Our staff reporter caught up with Sugar Chagonda (SC), Head of Corporate Executive at ZCDC, on the sidelines of the recent ESG Breakfast Interface meeting in the capital. In this interview, we delve into ZCDC’s progress in implementing Environmental, Social, and Governance (ESG) standards.
- AS ZCDC, WHAT MEASURES ARE YOU IMPLEMENTING IN ESGs?
SC: At ZCDC, we are implementing a number of initiatives so as to make sure that we take care of ESG. As implied, we are looking at what we call responsible mining; that’s all it means. Because when you look at the E, it’s talking about the environment. What is it that we are doing to make sure that we are mining sustainably?
So, this also speaks to the manner in which we are extracting our minerals. The value chain from exploration up until we have liberated those diamonds from those big stones. So I think the mining process itself, we are making sure that we are doing that sustainably.
This also implies our mining methods themselves and also what we are doing after mining out those areas. We also have programs where we are rehabilitating those mined-out areas. Recently we introduced what we call PERA; this is Post Environmental Rehabilitation Agriculture.
Where we are saying those mined-out areas we need to rehabilitate, then invest in agriculture. Where the communities will also utilise the mined-out areas. So that is also an initiative that we will be pursuing, and we have set aside a budget for that.
And also planting of trees, even in-pit dumping when it comes to filling those mined-out areas. Those are some of the initiatives that we are implementing. Even issues to do with dust suppression, making sure that communities around are not affected by dust, and so forth. Even our employees. So those are some of the initiatives.
From a social perspective, this is what I was saying in terms of social.
We have got a number of projects that we are implementing in the community. Every year we have a budget that is set aside to make sure that we implement various projects across all spheres of life. Education: we adopted some schools; we are also making sure that we are equipping those schools.
Particularly in terms of complementing government efforts from an e-education perspective. We are buying computers. Recently, we also connected Chiadzwa Primary School and Gandauta School with electricity.
And we bought some state-of-the-art desktops to make sure that they are also exposed when it comes to computer education. Then also in terms of health, apart from the communities accessing our health facility at the mine, we are also rehabilitating clinics in the communities as well as providing some consumables, drugs, and so forth to make sure that we also take care of or look after our communities from a health perspective. Enterprise development: we are also promoting enterprise development over and above making sure that we are employing people from the communities.
Right now we have about 1,780 employees, and 64% of them are coming from the local communities. So I think it’s a decent figure, which means that we are also empowering the communities from an employment point of view. But over and above that, we can say we can’t employ everyone at the mine.
So we are encouraging them to come up with projects that will be sustained even through our mining projects. For example, recently we launched what we call the local buying framework. Everything that we consume at the mine, remember we said we are 1,780.
Everything that we consume at the mine is coming from the communities. We eat vegetables, tomatoes, beef, and so forth. So what it means is we are steering economic activities. Now local women can fend for their families; they can send their kids to school through these projects. Because the mine is providing a ready market to the communities. So these are some of the things that we are doing from a community development point of view to make sure that we look after our communities. Because we are saying we need to do everything in a sustainable manner so that we even take care of their lives beyond mining. Once we are done with mining, at least communities must stay behind with something that is seen. At some point there was progressive mining that was also happening.
Even in terms of sport and recreation, we are also there. I’m sure you know that Manica Diamonds is 100% funded by ZCDC. But over and above that, we also have a junior club, which is in Division 1 under 19.
So those are some of the platforms where we are allowing those skilled youngsters to showcase their talents and be employed. So sport is also business. We are supporting that.
Even in schools, we are also promoting sports. So I think this is just a snippet in terms of some of the projects that we are funding in the communities. And also, I think it’s critical to point out that one of the community development vehicles that has been established, which we are supporting, is Chiadzwa Community Shared Ownership Trust. I think just three months or so ago we gave them a community dividend of 1.2 million, which will also go towards community projects. This is over and above the projects that we are implementing ourselves. We are empowering this community development vehicle to spearhead other projects. Just recently, they drilled 20 boreholes across Manicaland. So I think these are some of the things that we are doing from a community point of view to make sure that we leave the ESG framework.
- HOW MUCH IS YOUR COMPANY INVESTING IN ESG?
SC: I think that will be discussed at some stage in terms of the number crunching. But all I can say is that on an annual basis we set aside some money that goes towards community development. And these funds are informed by the extensive community engagement that we do. We don’t prescribe projects in the communities, but we engage the communities. We discuss with them because there is an engagement framework that we follow. We work closely with traditional chiefs. There are also a number of community-based organisations, including community development committees. Which also includes the Community Shared Ownership Trust. These are all critical stakeholders. So before we come up with a budget, we also do extensive engagement with them. So that we get informed in terms of the projects that we need to implement.
- ARE THERE ANY PLANS OF INSTALLING SOME SOLAR FARMS TO MITIGATE CARBON EMISSIONS?
SC: Yes, definitely we are also going that route to make sure that we invest in smart energy. So definitely our team right now is exploring. Because we are set to come up with solar farms. So I think these are some of the projects that are on cards. But for now I am not at liberty to discuss in detail. Because we are still in the planning stages.
HOW DOES PHYTO-MINING SPEAK TO YOUR COMPANY?
SC: As for now, we are also looking into that and we are discussing the same issues with ZELA, the Zimbabwe Environmental Lawyers Association as well as a number of civic society organisations, because this is also a buzzword when it comes to the Kimberley Process Certification Scheme. We are also looking into that so that we make sure that our mining processes will take care of that.I am sure very soon we will be at liberty to share some of the plans and projects that we will be implementing. To make sure that we are equal to that mandate.