Minerals Council South Africa and the Human Sciences Research Council (HSRC) have signed a memorandum of understanding to conduct a survey to gain a comprehensive overview of the research, development and innovation (RD&I) investment environment in South Africa as mining modernises operations, making them safer and more socially and environmentally sustainable.

The partnership – facilitated by innovation-focused advisory firm the Research Institute for Innovation and Sustainability (RIIS) – will produce an inclusive, industry-wide survey to gain critical insights into the key investment aspects that encourage, or impede, mining innovation in South Africa.

The Minerals Council notes that the global mining sector lags behind other sectors in terms of innovation spend, adding that research conducted in 2020 showed that mining companies invested less than 1% of gross revenue into RD&I.

It adds that mining has a relatively low RD&I intensity compared with other economic sectors, despite the sector being a significant contributor to the global economy, and its critical role in providing the minerals and metals needed for a low-carbon future.

“Mining cannot modernise without innovation, and often this innovation stems from outside the mining ecosystem.

“Working with the HSRC and RIIS, the Minerals Council aims to provide a clear view for the industry on how much investment is being allocated to RD&I, what specific areas are the focus of investment, where investment gaps lie, and what investment opportunities there may be in supporting the mining sector’s progress towards a just energy transition,” says Minerals Council senior executive for modernisation and safety Sietse van der Woude.

The HSRC – Africa’s largest research institute focusing on the social sciences and humanities – conducts a yearly national survey into private sector RD&I.

HSRC centre for science, technology and innovation indicators executive head Dr Glenda Kruss notes the potential positive impact the survey could have on the mining industry.

“By providing critical statistics on the state of mining RD&I investment, we can drive real industry impact, from assisting with the development of institutional innovation investment policies to providing industry RD&I investment benchmarks that have not been previously articulated,” she says.

RIIS previously compiled a report, the ‘South African Mining Innovation Ecosystem Review’, which analysed the South African mining industry’s performance between 2017 and 2022, on behalf of the Minerals Council. A key finding was the need for more diverse and innovative funding mechanisms.

Investment is critical for RD&I, but South Africa continues to struggle with eroding investment attractiveness, according to the Fraser Institute’s annual survey of the investment attractiveness of global mining jurisdictions. Considering policy and mineral potential, South Africa has ranked in the bottom ten of the least favourable mining jurisdictions for the past two consecutive years.

“The RD&I survey will further enhance our understanding of mining’s innovation ecosystem and indicate how considered investment will ensure mining’s position as a robust contributor to the South African economy,” says RIIS CEO Davis Cook.

The mining RD&I investment survey starts with an industry-wide call for participation, with survey results anticipated for release in the latter part of this year.