Portfolio Committee asks DMR to intervene at Optimum mine

23rd February 2018

By: Anine Kilian

Contributing Editor Online

     

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JOHANNESBURG (miningweekly.com) – The Portfolio Committee on Mineral Resources has called on the Department of Mineral Resources (DMR) to intervene at the Gupta-owned Optimum coal mine and “establish with certainty” the future of the mine.

Power utility Eskom late on Thursday confirmed that the mine, which supplies coal to its Hendrina power station, had started business rescue proceedings.

The utility also said it had not received coal from the mine since about 2 000 employees at the mine downed tools on February 22.

Eskom has diverted coal from other mines to supply the Hendrina power station.

The Committee said it had taken note of a letter written by the National Union of Mineworkers requesting its intervention in the ongoing impasse at the mine, with employees uncertain about whether they will receive their salaries.

Committee chairperson Sahlulele Luzipo said the situation at Optimum mine was reminiscent of the events that occurred leading up to the Aurora mine disaster, where workers were not paid for several months before the mine was shut down and its assets stripped by owners. 
 
“It cannot be allowed under this government dispensation that workers are made to bear the brunt, while the owners walk away unscathed,” he said.

He also called on the DMR to ensure that Optimum’s employees are paid their salaries.
 
Eskom, meanwhile, said Optimum had failed to meet its contractual deliveries to the Hendrina power station in January and the the utility had imposed a failure to supply penalty against Optimum.

Edited by Chanel de Bruyn
Creamer Media Senior Deputy Editor Online

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