Parliament is considering a bill that seeks to streamline gold business in Kenya, and includes a proposal to establish gold processing corporation to oversee the industry.
- •The corporation will be funded by money appropriated by National Assembly, fees for services it renders, gifts, grants or donations and monies from other lawful sources.
- •According to the Gold Processing Bill, the corporation will regulate national standards for operating a gold refinery, undertake research on gold processing and facilitate accreditation for a laboratory that analyses, tests and grades the properties of gold.
- •Lawmakers note that the Gold Processing Bill also seeks to combat illegal mining and the black-market trade in gold, which has led to revenue losses for the country.
Sponsor of the Bill, Bernard Shinali noted that proper regulation of the gold sector could significantly contribute to the economy. “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,” he said.
Regions such as Ikolomani Constituency, Shinyalu Constiutency, Turkana and Migori Counties are rich in gold deposits.
The Bill, which is at the second reading stage, also seeks to ensure environmental management and safety standards in gold mining and processing. “We need regulations to govern exploration, extraction, and processing of gold. This Bill provides a comprehensive framework that takes into account modern extraction methods and safety,” added Shinali.
If enacted, the Bill will guarantee the safety of miners and ensure they are not exploited. It will also promote value addition through local processing, generating foreign exchange.
“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,” The Chairperson of the Committee on Environment, David Gikaria said..
Migori County MP, Fatuma Mohamed, who represents a gold-mining region, voiced strong support for the Bill, citing challenges faced by small-scale miners. “The licensing process is prohibitive. It used to cost Ksh 20,000, but was increased to Ksh 500,000. Many small-scale miners come from areas without electricity or internet, making it difficult to apply for a license. It can take up to four years to acquire one. This Bill is necessary to protect small-scale miners,” she said.
