The role of decision support frameworks in industrial policy development: A South African iron and steel scrap case study

Downstream mineral resource beneficiation has potential to promote socio-economic growth in resource-rich nations, which has resulted in it receiving growing prioritisation and promotion in a number of African nations. Decisions surrounding downstream mineral beneficiation are complex due to the multitude of factors to be considered to ensure maximum sustainable benefits are realised. Decision support frameworks (DSFs) are recognised to be of value for strategic planning in the minerals sector. This paper explores DSF applicability by means of a case study of the South African iron and steel scrap industry, with a focus on the potential for increased local beneficiation of scrap in steel mills or foundries. The findings reinforce the value of the stakeholder consultation process that underpins DSFs in enabling the exploration of the underlying complexities and factors that contribute to any challenges an industry may be facing, as well as their effect on different stakeholders. In this case, a policy intervention was implemented in a bid to increase local beneficiation. However, there has been no indication of it achieving its objectives with stakeholders reporting it was not effectively tailored in the context of the sustainability issues being faced by the industry, due to insufficient meaningful stakeholder consultation. The structure of DSFs forced stakeholders who prioritised micro-economic issues to engage with sustainability issues beyond their purview. The results of the quantitative performance analysis demonstrate the complexity associated with sustainability performance assessments with no alternative definitely out-performing the others. Thus, in existing industries, DSFs can facilitate informed decision-making based on the current health of an industry as well as long-term potential sustainability benefits that could be realised. Ultimately, this may enable the development of well-informed targeted strategies and policies that take into consideration the realities of the industry as well as stakeholder perspectives, increasing the likelihood of their success. This is of particular importance in the context of African downstream mineral beneficiation, which in many cases has been bedevilled by a lack of grounded and targeted policies.