Law enforcement in the South African Gold Mining sector : the nexus between company, environmental and equity law

Abstract

Although the mining industry contributed to the development of the country by providing infrastructure and employment, it left a negative impact on the environment. To this end, various pieces of law were promulgated to limit environmental damage and hold those who pollute (Mining Companies / licensees) accountable. This research focused on two study sites namely Blyvooruitzicht and Grootvlei gold mines. Both mines underwent forced mine closure and their environmental liabilities remained unresolved. This study focused on important laws governing the South African gold mining sector, to form an understanding of these laws and to establish if these laws protect the environment sufficiently or not. The study included an overview of the current relevant legislative framework regarding mines, with the aim of identifying if there were gaps between Mining law, Company law, B-BBEE law (Equity Law) and Environmental law. This included an exploration of the interrelationships between the various pieces of legislation and the challenges relating to compliance and enforcement of these mentioned laws. Further to this, the research study investigated the requirements and responsibilities of the South African State, and directors of mining companies. The finding was that South African law with respect to mining companies needs minor adjustments, but the crux of the problem is a lack of effective implementation and enforcement by the State. There is ineffective administration of environmental quality control by the various designated National Government Departments. Recommendations made include the need for clear monitoring of compliance and enforcement of the environmental regulatory framework if there is to be successful mine closure in South Africa. In addition, the South African State Government could consider incentivizing compliance, that is, reward mining companies who uphold environmental law. Further to this the thesis suggest the elimination of any contradictions between the various legislations within the mining industry and stipulates that legislation must be read in conjunction with one-another if a robust legislative framework is to exist.