Over the course of 2022, a total of 48.006 billion FCFA was mobilised under the Local Development Mining Fund (LDMF) for the benefit of local authorities. This amount was divided into 2 tranches, 22.570 billion FCFA for the first half of the year and 25.436 billion FCFA for the second half. These figures were published by the Organisation pour le Renforcement des Capacités de Développement (ORCADE).
For the distribution in the first trimester of 2022, 04 mining communes received shares in excess of 500 million. Boudry received 1.095 billion FCFA, Houndé (1.090 billion FCFA), Falangoutou (944.780 million FCFA) and Gorom-Gorom (944.780 million FCFA).
Two mining regions received 500 million FCFA: Boucle du Mouhoun (537.534 million FCFA) and Sahel (640.248 million FCFA).
Communities in the South-West region received the smallest amount, 19.692 million FCFA per community. This is because there are no mines or quarries in operation in this region.
The South-West region received the smallest amount, with 175.384 million FCFA.
At the end of the distribution in the second half of 2022, 04 mining communes received more than 500 million FCFA: Boudry (591.012 million FCFA), Houndé (906.286 million FCFA), Falangoutou (703.433 million FCFA) and Gorom-Gorom (703.433 million FCFA).
Of the 2 distributions, the commune of Houndé received the most money with 1.996.3 billion FCFA.
The LDMF is an instrument for social cohesion and the peaceful exploitation of mining resources. The LDMF has responded to the President’s call to set up a patriotic support fund in 2023.
Indeed, during the 2nd allocation for 2022, a portion was deducted to contribute to the Patriotic Support Fund created by the government to combat insecurity, in accordance with Decree No. 2023-0021/PRES/TRANS/PM/MDAC/MATDS/MEFP creating the Patriotic Support Fund on 23 January 2023.
The LDMF was created by Law N°036-2015/CNT of 26 June 2015 on the Mining Code of Burkina Faso. It aims to ensure sustainable grassroots development from the resources generated by mining activity through the financing of structuring socio-economic projects. The LDMF aims to strengthen the contribution of industrial mining projects to development in Burkina Faso through their participation in the financing of projects included in regional and communal development plans.
It will also help to improve living conditions at grassroots level, with a focus on communities affected by industrial mining projects and quarrying companies, which will also contribute to peaceful mining operations on mine sites.
The fund’s resources come from 2 sources. The first source is a contribution from the State, which deducts 20% from royalties, while the second source is a contribution of 1% of the trial turnover of mining projects in the production phase and quarrying companies.
The direct beneficiaries of the LDMF are the 351 communes and 13 regional councils of Burkina Faso, to implement regional and communal development plans. The indirect beneficiaries are the grassroots populations, who should see their living conditions improved so that they can assert their sense of belonging to their state and play an active part in development,
To ensure that the fund is properly managed, two supervisory bodies have been set up at national and local level.
At national level, a national committee is set up to monitor the collection, distribution and use of LDMF resources. The operation is described in Interministerial Order No. 17 027/MMC/MINEFID/MATD of 19 December 2017 on the creation, composition, powers and operation of the national committee for monitoring the collection, distribution and use of LDMF resources.
At the communal level, a communal committee to monitor the use of LDMF resources is set up in each mining commune. These committees are governed by Inter-ministerial Order No. 17-028/MMC/MATDC/MINEFID of 29 December 2017 on the creation, composition, allocation and operation of the communal committee for monitoring the use of the LDMF. Its mission is to support municipal councils in achieving the objectives of the LDMF.
The reforms to the texts on the LDMF also provide for the establishment of regional committees to monitor the use of mining fund resources transferred to the regional councils.
Moniratou BANDE
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