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23 September 2020 | Story Leonie Bolleurs | Photo Supplied
Zama Sithole

Zama Sithole, a master’s student in Environmental Managementat the University of the Free State (UFS), would one day like to assist communal artisanal small-scale miners (ASM) to legalise their work. Although the ASMs are not involved in turf wars or criminality as in the case of zama-zamas, they are deemed illegal workers.

The prime mining legislation, the Mineral and Petroleum Resources Development Act, makes no provision for subsistence or communal ASM activities. Such miners are therefore considered illegal miners.

“ASM employs more than 20 million people globally and a country such as South Africa, with an unemployment rate of 30,1%, should assimilate this type of mining as a legal form of employment,” says Zama.

“Their only client base is the surrounding communities. Mining, besides government grants, is their only source of income.”

Zama aspires to assist the illegal miners to become legal and reap the benefits of skills and funding to increase their income.

“And guidance from the regulatory authorities will ensure that the communal ASM miners become more aware of environmental management,” she adds.

Zama recently presented her research, titled: Shortcomings of the South African Legislative Framework in Addressing Communal Artisanal Small-scale Mining: A Blaauwbosch Case Studyat the 2020 Environmental Law Association (ELA) Annual Student Conference.

She also received the award for Best Speaker at the conference.

In her research, Zama focuses on Blaauwbosch, a rural township area located south-east of Newcastle in northern KwaZulu-Natal, where subsistence coal and clay opencast mining by community members has been going on for more than four decades.

Environmental degradation

According to the Mineral and Petroleum Resources Development Act, mining is only deemed legal if there is a mining permit, mining right, production right or preferent mining right authorised by the Department of Mineral Resources. Since communal ASMs are unregulated, environmental degradation is rife.

According to her investigation, environmental hazards such as traces of acid mine drainage and poor air quality (due to spontaneous combustion), are localised in the area. This is a deterrent to the surrounding community that has minimal health and safety awareness.

Owing to the fact that communal ASM miners are not assimilated into the legislation, the competent authorities such as the Department of Mineral Resources and Energy and the Department of Water and Sanitation cannot offer mineral regulation and environmental guidance support.

Losing revenue

Zama says government is also losing revenue by not legalising this unique sector. She believes it is important to differentiate between communal ASMs and the ‘zama-zama’ type of mining.
 
She also found that according to the Mining and Minerals Policy (1998), “regulations in respect of mining should be relevant, understandable and affordable to the small-scale miner and should be enforced in a site-specific manner.” ... “Tax and royalty rates, levies, and financial guarantees for rehabilitation should not constrain the development of small-scale operations.”

“However, to date, this has not been realised,” Zama states.

Communal ASM miners thus cannot benefit from government-funded initiatives to upskill them in terms of mining and environmental management.

Making a difference

Zama plans to conduct more research to understand the dynamics of how other countries have legalised this sector and draw learnings from this to determine how it can be applied in the South African context.

“In our country, there is very limited data and hence understanding on communal ASM. This could be one of the reasons why the government cannot make an informed decision on how to legalise this sector,” she says.

News Archive

Census 2011 overshadowed by vuvuzela announcements
2012-11-20

Mike Schüssler, economist
Photo: Hannes Pieterse
15 November 2012

Census 2011 contains good statistics but these are overshadowed by vuvuzela announcements and a selective approach, economist Mike Schüssler said at a presentation at the UFS.

“Why highlight one inequality and not another success factor? Is Government that negative about itself?” Mr Schüssler, owner of Economist.co.za, asked.

“Why is all the good news such as home ownership, water, lights, cars, cellphones, etc. put on the back burner? For example, we have more rooms than people in our primary residence. Data shows that a third of Africans have a second home. Why are some statistics that are racially based not made available, e.g. orphans? So are “bad” statistics not always presented?”

He highlighted statistics that did not get the necessary attention in the media. One such statistic is that black South Africans earn 46% of all income compared to 39% of whites. The census also showed that black South Africans fully own nearly ten times the amount of houses that whites do. Another statistic is that black South Africans are the only population group to have a younger median age. “This is against worldwide trends and in all likelihood has to do with AIDS. It is killing black South Africans more than other race groups.”

Mr Schüssler also gave insight into education. He said education does count when earnings are taken into account. “I could easily say that the average degree earns nearly five times more than a matric and the average matric earns twice the pay of a grade 11.”

He also mentioned that people lie in surveys. On the expenditure side he said, “People apparently do not admit that they gamble or drink or smoke when asked. They also do not eat out but when looking at industry and sector sales, this is exposed and the CPI is, for example, reweighted. They forget their food expenditure and brag about their cars. They seemingly spend massively on houses but little on maintenance. They spend more than they earn.”

“On income, the lie is that people forget or do not know the difference between gross and net salaries. People forget garnishee orders, loan repayments and certainly do not have an idea what companies pay on their behalf to pensions and medical aid. People want to keep getting social grants so they are more motivated to forget income. People are scared of taxes too so they lower income when asked. They spend more than they earn in many categories.”

On household assets Mr Schüssler said South Africans are asset rich but income poor. Over 8,3 million black African families stay in brick or concrete houses out of a total of 11,2 million total. About 4,9 million black families own their own home fully while only 502 000 whites do (fully paid off or nearly ten times more black families own their own homes fully). Just over 880 000 black South Africans are paying off their homes while 518 000 white families are.

Other interesting statistics are that 13,2 million people work, 22,5 million have bank accounts, 19,6 million have credit records. Thirty percent of households have cars, 90% of households have cellphones and 80% of households have TVs.
 

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