The Federal Government has issued a stern warning to states and local governments, urging them to refrain from collecting royalties and taxes from licensed miners operating within their jurisdictions.
According to The PUNCH, the Minister of Solid Minerals Development, Dele Alake, delivered this cautionary message during a meeting held in Kaduna.
During the meeting, Alake highlighted that miners and operators currently owe the Federal Government a staggering sum of over N2tn.
He emphasized the importance of these outstanding debts being settled promptly and called upon the miners and operators to fulfill their financial obligations.
Representing the Minister, Kutman Ali, the acting Zonal Mines Officer of the North-West Zonal Office, conveyed the message to the members of the Licensed Minerals Holders and Laterite/Sand Operators Dealers present at the gathering.
Alake, represented by the acting Zonal Mines Officer, North-West Zonal Office, Kutman Ali, met on Thursday with members of the Licensed Minerals Holders, Laterite/Sand Operators Dealers in Kaduna.
While explaining that the purpose of the meeting was to unveil the ministry’s plan for miners and operators for 2024, the minister said in Kaduna alone, miners and operators owed the Federal Government “over N300bn.”
“We have made it very clear that in Kaduna State, every operator should make a bold step and clear their debt,” Alake said.
He stressed that operators must monthly pay royalties and taxes to the Federal Government, adding that royalties and taxes were the exclusive preserve of the Federal Government.
He said, “Let me clarify it, state government and local government are entitled to collect other taxes, such as ground rent and other taxes, but they are not to collect royalty and tax on mining.
“Any state government or any local government that collects money in the name of royalty or mineral tax will have it deducted from their federal allocation.”
