Parliament, Thursday, 15 April 2021 – The Portfolio Committee on Public Enterprises has concluded its two-day oversight visit to Alexkor, at Alexander Bay in the Northern Cape.

The purpose of the visit, said Committee Chairperson Mr Khaya Magaxa, was to familiarise the committee with the mine’s operations and the conditions of the people served by Alexkor, which is a state-owned mine. In addition, the visit aimed to assess progress with the implementation of the deeds of settlement and the establishment of recognised structures in the Richtersveld community.

During the oversight visit, the committee met with various stakeholders, including the Department of Public Enterprises, the Department of Agriculture, the Department of Land Reform and Rural Development, the Northern Cape provincial government, the Department of Cooperative Governance and Traditional Affairs, and Alexkor mining contractors. The committee also visited the Alexander Bay township, to assess the development and conditions in the community.

Mr Magaxa said: “This oversight is long overdue. The last time the committee visited the area was in 2010. However, other committees of Parliament have visited Alexkor and have also been seized with issues relating to the state-owned mining company and the community of the Richtersveld.

“Our interest as public representatives is to ensure that state-owned companies and government departments are responsive to the needs of the people, and act as a catalyst for development and transformation of society,” said Mr Magaxa.

The committee identified Alexkor as one of the entities seriously affected by state capture and allegations of corruption. The committee took a decision in 2019 to conduct an oversight visit to familiarise itself with Alexkor and understand its challenges, but the Covid-19 pandemic prevented the committee from visiting in 2020.

On 3 March 2021, the committee received a progress report from both the Department of Public Enterprises and the Department of Agriculture, Land Reform and Rural Development. In the meeting both departments indicated that timelines have been set for the establishment of various community structures in Alexander Bay. In its engagement with stakeholders, the committee felt that the absence of a recognised community structure, such as a Communal Property Association (CPA), and failure to finalise the membership list of beneficiaries of the Richtersveld deeds of settlement has cost the community dearly. The committee was also concerned by the high youth unemployment rate and lack of government development projects, which would assist to make the community more sustainable.

The committee acknowledged that improvements at Alexkor have occurred since the appointment of new management, and its relationships with contractors and stakeholder have also improved. The committee welcomed the establishment of the contractor representative body, in which Alexkor and contractors are able to share ideas and solve problems. The committee has encouraged Alexkor management to work closely with the Northern Cape government, the community and contractors to advance the development of Alexander Bay. The committee believes that Alexkor and the contractors need to invest in the development young people, women-owned businesses and people living with disabilities.

Regarding the deeds of settlement agreement, the Department of Public Enterprises highlighted that the transfer of land to the community remains incomplete. 18 farm portions have been transferred to the community, but not the farm portion where Alexander Bay township and municipal infrastructure are located.

ISSUED BY THE PARLIAMENTARY COMMUNICATION SERVICES ON BEHALF OF THE CHAIRPERSON OF THE PORTFOLIO COMMITTEE ON PUBLIC ENTERPRISES, MR KHAYA MAGAXA.

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