Illicit trade in scrap metals is rife and plays a significant role in the vandalisation of public infrastructure with many negative consequences.
It is, therefore, hard to see how the Department of Trade, Industry and Competition's draft policy proposals to regulate and restrict the trade in scrap metal will make any difference.
The problem is so expansive that President Cyril Ramaphosa undertook in his SONA earlier this year to tackle crime in this industry – specifically the theft of copper and other materials stolen from public infrastructure.
This crime has an extremely detrimental impact on the country's infrastructure. It, among other things, results in prolonged power outages in residential and industrial areas, and it paralyses railway systems for months on end.
Copper theft from the country's railway and electricity networks amounted to more than R45 billion in 2020/21.
In the same period, more than R100 million in steel fencing was stolen. Even the steel structures of mainline power networks are vandalised, which leads to widespread power outages.
The fact that stolen copper, steel and other metals pass through various processes before mostly being exported across the country's borders makes it very difficult to police the whole process seeing as trading in scrap metal is, in essence, a lawful industry.
The Department's proposed measures alone cannot be the only solution, and may even have unintended consequences. The entire industry will suffer the negative consequences of, among other things, a six-month ban on the export of scrap metal. It is eerily reminiscent of the Covid-19 lockdown.
Just like drugs and diamonds, the illicit trade in scrap metal is clearly very profitable, so, criminals will find innovative ways to circumvent any restrictions imposed.
A permit system for the import of blast furnaces and processing machinery is welcomed. The same goes for the much stricter registration system for scrap metal dealers, which requires, among other things, more detailed declarations of their operations.
What is of even greater importance is that South Africa desperately needs an effective moral revival campaign to be implemented in every school and every government department in all three spheres of government.
Theft and corruption must be eradicated. That can only be achieved, however, with the support of an effective intelligence network and the necessary political will.
Most importantly, South Africa needs a new government after the 2024 elections.
