Mining sector lauds review of licences

Michael Tome Business Reporter

MINING stakeholders have hailed the Government’s review of licences, permits, levies and fees, saying the move will lower the cost of doing business, promote formalisation and unlock investment opportunities in the sector.

Cabinet recently approved the review of licences, permits, levies and fees charged by ministries, departments and agencies in mining as part of wider business reforms aimed at improving the operating environment across key sectors of the economy.

The reforms are in line with the Cabinet decision of July 29, 2025, which endorsed the implementation of business reforms in 12 sectors of the economy to reduce regulatory bottlenecks, enhance competitiveness and improve enterprise viability.

Under the new framework, duplicated and overlapping mining licences and permits have been streamlined under a single regulatory authority, while more than 80 percent of existing mining sector fees considered reasonable have been maintained.

The Government has introduced fee differentials based on operators’ capacity to pay, with artisanal and small-scale miners now expected to pay significantly lower licence fees compared to large-scale mining companies.

Other changes include the scrapping of the Ministry of Mines and Mining Development’s trading on a mining location fee, reduction of inspection fees for blocks of claims covering base minerals and precious metals mining leases and lowering of diamond cutting and polishing licence charges.

Registration fees for dealing in precious stones have been reduced and will now be payable every five years, while rural district councils’ land development levies are set to be standardised countrywide.

New regulatory fees, including the gold jewellery permit and applications for registration of approved lithium processing plants, have also been introduced as the authorities move to strengthen oversight in emerging mineral value chains.

Mining sector players have since indicated that the reforms are expected to encourage compliance and reduce informality, particularly among young and small-scale miners who have struggled with high regulatory costs.

Young Miners Foundation chief executive, Mr Payne Farai Kupfuwa, said the reforms would create room for miners to regularise their operations and participate formally in the economy.

He said formalisation would improve access to financing, insurance cover and strategic partnerships for small-scale miners.

“This downward review will create an opportunity for us as young and small-scale miners to regularise our mining operations by securing mining rights legally and meeting mining development obligations so that we operate formally and officially.

“If we formalise mining enterprises and have relevant licences, we will be able to access financing, insurance support and even strategic partnerships, and this will grow the industry,” said Mr Kupfuwa.

He said reducing regulatory costs and simplifying processes would shorten turnaround times for licence approvals and other permits, thereby attracting more investment into the sector.

He further noted that previously high fees and multiple licensing requirements had made mining operations expensive and encouraged informality within the sector.

“These reviews create room for investment, especially in small-scale mining, because cutting processes and reducing fees will limit the lead time between application and issuance of the required certificates,” said Mr Kupfuwa.

“That will attract significant investment and grow the mining industry. Charges that miners have been facing, which include duplicative and overlapping licences and permits, have been making mining very capital-intensive.

“The fees and permits required leave miners with so much to pay. This in turn promotes informal mining, mine accidents and leakages through informal mineral sales. If the prices are reduced, it will encourage people to comply with payments and operate their mines formally, and mineral production can be accounted for.”

According to stakeholders, formalisation of small-scale mining operations remains critical to improving safety standards, increasing mineral accountability and boosting fiscal revenues.

Zimbabwe Miners Federation chief executive officer, Mr Wellington Takavarasha, said the mining industry hailed the reforms, particularly the standardisation of rural district councils’ land development levies.

He said the reforms could improve investor confidence in Zimbabwe’s mining sector by reducing compliance costs and creating a more predictable regulatory environment, particularly for artisanal and small-scale miners who account for a significant share of the country’s gold output.

“Government consulted widely, including the Chamber of Mines and miners’ representatives, and we gave our views. We are happy, especially with the standardisation of rural district councils’ land development levies,” said Mr Takavarasha.

“It is important that bureaucratic processes are cut down, because it becomes easier to improve our mining produce and promotes development                       of small to medium mining                                          enterprises.”

The reforms are expected to boost investor confidence in Zimbabwe’s mining sector and promote a more stable and predictable regulatory framework, particularly for artisanal and small-scale miners who contribute significantly to the country’s gold production.

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