South Africa: Mining Rights and Social Licence Critical for Trust

Mining rights secure access, social licence secures legitimacy; without trust, investments falter, communities fracture, reputations perish and livelihoods vanish altogether. Every mining executive knows how to secure a mining right. It may take more time than he or she would like, but there is a process to be followed. Far fewer know how to secure something much more valuable: trust. Follow us on WhatsApp | LinkedIn for the latest headlines Across South Africa, billions of rands in mining investment depend not only on licences issued by the government, but on legitimacy granted by employees, communities and other stakeholders. Yet despite sophisticated stakeholder engagement plans, detailed social performance standards and ever-expanding ESG disclosures, conflicts between mines and communities continue to erupt with alarming regularity. The uncomfortable truth is that many companies still confuse engagement with trust. Mining remains central to economic activity and employment, yet many communities surrounding mines continue to face unemployment, weak public services and limited economic alternatives. Jim Cooney, a Canadian mining executive, first used the term "social licence to operate" in the late 1990s to describe the informal but consequential permission that companies require from the societies in which they operate. A statutory mining right is necessary, but it is not sufficient. The social licence to operate is neither permanent nor unconditional. It is earned through conduct and renewed through experience. Read the full story on Daily Maverick . AllAfrica publishes around 600 reports a day from more than 90 news organizations and over 500 other institutions and individuals , representing a diversity of positions on every topic. We publish news and views ranging from vigorous opponents of governments to government publications and spokespersons. Publishers named above each report are responsible for their own content, which AllAfrica does not have the legal right to edit or correct. Articles and commentaries that identify allAfrica.com as the publisher are produced or commissioned by AllAfrica . To address comments or complaints, please Contact us . AllAfrica is a voice of, by and about Africa - aggregating, producing and distributing 600 news and information items daily from over 90 African news organizations and our own reporters to an African and global public. We operate from Cape Town, Dakar, Abuja, Johannesburg, Nairobi and Washington DC. Get the latest in African news delivered straight to your inbox By submitting above, you agree to our privacy policy . We need to confirm your email address. To complete the process, please follow the instructions in the email we just sent you. There was a problem processing your submission. Please try again later.