12 Gender Justice in the Energy Transition Era …
379
permanent and potentially irreversible damage, having already made
record losses amounting to billions.
24
The various stakeholders emphasized to the Department of Mineral
Resources and Energy (DMRE) how important it was for operations
to continue. The economic damage of the lockdown to the country is
profound. The Minerals Council estimates a drastic decline in mining
production for the year.
25 This decline excludes the costs incurred to
place operations under ‘care and maintenance’ during the lockdown,
26 as
well as the amounts spent on wages over the lockdown period. Mining
companies such as Impala Platinum,
27 have hitherto lamented the fact
that they will be unable to continue to pay workers in the event that the
lockdown period is extended.
The circumstances explained above are not unique to South Africa. A
massive plunge in global oil prices has hampered all economies in the
world, including the major economies like the USA and in Europe. The
oil and gas industry is projected to experience up to 20% reduction in
labour and workforce over to 2021.
28
The pandemic highlights that we need automation/mechanization in
the extractives industries around the world. It shows the importance of
digital readiness to allow businesses to continue as much as possible
despite the challenging circumstances. Mines ought to be operational
even in circumstances of a lockdown, where workers are unable to physically go into a mine. The pandemic has made this realization more
apparent. Thus, there is an urgent need to accelerate efforts to promote
automation in the energy industry, including the mining and oil and gas
24 BusinessDay: BL Premium, ‘Mines Must Return to Work on April 17 or Face Permanent Damage’ (April 6, 2020), https://www.businesslive.co.za/bd/companies/mining/2020-0406-mines-must-return-to-work-on-april-17-or-face-permanent-damage/, accessed April 6, 2020.
25 Ibid.
26 A mine is considered to be under ‘care and maintenance’ when production has ceased
for various technical, environmental, financial or labour-related reasons. The mine does not
necessarily declare the intent to close indefinitely.
27 Impala Platinum Holdings Limited (Implats), is a South African holding company that owns
several companies that operate mines producing platinum and other platinum group metals, as
well as nickel, copper and cobalt.
28 See Matthew Farmer, ‘How Will the Offshore Industry Recover After Covid-19?’
(March 27, 2020), https://www.offshore-technology.com/features/coronavirus-covid-19-offshorecost-opec/, accessed April 14, 2020.
379
permanent and potentially irreversible damage, having already made
record losses amounting to billions.
24
The various stakeholders emphasized to the Department of Mineral
Resources and Energy (DMRE) how important it was for operations
to continue. The economic damage of the lockdown to the country is
profound. The Minerals Council estimates a drastic decline in mining
production for the year.
25 This decline excludes the costs incurred to
place operations under ‘care and maintenance’ during the lockdown,
26 as
well as the amounts spent on wages over the lockdown period. Mining
companies such as Impala Platinum,
27 have hitherto lamented the fact
that they will be unable to continue to pay workers in the event that the
lockdown period is extended.
The circumstances explained above are not unique to South Africa. A
massive plunge in global oil prices has hampered all economies in the
world, including the major economies like the USA and in Europe. The
oil and gas industry is projected to experience up to 20% reduction in
labour and workforce over to 2021.
28
The pandemic highlights that we need automation/mechanization in
the extractives industries around the world. It shows the importance of
digital readiness to allow businesses to continue as much as possible
despite the challenging circumstances. Mines ought to be operational
even in circumstances of a lockdown, where workers are unable to physically go into a mine. The pandemic has made this realization more
apparent. Thus, there is an urgent need to accelerate efforts to promote
automation in the energy industry, including the mining and oil and gas
24 BusinessDay: BL Premium, ‘Mines Must Return to Work on April 17 or Face Permanent Damage’ (April 6, 2020), https://www.businesslive.co.za/bd/companies/mining/2020-0406-mines-must-return-to-work-on-april-17-or-face-permanent-damage/, accessed April 6, 2020.
25 Ibid.
26 A mine is considered to be under ‘care and maintenance’ when production has ceased
for various technical, environmental, financial or labour-related reasons. The mine does not
necessarily declare the intent to close indefinitely.
27 Impala Platinum Holdings Limited (Implats), is a South African holding company that owns
several companies that operate mines producing platinum and other platinum group metals, as
well as nickel, copper and cobalt.
28 See Matthew Farmer, ‘How Will the Offshore Industry Recover After Covid-19?’
(March 27, 2020), https://www.offshore-technology.com/features/coronavirus-covid-19-offshorecost-opec/, accessed April 14, 2020.