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Communities must be at the centre of South Africa’s coal transition, says Minerals Council SA

An orderly energy transition must protect jobs, strengthen local economies and include mining communities in decision-making, according to Shamini Harrington

South Africa’s energy transition cannot succeed without the meaningful inclusion of mining communities, according to Shamini Harrington, Senior Executive: Environment, Health, ER and Legacies at Minerals Council South Africa.

Speaking during the Coal & Energy Transition Day 2026 under the session From Policy to Practice: South Africa’s Energy Transition and the Path Beyond, Harrington argued that while decarbonisation remains an important objective, the transition must also safeguard jobs, local economies and livelihoods that depend on the coal value chain.

She noted that public discourse often overlooks the far-reaching economic contribution of coal mining and the extensive industries it supports.

“People don’t understand how much of coal’s input and products actually exist in absolutely everything we do. People don’t understand lipsticks, car parts – that’s the extent of where the coal value chain goes.”

Harrington highlighted the scale of the sector’s economic contribution, revealing that coal mining directly employed approximately 96,000 people in 2025, paid R36 billion in wages and generated R195 billion in sales.

She explained that these figures represent only the direct impact, with the industry’s broader economic footprint extending far beyond mine gates.

“There’s a dense ecosystem that sits below that – contractors, transport, maintenance, suppliers, catering services, formal and informal businesses. All of that needs to be put into the perspective of the multiplier impact of the mining sector.”

According to Harrington, every mining job supports several more across the wider economy, meaning any rapid or poorly managed mine closures would have devastating consequences for families and communities.

“This is hundreds of thousands of jobs impacted, and hundreds of thousands of lives – households, families, medical aids, schools, universities and municipal revenue. That’s how pervasive this issue is.”

She cautioned against abrupt coal mine closures often advocated in some international policy discussions, saying South Africa’s transition should reflect its unique socio-economic realities.

“If we have these abrupt closures, it impacts those lives. We need to think about this in a phased, orderly way. How do we develop those other economies? How do we contribute?”

Harrington also pointed to critical minerals as one of South Africa’s biggest opportunities in the energy transition, saying coal and emerging green industries should be viewed as complementary rather than competing sectors.

She said mining has a dual responsibility: reducing emissions while simultaneously supplying minerals essential for low-carbon technologies such as batteries, electric vehicles and green hydrogen.

“Mining has this dual role. We have emissions, but we also have a value chain where we can supply the critical minerals needed for green hydrogen, batteries and electric vehicles. That can coexist, and we can develop that together with coal being the funding agent.”

She stressed that businesses first need stable operating conditions before they can meaningfully diversify and invest in new industries.

Reflecting on the country’s recent economic challenges, including COVID-19, energy insecurity, logistics constraints and geopolitical pressures, Harrington said mining companies need the capacity to operate sustainably if they are to finance future opportunities.

“We’ve got to use the resources we have. Once you get to that sustained point where you are actually profitable, you are able to think about diversification.”

While acknowledging the significant opportunities for economic diversification in coal-producing regions such as Mpumalanga, Harrington emphasised that communities must not simply be informed about the transition but actively participate in shaping it.

“From a credible transition perspective, we need to think about the communities and include them in our decision.”

She added that a successful energy transition will depend not only on environmental targets but also on ensuring that the people and communities who have long supported South Africa’s mining economy remain central to its future.

 

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