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Traditional leaders from Ewoyaa, Krampakrom, and surrounding communities in the Central Region have voiced strong opposition to the government's decision to reduce Ghana's lithium royalty rate from 10% to 5%. The chiefs argue that this reduction undermines the interests of the very communities that are directly impacted by mining activities.


The cut in the royalty rate follows a request from Barari Ghana Limited to review its mining lease, citing a significant decline in global lithium prices.


The chiefs expressed concerns about the lack of consultation, stating that they only became aware of the consultation process when a public notice appeared in the newspapers. This coincided with a Resource Index Dashboard training session held on Wednesday, November 26, organized by Friends of the Nation and the Africa Centre for Energy Policy (ACEP).


In an interview on Thursday, November 27, Charles Paa Grant, secretary to the chief of Krampakrom, urged the government to suspend the new 5% royalty rate and initiate a proper consultation process with stakeholders.


“In simple terms, we should maintain the 10%. The government has not clarified whether this new rate is temporary or will be sustained. If global prices increase, they may raise the rate again, but lowering it to 5% now is unfair to us,” he said.


The chiefs further warned that reducing the royalty rate could deprive their communities of critical development projects and essential social infrastructure that are expected to be funded by mining revenue.


Local residents, primarily farmers, also voiced their frustrations, saying that their livelihoods have already been significantly impacted, even before large-scale mining activities have fully commenced.


“They’ve stopped us from farming. Since last year, we’ve been unable to build, farm, or engage in many other activities. How are we supposed to survive in these conditions? Will they compensate us?” one resident asked.


Source:theghanareport.com

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