What's Happening?
During an engagement with the Department of Mineral and Petroleum Resources (DMPR), mining industry representatives raised concerns about electricity costs, permitting challenges, and illegal mining. The meeting, held at the Council for Scientific and Industrial Research, focused on illegal mining and industry transformation. Issues such as illegal sand mining and the need for better regulation were discussed. The DMPR emphasized the importance of registering all sand mining operations and highlighted the role of law enforcement in tackling illegal activities. Additionally, challenges in the ferroalloy and ferrochrome sectors, including outdated smelting technology and high electricity costs, were addressed.
Why It's Important?
The mining industry is a significant contributor to the economy, and addressing challenges such as illegal mining and high electricity costs is crucial for its sustainability. Illegal mining poses risks to safety and undermines legal operations, while high electricity costs affect competitiveness. The engagement with DMPR aims to find solutions to these issues, potentially leading to policy changes that could benefit the industry and enhance economic growth.
What's Next?
The DMPR is reviewing the Mineral and Petroleum Resources Development Act to increase penalties for illegal mining. Discussions are ongoing to develop new models for the ferroalloy and ferrochrome sectors, including potential subsidies for transitioning to efficient technologies. Collaboration with other departments and institutions may lead to improved monitoring and enforcement of mining activities.
Beyond the Headlines
The engagement highlights the need for sustainable practices in the mining industry, including the development of artisanal and small-scale mining. The use of technology, such as remote sensing, could improve monitoring and enforcement, reducing illegal activities and enhancing safety.
