When it rains it pours, from Bloomberg:
South Africa’s biggest mining companies are opposed to a government proposal that 1 percent of their annual revenue be spent on developing communities associated with their operations and have countered with suggestions that they instead pay out a share of profit.
The Chamber of Mines, which represents companies including Glencore Plc and AngloGold Ashanti Ltd., is in discussions with the Department of Mineral Resources and labor unions over a review of the so-called mining charter, which mandates measures designed to boost black participation in the economy ranging from ownership of assets, management diversity and procurement procedures.
“This is a regressive imposition, particularly on marginal mines,” the chamber’s Chief Executive Officer Roger Baxter said by phone from Johannesburg last week. “Our preference is that the commitment should be as a percentage of net profit as it is based on the affordability of the companies.”
Like a super profits tax maybe?
