The Government faces significant challenges if it intends to meet the demands of landowning units on mineral resource development.
Recently, landowners from Navuniivi, Ra, and Namosi have expressed their specific requests regarding mineral resource developments. In Navuniivi, landowners are frustrated by the continued publication of their land for mineral exploration. For the copper exploration in Namosi, landowners seek a 50 percent stake in decision-making for mineral development activities.
At Votua Village in Ba, where iron ore extraction is ongoing, the landowning units are demanding 100 percent of the royalty shares, citing the need to address the negative impacts of the projects. Alternatively, the villagers suggest the Government reduce its royalty share to increase the percentage for landowners. Amex Resources Limited, which has a 21-year lease granted in 2012 to extract iron sands from the Ba River delta—land owned by Votua—could be affected by such changes.
Votua villagers have also formally requested an increase in royalty payments from 80 percent to 90 percent, reducing the government’s share from 20 percent to 10 percent in their submission on the Mineral Exploitation and Exploration Bill. They argue that the Government can seek other incentives from mining companies through application fees for licenses and permits.
Developers in the mineral resource sector may need to collaborate with the Government to provide vocational training to villagers, as per the demands of Votua villagers. This training is part of the conditions for allowing mineral resource development on their land. Furthermore, landowners want their investment plans acknowledged in mineral resource projects and have called for clearer, more legible notices regarding license renewals.
There is currently a lack of clear guidelines and transparency in royalty calculations and distribution. The Fair Share of Mineral Royalties Act 2018 stipulates that royalty distribution should be 20 percent to the government and 80 percent to the landowners. However, landowners have reported that they have not received their full share over a 12-year period of operation under this license.
Landowners continue to raise concerns over the unfair distribution of royalties among villagers.
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