Mining: Imagine South Africa without it…
Recent years have not been kind to South Africa’s mining industry. Once the bedrock of the economy, the global financial downturn has chipped at its bottom line. Unclear and changeable government policy have sent tremors through future planning. No less important, mining has endured intense and negative scrutiny – controversies around acid mine drainage, the Marikana killings and court action regarding culpability for silicosis being prime examples. This has powered an audible public conversation about the role that mining has to play in our future.
Even within the industry, concerns exist about its future viability. Following the commodity boom (which South Africa failed to take full advantage of), production has been down, along with employment. And this is not entirely a recent development – since 1990, the mining workforce has fallen by around 30%. And in a memorable contribution last year, Peter Major of Cadiz Corporate Solutions warned that gold mining, in many ways South Africa’s signature industry, was in danger of dying within the next decade.
Mining is in trouble.
It is also targeted. Its economic role aside, mining has long carried a unique symbolism for South Africa. For many, it represents all that is wrong with our past and present – supposedly an industry built on immiseration.
Grist to the populist mill, arguments are heard for greater state intervention, for controls on prices to facilitate local industrialisation, for nationalisation, and (on the fringes) that the mining industry as a whole is a dirty anachronism that should be retired. To which some might respond that mining is in fact yesterday’s economy, best sacrificed for ideological gratification while we refocus on the new-age opportunities of renewables, services and technology.