Following the announcement of the Economic Acceleration Measures Package (PAE) presented by the President last August 9, the government approved the amendment of the Mining and Petroleum laws.
Specifically, the executive proposes the amendment of articles 48 of Law nº 21/2014 (Petroleum Law) and 20 of Law nº 20/2014 (Mining Law), both of 18 August, which deal with the allocation of a percentage of the revenues generated by the petroleum and mining activities to the communities in the areas where the respective projects are located.
According to the revision proposals to which ‘Carta’ had access, the two articles will gain a new wording, with article 48 of the Petroleum Law having the following text: “1. A percentage of the revenues generated by petroleum activities is destined for the development of the provinces, districts, and local communities where the respective petroleum enterprises are implemented; 2. The percentage referred to in the previous number will be defined in terms to be regulated by the Council of Ministers”.
Article 20 of the Mining Law will have the following wording: “1. A percentage of the revenues generated by the mining activity is destined for the development of the provinces, districts, and local communities where the respective mining enterprises are implemented; 2. The percentage referred to in the previous number will be defined in terms to be regulated by the Council of Ministers”.
“The intention is to accelerate the process of development of the provinces and districts in which the petroleum or mining projects are located,” explained Filimão Suaze, spokesman for the Council of Ministers, at the end of yet another ordinary session of the Council of Ministers on Tuesday.
The revision of these laws will create conditions for the implementation of the eighth measure of the PAE, which determines the allocation of 10% of tax revenues from mining and petroleum activities for the development of the respective provinces.
The measure will be implemented as early as next year. According to the proposed 2023 Economic and Social Plan and 2023 State Budget, the government will allocate, from the revenues collected in 2021, a total of 281 million meticais to the provinces of Maputo, Gaza, Inhambane, Sofala, Manica, Tete, Zambézia, Nampula and Cabo Delgado.
Data contained in the proposal indicate that, of the 10% of revenues from the extractive industry to be allocated to the provinces next year, 2.75% will be allocated to the communities. Thus, of the 281 million meticais, the executive intends to allocate around 203.7 million meticais, around 7.25%, to provincial structures, while 77.4 million meticais, around 2.75%, will be allocated to the communities in the areas where the projects actually operate.