Light at the end of the tunnel for small-scale miners

THE future of small-scale mining in the Erongo Region may be looking up if the combined efforts of the ministries of Mines and Energy and Environment and Tourism succeed in implementing the recently developed Environmental Code of Practice.

The code is advertised as ‘a helping hand to environmentally responsible mining’, a reference to the hand-like five-point plan that aims to improve the tripartite relationship between miners, the environment and the owners of the land where they mine. Large-scale mining is one of the most prominent industries in Namibia and as such is closely regulated. Established processes are in place that ensure minimum harm is done to affected habitats and that stakeholder interests are protected. However, individuals carrying out the same trade on a much lesser scale often go unnoticed and therefore unregulated. Many of these are subsistence miners whose income is barely enough to sustain their lifestyle but the industry in fact holds the potential for enormous profits and is therefore an attractive career choice.With no formal structures in place that act as a middle man between suppliers and consumers, foreign collectors and wealthy tourists have a direct line to the miners. If a miner finds a ‘pocket’ of gemstones of sufficient quality it can sell directly to overseas customers for up to a N$1 million, and often does. The informality of the industry is such that even transactions of this magnitude are not subject to the usual laws of income tax and none of the money will be received by the Government.Nevertheless, small-scale mining is not in itself frowned upon and in fact serves as a valuable source of poverty reduction through entrepreneurship. Even with the lost revenue from what is estimated to be a multimillion-dollar industry, the Government concerns are environmental and social rather than financial. Small-scale miners require only a prospecting licence as authorisation for their trade and only basic tools to carry it out. Such low barriers to entry, coupled with the lack of ministry monitoring, frequently result in neglect of environmental and safety regulations. As these prospectors do not own the land they are mining on, the environmental burden is borne solely by the land owner and the relationship between the two parties can become very tense. Left-over holes from mining operations can serve as unintentional traps for wandering cattle or game and intentional trapping or poaching is often done to sustain the miners during prolonged operations. Improper precautions used by the prospectors also result in serious risks posed to their own health, especially as the gamble for the million-dollar stones almost always requires deeper digging. At depths of over 15 metres, tunnels are increasingly unstable and the usual safety measures implemented by miners at these depths are too expensive for prospectors to afford. It is with these and other negative impacts in mind that the European Union funded and developed the Environmental Code of Practice and proposed it to the Ministry of Mines and Energy. Morgan Hauptfleisch, a consultant at the Southern African Institute for Environmental Assessment, was the primary author of the five-point plan and observed that, if correctly implemented, the plan would benefit all parties. ‘The code’s primary concern is the environment and safety of the miners. But if these considerations are met, stakeholder relationships will inevitably improve.’ In order to facilitate the implementation of the code, two training centres have been established in the Erongo Region. Run by the Namibia Development Corporation (NDC), these centres provide the miners with relevant capacity building in areas such as safety precautions, cutting and polishing, financial management and environmental awareness. The training programme is open not only to existing prospectors but also to unemployed youth. Since its conception in 2010 the programme has produced 64 graduates, 70 per cent of whom have since been employed in the formal diamond and mineral mining sector. Those who have remained as small-scale miners leave with better knowledge and skills enabling them to be more competitive in their businesses. During their time at the centres, applicants receive bursaries that cover their stay in Karibib and transport. NDC manager for industrial development Koos van Staden stated that ‘although the project is young we are very pleased with the results to date and hope for even greater success in the future.’In addition to the training centres, Rössing Foundation has helped establish two crystal markets for low-profile sales near Uis and Usakos. The crystals and gemstones that are not of sufficient value to attract direct interest from foreign collectors end up here where they can be bought by the public.Although ministry officials and involved companies are positive that the code, combined with the training for miners, has been a success, a small miner who wished to remain anonymous was less optimistic. He was not convinced that increased profits had resulted from the training or that there had been a considerable improvement in the miners’ relationships with the farmers. He insisted however that the project could not be called a failure in any sense and that it was a positive move that simply required more time and investment. He said that in order for relationships between stakeholders to improve, farmers would need to be open to collaboration and more willing to ‘come to the table.’ According to the Erongo Region Small Miners Association, the Environmental Code of Practice has been very beneficial to those miners who have been exposed to it but that due to insufficient ministry funding and motivation, the Code has not been effectively distributed.