New DG paves way for complete capture of mineral resources

The DA is unimpressed by the appointment of Thabo Mokoena as Director General of the Department of Mineral Resources.

Minister Mosebenzi Zwane has continued the estrangement of his department from the mining industry by making the appointment without consultation.

But this is not the biggest problem. In appointing Mokoena, he has appointed somebody with no visible mining experience and no experience of commerce of any kind.

Mokoena comes from the position of head of the administration of the Free State legislature. He has a reputation as a mild-mannered man who will not make waves. There are indications his redeployment has something to do with making his former position available to a favourite of the province’s ruling clique.

The mining industry is in crisis. Declining investment and shrinking job numbers require different strategies. Instead the ANC is merely doubling down on those it has tried and have not worked. The last thing the DMR needs is a rubber stamp at its head.

Minister Zwane came to the Ministry with no record in mining. He has elevated his crony, Seipati Dlamini, also with no mining experience, to the position of Deputy Director General in charge of the issuing of mining licences. After this was exposed it was claimed her appointment was temporary but the department has refused to say when a permanent appointment will be made.

Now the key position of Director General has been given to another newcomer to mining.

We conclude from this that the viability of the mining industry as a provider of state revenue and jobs is not seen as important by the ANC. Instead, it is deploying people who will not stand in the way of the capture of resources by cronies of the ruling faction of the ANC.

This has been noticed by mining investors who’s view of South Africa as a destination for investment continues to worsen. As with so many other actions by the ANC, the results will be measured in the loss of value, income and jobs.

Statement issued by James Lorimer MP, DA Shadow Minister of Mineral Resources, 3 March 2017