Fin24

ANC mining ideas 'not viable'

2012-07-25 13:28

Johannesburg - It is unlikely that many of the ANC's policy proposals on state intervention in the mining sector (Sims) will come to fruition, a business leader said on Wednesday.

"Reality and contradictions will get in the way of the Sims proposals," said Michael Spicer, vice-president of Business Leadership SA.

"I very much doubt if we will see many of those (come to fruition), if any at all, because the importance of a growing industry will become clearer as the debate proceeds."

Spicer was speaking in Johannesburg at a discussion hosted by the FW de Klerk Foundation on the recent African National Congress policy conference.

He said the fundamental flaw of some of the proposals was an assumption that the mining industry "continues on autopilot" whatever interventions occurred.

There was almost no reference to growing the mining industry.

An alternative vision would be to ask what it would take to turn South Africa into the number one mining country in the world.

Spicer said many facts and figures of the contribution of the mining industry were simply not understood.

It was incumbent on the mining industry to do a much better lobbying and communication job, he said.

Sims proposals, to be further discussed at the ANC's conference in Mangaung in December, include a super tax on mining profits, and merging a number of government departments to form a super-economic ministry.

 

Comments
  • charles.gregory.7906 - 2012-07-25 13:44

    Its so easy buy one mine and test the proposel so every body can see the chaos that wil follow

      patrick.buckley.712 - 2012-07-25 14:09

      Almost every municipality has been screwed-up, the hospitals are all screwed-up, the entire education dept is screwed-up, roads are screwed-up, the water board is screwed-up.................. Who needs a mine to prove the point?

      charles.gregory.7906 - 2012-07-25 14:41

      So that when the anc suporters want to grap the next one there will be some example to have in court to stop them

      bob.mcmillen.564 - 2012-07-25 14:56

      Or ANC ideas not viable.

      ken.grimblegrumble - 2012-07-25 15:20

      @patrick Your last sentence is priceless, I laughed myself silly

  • vusi.masombuka.5 - 2012-07-25 13:52

    What alternative ways do you bring to the table? I am not surprised of your statement because the event was hosted by an imperialist.

      Henk - 2012-07-25 13:56

      Do you know that the current black elite are imperialists? Do you know the meaning of the word?

      nrgx.nrg - 2012-07-25 13:58

      *facepalm* - I am not surprised of you your statement because the comment was made by an uneducated communist!

      stephen.redford.16 - 2012-07-25 14:18

      Proposal : Forget trying to redistribute wealth instead focus on become competitive and CREATING wealth.

      patrick.buckley.712 - 2012-07-25 14:20

      "imperalist", "colonialist": The ultimate "get out of jail" cards are really wearing very thin. This hackneyed terminology has actually become ridiculous and plain stupid. Time to buy your box of polyfilla, and fill in the chip on your shoulder. 20 years on its time to stop the excuses, and self pity.

      sisa.mtwana - 2012-07-25 14:31

      @Dawood so true bro. Couldn't have said it better. Just hope many can read this.

      Henk - 2012-07-25 14:49

      90% of the revenue is taxed at 28% So how does it leave the shores? Do you know of any mines that are evading tax?

      Kevin - 2012-07-25 14:54

      Our Imperialists dissappeared with the end of the British Empire. The only Empire left is the Chineses empire, and to the best of my knowledge Michael Spicer is not Chinese. The ill educated are use words to impress upon the rest how ill-educated they really are. As for nationalisation it doesn't work and cannot work because the reasons to be efficient and make money are absent. When Zambia nationalised the Copper Mines R1 was equal to 1 Kwacha now there are 540 kwacha to the rand, this collapse took about 20 years. When Mugabe "nationalised" the land in Zimbabwe ther were $2.5 to the Rand, The Zimbabwe dollar no longer exists as it became valueless. Proponents of nationalisation "know not what they ask". Where ever nationalisation has taken place value destruction and poverty have followed as night follows day. Bring on nationailsation, bring on social chaos, bring on the destruction of pension values and we will become like Zimbabwe where only the political elite have money and corruption is the only way to live.

  • Henk - 2012-07-25 13:55

    The elite just want to ensure that the Financed BEE deals are paid in full. Then they can totally relax with billions in the bank!

  • moeg.malseun - 2012-07-25 14:08

    kenteth kahunda did nationalize the mines in the 1970 he ruled for 20years and the mining industry basically collapsed in zambia as soon as the new government came in the state privatized the mines and investment fillterd back to Zambia why cant we just learn a lesson from that why do we have to put ourselves thou that same sanario its just like affirmative action = APARTHEID

  • sean.murphy.165 - 2012-07-25 14:15

    None of the ANC's governing ideas are viable yet they continue unhindered. The fact some something cannot work will not stop these morons from trying anyway. When the economy is in ruins they will just blame apartheid.

      alan.gernet - 2012-07-26 08:05

      what you smokin Victor?

  • Allan - 2012-07-25 15:16

    Having gold in the ground does not automatically mean everyone will be rich because gold sells for $ 1500 per ounce. This is a gross over simplification of the issue. Gold under the ground is irrelevant and worthless and only becomes worth something when someone buys the refined product. Everyone seems to forget the process in the middle called "mining" which is extremely capital intensive with high levels of risk. When you impose a super tax on the middle process who wants to go mining?

  • sidney.gilroy - 2012-07-25 15:24

    Very simply put : The ANC will not govern long enough still to implement ANY of it`s daydreams. The death will be sudden, violent and ugly as friends turn into foes. Attend any meeting of any branch of the ANC and you will see for yourself. Everyone wants to be the boss. Everyone wants to be rich. There is no more loyalty. There is no more idealism. There is only fighting for power, regardless of the cost.

  • aiazmir - 2012-07-25 18:21

    "Reality and contradictions will get in the way of the Sims proposals," said Michael Spicer. When a protagonist has abandoned logic and a sense of reality, and is prepared to strip a mine of its aboveground assets at the expense of the reward underground, then you are dealing with a protagonist who knows only one reality, self-enrichment at the expense of the broader economy. Therefore, though I don't take issue with the statement, it is the conclusion that I take issue with. The ANC are LIKELY to implement SIMS because they have abandoned all reason and sense of reality.

  • pages:
  • 1