NATIONALISATION of mines took centre stage as a "legitimate debate" during a mining conference at the Sandton Convention Centre yesterday.
The two-day conference, organised by the South African Mining Development Association (Samda), looked at the roadmap to development and sustainable growth under the theme "Mining for Change".
Saamda was founded in 2000 and mainly consists of junior mining companies and BEE- owned ones.
Nchakha Moloi, chairperson of Samda, said he welcomed the debate on the nationalisation of mines.
"At the moment we do not have a standing position as to whether the nationalisation is alright or not. What we are saying now is that nationalisation of mines is a legitimate debate, which the country should engage in," Moloi said.
He said when the mining charter was documented in 2004, it set a target of giving back 25percent of the ownership of mines to black people by 2014.
"A review was made and it conceded that we are way below the target," he said.
Moloi said of the 25 top mining companies in the JSE, only six percent were owned by black people.
He said the government had decided it would not issue mining and prospecting rights to companies which were not transforming.
"But what has been happening is that companies were able to get the licences with the hope to transform."
Moloi said average South Africans were not feeling the economic change in their lives.
"Nationalisation of mines is a legitimate debate. Possibly, the law should be reviewed, strengthened, implemented, evaluated and monitored," he said.
Petrus de Kock, senior researcher on Africa's resources at the South African Institute of International Affairs, said what was needed was dialogue on mining.
He said the time for the government and mining companies to function separately without any link in how they did business "is over".
He welcomed the debate on nationalisation but said the scope of engagement should be widened.
"It is time for us to reflect on the role of the state on private capital and look at how it can help in the development of the country," he said.
"The debate should involve the community. A link needs to be formed between the state, community and private sectors."
He gave an example of the Chinese government's involvement in the market.
"The state (China) has enterprises which trade freely in the international market but report to government. The enterprises function freely in the market as business entities but still report to government," said De Kock.
He said this was one of the models that should be looked at when debating the issue of nationalisation of the mines.
The conference continues today, with ANC Youth League president Julius Malema expected to address it.
Ownership of mines in spotlight
NATIONALISATION of mines took centre stage as a "legitimate debate" during a mining conference at the Sandton Convention Centre yesterday.
The two-day conference, organised by the South African Mining Development Association (Samda), looked at the roadmap to development and sustainable growth under the theme "Mining for Change".
Saamda was founded in 2000 and mainly consists of junior mining companies and BEE- owned ones.
Nchakha Moloi, chairperson of Samda, said he welcomed the debate on the nationalisation of mines.
"At the moment we do not have a standing position as to whether the nationalisation is alright or not. What we are saying now is that nationalisation of mines is a legitimate debate, which the country should engage in," Moloi said.
He said when the mining charter was documented in 2004, it set a target of giving back 25percent of the ownership of mines to black people by 2014.
"A review was made and it conceded that we are way below the target," he said.
Moloi said of the 25 top mining companies in the JSE, only six percent were owned by black people.
He said the government had decided it would not issue mining and prospecting rights to companies which were not transforming.
"But what has been happening is that companies were able to get the licences with the hope to transform."
Moloi said average South Africans were not feeling the economic change in their lives.
"Nationalisation of mines is a legitimate debate. Possibly, the law should be reviewed, strengthened, implemented, evaluated and monitored," he said.
Petrus de Kock, senior researcher on Africa's resources at the South African Institute of International Affairs, said what was needed was dialogue on mining.
He said the time for the government and mining companies to function separately without any link in how they did business "is over".
He welcomed the debate on nationalisation but said the scope of engagement should be widened.
"It is time for us to reflect on the role of the state on private capital and look at how it can help in the development of the country," he said.
"The debate should involve the community. A link needs to be formed between the state, community and private sectors."
He gave an example of the Chinese government's involvement in the market.
"The state (China) has enterprises which trade freely in the international market but report to government. The enterprises function freely in the market as business entities but still report to government," said De Kock.
He said this was one of the models that should be looked at when debating the issue of nationalisation of the mines.
The conference continues today, with ANC Youth League president Julius Malema expected to address it.
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