‘Creecy grants compliance extension for miners - a red flag for climate change goals’ 20 May 2022

Mining companies have been granted another extension to comply with regulations linked to environmental rehabilitation. Minister of Environment, Forestry and Fisheries Barbara Creecy granted a 15-month extension for existing mineral rights holders to comply with National Environmental Management Act (NEMA) Financial Provisioning Regulations of 2015. This is the fourth time an extension has been granted. The extension - till 19 September 2023 - has been allowed while the proposed amendments to the Financial Provisioning Regulations are being finalised.

…Horsfield explained that mining-affected communities and the State essentially bear the brunt of pollution and environmental degradation if mines do not address the full extent of environmental damage caused by their activities. Garyn Rapson, partner at Webber Wentzel, shared that the regulations ensure that the state does not become liable for the costs of mitigation, rehabilitation and management of the negative environmental impacts and environmental damage caused by mining activity. These responsibilities should fall with the mineral rights holder. The regulations facilitate environmentally sustainable mining, said Rapson. They require that mining companies set aside enough funds for the rehabilitation of the environment to address the pollution and damage caused by their activities.

…Horsfield believes that the "grace period" for mining companies has been "unreasonably" extended. The regulations have been in place for seven years now, and they were gazetted following a considerable consultation period with stakeholders. "In 2015, therefore, mining companies already knew what was going to be required of them. So while an initial grace period to enable existing mines to meet the new standards may have been understandable, that grace period has been persistently extended – unreasonably so." Delaying compliance with the regulations facilitates violations of the NEMA and section 24 of the Constitution which deals with environmental rights, Horsfield added.