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Diamond mining co's criticised

Cape Town - Diamond mining companies operating on the West Coast have been sharply criticised in a damning report on social investment in this area, where most of South Africa's diamonds are mined.

The West Coast is characterised by unemployment, alcohol abuse, a high suicide rate and a lack of infrastructural development, declares a research report by the Bench Marks Foundation.

The organisation monitors social investment and says that the communities worst affected are in Port Nolloth, Hondeklipbaai and Kleinzee.

Apart from the Richtersveld community and, to a lesser extent, the folk at Steinkopf, most communities on the West Coast derive scant benefit from mining companies' social investment, according to the study.

Serious water shortages, unreliable electricity supply and poor roads aggravate the situation.

Bench Marks Foundation chief executive John Capel says the study shows that over the years mining activities have destroyed the environment's water resources, marine life and vegetation.

It also shows up the poor monitoring ability of the Department of Mining.

The difference between mining companies' policies and practice is responsible for the situation, Capel asserts.

"The very least that the diamond industry can do is to apply responsible mining," said Cappel.

The study found that there was no cooperation between most of the communities on the West Coast, other than the Richtersveld community which has a clear desire to develop, in contrast to the communities of Port Nolloth and Hondeklipbaai.

Another contentious issue is the state's involvement as a direct producer and marketing agency in the diamond industry.

"This sort of interference and conflict of interest in the South African mining industry is becoming common practice. The proposed state mining company, African Exploration Mining & Finance Corporation (AEMFC), wants to simultaneously play the role of regulator as well as a mining business, and it is being sharply criticised by concerned role-players," Capel said.

He advises West Coast mining companies to do more towards reporting on their social investment honestly and regularly.

-Sake24

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