Increase transparency, accountability and equitability (GHTNS0001)

Commitment ID

GHTNS0001

Commitment Title

Increase transparency, accountability and equitability in the application of mineral resources

Problem

Tarkwa-Nsuaem Municipality aside agriculture, is well-known for mining of mineral resources such as gold and manganese. Due to the mining activities, the municipality benefits from the Minerals Development Fund (MDF) established under the Act of Parliament, Minerals Development Fund, Act 912 (2016). The application of the fund is to provide financial resources for the benefit of communities affected by mining operations and for related matters to ensure improvement in the standard of living of citizens within Mining Communities. However, inhabitants of communities directly affected by the mining operations are dissatisfied with the application of the MDF, agitating that the assembly concentrates only on resolving the developmental challenges of non-mining communities. Other communities that are indirectly affected by the operations of the mines due to haulage of heavy mining equipment and materials are also deprived. The constant haulage affects the condition of roads in these communities resulting in accumulation of dust on farms and properties, affecting the overall health of the citizens, with no compensation paid. However, about 70% of citizens engaged during the co-creation process, including some notable personalities, have no knowledge of the existence of the fund, whilst about 80% lacked an understanding of the fund and its application. Most citizens are also not aware of infrastructural projects constructed in their communities using funds from mineral resources.

Status quo

The Tarkwa-Nsuaem Municipal Assembly consists of 438 communities of which 10 percent are mining catchment communities. The municipality is bedeviled with numerous developmental challenges ranging from social, economic, infrastructure to governance. Meanwhile, resources available to address these challenges including the MDF are limited. Major mining companies in the municipality, i.e., Gold Fields Ghana Limited, AngloGold Ashanti Iduapriem Mine and Ghana Manganese Company Limited concentrate mostly on their operational communities in the implementation of their Corporate Social Responsibilities (CSR). Prioritized needs of the operational communities are addressed through the mining companies’ CSR especially in the areas of social amenities to enhance their living standards hence the impact of the Assembly is minimal. Inhabitants of communities that are not directly affected by mining are deprived of benefits from the CSR. To avoid duplication of efforts, the Assembly channels the greater part of the MDF to development of non-catchment communities. Again, education and sensitization carried out to bring citizens up to speed on the application and use of the MDF are minimal.

Action

It is planned to develop a page on the Assembly’s website to enhance transparency and accountability by incorporating all information on projects funded from mineral resources including those by the mining companies to boost access to information.

The Assembly envisions equitable distribution of the MDF by ensuring that 80 percent of mining catchment communities benefit from the fund in the composite budget allocations each year.

Also, mining companies will be engaged to negotiate for an expansion of CSR to include communities that are not within their operational zones but are indirectly affected by mining activities.

Citizens, groups and stakeholders will be empowered through education and training on the application of the mineral development fund, legal frameworks and mining regulations for transparency and accountability.

How will the commitment contribute to solving the public problem described above?

The commitment will contribute to meeting the needs identified through:

1. An informed citizen/community with understanding on the application and benefits of mineral resources for accountability and transparency.
2. Empowered citizens with requisite knowledge and skills for improved living conditions.
3. Expanded social interventions to include all 438 communities in the municipality for collective economic growth.
4. Improved recognition and reputation of the Assembly through socially empowered citizens.

What long-term goal as identified in your Open Government Strategy does this commitment relate to?

The Commitments relate to the National Policy Framework i.e., the Agenda for Jobs which is the long-term Open Government strategy for Ghana, and the Sustainable Development Goals (SDGs) for which the Assembly is aligned. Specific teams include the following: Leverage the presence of mineral resources to finance rail infrastructure (SDG Target 11.2) Ensure effective sharing of mineral revenue for the development of mining communities (SDG Targets 16.5, 16.6) Promote effective stakeholder involvement in the development planning process, local democracy, and accountability (SDG Target 16.7) Build capacity of key stakeholders, such as traditional authorities, civil society groups, private sector and NGOs in development dialogue (SDG Targets 16.7, 17.17) Strengthen systems and structures for ensuring transparency and accountability in the management of public funds (SDG Targets 16.5, 16.6, 16. a)

Primary Policy Area

Regulatory Governance, Social Accountability

Primary Sector

Environment & Climate, Extractive Industries

What OGP value is this commitment relevant to?