Amendments make mining foreign-investment-friendly in NMTDs

K-P mining minister says penalties for Illegal mining set to go up

PESHAWAR: To make the mining and minerals sector in the province — particularly in the newly-merged tribal districts (NMTDs) — friendly towards foreign investment, the government has approved amendments to the mining law.

Mines and Mineral Minister Dr Amjad Ali said that the amended Khyber-Pakhtunkhwa Mineral Sector Governance (Amendment) Act 2019, has been formulated to facilitate investors in the mining sector of the province, as it is one of the key sectors where K-P can provide a boost to the economy.

Moreover, Dr Ali added that under the new amended act, the mineral titleholder and local or foreign investors will be able to work under a joint venture in the sector.

The minister further said that the amended law also focuses on the eradication of illegal mining practices in the province. For this purpose, penalties have been increased.

He said that the government reforms agenda in the mining sector will further enhance the revenue of the department.

The act also stresses on the conservation of marble and granite deposits through the phase-wise switching from blasting to mechanised mining. Moreover, the amendments deem illegal mining as cognizable and non-bailable offences with enhanced prison terms from three to five years along with fines.

Under the amended law, an Appellate Tribunal will be established for the timely and effective disposal of appeals. The tribunal will consist of a chairman and other members which will hear appeals against orders of the licencing authority concerning large and small scale mining, and minor minerals.

The new amendment defines mining operation procedures and awards for mineral titles for the newly merged tribal districts. The amended draft further says that in the grant of the titles in NMTDs, priority will be given to the local community.

Furthermore, Dr Ali said that a mineral titleholder in these areas can also be nominated by the local community. A dispute resolution committee will be formed to address the mineral sector issues of the area.

The Mineral Sector Governance (Amendment) Act, 2019 will also introduce E-bidding in the minor minerals sector.

Published in The Express Tribune, October 24^th, 2019.