https://www.miningweekly.com
Africa|Components|Energy|Environment|Exploration|Freight|Indaba|Mining|Ports|Projects|rail|Resources|Sanitation|SECURITY|Sustainable|Transnet|Water|Environmental|Operations
Africa|Components|Energy|Environment|Exploration|Freight|Indaba|Mining|Ports|Projects|rail|Resources|Sanitation|SECURITY|Sustainable|Transnet|Water|Environmental|Operations
africa|components|energy|environment|exploration|freight|indaba|mining|ports|projects|rail|resources|sanitation|security|sustainable|transnet|water|environmental|operations

Removal of growth impediments key to improve the perception of mining in South Africa, says Minerals Council

An image of Roger Baxter

Minerals Council CEO Roger Baxter

Photo by Creamer Media's Donna Slater

11th May 2022

By: Donna Slater

Features Deputy Editor and Chief Photographer

     

Font size: - +

President Cyril Ramaphosa’s acknowledgement of South Africa ranking seventy-fifth out of global mining jurisdictions in the latest Fraser Institute’s survey means the South African government needs to respond with urgency and purpose to remove impediments to growth and development of the mining industry, Minerals Council South Africa has said.

Addressing the Cape Town-hosted Investing in African Mining Indaba on May 10, Ramaphosa noted the successes that could be achieved if the public and private sectors worked together, with the Minerals Council taking note of the President’s commitments to removing obstacles blocking growth of the mining industry and to support this critical sector of the economy.

The council said in a media statement that Ramaphosa’s speech did not shy away from the difficulties the mining industry faces when considering investments to sustain and grow mines, or to explore for new mineral deposits.

“Mining companies are in a tough operating environment, with high levels of crime, expensive and irregular electricity supply and logistical bottlenecks on rail and at ports costing companies and the fiscus billions of rands,” it noted.

Minerals Council CEO Roger Baxter described Ramaphosa’s address as a constructive and realistic speech, highlighting the mining industry’s contribution to the country.

“We have a high degree of resonance between the government and the Minerals Council on the components that will shape the industry for sustainable, inclusive growth going forward. President Ramaphosa’s commitment to reducing legal and regulatory constraints is critical,” he said.

Mineral Resources and Energy Minister Gwede Mantashe, meanwhile, had said the department would meet the Minerals Council to discuss the concerns raised by the survey and to work collaboratively to improve the perception of South Africa as an exploration and mining destination.

The Minerals Council stated that Ramaphosa’s comments were a welcome acknowledgment of the role South Africa’s mining industry played in stabilising the fiscus and South Africa’s economy in 2021.

In terms of getting its workforce ready to face Covid-19 implications in the future, the council highlighted that the mining industry had vaccinated three-quarters of its 458 000 employees, making it the “leading economic sector in protecting its workforce”.

Baxter added that the council would continue with discussions on improving energy security and returning State-owned Transnet’s Freight Rail division to a position in which it could deliver contracted tonnages and, ultimately, meet installed capacity.

Further, the Minerals Council said it supported and endorsed the work done by Operation Vulindlela – an initiative of the Presidency and the National Treasury to drive structural and policy reforms to kickstart economic growth.

The decision to allow embedded electricity generation of up to 100 MW without needing a licence was the “most important structural reform in a decade”, the council reiterated.

To date, Minerals Council members have planned more than 4 GW of energy projects worth R65-billion, an endeavour the council said must be expedited.

In this regard, what is needed is a significant shortening of the timeframes related to environmental authorisation and grid-tie connection processes, it added.

Meanwhile, Ramaphosa said that, through Operation Vulindlela, the Department of Water and Sanitation is working towards processing 80% of water-use licence applications submitted by mining companies within 90 days.

Baxter said this was an important development for the mining industry, for which water is a vital part of their operations, and another instance of the government addressing the constraints delaying investments.

However, he noted that the mining industry also needed the Department of Mineral Resources and Energy to clear the backlog of more than 4 000 mining and exploration permits that was holding back further investment in exploration and mining.

Edited by Chanel de Bruyn
Creamer Media Senior Deputy Editor Online

Comments

Showroom

Showroom image
Alcohol Breathalysers

Supplier & Distributor of the Widest Range of Accurate & Easy-to-Use Alcohol Breathalysers

VISIT SHOWROOM 
Rittal
Rittal

Rittal is a world leading provider of top-quality integrated systems for enclosures, power distribution, climate control, IT infrastructure and...

VISIT SHOWROOM 

Latest Multimedia

sponsored by

Magazine video image
Magazine round up | 01 March 2024
1st March 2024
Implats CEO Nico Muller
Implats expecting phased reduction in group output
29th February 2024 By: Martin Creamer

Option 1 (equivalent of R125 a month):

Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format

Option 2 (equivalent of R375 a month):

All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.

Already a subscriber?

Forgotten your password?

MAGAZINE & ONLINE

SUBSCRIBE

RESEARCH CHANNEL AFRICA

SUBSCRIBE

CORPORATE PACKAGES

CLICK FOR A QUOTATION







sq:0.168 0.2s - 91pq - 2rq
Subscribe Now