The Minerals Council South Africa, the main mining industry body, has unveiled a portrait of the state of transformation in the mining industry in 2018, against the benchmarks laid out in the 2010 charter. Based on a member survey, it finds that the industry exceeded most of its targets, falling short in areas such as 'meaningful economic participation'.
Mining companies operating in South Africa must comply with various targets that have been laid out in "mining charters" drawn up by the government, which aim to boost levels of black ownership in an industry that was seen as the backbone of the iniquitous apartheid economy.
Certain provisions of the latest version, finalised in 2018, are being challenged by the industry in court. The Minerals Council has now surveyed its members to assess compliance with the 2010 charter, which was the standard until 2018, to, among other things, highlight its transformation record.
On the 26% ownership target that was in place, the survey found the industry in 2018 had far exceeded that goal with 39.2% black, or historically disadvantaged South African (HDSA), ownership. But many of the BEE deals to bring in black owners occurred before 2010, so the industry came up...