I have seven minutes, Chair - five minutes from the end.
My department is working with the Department of Energy, the Central Energy Fund, and the Treasury in making sure that we create a standalone mining company which can compete with the rest of the industry. This crucial entity of the democratic state is about to undertake a second project which is now in the postfeasibility phase and will, upon operation, produce 4,6 million tonnes of coal per annum over 33 years, creating, currently, about 1 000 jobs.
I must bring to this House one of the most well-known current issues, which is that of shale gas. We are going to the Cabinet with a report with the intention of getting a final decision in order for us to be able to finalise this and give direction to the country.
The health and safety of mineworkers in the mining industry remain of the utmost importance to the Department of Mineral Resources. Workers in this industry have endured harsh working conditions ever since the birth of mining in South Africa, including living in overcrowded single-sex hostels. Even to this day, 18 years after 1994, this sector's commitment to the health and safety of both the workers and the communities resembles a curate's egg - good in parts, which means it is lacking overall. This must change. The inevitability of death, injury and disease must be rooted out.
In addressing poor health and safety issues at mines, we have identified the need to review the Mine Health and Safety Act. This review will strengthen enforcement provisions, reinforce penalties and ensure alignment and harmonisation with the MPRDA.
While we remain seized with these challenges, we, however, recognise some improvements in the health and safety of the environment.
We have indicated, in various debates and on public platforms, the extent to which these mining companies have performed when it comes to fatalities. While we are mindful that there is progress and a reduction in this area, it is a matter of concern to us when we still see some workers dying. I call upon the mining industry to once more commit to and internalise the value system of zero harm.
I am concerned about the safety of women in the mining industry. I am urging mining companies to implement measures aimed at protecting women miners. In this regard, I want to commend the National Union of Mineworkers for championing the just cause of safety for women miners.
As the Department of Mineral Resources, we remain determined to apply section 54 to ensure compliance. I want to state categorically that it is mischievous to regard section 54 as the only contributor to the loss of production. This flies in the face of the reality that mine operational challenges can contribute significantly to low production.
We have agreed with stakeholders to set up a task team comprising all relevant stakeholders to investigate the concerns raised in respect of the application of section 54. The task team has finalised its investigation and has made recommendations for consideration by other Migdett principals and me.
As I promised last year, we have split the North West regional office into two offices to ensure that it becomes efficient, especially in regard to the platinum in the Rustenburg area.
In November 2011 the Mine Health and Safety Council hosted a summit on the attainment of occupational health and safety milestones as set out in 2003. This includes all the occupational health and safety matters, that is, silicosis, noise-induced hearing loss, TB and HIV. The intention is to make sure that matters of health are prioritised in the mining industry. Also, during the 2011 summit a commitment was made to implement the Culture Transformation Framework. The stakeholders are also committed to establishing a centre of excellence to do research and capacity-building, and to facilitate research implementation. Stakeholders committed themselves to the aforementioned in order to improve the industry's health and safety record.
The department recently participated in South Africa's 2012 World TB Day commemoration in Carletonville, which was also addressed by Deputy President Motlanthe. I would like to commend Gold Fields for supporting this programme, and call on other mining companies to do likewise.
There is a great need to improve on the current skills capacity in the mining sector. To this end, the department is collaborating with the Department of Higher Education and Training in making sure that the Mining Qualifications Authority becomes relevant and also improves skills development.
In presenting this budget, I would like to stress that we are working round the clock to build the capacity that is necessary in this department in all areas, including in the vital legal section which is involved so regularly and exhaustively in litigation. We are building up our IT systems to improve efficiency and effectiveness. We are working on developing partnerships between government and the private sector. Finally, I want to thank the staff of the Department of Mineral Resources, led by the able and new - straight out of the box - Director-General Dr Ramontja, who has taken the proverbial bull by the horns and acquitted himself very well in his new role. [Applause.]
The same goes for the Deputy Minister, for his leadership and contribution to the second Budget Vote today, and for making sure that as we shape our administration, he makes it better. Thank you, Deputy Minister. [Applause.]
It is this same commendable spirit that must characterise the work of the department as we proceed to build a mining dispensation that is in harmony with the environment, and with the communities with whom we constantly seek to engage in consultation. Thank you, hon Chairperson, for your kindness. [Applause.]