JOHANNESBURG (miningweekly.com) – Royal Bafokeng Platinum’s (RBPlat’s) employee home ownership scheme will give all RBPlat employees the opportunity to become homeowners, ushering out the use of single-sex hostels and unsanitary rented shacks that had become the normal standard of living for many mineworkers across South Africa.

The company this week handed over the keys to the new homeowners of the first 422 units of the Waterkloof Estate, in Rustenburg, in the North West .

Mining companies have long been scrutinised for not looking after their employees properly and the housing scheme addresses the need for decent housing for mineworkers and their families.

Speaking at the handover, National Union of Mineworkers (NUM) deputy general-secretary Tshimane Montoedi stated that the gesture would ensure that NUM members at RBPlat would now be able to live in safe, appropriate housing.

"NUM is proud to be part of this historic project and we hope that other mining companies [follow suit]. It is time for mining companies to start building decent housing for mineworkers and their families as mineworkers cannot continue to live in filthy, unhygienic hostels and shacks," he said.

RBPlat employee Jan Mothoatlhaga was excited at the prospect of being a homeowner, saying that being able to have his family live with him near his place of work was a big moment for him.

“Owning my own home has been my dream and the day has finally arrived. I am so happy,” he said.

The homes, which range in size from 80 m², 140 m², 220 m² and 360 m²  are built on 294 8183 ha of land in Rustenburg next to the N4 freeway.

As part of the first phase, RBPlat will, in future, develop further social amenities and provide interim transport arrangements for the first year, for employees to use at their own cost, until public transport services are rolled out by the municipality.

In addition, the company has approved the R2.8-billion second phase of the project, which will see an additional 3 000 homes completed by 2019.

The estate is developed and managed by Royal Bafokeng Resources Properties (RBRP), which was set up by RBPlat to manage the estate. RBRP’s main objectives are to source funding, develop housing, provide loans and facilitate agreements with the employer for employee home loan repayments.

HOME OWNERSHIP
RBPlat senior human resources manager Collin Alexander said the company would provide loans to the homeowners at consumer price index plus one percentage point.

Employees would repay R2 900 a month, with the repayments on houses that cost R500 000 or more to rise by 7% a year.

He noted that the existing homeowner’s allowance and living-out allowance would be replaced by a homeowner’s contribution, which will be applied to home loan repayments.

“Increases will be effective on July 1 each year, in line with annual wage increases and each homeowner will receive a monthly statement.”

Alexander further explained that RBRP remains the registered owner of the property until 50% of repayment obligations are met.

At this time, the owner can elect to take transfer of the property and RBRP will register a bond over the property. If not, the transfer will happen when the full amount of the bond has been paid over a period of 18 years.

SOCIAL IMPACT

About 1 200 jobs were created during the construction of the first phase of the housing scheme and 120 interns from the Department of Housing were trained during the project.

The Rustenburg local municipality bulk service structure will receive a R560-million investment, while additional funding is being raised for educational, health, recreational and commercial infrastructure that will be developed during the second phase.

“RBPlat is committed to leaving a lasting legacy of sustainable benefits for all our stakeholders and employees, and this project is an important step in our journey to provide decent accommodation and improved living conditions," RBPlat CEO Steve Phiri said.