South Africa: No Jobs and No Services in Former Mining Towns of Springs and Carletonville

analysis

Daily Maverick visited two once-thriving mining towns in Gauteng -- Carletonville and Springs -- to get a perspective of how people are making ends meet amid the decline of mining activity.

Springs and Carletonville in Gauteng are prime examples of once-booming gold mining towns that were crucial to South Africa's economy and labour market but are now shadows of their former self. Both towns, which Daily Maverick recently visited in the run-up to the general elections, contributed to South Africa being a formidable world producer of gold for more than 50 years.

In the 1970s, South Africa produced more than 1,000 tonnes of gold. By 2023, the country produced just 110 tonnes, making it only the 13th largest global producer of the yellow metal. In the investment community, gold was king as there were more than 40 mining companies listed on the JSE. Today, there are four.

Several factors are to blame for this decline: exhausted gold resources/reserves, increasing cost pressures such as companies having to mine deeper while maintaining safety standards, higher electricity tariff increases, government policy blunders, organised crime risks and strike action that often results in costly work stoppages.

Behind the decline, there are people and communities near mining operations that hoped to benefit from gold resources by being employed and having an improved quality of life. However, these hopes have turned into disappointments.

Rich history

Situated 50km...

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