/ MEDIA STATEMENT / The content on this page is not written by Polity.org.za, but is supplied by third parties. This content does not constitute news reporting by Polity.org.za.

The Portfolio Committee on Mineral Resources and Energy has called for the South African Diamond and Precious Metal Regulator (SADPMR) to transform the sector and advised the regulator to capacitate its existing transformation office in order to ensure that the sector reflects the demographics of the country.

On Thursday, the committee visited three entities of the Department of Mineral Resources and Energy as part of its week-long oversight visit in Gauteng. They are SADPMR, Mintek and State Diamond Trader.

It raised a concern with regard to transformation in the diamond and precious metal sector after SADPMR has highlighted the slow pace in local beneficiation of diamond as opposed to production volumes.

According to the regulator, 881 072 carats of diamonds were produced in 2017/18 financial year, but only 284 212 was locally benefitted.

“Although we applaud the regulator for a clean bill of health with regard to finances, its effort to transform the sector still remains a major concern for us", said Mr Luzipo.
 
At Mintek, the committee observed that lack of co-operation between state-owned entities, to a larger extent, contributes to their financial challenges.
 
Mr Luzipo said that government departments should invest more in entities in order to create sustainable state capacity, grow the economy and create jobs.
 
 
At the State Diamond Trader, the committee advised the entity to revise its organogram in order to mainstream critical positions, namely company secretary and head of legal.
 

Issued by the Parliamentary Communication Services on behalf of the Chairperson of the Portfolio Committee on Mineral Resources and Enegy