i

BUSITEMA UNIVERSITY

FACULTY OF NATURAL RESOURCES AND ENVIRONMENTAL SCIENCES

IMPACTS OF SURFACE GOLD MINING ON LAND USE SYSTEMS AND

LIVELIHOODS OF THE PEOPLE OF BUSIA DISTRICT.

CASE STUDY OF BUTEBA, BUSITEMA AND SIKUDA SUB COUNTIES.

BY

OBUKUI PIUS IMERI

BU/UP/2013/230

A RESEARCH REPORT SUBMITTED TO THE FACULTY OF NATURAL

RESOURCES AND ENVIRONMENTAL SCIENCES IN PARTIAL FULFILLMENT OF

THE REQUIREMENTS FOR THE AWARD OF A DEGREE OF A BACHELOR OF

SCIENCE IN NATURAL RESOURCE ECONOMICS OF BUSITEMA UNIVERSITY.

JUNE, 2016

i

DECLARATION

I OBUKUI PIUS IMERI do hereby declare that this research report is my own work and has

never been submitted to any university or institution of higher learning for any academic award

and where other peoples‟ research was used, the authors were dully acknowledged.

Signature……………………………… Date…………………………………

OBUKUI PIUS IMERI

ii

APPROVAL

This serves to certify that this work has been as a result of efforts of OBUKUI PIUS IMERI

under my guidance and supervision and is now ready for submission to the faculty of Natural

Resources and Environmental Sciences.

Supervisor

……………………………………… Date…………………………………

M/S GIMBO REBECCA

iii

DEDICATION

I dedicate this research report to my father Mr.Imeri Bisansio and my mother Mrs. Apadet Esther

Dorine who have struggled to raise and educate me and to all my siblings.

iv

ACKNOWLEDGEMENT

Though I did this research report single handedly, I was socially and financially supported by a

number of individuals and parties that I feel indebted to mention.

I hereby acknowledge my supervisor M/S Rebecca Gimbo who critically guided me throughout

the entire research project; also acknowledgement goes to all my friends especially the

2013/2014 class for you were there whenever things were tending out of hand.

I would also love to acknowledge the residents of Busitema, Buteba and Sikuda sub counties for

availing me the information that has enabled me to obtain research findings and complete my

research work.

In a special way I acknowledge two people who have been so influential in this study these are

Dr. Wafula David Egesa and Stephanie Owembabazi, who always stood by me at moments I

critically felt down and may be could not push on anymore, your spiritual, physical and financial

support will always be remembered. May the good lord bless you abundantly.

v

Table of Contents

DECLARATION ............................................................................................................................. i

APPROVAL ................................................................................................................................... ii

DEDICATION ............................................................................................................................... iii

ACKNOWLEDGEMENT ............................................................................................................. iv

Table of Contents ............................................................................................................................ v

LIST OF FIGURES ....................................................................................................................... ix

LIST OF TABLES .......................................................................................................................... x

LIST OF ACRONYMS ................................................................................................................. xi

ABSTRACT .................................................................................................................................. xii

CHAPTER ONE: INTRODUCTION ............................................................................................. 1

1.1 General Introduction ............................................................................................................. 1

1.2 Background of the study ....................................................................................................... 1

1.3 Problem statement ................................................................................................................. 3

1.4 Objectives .............................................................................................................................. 4

1.4.1General objective ............................................................................................................. 4

1.4.2 Specific objectives .......................................................................................................... 4

1.5 Research questions ................................................................................................................ 4

1.6 Significance of the study ....................................................................................................... 4

1.7 Theoretical framework .......................................................................................................... 5

1.8 Scope of the study ................................................................................................................. 5

vi

CHAPTER TWO: LITERATURE REVIEW ................................................................................. 6

2.1 Introduction ........................................................................................................................... 6

2.2 General characterization of ASGM in the country ................................................................ 6

2.3 Economic contribution of gold mining ................................................................................. 8

2.4 social and environmental impacts of gold mining on local livelihoods around the area. ... 13

2.5 Government intervention for sustainable development of the sector .................................. 17

CHAPTER THREE: METHODOLOGY ..................................................................................... 19

3.1 Overview ............................................................................................................................. 19

3.2 Research design ................................................................................................................... 19

3.3 Study population ................................................................................................................. 19

3.4 Sample size and Sampling strategies .................................................................................. 19

3.4.1 Sample size ................................................................................................................... 19

3.4.2 Sampling strategies ....................................................................................................... 20

3.5 Methods of data collections................................................................................................. 20

3.5.1 Self-administered questionnaires .................................................................................. 20

3.5.2 Interviewing .................................................................................................................. 20

3.5.3 Focus Group Discussions ............................................................................................. 20

3.6 Data analysis techniques and data processing ..................................................................... 20

3.7 Validity and Reliability of data collection instruments ....................................................... 21

3.8 Limitations to the study ....................................................................................................... 21

CHAPTER FOUR: PRESENTATION AND DISCUSSION OF RESULTS .............................. 22

vii

4.1 Introduction ......................................................................................................................... 22

4.2 Analysis of bio-data ............................................................................................................ 22

4.2.1 Age of respondents ....................................................................................................... 22

4.2.2 Sex of the respondents .................................................................................................. 23

4.2.3 Marital status of the respondents .................................................................................. 24

4.2.4 Distribution of respondents by education level ............................................................ 24

4.3 Analyses of economic activities carried out to earn a living of individual respondents and

community benefits from gold mining. ..................................................................................... 25

4.3.1 Economic activity carried out to earn a living .............................................................. 25

4.3.2 Benefits derived from gold mining ............................................................................... 26

4.4 Analysis of the gold mining associated risks ...................................................................... 27

4.4.1 Gold mining associated risks ........................................................................................ 27

4.4.2 Relationship between gender and impacts from gold mining ...................................... 28

4.4.3 Economic activities affected by gold mining ............................................................... 29

4.4.4 Respondents‟ Knowledge about Environmental Impacts ............................................. 30

4.4.5 Relationship between education levels and knowledge about environmental impacts 31

4.4.6 Environmental Impacts due to surface gold mining ..................................................... 32

4.5 Intervention measures ......................................................................................................... 33

4.5.1 Community Intervention against environmetal consequences from gold mining ........ 33

4.5.2 Organizations working in the mining communities ..................................................... 34

4.5.3 Interventions by organizations ...................................................................................... 35

viii

CHAPTER FIVE: SUMMARY, CONCLUSIONS AND RECOMMENDETIONS ................... 36

5.1 Introduction ......................................................................................................................... 36

5.2 Summary of findings ........................................................................................................... 36

5.3 Conclusion of the study ....................................................................................................... 36

5.4 Recommendations of the study ........................................................................................... 37

5.5 Areas for further study ........................................................................................................ 38

REFERENCES ............................................................................................................................. 39

APPENDICES .............................................................................................................................. 42

Appendix 1: Modern pits to reduce breakage and minimize accidents, initiative of EWAD ... 42

Appendix 2: Un covered pits hazardous to people and animals ............................................... 43

Appendix 3: A ball mill used to crash the stones to fine particles ............................................ 44

Appendix 4: Questionnare ......................................................................................................... 45

ix

LIST OF FIGURES

Figure 1.1: Theoretical frame work ................................................................................................ 5

Figure 4.3: Age of respondents ..................................................................................................... 22

Figure 4. 4: Gender of respondents ............................................................................................... 23

Figure 4. 5: Marital-status of the respondents .............................................................................. 24

Figure 4.6: Graph showing respondents‟ education levels ........................................................... 24

Figure 4.7: Economic activity carried out to earn a living ........................................................... 25

Figure 4.8: Benefits from gold mining ......................................................................................... 26

Figure 4.9 Gold mining associated risks ....................................................................................... 27

Figure 4.10: Relationship between gender and gold mining associated risks .............................. 29

Figure 4.11: Economic activities affected by gold mining ........................................................... 29

Figure 4.12: Respondents‟ Knowledge about Environmental Impacts ........................................ 30

Figure 4.13: Relationship between education levels and Respondents‟ knowledge about

environmental impacts .................................................................................................................. 32

Figure 4.14: Graph showing Environmental Impacts ................................................................... 32

Figure 4.15: Graph showing Community intervention measures ................................................. 33

Figure 4.16: Pie chart showing organisations working in the communities ................................. 34

Figure 4.17: Graph showing interventions by organizations ........................................................ 35

x

LIST OF TABLES

Table 2.1: Total global direct and indirect GVA of the global gold mining industry and annual

average gold price ......................................................................................................................... 10

Table 4.3: Chi-Square Tests for gender in relation to gold mining associated risks .................... 28

Table4.4: Significance of education level in determining the knowledge about environmental

impacts .......................................................................................................................................... 31

xi

LIST OF ACRONYMS

ASGM: Artisanal and Small Scale gold mining

BMC: Busitema Mining Company

CBO: Community Based Organization

DGSM: Department of Geological Survey and Mines

EWAD: Environmental Women and Development

GDP: Gross Domestic Product

GVA: Gross Value Added

IBI: International Business Institute

MFPED: Ministry of Finance, Planning and Economic Development

MSDTA: Mineral Sector Development Technical Assistance

NEMA: National Environment Management Authority

NFA: National Forestry Authority

NGO: Non Government Organization

NRM: National Resistance Movement

SMMRP: Sustainable Management of Mineral Resources Project

SPSS: Statistical package for social sciences

UBOS: Uganda Bureau of Statistics

UNEP: United Nations Environmental Programme

URA: Uganda Revenue Authority

WGC: World Gold Council

xii

ABSTRACT

The impacts of surface gold mining on land use systems and livelihoods of the people of Buteba,

Busitema and Sikuda sub counties in Busia district was the case study. Gold mining activities

spur a myriad of benefits to the communities around yet with great impacts to people‟s lives and

to the environment. The study objectives included: -to establish the economic contribution of

gold mining to the livelihoods, establish the social and environmental impacts of gold mining

around the area and to suggest possible measures to influence government intervention for

sustainable development of the area.

The study was cross sectional where by both qualitative and quantitative approaches were used

to collect data. To efficiently conduct the study, the researcher targeted 60 respondents located in

the 3 sub counties to make a more scientific justifiable sampling frame. Simple random sampling

and purposive sampling techniques were used.

The data collected through interviews and self administered questionnaires was coded using

EXCEL, then taken to STATA 11 and SPSS 16 for analysis which facilitated the formation of

frequency tables, graphs and pie charts.

The researcher found out that most livelihoods living in these communities derive their

livelihood from agriculture, the study also indicated that surface gold mining contributes to

incomes; people have been able to put up shops and also pay school fees for children at school.

Conclusively it‟s evident that surface mining has had some negative impacts on the livelihoods

of the people and the environment through deaths recorded, accidents, diseases, environmental

challenges like soil erosion, tree cutting (deforestation) etc. Other complications realized are as a

result of use of mercury during the process of amalgamation to produce the gold though this is

long term.

The researcher therefore recommends that for a further improvement in the livelihoods of these

communities, government should come give a hand in terms of improved mining methods which

also put in consideration environmental conservation for sustainability; this should also follow

stake holder analysis and public sensitization.

1

CHAPTER ONE: INTRODUCTION

1.1 General Introduction

This chapter introduces the study topic, background, problem statement, objectives, and research

questions of the study, conceptual framework, justification and scope of the study.

1.2 Background of the study

Throughout history, gold has been mined and refined to meet the needs of people and economies

globally. Its chemical and physical properties have caused it to be one of the most sought after

minerals on the planet. It has been the focus of many epic historical conflicts, and the cause of

much controversy. Because of its scarcity and distinct qualities, gold has a very high monetary

value and has often been used as currency. The scarcity of gold is due to the extraordinary

geological processes required to produce it and the difficulty in extracting and refining gold ore.

These processes are often time consuming, destructive to the landscape, and harmful to the

natural habitat surrounding the mining area. As a result mining gold ore is expensive and

controversial in many parts of the world. An excellent example of the tremendous efforts and

struggles associate with mining is the California Gold Rush in the Sierra Nevada.

Uganda was known to produce cobalt, columbium (niobium) and tantalum, gold, iron ore, steel,

tin, and tungsten. Uganda also produced such industrial minerals as gypsum, kaolin and other

clays, lime, salt, talc, and vermiculite, and such building materials as cement, limestone, and

pozzolanic materials.

Uganda‟s gross domestic product (GDP) increased by 5.9% in 2004 after rising by 4.7% in 2003.

The GDP was $44.7 billion based on purchasing power parity, and the per capita GDP based on

purchasing power parity was about $1,700. In 2003, construction accounted for 10% of the GDP;

manufacturing, 9%; water and electricity, 1%; and mining and quarrying, 1% (Uganda Bureau of

Statistics, 2004, International Monetary Fund, 2005).

In July 2004, the Parliament of Uganda authorized the Government to borrow $42.3 million from

the African Development Fund, the Nordic Development Fund, and the World Bank Group to

finance the Sustainable Management of Mineral Resources Project, which would assist Uganda

in increasing production and tax revenues from its mining sector (Mutumba, 2004).

2

M/S Busitema Mining Company Ltd. produced 37 kg of gold in 2003. Production was inhibited

by an unstable electricity supply. In 2004, Canmin Gold Ltd. [a subsidiary of International

Business Investments Corp. (IBI)] explored gold in Busia, which is located in southeastern

Uganda. Surface Mining, which refers to a method of extracting minerals from the earth by their

removal from an open pit or borrows, requires a large tract of land for its operations (Wikipedia,

2008). There is therefore a continuous divergence of interest between land required for surface

mining and other land uses such as farming and housing, among others.

Gold mining has become increasingly attractive during the last decades due to soaring gold

prices (Hammond et al. 2007). This has triggered a gold boom, both in industrialized countries

(e.g., the United States, Australia, and Canada) and in developing nations (e.g., South Africa,

Peru, Indonesia, or West Africa). Since gold is often extracted using toxic substances, the

environmental consequences of gold mining can be devastating, particularly in fragile tropical

ecosystems, as a consequence, gold mining activities in developing nations often lead to open,

sometimes violent, negotiations about the use of land (Muller, 2004). To mitigate such conflicts,

governments, mining companies, and rural stakeholders sometimes react with resettlement and

alternative livelihood programs, and former farmers engage in small-scale artisanal mining. This

is problematic, because such small-scale resource use is often connected to further environmental

degradation and inefficient resource use (Banchirigah and Hilson, 2010). Overall, there is a risk

that rural livelihoods become unsustainable in such contexts.

Land use has already altered more than half of the planet‟s terrestrial ecosystems, mainly for

increasing the provision of a few ecosystem services, such as food production. Since not all

services can be maximized simultaneously, every land use decision involves trade-offs, often

resulting in competing interests and substantial conflicts about the desired use of land among

stakeholders (Rodriguez etal. 2006; Turner et al. 2007). Economic land use theory suggests that

markets resolve such conflicts via differences in land rents that will lead to the most profitable

land use allocation. The problem is that ecosystem services are often difficult to value in

economic terms and remain externalities. Degradation of such services may lead to conflicts

among land users (Wunder, 2005). Surface mining is an extreme example of a land use practice

that can lead to such conflicts. Mining is an important component of the economy of many

nations, particularly in the developing world. For example, 25% of Guinea‟s and 5.9% of South

3

Africa‟s GDP as well as the majority of foreign revenues of these countries are mining related

(Aryee, 2001). However, local livelihoods rarely profit from mining activities, although mining

has widespread and drastic environmental and social effects on them (Kumah, 2006).

Surface mining, for example, removes vegetation and soils, interrupts ecosystem service flows,

and results in inevitable and often permanent farmland loss. Mining activities also frequently

result in toxic waste that causes water pollution and health problems (Akabzaa and Darimani,

2001; Habashi, 1996). Likewise, dust pollution from heavy traffic on mining dirt roads affects

neighboring communities (Ayine, 2001), and soil erosion is common around mines (Akabzaa

and Darimani, 2001). Overall, surface mining in the developing world often erodes livelihood

foundations, forcing populations to relocate and farmers to develop alternative income strategies

(Kumah, 2006). As a consequence, conflicts between communities and mining operators over

land use rights are common in many regions worldwide and can become a serious threat to

development and security (Maconachie and Binns, 2007).

1.3 PROBLEM STATEMENT

It has been realized that mining affects environmental and social change no matter where it

occurs. Mining-related disruptions can impact the physical environment and or local

Communities (Miranda M et al, 2005).

However, it has been realized that although some degree of disturbance is inevitable even in the

best managed mines, nearly all negative social and environmental impacts are avoidable if

companies would operate according to the best possible standards (Miranda et al, 2005).The

main challenge here is how to ensure that mining communities benefit from the presence of

mining companies and to reduce the negative effects of mining in such Communities. This, in

recent years, has been termed „responsible mining‟ and has been successfully campaigned by

Civil Society Organizations all over the world.

Responsible mining has been defined by the Mongolian River Resources (2008), with stated

principles of responsible mining such as sustainable development, equity, participatory decision

making, accountability and transparency, precaution, efficiency and polluter responsibility.

Land use conflicts are becoming increasingly apparent from local to global scales. Surface gold

mining is an extreme source of such conflicts, but mining impacts on local livelihoods often

4

remain unclear. My goal therefore was to assess land cover change due to surface gold mining in

Busitema, Sikuda and Buteba Sub Counties in Busia district Eastern Uganda; one of the

country‟s largest gold mining regions, and to study how these changes affected land use systems,

find out the economic benefits, accruing to gold mining and challenges associated.

1.4 OBJECTIVES

1.4.1General objective

To assess the impacts of surface gold mining on land use systems and livelihoods of the

surrounding community.

1.4.2 Specific objectives

1. To establish the economic contribution of gold mining to the livelihoods of Busitema Sub

county.

2. To establish the social and environmental impacts of gold mining on local livelihoods around

the area.

3. To suggest possible measures to influence government intervention for sustainable

development of the area.

1.5 RESEARCH QUESTIONS

1. What is the economic contribution of gold mining to the livelihoods?

2. What are the social and environmental impacts of gold mining on local livelihoods around the

area?

3. What are the policies in place for government intervention to promote sustainability?

1.6 SIGNIFICANCE OF THE STUDY

The purpose of my research is to influence different stake holders related to environmental

conservation and mineral extraction to streamline the disparities in gold mining and

environmental destruction for sustainable management.

5

1.7 THEORETICAL FRAMEWORK

Figure 1.1: Theoretical frame work

1.8 SCOPE OF THE STUDY

The study focused on the impacts of surface gold mining on land use systems and livelihoods

and was conducted in Busitema, Sikuda and Buteba sub counties in Busia district and was

carried out from January to May 2016.

Gold mining

Health concerns

School drop outs

Soil infertility

Deforestation

Swamp reclamation

Income

Shops

Housing

6

CHAPTER TWO: LITERATURE REVIEW

2.1 Introduction

This chapter reviews the existing literature related to the subject of the study. The literature is

mainly from various sources mainly textbooks, internet, newspapers and journals.

2.2 General characterization of ASGM in the country

Production of iron and salt in Uganda has occurred since ancient times; artisanal and small‐scale

gold mining (ASGM) is a much more recent phenomenon. The emergence of ASGM can be

traced through four periods of minerals sector development over the past century. First,

establishment of a number of colonial gold and tin mines across Southwestern Uganda between

the 1920s and 1950s introduced small-scale mining to the indigenous Banyankore, Batoro,

Bakiga, and other Bantu-speaking tribes of that region of the country. This led to small

migrations into mining areas by various local tribes as well as Rwandese and Congolese, whose

descendants still populate many of the mining areas today. (Hinton, 2011)

Second, between the 1950s and 1970s, establishment of Falconbridge‟s Kilembe mine marked

the first and, as of yet, only large‐scale mine in the country, producing over 271,000 tonnes of

blister copper as well as cobalt. (Tuhumwire, J., 2002)

During this time, a number of small, semi-mechanized lead, tin, wolfram, and coltan mines also

operated in the Southwest (e.g., Kitaka, Mwerasandu, Kirwa, Ruhizha), most of which were

founded in the pre-independence (pre-1964) period but were later operated mainly by small

Indian-Ugandan or Ugandan, rather than British, companies.

During this period these mines were the third GDP contributor after coffee and cotton,

contributing up to 35% of the country‟s foreign export earnings. (Hester, B.and Boberg, W.,

2006)

Under the 1964 Constitution, mining of gold and diamonds was illegal, yet gold continued to be

extracted within the region, in particular around sites of pre-independence gold mines.

Widespread political and civil unrest under the regime of Idi Amin led to the collapse of the

formal mining sector in the late 1970s and retrenchment of over 10,000 trained miners.

Dispersion of these unemployed miners stimulated unlicensed ASGM across the Southwest and,

to a lesser extent, in the goldfields of the East and Northeast.

7

Widespread extralegal gold mining continued until 1986, when the National Resistance

Movement (NRM) came to power and President Yoweri Museveni made licensing of gold

mining possible by presidential decree.

With the relative stability experienced since the mid-1980s, a series of gold discoveries by

artisanal miners generated rushes that drew between 1,000 to 5,000 miners and introduced

ASGM to a number of farming and pastoral communities. Important areas include: Kisita in

Mubende District and at Rugyeyo in Kanungu District between 1986-89; a number of smaller

localities across the Buhweju Goldfield (e.g., Buhweju, Mashonga) and in Amonikakinei and

Tiira in Busia District during the 1990s and 2000s (Hinton, J., 2005) and, gold rushes drawing

between 500 and 5,000 miners, respectively, to Buhweju in the Southwest and Napak in

Karamoja Region over the past year.

Most of these ASGM activities have been alluvial, but those few occurring in hard rock deposits

have led to the establishment of small to medium-scale mechanized operations in Mubende

(Kisita Gold Mine) and Busia (Busitema Gold Mine) where mining, crushing, grinding, and

gravity concentration equipment replaced the manual hauling, crushing, grinding, and panning

methods that characterize ASGM across the country.

At Busitema, cyanide vat leaching was introduced as an alternative to mercury amalgamation

which is still practiced by ASGM in that region. Although licensing of several other small‐scale,

hard rock operations (visa‐a-vie “Location Licenses” for small operations) also resulted from a

series of discoveries in the 1980s through to today, these operations continue to be highly manual,

employing essentially the same practices as unlicensed miners.

8

2.3 Economic contribution of gold mining

The practice of artisanal and small-scale gold mining (ASGM) is increasing in many low- and

middle-income countries (LMICs), mainly due to the rising price of gold and widespread poverty.

Gold from these informal mines may represent 20–30% of the world‟s output (UNEP, 2006). It

is estimated that about 15 million people work in ASGM and that perhaps 100 million people

worldwide depend on the sector for their livelihood (Spiegel S.J., Viega M.M, 2006).

Artisanal and small-scale mining (ASM) in Uganda provides a source of livelihood for almost

200,000 women and men, over half of which are engaged in production of industrial minerals to

serve the construction demands of the country‟s rapidly growing population (3.3% per annum).

At least 20,000 of these miners are engaged in gold mining via ASGM, which has become a

relatively important economic activity, mostly in the regions of Busia and Karamoja in the East

and Northeast as well as in the Kigezi and Buhweju goldfields across the West and Southwest of

the country. (Tuhumwire, J., 2002)

Gold has been the luster of kings, merchants and commoners for many centuries. One key

consideration in the latter part of the 20th century, the beginning of the 21st century and into the

centuries ahead is that gold mining is not quite what it used to be. Much of the world‟s gold

comes from stripping massive amounts of earth rather than just from digging for gold veins in

underground mines, and much of this takes place in nations that many people in the world have

either never heard of nor can locate easily on a map.

As a mineral, gold has always epitomized prosperity, and gold mining is amongst the world‟s

oldest forms of economic activity. Societal awareness and interest in gold as a metal is high yet,

despite this, the role of the gold mining industry in supporting growth within the global economy

is seldom discussed. Commentators tend to focus on the impact of mining industry as a whole,

grouping gold production with other minerals such as iron ore or copper. However, whilst the

absolute volumes of gold produced from mining operations is dwarfed by those of other minerals,

the value of gold means that the gold mining industry can make substantial contributions to the

growth and prosperity of national and regional economies.

The scale of the industry‟s economic contribution can be assessed by calculating the „gross value

added‟ (GVA) by gold mining. GVA is a calculation that estimates the contribution of industrial

9

activity to a nation‟s gross domestic product (GDP). It is important to note two points in relation

to GVA.

GVA is not the same as production; production statistics describe the physical volume of

gold produced whereas GVA statistics (as used throughout this report) describe the

economic value of gold output.

GVA is not the same as profit; a company can generate substantial GVA within an economy

and still be unprofitable.

Direct GVA estimates the economic value of the gold mining industry‟s production to an

economy. Indirect GVA estimates the value of economic production in associated sectors as a

result of gold mining companies‟ expenditures on raw materials, goods and services (the supply

chain).

10

Table 2.1: Total global direct and indirect GVA of the global gold mining industry and annual

average gold price

Year Direct GVA (US$bn) Direct and indirect

GVA (US$bn)

Global annual

average price

(US$ per ounce)

2000 12.2 25.2 279.1

2005 19.0 39.0 444.5

2010 73.1 150.3 1,224.5

2012 98.7 205.6 1,669.0

2013 83.1 171.6 1,411.2

Source: Maxwell Stamp analysis based on GFMS, Thomson Reuters Gold survey; GFMS,

Thomson Reuters Gold mine economic service; The London Gold Market Fixing Limited

(TLGMFL)

The role that China‟s gold mining industry has played in supporting development and driving

high levels of economic growth should not be underestimated. The industry‟s contribution to

national GDP has grown by 269% since 2007 and was estimated to be US$11.98bn in 2013,

more than double the size of Suriname‟s entire economy. The global economic impact of the

industry more than doubles when both the direct and indirect GVA contributions of the gold

mining industry are taken into account. This is illustrated by Table2. 1, which also illustrates

how the price of gold affects the contribution that the gold mining industry makes to the

economies of host countries; changes to the price of gold have clearly been central to the growth

in the gold mining industry‟s economic contribution, though the increase in GVA exceeds the

rise in the price of gold.

Whilst North America remains a significant region for gold mining activity, the majority of gold

production is from regions with less advanced economies. This has important implications for

economic development, as in smaller and less advanced economies the contributions of the gold

11

mining industry will have a greater proportionate impact on national economies and therefore,

potentially, also on the economic development of host nations. Gold mining can be an important

catalyst for development, but as other industry sectors develop the relative importance of gold

mining declines as the economy diversifies.

Mining and producing gold obviously generates a significant economic benefit. The social costs

must be considered as well. The World Gold Council (WGC), a pro-gold group, has issued its

report on the social and economic impacts of gold mining. It would normally be expected that

the WGC‟s views are universally positive, yet sometimes the group issues views that are

cautious regarding gold trends.

Gold mining companies are a major source of income and economic growth, with an important

role in supporting sustainable socio-economic development. During 2013, gold mining

companies contributed over US$171.6bn to the global economy through their production

activities and expenditure on goods and services. This is more than the combined gross domestic

product of Ecuador, Ghana and Tanzania, or close to half of the gross domestic product of

countries such as South Africa or Denmark. Many of the countries that are significant gold

producers are also impoverished countries that are long term recipients of development

assistance (aid) from foreign government donors. Given that reliance on foreign aid is an

inherently vulnerable position for any impoverished country, it is notable that the economic

value directly and indirectly created by the gold mining industry globally has exceeded the

global total value of development assistance every year since 2010.

Although Uganda is endowed with a great diversity of geological formations and structures, the

mining sector is still in a stage of infancy. The sector‟s contribution to Uganda‟s economy

accounts for less than 0.9% of GDP and 8.2% of exports as of the 2003/04 FY. Most actors in the

sector are at the small scale and artisan levels with a significant absence of large-scale mining

activity. A significant proportion of ASGM in Uganda is seasonal, and miners often use revenues

to invest in farming and meet basic needs, such as school fees, healthcare, and home

improvements. Cumulatively, this economic contribution can be substantial and is visibly

evident in the form of shops, restaurants and goods available in trading centers near to many of

the larger ASGM areas. In 2008, gold miners‟ incomes from ASGM were estimated to total

US$21.4 million most of which was injected into local and, to a lesser extent, regional

economies.

12

A significant proportion of ASGM in Uganda is seasonal, and miners often use revenues to

invest in farming and meet basic needs, such as school fees, health care, and home improvements.

Cumulatively, this economic contribution can be substantial and is visibly evident in the form of

shops, restaurants and goods available in trading centres near to many of the larger ASGM areas.

In 2008, gold miners‟ incomes from ASGM were estimated to total US$21.4 million most of

which was injected into local and, to a lesser extent, regional economies. (Hinton, J., 2009)

The government is actively seeking private and foreign investment to promote large scale mining

growth and to reorganize small-scale and artisan mining activities to enhance productivity and,

technical, environmental and social performance. The overall objective of the government is to

build capacity in the mining sector through the Mineral Sector Development Technical

Assistance Project (MSDTA) by targeted interventions to alleviate poverty in rural areas with

significant small-scale and artisan mining activity.

13

2.4 social and environmental impacts of gold mining on local livelihoods around the area.

Artisanal and small-scale gold mining, like other extractive activities, raises numerous

environmental concerns. Emissions of mercury (Hg) into the atmosphere as well as direct

releases of mercury to soil and water are of primary concern because of the extensive use of

mercury to amalgamate gold by artisanal miners. Recent estimates suggest that the ASGM sector

is the primary source of mercury into the global atmosphere, accounting for approximately 37%

(727 tonnes) of all global emissions (United Nations Environment Programme (UNEP),2013)

While mercury has gained most attention, there exist many other direct and indirect factors that

contribute to poor ecological conditions in ASGM communities. This necessitates that impacts

on the natural system, as well as planning for interventions be viewed under a broad ecosystem

lens.

ASGM sites require water for a variety of functions (e.g., sluicing/washing, panning, and

amalgamation preparation), and thus mining activities need to be located in close proximity to

water sources. A life cycle analysis of ASGM in Peru by Valdivia and Ugaya (Valdivia S.M.,

Ugaya C.M.L, 2011) that examined ASGM mining impacts, found that alluvial mining required

49,019,000 L of water in the sluicing/washing step to yield one kilogram of concentrated gold

ore (99.5% gold) from 23,922 tonnes of ore, or 2049 L of water for 1 tonne of ore processed. In

addition to the quantity of water used, ASGM activities can have significant impacts on water

quality. Ore processing may result in intentional and unintentional releases of produced water

and chemicals, cause erosion from surface disturbances, and alter water flow due to excessive

surface or groundwater withdrawals. Localized lowered water tables, increased siltation in rivers,

and increased flooding have all been observed with mining generally (UNEP, 2008) Owing to

the transitional nature and short histories of some ASGM communities, potable water and

sanitation infrastructure such as indoor plumbing and pit latrines, or even designated areas for

defecation, may be non-existent, causing additional biological contamination concerns for

drinking water sources. ( . Long R., Renne E., Robins T., Wilson M., Pelig-ba K., Rajaee M.,

Yee A., Koomson E., Sharp C., Lu J.,2013)

The impact of mining on local communities can be devastating. Most notable are the disruption

of social cohesion, internal migration due to loss or deterioration of economic activities, intense

14

inequality against women who are primarily affected by a predominantly male activity. (Carlos

Zorrilla 2009, Sweeting, A.R. & Clark, A.P. 2000))

In Busia in the Eastern part of the country, and to some extent in neighboring Bugiri, about 600-

1000 miners do use mercury. Furthermore, with the exception of the occasional gold rush, the

majority of gold miners work in small groups of less than six panners and diggers. Only in a few

sites does the number of gold miners in a group exceed 15-20. (UNEP-Uganda, 2012)

As such, the main environmental impacts from ASGM in Uganda relate to siltation of rivers and

wildcat pitting causing localized degradation of soil and vegetation (in some cases affecting

forest resources). Particularly in the tropical climate characteristic of the west and Southwest,

natural reclamation of sites (natural re-growth and recovery of rivers) appears to be relatively

rapid. However, in some localities, the situation of several hundred miners working within a

given watershed has been observed to impact cumulatively downstream water users via siltation

and to create health and safety hazards (e.g., for cattle and humans from wildcat pitting) as well

as impeding post-mining agricultural use. This is most evident in ASGM areas of Buhweju,

Kaabong, and Napak and, to a lesser extent, Moroto Districts. In protected areas where sporadic

ASGM is occurring, such as Bwindi Impenetrable Forest or Kashoya-Kitomi Central Forest

Reserve, there is some concern about the cumulative effects of ASGM on these ecosystems.

Gold mining in Busia District occurs in an extension of northern Tanzania‟s greenstone belt

where gold occurs in association with quartz veins or as a secondary enrichment within a banded

iron formation unit at the base of laterites. As such, mercury amalgamation was introduced in the

1990s by a few Ugandan miners who previously sought fortunes in Tanzania. Unlike the small,

mechanized processing centres found in Tanzania, methods used in Busia are comparatively

crude and manual (pounding with mortars and pestles, hand amalgamation in basins, open air

burning over fires, haphazard discharge of tailings into waterways). No comprehensive

assessments of mercury mobility and bioaccumulation have been done in the area although,

based on gold production estimates and methods used, it is estimated that approximately 150kg

of mercury per annum are emitted into the environment. Approximately 45kg per annum of this

mercury may be discharged with tailings into small rivers and streams. Most of this is likely

retained in sediments but a portion may reach Lake Victoria over 30km downstream via a series

of wetlands where potential for methylation of mercury and incorporation into the food chain

may be possible. (UNEP-Uganda, 2012)

15

Environmental and human health concerns are most evident from inhalation of mercury vapour

via open air burning over fires or from using small blowtorches, some of which takes place in

cooking areas of the home and in the presence of children. Fatalities and serious injuries due to

collapse of pit walls or underground tunnels presents a more immediate concern in Busia and all

of the other ASGM areas. Between one and five deaths are known to occur annually while many

more are likely to go unreported. There is currently a risk of proliferation of cyanide use by

ASGM in conjunction with mercury amalgamation in Busia District, thereby potentially

increasing both mobility and methylation potential of mercury. After more than 6 years of

disputes with local artisanal miners, Busitema Mining Company (BMC) established a central

processing centre utilizing a stamp mill, copper plates and mercury amalgamation for whole ore

amalgamation wherein tailings would be retained by the company for subsequent cyanide vat

leaching. Despite concerns vocally expressed by ASM consultants with respect to the

environmental risks of introducing such technology to Uganda (as well as concerns regarding the

BMC approach to access and benefit sharing from the central processing centre), BMC continued

to implement the model for over a year.

In terms of socio‐economic impacts of ASGM, a relevant characteristic of ASGM in Uganda is

that most miners are indigenous to the communities and areas where they live and work (or have

been long-time residents) and “migration” is typically only within a sub county or, at most, a

district. Issues related to HIV/AIDS and stimulation of the sex trade through the cash-based

economy is significant.

However, common concerns related to modification of cultural values and inter‐cultural conflict

are far less pronounced than documented in other countries (the exception being particularly

large rushes such as that currently taking place in Napak in the Karamoja Region). Miners often

obtain informal consent from land owners prior to work (whether they hold land title or not) and

some form of profit sharing seems to be preventing related conflicts. (UNEP-Uganda, 2012)

Elemental mercury is used in ASGM because of its ability to isolate gold from other non-target

minerals. Mercury creates a bond with gold, called an amalgam. Because of the low vapor

pressure of mercury, burning the gold-mercury amalgam leaves the valuable gold behind.

Mercury emitted during amalgam burning can have significant impacts at the local scale in

villages and towns where mercury vapor is emitted, and globally when that mercury vapor enters

the global atmospheric pool and is transported large distances before being redeposited as

16

inorganic mercury on the landscape (United Nations Environment Programme (UNEP) Global

Mercury Assessment. UNEP; Geneva, Switzerland: 2002.). Inorganic mercury can be methylated

(bound to carbon) by microorganisms mainly in aquatic ecosystems. Methyl mercury is often

found in fish at higher concentrations since it is able to bioaccumulate and biomagnify in

organisms (Watras C.J., Back R.C., Halvorsen S., Hudson R.J.M., Morrison K.A., Wente S.P.,

1998). ASGM with mercury can result in atmospheric emissions as well as direct releases to soil

and water, accounting for an estimated 37% of total global anthropogenic mercury emissions

annually, It has now been estimated by the United National Environment Programme (UNEP)

that ASGM has surpassed fossil fuel combustion as the largest contributor to global

anthropogenic mercury in the atmosphere. The largest regional consumers of mercury for ASGM

are East and Southeast Asia, South America, and Sub-Saharan Africa (Pacyna E.G., Pacyna J.M.,

Sundseth K., Munthe J., Kindbom K., Wilson S., Steenhuisen F., Maxson P., 2005).

17

2.5 Government intervention for sustainable development of the sector

Historically, development of the minerals sector in Uganda has been hindered by a number of

policy, legal, regulatory, and enforcement constraints. For instance, the Mining Act of 1964

enshrined a number of problems ranging from granting absolute discretionary powers, to

administration, to creating size and duration of tenure for various licenses that were not suited to

the nature of the sector, to inappropriate taxation given regional and international norms. (Pers

comm., 2011)

It has been realized that although some degree of disturbance is inevitable even in the best

managed mines, nearly all negative social and environmental impacts are avoidable if companies

would operate according to the best possible standards (Miranda et al, 2005).

Reviews and discussions within the Government and stakeholder consultations led to policy and

legal reforms beginning with a Mineral Policy in 2001, followed by promulgation of the Mining

Act (2003) and Mining Regulations (2004). The reform process received criticism from some

stakeholders concerning lack of genuine and informed engagement (and lack of inclusion of

stakeholder recommendations in legislation), yet the resulting code is essentially in line with

international “best practice” and enables Uganda to compete for investment by creating

liberalized, stable, and conducive conditions. A key change is that the Mining Act is now

administered by the Commissioner of the Department of Geological Survey and Mines (DGSM),

thereby separating powers from the Minister responsible for Minerals, and licenses are granted

on the basis of first come, first served principles.

Furthermore, DGSM has, over the past 3 years, engaged in regional initiatives with the Uganda

Bureau of Statistics (UBOS) and improved information sharing with the Uganda Revenue

Authority (URA). At the same time it‟s reporting of estimates of informal ASM production has

served to increase the priority afforded to ASM and the minerals sector in general. This has

substantially increased the attention of the GOU, including the Ministry of Finance, Planning and

Economic Development (MFPED), and plans have subsequently been developed to increase

budgetary support to DGSM to help fulfill its ASM regulation and extension service mandates.

Much of the recent attention to ASGM has been catalyzed by the Sustainable Management of

Mineral Resources Project (SMMRP), which was implemented from 2004-2011, funded by the

World Bank, African Development Bank, Nordic Development, and the GOU, one of five

components of the SMMRP addressed community development and small‐scale mining,

18

targeting gold as well as other metallic minerals (tin, coltan, wolfram) and industrial minerals

(limestone, marble, stone aggregate, etc.), SMMRP activities sought to strengthen institutional

capacity to support formalization and improved performance of ASM throughout the country.

19

CHAPTER THREE: METHODOLOGY

3.1 Overview

This part represents the research design, sampling strategies, methods and procedures that were

used to collect data and data analysis methods. It describes the variables that were considered to

be very important in determining the impacts of surface gold mining on land use systems and

livelihoods in order to achieve the set objectives.

3.2 Research design

A cross-sectional design was used for the study to provide a framework for data collection and

analysis. A cross sectional design entails the collection of data in more than one case (usually

more than one) and at a single point in time to collect a body of qualitative and quantitative data

in connection to two or more variables (usually many more than two) which are examined to

detect a pattern of association (Bryman, 2008).

The cross sectional design was thus appropriate in studying the communities within the 3 sub

counties. This is because the study involved the study of three different communities on relevant

issues on Surface gold mining, the environment and livelihood at a single point in time. It also

involved the collection of data on these issues to establish a connection or association among

them.

3.3 Study population

The target population was people living in Busia district and my target population was estimated

to be of around 55200 people living in the sub counties of Busitema, Sikuda and Buteba sub

counties (UBOS, 2009), accounting for the Households living around the gold mining areas.

These respondents are to be selected using sampling techniques as below.

3.4 Sample size and Sampling strategies

3.4.1 Sample size

My sample size was a population of 60 respondents from 3 sub counties of Busia district. They

included households who derive their living from gold mining, those who are affected by the

mining activities both directly and indirectly and the local leaders with in those communities to

20

whom cases go as regards mining activities and also find out how they have helped their people

to adapt to these changes as a result.

3.4.2 Sampling strategies

The study used simple random sampling and purposive sampling. Simple random sampling was

used to ensure that each member of the society has an equal chance of being selected in the study

group and also to avoid cases of bias.

However, for convenience, purposive sampling method was used to interview only a specified

group of people like those who directly do the mining, those who benefit from gold mining and

those affected by the mining activities and the sub county chiefs for specified information.

3.5 Methods of data collections

3.5.1 Self-administered questionnaires

The main method of data collection was the self-administered questionnaires which was written

in English and later translated in local languages for those who do not understand English. I

chose this method because a lot of information can be got within a short period of time, enables

respondents to answer questions more accurately and also raise sensitive issues which would be

difficult with the use of focused group discussions.

3.5.2 Interviewing

Interviews to selected individuals intended to support or augment the information obtained from

self administered questionnaires.

3.5.3 Focus Group Discussions

A group of individuals was selected randomly and questions concerning the study were asked to

get their answers.

3.6 Data analysis techniques and data processing

This involved the statistical treatment of data, data processing, and finally analyzing the data.

When all the questionnaires were answered, statistical packages were employed to analyze all the

data and it was computerized. The process of data processing involved categorizing of the data

with all responses of each question being listed, coded and then entered into excel and finally

21

STATA11 and SPSS for analysis. The analysis was done at univariate level i.e. the use of

frequency tables, pie charts and tables.

3.7 Validity and Reliability of data collection instruments

Validity of an instrument refers to the ability of the instrument to collect justifiable and truthful

data (Odiya 2009).

The research was done on law full grounds according to the pilot studies which were carried out

to test whether the pre designed questions in the questionnaire would produce the desired

information as regards the objectives of the topic.

Reliability also helped in ensuring consistency of the data collected. The pre test was done by

approaching a few of the respondents and getting data from them to assess how long it would

take to administer the questionnaire.

The findings in the pilot study were used to re design the instruments used to come up with a

vivid data collection approach.

3.8 Limitations to the study

I faced a challenge of limited information about the estimated impacts of surface gold mining on

people‟s livelihoods and the environment.

Limitation of financial resources to collect the data considering the distance I had to cover to get

to those places and they are apart.

Fear by respondents to disclose information with a view that I am a government spy.

22

CHAPTER FOUR: PRESENTATION AND DISCUSSION OF RESULTS

4.1 Introduction

This chapter presents the results from the analysis and discussion of findings with reference to

the impacts of surface gold mining on land use systems and livelihoods of the surrounding

community of Busitema, Buteba and Sikuda sub counties in Busia district.

4.2 Analysis of bio-data

The demographic characteristics of the respondents comprised of the location, gender, age, level

of education, time spent in a place and marital status.

4.2.1 Age of respondents

Figure 4.2: Age of respondents

Source: Primary data 2016

Respondents‟ age groups were identified in order to find out the most active age group in the

mining activity.

From the table above, 48.3% of the respondents were below 25 years of age, 23.3% aged

between 26 – 35, 16.7% between 36 – 45 and 11.7% of the respondents were aged between 46 –

55 years of age. This indicates that there are more youth involved in the mining activities from

the sampled areas, followed by those aged between 26 – 35 years with 23.3%. There were few

old people from 60 years and above involved in the mining. The many numbers in the youthful

stage explain why there are few people carrying out agriculture because it‟s only the elderly still

doing it of which they are worn out leading to food insecurity in most of these areas.

23

4.2.2 Sex of the respondents

Gender of respondents is important to assess the gender plane in gold mining activities. The

findings of the research are shown in the figure below.

Figure 4. 3: Gender of respondents

Source: primary data, 2015

According to the figure above, findings indicate that the percentage of males to females‟

involvement in gold mining is large, giving 68% of respondents as compared to the 32% of the

female participants (half of the males). This indicates that males were more than females among

the sampled respondents. Mining involves a series of hectic activities which can only be borne

by the males; most of the women get involved in intermediary activities like panning and

amalgamation.

24

4.2.3 Marital status of the respondents

Figure 4. 4: Marital-status of the respondents

Source: Primary data

According to the figure above, 43.3% of the sampled respondents were single, 55% were married,

and 1.67% of the respondents did not specify their status. This implies that most of the

respondents were married.

4.2.4 Distribution of respondents by education level

Education levels influence behavior and activities carried out. Findings are summarized in the

figure below.

Figure 4.5: Graph showing respondents’ education levels

Source: Primary data 2016

25

According to the figure 4.5 above, 21.67% of the sampled respondents attended primary

education, 51.67% of the respondents have been to secondary school, 20% to tertiary institutions

while 6.67% of the respondents had never attained any level of education. This states that most

of the sampled respondents have been to secondary school. These high levels of secondary level

education might be as a result of the recent sensitization programmes in the area to parents.

4.3 Analyses of economic activities carried out to earn a living of individual respondents

and community benefits from gold mining.

4.3.1 Economic activity carried out to earn a living

Figure 4.6: Economic activity carried out to earn a living

Source: Primary data

According to the pie-chart above, 15% of the respondents claimed that they obtain their incomes

from other forms of economic activities which include Teaching, business etc. 53% claimed to

be acquiring their incomes from artisanal gold mining, while the rest of the 32% get their

incomes from farming, this takes in course Agriculture, Cattle keeping etc. This implies that

among the sampled respondents, more of them derive their livelihood from mining. Most of the

people in these areas survive through mining gold and very few have remained doing agriculture

though also in some places people do both, you can not solely rely on mining.

26

4.3.2 Benefits derived from gold mining

Figure 4.7: Benefits from gold mining

Source: Primary data

From the figure 4.7 above, 28.33% of the respondents had school fees being catered for by gold

mining, 20% have built themselves personal houses, 1.67% of the respondents bought land and

50% of the respondents claimed mining provides them with personal income for survival. This

therefore implies that more of the respondents earn incomes for daily survival from gold mining.

Incomes earned are used for daily expenditure and general improvement of standards of living;

these incomes have also boosted other small businesses like the bars and restaurants around.

27

4.4 Analysis of the gold mining associated risks

4.4.1 Gold mining associated risks

Figure 4.8 Gold mining associated risks

Source: Primary data 2016

According to the figure 7 above, the respondents from the 3 sub counties, 23.3% of the

respondents said that gold mining has led to deaths of their beloved ones, 25% state that mining

gold caused accidents, 18.33% have had their crops damaged, 30% of the respondents say the

problem of diseases for example cancer, persistent headaches etc. as a result of gold mining is

reigning, cancer is as a result of mercury from amalgamation whereas 3.33% of the respondents

say have never been affected in any way by the activity. This indicates that most respondents are

most tortured with the problem of diseases arising as a result of gold mining. Deaths usually

have been rampant because people dig these pits anyhow but of late some technology facilitated

by EWAD has reduced the number of deaths.

28

4.4.2 Relationship between gender and impacts from gold mining

The relationship between gender and impacts as a result of gold mining was analyzed using a

Pearson chi square test as shown in table 4.3. The p-value was less than 0.05 that is 0.035<0.05

which indicates that gender is statistically significant in explaining and determining the level of

risks as a result of gold mining in these communities. This also explains why it‟s most male

respondents who were negatively impacted by gold mining activities since it‟s those involved

most as illustrated in figure 4.9, these negative impacts include diseases, accidents etc.

Table 4.2: Chi-Square Tests for gender in relation to gold mining associated risks

Value df

Asymp. Sig.

(2-sided)

Exact Sig.

(2-sided)

Exact Sig.

(1-sided)

Pearson Chi-Square 4.465a 1 .035

Continuity Correctionb 1.795 1 .180

Likelihood Ratio 4.751 1 .029

Fisher's Exact Test .097 .097

Linear-by-Linear

Association 4.390 1 .036

N of Valid Casesb 60

Source: Primary data 2016

29

Bar chart

Figure 4.9: Relationship between gender and gold mining associated risks

Source: Primary data 2016

Figure 4.10 shows the relationship between gender and the gold mining associated risks, it

indicates that male participants were more prone to these risks since it is them involved most.

4.4.3 Economic activities affected by gold mining

These activities were selected because these are the most common activities done apart from

gold mining; grazing involves rearing animals such as cows, goats etc.

Figure 4.10: Economic activities affected by gold mining

30

Source: Primary data

From the figure above, 72% of respondents stated that Agriculture is affected by mining

activities because when pits have been dug, they can never be used for any other activity- due to

the burrying of top fertile soil with infertile underground murram,. 25% stated that cattle rearing

was affected due to animals‟ deaths as a result of the un covered pits and 3% of the respondents

stated that gold mining does not affect the two activities anyway. This clearly indicates that most

of the respondents indicated agriculture being affected by gold mining activities due to less land

left for cultivation.

4.4.4 Respondents’ Knowledge about Environmental Impacts

Figure 4.11: Respondents’ Knowledge about Environmental Impacts

Source: Primary data 2016

From the figure above, 87% of the respondents say surface gold mining has an impact on the

environment whereas 13% of them do not agree that mining has an associated environmental

impact. This implies that most of the respondents agree that mining brings about environmental

impacts. This is partially because most respondents have been to secondary level of education

where hopefully they have some knowledge as regards environmental degradation.

31

4.4.5 Relationship between education levels and knowledge about environmental impacts

A chi square test was performed to analyze the relationship between the education levels and

knowledge about environmental impacts from gold mining. In table 4.4 below the p - value was

less than 0.05 that is 0.048<0.05 which indicates that the knowledge about environmental

impacts from the activity was best known to those who have been to school especially secondary

level where most respondents fall. This also explains why many of the respondents who have

been to secondary school had knowledge about it and also every respondent in tertiary has full

knowledge about the impacts meaning all of them were aware as shown in figure 4.12.

Table4.3: Significance of education level in determining the knowledge about

environmental impacts

Chi-Square Tests

Value df

Asymp. Sig.

(2-sided)

Pearson Chi-Square 7.927a 3 .048

Likelihood Ratio 7.818 3 .050

Linear-by-Linear

Association .001 1 .976

N of Valid Cases 60

Source: Primary data 2016

Bar chart

32

Source: Primary data 2016

Figure 4.12: Relationship between education levels and Respondents’ knowledge about

environmental impacts

4.4.6 Environmental Impacts due to surface gold mining

Figure 4.13: Graph showing Environmental Impacts

Source: Primary data 2016

From the figure above, 36.67% of the respondents said mining has led to tree cutting this is as a

result of clearing land to create space for digging new pits,11.67% of the respondents stated

water contamination as a result of the running water used in washing the particles to be

33

amalgamated and this water ends up in water sources like wells and also under groundwater

tables to contaminate the borehole water, 23.33% of the respondents stated soil erosion which

occurs as a result of the running water used in the ball mills and wash machines, 13.33% of the

respondents stated air pollution because mining is attached to crushing stones and many other

activities which use sophiscated machinery and they release a lot of smoke to the air, 1.67% of

the respondents stated noise from ball mills and other activities like manual panning and 13.33%

of the respondents did not specify their choice, it could be because they are totally not informed

about environmental damage visavie gold mining. This implies that from the sampled

respondents, most people attatch gold mining to a problem of tree cutting as earlier explained

why. Also due to the education level of most respondents, most respondents could only indicate

tree cutting as the biggest challenge to the environment with gold mining.

4.5 Intervention measures

4.5.1 Community Intervention against environmetal consequences from gold mining

Figure 4.14: Graph showing Community intervention measures

Source: Primary data 2016

From the figure above, it is evident that 76.67% of the respondents say the community has been

trying to curb some of the gold mining related impacts through senstizing communities, 21.67%

say the local leaders were discouraging child labour and 1.67% of the sampled respondents were

not specific in their reason. This indicates that the community has been trying hard to sensitize

the miners through it‟s local leaders.

34

4.5.2 Organizations working in the mining communities

Figure 4.15: Pie chart showing organisations working in the communities

Source: Primary data 2016

From the pie chart, 63% of the respondets have received experts inform of Non government

organisations, 7% have received District officials while 30% of the respondents have not

received any expert in their communities. This indicates that majority of the respondents have

heard gold mining related issues through NGO experts such as Environmental Women and

development.(EWAD)

35

4.5.3 Interventions by organizations

Figure 4.16: Graph showing interventions by organizations

Source: Primary data 2016

From the figure above, 28.33% of the respondents have been fully senstized to handle mining

and it‟s resultant challenges, 21.67% of the respondents have been given protective gears, 20%

have been helped to form groups while for 30% of the respondents this did not apply to them.

36

CHAPTER FIVE: SUMMARY, CONCLUSIONS AND RECOMMENDETIONS

5.1 Introduction

This chapter contains the summary, conclusions, recommendations and areas of further research.

5.2 Summary of findings

Research findings indicate that the majority of the respondents were aged below 25 years, 68%

were males and 32% females, 43 respondents were married. The findings also indicate that more

male respondents had reached secondary level of education.

The research findings indicate that, 53% of the respondents derive their livelihood from mining;

the findings also indicate that 50% of the respondents earn income for daily survival and

improved standards of living from gold mining.

The research findings also indicate that 30% of the sampled respondents suffer from the problem

of diseases such as heart disorders, cancer, chronic headaches etc. as a result of the mining

activities in the area. Findings also indicate that 72% of respondents say the most affected

activity from gold mining is agriculture which involves cultivation of crops such as maize, beans,

cassava etc. Much of the land in these areas has been channeled for mining living other activities

potential of livelihood survival not favored due to the pits and large coverage of land needed to

carry out the activity.

Research findings indicate that 87% of the respondents agree that gold mining brings about

environmental damage such as tree cutting, air pollution etc, 36.67% of the respondents stated

that tree cutting is the biggest environmental problem in these areas because whenever a pit is to

be dug, you need to cut a tree down or other shrubs there within to clear the land.

The research findings indicate that 76.67% of the respondents have been sensitized fully by the

community leaders as regards the gold mining related impacts, findings also indicate that 63% of

respondents have received experts inform of Non Government Organisations to sensitise and

offer more guidance including gadgets such as protective gears and also formalising groups.

5.3 Conclusion of the study

From the research findings, it is observed that benefits from gold mining are majorly income,

used for school fees and housing, money earned from gold mining is being used to improve

37

standards of living, and improve on the general infrastructure of the area, and incomes can also

be used to attain better health care services.

From the research findings it is also observed that people face problems of accidents, diseases

and death from gold mining. Accidents usually occur as a result of damaged and cracked pits,

diseases usually are attached to complications from pounding, mercury amalgamation for gold

and as a result of ground breakage, and there are still many deaths in these areas. Findings also

indicate that gold mining activities affect people‟s agriculture activities and most people in these

areas survive on agriculture apart from gold mining.

From the research findings, it is also indicated that 87% of the respondents are aware that gold

mining activities bring about environmental damage, evident from soil erosion and cutting down

of trees to facilitate opening of new pits.

There is a positive relationship between respondents‟ education level and their knowledge about

the environmental impacts as a result of gold mining in that the respondents who attained

education up to secondary and tertiary level took the environmental challenges as serious as

compared to those who stopped in primary or had no education at all. Therefore there is need to

undertake immediate actions especially through provision of education services to the local

people in order to enable them understand that they need to mine the gold but as well as enjoy

the ecosystem services provided by the environment.

The research findings also indicate 63% of the respondents have been fully sensitized by NGOs

such as EWAD in communities of Tiira and Syanyonja, this is focusing on sensitizing people

about proper mining methods and formalizing their groups of trade for better pay and EWAD

also does give women protective gears to guard them against harms of mining especially

mercury.

5.4 Recommendations of the study

The researcher commends that the government should carry out seminars and workshops with

the aim of creating knowledge and information dissemination about proper mining methods that

ensure efficiency, proper ways of digging pits to ensure they can be covered and still be used for

another activity and also to minimize accidents and deaths registered from the communities.

38

The researcher further recommends that government should support the artisanal miners inform

of ensuring fair trade such that they are not cheated by dealers, this should follow group

formalization.

Furthermore, the researcher recommends environmental bodies be integrated with in the mining

activities in the communities to ensure compliance. These bodies include NEMA and NFA.

5.5 Areas for further study

Stake holder analysis: This should include bringing all the different individuals and groups that

are involved in the gold mining industry to ensure sustainable use and management of the

environment. It should address the needs of the people who directly and indirectly derive their

living from mining and those affected as a result of the mining activities. These stake holders

may include interest groups like NGOs, CBOs and individuals.

Assessing impacts of surface gold mining should also involve assessing nature of tools used for

mining.

39

REFERENCES

Africa Progress Panel (2013) Equity in Extractives: Stewarding Africa‟s natural resources for all.

Association for Talent Development (2013) State of the industry 2013.

Australian Mining (2011) Miners will use Aussie goods or suffer: Gillard, 7 October.

Barrick Gold Corporation (2012). Women making strides in mining, at

www.barrickbeyondborders.com (accessed December 2014).

Bloomberg (2014). Cheaper oil also means cheaper commodities amid surpluses, 9 December.

Butterman, W.C. and Earle B. Amey III, 2005. “Mineral Commodity Profiles- Gold.” United

States Geological Survey.

Commission on Growth and Development (2008). The Growth Report: Strategies for sustained

growth and inclusive development, The International Bank for Reconstruction and Development

/The World Bank.

Economic Commission for Africa (2005). Economic Report on Africa 2005: Meeting the

challenges of unemployment and poverty in Africa.

Economic Commission for Africa (2011). Minerals and Africa‟s Development: The

International study group report on Africa‟s mineral regimes.

Ernst & Young (2014). Business risks facing mining and metals 2014–2015.

Financial Times (2011). Fresnillo saves by employing women drivers, 24 July.

Franks et al (2014). Conflict translates environmental and social risk into business costs,

Proceedings of the National Academy of Sciences of the United States of America, vol.111,

no.21.

Goldcorp (2013) .Sustainability report 2013.

Hays and Infomine (2013). The resources and mining global salary guide 2013.

Hays and Oilandgasjobsearch.com (2013). Oil and gas global salary guide 2013.

40

Henisz, W. J., Dorobantu, S., and Nartey, L. (2011). Spinning gold: The financial returns to

external stakeholder engagement. The Wharton School, University of Pennsylvania.

Hester, B. and Boberg, W., 2006, Uganda: Opportunities for Mining Investment,. The Republic

of Uganda publ., Entebbe, Uganda, 68p

Hinton, J., 2009, National Strategy for the Advancement of Artisanal and Small Scale Mining in

Uganda, Report to Ministry of Energy and Mineral Development, 144p. Hinton, J., 2011, Gender

and Artisanal and Small Scale Mining in Uganda: A Country Overview, World Bank Report, 79p.

ICMM (2009). Transparency of mineral revenues: Position statement, at

www.icmm.com/document/628 (accessed December 2014).

ICMM (2013). Approaches to understanding development outcomes from mining.

International Finance Corporation and Lonmin Plc (2009). Women in Mining: A guide to

integrating women into the workforce.

Jul-Larsen et al (2006). The socio-economic effects of gold mining in Mali: a study of the

Sadiola and Morila mining operations, CMI Reports R2006:4.

Kapstein, E., Rene, K. (2011). The socio-economic impact of Newmont Ghana Gold Ltd.

Lin Y, Guo M and Gan W 1997. Mercury pollution from small gold mines in China Water, Air

and Soil Pollution 97 233-9

Maponga O and Anderson M 1995. Management of natural resources and the environment in

Zimbabwe: the case of gold United Nations conference on trade and development prepared at the

Institution of Mining Research, University of Zimbabwe

Maxwell Stamp (2013). Responsible and Accountable Garment Sector Challenge Fund (RAGS):

Working together for a responsible ready-made garment sector – Lessons learned.

McKinsey (2013). Reverse the curse: Maximizing the potential of resource-driven economies.

Minerals Council of Australia (2014). Australia‟s gold industry: A valuable asset.

Mining-Technology.Com (2008). A longer life for tyres, 18 January.

41

Oxford Policy Management (2011) .Tanzania investment benefits study, World Bank

Sustainable Management of Mineral Resource Project, at www.opml.co.uk (accessed December

2014).

Pacyna E.G., Pacyna J.M., Sundseth K., Munthe J., Kindbom K., Wilson S., Steenhuisen F.,

Maxson P. Environ. 2010; 44:2487–2499.doi: Global emission of mercury to the atmosphere

from anthropogenic sources in 2005 and projections to 2020. Atmos.

Pers comm., 2011, Ag. Principal Inspector of Mines, Dept. of Geological Survey and Mines,

Entebbe, Uganda.

Tuhumwire, J., 2002, An Overview of the Mineral Sector in Uganda, Unpubl DGSM Report

JTT/39, March 2002, 19p.

United Nations Environment Programme (UNEP), 2002. Global Mercury Assessment. UNEP;

Geneva, Switzerland

United Nations Environment Programme (UNEP), 2006. Summary of Supply, Trade and

Demand Information on Mercury. UNEP; Geneva, Switzerland

WBCSD (2009) Measuring impact case study: Supporting local economic growth in Ghana, at

www.wbcsd.org (accessed December 2014).

Wikipedia.org: Gold http://en.wikipedia.org/wiki/Gold

World Bank (2013) Brief: Gender in extractive industries, at

www.worldbank.org/en/topic/extractiveindustries/brief/gender-in-extractive-industries (accessed

December 2014).

www.africaminingvision.org

www.wiradjuricondocorp.com (accessed December 2014).

42

APPENDICES

Appendix 1: Modern pits to reduce breakage and minimize accidents, initiative of EWAD

Pits built using pieces of timber supported to each other to enable someone go very deep and

ground on the sides remains firm.

43

Appendix 2: Un covered pits hazardous to people and animals

Pits which have been deserted for a long time account for multiple deaths and accidents,

vegetation has covered all over.

44

Appendix 3: A ball mill used to crash the stones to fine particles

45

Appendix 4: Questionnare

My name is OBUKUI PIUS IMERI, a student of Busitema University doing this research as a

partial fulfillment for the award of a BSc. Degree in Natural resource economics. This

questionnaire is designed to assess the impacts of surface gold mining on land use systems and

livelihoods in Busitema, Sikuda and Buteba sub counties. Please answer all the questions with

honesty because the information you give is purely academic and it will be treated with a lot of

confidentiality. I am therefore requesting you to participate in this study by responding to these

questions.

SECTION A: (BIO DATA)

1. Name of location:

Village……………………… Parish………………. Sub county………………………

2. Sex: (i) Male (ii) Female

3. What is your age?

(i)Below 25 (iii) 36 -45

(ii) 26 – 35 (iv) 46–55

4. What is your highest level of education?

(i)Primary (iii) Tertiary

(ii)Secondary (iv) None

46

5. Marital status:

(i) Single (ii) Married (iii) Others

specify………………….

6. How long have you stayed in this place?

(i)Less than 5 yrs. (iii) 10 yrs. and above

(ii) 6 – 10 yrs.

SECTION B: (CONTRIBUTION TO LIVELIHOODS)

7. What economic activities do you carry out to earn a living?

………………………………………………………………………………………………

………………………………………………………………………………………………

8. Which of these is your key source of income?

………………………………………………………………………………………………

9. What is your annual income from the activity?

……………………………………………………………………………….

10. How has gold mining benefited this community

………………………………………………………………………………………………

………………………………………………………………………………………………

………………………………………………………………………………………………

11. How have you benefited from gold mining directly or indirectly?

………………………………………………………………………………………………

………………………………………………………………………………………………

……………………………………………………………………………………………

47

SECTION C: (Impacts as a result of gold mining)

12. Have you ever been affected by mining activities?

i. Yes ii. No

13. If yes, how?

………………………………………………………………………………………………

………………………………………………………………………………………………

………………………………………………………………………………………………

14. Of the activities you are doing, which one is most affected by gold mining and how?

………………………………………………………………………………………………

………………………………………………………………………………………………

15. Do you agree that gold mining has an impact on the environment?

i. Yes ii. No

16. If yes, how?

………………………………………………………………………………………………

………………………………………………………………………………………………

………………………………………………………………………………………………

17. Overall, what are the problems associated with gold mining in this area?

………………………………………………………………………………………………

………………………………………………………………………………………………

…………………………………………………………………………………………….

48

SECTION D; (Intervention measures)

18. How has the community been able to handle these problems above?

………………………………………………………………………………………………

………………………………………………………………………………………………

19. Have you received any expert to talk to you about gold mining, its benefits and impacts?

i. Yes ii. No

20. If yes, please specify:

i. NGO ii. District official

21. How have these people helped you solve some of the above problems?

………………………………………………………………………………………………

………………………………………………………………………………………………

………………………………………………………………………………………………

THANK YOU