Govt mulls temporary ban on scrap metal exports amid rising copper cable theft

Govt mulls temporary ban on scrap metal exports amid rising copper cable theft

Public Enterprises Minister Pravin Gordhan says government is mulling a possible temporary ban on scrap metal exports in a bid to copper theft and vandalism of key infrastructure.

DPE minister Pravin Gordhan May 2021 budget vote

Talks of a moratorium come amid frustrations of the billions of rands lost to the industry.


City Power, Eskom, Transnet, Telkom and Prasa are among entities that have bemoaned the increasing attacks on infrastructure.


On Wednesday, Eskom alone estimated a R2 billion loss per annum, while the overall estimate for state-owned enterprises sits at R7 billion per annum.


It's understood syndicates steal copper cables to resell at scrap yards which in turn export to the global market.


During a question-and-answer session at the National Assembly, Gordhan again admitted the crippling effects of the theft and vandalism.


"There is absolutely no doubt that copper theft and rail theft and other infrastructure theft and vandalism is having a major and disastrous effect on the efficiency of logistics in South Africa.


"We are working with the South African Police Service to ensure special teams are made available at appropriate points where these vandalisation projects are run in order to ensure that we understand who is behind it."


Gordhan assured MPs that government is looking at ways to curb the growing trend that has impacted on the ability of SOEs to deliver basic services.


"It is my firm view that the export of scrap metal must be banned for a while, for a start, to ensure there is no market externally for the theft of those sort of infrastructure.


"This is a matter the DTIC [Department of Trade, Industry and Competition] is working on and the sooner we have a strong set of measures in that particular regard it will begin to change the face of the theft of infrastructure as well," Gordhan added.


Earlier in the year, President Cyril Ramaphosa reiterated plans to take decisive steps to address the sale or export of scrap metal.


This includes improved law enforcement at key infrastructure across the country.


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