Surprise, surprise! The African National Congress’ (ANC) State Intervention in the Minerals Sector (SIMS) Report refutes the case for ‘nationalisation’ by confirming what most rational people have known all along. Essentially, it is too expensive if it occurs with compensation (R1 trillion-rand-plus) and too damaging to foreign investment if it occurs without.
For the first 19 years of its existence, the Free Market Foundation (FMF) argued, cajoled and pleaded for the total dismantling of the apartheid system and the establishment of true democracy in South Africa, with universal suffrage and a constitution that would highlight the principle of limited government, so as to protect the people from ever again being the victims of the pernicious policies of arbitrary government, such as the discriminatory laws that deprived people of their rights because of the colour of their skins.
According to a recent IOL news piece, “Zambia’s Banda says copper windfall tax is ‘bad business’", Zambian President Rupiah Banda has “ruled out windfall taxes for mining companies enjoying record copper prices, saying that changing the rules for foreign investors was plain bad business”. South African authorities can take a leaf out of Banda’s book by rejecting out-of-hand the ludicrous proposals to nationalise SA mines, as opposed to drawing out the process by dispatching a task team to determine nationalisation’s viability.