๐๐จ๐ง๐ญ๐ข๐ง๐ฎ๐๐ญ๐ข๐จ๐ง ๐จ๐ ๐ญ๐ก๐ ๐๐๐ฅ๐ข๐๐๐ซ๐๐ญ๐ข๐จ๐ง ๐จ๐ง ๐ญ๐ก๐ ๐๐๐ซ๐๐จ๐ซ๐ฆ๐๐ง๐๐ ๐๐ฎ๐๐ข๐ญ ๐๐๐ฉ๐จ๐ซ๐ญ ๐จ๐ง ๐ญ๐ก๐ ๐จ๐ฉ๐๐ซ๐๐ญ๐ข๐จ๐ง๐ฌ ๐จ๐ ๐ญ๐ก๐ ๐๐ญ๐๐ญ๐ ๐๐ข๐ง๐ข๐ง๐ ๐๐จ๐ซ๐ฉ๐จ๐ซ๐๐ญ๐ข๐จ๐ง ๐๐ข๐ฆ๐ข๐ญ๐๐ (๐๐๐๐)
The Joint Sitting of the Parliament continued deliberation on the recommendations presented by the Public Accounts Committee on the Performance Audit Report on the operations of the State Mining Corporation Limited (SMCL) today.
The Joint Sitting deliberated on the nine recommendations submitted by the Public Accounts Committee and adopted as follows:
1. The Government to carry out comprehensive mapping and prospecting of minerals in the country: The Government has to expedite nationwide mineral resources mapping, exploration, and geo-scientific studies for all potential minerals in the country. The Department of Geology and Mines (DGM) to be adequately staffed with competent technical human resources to effectively carry out its mandates.
2. The Government to expedite construction of Dewathang - Nganglam Road: The Government has to prioritize the construction of the Dewathang - Nganglam road, which will significantly reduce transportation costs and time for gypsum and coal, making domestic cement more competitive.
3. The Government to consider railway link to Pugli: The Government has to pursue discussion for establishing a railway link to Pugli to reduce transportation costs for dolomite exports, which currently rely heavily on truck and rail transport.
4. DGM, Ministry of Energy and Natural Resources (MoENR) to limit their scope to overseeing technical feasibility and reserve adequacy in FMFS: The Final Mine and Feasibility Study (FMFS) sets annual targets for mineral production and sales. Since prospecting and mining are distinct activities, and the Department of Geology and Mines lacks business expertise, the DGM could focus on the technical feasibility of mining sites and verifying mineral reserves, rather than assessing economic and business feasibility as outlined in the FMFS guidelines.
5. MoENR and SMCL to jointly carry out appropriate testing for air, water and dust population and structural and crop damages: The Ministry of Energy and Natural Resources (MoENR) and SMCL has to collaborate with local governments in the mining areas to conduct appropriate testing for air, water, and dust pollution, as well as structural and crop damages attributed to mining activities.
6. The Government and SMCL to develop a long-term mining extension plan with a comprehensive land acquisition and resettlement strategy for affected communities: The Government and SMCL has to develop a long-term mining extension plan that includes a comprehensive land acquisition and resettlement strategy for communities affected by mining operations, particularly in areas with projected long-term extraction.
7. SMCL to explore more markets and diversify its mineral products: SMCL has to conduct a comprehensive market study to diversify its mineral products and explore markets beyond its traditional boundaries, investing in marketing strategies and high-value minerals to enhance profitability.
8. SMCL to develop HRD masterplan: SMCL's mission relies on skilled human capital, but despite workforce growth, there is a lack of expertise in key areas. With only Nu. 1.3 million spent annually on training, SMCL has to develop an HRD master plan to bridge the skills gap.
9. The government to enhance the efficiency of online regulatory portals such as Bhutan Electronic Customs Management System (BECMS), Bhutan TradeFin Net (BTFN), and Bhutan Integrated Revenue Management System (BIRMS): The movement of goods and services across the border is currently hindered by inefficiencies in online portals, including frequent server downtime and internet issues, causing delays in clearance. The Government has to improve the efficiency of these online systems to facilitate seamless cross-border trade.
In addition to the above, the Deputy Speaker proposed an additional recommendation for the Government to initiate immediate discussions with all relevant stakeholders and domestic industries to address the pressing concerns of mineral pricing and quality. Urgent action was called for to safeguard the viability and competitiveness of Bhutanese industries in the face of these challenges. The additional recommendation was adopted by the Joint Sitting through a majority show of hands.
The Joint Sitting adopted all ten recommendations with all 66 Members present and voting supporting in favour.
The Speaker announced the receipt of the Annual Audit Report for the year 2023-2024 submitted by the Royal Audit Authority in accordance with Article 25 (5) of the Constitution. The report was released as a public document and referred to the Public Accounts Committee for its review and reporting in the summer session.
