Tanzania has ordered firm action against mining licence and permit holders that have failed to develop their areas for extended periods, including cancellation of licences in line with the law.

Prime Minister Dr Mwigulu Nchemba issued the directive in Dodoma while adjourning the Fourth Session of the 13th Parliament until October 27, 2026. He said undeveloped mining areas should be repossessed and allocated to Tanzanians, particularly young people seeking opportunities in the sector.

The Prime Minister said some individuals hold multiple licences for long periods without developing them, a practice he said runs against requirements under the Mining Act and limits participation by Tanzanians and small-scale miners. He also raised concerns about local government authorities imposing service levies above the rate stipulated in law.

The Mining Act provides for a service levy of 0.25 percent of the value of minerals. That detail matters for operators because Tanzania is trying to balance higher domestic participation in mining with a regulatory environment that remains predictable enough to support investment.

In the same parliamentary remarks, Dr Nchemba directed the Ministry of Finance, Ministry of Transport, Tanzania Railways Corporation and contractors to accelerate ongoing Standard Gauge Railway works, including the Mwanza-Isaka, Isaka-Tabora, Tabora-Kigoma and Makutupora-Dodoma sections. He said the Isaka-Mwanza section could be completed between now and December.

The mining directive signals closer scrutiny of licence performance at a time when Tanzania is positioning the sector as a driver of revenue, industrial supply chains and local enterprise participation. For licence holders, the immediate message is that retaining acreage without visible development may carry a higher enforcement risk.