The Nigerian government has hiked fees and charges for obtaining licenses, as well as royalty payments, in the country’s $750 billion mining sector in a bid to rake in more revenue.
Dele Alake, the Minister of Solid Minerals Development, made this known during a press briefing on Thursday in Abuja.
According to him, the hike affects 268 items in the mining industry.
Aleke explained that the funds collected by the government for the new taxes would be distributed to poor Nigerians.
Consequently, he noted the cost to obtain an Exploration Licence, EL, is now N600,000.
“The cost to obtain an Exploration Licence (EL) is N600,000 for the first 100 cadastral units.’
“The aim is to discourage speculation and address the paucity of funds, limiting the Federal Government’s capacity to improve ease of doing business in the sector.
“The new rate, which affects 268 items in the industry, includes an annual service fee of N31,500 for the first time.
“Also, N260,000 for a Small Scale Mining License (SSML), N500,000 for a Quarry Lease, and N1,250,000 for firms operating with a Mining Lease. Following the renewal of licenses, the rates for the respective categories will be N42,000,” he said.
