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Government has completed its review of the Mining Charter, Minister of Mineral Resources Susan Shabangu said on Tuesday.
"We have completed the review of the Mining Charter and we are refining the findings and recommendations that we will release in due course," she told the 120th annual general meeting of the Chamber of Mines.
"Our initial observations, however, are that we have not lived up to the spirit and intent of the Charter," she said.
The minister said some of the members of the Chamber had refused to co-operate with the company appointed to conduct the review.
According to Shabangu, one of the clauses of the Mining Charter related to social and labour plans to transform the industry.
"These plans come out of recognition that profitable mining activity has been taking place in many areas of the country for over a century but surrounding communities still live in abject poverty."
She said the charter compelled companies, as a condition for being granted a mining licence, to contribute to the sustainable socio-economic development of mining communities and labour-sending areas.
"The Charter recognises that it is imperative that the act of contributing to these communities should be guided by the needs and priorities of the communities involved through social and labour plans."
However, the minister said companies submitted financial estimates of their social and labour plans that were not compatible with the submitted plans, leading to non-implementation.
"Recently, due to the economic crunch, a lot of companies have indicated that they may have difficulties in implementing the social and labour plans.
"This means the transformation in the form of reducing illiteracy, poverty and unemployment in communities will take a back seat," Shabangu said.
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