quarrying pr oducts which r ose b y 21 1 in 20 19 T his w as f ollo w ed b y electricity gas and w a t er a t 10 9 o wing t o Esk om s adjus tments t o electricity tarifs T he indus try spent a t otal of R22 billion o n electricity and R8 billion on w a t er in 20 19 Rising electricity pric es ar e of critical c onc ern t o the mining sect or in South A frica Other signifcant c os ts t o the indus try included tr ansport and s t or age which ac c ount ed f or R7 16 billion and w ages which ac c ount ed f or R15 7 5 billion of t otal input c os ts W hile the input c os t escala tion gr aph sho w s tr ends f or all mining pr ocur ement the impact of go v ernment on the gener al c os t s tructur e of the ec onom y is signifcant T he Public and priv a t e CPI gr aph indica t es tha t the c os t escala tion of go v ernmentsupplied goods and servic es is running a t tw o per c entage points higher than the headline c onsumer pric e inde x and in some ins tanc es f our per c entage points higher than priv a t e sect or induc ed c os t escala tion HO W MINING C ONTRIBUTES T O SOUTH AFRICA C ONTINUED Or ganisa tional o v ervie w and s tr a t egy Input cost escalation 2019 T otal mining Gold PGMs Chr ome Ir on or e 0 2 4 6 8 10 12 10 5 84 86 84 83 7 9 7 6 7 6 68 Other mining and quarrying Manganese Coal Other metalic miner als Input cost ination per component 2019 Mining and quarrying pr oducts Electricity gas and wa te r Financ e insur anc e r eal esta te and business servic es Co ke and re ned petr oleum Compensation of empl oy ees Other chemicals and manmade br es Basic chemicals Tr ansport and equipment Import ed int ermedia te inputs Tr ansport and st or age Machinery and equipment Electrical machinery and appar atus W ood and w ood pr oducts Wholesale and re tail tr ade Metal pr oducts ex cluding machinery Community social and personal other pr oduc er s Rubber pr oducts 0 5 10 15 20 25 21 1 10 9 7 2 6 7 66 66 59 54 53 5 1 5 0 48 48 45 44 42 26 Input cost ination per component 2019 Mining and quarrying pr oducts Electricity gas and wa te r Financ e insur anc e r eal esta te and business servic es Co ke and re ned petr oleum Compensation of empl oy ees Other chemicals and manmade br es Basic chemicals Tr ansport and equipment Import ed int ermedia te inputs Tr ansport and st or age Machinery and equipment Electrical machinery and appar atus W ood and w ood pr oducts Wholesale and re tail tr ade Metal pr oducts ex cluding machinery Community social and personal other pr oduc er s Rubber pr oducts 0 5 10 15 20 25 21 1 10 9 7 2 6 7 66 66 59 54 53 5 1 5 0 48 48 45 44 42 26 Public and private consumer price index CPI 20142019 201 4 Oil price collapse 2015 2016 2017 2018 201 9 Yearonyear 2 4 6 8 10 Government CPI Headline excl government CPI Headline CPI Go v ernment CPI is a c ombina tion o f as ses sment r a t es w a t er electricity petr ol tax es tr ains mo t or lic enc e and r egis tr a tion f ees c ommunica tion educa tion univ ersity boar ding f ees S ABC TV lic enc e L o tt o alc oholic be v er ages and t obac c o nonalc oholic be v er ages and so ft drink s W ages Wa t e r Electricity Harbours Rail R oad Housing R13 59 billion 4 15 of input c os ts R8 billion 4 of input c os ts R22 billion 10 of input c os ts T r ansport and s t or age R7 16 billion 32 of input c os ts R346 billion 22 of the w age bill Pr et oria P ortland C ement Sour c e S ta tis tics South A frica Miner als C ouncil South A frica Sour c e S ta tis tics South A frica Miner als C ouncil South A frica Sour c e S ta tis tics South A frica South A frican Reserv e B ank P age 12