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Title: The nexus between mining and speculative activities in Ghana: a case of Newmont Akyem Enclave
Authors: Kum, Kobina Mienza
Issue Date: 24-Feb-2015
Abstract: The surface or open-cast method of mining being adopted by most companies often results in the acquisition of large tracts of land and the displacement of settlements and infrastructure. According to Section 74(2) of the Minerals and Mining Act 2006, Act 703, in the case of compulsory acquisition of property, prompt payment of fair and adequate compensation shall be made. Host communities in mining areas are always imploring how they can make the most out of compensation for displaced, terminated and destroyed property. Some members of the communities engage in speculative activities in order to secure compensation. The speculative activities include planting of crops and trees „overnight‟ as well as erecting structures on parts of the mining concessions areas in the hope that the project would physically impact their investments for compensation. Several authors have predicted that speculative activities could be a source of conflict. However, no scientific evaluation has been carried out to validate this claim. Owing to the above, the researcher adopted a combination of purposive, quota and simple random sampling and sampled 308 Project Affected Households Heads, eight (8) employees of Newmont Golden Ridge, 10 Traditional leader and three (3) regulators to ascertain the nexus between mining and speculative activities in Ghana, using Newmont Akyem enclave as a case study. Data gathered from the respondents analysed using Statistical Package for the Social Sciences (SPSS) software to generate statistical measures and tools such as averages and tables.The finding of the study shows that majority of the PAHs planted tree and erected structures for the purpose of wining compensation form Newmont Golden Ridge Limited (NGRL). These farmers have planted structures crops and erected structures far in excess of what was done. These speculative activities were driven by inter and intra-community information sharing, delay in the acquisition of concession and the fact that PAHs were economically rational. The study affirms that speculative activities, even thou is the most important cause of conflict between mining companies and their host communities. It however, causes conflict between mining companies and their host communities, being only second to the economic ventures and influx of non-indigenes. It is therefore recommended that Newmont and other mining companies alike intensify education via community durbars / fora, community consultations regarding when and how moratorium date is set and the fact that no compensation is paid after that date. The company and other alike must strengthen education on the fact that all aggrieved persons or grievances be referred to the grievance unit for quick resolution to avoid it degenerating into conflicts.
Description: A Thesis Submitted to the Department of Planning,Kwame Nkrumah University of Science and Technology Kumasi,In Partial fulfillment of the requirements for the Degree of Master of Science in Development Planning and Management, 2014
URI: http://hdl.handle.net/123456789/6915
Appears in Collections:College of Architecture and Planning

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