CSR initiatives in ASM, what should be done?
The activities of small-scale mining (ASM) companies have come under great scrutiny in Zimbabwe due to bad public image and perception, threatening the sustainability of the sector with stakeholders advocating that the sector adopt a clear Corporate Social Responsibility (CSR) strategy or policy that will ensure Environment, Social and Governance (ESG) issues are adopted by the sector.
CSR is when a company operates ethically and sustainably and deals with its environmental and social impacts. This means careful consideration of human rights, the community, the environment, and the society in which it operates.
CSR includes interactions with communities, suppliers, employees, consumers and the Government. There is growing interest in CSR worldwide given the concern with social equity, socially and environmentally sustainable development and corporate roles. The industry today can no longer operate without taking into consideration the needs and interests of the community and society at large.
The ASM sector in Zimbabwe is however accused of blowing money, and degrading the environment with no mine rehabilitation, CSR, mine closure and ESG strategies.
What should be done to ensure ASM adhere to CSR?
Speaking to Mining Zimbabwe, Mineral resource governance expert Mr Tapuwa O’bren Nhachi, said the challenge with the Zimbabwe ASM sector is that it is not formalized and is done haphazardly. He said the miners are in the community to maximise their profits at the expense of the community and the environment.
According to Nhachi, to ensure that small-scale and artisanal miners in Zimbabwe give back to the community, several actions can be taken which include, capacity building, formalisation, access to finances, and regulatory framework.
He said to ensure there is a sustainable CSR strategy within the ASM industry, there was a need to provide training and education programs to improve the miners’ skills and knowledge in sustainable mining practices, environmental protection, and community engagement. He also said that there was a need for the ASM to have access to financial services and credit. He said this can help them invest in safer and more efficient mining equipment and technologies, as well as support community development initiatives and they will pay tax as well.
According to Nhachi to ensure the ASM sector has a working CSR strategy there is a need for the government to support the formalization of small-scale mining operations by providing legal recognition and licenses to help ensure compliance with regulations and promote responsible mining practices.
“Formalizing the ASM sector would bring it into the formal sector through legal, regulatory, and policy frameworks
“Formalizing the sector would also result in the inclusion of marginalized miners throughout the process of developing, adapting, and revising legal frameworks and support. If well designed, this process fosters the conditions to integrate ASM into the formal economy, potentially transforming the lives and safety of millions of people in the country who depend on the sector
“The initial process is to develop conducive and Comprehensive Legal Frameworks through creating a platform for positive and regular dialogue between ASM stakeholders and government to provide a conduit for consultation on changes, informing dialogue based on research on mining communities to understand the complexities of the ASM sector and establishing a co-created roadmap outlining,” he said.
Zimbabwe Diamond and Allied Mineral Workers Union (ZDAMWU) General Secretary Mr Justice Chinhema said it was important for the government to develop and enforce regulations that promote responsible mining practices, community inclusion and protect the rights of small-scale miners. He said the strategy includes, measures to prevent child labour, fair working conditions, prevention of environmental degradation and to punish those who do not abide by the law.
“At the moment there is a lack of regulatory enforcement by the relative authorities due to political patronage and corruption
“There is need for government to urgently come up with a law.
“Without an enabling legislation that speaks about ASM participating in CSR, communities and Workers will always be at a disadvantage,” Chinhema said.
What are ASM currently doing?
While there is a lot of talk about the ASM not doing anything in terms of corporate social responsibility, Communities in the gold-rich area of Kadoma are applauding the efforts being made by the miners to empower young people and help in the growth and development of their communities.
The miners in the gold-rich area are taking CSR seriously aiming to take a leaf from activities done by Zimplats but at a small-scale venture.
Speaking in an interview with this publication, Thembonkosi Mangena, an employee for one of the small-scale mining companies in Kadoma applauded the efforts made by miners in their district to empower young people.
“A lot of families are benefitting from these initiatives. I work here on the mine but I have a family also benefiting so I am grateful for that. If I was not employed by this mine, i don’t know where my life would be, “he said.
According to the Managing Director of Tshuma Milling, Mr Spencer Tshuma his company has been doing a lot for the communities making sure that they benefit from the resources which are being mined in the area they live.
His company is known for promoting upcoming small-scale miners with equipment such as jackhammers, compressors and excavators.
“We have recently drilled boreholes for the communities around and rooftops at Gweshe Primary School and we are paying school fees for the less privileged,” Tshuma said.
Also, to see the growth and development of the artisanal and small-scale mining sector Mrasta Mining, a mining and milling company in Kadoma has been donating equipment to miners. Mrasta Mining Milling Manager Oliver Hlupayi said his company has been supporting miners to promote formalization.
“We are providing equipment for miners to support their growth and development,” Hlupayi said.
The company’s Managing Director, Mr Johannes Sithole said his company was paying fees for the best pupils at Sanyati and Alabama primary school.
“We paying school fees for the top 2 pupils in every class at Alabama Primary School and Sanyati Primary School. In addition, the company employs over 90 per cent of its employees from Kadoma” Sithole said.
Conclusion
While stakeholders within the mining industry have their view on what should be done to ensure that the ASM adopt CSR initiatives for the benefit of communities. It is crucial to understand the operations of small-scale miners in order to develop a concise Corporate Social Responsibility (CSR) policy for them.
This article was first published in the Mining Zimbabwe Magazine issue 68