Mining and Petroleum Industry Stakeholders Engagement (Industry, Labour)

[There were technical challenges with the audio recording. As a result, there are gaps in the report.] The Committee met at Southern Sun Hotel in Cape Town to engage with mining and petroleum industry stakeholders. Stakeholders that participated included the South African Mining Development Association, Mineral Council South Africa, Junior Mining Council, Green Connection, South African Oil and Gas, Fuels Industry Association of South Africa, Women in Oil and Energy South Africa, Mining Affected Communities United in Action, National House of Traditional and Khoisan Leaders, and Solidarity. Stakeholders passionately articulated their views on the pivotal role of the mining industry in South Africa's economic development and growth. They underscored the significance of Social Labour Plans and community development, demonstrating their unwavering commitment to these causes. Furthermore, concerns were raised about the misrepresentation of social or community projects by mining companies, with some stakeholders highlighting disparities between these firms' presentations to Parliament and the actual situation on the ground. While acknowledging some commendable projects, stakeholders stressed the need for much more to be done in partnership with communities, and stop excluding them. They also stressed the need for Department of Mining and Petroleum Resources (DPMR) to facilitate constructive and inclusive consultative engagements between mining communities and mining companies. There was also a resolute call for a review of the Mineral and Petroleum Resources Development Act, bolstering the junior mining industry, and implementing the Artisanal and Small-Scale Mining Policy. Some stakeholders did not shy away from expressing their disappointment with the DPMR and the Minister, accusing them of prioritising business interests over communities. Their frustration was palpable as they recounted their unsuccessful attempts to engage with the DPMR since 2013. The office of the Chairperson's initiative to enhance the engagement airtime between Parliament and the sector’s stakeholders on Wednesdays from 9 a.m. to 1 p.m. is a step towards addressing this urgent issue and engaging more with the sector’s stakeholders. The Department was also advised to be stern with companies that obtain permits or licenses and do not use them. Stakeholders were concerned that South Africa is a net importer of crude oil. They stressed the need to invest in the upstream petroleum industry and address the declining refining capacity. Some stakeholders said the country is headed for a gas crisis, and an investment in exploration was critical. While climate change and the Just Energy Transition must be considered, the mining and petroleum industry must be developed. Furthermore, there were mixed reactions about transitioning to renewables while South Africa exports its coal, leaving its citizens in the dark because of loadshedding. Members also expressed concerns about how renewable energy would significantly contribute to unemployment. Members asked a range of questions about exploration investments in South Africa when the introduction of timelines on granted licenses and prospecting rights, why the Mining Charter has not been changed for five years, and transformation within the sector, among others. The Committee advised that it would treat SLPs with an acute focus and also emphasised how South Africa is not yet ready to move away from coal as it would have a devastating knock-on effect.