DATABASE

State announces overhaul of online mineral register

KNCCI says the mining sector's contribution to Kenya's GDP is currently at 1.4 percent.

In Summary
  • The process, he noted, has been remarkable with the online cadastre having received over a thousand applications.
  • Out of this, some 254 have already been processed.
KNCCI chairman Erick Ruto (second right) with Mining Principal Secretary Elijah Mwangi and other participants during the inaugural KNCCI mining stakeholders forum in Nairobi on January 30, 2024.
KNCCI chairman Erick Ruto (second right) with Mining Principal Secretary Elijah Mwangi and other participants during the inaugural KNCCI mining stakeholders forum in Nairobi on January 30, 2024.
Image: LEAH MUKAKANGAI

The government is undertaking a comprehensive overhaul of the online mineral cadaster in a significant move aimed at streamlining the industry.

Mining Principal Secretary Elijah Mwangi said Tuesday that the move is aimed at capturing the details of all those in the mining business while enhancing efficiency and transparency.

Speaking at the inaugural mining forum organized by the Kenya National Chamber of Commerce and Industry (KNCCI), Mwangi said the licensing process was reopened in October and is currently ongoing.

"We are encouraging responsible mining practices, attract investment, and ensure that the mineral sector operates within a regulated framework," he said.

The process, he noted, has been remarkable with the online cadastre having received over a thousand applications.

Out of this, some 254 have already been processed.

"As part of the ongoing process we have issued six licences and we plan to issue another batch of six next week," said the PS.

Mwangi at the same time pointed out that they have reviewed the licensing regulations to ensure that those in the business adhere to the laid down rules.

Categories of licenses issued include that of trading, processing and mining.

In a bid to tame illegal mining activities, the government according to PS has hired 357 additional technical officers to help in enforcement and compliance across the counties.

Additionally, they have gazetted an additional 22 licensing committees at the counties to help in the licensing process.

KNCCI President Erick Rutto, CEO Patrick Nyangweso, Governors Cecily Mbarire (Embu) and his Baringo counterpart Benjamin Cheboi and KenInvest CEO June Chepkemei among other leaders were present during the event.

Embu Governor Cecily Mbarire with KNCCI vice president Mustafa Ramadhan during the KNCCI inaugural meeting in Nairobi on January 30, 2024.
Embu Governor Cecily Mbarire with KNCCI vice president Mustafa Ramadhan during the KNCCI inaugural meeting in Nairobi on January 30, 2024.
Image: LEAH MUKANGAI

Nyangweso noted that the mining sector's contribution to Kenya's GDP is currently at 1.4 per cent.

He said with strategic investments, technological advancements, and robust policy reforms, we are on a path to significantly elevate this figure.

"Mining is not just an industry; it is a lifeline for thousands. With direct employment standing at 10,000 people and indirect employment far exceeding this number, our sector is a cornerstone of community development and a catalyst for poverty alleviation," he said.

Rutto on his part noted that the private sector plays an indispensable role in shaping the future of the mining sector.

He vowed to leverage his position to advocate for policies that support the growth of the mining sector, enhance regional cooperation, and ensure that the wealth generated from the minerals brings prosperity to all corners of the Great Lakes region.

On her part, Mbarire urged the national government to involve the counties in the management of the resource.

The counties, she noted, will in the next financial year receive their share of the royalties from the national government.

Chepkemei said they are working with the counties to ensure they open up opportunities for investors.

"We are working with the investors to interpret the policy and regulatory space so that they can make credible data to make investment decisions. No single investor should live in isolation," she said.

She pointed out the government's goal to elevate the mining sector's GDP contribution from 0.9 per cent to 10 per cent noting the vast untapped mineral resources across Kenya.

Deputy High Commissioner Permanent Representative (UNEP and UN Habitat) from the Zambia High Commission Alfred Musemuna who was also present articulated Zambia's keen interest in promoting Foreign Direct Investment (FDI) in the mining sector.

Micro and Small Enterprises Authority (MSEA)chair James Mureu, discussed the ministry's focus on supporting MSMEs in the sector through various initiatives, including access to mining rights, risk management, shared infrastructure, and capacity building.

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