Profits 'fuel' mining carnage

Mineral Resources Minister Susan Shabangu says an ANC team will determine the party's nationalisation policy.

Speaking at the Cape Town Press Club yesterday, she said: "This is a debate we cannot ignore. It has to be examined."

Shabangu, who has been outspoken in her opposition to nationalisation of the mining sector, avoided making comments about the ANC Youth League's position in favour of the state taking over the mines.

The youth league, led by its president, Julius Malema, has been calling for the nationalisation of mines in South Africa.

She gave no indication of when the ANC team would finish its work or make its recommendations.

Shabangu expressed her concern about mine-related deaths, which she termed a "carnage".

She said that, from the beginning of the year to August 15, 76 miners had lost their lives, compared to 79 last year.

Shabangu said the rocketing prices of gold and platinum could be a contributing factor to mine deaths because employers pushed their workers harder to increase profits.

"Where there are more profits, there is an increase in fatalities," Shabangu said.

The SA Chamber of Commerce and Industry has weighed in on the nationalisation debate.

Its CEO, Neren Rau, said that if South Africa nationalised the mines it would not end there.

"This is something we're certain of," he said yesterday as he took part in a debate organised by the Federation of Unions of SA, in Johannesburg.

"By nationalising one sector of the economy, you won't address all the challenges facing the country - other sectors will become involved and nationalisation will spread to the entire economy."

The chamber found that, when it engaged with foreign visitors, their number one concern was nationalisation.

"Previously, it was crime that worried foreigners. However, it's a well-known fact that we need foreign funding to assist our current account."

Rau said that he had been asked why business had not responded adequately to the nationalisation debate: "One of the defences I use is that we haven't defined nationalisation."