PRETORIA (miningweekly.com) – Mining remained the backbone of the South Africa economy and the government was taking steps to ensure that the mining sector continued its positive contribution to South Africa, President Jacob Zuma said on Tuesday.

In opening remarks at the quarterly National Mining Consultative Forum for a Sustainable Mining Industry, the President told the who's who of the mining industry present that the meeting represented the aspiration of South Africa to reinstate the necessary confidence in the mining industry, which remained the economic pillar.

"We had a fruitful, productive and successful meeting as compatriots," he later told a post-talks media conference in which Creamer Media's Mining Weekly Online took part.

Present at the forum, which was established in 2013 to implement the Framework Agreement for a Sustainable Mining Industry following the violence that erupted on the platinum belt in 2012, were top representatives of business, labour and government, who engaged in many hours of discussion from which the media was barred.

"It's crucial that all stakeholders play a constructive role in moderating cost pressures to ensure the viability of the mining industry," Chamber of Mines president Mike Teke said in a subsequent media release in which he added that companies saw retrenchments as a last resort and first sought to reduce cost pressures by cutting back on capital costs and restructuring.

President Zuma said that the sustained depressed commodity prices and the risk of job losses necessitated urgent intervention "by all stakeholders in our country".

"I would like stakeholders to strengthen collaboration," President Zuma urged.

The Mining Phakisa, which would convene in October, would seek to position mining as a catalyst for development.

The implementation of joint labour, business and government action had resulted in a steady improvement in peace and stability in the mining sector.

He urged all to commit to the full implementation of all the elements of the industry's framework agreement.

Stakeholders must also continue to encourage adherence by their respective constituencies to the rule of law, denunciation of violence and intimidation and ensuring that mining investment flowed into South Africa.

The multistakeholder Mine Crime Combating Forum had handled 4 059 reported incidents, which had resulted in arrests of 761 perpetrators.

There were currently 61 cases on the court roll and 92 cases had been finalised with a guilty verdict and six with not-guilty verdicts.

Stakeholder forums had been established to deal with illegal mining in Mpumalanga, Gauteng and the Free State and another would be operational in the Northern Cape before year-end.

The forums consisted of mining companies, labour unions and government through the South African Police Service, the South African National Defence Force, the Department of Mineral Resources (DME), the Department of Home Affairs and municipalities.

DME had started a programme to rehabilitate ownerless mines to stop illegal mining.

SPECIAL ECONOMIC ZONES

President Zuma told the media conference in which Creamer Media's Mining Weekly Online participated that the departments of Trade and Industry, Economic Development and Small Business Development were facilitating industrial projects in 15 mining towns and labour-sending areas and special economic zones had been established for value addition to platinum-group metals in the Bojanala and Greater Tubatse municipalities.

An agriprocessing special economic zone had been set up in the OR Tambo municipality and an industrial park in King Sabata Dalindyebo municipality, both labour-sending areas in the Eastern Cape.

One-stop service centres had been created to assist 4 000 former mineworkers with pension fund payments in the Eastern Cape and Gauteng.

More one-stop services centres would be established in the Northern Cape and Limpopo this financial year.

Plans were in place for joint participation at the Prospectors and Development Association of Canada conference in March 2016 to boost South Africa's standing as an investment destination.

More than 460 orders had been issued on noncompliance with the Mining Charter and 204 orders had been issued on noncompliance with environmental management plans.

A protocol for the verification of union membership had been introduced to speedily resolve recognition agreement issues.

Future forums, which had been formed to mitigate the impact of mines being downsized, would be strengthened to ensure full functionality.

More than R419-million had been spent to improve the living conditions of mineworkers in informal settlements with 5 000 accommodation units being delivered in 15 prioritised mining towns in the Free State, Mpumalanga and North West.

The Department of Human Settlements had allocated R1-billion for 19 000 more housing units in mining towns in the 2015/2016 financial year.

President Zuma called on everyone in the mining sector to work together and play their part in the building of a sustainable mining industry and a growing South African economy.

The Chamber of Mines appealed to all parties to create a competitive, stable and predictable environment to ensure continued investment in mining.