Transformation of the mining sector of South Africa: strategies beyond the life of the Mining Charter in 2014
Date
2015-05-07
Authors
Madolo, Nokuhle Vencentin
Journal Title
Journal ISSN
Volume Title
Publisher
Abstract
Transformation of the mining sector is imperative in South Africa as it is the backbone of the economy and informs all aspects of competitiveness in the global arena. In addition, it attracts foreign investment. The Mining Charter is an agent of transformation in the mining sector and its continuous updating must be the focus of all stakeholders given the lifespan of the Mining Charter. Thinking about tomorrow and planning ahead to a sustainable future is of importance to South Africa and is, therefore, vital for the implementation of strategies to take the sector forward. Such forward planning will ensure the efficient transformation and sustainable growth of the sector to address the inequalities in the distribution of income, property and opportunities as well as the very high levels of crime and violence that exists in the country. This disparity s is the result of the historically disadvantaged population groups of which the black South Africans comprise the majority. Continuous measures have to be taken to redress these disparities in order to achieve social and economic emancipation for all citizens.
The Mining Charter has a lifespan of 10 years, commencing in 2004 and ending in 2014. The research investigates the various elements of the Charter and whether the industry will have effectively been transformed at the end of its lifespan. The question that is raised is what should happen beyond 2014. Recommendations are made to promote practices in the mining industry that should lead to the desired results.
The research has included literature on transformation in South Africa, in particular the mining sector charter evaluation. The author’s personal experience and involvement in the mining industry in implementing the Charter, drafting Social and Labour Plans, Employment Equity Plans and consultations with various stakeholders and the synthesis of various data has also been considered. A comparative analysis of countries that have undergone a transformation agenda has been made.
Even though progress has been made, the strategies beyond 2014 are a realization that in the transformation of the mining industry, there is still a need to re-visit the fundamentals in an attempt to achieve transformation in terms of substantive behaviors and practices. The research advocates strategies and implementation plans for the transformation of the Mining Sector of South Africa and recommends a proposed new charter in two parts: one for industry and the other for government.