A leading coal producer needed to understand the social impact of previous activities to better inform future investments
A leading coal producer needed to understand the social impact of previous activities...
In South Africa, mining companies must submit Social & Labour Plans (SLPs) as a pre-requisite to the granting of mining or production rights. This is part of the government’s approach to promoting employment and ensuring economic growth and socio-economic development. A leading coal producer needed to understand the social impact of its previous activities to better inform future investments.
How KPMG helped
Sustainability and valuations experts from KPMG in South Africa conducted a Social Return on Investment (SROI) study on approximately 30 projects across all their community development themes. The team monetized material social outcomes to determine the present value of each project and compared it with the original investment, enabling the client’s SLP to detail the relevance and value of the projects in a more accurate and compelling way.
Benefits for the client
KPMG’s work has helped the client to engage with its stakeholders to improve the development impact of the mining sector. The results will also enable the company’s next SLP to be more strategic and outcome-oriented. The improved approach to community development will lead to better projects, which will strengthen the company’s license to operate. Finally, the impact map developed as part of the project will form the foundation of the company’s nascent monitoring and evaluation system.
Mrs. Christine Kachinsky