This Economic Impact Assessment Report is one of the additional specialist studies requested by the Department of Mineral Resources (DMR) in 2018 for the Basic Assessment Report (BAR) process being conducted for the Tja Naledi Barrage Sand Mine, located along the banks of the Vaal River, on the northern boundary of the Ngwanthe Local Municipality in the Fezile Dabi Magisterial district, Free State Province.
While it has not been possible to undertake a strategic economic assessment of suitable land use developments for this area (as requested by the local Federation for Sustainable Environment (FSE) during the assessment process), this Economic Impact Assessment has gone beyond the normal scope of assessing the positive economic impacts of the proposed mining amendment, and considered the negative economic impacts.
The Report concluded:
“Our recommendation is that DMR carefully consider how they will ensure the effective management of the cumulative impacts of sand mining in this and other areas along the Vaal River. To do this, it will be necessary to develop a regional perspective on the existing sand and gravel mines as well as the applications for mining rights, and develop a regulatory strategy that can manage the number of mines in each locality and the economic impacts on other economic activities.
With respect to the current applications by Tja Naledi and Pure Source, the economic impacts of these mines on existing economic activities and the marginal economic situation for these mines, suggests that it would not be appropriate to approve these mining applications at this stage. Alternatively, they could be approved subject to the mitigation measures recommended and included in their EMPs, if and when the mine’s business financials are proven to be viable (given the broader market context) and can cover the cost of the mitigation measures that are needed to minimise the visual, noise, dust and traffic impacts. This may encourage the mining companies to look for sand mining opportunities in areas where the visual, noise, dust and traffic impacts are minor.”
The above recommendations by the independent consultants (Eviro Works) are seen by the FSE, Vaal Eden Committee as significantly supportive of its arguments that sand mining is not the best practicable environmental option for the area.
The Report is attached for download.