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Mining contribution to sustainable business development : the case of Sekhukhune District Municipality.

M. Tech. Business Administration / Mining is an economic activity that has the potential to develop areas that are impacted by its operations. However, mining operations may also negatively affect the surrounding communities as a consequence of certain undesired practices which either may damage the environment or disturb existing social structures such as tampering with graves. Despite this destabilisation, mining companies may offer either disproportionately low compensation, or, in some cases, engage in unequal distribution of corporate social benefits. If not planned in a sustainable way, mining activities can damage the landscape resulting in diminishing returns to the communities. Thus the research question is, what benefits accrue to the communities in the Sekhukhune District Municipality as a result of profitable mining operations? The objective of this study was to evaluate community programs driven by mining companies as well as obstacles inherent in the development of sustainable Local Economic Development (LED) projects in areas dominated by mining operations. In completing this research a qualitative method was followed. A case study of the Sekhukhune District Municipality in the Limpopo Province was conducted in order to ascertain the role of mining in contributing towards development of sustainable business ventures. Face to face interviews were conducted with all relevant stakeholders in the district in completing the work. The research revealed discrepancies in as far as mining contribution to the area is concerned. The respondents painted different pictures of the matter. Mining companies believe that they are contributing substantially to the communities in terms of sustainable business development and so forth, whereas the opposite is correct. The local municipalities do not have the capacity to deal with issues relating to community development and negotiating with mining companies. It is recommended that joint participation in the development of programs as well as LED projects by all stakeholders in the area be adequately appreciated and enhanced.

Identiferoai:union.ndltd.org:netd.ac.za/oai:union.ndltd.org:tut/oai:encore.tut.ac.za:d1001826
Date January 2014
CreatorsTjatjie, Tshepo Lucas.
Source SetsSouth African National ETD Portal
LanguageEnglish
Detected LanguageEnglish
TypeText
FormatPDF

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