HOME STATE LEGAL ACTION AGAINST MULTINATIONAL MINING CORPORATIONS FOR TRANSGRESSIONS OF THEIR FOREIGN SUBSIDIARIES: A NOTE ON VEDANTA RESOURCES PLC AND ANOR v LUNGOWE AND OTHERS [2019] UKSC 20 AND LESSONS FOR ZIMBABWE

By Josephine Chiname

  1. Introduction

The mining industry is a sector that plays an increasingly prominent role in shaping the development of economies of several African countries. Despite its potential and, at times, actual contribution to improved living conditions of citizens, the sector in many parts of the continent is fraught with major negative impacts on the environment and on the wellbeing of local communities living in their areas of operation. The lack of, or weak national regulatory regimes safeguarding the respect of human rights, as well as the mining corporation’s lackadaisical attitude towards the observance of human and peoples’ rights,environmental and transparency standards have meant that the operations of mining corporations often result in violations of social, economic, environmental and cultural rights of local communities.

The human rights abuses include dispossession of land and accompanying displacement of local communities in the areas of new discoveries of minerals, no or inadequate compensation, environmental degradation affecting the livelihood and health of local communities, violation of labour rights, lack of transparency about and egregious abuse by state actors of mineral revenues received from the exploitation of mineral resources and evasion of taxes[1] among others. These human rights concerns are set to increase as several countries on the continent seek to leverage economic development on the continent’s vast mineral resources[2].

Zambia has a history of exploitation of minerals and has the largest known resource base of copper. Its mining sector is also a significant source of government revenue and formal employment, both directly and indirectly.[3] The exploitation of this mineral base has resulted in a myriad of human rights violations against communities. Similarly, in Zimbabwe mineral exploitation has been held to be crucial for economic development[4]. The Zimbabwean government has adopted the “Zimbabwe is open for business” mantra in a bid to attract foreign investments. There is a danger that the desperation for investment can result in attracting irresponsible investors in a sector already fraught with community rights abuses.

This actual and potential expansion of the sector in both countries demonstrates an existing need to put in place substantial mechanisms for addressing the plethora of human rights violations arising from exploitation of mineral resources. In July 2015, a group of 1,826 Zambian farmers approached a High Court in England believing that is the only way they can obtain an effective remedy against an English mining multi-national corporation and its Zambian subsidiary for the human rights violations in Zambia.

It is thus the intention of this article to discuss the Zambian farmers’ case in a bid to see if there are any lessons that can be learnt by Zimbabwean communities, civil society organisations and lawyers working to protect and promote community rights in the conduct of business.

  • Zambian Farmers’ Case[5]
    • Facts of the case

In the Chingola District of Zambia, Konkola Copper Mines plc (KCM) operates the Nchanga Copper Mine (“the Mine”) which consists, in part, of an open-cast mine, said to be the second largest in the world, and in part of a deep mine. On the Zambian official documents KCM, which is a public company incorporated in Zambia is the immediate owner of the Mine. KCM is the largest private employer in Zambia, employing some 16,000 people, mainly at the Mine. However, Vedanta Resources plc (“Vedanta”) is the ultimate parent company of KCM. Vedanta is the parent of a multinational group, listed on the London Stock Exchange, with interests in minerals, power, oil and gas in four continents. Vedanta is incorporated and domiciled in the United Kingdom.

As aforementioned, in July 2015 some 1,826 Zambian citizens who live in four communities within the Chingola District of Zambia filed a claim form against Vedanta and KCM in English Courts. The legal action arose from alleged toxic emissions from the Mine. The Zambian Farmers, are as the court observed, “by any standards, very poor members of rural farming communities served by watercourses which provide their only source of water for drinking (by themselves and their livestock) and irrigation for their crops”. It is the farmers’ case that both their health and farming activities have been affected by repeated discharges of toxic matter from the Mine into the watercourses, from 2005 to date.

The Zambian farmers brought the case against Vedanta and KCM in English common law principle of negligence and breach of Zambian statutory duty. The allegations against KCM were on the basis that it is the operator of the Mine. Against Vedanta, the Zambian famers argued that by reason of the “very high level of control and direction that the first defendant exercised at all material times over the mining operations of the second defendant and its compliance with applicable health, safety and environmental standards[6] It was argued that Vedanta exercised a sufficiently high level of supervision and control of the activities at the Mine, with the sufficient knowledge of the propensity of those activities to cause toxic escapes into surrounding water sources, as to incur a duty of care. As the parent company, Vedanta published materials in which it asserted responsibility for the establishment of appropriate group-wide environment and sustainability standards which were to be implemented through training and monitoring.

Both Vedanta and KCM challenged the jurisdiction of the English Courts in entertaining the matter. Their applications were heard together, over three days in April 2016, by Coulson J, dismissed them on 27 May 2016 . The companies appealed to the Court of Appeal and their appeals were heard over two days in July 2017 and dismissed, in October 2017. Aggrieved by the decisions of the two courts, the two  companies appealed to the United Kingdom Supreme Court. It is the decision of this court that is under discussion.

  • The Court’s Ruling

The United Kindom’s Supreme Court dismissed the companies’ appeals and held that English Courts can hear the farmers’ case.  The main question the court was called upon to answer was whether or not England is the proper place in which to bring a claim. After considering issues such as practical convenience, availability of common language and the system of laws to be applied as prescribed by English law, the court concluded that Zambia was the proper place to bring the claim against the mining companies.

Even though Zambia was the proper place to bring the claim, the court found that based on the substantial justice principle, English courts has the jurisdiction to hear the case. It made a finding that the financial and local legal resources were insufficient to enable the farmers substantial justice in Zambia. The court took into account the fact that it might be difficult to fund in Zambia a case brought by the majority of people in “extreme poverty”. Further, the court considered that in Zambia there were not substantial and suitably experienced legal teams to manage litigation of this size and complexity particularly against KCM which had a track record suggesting that it would prove “an obdurate opponent.” For these reasons the court decided that for substantial justice to be achieved, English Court must hear the case.

  • Lessons for Zimbabwe

Involvement of multinational corporations in mining operations is not unique to Zambia. In Zimbabwe, Chinese companies or Chinese owned companies are our major investors. These companies operating in Zimbabwe are accused of causing untold human rights violations including but not limited to violation of Environmental Management laws and standards, water pollution, air pollution, land degradation, unfair labour standards and violation of local communities’ cultural rights.

For instance, Anhui Foreign Economic Construction Group Co Ltd, mined diamond in the Marange area in the period between 2009-2016. It conducted the mining operations through Jinan Mining Company Ltd, duly registered in Zimbabwe and formed as a result of a joint venture with a state owned company. Another Chinese mining company operating within the same period is Anjin Investments Ltd. Jinan and Anjin have been accused of violating community rights with impunity. When their operating licences were withdrawn by the Government in 2016, they left several gullies which were a death trap for the community and their livestock, they had polluted the Save and Odzi rivers which pollution caused death of livestock, skin diseases and even disrupted the reproduction system of many women.

The Zambian farmers’ case clearly shows that to be able to bring a case to the home state of a multinational company, there is need to understand the laws of the home state. This applies both to jurisdiction and substantial issues of the case. The Zambian farmers had to rely on English common law to justify the jurisdiction of the English courts and the possible liability of the parent company. This is a lesson for Zimbabwe. There is need for the all stakeholders involved in business and human rights to be able to have an understand the Chinese legal system and the mechanisms that exist to be able to hold Chinese corporates to account for their actions abroad.

In the recent years the Chinese government has been proactive, at the national level in creating environmental management laws to protect sources of water, air and land.[7] Further since 2000, several Chinese entities began to promulgate guidelines to guide, promote, and control the flow of Chinese investments abroad. Examples are The guidelines for social corporate responsibility in mining investment abroad of 2014 which provides for the respect of free, prior and informed consent for local communities affected by projects; The environmental risk management for China’s overseas investment guidelines of 2017 which has provisions for participatory environment impact assessment process, among others. In addition to the above, on its recent Universal Periodic Review by the UN Human Rights Council, China made commitments to respect human rights in its investments abroad.

There is therefore a need for civil society organisations and local communities to actively acquire knowledge on how all these mechanisms can be used to ensure that mining companies in Zimbabwe uphold human rights in their operations. The Zambian Farmers were able to rely on English principles to justify why the parent company and subsidiary should both be held accountable for human rights violations, local communities in Zimbabwe should be able to achieve the same with Chinese investments.

  • Conclusion

Though the Zambian farmers’ battle is far from over, the ruling which gave them an opportunity to be heard and pursue a remedy in the home state of a multinational company is commendable. It is a first step to substantial justice. Relevant stakeholders in Zimbabwe should emulate this and investigate what Chinese laws, guidelines and customs they can use to hold Chinese mining companies to account in their home state.


[1] See the Resolution of the African Commission on the Niamey Declaration on Ensuring the Upholding of the African Charter in the Extractive Industries Sector, ACHPR/Res. 367 (LX) 2017, available at http://www.achpr.org/sessions/60th/resolutions/367/.

[2] African Commision on Human and People’s Rights, State Reporting Guidelines and Principles on Article 21 and 24.

[3] www.daily-mail.co.zm/mining-sector-key-to-economy/

[4] President Mnangagwa’s State of the Nation Address, 2018.

[5] Vendenta Resources PLC and Konkola Copper Mines (KCM) PLC v Lungowe and others [2019] UKSC 20

[6] Supra

[7] Handbook on Chinese Environmental and Social Guidelines for foreign loans and Investments: Aguide for local communities

Momentum forthe adoption of the Extractive Industries Transparency Initiative builds in Zimbabwe

By Mutuso Dhliwayo& Joyce Machiri

The Zimbabwean Government was among the participants at the 8thExtractive Industries Transparency Initiative ( EITI) Global Conference  held in Paris, France from the 18th -19th of June 2019. The meeting’s theme “Open Data, Build Trust”was very apt as it underpins the need for building trust between stakeholders that are involved in the implementation of the EITI Standard through the Multi Stakeholder Group (MSG) namely government, business and Civil Society Organizations(CSOs). Information or data that is timely, accessible and credible is key to building trust among stakeholders.

Information helps to build trust and confidence between the governing, those that are governed and those that are exploiting mineral resources. Data helps the role of business in economic development to be appreciated.  Furthermore, it helps in the management of expectations by stakeholders. Lack of information results in suspicion and mistrust between stakeholders. Without information stakeholders tend to speculate resulting in unnecessary tensions and hostilities. The EITI Global conference was held at a time when trust in government globally is under strain as evidenced by shrinking civil society space which is undermining the realization of Sustainable Development Goals ( SDGs).

The Government of Zimbabwe was represented by officials from the Ministry of Mines and Mining Development. These included the Permanent Secretary Mr. Onesimo Mazai Moyo, the Principal Minerals Development Officer, Mr. Rangarirai Mhazo and the Senior Legal Officer, MsNolwazi Muchinguri. During the EITI Global conference, the Ministry of Mines and Mining Development held a side meeting with the EITI Secretariat that included the Deputy Head,Mr. Eddie Rich  and  Matthew McKernan , the Country Officer for Eastern and Southern Africa. The discussion centered on the utility of the EITI Standard in the management of natural resources that include oil, gas and minerals and the steps of joining the initiative. The Permanent Secretary also made a statement on Zimbabwe’s commitment to joining the EITI in Plenary session 6. Further side meetings were also held with the GIZ to explore the technical support that can be given to the Zimbabwe Government to poromote transparency in the mining sector especially through the negotiation of better deals.

The participation by the Ministry of Mines representatives in Zimbabwe is very significant. This is only the second time that Zimbabwean Government officials have attended the EITI Global Conference. The first was during the 5th EITI Global conference when Zimbabwe was represented by Mr. Jameson Timba during the tenure of the Inclusive Government in 2011. He was the Minister of State in the then Office of the Prime Minister. Ironically, the meeting was in Paris. To that end, Paris holds a lot of significance in Zimbabwe’s efforts to adopt the EITI. During that period Zimbabwe was in the process of adopting the Zimbabwe Mining Revenue Transparency Initiative (ZMRTI) a domestic version of EITI which was supposed to be a stepping stone towards the adoption of EITI.

ZMRTI was ended abruptly after the harmonized elections of 2013 which ended the Inclusive Government.Since then, successive Ministers of Finance and Economic Development have made reference to EITI in the National Budget Statements but without follow up actions on how to implement / operationalize it. However, with the appointment of technocrats by the new administration of President Emmerson Mnangagwa both in the Ministry of Finance and Economic Development and Mines and Mining Development, there seems to be a new sense of urgency to adopt EITI.The foundation was laid in the 2019 National Budget Statementwhich indicated Zimbabwe’s plans to adopt the EITI. These intencsions are also reflected in theTransitional StabilisationProgramme (TSP) and Vision 2030Document when Zimbabwe hopes to become a middle-income economy.

The objective of the government of Zimbabwe in attending the EITI was to learn and understand more about the EITI as a mineral resource governance framework including its advantages and disadvantages. As the old adage goes, ‘seeing is believing’. With that information the Government of Zimbabwe will then decide whether it will join the EITI or not.

Understanding the EITI

While there are many mineral and natural resources governance frameworks that include the Natural Resources Charter (NRC) and the Africa Mining Vision (AMV), the EITI is the most globally renowned framework implemented by the World Bank.The EITI is a global standard for transparency in the extractive sector. It is currently being implemented by 52 natural resource rich countries. The EITI centers on the reconciliation of company payments with government receipts and disclosure of that information to the public. The goal is to identify potential discrepancies between payments made and receipts received,investigate and address the underlying causes.

What are the potential benefits of EITI to Zimbabwe

There are a number of benefits that are associated with EITI that Zimbabwe can reap from joining it. Zimbabwe is a country that is not getting maximum benefits from its significant and diverse mineral resource base. This mineral resource base is expected to be thecatalyst for economic revival, stabilization and eventual growth. While there are a number of reasons for this state of affairs, lack of transparency and accountability in the mining sector are among some of the factors.  Reports from the Parliamentary Portfolio Committee on Mines and Energy, Office of the Auditor General and  the Government itself including confessions by the former President that Zimbabwe lost USD 15 billion from Marange diamonds , confirms this.According to the 2018 Corruption Perception Index produced by Transparency International, Zimbabwe is ranked 160 out of 180 countries. Against this background, the EITI can have a number of positives to the natural resources sector in general and the mining sector in particular. These include the following:

  • Helps to fight corruption;
  • Improves revenue collection for improved service delivery;
  • Enhances chances of attracting Foreign Direct Investment through international recognition;
  • Can promote transparency and accountability in the sector hence the country can acquire resource revenues that can be used for economic development and poverty reduction;
  • Promotes access to information and public participation in the extractive sector;
  • Gives the public opportunity to understand how the resources are being governed;
  • Strengthens democracy and good governance;
  • Informs legal and fiscal reforms;
  • Empower CSOs and Community Based Organisationsso that they become more effective in their work as theypartake in informed advocacy;
  • Important for preventing resource conflicts;
  • Helps in building trust among stakeholders

Why Could Zimbabwe be interested in joining the EITI?

The dictum of the new administration under President Mnangagwa is that Zimbabwe is “Open for Business”.  This is reflected in the Transitional Stablilisation Plan and the desire for Zimbabwe to become a Middle-Income country through Vision 2030. The Ease of Doing Business Reforms and major policy shifts in the Indigenisation and Economic Empowerment programme as ushered in by the Finance Act of 2018 and the Zimbabwe Investment Development Bill are all evidence of this new thinking. The Zimbabwe is openfor business dictum is heavily dependent on attracting Foreign Direct Investment and the mining sector is perhaps the only sector in Zimbabwe that is capable of attracting FDI because of its mineral portifolio.

Another reason could be the need for effective Domestic Resource Mobilisation. Zimbabwe is currently inward looking in terms of resource mobilization. Effective domestic resource mobilization is not possible in the absence of an effective resource mobilization framework and the EITI Standard can provide this. Thirdly, Zimbabwe is in the overdrive to reengage the international community. Joining the EITI is one of those avenues of rejoining the community of nations. There are also ongoing discussions with development partners and International Financial institutions that have resulted in a Staff Monitoring Programme (SMP) by the World Bank and the International Monetary Fund. Joining the EITI will confirm how Zimbabwe is serious about its economic reforms after decades of stagnation.

What are the key takes from the EITI Global Conference

The 8th Global conference was held after the EITI Board meeting held in Kiev, Ukraine. The meeting made a number of major changes to the EITI Standard that were adopted at the conference. These include:

  • Environmental reporting which requires reporting of material environmental payments to government to be disclosed and the encouragement of disclosure of information related to environmental impact and monitoring. This requirement is very much in line with the requirements of the Zimbabwe Stock Exchange (ZSE)gazzetted through Statutory Instrument 134 of 2019.ZSE requires sustainability information disclosure which includes environmental, social and economic reporting by companies that are listed on the Zimbabwe Stock Exchange.
  • Contract and licence transparency – implementing countries are required to disclose any contract and licences that are granted, entered into or amended. This is very much in line with the requirements of section 315 (1) and (2) of the Constitution of Zimbabwe on Procurement and other Government contracts.
  • Commodity trading transparency – This requires the reporting on revenues from the sale of the state’s share of production of oil, gas, minerals and these should be disaggregated by sales contracts rather than by the buyer. Disclosure on the process for selecting buyers and of sales contracts are also encouraged. Buying companies are also encouraged to disclose their payments to the state for purchases of oil, gas and minerals.
  • State Owned Enterprises Transparency – In Zimbabwe just like many countries in Africa and the world over, State Owned Enterprises (SOE) play an important role in managing natural resources. These include the Zimbabwe Consolidated Diamond Company (ZCDC), Zimbabwe Mining Development Corporation (ZMDC)and Minerals Marketing Corporation of Zimbabwe (MMCZ). Implementing countries are required to describe the rules and practices governing transfers of funds between SOEs and the state, including joint ventures and subsidiaries. Information about loans or loan guarantees provided by government and SOE to mining, oil and gas companies should be disclosed including the repayment schedule and interest rate. SOEs are expected to publish their audited financial statements timely.
  • Gender balance- This requires the participation of women and other marginalized groups in the extractive sector.MSGs are required to consider gender balance in their representation and the access challenges and information needs of different genders and subgroups. This is also in line with section 17 of the Constitution of Zimbabwe which requires gender balance.

The next steps / upcoming opportunities

The momentum on Zimbabwe joining the EITI will continue with the planned stakeholders’ meeting to be held on the 15th of July by the Ministry of Mines and Mining Development. The focus of the meeting is on the prospects of Zimbabwe joining the EITI. There are also other ongoing initiatives by CSOs to encourage the government to join EITI in a move to improve mineral resources governance.

Conclusion

The efforts by the Government of Zimbabwe to understand the EITI Standard with a view to consider the merits and demerits of joining it, should be applauded by all stakeholders that are working to improve mineral resources governance in Zimbabwe. While it has its own weaknesses just like any other mineral resource governance framework, it has some advantages that can be used as a building block to improve the governance of the mining, oil and gas sectors in Zimbabwe. The Government of Zimbabwe through the Ministries of Finance and Economic Development and Mines and Mining Development, deserve all the encouragement and stakeholder support.

Talking Points on Platinum Symposium

By Mukasiri Sibanda

For civil society working to influence policy and practice reforms tailored to strengthen linkages between mining and sustainable development, stakeholder engagement is a critical piece of the jigsaw puzzle. To gain a pulse feel of industry’s thinking concerning current and future of mining, the Zimbabwe Environmental law Association (ZELA) is participating at the Chamber of Mines’s 2019 Annual Mining Conference. Themed “Realizing Vision 2030 Through Resource Led Growth” the Conference is being held at Elephant Hills Resort, Victoria Falls, from 29 May to 01 June 2019. Reaching upper middle-income status is the goal for Vision 2030.
The Conference’s theme resonates well with the Africa Mining Vision (AMV) which envisages “Transparent, equitable and optimal exploitation of mineral resources to underpin broad-based sustainable growth and socio-economic development.” Realising that resource rich Africa must not continuously squander the opportunity to industrialise and diversify its economy from mining, Africa Heads of States and Government adopted AMV in 2009. This article shares key highlights from the platinum symposium which was held on Thursday, 30 May 2019. Further, the article ventilates some of the main issues discussed to help citizens to understand some pressure points when it comes to mining and sustainable development.
Technology redefining the future of mining
Unlike South Africa, Zimbabwe’s platinum industry is highly mechanised because of favourable geological characteristics. In light of fourth industrial revolution, the industry must explore new technologies out there to “produce more with less.” Automation and modernisation of the industry is fundamental to drive production efficiency. Embracing technology becomes key to lowering the cost of production to gain a competitive advantage in addition to the comparative advantage that Zimbabwe enjoys. Cheap commodities have a future and expensive ones have a short life span said Stanley Segula, Managing Director of Zimplats.
Comparative advantage stems from the fact that in platinum, the country is endowed with a world class mineral asset which ranks second best after South Africa. In terms of platinum production, the Zimbabwe is ranked number three, after South Africa and Russia in that order.
Rightly so, industry is taking leadership to stimulate discussion on the impact of technology on mining. Government and civil society must not be late to get off the blocks on this one. As suggested by Vanessa Ushie in her recent blog titled new mining technologies and the fiscal space: ensuring shared value and sustainable development, government must explore options to give oxygen to mining linkages to development in the context of new technologies. Right now, the employment situation in Zimbabwe is quite unsustainable.
With technology set to drive platinum production growth, employment linkages are going to be further weakened. Even worse, there is strong risk that retrenchments can occur as labour is substituted by machines. Poor mining agreements have always been a major challenge to unleash mining’s development potential, starting with the 1888 Rudd Concession. With secrecy around mining contracts, the public does not have a fair view picture of how mining agreements are primed to manage a technological driven mining sector. Venessa suggest that the fiscal regime must be nimble to compensate for employment losses through equity participation or production sharing among other options. Obviously, our outdated Mines and Minerals Act and the mining fiscal tools are not best primed to anchor a mining led realisation of Vision 2030.
The status of the platinum industry
As part of its contribution towards the realisation of Vision 2030, the platinum sector is supposed to hit 50 tonnes annual production by 2030. Along with gold, platinum is one of the country’s top export earners. Although commonly referred to as platinum mining, it is crucial to note that Platinum Group of Metals (PGMs) are produced – 10 minerals are a product of platinum mining. By volume, nickel tops the production list. The oldest platinum mine in Zimbabwe, Mimosa started as a nickel mine and later shifted focus to embrace platinum mining. In terms of nickel production in Zimbabwe, the platinum industry’s production is favourable compared to primary nickel producers.
In 2018, production stood at 14.6 tonnes, a marginal from 2017 production. Accounting for 60% of the country’s total platinum production, Zimplats is the largest player in the platinum industry. Mimosa is the smallest player in terms of both output and ownership of proven platinum resources. Mimosa owns about 3% of the country’s platinum resources.
“The industry is fluid and confusing” currently, palladium price has surpassed platinum. Palladium currently fetches around US$1,300 per ounce, a figure that roughly matches the gold price. “Platinum prices are in a long winter” currently fetching around US$800 per ounce. It is important to flag that platinum and palladium production volumes are nearly equally.
Make hay whilst the sun still shines
Platinum is mainly used to produce auto catalyst convertors that are critical in the reduction of carbon emissions from motor vehicles. With technology pointing to electronic vehicles, the platinum industry is under severe threat because auto catalyst converters account for 60% of platinum market. The Jewellery market accounts for 12%. However, technology also offers hope in that platinum can be used to generate electricity, and research is at advanced stage. Equally so, other minerals like nickel that are part of the PGMs are key in the production of electronic vehicles. The key lesson here is that Zimbabwe “must make hay whilst the sun still shines”, quickly leverage on its platinum assets as future technologies pose risks which can sterilise the resource. Exploration beyond the Great Dyke.
Indigenisation policy an albatross
In 2018, the Finance Act removed indigenisation requirements for all minerals aside from platinum and diamond sectors. As it stands, foreign players in the platinum and diamond sectors are required to cede a minimum of 51% equity to indigenous partners. This is making Zimbabwe one of the least attractive investment jurisdiction. Whereas the President announced that government is fully removing indigenisation requirements for platinum and diamond sectors, the law has not been changed. The industry’s position is that legal reforms to repeal the indigenisation framework must be expedited.
It is understandable that a conducive policy environment is a key enabler to attract much needed investments in the platinum industry. But, the Constitution must not be undermined. As rightly stated by Honourable Mukaratigwa, the Chairperson of Parliament Portfolio Committee on Mines, the State is compelled to come up with measures to ensure communities benefit from resources in their areas. To that effect, the issue of Community Share ownership trusts (CSOTs) must not be affected by any changes to the indigenisation framework. Interestingly, a sterling example of the impact on CSOTs in terms of reducing infrastructure deficits in rural areas comes from the platinum industry. All three platinum producers contributed $10 million each to fund community development programmes in their areas.
Beneficiation and value addition
Industry expressed displeasure with the current stick approach, use of export taxes to compel local value beneficiation and value addition of platinum. Certainly, beneficiation and value addition are fundamental to generate more foreign currency earnings, create more jobs, widen the tax base and to promote industrialisation. The platinum industry, it must be noted, has lower ripple effects to the domestic economic compared to steel making which can spur construction sector and other downstream industries. Given that platinum is a “sexy mineral” – high valued mineral, government must not lose sight of low valued minerals – development minerals which have strong linkages to other economic sectors, agriculture and construction, for instance. Despite its perceived challenges, the results of export taxes are encouraging in that Unki mine recently commissioned a smelter. Gone are the days where Unki mine used to export platinum concentrate. “Keep walking” there is room to achieve more – base metal refinery and finally precious metal refinery facilities.
Conclusion
To ensure that platinum industry growth plays a critical role towards the attainment of Vision 2030, industry is clear on critical success factors that must be addressed. It must be clear though, that any growth anchored on mining must not leave communities behind as required by the Constitution. Of course, the indigenisation framework as it stands is not attractive to investors, it must be tweaked but not entirely scrapped to give legal teeth to CSOTs. Afterall, the sterling example of community led development comes from the platinum industry in Zimbabwe. The impact of technology is another fundamental which government and communities must be alive to, policies and laws must be “nimble” to leverage better mining for the realisation of Vision 2030.

Mutoko villagers cry foul over insidious granite deals

By Cosmas Sunguro

Mutoko villagers of Chagumarira and surrounding communities living near Illford mine are up in arms with the employer as they feel they are being treated unfairly. Like a jilted lover, they feel they were misused while the company made a lot of fortune. They argue that the fortune was realised out of their sweat, blood and tears of hard work. This was revealed on a recent field visit to Mutoko Granite mines.

The visit was organized by the Zimbabwe Environmental Law Association (ZELA) and United States Forest Services.The trip was meant to be an appreciation of how granite mining is benefiting the community of Mutoko and Zimbabwe at large.
The trip to abandoned granite mining sites offered participants an opportunity to interact with community members and most importantly to appreciate the impacts of granite mining in the area.

It was during the interaction that a lot of environment and labour injustices prevailing in the area were revealed. The area is like a giant mining area slowly suffocating and dying with its untapped potential. Indeed the area of Mutoko can be another ‘Mecca’ of Zimbabwe if the natural resources available in the area is properly harnessed. Black granite and gold are some of the prominent minerals found in the area. It’s proximity to Harare and the border with Mozambique means that a lot of revenue can be realized.

So what could be the problem decimating this giant that has been milked of its finite resources for the past decades? Villagers cry foul that they had been victims of repeated abuse by the mining companies without realising any meaningful development in the area. Companies mining granite are not paying gazzetted salaries and benefits.. They are taking advantage of the economic situation in Zimbabwe.

Chinese and Italians were singled out as being prominent in abusing the villagers and workers. The roads in the area are damaged beyond repair and one wonders why are they being allowed to continue causing this environmental havoc. This writer together with other visitors were shown one of the bridges damaged by the Chinese that was never repaired. School children and villagers are now forced to walk long distances to basic amenities such as shops and clinic due to the impassable road. Cases of abduction and sexual abuses of young ones and women was told as they are now using unsafe roads.

A case in point is the Illford mine where villagers and former workers have ganged up to avoid the mining company to vacate the premises without addressing their environment and labour concerns. The company operated more than 20 years and is now relocating. Amai Grace ( not her real name) complained that their houses had been damaged with cracks due to blasting by companies. Their farming fields are no longer viable for agricultural activities. Dip pits can be seen around the place. These are so risky to human life and livestock as they can fall into the pits. During rainy season, they form huge pools of water that can breed mosquitoes. Livestock is succumbing to poisoning when these drink water from the pools. Besides the dangers posed, the pictorial view is just an eyesore.

A couple of villagers interviewed indicated that many were injured during mining and some are still nursing the wounds due to unsafe mining, what is perhaps disappointing is that they were not compensated. The company still owes workers outstanding salaries. One of the ladies interviewed said,’ I am not saying that prostitution is good but it’s now rife in the area due to mining activities around ‘. Drug abuse is also rampant as youths and elderly resort to it as a way of running away from their frustrations.

Efforts to contact one of the miners was futile as he closed his mine in anticipation of our visit. However, this did not stop the drone to take videos and photos of the mining company. Mutoko Rural District Council (MRDC) senior official complained about the less realisation of revenue from granite mining yet they are leaving ecological debts. This have hampered the frantic efforts to repair damaged roads and other developmental projects in Mutoko. Infact, they still query the presence of the mining companies without making any meaningful development or cooperate social responsibility. The taxes companies are charged are so meagre compared to the environment degradation they are causing.

This is a simple case of the resource curse. A community that has been fleeced of it’s resources for too long by foreign companies with the assistance of ‘untouchable’ officials. It is a question of acting too soon to address this resource flight before it’s finished. The greatest fear being that one of the days we shall be importing black granite yet we once had them. There is need to mine sustainably such that communities realise benefits. It is also high time that we consider value addition of black granite as opposed to exporting these in their ‘raw’ state.

Last but not least, the ownership structure of granite miners has to be revisited as it remains skewed in favour of investors. Zimbabwe being ‘open for business’ also entails the authorities to relook into contract agreements that are beneficial to the locals.

Zvishavane Community Share Ownership Trust Uncertainty: What You Need To Know

By Mukasiri Sibanda

Communities have a constitutional right to benefit from resources in their areas in line with Section 13 (4) on National Development. Given government’s inclination to open Zimbabwe for business, there is an ominous risk that investors get prioritised over community rights is ominous. In March 2019, the Minister of Finance, Prof Mthuli Ncube boasted that government has so far sealed US$8 billion deals in the mining sector. But the exact connection between mining mega deals and benefits accruable to communities are not clear.  The mining deals are not open for public scrutiny despite the constitutional requirement that Parliament must play and oversight role during negotiation of mining agreements together with performance monitoring of existing mining contracts – Section 315 (2) (c).

What is clear is that the Finance Act of 2018 destroyed the legal backing of Community Share Ownership Trusts (CSOTs) for all mineral sectors apart from diamond and platinum. Under the indigenisation framework of 2010, foreign companies in the mining sector were required to cede 10% equities to communities. Government has expressed intentions to remove platinum and diamond sectors from complying with indigenisation requirements.

Below are the facts and figures on Zvishavane Community Share Ownership Trust (ZCSOT) which communities affected by mining operations and interested parties must know. The below facts and figures were compiled during a workshop organised by the Zimbabwe Environmental Law Association (ZELA) in Zvishavane on 10 and 11 May 2019. The purpose of the workshop was to help communities with skills to follow mineral revenue to strengthen linkages between mining and local economic and social development.

  • ZCSOT was launched in 2012
  • ZCSOT has no share ownership in any of the mining companies that are operating in Zvishavane.
  • Initially, Mimosa platinum mine pledged to give ZCSOT US$10 million
  • Because Mimosa mine also has claims in Mberengwa district, $3 million was given to Mberengwa CSOT and ZCSOT received $7 million.
  • The size of Mimosa’s platinum claims in Zvishavane and Mberengwa was used to allocate the $10 million pledged by Mimosa.
  • Murowa diamonds initially pledged US$1 million to ZCSOT
  • Later, the US$1 million pledge by Murowa was split equally between Zvishavane and Chivi district and the formula used to split the pledge was not clear.
  • Murowa diamonds paid $300,000 to ZCSOT and $200,000 is outstanding.
  • Unki platinum mine operating in Tongogara has platinum claims in Tongogara and Zvishavane districts. However, the $10 million pledged and paid to Tongogara CSOT by Unki mine was not shared with Zvishavane CSOT. Yet ZCSOT shared amounts pledged with other districts because of contiguous mineral deposits.
  • The current balance in ZCSOT coffers is RTGS$3.5 million. Sadly, mining is the lead foreign currency earner in Zimbabwe but fiscal linkages are backed by a weaker local currency – RTGS$.
  • ZCSOT’s footprint concerning infrastructure development, schools and clinics is visible in all 19 wards in  Runde rural district.
  • Resettlement areas which have huge infrastructure deficits are the main beneficiaries of investments undertaken by ZCSOT. This is in line with constitutional principles of public financial management which requires that resources must be allocated for the benefit of marginalised areas and marginalised groups
  • $5,000 was allocated to each ward to cater for their development priorities. Some wards have failed to spend the money that was allocated to them.
  • ZCSOT was not affected by the softening of the indigenisation framework in 2018 by the Finance Act. All mineral sectors are no longer required to comply with indigenisation requirements apart from diamond and platinum sectors. Zvishavane has diamond and platinum mines.
  • The future of ZCSOT is uncertain. The Finance Minister, Prof Mthuli Ncube opined that government will soon introduce measures to remove platinum and diamond sectors from complying with indigenisation framework.
  • To ensure sustainability, ZCSOT is now focusing on community enterprise development for income generation.

Devolution can transform resource rich communities

By Mukasiri Sibanda

Inasmuch as Zimbabwe is endowed with huge mineral wealth portfolio, the disconnect between mining and living standards of communities where resources are extracted is quite glaring. A typical example involves the gold sector. Record breaking gold deliveries to Fidelity Printers (FPR) were realised in 2018 – 33.2 tonnes of gold roughly US$1.3 billion against a set target of 30 tonnes. However, sharp shortages of essential drugs, for instance, evinces that record-breaking production in the mining sector has no telling development impact in health and education sectors. The self-inflicted wounds are a result of poor mineral resource management – the gold sector was ranked by Resource Governance Index (RGI) of 2017 number 81 out of 89 countries, with a score of 29 out of 100 against a regional average of 43.

With devolution gaining traction, there is need to ventilate challenges, opportunities and progress on harnessing mining for sustainable and broad based local economic and social development. Perhaps, such an exercise can spur strong public conversation on how minerals can deliver elusive benefits to communities to reverse the undermining of development opportunities stemming from mining. Devolution is provided for in the Constitution under Section 264. Decentralisation of governmental powers and responsibilities to provincial and local government is the cornerstone of devolution. Among its constitutional objectives, devolution seeks “to recognise the right of communities to manage their own affairs, and to ensure equitable sharing of local and national resources.”

Harnessing mining revenue for local mobilisation of finance for development

Under Section 276 (2) (b), local authorities are empowered “to levy rates and taxes and generally to raise sufficient revenue for them to carry out their objectives and responsibilities.” Despite this constitutional power, resource rich local authorities have generally struggled to capitalise on enormous economic activities in their jurisdictions, mining particularly, to boost their purses to finance development. Largely, this challenge emanates from the fact that local authorities are “rule takers and revenue takers.” A case in point is the outdated local mining tax collection system under the Rural District Council (RDC) Act. For the purposes of calculating mining taxes due to any local authority, in the case of precious minerals, manual labour is used as a base. As an example, 100 manual labourers equate to a unit, and the rate for that unit is negotiated yearly between a local authority and mining companies.

Absolutely, such an arrangement is not tenable. Labour has been upstaged by machines as a driver of production in the mining sector. A position that is set to get worse as the wave of the forth industrial revolution is unavoidable. Syama mine in Mali has become the first fully automated underground mine in the world. To achieve a progressive local mining taxation structure, it is prudent to consider a value-based approach rather than a manual labour-based approach. For example, 2% of gross income generated per mining project should constitute local mining tax contribution.

Fiscal linkages not enough without the power of foreign currency linkages

Mining is the country’s lead foreign currency generator, contributing not less than 50% of the country total export earnings since 2010. It is unfortunate that in districts where foreign currency is mined, taxes are paid using a weaker currency – RTGS dollars. Agreed local mining tax arrangements were premised on the basis that US dollar and RTGS dollar are equal, 1:1. When the exchange rate was liberalised later through the 2019 monetary policy statement, some mining companies refused to adjust payments to accommodate the official exchange rate. As a result, the spending power of local authorities was severely eroded. Even payments made to community share ownership trusts (CSOTs) or their savings were not spurred because they are not backed with foreign currency linkages. Examples include Marange-Zimunya Community Share Ownership Trust which received $5 million last year (2018) from Zimbabwe Consolidated Diamond Company (ZCDC). Zvishavane CSOT had roughly $3 million set aside for income generating projects.

Another revenue stream for local authorities which has been hurt because poor foreign currency linkages is $310 million set aside for devolution in the 2019 national budget statement. According to Section 301 (3) of the Constitution, at least 5% of national generated revenue in a given fiscal year must be allocated to provincial and local authorities. It is worthwhile to flag out that this constitutional arrangement was not been complied with since 2013 when the new Constitution came into effect. Therefore, the ground-breaking move by the Ministry of Finance to comply with Section 301 of the Constitution in 2019 has its development lights dimmed because the power foreign currency linkages is missing.

Uncertainty around community share ownership trusts

The State is constitutionally compelled to put in place mechanisms to ensure communities benefit from resources in their localities in line with Section 13 (4) on national development. In the quest to attract investment, government is operating on “Zimbabwe is open for business” mode. In 2018, the Finance Act removed indigenisation requirements for all minerals apart from diamonds and platinum. As a result, sustainability of CSOTs outside diamond and platinum sectors is now doubt. As if that is not enough, the Ministry of Finance stated in March 2019 that government intends to scrap indigenisation requirements for diamond and platinum sectors.

Whilst the pace at which CSOTs were being implemented was frustrating, the principle behind the law must never be discounted. Community Share Ownership Trusts were birthed under the indigenisation and economic empowerment regulations of 2010. Under this arrangement, foreign mining companies were required to cede 10% ownership to local communities. Only 2 out of 61 CSOTs received equity from mining companies, and these are Gwanda and Umuguza. In the platinum sector, Zimbabwe Platinum Mines (Zimplats), Unki mine, and Mimosa Mine paid $10 million each to CSOTs in their areas of operation. Amazing progress was recorded on the ground on investment in infrastructure, schools and clinics despite huge infrastructure gaps that are still persistent.

Undoubtedly, removing CSOTs rather than enabling the implementation of CSOTs goes against the spirit of devolution and can further marginalise resource rich communities from benefiting from mining. Why ditching a winning formula? Vision 2030, attaining upper middle-income status certainly will prove to be a huge disaster if it does not address inequality. Inspiration must be taken from leave no one behind, the motto for the Sustainable Development Goals (SDGs) targeted at 2030.

Earmarked mineral revenue streams

There are service delivery funds that are linked with mining albeit not exclusively. Such funds include the rural electrification fund, aids levy, and the Zimbabwe Manpower Development Fund (ZMDF). Mining as a huge consumer of electricity, follows that the sector is a significant contributor to the rural electrification levy. Blanket Mine, for example, contributed 466,322 to the rural electrification fund in 2016 alone. There is hardly tangible evidence of any meaningful plough back of revenue ringfenced for service delivery in communities where the funds are generated. This is an opportunity for resource rich local communities and RDCs to follow the money, demand transparency and accountability to mobilise efficiently resources for enhancing local economic and social development.

Conclusion

Clearly central government has not fared well in terms of managing mineral resources for the benefit of resource rich communities as required by the Constitution. Devolution comes as an incentive for resource rich local authorities to harness the elusive local development dividend from enormous economic activities in their localities – mining obviously takes the centre stage. To achieve this, CSOTs must not be sacrificed to attract investments, transparency and accountability of mineral revenue is important to amplify development opportunities from service delivery funds like rural electrification funds. From areas where foreign currency is extracted, it is atrocious that essential drugs shortages are experienced because of scarce foreign currency. Therefore, fiscal powers of provincial and local authorities need to be backed by foreign currency linkages to enhance local economic and social development programmes.

Public Financial Management: Why access to information is critical?

By Norman Mudadisi, Vusumuzi Ndlovu , Samantha Manyeka and Siduduzile Masilela

Lack of trust and confidence in how government generates, distributes, spends and accounts for public resources to meet the development needs of the citizens is a major challenge.

Gwanda residents have lamented lack of transparency and accountability in the management of revenue generated from the district’s vast mineral wealth –especially gold. The region is blessed with notable natural resources such as minerals, wildlife and scenery but the local community feels highly excluded especially when it comes to benefitting from their resource’s revenue.
At a workshop held at the Gwanda Hotel and organized by the Zimbabwe Environmental Lawyers Association (ZELA) on the 7th and 8th May 2019 it was established that knowledge is power and that there are key documents which are integral in the management of public funds by the public entities. These documents include, the Auditor General’s Report, Expenditure Reports and the Country’s Budget which are accessible for public consumption.
The workshop saw the unpacking of the Auditor General’s mandate. The Auditor-General’s Office (OAG) is an Independent Office established under the Audit Office Act (Chapter 22:18). The Office is charged with the primary oversight / assurance role of ensuring accountability within the three arms of government (Legislature, Judiciary and the Executive) as well as the Constitutional Commissions and Independent Offices.
The Auditor-General is mandated to audit and report in respect to each financial year on the accounts of departments, institutions and agencies of government, all provincial and metropolitan councils and all local authorities, designated corporate boards, statutory funds and other boards that could have used public resources in discharging their functions.
Secondly, there are Monthly Expenditure Reports. The monthly expenditure reports present cash flows and expenditures made by relevant ministries for example the Ministry of Mines and Mining Development and these reports appear on the Government gazette on a monthly basis.
Thirdly, there is the budget which clearly shows the amount of revenue that could have been allocated to various departments, provincial and metropolitan councils and all local authorities. Citizens participation in the consultation takes place in the initial stages of budget formulation. Information on the budget consultative meetings is circulated prior so that citizens prepare in advance for the submissions.
Citizen participation will ensure that the Government institution that monitors the allocated funds is able to track expenditure and progress made in developing various areas.
Furthermore, by effectively participating in the budget consultative process, communities are given a platform to voice their opinions. Citizen participation also makes it difficult for corrupt entities to misuse funds since the citizens partake in continuous audits.
All this requires the involvement of the OAG to constantly assess the risks brought about by the evolving environment so as to: perform “real time” transactions; respond instantly to issues of national, and any public concerns that require immediate audit or investigation; optimize use of audit resources while increasing audit activity and improve financial systems and business processes for effective risk management, control and governance.

In conclusion, Section 13 of the Constitution of Zimbabwe (Amendment No 20) of 2013 (4) notes that, the state must ensure that local communities’ benefit from the resources in their areas. Community Based Organizations and the citizens should be able to access the stated documents and participate in the development processes in their localities. Such a move will promote accountability and transparency in public institutions.

GENDER AND EXTRACTIVES SYMPOSIUM COMMUNIQUE



GENDER AND EXTRACTIVES SYMPOSIUM COMMUNIQUE

WE, the more than 90 women drawn from community based organizations, women miners, mining associations led by women, mining communities from Zvishavane, Marange and Mutoko, government departments, rural district councils, financial institutions, faith based organizations and civil society organizations  gathered at the Cresta Oasis Hotel from the 10th-11thof April 2019 for the third Gender and Extractives Symposium which ran under the theme,  Making the mining sector in Zimbabwe fully inclusive for women : Balance for Better”.The symposium was convened by the Platform on Gender and Extractives.

Appreciating the effort by Government to ensure that there is full participation of women in all spheres of Zimbabwean society on the basis of equality with men as enshrined in Section 17 of the Constitution;

Pleasedwith how some women in mining have become more organized than ever through various mining associations demanding safe work spaces and fighting against violence in this sector;

Notingthe urgent need to stimulate interest and collaborative efforts in engendering the mining sector in Zimbabwe;

Realizingthe need for the Government to promote transparency in the administration of mining claims and supporting women who are opposed to the Exclusive Prospecting Orders (EPOS), a harmful economic empowerment venture which goes against the aspects of socially and economically developing women;

Concernedwith how women are often overlooked in initiatives and development programmes directed at catalysing the inclusivity of the mining sector;

Outragedby the prevalent violence in the Artisanal and Small-Scale Mining sector.

We now therefore call on the Government of Zimbabwe to;

  • Ensure that the Ministry of Home Affairs rolls out a national ban on possession of machetes while supporting the #Stopthemachete campaign. This will reduce incidences of violence associated with the use of machetes especially in Artisanal and Small Scale Mining;
  • Urgently review, enact and enforce laws that require businesses to respect human rights; creating a regulatory environment that facilitates business respect for human rights; and providing guidance to companies on their responsibilities;
  • Close the loopholes that are promoting corruption in  the awarding of mining claims;
  • Compel mining companies to contribute towards building climate resilient infrastructure;  
  • Ensure that women are involved in decision making bodies in the mining sector, such as the Mining Affairs Board and this should be incoporated in the Mines and Minerals Bill;
  • Promote devolution of power which is gender inclusive in a move to enhance tax justice and promote responsible investment.  More research is also needed to ascertain how devolution relates to gender and extractives; 
  • Ensure mining companies invest more into community projects before investing in entertainment such as supporting the national football team. This will improve and enhance service delivery in the health, education and other social sectors;
  • Adopt affirmative action in the mining sector by reserving quotas for women in the chrome, gold and other sub sectors of mining. Women can also pool their resources together and get claims in order to start meaningful businesses;
  • Promote transparency in the sector by embracing open and competitive bidding for mining contracts while drawing lessons from countries such as Mozambique that have adopted the process;
  • Engage Fidelity Printers and Refiners so that it offers competitive prices so that small scale miners are not tempted to trade on the black-market;  
  • Streamline the subject of climate change into all government programs and departments while ensuring wide consultation amongst women in the crafting of policies on climate change and disaster risk management;
  • Fully adopt and implement the mining cadastre system to improve transparency and investment in Zimbabwe’s mining sector;
  • Inclusion of Section 13(3) of the Constitution of Zimbabwe in the Mines and Minerals Bill.

There are several arguments on why women should be equitably integrated into the development process. A persuasive argument is found in the United Nations’ rights-based approach which posits women and men’s equal human rights. Integrating women in development will lead to greater market efficiency while excluding them in development means not making use of all of society’s productive assets, leading to a path of un-sustainable growth of the economy in the long run.

Harare, 11 April 2019

LIST OF REPRESENTATIVES PRESENT:

  • Action Aid
  • Centre for Conflict Management Trust
  • Christian Aid
  • Centre for Natural Resources Governance
  • Community Based Organisations 
  • Civil Protection Unit
  • Environmental Management Agency
  • Local Authorities (Mutoko/Runde)
  • Metbank
  • Ministry of Mines and Mining Development
  • Ministry of Environment, Tourism and Hospitality
  • Ministry of Ministry of Women Affairs, Community, Small and Medium Enterprises Developments 
  • OXFAM
  • Professional Women, Women Executives and Business Women’s Forum (PROWEB)
  • PACT
  • Reserve Bank of Zimbabwe
  • Women and Law in Southern Africa
  • World Bank
  • Women’s Bank
  • Zimbabwe National Chamber of Commerce
  • Zimbabwe Environmental Law Association
  • Zimbabwe Human Rights Commission
  •  Zimbabwe Council of Churches
  •  Zimbabwe Coalition on Debt and Development
  • Zimbabwe Women Resource Centre Network
  • Zimbabwe Women in Mining Association
  • Zimbabwe Environmental Law Association 

Zimbabwe: Country at Risk of Climate Change Effects in Sub Saharan Africa

By Rodrick Moyo

Africa’s concern about climate change is not mainly in terms projections of carbon emission and future environmental damages. It is more about the links between climate change and droughts, desertification, floods, coastal storms, soil erosion — contemporary disaster events that threaten lives and livelihoods, and hinder the continent’s economic growth and social progress

Climate change is already a reality in Africa. There are prolonged and intensified droughts in eastern Africa; unprecedented floods in western Africa; depletion of rain forests in equatorial Africa; and an increase in ocean acidity around Africa’s southern coast. Vastly altered weather patterns and climate extremes threaten agricultural production and food security, health, water and energy security, which in turn undermine Africa’s ability to grow and develop. Climate and environmentally related disasters which threaten human security can induce forced migration and produce competition among communities and nations for water and basic needs resources, with potential negative consequences for political stability and conflict resolution.

Zimbabwe is suffering more from the impact of global warming, increased frequency of droughts and an alarming rise in occurrence of cyclones like most other countries in Africa. This is signaling the burden of climate change risks to be felt more by the poor in the near future.

Climate change is defined as a shift of climatic conditions in a directional incremental mode, with values of climatic elements changing significantly. Evidence of climate change could be detected over several decades. This change of climate which is attributed directly or indirectly to human activity that alters the composition of the global atmosphere and which is in addition to natural climate variability observed over comparable time periods.

Brief background on the climate change studies in Zimbabwe and its characteristics.

According to the Climate Change Impacts Zimbabwe Update, Climate change in Zimbabwe: trends in temperature and rainfall. Zimbabwe is experiencing more hot days and fewer cold days, and the amount of precipitation it receives is deviating from the mean more frequently. Furthermore, a report compiled by the Meteriological Services 2008, revealed that six warmest years on record for Zimbabwe have occurred since 1987 and that the increased frequency of droughts since 1990 is causing massive drop in crop yields in the country’s agricultural sector. Using 30 years’ data collected at stations at Belvedere, Harare, Bulawayo Goetz, and Beitbridge illustrates that weather extremes are the source of the problems. For the sites presented, rainfall data shows no consistent trend indicating that changes in temperature and weather patterns were affecting the frequency and severity of rainfall, droughts, floods, access to water and the use of land.

Impacts/ effects of climate change in the rural areas of Zimbabwe.

Agriculture, Forestry and Food.

Shortage of rainfall and the subsequent drought conditions in rural areas has caused the decline in agricultural produce across rural areas. As a result, the decline in agricultural produce has caused food insecurity and poverty in rural areas since subsistence farming depends on sufficient rainfalls which in most rural areas don’t exist in adequate amounts. In Chiredzi District, South East of Zimbabwe in 2005 about 60% of the rural households in 13 wards was experiencing food insecurity. In addition,flooding caused by climate change affected most of commercial and subsistence farming in rural areas, these include cyclone Bonita 1996, Eline 2000, Japhet 2003 and the recent cyclone Idai 2019. The recent cyclone Idai affected most parts of Chimanimani resulting in flooding which promoted multiple deaths, numerous causalities, displacement of people, food stresses among the rural people and the destruction of agricultural crops. Furthermore, with predictions that agricultural productivity in Zimbabwe could decrease by up to 30 percent because of increases in climatic extremes, climate change poses one of the most serious food security challenges of the 21st century in the country. More so increases in temperature in most South Western parts of Zimbabwe (Matabeleland South) has also led to the reduction in crop yields especially maize which is a staple crop in Zimbabwe. Research has shown that net farm revenues are affected negatively by increases in temperature.

Health.

Empirical studies and continuous assessment suggest that climate change can lead to an expansion of the areas suitable for malaria transmission. In this case however, studies in the Zimbabwe’s rural areas especially on the central plateau where population is currently concentrated has shown that malaria transmission is more likely to increase than decrease. Also, according to the National Capacity Self-Assessment report of 2006, climate change has altered the distribution of the preferred habitats of disease-carrying insects, most notably mosquitoes, tsetse flies and ticks. Furthermore, due to this discovery, modeling work suggests Zimbabwe’s climate change scenarios would lead to an increase in the distribution of the malaria-bearing Anopheles gambiae mosquito.

Water Shortages.

The occurrence of droughts has led to water shortages. This is so because in most of the rural areas in Matabeleland South and North water shortages have been the problem to the locals since it has led to decline in dam water and lowering of the water table. An example includes the Mzingwane dam which supply water to most of the surrounding rural areas in Bulawayo like Esigodini, the dam has been declining since 1977, 80s, the 90s and onwards in the 2000 owing largely to extreme weather changes.

Human livelihoods/ social factors.

Climate change is causing major poverty concerns in most rural areas of Zimbabwe. Drought occurrences in most parts of Gwanda and Lupane is causing poor living standards as the only source of income to the local people is through agricultural practices hence the shortages in rainfall and availability of water for crops is in no or limited amounts. Furthermore, the occurrence of natural disasters like floods as caused by climate change has also led to rural people living in poverty conditions.

Such and other multiple adverse impacts of climate change are likely to continue rising if strategies and efforts are not heightened to mitigate and enable communities to adapt to this impending doom.