resources, thank you for coming to answer our Questions. Thank you.
Hon Minister for Chieftaincy and Culture, welcome.
MINISTRY OF CHIEFTAINCY AND 11:40 a.m.

CULTURE 11:40 a.m.

Minister for Chieftaincy and Culture (Mr. Alexander Asum-Ahensah) 11:40 a.m.
Madam Speaker, the Ministry of Chieftaincy and Culture which was created in May 2006, has taken up the onerous task of ensuring the codification of Lines of Succession Project which was mounted by the National House of Chiefs, is carried out to a successful conclusion.
Indeed, the twenty-one (21) draft Legislative Instruments (L.I.s) which have been processed so far by the National House of Chiefs, as a result of the Project, to be put before Parliament in respect of succession to stool/skins regarding twenty-one (21) Paramount Stools/Skins in the country is what the Project has achieved thus far.
There is no doubt at all that, once the Ministry is able to get these draft L.I.s enacted into law, those traditional areas will be rid of the succession disputes so far as those stool/skins are concerned.
What is hampering the progress of the Project to codify Lines of Succession so as to rid Ghana of chieftaincy disputes is the lack of funds or financial resources.
Regarding the Brong Ahafo Region, the Ministry through the Brong Ahafo Regional House of Chiefs has succeeded in disposing of ten (10) cases pending before the Judicial Committee of the Regional House of Chiefs. As at January last year (2009), there were fifty-five (55) cases pending before the Judicial Committee of the House. In the course of the year (2009), nine (9) new cases were listed for hearing bringing the total number to sixty-four. I am happy to say that by
January 2010, the Judicial Committee of the Brong Ahafo Regional House of Chiefs had succeeded in disposing of ten (10) out of the sixty-four (64) cases.
To address the challenges faced by the Regional House of Chiefs and the Traditional/Divisional Councils, the Ministry is working closely with the Ministry of Local Government and Rural Development to put in place arrangements under which the Regional Co-ordinating Councils, the Metropolitan, Municipal and District Assemblies will provide financial and other logistical support to these institutions in their respective areas to enable them to effectively and efficiently dispatch their duties including the adjudication of chieftaincy disputes.
It is hoped that when this arrangement becomes operational, the problem of payment of sitting allowances to members of the Judicial Committee would be solved and cases can be heard and determined regularly.
The Ministry will, however, continue to provide budgetary allocation to the National and Regional Houses of Chiefs in the exercise of their original and appellate jurisdictions among other functions. All these efforts are aimed at deepening local administration and good governance for a better Ghana.
Mr. Ameyaw-Cheremeh 11:50 a.m.
Madam Speaker, paragraph 3 of the Minister's Answer, he indicates that at the start of the year 2009, there were fifty-five chieftaincy disputes pending before the Brong Ahafo Regional House of Chiefs, the Judicial Committee. At the start of this year, there are fifty-four pending cases, and my question is, what measures is his Ministry taking to ensure that we minimize chieftaincy disputes? I want to find out from the Minister whether his Ministry has commissioned any study into the causes of chieftaincy disputes in this country.
Mr. Asum-Ahensah 11:50 a.m.
Madam Speaker, the Ministry of Chieftaincy and Culture has not instituted any official study of the chieftaincy situation, but we have the National House of Chiefs that has done this exercise. We have resourced research officers in our Ministry who are working closely with the National House of Chiefs and they have come out with solutions to such problems. The main problem of the Judicial Committees is that of funding and as I have stated in my Answer, we are working towards that.
Thank you, Madam Speaker.
Mr. Ameyaw-Cheremeh 11:50 a.m.
Madam Speaker, the Minister cites financial constraint as an impediment to resolving some of the disputes that we have on our hands. At page 80 of the NDC Manifesto, under Chieftaincy; a revered cultural institution, the NDC promised Ghanaians this:
“We will resource the Chieftaincy Secretariat as well as the National House of Chiefs to enable them to be more proactive in dealing with chieftaincy disputes and upholding the honour of the institution of Chieftaincy.”
Is the Government giving chieftaincy a priority? I want the Minister to answer.
Mr. Asum-Ahensah 11:50 a.m.
Madam Speaker, yes, the Government is giving priority to the Ministry of Chieftaincy and Culture. That is the more reason why I said we are in close collaboration with our Colleagues, especially the Minister for Local Government and Rural Development to find out ways and means by which the Regional Co-ordinating Councils may assist the houses of chiefs in their operations. So we are in the process of solving that problem.
Thank you, Madam Speaker.
Mr. Ameyaw-Cheremeh 11:50 a.m.
Madam Speaker, the Minister says that one of the ways of getting out of this financial difficulties is to get support -- financial support from the Regional Co-ordinating Councils and the District Assemblies. I want to find out from the Minister, the level or the extent of discussions that his Ministry has had with the Ministry of Local Government and Rural Development as far as this issue is concerned.
Mr. Asum-Ahensah 11:50 a.m.
Madam Speaker, we have discussed the issue as I said in my Answer; we are in the process of preparing a Cabinet memorandum which will be presented to Cabinet very soon for approval. Once that is done, the Paper will be laid before Parliament for consideration.
Prof. (Emeritus) S. K. Amoako 11:50 a.m.
Madam Speaker, on page 3, paragraph 4 of the Minister's Answer, he mentions certain institutions that will help provide financial and other logistical support for these institutions. Nowhere in the Answer did he mention the Ministry of Chieftaincy and Culture. May I know from him what role his Ministry is playing in terms of providing financial support for this Ministry to resolve the chieftaincy disputes?
Mr. Asum-Ahensah 11:50 a.m.
Madam Speaker, I said in the last paragraph of my Answer that the Ministry would, however, continue to provide budgetary allocations to the National and Regional Houses of Chiefs in the exercise of their original and appellate jurisdictions among other functions. So I am saying that the Ministry will do the best it can to support the chiefs from our meagre budgetary allocation to settle any disputes which are before them. So we will out of our budget, support the chiefs.
Mr. Ameyaw-Cheremeh 11:50 a.m.
Madam
desist from irresponsible and immoral behaviours.
Madam Speaker, permit me to allude to the sad way some of the youth in the second cycle institutions have decided to indulge in social vices in the country.
Madam Speaker, they engage in the use of hard drugs such as smoking marijuana (wee), cocaine, cannabis and others.
Madam Speaker, with unbashful heads, they engage in prostitution, armed robbery, and forgeries at the banks. They have lent their firm support to the recently discovered national canker, “sakawa”, which has ruined many of them.
Madam Speaker, our youth, without regard to decency, have adopted their own dress codes variously labelled as “Otto Pfister”, “one-arm”, “I am aware”, “show- your-underwear”, and others, too immoral to be mentioned here.
Madam Speaker, some of the youth have become very much fascinated by material wealth, and are therefore, doing everything in their power to acquire anything which attracts what they fancy.
Madam Speaker, recent media reports regarding the escapades of our youth make the reader bow down his head in shame, and it is necessary this Honourable House does something to save the unfortunate situation.
Madam Speaker, I had the rare opportunity last year to comment on the behaviour of the youth on February 14 -- Valentine's Day.
Madam Speaker, as part of our efforts as role models, we should sensitize our citizens, especially the youth to refrain from pre-marital sex, which could lead to teenage pregnancy and adversely affect the future leaders, eventually.
Madam Speaker, when this happens, we would lose those we expect to be responsible for the administration of this
Speaker, I am sure the Hon Minister is aware that it is very important for the Judicial Committees to have counsel in order that they would operate. In the light of the disputes that are before the Judicial Committees that stand unattended to, I want to know from him what his Ministry is doing to attract or motivate lawyers to join the Judicial Committees in order that the disputes will be disposed of.
Mr. Asum-Ahensah 11:50 a.m.
Madam Speaker, as you rightly said, most of the Judicial Committees do not have legal advisors. We are in the process of recruiting those who have submitted their applications but the difficulty here is that we do not get the lawyers as we want them, so the few who have brought in their applications have been taken on.
Thank you.
Madam Speaker 11:50 a.m.
Hon Members, I think one hour for Question time has passed. We have Statements and so Hon Minister, we thank you for coming.
Hon Members, I have admitted two Statements; they are in the same vein but I think the Hon Members would like to read them and then we will make our comments because one overlaps the other.
The first one is in the name of Hon Justice Joe Appiah, then the second one will come from Hon Joseph Akati Saaka.
STATEMENTS noon

Mr. Justice Joe Appiah (NPP - Ablekuma Central) noon
Madam Speaker, thank you for the opportunity to speak to the issue on the behaviour of the youth of this country in recent times.
Madam Speaker, as we are sufficiently aware, the youth are the future leaders of our beloved country, Ghana; therefore, it is incumbent on all to counsel them to
Madam Speaker noon
Yes, thank you. The next Statement follows on and it
is by Hon Joseph Akati Saaka, Member of Parliament for Bole/Bamboi Constituency, and then we can comment on both.
Celebration of Valentine's Day
Mr. Joseph Akati Saaka (NDC - Bole/Bamboi) noon
Madam Speaker, thank you for offering me this opportunity to make a Statement in this Honourable House on the celebration of Valentine's Day in Ghana.
Valentine's Day falls on the 14th of February each year, and this day will be with us in a couple of days.
The Encarta World English Dictionary defines Valentine's Day as
“14 th February, the Christian feast day of St. Valentine and the traditional day for sending romantic card or gift, especially anonymously to somebody you love”.
This day was instituted in comme- moration of the exemplary life of St. Valentine who was a Catholic Priest, who sent these cards and gifts to console and pep up distressed people.
The fact that this day commemorates no less a personality than a Saint, suggests that it was not meant to encourage
immorality.
The Encarta World English Dictionary defines a Saint as:
“Somebody honoured by a Church after death. Somebody who has been particularly holy in life and after death is declared by a Christian church to have a privileged place in Heaven. A virtuous person. A particularly good or holy person”
St. Valentine, a Catholic Priest was celibate, and from the definition of a Saint, virtuous and a holy man whose institution of valentine was well meaning and devoid of any immorality.
He intended universal friendship and love which was virtuously platonic and not promiscuous. As stated early on, his gifts and cards were sent to people who were under difficult conditions to show them love and pep them to have hope. In fact, these gifts were sent anonymously.
As a celibate, St. Valentine had no amorous intentions in his sending of cards and gifts. In fact, he was a virtuous man. Once again, Encarta World English Dictionary defines “virtuous” as:
“. . .with moral integrity. Having or showing moral goodness or righteousness. Chaste, not having sexual intercourse with anyone except a partner in marriage”.
On the true spirit of Valentine's Day, as conceived by St. Valentine, we are taught that true love is universal and transcends sex, tribe, nationality, religion and politics.
Unfortunately, this true meaning and intentions of Valentine, as conceived by St. Valentine, has been thrown to the winds by the present generation, turning the celebration of Valentine's Day into a demon of promiscuity, moral turpitude and drug abuse.
Although both young and old in our society are guilty of the abuse of this celebration, the indulgence of the youth and under-aged is particularly worrisome.
4. The electronic and pr int media, especially the radio stations which really helped to popularize the celebration of Valentine; and
5. Last but not least is parents who have the moral responsibility to guide their children to live good life by their own exemplary lifestyles.
The youth should be encouraged to patronize Valentine's Day cards just like they do patronize Christmas cards, and letter writing at Valentine which I believe will aid them in their essay writing during their examinations.
Madam Speaker, may I conclude by calling on my Hon Colleagues to be trailblazers in this crusade to educate our society, especially the youth about the true meaning of Valentine's Day. In this light, I will shudder to imagine that if a net was cast on 14th February to catch all those who abuse this well-intentioned celebration of true universal love, some of us, Hon Members of this Honourable House, may be caught in the quagmire of events.
Madam Speaker, thank you for the opportunity.
Madam Speaker noon
Yes, thank you, Hon Member. Now, there is time to comment on any or all of this.
Ms. Beatrice Bernice Boateng (NPP -- New Juaben South) 12:10 p.m.
Thank you, Madam Speaker, for this opportunity.
Madam Speaker, I want to commend my Hon Colleagues for the presentation that they have made. I believe they are all talking about the importance we should attach to the growing up youth.
Madam Speaker, I want to base my
One needs to visit our beaches, discos and some makeshift hotels on the night of 14th February and one will be met with the stark reality of the misconception of Valentine's Day by our youth. The damage to our youth during the celebration of Valentine's Day is horrendous, bringing in its wake, teenage pregnancies, teenage abortions, robberies by some youth to enable them to purchase expensive gifts for their “Valentine”.
They fail to recognize that all they need to send to their “Valentine” is a single red rose or a simple romantic letter; neither do they realize that Valentine's Day is not about sexual intercourse but the expression of true universal love which will bring peace and joy to the world.
The situation is becoming more worrisome because it looks like the celebration of Valentine's Day is gradually overtaking the celebration of Christmas. But whereas the celebration of Christmas is associated with revelation by whole family units, the celebration of Valentine's Day is associated with immorality by the youth. This difference in intentions is the bone of contention, and the reason why something must be done and done quickly to educate the youth on the true value and intentions of Valentine's Day celebration.
The youth need to be educated on the true values and meaning of Valentine's Day, and I call on this Honourable House to initiate an education campaign on the true values and intentions of Valentine's Day celebration and rope in all stakeholders. The major participants to champion this education campaign should include:
1. Centre for Civic Education;
2. The churches;
3. Ministries of Education and Women and Children Affairs;
Mr. I. K.Asiamah 12:10 p.m.
On a point of order. Mr. Speaker, my Hon Colleague just mentioned the National Youth Policy. I want to set the record straight. This country has a revised a National Youth Policy that was approved in 2008 by the past government. But indeed, in His Excellency's Address to this House last year, he did indicate that they were going to revise it to make it more pro-youth and more dynamic and that it is going to be made into law.
That is what, maybe, we should make reference to. But indeed, as for youth policy, this country has an existing National Youth Policy. That document is available; it is relevant today. So the document is there. I just want to set the record straight.
Mr. Assumeng 12:10 p.m.
Mr. Speaker, I would not want to go into that area of the National Youth Policy, otherwise, I would mention that prior to the coming of the previous government, there was a National Youth Policy; that he should know. And so, it is this same policy that I am talking about, that we should do well to enhance it to make sure that it regulates the activities of the youth.
Just as I said, there is the need for us to
establish various recreational centres for the youth. If we have places where they can gather to exchange ideas -- religious ideas, social ideas, political ideas -- we can then control their activities. I believe that spending a little more money on the youth is very important and so, I want
and to all others, we need them to also take a cue and help our children to reform.
MR. SECOND DEPUTY SPEAKER
Mr. D. T. Assumeng (NDC - Shai Osudoku) 12:10 p.m.
Mr. Speaker, I want to thank the two Hon Members who made the Statements for coming out with these very important Statements and I think that the House must commend them for coming out with such a piece.
Mr. Speaker, I am of the view that there is the need for us to consolidate the promulgation of the National Youth Policy for this country. I believe that it is very important and I want to urge the new Hon Minister for the Ministry of Youth and Sports to liaise with the National Youth Council to come up with a national youth policy that would regulate activities of the youth in this country.

to appeal to the Ministry of Finance and Economic Planning to also provide adequate funding for that purpose.

The Ministry of Finance and Economic Planning must provide adequate funding for the Ministry of Youth and Sports to also enhance the National Youth Council. Let us establish the National Youth Council firmly.

Currently, as we are talking, the National Youth Council does not have offices in most of the districts and the offices are not well-established. So if the National Youth Council is to handle the activities of the youth, then we need to enhance the activities of its personnel. Their living conditions are nothing to write home about.

If you go to their offices, they do not even have up-to-date equipment. Computers are not there and they are not even mobile. If the National Youth Council is to take responsibility for the activities of the youth of this country, then we must do well to enhance their image to make sure that they can support the activities of the youth.

Mr. Speaker, I think that these Statements are very important. Valentine Day is approaching and I am happy that we have some of the youth in the Gallery listening to this very important Statement. Let us make sure that we use the day to benefit the youth and I urge the churches and all to preach the good news on that day for the youth to know that Valentine's Day is not for anti-social or immoral activities but it is to enhance their image. The youth must know that, on that day, they should be very careful in their celebration. The issue of immorality should be done away with.

Mr. Speaker, I think that this Statement is very important and we need to come together to make sure that the activities of the youth of this country are enhanced for us to make sure that in future we have good leaders to manage the affairs of this

country.

Thank you, Mr. Speaker, for this opportunity.
Mr. Second Deputy Speaker 12:20 p.m.
Hon Asiamah, would you want to contribute?
Mr. I. K. Asiamah 12:20 p.m.
Yes.
Mr. Second Deputy Speaker 12:20 p.m.
Please,
go ahead.
Mr. Isaac K. Asiamah (NPP -
Atwima-Mponua): Mr. Speaker, thank you for the opportunity. Mr. Speaker, I think it is important for all of us to know that, whether we like it or not, as a country, our survival depends largely on how we maintain, and of course, bring up the youth of this country. Tomorrow depends on how we produce the quality human resource this country needs. This country needs a very productive youth.
Mr. Speaker, we have talked about the problems and challenges faced by the young people of this country. It is important for us as a nation to always have programmes that are of national character and that will embrace the concerns of all the youth of this country.
Mr. Speaker, sometimes it is difficult to say some of these things. But look at the National Youth Employment Programme, for example. Mr. Speaker, that is tailored to meet the needs of our youth.
But when we go out there, as we speak, some of them have been disengaged, their contracts have been terminated, and indeed, there is no hope for some youth of this country. And some of these issues, unfortunately, are taken on political lines. That is why I said that as a country, we should be much more concerned about the national interest and not to politicize
Mr. S. M. E. K Ackah 12:20 p.m.
On a point of order. Mr. Speaker, the Hon Member on the floor is trying to assert that most of these people have got their employment terminated. He must know-- and he is aware that they are employed on a contract of two years, after which they must exit. Therefore, if their two years have expired and they have been made to exit the place, it is not a matter of terminating their employment intentionally, but they are going by the contract they themselves signed.
Mr. I. K. Asiamah 12:20 p.m.
Mr. Speaker, sometimes it is unfortunate when we have parents in this House -- a Member of Parliament expresses such a genuine concern, we try to just push him aside. Mr. Speaker, my concern is that -- [Interruptions.] The programme is a transitional arrangement. That means that we engage them in transit for about two or three years and then Government finds permanent jobs for them.
Mr. Speaker, we should listen to this carefully. We engage them “transitionally”, and then Government finds -- It is not that they are going to find their own jobs; we find permanent jobs for them. Mr. Speaker, as we speak now, their appointments have been terminated and they have nothing doing again. We are talking of armed robbery and social vices; so what will they be doing in the house? This is a particular concern I am expressing, that a 25-year-old citizen of this country has been engaged, and at least, his hope has been a bit risen.
Then we terminate his or her appointment without finding an alternative arrangement for the person. What would we want that person to do? So
Mr. Second Deputy Speaker 12:20 p.m.
Hon Member, if you will proceed without belabouring the point so that we do not generate debate.
Mr. I. K. Asiamah 12:20 p.m.
So if we are talking of Valentine's Day, we are talking of vices of the youth, then as policy makers, we should be concerned about some of these decisions we take that affect the livelihood and survival of these young people. It is important we do that.
Mr. Ackah 12:20 p.m.
On a point of Order. Mr. Speaker, Hon Asiamah knows very well that the National Youth Employment Programme was started almost about eight years ago. It was started by the administration of former President Kufuor. Now, if he is talking about some people who are supposed to be engaged and given permanent jobs, for eight good years, if he can tell this House, the opportunities they gave to these people to be permanently employed before he is now talking of their appointment being terminated, I will be very happy. He should not try to at least, expatiate on certain things which they failed to do as a government.
Mr. I. K. Asiamah 12:20 p.m.
Mr. Speaker, my concern is that this is a government that promised Ghanaians employment. And what they are doing is “employment by substitution”. He claims to be father for

all Ghanaians and he assumes power and all that he does by employment generation is by substitution. He keeps some people in and he takes some people out.

Ghanaians are out and other form of Ghanaians are in; some Ghanaians are more “Ghanaians” than others. That is my concern and it does not really augur well for us as a nation. Because if it is an armed robbery case, it has no political colour; if there are prostitutions, it has no political colour. If it is about other social vices, they have no political colour and that is the more reason why I am raising this legitimate national concern that as policy-makers, we should be concerned about some of these decisions that we take. So it is important.
Mr. Second Deputy Speaker 12:20 p.m.
Hon Asiamah, we would definitely not want to generate debate over this. So if you will wind up, so that we conclude this. Because I have other business to do including receiving foreign visitors.
Mr. I. K. Asiamah 12:20 p.m.
The other issue I will touch on is this issue of being responsible. Mr. Speaker, the concern I am raising is that, yes, we talk of teenage pregnancies, we talk of drug abuse practice. My concern particularly is about teenage pregnancy.
Mr. Assumeng 12:20 p.m.
On a point of order. Mr. Speaker, we have students in the Gallery listening to us and Members of Parliament are at least, expected to speak
English Language that will be understood. So if Hon Asiamah will just get up and say like “na who cause am” in Parliament, it is unparliamentary. So, please, he must withdraw that word and apologize to the House.
Mr. Second Deputy Speaker 12:20 p.m.
Hon Asiamah, please, proceed.
Mr. I. K. Asiamah 12:30 p.m.
Mr. Speaker, who the cap fits -- [Interruptions.]
Mr. Second Deputy Speaker 12:30 p.m.
Please,
proceed and conclude.
Mr. I. K. Asiamah 12:30 p.m.
Mr. Speaker, the
issue I have been raising is that as parents, we must live more responsible lives so that our children, the younger ones, would emulate our lifestyles. That is very important for us as a country so that they will also grow up to be more responsible, because they are learning from us, our lifestyles, the things we do.
If we are smoking, we are drinking, we are chasing women and doing all sorts of social vices, definitely, the younger ones would learn from us. So it is important that we lead very responsible, worthy lives, lives that the younger ones would indeed, learn from.
Mr. Speaker, with these few words, I commend the maker of the Statement.
Mr.Second Deputy Speaker 12:30 p.m.
Any
further consideration from this side?
rose
Mr. Second Deputy Speaker 12:30 p.m.
Yes, Hon Member? And that will be the final contribution.
Mr. Ahmed Ibrahim (NDC - Tain) 12:30 p.m.
Thank you, Mr. Speaker, for the opportunity to contribute to the Statement.
Mr. Speaker, I want to contribute to the Statement concerning Valentine's Day. I
think the idea of Valentine's Day was done as a memorial for some of us. St. Valentine had good intentions for doing that and St. Valentine gave what he had.
Therefore, I would like us as Ghanaians to also look at it from that perspective. And in doing so, I would refer us to the biblical aspect of it, that is, Acts Chapter 3, Verse 2. When Peter and company were going to the temple, they met a cripple who was there waiting for them to give him donation. Because of the way they were dressed, he thought they were going to give a very big donation. And that day, Peter said, “I have no silver and gold, but what I do have I give to you.”
Therefore, as we are approaching Valentine's Day, I will urge our Leadership, I will urge our authorities, I will urge our opinion leaders, that they should give us, we the youth and the up-and-coming ones -- what they have -- the pieces of advice, the experiences and other things that they have. They should make those things available to us so that we would use them to build mother Ghana.
Mr. Speaker, I am not touching on only that. Many contributors have spoken about the immoral aspect of it and I will also like us to look at it very carefully. It is not just a speculation; it is something that is happening in our country. Every year after Valentine's Day, or after a public holiday, if one dares to visit our hotels, discos and other public places, it gives a lot of work to the workers of Zoomlion, that is the waste and sanitation management people.
They have to go with the Zoomlion tractors, they have to go with baskets, just to sweep the used contraceptives, panther condoms and other things from those places -- [Interruptions.] Mr. Speaker, what message does it tell us?
It tells us that clearly, there is immorality going on in the country. Clearly, people are misconstruing the good intentions of St. Valentine, and as I quoted, the biblical
aspect of it from which St. Valentine gave what he had. Therefore, as Ghanaians, we must also give what we have, and I do not think what we have is that immoral aspect. That is not what St. Valentine meant.
In another way too, Mr. Speaker, I will also urge our politicians to reach out to the perceived, supposed or alleged factions within our families. As Members of Parliament, too, we should also visit our constituencies to interact with our foot soldiers and to give them nothing but hope. I know, after all, if politicians have nothing, as for hope, we can give it.
We open our mouths and give some good words and that send some spirit of hope to the people. So I know we have a lot and we can do a lot. We the youth, too, we would be ready to visit the leaders and the authorities, our role models and the opinion leaders, and when we come, they should also embrace us and teach us what they have for the sake of mother Ghana.
Mr. Second Deputy Speaker 12:30 p.m.
Thank you very much, Hon. Members. That ends Statements time.
At the Commencement of Public Business -- item 5 -- Laying of Papers, Hon Minister?
Mr. A. S. K. Bagbin 12:30 p.m.
Mr. Speaker, we are at item 5 and we are expecting the Hon Minister for Finance and Economic Planning to lay the Paper which is a loan agreement. But we have asked the Hon Minister -- that is this House, led by Leadership, has asked the Minister to do something and he is in a discussion with some members of the Leadership. It is with this that I would want to seek your permission and the indulgence of my Hon Colleagues to allow his Deputy, in the person of Hon Seth Terkpeh to lay the Paper on his behalf.
Mr. Second Deputy Speaker 12:30 p.m.
Any objection?
Mr. Second Deputy Speaker 12:30 p.m.
Item 8
-- Hon Deputy Minister, you may move it.
BILLS -- SECOND READING 12:30 p.m.

Dr. A. A. Osei 12:40 p.m.
No, no objection, Mr. Speaker.
Mr. Second Deputy Speaker 12:40 p.m.
Thank you very much.
Hon Deputy Minister, you may lay the Paper.
PAPERS 12:40 p.m.

Dr. A. A. Osei 12:40 p.m.
Mr. Speaker, I want
to crave the indulgence of the Chair to include the Committee on Roads and Transport so that if there are any technical issues, it could be answered there at that time. Having read the Paper, I see some issues that might require answers from that Ministry.
Mr. Second Deputy Speaker 12:40 p.m.
Hon
Majority Leader, I think that is agreeable by you -- very well.
Referred to the Finance Committee and Roads and Transport Committee.
Item 6 -- Motion -- Chairman of the
Committee?
Mr. Bagbin 12:40 p.m.
Now, Mr. Speaker, I
want to plead with you to let us take item
Chairman of the Committee (Mr. M. A. Asaga) 12:40 p.m.
Mr. Speaker, I beg to support the motion and to present the Committee's Report.
But Mr. Speaker, before I do that, I would want to seek your permission and the indulgence of the House to amend portions of the Committee's Report. Under “Observations” we will delete paragraph three and substitute the following:
“The Committee recommends that the Ministry, in collaboration with the Ministry of Local Government and Rural Development should develop guidelines to govern disbursement and utilisation of royalties to District Assemblies and Traditional Councils.”
Having made that amendment, I would want to present your Committee's Report.
1.0 Introduction
The Minerals and Mining (Amendment) Bill, 2009 was presented to Parliament and read the first time by the Hon Minister for Finance and Economic Planning on Wednesday, 18th November, 2009. The Bill was referred to the Committee on Mines and Energy for consideration and report, pursuant to Order 188 of the Standing Orders of the House.
The Committee met with the Hon Minister for Lands and Natural Resources, officials from the Minerals Commission, MOFEP and IRS and considered the Bill.
0.2 Reference
The Committee made reference to the following documents during the deliberations:
i. The 1992 Constitution of Ghana
ii. The Standing Orders of the Parliament of Ghana
iii. The Minerals and Mining Act, 2006, Act 703.
0.3 Background
The Minerals and Mining Act, 2006, Act 703, enjoins a holder of a mining lease, restricted mining lease or small- scale mining licence to pay royalties to Government for operating such a release. The royalty payable is a percentage of the revenue obtained from the lease or licence. The percentage payable varies between 3 per cent and 6 per cent.
The rate payable is dependent on the operating ratio of a given company. Companies with an operating ratio of less than 30 per cent pay the minimum rate of 3 per cent whereas companies with an operating ratio of 70 per cent and above pay the maximum rate of 6 per cent. Others with operation ratios ranging from 30 per cent -70 per cent pay rates within the 3 per cent and 6 per cent band.
The computation of the operating ratio is, however, cumbersome and result in revenue losses in some circumstances. Government is, therefore, seeking through this Bill, to simplify the computation process by having one rate for all companies and at the same time, maximize revenue for Government.
0.4 Purpose of Bill
As indicated above, the purpose of the Bill is to cure deficiencies in the computation of royalties by IRS by applying a flat rate across board and to block revenue leakages that arise from the cumbersome computation. It is also intended to minimize disputes that emanate from the cumbersome compu- tation.
0.5 Observations
Mr. Second Deputy Speaker 12:40 p.m.
Thank you very much, Hon Chairman.
H o n M e m b e r s , p u r s u a n t t o Standing Order 127, the full debate may commence on the basis of the explanatory memorandum and Report of the Committee.
Yes, Hon Member for Navrongo Central?
Mr. J. K. Adda (NPP - Navrongo Central) 12:40 p.m.
Mr. Speaker, I rise to support the motion and I would want to take the opportunity to raise a number of issues, some of which have been touched on by my Hon Colleague, the Hon Chairman of the Committee.
Mr. Speaker, it is, indeed, the wish
of all Ghanaians that we maximise the revenue arising out of the exploitation of our natural resources for the improvement of our development programmes within the country. But Mr. Speaker, I think there are some serious shortcomings that this House will have to take up and ensure that the Executive arm of government
to know whether this increase is justified.
That is to say whether what is going on at the district level has been utilised judiciously or whether there is the need to increase or reduce that. So, in this case, I would say we are simply shooting in the dark. But on the principle of improving or trying to maximise the revenues that we should get from our natural resources, I do support the motion.
Mr. Speaker, there is another aspect of the mining operation that comes up when we seek to amend this law. Mr. Speaker, there is what we call the Stability Agreements, that have been signed by some of the mining companies with Government. And some of those agreements have aspects of them that seem to conflict a bit with what we have, coming out of this amendment.
Indeed, some of the stability agreements have stated certain periods within which we should not be adjusting the royalty figures. I think in the case of Anglo-Gold, it is 15 years within which we cannot vary these figures. Now, what sort of consultation has gone on between the Executive and these mining companies should be a matter of concern to us. Therefore, it is unclear how these agreements will be implemented.
I think the signal that we could be sending out that may not be positive in this particular case is that, the mining companies may see us as going against the agreements that we have signed for them.
Mr. Speaker, with your permission, if I may just read for the sake of my Hon Colleagues, one aspect of the Stability Agreements. And this is the one that Anglo-Gold Limited has signed with the Government of Ghana. And Mr. Speaker, it reads:
“The Government hereby agrees that neither Ashanti nor any of its Ghanaian subsidiaries shall, for the period of fifteen years, commencing at the
takes some immediate action on these matters. Mr. Speaker, indeed, if we had done this very well, we would have been in a position today to know the implications of the increase to the five per cent in terms of whether we will be getting more revenue or we will be losing in the area of competition.
Mr. Speaker, the Bill was passed in
2009 -- I am talking about the Minerals and Mining Act. From that time till now, we have not been able to issue the Legislative Instrument (L.I.) covering this law. If we have been able to do that, it would have been clear to us today as to how we utilise these funds. Mr. Speaker, an example of lack of clarity in terms of how these resources are utilised is the way that the District Assemblies utilise resources coming out of the royalties that we are seeking to adjust at this point in time.
There are no guidelines which should have come out of the L.I. Therefore, what we are experiencing is that the District Assemblies get their portion of the royalties and utilise them in a manner that we are not so sure improves the development aspect of the districts that they superintend over. Indeed, through these funds, our internally generated funds and some of these funds are utilised just to buy fuel and support other operational needs, when indeed, these funds should be going into serious development programmes that will improve the lives of the citizenry of those districts.
I think we have an obligation and indeed, the Executive arm of government should be charged immediately to bring before this House the Legislative Instrument to clearly specify the guidelines under which the District Assemblies should be utilising these funds. Without that, Mr. Speaker, I really do not think that we are in a position
Mr. Emmanuel Kwasi Bandua (NDC - Biakoye) 12:50 p.m.
Thank you, Mr. Speaker, for the opportunity to support the motion. But in doing so, I want to touch on a few comments.
If you take the Committee's Report, on page 3, the last but one paragraph, the Committee states that there is the need to review Act 703 to be in line with the ECOWAS Protocol that seeks to harmonize policies and laws on natural
resource governance.
I believe that the reason should go beyond that because currently, the current law which we have just quoted has several gaps in it that makes the operations of these mining companies very flexible to the extent that, in fact, there is extensive exploitation of the minerals. The rivers are polluted because of the discharge of various materials -- chemicals and particularly cyanide into these river bodies that lead to the pollution of the water bodies.
In addition to these, we realised also that, in most areas, the inhabitants are maltreated by the mining companies because of the clout they have over them. I will urge that the Government to ensure that we take the necessary measures to stem the spillage of cyanide into these rivers so that this hazardous metals do not get in to create health hazard for the people who live in these communities.
I also wish to pray that the Government will ensure that the communities that live in these areas where mining takes place are protected so that they are not treated as if they are second fate human beings.
Indeed, we depend a lot on them because they have made several sacrifices and to worsen their plight by allowing them to suffer from the operations of these mining companies is not the best. These are a few things I want to observe, and I believe that if these things are done, the mining companies and the inhabitants there will live in peace and they would be able to co-operate and work as a team so that the whole country will benefit from the proceeds of the mining activities that occur in these areas.
Thank you for the opportunity.
Mr. Second Deputy Speaker 12:50 p.m.
Thank
you Hon Member, particularly for your brevity.
Mr. Clement Kofi Humado (NDC
- Anlo): Thank you, Mr. Speaker, for allowing me to contribute to the motion on the floor. Indeed, mineral taxation is responsible for at least, 40 per cent of our export revenues, and therefore, any attempt to review the law should take several issues into consideration, the bottom of which should be a win-win situation for Government, a win situation for communities and a win situation for companies.
We are told in the Report that the reason we are shifting from a profit-base royalty estimation to an ad valorem is because of the difficulty in calculating the profit. Several issues are also involved in that. The difficulty in ascertaining transfers pricing, the difficulty in our determining the administrative costs because all these can be subject to manipulation.
While I support the shift from a profit base model to an ad valorem model, I wish to suggest very strongly to the Ministry of Finance and Economic Planning that they should monitor the revenues that will accrue very, very closely. This is because the minerals market can be very volatile and right now, the price of gold for example, is very high, it is above US$1,000 per ounce but nobody knows what will happen tomorrow. It is, therefore, my view that the implementation of the present Bill, if passed into law, should be carefully monitored by the Ministry of Finance and Economic Planning in order to ensure that the motive for introducing the law is really achieved.
Now, I want to also comment on the use of royalties, particularly by the District Assemblies. It is not only the District Assemblies that we should touch on, but also our traditional authorities who also receive part of these mineral royalties. It is my view that the traditional authorities
Mr. Speaker, I quote 12:50 p.m.
“Mr. Speaker, as part of commitment to use the mining indus t ry as a catalyst for development, Government has decided to increase the minerals royalties from 3 to 5 per cent.”
I believe that, what we are doing today, we are consummating the intention which was conveyed in the Budget Statement of 2008, recognizing that not enough was received from it.
In relation to the issue which was raised by the Hon Ranking Member, I am happy to inform him that Cabinet requested the Hon Minister for Lands and Natural Resources and the Minister for Environment, Science and Technology to do a critical examination of the Minerals and Mining Act 703 and to make appropriate recommendations to Government to consider. But it is also important for us to recognize that there already exists the Minerals Development Fund which government will streamline its utilization not just with the District Assemblies but also to involve traditional rulers and the authorities.
So I believe that, Mr. Speaker, Hon Members should vote massively for this and it will lead to enhance Government revenue and Government will be able to undertake some development projects.
One of the major challenges today is the extent to which mining companies are responding to the destruction of the environment. And I believe that the
Environmental Protection Agency (EPA) is up and doing in that respect.
With these few comments. Mr. Speaker, I associate myself with the motion.
Mr. Second Deputy Speaker 1 p.m.
Hon Minister.

Minister for Lands and Mineral

Resources (Alhaji Collins Dauda): Mr. Speaker, I also rise to support the motion and in doing so Mr. Speaker, I just want to respond to some of the issues raised by my Colleague the Ranking Member, particularly with regard to the aspect of the royalties that go to the District Assemblies.

Mr. Speaker, if one looks at the disbursement of royalties, under article 267 (6 ) of the Constitution it makes it abundantly clear that the 55 per cent that goes to the District Assembly is intended for development purpose. The disbursement is as follows: 25 per cent to the stools; 20 per cent to the traditional authorities and 55 per cent to the District Assembly. It makes it abundantly clear that because the District Assemblies are seen as instruments of development or agents of development, that is why 55 per cent is allocated to them.

Therefore, if a royalty is not utilized for the development of any particular district or Municipal Assembly, I think it is just fair that we raise concerns and therefore, the concerns being raised in that regard are legitimate and must be supported.

Mr. Speaker, what is being done by the Ministry of Lands and Natural Resources is that, in view of the fact that most people do not even know that royalties are sent to the Assemblies, it becomes very difficult holding people accountable for this revenue. What we are

doing is that, from now on, we are going to publish in our daily newspapers, the amount of royalties sent to all District and Municipal Assemblies so that, it becomes public knowledge. That way, we can hold people who are in fact responsible for the utilization of these royalties.

Besides that, in collaboration with the Ministry of Local Government and Rural Development, we are providing guidelines, according to which these royalties would be assessed by the Municipal and District Assemblies. Mr. Speaker, it is easy to monitor the utilization of the resources when it is targeted to particular projects.

If for instance, my District Assembly is assessing the royalties from the Administrator of Stool Lands and we ask which projects the royalty is going to be used for and the District Assembly indicates it is going to use the money for the construction of a school in town A, it makes it easier for us to follow up and monitor the utilization of these royalties. I believe that when this is done, we would ensure not only transparency but also mutual accountability in the utilization of royalties.

Mr. Speaker, the second issue of Legislative Instruments that are delayed is also legitimate. Mr. Speaker, Legislative Instruments give effect to the main Act. We have the Act but the Instruments that should follow up has not come as of today. But I am happy to announce that we have several of these Instruments particularly, on local content. We have a Legislative Instrument on health and safety; also on mines. Support services and the use of explosives in the mining industry which are currently before the Hon Minister for Justice and Attorney-General.

We hope very soon these Instruments would come out and with the support that I have seen in the House, in respect of this Legislative Instrument, I believe and

will also be made accountable to their communities in the expenditure of these mineral royalties.

For the future, we need probably, after a year, the Ministry of Finance and Economic Planning should let us know how far this law, if passed, is resulting into increased revenues for the State, so that if there is any reason for a review, we would be able to know. I am raising these because I know that the market is very volatile and anything can happen in the course of the year.

With these few comments, Mr. Speaker, I also support the motion.
Mr. Second Deputy Speaker 1 p.m.
Hon Minister for Communications, I will grant you the final contribution and if you may please, be very brief.
Minister for Communications (Mr. Haruna Iddrisu) 1 p.m.
Thank you very much, Mr. Speaker, for the opportunity to associate myself with the motion for the adoption of the Report of the Committee on Mines and Energy on the Minerals and Mining (Amendment) Bill. And in doing so, Mr. Speaker, to urge Hon Members to support this amendment.
We have operated under the existing legislation, which was subsequently reviewed resulting in Act 703. And consistently, the mining companies, even though the threshold was between 3 and 6 per cent, even higher in the earlier legislation, which was amended, if you look at their account, they all stay within the 3 per cent for good revenue.
I believe that if we adopt the Report of the Committee and proceed, it will necessarily result in enhanced revenue for Government I am reliably informed that from the statistics of the Internal Revenue Service (IRS), for the 2009 year GH¢90
Prof. D. K. Fobih (NPP -- Assin South) 1 p.m.
Mr. Speaker, I would like to associate myself with this Amendment Bill before the House.
In the first place, the Bill seeks to amend the royalty rate to 6 per cent but in the Act itself, it does not prescribe a fixed rate, it provides a range, 3 to 6 per cent. So I believe it is possible at any point in time, to negotiate to raise the rate to 6 per cent. The only proviso is that, there must be consensus between the Government and the companies so that goodwill is maintained.
I have no problem with that. However, as the Hon Member who previously spoke just said, the Stability Agreement was initiated based on the conditions at the time in the mining industry and also the need to attract heavy investment in the mining sector at the time and everybody would agree that we were able to raise the returns from mining to government chest -- quite a lot of money by that means.
So we were able to attract these companies like Newmont, Anglo-Gold Ashanti and the other companies. It reinvested more money to their already invested companies. But what is at stake now is, perhaps, what the Hon Minister for Finance and Economic Planning and the Minister for Lands and Natural Resources said, that is the Stability Law is still in force because the Act has come into being and this suggestion to alter, even the larger companies which qualify for the Stability Agreement component of the law, are going to be affected by this amendment before us.
I believe that, one would have expected that there should have been lots of discussions and consensus building on that score before the amendment is done, so
they are under nourished in terms of funding.
Mr. Second Deputy Speaker 1:10 p.m.
Hon Member, you have to be winding up.
Prof. Fobih 1:10 p.m.
Mr. Speaker, these are
areas that I would like attention to be given to.
Mr. Speaker, furthermore, the District Assemblies have also not been doing very well. The royalties that are paid to them, I think it has been commented that they are not using them well for the interest of the communities and so on.
But Mr. Speaker, it is a very intricate matter. Some of these moneys go to chiefs, and some of these chiefs cannot be held accountable in their traditional areas. So, those moneys have their way of being used, and sometimes, it creates a lot of problems there.
The District Assemblies also have the same problems that have been raised, so I would not repeat that. But then in addition to that, the District Assemblies also get property rate, as you are saying, and if you take a place like Tarkwa, where we have several mining companies operating, if you add up the property rate from the mining companies in particular to what is coming from royalties to the Assembly, then the Assembly should be doing a little more than what it is doing at the moment. But it is not reflected in its performance, especially, in the mining communities, where it bears the brunt of mining operations.
These are areas that I think the sector Minister and Government as a whole, should be looking into to also improve the lot of the mining communities and also ensure that the agencies and departments that are responsible for ensuring that fairness is done to the communities where
that there would be goodwill and it would not suggest in the international market as if Ghana Government says one thing today in the mining sector and tomorrow, it is a different thing all together especially when there is a change of government and this is coming forth.
So this is what I think that the Government should look into very closely and handle it tactfully so that it does not smear any bad blood between Government and the investment sector.
Secondly, we have this Minerals Development Fund but the problem with it is that, there should be some mechanism to ensure a regular flow into the fund so that the purpose for which that Fund was set up could be fulfilled. This is an important aspect that should be looked into, if really, we want to reinforce the kind of social responsibilities that governments and the companies also do to their communities.
One expects that the hen that lays the eggs would also be considered when we are thinking of increased inflow of revenue in the mining sector.
We have the Geological Survey
Department (GSD), and we have the Minerals Commission. When we are preparing the Budget, a greater part of their source of funding should come from this Minerals Development Fund. Yes, sometimes, the royalties are behind time and even if they are paid, they are not very certain how the disbursement is properly done.
So, if we continue, even in spite of this 6 per cent high up that we are talking about, not to look at those details, those intrigues, we will still be in a situation where further exploration work that the GSD should be doing to really reinforce the mining sector, cannot be done because
Mr. Second Deputy Speaker 1:10 p.m.
Thank
you very much, Hon Member.
Hon Deputy Minister, do you have a concluding remark or two to make?
Mr. Seth Terkpeh 1:10 p.m.
Mr. Speaker,
certainly, just a couple of remarks. I wish to take advantage and thank Hon Members for their contributions.
In the first place, I would like to say that, as a matter of principle, successive governments have always respected agreements, and the attitude has been one of engagement rather than abrogating these agreements.
As the Hon Minister indicated, we have had instances where we have had Ghana Investment Promotion Council (GIPC) --We have had agreements that were in force before the VAT and the others, and most of these have usually been respected.
Mr. Speaker, secondly, I would also like to stress that in evaluating the competitiveness or otherwise of the royalty proposals before the House, as we indicated at the Committee, we should take a view of the entire fiscal or tax regime that these companies benefit from. Indeed, several studies have indicated that Ghana has very liberal, sometimes, if not over liberal, minerals regime in particular.
Therefore, when you take the totality of corporate income taxes, tax holidays, capital allowances and others which these companies actually enjoy from, then you would realize that we do, indeed, have a competitive regime that has stood the test of time, both when there has been a downside of the prices of minerals as well as the upside as has been happening
quite recently.
Mr. Speaker, finally, I just want to
indicate that, at the appropriate time, particularly, during budget hearing, before the Finance Committee, we do present the assumptions and the performance of various revenue categories, and we will accordingly account to the House through the Finance Committee.
Question put and motion agreed to.
The Minerals and Mining (Amendment)
Bill, 2009 was accordingly read a Second time.
Mr. Second Deputy Speaker 1:10 p.m.
Hon
Majority Leader, any indications at this stage?
Mr. A. S. K. Bagbin 1:10 p.m.
Mr. Speaker, the
Committee is not ready with the Report on item 6 and the consequent item 7 which is the Resolution, and has indicated that they will be ready by tomorrow. So, with your kind permission, I want to request that we defer items 6 and 7 to tomorrow and plead with my Hon Colleagues to let us try to grant audience to the Speaker of the ECOWAS Parliament, who would want to have a word with us.
Mr. Speaker, in the absence of any other matter, I would want to move, that this House do adjourn till tomorrow 10.00 a.m. when we shall meet to continue to deliberate on the business of the nation.
Mr. Speaker, I beg to move.
Dr. A.A. Osei 1:10 p.m.
Mr. Speaker, before
I second the motion, I just want to urge the Committee on Energy that because the agreement that is being stood down now is so important, all Hon Members of this House must get copies, so that we can have adequate time to interrogate it properly. If they bring it tomorrow and they want us to vote, it is going to be very difficult. Mr. Speaker, you are aware that these days people worry about agreements on energy
ADJOURNMENT 1:10 p.m.