Black people can’t be spectators – Mantashe says in defence of Mining Charter
The draft of the revised Mining Charter has been criticised as unlikely to entice new investors or even stimulate growth in the mining sector.
ANC national chairperson Gwede Mantashe. Picture: Tracy Lee Stark
The industry cannot remain the same, and black South Africans cannot be spectators, as they must also benefit and accumulate wealth, according to Mineral Resources Minister Gwede Mantashe, who has been accused of walking a tightrope with the revised Mining Charter draft.
The Mining Charter has received huge criticism, but Mantashe’s tweet suggests it’s all systems go once the draft is approved by Cabinet. The minister says the Mining Charter should be gazetted after Cabinet’s approval.
Once the draft #MiningCharter is approved by Cabinet, we will Gazette it
— Gwede Mantashe (@GwedeMantashe1) June 19, 2018
“We looked into the 5% free-carry for employees and 5% for communities, meaning the owner buys 5% shares for employees and communities so that they can benefit from mining,” he wrote in a series of tweets.
Mantashe added the public was welcome to comment on the draft.
The proposed revision of the 2017 Mining Charter is said to be a ham-fisted document whose awkward wording will confuse many.
The draft has been criticised as being unlikely to entice new mining investors or even stimulate growth in the mining sector.
The charter, according to online reviews, implies the previous benefits that went towards servicing debt and providing a cash amount directly to participants were inadequate.
We are serious about transformation. The industry cannot remain the same. Black South Africans cannot be spectators, they must benefit & accumulate wealth #MiningCharter
— Gwede Mantashe (@GwedeMantashe1) June 19, 2018
The Minerals Council South Africa (MCSA) slated Mantashe’s draft, saying in its current form, it would not promote investment and growth.
This was followed by mining analyst Mamokgethi Molopyane, who said Mantashe was walking a tightrope between balancing the interests of investors and the ANC’s radical economic transformation goals.
Mantashe has defended the Mining Charter, saying the latest version would ensure mineworkers and mining communities would reap benefits from mining companies.
