Below are three case studies of mining transparency in Zimbabwe, Ghana and South Africa.
1. Zimbabwe: Community Trusts and Mining Revenue Transparency
Background:
- Zimbabwe established Community Share Ownership Trusts (CSOTs) in 2013 to ensure local communities benefit directly from mining activities.
- Mining companies are required to allocate 10% of their shareholding to CSOTs, with profits funding local development projects (e.g., roads, clinics, schools, water infrastructure).
Challenges:
- Many CSOTs have faced operational setbacks: mismanagement of funds, poor governance, and lack of tangible community benefits.
- Widespread allegations of corruption and misuse of funds have undermined trust in the initiative.
- The government has recently announced reforms to strengthen oversight, transparency, and support for CSOTs, including comprehensive audits and clearer regulations.
Key Lessons:
- Transparency and oversight are critical for ensuring community benefit.
- Public disclosure of mining agreements and financial flows is necessary to build trust and accountability.
- Effective governance structures and regular audits are essential to prevent mismanagement and corruption.
2. Ghana: Artisanal and Small-Scale Mining (ASM) Reforms
Background:
- Ghana’s ASM sector is a significant source of employment and local economic activity but has been associated with environmental degradation and informality.
- Recent reforms have focused on making ASM more productive, equitable, and environmentally responsible.
Key Initiatives:
- Multi-stakeholder dialogues involving government, miners, companies, NGOs, and academia have developed a roadmap for responsible ASM.
- Priorities include:
- Streamlined licensing and operational processes.
- Improved access to geological information and finance.
- Recognition and empowerment of women and vulnerable groups in ASM.
Key Lessons:
- Collaboration among diverse stakeholders is vital for sector reform.
- Access to information and simplified regulatory processes help formalize and improve ASM.
- Empowering marginalised groups, especially women, strengthens sector legitimacy and sustainability.
3. South Africa: Activism and Mine Closure Policy
Background:
- South Africa faces a legacy of improper mine closures, with many communities left exposed to environmental hazards and socio-economic decline after mining ends.
Key Issues:
- Regulatory failures and corporate impunity have led to abandoned mines and unfulfilled closure obligations.
- Communities and activists report:
- Lack of recognition as stakeholders.
- Insufficient consultation and consent.
- Poor planning and implementation of closure processes.
Civil Society Response:
- Activists and community organizations have documented the impacts and advocated for policy reforms.
- Calls for:
- Stronger legal frameworks.
- Recognition of community rights.
- Transparent, participatory closure planning.
Key Lessons:
- Community engagement is essential in mine closure planning.
- Robust regulation and enforcement are needed to prevent abandonment and ensure post-mining development.
- Civil society activism can drive policy change and accountability.
Summary Table: Case Study Comparison
Country | Focus Area | Main Challenges | Key Lessons |
---|---|---|---|
Zimbabwe | Community Trusts/Revenue Sharing | Mismanagement, corruption | Oversight, audits, clear rules |
Ghana | ASM Reforms | Informality, exclusion | Stakeholder collaboration, info |
South Africa | Mine Closure/Activism | Abandonment, weak regulation | Community rights, strong laws |
These case studies and the workshop approach provide a practical foundation for understanding and advocating for mining revenue transparency and governance reform in Africa.
Additional Reading Materials
- https://www.business-humanrights.org/en/latest-news/zimbabwe-govt-announces-major-reforms-to-revive-community-share-ownership-trusts-aimed-at-improving-oversight-transparency-support-so-communities-benefit-from-natural-resource-extraction/
- https://pwyp.org/wp-content/uploads/2020/09/Benefit-Sharing-case-study_Zimbabwe-EN.pdf
- https://www.iied.org/leaders-join-forces-for-productive-equitable-artisanal-small-scale-mining-ghana
- https://www.lhr.org.za/lhr-news/press-statement-new-report-on-the-state-of-improper-mine-closures-in-south-africa/
- https://eiti.org/sites/default/files/attachments/eiti_review_report_v10_-_final.pdf
- https://www.iied.org/sites/default/files/pdfs/migrate/G00628.pdf
- https://www.business-humanrights.org/en/latest-news/zimbabwe-call-for-transparency-citizen-participation-accountability-in-management-of-mineral-resources/
- https://miningzimbabwe.com/opportunities-for-improved-mineral-revenue-transparency-in-zimbabwes-mining-sector/
- https://collections.unu.edu/eserv/unu:8538/Ghana_Working_Paper_1.pdf
- https://grassrootsjusticenetwork.org/resources/the-impact-and-assessment-of-improper-mine-closures-in-south-africa-community-perspectives-on-human-rights/
- https://www.sciencedirect.com/science/article/pii/S2214790X21000502
- https://publications.iadb.org/publications/english/document/Transparent-Governance-in-an-Age-of-Abundance-Experiences-from-the-Extractive-Industries-in-Latin-America-and-the-Caribbean.pdf
- https://zela.org/looking-back-the-zimbabwe-mining-revenue-transparency-initiative/
- https://www.sciencedirect.com/science/article/pii/S0301420724002514
- https://resourcegovernance.org/sites/default/files/2024-11/behind_the_schemes_anticorruption_gaps_mining.pdf
- https://read.oecd.org/10.1787/63d60aa8-en?format=pdf
- https://www.u4.no/publications/a-theory-of-change-for-the-extractive-industries-transparency-initiative.pdf
- https://old.transparency-initiative.org/wp-content/uploads/2017/03/synthesis_report_final1.pdf
- https://www3.weforum.org/docs/Voluntary_Responsible_Mining_Initiatives_2016.pdf
- http://icsidfiles.worldbank.org/icsid/icsidblobs/onlineawards/C3004/C-032_Eng.pdf