Minister of Mines and Mining Development, Honourable Winston Chitando, has clarified how Zimbabwe’s mining sector contributes directly to the development of host communities through legally established local levies administered by Rural District Councils (RDCs).
Addressing recent discussions on mining revenue distribution, the minister explained that the mechanism is not based on new legislation but operates under existing laws that require mining companies to fund community development projects such as roads, clinics, and water infrastructure.
He noted that all mining operations are legally obligated to pay community levies through the RDCs in whose jurisdictions they operate, a requirement provided for under Zimbabwean law.
According to Minister Chitando, the process is governed primarily by the Mines and Minerals Act and the Rural District Councils Act, and is designed to be transparent and driven by community priorities.
The process begins at the local level, where RDCs consult residents to identify critical development needs. These may include health facilities, road rehabilitation, or water and sanitation projects. Once priorities are agreed upon, the RDC prepares a levy proposal outlining how mining revenues will be used.
The proposed levies are then made public to allow for community consultation and input, ensuring local participation in decision-making. After this stage, the RDC submits its budget and levy structure to the Minister of Local Government for approval. Once authorised, the council is legally empowered to collect the levies from mining companies operating within the district.
Funds raised are used to finance approved development projects, with the minister adding that mining companies are also encouraged to make additional voluntary contributions through corporate social investment initiatives beyond their statutory obligations.
Minister Chitando emphasised that the framework provides a lawful and structured approach to community benefit-sharing, aligning with government efforts to ensure that mineral wealth translates into tangible improvements in the lives of people living in mining areas.
However, he acknowledged that the success of the system depends on effective implementation, transparency, and accountability. Experiences from other mineral-rich countries have shown that weak oversight can undermine such mechanisms. In neighbouring Democratic Republic of Congo, for example, audits of similar community funds have revealed significant revenue leakages, resulting in substantial losses to intended local development projects.
The minister said ongoing collaboration between government departments and local authorities is essential to ensure the system functions efficiently and delivers meaningful results.
Ultimately, the effectiveness of the RDC levy system will continue to be judged by visible improvements in infrastructure and living standards within Zimbabwe’s mining communities.