Deputy
Speaker, I move that the report be adopted.
There was no debate.
Declaration(s) of vote:
Thank you, hon Deputy Speaker. The Department of Mineral Resources has, despite a number of challenges, presented a credible report on its financial and performance status for the 2018-19 financial year. The achievement of a clean audit bears testament to the fact that there has been a significant improvement in the financial and operational management of this department.
The biggest challenge faced by the department is the mineral regulations programme which has consistently underperformed on its key performance indicators. In 2017-18, the programme achieved just 59% of its objectives and although this improved to 67% in the year under review it still falls far short of where it should be. This is especially true as the programme forms the heart of the department's mandate.
Exploration is essential for the growth of the mining industry and to this end the DA welcomes the committee recommendation that the department should explore all possible funding avenues, including approaching Treasury, to speed up the modernisation of the SA Mineral Resources Administration System, Samrad, database. This is long
overdue, but must include making it more accessible and up to date so that real time information can be utilised in mining rights applications. The department is now required to present a plan for this within the next six months.
We also welcome the recommendation that the overlapping mandates of various entities within the department ...
Order hon members! Please, you are too noisy. It's unacceptable. [Interjections.] Thula me! [Laughter.] Go ahead, hon member.
... and for that matter, within the Department of Energy be reviewed. Not only has this resulted in a duplication of effort and in some cases operational paralysis, but it is very costly as well. We need a leaner department and entities that are laser- focused on delivering on their objectives. The DA is pleased to be able to support this Vote.
The EFF? [Applause.] It's the member's maiden speech.
Thank you very much, Deputy Speaker. The EFF rejects the Budget Review and Recommendation Report of the Portfolio Committee on Mineral Resources. [Interjections.] We are facing an electricity crisis ...
Order, order, hon members!
... because the price of coal that Eskom pays is way too high and has led to Eskom's collapse. To normalise the situation at Eskom we must recommend that all coal suppliers must pay the price as recommended by the National Energy Regulator, Nersa. If mining companies do not want to pay the price as recommended by Nersa, the state-owned company, African Exploration Mining and Finance Corporation, must take over the mines, and supply coal to Eskom and export the surplus.
A state-owned mining company must be the one supplying the majority of coal to Eskom. We must reject the privatisation of Eskom. If we allow the privatisation of Eskom, we are practically giving away our coal mines to private companies, and in future those companies will
prioritise coal exports and we will be left without enough quality coal, as is the case right now.
Government was allowed to abuse processes of Parliament and illegally withdrew the Mineral and Petroleum Resources Development Amendment, MPRDA, Bill. It was wrong and we should condemn it here in Parliament. We should recommend a committee Bill to make sure that the MPRDA is back in Parliament and is passed into law. The EFF rejects this Budget Review and Recommendation Report. [Applause.]
Deputy Speaker, this department is entrusted with two critically important drivers of economic growth in South Africa as we seek to realise our goals and aspirations of a developmental state.
Mining should be a principle driver for the lifting of our people out of poverty, yet we continue to see little or no beneficiation in this industry, especially in the communities in which these mines are situated.
Rural areas and communities which are home to some of the most profitable mines in South Africa are in fact being detrimentally affected, not only in terms of not receiving adequate beneficiation, but also in respect of the environmental degradation that so very often accompanies mining operations. Section 24 of the Constitution obligates the state to ensure that everyone has the right to an environment that is not harmful to their health or their wellbeing, and to have the environment protected through reasonable legislative measures. This is not happening and communities are exposed to numerous forms of pollutions and risks to their health.
Mining companies must conduct operations within the rule of law and must ensure that the necessary rehabilitation is concluded after mining operations have ceased. Therefore, the IFP will support this report. Thank you.
Afrikaans:
Mnr die Adjunkspeaker, mynbou het 'n donker kant en dit het 'n blink kant. 'n Mens kan mynbou se blink kant sien wanneer dit daartoe lei dat die
ekonomie aan die gang gesit word; dat daar werk geskep word; en dat die land waar binne dit plaasvind in werklikheid van 'n mynbou land na 'n industrile land en selfs na 'n ekonomie wat deur dienste gedryf word, oorgaan. Dit is tot 'n groot mate wat ons in Suid-Afrika sien.
Maar, die donker kant van mynbou is wanneer die delfstowwe opraak, uitgeput raak en daar 'n beskadigde omgewing agtergelaat word, en gemeenskappe wat in die steek gelaat word ... gemeenskappe wat doodgewoon in duie stort. Dit is ook iets wat in Suid-Afrika gebeur.
As ons na die twee voorbeelde kyk, kan ons s dat aan die blink kant het die mededingendheid van Suid-Afrika se beleggings land vir mynbou beleggings van 81 uit 83 lande - wat dit twee jaar gelede was - na 56 uit 83 lande gestyg, en daarvoor moet 'n mens krediet gee dat daar 'n groote mate van sekerheid van beleid is en dat dit nou afgedwing word dat stemmings oor stakings in die geheim moet geskied; met ander woorde, dat mense nie gentimideer kan word ...
'n AGB LID: Jy lieg nou!
... om te staak nie.
Aan die negatiewe kant is die omgewingsimpak daar vir almal om te sien en daar is ...
English:
On a point of order, Deputy Speaker.
Just hold on; hold on. Yes, hon member?
I'm sorry Deputy Speaker, but the member shouted loudly, "Jy lieg nou." [You are lying.] I don't think that's parliamentary.
Who's that? [Interjections.] Who's that?
Hon Deputy Speaker, it's the hon Deputy Minister April. He can stand up and say ... [Inaudible.]
Deputy Minister ... [Inaudible.] Hon member? Hon member, did you say that?
Deputy Speaker, I never said anything like that. [Interjections.]
Hon member?
Deputy Speaker, we heard him very loudly from there. So, he's misleading the House.
Okay, alright. Hon member, if you said it you better withdraw it now.
Hon Deputy Speaker, I said, jy bieg [confess] nou. Bieg ... bieg. [Interjections.]
Hon members, no. Allow me to go into the Hansard. We will come back to that point and rule on it. Yes hon member?
Hon Deputy Speaker, may I address you before you look into the Hansard? I want you to take note
that the member first denied that he had said anything. Then he acknowledged that and now he's saying that he said something else. He first denied it. It should say something to you.
Okay, thanks. Alright, we will look into that here.
Deputy Speaker, it won't be in the Hansard because the Hansard would have meant he spoke into the microphone. There's no way of investigating that in the Hansard.
Hon member, that's a dangerous assumption. I request you to sit down and not do that.
It's a fact. It's a fact.
It's a dangerous assumption. Let's go and check the Hansard. We will come back and tell you whether we caught it or we didn't. If we didn't, because of what you are saying, we will tell you. [Interjections.] Hon member? Hon member? Can I just point
out to the hon member with the greatest of respect, there are cameras in the House. So just hold on. Just cool your heels. Hon member, proceed. Go ahead, sir. [Interjections.] Go ahead, hon member. You can go ahead, sir. I'm waiting for you to speak. Go ahead.
Afrikaans:
Dankie. Nou gaan ek verder praat, en mens vat maar 'n belediging van waar dit kom. Dankie agb lid April.
In Suid-Afrika moes die departement 20 uit 'n moontlike
40 verlate myne, wat ook nie meer eienaars het nie, rehabiliteer, omdat die eienaars daarvan doodeenvoudig weggeraak het.
Wat mynbou betref, wil ek namens die VF Plus s dat daar net een manier is om mynbou positief te maak en dit is om die blink kant bo te hou. Maar, die VF Plus kan nie hierdie verslag ondersteun nie. Baie dankie.
Deputy Speaker, there can be no doubt that stakeholders in the mining sector face a highly
challenged industry. Corruption and policy uncertainty have in the past resulted in a drastic reduction in fixed investment in mining. However, the ACDP welcomes the improvements in this regard and the degree of policy certainty that has now been introduced in this new administration.
The mining industry also faces variable commodity prices, mounting costs and logistics issues. It is an industry that must be supported, given that the minerals sector contributes about 7% of gross value added of the country. It is also responsible for more than a quarter of foreign earnings from exports. The number of jobs that have been shed over the last five years, where the number of employed persons has almost halved in this industry, is a matter of great concern. So clearly it does need protection.
The ACDP appreciates the work done by the Mine Health and Safety Council. While certain South African mines are the deepest in the world, every life lost in our mines is tragic and every step must be taken to safeguard the
lives of mineworkers. Research and development in seismic activity must be improved and properly resourced.
We also understand from the report that there are serious issues negatively affecting miners and communities, especially in the Mpumalanga province, which require urgent attention.
Another challenge highlighted in the report is weak legislation in combating illicit trade in precious metals and diamonds. According to reports, the country is losing billions of rand in this practice and far more needs to be done in this regard.
It will be crucial for the committee to ensure that its recommendations are complied with, particularly now that two departments have been joined together. This will result in a much heavier workload. However, notwithstanding the reservations, the ACDP will support this Budget Vote. I thank you.
Thank you very much, Deputy Speaker. The Department of Mineral Resources and Energy has its work
cut out for it. The Minister is technically running two departments, if one considers the fact that the work of the Energy Department had to be transferred to his portfolio. The Minister has therefore been thrown a spanner.
The Portfolio Committee on Mineral Resources and Energy has also worsened the Minister's load, recommending that his department ensure the finalisation of the turnaround strategies of the Central Energy Fund.
PetroSA and Nersa ... and to carefully consider the issue of overlapping mandates between entities during the merger process, and provide the committee with the outcome. We know that PetroSA is a shadow of its former self. Its accounting and control measures have become obsolete.
We wish to commend the Minister for his stellar leadership in the mining sector. After his appointment, section 44 work stoppages have ceased with breakneck speed.
However, the Minister's hand has been found in the cookie jar, often meddling in local disputes between the mines and local communities, like Xolobeni in Alfred Nzo, in the Eastern Cape. However, the AIC supports this report.
Thank you, Deputy Speaker. The Department of Mineral Resources and Energy has been receiving decent audit outcome for several years. The ANC is pleased with the achievement of clean audit in the 2018/19 Financial Year, an improvement on the previous financial year unqualified audit opinion.
The strides made by the Ministry and the department in the previous financial year in terms of engaging all industry stakeholders, has borne some fruits. In spite of the mining council's court challenge the most significant charter which has gazetted after months of consultation the 19% reduction in the number of fatalities should comfort mine workers and their families that the ANC government is committed in working towards the target of zero fatalities.
The investment of over R40 billion in mining and creation of 4 000 jobs are signs that mining is becoming a sunrise industry. Thus, responding to the call made by the President during his state of the nation address. The department has to address the challenge of corruption, maladministration and shortage of capacity particularly in underachieving mineral regulation programme. We call on the department to consider bringing to Parliament the legislation that will allow the state to intervene in mining operations that are in distress.
These have devastating impacts on workers and communities, for example; in Lilly Mine, Optimum and Aurora amongst others. The ANC expects the department to produce action plans to deal with issues raised in the Budget Review and Recommendation Report, particularly, the legislative drafting programme that stalled in the fifth Parliament. I want to say, Deputy Speaker, that this Report was unanimously adopted in the committee. While other people come to this Parliament to grandstand, to howl and to shout empty slogans, thina (we) in the ANC ...
IsiZulu:
... si ya qhuba ...
English:
... with our programme of moving South Africa forward. The ANC support this Report. [Applause.] Question put.
Motion agreed to (Economic Freedom Fighters, Democratic Alliance and Freedom Front Plus dissenting).
Report accordingly adopted.
