Informal settlements and mine development: Reflections from South Africa's periphery

Historically, mining companies worldwide provided housing and developed towns to accommodate their employees. At the end of the 1980s this approach became less prevalent and attempts were made to mitigate the effects of mine development and mine closure on communities living near the mines. Permanent settlement in mining towns urgently needed to be minimized. Since the advent of democracy, South African policy has moved in the opposite direction, shifting the emphasis to creating integrated communities and encouraging home ownership. Despite this policy shift, however, mines continue to influence local housing conditions. One direct outcome has been the development of informal settlements. We surveyed 260 informal settlement households in Postmasburg, a small and remotely located town in the Northern Cape Province of South Africa. We found that because they employ contract workers and thus arouse expectations of employment, the mines here contribute extensively to the development of informal settlements. But local factors also contribute, and the functional role of informal settlements as a form of housing that supports mobility should not be underestimated. We also found that both municipal and mining company policies for informal settlements were inadequate. Finally, we found that low-income informal settlers not associated with mine employment suffered the highest levels of social disruption.