While mining had weathered the storm of a global recession in the last year, some opportunities were lost during the economic boom of the previous five years, SA Mining minister Susan Shabangu told mining managers at the 115th annual general meeting of the Association of Mine Managers (AMMSA) in March.

Investors and mining managements should strive to understand where the industry went wrong during better times, Shabangu cautioned. Fresh from an international tour to meet investors, managers and analysts, Shabangu reported a 'very positive' attitude to local mining.
“I would like to see much more input into the Mining Growth, Development and Employment Task Team (MIGDETT)”, she said, and appealed to managers at the 'gold face', who better understand the implications of economic changes, to individually and collectively project business and social transformation via MIGDETT.
Shabangu is a transformation champion with a social security background, appointed by the Zuma administration last year. She joked about the lack of women among mine managers, and kept to the cordial tone at the AMMSA meeting.

Charter and legal snags

Progress on the current Mining Charter review was “not pleasing at all”, Shabangu said, and appealed to mines and organised labour to find consensus on how to face industrial challenges. Shabangu wants to table a Charter review in cabinet at the end of April.
Promulgation of new mining legislation, on a locally developed model, had revealed several “weaknesses which we have to correct”, Shabangu confessed. “The Act will be reviewed this year, in collaboration with business and labour.” Government does not intend to impose stricter mechanisms, but to 'close gaps' and 'create much more opportunities and growth in the industry'.
Administrative procedures were 'tedious'. Prospecting rights should be issued in 6 months and mining rights in 12 months, but “we have decided to halve this period… to a period that is acceptable.”

H&S amendments

Mine health and safety issues require close attention from managers, due to an unacceptably high rate of injuries and fatalities. “I have instructed the department to introduce critical H&S amendments… these would not happen without your participation, although we could not assume your co-operation.
“H&S is one the areas which have been neglected for some time… ill workers are not productive, we should create wellness programmes.”
While mining incident and injury rates were improving, “we are not yet there. We have to strive to create a fatality free and injury free industry in SA.”
Against the backdrop of the H&S inspection report, Shabangu challenged mining managers to tell government how best to improve deficient performance areas.
Criminal prosecution and legal challenge on H&S, however, are not on the government agenda. “I don't think it would help the industry to take each other to court, it is not a productive process, it creates tensions and it takes us back to mistrust.”

Skills

Skills development is a core government responsibility, as Shabangu accepts, but she called on business to participate. The Mining Department has a human resources development plan to address mining skills shortage, aimed at training more technical engineers.
In London, a senior Lonmin official queried Shabangu on the need for adult education, via ABET, while the worker's children had greater education needs. Shabangu agrees that adults had many burdens to carry, and youth education was more profitable.
“I expect mine managers to convince shareholders to pay more attention to scholarships, bursaries and mining career awareness at high schools.”

Zama zama crime

“Crime and illegal mining are attached to our economy, but illegal mining is not government's core business, our role is to regulate mining”, Shabangu said.
“Illegal miners are criminals and we have to respond without exception… their foot soldiers are not innocent. They hold mines, and miners to ransom. We have to take decisive measures.”

Private hands

Shabangu nailed nationalisation rumours in these words; “Our debate on nationalisation sent negative waves around the world. Let me assure you, while I am in this ministry… our economic policy made no mistake when a mixed economy was adopted in 1994, and when the ANC abandoned nationalisation in 1994. We have an economic problem, so nationalisation is not a government programme.”

“SA is positioned globally around its commodities, and mining remains the backbone of the economy.

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