Briefing TO THE PORTFOLIO COMMITTEE ON MINE LICENSING TURNAROUND TIMES 8 MARCH 2017

PRESENTATION OUTLINE Legislative framework. Outline of the Application process. South African Mineral Resources. Administration (SAMRAD). Measures in place to improve turnaround times. Conclusion.

LEGISLATIVE FRAMEWORK PREAMBLE OF THE MPRDA, 2002 (ACT 28 OF 2002) ‘to make provision for equitable access to and sustainable development of the nations mineral and petroleum resources....’. ‘Affirming the states obligation to protect the environment for the benefit of present and future generations to ensure ecologically sustainable development of mineral and petroleum resources and to promote economic and social development’.

LEGISLATIVE FRAMEWORK OBJECTS OF THE MPRDA:CHAPTER 2 Section 2(h) ‘give effect to section 24 of the constitution by ensuring that the nations mineral and petroleum resources are developed in an orderly and ecologically sustainable manner while promoting justifiable social and economic development’. Section 2(d): To redress past imbalances and give economic effect to HDSA’s.

LEGISLATIVE FRAMEWORK LEGAL NATURE OF RIGHTS ISSUED IN TERMS OF THE MPRDA: Section 5(4)(b) ‘No person may prospect for or remove, mine.....or commence any work incidental thereto on any area without ‘an ‘environmental authorization’. Section 5(4)(a) ‘No person may prospect for or remove, mine.....or commence any work incidental thereto on any area without ‘(b) a reconnaissance permission, prospecting right, permission to remove, mining right, mining permit, retention permit, technical co-operation permit, reconnaissance permit, exploration right or production right, as the case may be.

APPLICATION PROCESS Applications lodged are processed in the following phases: First phase - Acceptance or rejection of applications: Applications are triggered by the MPRDA and lodged electronically on SAMRAD. (Section 16 & 22 of the Act- Rejections to take place within 14 days of receipt). Second phase - Adjudication (internal) 120 days to approve Social and Labour Plan and Mine Works Programme. Other adjudication in terms of NEMA timeframes (details on the next slide. Third phase - Granting or refusal Governed by granting criteria in sect 17 and 23 of the Act. Fourth phase – Appeals ( no subsequent rights to be considered while there are appeals pending).

APPLICATION PROCESS…. The DMR has aligned its timeframes in an attempt to increase efficiency and timeous processing of EA applications. Depending on the activities to be undertaken, the applicant can be required to submit either a Basic Assessment report or a Scoping  / Full EIA. Basic Assessment Report Environmental Assessment Practitioner (EAP) required to submit the Basic Assessment Report within 90 days from date of lodgement of the application. The Department should make a decision within 107 days from date of lodgement. 90 days + 107 days = 197 days. NB: The EAP can request for a 50 days extension, if the circumstances warrants such.  Under the circumstances, the total period will be 247 days (excluding public holidays and days that fall between 15 December  and 05 January).

APPLICATION PROCESS… Scoping / Full EIA EAP has 44 days to submit scoping report from date of lodgement of application. DMR to evaluate scoping within 43 days and then accept scoping EAP to submit  the EIA/EMP within 106 Days from date of acceptance of scoping. EIA/EMP to be processed by the Department within 107 days NB: EAP can request for a 50 days extension if the circumstances warrants such. Total 300 days  - if extension is required ±350 days.

SOUTH AFRICAN MINERAL RESOURCES ADMINISTRATION SYSTEM (SAMRAD) SAMRAD is still the only source of lodging and receiving applications within the Department. It was developed to address challenges pertaining to documents being misplaced, contestations regarding order of receipt and processing of applications, etc. often leading to litigation. SAMRAD is made out three interlinked components: Public viewer Portal – for lodgement of applications; GIS – for land selection; and Workflow system – for processing and adjudication of applications.

MEASURES IN PLACE TO IMPROVE TURNAROUND TIMES Continuous improvement on the legislation framework. One Environmental System. Capacity building workshops on application process. Investment One Stop Shop.

CONCLUSION Development of integrated licensing system accessible on the web, mobile and offline platform with capability of managing applications, storing and maintaining up to date mining company information, reporting: production, labour statistics and compliance by mines. The system will also provide analytics capability and management of revenue. Improvement of IT infrastructure prioritizing the Regions. Reprioritise capacity within the Department. Update and Data clean-up of ALL outstanding and historic records on SAMRAD GIS platform.

THANK YOU.