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DRAFT FOR DISCUSSION WITH BARRICK GOLD CORPORATION AND KAHAMA MINING CORPORATION LTD. DRAFT SOCIAL DEVELOPMENT PLAN FOR BULYANHULU GOLD MINE REPUBLIC OF TANZANIA PREPARED FOR KAHAMA MINING CORPORATION LIMITED P O BOX 1081 DAR ES SALAAM TANZANIA August 1999 by E.A. Pollett & J. J. Pooley G. Trusler / D. Terlien Institute of Natural Resources Digby Wells & Associates University of Natal P. Bag X10046 P. Bag X01 Randburg Scottsville, 3201 2125 Pietermaritzburg Gauteng RSA RSA

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Page 1: Report - CommDev Web view... the general structure of land holding was based on traditional tribal law and culture. ... This weakness in organisational capacity constrains local involvement

DRAFT FOR DISCUSSIONWITH BARRICK GOLD CORPORATION

ANDKAHAMA MINING CORPORATION LTD.

DRAFT SOCIAL DEVELOPMENT PLAN

FOR BULYANHULU GOLD MINEREPUBLIC OF TANZANIA

PREPARED FORKAHAMA MINING CORPORATION LIMITED

P O BOX 1081DAR ES SALAAM

TANZANIAAugust 1999

by

E.A. Pollett & J. J. Pooley G. Trusler / D. TerlienInstitute of Natural Resources Digby Wells & AssociatesUniversity of Natal P. Bag X10046P. Bag X01 RandburgScottsville, 3201 2125Pietermaritzburg GautengRSA RSAE-mail : [email protected] [email protected]

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INR Investigational Report No. 196

SOCIAL DEVELOPMENT POLICY STATEMENT

Kahama Mining Corporation Limited (KMCL) is currently developing a gold mine at Bulyanhulu, Kahama District, Tanzania.

Cognisance will be taken of the long-term development needs and the socio-economic development of the villages in the area affected by the mine. In this regard, formal efforts (outlined in a Social Development Plan) will be made to improve the standard of living of target communities close to the KMCL operation.

KMCL will assist local authorities to manage the impacts which could result from an influx of people due to its activities.

KMCL will appoint a Community Development Officer (CDO) to liaise with and assist households forming part of its Social Development Plan (SDP).

This CDO will be a person trusted both by the villagers and KMCL.

The CDO will assist affected households and communities in the implementation of the SDP.

The implementation of a Social Development Plan will be subjected to a regular process of independent monitoring and review in relation to ongoing environmental monitoring and auditing of the mine’s Environmental Management System.

PresidentKahama Mining Corporation LimitedFebruary 1999

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LIST OF ABBREVIATIONS AND ACRONYMS

AEZ Agro-ecological ZoneAIDS Acquired Immune Deficiency SyndromeCBO Community Based OrganisationCDO Community Development OfficerCOSPE Co-operation for Development of Emerging CountriesDW&A Digby Wells & AssociatesEIA Environmental Impact AssessmentEIS Environmental Impact StatementHIV Human Immune-Deficiency VirusIA&P’s Interested and Affected PartiesIEM Integrated Environmental ManagementIFC International Finance CorporationINR Institute of Natural Resources, University of NatalKMCL Kahama Mining Corporation LimitedNGO Non Government OrganisationPAP Project Affected PopulationPRA Participatory Rural AppraisalSDP Social Development PlanSIA Social Impact AssessmentSTD’s Sexually Transmitted DiseasesVC Village ChairmanVEO Village Executive OfficerWC Ward CouncillorWDC Ward Development CommitteeWEC Ward Executive CommitteeWEO Ward Executive OfficerWUG Water User Group

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TABLE OF CONTENTS

1 INTRODUCTION.......................................................................................................................................................1

1.1 BACKGROUND............................................................................................................................................................11.1.1 Studies conducted and environmental impact statement..........................................................................................11.1.2 Additional surveys conducted..............................................................................................................................2

1.2 STATEMENT OF OBJECTIVES AND TARGETS FOR THE RESETTLEMENT ACTION PLAN AND THE SOCIAL DEVELOPMENT PLAN......21.3 APPROACH AND METHODOLOGY..................................................................................................................................21.4 THE BULYANHULU MINE..............................................................................................................................................41.4.1 History and description......................................................................................................................................41.4.2 Mine development to date...................................................................................................................................41.4.3 Proposed mining operations................................................................................................................................5

2 BIOPHYSICAL ENVIRONMENT..............................................................................................................................6

2.1 CLIMATE....................................................................................................................................................................62.2 GEOLOGY, TOPOGRAPHY AND SOILS.............................................................................................................................62.3 WATER RESOURCES....................................................................................................................................................72.4 BIOLOGICAL DIVERSITY...............................................................................................................................................8

3 SOCIO-ECONOMIC ENVIRONMENT.....................................................................................................................9

3.1 INSTITUTIONAL ARRANGEMENTS..................................................................................................................................93.1.1 Introduction and context.....................................................................................................................................93.1.2 Political system..................................................................................................................................................93.1.3 Local government and administration..................................................................................................................93.1.4 Local community based organisation (CBO’s) and non government organisations (NGO’s).....................................13

3.2 LAND USE PATTERNS.................................................................................................................................................143.2.1 Past and present settlement patterns...................................................................................................................143.2.2 Land tenure.....................................................................................................................................................143.2.3 Crop production...............................................................................................................................................163.2.4 Livestock production.........................................................................................................................................193.2.5 Utilisation of indigenous flora, fauna and natural resources..................................................................................193.2.6 Other materials................................................................................................................................................203.2.7 Artisanal gold mining.......................................................................................................................................203.2.8 Entrepreneurial/business activities......................................................................................................................21

3.3 HISTORICAL AND CULTURAL ENVIRONMENT................................................................................................................223.3.1 Brief historical sketch of the area........................................................................................................................22

3.4 CHARACTERISTICS OF THE AFFECTED COMMUNITIES.....................................................................................................223.4.1 Demographic aspects.......................................................................................................................................223.4.2 Population characteristics of mine affected communities.......................................................................................253.4.3 Economic and employment status of mine affected communities............................................................................263.4.4 Education and Skills Profile...............................................................................................................................273.4.5 Welfare profile.................................................................................................................................................29

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3.4.6 Health profile..................................................................................................................................................293.4.7 Cultural profile................................................................................................................................................293.4.8 Village and household asset profile.....................................................................................................................29

3.5 LOCAL INFRASTRUCTURE..........................................................................................................................................303.5.1 Water supply systems........................................................................................................................................303.5.2 Energy supply systems......................................................................................................................................303.5.3 Transport/roads and communications systems.....................................................................................................313.5.4 Sewerage and waste disposal facilities................................................................................................................31

3.6 SOCIAL AND OTHER COMMUNITY SERVICES AND FACILITIES...........................................................................................313.6.1 Education facilities...........................................................................................................................................313.6.2 Health facilities................................................................................................................................................313.6.3 Retail/business facilities....................................................................................................................................313.6.4 Police and security...........................................................................................................................................323.6.5 Entertainment facilities.....................................................................................................................................323.6.6 Religious facilities............................................................................................................................................323.6.7 Graveyards.....................................................................................................................................................32

4 POTENTIAL ISSUES................................................................................................................................................33

4.1 INTRODUCTION.........................................................................................................................................................334.2 BIOPHYSICAL ENVIRONMENT.....................................................................................................................................334.2.1 Physiography..................................................................................................................................................334.2.2 Climate...........................................................................................................................................................344.2.3 Water resources...............................................................................................................................................344.2.4 Soils...............................................................................................................................................................354.2.5 Vegetation.......................................................................................................................................................354.2.6 Local natural resource utilisation.......................................................................................................................354.2.7 Wildlife...........................................................................................................................................................36

4.3 ECONOMIC ENVIRONMENT.........................................................................................................................................364.3.1 Land tenure rights............................................................................................................................................364.3.2 Equity.............................................................................................................................................................364.3.3 Agriculture......................................................................................................................................................374.3.4 Economic vulnerability.....................................................................................................................................374.3.5 Economic development.....................................................................................................................................384.3.6 Competition for economic resources...................................................................................................................394.3.7 Inflationary effects............................................................................................................................................394.3.8 Infrastructure...................................................................................................................................................40

4.4 SOCIAL ENVIRONMENT..............................................................................................................................................414.4.1 Social welfare..................................................................................................................................................414.4.2 Social change..................................................................................................................................................414.4.3 Pace of change................................................................................................................................................414.4.4 Population movement.......................................................................................................................................424.4.5 Social conflict..................................................................................................................................................42

4.5 POLITICAL AND INSTITUTIONAL ENVIRONMENT............................................................................................................424.5.1 Macro-political changes...................................................................................................................................42

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4.5.2 Possible increased local political activity.............................................................................................................434.5.3 Changes to power relations...............................................................................................................................434.5.4 Institutional capacity........................................................................................................................................434.5.5 Negotiation skills..............................................................................................................................................434.5.6 Communication...............................................................................................................................................43

4.6 ISSUES CONCERNING LAND USE, PLANNING AND INTEGRATED DEVELOPMENT..................................................................444.6.1 Previous, present and future land use issues.........................................................................................................444.6.2 Integrated and holistic planning.........................................................................................................................44

5 SOCIAL DEVELOPMENT PLAN.............................................................................................................................46

5.1 INTRODUCTION.........................................................................................................................................................465.2 OBJECTIVES.............................................................................................................................................................465.2.1 Scope..............................................................................................................................................................465.2.2 Possible development initiatives.........................................................................................................................47

5.3 STRATEGY FOR DEVELOPMENT...................................................................................................................................495.3.1 Approach........................................................................................................................................................49i) Establishment of institutional arrangements for the transfer and optimal utilisation of funds...........................................50ii) Establishment of a Development Foundation to disburse funds and to manage and monitor implementation...................50iii) Establishment of community level institutions which will play a key role in the identification and implementation of economic and social development projects........................................................................................................................505.3.2 Key principles of the strategy for development include:-........................................................................................505.3.3 Establishment of a Development Foundation.......................................................................................................505.3.4 Structure of a development foundation................................................................................................................51

5.4 ECONOMIC DEVELOPMENT PROGRAMMES FOR MINE AFFECTED COMMUNITIES................................................................515.4.1 Employment strategies......................................................................................................................................515.4.2 Intensification of Agriculture..............................................................................................................................525.4.3 Entrepreneurial Development............................................................................................................................525.4.4 Artisanal gold mining.......................................................................................................................................53

5.5 STRATEGY FOR MITIGATING IMPACTS OF AN ANTICIPATED INFLUX OF NEWCOMERS...........................................................535.6 IMPLEMENTATION SCHEDULE FOR SOCIAL DEVELOPMENT PROGRAMMES FOR MINE AFFECTED COMMUNITIES.....................545.7 EXPENDITURE TO DATE AND BUDGET FOR IMPLEMENTATION OF THE SOCIAL DEVELOPMENT PLAN....................................555.7.1 Expenditure to date..........................................................................................................................................55

5.8 BUDGET FOR IMPLEMENTATION OF SOCIAL DEVELOPMENT PLAN : 1999 – 2000..............................................................565.9 MONITORING AND EVALUATION..................................................................................................................................57

SOCIAL DEVELOPMENT PLAN-BULYANHULU GOLD MINE, TANZANIA

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PART A : CONTEXT

1 INTRODUCTION

Kahama Mining Corporation Limited (KMCL) - owned by Barrick Gold Corporation of Canada, a leading international gold producer with extensive mine development experience and operational expertise, (85%) and the Tanzanian Government (15%) - is developing a gold-copper deposit at Bulyanhulu, in the Shinyanga Region of northern Tanzania. Mining of the deposit will be by underground methods, and the life of mine will be at least 10 years. The project site is situated in Kahama District, approximately 45 km south of Lake Victoria, 127 km southwest of Mwanza, and 850 km northwest of Dar es Salaam (Map 1), on the Central Tanzanian Plateau (±1200 m above mean sea level). A 50 km2 Prospecting Licence area has been allocated to KMCL by the Tanzanian government, within which mine development has begun and within which one principal village (Kakola) and several smaller settlements are located.

1.1 BACKGROUND

1.1.1 Studies conducted and environmental impact statement

KMCL initiated environmental studies at Bulyanhulu as part of the exploration and engineering feasibility phases of mine development. These studies were designed to satisfy Tanzanian legal requirements and guidelines as well as those of the World Bank. The Terms of Reference for the specialist studies were compiled after an extensive series of meetings at village, ward, district, regional and national levels. When the Terms of Reference for these studies were compiled, it was not anticipated that any resettlement of local households would be necessary. A team of Tanzanian and international experts was chosen to complete various sections of the required studies. The experts were co-ordinated by the company Norecol, Dames and Moore, who were then also responsible for compiling the final documents.

A comprehensive Environmental Impact Statement (EIS) was completed in May 1998 and the results were again presented at district, regional and national levels to a number of significant role-players. As noted above, the resettlement of households from mine-administered lands had been omitted from the terms of reference for studies and resettlement issues were not addressed as part of the EIS for the mine.

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1.1.2 Additional surveys conducted

Once it had become evident that 56 households would have to be relocated from the proposed mine township and tailings dam sites, KMCL duly followed Tanzanian resettlement and compensation laws in this regard (in consultation with local Government). However, KMCL is currently seeking finance for the development of the mine, and decided to compile the relevant resettlement and social development plans according to World Bank Group guidelines in order to satisfy possible financier requirements.

A consortium of consultants with extensive experience in mining related social impacts (including resettlement and social development planning) both elsewhere in Tanzania and in sub-Saharan Africa was appointed to conduct the necessary studies and to compile the necessary reports. Resettlement planning was conducted, somewhat retrospectively, and resettlement has occurred. Long term economic development of mine affected communities, however, requires the compilation and implementation of a Social Development Plan (World Bank Operational Directive 4.30), to which end this report has been drafted.

This document includes a description of the mining development (Part A), characteristics of the receiving biophysical and social environment (Part B), and potential socio-economic issues linked to this receiving environment (Part C). The Social Development Plan (SDP, Part D) has been developed for the affected area, the main aim of which is to maximise the benefit to the surrounding community of having a mine in the area, by initiating a number of economic development projects.

1.2 STATEMENT OF OBJECTIVES AND TARGETS FOR THE RESETTLEMENT ACTION PLAN AND THE SOCIAL DEVELOPMENT PLAN

Key objectives and targets of the Social Development Plan (SDP) include:

i) Compliance with all relevant Tanzanian legislation, as well as with the policies of Barrick Gold Corporation and KMCL;

ii) Preparation and implementation of the SDP within the guidelines of World Bank Operational Directive 4.30.

iii) To ensure meaningful participation of mine affected communities in this planning and implementation process.

iv) To use the relocation process to stimulate development programmes involving re-settlers and the communities surrounding the mine, in a manner that will lead to sustainable and integrated local development.

v) To promote the establishment of economically sustainable communities prior to mine closure.

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1.3 APPROACH AND METHODOLOGY

The Institute of Natural Resources (INR) has wide experience of undertaking socio-economic studies in sub-Saharan Africa, and was approached by Sutton Resources (now bought out by Barrick Gold Corporation, also of Canada) to conduct this study at short notice. In order to complete the report within a very short time frame a Consortium was established with other consultants whom have similar experience. At Bulyanhulu local teachers were contracted to assist with field facilitation and translation (key informant interviews, household and interest group meetings). Two members of Kahama Mining Corporation (KMCL) who have been directly involved with community related activities to-date also assisted the team. Members of the Consortium and field team are listed in Table 1.3.

Table 1.3 : Study Team

NAME ORGANISATIONA. Project Team Consortium

Mr E.A. Pollett Lead ConsultantInstitute of Natural Resources

Mr J. Pooley Institute of Natural ResourcesMs D. Terlien Digby Wells and AssociatesMr G. Trusler Digby Wells and Associates

B. KMCL StaffMr O.C. Lopa Public Relations Manager,

Bulyanhulu Exploration Camp.Mr F. Rwamugira Chief Surveyor,

Bulyanhulu Exploration Camp.C. Field Facilitators/Translators

Mr J.A. Kdima Ibanza Primary School Teacher.Mr B. Mhambo Bugurama Primary School Teacher.Mr F. Misungwi Segese Primary School Teacher.Ms N. Msabaha Kishimba Secondary School.Ms G. Sayi Kahama Secondary School TeacherMr J. Sazia Bariadi Secondary School TeacherMr B. Taga Kakola Primary School Teacher

The terms of reference for this study and the level of data to be gathered were discussed extensively between Sutton Resources and the International Finance Corporation (IFC) prior to commencement of field work. The study was based on an intensive 10 day field visit to the study area, prefaced by a thorough examination of the existing Environmental Impact Statement for the mine, other reports dealing with the characteristic of the study area, and extensive discussions with Sutton Resources / KMCL

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representatives. Preparations for the field visit were finalised during December, 1998, through the use of on-site KMCL staff.

The site visit to Bulyanhulu was conducted during the period January 5th - 15th, 1999. During this visit information was obtained as follows:

By holding a series of discussions with key informants, including on-site KMCL employees, Sutton Resources personnel, village chairmen, ward chairmen, regional, district and national government representatives, and affected household members. These discussions were usually held at the place of residence, office or station of the key informants involved. Vehicles and translators (local teachers) were utilised to access and communicate with local households.

Through the use of structured questionnaire surveys, and the use of participatory rural appraisal techniques. The questionnaire surveys were undertaken by a team of 7 local teachers after training and conducting pilot questionnaire surveys of selected households.

Through the use and interpretation of all existing maps, aerial photographs and plans which could be obtained for the study area.

The data collected through both desktop and field studies was then assimilated, analysed and synthesised before being submitted.

1.4 THE BULYANHULU MINE

1.4.1 History and description

Table 1.4 provides a chronogram of the history of discovery of the deposit, geological exploration, artisanal mining and construction of the mine. Gold was discovered at Bulyanhulu in 1975, reputedly by a herdsman who saw some gold bearing quartz in the roots of a fallen tree. The discovery attracted some small-scale artisanal mining to the site. Government geologists were brought in to map the site and conducted limited drilling work in the late 1970’s. The State Mining Company (Stamico) continued with exploratory drilling between 1980 and 1982. Between 1983 and 1985 Stamico entered into a joint venture with Outo Kumpu and Kone Corporation of Finland to conduct further drilling work. In December 1989 Placer Dome (an international exploration and mining company) acquired the property, conducting further exploratory work until 1992 when they relinquished their property rights to Bulyanhulu. In August 1994 the government granted a prospecting licence to Kahama Mining Corporation Ltd (KMCL), a subsidiary of Sutton Resources, a Vancouver based resources company. Barrick Gold Corporation has since bought out Sutton Resources.

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KMCL has, since 1994, conducted numerous surveys and drilling programmes in order to delineate and understand the characteristics of the orebody. Approximately 8 million ounces of gold have been defined in two reefs at an average grade of 13 grams/ton. Reef 1 has been shown to be continuous over a length of 7.5km, with the main orebody having a strike length of 1.5km.

The reefs are at least 1 100m deep and the mineralisation is associated with pyrite (10 to 15%) and chalcopyrite (up to 2%) as well as lesser amounts of pyrrhotite.

1.4.2 Mine development to date

In addition to an older exploration camp KMCL, has recently constructed accommodation for some 400 people on site with attendant ablution and entertainment facilities. The company has also mined a box-cut and developed and roadway into the orebody where trial mining using local miners was conducted in the period 1997 – 1998. The main plant and orebody areas have already been fenced and security is provided by some 150 security personnel.

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The earthworks for a metallurgical plant, water control and storage dams and tailings dam area are almost complete. Water is presently obtained from one high yielding borehole. A 1.6km long dirt airstrip has been constructed. The road access from Kahama to the mine (Map 2), a distance of 76km, was upgraded in 1998 and is functional. Upgrading of the road involved the following activities:

Stripping compressible material along the existing road; Compacting the sub-grade; Raising the sub-grade approximately 1m above the general floodplain in floodplain areas; Spreading and compacting a 0.3m thick layer of lateritic gravel over the road; Providing turn-outs, run-off ditches and culverts.

The lateritic gravel was obtained from a series of borrow pits along the road (Map 3), whilst general fill was obtained from smaller borrow pits (‘sand concessions’) developed by local entrepreneurs.

1.4.3 Proposed mining operations

It is planned to mine the deposit at a rate of 2 500 tones/day to produce 300 000 ounces of gold/year for a period of at least 10 years. The mine will employ approximately 1 100 full time employees at full capacity. Mining will be by means of access from the box-cut and inclined roadway for the first two years. During this initial period a shaft will be sunk which will facilitate mining of deeper parts of the ore body for the remainder of the mining period.

The metallurgical process will consist of crushing, milling, gravity recovery, flotation, cyanidation, and gold electrowinning. Some 14 500 tons/annum of copper-gold-silver concentrate will be produced annually, as well as an average of 11 tonnes of gold bars. The plant tailings will be dewatered and a substantial portion (up to 50%) will be mixed with cement and placed back underground in worked out areas. The rest will be spread on a lined tailings facility in paste form. Power for the site will be provided by on-site diesel or heavy fuel oil generators.

Process water will be piped 48 km in a 250mm ID, HDPE, pipeline from Smith Sound, a southerly extension of Lake Victoria. The system will be designed to deliver approximately 160m3/hr of water to the mine, of which the mine is expected to require approximately 63m3/hr and 14m3/hr has been allowed for village consumption along the route. The pipeline will thus not be in continuous use. Water will also be supplied to the villages situated along the pipeline route.

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PART B : DESCRIPTION OF THE AFFECTED ENVIRONMENT

2 BIOPHYSICAL ENVIRONMENT

2.1 CLIMATE

The study area experiences a subtropical climate, with one cooler, dry season per year occurring between May and September, and either one or two wet seasons occurring between October and May. A short drier period is commonly experienced in January. The coolest month is generally July, when daily temperatures average 18 C, whilst the hottest month is usually November, when temperatures may average 30 C. Mean annual rainfall is approximately 800mm, with most of the rain falling during the wet months (October-May) and very little falling between June-September (<10 mm / month). Mean annual evaporation is approximately 2000 mm, i.e. a net moisture loss of 1200 mm/annum occurs. Winds generally blow from the south or south east, with wind speeds averaging <10 km/hr for most of the dry season and <5 km/hr during the wet season,

2.2 GEOLOGY, TOPOGRAPHY AND SOILS

The project is situated in the Archaean Tanzanian Craton, which extends some 700-800 km southwards from Lake Victoria and some 400-500 km in a west-east direction, and which is surrounded by younger Proterozoic belts. Economic gold mineralisation in the Tanzanian Craton is principally associated with the greenstone belts of the Nyanzian System, and in particular with two concentric ovoid greenstone belts in the north western part of the craton. These greenstone belts are surrounded by an intrusive granite gneiss terrain. The greenstone belt at Bulyanhulu comprises intermediate to felsic volcanic and volcaniclastic rocks with thin sedimentary layers at the boundary between volcanic cycles. Gold, silver and copper mineralisation at Bulyanhulu occurs in discrete semi-parallel shear zones (‘reefs’) striking 315 and dipping steeply to the northeast.

The project area is characterised by well-drained, gently undulating to rolling topography forming part of the Central Tanzanian Plateau, which has an average elevation of approximately 1200 m. The area around Bulyanhulu is relatively flat, with elevations ranging from less than 1170 m to 1208 m above mean sea level within the mine concession area. The only prominent hills / outcrops are found some 2km southwest and 8km north east of the current mine development, and have been formed by intrusive granites. The lack of gradient has resulted in a very uniform landscape throughout the study area.

The natural soils of the project area have developed largely from the mainly granitic and gneissic bedrocks, and are characterised by possessing moderate fertility (nutrient supply) which readily supports natural vegetation and a wide range of crops under the subtropical climatic conditions described above. Residual soils, except in bottomland (‘mbuga’) areas, are often highly laterised, as is

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common in tropical and subtropical conditions. As a result, zones very close to surface are often very rich in iron and through intense desiccation (related to the 1200 mm/annum moisture deficit) have cemented to almost rock-like consistency (ironstone or ferricrete). The main soil types overlying the granitoid and volcanic rocks of the Bulyanhulu area include clay rich vertisols (‘Mbuga’ soils) - found in low lying areas including the alluvial flood plains – which are deep, black, imperfectly drained, hard when dry and very sticky and plastic when wet; deep brown loamy Acrisols (‘Luseni’ soils) - found in the KMCL project and camp area – which have a thick sandy topsoils and gravely, laterised subsoils; and deep, well-drained, reddish brown Luvisols (‘Kikungu’ soils) – loamy sands which have developed from gneissic or granitic rocks in areas to the south of the Kakola settlement and in Lwabakanga. The major limiting factor for the growth of crops in the soils of the project area is lack of moisture holding capacity (with the exception of the mbuga soils).

2.3 WATER RESOURCES

The Bulyanhulu River is the main watercourse traversing the project area, although a tributary, the Kabhanda River, is located on the eastern side of this area. The Kabhanda River is dry most of the year, whilst the Bulyanhulu River generally dries up during the dry season. Predicted discharges in the Bulyanhulu River range from no flow during periods in August and September to maximums of greater than 13 m3/s in December and January. Water quality data collected during 1997 for the Bulyanhulu River indicate elevated arsenic and lead concentrations (i.e. exceeding World Health Organisation guidelines) most months and elevated copper and mercury concentrations during some months. However, concentrations of copper, mercury and lead all appeared to decrease through 1997, probably due to the cessation of widespread artisanal mining and processing (using mercury) activities in the area.

Groundwater in the Bulyanhulu area occurs in two major aquifers: a shallow laterite aquifer, typically 5-20m deep, and a weathered saprolite (saprolite is another term for weathered rock) aquifer, typically 26-90m deep. The laterite aquifer is situated in lateritic soils and silts, perched upon cemented laterite and is dominated by fracture flow. Recharge to this aquifer is controlled by direct rainfall and surface run-off with subsequent infiltration through the soil mantle. As a result, it contains relatively fresh, low conductivity, ‘hard’ water, which - if treated to remove bacteria and parasites - is of potable quality. The deeper saprolite aquifer is heterogeneous, dominated by fissure flow, and has a low storage capacity due to the low effective porosity of the saprolite. The mechanism of recharge to the saprolite is considered to be both directly through infiltration through the weathered profile, and through more limited lateral flow from the margins of the outcrop. Water quality indicators reflect ‘hard’ groundwater of moderate conductivity, low iron and nitrate levels, and very low coliform counts.

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2.4 BIOLOGICAL DIVERSITY

The recent activities by artisanal miners in the Bulyanhulu area has greatly reduced local fauna and flora. Widespread tree felling (for shaft building, building poles and fuelwood), digging of pits, noise, etc. substantially reduced the suitability of the area for wildlife by substantially degrading the original Combretaceous woodland habitat. As a result, only those species which were able to survive in edge situations, or in close proximity to humans, have persisted. In addition, poaching for meat has taken a toll on even the smaller antelopes such as dik-diks. Species associated with wetlands and the Bulyanhulu River, as well as those which depend on seasonal temporary pools of water for breeding, have been impacted upon by high levels of siltation associated with artisanal gold mining.

The project area lies within a thicket and savannah area that is relatively flat and lightly treed relative to other parts of the country. Current vegetation types include dwarf Acacia wooded grassland; Combretum coppicing open bushland (recovering from extensive clearing activities); disturbed Combretum open shrubland, heavily disturbed areas covered in fast colonising weeds; riparian vegetation and cultivation / settlement areas.

The only mammalian species identified within the project area of management concern was the vervet monkey (Cercopithecus aethiops), which is a widespread species in Tanzania. Likewise only one reptile, the Nile monitor lizard (Varanus niloticus), was identified which is of management concern, whilst no amphibians of such a nature were identified. Fish habitat adjacent to the project site is generally of low quality and ephemeral. Seven species belonging to five families have been identified in the area, including two species in the Bulyanhulu River and the remaining species being found in a perennial wetland which is connected to the river in the wet season. Fish are caught locally in small numbers for subsistence purposes. Mercury concentrations in fish livers exceeded the World Health Organisation recommended guideline, but concentrations in muscles did not. Only one major taxon of benthic macroinvertebrates, which are eaten by fish, was found. Chironomid larvae were the most abundant, and are characteristic of highly disturbed sites. Aquatic plants were generally absent along the Bulyanhulu River near the mine site, possibly due to displacement by artisanal mining activities.

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3 SOCIO-ECONOMIC ENVIRONMENT

3.1 INSTITUTIONAL ARRANGEMENTS

3.1.1 Introduction and context

The KMCL mining development is situated within the Kahama District of the Shinyanga Region of Tanzania, although it also impacts upon several villages within the Geita District of Mwanza Region.

In this section local government structure and functions are discussed, as are local political structures, local government services and infrastructure, and the cultural profile of the affected population. Attention is focused somewhat on Kahama District – within which the mine is situated – and Kakola Village, the village situated immediately adjacent ( 2km) to the mine itself.

3.1.2 Political system

The United Republic of Tanzania is a sovereign state, which consists of the area formally known as Tanganyika and that of the islands of Zanzibar and Pemba. Tanganyika became a Democratic Republic under an Executive President on 9 December 1962. The two sovereign Republics of Tanganyika and Zanzibar formed a political union on 26 April 1964 which gave rise to Tanzania.

Matters concerning Zanzibar and Pemba are dealt with by the Revolutionary Government of Zanzibar. The Union Government deals with matters concerning the former Tanganyika and is currently seated in Dar es Salaam, although plans are in place to move it to Dodoma. General elections are held every 5 years. The country’s Executive consists of the President, the Vice-President, the Prime Minister and a Cabinet of 24 Ministers.

3.1.3 Local government and administration

The Local government structure is divided as follows, in decreasing order of authority:

Region District Division Ward Village Sub-village

Tanzania is divided into Regions, each of which is divided into Districts. Each District is made up of several Divisions, and each Division comprises a number of Wards. Wards within a given geographical area comprise a number of independent villages, each of which may be further subdivided into sub-villages. A description of each of these administrative levels is provided below, with any accompanying listing of the relevant subdivisions within the KMCL project area.

Region

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Regions are the largest administrative subdivisions in Tanzania. There are 21 Regions, 2 of which are affected by the KMCL operation, namely Shinyanga and Mwanza Regions. KMCL’s Bulyanhulu mine is situated within Shinyanga Region, which is situated immediately south of Lake Victoria, in the central part of northern Tanzania. Occupying an area of approximately 50 800 km2, Shinyanga had a population of 1.76 million at the time of the last national census in 1988 and is headed by a Regional Commissioner (currently General T.N. Kiwelu). Several villages falling into Mwanza Region (situated just to the north and east of the mine) will also be impacted by mining related activities. Shinyanga and Mwanza Regions are separated by the Bulyanhulu River, which flows past the mine area to the north.

District

Each District is headed by an appointed District Commissioner. Most government agencies are represented at District level, including the Departments of Land, Agriculture, Livestock, Community Development, Defence, Police, Immigration, Natural Resources, Health, Education and Communication. The major administrative organ at District level is the District Council, which consists of all the Ward Councillors in a particular District. The District Council has administrative and magisterial functions and is required to provide financial support to the village councils established within its authority. It is further responsible for the provision of various services (e.g. health and educational services), and must encourage economic development.

Shinyanga Region is divided into 7 Districts, including Shinyanga Urban, Shinyanga Rural, Bariadi, Meatu, Maswa and Kahama Districts. KMCL’s Bulyanhulu mine is situated within Kahama District which covers an area of approximately 20 000 km2, had a population of 0.5 million in 1988 and is headed by a District Commissioner (currently Mrs H. Mchopa).

The pipeline from Lake Victoria to Bulyanhulu traverses Geita District, which is part of Mwanza Region. Some of the households which have relocated from the Mine Township site in Kahama District have relocated to Geita District (mostly to the village of Iyenze).

Division

Each District is divided into a number of Divisions and is managed by a District Council. Divisions represent a less substantial administrative tier than do Wards or Districts. A Division Administrative Secretary, who is assisted by a small contingent of support staff, heads each Division. Officially, the responsibilities of the Division include supervision and monitoring administrative aspects of the Wards under its jurisdiction. Decisions relating to the classification of villages as either sub-villages or independent villages are made at Division level. The Division is also charged with implementing Government projects and programmes in Wards, some of which are of a political nature. Division staff conduct monthly tours of Wards and report to the office of the District Commissioner.

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Kahama District is divided into 8 Divisions, 48 Wards and 329 villages, with the KMCL project area falling into Msalala Division.

Ward

Wards consist of two or more independent villages and associated sub-villages. It is an administrative structure usually headquartered in one of the independent villages of the Ward. Its governing bodies are the Ward Executive Committee (WEC), and the more inclusive Ward Development Committee (WDC). Each Ward contains at least one dispensary.

The Ward Executive Council (WEC) consists of Ward officials including the WEO – a non-political government employee – the Ward Education Co-ordinator, Ward Councillor (WC), Ward Health Officer and Ward Agricultural Extension Officer. Apart from the Ward Executive Officer, who is appointed by the District Government, and the Ward Councillor, who is elected, the other officials form part of their respective Government departments.

The WDC, headed by a Ward Executive Officer (WEO), consists of the WEC and the Village Committees. Each WDC has various sub-committees responsible for land, security, finance and other areas, and is responsible for the implementation of decisions and policies in these areas.

The KMCL mine falls within Bugurama Ward, headed up by Ward Executive Officer Mr M. Kentaku. The ward is headquartered in Bugurama Village, some 8kms south of Bulyanhulu mine.

Independent Villages

An independent village is a collection of homesteads which is often nucleated. Typically independent village centres consist of a more developed community than peripheral sub-villages in the sense that centres are a locus of infrastructure and service development, and always contain a primary school. Bugurama Ward is made up of 7 villages and 32 sub-villages. Table 3.1.3 provides an overview of the villages and sub-locations found within Bugurama Ward.

Each independent village has a village governing body called the Village Committee headed by an elected Village Chairman (VC), the most senior village level official. Other members of the Village Committee include the Village Executive Officer, an appointed official, the Head Teacher of the primary school, the Village Chairman of each sub-village and representatives of the general population. In addition there is a Social Welfare Committee, a Financial and Planning Committee and a Security or ‘Sungu-Sungu’ Committee. The community elects the committee members and

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Table 3.1.3 : Village and Sub-locations within Bugurama Ward, Number of Households and Population.

Village Kakola Bugurama Busindi Buyange Ilogi Igwamanoni Busulwangili TOTAL

No. of households 424 427 135 362 280 250 406 2284

Sub-LocationsNo. of people

Kakola Centre347

Bugurama564

Busindi A376

Buyange262

Ipamila521

Luseni280

Lwabakanga920

Namba Tisa298

Nyangaka572

Busindi B352

Kanindo454

Kihuzi252

Duhani302

Busulwangili810

Kabale100

Buwango519

Igalagalilo249

Ibanza222

Ilogi934

Buhiti341

Kolandolo400

Bushingwe198

Igudija A227

Mbapa138

Izunya333

Isunga154

Igudija B359

Nyanhandala310

Igalallilo B606

Ntashigwe77

Shibingo406

Nyamagula398

TOTAL POPULATION 943 3253 1115 2056 1861 923 2130 12281

Source : Bugurama Ward Executive Offices, January 1999.

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each committee has 5 members who serve for a period of 5 years. A brief description of the functions of these committees is provided below:

The social welfare committee

This committee deals with: water supply and provision (currently Water User Groups are being set up); hygiene and sanitation by encouraging the use of latrines, simple means of sewage disposal and by

keeping homes and surroundings clean and tidy; educational issues - through the school committee consisting of parents and teachers; The Committee works closely with the Primary Health Care Committee (HAM), a nation wide

committee that functions at village, ward and district level. HAM’s undergo a three-month training course run by the NGO World Vision. The HAM in Kakola consists of two local village assistants who educate people on general health matters. These persons are able to apply first aid techniques, give vaccinations, educate woman and children on health and nutrition, provide information on malaria and AIDS and on the correct use of latrines.

3.1.3.1 The finance and planning committee

This committee deals with taxes and levies. The purpose of the Committee is to ensure that the people pay their taxes and to plan projects according to yearly budgets. Economic strategies are controlled by the District Executive Directors and councillors.

Present projects for Kakola village include the construction of classrooms and desks through contributions obtained from the local community and KMCL, and the initiation of a water project. The water project is attempting to raise funds through the establishment of Water User Groups (WUG). It has been agreed that every WUG needs to open an account containing a token Tsh 50 000 to help pay for 5 pumps on boreholes sunk as part of KMCL’s Feasibility Study investigations (KMCL will pay the balance).

3.1.3.2 The security and defence committee

Village Security is provided through the Sungusungu. The Village Chairman is the head of the “Sungusungu”, the local people’s security force.

In theory every adult male is part of the village security force.

3.1.3.3 Sub-Villages

Sub-villages comprise a collection of households (often dispersed). Each official sub-village has an elected Sub-Village Chairman, who, together with other sub-village notables form the sub-village governing body responsible for daily sub-village affairs. As noted above, the 7 villages in Bugurama Ward are divided into 32 sub-villages. Table 3.1.3 provides population data for these villages and sub-villages.

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3.1.4 Local community based organisation (CBO’s) and non government organisations (NGO’s)

3.1.4.1 Non government organisations (NGOs)The NGO’s identified during the site visit as being active in the area include:

Domestic Water Supply Programme(DWSP) – A Dutch Government Aid agency; World Vision (an aid organisation actively involved in water supply projects in rural villages); HESAWA – A Swedish Aid organisation.

3.1.4.2 Community based organisations (CBOs)

A number of government initiated CBO’s exist in most villages, they include:

Water Users Groups (WUG’s) – A concept introduced by the Dutch Government Aid Agency, and now adopted by local government, is to form water user groups for every 50 households who will then pay rates for water (to be used for the maintenance of systems).

Revolving Fund Groups – These consist of members who raise funds that are then lent to group members in a rotating order.

Two types of ‘Dala-dala’ groups – one group exists for owners of motor vehicles and one for owners of bicycles. These groups regulate transport routes, taxes etc.

Umoja Wanawake Tanzania (UWT) – Woman’s group which deals with economic strategies such as food production and operating of small restaurants.

No 1 Group – Group of tailors Builders group – This group is involved in the making of bricks, construction of buildings and

roofs as well as carpentry.

3.2 LAND USE PATTERNS

3.2.1 Past and present settlement patterns

Between 1974 and 1980 Tanzania’s then President (Nyerere) undertook a national programme of villagisation (termed ‘Ujamaa’), under which previously dispersed settlements were concentrated into Ujamaa villages in order to facilitate centralised service provision. Households were often separated from their cropping lands, and were sometimes resettled in areas less fertile than their original homesteads. As a result, people rejected forced villagisation and began to return to ancestral lands, gradually re-establishing the previously dispersed settlement pattern.

This return to dispersed settlement patterns has been particularly characteristic of the Sukuma community, who inhabit the study area. According to Sukuma custom, people tend to occupy relatively

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large plots of land, which encompass houses “kayas”, storage buildings, a cattle pen and cropping fields or “shambas”. Houses are generally built for temporary residence, to enable the rotation of the homestead arrangements, in order to maximise the carrying potential of cropping fields. When the shamba starts losing it’s fertility, it is moved to the cattle pen which is richly covered in manure. The pen may then move to the position used originally for the shamba, and so on.

Increasing population pressure on local resources has led to less and less rotation of crop lands, which has in turn lead to a decrease in soil fertility and decreasing crop yields in certain areas.

3.2.2 Land tenure

Prior to colonisation by the Germans and subsequently the British, the general structure of land holding was based on traditional tribal law and culture. Chiefs and elders controlled and allocated land to members of the tribe. The German administration introduced a different land tenure system whereby some land (predominantly prime agricultural land) was allocated as freehold land mainly to settlers. All land that was not possessed by chiefs and indigenous communities was designated Crown Land in 1895 (the beginning of nationalisation of land). Under the British administration all land, whether occupied or unoccupied was declared to be public land in 1923, and the concept of “rights of occupancy” was introduced. In 1928, in an attempt to protect native rights to land, a right of occupancy was redefined to include the “title of a native community lawfully using or occupying land in accordance with customary law”. (Ministry of Lands, Housing and Urban Development, 1995).

In order to avoid the creation of a small landed class after the attainment of independence in 1961 Freehold Titles were converted to leaseholds in 1963 and were later changed in 1969 to “Rights of Occupancy”.

All land is vested in the President of Tanzania on behalf of the Republic, and hence all land is currently owned by the Government. As a result, no monetary value is ascribed to land, per se, although rights of tenure are given to households, villages, Government institutions or corporations.

The current tenure system recognises these three forms of ownership, i.e. customary land tenure, right of occupancy and public land. Title deeds do not exist to customary land rights or ancestral lands. Statutory rights of occupancy imply that development conditions may be placed upon lands, that the holder of the land has no right to subdivide, transfer or mortgage the land without Government permission, and that the holder should pay rent to the Government. Villages are supposed to have been granted ‘rights of occupancy’, but due to the fact that this involves surveying the land and providing titles, most villages remain untitled. Public land rights are given to land required for public purposes (schools, police stations, etc).

Despite the official state monopoly of land, an active property market manages to exist. Officially property transactions include not the land but the improvements made to it, which in rural areas

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constitutes virtually any transformation effected to land (buildings, cultivated crops, planted trees, etc.). It is thus possible to acquire “ownership” to land by making improvements to it.

Within villages, land allocation is regulated by a land allocation committee. Prerequisites for land allocation include citizenship and adult status (18 years plus), and a ‘clean track record’ in the village. The application for land is accompanied by a motivation and a reference letter from the applicants previous village chairman, if applicable. Applicants may choose their preferred site – no specific areas are generally reserved for different land uses - and forward the request to the village chairperson and land allocation committee. If permission is granted, the site will be measured out by foot and forwarded to Ward level, upon which it is sent to District level for approval. The generally prescribed plot sizes include 1 ha for residential and business plots and 2 ha for agricultural land. Unimproved land falls under the authority of the village government.

No costs are involved with the acquisition of land, although apparently the applicant is required to provide a free meal to the land allocation committee once land has been demarcated. A land occupant cannot sell his/her land rights, although it can be given away to a reputable person. Upon the death of a household head, property ownership is transferred to his wife and children. In the case where both parents are deceased, the property will be controlled by the eldest son, if he is old enough, or otherwise by an uncle who will act as a guardian. Should there be no direct descendants, the property will be transferred to the deceased man’s brother. In the event of an entire family vacating an area which they had previously controlled, land reverts to the village government.

3.2.3 Crop production

Local Sukuma communities depend on the land for their livelihoods and activities are often seasonally bound. Table 3.2.3.A presents an overview of the major seasonal activities on a monthly basis, whilst Table 3.2.3.B illustrates agricultural tasks performed between November and October. The majority of households are involved in subsistence crop farming, involving mainly production of cassava, maize, beans and sweet potatoes. Land is cultivated for some 3 to 4 years, after which the homestead is re-arranged such that fields are rotated onto fertile cattle enclosures, houses onto fields, etc. Croplands adjacent to homesteads receive better fertilisation from the application of household and livestock wastes.

Six maize varieties are grown, which generally take approximately 2-4 months to mature. Two types of cassava are grown: a sweet variety that can be eaten raw and takes 1-2 years to mature, and a bitter variety that needs to be cooked and takes 2-3 years to mature. Beans are inter-planted with maize and take 2 months to mature. Groundnuts, sorghum, and sweet potatoes take 2-4 months before they can be harvested. Cotton (needing 6-7 months to mature) and rice crops (3-4 months) are also grown for cash income.

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Table 3.2.3.A : Seasonal activity cycle of local households.

Seasonal Activity Issue/DeprivationOctober Collect and store firewood for the wet season.

Initiate small groups for “Erika” practice (short term communal work on a specific field in return for food, drink and celebration provided by the host). Start of short rains.

Short rains.Water and food shortages.Diarrhoea common amongst children.

November Practice “Erika“ – communal work preparing fields. Water and food shortages continue.Pests, particularly (rats) eat remaining stored maize.

December Start vegetable gardens (onions, tomato, cabbage, spinach, pumpkin, carrots, potatoes).Men plant sisal plants.

Diseases common amongst children and the elderly, such as gastro-intestinal ailments and fever.

January Start of long rains.Crop maintenance and weeding.

Continued food shortages and malnutrition.

February Crop maintenance and weeding. Malaria common, affects labour inputs.

March Dry and preserve vegetables and cassava leaves for periods of food shortage.Make traditional beer (throughout dry season).

April Collect indigenous fruits such as “Sungwi”; “Mpulu”; “Salase” and “Matundwa”.

May Rain ends, collect indigenous “bukoma” fruits.Collect mushrooms.Pick guava’s.

Dust leads to respiratory ailments.Influenza.

June Continue collection of “Bukoma”.Harvest and sell cotton.Cut thatch grass.

July Men construct new homesteads.Women make cotton thread for mending clothes.Make mattresses for the household.Make clay pots.Start with preparations for harvest and marriage celebrations.

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August Continue homestead construction and making of clay pots.Food preparation for celebrations.Celebrations at their peak.Pick paw-paws.

September Make clay pots.Fetch firewood for rainy season.Clear and burn maize and cotton fields.

Source : Key Informant Interviews. January 1999.

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3.2.3.1 Problems associated with crop production

Households generally produce sufficient crops for subsistence purposes. However due to cash shortages households barter food crops in return for medicine, clothes, kerosene etc., which often leads to food shortages during the early part of the wet season, before crops are ready for harvesting. In addition, respondents living within the study area raised the following problems:

Households commonly lack capital to buy proper equipment and tools for farming. The majority of households cultivate land without the use of inorganic fertiliser. Crop rotation is not practised (although different crops are commonly inter-planted in the same

field). Land shortages occur due to increasing population pressure, and increasing need for arable land for

crop production. Pests such as rats, bats , mongoose and locusts commonly attack crops and stores. Local crop diseases affect cotton, cassava and maize crops. Low prices are paid for cotton crops by cotton unions. Prices of food crops can be very high, especially during periods of drought.

It is apparent that households adopt “low input, low output, low risk” methods of crop production. The constraints of subsistence agriculture are manifest and include inadequate tillage, weed control, pest control, fertilisation, etc.

3.2.3.2 Fruit trees

A wide variety of fruit trees are grown within the project area, forming an important supplement to the staple crops grown. The following varieties of fruit trees were observed: banana, mango, paw-paw, guava, lemon and jack fruit. Very large mango trees owned by some households contribute significantly to household food supplies.

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Table 3.2.3.B :The agricultural cycle of local households.

Month ActivityNovember Start of the wet season (short rains).

Start ploughing.Plant maize and groundnuts, cassava, beans, sweet potatoes and sorghum.

December Continue planting of above crops.Plant cotton and rice.

January Fertilise crops, thin out and weed commercial crops. February Continue planting of rice , sweet potato, cassava and sorghum until March (start of

long rains).March Continue above activities.April Plant “ dengu” a type of bean.May Continue planting of Dengu.

Rainy season ends.June Harvest.July Harvest.August End of harvest.September Harvest celebrations. October Start bush clearing.

Source : Key Informant Interviews. January 1999.

3.2.4 Livestock production

For many local households animal husbandry forms an important part of their strategy for survival. The household questionnaire survey undertaken in January 1999 revealed that 65% of resettling households own cattle. Goats, sheep and poultry are owned by 52%, 28% and 87% of resettling households respectively.

Livestock are an important source of wealth and provide a source of milk, meat, dung, and hides for local people. They are also used as draught animals, as a trade commodity and for dowry payments. Status is also attached to ownership of livestock. Livestock are also kept as insurance against crop failure, since in an emergency livestock can be sold or exchanged for various food supplies. Cattle are herded and kept within the cattle kraal at night. During the dry season – i.e. from August until September - the adult men take the cattle to greener pastures (often as far as Lake Victoria). Once a suitable grazing area has been found, herding takes place in shifts allowing some men to return home

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3.2.5 Utilisation of indigenous flora, fauna and natural resources

Natural resources provide an important basis on which local livelihoods depend. Households rely on a range of indigenous flora as well as other natural materials to satisfy their needs and sustain their members.

3.2.5.1 Flora

A variety of indigenous berries (Sungwi, Mpulu, Salase and Matundwa) are collected from March until June, as are wild mushrooms which appear during May. The trees and bushes that these berries grow on apparently occur abundantly within the study area. Various species of trees are used for the construction of house frames, walls, cattle kraals and storage baskets, although large trees are becoming more difficult to obtain in the project area. Trees are also used for fabricating ploughs, tools and carts, as well as for fuel (i.e. for warmth and cooking). Thatching grass (for roofs and shade structures) can be found within the study area. Fields and homesteads are often fenced using sisal plants, the stems of which are often also used for making roof poles and rope.

3.2.5.2 Fauna

Wildlife is very scarce in the KMCL project area due to historical disturbances (artisanal mining activities brought thousands of people to the area in the period 1994 - 1996), and the use of fauna is thus limited. Fishing does not form part of local Sukuma tradition and is not practised in the study area. However, fish are sold at the local markets by entrepreneurs who cycle in with baskets of fish caught in Lake Victoria.

3.2.6 Other materials

‘Mbuga’, a black and fertile clay soil, is found in patches in the area, particularly in lowland areas. This soil is particularly suitable for the cultivation of rice. Clay for making pots is collected at the foot of the Siga hills. Sandy soil is used for the construction of unbaked bricks, whilst clay rich soils are used for the construction of traditional (‘wattle and daub’) houses. A number of old artisanal mine shafts and washing plants have remained from the Bulyanhulu gold rush. A number of people are still extracting gold from tailings deposits in and adjacent to the Bulyanhulu river, which arose from previous mining activity. There are numerous sites of current gold mining in the area adjacent to Bulyanhulu, particularly along the Bulyanhulu river.

3.2.7 Artisanal gold mining

Small scale or subsistence mining constitutes an important source of employment in Tanzania and specifically in the Lake Victoria goldfields. Due to an organised market and better prices offered by the Bank of Tanzania (which buys ±3.5 tons of gold annually), illegal gold sales are decreasing. Minerata,

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a joint Tanzanian / South African venture buys artisanal gold and lends tools and equipment to artisanal miners.

In the period since the gold discovery in 1975 there was a low level of artisanal mining activity at Bulyanhulu for 18 years until 1993. This activity escalated dramatically in 1994 when the government condoned this mining on the condition that if and when a new company was brought in to work the deposit the artisanal miners would leave.

Apparently, a very large population of artisanal miners and associated family members and entrepreneurial service providers were resident in the area from 1994 until 1996. However, no records were kept of the number of artisanal miners and estimates range between 30 000 and 400 000. Although their presence led to marked economic differences and resultant pressures between miners and the host communities, a level of co-operation developed between the two, with the latter finding a market to sell their food crops. In addition, artisanal miners paid taxes and levies which were used for community development purposes, such as the construction of two classrooms for the Kakola Primary School. Increasing pressure on local facilities developed, and as the Kakola dispensary could not cope with the great numbers of patients, illegal dispensaries arose. The artisanal miners also depended on the local community for supplies of food and other products and services.

Key informants reported that the presence of this large foreign population gave rise to a number of social and environmental problems, such as:

Economic inequity between the resident and new arrival groups; Seduction of local women by artisanal miners; Use of mercury for processing of gold and subsequent water pollution and health related problems; Clearing of vegetation from large areas and destruction of local fauna; Spread of a number of diseases , including a cholera outbreak.

Large trees were cut down during the presence of the artisanal miners and scars on the area’s vegetation still remain. Since the exit of the majority of artisanal miners in 1996, the natural environment has begun to recover (only trace levels of mercury are still present in the Bulyanhulu River), and peace and security have largely returned to the area.

3.2.8 Entrepreneurial/business activities

Business opportunities arose in large numbers with the arrival of the artisanal mining population in 1994. Although many businesspeople moved away when the artisanal miners departed in 1996, a large variety of businesses still exist within Kakola village that are run by the resident population and the remaining artisanal miners or business people from the gold rush.

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Businesses include: Duka’s (shops), clothing stores, butcheries, bakeries, a private petrol station in Kakola, construction businesses, tailors, hairdressers, carpenters, restaurants and bars. Many guesthouses exist in Kakola that provide accommodation for people seeking employment opportunities directly or indirectly with KMCL, a few KMCL employees and people passing through the area, as well as for travelling entrepreneurs.

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3.3 HISTORICAL AND CULTURAL ENVIRONMENT

3.3.1 Brief historical sketch of the area

The Sukuma are the dominant population group in the area. Table 3.4 gives a brief overview of some of the major events that have occurred within the area since 1974.

Table 3.4 : Historical sketch of Kakola

Before 1974 Kakola and surrounds formed part of a single household’s homestead and cropping fields.

1974 Implementation of the “Ujamaa” system, resulting in centralisation and the origin of Kakola village.

1975 The gradual arrival of the first artisanal miners. 1977 The area was declared a government mineral reserve.

Abolition of artisanal mining in the area by government order. 1994 KMCL obtained an exploration license. 1994 Registration of Kakola village.

Division of village settlement into 8 sub-locations:Kakola centre; Bushingwe; Kambale; Mwabagkikulu; Bariadi; Namba Mbili; Namba Tatu and Namba Tisa

Inauguration of a monument by the President in Lungunya, when artisanal miners requested the right to resume artisanal activities at Bulyanhulu. Permission was given by the President provided that they would leave as soon as the government decreed that the area would be used for large scale commercial mining.

Massive population influx and some 30 000 - 400 000 artisanal miners and associated entrepreneurs and opportunists arrived.

1996 One day after the order made by the Shinyanga Regional Commissioner, artisanal miners from sub-villages such as Bariadi, Namba Mbili, Namba Tatu and Mwabagkikulu left.

3.4 CHARACTERISTICS OF THE AFFECTED COMMUNITIES

3.4.1 Demographic aspects

During the 1994 - 1996 goldrush the artisanal miners formed the largest population group. The majority of this group left the area during 1996, although some artisanal miners took up farming or started businesses in the local villages.

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3.4.1.1 Kakola Village

Kakola Village provides centralised infrastructural facilities for the surrounding sub-locations. It has a Village Council Office, an agricultural office, a primary school, a daily market and numerous shops, guesthouses and bars. Table 3.4.1.1.B. presents the population figures per gender for each of the sub-locations which form part of Kakola Village. These figures date from 1988 and it was not possible to obtain more recent data. Clearly there have been changes in population numbers in the intervening period.

Table 3.4.1.1: Population composition of Kakola village and its sub-locations

Sub-locations of Kakola Village

Number of households

Male Female Total

Kakola Centre 174 186 161 347 Namba Tisa 164 170 128 298Kabale 28 51 49 100Bushingwe 58 102 96 198TOTAL 424 509 434 943Source : Ward Health Office. 1988 census.

3.4.1.2 The pipeline

The pipeline servitude extends 48 km from Bulyanhulu to Smith Sound on Lake Victoria. The pipeline route covers two Districts (Kahama and Geita) falling into two different Regions (Shinyanga and Mwanza respectively). The pipeline route impacts upon the shamba’s of several households in 9 villages. Table 3.4.1.2 gives the names of the villages that are affected by the proposed pipeline.

Table 3.4.1.2 : Villages with households affected by the proposed pipeline route. Village District Village Population

BumandaIkangalaKakora

GeitaGeitaGeita

1890 ?

2160KharumwaKitongoLushimba

GeitaGeitaGeita

41152000

?Namba TisaNyamtukuzaNyangalamila

KahamaGeitaGeita

29812001900

Source : Field Survey, January 1999.

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3.4.1.3 The mine access road to Kahama

KMCL has upgraded the road from Bulyanhulu to Kahama, which passes through 14 villages all falling within the Kahama District. Table 3.4.1.3 gives the names of the villages impacted upon by the road upgrade.

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Table 3.4.1.3. : Villages along the Kahama Access Road

Village Ward District Village PopulationBusoka Kahama 1866 (1998)Guni Kahama ?Nyanhanze Kahama 2500Nyambura Kahama ?Ntobo Ntobo Kahama 4325Masabi A Segese Kahama ?Masabi B Segese Kahama ?Segese Segese Kahama 6670 (1998)Shilela Lunguya Kahama ?Lunguya Lunguya Kahama 3016 (1998)Ilogi Bugurama Kahama 1861 (1988)Bugurama Bugurama Kahama 3325 (1988)Kakola Bugurama Kahama 1973 (1988)Karanga Ntoba Kahama ?Source : Field Survey, January 1999. Records of the Ward Executive Officer.

3.4.2 Population characteristics of mine affected communities

Population characteristics of the resettling households are fairly typical of rural subsistence communities. The numerical relationship of males to females within various age cohorts for the population of resettlers is shown in Figure 3.4.2. The population pyramid clearly shows the predominance of young people – 52,8% of the population is under the age of 20 years and only 4,5% of the population is aged 60 years or older. The age group 15 – 59 years can be regarded as the portion of the population predominantly engaged in productive activities. It should be noted that women in the age group 15 – 59 years constitute only 24,9% of the total population, but are the group primarily responsible for maintaining households (caring for the young and elderly, food preparation, fetching of firewood and water, etc.). It is significant that there is thus a high dependency ratio. Cognisance needs to be taken of these characteristics in assessing the impacts of any new interventions to the local economy.

3.4.3 Migrancy

The levels of migrancy and absenteeism from the local population are extremely low, according to household surveys conducted in January 1999. This contrasts with other rural areas of Tanzania where it is common for young adults (mainly males) to seek work and opportunities in larger centres throughout the country. For instance it was found that 7% of the population adjacent to the proposed Kabanga nickel mine in Ngara District were absent (Pollett, Davion and Addo, 1998).

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3.4.3 Economic and employment status of mine affected communities

Table 3.4.4 gives the occupation of adult members of households from the local households.

Table 3.4.4 : Occupations of adult members of households from local households.

Primary Occupation Males Females TotalNo. % No. % No. %

Farmer 113 55.7 86 42.5 119 98.2Farmer and Small Business 2 0.9 0 - 2 0.9Small Business 0 - 2 0.9 2 0.9TOTAL 115 56.6 88 43.4 223 100.0

Only 2 persons had formal wage employment, constituting 0.9 % of the respondent population.

As is evident from Table 3.4.4, the affected population relies predominantly on a subsistence agriculture economy. The most important crops are maize, which was produced by all 46 households interviewed, rice as second most important and millet and cassava as third most important crops.

Of the 46 households interviewed, 7 (15% of all households) used crops for bartering purposes and 34 households (74%) had sold crops in 1998. Rice had been sold by 50% of respondents, followed by maize (41%), sisal (28%) and cotton (22%).

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3.4.4 Education and Skills Profile

3.4.4.1 Education

Table 3.4.5.A provides a breakdown of the educational standards of the households interviewed (adults and children respectively) from the proposed mine township and tailings dam sites. Figures 3.4.5.A and 3.4.5.B illustrate this data graphically. A bleak picture is presented of education levels amongst local communities. By some indicators the situation is worsening. While 42.6% and 55.7% of adult male and females respectively (20 years and over) never attend school, currently 54.5% and 74.7% of boys and girls respectively (5 – 19 years) have never attended school.

While low levels of school admission, insufficient education resources and other issues begin to account for the education situation in the area, there are additional contributing factors. Reasons suggested by respondents for poor educational levels include disinterest in formal education, obligations to agriculture and animal husbandry, illness and having to walk long distances to attend school.

Table 3.4.5.A : Educational standards achieved by local households : Adults (20 years and over).

Years of Schooling

MALES FEMALESNo. % No. %

Nil 52 42.6 44 55.71 4 3.3 1 1.32 5 4.1 2 2.53 2 1.6 3 3.84 6 5 3 3.85 9 7.4 5 6.36 5 4.1 2 2.57 36 29.5 19 24.18 3 2.4 - -TOTAL 122 100 79 100

CHILDREN (5 – 19 YEARS)

Years of Schooling

MALES FEMALESNo. % No. %

Nil 42 54.5 59 74.71 4 5.2 2 2.52 8 10.4 1 1.33 5 6.5 4 5.1

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4 4 5.2 2 2.55 5 6.5 1 1.36 4 5.2 2 2.57 5 6.5 8 10.1TOTAL 77 100 79 100Source : Household Questionnaire Survey, January 1999.

Skills

Among households interviewed, the majority of male and female adults have acquired traditional farming skills, some traditional craft skills and artisanal mining skills. These skills enable local households to subsist under the prevailing economic system dominated by subsistence agriculture. Apart from this suite of skills the skills base of local households is extremely limited.

Table 3.4.5.B provides a breakdown of the type of other skills that exist amongst members of local households interviewed.

Table 3.4.5.B : Skills type of members of local households.

Types of Skills Male % Female TotalArtisan 1 5 0 3Small Business 10 50 5 15Hunter 1 5 0 1Mason/builder 4 20 0 4Carpenter 1 5 0 1Pot maker 0 - 1 1TOTALS 17 85 6 25

Source : Household Questionnaire Survey, January 1999.

NB: Percentages are expressed as a proportion of the total number of skilled persons (i.e. 25), not as a proportion of the total number of affected villagers.

Skills generally related to small business include selling of crops at the market, selling clay pots or macramé pot hangers and selling of beer and milk. Evidence suggests that education and skills of the local population are concentrated amongst a limited number of people who constitute a highly select elite. The limited skills base of local households and project area residents is likely to severely retard their ability to realise entrepreneurial and employment opportunities associated with the development of a mine at Bulyanhulu.

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3.4.5 Welfare profile

Households are generally reliant on a subsistence agriculture economy. Food crops are generally grown in sufficient quantities to meet household needs. However, due to a lack of cash income, food crops are often bartered in return for medicine, kerosene and clothes, which often leads to food shortages. These shortages become especially prominent during the early part of the rainy season when stores become depleted and are attacked by pests, leading to a further reduction in food supplies.

Given the relatively low population densities (since the departure of the artisanal miners in 1996), access to land and moderate to good agricultural soils, the quality of life of the local population might be measured as relatively high. However, in most other respects the quality of life of these communities is extremely low, firmly rooted in poverty from which there is no easy escape. Its bedfellows, low levels of education and skills, and chronic ill health, result in poor insight into issues and possible solutions, general debilitation and inability to take fruitful action.

3.4.6 Health profile

Lack of health infrastructure, facilities and resources are contributing factors to the health and welfare situations in the study area. Many preventable diseases go untreated contributing to the cycle of poverty.

A variety of diseases occur in the area. Malaria, diarrhoea and anaemia account for high infancy death rates. Other commonly occurring disorders include upper respiratory tract infections, eye diseases, skin disorders, pneumonia, intestinal worms, urinary tract infections and malnutrition.

3.4.7 Cultural profile

Local communities are not highly traditional. Implementation of Nyerere’s Ujama socialism seems to have been thorough at the local level in its replacement of traditional institutional structures with public or official ones. Accordingly, and unlike many other parts of sub-Saharan Africa, local culture is not distinguished by residual attributes of traditional social and political systems. Instead local communities are typified by the absence of such attributes.

However, in other ways local inhabitants are more similar to other sub-Saharan African communities. Households are patriarchal. There are some polygamous marriages, with the number of wives and children under a male head of household being considered an indicator of wealth.

Agriculture forms the central point in Sukuma tradition, and activities and festivities are associated with agricultural practices. Harvest festivals are held in September, which coincides with wedding ceremonies. Dancing forms an integral part of these ceremonies.

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3.4.8 Village and household asset profile

Few assets are generally owned by the local population, with no vehicles owned besides bicycles (72% of households), and 2 tractors (4% of households). The second and third highest asset occurrences were ox-drawn ploughs (52% of households) and radio’s (30%). Table 3.4.9 provides the type and number of assets which were recorded amongst the 46 local households that were interviewed during the socio-economic survey of January 1999. This is illustrated graphically in Figure 3.4.9.

Table 3.4.9 : Type and number of assets of local households

Asset Total number

Number of owning

households

Number of owning households as % of

total householdsBicycle 46 33 72 %Tractor 2 2 4 %Ox-drawn plough 31 24 52 %Ox cart 1 1 2 %Donkey cart 7 6 13 %Wheelbarrow 2 1 2 %Charcoal stove 3 3 7 %Sewing machine 2 2 4 %Radio/cassette recorder

15 14 30 %

Source : Household Questionnaire Survey, January 1999.

3.5 LOCAL INFRASTRUCTURE

3.5.1 Water supply systems

Numerous shallow springs and wells exist in the area. The lifespan of these wells is uncertain and they often dry up in the dry season . KMCL has drilled 5 boreholes in Kakola, for which pumps will be bought with funds raised from the District, the community and KMCL. Water supply arrangements identified within several of the other villages visited during the field visit in January 1999 included:

Lunguya - 3 wells (only 1 currently functional); Bumanda - 5 water wells – poor supply;Segese - many wells, 3 pumps;Masabi A - 2 wells;Nyamikhanze - 3 wells;Lwabakanga - 2 wells;

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Nyamtukuza - 6 springs and Lake Victoria;Kakora - 18 springs, 1 pump; Nyangalamila - 3 wells;Kitongo - 3 perennial and 6 seasonal springs;Karumwa Village - 4 seasonal springs;

3.5.2 Energy supply systems

Energy supply within the area is restricted to a number of private generators. Fuel wood is used universally amongst villages as a source of energy for cooking etc, and is supplemented rarely by the use of charcoal.

3.5.3 Transport/roads and communications systems

A number of privately owned buses and dala-dala’s (taxis) provide transport from Mondays to Saturdays. Routes include Mwanza - Segese and Kakola - Kahama.

Telecommunication and postal services are not available amongst local communities. KMCL has a satellite telecommunication system.

3.5.4 Sewerage and waste disposal facilities

The majority of people make use of pit latrines. The Social Welfare Committee encourages the use of pit latrine systems and simple sewerage disposal through dirty water pits. Waste is generally burnt or buried. Littering is subject to a sentence of having to perform communal chores. KMCL has encouraged an anti-littering campaign and has planned a waste collection service for Kakola.

3.6 SOCIAL AND OTHER COMMUNITY SERVICES AND FACILITIES

3.6.1 Education facilities

Most villages have a primary school. There are only 30 secondary schools within Shinyanga Region, of which Runzewe Secondary School is the nearest to Kakola (some 258 km away). A Secondary School is currently being constructed at Segese village, situated along the mine access road from Kahama. High schools are very rare, and the nearest one is situated in Shinyanga (193 km away).

A Primary School caters for Kakola and it’s sub-locations. Two new classrooms have been built, of which one was donated by the mine, and the other through funds raised by the community. The school has a sports ground and temporary latrines but no water supply. Eight teachers give class to some 700 pupils from Kakola and it’s surrounding sub-villages.

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3.6.2 Health facilities

Health facilities in the area include government dispensaries in Bugurama, Kakora and Nyangalima and a health centre in Lunguya. The Bugurama Dispensary employs a Clinic officer, who deals with vaccinations, deliveries and general medical treatment. He is assisted by a Maternity Child Health Officer, who specifically helps mothers and children, and by a nurse attendant who educates people on medical prescription. The Dispensary has 4 rooms, 7 beds and a pit latrine. Water is fetched from a shallow well in the vicinity. KMCL provides a medical service and have an ambulance at their disposal. This health centre presently caters for local communities on Saturdays, although emergency cases are taken all week round. The nearest hospital is in Kahama ( 80 km from the mine).

3.6.3 Retail/business facilities

Local businesses include butcheries, tailors, builders and mechanics, duka’s, clothing shops, bars, restaurants and guesthouses, hairdressers, shoe repair shops, etc. A daily market operates at Kakola, selling mostly fresh produce, meat and fish.

3.6.4 Police and security

Each village has a “Sungusungu“ or local police force, headed by the Village Chairman. KMCL have their own security force consisting of some 100 Tanzanian security guards.

3.6.5 Entertainment facilities

Most local villages have soccer fields and public bars. A soccer field near the school grounds in Kakola holds weekly soccer games for which soccer shirts are borrowed from KMCL. Numerous bars, restaurants and guesthouses exist in Kakola village.

3.6.6 Religious facilities

The population at large adheres to animistic beliefs and has a high regard for supernatural powers. Worship of ancestral spirits has remained an important facet of Sukuma life and ancestral huts or “nubaja kasamva” are a common sight within homesteads. These are made of branches woven into a conical shape, and some may be decorated with a clay pot on the vertex or apex of the hut. The number and position of these houses depends entirely upon the wishes of the respective ancestors. Shells placed on the apex of a hut are also associated with ancestral worship. With the abandoning of a homestead, the ancestral hut will be left behind and replaced at the new residence.

Small Christian and Muslim sects are also found in the area. A mosque is located on the border of Kakola village, and a Roman Catholic Church, SDA (7th Day Adventist) and a mosque are found in Nyamikunze village.

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3.6.7 Graveyards

Graves according to custom are confined within homestead boundaries, and are often marked by selected tree species, or by grass mounds. A number of graves need to be relocated from the proposed mine premises, many of which have not yet been identified as they belong to artisanal households who have moved away from the area. Ten graves identified within Kakola centre will be relocated to the newly established village cemetery or, if the relatives prefer this, to their new home site.

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PART C : POTENTIAL ENVIRONMENTAL AND DEVELOPMENT ISSUES

4 POTENTIAL ISSUES

4.1 INTRODUCTION

A major task of the assessment of the socio-economic environment of target communities has been to investigate potential issues concerning implementation of the proposed Bulyanhulu mine, particularly in relation to local economic development and impact on the environment. These issues were mainly raised in the course of discussions with a wide variety of interested and affected parties, at local, district, regional and national levels. These issues may be clearly definable potential impacts, less clearly definable primary or secondary impacts in other cases, or even generally expressed, poorly defined concerns of interested parties. Some of these issues and possible impacts may be minimal or even insignificant. Concerns are sometimes based on inaccurate perceptions, particularly where detailed information is not available, easily accessible or understandable to interested parties. Perceptions are, however, extremely important and need to be addressed whether they are accurate or not, since it is on this basis that interested and affected parties will make value judgements and decisions concerning the proposed project and its potential impacts.

In the course of gathering and analysing baseline data for the Resettlement Action Plan (completed – previous report) and Social Development Plan (this report), a number of other issues were identified. This section therefore records the broad range of possible issues affecting communities in the vicinity of the proposed mining operation. Particular attention has been given to the eight villages of Namba Mbili (Village No. 2), Bariadi, Kakola, Bugurama, Namba Tisa (Village No. 9), Lwabakanga, Nyamakonze and Iyenze, and to villages along the pipeline route to Lake Victoria and the access road to Kahama. However issues at a district and regional level have also been addressed. The purpose of the issues identification exercise is to help focus the investigation on important relevant issues (including linkages between issues) concerning social development of local communities.

Significant issues identified in this section are highlighted and dealt with in more detail in the section dealing with the Resettlement Action Plan and the Social Development Plan. (Parts D).

4.2 BIOPHYSICAL ENVIRONMENT

4.2.1 Physiography

Possible subsidence of the land surface as a result of past and future mining activities could affect potential land use in the area of the mining operation.

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Physiography influences the siting of roads. Wide alluvial valleys in the vicinity of the proposed mine are subject to wet season flooding and, to be passable year round, roads in these areas would need to be raised with culverts and bridges. Cognisance needs to be taken of this aspect in planning local road construction that may form part of the mining development or a social development plan.

Waste rock stockpiles and dumps will result from mining and will form small “hills” in an otherwise generally flat landscape. Attention will need to be given to ensuring that these features are shaped and stabilised before mine closure so that their impact on existing and potential land use is minimised.

4.2.2 Climate

An important aspect of the local climatic regime that has relevance to resettlement and local economic development, is that high intensity rainfall commonly occurs in the form of tropical thunderstorms, causing widespread flooding in flat and low lying areas in the wet season. Some of the households which have moved from the proposed township site, have settled near the Bulyanhulu river, near Iyenze village in Geita District. The homestead sites of some of these households are on or adjacent to the flood plain of the Bulyanhulu river and may be subject to flooding. Flooding of low lying areas also has implications for the siting of mine infrastructure and transport routes.

Seasonal flooding of low lying areas could also affect the pipeline service road between Bulyanhulu and Lake Victoria.

4.2.3 Water resources

Should there be a need for substantial de-watering of the mine, the draw-down effect may disrupt acquifers reducing water flow to wells, springs and streams on which neighbouring communities are dependent.

Surface water could also be contaminated by excess water from the mine de-watering process.

Mercury used by artisanal miners in the process of concentrating panned gold has apparently resulted in some contamination of local streams. There is concern that if controls or improved systems are not introduced this could result in increased contamination, possibly also of Lake Victoria.

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Concern was expressed about possible contamination of local ground and surface water systems from mine workings, the tailings dam, dumps and mine machinery. Concern was also expressed about the hazards of using cyanide in ore processing and gold recovery.

An influx of newcomers seeking opportunities associated with the mine could contribute to sewage and other waste problems which, if not addressed, could contaminate local water resources upon which households are dependent.

Concern was expressed about the sustainability of providing water to nearby villages from the pipeline from Lake Victoria to Bulyanhulu. Some years ago a major water reticulation system funded by the Dutch Government had been implemented in the area near the proposed take off point from Lake Victoria. The scheme is not operational due to problems associated with operation and maintenance of the water system. It might be preferable to develop well and borehole systems for villages adjacent to the pipeline. If water were to be supplied to nearby villages from the pipeline, attention would need to be given to issues of dependency and long term sustainability. If it were not possible to ensure maintenance and operation of the pipeline after mine closure, it may be necessary to construct boreholes to replace water supplies from the pipeline before mine closure.

The pipeline has been constructed to deliver a maximum of 160m3/hr. of which an average of 77m3/hr will be pumped. Design planning has allowed for 14m3/hr. for local communities and 63m3/hr. for the mine. However the mine has water storage facilities and pumping is likely to be intermittent. Thus households using the pipeline will only have access to water when the pumps are operational. There may be a need for provision of some small-scale water storage at village take off points.

Some villages on the Kakola to Kahama road have requested that the road borrow pits be developed as water storage reservoirs or as livestock drinking points.

4.2.4 Soils

If soils are intensively cultivated without provision for traditional fallow periods, yields may be expected to decline unless agricultural practices are changed.

While there has been a very large reduction in the local population with the departure in 1996 of artisanal miners working pits on the Bulyanhulu ore body, it is likely that there will again be an increase in population as a result of an influx of newcomers seeking jobs and entrepreneurial opportunities associated with the commercial mining development.

The increased local population in the vicinity of the mining development will result in increased pressure on available arable land.

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4.2.5 Vegetation

Loss of woody vegetation and loss of species diversity is of global environmental concern. The very large number of artisanal miners, entrepreneurs supplying a wide variety of services to miners, and associated family members that inhabited the area in the vicinity of the Bulyanhulu ore body in the period 1994 – 1996, had a very marked impact on local vegetation resources.

The area originally consisted of woodland savannah with many large trees. Today the area largely consists of scrubland, although there has been a substantial increase in the growth of woody vegetation since the departure of the artisanal miners in 1996. The influx of newcomers associated with the commercial mining operation will again place increased pressure on the local environment.

In developing a local social development plan cognisance needs to be taken of this issue. For instance there may be a need to implement vegetation rehabilitation measures or to establish woodlots for local fuel and timber requirements for construction. Where possible use should be made of vegetation cleared for mine establishment.

4.2.6 Local natural resource utilisation

The predominantly subsistence economy of most local households means that household food security is to a large extent dependent on crops grown on available arable land. Many local households are engaged in panning of gold from the Bulyanhulu River and derive some cash income from this source. Other households, particularly at Kakola have taken advantage of other income earning opportunities associated with the construction of the Bulyanhulu mine (small scale businesses, employment, renting of accommodation, etc.) and are thus not as dependent on traditional cropping practices as are other households in the area. Nevertheless, crop production still remains as the fundamental basis for household food security for local communities.

While a high proportion of the area appears to be potentially arable, there are no soil and land capability maps, which are a prerequisite for meaningful land use planning.

It is apparent that even under current usage there is insufficient land in the overall area for adequate long-term fallow periods. This means that traditional methods of agriculture are gradually becoming untenable for households. Thus any decrease in available arable land is an important issue which could exacerbate the existing situation and have significant impacts.

Where possible mine works, infrastructure, dumps and tailings dams should be sited on non-arable land. At the very least every effort must be made to avoid using high potential

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arable land for mine development, especially for items of infrastructure or waste that will remain after mine closure.

4.2.7 Wildlife

As recently as the 1960’s the area contained a large number and wide variety of game. However the local wildlife population is now extremely limited in the area of the proposed mining development, most of the game being depleted in the period since the mid 1970’s. The influx of people, better access to the area and activities associated with the mine will continue to put pressure on wildlife resources.

4.3 ECONOMIC ENVIRONMENT

4.3.1 Land tenure rights

At present all land in Tanzania is officially owned by the state, but new bills currently being processed through the National Legislature seek to recognise individual land rights and facilitate the sale and transfer of rights.

Despite the official state monopoly of land, a property market manages to exist. Officially property transactions include not the land but the improvements made to it, which in rural areas constitutes virtually any transformation effected to land, e.g. cultivated land, planted trees, homestead buildings, etc. It is thus possible to acquire de facto “ownership” of land by making improvements to it.

4.3.2 Equity

The opportunity to earn cash income generated directly or indirectly from the proposed mining operation could produce greater freedom of choice for nearby communities. However, the patriarchal nature of local communities is likely to result in an inequitable accrual of benefits. If men are favoured as employees in the mining project this will exacerbate existing gender inequalities.

Wealthier households with more resources are more likely to be able to take advantage of the increased opportunities for employment and business associated with the mining development than poorer households.

There is local concern that tax revenues from the mining development will largely accrue to the central government. Benefits at the local level are likely to be less tangible, but costs in the form of social disruption could be significant. If attention is not paid to local and district development, the

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possibility exists for an inequitable accrual of mining project costs and benefits between the local, district and national levels.

In implementing the social development plan attention needs to be given to an equitable distribution of opportunities and benefits (e.g. employment opportunities, economic development projects, etc.). Failure to do this or to conduct the process in a transparent manner could result in tension, conflict and antagonism with the mine bearing the brunt of local frustration.

4.3.3 Agriculture

Cropland is generally located adjacent to, or near the homestead. Some households which lost arable land due to pipeline route clearing and road construction between Bulyanhulu and Kahama, have not been able to acquire alternative cropland nearby, and are now cropping land distant from the homestead.

Traditionally vegetables are intercropped with field crops in lands adjacent to the homestead site. This is commonly the most fertile and prized land, being fertilised with household and livestock wastes. It will take some time for resettled households to re-establish such land for vegetable crops. The application of inorganic fertilisers could be used to rapidly bring new lands up to the same fertility as former lands

Apparently grazing shortages occur during August and September and men herd livestock as far as Lake Victoria in search of suitable grazing.

There is a perception amongst local households that agricultural products that could be bought by KMCL locally are being brought in from regional centres or further afield. There is clearly a need to promote the production of locally produced agricultural products (e.g. vegetable and poultry products).

4.3.4 Economic vulnerability

Local households not benefiting directly or indirectly from the mining development will experience declines in relative wealth and an increase in economic vulnerability.

Reliance on subsistence agriculture could be reduced as wage and entrepreneurial incomes of households associated with the mining development increase, leading to greater dependence on non-local products and vulnerability to macro-economic events.

If the mining development does not take into account its long term role in and contribution to local development, it could leave local households unable to sustain livelihood’s following closure of the mine.

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Agricultural products are commonly used for bartering by local households due to a lack of sources of cash income. Food crops are bartered for medicinal treatment, clothes, etc. This contributes to household food shortages, exacerbated by pest infestations of granaries.

The presence of the large artisanal mining and related business and service communities in the period 1994 to 1996 provided important economic benefits for Bugurama Ward and Kahama District, through the imposition taxes and levies. Significant sums of money spent in local villages, various markets and businesses also greatly stimulated the development of a local cash economy. There has been a significant decline in such benefits since the departure of the artisanal miners. There are high local expectations that the commercial mining development will result in similar local benefits.

4.3.5 Economic development

Newcomers attracted to the area by the mining development have and will contribute to a consumer market, stimulating economic activity and accelerating economic growth in the area.

The construction of the road between Kakola and Kahama has greatly facilitated transport linkages between the formal town sector in Kahama and rural villages along the road. This has in turn raised the level of commerce and trade and availability of goods in the area and provides a basis for local economic development.

The injection of wages into the local economy by those currently employed in constructing the mine and those employees who will run the mine in future, will promote trade in consumer goods and the establishment of entrepreneurs.

Low levels of skills and literacy possessed by the local population will restrict their ability to realise employment opportunities offered by the mining development and will also reduce their ability to seize entrepreneurial opportunities. The implementation of appropriate training and capacity building programmes could be used to ameliorate this problem.

Businesses fuelled by the mine development may experience sustainability problems following closure of the mine.

Economic activities associated with the mining development will promote increased monetarisation of the local economy.

Little or no attention has yet been given to planning economic development of local communities in Kahama District in relation to existing and proposed mining developments in the district. This paucity of planning and means to facilitate the process has and will result in many lost opportunities. To date benefits to the local economy have largely been limited to some job and entrepreneurial opportunities.

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Mining development in Kahama District provides a unique window of opportunity for economic development on a district and regional level. For an area such as Kahama District, where economic development has been limited, the successful establishment of commercial mining operations has the potential to have a substantial beneficial long term impact through:

i) Direct employment opportunities, albeit for a small and relatively privileged group of people;

ii) Indirect opportunities, for example, the greatly increased demand for goods and services by paid employees of the mine and its contractors.

iii) Construction of large scale infrastructure (e.g. mine access road and pipeline), important for district and regional development.

The most important economic development issue at stake is that unless economic development is planned, at least on a district level, it is unlikely to occur on a sustainable basis and most development is likely to cease as soon as the mine is decommissioned.

4.3.6 Competition for economic resources

Competition for economic resources has already begun to occur as a result of the construction of the mine. Stronger households and individuals have already been able to take advantage of changed circumstances, for example by building huts for rent or establishing new businesses.

Concern was expressed by local households regarding the employment of unskilled labour from outside the area by the mining exploration camp and construction contractors.

Recruitment of employees should take place away from the mine gates (perhaps in Bugurama and Kahama) to prevent the large number of hopeful employees coming to Kakola. According to local custom households in Kakola are obliged to offer hospitality and this has resulted in a burden on local households and the facilities in Kakola village.

Certain resources which had little market value after the departure of large numbers of artisanal miners in 1996, such as firewood, cattle and certain natural resources are again now in demand from newcomers associated with construction of the mine. Local businesses established to take advantage of these demands have the potential to compete with the natural resource requirements of local households for their own use. Many of these marketing opportunities have been seized by newcomers.

A limited number of individuals with skills exist in the district, with most being located in the central district town of Kahama. If the mining development were to offer employment packages markedly out of line with those typical of the district, other organisations and businesses would experience difficulty filling skilled staffing requirements.

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4.3.7 Inflationary effects

The construction of the proposed mine has raised local people’s expectations and hopes for gaining employment. At Kakola those households which have succeeded in entering the employment or entrepreneurial market have already demonstrated their decreased dependence on subsistence agriculture, and having cash to spend, this has raised the price of goods and services in the area. In addition, the presence of workers employed by the mine construction contractors has and will continue to exercise an inflationary effect in local villages.

4.3.8 Infrastructure

Infrastructure improvements associated with the mining development, such as roads, are likely to significantly influence future settlement patterns in the area, affecting the course of local and district development. In the case of the recently upgraded Kakola to Kahama road, a strip development settlement pattern is likely to emerge. The pipeline service road from Bulyanhulu to Lake Victoria is also likely to encourage increased activity along its length and settlement in adjacent villages.

Concern was expressed that since the Bulyanhulu to Kahama road was upgraded, access to joining roads and tracks in often difficult because of the increased height of the upgraded road and steep road edges. This increased height may lead to the temporary flooding of adjacent areas after rains.

Already overburdened and limited social services at Kakola and Bugurama will face increased demands as a result of population influx associated with development of the mine.

Population influx to the vicinity of the mine and social change effected by the mining development could necessitate the establishment of currently absent law and order facilities, such as police posts.

Housing mine employees in existing nearby villages (Kakola and Bugurama) could be an important means for the mining operation to contribute to local economic development, particularly if local households and CBO’s are directly involved in the planning and construction of housing.

Infrastructure development associated with the establishment of the Bulyanhulu mining operation could promote other associated regional activities (e.g. Kakola to Kahama road and Bulyanhulu to Lake Victoria pipeline).

Siting and development of infrastructure can be used as a useful tool to influence settlement patterns (e.g. provision of roads, water, schools, etc.). These “pull factors” could be used to encourage settlement of newcomers at Bugurama (the central Ward village) rather than at Kakola, which is immediately adjacent to the mine. Encouraging settlement away from the mine

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boundaries will reduce potential conflicts between the mine and local households, and will stimulate development of other nearby communities, thus contributing to a distribution of benefits.

The siting of any new infrastructure and services will have a direct affect on neighbouring communities and may encourage other activities to take place.

Digging of the pipeline trench could necessitate blasting since much of the route is through weathered granitic areas and large granite boulders are common. Cognisance must be taken of safety issues during construction.

4.4 SOCIAL ENVIRONMENT

4.4.1 Social welfare

The construction of the mine at Bulyanhulu has already generated greater household incomes, directly through the provision of jobs and entrepreneurial opportunities and indirectly through multiplier effects, thus promoting welfare in the local area.

Newcomers attracted to the area by the mining development will exacerbate the level of social ills in the area including sexually transmitted diseases, crime, teenage pregnancy, etc.

An increase in road accidents on the Kakola to Kahama road is likely to occur as a result of an increased number of vehicles and high speed traffic. There are currently no speed control measures and very few road signs on the upgraded road to Kahama.

The improved road from Kahama has already stimulated trade and provided access for rural communities to facilities available in Kahama village.

The employment of local workers in a large commercial operation will improve the local skills base and will help develop a local vision for entrepreneurial and other development opportunities.

Heightened commercial activity in the area will result in a steady increase in the availability of non-biodegradable consumer goods. The welfare impact of this increased availability will be positive in terms of addressing local needs, but negative in terms of waste material created by disposal of these products.

Local economic development associated with the operation of Bulyanhulu mine could provide opportunities for individual development, entrepreneurial activity and improvement in household incomes. An important issue is that there is presently no district or regional development plan for the area, and without funding and an agency for its implementation, the opportunities for such integrated development may be missed. A structure plan has been

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prepared for future development of Kakola village. Aspects of this structure plan appear to be unrealistic and attention has not been given to linkages within the District.

4.4.2 Social change

As a result of the massive influx of artisanal pit miners in the period between 1994 and 1996, and the subsequent departure of most of the artisanal miners in 1996, the local community has been subject to periods of significant social change. The community is thus better positioned to deal with on-going social change associated with the influx of newcomers seeking opportunities related to the mining development, than more traditional rural communities.

4.4.3 Pace of change

Consideration must be given to the generally slow pace of change in rural Tanzanian society which could conflict with the rapid changes necessary in the development and operation of a modern mine. Sufficient time needs to be allocated to negotiating and consulting with household and community leaders as well as authorities in the resettlement and economic development process.

4.4.4 Population movement

The creation of economic opportunities and welfare services associated with the mining development will result in an imbalance in the regional context. The mining operation is likely to provide a more attractive economic and social environment than surrounding areas, resulting in population movement to the vicinity.

At present it is likely that most settlement of newcomers will be in or near Kakola, adjacent to the mine. The development of a large settlement immediately adjacent to the mine could result in a number of problems (control of land use, development of informal settlement, increased local pressure on natural resources, etc.). At present there is difficulty in controlling the establishment of households near to the airstrip. It may be preferable to encourage settlement at Bugurama, 8km from the mine. Siting and provision of infrastructure and services, or the upgrading of existing facilities, could be effectively used as “pull factors” to influence settlement in this area.

4.4.5 Social conflict

Indefinite or “grey” land use boundaries (between villages, between households, and between villages and the mine) and issues concerning use of land may provide potential cause for social conflict.

Competition for economic resources such as arable and grazing land has and will be affected by the resettlement of households as dynamics change between different households.

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Availability of mine employment opportunities is presently one of the most frequently stated issues in local villages. Any perceptions that jobs have not been allocated fairly may lead to conflict.

Population influx to the area could cause an increase in crime, violence and social conflict.

If enough water for domestic use is made available this would alleviate potential conflict for this resource.

4.5 POLITICAL AND INSTITUTIONAL ENVIRONMENT

4.5.1 Macro-political changes

The removal of a large number of artisanal miners from the Bulyanhulu site in 1996 by the government has meant that the area has already received regional and national political attention. With the development of a large scale commercial mining operation it is likely that the local area and district will assume increasing importance in regional and national political agendas.

Local and national government representatives and interest groups will take a keen interest in whether greater economic prosperity for Tanzanians will result from a large western commercial mining venture than was achieved by a large number of artisanal miners. KMCL will be under pressure to demonstrate the benefits to local communities, the region and the country of mining the deposit in the manner being planned.

4.5.2 Possible increased local political activity

Increased income earning capacity will result in individual and community empowerment, which in turn could result in greater opportunities for political activity at the local and regional level. Greater political participation could promote increased government attention and possibly greater expenditure in the region. However, it could also result in rejection should local or regional politics conflict with regional or national politics respectively.

4.5.3 Changes to power relations

Improved local economic development could improve the strength and position of local government representatives to gain greater attention and support from regional and national institutions.

Wage incomes will lead to differences in wealth accumulation and thus power at the household and village level, resulting in a re-ordering of local power relations.

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4.5.4 Institutional capacity

While there are a number of local organisations at the village and ward level, there is overall a paucity of CBO’s and NGO’s, and local institutional capacity is generally poorly developed. This weakness in organisational capacity constrains local involvement in any planning processes and may result in issues of legitimacy regarding actions taken. Disorganised communities experience difficulty in any bargaining process and commonly receive less than they could have negotiated from an organised cohesive stand point.

The need for representative community organisations to participate in the implementation of a local economic development plan will be critical to the success of the project. There will be a need for considerable input with regard to local capacity building and empowerment. Guidelines for this process of participation are contained in the Social Development Plan.

4.5.5 Negotiation skills

Households and local community leaders are unaccustomed to negotiating with powerful national government heads and western companies. Consequently it is likely that there is a local lack of vision and knowledge of what is possible and what issues to negotiate for the long term development of these communities. In order to achieve decisions and implement actions it is in the interest of all affected parties that attention is given to improving the negotiation skills of the local population.

4.5.6 Communication

Although much effort has been expended to-date on aspects of communication with local communities and government authorities, there is clearly much misunderstanding regarding various aspects of the mine development. Whilst the problem is ubiquitous it needs to be addressed urgently since poor communication can lead to conflicts and costly delays.

Local respondents reported that there were at times differences of opinion as to what was discussed and agreed at meetings. This may sometimes be intentional but highlights the need for records of all meetings to be kept in a meeting register.

4.6 ISSUES CONCERNING LAND USE, PLANNING AND INTEGRATED DEVELOPMENT

4.6.1 Previous, present and future land use issues

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The large influx and subsequent departure of artisanal miners in the period between 1994 and 1996 has resulted in major changes in the use of land (in terms of density and number of people and households involved) in the vicinity of Bulyanhulu mine. Current establishment of the mine and the new influx of people seeking opportunities with the mine has and will result in further changes in land use.

A land use plan has been prepared for the development of Kakola village, but there is no existing plan for development of the surrounding area.

An important aspect of this assessment has been to establish what land is currently required for mine development and cannot be used for other purposes, and which land may be required in future but could be used for other purposes in the interim. This needs to be incorporated into an overall land use plan for the area.

4.6.2 Integrated and holistic planning

It is apparent that there is already a degree of unrealistic expectation, not only at local levels, but also at district and regional levels concerning the potential contribution of the mine to development of the area. The mine cannot meet all the demands that will be placed on it and the mine’s primary commitment and responsibility to investors must receive due attention to ensure viability for the project. Therefore there is an urgent need to initiate and take a proactive approach in establishing precisely the role of the mine, public sector and other parties in the development process. Failure to give adequate time and effort to this significant issue could result in considerable misunderstandings and delays. There is a need for KMCL to develop a coherent, fair and consistent approach for dealing with development requests.

The magnitude and intended duration of the Bulyanhulu Mining Operation suggests that it will have a significant influence with respect to district and regional development. However, it is essential that the project be considered with reference to development of a strategy to ensure optimal integration with other local and regional land uses, including other mining operations. At present no land use plan or development strategy exists for Kahama district.

The owners of Geita Mine near Geita District Centre are currently surveying their proposed access route. Apparently the route will follow the upgraded Kahama road to Ilogi, from where existing district roads and tracks will be upgraded through Buyange, Ihaga and Buholi villages to Geita. This road will provide opportunities for development of Kahama and Geita districts and needs to be incorporated into future land use plans. The selection of this access route to Geita mine will result in increased traffic on the Kahama to Ilogi section, and will probably contribute towards development of Ilogi as a local centre and transport node.

On the wider level there is a clear need for a regional development initiative which would plan and promote development in the Shinyanga region as a whole. Such a programme would take

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advantage of the opportunities for development arising as a result of the Bulyanhulu Mining Operation and other mining developments, while aiming to develop strategies for economic development beyond the existence of these mines.

Tanzania has recently launched a national participatory land use planning initiative. At the local level the objective of the initiative is to get villagers to plan their own development. Kahama, like many districts, has yet to develop processes in support of the initiative. Community officials at district levels are often somewhat reluctant to support the initiative, being hesitant about relinquishing authority to plan centrally for villagers. National government officials have, however, expressed an interest in using the Bulyanhulu mining development to catalyse a participatory land use planning approach in the district.

KMCL’s policy regarding housing provision for local employees needs to be clarified and communicated to affected parties.

KMCL’s policy regarding the possible future provision of electricity to local communities, its availability and cost, needs to be clarified and communicated to affected parties.

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PART D : SOCIAL DEVELOPMENT PLAN FOR MINE AFFECTED COMMUNITIES

5 SOCIAL DEVELOPMENT PLAN

5.1 INTRODUCTION

A previous report dealt with the short-term physical relocation of resettlers (56 households from the mine township and tailings dam sites) and compensation measures for households whose improvements to land were affected by the upgrading of the mine access road and the pipeline to Lake Victoria. This report focuses on relocation within the larger context of longer-term development of mine affected communities in the area. As stated previously a key requirement of World Bank Operational Directive 4.30 (June 1990) is that “all involuntary resettlement should be conceived and executed as Development Programmes” where the focus is much more on economic development and income restoration and generation than on the replacement of affected household infrastructure and improvements.

5.2 OBJECTIVES

Key objectives of the Social Development Plan (SDP) include:

i) To stimulate long-term community and economic development programmes amongst resettlers, host and target communities that will lead to integrated development and the establishment of economically sustainable local communities when the mine closes.

ii) To identify appropriate mitigation measures to address socio-economic issues and impacts identified in Part C.

iii) To identify appropriate mitigation measures to address induced growth at Kakola resulting from the expected influx of newcomers.

iv) To seek ways of building mutually beneficial linkages between the SDP and other development initiatives in the district and region.

5.2.1 Scope

There are two villages which have been directly affected by the resettlement process, namely Namba Mbili (Village No. 2 at the proposed mine township site) and Bariadi (at the mine tailings dam site). The majority of households from Namba Mbili have relocated to the nearby villages of Iyenze, Kakola and Lwabakanga. Others have settled in villages much more distant. The households of Bariadi village will relocate near to Lwabakanga village. Kakola village has also received a large number of

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new arrivals from outside the area. However, other nearby villages have also been affected or will be affected by development of the mine.

There are eight discrete villages or sub-villages near the mine which have been directly or indirectly affected by the mining development, namely:

i) Namba Mbili (Village No. 2 dispersed to other villages).ii) Bariadiiii) Kakolaiv) Buguramav) Namba Tisa (Village No. 9)vi) Lwabakangavii) Nyamakonzeviii) Iyenze

The Social Development Programme will be targeted at these eight communities in the vicinity of the mine. In addition aspects of the Social Development Programme will also be directed at:

Villages along the pipeline route to Lake Victoria. Villages along the mine access road to Kahama.

Initially it will be necessary to focus the Social Development Programme on selected Pilot Projects within these targeted communities, in order to keep the programme within manageable proportions and not to dilute available resources (personnel and funding). Successful initiation of pilot projects will lead to the implementation of further projects within targeted communities. Other villages in the area are much more distant from the mine and its associated infrastructure and will be relatively unaffected by the mining development. However, benefits and opportunities associated with the Social Development Programme in the targeted communities are likely to spread and spill over to surrounding villages in time.

5.2.2 Possible development initiatives

In assessing possible development initiatives cognisance must be taken of the interdependent relationship between social, political, economic and biophysical environments. Thus socio-economic circumstances of mine affected communities cannot be viewed in isolation from other sometimes complex and inter-related factors. Primary impacts of a mine development tend to have many secondary impacts (some of which are more significant than the primary impacts) in various facets of the total affected environment. These secondary impacts are often less apparent and project developers may feel that they are not accountable or responsible for secondary impacts. In well developed

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economies which have national or regional public sectors with capacity to become involved this may be a reasonable assumption.

However in the circumstances of Tanzania where public resources are extremely limited, it is probable that the government will find great difficulty in addressing secondary impacts in a remote area of the country and region. In such circumstances the developer may need to become involved and take a certain measure of responsibility to ensure that secondary impacts are dealt with. In cases where these secondary impacts may impinge on the successful implementation of the project, it is clearly in the interests of the developer to become involved. Involvement may not demand a direct intervention but might rather require a facilitative role to be played to ensure that appropriate external agencies are involved to address relevant issues and to build solutions.

The Bulyanhulu mining development. together with other nascent mining developments, constitute the only major economic engine in the district and region. Clearly local development initiatives that can be linked to this ‘economic engine’ (local provision of services, agricultural and manufactured products) are more likely to succeed. Mining development provides a ‘window of opportunity’ to initiate local, district and regional development initiatives. There is also a need to diversify local economic initiatives to ensure sustainability once the mines close.

Local agro-ecological conditions favour a wide variety of farming systems. Much of the area contains moderate to high potential soils, rainfall occurs in two wet seasons and is normally adequate for successful dryland crop production, and there are sufficient heat units to grow a wide range of tropical and sub-tropical crops. Improved roads and transport systems associated with the mine development will provide increased market opportunities for the export of locally produced products to centres further afield.

Table 5.4 lists some possible development initiatives that were identified through consultation with various interested and affected parties.

Table 5.4. Possible Development Initiatives1. INSTITUTIONAL DEVELOPMENT

Support of existing Village Councils and Ward Development Committees. Support development of existing interest groups (particularly women’s and youth groups). Support of existing Water User Groups (WUG) and establishment of new groups. Establishment of new local Producer Interest Groups. Establishment of a Farmers’ Co-operarative. Establishment of a Development Foundation to assist with funding and establishment of projects.

2. ENTREPRENEURIAL DEVELOPMENT (PRODUCER INTEREST GROUPS)2.1 Agricultural

Poultry Production (broilers and layers). Livestock Production (cattle, goats, sheep). Vegetable Gardening (small scale – irrigated community gardens). Fruit Production (small scale – homestead gardens). Plant Nursery (seedling production).

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Improved rice production (flood irrigation systems introduced where appropriate). Improved cotton production. Improved tobacco production. Improved sisal production. Beekeeping (honey production).

2.2 Manufacturing Metal Work (windows and door frames, pots, pans, buckets, etc.). Brick Making. Carpentry (household furniture, window and door frames). Leather tanning and manufacture of leather articles. Sewing and tailoring (manufacture and repair of clothing and household items, school uniforms, mine security

force uniforms, etc.).2.3 Artisanal Mining

Small scale artisanal gold mining.2.4 Services

Farmers’ Produce Co-operative. Market stalls on Bulyanhulu to Kahama road. Grinding Mill (maize, millet). Slaughterhouse. Establishment of Water User Groups. Establishment of revolving loan fund for producer interest group members (particularly women and poor). Communication services (telephone, fax, e-mail centre).

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3. INFRASTRUCTURAL DEVELOPMENT3.1 Water Facilities

Wells and boreholes. Pumping systems (wind, solar, etc.). Offtake points from Lake Victoria – Bulyanhulu pipeline. Livestock watering points

3.2 Education and Health Facilities Classroom establishment. Upgrading existing clinics and health care facilities. Construction of new clinic and health care facilities. Development of livestock watering points (along the mine access road borrow pits could be shaped for this

purpose). Development of sports, recreational and cultural facilities.

3.3 Transport and Communication Facilities. Upgrading of local roads in villages and between villages. Pay telephone facility run by entrepreneurs.

4. TRAINING AND CAPACITY BUILDING4.1 Skills Training

Literacy Training. Small scale manufacturing and artisanal training. Training in skills for employment on Bulyanhulu mine. Agricultural training. Health training.

4.2 Capacity Building Development of Local Technical Capacity to maintain, repair and manage existing infrastructure and equipment

(water supply systems, roads, vehicles, buildings, etc.). Study tours for local stakeholders to successful development projects elsewhere in Tanzania and Africa to

develop local vision for potential projects.

5.3 STRATEGY FOR DEVELOPMENT

5.3.1 Approach

Nascent large scale commercial mining operations in Kahama and Geita Districts are the only current major economic engines in the general region and provide a window of opportunity to make a substantial and permanent improvement to the lives of local communities.

In order to achieve this there is a need to promote a process of vision building and strategic planning so that the capacity to implement and maintain sustainable development initiatives is entrenched before mining moves away from the area.

KMCL recognises the need to integrate the Bulyanhulu mining development into the local economy and to envisage it as a means of promoting local and regional economic and social development.

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As an important catalyst for economic and social development, this provides opportunities for input by Tanzanian Government Agencies, local NGO's’, CBO's’, aid agencies of other governments, various donors and business partners.

Such input is likely to be most efficiently utilised if it is focused around specific pilot projects or development initiatives designed to begin transformation of the local economy from one of subsistence and poverty into a sustainable productive and growing economy. Initiatives to achieve this transformation will involve three broad aspects, namely:

i) Establishment of institutional arrangements for the transfer and optimal utilisation of funds.ii) Establishment of a Development Foundation to disburse funds and to manage and monitor

implementation.iii) Establishment of community level institutions which will play a key role in the identification

and implementation of economic and social development projects.

5.3.2 Key principles of the strategy for development include:-

Pilot projects and development initiatives must be focused on the target communities, and where possible must promote mutually beneficial linkages between these communities and the mine.

Where possible development initiatives must be designed to generate returns for re-investment in the local community.

Attention will be given to ensuring that development initiatives will be sustainable once mining ceases.

Community involvement and commitment will be a prerequisite for implementing development initiatives.

5.3.3 Establishment of a Development Foundation

In order to create an institutional vehicle to facilitate implementation of the development strategy, KMCL will assist with the establishment of a Development Foundation. In order to maximise returns for the community and to source additional funds and inputs for development projects, partnership with other organisations involved in development (such as government agencies, NGO’s, international development agencies and donors) will be actively sought and projects will be co-ordinated where appropriate.

The benefits of the Development Foundation will include:

The ability to solicit funds as a single entity and co-operate in development work funded by other sources.

An improved platform for participation with local people and method for implementing community identified projects.

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Potential to develop community based natural resources management plans using participative land use planning processes, involving all affected communities.

Potential to establish and develop community based institutions (which use existing systems of authority and management but do not preclude involvement of women and vulnerable groups) to take charge of local resource management and development.

Development of structures and resources through the Development Foundation that will enable gradual formal disengagement of KMCL from direct day-to-day involvement in community issues, and allow it to focus it’s expertise and personnel resources on mining development.

Potential to expand activities from the immediate targeted communities to surrounding areas in the longer term.

The Development Foundation will have high potential to develop into a self-sustaining organisation with long term aims and goals that reach beyond the closure of mining activities.

5.3.4 Structure of a development foundation

Details of the structure and modus operandi of the Development Foundation will be formulated by stakeholders by the end of December 1999 (Table 8.7). However the structure of the Development Foundation will include the following:

i) Development Foundation Board

The Board will consist of KMCL representatives, village chairmen, representatives of the Geita and Kahama District Governments and major donors and aid organisations. It will be chaired by the General Manager of KMCL. The role of the Board will be to develop overall policy and provide guidance. Once the Foundation has been firmly established the Board will meet once every six months or once a year.

ii) Executive committee

The Executive Committee will be smaller than the Board, meet on a more regular basis and be responsible for management of the Foundation and implementation of projects. This smaller more focussed Committee will ensure the technical and financial feasibility of projects. It will be chaired by the Operations Manager of KMCL. It will consist of KMCL representatives, the Ward Chairman of Bugurama, local donor agencies and the district representatives of Kahama and Geita. The Executive Committee will be appointed by the Board and will report directly to it as often as it determines.

iii) Technical committee

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This committee will be responsible for the evaluation of the suitability and the sustainability of all proposed projects. It will consist of representatives of KMCL and local government who will involve local experts and consultants as required. The role of the Technical Committee will be to examine in detail the technical and financial feasibility of selected and prioritised projects. This committee will also evaluate and help prepare project development proposals, monitor and evaluate pilot projects and evaluate and review economic development of mine affected communities. The committee will be appointed by the Executive Committee to whom it will formally report every 3 months and more often if so required.

5.4 ECONOMIC DEVELOPMENT PROGRAMMES FOR MINE AFFECTED COMMUNITIES

5.4.1 Employment strategies

The development of the mine will bring about irreversible long-term changes to the local economy. As stated previously a strategy will be developed which will capitalise on the positive aspects and opportunities of this change, and which will enable integration of the local population into the new developing economy of the area to be maximised.

KMCL will proportionately allocate available jobs on the mine to the eight nearby targeted communities where feasible, in terms of skills and labour availability. This will enable a significant injection of cash into these targeted communities and will contribute towards local training and capacity building. This approach will improve contact and communication between the mine and surrounding communities.

As part of the economic development of mine affected communities alternative employment and income earning strategies will also be developed. This will include the sourcing of agricultural products locally as far as possible, such as vegetables, poultry products (broilers and eggs), other livestock products (meat, milk). Attention will also be given to local intensification of agricultural production, entrepreneurial development, introduction of improved systems of artisanal gold mining, training, etc.

5.4.2 Intensification of Agriculture

Although a high proportion of the area is arable local land resources are limited and there are indications that there is insufficient land for adequate fallow periods. The construction of the mine and its associated dumps and tailings dam has resulted in the loss of some arable land, and this will contribute to increasing pressure on local resources.

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Intensification of agriculture production systems provides an opportunity for increasing production from finite resources. While the area receives sufficient annual rainfall on average for production of a wide variety of crops adapted to local agro-climatic conditions, there is considerable potential for intensification of agriculture through water driven projects aimed to provide irrigation during the dry season and supplementary irrigation for some crops in the wet season. While ground water resources are generally limited there is nevertheless potential for the development of small scale irrigated gardens for each of the eight targeted communities near the mine. Where adequate local ground water supplies cannot be found the possibility of using water from the pipeline from Lake Victoria will be investigated. Provision has already been made for supply of water to villages along the route of the pipeline. The mine was established from one high yielding borehole. If this borehole is no longer required when the pipeline from Lake Victoria is completed, the feasibility of using it for supply to local communities and for community development projects will be investigated.

5.4.3 Entrepreneurial Development

The Social Development Programme will explore ways of promoting entrepreneurial development initiatives identified by local communities. Vision building and training will be a critical catalyst in promoting local entrepreneurial development.

The following aspects will be addressed:

i) Provision of training for entrepreneurial skills development, identification of development opportunities and market potential.

ii) KMCL will follow an active policy of purchasing locally, where feasible, and avoid importing goods. Particular local sources, such as carpentry, masonry, craftsmanship, tax, services, vehicle and bicycle repairs, etc., will be identified and given the status of ‘preferred supplier’.

iii) Where possible KMCL will seek mutually beneficial linkages with other district and regional development initiatives (i.e. Dutch Government funded rural development programme for Kahama District, water development projects of Hesawa and World Vision, linkages with developing transport and communication systems, etc.).

5.4.4 Artisanal gold mining

Small scale or artisanal mining has played a significant role in local economies in the area south of Lake Victoria for a number of decades. There is also archaeological evidence that mining has been undertaken over a very long period of time. Overall artisanal mining is an important feature of the Tanzanian economy. While conflicts have occurred with the establishment of large scale commercial mining ventures, there is undoubtedly a niche for both types of mining. Artisanal miners, without large

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overhead costs, are in a better position to exploit smaller near surface deposits, and to rework tailings. The government of Tanzania has sought means to encourage artisanal mining at appropriate sites. Currently artisanal mining is taking place in and adjacent to the Bulyanhulu river in the Prospecting Licence area where small scale miners are reworking the tailings from the Bulyanhulu gold rush of 1994 – 1996. There is also some nearby artisanal mining of ore deposits outside the Bulyanhulu Prospecting Licence Area. KMCL will undertake an appraisal of gold resources in the area and ascertain suitability for exploitation by artisanal miners. KMCL will also explore ways in which it could use its expertise and resources to facilitate artisanal mining of resources which will not impinge on their large scale commercial operation. Such assistance might include:

Providing advice on ensuring stability of shafts. Providing advice on appropriate ventilation systems. Introducing measures to reduce the use of mercury (possibly buying gold concentrate, gold

amalgam – facilitating the sale or manufacture of retorts for mercury recovery, etc.). Disseminating information on the hazards of using mercury. Defining geological areas suitable for small scale artisanal mining, but not suitable for large scale

mining. Providing information on mining methods which will reduce environmental impacts.

5.5 STRATEGY FOR MITIGATING IMPACTS OF AN ANTICIPATED INFLUX OF NEWCOMERS.

Experience elsewhere with mining developments in rural areas of Africa show that a large scale mining operation is likely to provide a more attractive economic and social environment than surrounding areas, resulting in population movement to the vicinity. If population movements are large they can result in significant impacts on local communities. At present it is likely that most settlement of newcomers will be in or near Kakola, adjacent to the mine. The town arose from previous artisanal mining and has experienced large increases and decreases in population in the past. A land use plan has been prepared for Kakola. However little public infrastructure envisaged in the Plan has been implemented. A rapid large scale influx of people seeking opportunities associated with the mine could overwhelm existing infrastructure and services and negate the land use plan through uncontrolled settlement. As part of the Resettlement Action Plan (Part D) a Land Use Plan (Map 6) has been prepared for the Mine Prospecting Licence Area, in order to control land use and settlement. However a large increase in population and informal settlement in and adjacent to Kakola could make implementation of this land use plan difficult. (At present KMCL has difficulties in controlling settlement near the airstrip).

Bugurama is the Ward Centre, situated 8km from Bulyanhulu mine, adjacent to the access road to Kahama. In order to reduce pressures associated with an influx of people at Kakola it may be

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preferable to encourage settlement at Bugurama. Bugurama at present has school, clinic and Ward office facilities. Siting and provision of infrastructure and services, or the upgrading of existing facilities, could be effectively used as “pull factors” to influence settlement at Bugurama. The development of Bugurama would contribute to a distribution of benefits, ensure its development as a Ward Centre capable of operating after closure of the mine, and would lessen pressure on Kahama and the area immediately adjacent to Bulyanhulu mine. Such a strategy would not detract from the development of Kahama, but would facilitate controlled development within manageable limits. KMCL will initiate discussions on such a strategy with Ward and District officials.

5.6 IMPLEMENTATION SCHEDULE FOR SOCIAL DEVELOPMENT PROGRAMMES FOR MINE AFFECTED COMMUNITIES

Table 5.6 provides a summary of the chronogram of activities that will be undertaken to effect economic and social development programmes for mine affected communities. This chronogram will be developed in more detail in the course of on-going planning.

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5.7 EXPENDITURE TO DATE AND BUDGET FOR IMPLEMENTATION OF THE SOCIAL DEVELOPMENT PLAN.

5.7.1 Expenditure to date

Table 5.7 : Social Development Expenditure by KMCL up to January 1999.Activity/Item TSh Total US $ Total

(Approximate)1. DIRECT MONETARY CONTRIBUTIONS

A. TARGET COMMUNITIES ADJACENT TO THE MINE

A.1 Construction of two classrooms and two storerooms for Kakola Primary School. January 1997.

3 000 000 4 410

A.2 Provision of school desks for Kakola Primary School. Joint project with Kakola Village on a “one shilling for one shilling” basis. 1997 – 1998.

440 000 645

A.3 Assistance in facilitating the District Scout Camp at Kakola. April 1998.

50 000 75

A.4 Payment of medical fees and transport costs for Ilega Health Centre doctor to treat Kakola villagers at the mine camp every Saturday. 1997 – present.

1 000 000 1 470

B. OTHERB.1 Contribution towards the construction of the new

aerodrome at Ibadikala, Shinyanga 1997.1 100 000 1 620

B.2 Contribution towards rehabilitation of the Busoka – Lunguya road for the Freedom Torch run (important Tanzanian annual event).

700 000 1 030

B.3 Contribution to Segese Secondary School. November 1998. 200 000 295

TOTAL 6 490 000 9 5452. INDIRECT CONTRIBUTIONSA. TARGET COMMUNITIES ADJACENT TO MINEA.1 Five boreholes drilled as part of mine exploration donated to Kakola village. Commitment by KMCL to

purchase pumps once other aspects of the water supply system have been completed by the village and district (refer to Table 8.5.2).

A.2 Transport of severely ill patients from nearby villages to nearest adequate medical facility for a small token fee.

A.3 Upgrading of Kakola village streets with borrow pit material.

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A.4 Mosquito fogging and chlorinating of Kakola village wells weekly.A.5 Support of local football teams (footballs, football jerseys, etc.).B. OTHERB.1 Upgrade of the Kahama to Bulyanhulu road at a cost of us $5 million.

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5.8 BUDGET FOR IMPLEMENTATION OF SOCIAL DEVELOPMENT PLAN : 1999 – 2000

Table 5.8 contains a preliminary budget for implementation of the Social Development Plan in the period 1999 – 2000. A detailed 5 year budget for establishment and operation of the Development Foundation will be prepared by the end of 1999 as part of the detailed planning process for implementing a Social Development Plan. Funds will be sought in the first instance to cover operating costs (personnel, transport and overhead costs – office accommodation and equipment), and secondly for implementation of selected, feasible projects

Table 5.8. Preliminary Budget for implementation of the Social Development Plan.1999 – 2000

Activity/Item TSh Total US $ Total(Approxima

te)A. 1999A.1 Provision of five pumps for boreholes donated to Kakola

Village once other aspects of the water supply system have been completed by the village and district.

4 500 000 6 620

A.2 Pipeline from Lake Victoria. Provision of 9 water offtake points to villages adjacent to the pipeline.

? ?

A.3 Other ? ? ?

SUB TOTAL ? ?B. 2000B.1 Operating Costs Annual Remuneration Community Development

Offices. (CDO).6 000

Annual remuneration 2 community development facilitators (CDF).

3 200

Vehicle operating costs:1 pickup (CDO)2 motor cycles (2 CDF’s) 4 000

CDO office Administration Costs (Kakola village). Office supplies, etc. 1 000

B.2 Contribution to Development Foundation US$ 9000 per month ? 96 000 ?

SUB TOTAL 122 200 ?

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TOTAL ?N.B. Budget in draft form for discussion with Client. Not finalised.

In 1999 the Community Development Officer will also take part in the detailed planning process to establish the Development Foundation, identify and prioritise feasible pilot projects and plan a detailed implementation schedule. Provision has been made for two Community Development Facilitators (CDF) to live and work with local communities to ensure successful implementation of pilot projects.

In the year 2000 KMCL will ensure that sufficient funds are available for employment of the Community Development Officer (CDO), 2 Community Development Facilitators (CDF) and associated transport and overhead costs. KMCL will make a monthly contribution of US$ 9000 per month to the Development Foundation towards establishment of Pilot Projects, but funds will also be sought from a variety of sources (international aid agencies, foreign embassies, donors and business partners). The Royal Netherlands Government is currently assisting the Kahama District Administration with rural development initiatives, and will be approached to ascertain whether there is scope for establishment of joint projects.

5.9 MONITORING AND EVALUATION

KMCL recognises that monitoring and evaluation is essential to gauge the effectiveness of the resettlement process and measures designed to catalyse economic development of mine affected communities. Monitoring also provides an early warning to project management about potential or actual problems and enables corrective action to be taken timeously. The process also enables future projects to be undertaken more successfully. Regular monitoring and evaluation will demonstrate to the local community and other stakeholders the commitment of KMCL to ensuring successful implementation of the project.

An external agency will be appointed to conduct periodic monitoring and evaluation. Ongoing detailed design of the monitoring and evaluation system will be undertaken to ensure that well documented reports are produced, based on good databases. It will also ensure that the internal functioning of the Development Foundation as well as any projects which have been initiated are being run as were planned. These reports will form part of KMCL’s Environmental Management System and will be open for external scrutiny by interested and affected parties.

In the longer term the effectiveness of projects aimed at economic development will be measured by checking income levels and the standard of living of project affected households. Indicators to be monitored will include:

The number of household members engaged in employment and entrepreneurial activities.

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Monthly income generated from household enterprise schemes.

Assessment of total monthly household income.

Assessment of household assets.

Responsibility for environmental management and infrastructure maintenance is carried out by local leadership and that unsustainable dependencies are not created.

Environmental degradation is limited so that the economic resource base on which the villagers depend is not destroyed. This will involve monitoring cropland and rangeland productivity, the amount of land under fallow and reduction of natural resources (firewood, construction material, wild food products, medicinal plants, etc.)

The type and number of ailments treated in the local clinics and medical service centres.

The efficiency and effectiveness of solid waste disposal and sewage handling facilities.

The yields obtained in a sustainable manner from croplands.

The quality and quantity of water available to villagers.

Educational levels amongst children and literacy levels in adults.

The extent of trade generated between neighbouring districts, regions and countries.

External specialist monitoring will occur every six months for the first two years after initiation of the Social Development Programme and annually thereafter for the life of the mine.

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ACKNOWLEDGEMENTS

KEY INFORMANTS AND PARTICIPANTS

The authors gratefully acknowledge the assistance and advice provided by a large number of persons and organisations in the course of preparing this report. The following is a list of some of these persons:-

I. Government officials

a) National

Mr J M Kami - Land Use Planning, National Land Use Planning Commission Mrs S Longway - Commissioner of Lands, Dar es Salaam

Ms C Makundi - National Land Use Planning Commission

Mr F E R Mukerebe - Deputy Private Secretary, Office of the Regional Commissioner

Mr S Mayeye - Director General, National Land Use Planning Commission, Dar es Salaam

Mr S J Mohamed - Assistant Commissioner for Mine, Ministry of Energy and Minerals

Mr F Mpendazoe - Assistant Principal Water Officer, Ministry of Water, Central Water Board

Mr C Msalangi - Economist/Project Manager, Ministry of Energy and Minerals Mr E Mugurusi - Director of the Department of Environment,Vice President’s Office Mr F K Mutalyamilm ? - Ministry of Lands, Dar es Salaam Mr G M Nyello - Ag. Assistant Commissioner for Mineral Trade,Ministry of

Energy and Minerals Mr R M Otsyina - Senior Scientist & Project Leader, International Centre for

Research in Agroforestry Mr J Shilungushela- Hydrologist, National Land Use Planning Commission

b) Regional/district

Mr H Bhwana - DMO, Kahama District Mr D E O Binamungu- Consultant, DWSP/DHV, Shinyanga District Mr D G Buhumi - Kahama District

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Mr L M Buremo - District Executive Director, Kahama District Mr E K Chamu - Planning Officer RAS’s office, Shinyanga District Mr S S Fundikira - District Executive Officer, Kahama District Mr M A N Jilumbi - Planning Officer, RAS’s office, Shinyanga District Mr D Kafumu - Ag. B.E., Kahama District Mr P Kakanya - Mjumbe Mr R Kambikiye - Regional Roads Engineer, Shinyanga District Mr J Kamya - Water Project Co-ordinator, Kahama District Mr F Kang’ombe - PLO, Kahama District Mr M Kanyonyi - Regional Planning Officer, Shinyanga District Mr M E Katole - DMMO, Kahama District Dr A E Kimambo - Regional Medical Officer, Shinyanga District Gen. T N Kiwelu - Regional Commissioner, Shinyanga District Mr W Koster - District Development Action (Dutch Funding) Mr Cosmas Lugora - Ag. District Admin Secretary Mr S S Mashema - District Programme Manager (Water) Mr J Mazwa - Kahama District Mrs Hawa Mchopal - District Commissioner Mr A M Milando - Regional Local Government Officer, Shinyanga District Ms Celestine Musa - Planning Officer, Kahama District Mr A Samaje - District Mines Officer Mr H K Sebishah - District Planning Officer Mr P P Shapa - Regional Water Engineer, Shinyanga District

c) Ward/village

Mr J Banigwa - Sunga Vilage Chairman Asha Bayana - Mjumbe, Bugurama Ward Councillor -Kakola Village Mr Cosmos Bupala - Nyamtukuza Village Secretary Mr J Butungo - Gwananoni Village Mr Chagula - Health Officer, HAM Kakola Mathias Chagula - Mhusumu wa Africa Mr C Chasama - Kitongo Village Secretary Mr N Elias - Acting Village Executive Officer, Bugurama Ward Councillor Mr G Fruhwa - Bugurama Primary School Principal Mr C Gambamble - Gwamanoni Primary School Principal Mrs C Hamisi - Shilela Village – I&AP Mr J Herman - Ntobo Village Chairman Mr S Husseni - Mjumbe, Bugurama Ward Councillor -Kakola Village

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Mr S Katigizu - Lwabakanga Village Secretary Mr E Kenze - Village No. 9 Secretary Mr. M Kikuli - Karagwa Village – I&AP Mr Masalu Kilasila - Kakora Education Officer Mr G Kingi - Kakola Village Committee Member Mr M Kinimano - Karumwa Village Chairman Mr Kintiko - Bugurama Ward Executive Chairman Mr J Kithuhi - Nyamakonze Assistant Sungusungu Commander Mr D Lyochi - Bumanda Village Chairperson Mr H Majala - Pipeline I& AP Mr Paulo Makanya - Mjumbe, Bugurama Ward Councillor -Kakola Village Mr P Malhanga - Social Welfare Committee Member Mr S Malimi - Road I&AP Mr M Manago - Bumanda Village I&AP Mr M Manengo - Bumanda vIllage – I&AP Mr B Mapililengi - AGOTV Mr B Masongwa - Village Secretary, Kakola Village Mr C Maziku - Pipeline I&AP Mr S A Mbwambo - M/Kiti Kamati, Kakola Centre Chairman Mr M Mechlo - Segese Village Secretary Mr Bernard Mhambo - Acting Ward Executive Officer, Mr M Mlisho - Nyamakonze Sungusungu Secretary Mr R Moses - Nyangalilamila Village Secretary Mr M Murelemi - Lunguya Ward Officer Mrs Mwanakajondo - Village No 9 I&AP Mr J Mwanganda - Acting District Executive Director, Geita District Council Mr P Ngulimi - Lwabakanga Sungusungu Mr C O Oyier - District Executive Director, Geita District Council Mr J Paul - Karuma Village Secretary Ms D Peter - Bugurama Ward Councilor Ms E Pshija - Agricultural Officer Bugurama Ward Mr A Salum - Kakola Village Chairman Mr L Sengezi - Busoka Village Secretary Mr S Shija - Masabi A – I&AP Mr Shilengela - Teacher Mr N Soleya - Segese Village – I&AP Mr S Spur - V.E.O Gwananoni Mr M Subi - Nyanhwale Village Chairman

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Mr E Sundi - Ilogi Village Chairman Mr M Waryota - Mjumbe, Kakola Village Mr C Wenceslaus - Bugurama Ward Clinical Officer

II. Kahama Mining Corporation/Sutton Resources Ltd

Mr. Bill Bali - Resident Director, Kahama Mining Corp. Ltd Mr. Kelvin Dushnisky - Vice-President, Regulatory Affairs, Sutton Resources Mr. Jim Hylands - Camp Manager, Bulyanhulu Exploration Camp Mr. OC Lopa - Public Relations Manager, Bulyanhulu Exploration Camp Mr. F Rwamugira - Chief Surveyor, Bulyanhulu Exploration Camp Mr. Will Thomson - Assistant Manger, Bulyanhulu Exploration Camp

III. Interpreters and field assistants

Mr J A Kdima - Ibanza Primary School Teacher Mr F Misungwi - Segese Primary School Teacher Ms N Msabaha - Kishimba Secondary School Pupil Ms G Sayi - Kahama Secondary School Teacher Mr J Sazia - Bariadi Secondary School Teacher Mr B Taga - Kakola Primary School Principal

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IV. NGO’s

Mr AMK Jamaludin- Care International – Mwanza, Tanzania

VI Others

Dr D Aronson - Senior Social Development Specialist, IFC. Dr Frederick E Brusberg - Social Development Specialist, IFC. Ms Debra Sequeira - Social Development Specialist, IFC.

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