By Gloria Ikibah
The House of Representatives has passed for second reading a bill for an Act to ensure adequate funding for mineral resources exploration and extraction through public-private partnership.
The bill sponsored by Rep. Lanre Okunola, member representing Surulere II Federal Constituency of Lagos State, is titled: “A Bill for an Act to Assure Adequate Funding for Mineral Resources Exploration and Extraction through Public Private Partnership (PPP) and for Related Matters (HB. 289).
in his lead debate on the general principles of the bill, Rep. Okunola described the proposed legislation as a framework designed to transform Nigeria’s mining sector through enhanced funding, strategic public-private collaboration, and adherence to best international practices in mineral resource exploration and extraction.
He said: “The bill aims to ensure that our mining sector reaches its full potential, creating jobs, fostering economic growth, and strengthening our country’s self-sufficiency in mineral resources.
“This bill, when passed into law, will establish a Mining Public-Private Partnership Programme, a framework that brings private sector capital, expertise, and efficiency into our mineral resource industry.
“The main objective of this bill is to secure adequate funding for the exploration and extraction of Nigeria’s abundant mineral resources through partnerships between the public and private sectors. This approach will enable us to reduce our dependence on oil and diversify our economy while ensuring that our mining sector is driven by both local and international investments”.
Section 4 of the bill proposes the programme’s broad scope, including leveraging global resources, expertise, and diplomatic relationships to attract investors who will help fully explore and extract minerals across Nigeria.
“It emphasises sustainable and ethical mining practices by including specific criteria for PPP partners, such as contributions to the Sustainable Development Goals, corporate social responsibility, and environmental considerations. Additionally, the bill mandates that partners demonstrate the capacity to undertake environmentally friendly operations and prioritise site remediation post-extraction,” Okunola added.
Section 5 of the bill outlines extensive powers vested in the Mining Public-Private Partnership Programme coordinator, including the ability to oversee the programme, formulate policies, and ensure efficient execution.
The bill also made provision for the establishment of a Technical Management and Advisory Council which shall “Comprise experts from diverse fields, such as law, geology, mining engineering, banking, architects and civil engineering, to support the programme.
“TMAC will conduct essential activities such as annual mapping of mining areas, determining necessary funding levels, and ensuring post-mining land rehabilitation”, it added.
Section 6 specifies budgetary and funding provisions, requiring the Programme Coordinator to allocate funds to cover insurance, compensation, and community impact expenses.
According to Rep. Okunola, it ensures the financial stability of the MPPP and guarantees that any environmental or social impacts are adequately managed and compensated.
Sections 7 to 10 provide mechanisms for oversight, regulatory direction, and dispute resolution.
By way of oversight, the MPPP coordinator is expected to submit an annual report to the President, which includes audited accounts and an overview of the programme’s achievements and challenges.
This clause also grants the Minister of Mines “The power to issue directives with presidential approval, ensuring flexibility and alignment with national interests. In cases of unresolved disputes, the bill calls for mediation and arbitration under the Arbitration and Mediation Act, thereby ensuring fair and timely resolutions.”
Rep. Okunola, further highlighted the benefits of the bill to include economic growth and job creation; environmental sustainability; revenue generation and global competitiveness.