DRC: mining royalty, 2.9 million USD collected in North Kivu between 2018 and 2020 (report)
With mostly artisanal mining, the province of North Kivu was still able to mobilize more than US$2,985,257.78 million in mining royalty revenue collected on production between 2018 and 2020.
These revenues collected represent 1,824,444.09 million US dollars under the 15% quota reserved for the Decentralized Territorial Entities (ETD) and 1,160,813.69 million US dollars collected under the 25% quota returning to the province. .
This is what emerges from the latest relaxed report 2018, 2019 and first half of 2020 of the Extractive Industries Transparency Initiative (EITI).
“Data from the Provincial Division of Mines and Geology of North Kivu indicates that there are currently two industrial mining companies active in North Kivu Province and nine processing entities that source artisanal mining products from mining cooperatives,” the report reads.
The ALPHAMINBISIE Company (AMB) and the Bisunzu Mining Company (SBM) contribute more than 95% of the mining royalty revenue of the North Kivu Province, this report indicates.
According to this EITI report, implementation rates remain questionable. No doubt this is due, he notes, to the unavailability of data and statistics, but it is still a worrying question to be really taken into account to ensure management of the mining royalty.
Moreover, we learn from the relaxed 2018, 2019 and 1st half of 2020 report published by the DRC EITI that “all State entities have made their declarations, except the General Revenue Directorate of North Kivu (DGNK), because that it broke the contract which linked it to the subcontractor company which managed its tax management system”. The latter took all her equipment, the report said.
In the province of North Kivu, six (6) Decentralized Territorial Entities (ETD) benefit from the revenue from mining royalties collected from industrial mining companies and
processing entities. These include the territories of Masisi, Walikale and Lubero.
Breakdown of the mining royalty by ETD and by contributing mining company
Revenues collected by the ETDs, during the period under study, in the province of North Kivu, come almost entirely from the two (2) mining companies.
EITI experts believe that this situation reflects both the very complex security context in which
mining takes place in these regions but also large-scale mining fraud practices documented by several other reports.