Mitigating the socio-economic considerations of resource sector nationalisation : lessons for South Africa

Abstract

The year 2018 marks 63 years since the Freedom Charter, and 8 years since the 2010 position paper of the African National Congress Youth League (ANCYL) advocating for the nationalisation of mines. In 2016 the Economic Freedom Fighters (EFF) re-ignited furious fire from the embers of the Freedom Charter calling for the nationalisation of key industries, including mining, as a means of enabling the people in sharing in the country’s wealth. The British colonisation of South Africa and later the coming into force of Apartheid shared the common foundation of tactically architectured discrimination towards black persons. The black population of South Africa was purposely excluded from participating as key role players in the economy especially in major industries, such as mining, banking and insurance. Black people were strategically used as cheap labour to grow the colonial economic system through its “discovery” of mineral resources in Africa. The legacy of architectured black economic exclusion has unfortunately succeeded through the eras and the ugly stench of black economic injustice has permeated through the centuries and exists in present South Africa, crippling the economic emancipation and development of black people. The need for accessible information has become ever more important especially with the possible amendment of S 25, the property clause, of the Constitution of the Republic of South Africa, which may indirectly permit the expropriation of mineral rights. Furthermore, with the echoing calls for the nationalisation of mines in South Africa as a means to economic freedom for the previously, and I argue presently, disadvantaged the need for objective, elementary and accessible information in the field of resource nationalisation has become ever more important. This is what this paper aimed to accomplish, it aimed to reinforce the Constitutional right of access to information, as per S 32(1), in the scope of nationalisation as will be “required for the exercise or protection of…rights”. This paper was conducted through the methodology of a literature review of existing literature in the sphere of nationalism and nationalisation. Moving from the premise that South Africa employs resource sector nationalisation in the short term, despite findings that have rendered it unaffordable, this paper has suggested various mitigating factors and or alternatives to particular socio-economic considerations of resource sector nationalisation. The socio-economic considerations explored have been limited to labour, capital and environmental affairs.