In a significant step towards fostering inclusivity and addressing the challenges of illegal mining, ElectroChem Ghana Limited (EGL) has introduced its groundbreaking Community Outgrowers Scheme.
This innovative program aims to empower local residents by allocating portions of EGL’s mining concession for community use, allowing them to mine salt from the Songor Lagoon and sell their produce directly to EGL
The scheme was inaugurated by Dzetse Nene Kabu Abram Akuaku III, Paramount Chief of the Ada Traditional Area, during a ceremony held in Ada on August 26, 2024. The Paramount Chief emphasized the crucial role of EGL’s operations in driving socioeconomic development within the Ada Traditional Council and urged local residents to seize the opportunities offered by the Outgrowers Scheme.
“We have a sacred duty to ensure the swift expansion of EGL’s operations across the entire lease area,” he remarked. “This will not only enhance employment prospects but also stimulate related economic activities, provide relief to local communities, and boost the country’s export earnings.”
The launch of the Community Outgrowers Scheme is in line with recommendations from the Parliamentary Joint Committee on Mines and Energy and Lands and Forestry. The committee’s report advised EGL to allocate space within its concession for local miners, support them in implementing best practices, and maintain ongoing stakeholder engagement.
The scheme invites community members to form groups, register as businesses, and receive training in sustainable mining practices. Participants will be allocated land within the concession for mining, with EGL offering high-quality brine and technical support.
Beyond the Community Outgrowers Scheme, EGL has demonstrated its commitment to corporate social responsibility through various initiatives. The company has invested US$88 million in the first phase of the salt mining project and allocated 1,000 acres of its concession to local communities to enhance their livelihoods. EGL has also established over 70 salt-producing pans for seven communities and introduced a women’s support scheme, which initially provided GHS3 million in interest-free loans to women entrepreneurs in Ada and has since been increased to GHS10 million.
Razak Adam, CEO of EGL, expressed the company’s dedication to community well-being, stating, “Our success is deeply linked to the prosperity of the communities we operate in. The Community Outgrowers scheme reflects our belief that together, we can achieve more.”
Adam highlighted ElectroChem’s commitment to fostering long-term prosperity and urged community members to join the scheme. “This initiative offers an opportunity for community members to pool resources and knowledge, establish registered businesses, and combat poverty together,” he said.
The District Chief Executives for Ada East and West voiced their strong support for the scheme, with a joint statement affirming its importance to local livelihoods.
Representatives from the Environmental Protection Agency (EPA) and the Mineral Commission also commended EGL for its initiative, expressing confidence that the scheme will enhance the relationship between the company and the surrounding communities.
