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Provision for Silicosis Settlement (Tables)
 12 Months Ended
Jun. 30, 2019
Other provisions, contingent liabilities and contingent assets [Abstract]  
Reconciliation of the Total Provision for the Silicosis Settlement
The following is a reconciliation of the total provision for environmental rehabilitation:
 
SA rand
Figures in million
2019

2018

 
 
 
Balance at beginning of year
3 309

2 638

Change in estimate - Balance sheet1
(439
)
(175
)
Change in estimate - Income statement
33

67

Utilisation of provision
(86
)
(94
)
Time value of money and inflation component of rehabilitation costs
208

191

Acquisitions2
—

663

Transfer 3
37

—

Translation
(8
)
19

 
 
 
Balance at end of year
3 054

3 309

1 The biggest contributor was Moab Khotsong, where a decrease of R240 million was recognised following on alignment of the methodology and other assumptions including rates.
2 The 2018 acquisition relates to the Moab Khotsong operations (refer to note 12).
3 Refer to note 28 for details.
The following is a reconciliation of the total provision for the silicosis settlement:
 
SA rand
Figures in million
2019

2018

 
 
 
Balance at beginning of year
925

917

Change in estimate
(62
)
(68
)
Time value of money and inflation component
79

76

 
 
 
Balance at end of year
942

925
Disclosure of the Impact of a Reasonable Change in Certain Key Assumptions
The impact of a reasonable change in certain key assumptions would increase or decrease the provision amount by the following amounts:
 
SA rand
Figures in million
2019

2018

 
 
 
Effect of an increase in the assumption:
 
 
 
 
 
Change in benefit take-up rate1
66

65

Change in silicosis prevalence2
66

65

Change in disease progression rates3
33

31

 
 
 
 
 
 
Effect of a decrease in the assumption:
 
 
 
 
 
Change in benefit take-up rate1
(66
)
(65
)
Change in silicosis prevalence2
(66
)
(65
)
Change in disease progression rates3
(33
)
(31
)
 
 
 
1 Change in benefit take-up rate: the take-up rate does not affect the legal cost allocation, but a 10% change results in a proportionate change in the other values.
2 Change in the silicosis prevalence: the assumptions that will result in a change in the estimated number of cases are either a 10% change in the assumed labour number or a 10% change in the disease risk.
3 Change in disease progression rates: a one year shorter/longer disease progression period was used. This assumption is not applicable to the dependant or TB classes.