Mining Operations Council of Ministers Regulation No. 423-2018

PART SEVEN MISCELLANEOUS PROVISIONS

52.Shortening or Extension of time and Variation   of Production Program

1/ Notwithstanding some provisions of this Regulation, the Licensing Authority may, for good cause without jeopardizing the rights of a licensee or negatively affecting his ability to perform the duties and obligations specified under the license or the Proclamation, shorten or extend periods specified within this Regulation to execute certain activities.

 

2/ Without prejudice to sub-article (1) of this Article, any licensee by demonstrating the events that prevent him from carrying out the approved work program, may apply for an extension of a license period; where the Licensing Authority satisfied with the adequacy of the reason provided, may grant extension of license period; if it rejects the request for an extension it shall notify same in writing within 30 days by stating the reason for refusal.

 

3/ The Licensing Authority if ascertains with concrete evidence the improvement of global situation with regard to market conditions, economic factors and technology, it may require the licensee to improve the development and production program approved pursuant to Article 11 of this Regulation; provided, however, that such variation shall not jeopardize a licensee to perform his duties and obligations specified under the license or the Proclamation.

53.Extending or Shortening the Period to Commence Mining

 

Without prejudice to the provision of Article 30 of the Proclamation, the Licensing Authority may extend or shorten the two years period to commence the small or large scale mining based on the following criteria:

 

1/ extension of period where:

  1. a) the mining  is carried out by digging from the primary deposit by under-ground mining method;
  2. b) it is difficult to mine, because of the complex nature of the mineral; or

 

  1. c) the mineral requires special procedure and passes through different methods to mine.

 

 

2/ shortening of period where:

  1. a) the primary mineral is extracted by simple open-pit method;

 

  1. b) the mining is from placer minerals;

 

  1. c) the nature of the mineral is simple for mining; or

 

  1. d) the method of mining of the mineral do not pass through different procedure.

 

  1. Government Assistance

1/ Pursuant to Article 77(1) of the Proclamation, the Licensing Authority may, where it deems appropriate, provide assistance for small and micro enterprises engaged in precious and semi-precious minerals operation by  holding an artisanal mining license in the following manner:

 

  1. a) identify and delimit mineral deposits for mining operations only to be undertaken by artisanal miners;

 

 

  1. b) provide technical and administrative assistance and training;

 

 

  1. c) assist in obtaining financial support and loan for such operations;

 

  1. d) assist in the voluntary formation and the functioning of small and micro enterprises producers;

 

  1. e) advise on the treatment, transportation, storage and marketing of minerals produced by such licensees;

 

 

  1. f) provide assistance to those who have been engaged in operation of precious and semi-precious minerals by holding an artisanal morning license, if the licensee are adequately prepared to transform to the stage of special small scale mining;
  2. g) provide assistance for the licensees engaged in adding value on precious minerals and supply them for market.

2/ The Licensing Authority shall, as appropriate, by assessing the socio-economic interest of the country, facilitate conditions necessary for creation of work relationship, experience sharing, training and other supports for an exploration and small scale mining license holders to obtain finance, acquire an improved technology through bilateral agreements with governmental and non-governmental organization.

 

55.Mining Operations Advisory Council

1/ Pursuant to sub-article (2) of Article 55 of the Proclamation, to advise the Ministry, the Mining Operations Advisory Council (hereinafter the “Council”) is hereby established.

2/ The Council shall have Chairperson and members drown from the following organs by the Minister and be assigned by the Government:

  1. a) Ministry, regional mining bureau or agency;
  2. b) the concerned environmental protection organs of federal government or regional states;
  3. c) Ministry of Trade,
  4. d) Ministry of Finance and Economic Cooperation;
  5. e) Ministry of Industry,
  6. f) Ethiopian Revenue and Custom Authority;
  7. g) domestic investor playing significant role in the mining sector;
  8. h) non-governmental organizations;
  9. i) professional associations related with mining operations; and
  10. j) members from other appropriate organs when ever necessary.

 

 

3/ The Council shall have the powers and responsibilities to:

  1. a) provide advise to the Ministry on amendment of policies and laws on how to make the countries’ mining sector competitive in respect of the contemporary international mining industries standards, thereby increasing the role of investors in the mining sector by creating an enabling environment and ensuring the national interest of the country in sustainable manner;
  2. b) render advise to the Ministry on how to settle disputes arising around the mining areas with the local community and administrative organ at each level in relation to mining operations.

 

4/ Meeting of the Council:

  1. a) the Council shall have a regular meeting twice a year, provided, however, the Chairperson may at any time call an extra-ordinary meeting whenever necessary;

 

  1. b) there shall be quorum where more than half of the members are present at a meeting;

 

  1. c) recommendations of the Council shall be passed by a majority vote; in case of ties, the Chairperson shall have casting vote;
  2. d) without prejudice to the provisions of this sub-article the Council may adopt its own meeting rules of procedures.

 

5/ The term of members of the Council shall be five years; provided, however, a member may serve for second terms if recommended by the Minister and re-assigned by the Government.

 

 

6/ Government may remove member of the Council at any time on any ground and substitute or member of the Council may resign voluntarily or for any reason.

 

7/ The Council shall be accountable to the Prime Minister.

 

  1. Powers and Duties of the Inspectors

1/ The Licensing Authority shall assign inspectors to inspect the technical and administrative aspects of mining operations.

 

2/ The inspectors assigned pursuant to sub-article (1) of this Article shall show their identification cards and special identification cards pertaining to their inspection duties issued by the Licensing Authority as they inspect operation.

 

3/ Inspectors shall inspect business establishments at government official working hours.

 

4/ Notwithstanding  sub-article (2) of this Article, inspectors conduct inspection during out of official working hours shall possess a letter issued by the Licensing Authority for such purpose.

 

5/ The other officials of the Licensing Authority may carry out necessary inspection activities when special delegation is given to them by the Licensing Authority.

 

  1. Repealed Laws

The Council of Ministers Mining Operations Regulation No. 182/1994 is hereby repealed and replaced by this Regulation.

58.Effective Date

This Regulation shall enter in to force on the date of its publication in the Federal Negarit Gazeta

 

 

Done at Addis Ababa this 24th   Day of January, 2018.

 

Hailemariam Desalegn

 Prime Minister of Federal Democratic Republic of Ethiopia

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