Performance
overview
 
Safety and health review Market review Operational review
Mineral Resources and Mineral Reserves –summary Human capital review Socio-economic development Environmental review Awards and achievements Corporate governance Audit and Risk Committee report Independent Assurance Report on Selected Sustainability Information Reporting in line with the GRI Management
   
 
Socio-economic development
  
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  Highlights     Disappointments  
 
  • 750 houses at Sunrise View project occupied by employees whose mortgage bonds have been approved, of which 536 have been registered
  • 42 provincial government housing subsidies approved for employees earning below R7 000 basic salary
  • Successful conversion of hostel accommodation to family units and residences accommodating 6 000 employees
  • Successful implementation of local economic development (LED) projects at 78% rate  
  
  • Low bond approval rate due to poor credit rating 

 

 

Management approach

In line with the Group’s approach to sustainable development, the way in which we manage socio-economic development in our operating areas has been substantially changed. In 2009 a fully fledged technical team was established to ensure the successful implementation of socio-economic projects, assisted by the stakeholder engagement department to ensure appropriate consultation with key roleplayers in each project. All project approvals start at operational committees and move through to the sustainable development forum, which comprises predominantly executive management. An independent verification agency assesses the impact of project implementation and verifies appropriate allocation of funds.

In South Africa, the Group’s approach ensures the balanced delivery of socio-economic development objectives against a set of business imperatives on the one hand, and the needs of stakeholders on the other. Implats faces considerable challenges in meeting its socio-economic development goals in South Africa, involving dozens of affected communities with disparate needs. To manage this more effectively, we have concentrated on both these communities and their identified needs. Driven by champions in various areas, the approach to socio-economic development now focuses on:
  • Enterprise development/local economic development
  • Infrastructure development
  • Housing and living conditions
  • Education and training
  • Health, safety and environment
  • Sports development
  • Corporate social investment

Sustainable development working and steering committees, supported by project committees, review and guide funding and monitor progress on identified development projects. Each major project undergoes a commercial and technical evaluation process and, once approved, the best project management principles are applied to ensure proper implementation, control monitoring and evaluation.

Included in our socio-economic development initiatives are the activities of the Impala Bafokeng Trust (page 116). At Group level, Implats continues to support civil society institutions such as the National Business Initiative (NBI), South African Mining Development Association (SAMDA) and South African Women in Mining Association (SAWIMA).

Performance in FY2010

South Africa
In FY2010, the Group spent R88 million on socio-economic development projects in South Africa (FY2009: R60 million), and R552 million has been spent on housing. This is part of the home-ownership programme to help employees acquire their own property.

In FY2010, 54 793 people benefited directly and indirectly from Implats’ socio-economic development expenditure (40 901 and 13 892, respectively).

Across our various initiatives, 1 333 direct and 983 indirect jobs were created. In total, 281 organisations benefited.

The demographic and category breakdown are shown in the graphs alongside.


Socio-economic development expenditure in South Africa (Rm)     
  Programme   FY2010   FY2009  
  Empowerment of community structures*   21   18  
  Health, safety and environmental   1   2  
  Education   16   14  
  Government and municipal support infrastructure   12   4  
  Sports development   15   11  
  Enterprise development   19   10  
  Community welfare, arts and culture   4   1  
  Total socio-economic development   88   60  
  Housing and living conditions   552   917  
  Total sustainable development   640   977  
Note: Overhead costs excluding R7.5 million was accrued for Afplats.  
 
South African operations – flagship projects  
  Project   Operations   Programme   Project duration  
  Accommodation   Rustenburg/Marula   Housing and Living Conditions   2007 – 2012  
  Macharora Vegetable farm   Rustenburg   Enterprise development   2009 – 2014  
  Community Environmental rehabilitation   Rustenburg   Enterprise development   2008 – 2013  
  OR Tambo Essential oils production   Labour Sending Area   Enterprise development   2009 – 2014  
  Small Medium and Micro Enterprise   Rustenburg/Marula   Enterprise development   Ongoing  
  Hydroponics Farming   Marula   Enterprise development   2009 – 2012  
  Portable Water and Electricity   Marula   Infrastructure   2008 – 2013  
  Chrome Project   Marula   Enterprise development   Ongoing  
  Zivuseni Farming   Springs Refinery   Enterprise development   2005 – Ongoing  

 

Socio-econmic development [PDF 312kb]
This is the information referred to in the annual report.

Aerial view of Sunrise Village.
 
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