MADAGASCAR Law and Practice Contributed by: Herisoa Raharimamonjy and Mialy Solofohery, John W Ffooks & Co
social assessments as well as compensation plans. 2.5 Impact of Specially Protected Communities on Mining Projects Certain categories of communities benefit from protection regarding mining projects. For exam - ple, Law No 66-025, dated 19 December 1966 and ensuring the cultivation of agricultural land, protects farmers against immediate relocation regardless of their licence of occupation. 2.6 Community Development Agreement for Mining Projects In Madagascar, community development agree - ments are typically mandatory for mining pro - jects, as outlined by the Mining Code. These agreements are part of the broader corporate social responsibility (CSR) framework for mining companies and are tied to specific legal obliga - tions. Key provisions of the Mining Code include: • local content requirements ensuring that min - ing companies contribute to the local econo - my through job creation, training and the use of local goods and services; and • contribution to the Mining Social and Com - munity Investment Fund (FMISC), which is intended to support local community devel - opment and environmental management projects. 2.7 Environmental, Social and Governance (ESG) Guidelines and Regulations The main ESG guidelines/regulations applicable in Madagascar are: • Decree No 99-954, dated 15 December 1999 and amended by Decree No 2004-167 of 3
February 2004, on the environmental compat - ibility of investments; and • Interministerial Order No 12032/2000, relating to environmental protection regulations in the mining sector. The mining regulations also establish the ESG guidelines, requiring specification of the CSR plans of mining licence holders. 2.8 Illegal Mining Illegal mining activities are regulated and sanc - tioned by the mining laws of Madagascar. There - fore, illegal mining is an issue in Madagascar; it constitutes a breach of the laws and undermines the insecurity of the Malagasy mining industry. The Malagasy government has taken various steps to combat illegal mining. According to the Mining Code, Madagascar aims to formalise arti - sanal mining by providing legal frameworks for small-scale mining operations. This would allow informal miners to be integrated into the formal economy under regulated conditions, including in relation to licensing and oversight. Enforcement measures include restrictions on illegal mining camps, seizures of equipment and penalties for those involved in illicit activi - ties. The BCMM plays a key role in regulating and overseeing mining activities. Mining companies often co-operate with gov - ernment agencies to address illegal mining. This can include sharing intelligence, helping to mon - itor mining activities and supporting initiatives to promote responsible artisanal mining practices.
284 CHAMBERS.COM
Powered by FlippingBook