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Socio Economic Impact Assessment the Following Stipulations Highlights the Necessity to Include Socio Economic Issues in Environmental Impact Assessments

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Socio Economic Impact Assessment the Following Stipulations Highlights the Necessity to Include Socio Economic Issues in Environmental Impact Assessments Socio-Economic Impact Assessment Report Jeanette Goldmine, Free State January 2016 Harmony Gold. File photo; Image by: Reuben Goldberg PREPARED BY: An Kritzinger (Economic specialist) (Contact: +27 (0) 82 335 4126) Johan Oosthuizen (Social specialist) (Contact: +27 (0) 82 557 3947) For SLR Consulting on behalf of Taung Gold (Free State) (Pty) Ltd TABLE OF CONTENTS LIST OF ABBREVIATIONS .......................................................................................................4 DETAILS OF SPECIALISTS.......................................................................................................5 DECLARATION OF INDEPENDENCE ....................................................................................5 0. NEMA CHECKLIST ......................................................................................................6 1. INTRODUCTION ...........................................................................................................7 1.1. PROJECT BACKGROUND ..........................................................................................7 1.2. LEGAL FRAMEWORK FOR SOCIO-ECONOMIC IMPACT ASSESSMENTS IN THE MINING SECTOR ..............................................................8 1.3. SCOPE OF WORK .......................................................................................................10 1.4. METHODOLOGY AND SOURCES ...........................................................................10 1.5. LIMITATIONS AND ASSUMPTIONS ......................................................................11 2. SOCIO-ECONOMIC BASELINE OF THE LOCAL AREA ....................................11 3. THE POTENTIAL SOCIO-ECONOMIC IMPACTS OF THE PROJECT AND PROPOSED MANAGEMENT MEASURES ....................................................41 3.1. POTENTIAL IMPACTS DURING THE CONSTRUCTION PHASE ....................41 3.2. POTENTIAL IMPACTS DURING THE OPERATIONAL PHASE .......................54 3.2.17. POTENTIAL SOCIO-ECONOMIC IMPACTS DURING THE DECOMMISSIONING AND CLOSURE PHASE .....................................................67 3.4. POTENTIAL CUMULATIVE IMPACTS ..................................................................68 4. SOCIO-ECONOMIC IMPACT AND RISK ASSESSMENT METHODOLOGY ........................................................................................................70 5. SOCIO-ECONOMIC IMPACT AND RISK ASSESSMENT ....................................73 6. POTENTIAL LOCAL SOCIO-ECONOMIC DEVELOPMENT PROJECTS ....................................................................................................................82 7. RECOMMENDATIONS FOR MANAGING RELATIONSHIPS WITH COMMUNITIES AND INTEREST GROUPS ...........................................................83 8. SUMMARY AND CONCLUSION ..............................................................................84 9. RESPONSES TO SOCIO-ECONOMIC ISSUES HIGHLIGHTED BY INTERESTED AND AFFECTED PARTIES .............................................................86 10. REFERENCES ..............................................................................................................87 ANNEXURE 1: LIST OF STAKEHOLDER INTERVIEWS ..................................................90 ANNEXURE 2: CURRICULUM VITAE OF SPECIALISTS .................................................91 LIST OF ABBREVIATIONS Abbreviation Description AMCU Association of Mineworkers and Construction Union ANC African National Congress bn billion COCTA Department of Co-operative Governance DEA Department of Environmental Affairs DMR Department of Mineral Resources DTI Department of Trade and Industry EIA Environmental Impact Assessment EMIS Department of Basic Education FGF Free State Goldfields Development Centre GUBICO The Gold and Uranium Belt Impact Censoring Organisation Ha Hectare HSRC Human Sciences Research Council I&AP Interested and Affected Parties IAIA International Association for Impact Assessment ICT Information and Communication Technology IDP Integrated Development Plan Km2 Square kilometre LED Local Economic Development MPRDA The Mineral And Petroleum Resources Development Act n.a. not available NDRDLR National Department of Rural Development & Land Reform NEMA National Environment Management Act NGO Non-governmental Organisations nr Number NUM National Union of Mineworkers p.a. per annum SEDA Small Enterprise Development Agency SEIA Social and Economic Impact Assessment SMME Small, medium and micro enterprises UASA United Association of South Africa 4 DETAILS OF SPECIALISTS An Kritzinger (Masters Economics) has been working as consultant in the economic development field for the past sixteen years. She has extensive experience in the economic profiling and economic development plans for local authorities and districts in South Africa and has designed and implemented a training project for the monitoring of sustainable local economic development for municipalities throughout South Africa in collaboration with the Development Bank of Southern Africa. Her work has also focussed on applied economic modelling in South Africa, Namibia, Botswana and Mozambique including economic impact analysis, economic cost benefit analysis, social incidence studies and macroeconomic forecast modelling. Johan Oosthuizen holds Psychology and Project Management degrees from the University of Pretoria and is a social specialist with approximately 4 years’ experience in social impact assessments, including baseline data gathering, sensitivity mapping, primary and secondary social research to determine the effect (impact) of project changes on the existing social environment, and detailing mitigation and/or enhancement measures. Johan works in close coordination with senior specialists as part of an integrated team of social and environmental specialists. DECLARATION OF INDEPENDENCE This report has been prepared as per the requirements of Section 32 of Government Notice No. R542 dated 18 June 2010 (Environmental Impact Assessment Regulations) under sections 24(5), 24M and 44 of the National Environmental Management Act, 1998 (Act 107 of 1998). We, Anna Sophia Kritzinger and Johan Oosthuizen declare that this report has been prepared independently of any influence or prejudice as may be specified by the Department of Environmental Affairs (DEA). Anna Sophia Kritzinger Johan Oosthuizen Signatures of the specialists: Southern Economic Development Name of group (trading name): January 2016 Date: 5 0. NEMA CHECKLIST NEMA Regulations (2014) Relevant section in report Details of the specialist who prepared the report Page 5 and Annexure 2 The expertise of that person to compile a specialist report including a curriculum vitae Page 5 and Annexure 2 A declaration that the person is independent in a form as may be specified by the competent authority Page 5 An indication of the scope of, and the purpose for which, the report was prepared Section 1.3 The date and season of the site investigation and the relevance of the season to the outcome of the assessment Section 1.4 (season not relevant) A description of the methodology adopted in preparing the report or carrying out the specialised process Section 1.4 The specific identified sensitivity of the site related to the activity and its associated structures and infrastructure Not applicable An identification of any areas to be avoided, including buffers Not applicable A map superimposing the activity including the associated structures and infrastructure on the environmental sensitivities of the site including areas to be avoided, including buffers; Not applicable A description of any assumptions made and any uncertainties or gaps in knowledge; Section 1.5 A description of the findings and potential implications of such findings on the impact of the proposed activity, including identified alternatives, on the environment Section 8 Any mitigation measures for inclusion in the EMPr Any conditions for inclusion in the environmental authorisation Not applicable Any monitoring requirements for inclusion in the EMPr or environmental authorisation Section 3 A reasoned opinion as to whether the proposed activity or portions thereof should be authorised and Section 8 If the opinion is that the proposed activity or portions thereof should be authorised, any avoidance, management and mitigation measures that should be included in the EMPr, and where applicable, the closure plan Section 8 A description of any consultation process that was undertaken during the course of carrying out the study Section 1.4 and Annexure 1 A summary and copies if any comments that were received during any consultation process Not applicable Any other information requested by the competent authority. Not applicable 6 1. INTRODUCTION 1.1. PROJECT BACKGROUND Taung Gold (Pty) Ltd (Taung) proposes to revive the historical Jeanette Gold Mine that was formerly owned by AngloGold Ashanti and at a later stage by Harmony Gold. It is an underground gold mine situated approximately 20 km north-west of Welkom in the Matjhabeng Local Municipality of the Free State. Matjhabeng Local Municipality is situated in the Lejweleputswa District Municipality in north-eastern Free State about 250 km south of Johannesburg and 160 km north of Bloemfontein. It is bound by the Nala Local Municipality to the North, Masilonyana Local Municipality to the South, Tswelopele Local Municipality to the East and Moqhaka Local Municipality to the West. Matjhabeng represents the hub of mining activity in the Free State province. Figure 1: Jeanette Mine Location Source: Taung
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