Deal cut to curb riots

A traditional leader has agreed to a more transparent structure for a R175 million community trust funded by Anglo American Platinum (Amplats), a move that aims to curb unrest around the firm’s most profitable mine.

The changes relate to the Mapela Trust, set up to fund development projects in communities around Amplat’s Mogalakwena operation in Limpopo.

The structure of the fund has proved a flashpoint, with local communities saying the way cash was spent was not transparent and too much authority was given to the local chief, known as Kgoshi, to determine where money was invested.

Protests over two years ago temporarily closed the mine and community leaders had threatened more action to demand changes.

Lawyers representing local communities said a deal between Amplats and the chief had been reached. “There is a significant dilution of the chief’s power across the board,” lawyer Johan Lorenzen said.

“We have signed the agreement. The issues have been resolved,” confirmed Amplats spokesperson Mpumi Sithole.

Under the new structure, four of the Mapela Trust’s nine trustees will be elected directly by local communities instead of just two that were picked by the chief to represent them.

The other trustees include an independent chairperson, the Kgoshi, a member of a traditional council, a member elected by village chiefs and a senior Amplats representative.

Sithole said the community would elect their representatives before any cash was allocated to local projects.

Protests over the fund prompted the temporary closure of the Mogalakwena mine, leading to the loss of 8 600 ounces of its annual 200 000-plus ounces of production.

Communities had hired prominent human rights lawyer Richard Spoor to spearhead their case.

Other SA mining companies have also been cutting deals with tribal leaders. – Reuters