• info@mineralproductionmonitoring.co.zm
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Frequently Asked Questions

1. What does MPMSP stand for?

It stands for the Mineral Production Monitoring Support Project.

2. Who is funding the project?

The Mineral Production Monitoring Support Project (MPMSP) is funded by the European Union. It forms part of a broader European Union programme supporting Public Finance Management, Accountability and Statistics under the 10th European Development Fund (EDF). You can read more about it here: http://eeas.europa.eu/delegations/zambia/eu_zambia/dev_coop/eco_rural_dev/public_finance_reform/index_en.htm

3. What is the total cost of the project?

The total cost of the project is €4.7 million, which includes the cost of items being procured for the Government of Zambia, costs related to the employment and mobilization of consultants, and the operating costs in Zambia. .

4. When did the project start and how long is it for?

The project started in January 2015 is scheduled to come to an end in mid-January, 2018, so three years in total.

5. Where is the project secretariat?

The project is housed at the Ministry of Mines and Minerals Development, Mines Development Department, New Government Complex, 14th floor, Room 9.

6. What are the main objectives of the project?

The overall objective is to enhance tax collection from mining through effective regulation and monitoring of mineral production. Specifically, this is to be achieved through the strengthening of the capacity of the Ministry of Mines and Minerals Development to fulfil its mandate as a mining authority to effectively monitor mining activities and mineral production in Zambia, and to share this information with other relevant Government of Zambia agencies, so as to contribute to increased domestic revenue mobilisation.

7. What impact does this have on Zambia’s mining industry?

The Ministry of Mines and Minerals Development will be more equipped in its work as a regulator in the industry and there will be increased transparency in the reporting, receipt and interpretation of the mineral production of the country. This increased transparency will reduce the opportunities for debate about mines allegedly not paying the royalties that they should.

8. What has the project delivered so far?

The MPMSP has already delivered a number of benefits, and will continue to do so until 2018:

  • Officers in the Mines Development Department will benefit from the capacity building programs that are planned for under the project.
  • The laboratories at the Geological Survey Department (GSD) have had their water reticulation system, electrical wiring and air conditioning systems replaced and/or repaired. The chemistry lab has received modern lab equipment procured under the Project. The gemmological lab has received new lab equipment. Portable XRF units will be supplied to the GSD and the Regional Mining Bureaus. This in turn will translate into increased efficiency in the testing and evaluation of various mineral samples and resulting faster issuance of evaluation reports which are required for export permit applications.
  • In the Mines Development Department of the MMMD, there is now a digital export permit system in place, to help speed up that particular procedure. This was designed and implemented by consortium member RDF.
  • The Project has also helped design an improved reporting format for monthly production reporting by the mines (known as “Form 34”). This new format is now in the General Mining Regulations which came into effect on 1 January 2016. It facilitates receipt of more complete reporting from the mines, as well as the possibility to understand the mines’ production and sale of all relevant products. Considering production reporting by the 12 largest copper mines in the country, MPMSP experts have queried a number of reports, resulting in an improved quantification of the copper produced in Zambia. Some instances of under-reporting have also been identified.

9. How will the project affect royalties and taxes paid by the mining companies?

The Project will help facilitate improved regular mineral production reporting, which should help ensure that the royalties payable can be determined with greater confidence. This should not increase or decrease the amounts payable, unless mines have been under- or over-reporting in the past.

10. How is the project executed and managed?

Zambian and international experts are executing the Project under the leadership of the Team Leader, Mr. Ron Smit, and the Key Expert #2, Mr. Michel Chapeyroux. They are employed by Adam Smith International, the organization heading the consortium also including the Revenue Development Foundation, Ecorys (UK) and PMTC (Zambia) Ltd. The Project team is guided by the Director of Mines within the MMMD and the National Authorising Office (NAO) for the EDF, which is a part of the Ministry of Finance. The Project prioritises a multi-stakeholder approach to its work, and makes sure to engage with civil society, the private sector and a wide range of government stakeholders wherever possible.

11. Who or what is Adam Smith International?

Adam Smith International (ASI) is a leading international authority on the governance and development of the oil, gas and mining industries in the developing world, with more than 10 years of experience in over 40 countries. ASI provides strategic advice and implements complex reform programmes to support governments to maximise resource revenue, increase employment and deliver sustainable and equitable economic growth.  You can read more detail about all the Project partners on the Consortium Partners page on this website.

12. How can I keep updated with project’s progress?

It is possible to subscribe to our newsletter by clicking on the ‘Subscribe’ button on our homepage, or alternatively you could follow our Facebook page (www.facebook.com/MPMSPZambia) or our Twitter page (www.twitter.com/MPMSPinZambia) for regular news and updates.

13. What are the expected project results?

Over the course of its implementation (2015 to 2018), the Mineral Production Monitoring Support Project is seeking to deliver results and make a particular impact. What are these expected results, and what has been achieved to date? Read more below.

Result 1: Capacity of MMMD to monitor mineral production and related activities enhanced

  • Fully electronic system for issuing mineral import, export and trading purposes introduced Capacity building and training for Ministry staff undertaken, with more being planned
  • Equipment worth approximately EUR271 000 (approximately K2.85 million) delivered to the Geological Survey Department (GSD), with more being budgeted for 2017.

Result 2: An appropriate information management system for mineral production data in place.

  • Introduction of "Form 34" designed to accurately capture production reporting from the mines on a monthly basis, in more detail than was possible with the previous format ("Form 39") "Form 34” has been included as an integral part of Zambia's new Mining Regulations, and reporting with that form is obligatory from 1 January, 2017.

Result 3: MMMD organisational, policy, planning and budgeting capacity enhanced

  • An Institutional Capacity Assessment is being completed, to determine priority areas for technical assistance and capacity building

Result 4: Systems and structures to collect and share production information improved

  • Assistance has been provided to the Mineral Value Chain Monitoring Project (‘MVCMP’), towards the design and piloting of the MOSES production reporting module.
  • The improved reporting format ("Form 34") provides the new obligatory format for mineral production reporting by mining and processing companies, MMMD officers are now receiving production reports in this format, facilitating a standardised assessment approach Coaching and on-the-job training of officers in the Ministry, to interrogate production reports, is ongoing.
  • The introduction of the digital import, trade and export permit application systems in MMMD, facilitates easier comparisons between production data, import and export data.