https://www.polity.org.za
Deepening Democracy through Access to Information
Home / Statements RSS ← Back
Africa|Energy|Exploration|Mining|Resources|Services|Operations
Africa|Energy|Exploration|Mining|Resources|Services|Operations
africa|energy|exploration|mining|resources|services|operations
Close

Email this article

separate emails by commas, maximum limit of 4 addresses

Sponsored by

Close

Article Enquiry

Another bad ANC idea about mining


Close

Embed Video

Another bad ANC idea about mining

20th October 2022

ARTICLE ENQUIRY      SAVE THIS ARTICLE      EMAIL THIS ARTICLE

Font size: -+

/ MEDIA STATEMENT / The content on this page is not written by Polity.org.za, but is supplied by third parties. This content does not constitute news reporting by Polity.org.za.

The ANC, EFF, AIC and ATM have approved a budget report which calls for the state to explore, mine and process all newly discovered mineral deposits.

The DA was the only party on the Portfolio Committee on Mineral Resources and Energy to oppose the recommendation in the report which will go to Parliament for approval.

Advertisement

The DA is opposed in principle to the existence of the state owned mining company, the African Exploration And Mining Finance Company (AEMFC) which has been plagued by management and corruption issues similar to those in other state owned entities. To propose a dominant role raises several issues.

The wording of the recommendation, “Ensure that the AEMFC collaborate with the CGS, Mintek and other relevant stakeholders to prioritise and ensure that all newly discovered mineral deposits are explored, mined and processed by the state” clearly implies a requirement of involvement by the state mining company in all new mining operations.

Advertisement

This has huge implications for investment in and the sustainability of South Africa’s mining sector. It suggests mining investors and private companies will be disallowed from mining deposits that they find. This would render useless the government’s intention to increase the amount of private prospecting in South Africa.

At a time when the government is squeezed for cash, it is difficult to imagine where expansion capital for new state mining company operations will be found, and if it is found, what services, be they schools, hospitals or police, would lose out.

The ANC may claim it was merely their wording of the recommendation which was unclear but South Africans and the mining sector in particular should have no doubt that if it were possible, the ANC would prefer that the state mining company would be the only company allowed to mine in South Africa.

This is economic illiteracy at its worst and a sure recipe for disaster.

 

Issued by James Lorimer MP - DA Shadow Minister of Mineral Resources

EMAIL THIS ARTICLE      SAVE THIS ARTICLE ARTICLE ENQUIRY

To subscribe email subscriptions@creamermedia.co.za or click here
To advertise email advertising@creamermedia.co.za or click here

Comment Guidelines

 

About

Polity.org.za is a product of Creamer Media.
www.creamermedia.co.za

Other Creamer Media Products include:
Engineering News
Mining Weekly
Research Channel Africa

Read more

Subscriptions

We offer a variety of subscriptions to our Magazine, Website, PDF Reports and our photo library.

Subscriptions are available via the Creamer Media Store.

View store

Advertise

Advertising on Polity.org.za is an effective way to build and consolidate a company's profile among clients and prospective clients. Email advertising@creamermedia.co.za

View options

Email Registration Success

Thank you, you have successfully subscribed to one or more of Creamer Media’s email newsletters. You should start receiving the email newsletters in due course.

Our email newsletters may land in your junk or spam folder. To prevent this, kindly add newsletters@creamermedia.co.za to your address book or safe sender list. If you experience any issues with the receipt of our email newsletters, please email subscriptions@creamermedia.co.za