Ewoyaa Traditional leaders reject 5% Lithium royalty rate
Traditional leaders of Ewoyaa, Krampakrom, and neighbouring communities in the Central Region have rejected the government’s decision to slash Ghana’s lithium royalty rate from 10% to 5%, describing it as a shortchange to affected communities.
The reduction follows a request from mining firm Barari Ghana Limited, which sought a review of its mining lease terms citing a sharp decline in global lithium prices.
The chiefs said they only became aware of the consultation process when a call for stakeholder inputs was published in the dailies, coinciding with a Resource Index Dashboard training workshop held on Wednesday, November 26, by Friends of the Nation, a local NGO, and the Africa Centre for Energy Policy (ACEP).
Speaking to Citi News on Thursday, November 27, Charles Paa Grant, secretary to the chief of Krampakrom, urged the government to halt implementation of the 5% rate and engage stakeholders thoroughly.
“To cut to the chase, I think we should stick to the 10% because they haven’t specified whether it will be by next year or within a few years. If prices increase, they may reverse it or raise it to any amount. But they are insisting on 5%, which is short-changing,” he said.
The chiefs warned that the reduced royalty rate could undermine expected development projects and social infrastructure in the communities affected by lithium mining.
Residents have also voiced concerns about the impact on their livelihoods even before full-scale mining begins. Predominantly farmers, they say the project has already disrupted crop cultivation.
“They stopped us from working. We have not been farming in our communities since last year. They have deprived us of building, farming, and doing many other things. Within that time, what are we going to do? Are they going to compensate us?” one resident asked.
