The South African Mining Council and the Ferroalloy Producers Association have jointly called on the government to reduce electricity prices, describing this as the most critical step to restart idle smelters in the country.

The statement noted that electricity costs have risen too sharply over the past decade, leaving many smelters under significant financial pressure and struggling to remain profitable. To truly revive operations, it is essential to ensure competitive power pricing, rather than hastily implementing trade restrictions that could harm mining companies.

At the same time, the industry is exploring a shift toward renewable energy. While this transition will take time, it is seen as a long-term solution to reduce reliance on the traditional grid and better cope with increasingly stringent international carbon emission policies.

Beyond electricity pricing, the associations have also suggested that the government consider adjusting carbon taxes, cracking down on illegal mining, and collaborating with the industry to develop a sustainable roadmap, all aimed at creating a more favorable operating environment for smelters.