Gas Amendment Bill: public hearings report; DMRE Budget: Committee Report

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Mineral Resources and Energy

13 May 2022
Chairperson: Mr S Luzipo (ANC)
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Meeting Summary

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Tabled Committee Report

The Committee virtually to consider and adopt its report on the 2022/23 Annual Performance Plan and Budget of the Department of Mineral Resources and Energy (Vote 34). Members made additions to the report on matters such as finalisation of the electrification master plan, minimising consultants' costs, VAT on diamonds, and the strategy for strategic minerals. 

The Committee considered and accepted its internal report on the provincial public hearings on the Gas Amendment Bill. There was some confusion among Members as to the purpose of the report and it was clarified that the report was a reference document for Members to refer to the provincial hearings when deliberating on the Bill 

Meeting report

The Committee passed its condolences to Deputy Minister of Mineral Resources and Energy, Dr Nobuhle Nkabane, who had recently lost her father. There were apologies for Mr J Lorimer (DA) and Mr V Zungula (ATM).

Committee Report on the 2022/23 Annual Performance Plan and Budget of the Department of Mineral Resources and Energy (Vote 34)

The Committee Secretary took Members through the report.

Mr M Mahlaule (ANC) added some recommendations to the report:

- The Department needs to collaborate with the Central Energy Fund (CEF) and find alternate sources

-Measures need to be put in place to mitigate issues between Eskom, Independent Power Producers (IPPs), and NERSA

-Professional service providers need to finalise their electrification master plan

-Consultant costs need to be minimised by filling funded posts

-Funding for mining and energy needs to increase

-There needs to be consultations with the Minister of Finance that add VAT to diamonds

-The social labour plan needs to be monitored by the Ministry to address the problems faced by mining communities.

Under the Mine Health and Safety Council (MHSC), the Chairperson said that the report lacked the information on inspectors, their skills and focus in the regional offices.

Under Mintek, there were issues around internal marketing and commercialisation.

Under the South African Diamond and Precious Metals Regulator (SADPMR), there was an issue due to the absence of a clear strategy of strategic minerals.

Ms V Malinga (ANC) said there were solar water geysers that had to be procured. There was a lack of information on this in the report. It should be added to the recommendations.

The report was adopted.

Gas Amendment Bill: public hearings presentation

The Committee was taken through the report by Mr Sivuyile Maboda, Committee Researcher.

Mr M Wolmarans (ANC) said there were people that participated that did not say yes or no to the Bill. Could one assume those people were in favour of the Bill if they did not expressly oppose it in their submissions? How can these responses be phrased?

Ms Malinga spoke about people that had disrupted proceedings continuously when the Department was informing the public of the Bill. She wondered whether this should be included in the report. She also raised points around ensuring the communities are knowledgeable on the Bill before the Committee engages in the hearings.  

Mr Mahlaule was concerned that some of the proposals raised in the hearings did not reflect clearly. He felt there should be clear recommendations that the Committee could deliberate on. There was general confusion about the report in that it differed from other Committee reports.

The Chairperson was of the view that Members should look at the report as a reflection of what occurred at the hearings.  He thought the bold recommendations would come only when the Committee deliberated on the Bill.

Mr Maboda clarified that this was the first that the Committee has developed such a report. The report was to summarise the main points that came out of the public hearings on the Bill in the provinces. The Committee would still deliberate on the Bill and would have legal guidance. This is when the Committee would make its firm recommendations on the Bill. The Committee will also have all the written submissions when deliberating.

The Committee Secretary confirmed this. The report on the provincial hearings can be used as a reference document when the Committee deliberated on the Bill. It will be used for reference together with the written submissions and the Department’s response.

The Committee adopted the report as a true reflection of what occurred in the provincial hearings.  

The Committee Secretary added the report was for internal purposes and would not go to the House for debate.

The Chairperson said the report was there to reflect on the proceedings of what occurred at the provincial hearings and was not making substantive recommendations at this point.

The Committee discussed its programme for meetings next week.

The meeting was adjourned.

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