REVIEW OF THE MINING CHARTER 2017 PRESENTATION OUTLINE

REVIEW OF THE MINING CHARTER, 2017

PRESENTATION OUTLINE • Background • Consultation Process • High level Comments • Way-forward 2

Background continues • The reviewed Mining Charter, 2017 was published for implementation in June 2017. • This Charter, however could not be implemented due to a review application in the Courts by the industry as represented by the Chamber of Mines and some mine communities against its implementation. • The review application led to a joint undertaking by Government and parties to the application to engage in meaningful consultations on the Charter to address issues of concern. • This undertaking was formally endorsed by the Courts. • The department is currently implementing the Mining Charter, 2010 when processing applications. 3

Consultation Process • An extensive consultation process on the Reviewed Mining Charter was initiated in March 2018. • This process commenced by a meeting of social partners which established two task teams. • The one task team focusing on transformation of the mining industry and the other on competitiveness and growth. • The tasks teams are required to engage meaningfully and propose recommendations that will address the issues of concern and take the mining industry on a forward-looking trajectory. • The work of these task teams is ongoing and once concluded will form part of the consolidated Reviewed Mining Charter proposals. 4

Consultation Process cont… • In the beginning of April 2018, the Department extended the consultation process to mine communities and labour sending areas. • The aim of the consultations was to solicit inputs and comments from mine communities, as part of social partners. • The Minister, Deputy Minister, Director General and Senior Officials attended all eleven (11) consultations with mine communities undertaken as follows; • Witbank in Mpumalanga 189 attendees; • Lephalale in Limpopo 473 attendees; • Burgersfort in Limpopo 103 attendees; • Khathu in Northern Cape 280 attendees; 5

Consultation Process cont… • Rustenburg in North West 440 attendees; • Saldanha Bay in Western Cape 208 attendees; • Klerksdorp in North West 238 attendees; • King Williams Town in Eastern Cape 184 attendees; • Cartonville in Gauteng 223 attendees • Welkom in Free State 304 attendees; and • Newcastle in Kwa. Zulu Natal 204 attendees. • The total number of people consulted in all nine (9) provinces totals to 2846 (two thousand eight hundred and forty six).

High Level Comments Majority of Communities welcomed the Mining Charter, 2017, however raised concerns on the following; • The Mining Transformation Development Agency (MTDA) • The percentage of shareholding by communities and employees • Linking of Integrated Development Plan (IDP) with Social and Labour Plan (SLP) • Percentage allocated to people with Disability • Ring-fenced procurement opportunities for Mine Hosting Communities • Employment Opportunities for Local People and Bursaries • Enterprise Development with focus on Women and Youth

Way-forward • The Minister concluded community consultations on the 01 June 2018. • The Department has now began the process of processing inputs received from all community consultations and the two task teams and reviewing the Mining Charter. • Once this process is concluded the department will publish the draft Mining Charter for public comments.

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