Published: February 26, 2016 |

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The Chamber of Mines has welcomed the fact that the draft Carbon Tax bill will be revised‚ taking into account public comments and further consultation.

It said on Wednesday that with the current economic conditions facing the industry‚ the mining industry would struggle to remain competitive if a carbon tax was introduced in the short term.

“Given that South Africa’s carbon intensity per unit of GDP is already below the peak-plateau-decline line committed to by South Africa at Copenhagen in 2009‚ the specific merits of introducing a carbon tax right now are questionable‚” the chamber said‚ adding that it fully supported the country’s commitment to addressing climate change.

The chamber welcomed the 2016 Budget speech delivered by Finance Minister Pravin Gordhan on Wednesday and‚ in particular‚ the fact that the minister had acknowledged the role of mining (among other industries) and its contribution to overall growth and development.

“While there remain many aspects of the budget that will be finalized through the Parliamentary budget process‚ and which we hope will maintain the clarity and purpose with which this speech has been delivered‚ the emphasis that has been placed on addressing policy certainty‚ the effect of protracted labor disputes‚ electricity supply constraints‚ regulatory barriers to investment and a commitment to good governance and rooting out corruption are particularly welcome‚” it stated.

“The state’s commitment to improving the efficiency of State Owned Enterprises (SOEs) is important‚ and the inter-Ministerial committee focused on instilling good corporate governance in SOEs should expedite the work it has started. At the same time‚ the commitment to investigate opportunities for co-funding are sensible and timely‚” the chamber added.

Source: (February 25, 2016) Sowetan Live

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