Editorial: Will mining law reform finally serve the people?

For two decades (and perhaps, longer), mining laws in the country formerly known as the Gold Coast have largely served investors while leaving communities with little more than dust and broken promises.

Now, we are hearing of “sweeping reforms” on the table, and we are bound to ask: “Will this moment bring long-denied fairness, or simply another cycle of lofty words and weak enforcement?”

The proposals are bold with those sweetheart deals carved out with multinationals, being set for abolition. Prospecting licences, once renewed indefinitely, will now be capped. Mining leases will be slashed from 30 years to 15.

And for the first time, companies will be compelled to sign binding community development agreements, making social responsibility less a matter of charity and more a matter of law. If realised, these would not be merely minor tweaks; but an attempt to reset the balance of power.

But, boldness carries risks. Will investors still sink capital into mines if they fear tenure is too short or contracts too easily revised? Will disputes handled in Ghana’s own courts inspire confidence or suspicion? Unless reforms are backed by credible institutions, the cure could prove as problematic as the disease.

The heart of the matter is fairness. For too long, mining has generated wealth on paper while leaving host communities impoverished. If these reforms can change that, they will be remembered as a turning point. If not, they will be yet another missed opportunity in a long history of underwhelming governance.

Abolishing development agreements may look good on paper, but without clear transitional rules, the country risks costly arbitration and investor flight. And community development agreements will only matter if rigorously monitored; otherwise, they risk becoming another set of hollow documents.

The question remains the same: will this new law make mining serve the people, not just the companies? The government must prove it can enforce discipline without chasing away the capital that keeps the sector alive.

Anything less, and the reform will amount to little more than another grand promise left unfulfilled. Looking at the rhetoric around the galamsey fight, for instance, should we be less hopeful?

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