SPEECH BY HON.

NAJIB BALALA, CABINET SECRETARY,

MINISTRY OF MINING, KENYA AND CHAIRMAN OF THE 34
th
GOVERNING COUNCIL (GC)
SEAMIC DURING THE GOVERNING COUNCIL MEETING AT
INTERCONTINENTAL HOTEL, NAIROBI 4
TH
JUNE !"#4
H$%$&'()*+ M,%,-t+'- (%. M+/)+'- $0 th+ G$1+'%,%2 C$&%3,*,
Ch(,'/(% (%. M+/)+'- $0 th+ St(%.,%2 C$//,tt++ $0 O00,3,(*-,
Ch(,'/(% (%. M+/)+'- $0 th+ B$('. $0 D,'+3t$'-,
D,'+3t$' G+%+'(* $0 SEAMIC,
E43+**+%3,+-, C$**+(2&+-, L(.,+- (%. G+%t*+/+%
On behalf of the Government and the people of the Republic of Kenya and the
Governing Council of the Southern and Eastern African Mineral Centre (SEAMC!"
#ould li$e to #elcome you all to Kenya and #ish you a very pleasant stay in this
beautiful City%
Y$&' E43+**+%3,+-,
t has been one year to the date since #as nominated by &our E'cellencies to be
the Chairperson of the Governing Council of SEAMC% (uring the period" had the
opportunity to oversee activities of the Centre and no# #ish to present to you a
brief summary of the implementation of the said activities" the challenges faced
and opportunities that #ere e'plored during my tenure%
After my report" #ill invite the )nited *ations Economic Commission for Africa
()*ECA! in its capacity as the +oard member" Chairperson of the Standing
Committee of Officials (SCO! and as a member of the Governing Council (GC! to
report to this meeting on the implementation of the Centre,s activities carried out
during the year and on the selection process of the ne# (irector General as
decided by the --
rd
GC meeting held in the Sudan in May ./0-%
L(.,+- (%. G+%t*+/+%
1he governing Council of SEAMC during its --
rd
meeting approved a budget for
SEAMC #ith the sources of funding coming from member States contributions and
from income the Centre generates by providing services% 1he budget allocated to
the Centre mainly focused on carrying out technical assistance to member states"
provision of high2tech analytical laboratory that is not available in the member
States 3 geoinformation services to the public and private sectors ali$e% 1he
Centre #as also tas$ed #ith providing training and consultancy services and
promotion of its activities to both members and non2 member states%
am happy to report to &our E'cellencies that" up2to April -/
th
./04" the Centre
achieved 55%67 of its yearly target in terms of income generation for the year and
in the e'ecution of the 8aboratory and Geoinformation activities% Additionally" the
1
centre performed according to schedule in implementing the physical plans%
9o#ever" activities in the Chemical and Environmental analysis #as belo# target
as a result of the fall in Gold :rices #hich resulted in fe#er2than2e'pected gold
samples being sent to the laboratory for analysis%
Am confident that at the current pace" the Centre #ill achieve more than ;/7 of its
planned activities by the close of the financial year%
L(.,+- (%. G+%t*+/+%
<ith regards to membership contributions" regret to report that it is only 4
countries have complied #ith the re=uirement to subscribe annually% li$e to than$
these countries for the encouraging support to the Centre and for their timely
remission of their contribution%
*on2payment of the annual contributions by a fe# of our members had a significant
impact on the performance of SEAMC by #ay of difficulties in servicing its
e=uipment and also fulfilling its mandate of carrying out trainings to the member
States and many other activities that #ere planned in the #or$ program and budget
for year%
urge our member States #ho have not yet paid their annual contributions and
arrears to honour their commitment before the end of this fiscal year%
As Chairman of the Governing Council" #as able to visit the Centre #here
observed the institution functioning beyond e'pectations on the meagre resources
availed to it% n order for the Centre to build on the e'isting capacity it has and
ma'imi>e its full capacity" a fundamental change is re=uired to be instated at
SEAMC #ith more involvement of the continental institutions such as A)C and
)*ECA% A case in point relates to over2reliance on member contributions for
financing the centres budget% <hile this may have #or$ed during the formative
stages of the centre" it is no# time that ne# and innovative #ays of financing the
activities is sought%
Additionally" feel that the structure and reporting system of this regional body is
#ay too simplistic and monogamous% A case in point is in relation to the position
that currently hold of being Chair to the Governing Council% <hile it is
understandable that the position is not one #here the holder is re=uired to oversee
day to day activities of the Centre" there is need to ensure closer lin$age bet#een
the Chairman and the +oard of (irectors% t is only through such interactions #ith
those concerned #ith the daily operations of the sector that an alternative #ay of
financing operations shall be achieved #hile at the same time ensuring that the
challenges affecting the centre are addressed promptly%
n a bid to broaden the centre,s regional presence and as a #ay of further
entrenching the centre #ithin other African regional bodies" the (irector General
and had a meeting #ith 9%E (r% (lamini ?uma" Chairperson of African )nion
Commission (A)C! on March 05" ./04 in Addis Ababa" Ethiopia% 1he meeting #as
aimed at briefing 9er E'cellency on SEAMC and the role it can play in providing
2
services to the mineral sector in Africa particularly at this time #hen minerals are
becoming $ey contributors to Africa,s economy% Additionally" the meeting initiated a
#or$ing relation bet#een A)C and AM(C 2 the implementing agency of the Africa
Mining @ision (AM@! in vie# of the complimentarity of AM(C and SEAMC such
that the t#o Centres coordinate their resources and thereby accelerate Africa,s
minerals development%
Our visit to the A)C #as very #ell received #ith 9%E ?uma pledging to follo#2up
the agenda very seriously #hile at the same time invited the participation of
SEAMC on the Mineral Commodities Strategy Study Group that is currently in
progress at the A)C%
(uring the *(A+A conference held Cape 1o#n" South Africa in March" ./04"
Aointly #ith 9on% Stephen Masele" (eputy Minister of Energy and Minerals of
1an>ania and the (irector General of SEAMC" #e met #ith the 9on% Chris +%
&aluma" Cabinet Minister for Mines" Energy and <ater (evelopment of ?ambia
and briefed him on SEAMC services and the role it plays in the minerals
development #ith the vie# of convincing ?ambia to Aoin SEAMC% 1he 9onourable
Minister promised to evaluate the documents given to him and discuss #ith his
staff #hen he is bac$ to ?ambia and pledged to e'plore the possibilities of ?ambia
becoming a SEAMC member%
Y$&' E43+**+%3,+-,
further #ould li$e to report that the (irector General and officials of SEAMC have
also participated in a fe# continental and regional conferences and #or$shops to
see$ for ne# membership to SEAMC" promote the Centre,s activities and mar$et
its services% 1he conferencesB#or$shops include" the *(A+A Mining Conference
in Cape 1o#n" South Africa in Cebruary ./04D the Mining +usiness and nvestment
(M+! conference in *airobi" Kenya in October" ./0-D the nternational Conference
for Great 8a$es Region held in Kigali" R#anda in (ecember" ./04D the -rd African
Mining Minister,s meeting that #as held in Maputo" Mo>ambi=ue%
A visit by an e'pert from the A)C too$ place in May" ./04 to the Centre to e'plore
ho# to establish a #or$ing relation bet#een A)C2and SEAMC and particularly in
the implementation of the African Mining @ision% Curther the Ambassador of
Comoros in 1an>ania visited SEAMC on May ;" ./04 and #as briefed on SEAMC
8aboratories capacities% 9e promised for representation of the Comoros during the
-4th Governing Council meeting and also" together #ith authorities in Comoros"
e'plore #ays in #hich the country #ould continue to be an active participant of the
Centre%
Curthermore the +GR2CG8R :roAect Manager stationed in +uAumbura" +urundi
visited SEAMC on April .E" ./04 to discuss the contentious issues bet#een
SEAMC and +GR% Am e'ited to report that the issue at hand #as resolved
amicably and a tripartite MO) signed on April -/" ./04 by the CG8R E'ecutive
Secretary" the +GR2CG8R :roAect Manager and SEAMC (irector General%
Y$&' E43+**+%3,+-,
L(.,+- (%. 2+%t*+/+%,
3
li$e to bring to your $ind attention the Centre,s ./04B06 budget and #or$ plan and
re=uest the meeting to consider and approve% t is proAected that the Centre #ill
re=uire a total of )SF 5/-"/// for the implementation of its programmes" #hich #ill
be financed from contributions from member States and revenue from income
generation activities during the financial year ./04B06 financial%
t is #orth#hile to note that the centre holds immense potential to raise additional
income if its activities are further enhanced% 9o#ever" this #ill call for prompt
remission of member state contribution in the coming financial year so as to enable
the centre have ade=uate resources to roll out its activities on the onset%
Y$&' E43+**+%3,+-,
Africa has a#o$en and the #orld is #atching as the continent ma$es immeasurable
steps to#ards prosperity and development% t is no doubt that mineral resources
#ill ma$e a huge contribution to#ards the leap2for#ard by African states in the
coming fe# years% n order to ensure that African states bargain at an
advantageous point" the continent must resist competition among itself% ndeed" as
most African countries revie# and re2cast their mining la#s to conform to ne#
developments in the sector" there is need for a uniform fiscal regime for African
states to be loo$ed as a viable #ay of further enhancing our bargaining po#er and
also as a tool of eliminating non2geological competition characteristics #ithin the
continent% 1his" coupled #ith stic$ier compliance chec$s by African governments
#ill surely place the continent as the ne't frontier in as far as mining is concerned%
F,%(**5 Y$&' E43+**+%3,+-,
Allo# me to commend the staff and the (irector General of SEAMC for
professionally running the Centre despite the challenges it faced during the year
and for the achievements attained% Allo# me also to ta$e this opportunity to
e'press my appreciation and gratitude to the Standing Committee of Officials and
the +oard of (irectors of SEAMC for their support and guidance they gave to
SEAMC%
8ast but not the least" allo# me to than$ all of you member States and invited
guests for accepting my invitation and coming to Kenya to attend the -4th
Governing Council and #ish you a very vibrant discussions and focused
deliberations during the meeting%
I THANK YOU ALL
4