South Africa’s mines minister defends new mining charter

CAPE TOWN

South Africa mine’s minister on Sunday defended new regulations seeking to accelerate black ownership in the key industry as a “win-win” situation for all, despite objections from an industry body threatening court action to block the changes.

Minister Mosebenzi Zwane released the government’s revised Mining Charter on Thursday, raising the minimum threshold for black ownership of mining companies to 30 percent from 26 percent, and giving resource companies 12 months to meet the target among a raft of other regulations that hit mining stocks.

The Chamber of Mines, which represents mining firms, said it would challenge the new rules in court, arguing that there had been insufficient consultation in drawing up the charter – which is designed to widen ownership of Africa’s most industrialised economy.

“We have given due consideration to the submissions made and we will not be held ransom to those views that seek to derail transformation in the minerals sector,” Zwane said an an opinion piece in the Sunday Times newspaper.

Saying that it was impossible to please everybody, Zwane said a court review by aggrieved parties was expected.

“Should this happen, we are hopeful that the judiciary, recognising the separation of powers doctrine, does not usurp the role of the executive in exercising its power,” he said.

(Reporting by Wendell Roelf, editing by Louise Heavens)

 

Partner Content

Disruptive digital solutions is rewiring the DNA of Banking

By Kennedy Mubita, Africa Head, SC Ventures. Imagine a bank whose customers can tap on a wearable device to...

The future of banking; digitization and collaboration as growth accelerants

By Kariuki Ngari, CEO & Managing Director, Standard Chartered, Kenya & East Africa COVID-19 has upended the social and...

Star Quality Speaker Line-Up at Africa Tech Festival 2020

Acknowledged as the world’s largest Africa-focused digital infrastructure and emerging tech event, the Africa Tech Festival has always attracted a stellar line-up of critical thinkers, analysts, futurists, keynote and inspirational speakers. 2020 will more than deliver on that reputation, with a stimulating array of visionary industry presenters, raconteurs and even some sporting greats.

Newsletter

Sign up for free newsletters and get more CNBC AFRICA delivered to your inbox