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PROPERTY RIGHTS AND
ARTISANAL DIAMOND
DEVELOPMENT
(PRADD)
PILOT PROJECT
1
This presentation will:
•Link PRADD’s property rights approach to
the objectives of the Kimberley Process
•Report on the activities of the PRADD Pilot
Project
•Describe the property rights context in
CAR
• Demonstrate how a mining claims registry
– supported by a GIS database – responds
to KP, PRADD and CAR objectives
2
Diamonds and CAR
3
•World’s tenth largest
diamond producer
•Diamonds earn 40-50% of
export revenues
•Over 90% of diamond prod.
in CAR is artisanal
•Alluvial mining throughout
country
•Porous borders
•Political instability
The Kimberley Process
Targeting transparency at 2 levels:
• International: implementation of the KP
Certification Process since January 2003
• From mine to export: implementation of
PRADD/CAR since April 2007
4
PRADD Premise:
Secure and enforceable property
rights of artisanal miners and local
communities will:
1. Contribute to bringing alluvial diamonds into a
secure chain of custody
2. Improve the livelihoods of miners and mining
communities
3. Improve environmental management
4. REDUCE CONFLICT
5
PRADD 1st Year Activities
• Training – workshops – communications
• Policy reviews
• PRA
• Policy education
• GIS database design
• Map products
• Census of claimants
• Claimant survey
• Ongoing database development
6
Map Products - Bossoui
7
•3 principal waterways
•7 villages
•Total population: 5,413
•90%+ active in diamond sector
Census of Artisanal Miners - Bossoui
8
•254 chefs de
chantier (property
rights claimants)
•310 chantiers
•19 women CdC
•90% mining 5+ yrs;
•70% mining 15+ yrs
•50%+ from local
area
•3 out of 254 have
artisanal permits
The Diamond Chain of Custody:
Principal Actors
9
*The Faux Artisans use mining license to purchase
Survey: of Artisanal Miners - Bossoui
Theme of Property Rights
10
How mines acquired:
54% new mines
40% inherited
4% purchased
2% gifts
Based on 118 / 254 artisanal mining surveys, Nov 2007
The GIS Database:
Year 1 Design and Initiation
11
•Claimant identity
•Unique ID # of site
•Location / Coordinates
•Mining documentation
•Land transactions
•Production
•Marketing
•Property rights basis /
history
•Conflicts
•Environment
•Income
•HH economy•Automatic update
•Defined periodic update (cahier de production)
•Initial or occasional surveys
GIS Database:
Year 2 Improvements and Completion
• Claims validation
• Conflict mediation
• Improved GIS technology
12
The Property Rights
Context in CAR
Two authority systems:
• Statutory law
• Customary tenure systems
13
Two phases:
1.Open access
in mining areas
2.Legitimization
of rights
The Response of
Customary Property Systems
14
Property Rights in CAR Policy
Strong property claims of government
Liberalized access to mines
Circumscribed customary rights
…but the government lacks capacity to
implement the policies
15
Mining licenses and permits
Production notebook
The Mining Code Presents
Opportunities for Securing and
Formalizing Legitimate Claims:
16
Claims Registry
GIS Database
Applying Existing Policy:
PRADD Tools to Formalize
Legitimate Claims
17
Using the Database to Sort
Out Claims and
Resolve Conflicts
18
LEGEND:
Polygon:
• Industrial mining
Concession (Lobaye
Gold / Noble Minerals)
Red dots:
• Artisanal mining sites
• The weak link in KP is mines-to-export (internal controls)
• The weak link in mines-to-export is the production site
• The PRADD mining claims registry addresses this weakness
• The MCR draws on legitimate existing property rights:
- Statutory
- Customary
• By clarifying and formalizing property rights, the MCR
furthers the common objectives of PRADD and KP:
- Transparency
- Information availability
- Conflict management and reduction
- Opportunities for investment and increased revenues
- Environmental sustainability
19
Lessons Learned
THANK YOU
FOR YOUR ATTENTION
20

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Property rights and artisanal diamond development

  • 1. PROPERTY RIGHTS AND ARTISANAL DIAMOND DEVELOPMENT (PRADD) PILOT PROJECT 1
  • 2. This presentation will: •Link PRADD’s property rights approach to the objectives of the Kimberley Process •Report on the activities of the PRADD Pilot Project •Describe the property rights context in CAR • Demonstrate how a mining claims registry – supported by a GIS database – responds to KP, PRADD and CAR objectives 2
  • 3. Diamonds and CAR 3 •World’s tenth largest diamond producer •Diamonds earn 40-50% of export revenues •Over 90% of diamond prod. in CAR is artisanal •Alluvial mining throughout country •Porous borders •Political instability
  • 4. The Kimberley Process Targeting transparency at 2 levels: • International: implementation of the KP Certification Process since January 2003 • From mine to export: implementation of PRADD/CAR since April 2007 4
  • 5. PRADD Premise: Secure and enforceable property rights of artisanal miners and local communities will: 1. Contribute to bringing alluvial diamonds into a secure chain of custody 2. Improve the livelihoods of miners and mining communities 3. Improve environmental management 4. REDUCE CONFLICT 5
  • 6. PRADD 1st Year Activities • Training – workshops – communications • Policy reviews • PRA • Policy education • GIS database design • Map products • Census of claimants • Claimant survey • Ongoing database development 6
  • 7. Map Products - Bossoui 7 •3 principal waterways •7 villages •Total population: 5,413 •90%+ active in diamond sector
  • 8. Census of Artisanal Miners - Bossoui 8 •254 chefs de chantier (property rights claimants) •310 chantiers •19 women CdC •90% mining 5+ yrs; •70% mining 15+ yrs •50%+ from local area •3 out of 254 have artisanal permits
  • 9. The Diamond Chain of Custody: Principal Actors 9 *The Faux Artisans use mining license to purchase
  • 10. Survey: of Artisanal Miners - Bossoui Theme of Property Rights 10 How mines acquired: 54% new mines 40% inherited 4% purchased 2% gifts Based on 118 / 254 artisanal mining surveys, Nov 2007
  • 11. The GIS Database: Year 1 Design and Initiation 11 •Claimant identity •Unique ID # of site •Location / Coordinates •Mining documentation •Land transactions •Production •Marketing •Property rights basis / history •Conflicts •Environment •Income •HH economy•Automatic update •Defined periodic update (cahier de production) •Initial or occasional surveys
  • 12. GIS Database: Year 2 Improvements and Completion • Claims validation • Conflict mediation • Improved GIS technology 12
  • 13. The Property Rights Context in CAR Two authority systems: • Statutory law • Customary tenure systems 13
  • 14. Two phases: 1.Open access in mining areas 2.Legitimization of rights The Response of Customary Property Systems 14
  • 15. Property Rights in CAR Policy Strong property claims of government Liberalized access to mines Circumscribed customary rights …but the government lacks capacity to implement the policies 15
  • 16. Mining licenses and permits Production notebook The Mining Code Presents Opportunities for Securing and Formalizing Legitimate Claims: 16
  • 17. Claims Registry GIS Database Applying Existing Policy: PRADD Tools to Formalize Legitimate Claims 17
  • 18. Using the Database to Sort Out Claims and Resolve Conflicts 18 LEGEND: Polygon: • Industrial mining Concession (Lobaye Gold / Noble Minerals) Red dots: • Artisanal mining sites
  • 19. • The weak link in KP is mines-to-export (internal controls) • The weak link in mines-to-export is the production site • The PRADD mining claims registry addresses this weakness • The MCR draws on legitimate existing property rights: - Statutory - Customary • By clarifying and formalizing property rights, the MCR furthers the common objectives of PRADD and KP: - Transparency - Information availability - Conflict management and reduction - Opportunities for investment and increased revenues - Environmental sustainability 19 Lessons Learned
  • 20. THANK YOU FOR YOUR ATTENTION 20