Explain two ways on how South Africa’s economy would suffer if coal is depleted and also List Out 5 Advantages of Mining In South Africa Today.
Coal is formed from the vegetable matter of swamp forests, not unlike those of the Ganges and Mississippi deltas. it occurs in Layers, called seams, which often alternates with layers of clay and other rocks.
The first stage in the formation of coal is peat, Which is formed of partially decomposed vegetable matter compressed by over-lying layers of silt.
As the deposition of vegetable matter and silt continues, the peat is compressed into coal. Most of the world’s coal deposits were formed in the Carboniferous period which occurred about 300 million years ago.
Coal mining is the process of extracting coal from it’s natural deposition, it’s either done manually or with the use of machines.
The method for mining coal depends on the distance of the coal seams below the surface, and whether the seams are horizontal or tiled. three basic methods are used.
As we all know that South Africa has for long been on the business of mining Gold and diamond, it has been a foundational economy resources of the country.
With South Africa’s economy built on gold and diamond mining, the sector is an important foreign exchange earner, with gold accounting for more than one-third of exports. In 2009, the country’s diamond industry was the fourth largest in the world. South Africa is also a major producer of coal, manganese and chrome.
1 Mining in South Africa can boost the economy adversely as it has been doing ever since it’s initial start.
For instance, Johannesburg is sometimes called city of Gold. The European settlers “rushed” for These minerals and they have been mining since then. The economy is based on these historic mines.
2. Mining in South Africa can create jobs both for the skilled and unskilled individuals there by reducing unemployment rate.
Estimates of GDP were revised due to availability of new sources of information. The information relating to 2014 is shown in Table A.
3. Table A – Quarterly GDP revisions: 2014 in the second quarter of 2014. The most notable performances were as follows:
1.Mining and quarrying expanded by R9 billion to R76 billion;
2.Manufacturing expanded by R7 billion to R116 billion;
3.Finance, real estate and business services expanded by R6 billion to R175 billion; and Agriculture, forestry and fishing contracted by R14 billion to R22 billion. Structure of the economy.
The largest industries, as measured by their nominal value added in the third quarter of 2014, were as follows:
Finance, real estate and business services – 20,3 per cent;
General government services – 17,0 per cent;
Wholesale, retail and motor trade; catering and accommodation – 14,4 per cent; and
Manufacturing – 13,4 per cent.