Kabale District leaders are demanding greater transparency in Uganda’s mining sector after revelations that several mining companies are operating in the district without the knowledge of local authorities.

This emerged during an outreach meeting by the Local Government Finance Commission, which is assessing how mineral royalties are managed and shared with local governments.

Officials say districts continue receiving royalty funds without clear information on the companies involved, the quantities of minerals extracted, or how the revenues are calculated.

Speaking during the meeting, Commissioner Emma Boona said the commission is conducting field engagements in different mining districts to establish the status of royalties generated from minerals, whose revenues are directly channelled to the Ministry of Energy in Kampala.

She explained that many districts lack adequate information about mining companies operating within their areas, including the volumes of minerals extracted and how royalties are calculated

According to Boona, some districts receive royalty funds without knowing the exact companies responsible for the payments or the basis on which the percentages are determined.

She added that the commission also received complaints from communities regarding the role of the National Environment Management Authority (NEMA), especially over mining activities being carried out in wetlands and swampy areas.

Kabale District Chief Administrative Officer Robert Mugabe said the district had only recently started receiving royalties from mineral resources, noting that previously there was little value attached to iron ore.

Mugabe also said the regional mineral office has not adequately guided the district on mining operations despite the increasing number of miners operating in the area.

Meanwhile, Kabale Deputy Resident District Commissioner Michael Muramira Kyakashari described the engagement as an eye-opener for the district leadership.

Kyakashari said district officials had been receiving royalties without clear information about the companies involved or how the funds were computed.

He emphasized the need for stronger coordination between local governments and the Ministry of Energy, arguing that districts should always be informed whenever mining licenses are issued to companies operating within their jurisdictions.

Currently many mining companies are operating in Kabale without the district’s knowledge because licensing is handled centrally in Kampala without involving local authorities.