Community

The reality of our business is finite ore reserves, the certainty of mine closure and the possible adverse social, economic and environmental effects associated with mine closure. Platinum mining has attracted large populations to mining operations in anticipation of employment opportunities. In line with national statistics, the GLC has a 40% unemployment rate, HIV infection rates of 23% and dwellings are characterised by the lack of basic services, such as water and electricity.

The business case for empowering the GLC, our host communities and improving their quality of life is straightforward. We cannot succeed in societies that fail. To this end, we continue to endeavour to contribute to our communities’ long-term economic development and promote the beneficiation of our minerals – in this way, we can retain our license to operate, innovate and grow. Additionally, stakeholder engagement improves company-community relations, and guides the Company when taking decisions that affect the community. Risks associated with poor community relations and ineffective community development may have far-reaching implications for the success of the Company.

Our Charter states that we are successful when our communities value our relationships. Our Safety and Sustainable Development Policy spells out our commitments to community engagement and community development. We are committed to empowering our host communities and improving their quality of life by contributing to their long-term social, economic and institutional development and promoting the beneficiation of our minerals as well as maintaining transparent and ongoing consultative relationships with all stakeholders.

As a member of the ICMM, we support their Position Paper Statement on Mining and Indigenous People. Our CEO is directly accountable for these commitments relating to community development and community relations and is supported by the Executive Vice President Human Capital and External Affairs. Our community initiatives in terms of development and engagement are focused on the GLC, a term describing the communities within a fifteen-kilometre radius of our operations. Additionally our community development initiatives are also focused on our labour sending areas of the Eastern Cape Province.

Our approach

Community impact assessment

Before the commencement of mining, independent social impact assessments, which are part of the authorisation process, determine socio-economic conditions and the potential impacts, both negative and positive, which operations may have on the communities. In addition, as part of the mining licenses granted in terms of the Minerals and Petroleum Resources Development Act 28 of 2002, possible socio-economic development projects within the communities are identified in the Social and Labour Plans. These are integral to the mining license approval process. These projects are aligned with and support the integrated development plans of local government. The impacts and effectiveness of projects are monitored throughout the life of mine, as part of the specific project execution, baseline assessments and community perception surveys. Prior to mine closure, further social impact assessments consider the impact of withdrawing operations on the community. As part of this impact assessment, management plans are identified and executed to minimise impacts on communities.

Community engagement

The key objectives for community engagement are to understand community concerns and guide expectations; plan and manage community development projects; and encourage community self-reliance, governance and skills development. Over the past couple of years we have learnt through our annual perception surveys that our approach to community engagement often lacked inclusiveness and structure. In response, we initiated the engagement process, termed Lentswe (meaning “Voice”) in 2008, which is now focused on monthly GLC area meetings and quarterly Rekopane Development Forum meetings, which include community members, local government institutions, tribal authorities and where required industry peers as well as specialist partners. We are committed to involving communities in decisions that affect them. Incidents relating to communities are channelled through our Human Capital and External Affairs Department to the respective departments where they are addressed in direct consultation with applicable community members. We also have a formal complaints register that is easily accessible with the option to remain anonymous. The Rekopane Development Forum also provides a platform for community complaints to be raised and subsequently addressed by the Company. Our engagement is focused on issues which are perceived as material to the communities and the impacts which our operations have on the communities where we operate.

Community resettlement

Our community policies comply with the World Bank Operational Directives on Resettlement of Indigenous Peoples and Cultural Property, which provides guidelines to minimise and mitigate adverse social and economic impacts of operations on indigenous people.

Community land claims

We have a number of land claims lodged against the Company in terms of the Restitution of Land Rights Act 22 of 1994, mostly by the communities within the region where we operate. Discussions are being held in this regard with the Land Claims Commission of South Africa in order to resolve these claims. Mechanisms for resolving disputes or grievances in this regard are managed through the legislative framework of the Land Claims Commission and Land Claims Court on a regional basis.

Community development

Since 2006, we have focused our community development programmes on the commitments outlined in the Social and Labour Plans for Marikana. Our key focus areas are infrastructure development, educational support, health support and local business development, including commercial agriculture. These projects have been selected and developed in close collaboration with local authorities and government to ensure that we complement local development plans. We have a number of training programmes in place that affords the community with the opportunity to enhance their skills and knowledge. These training programmes encompass diversity training, ABET and project specific training, including school governance training and knowledge shared as part of the eco-schools curriculum.