Mineral Resources on mining charter and local economic growth

In a move that seeks to bridge the growth gap between the mining companies and the Small, Medium and Micro Enterprises (SMMEs) in the North West province, the Department of Mineral Resources in collaboration with the North West Provincial Government held a one day workshop at Rustenburg Civic Centre, Bojanala Platinum District.

Highlighting the purpose of the meeting the Deputy Minister of Mineral Resources, Mr Godfrey Oliphant referred the meeting to sections of the amended Mining Charter, particularly, enterprise development, mine community development read together with section 2.9 on Monitoring and Evaluation.

“Of concern to government is the exclusion of black SMMEs from the industry’s supply chain worth billion of rands a year. Such a situation is unsustainable as it tends to lead to conflict between the excluded and the industry. Such a conflict is likely to destabilise areas around mining, making it difficult for the industry to operate as disgruntled communities withdraw the industry’s social license to operate,” said Deputy Minister.

The Charter give companies 10 years to comply with its provisions making 2014 the final year for companies to ensure their compliance.

“While the Department of Mineral Resources would like to avoid destabilising any operation, the department will not hesitate to deal decisively with non-compliant companies including those whose compliance is found to be malicious”, warned Deputy Minister who maintained that these workshops are meant to bridge the gap between black businesses (SMMEs) whose vocal opposition to the industry stems out of the disdain with which black SMMEs feel treated by the mining companies.

Deputy Minister Oliphant told the workshop attendees that government would like to ensure the resolution of the persisting problems between established and aspirant black SMMEs on one side and the industry on the other. “It cannot be right that black SMMEs and local communities are still struggling to participate meaningfully in the industry’s supply chain after 20 years of democracy and despite the good intentions of government policies,” said Oliphant.

Addressing representatives from various mining houses and SMMEs who attended the workshop, Premier Supra Obakeng Ramoeletsi Mahumapelo of the North West Province stressed the need for collaboration in unlocking opportunities for SMMEs and dealing with the socio-economic challenges facing the province.

“Our economic growth target is to be at 6% by 2019, and this calls for a radical economic transformation approach. As we have placed Agriculture, Culture and Tourism at the apex of this economic growth target, we remain confident that mining will consistently serve as a strategic contributor to the realisation of this target,” said Premier Mahumapelo.

Mahumapelo challenged the mining houses to ponder local procurement spend and provide assistance where capacity is needed, this in pursuit of increased local jobs creation and economic growth.

“The mining houses’ pledge to support the province in addressing challenges such as water provision and roads infrastructure will go a long way in achieving the objectives of our integrated strategy to Rebrand, Reposition and Renew Bokone Bophirima province,” remarked Mahumapelo who committed to ensuring that a gathering of this nature is convened on quarterly basis to assess progress in so far as issues of compliance to the charter and unblocking of opportunities for SMMEs are concerned. 

For more information please contact:
Solomon Phetla
Cell: 076 765 3863
E-mail: Solomon.phetla@dmr.gov.za / mediaqueries@dmr.co.za

Bonolo Mohlakoana
Cell: 082 901 2435
E-mail: Bmohlakoana@nwpg.gov.za

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