ANNUAL REPORT

[File No.: 10/1 Committees]

ANNUAL REPORT

COMMITTEE: SELECT COMMITTEE ON ECONOMIC AND FOREIGN AFFAIRS

Chairperson: Mr B J Tolo

Period from: 24 March 2003 to date

VISION

To promote an environment which is conducive to promote higher levels of investment including foreign direct investment (FDI) and domestic investment; increase access of SA products to international markets; and that a fair, competitive and efficient market-place is created for domestic and foreign enterprises and consumers. Furthermore, to ensure the acceleration of growth and development to address the basic needs of the poor in developing world; build the South African economy; combating international crime and cross-border crime; promoting democracy and good governance; and building a better Africa and a better world.

MISSION:

Trade and Industry: The Committee plans to focus particular attention on the area of job creation, with specific attention towards the provincial impact of national policy on Small and Medium Enterprises (SMMEs) development. In addition, the Committee will attempt to host forums / conferences designed to bring together legislative, executive and civil society stakeholders in order to scrutinize the provincial obstacles to job creation.

Minerals and Energy: The Committee plans to engage in an assessment of the progress made in ensuring adequate access to energy supplies in rural areas in South Africa. It will also explore the extent to which provinces are developing the so-called "secondary" industries in the mining sector.

Foreign Affairs: As these are not generally of specific provincial concern, the Committee intends to focus its energy on those areas related to economic development.

OBJECTIVES:

Trade and Industry: To monitor the strategic management and support of the Department, international trade development, enterprise and industry development, consumer and corporate regulation, promotion of domestic and foreign fixed investments, and capacity to export into various markets.

Minerals and Energy: To monitor the leadership, management and administration of the department, promotion of mine safety and health, efficient and sustainable mineral development, energy management, and associated services.

Foreign Affairs: To monitor the management of the department, promotion of foreign relations, marketing of South Africa’s foreign policy, the management of South Africa’s immovable properties abroad, and facilitation of auxiliary and associated services.

LIST OF ENTITIES OVERSEEN BY COMMITTEE:

Trade and Industry

NAME of INSTITUTION & CEO	S Ranburuth 1 COMPETITION TRIBUNAL	Dr Sibusiso Sibisi CSIR	Eugene Julies SABS
Khaya Ngqula IDC	Sfiso Buthelezi NGB SA	Dr Patrick Kohlo ECIC	Rony Ndala SAQI
Sizwe Tati KHULA	Prov Vevek Ram NATIONAL LOTTERIES BOARD	Malcolm Boyd NAMAC TRUST	Dr Khotso Mokhele THRIP
Kanya Motshabi NEF	G Davel MFRC	Lesa Mallan NTSIKA	Mandisa Mjezi TWIB
Adv Menzi Simelane COMPETITION COMMISSION	Mike Peet SANAS	Adv Felix Malunga 15 CIPRO	Martin Feinstein 16 PROUDLY SA

Minerals & Energy

Nuclear Electricity Regulator (NER)

Central Energy Fund (CEF)

South African Nuclear Energy Corporation (NECSA)

National Nuclear Regulator (NNR)

Eskom

Mintek

Council for Geoscience (CGS)

South African Diamond Board (SADB)

Nuclear Energy Corporation

Simpross

Petroleum Agency South Africa (PetroSA)

Mining Qualifications Authority (MQA)

LEGISLATION (BRIEFINGS AND HEARINGS)

Bill No.	Short title and deliberation dates	Main provisions of Bill	Public Hearings	Amendments
B1-2003	Usury Amendment Bill (Section 75) Briefing by DTI and finalisation of Bill – 28 March 2003	Provides for persons other than public service officials to be appointed as inspectors of moneylenders, credit grantors and lessors. Allows for the chief executive of recognised regulatory institutions to appoint such persons.	No	None
B7-2003	Geoscience Amendment Bill (Section 75) Briefing by DTI and finalisation of Bill – 9 April 2003	The Bill seeks to effect the lawful transfer of movable and immovable property from the Department of Minerals and Energy to the Council for Geoscience. The Department did not comply with the provisions of the Geoscience Act, 1993 (Act no 100 of 1993) in that no property was designated, which could have devolved on the Council on the date of commencement. The bill, therefore, amends s26 of the Geoscience Act.	No	None
B20B-2003	National Small Business Amendment Bill (Section 75) Briefing by DTI on the Bill – 3 June 2003 Finalisation of Bill – 25 June 2003	The main provision of the Bill is to amend the National Small Business Act to remove reference to the National Small Business Council, which was liquidated in 1998, and to allow the Minister to facilitate a process to establish an Advisory Body to represent and promote the interests of small business. It also makes minor changes to definitions of categories of small business and to the mandate of Ntsika.	No	None
B24B-2003	Mining Titles Registration Amendment Bill (Section 75) Briefing by Department of Minerals and Energy on Bill – 4 June 2003 Finalisation of Bill – 5 August 2003	The main object of the Bill is to amend the Mining Titles Registration Act, 1967 (Act No. 16 of 1967), so as to bring it into line with the changes occasioned by the Mineral and Petroleum Resources Development Act, 2002 (Act No. 28 of 2002). The Bill seeks to— Substitute, add or delete certain definitions; Re-regulate the registration of mineral and petroleum titles and other rights connected therewith and certain other deeds and documents; and Repeal obsolete provisions.	No	Yes
B27B-2003	Broad-Based Black Economic Empowerment (BEE) Bill (Section 75) Briefing by DTI on Black Economic Empowerment Strategy – 27 May 2003 Briefing by DTI on the Bill – 3 September 2003 Finalisation of Bill – 17 September 2003	The Bill’s objectives are to— Promote economic transformation; Change the racial composition of ownership and management structures of existing and new enterprises; Increase ownership and management by communities, workers and cooperatives; Promote investment in enterprises owned and managed by black people; Empower rural and local communities.	No	None
B22B-2003	Petroleum Pipelines Bill (Section 75) Briefing by Department of Minerals and Energy on the Bill – 10 June 2003 Briefing by Department of Minerals and Energy on the Bill –22 September 2003 Finalisation of Bill– 7 October 2003	The objects of the Bill are to— Promote competition in the construction and operation of petroleum pipelines, loading facilities and storage facilities; Promote the efficient, effective, sustainable and orderly development, operation and use of petroleum pipelines, loading facilities and storage facilities; Ensure the safe, efficient, economic and environmentally responsible transport, loading and storage of petroleum.	No	None
B25B-2003	Petroleum Products Amendment Bill (Section 75) Briefing Department of Minerals and Energy on Bill – 22 September 2003 Finalisation of Bill – 7 October 2003	The Bill seeks to establish a national regulatory framework and a Regulator as custodian and enforcer of the regulatory framework. It also provides for the issuing of licenses.	No	Yes
B23B-2003	Liquor Bill (Section 76) Briefing by DTI on Bill [B23 – 2003] – 12 May 2003 Joint hearings on the Bill [B23 – 2003] with Portfolio Committee on Trade and Industry – 13 May 2003 Workshop on the Bill – 4 August 2003 Briefing on Bill (B23B –2003) – 3 September 2003 Consideration of negotiating mandates on the Bill – 23 September 2003 Consideration of final mandates on the Bill – 8 October 2003	The Bill sets public interest norms and standards for the liquor industry, and it also provides for the registration of liquor manufacturers and distributors.	Yes	Yes (Bill referred to Mediation Committee)
B48B-2003	National Gambling Bill (Section 76) Briefing by DTI on National Gambling Bill (B48 – 2003) – 3 September 2003 Briefing by DTI on reprint of the Bill – 12 November 2003 Negotiating mandate meeting on reprint of the Bill – 19 November 2003 Finalisation of Bill – 24 November 2003	The Bill provides for the coordination of national and provincial legislative competence in the regulation of gambling activities.	Yes	Yes

OTHER MATTERS

Agenda	Date of meeting
Election of Chairperson	24 March 2003
Briefing by Department of Trade and Industry on DTI legislative programme	28 March 2003
Briefing by Department of Foreign Affairs and consideration and report on SADC Protocol on Politics, Defence and Security Co-operation and briefing by Department of Foreign Affairs and consideration and report on Protocol relating to the establishment of the Peace and Security Council of the African Union	1 April 2003
Briefing by World Islamic Trade Organisation on the Gold Dinar	16 April 2003
Briefing by DTI on budget	19 May 2003
Briefing by Department of Minerals and Energy on Chapter 12 of the Intergovernmental Fiscal Review (Electricity)	20 May 2003
Briefing by Deputy Minister of Foreign Affairs on post-Iraq reconstruction	24 June 2003
CSIR annual report briefing	19 August 2003
Briefing by DTI on World Trade Organisation	26 August 2003
Briefing by NEF and IDC	2 September 2003

COMMITTEE ACTIVITIES

Subject Matter	Date	Venue
The Chairperson attended the National Consultative Conference in preparation for the World Trade Organisation Conference, which was hosted by the DTI. The aim of this Conference was so that interested parties could participate in informing the development of South Africa’s approach to the meeting in Mexico. The Conference discussed the overall state of play in the WTO negotiations and each of the negotiating areas.	19 – 20 August 2003	Galagher Estate, Midrand
The Chairperson was invited and accompanied the Minister of Trade and Industry as part of a South African delegation to attend the World Trade Organisation negotiations. The cost of the trip was sponsored by the Ministry of Trade and Industry.	10 – 14 Sept. 2003	Cancun, Mexico

OVERSIGHT

Oversight visit	Recommendations	Date
Visit to Limpopo to meet with Provincial Department of Economic Affairs, Standing Committee on Economic Affairs and stakeholders on issues relating to job creation and SMMEs	The Committee should monitor the tendering process to ensure that this is done without bias. All businesses should be encouraged to work together and support one another.	21 August 2003

FINANCIAL STATEMENTS (See attached appendix)

CHAIRPERSON’S OVERVIEW (SUMMARY FOR THE YEAR)

The economic cluster is indeed a very specialised field. It therefore needs people with some basic skills in the running of an economy. Members of this Committee have done their best, despite the fact that the majority of them do not have those skills.

We hope the incoming Committee will at the onset organise workshops for its members, in order for them to efficiently be able to deal with the legislative and oversight work of the Committee.

Furthermore, some members of the Committee are also members of the Select Committee on Finance. As both Economic Affairs and Finance are specialised fields, serious consideration should be given to allow those members to sit on fewer Committees.

FORMAL ADOPTION OF ANNUAL REPORT BY THE COMMITTEE

Annual Report of the Select Committee on Economic and Foreign Affairs having been put to the committee, was adopted by the Committee on

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COMMITTEE SECRETARY DATE

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CONTROL COMMITTEE SECRETARY DATE

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COMMITTEE CHAIRPERSON DATE

APPENDICES

SUPPORT:

Control Committee Secretary: Mr E. De Koker

Period from: June 2000 to August 2003

Committee Secretary: Ms G Abdullatief

Period from: May 2003 to date

Committee Assistant (Acting): Ms N Sihawu

Period from: May 2003 to date

Secretary to Chairperson: Ms B. Soga

Period from: June 1997 to date

Committee Researcher: Mr A Ganief

Period from: July 2003 to date

Legal support: Office of the State Law Adviser

COMPOSITION OF COMMITTEE (Include dates of appointment and discharges)

Committee Sittings: 27 meetings

Attendance of Members

Member	Total Meetings Held	Number of meetings attended	Apologies	Appointment Date	Discharge Date
African National Congress Ms B. Dlulane Mr R.Z. Nogumla Mr T.S. Setona Ms D Ramodibe Ms M.P. Themba (alternate) Mr B.J. Tolo Mr G.A. Lucas (alternate) Ms C. Nkuna Mr Z.S. Kolweni (alternate) Ms N.D. Ntwanambi	27 27 27 27 27 27 27 27 27 27 27 27 27 27 27 27 27 27 27	1 17 11 26 7 25 4 17 20 8	3 3 5 0 1 2 1 6 3 6	June 1999 April 2001 June 1999 April 2003 June 1999 March 2003 June 1999 July 2002 June 1999 Feb. 2002
Democratic Party Ms C.S. Botha Mr N.M. Raju (alternate) Mr L. Lever		0 10 10	0 1 4	Feb. 2002 June 1999 Feb. 2002
Inkatha Freedom Party Mr M J Bhengu		10	2
New National Party Dr P J C Nel Dr E A Conroy (alternate) Mr A E van Niekerk Mr F Adams		0 15 0 11	0 2 15 9	June 1999 June 1999 May 2002
African Christian Democratic Party Mr K D S Durr (alternate)		7	13	June 1999

REPORTS TABLED IN ATC

Title	Objective/s	Result/Outcome
Committee report on Usury Amendment Bill, 28 March 2003	Process legislation	ATC: 28 March 2003 Debated: 8 April 2003
Committee report on SADC Protocol on Politics, Defence and Security Co-operation, 1 April 2003	Ratify Protocol	ATC: 1 April 2003 Debated: 8 April 2003
Committee report on Protocol relating to the establishment of the Peace and Security Council of the African Union, 1 April 2003	Ratify Protocol	ATC: 1 April 2003 Debated: 8 April 2003
Committee report on Geoscience Amendment Bill, 9 April 2003	Process legislation	ATC: 9 April 2003 Debated: 10 April 2003
Committee report on National Small Business Amendment Bill, 25 June 2003	Process legislation	ATC: 25 June 2003 Debated: 26 June 2003
Committee report on Mining Titles Registration Amendment Bill, 5 August 2003	Process legislation	ATC: 14 August 2003 Debated: 26 August 2003
Committee report on Broad Based Black Economic Empowerment Bill, 17 September 2003	Process legislation	ATC: 17 September 2003 Debated: 19 September 2003
Committee report on Petroleum Pipelines Bill, 7 October 2003	Process legislation	ATC: 8 October 2003 Debated: 21 October 2003
Committee report on Petroleum Products Amendment Bill, 7 October 2003	Process legislation	ATC: 9 October 2003 Debated: 21 October 2003
Committee report on Liquor Bill (B23D-2003), 8 October 2003 Mediation Committee report on Liquor Bill (B23F-2003), 19 November 2003	Process legislation	ATC: 14 October 2003 Debated: 21 October 2003 Referred to Mediation Committee Debated: 27 November 2003
Committee report on National Gambling Bill, 24 November 2003	Process legislation	ATC: 24 November 2003 Debated: Standing over until 2004