EDITORIAL: We must fix broken mining trusts
The government and mining industry must take urgent steps to reform and strengthen governance and oversight of these trusts
Mining is one of the most important sectors of the South African economy, contributing about 8% of GDP and employing more than 400,000 people. However, mining also has a significant social and environmental impact, especially on the communities that live near the mines. These communities often face displacement, pollution, health risks and loss of livelihoods as a result of mining activities.
To address these challenges, the government introduced the Mining Charter in 2002, which requires mining companies to allocate a percentage of their equity to mining community trusts. These trusts are supposed to receive dividends from the mining companies and use them for the benefit of the affected communities. They are also supposed to involve the communities in their decision-making and governance processes...
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