Understanding the Legal Landscape of Mining in Nigeria
The Minister of Solid Minerals Development, Dele Alake, clarified a significant legal aspect of mining activities in the country. During the 2nd pre-press briefing on the 8th annual Nigeria Mining Week in Abuja, the minister addressed the issue of some Nigerian states attempting to ban mining activities through executive orders.
Mr. Alake emphasized that no state government possesses the constitutional authority to prohibit mining operations within its borders. According to him, mining activities fall under the exclusive legislative list of the federal government, making it a matter of federal jurisdiction.
The minister explained that every item on the exclusive legislative list belongs to the federal government, and mining is no exception. In contrast, items on the residual list belong to the states, and those on the concurrent list belong to both federal and state authorities.
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He underlined that his ministry is not against states engaging in mining activities. However, they must adhere to due processes and obtain the necessary licenses, just as any company or individual would. This can be done by establishing a Special Purpose Vehicle (SPV) and applying for a mining license through the Ministry of Solid Minerals.
The involvement of local or host communities is also crucial in the regulatory framework of mining operations. The federal government engages with these communities and encourages states to do the same when they venture into mining.
Mr. Alake acknowledged that the federal government is keen on avoiding confrontations and disruptions in the mining sector, leading to various legal violations. To address this issue, he has reached out to state executives, and the Governors’ Forum chairman, and plans to educate the National Economic Council (NEC) about the constitutional limits on state authority in regulating mining.
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