Science and Technology Laws Amendment Bill [B42-2018]: deliberation

Science and Technology

27 February 2019
Chairperson: Ms L Maseko (ANC)
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Meeting Summary

The Committee was briefed on Department’s correspondence with the Western Cape Government on the amendments to the Science and Technology Laws Amendment Bill. Clauses and sections of note were: Clause 17 would be amended by inserting a new clause in the ASSAf Act that dealt with appeal committees which would allow for people who had applied for membership but got denied or people whose membership was terminated to be eligible for appeal; Clause 22 sought to amend Section five of the Human Science Research Council Act by providing for a period within which a person will be disqualified from being a member of the Board after being convicted by a court of law for fraud, corruption or any other crime involving dishonesty. The Western Cape Government was against the amendment because the clause is crucial in ensuring that appropriate people are appointed. ; Subsection 11 of the Scientific Research Council Act will be amended by substituting the words ‘National Assembly’ with ‘Parliament’; for Section 9 (2) it was proposed that the words ‘or any other person with suitable skills and experience’ be inserted; for 9 (3) it was proposed that the Chairperson be the one to designate members of the Committee and not the Board; Clause 4 provides for the limitation of the term of the CEO to ensure consistency with other entities reporting to the Minister; Clause 15 seeks to insert a new Section 15A which states that the CSIR may not be wound up except by or under the authority of an Act of Parliament; Subsection 3B will include ‘the CEO may not serve for more than two terms’; and Section 11 of the TIA Act will be amended with the addition of Subsection 11 which prohibits the Chief Executive Officer from serving for more than two terms.

Members asked whether a person who has faced disciplinary action and was subsequently dismissed would qualify for readmission; whether appeals would be based on merit or procedure; what it meant to be ‘fit and proper’; why the CSIR could not be liquidated; why an Act is needed to liquidate the CSIR and whether a CEO will be removed from office even if he/she is competent.

Meeting report

Mr Lihle Hlophe, Senior Legal Officer, Department of Science and Technology reported on the Department’s engagement with the Western Cape government and the Technology Innovation Agency (hereafter referred to as TIA) on some of the proposed amendments to the Bill. The Department engaged with the aforementioned entities on the amendments of the Bill and some of their statements were incorporated in the Bill. The Department recommended that Clause 1 (c) of the Bill be amended by the insertion of the words ‘by a court of law’ because only a court of law can determine that a person be removed from a position of trust. However, the Western Cape Government stated that the clause be left as it is.

Dr A Lotriet (DA) asked whether a person who has faced disciplinary action and was subsequently dismissed would qualify for readmission.

Mr Hlophe responded that a person who had faced disciplinary action can apply. The amendment is in the interest of the public and is to ensure that people who occupy offices are fit and proper.

Dr Lotriet said that putting such responsibility in the domain of the courts is limiting.

Mr Hlophe suggested that the clause could include words such as ‘by a court of law or a competent tribunal’ to avoid the limitation.

Mr Hlophe said that clause 17 will be amended by inserting a new clause in the ASSAf Act that deals with appeal committees. It will allow people who had applied for membership but got denied or people whose membership was terminated to be eligible to appeal.

Dr Lotriet asked whether the appeal will be based on merit or procedure.

Mr Hlophe responded that it will be both. He said that Clause 22 seeks to amend Section five of the Human Science Research Council Act by providing for a period within which a person will be disqualified from being a member of the Board after being convicted by a court of law for fraud, corruption or any other crime involving dishonesty. The Western Cape Government is against the amendment because the clause is crucial in ensuring that appropriate people are appointed.

Mr N Koornhof (ANC) said that he is against the amendment.

Ms A Mfulo (ANC) asked what it means to be ‘fit and proper’.

Mr Koornhof said that the definition can be found in the Customs Act.

A member of the legal team said that jurisprudence in this country has a plethora of definitions for ‘fit and proper’ including case law. Fit means to be qualified, competent and/or deserving. Proper means excellent. Since there are so many definitions the court usually makes a value judgment.

Ms Mfulo said that it should be amended because the Minister should not have that much power because he/she might abuse it so the court should be given that power.

The TIA’s submissions were not considered because the agency did not look at the updated version of the Bill therefore there was nothing substantive to work on.

Science and Technology Laws Amendment Bill: clause-by-clause deliberations

Mr Hlophe took the Committee through the proposed amendments to the Bill.

Clause 1

Subsection 11 of the Scientific Research Council Act will be amended by substituting the words ‘National Assembly’ with ‘Parliament’.

The Committee unanimously agreed that it should not be changed.

Clause 2

Section 7A is amended by the substitution of the words ‘National Assembly’ with ‘Parliament’.

This was alluded to in the previous clause and the Committee agreed that it should not be changed.

Clause 3

For Section 9 (2) it was proposed that that the words ‘or any other person with suitable skills and experience’ be inserted. For 9 (3) it is proposed that the Chairperson be the one to designate members of the Committee and not the Board.

Ms Mfulo said that too much power will be given to the Chairperson if the amendment is made.

 The Committee agreed that the power will remain with the Board.

Clause 4

Clause 4 provides for the limitation of the term of the CEO to ensure consistency with other entities reporting to the minister. Subsection 3B will include ‘the CEO may not serve for more than two terms in the Scientific Research Council Act’.

Mr M Kekana (ANC) asked why this is so.

Mr Hlophe answered that it is in the interest of good governance.

Clause 5

Section 11 will be amended by the insertion of Subsection 1A which reads ‘The board shall determine the procedure for its meetings’, the substitution of subsection 2(b) with ‘’ The chairperson must, within 14 days of a written request signed by at least one third of the members of the Board, convene such meeting’.

The Committee agreed.

Clause 6

Mr Hlophe stated that Clause 6 seeks to amend Section 12 by providing for the determination of the conditions by the board of the appointment or secondment of employees of the council.

There was no discussion on this matter.

Clause 7

This clause seeks to amend Section 14 by providing for the repeal of the provisions relating to the auditing of the accounts of the Council and submission by the Minister of the annual reports to Parliament, as such matters are provided for in the Public Finance Management Act, 1999(Act No. 1 of 1999) (‘Public Finance Management Act’).

There was no discussion on this matter.

Clause 8

Mr Hlophe stated that this seeks to amend Section 15 by providing for the repeal of the provisions relating to the investment of the funds of the Council as such matters are provided for in the Public Finance Management Act.

There was no discussion on this matter.

Clause 9

Mr Hlophe explained that the SRC Act seeks to insert a new Section 15A which states that the CSIR may not be wound up except by or under the authority of an Act of Parliament.

Mr Koornhof asked why the CSIR  cannot be  liquidated. Why do we need an Act for that?

Mr Mfulo asked whether this means that all the entities formed by the CSIR cannot be controlled through the courts.

The legal advisors stated that they would get back to the Committee with the response.

Clause 10

 This amendment seeks to amend Section 18 by requiring the Minister to consult with the Board before making any regulations relating to all substantive matters provided for in the Act. It also seeks to repeal certain other provisions which empower the Minister to make regulations on matters that have become redundant.

There was no discussion on this matter.

Clause 11

Mr Hlophe said that this clause will amend Section 19 by providing for the delegation by the Board of its powers to any member or committee of the Board as well as for the delegation of powers to be made in writing.

The Committee agreed.

Clause 12

This seeks to insert the definition of Executive Officer of the Academy of Science (‘‘Academy’’).

The Committee agreed

Clause 13

This seeks to amend Section 2 by repealing the provision requiring the Academy to comply with the Public Finance Management Act as the Academy is not listed under the Public Finance Management Act.

There was no discussion on this matter.

Clause 14

 Amends Section 5 to provide for a candidate’s eligibility for membership of the Academy. It further provides for the Council to elect a candidate to serve as a member of the Academy.

The Committee agreed

Clause 15

This seeks to amend Section 6 by providing for the Council of the Academy to be broadly representative of the demographics of the Republic. It also provides for the determination by the Council of the procedure for its meetings and harmonises the process and requirements for the holding of special meetings of the Council to ensure consistency with other entities reporting to the Minister. It also seeks to provide for the disclosure of interest by members of the Council and timeframes for making such disclosures to the Minister, as well as the circumstances in which the members of Council are prohibited from participating or voting in Council meetings.

Clause 16

The provision seeks to amend Section 7 by providing for the resignation of Council members to be made in writing to the Minister and for the termination of the term of office of a member of the Council for any valid reason by the Minister which must be made on the recommendation of the Council.

There was no deliberation on this clause

Clause 17

This clause seeks to amend Section 8 by providing for the appointment by the Council of any suitable person to be a member of a committee of the Council. It also provides for the establishment of an Appeal Committee and for the manner in which the Appeal Committee shall be constituted and the timeframes for the determination of appeals.

The Committee agreed.

Clause 18

This seeks to provide for the determination of the remuneration and allowances of members of the committees of the Council who are not employees of the Academy by the Council, in consultation with the Minister. It also provides for the appointment by the Council of the Executive Officer of the Academy who will be responsible for the general administration and management of the Academy as well as all matters relating to his or her accountability, term of office, remuneration and performance of duties

The Committee agreed.

Clause 19

This seeks to amend Section 10 by providing for the appointment or secondment of employees of the Academy by the Executive Officer as well as the determination of the conditions of appointment or secondment of employees of the Academy by the Council.

The Committee agreed.

Clause 20

This provides for the delegation by the Council of its powers as well as the delegation by the Executive Officer of his or her powers, and for the delegation of powers to be made in writing. It also seeks to prohibit the liquidation of the Academy other than in accordance with an Act of Parliament.

The Committee agreed.

Human Sciences Research Council Act

Clause 21

This seeks to insert Section 4A in the Human Science Research Council Act to provide for the performance by the Human Science Research Council (‘‘Research Council’’), of any of its functions outside the Republic, subject to the Minister’s consent.

The Committee agreed.

Clause 22

This seeks to amend Section 5 by providing for a period within which a person will be disqualified from being a member of the Board after being convicted by a court of law for fraud, corruption or any other crime involving dishonesty.

The Committee did not deliberate on this.

Clause 23

This seeks to amend Section 6 by providing for the determination of the allowances of the members of the Board and Board committees by the National Treasury.

The Committee did not deliberate on this.

Clause 24

This seeks to amend Section 7 by clarifying the issue of the status of the decisions of the Board that were adopted under certain circumstances.

The Committee agreed.

Clause 25

This seeks to amend Section 8 of the Human Sciences Research Council Act by providing for the chairperson to designate a chairperson for any committee of the Board. It also seeks to limit the number of committees that a member of the Board may serve on, to ensure efficiency in the functioning of the Board.

The Committee agreed.

Clause 27

This seeks to amend Section 10 by providing for the Board to consult with the Minister in the appointment of the Chief Executive Officer of the Research Council. It also seeks to limit the term of office of the Chief Executive Officer.

The Committee did not deliberate on this.

Clause 28

This seeks to amend Section 11 by providing for the determination by the Board of the conditions of employment of the employees of the Research Council, which must be in accordance with a system determined by the National Treasury.

There was no discussion on this matter.

Clause 29

This amends Section 12 by providing for the secondment or transfer of an employee of the Research Council, with his or her consent and the approval of the Chief Executive Officer, to the employ of another institution within or outside the Republic.

There was no discussion on this matter.

Clause 30

This seeks to amend Section 15 by providing for the repeal of the provisions relating to the investment of the funds of the Research Council as those matters are provided for in the Public Finance Management Act.

There was no discussion on this matter.

Clause 31

This seeks to amend Section 16 by providing for the delegation by Board and the Chief Executive Officer of its or his or her powers to be in writing.

Clause 32

This seeks to prohibit the liquidation of the Council other than in accordance with an Act of Parliament.

There was discussion on this matter.

Clause 33

This seeks to amend Section 17 by requiring the Minister to consult with the Board before making any substantive regulations.

There was no discussion on this matter.

Amendments on the Technology Innovation Agency Act

Clause 34

This seeks to amend Section 2 by deleting certain words which are superfluous.

There were no deliberations on this.

Clause 35

This seeks to provide for the performance by the Technology Innovation Agency (‘‘Agency’’), of any of its functions outside the Republic, subject to the Minister’s consent.

There were no deliberations on this matter.

Clause 37

This seeks to amend Section 6 by providing for a period within which a person will be disqualified from being a member of the Board after being convicted for fraud, corruption or any other crime involving dishonesty. It also extends the qualification for membership of the Board to permanent residents.

There were no deliberations on this matter.

Clause 38

This seeks to amend Section 7 by providing that resignation of a member from the Board must be on written notice to the Minister.

The Committee agreed.

Clause 39

This seeks to amend Section 9 by providing for the determination of the remuneration and allowances of the members of the Board committees who are not in the employ of the State by the National Treasury.

The Committee did not deliberate on this matter.

Clause 40

This seeks to amend Section 10 by providing for the quorum of a Board meeting to be a majority of members eligible to vote at that meeting to ensure consistency with other entities. It also provides for the circumstances in which members of the Board are prohibited from participating or voting in the Board’s meetings as well as the disclosure of interest by Board members and the timeframes for such disclosures.

Clause 42

This seeks to amend Section 11 by providing that the Board must consult with the Minister on the appointment of the Chief Executive Officer of the Agency. It also provides for the limitation of the term of office of the Chief Executive Officer to ensure consistency with other entities.

Mr Koornhof asked whether a CEO will be removed from office even if he/she is competent.

Dr Lotriet said that this should be subject to a renewal if the CEO is competent.

The Department and legal team will get back to the Committee on this matter.

 

Clause 43

This seeks to amend Section 12 by providing for the secondment of the employees of the Agency by the Chief Executive Officer and the determination of the conditions for the secondment of employees of the Agency to other institutions by the Board.

There were no deliberations on this clause.

Clause 44

This seeks to amend Section 13 by providing for the chairperson of the Board to designate the chairperson of the committee. It also seeks to limit the number of committees that a member of the Board may serve on to ensure efficiency in the functioning of the Board.

There were no deliberations on this clause.

Clause 45

This seeks to provide for the delegation of powers by the Board and the Chief Executive Officer. It also provides for the delegation of powers to be in writing.

There were no deliberations on this

Clause 46

This seeks to amend Section 16 by requiring the Minister to consult with the Board before the making of any regulations.

South African National Space Agency Act

Clause 47

This seeks to insert Section 5A in the South African Space Agency Act to provide for the performance by the South African Space Agency (‘‘Space Agency’’) of any of its functions outside the Republic, subject to the Minister’s consent.

The Committee agreed.

Clause 48

This seeks to amends Section 7 of the South African National Space Agency Act by deleting Subsection (5).

The Committee agreed.

Clause 49

seeks to amend Section 8 by providing for the Minister to consult with the Board before terminating the term of office of a member of the Board for any valid reason. It also provides for the resignation of the Board members to be made in writing to the Minister.

The Committee agreed.

Clause 50

This seeks to amend Section 10 by providing that a member of the Board or a member of a committee of the Board who is not in the full-time employ of the State must be paid remuneration and allowances as determined by the National Treasury.

The Committee agreed.

Clause 51

This seeks to amend Section 11 by clarifying the issue of the status of decisions of the Board that were adopted under certain circumstances.

The Committee agreed.

Clause 52

This provides for the amendment of Section 12 by providing that the members of the Board must disclose annually any interest that may compromise the performance of the functions of the Board.

There were no deliberations on this clause.

Clause 53

This will amend Section 13 by providing for the chairperson of the Board to designate a chairperson for any of its committees.

The Committee agreed.

Clause 55

This will amend Section 14 by providing for the Board to consult with the Minister before appointing the Chief Executive Officer of the Space Agency. It also provides for a limitation of the term of office of the Chief Executive Officer.

Clause 56

seeks to amend Section 15 by providing for the determination of the conditions of employment of the employees of the Space Agency by the Board. It also provides for the Chief Executive Officer of the Space Agency to second employees of the Space Agency and for the Board to determine the conditions of secondment of those employees.

The Committee agreed.

Clause 57

Mr Hlophe said that this seeks to amend Section 18 of the South African National Space Agency Act by providing for the delegation by the Board of its powers.

Clause 58

This amendment seeks to prohibit the liquidation of the Space Agency than in accordance with an Act of Parliament.

Clause 59

This clause provides for the short title and the commencement of the Bill.

The Committee agreed

The Chairperson announced that next week there will another meeting for a formal consideration of the Bill. Members were thanked for their contributions.

The meeting was adjourned.

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