Mass Action for Sustainable Development (MASDA), a nonprofit organization has called on the government especially parliament to re-examine the lithium mining lease agreement with Barari DV before ratification.
Speaking at a press conference yesterday in Accra, the Executive Director of MASDA, Atik Mohammed said although section 25 of act 703 creates room for setting royalties higher than 5%, it does not set a specific rate given the 10%royalty of total revenue that would be paid by the company to the government.
That, he explained makes the 10% royalty rate to be paid to the government discretionary and arbitrary
According to him, Ghana is also likely to earn less royalty income in the future if the prices of lithium increase.
His call comes in the wake of an agreement signed between Ghana and Barari DV on October 10 for the company to mine lithium in commercial quantities.
Story by: Osei Akoto / Ahotoronline.com
