Evaluation of strategies to combat poverty among communities post mine closure : a case of the Ba-Phalaborwa local municipality, Mopani, in Limpopo Province

Abstract

The purpose of this study is to evaluate the effectiveness of the poverty alleviation strategies post mine closure in the Ba-Phalaborwa Municipality. The study also focuses on the legislative framework of mine closure in South Africa, to guide the mining operations, downsizing and retrenchment processes. The study is qualitative in design, and semi-structured interviews were used for the mining officials, municipal officials as well as the retrenched employees. The literature review looks at how other countries of the world are effectively making use of the available resources in combating poverty in their respective countries, including African countries. It is evident that natural resources are the most important international commodity and thus play a major role in the socio-economic development. The study critically analysed how effective are the strategies to alleviate poverty currently implemented in the research community. This analysis includes the impact faced by mining communities post mine closure, owing to the depletion of Copper and phosphates ores which are the most mined natural resources in the area. The findings of this study reveal that mining companies are profit-making entities, and their survival depends on both their production and favourable market forces. Some of the key findings are that poverty alleviation projects are there but the administration of those projects is poor, and thus do not address their primary goal; and the partnership between the municipality and mining companies is not mutual. Recommendations made in this study are that there should be proper approach towards the implementation of those strategies; reinforce future plans of mining companies during downscaling and a complete closure; and also ensure that a municipality provides support to viable Small Medium and Micro Enterprises (SMMEs) that are linked to tourism sector to unlock socio-economic activities within the community.