New Bill seeks to regulate gold mining, protect small-scale miners
If passed, the Bill will regulate the collection, purification, smelting, and value addition of gold, aiming to boost revenue, formalise small-scale mining, and combat illegal gold trade.
The National Assembly has begun deliberations on the Gold Processing Bill (National Assembly Bill No. 46 of 2023), which seeks to establish a legal framework for gold processing in Kenya.
The proposed Bill, presented by Ikolomani MP Bernard Shinali, seeks to create a gold processing corporation and regulate key stages of the industry, including collection, purification, smelting, and transportation, to ensure the country fully benefits from its gold resources.
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"Gold processing has boosted exports and revenue in other countries including Sudan. A comprehensive legal framework will enable the country to accumulate good reserves and encourage foreign exchange," said Shinali, highlighting the importance of having a well-organised system to manage gold processing.
The Bill, currently in its second reading, aims to establish environmental management and safety standards for gold mining and processing.
Shinali emphasised the necessity for regulations governing the exploration, extraction, and processing of gold.
"The exploration, extraction, and processing of gold require clear regulations. This Bill offers a comprehensive framework that addresses modern extraction methods and ensures safety," said the lawmaker.
Economic opportunities
Shinyalu MP Fred Ikana said gold mining presents various economic opportunities, especially in areas abundant with gold deposits such as Ikolomani, Shinyalu, and the counties of Turkana and Migori.
"Kenya is rich in natural resources. This Bill will create a framework that enables communities and the entire nation to benefit from their resources," said Ikana.
"If enacted, this Bill will guarantee the safety of our miners and ensure they are not exploited. It will also promote value addition through local processing, generating foreign exchange," he added.
The Bill has garnered strong support from MPs including David Gikaria, the chairperson of the Committee on Environment, who criticized the export of raw gold without value addition.
"Currently, our gold is exported without any value addition, meaning we don't fully benefit. This Bill will help artisanal miners and ensure processing is done locally," he said.
Migori Woman Rep Fatuma Mohamed also expressed her support, highlighting the challenges small-scale miners face, including high licensing fees and long wait times.
"The licensing process is prohibitive. It used to cost Sh20,000 but this was increased to Sh500,000. This Bill is necessary to protect small-scale miners," she said.
If passed, the Bill will regulate the collection, purification, smelting, and value addition of gold, aiming to boost revenue, formalise small-scale mining, and combat illegal gold trade.
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