Programme director;
MEC for Economic Development, Environment and Tourism, Ntate Seaparo Sekoati;
Other MECs present; Representatives of Mining Houses;
Representatives from the department of water Affairs; Representatives of Labour;
Invited guests; and
Distinguished ladies and gentlemen;
I am told that our interaction here today is preceded by a very gleaming Gala Dinner that took place last-night. I had expressed to MEC Sekoati my wish to be part of the glitters of last night with those of you who were at the gala dinner; however owing to pre-contracted commitments I had to miss out.
I am nonetheless told that the gala dinner was a perfect ice- breaker which will make our interaction today a little bit fluid.
Ladies and gentlemen;
Earlier this year, during the State of the Province Address, I made a call and commitment that as government we should host a Provincial Mining Summit. We have made this call because we have identified mining as one of the strategic drivers of the economy.
This Mining Roundtable is therefore expected to look into ways to unlock economic growth and development opportunities that are presented by mining in our province. To this end, I wish to extend my appreciations to all of you for your overwhelming respond to this call.
Ladies and gentlemen;
This Mining Roundtable is anchored around the theme of “Limpopo’s Mineral Resources for a Broad-Based Industrialisation Growth Path”. We have chosen this theme because we believe that the future is in growth; and that industrialisation is another viable mechanism to put us to a higher growth and development trajectory.
Programme director;
As government we move from a position that mineral resources are a collective heritage of our people. Through the government, the state acts as a custodian for our mineral resources.
We also acknowledge the living reality that mineral resources are part of the non-renewable natural resources. It is against this background that the government has an obligation to ensure the mineral resources are utilised in a manner that promote local and rural development and the social upliftment of communities affected by mining.
At the same time, collectively we carry an obligation to ensure that mining activities are conducted in a manner that protects the environment for the benefit of future generations.
We indeed can advance our economic and social development while at the same time caring for our environment; the two are not mutually exclusive.
Programme director;
Again when we opened the fifth legislature in June this year, we announced a package of tailored measures to help boost our economy in our continued effort to create jobs and fight poverty.
Part of the measures we announced included:
- Institutionalisation of long-term planning to drive industrialisation, manufacturing and infrastructure development.
- Local procurement of goods and services by both the government and the private sector
- Government support to Small and Micro businesses
- Development of Limpopo Integrated Infrastructure Master Plan (LIIMP) to define the infrastructure development and delivery agenda of the province over the next 20 years and beyond.
- Support and revival of the provincial art and entertainment industry so as to unlock job opportunities for our young people and
- The commitment to ensure that at least 10% of procurement of goods and services by Government should be from both the Cooperatives and SMMEs
Ladies and gentlemen;
It is a known fact that Limpopo is rich in mineral deposits such as platinum, chrome, coal, and diamond. As a result mining continues to be a major contributor to both provincial and national Gross Domestic Products.
The challenge however has been insufficient labour absorption capacity of this sector. Lack of infrastructure, especially water, rail and roads is a major impediment in the development of this sector to its full potential.
In the same vein, the sector is not doing well in both its secondary and tertiary economies, particularly procession and beneficiation of its products.
It is against this background that we need workable mechanisms to ensure sustainable economy in the mining sector throughout the entire value chain, both upstream and downstream.
I have got no doubt that this approach will make us globally competitive and in the long run expand the productive capacity of our economy in the sector.
Programme director;
The other challenge in the mining sector relates to the implementation of the Mining Charter. We have seen this finding expression through the persistent conflict between mining houses and communities, especially over Social Labour Plan and Corporate Social Investment obligations.
We continue to see persistent conflicts between Mining Houses and communities on matters related to equity and the empowerment of the Historically Disadvantaged Groups. Mines are also criticised for a range of challenges, notable the pollution of air and drinking water.
As a province, we still have fresh memories of the effects of the environmental degradation and neglect of mining health safety and standards. The case of asbestosis in the province is still haunting many of our people in Mafafe and Burgersfort.
Ladies and gentlemen; the truth is that as government and communities we need mining activities, in the same measure as Mining Houses requires the support of government and the local communities. We should not be seen behaving like Siamese crocodiles which despite the fact that they share the same stomach still fight over food.
As I have already said, the state that owns these minerals on behalf of our people, while on the other hand mining houses holds licenses to mine these minerals not only to the exclusive benefit of mining houses, but also for empowerment of our communities.
It is within this context that we call on Mining Houses to take up the responsibility to invest in improving the living conditions of communities around mining areas.
Programme director and ladies and gentlemen;
Earlier on I spoke of what I referred to as a “package of tailored measures to boost our economy”; these measures will indeed amount to nothing without the working together between communities, business and the government.
We need the support of the private sector, in particular the support of the mining houses to realise the growth objectives of our economy. We need mining Houses to buy in to the idea of local procurement of goods and services. We need your support to Small and Micro businesses. We need your commitment to support the idea of procuring at least 10% of goods and services from both the Cooperatives and SMMEs.
Programme director
We are confident that in this room we have got men and women of good intellect and capacity to equal the challenges and the task at hand. We have come this far working together, and together lets continue to make the difference. It is now my pleasure to officially declare this mining roundtable open and wish you fruitful discussions.
I thank you!
