[miningmx.com] – AMENDMENTS to the Minerals & Petroleum Resources Development Act (MPRDA) were approved by South Africa’s National Assembly yesterday (March 12) and will now proceed to the upper house – the final hurdle before the controversial legislation is passed into law.
The MPRDA Amendment Bill was passed by 226 votes to 66, with eight abstentions, and will now go to the National Council of Provinces (NCOP) for concurrence.
“We are on the path of changing the mining and petroleum industry in South Africa, whether you like it or not,’ mines minister Susan Shabangu told lawmakers. “Change is painful, change is bitter, especially when you are stuck in the past. This act is about the people of South Africa.’
The legislation has been criticised by opposition parties and industry, including oil and gas multinationals, who believe it will harm investment in South Africa. Of particular concern is a 20% free-carry for the government on oil and gas projects, and the right to buy control at “an agreed price”.
The Offshore Petroleum Association of SA (Opasa) said earlier this week that the proposed amendments would compromise the industry. It was concerned the amendments would be passed into law.
The National Assembly will rise today (March 13) ahead of national elections but the NCOP will sit for another two weeks which means the bill could be passed before South Africa goes to the polls, said BDLive.
