Mineral and Petroleum Resources Development Bill: formal consideration & voting

Meeting report

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The aim of this report is to summarise the main events at the meeting and identify the key role players. This report is not a verbatim transcript of proceedings.

MINERALS AND ENERGY PORTFOLIO COMMITTEE
24 June 2002
FORMAL CONSIDERATION AND VOTING ON THE MINERALS AND PETROLEUM RESOURCES DEVELOPMENT BILL

Chairperson: Mr M. Goniwe (NA)
Mr M. Moosa (NCOP)

Documents handed out:
Minerals and Petroleum Resources Development Bill [B15B - 2002]
Minerals and Energy Portfolio Committee Report on the Minerals and Petroleum Resources Development Bill
(Copies of the documents which are currently available in electronic format can be found on our website)

MINUTES
Minerals and Petroleum Resources Development Bill

Royalties
Mr A Nel (NNP) raised concerns over the payment of royalties to individuals. He said that the Bill only catered for the payment of royalties to communities.

Mr Davidson (DP) raised a further concern that the Bill only provided for the payment of royalties to those communities that were receiving them at present. He emphasized that the entitlement to royalties had previously been a right whereas the Bill now made it payable dependant upon the discretion of the Minister. Mr Davidson also asked why the payment of royalties had a 5-year sunset clause attached to it.

Mr Nash (ANC) said that the period was not only limited to 5 years. The period could be extended if the need should arise.

Clause 9 in transitional arrangements (old order rights)
Mr Moosa said that the ANC after having been through extensive discussions with stakeholders had come to the eventual decision to withdraw the substance from the clause.
The ANC said that it was not prepared to entertain the notion of monopolistic mineral rights in South Africa. The notion was not in tune with their object of transforming the industry.

Voting:

The Committee commenced with formal consideration and proceeded through the Bill clause by clause.
The ANC and the UDM were unanimously in favour of each clause.

The DP, NNP and IFP had objections to the following clauses:

DP - Clause 1(definition of 'mining area') and Clauses 3,4,11, 23, 25,33, 54,96, 100, as well as Clauses 3,7,8 in Schedule 2.

NNP- Clause 100

IFP - Clause 100

The Committee agreed to delete Clause 9 in Schedule 2. This was in response to the ANC's previous statement of deleting the substance of the clause.

The Committee with the exception of the DP and the NNP voted in favour of the entire Bill as amended.

The Committee also adopted their official report on the Bill.

The meeting was adjourned.


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