Republic of South Africa: The Parliament

The Select Committee (SC) on Trade and Industry, Economic Development, Small Business Development, Tourism, Employment and Labour as well as the Select Committee on Transport, Public Service and Administration and Public Works have highlighted the need to enhance monitoring and evaluation to ensure that enterprises funded by state agencies increase their corporate social investment and skills transfer to the communities they operate in.

“Corporate social investments are the bedrock of community development and companies supported through state interventions should ensure trickle-down development. We are satisfied that Kele Mining solutions is doing its part in this drive and this should be encouraged across the board,” said Mr Mandla Rayi, the Chairperson of the SC on Trade and Industry.

The committees completed their second day of a week-long oversight visit to the Northern Cape to assess the implementation and impact of the economic recovery plan. The committees appreciated the information that Kele Mining Solutions employs over 400 people, with 90% of the workforce drawn from communities in the area. Furthermore, the investment as a percentage of their turnover in skills development is worth applauding and encouraging.

Kele Mining Solutions received funding of R144 917 304 in 2018 from the Industrial Development Corporation. The visit to the company thus formed part of the committees’ oversight obligation to keep sight of such funds and see first-hand how the appropriated funds are being used.

Meanwhile, the committees also visited the Kudumane Magistrate Office, which is undergoing renovations. The committees are of the view that such projects should play a catalytic role in the development of women in the construction industry, in light of concerns about the lack of gender parity in employment figures and the need for increased participation of women within the construction industry.

Despite this, the committees welcomed the assurance that the project is nearing completion, despite the delays caused mainly by the impact of the Covid-19 pandemic on the construction sector. Nonetheless, they urged the Department of Public Works to implement penalties against the contractor if further delays are experienced. They also raised concern with the R2.2 million spent on consultants when there has been a clear call to reduce the reliance on consultants. However, the committees were told that using consultants was unavoidable in this instance, an explanation the committees accepted.

Today the committees will move to the Frances Baard District Municipality where the main focus will be on economic and transport development, initiatives to drive employment, tourism and small business development.

Distributed by APO Group on behalf of Republic of South Africa: The Parliament.