Lands Minister Amewu Accused Of High Handedness In Penalizing Newmont Among Others

The Institute of Safety and Environmental Professionals (GhISEP) has accused the Land Minister of heavy-handedness in dealing with Newmont following the Ahafo Mine collapse.

GhISEP said John Peter Amewu has no powers to impose the $2.7 million fine on Newmont, DRA Ghana and Consar Limited after its investigative committee found the three companies culpable in an accident in April.

The Institute in a press release Wednesday said, the Minister has no powers to impose the untenable fines on the company citing the Minerals and Mining Act to back their accusation.

Although it commended the Minister for his quick reaction when the accident occurred by visiting the site as well as the bereaved families and those injured, GhISEP said it is “scandalized by the hefty $2.7 million illegal fines.”

“Even though the release fell short of outlining the failure of disclosing the cause(s) that were established through the investigation, it went ahead to explain the recommendation which was mainly fines. Some of which has no basis in the law in Ghana,” it said.

The Institutes’ comment follows an investigative report in which the committee stated the three companies have been sanctioned for their act of omission and commission at Newmont's Ahafo site.

“Newmont Ghana Gold Limited for failure to ensure the safety of contractor employees working at the Ahafo Mine site shall pay the fatally wounded and the injured employees the appropriate workmen compensation,” the report said.

Related: Newmont Ghana, DRA Limited fined $2.7m over Ahafo Mine collapse

As part of the punitive measures, DRA Limited will also be fined $2 million each day that it “had operated without the Mining Services Operating Permit, pay an additional fine of $200.”

Background
On April 7, this year, Newmont Ghana Gold Limited reported an accident at its Ahafo Mine, which resulted in multiple fatalities. Six people died and four other workers of contracted company Consar Limited sustained various degrees of injuries.

Consar Limited is a contractor working under the supervision of DRA Ghana Limited, an Engineering, Procurement, Construction and Management agent of Newmont constructing a Reclaim Tunnel as part of the Ahafo Mill Expansion (AME) Project.

The employees were reportedly involved in pouring a mixture of concrete at the Reclaim Tunnel when the two-level formwork structure at the west end of the tunnel failed.

Findings and Recommendation
Mr Amewu immediately instituted a committee to investigate to find out the cause(s) leading to the fatal injury as well as whether there were standard operating procedures complied with.

Also, the committee was tasked to find out whether any negligence or omission was occasioned if there were lapses leading to the accident as well as to find out the occurrence of any operational challenges leading to the accident.

This led to the companies being slapped with various fines.

But GhISEP said the Minister threw caution into the wind and violated the regulations by imposing additional fines of $2.7 million to be paid by the three companies; Newmont ($500,000) DRA ($2,000,000) and Consar ($200,000).

Read the GhISEP release
However, the Ministry has defended its decision explaining it is to deter other companies and ensure they adhere to safety measures at all times.

“We are not interested in the money. We are looking at the safety precautions that they have to institute…at the mine site, one of the key areas we are looking at their safety record,” Abraham Otabil, Public Relations Officer at the Ministry told Joy News.

“That is more paramount to us because we don’t think that one has to do business anyhow especially in the mines,” he added.

According to him, the Ministry wants the companies to resource the safety of the workers and working environment.