DRC: Jules Alingete and Likasi Mayor Explore Mining Royalty Allocation
The Head of the Department at the General Inspectorate of Finance (IGF), Jules Alingete, held a discussion on Thursday, September 7, 2023, with Olivier Munongo, the Mayor of Likasi commune in Haut-Katanga, DRC.
The meeting centered around Munongo’s request for assistance from the IGF regarding the retrocession of mining royalties through the Shituru commune.
Munongo explained the purpose of his mission to Kinshasa, stating, “I came to meet the General Inspector of Finances, the Head of the Department, to address the issue affecting my commune and Shituru in Likasi, Haut-Katanga.
Information available to me suggests that the mining royalty in my commune is being withheld by financial inspectors working in Haut-Katanga. I had to immerse myself in the situation and consult with the IGF’s top official.” This statement was reported by the IGF communications unit.
Jules Alingete, in response, identified the primary cause of the issue as the ambiguity present in certain pieces of information. He explained, “We met with the Mayor of Likasi, who came to present the situation regarding the retrocession of mining royalties for his commune.
He raised a concern, believing that inspectors working in other communes, who validate expenses, were preventing Likasi municipality from receiving its share of retrocession.”
He added, “The intended mechanism is not for municipalities to receive retrocession from other municipalities. Retrocession is directly managed by the Ministry of Mines, which distributes the funds to the beneficiaries.
The problem arises at this level because we agree that Likasi municipality should receive its share of mining royalties, just like other municipalities.”
Following the clarification provided by Jules Alingete, the Mayor of Likasi expressed his deep gratitude for the supervision of public finances in the DRC and commended the IGF for its work in the national interest.
In accordance with the Mining Code, mining royalties are payments made by mining operators in exchange for various exemptions and tax incentives granted by the State. These royalties are intended to contribute to the development of local communities.