Verdict out on Mining Lekgotla

[miningmx.com] — ONE cannot deny the value of different (and
differing) sector role-players getting together to talk through issues, but it would be
difficult to describe in detail something tangible that has come from two days of
speeches at the inaugural Mining Lekgotla.

When the event was first punted in May, organisers said its fundamental objective
was to create opportunities for the country’s industry leadership – including labour
and policy makers – to confront issues about South Africa’s competitiveness, key
risks, social pressures and growth opportunities.

If confronting issues entails making one’s point of view from a conference stage, the
Lekgotla had a favourable outcome; if it was about the meeting of minds over
pertinent issues such as regulation, policy direction, safety and cost pressures, the
result was less straightforward.

Perhaps one can view as a positive the assertion of mines minister Susan Shabangu,
that the Lekgotla came at an appropriate time so close to the ANC National Policy
Conference – and extended an invitation to the Chamber of Mines (CoM) to attend
the conference – saying the concerns raised and recommendations made by the
Lekgotla would be “influential’.

This was echoed by National Union of Mineworker’s General Secretary Frans Baleni,
who said he was “enriched’ so close to the policy conference with views and issues
he might never have taken into account until now.

Yet, it is not clear what the concerns and recommendations would be that Shabangu,
Baleni and others take with them to the ANC conference where the ruling party is to
discuss the role of the state in mining.

Is it economist Mike Schussler’s assertion that South Africa missed out on the
previous commodity boom despite boasting a favourable monetary and fiscal policy?
Would it be the NUM’s proposals for an interventionist state? Perhaps it will be the
warning of mining law expert Peter Leon that South Africa is standing at the
crossroads of many regulatory issues that could “bedevil’ the industry?

According to Mike Teke, Optimum Coal’s CEO but also Vice-President of the Chamber
of Mines, the main positive to take away was that the three different industry
segments created a “collaborative structure’.

“It is not about wanting unions and miners to become friends, but there is an
opportunity to reach consensus over issues,’ he said.

Asked how this would be different from what the state, unions and miners discuss
during MIGDETT meetings, Teke said the Lekgotla presented a much broader
perspective with many more voices.

Shabangu said the Lekgotla was part of a process and not an event designed for
quick outcomes. “We see this as a reflection of the sector at a much broader space.’

One aspect, according to her, that has been highlighted was the differing views over
progress insofar the mining charter’s targets for 2014 were concerned. “Are we on
the same line, or are we differing?’ she said. “Are we together in our understanding
whether there has been achievement or not? This is one of the critical issues we
have to address.’