The Confederation of Mozambican Economic Associations (CTA), the largest employers’ organization in Mozambique, yesterday said that the country’s Extractive Industries Authority should be independent of the government in its oversight of contracts for large projects.
The relevance of the Extractive Industries Authority was highlighted yesterday by the president of the Department of Mineral Resources, Hydrocarbons and Energy of the CTA, Chivambo Mamadussen.
He was speaking during the Mozambique Gas Summit, a seminar bringing together the public and private sectors and international entities in the mining and quarrying industry in Maputo.
“To ensure credible oversight of the contracts in the major natural resources exploration projects, the Extractive Industries Authority should be truly independent,” Mamadusen said.
Noting that the creation of this entity was approved by the executive in 2014, Mamadusen argued that it should be quickly put into operation to keep pace with the dynamics of the mining industry.
A speaker on the topic “Latest developments in local content”, the chair of CTA’s Department of Mineral Resources, Hydrocarbons and Energy stated that the Extractive Industries Authority should ensure that multinationals respected requirements to include national business in their activites.
“We have to ensure that the contracts signed between the state and major natural resources exploration projects incorporate local content,” Mamadusen said.
Natália Camba, Director of Safety and Supervision at the National Petroleum Institute of Mozambique (INP), the country’s sector regulator, said that the participation of Mozambican companies in extractive industry projects would address the need to diversify the economy.
“The link between extractive industry and local content will be a way to ensure the diversification and robustness of the national economy and prevent natural resources from being a curse,” she said.
Camba urged Mozambican companies to overcome any constraints they might face and take advantage of the opportunities that will be offered in the development phase of natural gas exploration.