Appendix E11: Social - Kongiwe · Dedicoal (Pty) Ltd (Dedicoal) proposes to develop a new coal mine...

Appendix E11: Social

SOCIAL IMPACT ASSESSMENT

Project: Lephalale Coal and Power Project (LCPP)

Report Title: Social Impact Assessment

DMR Reference No:

Client: Dedicoal / KONGIWE Environmental (Pty)

Project No:

Compilation Date:

Status of Report: Submitted

Actions:

Report Compiler: Pam Taylor

Report Approved:

Social Impact Assessment July 2017

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Table of Contents

1. INTRODUCTION ........................................................................................................................... 1

1.1 BACKGROUND ........................................................................................................................... 1

2. LEGAL REQUIREMENTS ................................................................................................................. 3

3. APPROACH AND METHODOLOGY ................................................................................................. 5

3.1 Approach ................................................................................................................................... 5

3.2 Methodology ............................................................................................................................. 7

3.2.1 Site Visit ....................................................................................................................................... 7

3.2.2 Scoping of Assessment ................................................................................................................ 7

3.2.3 Baseline data review and analysis ............................................................................................... 7

3.2.4 Profiling ........................................................................................................................................ 8

3.2.5 Consultation ................................................................................................................................ 8

3.2.6 Significance criteria...................................................................................................................... 8

3.3 Gaps, Limitations and Assumptions ......................................................................................... 10

4. DESCRIPTION OF THE PROPOSED PROJECT .................................................................................. 11

5. FINDINGS FROM PREVIOUS STUDIES .......................................................................................... 14

5.1 Definition of SIA ....................................................................................................................... 14

6. PURPOSE OF THIS REPORT.......................................................................................................... 14

7. BASELINE DESCRIPTION OF RECEIVING ENVIRONMENT ............................................................... 15

7.1 Limpopo Province and Waterberg District Municipality ......................................................... 16

7.2 Lephalale Local Municipality ................................................................................................... 16

7.3 Settlement Patterns and Land Use .......................................................................................... 18

7.4 Local Population ...................................................................................................................... 22

7.5 Socio-economic Environment ................................................................................................. 24

7.5.1 Labour Market ........................................................................................................................... 24

7.5.2 Employment Sectors .................................................................................................................. 25


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7.5.3 Income Levels ............................................................................................................................ 25

7.5.4 Poverty and Vulnerable Communities ....................................................................................... 27

7.6 Educational levels .................................................................................................................... 27

7.7 Basic Services ........................................................................................................................... 28

7.7.1 Water and Sanitation................................................................................................................. 29

7.7.2 Electricity ................................................................................................................................... 30

7.7.3 Public Transport and Transport Infrastructure ......................................................................... 31

7.8 Housing .................................................................................................................................... 31

7.9 Community Health .................................................................................................................. 32

7.10 Profile of Local Economy ......................................................................................................... 32

7.11 Tourism .................................................................................................................................... 34

8. IMPACT PREDICTION AND EVALUATION ..................................................................................... 35

8.1 Average household income and educational attainment ....................................................... 35

8.2 Change in unemployment ....................................................................................................... 36

8.3 Inflow of Job seekers and Workforce ...................................................................................... 37

8.4 Economic Impact ..................................................................................................................... 39

8.5 Poverty Alleviation and Socio-Economic Development .......................................................... 40

8.6 Impact on Daily Living and Movement Patterns ..................................................................... 41

8.7 Residential Proximity ............................................................................................................... 42

8.8 Impacts on Agricultural and Tourism Activities ....................................................................... 43

8.9 Safety and Security Related Impacts ....................................................................................... 47

8.10 Health Related Impacts ........................................................................................................... 48

8.10.1 Social Determinants of Health ................................................................................................... 49

8.10.2 Incidents, Accidents and Injuries ............................................................................................... 49

8.10.3 Exposure to Hazardous Material ............................................................................................... 49

8.10.4 Food, Nutrition and Subsistence ............................................................................................... 50

8.10.5 Burden of Disease ...................................................................................................................... 50

9. IMPACT ASSESSMENT AND MITIGATION MEASURE ..................................................................... 51


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10. DECOMMISSIONING AND CLOSURE ............................................................................................ 55

11. CONCLUDING REMARKS ............................................................................................................. 60

12. EXPERTISE OF SPECIALIST ........................................................................................................... 62

13. REFERENCES .............................................................................................................................. 63

List of Tables

Table 1: List of Prospecting Rights and Land Owners .......................................................................................... 2

Table 2: Significance Rating Methodology .......................................................................................................... 9

Table 3: Spatial Classification of Population in the LLM .................................................................................... 18

Table 4: Land-owners within the Mining Footprint ........................................................................................... 19

Table 5: Land-Owners within MRA .................................................................................................................... 20

Table 6: Land-owners adjacent to MRA Farms ................................................................................................. 20

Table 7: Lephalale Local Municipality Valuation Roll (1 July 2013 to 30 June 2017) ........................................ 22

Table 8: Spatial classification of population ...................................................................................................... 23

Table 9: Population and Household Size ........................................................................................................... 23

Table 10: Lephalale Population Projections 2001 - 2030 .................................................................................. 24

Table 11: Number and Category of Education Facilities ................................................................................... 28

Table 12: Economic Growth Rate ...................................................................................................................... 33

Table 13: Gross Value Added per sector in Lephalale ....................................................................................... 34

Table 14: Tourist Accommodation Facilities in LLM .......................................................................................... 35

Table 15: Farmers and Landowners raised the following issues during the Public Participation process ........ 44


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List of Figures

Figure 1: Lephalale Town and the Proposed LCPP Site ....................................................................................... 2

Figure 2: Gender Distribution 1996 – 2011 (Source StatsSa as quoted by HAD) .............................................. 24

Figure 3: Highest Level of Education 2011 ........................................................................................................ 27

Figure 4: Level of Education for Individuals between the ages of 20 and 64 .................................................... 28

Figure 5: Residents access to piped water 2011 ............................................................................................... 29

Figure 6: Access to Sanitation 2011 ................................................................................................................... 30

Figure 7: Access to electricity for lighting purposes .......................................................................................... 31

Figure 8: Economic Distribution ........................................................................................................................ 32

Figure 9: Location of the proposed LCPP and settlements and farms .............................................................. 42

Figure 10: Farms and Associated Prospecting Rights ........................................................................................ 44


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1. Introduction

KONGIWE Environmental (Pty) is appointed to undertake the Social Impact Assessment (SIA) for the project

known as the Lephalale Coal and Power Project (LCPP). The operation is located on the eastern margin of the

Waterberg Coalfield in the Lephalale area of Limpopo Province, Republic of South Africa. As defined in the

Pre-Feasibility study, the project represents a potentially large scale multi-product open-pit coal and power

project that comprises twelve adjacent tenements that make up Prospecting Rights (PR) 1359PR and

1046(PR). The LCPP is estimated to produce approximately 6 million tonnes per annum (Mt/a) of run-of-

mine coal (ROM) over a total mine life of greater than 35 years. The proposed development is being pursued

by Dedicoal on behalf of Lephalale Coal Mines (Pty) Ltd (LCM) (the ‘Project Company’)

Digby Wells was commissioned in 2013 to undertake an environmental Fatal Flaw Analysis as well as Social

and Groundwater Screening Assessments for the proposed development. Findings and recommendations

from this report were considered, and where necessary, reviewed in the Pre-Feasibility study undertaken by

RoyalHaskoningDHV (RHDHV) in 2016. This SIA report considers recommendations and findings from both

the above-mentioned studies and presents the analysis of socio-economic impacts that can be expected

from the proposed development. The report also considers possible risks and impacts to community health,

safety and security because of the proposed development.

The SIA and Community Health Impact Assessment (HIA) provide a baseline description of settlements and

communities living in close proximity to the proposed development. A rapid health impact assessment was

conducted using existing data. The potential impacts are identified and assessed using the agreed

assessment methodology. Mitigation measures are suggested, proposing a course of action with greatest

‘net benefit for society’(Barbour, 2007) .

1.1 BACKGROUND

Dedicoal (Pty) Ltd (Dedicoal) proposes to develop a new coal mine and energy project in the Waterberg

Coalfield, 22km northeast of the town of Lephalale, Limpopo Province, Republic of South Africa. The

proposed Project is to consist of an open pit coal mine and, at a later stage, an Independent Power Producer

(IPP) plant. A Pre-Feasibility Study (PFS) for the project has been conducted by RoyalHaskoningDHV and

indications from the PFS are that this is an economically viable project.

The project, known as the Lephalale Coal and Power Project (“LCPP” or the “Project”), is a greenfields coal

mining project estimated to produce approximately 6 million tonnes per annum (Mt/a) of run-of-mine coal

(“ROM”) over a total mine life that will exceed 30 years. Although it is the intention that the Project will

include an Independent Power Plant (IPP), the initial Scope of Work involves only the Mining Right

Application (MRA) as Phase 1, with the IPP authorisations to follow as Phase 2.

The project is located in the Waterberg Coalfields, approximately 20km northeast of the municipal centre of

Lephalale Town and approximately 40km south of the South African border with Botswana. The project falls

within the jurisdiction of the Lephalale Local Municipality (LLM) in the northwest of the Waterberg District

Municipality (WDM) of Limpopo Province, South Africa. The WDM also includes the Blouberg, Modimolle,


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Mogalakwena, Bela-Bela and Thabazimbi local municipalities. Lephalale LM is the largest municipality in the

province and consists of 12 wards. Most settlements in these wards are lower-income settlements of rural

nature, with the notable exception of the towns of Lephalale, Overwacht and Marapong. The proposed

project is located in Ward 3 & 5 of the LLM.

Lephalale town is linked with Thabazimbi and Vaalwater to the south via routes R510 and R33, and with

Mokopane to the south-east via route R518. The town is linked to Stockpoort and Groblersbrug border posts

to Botswana via routes R510 and R572/ N11 freeway respectively.

Figure 1: Lephalale Town and the Proposed LCPP Site

Lephalale Coal Mine (Pty) Ltd (LCM), although it is not the freehold owner of any of the relevant properties,

is the holder of Prospecting Rights (PRs) granted in terms of the provisions of the Mineral and Petroleum

Resources Development Act, 2002 (Act No 28 of 2002) (MPRDA). The PRs were originally granted to

Thandululo Coal Mining (Pty) Limited and duly ceded in terms of the provisions of Section 11 of the MPRDA

to LCM. Details of the PRs are set out in Error! Reference source not found.1 below.

Table 1: List of Prospecting Rights and Land Owners

Farm Prospecting Right Land Owner

Honingshade 427 LQ LP 30/5/1/1/2/1359PR Robbertse Besigheidstrust

Garibaldi 480 LQ Garibaldi Boerdery CC

Pretoria 483 LQ Philippus Johannes &

Johanna Petronella Jacobs

Wellington 432 LQ Marthinus Phillipus van Staden

Forfarshire 419 LQ Johanna Catarina Nortje

Stutgard 420 LQ Stutgard Boerdery CC

Billiards 428 LQ CID Prop Inv CC &

Johannes Albertus Beukes

Franschhoek 207 LQ Turquoise Moon Trading 167 Pty Ltd


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Farm Prospecting Right Land Owner

Grootgenoeg 426 LQ LP 30/5/1/1/2/1046PR Langriem Boerdery CC &

Cornelis Jacobus Alant

Weltevreden 482 LQ EBS Boerdery Beleggings Pty Ltd &

Meromi Beleggings Pty Ltd

Sebright 205 LQ Handak Eiendomme CC,

Turquoise Moon Trading 167 Pty Ltd &

George Sebastian Geringer

Botmansdrift 423 LQ Madjimoto Boerdery CC

2. Legal Requirements

Within the South African context, this Social Impact Assessment was undertaken in compliance with the

following legal requirements and guidelines.

Constitution of the Republic of South Africa (Act 108 of 1996)

Chapter 2, the Bill of Rights, enshrines the rights of all people in the country and affirms the democratic

values of human dignity, equality and freedom. These rights represent the cornerstone of democracy in

South Africa. Some of the key rights that have bearing on social rights are mentioned below.

• Human Dignity: Everyone has inherent dignity and the right to have their dignity respected and

protected.

• Equality: Everyone is equal before the law and has the right to equal protection and benefit from the

law.

• Environment: Everyone has the right to an environment that is not harmful to their health or

wellbeing, and to have the environment protected for the benefit of present and future generations,

through reasonable legislative and other measures that prevent pollution and ecological

degradation, promote conservation and secure ecologically sustainable development and the use of

natural resources, while promoting justifiable economic and social development.

• Property: No person may be deprived of property except in terms of the law of general application,

and no law may permit arbitrary deprivation of property. Property may be expropriated only in

terms of the law of general application for a public purpose or in the public interest. The public

interest includes South Africa’s commitment to land reform and to reforms to bring about equitable

access to all South Africa’s natural resources. Property is not limited to land;


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• Health care, food, water and social security: Everyone has the right to have access to health care

services, including reproductive health care, sufficient food and water and social security, including,

if they are unable to support themselves and their dependents, appropriate social assistance;

• Language and culture: Everyone has the right to use the language and participate in the cultural life

of their choice, but no one exercising these rights may do so in a manner inconsistent with any

provision of the Bill of Rights.

• Access to information: Everyone has the right of access to any information held by the state and any

information that is held by another person and that is required for the exercise or protection of any

rights; and

National Environmental Management Act (Act 107 of 1998)

The following NEMA principles have an important bearing on social issues:

• Environmental management must place people and their needs at the forefront of its concern, and

serve their physical, psychological, developmental, cultural and social interests equitably;

• Development must be socially, environmentally and economically sustainable;

• Environmental management must be integrated, acknowledging that all elements of the

environment are linked and interrelated, and it must take into account the effects of decisions on all

aspects of the environment and all people in the environment by pursuing the selection of the best

practicable environmental option;

• Environmental justice must be pursued so that adverse environmental impacts shall not be

distributed in such a manner as to unfairly discriminate against any person, particularly vulnerable

and disadvantaged persons;

• Equitable access to environmental resources, benefits and services to meet basic human needs and

ensure human well-being must be pursued and special measures may be taken to ensure access

thereto by categories of persons disadvantaged by unfair discrimination;

• The participation of all interested and affected parties in environmental governance must be

promoted, and all people must have the opportunity to develop the understanding, skills and

capacity necessary for achieving equitable and effective participation, and participation by

vulnerable and disadvantaged persons must be ensured;

• Decisions must take into account the interests, needs and values of all interested and affected

parties, and this includes recognising all forms of knowledge, including traditional and ordinary

knowledge;

• Community well-being and empowerment must be promoted through environmental education, the


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raising of environmental awareness, the sharing of knowledge and experience and other appropriate

means;

• The social, economic and environmental impacts of activities, including disadvantages and benefits,

must be considered, assessed and evaluated, and decisions must be appropriate in light of such

consideration and assessment;

• The right of workers to refuse work that is harmful to human health or the environment and to be

informed of dangers must be respected and protected;

• Decisions must be taken in an open and transparent manner, and access to information must be

provided in accordance with the law;

• The environment is held in public trust for the people. The beneficial use of environmental resources

must serve the public interest and the environment must be protected as the peoples’ common

heritage; and,

• The vital role of women and youth in environmental management and development must be

recognised and their full participation therein must be promoted.

The NEMA Protected Areas Act (Act 57 of 2003)

The main aim of the Act is to protect and ensure sustainable decision making for the environment. According

to the 2010 regulations there are specific regulations for compilation of specialist report. The SIA has been

undertaken in compliance with these regulations.

The International Finance Corporation Performance Standards

Environmental and Social Assessment and Management System; Labour and Working Conditions; Pollution

Prevention and Abatement; Community Health, Safety and Security; Land Acquisition and Involuntary

Resettlement; Biodiversity Conservation and Sustainable Natural Resource Management–Protection of

Indigenous Peoples; and Cultural Heritage.

3. Approach and Methodology

3.1 Approach

When considering social impacts it is important to recognise that social change is a natural and on-going

process. However, it is also important to know and understand that proposed projects implemented by

government departments and or private institutions have the potential to influence and alter both the rate

and direction of social change (Barbour, 2007)


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The approach adopted in assessing, understanding and analysing social change has given consideration to

the following aspects also applicable to the South African and Developmental Local Government context.

Aspect Definition

Principles of sustainable development and

social sustainability

Sustainable development reflects a process that

meets the needs of the present without

compromising the ability of future generations

to meet their own needs.

The concept of "social sustainability" in this

approach includes such aspects as: social equity,

liveability, health equity, community

development, social capital, social support,

human rights, labour rights, placemaking, social

responsibility, social justice, cultural

competence, community resilience, and human

adaptation.

Vulnerable groups Vulnerability as defined by WHO (2002) is the

degree to which a population, individual or

organisation is unable to anticipate, cope with,

resist and recover from the impacts of disasters.

Children, pregnant women, elderly people,

malnourished people, and people who are ill or

immunocompromised, are particularly

vulnerable when a disaster strikes, and take a

relatively high share of the disease burden

associated with emergencies. Poverty – and its

common consequences such as malnutrition,

homelessness, poor housing and destitution – is

a major contributor to vulnerability.

Meeting basic needs and services In line with the 2030 Agenda for Sustainable

Development

Livelihood strategies Livelihood is defined as a set of activities,

involving securing water, food, fodder, medicine,

shelter, clothing and the capacity to acquire

above necessities working either individually or

as a group by using endowments (both human

and material) for meeting the requirements of

the self and his/her household on a sustainable

basis with dignity.


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Aspect Definition

Fairness and equity Fairness is defined as the quality of having an

unbiased disposition. It is the characteristic of

being just to everyone, of treating them without

discrimination or partiality. It is the absence of

prejudice.

“Equality” is defined as the quality of being the

same in quantity, value, or status. It is the state

of having a balanced social, economic, and

political standing among individuals in a society

despite differences in race, religion, sex, social

and economic status, and culture. It refers to

providing every individual the same

opportunities to improve his rank or condition in

life without expecting that the results would also

be equal.

Social justice The fair and proper administration of laws

conforming to the natural law that all persons,

irrespective of ethnic origin, gender, possessions,

race, religion, etc., are to be treated equally and

without prejudice.

3.2 Methodology

The methodology followed in undertaking the SIA is described below.

3.2.1 Site Visit

On 24 April 2017 the consultant undertook a site visit, with the aim to familiarise themselves with the site

and possibly affected areas. The consultant also wanted to obtain an overview of the social characteristics of

the study area and the social setting of the proposed mine development.

3.2.2 Scoping of Assessment

Based on information received from Royal Haskoning DHV and Digby Wells, the scope of the assessment was

determined. A rapid impact assessment was decided upon focusing on a desktop study.

3.2.3 Baseline data review and analysis

The review of existing data assisted the consultant in confirming the social setting and characteristics of the

study area, as well as the key economic activities. Data studied included information from the Provincial,

District and Local Municipalities Strategic Planning Documents such as their Provincial Growth and


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Development Strategy (PGDS), Limpopo Employment, Growth and Development Plan (LEGDP), Spatial

Development Framework (SDF) and Integrated Development Plan (IDP) and other Sector Plans. Articles

pertaining to coal mining and tourism within the South African context were also considered.

3.2.4 Profiling

Profiling involves a description of the social characteristics and history of the area being assessed, an analysis

of demographic data, of changes in the local population, and of the land-use pattern in the study area, as

well as of other significant developments in the area and thus in its social character over time. Such

information could include:

• Historical background;

• Social characteristics;

• Culture, attitudes and socio-psychological conditions;

• Population characteristics;

• Community and institutional structures;

• Community resources; and

• Broad economic impacts

3.2.5 Consultation

A scoping level site visit followed the baseline desktop study where interviews were conducted with key

local government and community stakeholders. Feedback and issues raised at the public participation

meeting were also considered as part of the research in preparing the SIA. Additional one on one

communications helped to verify issues raised and identified during the site visit and the public participation

process.

3.2.6 Significance criteria

The significance rating process is defined by Kongiwe below and serves two purposes: firstly, it helps to

highlight the critical impacts which require consideration in the management and approval process;

secondly, it also shows the primary impact characteristics associated with the identified mining activity that

are used to evaluate impact significance.

The impact significance rating system is presented in the tables below and involves three parts:

Part A: Define impact consequence using the three primary impact characteristics of magnitude, spatial

scale/ population and duration;

Part B: Use the matrix to determine a rating for impact consequence based on the definitions identified in

Part A; and


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Part C: Use the matrix to determine the impact significance rating, which is a function of the impact

consequence rating (from Part B) and the probability of occurrence.

Table 2: Significance Rating Methodology

PART A: DEFINING CONSEQUENCE IN TERMS OF MAGNITUDE, DURATION AND SPATIAL SCALEUse these

definitions to define the consequence in Part B

Impact characteristics Definition Criteria

MAGNITUDE

Major -

Substantial deterioration or harm to receptors; receiving

environment has an inherent value to stakeholders;

receptors of impact are of conservation importance; or

identified threshold often exceeded

Moderate -

Moderate/measurable deterioration or harm to receptors;

receiving environment moderately sensitive; or identified

threshold occasionally exceeded

Minor -

Minor deterioration (nuisance or minor deterioration) or

harm to receptors; change to receiving environment not

measurable; or identified threshold never exceeded

Minor + Minor improvement; change not measurable; or threshold

never exceeded

Moderate + Moderate improvement; within or better than the

threshold; or no observed reaction

Major + Substantial improvement; within or better than the

threshold; or favourable publicity

SPATIAL SCALE OR

POPULATION

Site or local Site specific or confined to the immediate project area

Regional May be defined in various ways, e.g. cadastral, catchment,

topographic

National/

International Nationally or beyond

DURATION

Short term Up to 18 months.

Medium term 18 months to 5 years

Long term Longer than 5 years


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PART B: DETERMINING CONSEQUENCE RATING Rate consequence based on definition of magnitude,

spatial extent and duration (Part A)

SPATIAL SCALE/ POPULATION

Site or Local Regional National/

International

MAGNITUDE

Minor DURATION

Long term Medium Medium High

Medium term Low Low Medium

Short term Low Low Medium

Moderate DURATION

Long term Medium High High

Medium term Medium Medium High

Short term Low Medium Medium

Major DURATION

Long term High High High

Medium term Medium Medium High

Short term Medium Medium High

PART C: DETERMINING SIGNIFICANCE RATING Rate significance based on consequence and probability

CONSEQUENCE

Low Medium High

PROBABILITY (of exposure

to impacts)

Definite Medium Medium High

Possible Low Medium High

Unlikely Low Low Medium

3.3 Gaps, Limitations and Assumptions

The following gaps, limitation and assumptions are identified in undertaking this Social Impact Assessment.

• A SIA aims to identify possible social impacts that could occur in future. These impacts are based on

existing baseline information. There is thus always an uncertainty with regards to the anticipated

impact actually occurring, as well as the intensity thereof. Impact predictions have been made as

accurately as possible based on the information available at the time of the study.

• The SIA relied on the information received during the information collection process.. Sources

consulted are not exhaustive and additional information can still come to the fore to influence the


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contents, findings, ratings and conclusions made, as the public participation process for the project

should still commence.

• The baseline assessment has been done using available data obtained from municipal sources such as;

Draft Spatial Development Framework, Integrated Development Plans (IDP’s), Provincial Strategic Plans

(Agriculture and Environment), provincial and municipal websites and National Health Information

System.

• Additional information may become known or available during a later stage, which could not have been

allowed for at the time of the study.

• Individuals view possible social impacts differently due to their association with the anticipated impact.

Impacts could therefore be perceived and rated differently than those contained in the SIA Report

depending on the source. Further public participation can be used to refine findings.

• Recommendations and impact assessments from specialist study areas (Air Quality, Water and Bio-

diversity) have been incorporated in identifying the socio-economic and community health impacts.

4. Description of the Proposed Project

The LCPP resource is proposed to be mined using the open pit strip mining method as the initial box cut lies

close to the surface (~11 metres (m) depth). The pit will extend to a maximum depth of 68 m, and there will

be a low strip ratio and low dip ~2 degrees. This mining system is considered standard for coal with similar

stratigraphy, is well understood in southern Africa, and is suitable for large near-surface coal deposits found

in the Waterberg coal basin.

Consideration was given to the surface mining techniques and equipment to be employed. The PFS

recommends the use of hydraulic excavators combined with appropriately matched mining trucks for both

overburden, interburden and ROM production, coupled with complementary ancillary mining equipment.

Extraction Methodology

Informed by the Options Study (OS), the selection process determined that electric rope shovels, surface

miners, highwall mining and dragline operations could be ruled out based on the principle of either non-

adaptability, over production, higher capital expenditure (Capex)/operational expenditure (Opex) or

operational impracticalities. Accordingly, the selected extraction method has been identified as standard

truck and shovel, whereby power shovels or loaders load coal into haul trucks for transportation to the

beneficiation plant.

Mining Operation

It was determined, through the OS, that the mining operation outlined below will make best use of the coal

resource whilst simultaneously achieving efficient production and acceptable productivity levels:

• The area to be mined will be cleared of vegetation and the topsoil will be stripped from the waste


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dump, discard dump and initial box cut areas and stockpiled appropriately for later use during

rehabilitation;

• Appropriate berms and/or ditching will be applied around the perimeter of the excavations and soil

removalareas;

• Overburden from the initial box cut will be removed by a combination of hydraulic digging, ripping

and drill and blast as required;

• The overburden will be hauled to an aboveground waste dump;

• Once the waste dump has reached maximum capacity and there is sufficient mined-out volume in

the open pits, the waste will be hauled to an adjacent mined-out void. Whenever possible

preference will be given to backfilling;

• Once the overburden has been stripped to expose the coal mining horizons, the area will be

excavated using power shovels with drill and blast as appropriate and loaded onto haul trucks using

excavators;

• The haul trucks will then transport the ROM coal to the ROM pad at the coal handling and processing

plant (CHPP) for washing/ beneficiation; and

• Discard from the CHPP will be removed by haul truck and either taken to the dedicated discard

dump or placed back into the mining void as backfill.

Operational Mine Area

The extraction areas will be contained in two separate mining pits, namely: Pit 1 (North) and Pit 2 (South). A

waste storage area will be located in the south-east corner of the Honingshade property which will be

utilised for the initial excavation cuts. The waste from the CHPP will be placed on the designated residue

stockpile. (Detailed layout is provided in the Scoping Report).

Social Impact Assessment June 2017

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5. Findings from Previous Studies

Issues identified (Pre-feasibility Study (PFS) & Digby Wells Fatal Flaw Assessment (FFA))

Preliminary impacts (FFA)

• Expectation of benefits equating to current mining initiatives in the area

• Demand for employment

• Resettlement of farm workers

• Opposition to the project

• Pressure on municipal services

Preliminary benefits (FFA)

• Area ear-marked for mining development (project not new activity type)

• Development consistent with spatial planning for area

• Development seen as opportunity for employment

SIA recommendations from FFA, to establish

• Level of representation of Traditional Authorities within LLM

• TA boundaries

• Existing skill base and type of skills among residents within LLM

• Current skills training programmes taking place within LLM and WDM

• Skills development focus of AsgiSA, Jipsa and PGDS

• Number of farm workers resident on impacted farms

• Impact of mining on tourism sector

5.1 Definition of SIA

Social Impact Assessment includes the processes of analysing, monitoring and managing the intended and

unintended social consequences, both positive and negative, of planned interventions (policies, programs,

plans, projects) and any social change processes invoked by those interventions so as to bring about a more

sustainable and equitable biophysical and human environment.1 It therefore assesses how the ways in

which people live, work, play and relate to one another, organise to meet their needs and generally live and

cope as members of society are impacted by the intervention.

1 International Association of Impact Assessment


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6. PURPOSE OF THIS REPORT

The purpose of the SIA is to give a clear description of the receiving environment and to characterise the

socio-economic and community health and safety aspects of the study area so that both positive and

negative impacts on these environments can be identified and their significance determined. This will enable

the authorities, project proponents, individuals, communities and organisations to understand and be able

to identify and anticipate the potential social consequences of the implementation of a proposed policy,

programme, plan or project.

The SIA process should also alert communities and individuals to the proposed project and possible social

impacts, while at the same time allowing them to assess the implications and identify potential alternatives.

The assessment process should also alert proponents and planners to the likelihood and nature of social

impacts and enable them to anticipate and predict these impacts in advance so that the findings and

recommendations of the assessment are incorporated into and inform the planning and decision-making

process.

Given South Africa’s needs, the improvement of social wellbeing (with a particular focus on developmental

objectives such as poverty reduction and job creation) should be assessed as an issue in all SIAs. Within the

South African and developing world context the SIA process should therefore include a commitment to:

• The principles of sustainable development and social sustainability;

• Vulnerable groups;

• Meeting basic needs and services;

• Livelihood strategies;

• Fairness and equity;

• Social justice;

• Openness and participation; and,

• Accountability.

7. BASELINE DESCRIPTION OF RECEIVING ENVIRONMENT

Establishing the baseline conditions is essential for describing the receiving environment, the status quo and

for identifying and predicting potential impacts.

South African legislation and policy states that, a prediction of change can only be as effective as the

baseline information from which it is derived. It is thus important that this study puts the proposed project

in perspective by comparing the current state with the potential future state implicated by the development.


16

This chapter describes the socio-economic characteristics of the receiving environment.

7.1 Limpopo Province and Waterberg District Municipality

Limpopo is the most Northern Province in South Africa and borders Botswana, Zimbabwe and Mozambique.

It has a total surface area of 125,754 km² and a population of 5 405 million (2011). It is known for its

bushveld and wildlife reserves, including part of Kruger National Park.

The province has 5 demarcated District Municipalities, Mopani; Vhembe; Capricorn; Waterberg;

Sekhukhune. The proposed project falls within the Waterberg District Municipality.

Waterberg District Municipality (WDM) is a category C municipality located in the Western part of Limpopo

Province. It is the biggest district in the province making up just more than a third of its geographical area

(44,913 km²). The area is considered one of South Africa’s prime ecotourism destinations.

In their strategic planning documents, WDM recognises the extensive and rich mineral resources located in

the North-Eastern and Western parts of the District. At present mining is the largest and predominant

contributor to the GDP of the Province at 57.5% with a recorded annual growth rate of 13.9% (WDM).

Extensive current and planned mining activities are mainly located in the Lephalale area which has the third

biggest coal reserves in the country. WDM views this as potentially giving the district a competitive

advantage, positioning the area as a continental powerhouse of coal fuelled electricity production.

Limpopo Province aims to be a major contributor to the National Economy by 2030, in ensuring more

inclusive economic growth, decent work and sustainable livelihoods. The development of the coal, energy

and petrochemical cluster would be a major component in achieving this objective. (LEGDP). The challenge

stands for Limpopo’s mining sector as one that needs to ensure that local residents extensively benefit from

the province’s mineral wealth in order to achieve the social and economic development potential that the

sector represents to the province.

7.2 Lephalale Local Municipality

Lephalale Local Municipality is a category B municipality located in the North-Western part of the Waterberg

District. Its North-western border is part of the International Border between South Africa and Botswana. It

is the largest of the 5 municipalities in the District making up a third of its geographical area (13,784 km²).

The Vision of Lephalale Local Municipality is: “To build a vibrant city and be the energy hub of Africa” The

Mission is: “We are committed to rural development, provision of quality, sustainable and affordable

services, financial viability and good governance, local economic development and job creation”. (LLM IDP,

2017)

Lephalale town has been identified by the Limpopo Employment Growth and Development Plan as a

petrochemical cluster and has been recognised as a national development node.


17

The Provincial and District’s distinct acknowledgment of the mining sector’s potential economic contribution

for the region is noted. This is similarly reflected in LLM IDP which identifies the municipality’s key strategic

objectives as;

• Promoting the Coal and Petrochemical Cluster

• Supporting livestock farmers on communal land

• Growing the tourism and recreational industry

• Assisting the informal sector and

• Improving service delivery

Key to the successful development of the mining sector would be; effective transport network; water supply;

service management; electricity provision; and skilled labour supply. (WDM)

The drive for sustainable development is well articulated in the WDM’s Environmental Management

Framework. It describes the region with distinct areas of high and low population, rich and poor mineral

wealth, relatively high to very low rainfall, good to poor access to markets, vast natural areas to derelict

degraded areas, and spectacular landscape features to boring monotony. This context necessitates an

approach that can maximise opportunities and minimise constraints for both conservation and development

in a manner that will over time (30 to 50 years) result in an environment where sustainable development can

start to become a reality instead of remaining an objective (WDM EMF 2012). To help manage programmes

and plans between the different sectors and maintain environmental sustainability, WDM defines 11

environmental management zones as follows:

• Zone 1: Protection of natural vegetation, scenic landscape and rock painting areas with limited

appropriate tourism;

• Zone 2: Nature and cultural tourism focus areas within a high quality natural setting

• Zone 3: Game and cattle farming (including hunting) areas with commercial focus;

• Zone 4: Mining focus areas

• Zone 5: Potential large industrial and related activities focus area

• Zone 6: Restricted mining focus area in aesthetic and / or ecological resource areas

• Zone 7: urbanisation focus areas and nodes

• Zone 8: Rural settlement areas

• Zone 9: Agricultural focus areas with a tourism component

• Zone 10: Agricultural areas with commercial focus and

• Zone 11: Major infrastructure corridors

The project falls within Zone 4 but the potential conflicts and impacts between Zone 1 and Zone 4 priorities

will be considered in the Environmental Impact Assessment Report.


18

7.3 Settlement Patterns and Land Use

The settlements found are a town, townships, villages, informal settlements and farms. Appraisal of the

municipal area indicates a distinct difference in the spatial pattern of development. There are a number of

smaller villages, in a leaner pattern, on the eastern part of the Municipal area without any economic activity.

These settlements are in close proximity of the proposed mine which is located on land currently used for

agricultural, hunting and eco-tourism activities.

Agriculture is a major land use in Lephalale (in terms of geographic area) with 47% of land in the municipal

area consumed. Mining, although a very important economic industry, represents only about 2% of the

surface area of Lephalale. More than 40% of the municipality is currently vacant/undeveloped (HDA

Municipal Profile).

Table 3: Spatial Classification of Population in the LLM

Settlement Classification Number of Units Population (Dec 09)

Lephalale Provincial Growth Point Lephalale, Overact, Marapong 29 000

Thabo Mbeki Municipal Growth Point Thabo Mbeki Township, Witpoort 4 300

Seleka Population Concentration Point 3 Villages 13 200

Setateng Population Concentration Point 3 Villages 15 200

Local Service Points Tom Burke and Marnitz 1 000

Small Rural Villages 31 Villages 33 600

Steenbokpan Informal Settlement 1 1 000

Mmamojela Park Informal Settlement 1 2 000

Farms 600 12 996

Total 112 296

(Source: Lephalale LM IDP 2012/2013)


19

Private ownership is the most prevalent form of land tenure found in Lephalale Municipality. This applies to

Lephalale town, to almost all the local service points and to all farms. Communal land ownership applies to

all population concentration points and to all 38 scattered villages. The total surface area concerned

comprises almost 10% of the municipal surface area. Ownership of communal land is theoretically vested in

the national government, but the land is used by local residents (LLM IDP 2016/2017).

(source: HDA Municipal Profile)

Of LLM’s total population, approximately half of households are located in rural areas.

The residential component of the study area consists mainly of farmsteads, including workers’

accommodation, that are dispersed throughout the area. Lephalale (Ellisras) is located approximately 19km

south-west of the study site, Ga-Shongwane approximately 16 km south-east of the study site and the

Commiphora Eco Park/Estate is located 8km to the west of the study site.

• 8 farms inside the Mining Foot Print

• 10 farms with Mining Rights

• 39 Indirectly affected Land-owners

• 30 locally employed farm labourers

• Population in Ga-Shogoane and Setateng

Table 4: Land-owners within the Mining Footprint

ID Farm Name Portion SG Code Land-Owner

3 PTN 0 HONINGSHADE 427 LQ 427 LQ T0LQ00000000042700000 Robbertse Besigheidstrust


20


6 PTN 0 BOTMANS-DRIFT 423 LQ 423 LQ T0LQ00000000042300000 Madjimoto Boerdery CC

11 PTN 0 GROOTGENOEG 426 LQ 426 LQ T0LQ00000000042600000 Langriem Boerdery CC

12 PTN 1 GROOTGENOEG 426 LQ 426 LQ T0LQ00000000042600001 VOLUVISTA PTY LTD

13 PTN 1 WELTEVREDEN 482 LQ 482 LQ T0LQ00000000048200001 Robbertse Besigheidstrust

14 PTN 0 WELTEVREDEN 482 LQ 482 LQ T0LQ00000000048200000 MEROMI BELEGGINGS PTY

LTD

15 PTN 0 PRETORIA 483 LQ 483 LQ T0LQ00000000048300000 Johannes Philippus Jacobs

17 PTN 0 GARIBALDI 480 LQ 480 LQ T0LQ00000000048000000

Table 5: Land-Owners within MRA


1 PTN 0 FORFARSHIRE 419

LQ 419 LQ T0LQ00000000041900000 Johanna Catarina Nortje

2 PTN 0 STUTGARD 420 LQ 420 LQ T0LQ00000000042000000 Stutgard Boerdery CC

4 PTN 0 BILLIARDS 428 LQ 428 LQ T0LQ00000000042800000 CID Prop Inv CC

5 PTN 1 BILLIARDS 428 LQ 428 LQ T0LQ00000000042800001

7 PTN 1 SEBRIGHT 205 LQ 205 LQ T0LQ00000000020500001 Belongs to check

8 PTN 0 SEBRIGHT 205 LQ 205 LQ T0LQ00000000020500000 Carin Geringer

9 PTN 2 SEBRIGHT 205 LQ 205 LQ T0LQ00000000020500002 Turquoise Moon Trading 167 Pty Ltd

10 PTN 0 FRANSCHHOEK 207

LQ 207 LQ T0LQ00000000020700000 Turquoise Moon Trading 167 Pty Ltd

16 PTN 0 MARSEILLES 496

LQ 483 LQ T0LQ0000000004830000X Dries de Ruder

18 PTN 0 WELLINGTON 432

LQ 432 LQ T0LQ00000000043200000 P T Van Staden Familie Trust

Table 6: Land-owners adjacent to MRA Farms


19 PTN 1 RONDEBOSCHJE 429

LQ T0LQ00000000042900001

20 PTN 2 RONDEBOSCHJE 429

LQ T0LQ00000000042900002 ALANT CORNELIS JACOBUS

21 PTN 0 RONDEBOSCHJE 429 T0LQ00000000042900000 BERGERSBOS BOERDERY CC


21


LQ

22 PTN 1 PENTON VILLA 430 LQ T0LQ00000000043000001 BERGERSBOS BOERDERY CC

23 PTN 0 PENTON VILLA 430 LQ T0LQ00000000043000000 Seriso 639 Pty Ltd

24 PTN 0 MELKBOSCHKRAAL

431 LQ T0LQ00000000043100000 Bosveld Pizzas CC

25 PTN 0 MAHALASELY 435 LQ T0LQ00000000043500000

26 PTN 0 VUCHT 436 LQ T0LQ00000000043600000 DAFFUE LYDIA MAGDALENA

27 PTN 32 VUCHT 436 LQ T0LQ00000000043600032 ERF 288 ELLISRAS PTY LTD



30 PTN 0 UITERSTE 475 LQ T0LQ00000000047500000 UITERSTEVREDEN PTY LTD

31 PTN 1 UIT KYK 476 LQ T0LQ00000000047600001 H & G PRETORIUS FAMILIE TRUST

32 PTN 0 GROOTFONTEIN 478

LQ T0LQ00000000047800000 WATERKLOOF FAMILIE TRUST

33 PTN 0 WOLVENDRAAI 481

LQ T0LQ00000000048100000 H & G PRETORIUS FAMILIE TRUST

34 UNKOWN FARM

35 PTN 0 GOODHOPE 492 LQ T0LQ00000000049200000

36 PTN 0 GELYK 491 LQ T0LQ00000000049100000

37 PTN 0 ROTTERDAM 488 LQ T0LQ00000000048800000 MABULA-MOSIMA COMMUNAL

PROP ASSOC

38 PTN 0 FAURESMITH 487 LQ 0 T0LQ00000000048700000

39 PTN 1 FAURESMITH 487 LQ 1 T0LQ00000000048700001 INGRID LEWIES FAMILIE TRUST

40 PTN 2 ALOMFRAAI 484 LQ 2 T0LQ00000000048400002

41 PTN 1 ALOMFRAAI 484 LQ T0LQ00000000048400001 EBS BOERDERYBELEGGINGS PTY LTD

42 PTN 0 MIDDELBOOMSPUNT

425 LQ T0LQ00000000042500000

43 PTN 0 MARIQUA 424 LQ T0LQ00000000042400000

44

PTN 2

TROMPETTERSFONTEIN 422

LQ

T0LQ00000000042200002 ERF 350 KLARINET EIENDOMME CC

45 PTN 0

TROMPETTERSFONTEIN 422 T0LQ00000000042200000 TARSICORP CC


22


LQ

46 PTN 0 TRENT 209 LQ T0LR00000000020900000 Sold to black farmers

47 PTN 1 PARADYS 209 LQ T0LQ00000000020900001 J S VAN DER MERWE TRUST

48 UNKOWN FARM

49 PTN 0 NIEUWE HOLLAND

206 LQ T0LQ00000000020600000 NIEUWE HOLLAND BOERDERY CC

50 PTN 1 EERSTEVLEY 204 LQ T0LQ00000000020400001

51 PTN 0 EERSTEVLEY 204 LQ T0LQ00000000020400000 The farm is being sold to Jurie Ellis

52 PTN 0 NEWCASTLE 202 LQ T0LQ00000000020200000 IMBERBA RAKIA PROP 2 PTY LTD

53 PTN 0 STELLENBOSCH 203

LQ T0LQ00000000020300000

54 PTN 0 BARBOSA 201 LQ T0LQ00000000020100000 TROSKIE CORNELIS JACOBUS

55 PTN 0 RAMUSIO 418 LQ T0LQ00000000041800000 DAFFUE LYDIA MAGDALENA

56 PTN 1 RAMUSIO 418 LQ T0LQ00000000041800001 DAFFUE JURIE ANTHONIE JOHANNES

57 PTN 0 MONICO 416 LQ T0LQ00000000041600000 PRETORIUS WILLEM HENDRIK

58 PTN 0 BERG-EN-DALEN 417

LQ T0LQ00000000041700000 BERGERSBOS BOERDERY CC

Table 7: Lephalale Local Municipality Valuation Roll (1 July 2013 to 30 June 2017)

Category No. of registered

farms Extent (Ha) Market Value R/Ha

Agriculture Eco / Game / Hunting 1189 895 629,4 5 665 005 000 6 325

Agriculture Business / Agriculture 1168 360 876,0 3 104 290 000 8 602

Mining 21 16 430,6 180 700 000 10 998

Government 132 73 250,7 435 750 000 5 949

7.4 Local Population

LLM has a recorded population of 115 767 in 2011 (StatsSA). The greater concentration of the population

resides in the settlements of Lephalale, Onverwacht and Marapong which are predominantly mining

settlements. Of the 27 328 people residing in these settlements, 13 463 (49%) live in Lephalale Town and

Onverwacht, while the remainder live in Marapong Township. The population is therefore almost equally

divided between the Town and the Township. (LLM CDP).


23

Between 40 and 70km East and North-east of Lephalale are a number of rural tribal settlements situated on

Tribal land. Just under half (45.2%) of LLM’s population resides in these less densely populated rural

settlements. These settlements are without any economic activity (LLM IDP).

Table 8: Spatial classification of population

Settlement Classification Number units Estimated Population

Development Focus

Lephalale Provincial Growth Point

Lephalale, Marapong, Onverwacht and Elisa’s

29 000 SDA’s and PDA identified. Integration between nodes

Setateng Population concentration point

Setateng, Ga-Monyeki, Mmatladi, Witpoort, Thabo Mbeki

17 237 Future residential and business development, Industrial

Ga-Seleka PCP Ga-Seleka, Kauletsi, Monlasedi 12 000 Individual settlement development, nucleus of PCP to be identified

*Small rural villages 31 villages 33 600

*Steenbokpan Informal Settlement

1 1 000

*Mmamojela Park Informal Settlement

1 2 000

Farms Not defined 16 000 Percentage population living on farms

Source: LLM IDP 2012/2013 with the exception of * - taken from Fatal Flaw Assessment

According to official census of 2001 and 2011 the households in Lephalale increased from 20 277 with an

average household size of 3.5 in 2001, to 29 880 households in 2011 reflecting a household size of 3.9.

The recent census indicates a 35.8 % population increase in Lephalale Municipality which is greater than the

increase recorded for other local municipalities in WDM. This influx requires thoroughly planned strategic

intervention by all spheres of government including private sector. (LLM IDP)

Table 9: Population and Household Size

2001 2011

Population 96 102 115 766

No of households 20 277 29 880

Average Household size 3.5 3.9

(Source: StatsSa)


24

Figure 2: Gender Distribution 1996 – 2011 (Source StatsSa as quoted by HAD)

According to the census 2011 information, young people in the age group of 15-34 represent majority of the

total population within the Municipal area at 43.4%. From the same source, compared to a female

dominance of 54% for the whole Limpopo Province, Lephalale Municipality, has a male dominance of more

than 54%. This phenomenon would be typical for a mining town where male population exceeds that of

female population.

Table 10: Lephalale Population Projections 2001 - 2030

A continued high influx into Lephalale is anticipated by LLM Planning Directorate. The above table also

indicates a trend of migration out of rural areas towards urban ones.

7.5 Socio-economic Environment

7.5.1 Labour Market

The employment profiles within the WDM and Lephalale Local Municipalities as given in LLM’s Spatial

Development Framework are as follows:

Indicators South Africa Limpopo Waterberg DM Lephalale LM

Working-age population

32 011 442 3 288 076 403 773 55 544


25

Indicators South Africa Limpopo Waterberg DM Lephalale LM

Non-economically active

15 754 899 2 125 961 219 028 34 173

Labour force 16 256 543 1 162 115 184 744 21 371

Employed 12 041 486 798 252 147 065 16 341

Unemployed 4 215 057 363 863 37 679 5 030

Unemployment rate

25.9% 31.3% 20.4% 23.5%

Labour participation rate

50.8% 35.3% 45.8% 38.5%

Based on the above, the Lephalale Local Municipality seems to beg at an advantage with regards to

employment compared to the employment profile of the overall Province. The IDP records an even lower

unemployment rate for Lephalale Town (17%) and a higher unemployment rate for the rural areas (26%)

and greater for rural settlements further North.

7.5.2 Employment Sectors

LLM’s local economy is dominated by mining, electricity production, tourism, agriculture and game farming. Agriculture, wholesale and retail and mining are the top 3 employers in the area. The area

currently experiences growth driven by the mining sector and construction of Medupi Power Station2.

7.5.3 Income Levels

(Source: StatsSA 2011)

People in Lephalale are relatively poor with almost 45% (of the economically active age group of the

population) earning no income at all. There has been significant growth in the income bracket earning

between R3 500 and R12 800/month.

2 LLM IDP (2016-2017)

No income R 1 - R 4800 R 4801 - R 9600

R 9601 - R 19200

R 19201 - R 38400

R 38401 - R 76800

R 76801 - R 153600

R153601 +

DC36: Waterberg 258255 143388 20241 91821 40067 28629 21564 19327LIM362: Lephalale 38232 21046 2862 14414 8708 6327 4335 4937District 41,43% 23,00% 3,25% 14,73% 6,43% 4,59% 3,46% 3,10%LLM 33,12% 18,23% 2,48% 12,49% 7,54% 5,48% 3,75% 4,28%


26

The single most important driver of the decline in poverty is government’s social security programme. From

2,5 million beneficiaries in 1999 to just over 12 million in 2007, the social grant system is the largest form of

government support for the poor. Most by far is in the form of the Child Support Grant (CSG), which reached

7,8 million beneficiaries in 2007 compared to 34 000 in 1999.

The rapid expansion of the social security system lies at the heart of the growth in expenditure levels of the

poor. By 2005, social grants contributed up to 90% of the income of individuals in the first two deciles and

more than 50% in the fifth decile.

Various studies confirmed that this support is well targeted and contributes considerably to poverty

reduction. Of social grants, 62% of the total went to the poorest 40% of households and 82% to the poorest

60%.

The number of people depending on government grants in Lephalale Municipality has increased since 2014.

The number of people benefiting from social grants is approximately 40.9% of the total population. (Total

number of beneficiaries 23 481) (total number of children 30 511). The Municipality has the second highest

number of people receiving government grant in the Waterberg District Municipality (LLM IDP).


27

7.5.4 Poverty and Vulnerable Communities

Women, children, people with disabilities, the aged, farm workers and rural residents are most vulnerable

groups in the communities. The disparities and poverty express themselves along racial and spatial lines.

These socially disadvantaged individuals are found in rural villages and townships. Since development is

about improving the lives and standards of living of people, the said groups should benefit as well. Their

rights to basic and human dignity are protected in the constitution of the Republic of South Africa. Inequality

also displays itself in the form of unemployment and empowerment opportunities among women, people

with disability and the youth. The IDP in particular, and municipal policies in general, ought to assist in

dealing with the issues of inequality and unemployment. The causes of inequalities and influence over access

to and control over social, political and economic resources should be fully understood. All of these have a

bearing on service delivery and development in the context of the IDP. The mainstreaming of gender in the

IDP process is very important. Poverty alleviation programmes such as War on poverty must be assisted

(LLM IDP).

7.6 Educational levels

Source: StatsSa 2011 (as quoted by HDA)

Figure 3: Highest Level of Education 2011

Of the population 20 years and older, 37% have a secondary education, 23,5% have completed matric, 11,6%

have some form of higher education, 17,8 completed or have some primary education.


28

Source: StatsSa 2011

Figure 4: Level of Education for Individuals between the ages of 20 and 64

LLM IDP (2017) describes access to educational facilities in Lephalale LM as fairly good. More than 95% of

the population lives within 30 minutes walking distance to the nearest education facility. In rural Lephalale

there are 63 primary and secondary schools in the Phalala South and North circuit areas alone, there are a

further 19 schools on various farms in Ellisras circuit area. The FET College is located in Onverwacht and

caters for training needs of the whole Waterberg district Municipality. Four secondary schools are located in

Mogalakwena Municipality but fall within Lephalale circuit area (LLM IDP, 2017).

Table 11: Number and Category of Education Facilities

Circuit

Office

Primary

School

Secondary

School ECD’s

Combined

School

FET

Colleges

Special

School

ABET

centre

Ellisras 8 5 28 2 1 1 2

Phalala

North

19 11 22 1 0 0 8

Phalala

South

21 12 14 0 0 0 7

Total 48 32 64 3 1 1 17

(source: LLM IDP 2017)

7.7 Basic Services

Understanding the level of basic services (such as housing and transport) to which residents have access,

provides insight to the standard of living of residents in area.

0%

5%

10%

15%

20%

25%

30%

35%

40%


29

7.7.1 Water and Sanitation

LLM is the Water Service Authority for the area. Exxaro is the appointed Water Service Provider for

Onverwacht and Lephalale Town and Eskom is the Water Service Provider for Marapong. LLM is the WSP for

the rural focus area.

Source:

StatsSa 2011

Figure 5: Residents access to piped water 2011

Water supply in the rural area is currently provided through four different water services schemes listed

below. These schemes obtain water from groundwater sources (about 85% from boreholes and 15% from

well field type boreholes in the riverbed alluvium). The four water sub schemes serve approximately 38

villages through a network of approximately 77 boreholes, which are all owned and operated by the

municipality.

• Mokuruanyane RWS

• Witpoort RWS

• Ga-Seleka RWS

• Ga-Shongoane RWS

According to the water service development plan, approximately 22.6% of the rural population has access to

water within 200m walking distance, while 20.5% of the population has access to water that is 200m and

further away. This implies that 35.6% of the rural population does not have water that falls within RDP

standard of maximum cartage distance of 200m from point of use.


30

Source: StatsSa (as indicated by HAD)

Figure 6: Access to Sanitation 2011

The 40% of residents who have access to a flush toilet connected to a sewer system reside in Lephalale

Town, Onverwacht and Marapong.

Sanitation in the rural areas consists of informal pit latrine structures or Ventilated Improved Pit Latrine. It is

estimated that 6.1% of the households have no sanitation service. There is no waterborne sanitation in the

rural area. The sanitation level of service varies from no service to basic level of service. Approximately 15

381 households will require an improved sanitation system. The sanitation in Thabo-Mbeki and Thabo-Mbeki

Ext 1 is mostly septic tanks with French drains.

7.7.2 Electricity

Lephalale Municipality is an electricity provider and has an electrical reticulation network supplying

electricity to Onverwacht and the eastern region of Lephalale. Overall, 85% of residents in Lephalale use

electricity for lighting, the reminder use candles for lighting as reflected in the figure below. Just over two

thirds of the population use electricity for cooking and heating where the remaining third uses wood for

heating and cooking3.

Eskom supplies all electricity used in the rural areas. Current demand and load growth in the town and

surrounding areas result in the need for an upgrade of the network.

3 LLM IDP (2016-2017)


31

Source: StatsSa 2011 (as captured by HAD)

Figure 7: Access to electricity for lighting purposes

7.7.3 Public Transport and Transport Infrastructure

Public transport services are predominately privately owned in Lephalale leading to uncoordinated service

within the area. No scheduled provincial or municipal bus service operates in the municipal area. Job

opportunities and areas of residents are dispersed and lead to extensive travel times to and from jobs and

businesses. Five taxi associations operate in Lephalale Municipality with a total vehicle fleet of 566 vehicles.

Three of these associations provide local service, the rest cross border and long-distance services. Taxi

operators prefer to operate along paved routes, seen in the light that the majority of roads in the rural area

are unpaved, the extent of the services in the rural areas with emphasis in Thabo-Mbeki; Setateng and Ga-

Seleka are predominately along the D3110. Public transport is provided by means of feeder routes and long

distance from the rank to surrounding areas. Four Bus operators serve Lephalale municipality with a total

bus fleet of 155 vehicles. (LLM IDP)

Public transport has a poor level service as a result of distances between the economic activities, the

location of towns, villages and employment.

7.8 Housing

Majority of houses in the municipal area are good quality brick structures. They are uniformly distributed

across municipal settlement areas. One should have expected more traditional dwellings but there are only a

few of them in the settlements. There is no specific pattern regarding backyard dwelling detectable. These

apply to both urban core and the rural outlying areas. Land tenure and ownership is currently very difficult

to assess. In rural areas the land is tribal and households have free ownership. This is as a result of the fact

that land ownership in tribal areas is a sensitive issue and very complicated. However, a significant number

of households in rural areas own the houses they live in. Rented housing occurs only in Onverwacht,


32

Marapong and Lephalale town. Hostel accommodation type exists for Exxaro and contractors for Medupi

project. (LLM IDP)

7.9 Community Health

The health profile of the local community has be capture in the Health Impact Assessment report.

7.10 Profile of Local Economy

Source: StatsSa (as quoted HDA)

Figure 8: Economic Distribution

Lephalale’s economy mainly comprises coal mining and tourism. The South African government also

identified Lephalale’s petrochemical and coal cluster as a point of future economic development in its

Limpopo Growth and Development Strategy. Likewise, Lephalale’s tourism industry was identified as

another development priority in the region. To achieve its goal of sustainable economic development and

job creation through these industries, government needs to ensure the development of basic skills, service

delivery, as well as the necessary infrastructure.

• LLM wants to promote the comparative and competitive advantage of the LLM economy.

• Area currently experiencing growth due to the mining sector

• Local economy dominated by coal mining and power station.

• 3 Important Clusters:

o Coal

o Red meat

o Tourism


33

LLM objectives:

• Grow the economy

• Create jobs

• Eradicate poverty

Table 12: Economic Growth Rate

Municipality 2007 2008 2009 2010 2011

Lephalale Local Municipality

4.36% 1.32% -6.11% -5.7% 1.01%

Metropolitans (Average)

5.44% 3.43% -1.35% 2.24% 2.65%

Limpopo GVA 4.36% 2.46% -1.40% 2.64% 2.42%

Source: HDA

In 2011, Lephalale contributed to 1.01% of the National GVA.

Over-simplistically, Gross value added (GVA) is a productivity metric that measures the contribution to an

economy or region. Gross value added provides a Rand value for the amount of goods and services that have

been produced, less the cost of all inputs and raw materials that are directly attributable to that production.

GVA is therefore the grand total of all revenues, from final sales and (net) subsidies, which are incomes into

businesses. Those incomes are then used to cover expenses (wages & salaries, dividends), savings (profits,

depreciation), and (indirect) taxes. https://en.wikipedia.org/wiki/Main_Page

In summary, the GVA for the Lephalale area shows the following:

• Mining has by far been the largest GVA contributor to the area and is the largest contributor within the primary sector. The primary sector is the greatest contributor followed by the tertiary sector.

• Agriculture, forestry and fishing is the largest employer of people and is within the top five largest contributors to GVA.

• Since 2008, the wholesale and retail economic subsector has grown from R 254 million to almost R400 million per year. (Draft SDF, 2017)

When weighing up the costs and benefits of a project, it is important to note that infrastructure

development and energy to enable development are critical. The expected life of the proposed coal mine is

35 years. Importantly, research shows that the current power generated by the Medupi station will be

insufficient to service the proposed project. This raises critical questions around development of a viable

energy source. The vital question of renewable energy versus petrochemical energy is then also raised.


34

Table 13: Gross Value Added per sector in Lephalale

7.11 Tourism

The Lephalale area is a well-known game farming area which offers a variety of activities for tourists. Farms

in the area were originally predominantly used for livestock farming but today 90% of the farms are game

farms4. The game farms provide accommodation, game drives, trophy hunting, biltong hunting,

photographic opportunities, mountain biking, walking trails as well as spa facilities. Not all the game farms

within the study area are used for hunting, there are several farms that are used as breeding farms and are

therefore equipped for relaxation and appreciation of the fauna and flora of the area. The abundance of bird

life is a key attraction to the region. Bird Life South Africa estimates that Bird Tourism brings in a revenue of

R2 billion per annum5.

Some of the game farms include6 Unico, Lewia Lodge, Grootgenoeg, Simba Safaris, OpiKopi Game Ranch,

Lindelani Lodge, Waterkloof Safaris (Jacobsloop), Trompietersfontein, Bush Africa Safaris and Quagga Safaris.

The area is considered to be prime hunting country where foreign trophy hunters spend significant amounts

of money on their sport. The tourist on average pays between R1 250 – R1 500 per night accommodation

depending on the package and services selected7. It is reported that the demand for hunting in the area

increased significantly following the ban on hunting in Botswana.

Tourism is a significant sector in the economy of the study area. Figures relating to the local tourism industry

have not been obtained but nationally, there is an upward trend and increased contribution by tourism to

the national gross domestic product (GDP). In 2016, the contribution was R402bn (9.3% of GDP) which

increased by 2.5% to R412.2bn (9.4% of GDP) in 20178. The forecast is that tourism will grow by 4.2% per

year to R624.2bn by 2027, reaching 11.5% contribution to the GDP. (In 2011, the contribution of tourism to

the GDP was 2.8%9)

4 Interview Ken Maud, former chairman of Waterberg Conservancy

5 Interview Ken Maud

6 Newton Landscape Architects – LCPP Visual Impact Assessment

7 Interview with Corne du Plessis, Hunter operating in the area

8 World Travel and Tourism Council (WTTC)

9 StatsSA Tourism Satellite Account for SA


35

LLM IDP10 indicates that tourism and especially eco-tourism has shown considerable growth in the recent

years. It is a good example of sustainable use of opportunities and resources, and offers the benefit of a

range of employment options for local people. A negative factor in the Lephalale economy is the lack of

economic activity in the rural village area. This is where the majority of the current population lives. The

very high rate of unemployment implies that opportunities for the establishment of small industries or

businesses which are labour intensive should be pursued in order to make use of the potential workforce.

Table 14: Tourist Accommodation Facilities in LLM11

Holiday resorts

Game/Nature reserve

Guest farms

Guest houses

Hotels Camping Fishing Total Number of

Beds

6 45 60 173 3 5 7 3854

The location of the Lephalale municipality provides unique opportunities for economic development and

tourism in particular. The area is renowned for hunting, wildlife and scenic beauty and nature reserves,

sports and adventure. Five routes have been developed in the municipal area and include the following12:

• The Mokolo route (R510)

• Marula route (D1675)

• Limpopo route (R572)

• Waterberg route (R33) and

• Heritage route (D3110)

8. Impact prediction and evaluation

The following section describes the social impacts anticipated to occur during the construction and

operational stages of the proposed mine.

8.1 Average household income and educational attainment

The primary objective of the Skills Development Policy for Lephalale Coal Mine is to promote a culture of

lifelong learning and develop a pool of skilled resources. This policy, together with the mine’s Adult Basic

Education and Training (ABET) programme, provides a platform improving the skills of local labour.

Potentially this drive would enable labour to i) access employment ii) improve literacy levels and iii) improve

job security, thereby marginally increasing their household income. These offerings from the mine could

potentially profit the community, provided that the mine maintains its policy of employing local labour.

Despite the economic contribution of mines to surrounding communities, a huge amount of social and

environmental harm is associated with the mining industry. In this regard, mining companies have, on the

one hand, contributed toward improved social development, by providing jobs, paying taxes and earning

10 LLM IDP 2016-2017 11 LLM IDP 2016-2017 12 LLM IDP 2016-2017


36

foreign exchange. On the other hand, and in certain cases, the mines reportedly had poor labour conditions,

did not manage pollution incidents, failed on health and safety issues, and also showed disrespect of human

rights.

The assessment of the demographics in LCPP’s Social and Labour Plan (SLP) indicates that concerted effort

will be required at local level to enhance the education levels. Skills programmes have to be identified and

aligned to the list of scarce skills areas published for the local district/municipal area.

A major positive impact could potentially be achieved, should the recommended mitigation measure, to

employ and upskill local labour, be implemented. As this assessment was done in anticipation of a new mine

development for a company with integrity and with serious intent to implement their Skills Development

Policy, the risk is reduced that published plans to upskill local labour would be mere window dressing.

Change in average household income and educational attainment

Construction Phase Operational Phase

Magnitude Moderate + Moderate +

Duration Long term Long term

Spatial Local Local

Consequence Medium Medium

Probability Possible Possible

Significance Medium Medium

Mitigation:

• Ensure and maximise the use of local labour and contractors

• Ensure implementation of the social and labour policy and associated skills development plan

• Source construction workers needed in the semi-skilled to unskilled category from the local population as far as possible

• Develop and implement a communications strategy regarding a recruitment policy that can serve to encourage local employment and reduce the potential influx of jobseekers to the area

• Ensure Local Community and Government Leaders have the correct expectations of opportunities provided by the mine

• Give preference to local people when there is any need for additional procurement

• Set targets for procurement of capital goods, consumer goods and services from local sources. LCPP should develop an action plan to meet these targets. These plans could include, but are not limited to, the development of Economic Empowerment (EE) policies, procedures and guidelines, as well as the development of a database of local small businesses (entrepreneurs and SMMEs)

8.2 Change in unemployment

It is indicated in the Social Labour Plan that the mine is expected to employ a maximum of 475 employees

over the life of the mine where potentially 213 will be employed as mine operators. It is this level of

employment that many of the currently unemployed local community members would apply for.

Of the total population, 45% reside in rural areas, which are predominantly the rural villages located along

the eastern side of the municipal boundary and in close proximity of the mine. These areas have a 26%

unemployment rate and 38.9% of the population depends on a social grant as a means of income. The


37

current scenario i.e. an abundant supply of labour, and the influx of jobseekers will potentially dilute the

positive impact of jobs created by the mine.

Any subsequent loss of employment due to the impact if the proposed mine results in shrinking the local

tourism industry, has not been quantified.

Change in unemployment



Duration Short term Long term

Spatial Local Local



Significance Medium Medium

Mitigation:

• Ensure and maximise the use of local labour and contractors.

• Development and implement a communications strategy regarding a recruitment policy that can serve to encourage local employment and reduce the potential influx of jobseekers to the area.

• Ensure Local Community and Government Leaders have the correct expectations of the offerings from the mine.

• Ensure implementation of the Skills Development Plan.

• Ensure actual implementation of LCPP’s Supplier Development Programme set out in SLP where preferred supplier status will be given to local SMMEs, HDSA entrepreneurs and local service providers.

8.3 Inflow of Job seekers and Workforce

Experience has shown that construction related projects attract jobseekers from within the study area or

even from other provinces and neighbouring countries. Limpopo Province has a much higher unemployment

rate than LLM. The influx of jobseekers settling in the Tribal Authority areas (rural areas) has already been

noted. Inexpensive accommodation in these areas provides an entry point for jobseekers looking for work

and more permanent accommodation in Marapong. Services are offered in return for temporary

accommodation.

News of the prospective mine could attract further jobseekers to the area even prior to construction

commencing. This situation is usually worsened by exaggerated rumours of possible employment

opportunities. The municipal area already experiences an increase in the male population between the ages

of 20 and 64 as they are attracted by the manufacturing and mining industry in the municipal area. The

councillors consulted further indicated that an inflow of outsiders to the study area is already a cause for

concern. Traditionally people wishing to settle in the Tribal Authority area are required to be introduced to

the Chief and the Council will allocate them a portion of land to settle. The current influx of foreign Nationals

is far greater than the capacity of the local community’s administrative systems and independent

arrangements are made between residents and jobseekers. Together with this trend is the subsequent


38

increase in crime related incidents in the community13. The impact on the cultural aspects of community life

is significant which can possibly advance social disintegration.

Communities undergoing social disintegration have been observed to display some of the following

behavioural patterns to a greater or lesser extent14:

• Family breakdowns, single parenthood, high teenage pregnancy rates.

• Low job participation with both high unemployment and unemployable rates.

• High alcohol and drug abuse.

• Low performance in all spheres of life including school and skills training.

• High crime rates and endemic violence at all levels of social interaction: family, inter-personal, neighbourhood and wider community.

• Despair and acceptance of the victim image.

• Flight of skills and positive role models from the townships into higher income areas.

It would be difficult to monitor and prevent the inflow of jobseekers. Mining activities, irrespective of the

extent thereof, are perceived as an employment creator, which means jobseekers in search of permanent

employment would probably also materialise during the operational phase of the mine.

At this stage, employment of locals is a pro-active mitigating factor that could limit an inflow of additional

‘outside’ jobseekers, to avoid negative long term impacts (e.g. sub-letting) in this regard.

Inflow of Job Seekers and Workforce


Magnitude Moderate - Major -


Spatial Local Regional

Consequence Medium High

Probability Possible Definite

Significance Medium High

Mitigation:

• Early project (Operations) documentation outlining the potential benefit that locals can expect during the life of the project can help curb in-migration of job seekers.

• LCPP needs to collaborate with LLM and the Tribal Authorities to initiate communications eliminating unrealistic employment expectations regarding the prospective mine.

• Lists of unemployed individuals are maintained by both by Tribal Authority and by LLM (ward Councilors).

• A rural settlement management plan would benefit the local community and help mitigate the impact of the in-migration.

13 Interview with Ga-Seleka Tribal Authority

14 Dr Mamphela Ramphele


39

8.4 Economic Impact

Mining has the potential to shape and directly and indirectly affect economies. Mining brings employment,

government revenues, and opportunities for economic growth and diversification. It is these positive aspects

of mining that LLM appears to want to attract to their region within the framework of the Strategic Plan.

However, market fluctuations, economic and public institutions, and resource revenues can present

challenges in converting natural resource wealth into sustainable economic growth and development.15

The economic impact of the new mine would thus be based on its continued contribution to Gross Value

Added (GVA) and the number of (direct and in-direct) local employment opportunities that would be

created.

The health and welfare status of communities living in close proximity to mines has been well researched in

North West Province and concerns were raised where mines externalise the social and health costs of their

employees, transferring a negative impact on labour sending communities thereby depreciating the

economic impact. To achieve the full local economic impact or benefit which incorporates the increase in

local spending and the increase in local buying power, LCPP would need to maintain their obligation to the

environmental regulations and a robust long-term community development and participation programme.

Through responsible employment and income generation during the mining processes, some economic

benefits to the region and local communities accrue. The mine would continue to contribute to the local

economy through its employee wages, procurement of local contractors and services, purchasing of water

and electricity, and by paying taxes to LLM.

To achieve the goal of sustainable economic development and job creation through the mining industry,

government needs to ensure the development of basic skills; and ensure that service delivery and necessary

infrastructure are not compromised or overlooked during the operation of the mine.

15 www.mining facts.org


40

This section recognises the positive economic impact that LCPP can potentially achieve through creating

employment opportunities.

Economic Impact



Duration Short-term Long term


Consequence Medium High

Probability Definite Definite

Significance Medium High

Mitigation:

• LCPP to adopt a robust community and human resource development plan, to prevent the externalisation of social costs and reduced economic benefit in the labour sending communities.

• Local goods and services should be used as far as possible.

• Contractors’ procurement procedures have to also favour local goods and services

• Collaborate with LLM on Local Economic Development initiatives

8.5 Poverty Alleviation and Socio-Economic Development

The location of the proposed mine places it between the high development node of Lephalale town and the

old Bantustan rural settlements located on the eastern border of the municipality. These rural settlements

have no economic activity and house some of the poorest households in the municipal area. A significant

portion of the population depends on a social grant as their source of income. Unemployment in these areas

varies from 20% to 35% and for some villages in the Northern parts it is even higher (40%)16 .

For 20 years and more, Government has grappled with the development challenges created by the old

Apartheid Government and this is again mentioned in the municipality’s new IDP ‘reversing the country’s

spatial inheritance, even with sound and sensible policies, is likely to take decades.’17 LCPP is positioned

close to these rural areas and brings economic activity closer to these settlements. Mine operations cannot

therefore be isolated from the high poverty levels observed in these settlements. Means to address poverty

issues needs to be considered.

Alleviating poverty, however, requires a multi-sector approach of Government, Private and NGO’s. Poverty is

not just about income, it incorporates aspects of housing, adequate services, health care and training and

development18. Although education, training and service delivery are mainly the responsibility of

government, there is increased pressure on the business sector in South Africa to contribute to the

development of each business’s own workforce. The Mining Charter promotes employment, advancing the

social and economic welfare of mine communities and major labour sending areas. The charter recognises

16 LLM Draft Spatial Development Plan, 2017

17 LLM Draft IDP (2016-2017) 18 Dr Mamphela Ramphele


41

that mine communities form an integral part of mine development and there must therefore be a balance

between mine development and mine community socio-economic development. Considering the socio-

economic environment surrounding the study area, it would be important that meaningful contributions be

quantified in the social license granted for the mine’s operations.

Poverty Alleviation and Socio-Economic Development


Magnitude Minor + Moderate +


Spatial Local Local



Significance Moderate + High +

Mitigation:

• Noting the high levels of unemployment and youth unemployment in particular, LCPP should give preference to the training and employment of people from the local communities.

• Proactively engage the Local Municipality to establish platforms where the mine can contribute through their Human Resource and Mine Development Programme, to poverty alleviation initiatives. This should be a programmatic longer-term approach that builds towards a sustainable solution for the labour sending communities.

• Maintain communications with local community leaders to manage expectations on an ongoing basis.

• Develop a community communications strategy that will channel information and educational opportunities.

8.6 Impact on Daily Living and Movement Patterns

Vehicle related fatalities and injuries are some of the most important concerns to the Health and Safety

Officer in the Mining Industry19. Unlike forces of nature or natural disasters, vehicle related incidents are

much more preventable. Speed management should form part of the overall risk management approach

that mining operations should have in place and actively promote. Mine management has the

responsibility to ensure that work areas, such as roads, are safe.

Most of the daily vehicle movement associated with the operation of the mine will be within the proposed

LCPP mining area. During construction and operation phase of LCPP, the contractor / mine will be

responsible to transport construction workers and mine employees to and from site. Access to the mine

will be solely from the Provincial Road, R518 which is the main road linking Lephalale and Marken via

Shongoane. The daily movement of workers to and from site will increase traffic levels along this route,

the main access route to Lephalale where most people work.

The Health Impact Assessment has highlighted the raised level of road accidents, and associated

pedestrian fatalities and other injuries currently prevalent in the area. Improved road safety and the

prevention of road-related injuries are identified as a need.

19 www.miningsafety.co.za


42

Impact of Daily Living and Movement Patterns


Magnitude Moderate - Moderate -


Spatial Local Local



Significance Moderate + High -

Mitigation:

• Traffic calming to be considered at the point on the R518 where LCPP accesses the road, thereby limiting vehicle speed creating a safer environment for vehicles to access the road from the site.

• Road safety awareness to be incorporated as part of the Mine’s Community Development Programme.

• Road Safety criteria and principles to be incorporated into LCPP’s general risk management plan.

• The mining sites should be clearly marked and ‘danger’ and ‘no entry’ signs should be erected.

• Speed limits on the local roads surrounding the mining areas should be enforced.

• Speeding of construction vehicles must be strictly monitored and drivers penalised.

8.7 Residential Proximity

The residential component of the study area consists mainly of farmsteads, including workers’

accommodation, that are dispersed throughout the area. Lephalale (Ellisras) is located approximately 19km

south-west of the study site, Mmatladi approximately 15km south-east, Martinique and Nikara located

approximately 20km north-east of the study site and Ga-Shongwane approximately 16 km south-east and

Ga-Seleka to the north of Ga-Shogoane of the study site. The Commiphora Eco Park/Estate is located 8km to

the west of the study site.

Figure 9: Location of the proposed LCPP and settlements and farms


43

Residential proximity to heavy coal production is associated with poorer health status and with higher risk

for cardiopulmonary disease, chronic lung disease, hypertension, and kidney disease. There are increasing

number of research studies highlighting the impact of gases and air pollutants on humans. Many of these

emissions, even in small quantities, have adverse effects on workers and neighbouring residents alike. These

adverse effects include a wide range of problems that include respiratory, neurological and carcinogenic

effects, while others have been noted to cause birth defects in unborn babies.

The intuition elements of the project and air quality risks associated with LCPP are describe in detail in the

Visual Impact Assessment and Air Quality reports respectively. The operations of LCPP are envisaged to have

adverse influences on property owners and residents. For land owners adjacent to the farms where mining

rights have been awarded and for residents in the mentioned settlements, the adverse effects of the mining

operations are mitigated through compliance with the stringent environmental regulations.

Residential Proximity


Magnitude Major - Major -


Spatial Local Local




Mitigation:

• Monitoring of the air quality and water quality and quantity should continue to limit any possible negative impacts on the human environment thereby ensuring that human health and the environment are protected.

• Intrusion impacts should be mitigated through sound environmental practices.

• Dust suppression methods should be implemented.

8.8 Impacts on Agricultural and Tourism Activities

Agri SA is a federation of agricultural organisations representing a diverse grouping of individual farmers

across the country. They strive to promote the development, profitability, stability and sustainability of

agriculture in South Africa. The organisation recognises that mining has its rightful place but is concerned

that Mining will have a negative impact on agricultural practices.

Consultation with landowners through the public participation process highlights the impact the mine will

have on their means of maintaining their income and livelihoods. This can be seen in the issues mentioned

by the landowners and captured in the table below. It is anticipated that these matters will be addressed in

the compensation negotiation process. The biggest impacts are on the game farm operations and tourism

related services offered on the adjacent farms.

The Visual Impact Assessment identifies areas and sites considered potentially sensitive to project activities

in the study area as public roads, farmsteads and tourist facilities. It identifies the project as causing notable

change in landscape characteristics over an extensive area and an intensive change over a localised area

resulting in major changes to the character of the area. Even after rehabilitation has been undertaken, it is

anticipated that the soil conditions would not be able to return to its pre-mining state, which would thus


44

have negative impacts on possible future agricultural utilisation. Full understanding of these conditions

would be included in the Biodiversity Specialist Report.

Farms and Associated Prospecting Rights are indicated below.

Figure 10: Farms and Associated Prospecting Rights

Table 15: Farmers and Landowners raised the following issues during the Public Participation process

Landowner and Farm Issue Raised Category

Mr Johann Grosskopf

Botmansdrift 423 LQ,

Stellenbosch 203 LQ

More information is required on rehabilitation actions and

improvement and maintenance of road infrastructure to

accommodate mining activities as well as the socioeconomic

and tourism impact.

Ground Water Traffic

Social Impact Assessment and

Tourism

Mr Johan Beukes

R/E Billiards 428 LQ

One needs to consider the 3.5Km blasting radius, can this

corridor be expanded to lessen the impacts? If the project

goes ahead and the blasting has an impact on us how are we

going to be compensated? We do not want the mine to go

ahead.

Blasting

Mr Phillip Pretorius

Pretoria 483 LQ

We will have to stop farming as the environmental impacts

will be severe.

Mitigation of impacts

Could have positive income flow. Positive impacts

I don’t think mining and farming can work together. Land use


45


We will need to be bought out to relocate to a new home as

we can’t stay on the farm whilst you are mining.

Land use

Mrs Patti Osburn Portion 1

Grootgenoeg 426 LQ

Our farm is one of the twelve that LCM has prospecting rights

to. This project has a tremendous impact on our future plans

for our farm.

Land value

This project will require us to sell our farm land – discontinue

our business operations.

Land value

The farm is currently being used for game farming and

lodging.

Land use

Our farm will become a coal pit. Sense of place

Mr Phillip Pretorius

Pretoria 483 LQ

We will need to be bought out to relocate to a new home as

we can’t stay on the farm whilst you are mining.

Land values

The project will result in farmers not being able to farm

anymore.

Land use

The mine must not accommodate workers at the mine, they

should come in the morning to work and leave again in the

afternoon.

Crime and security

The farm is being used for game farming and stock farming. Land use

I’m not sure how the mine will impact on structures on the

farm there could be damage to infrastructure.

Blasting

The mine will need to maintain the roads. Roads and infrastructure

To compensate the farmers, the mine will need to buy us out. Compensation

Mr P T van Staden Wellington

432 LQ

We are the sixth generation of Van Stadens to farm on the

farm Wellington.

Sense of place

We farm cattle and Arabian horses. Both are sensitive to

noise which can impact on their breeding.

Noise impact on breeding

The farm is also used for hunting which will be disturbed by

the mine and power station.

Land use

There is also an eco-estate on Vucht which will be impacted

by the project.

Land use

I have an arrangement with the estate that there will not be

any development on parts of the farm Wellington.

Visual impacts

There are the following animals on the farm: reedbuck,

impala, brown hyena, badger, rock python, leopard, and

cheetah.

Biodiversity

Half the farm is reserved for conservation. Biodiversity

Acid in the air eats the wire and other steel on the farms. Air Pollution

Mr Johann Beukes R/E

Billiards 428 LQ

Security is a big concern. Crime

Increase in traffic is a concern. Traffic

How will the dust fall out affect animals? Dust impacts

How will the project affect the game breeding? Biodiversity


46


Influx of people is a concern. Influx of people

We don’t want squatting in the area. Squatting

There are bat-eared foxes and pangolins in the area. Biodiversity

The project will disturb the peace of the area. Sense of place

The value of our property will be affected. Land values

The ground water table will be affected. Groundwater

The farm will become unusable. Land value

Neighbourliness will be affected by those who sell their

property and those who don’t sell or can’t sell.

Social Impacts

After the drilling on Honnigshade there is an oily residue in

the borehole.

Groundwater pollution

The farm is used for game farming and exotic game breeding,

cattle farming we have a Simmental stud.

Land use

We have seen bat eared foxes, pangolins and leopard on the

farm.

Biodiversity

The blasting at the mine could impact our structures. Blasting

Mr Bayers van der

Westhusen

Portion 1 Billiards 428 LQ

What will happen to the game on the farm? Biodiversity

Can I remove the game before the project starts? Eco-tourism Farm vs Mining

Where will all the game in the area go? Eco-tourism vs Mining

The project will take water from all the surrounding farms. Water provision

Dust will be a concern. Dust pollution

There will be noise pollution. Noise pollution

The vibrations from blasting will impact on our boreholes. Blasting

I do not want to have to move. If the mine buys me out they

will need to give me enough so that I can buy a new farm.

But, I don’t want to start all over again. My wife works close

by and it is convenient for us to live here.

Sense of place

Impacts on Agricultural and Tourism Activities


Magnitude High - High -



Consequence High High

Probability Definite Definite

Significance High High -

Mitigation:

• With the notable change in landscape characteristics over an extensive area and an intensive change over a localised area, it is not possible to mitigate the impact on the agricultural and tourism industry in the study area. The project requires a decision


47

that is a trade-off between tourism and agriculture versus mining.

• Appropriate site management (during construction of the infrastructure and during the operational phase of the project) as stipulated in the EIA should be undertaken to ensure that the mining area is properly managed and the impact contained as much as possible.

• Environmental Regulations to be maintained to prevent pollution (water and air quality)

• Dust suppression methods should continue

8.9 Safety and Security Related Impacts

Safety and security issues relate to the in-migration of workers during the construction and operations of the

new project. The negative environmental, social, and economic impacts associated with labour in-migration

often lead to deterioration in the social context of the labour sending communities. Migrants may cause an

overall decline in the wellbeing and welfare of the resident population by threatening their way of life and

the basis of existing livelihoods and placing additional pressure on what often already may be inadequate

public infrastructure, services, and utilities.

Problems such as increased indebtedness, disease epidemics, increased occurrence and practice of social

vices, increased domestic violence and rape, increased intra- and intergroup jealousy, rising crime and

violence, ethnic tensions and a general breakdown of law and order20. Ga-Seleka Tribal Authority has already

noted these trends within their settlement as result of the in-migration of labour hoping for employment at

the Medupi construction site. The in-migration of Non-South African’s is noted in particular21.

Further to safety issues associated with crime and violence, the new mine’s potential impact on safety of

workers, pedestrians and members of the surrounding communities has been addressed in section 8.7.

Safety of community members and workers can be impacted by:

• The movement of construction vehicles transporting goods and materials on the local roads.

• Increased number of vehicles transporting construction and mine personnel, for continuous day and

night shifts;

• The trespassing of workers on private properties, mainly to access areas of work;

• An increased risk of veld fires due to the presence of construction workers and construction related

activities on site that in turn pose a threat to the surrounding wilderness / bushveld area.

Further to the in-migration of job-seekers, once employment contracts have ended, the newly unemployed

tend to remain in the area. This trend was noted in Ga-Shogoane and Ga-Seleka with the retrenchment of

construction workers from Medupi Power Station. In select instances, these individuals seek accommodation

in the rural settlements which is more affordable. Such practices result in sub-letting which, if not contained,

could not only become an indirect intensifying safety and security problem but also cause additional

environmental pollution.

20 IFC Business Case for Addressing Project Induced In-Migration

21 Interview Mr Lesetja Molokomme and Diana Malope


48

Safety and Security Related Impacts


Magnitude Moderate - Moderate -






Mitigation:

• Early Communications outlining opportunities and benefits associated with the proposed mine to help curb in-migration of job seekers.

• LCPP to incorporate as part of their risk management plan an in-migration management strategy that is prepared in collaboration with the Tribal Authority and LLM and communicated widely.

• LCPP should discuss the safety and security issues, as well as construction schedule with the local community leaders and local police service.

• The mining area should be fenced and access to the area should be controlled to avoid animals or people entering the area without authorisation.

• Workers should make use of protective clothing and equipment that would effectively prevent bodily injuries.

• Workers should make use of formal approved access roads when travelling to work

8.10 Health Related Impacts

The Health Related Impacts have been identified and described extensively in the Health Impact Assessment

(HIA) Report. The report considers the physical, psychological and social wellbeing of a community and not

merely the absence of disease. IFC identifies the factors that contribute to health impacts as:

• A sudden influx of job seekers or extended family that increase demands on existing health and

sanitation infrastructure.

• The introduction of infectious diseases (both vector-borne and other communicable diseases).

Mining can generate impacts that aggregate, interact and or contribute towards existing stresses within

social and environmental systems generated from other non-mining activities. This section and the HIA have

attempted to establish whether the mine community or the potential labour sending community does not

suffer an unfair disproportionate burden of disease as a result of mining operations within its area.

The Health Categories used to guide the health assessment were:

• Social Determinants of Health (Level of household income, employment and education levels)

• Incidents of Accidents and Injuries

• Exposure to Hazardous Material

• Food, Nutrition and Subsistence

• Burden of Disease

• Health Systems Infrastructure

• Access to Water and Sanitation Services


49

The potential impacts, their significance and mitigation measures are provided in the HIA.

8.10.1 Social Determinants of Health

The rural settlements located on the Eastern border of the municipality were the focus of the HIA

assessment, due to their proximity to the study area. It is envisaged that these rural settlements will be the

labour sending communities. They are characterised by fairly high unemployment levels especially

unemployed youth, low levels of education, fairly high (just under 40%) dependency on social grants as an

income. Almost half of the population in Lephalale indicated they have no fixed household income and just

over 20% earn R4 800 a month or less. With 45% of the population living in rural areas, it can be assumed

that a large portion of households in these settlements would fall within those 2 categories.

The above indicates that rural households would not be resilient to environmental and social stresses.

Employment and skill development opportunities offered by the proposed mine would therefore be hugely

beneficial for households in these communities. Factors that would dilute this benefit include:

• In-migration of job-seekers and increased competition for limited available jobs.

• Non-compliance of the mine on developing and employing local labour

• In-migration of work force impacting the availability of jobs for local community members.

• Non-compliance of the mine in implementing their Community Development Programme

• Non-compliance of the mine in implementing their Human Resource Development Programme

• Nonperformance by Local Government in implementing the Local Economic Programmes. The

programmes are directed at addressing the rural poverty and inequalities associated with lack of

employment opportunities in the hinterland.

8.10.2 Incidents, Accidents and Injuries

The injury rate for the area is reportedly fairly significant for men in the age group 15 – 24 years and for

children between the ages 5 and 14. With the increase of vehicle traffic in and around the community and

increased movement of labour to and from the mine, proactive action is required from the mine to educate

the local people and prevent escalation of incidents. Community engagement is needed to mitigate a

possible increase of injuries. Further investigation is required into the nature of injuries currently recorded,

which may include both violence incited incidents and road related accidents. Such information would help

inform this community engagement programme.

8.10.3 Exposure to Hazardous Material

It is identified that the construction and operation of the proposed mine will potentially expose communities

in the area (Ga-Shogoane, De Hoop and Lephalale as well as farms in the immediate vicinity and to the south

of the mine) to dust (particle matter) PM25 and PM10. Other emissions could include vehicle emissions;

emissions from large construction equipment; sulphur dioxide (SO2) and nitrogen oxides. The probability and

intensity of these possible impacts have been quantified and qualified in the Air Quality Impact Assessment

report. This report indicates that without stringent mitigation measures, emissions would exceed acceptable

daily and hourly standards. Stakeholders did express concerns with regards to the implementation and


50

monitoring of air quality mitigation measures recommended for Medupi Power Station. Reportedly the

necessary mitigation measures were not enforced. Exposure of the local population to hazardous emissions

from the mine is probable and only negated with the implementation and monitoring of stringent mitigation

measures.

8.10.4 Food, Nutrition and Subsistence

From the HIA, it is observed that there is a prevalence of malnutrition amongst children in the area. LCPP’s

SLP states that recent studies show that mining employees have poor nutrition management, as well as a

lack of understanding of the impact this can have on their general health. The impact of poor nutrition has a

significant bearing on the employer as well, as the work force’s outputs directly link to the profitability of the

organisation. To counter this, LCPP commits in the SLP to partner with their employees to address the daily

nutritional requirements by supporting the principle of supplement provision to mining employees.

Furthermore, employees will be educated on general nutrition and how to achieve it. It is recommended

that this awareness be extended to the broader population of the labour sending community and be

incorporated into the Community Development/LED Programme.

8.10.5 Burden of Disease

To quantify the burden of disease the HIA considered;

• Change in morbidity and mortality because of HIV and TB

• Prevalence of Non-Communicable Disease

• Maternal and Child under 5 mortality rate

• Diarrhoea and Pneumonia in children

The above conditions show fairly significant prevalence in the labour sending communities.


51

9. Impact Assessment and Mitigation Measure

No.

Affected Environm

ent Activity

Impact Description

BEFORE MITIGATION Cumulative

Impact

Mitigation measures /

Recommendations

AFTER MITIGATION

Magnitude

Duration

Spatial Scale

Consequence

Probability

SIGNIFICANCE

Magnitude

Duration

Spatial Scale

Consequence

Probability

SIGNIFICANCE

Construction and Operation

1

Socio-economic

Change in average Household Income

Employment opportunities and access to income

Moderate +

Short Term < 18

months

Regional

Medium Possible Medium No

Policy for employment of local labour, youth and women

Moderate +

Long Term > 5

years

Site or Local

Medium Possible Medium

2

Socio-economic

Change in unemployment

Improved household income

Moderate +

Short Term < 18

months

Regional



Moderate +

Long Term > 5

years

Regional

High Possible High

3

Socio-economic

Change in % households living below poverty line

Marginal improvement of household poverty levels

Minor +

Long Term > 5

years

Regional



Minor +

Long Term > 5

years

Regional


4

Socio-economic

Inflow of Job-Seekers

Diluting of job opportunities available to local population

Moderate -

Long Term > 5

years

Regional

High Definite High Yes

Early Communications and Community Engagment outling potential benefit and employment opportunities

Minor -

Medium

Term > 18

months < 5 years

Regional

Low Possible Low

5

Socio-economic

Inflow of Job-Seekers

Increased pressure on housing and accommodation in mine communitie

Major -

Long Term > 5

years

Regional


Collaboration with LLM and TA in considering a rural settlement management plan for local

Moderate -

Long Term > 5

years

Regional

High Possible High


52

No.

Affected Environm

ent Activity

Impact Description


Impact


Recommendations

AFTER MITIGATION

Magnitude

Duration

Spatial Scale

Consequence

Probability

SIGNIFICANCE

Magnitude

Duration

Spatial Scale

Consequence

Probability

SIGNIFICANCE

s settlements

6

Safety and Security

Inflow of Job-Seekers and Workforce

Increased demand for housing. Externalisation of social costs - densification of settlements and associated social problems

Major -

Long Term > 5

years

Site or Local


Maintain social monitoring within local community and implement mitigation plan in collaboration with LLM and TA to manage the impact. Adapt SLP if necessary

Major +

Long Term > 5

years

Site or Local

High Possible High

7

Economic Impact

Utilisation of local goods and services

Increase in local income

Moderate +

Long Term > 5

years

Regional

High Possible High Yes

Maintain commitment to local employment policy

Major +

Long Term > 5

years

Regional

High Possible High

8

Infrastructure Development


Increased pressure on Clinics and Health Systems

Major -

Long Term > 5

years

Regional


Adoption of robust Community Monitoring and Development Programme

Major -

Long Term > 5

years

Regional

High Possible High

9

Infrastructure Development


Increased demand water and sanitation services

Moderate -

Long Term > 5

years

Regional

High Possible High Yes

Collaboration with LLM and assistance with the development of water and sanitation services in the local communities

Minor -

Long Term > 5

years

Regional



53

No.

Affected Environm

ent Activity

Impact Description


Impact


Recommendations

AFTER MITIGATION

Magnitude

Duration

Spatial Scale

Consequence

Probability

SIGNIFICANCE

Magnitude

Duration

Spatial Scale

Consequence

Probability

SIGNIFICANCE

10

Safety and Security

Increased daily living movement patterns

Increased road accident injury and fatalities

Major -

Long Term > 5

years

Site or Local

High Possible High No

Road safety awareness to be incorporated into the mine's Community Development Programme

Major -

Medium

Term > 18

months < 5 years

Site or Local


11

Safety and Security

Increased traffic on provincial roads

Safety risk around the Mines access point off the R518

Major -

Medium

Term > 18

months < 5 years

Site or Local


Install traffic calming mechanism at the Mines access point to the provincial road.

Minor -

Medium

Term > 18

months < 5 years

Site or Local

Low Possible Low

12

Safety and Security

Increased traffic on provincial roads

Road safety Major -

Medium

Term > 18

months < 5 years

Site or Local


Institute speed limits in and around the mine and for the R518 for sections close to the mine entrance.

Minor -

Medium

Term > 18

months < 5 years

Site or Local

Low Possible Low

13

Residential proximity

Mine is granted mining rights for listed farms

Impact on farming and livelihoods activities for Landowners

Major -

Long Term > 5

years

Site or Local


Negotiated compensation mitigates the loss of income

Minor -

Medium

Term > 18

months < 5 years

Site or Local

Low Possible Low

14


Mine is granted mining rights for listed farms

Loss of employment for farm workers

Major -

Short Term < 18

months

Site or Local

Medium Definite Medium Yes Possible re-deployment on the mine

Moderate -

Medium

Term > 18

months < 5 years

Site or Local



54

No.

Affected Environm

ent Activity

Impact Description


Impact


Recommendations

AFTER MITIGATION

Magnitude

Duration

Spatial Scale

Consequence

Probability

SIGNIFICANCE

Magnitude

Duration

Spatial Scale

Consequence

Probability

SIGNIFICANCE

15


Exposure to hazardous emmissions and dust

Health implications

Major -

Long Term > 5

years

Site or Local


Compliance with stringent environmental criteria to reduce harmful emission and manage dust

Major -

Long Term > 5

years

Site or Local

High Possible High

16


Visual interverence and impact on sense of place

Wilderness experience offered to tourists is deminished

Major -

Long Term > 5

years

Regional


Not possible to mitigate this impact. One is looking at the trade-off between the Tourism and Mining Sector

Major -

Long Term > 5

years

Regional

High Definite High


55

10. Decommissioning and closure

Decommissioning and Closure

Decommissioning

of all surface

infrastructure and

rehabilitation of

all disturbed

surface areas

Release of GHG due to

the oxidisation of mine

dumps containing

carboniferous

Medium (-)

• Carboniferous material will be sealed

• Rehabilitation monitoring and

maintenance will be applied to allow

for revegetation and therefore carbon

dioxide uptake to be reinstated

Low (-)

Release of GHGs due to

the removal of

infrastructure using

heavy machinery

Medium (-)

• Where possible infrastructure will be

repurposed

Low (-)

Compaction of soil and

contamination of soil

resources from heavy

vehicles

Low (-)

• Reinstatement of stored soils onto

areas of disturbance where

infrastructure has been demolished

• Contour and stabilise slopes to be

free- draining

• Cultivation of growing medium, the

planting of required vegetative cover

and irrigation if required

Low (-)

Potential for

establishment of alien

invasive vegetation

Medium (-)

• Ensure the removal of the alien

invasive vegetation encountered on

the rehabilitated area

• Regular inspection of established

vegetation

Low (-)

Pollution of surface

water resources during

decommissioning

activities

Low (-)

• The stormwater management

infrastructure, including the PCD, will

be decommissioned last to ensure

adequate stormwater management

during the rehabilitation phase

• Erosion protection measures will be

implemented at steep areas

• Spill kits will available and

Low (-)


56


hydrocarbon spills will be cleaned up

immediately

• All traces of hydrocarbons and

residual waste will be removed before

infrastructure is demolished

Potential disturbance

of wetland habitats

Low (-)

• Alien vegetation management will be

implemented following revegetation

to clear alien species

• Develop a watercourse crossing

method statement for demolition of

crossings

Low (-)

Increase in dust fallout

Medium (-)

• Regular watering of the site roads

• Dressing off of tip faces, unused roads

and disturbed areas

• Minimising unnecessary disturbance

of non-operational areas

• Use of chemical additives to control

dust to be employed if necessary

under BATNEEC (Best Available

Techniques Not Entailing Excessive

Cost) principles.

Low (-)

General increase in

ambient noise levels

Medium (-)

• Regular planned mobile plant

maintenance, with special attention

paid to the maintenance of engine

efficiency and silencer effectiveness.

• Regular planned vehicle services

Low (-)

Loss of employment

and enterprise

development

opportunities

High (-)

• Develop and implement Labour and

Human Resources Plan (LHRP) that

addressed the impacts associated

with retrenchment, job losses and

reduced demand for local goods and

services

• Develop a closure plan which will aim

Medium (-)


57


to reinforce the objectives of the SLP

by reducing the reliance on LCM for

employment by promoting skills

transfer to ensure alternative

livelihoods


58

No.

Affected Environ

ment Activity

Impact Descriptio

n

BEFORE MITIGATION Cumula

tive Impact


Recommendations

AFTER MITIGATION

Magnitude

Duration

Spatial

Scale

Consequence

Probability

SIGNIFICANCE

Magnitude

Duration

Spatial

Scale

Consequence

Probability

SIGNIFICANCE


1

Closure Strategy

Comprehensive and sensitive consultation with stakeholder groups from the local communities, government departments and other identified groups

Ease the transition from employment to unemployment, re-skilling, job search services

Major -

Short Term < 18 mont

hs

Regional

Medium Possible Medium Yes

Mitigation beyond initial activity will be limited

Major -


hs

Regional


2

Closure Strategy

Capacity building to assist retrenched employees to set up their own businesses or assist local business to expand their operations

Reduced impact due to loss of income from the mine

Major -


hs

Regional



Major -


hs

Regional


3

Closure Strategy

Continued mentorship of empowerment groups and local community structures started during the life of the mine in line with the needs of

Discouraged employees

Major -


hs

Regional



Major -


hs

Regional



59

No.

Affected Environ

ment Activity

Impact Descriptio

n

BEFORE MITIGATION Cumula

tive Impact


Recommendations

AFTER MITIGATION

Magnitude

Duration

Spatial

Scale

Consequence

Probability

SIGNIFICANCE

Magnitude

Duration

Spatial

Scale

Consequence

Probability

SIGNIFICANCE

these groups/structures using ad-hoc mechanisms already in place

4

Closure Strategy

Provision of portable skills to employees facing retrenchment

Increase opportunities for re-trenched employees

Major -


hs

Regional



Major -


hs

Regional



60

11. Concluding Remarks

The economic effects of LCPP can be considered positive due to the employment opportunities the new

mine will create for populations located in the rural settlements of Lephalale Local Municipality. However,

the extreme poverty levels and poor infrastructure of the rural settlements classifies them as vulnerable

communities. Existing infrastructure and social services are already operating at full capacity and would be

inadequate to meet the needs of any in-migration of job seekers and a workforce that is not local to the

area.

The Tribal Authorities of Ga-Shongoane and Ga-Seleka, with their limited resources, struggle to cope with

the current influx of Non South Africans associated with other mining and construction opportunities around

Lephalale Town. The success of mitigation measures aimed to reduce the socio-economic impact of the

expected influx largely depends on LCPP developing and implementing the programmes proposed in their

SLP. These measures include;

• Local Labour Employment Policy

• Human Resource Development Programme

• Local Economic Development Programme which incorporates; A Programme improving Nutrition

amongst the workforce; Infrastructure Projects and Poverty Eradication Projects, Community

Participation and Communications Programme, and

• Risk Management Plan

Within these programmes, it would be necessary to understand how LCPP will;

• Collaborate with the Tribal Authorities and Local Government to develop appropriate community

monitoring programmes to identify and evaluate socioeconomic impacts resulting from the mining

operations. These programmes ought to collect data reflecting economic, fiscal, and social impacts

of the development at both the tribal and local government level. Parameters to be evaluated could

include impacts on local labour and housing arrangements, local consumer product prices and

availability, local public services (e.g., police, fire, and public health), and educational initiatives.

Monitoring the indicators of social disruption (e.g., crime, alcoholism, drug use, and mental health)

and the effectiveness of community welfare programmes in addressing these problems, will also be

beneficial.

• Define clear targets for the employment of local people. The targets and details need to be well

communicated to the local communities and their leaders. Care needs to be taken that opportunities

offered by the mine are not syphoned off by prominent or influential individuals.

• Improve literacy through their ABET Programme.

• Assume responsibility for the impacts that the living out allowance has on informal dwellings, and


61

the resultant health and safety problems, like the spread of HIV/AIDS. Demonstrate how the

implications of the living out allowance are incorporated in the Employee Welfare initiatives.

• Collaborate with Tribal Authorities and Government’s current Ward Based Outreach Teams (WBOT)

to help communities adjust to changes triggered by the mining operations. Such programmes could

include any of the following activities:

o Supporting community health screenings, especially those addressing potential health

impacts related to the coal industry; and

o Providing financial support to local libraries

o Support NGO’s operating in the area as part of the WBOT

• Commit to establishing vocational training programmes for the local workforce to develop skills

required during operation of the mine;

The development challenges for the rural settlements located close to the mine are huge and the available

Government resources to address these challenges are inadequate. LLM’s IDP recognises these challenges

but has focused their development initiatives (housing and upgrading of infrastructure) on municipal owned

ground in and around the Thabo Mbeki settlement. Land tenure arrangements associated with Tribal Land

remain complicated limiting development.

The extensive write up of Corporate Social Responsibility Programmes implemented across the Mining

Sector but not targeting the real community requirements undermines sustained social upliftment. It is this

trend that one would want to pre-empt and avoid for LCPP. Approaches that would assist in mitigating this

risk include;

• Promoting a participatory approach to community development, entering into dialogue with the

community to establish their needs and fears. A structured forum representing stakeholders and

NGO’s would add value to the process.

• An assessment of their SLP to ensure that the needs of the community have been included and, in

particular, that meaningful and practical poverty alleviation mechanisms have been highlighted.

In conclusion, we recognise that although it is Government’s constitutional responsibility to oversee and

provide for the development of the population, partnership with the private sector can be beneficial where

challenges are extreme. The aspects listed below and linked to the operations of the mine, contribute to

increased vulnerability of the communities and their possible social disintegration. The communities will not

be able to absorb the changes imposed by the opening of the mine without comprehensive support.

• In-migration of job-seekers and labour increasing the demand for accommodation, increased rental demand, housing densification,

• In-migration of unemployed

• Social behavior change, increase in sex workers, alcohol and substance abuse,


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• Increased susceptibility to HIV and TB

• Social Disintegration of Tribal Communities

12. Expertise of specialist

Pamela Joan Taylor holds a BA Honours degree in Geography and has 17 years’ experience of working with

Local Government and Community Development Stakeholders. Successfully completed projects have

predominantly focused on water and sanitation problems, upgrading of housing and informal settlements,

and free basic water and sanitation policy. There was a large element of Local Government Capacity Building

for Water Services, as well as Community Stakeholder Capacity Development associated with these projects.

Pam (then called Pam Baber) grew up in the Waterberg District. She started her professional career with

Consultburo (Pty) Ltd as a social scientist. Recently she was responsible to scope and undertake the socio-

economic assessments of 19 informal settlements located in and around the mining towns of Rustenburg

and Madibeng in North West Province. All 9 settlements near Rustenburg housed labour predominately

employed by the mines. She was also involved in establishing a platform for collaborative engagements

between Private Sector and Government Partners working within the Water Sector.


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13. References

Cronjé, F., Reyneke, S. & Van Wyk, D., 2013, ‘Local communities and health disaster management in the mining sector’, Jàmbá: Journal of Disaster Risk Studies 5(2), Art. #78, 12 pages. Digby Wells & Associates (Pty) Ltd, 2014, Fatal Flaw Screening Assessment – Lephalale Coal Project

Housing Development Agency, 2011, Lephalale Municipal Profile

Health Systems Trust (HST), Waterberg District Municipality, Burden of Disease Report, 2015-2016

Lephalale Local Municipality, Draft Integrated Development Plan (IDP) 2016-2017

Lephalale Local Municipality, Integrated Development Plan (IDP) 2011/2012

Lephalale Local Municipality, Draft Spatial Development Framework (SDF), 2017

Lephalale Local Municipality, CBD Development Plan, Aug 2013

Limpopo Provincial Government, Department of Agriculture, Strategic Plan 2015/16 – 2019/20

Limpopo Provincial Government, Employment, Growth and Development Plan (LEGD), 2009 – 2014

http://www.statssa.gov.za

Royal HaskoningDHV, 2016, Pre-Feasibility Study for Lephalale Coal and Power Project

Urban-Econ Development Economists, 2016, Social Economic Assessment for Thabametsi Coal-fired Power

Station

Waterberg District Municipality, Environmental Management Framework Status Quo Report

Waterberg District Municipality, 2012, Environmental Management Framework (EMF)

http://www.polity.org.za/article/unemployment-and-immigration-in-south-africa-2013-05-24

www.mining facts.org

http://www.polity.org.za/article/unemployment-and-immigration-in-south-africa-2013-05-24

Appendix E11: Social - Kongiwe · Dedicoal (Pty) Ltd (Dedicoal) proposes to develop a new coal mine...

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