Public, stakeholders can still make inputs in new Mining Charter

Mineral Resources Minister Gwede Mantashe says members of the public and other stakeholders have until the end of July to submit suggestions and inputs, following the release of the newly drafted Mining Charter.

He says they have already embarked on an intensive consultation with mining and organisations across the country to sell the newly drafted mining policy.

The minister says they are currently dealing with challenges facing the department including mining license backlogs and alleged corruption.

South Africa plans to raise black ownership at permit-holding mining companies to 30 percent from 26 percent within five years, the draft showed.

But the Minerals Council, whose members include mining companies, said in a statement that the raised target was never agreed as a recommendation and is a surprise inclusion.

“The Minerals Council does not support this top up, as it prejudices existing rights holders that secured their rights on the basis of the 2004 and 2010 Charters,” it said.

The new draft charter extends to five years from one year the time that existing mining permit holders will have to meet the new black ownership requirement.

Other proposals in the charter include: new mining rights holders must pay one percent of core profit, or EBITDA, to employees and communities in circumstances where a dividend is not declared in any 12 month period.

This also, according to the lobby group, is a surprise addition and was not agreed upon as a recommendation.Additional reporting by Reuters

Some of the feedback the department received include allegations of double-granting of licenses, allegations of improper application of Section 54 of the Mine Health and Safety Act and backlogs in the issuing of licenses.

The period to receive public comments closes on 27th July 2018. The Mining Affected Communities United in Action (MACUA) representative, Matthews Hlabane explains: