When it comes to regulating Africa's mining industry, resource-rich governments across the continent show little consensus on how much foreign control is acceptable. The vast supply of mineral resources and foreign investors keen to secure mining rights appear to give governments both comfort and boldness to push the bar higher and impose more controls on the industry. The impact of tightening the noose around the mining industry from the government's point of view appears justified on the basis that domestic budgetary shortfalls can be plugged by an increase in taxes and royalties from mining operations. But more importantly, in the eyes of citizens, governments are keen to be seen taking remedial action against legacy injustices, in particular the unequal distribution of wealth from mineral resources. Andrew Lane, Africa leader for the energy and resources unit at Deloitte, said governments wrestled with the equitable distribution of proceeds to the investor, the host government a...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.