Hansard: Second Reading Debate: Standards Bill National Regulator for Compulsory Specifications Bill; National Regulator for Compulsory Specifications Bill; Technology Innovation Agency Bill / Ministers 's Responses / Members 's Statements
House: National Assembly
Date of Meeting: 05 Mar 2008
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Minutes
NREVISED HANSARD
NATIONAL ASSEMBLY
Wednesday, 5 March 2008
Wednesday, 5 march 2008
Proceedings of the national assembly
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The House met at 14:10.
The Speaker took the Chair and requested members to observe a moment of silence for prayers or meditation.
Notices of Motion:
END OF TAKE
START OF DAY
NOTICES OF MOTION
Mr K J MINNIE: Madam Speaker, I hereby give notice that I shall move:
That the House –
debates the impact of government's proposal for a single public service will have on the constitutional imperative of three independent spheres of government. I thank you.
Mrs C DUDLEY:
END OF TAKE
Mr K J MINNIE:
Mrs C DUDLEY: Madam Speaker, I hereby give notice that I shall move on behalf of the ACDP:
That the House –
(1) debates the controversial issues surrounding the Choice on Termination of Pregnancy Act, and the new scientific evidence that has come to light and;
(2) the strong public opinion opposing abortion on demand. Thank you.
Motions Without notice
END OF TAKE
Notices of Motion
MOTIONS WITHOUT NOTICE
Death of 31 people in KwaZulu-Natal
(Draft Resolution)
Mr M J ELLIS: Madam Speaker, I move without notice:
That the House –
[Take in from Minutes.]
Agreed to.
CHIEF WHIP OF the MAJORITY PARTY:
END OF TAKE
Mr M J ELLIS:
Congratulations to minister marthinus van schalkwyk
(Draft Resolution)
The CHIEF WHIP OF the MAJORITY PARTY: Madam Speaker, I move without notice:
That the House –
[Take in from Minutes.]
Agreed to.
The CHIEF WHIP OF THE MAJORITY PARTY:
END OF TAKE
The CHIEF WHIP OF THE MAJORITY PARTY:
Parliaments and governments give priority to women emancipation
(Draft Resolution)
The CHIEF WHIP OF THE MAJORITY PARTY: Madam Speaker, I move without notice:
That this House –
[Take in from Minutes.]
Agreed to.
MEMBERS' STATEMENTS
END OF TAKE
Motions Without notice
MEMBERS' STATEMENTS
DEATH OF Nkosinathi Nyembe
(Member's Statement)
Ms M L MATSEMELA (ANC): Madam Speaker, the past weekend saw a rather depressing report about a young man, Nkosinathi Nyembe, who allegedly committed suicide because an NGO, the Africa Centre for Health and Population Studies, in Somkhele outside Mtubatuba persuaded and coerced him to do an HIV test without properly counselling him.
Human immunodeficiency virus and Aids are medical conditions of lifestyle and thus no effort must be spared by government, business, labour, the NGO sector and communities in the fight to reduce the number of infections as well as to slow down the progression to full-blown Aids.
However, this must not be pursued overzealously, recklessly and callously by those who merely want to report statistics to their overseas funders on the prevalence and incidence of HIV and Aids. The behaviour of the field workers who violate the freedom and security of people in Somkhele must be investigated and dealt with.
We encourage all South Africans to support the war against HIV and Aids by supporting efforts to promote voluntary testing, counselling and testing guided by informed consent. No amount of strong-arm tactics will succeed in tackling this scourge. All those who treat our people as guinea pigs without regard for their basic human rights must be exposed and made to account for their inhumane deeds. Thank you. [Applause.]
Dr S M VAN DYK
END OF TAKE
Ms M L MATSEMELA
MORATORIUM ON NEW CONSTRUCTION PROJECTS
(Member's Statement)
Dr S M VAN DYK (DA): Madam Speaker, Eskom's recently announced decision to impose a six-month moratorium on all new construction projects, combined with the detrimental effects of power rationing to the mining sector, will likely result in economic growth being reduced to below 3%. This, in turn, will have disastrous implications for desperately needed job creation. It is a direct contradiction of Cabinet's decision, dated 25 January 2008, that, and I quote, "There is no question of stopping contracted projects or freezing any new projects."
This dire economic outlook also contradicts Minister Alec Erwin's assurance earlier this year that the power crisis will not have any detrimental effect on the economy. It is obvious to all but Minister Erwin that government's bungling on the Eskom issue is costing the country billions of rands and could potentially lead to thousands of job losses.
It is hard to imagine a more fundamental mismanagement of any particular industry by any government in the world. Instead of urgently and honestly responding to this crisis to minimise its effects on the economy, Mr Erwin has done just the opposite – he has created a large amount of unnecessary anger and uncertainty, and has impeded the search for solutions as a result.
In addition, he has used deliberate distortions of the truth in an attempt to deflect blame for South Africa's electricity crisis from where it belongs – firmly on his shoulders. The only way to restore confidence in government on this issue is for Minister Erwin to do the right thing and resign.
Mrs S A SEATON
END OF TAKE
Dr S M VAN DYK
INADEQUACY OF POLICE OFFICERS' TRAINING
(Member's Statement)
Mrs S A SEATON (IFP): Madam Speaker, the IFP is shocked to hear that only about 10% of commissioners at police stations are adequately trained to head them. The IFP believes that urgent plans should be put in place to ensure that police stations are led by knowledgeable and experienced police officers.
In a country where crime is rampant and out of control, this is non-negotiable. Surely, much more effort should be invested in getting commissioners trained and up to speed.
Alternatively, the IFP believes that internal restructuring of the police is needed immediately so that the most qualified and experienced police officers are deployed at police stations as station commanders.
All these problems have been highlighted before, yet there seems little action from government to rectify them. We hope that government will finally put some effort into solving the many crises that beset the SA Police Service. I thank you.
Mr M J NENE
END OF TAKE
Mrs S A SEATON
CORRUPT PRACTICES UNCOVERED IN KZN
(Member's Statement)
Mr M J NENE (ANC): Madam Speaker, a recent surprise visit by the KwaZulu-Natal MEC for Social Development to the regional offices of Empangeni uncovered practices of corruption. Numerous birth certificates and identity documents, suspected to have been used to illegally access money in the form of grants, were discovered.
The ANC has, throughout its 96 years of existence, always embodied and aspired to the highest moral and progressive values. Any examples of unethical conduct by public officials destroy the trust in the public institutions and governance processes by citizens.
The ANC believes that corruption is systemic and an institutional phenomenon that impacts on all sectors of society, undermines the democratic processes and corporate governance, and erodes social cohesion and values.
We commend the efforts by the KZN provincial government aimed at rooting out the bad element that is giving our Public Service a bad name. I thank you.
Mrs C DUDLEY
END OF TAKE
Mr M J NENE
MISSING AND ABDUCTED CHILDREN
(Member's Statement)
Mrs C DUDLEY (ACDP): Madam Speaker, the ACDP marks the National Missing Children's Day today, with an expression of sorrow and hope, to those who have experienced the horror of loved ones having gone missing.
To have a child go missing, run away or being abducted must be the most harrowing experience; not to know what has happened to them; and wonder if they are alive or dead; is a recurring nightmare that for many never ends. The ACDP acknowledges today as Pink Day declared in remembrance of two precious girls, Anastasia and Chaldene, who went missing coincidentally wearing pink shirts.
There is also an International Missing Children's Day on 25 May and both dates serve to remind communities of the vital need to be vigilant. There is a growing incidence of children and teens going missing being abducted or enticed with bogus job proposals.
During deliberations on the Children's Act, the ACDP argued fiercely to ensure that provinces are now obliged to provide and fund prevention and early intervention services for children at risk. Lack of funding has, until now, severely restricted child protection organisations to deal with children in crisis when it is often too late, rather than being able to intervene effectively at an earlier stage. Anastasia's circumstances are a case in point as her parents' drug habit had placed her in grave danger.
Many mothers are forced to work and have no option but to leave their children in the care of family or community members. The ACDP calls on Members of Executive Councils, MECs, and local councils to fast track protection services like crèches and early childhood development centres for the protection and safe play education for our very youngest.
The ACDP also urges a mindset in corporate environments to create crèches in business establishments that facilitate the all day safety of young children of working parents. I thank you.
Mrs P DE LILLE
END OF TAKE
Mrs C DUDLEY
EXTENSION OF THE CHILD SUPPORT GRANTS
(Member's Statement)
Mrs P DE LILLE: Madam Speaker, the Independent Democrats would like to extend our support to Florence Mahlangu, the domestic worker from Mabopane, who has brought an application asking the Pretoria High Court to order government to extend the child support grant to poor children up to the age of 18.
The reason why our children have additional rights in Section 28 of our Constitution is because they are our most vulnerable. Therefore when parents cannot afford to support them, the state must fulfil its constitutional mandate and step in. The ID has been calling for almost two years for the extension of the child support grant to children up to the age of 18.
Government's commitment to extend the child grant from 14 to 15 years from the beginning of next year is simply not enough. The hunger of our children does not stop at the end of 14 or 15 years, and all our children deserve prioritisation in terms of the Constitution. The Constitution defines a child as anyone under the age of 18.
The ID would also like to commend Minister Zola Skweyiya for his persistent efforts to increase the grant to the age of 18. I thank you.
Ms P R MASHANGOANE
END OF TAKE
Mrs P DE LILLE
QUALITY EDUCATION FOR ALL
(Member's Statement)
Ms P R MASHANGOANE (ANC): Madam Speaker, education is fundamental to the achievement of the society envisaged in the Freedom Charter. Teachers are a critical element in our important task of ensuring quality education for all.
When the great majority of our people faced the oppressive impact of Bantu Education, it was teachers who stood up and ensured that we confounded the architect of apartheid by producing doctors, lawyers, engineers and other professions. The Gauteng provincial government led by the ANC has, among other critical interventions, set aside funds to improve educators' salaries, increase clerical staff in schools and districts, as well as skills development.
This allocation is part of the national ongoing quest to provide quality education and ensuring that a significant number of learners have access to education on the nationally agreed funding priorities for the department over the Medium-Term Expenditure Framework period. The ANC policy of free education for the first 10 years remains critical to the attainment of the goal of opening the doors of learning and culture to all. Thank you.
Mr B C NGIBA
END OF TAKE
Ms P R MASHANGOANE
NEED FOR RESOLUTION OF ZIMBABWEAN CRISIS
(Member's Statement)
Mr B C NGIBA (Nadeco): Madam Speaker, as the people of Zimbabwe head to the polling station on 29 March 2008, and hundreds of Zimbabweans continue to stream across the borders of this country, fleeing political instability, seeking food, shelter, employment and security, this government needs to ask itself how long it will continue to maintain "quiet diplomacy".
We are well aware of the President's mediation efforts earlier this year. Yet we, as Nadeco, strongly feel that greater initiatives needed to be created and successfully implemented to solve this Zimbabwean crisis.
This country is a beacon of hope for the rest of the African continent. Africa and the rest of the international community look upon South Africa to be the torchbearer of the concept of the African Renaissance, as coined by our President. Thus we need to ensure that we champion the spirit of the African Renaissance that we constantly preach. I thank you.
Ms S C CAMERER
END OF TAKE
Mr B C NGIBA
INABILITY OF POLICE TO COPE IN PARKTOWN NORTH
(Member's Statement)
Ms S M CAMERER (DA): Madam Speaker, I rise to mourn Julian Lap, well-known architect and resident of my constituency, who was brutally murdered in an armed robbery at his home in Parktown North on Sunday night.
The life of his wife, prominent businesswoman, Marilyn Visser, who was critically wounded in the incident, hangs by a thread. Their 16-year-old son lies critically injured in hospital. Mr Lap was an active member of the ward 90 committee of Councillor Ian Ollis, in my constituency – always involved, always willing to assist.
He is the tenth prominent murder victim in this hardest-hit-by-crime-area of the ward since Councillor Ollis was elected two years ago. Others include Sandy Staats of Craighall Park who was tied up and boiled in hot water; Mike Thompson, father of two, of Craighall, who was stabbed, shot and thrown into his swimming pool in front of his young son; the very next day, Terry Smith, also of Craighall, was hijacked and shot dead; Theresa Goldworthy of Craighall Park, was shot and killed while sitting in her car; Barbara Harrison of Beaufort Avenue was brutally attacked in her home and died as a result, and Ian Giles of Giles Restaurant in Craighall Park brutally murdered. There are more I could and should list if I had time.
Last November Councillor Ollis and I visited the Provincial Commissioner Perumal Naidoo about the spate of murders and we were promised more patrols, more roadblocks, more staff at Parkview police station, but little appears to have been done.
While MEC for Safety and Security in Gauteng, Firoz Cachalia, is claiming some success in the fight against crime, the bottom line is that the police in Johannesburg are not coping with the rapidly rising rate of brutal murders and robberies at private homes. They don't have the leadership, the capacity, or the resources to cope, and this government must take the blame. Thank you. [Time expired.] [Applause.]
Mr O M MOGALE
END OF TAKE
Mrs S M CAMERER
RECENT SPATE OF ROAD ACCIDENTS
(Member's Statement)
Mr O M MOGALE (ANC): Madam Speaker, the ANC is concerned about the spate of road accidents that have occurred just this week in KwaZulu-Natal and other parts of the country, resulting in many lives being lost.
The next few weeks will mark the beginning of the Easter holiday period when our roads will again be congested. The period brings joy and happiness as families and friends reunite, but it also brings with it the possibility of pain and difficulties that may result from road accidents.
The majority of accidents are caused by drivers' negligence and disregard of road regulations resulting in road fatalities. Abuse of alcohol also contributes significantly to accidents. The ANC calls on all road users to observe road regulations, including speed limits, not to drink and drive, and to take regular rests along the way. Pedestrians should also ensure that they wear visible clothing particularly in the evening.
The ANC conveys its deep-felt condolences to the families of those who have lost their lives in the recent accidents and wishes the injured a speedy recovery. Thank you. [Applause.]
Ms C N Z ZIKALALA
END OF TAKE
Mr O M MOGALE (ANC)
PROBLEMS IN SCHOOLS
(Member's Statement)
Ms C N Z ZIKALALA (IFP): Madam Speaker, I am deeply concerned about the crisis affecting learners and teachers in some of our schools - overcrowded classes, understaffing, teacher salaries, as well as shortages of books and power. For instance, two schools at Lotus Gardens are reported to have serious problems relating to a shortage of text books and electricity. For some schools to have blocked toilets and unpaid electricity bills is frustrating and demoralising - for both teachers and pupils.
Teachers at Lotus Gardens have correctly pointed out that the current crisis is as a result of bad planning by the Gauteng Department of Education. Most of the problems were highlighted to the department the previous year, but it is now almost two months into the school-term and these problems have not yet been addressed. Some schools are still waiting for the department to deliver mobile classrooms in order to reduce overcrowding. We urge the Department of Education to ensure that these problems are addressed as soon as possible so that they do not haunt the affected schools throughout the year.
In terms of our Constitution, all our learners have the right to equal and quality education. I thank you.
Mr S S VUNDISA (ANC)_
END OF TAKE
Ms C N Z ZIKALALA (IFP)
ATTACK ON WOMEN BY TAXI DRIVERS
(Member's Statement)
Mr S S VUNDISA (ANC): Madam Speaker, recently when certain people, taxi drivers, allegedly assaulted and tore the clothes of a young woman accusing her of having been inappropriately dressed, the whole of our country roundly deplored the behaviour of the attackers.
We are all asserted that the Constitution has entrenched the rights of a woman, including their right to equality, human dignity, freedom and security of the person. This thus made the point that women's rights are in their entirety human rights. The ANC supports the effort to advance these rights and therefore commends all those who descended on Joubert Park yesterday to take part in a demonstration as a response to the incident that took place at the Noord Street taxi rank two weeks ago.
Our freedom will only have meaning if it addresses the plight of the oppression suffered by women in the past. We need, as South Africans, to sustain our united efforts aimed at eradicating oppressive power relations in our society and vigorously pursue gender awareness campaigns and practices. I thank you. [Applause.]
Mr L B LABUSCHAGNE (DA)
END OF TAKE
Mr S S VUNDISA
INTERNATIONAL TRADE ADMINISTRATION COMMISSION NOTICE
(Member's Statement)
Mr L B LABUSCHAGNE (DA): Madam Speaker, the International Trade Administration Commission has given notice that it is considering recommending to the Minister of Trade and Industry that certain antidumping duties be terminated in view of the Supreme Court of Appeal's decision in the case of Progress Office Machines versus Itac and others.
Representations have been made from both sides of the House that such a possible step could impact negatively on the activities of many South African companies and, more importantly, jobs. I would like to urge the Minister of Trade and Industry to heed the calls for caution.
Moreover, I would like to express my confidence in the Minister that no precipitous steps will be taken without the widest consultation with all affected parties to ensure that any decision will have any negative impact or unintended consequences on our industries, economy and jobs. Thank you.
Dr M SEFULARO
END OF TAKE
Mr L B LABUSCHAGNE
SADC AND SOUTHERN AFRICAN COUNTRIES' AGREEMENTS
(Member's Statement)
Dr M SEFULARO (ANC): Madam Speaker, the ANC notes with concern the current trends and threats on the ongoing talks on the economic partnership agreements between the European Commission and SADC countries that, among others, belong to the Southern African Customs Union, Sacu.
We are concerned that the EC negotiators tend to put inappropriate pressures on SADC and Sacu countries, seeking to exploit the different economic and other endowments of the member countries. They employ a combination of threats of laws of EU markets and pressures to open up services, remove taxes, as well as allowing other measures that will grossly disadvantage SADC and other African countries.
We note with concern that the pressures threaten the unity and coherence of SADC and Sacu, while retaining progress towards regional and continental integration. We therefore call upon the EC to desist from all forms of threats and inappropriate pressures on SADC, Sacu and other African nations.
We call on all African regional customs and economic communities to maintain their unity in rejecting all attempts at circumventing the objectives of the least developed countries in the WTO, including attempts at reversing gains made through the Doha Rounds of WTO negotiations.
We urge the Parliament of South Africa not to ratify any EPA agreements that will reverse the fight against inequality, unemployment and poverty in South Africa and on the African continent. I thank you. [Applause.]
Mrs D VAN DER WALT (DA)
END OF TAKE
Dr M SEFULARO (ANC)
FAILURE OF TEACHERS TO PASS MATHEMATICS
(Member's Statement)
Mrs D VAN DER WALT (DA): Madam Speaker, a group of Grade 4 mathematics teachers who were recently given a Grade 4 maths test obtained an average score of only 25%. In other words, the teachers who teach our children maths only know, on average, a quarter of the syllabus. Under these circumstances it is not surprising that only 18% of learners who wrote Matric last year obtained Matric exemption.
If the teachers themselves are failing the subjects they are teaching, with dismal results, how can our children possibly do well? There is no excuse for teachers who do not know their subjects. The DA believes that, rather than having to go through the numerous bureaucratic and immensely time-consuming procedures that the department currently uses to try and evaluate teacher performance, every teacher must simply be required to write, at regular intervals, the same exams that their learners write. Those teachers who do not perform adequately in these exams must face the consequences.
Our children are doing as badly in school now as they did 14 years ago under an apartheid system. This situation has arisen because for too long we have tolerated one excuse after another for teachers who can't or won't get to grips with the subjects they teach. We urgently need to take steps to ensure that our teachers meet the basic requirements of their jobs. Thank you. [Applause.]
MINISTERS' RESPONSES – The MINISTER OF TRADE AND INDUSTRY
END OF TAKE
Mrs D VAN DER WALT
SADC AND EUROPEAN COMMISSION ECONOMIC PARTNERSHIP AGREEMENTS
(Minister's Response)
The MINISTER OF TRADE AND INDUSTRY: Madam Speaker, I rise to respond to the statement made on the SADC economic partnership agreement and the European Commission negotiations.
Any interregional negotiation is bound is to be difficult because of the number of countries and the need to take care of the interests of all the countries in each of the regions. It is also difficult between a developed part of the world and a developing part of the world, because you also have to look at another type of balance, which is the respective commitments that are undertaken by the countries that reside in these different regions in terms of development.
There are other balances that you also need to look at. For us it was important to look at the developmental outcome, whether this negotiation produces an outcome that helps us to achieve development and also to look at whether in that negotiation, we, as developing countries, are left with sufficient policy space to be able to continue to advance our goals towards deeper and deeper levels of development. Quite importantly, we also need to look at whether this negotiation and the outcome assist us in terms of achieving our objectives on regional integration.
These last three issues that I have mentioned are actually at the heart of South Africa's concerns and have accounted for South Africa holding back from initialling or signing the interim economic partnership agreement between the SADC region and the European Union.
We recognise that there were time pressures that made it difficult for us to properly resolve a lot of the issues. We also understand that there were lots of other pressures on countries such as the threat of loss of markets on the part of some countries if we had not concluded this work by the end of this year.
And so, out of all of that, we felt that the outcome of the negotiation did not really give us, on these three areas – regional integration, policy space and development outcome – appropriate outcomes. So, for the past few weeks, South Africa has spent a lot of time talking to our colleagues in the region because the unity of the region is something that is quite important to us to maintain.
We have also participated in the meeting that took place in Gaborone yesterday in which it was agreed that these three key areas of concern for South Africa and Namibia will be addressed as the process moves ahead towards a full EPA by the end of the year. So we shall be engaging in dealing with these concerns without taking away any benefits from any of the countries that has initialled the interim economic partnership agreement.
The DEPUTY MINISTER OF EDUCATION
END OF TAKE
The MINISTER OF TRADE AND INDUSTRY
ALLOCATION FOR ADDITIONAL REMUNERATION
SCHOOL FACILITIES
IMPORTANCE OF HAVING QUALIFIED TEACHERS
(Minister's Response)
The DEPUTY MINISTER OF EDUCATION: Thank you very much Deputy Speaker, I have three responses to the three education statements and a response to the hon Patricia De Lille in relation to the child grant.
With regard to education, we certainly affirm and congratulate and recognise the enormous contributions made by our educators in the past under very difficult and challenging conditions. They were leaders in their communities. They represented the political consciousness of our people. They did their work with a great deal of passion and today we continue to see thousands of educators committing themselves under very difficult and challenging circumstances and contributing to the provision of quality education.
Therefore indeed we celebrate, with the hon member, the increase in allocation for additional remuneration. I do believe that teachers have to be recognised for the enormous contribution they make. We draw the House's attention particularly to the occupation-specific dispensation as well as the rewards and incentives that are provided for those educators who teach in rural areas as well as in difficult circumstances.
However, teachers must also be reminded - and there are derelict teachers - that it is important and it is non-negotiable that they should be in school on time, that they should teach with the necessary passion and commitment, that contact time is critical, and that they ought to be competent and confident in what they do. Therefore we believe that there is a reciprocal responsibility on the part of educators to carry on the proud tradition of educators of yesteryear to ensure that we provide quality education to our learners.
With regards to the concerns raised about Gauteng - I think it was Lotus or Loftus Gardens - I do believe it is an enormous problem that we have to face. Given our past, the enormous disparities in terms of our schools are quite extraordinary. We have less than 25% of our schools that have libraries, and less than 40% of our schools have laboratories. We have challenges with regard to infrastructure, particularly in provinces such as Limpopo, the Eastern Cape and KwaZulu-Natal. These are matters that must and will continue to receive our urgent attention.
We have done extremely well in terms of reducing the number of unsafe schools. We have built thousands of additional classrooms and indeed the concern raised by the hon member is one that I take very seriously. I will engage with the department of education in Gauteng to ascertain precisely what the status is and why they have not delivered when they ought to. Overcrowded classrooms are indeed unacceptable and they do impact on the quality of learning and education in whatever school.
With regard to the other concern raised, I am not aware of the report, but it cannot be acceptable that an educator performs as bad as or even worse than a learner. That cannot be acceptable. The standards that we set for our educators is that they must be competent, proficient in their learning areas, and that they must have the ability to be good facilitators in promoting quality education. However, we must also look and reflect on where we were 14 years ago. Fourteen years ago, less than 30% of our educators - and there are more than 350 000 educators - were qualified or competent to teach. Today we can say more that it's more than 85%. We do believe that central to the success of a school is the commitment, competence and efficiency of the educator component. Therefore, for an educator to qualify to teach in any of our schools, he or she must have a degree. In other words, we cannot accept mediocrity. We also emphasise in terms of these subject areas that content is critical and necessary. Thank you very much, Deputy Speaker. [Time expired.]
The DEPUTY SPEAKER: Order! I just want to read this out because it is so embarrassing to stop a member of the executive whilst they are giving valuable information and ask them to take their seats. A maximum of six Ministerial responses are allowed. A response should not exceed two minutes, to allow other members of the executive to also participate.
The MINISTER OF HOME AFFAIRS
END OF TAKE
The DEPUTY MINISTER OF EDUCATION
CORRUPTION IN KWAZULU-NATAL
ZIMBABWE ELECTIONS
(Minister's Response)
The MINISTER OF HOME AFFAIRS: Madam Deputy Speaker, an hon member made a comment on the issue of rooting out corrupt elements in KwaZulu-Natal. I think we should commend the joint operations by our state organs which are giving us the desired results of having some of these elements being rooted out of the Public Service. Hence, we see a number of people being arrested in areas such as KwaZulu-Natal and the Eastern Cape for selling birth certificates and identity documents. I therefore join you in commending the people of KwaZulu-Natal for rooting out these corrupt elements in the province.
I also want to add that we do have an Anti-Corruption Government Strategy, which is led by the Minister of Public Service and Administration. She participates in several international fora, and has convened several national summits within the country where government participates, together with civil society, to try to grapple with the challenges facing all of us – that of corruption in the country.
The second issue that I would like to comment on is Zimbabwe. A comment has been made on the issue of Zimbabwe and that we see a number of people streaming into South Africa now that Zimbabwe is facing elections and that perhaps the quiet diplomacy strategy has not worked. But I do want to say that we should always remember: Mediation efforts or no mediation efforts, at the end of the day the fate of the Zimbabwean people is in their own hands. Zimbabweans must find a solution to their problems. As far as we are concerned, we are happy that SADC gave the responsibility to the President of our Republic to try and mediate and find a solution to what is happening in Zimbabwe. But at the end of the day, Zimbabweans must find a way of resolving their problems and they have to ensure, by the way, that they have successful elections in their country. [Applause.]
The DEPUTY MINISTER FOR PROVINCIAL AND LOCAL GOVERNMENT
END OF TAKE
The MINISTER OF HOME AFFAIRS
ATTACK ON WOMAN BY TAXI DRIVERS
SADC AGREEMENTS
(Minister's Response)
The DEPUTY MINISTER OF PROVINCIAL AND LOCAL GOVERNMENT: Madam Deputy Speaker, I wish to respond to the hon Vundisa, who again raised a question about the taxi rank incident. I would like to urge the country as a whole that unless each and every one of us stands up and condemn such sexist and racist behaviour in this country, it is going to set us back if we don't all stand up. Do not raise issues that affect your constituency only, but raise issues that affect the entire nation. We will one day live to regret this.
Black women in this country have been at the bottom of the ladder in the past. After 1994 some op their burdens were removed but some still remain. Women in this country somehow gained their human dignity.
I therefore wish to challenge all men across all parties here not to sit idle, but be seen to actively condemn this barbaric behaviour. It should not simply be only women who protest at these discriminating deeds. We therefore call upon all organisations to condemn this behaviour in the strongest term.
I therefore wish to challenge comrade Vundisa that he should actually lead a march to the taxi rank with all the male MPs who are sitting here today.
The DEPUTY MINISTER OF TRADE AND INDUSTRY
END OF TAKE
The DEPUTY MINISTER OF PROVINCIAL AND LOCAL GOVERNMENT
ANTIDUMPING DUTIES
(Minister's Response)
The DEPUTY MINISTER OF TRADE AND INDUSTRY (Dr R H Davies): Deputy Speaker, I just want to respond to the statement made by the hon Labuschagne. In fact, the hon Turok made a statement very similar to it a few days ago and we responded to that. But the issue is that with regard to the antidumping duties a problem has been caused by a ruling of our courts and it has to do with the time period which is allowed for the imposition of antidumping duties. WTO rules say that it is five years, and the issue at stake has been whether the period of five years starts when you impose a provisional duty or does it start when you impose a final duty after a determination.
We have been counting it from the time of the imposition of the final duty and the court ruled that the five years had to start when you started with the provisional duty.
There are a number of options, including some which have been proposed by stakeholders, they have pros and cons and ITAC has put out for public consultation a proposal of its own. It still has to come back with the results of that consultation and the Ministry still has to interact with ITAC on that matter. But, the assurance that we can give is that subject to the rules of the WTO and subject to the rulings of own court we will continue to use antidumping measures as an instrument to defend our domestic producers against unfair competition from dumped imported goods. Thank you very much. [Applause.]
STANDARDS BILL : THE MINISTER OF TRADE AND INDUSTRY
END OF TAKE
The DEPUTY MINISTER OF TRADE AND INDUSTRY
STANDARDS BILL
NATIONAL REGULATOR FOR COMPULSORY SPECIFICATIONS BILL
(Second Reading debate)
The MINISTER OF TRADE AND INDUSTRY: Madam Deputy Speaker, it is my privilege to introduce to the House the Standards Bill of 2007 and
the National Regulator for Compulsory Specifications Bill of 2007.
The genesis of this legislation flows from policy developed by the Department of Trade and industry for the modernisation of South Africa's technical infrastructure, commonly known as Standards, Quality Assurance, Accreditation and Metrology, or SQAM. These improvements are necessary to better support an economy that is growing, that is diverse and which is experiencing the deepening of value addition.
You will recall, hon members, that in 2006 we requested that you consider legislation with respect to the accreditation for conformity assessment, calibration and good laboratory practice, as well as measurement units and measurement standards, which were subsequently enacted on 1 May 2007.
The legislation tabled today proposes to complete the legislative process envisaged in that policy. The Standards Bill deals with standards and conformity assessment and that means testing, certification and inspection for compliance with standards. The National Regulator for Compulsory Specifications Bill in turn deals with compulsory standards that are used to protect the health and safety of the public and the environment.
The SA Bureau of Standards is currently responsible for all three of these tasks. In this regard there is concern regarding conflict of interest in terms of the SABS being the standards developer, the regulator of compulsory standards and the provider of conformity assessment services which are used by manufacturers to prove compliance.
Government therefore identified the need for the reconfiguration of the current SA Bureau of Standards into two separate public entities. It is now proposed that these entities, building on the strong foundation of the SA Bureau of Standards developed over six decades, fulfill certain functions previously executed by the SABS and acquire certain additional functions as determined by the needs of our economy.
In summary, the one public entity will be responsible for standards and conformity assessment services and the other for technical regulations.
The importance of SA National Standards cannot be underestimated. Standards link markets, thereby enlarging them. These standards allow for better consumer choice by simplifying and facilitating better information on goods in the marketplace. Standards provide a means of expressing requirements and the ways in which these can be tested and evaluated. Standards can also enable technology transfer in support of economic growth.
Furthermore, standards respond to the need of the private sector for certainty in quality and performance, and responds to the need of all our citizens for protection against unsafe, unhealthy or dangerous goods. Generally, the use of standards is voluntary; however it can be made mandatory through legislative mechanisms where government intervention is necessary for an effective and fair market.
It is the usual practice for a country to have one authoritative body responsible for standardisation. This practice is based on the rationale that standards form an important element of economic policy, and the process to generate them therefore needs to be appropriately guided, based on national needs. In addition, it is important to have a nominated standards body to represent a country internationally.
It is within this context that I am introducing the Standards Bill.
The purpose of the Standards Bill is to provide for the continuation of the SA Bureau of Standards as the peak national institution responsible for the development, promotion and maintenance of SA National Standards. The bill also provides a legal framework for the development, promotion and maintenance of SA National Standards and the rendering of conformity assessment services and related activities. This Bill also enables other standards development organisations that comply with specific requirements and that deal with specific areas of standardisation to publish their standards as SA National Standards. This will allow for the development of more SA National Standards. In addition, the Bill mandates the SABS to participate in the two key international standardisation bodies, namely the International Standards Organisation, ISO, and the International Electro-technical Committee or IEC. The ISO is a worldwide federation of national standards bodies with a membership of 157 countries. The ISO's work results in international consensus documents that are published as international standards. The scope of the ISO covers all fields of standardisation except electrical and electronic engineering standards, which are the responsibility of the IEC. Together the ISO and the IEC form the world's largest non-governmental system for voluntary industrial and technical collaboration at an international level. Participation in these international bodies is therefore critical to our trade interests.
We have brought this Bill for your consideration as it is our view that a new reconstituted SABS will be better placed to focus attention on the important standards development responsibility as well as the related conformity assessment activities. In so doing the new SABS will service a range of customers, including regulators in general and the new National Regulator for Compulsory Specifications in particular, through the incorporation of standards into law and as a conformity assessment service provider.
Madam Deputy Speaker, with your permission I now proceed to introduce the National Regulator for Compulsory Specifications Bill. The purpose of this Bill isto provide for a separate legal framework for the administration and maintenance of compulsory specifications in the interests of public safety, health, or environmental protection in South Africa; and to establish the National Regulator for Compulsory Specifications to administer compulsory specifications. This Bill will thus change the corporate form of the current regulatory division within the SABS by establishing it as an independent public entity.
These compulsory specifications, also called technical regulations, cover the automotive, electro-technical, mechanical, health-related, building and construction materials, food and associated industries as well as the environmental protection sectors. An example of a proposed compulsory specification that is currently being developed and is relevant to all of us is the regulation for energy-efficient lamps. The aim of this regulation is to ensure that the energy-efficient light bulbs available to consumers will be safe, and meet performance criteria in terms of minimum output as well as lifespan. The applicable SA National Standard will be used as a basis for this compulsory specification.
The Bill furthermore provides for the continued use of SA National Standards as the basis for compulsory regulations. Other provisions will effect the shifting of the administration of technical regulations by transferring the administrative elements that are relevant to compulsory specifications from the current Standards Act to the new Bill. The Bill therefore makes provision for the implementation and administration of all aspects of compulsory specifications. These include approvals, inspections and market surveillance as well as sanctions at appropriate levels to deter abuse of regulations.
Finally, the Bill will also provide for the leveling of the playing field for all competent conformity assessment service providers by ensuring that accreditation becomes a prerequisite for the provision of conformity assessment services.
Madam Deputy Speaker, I wish to use this opportunity to acknowledge and thank the Portfolio Committee on Trade and Industry for facilitating the public hearings and for the committee's substantive inputs.
These contributions dealt with, amongst others, the proposed number of members of the respective boards, which were considered to be too large when taking the current SABS board size into account. We therefore now propose that board membership numbers be reduced from the initial proposal of 10-13 to between seven and nine board members.
Furthermore, with regard to the Standards Bill, the committee agreed that it was necessary to include a new clause on the incorporation of SA National Standards in law.
Madam Deputy Speaker, I wish to reiterate that the Bills we have tabled today are critical to the further strengthening of an enabling legislative environment for a modern South African technical infrastructure. I commend these Bills to the House. Thank you very much. [Applause]
Ms D M RAMODIBE
END OF TAKE
The MINISTER OF TRADE AND INDUSTRY
Ms D M RAMODIBE: Madam Deputy Speaker, hon members, ladies and gentlemen, why do standards matter in a country? In order for us to have a better understanding as to why standards matter in a country, we have to understand that the link between standards, technical regulations and trade is crucial in the design of broader development programmes that can create new opportunities for supporting poor growth.
Standards and technical regulations define what can or cannot be exchanged and outline the procedures under which such exchanges are or are not permissible. The need to develop standards is being driven by global competition that we, as a country, are part of. Global competition has become intensified in terms of price, quality, supply chain management and dependability of delivery systems. Consumer preferences influenced by increased income, health and other social concerns and demand for quality products are also changing the way suppliers and producers respond to market signals.
Changing consumer demand is putting pressure on national and international standards development and regulatory agencies to become more active in supporting the private sector and ensuring compliance. We all know that consumer confidence in the regulatory capacity of both domestic and international agencies is slowly diminishing as a result of health-related products that have emerged in recent years. Consumers are demanding more information about products – chemical content in foods and production processes. It is, therefore, imperative that, as we consider passing this Bill, we should ensure that it meets its objectives and beyond by improving the quality of the life of the people ...
The HOUSE CHAIRPERSON (Mr K O Bapela): Hon members, the level of noise is extremely high now. Could we please respect the dignity of the House? I thank you.
Ms D M RAMODIBE: . . . create a shared consumption benefit for the public and solve common products and quality problems. We also need to ensure that standards are well-defined, as they can facilitate trade by reducing transactions and other costs, including cost information about the quality of goods or services and associated risks and to improve linkages amongst firms across industries.
With the passing of the Bill, we want to see the following challenges being addressed and we hope it will be the case as we implement the Bill: Lack of transparency in technical regulations, which hinders local trade particularly in the small, medium and micro enterprises sector or SMMEs; and the difficulty and time-consuming consultation of technical regulations contained in the legislation – there is no way of measuring the effectiveness of technical regulations contained in the legislation.
We further believe that the passing of the Bill into law will assist in providing an integrated framework of government action and public-private partnership that was lacking, and that the board will place emphasis on surveillance and monitoring of data, human resources and law enforcement capacity. There can be no doubt that South Africa has committed itself to fully participate in the international arena in as far the development of standards is concerned.
We do, as a country, possess the necessary institutional framework and infrastructure to participate and adhere to international regulations and standards. We need to continue the drive to assist SMMEs to become part and parcel of not only domestic economic activities, but also the international trade arena by providing assistance to enhance the ability to comply with regulations and standards. The ANC supports the Bill. I thank you [Applause.]
Dr P J RABIE
END OF TAKE
MS D M RAMODIBE
Dr P J RABIE: Mr Chairman, the DA supports the Standards Bill and this particular Bill emanates from the Department of Trade and Industry. Its aim is to restructure the SA Technical Infrastructure and to optimise the SA Standards, Quality Assurance, Accreditation and Metrology system. South Africa is an accepted member of the international standardisation system that continues to support the needs of South African enterprises competing in a fast-paced global economy. The Portfolio Committee on Trade and Industry discussed the Standards Bill in depth.
Chairperson, allow me to thank all the members of the committee for their worthy contributions. Allow me also to thank my colleague, Mr Les Labuschagne for his contribution regarding the establishment and the composition of the board of the SA Bureau of Standards, SABS. The proposal that the board consists of no less than seven and not more than nine members was supported by all the members of the committee.
The export of manufactured goods is the lifeline of the South African economy. The recent increase in electricity and fuel levies could increase input costs, which could result in an increase in inflationary harm. The good news, however, is that the rand's fall against the dollar in the past four months could give our manufacturing sector a lift, because export industries will not be the only one to benefit from the weakening of the rand. The domestic firms using imported articles will try to evade the higher important costs by sourcing local producers.
This is only possible if the maintenance of the SABS as an internationally recognised standard and a crucial element of a well-functioning technical infrastructure of this country continue. A number of variables are extremely important to allow an export article to attain a competitive advantage over another.
Afrikaans
Gehalte en 'n goeie prys vir goedere in die internasionale arena kan slegs verkry word indien die produk deur internasionaal erkende regulatoriese standaarde getoets en ondersteun word. Die SA Buro van Standaarde is van sleutelbelang vir die ganse ekonomie van Suid-Afrika. Hierdie wetsontwerp skei slegs die regulatoriese sy van die SABS van die administratiewe gedeelte, wat in pas is met verwikkelings van dié aard onder die meeste van ons handelsvennote.
Die DA is 'n politieke party wat hom verbind tot ekonomiese groei en die bekamping van armoede. Ons betoog vanmiddag is dit: laat die SABS soos, in die verlede, voortgaan om voortreflike wetenskaplike internasionale diens aan die nywerheid in al sy fasette te lewer.
Die SABS moet egter nooit vir korttermyn politieke gewin gebruik word nie, want dit kan onberekenbare skade aan die vervaardigingsektor van Suid-Afrika aanrig, wat miskien dekades kan neem om verlore aansien te herwin indien dit wel sou gebeur. Mnr die Voorsitter, ek dank u.
The HOUSE CHAIRPERSON (Mr K O Bapela): Hon E S Chang. [Interjections.] Hon members, if you think you are whispering, you are still audible from where I am seated, definitely audible.
Prof E S CHANG
END OF TAKE
Dr P J RABIE
Prof E S CHANG: Chairperson, hon Minister, the technical infrastructure review which was conducted in 2001 resulted in the Policy on Modernising the South African Technical Infrastructure. These two Bills before us today are very important as they are the final elements of this important policy implementation process. This process is needed if we are to ensure that our products are up to international standards in this era of globalisation. I have no doubt that the modernisation process will benefit all South Africans, including the business community and consumers as well as place South Africa on a higher standing internationally with regard to the quality of products that leave our shores. Our products will be of a certain quality and adhere to strict standards and specifications.
The IFP welcomes the Standards Bill as it allows for the continued existence of the SA Bureau of Standards, the SABS, as our national standardisation institute. In this fast-paced global economy, we in South Africa need to ensure that our products and services are characterised by high quality and excellence. We need to promote our own brand, the South African brand, as a country. This Bill brings the SABS in line with international norms as the responsibility for the administration of technical regulations will no longer lie with the SABS, and this will now allow it to concentrate on the development and the maintenance of standards and the provision of conformity assessment services.
The SABS's current combination of responsibilities is not in line with certain international requirements, and creates a conflict of interest in terms of providing conformity assessment services for technical regulations while also administering technical regulations. There is clearly a need for two separate organisations.
The National Regulator for Compulsory Specifications Bill ensures that there will be a separation of powers with the establishment of the National Regulator for Compulsory Specifications, which will now administer the technical regulations and make provision for the implementation and administration of all aspects of compulsory specifications. The mandate of this national regulator is to promote public safety and enhance consumer protection through the enforcement of compulsory minimum standards for the safety and performance of products and services.
These two Bills will go a long way to ensure that our products are of the highest quality. The IFP supports the Bills. [Applause.]
Mr H B CUPIDO
END OF TAKE
Prof E S CHANG
Mr H B CUPIDO: Chairperson, on behalf of the ACDP, I would like to speak in favour of the Standards Bill and the National Regulator for Compulsory Specifications Bill, which are before the House today.
It is overall perceived that standards in South Africa are dropping. The mark of the SA Bureau of Standards has for a very long time been the mark by which people and business would determine their satisfaction with products before they would spend money on it. The ACDP is therefore satisfied that the SABS will continue to exist as a public entity, notwithstanding a repeal of the Standards Act, Act 29 of 1993.
South Africa needs the objectives as set out in the Bill for the SABS, and those set out for the National Regulator in the National Regulator for Compulsory Specifications Bill. The SABS promotes and maintains South Africa's national standards, promotes quality of commodities, products, services and renders conformity assessment services in connect therewith.
The National Regulator is hereby established as a public entity and has the objectives to make recommendations to the Minister with regard to compulsory specifications and to carry out market surveillance through inspections and monitoring of compliance, and to enforce compliance with compulsory specifications.
The Bills also stipulate the establishment of boards' operating procedures, conditions for appointment to the boards, and also the criteria for disqualifications.
The ACDP believes that the functioning of these two entities will ensure that high standards will prevail in South Africa, and that South African standards prevail throughout the world. The ACDP supports the Bills before us.
Mr S M RASMENI
END OF TAKE
Mr H B CUPIDO
Mr S M RASMENI: Chairperson, Ministers, and hon members, the tabling of the Standards Bill before Parliament is not a coincidence, but it is informed by the need to accelerate transformation to ensure a better life for all. We resolved in Polokwane, during the ANC national conference, that we need to build the technical capacity of the state to engage with, understand and lead the development of dynamic and globally integrated economic sectors.
The Bill before the House, the Standards Bill, repeals the Standards Act, Act 29 of 1993, and creates the SA Bureau of Standards which is focused and operates optimally in pursuit of the national interest in that it has strategic direction and is properly co-ordinated. It aims to provide for the use of measurement units of the International System of Units and certain other measurement units. It will also provide for the keeping and maintenance of national measurements standards and units.
Some of the objectives of the Bill are to look at the need for an international metrology system as the foundation for the South African measurement system; the need to strengthen the metrology system as a key component of the technical infrastructure that is aligned with international best practice; the need to support our enterprises competing in a fast-paced global economy and for public policy objectives with regard to compliance issues in terms of the health and safety environment.
Indeed, the Department of Trade and Industry also took instructions from the President of the Republic when he addressed us on the main categories of the Apex Priorities during the state of the nation address. I quote:
... the further acceleration of our economic growth and development, and speeding up the process of building the infrastructure we need to achieve our economic and social goals ...
The role of the SABS is to offer standardization services on an ethical and principled basis that uplifts the national standards and empowers South African industry to compete vigorously towards increased market access. In doing so, the SABS contributes to economic growth in the region. We are confident that with this Bill passed by Parliament, the SABS will live up to these challenges.
The committee process took us a few weeks to deliberate on the Bill, and amendments were made. I want to specifically reflect on the amendment of the composition of the board. The department recommended that the board should be constituted by between 10 and 13 people, and this was rejected by the committee unanimously, and we settled for between seven and nine people to constitute the board.
I must also mention that we cautioned the department not to appoint individuals to this board who would be found serving on other boards or institutions, as is the case in government, with the result that such board members fail to exercise their duties because of divided attention to matters of importance.
We in this committee support the passing of this Bill. Thank you very much. [Applause.]
Mr D A A OLIFANT
END OF TAKE
Mr S M RASMENI
Mr D A A OLIFANT: Chairperson, I just want to beg for your indulgence a little bit because I think it is important that I have to say something regarding my constituency. On behalf of my constituency in Atlantis, the ANC wishes to express its deepest condolences on the tragic death of a number of people from Atlantis, Malmesbury and other areas as a result of vehicle accidents that happened over the past two weeks. We are seriously concerned about these untimely deaths of mainly young people, and call on the Metro Police, the city law enforcement governed by the DA coalition in the City of Cape Town, to please ensure that we have these officers active in our areas. I need to say that most of these law enforcement officers are deployed to the city centre over weekends and nothing happens in our own townships - and we're asking ourselves if our lives are less important than the lives of the people in the city.
So please ... met "`n groot asseblief" [with the biggest request]... we beg you to do something because we cannot lose lives every weekend. [Interjections.] They are there but they cannot handle all these things.
On a more positive note, today marks a very special highlight on the calendar of the constituency in Atlantis. Our desire to better our lives have become so urgent that our community leaders came together to launch an education and training forum. We want to uphold the values espoused by government to engage in skills development. We thought this education and training forum would assist in the process, and also improve our social and material conditions.
I want to congratulate them on this giant leap and wish to express my gratitude to the Atlantis Economic Development Trust led by CEO, Charles Titus, Mr Martinus, Chairperson of the Principals' Forum, and of course our stalwart in education, Mr Quinton Newman, who initially took this bold step.
May you grow from strength to strength and you dare not fail us because you would be failing our children, youth, community and our country at large. We just want to say that we are very proud of the initiative taken by the people of Atlantis.
To come back to the issue at hand, the National Regulator for Compulsory Specifications Bill makes provision for the establishment of the National Regulator of Compulsory Specifications of South Africa. It makes provision for the administration and maintenance of compulsory specifications, public safety, health and for the protection of our environment.
This Bill further makes provision for market surveillance by the National Regulator to ensure that there's compliance with the compulsory specifications and to provide for sanctions for noncompliance to compulsory specifications. Lastly, it makes provision for the appointment of the board of the National Regulator.
The objectives of the National Regulator are as follows:
It must make recommendations to the Minister with regard to compulsory specifications; administer and maintain compulsory specifications; enforce compliance with the compulsory specifications in accordance with the Act; and in order for the National Regulator to achieve its objective, it must acquire and maintain the equipment required for market surveillances and inspection purposes; the Regulator must establish and maintain the necessary expertise required on an internationally acceptable level; it must inform the South African commerce, industry and the public at large about the compulsory specifications; it is important for the National Regulator to obtain membership or to participate in or develop relationships with foreign and international bodies who share the same objectives of our National Regulator for it to be at par with international standards; the National Regulator must enter an agreement with service providers who conform to the necessary requirements; it must further establish specialist consultative committees to provide input into the process to interpret and implement compulsory specifications.
The portfolio committee was very happy that the department could concede to the reduction on the appointment of members to the National Regulator Board from a minimum of seven to a maximum of 10 instead, as early indicated between 10 and 13.
What is significant in this Bill is that it gives the National Regulator the necessary powers to monitor and enforce compliance with the act, for example, it can at anytime take a sample of any component test and analyse it and see if it complies with the necessary specifications.
I move for the adoption of this National Regulator for Compulsory Specifications Bill. Thank you.
Mr R B BHOOLA
END OF TAKE
Mr D A A OLIFANT
Mr R B BHOOLA: Chairperson, the MF acknowledges that the new Standards Bill will continue to employ the South African Bureau of Standards as a public entity. We respect that certain technical regulatory responsibilities have been removed and that board would grow in size.
We sincerely hope that these provisions shall assist the South African Bureau of Standards in further supporting the development of trade and industry, both nationally and internationally.
The SABS has a technical mandate to uphold to the management of the standards of goods and its South African stamp of approval.
Bringing us in line with national standards globally, the MF is pleased that this shall further ensure that our operations are in line with the World Trade Organisation.
We are pleased that these changes do...[Interjections.]
The HOUSE CHAIRPERSON (Mr K O Bapela): Hon members, may I speak. I've been really pleading for quietness – I would then have to use my prerogative and really name or call whoever I think is disturbing the order of the House. Please, let's be in order. Hon member, continue.
Mr R B BHOOLA: We are pleased that these changes do not affect the employment constitution of the body and that job safety has been prioritised.
The fact that we are prioritising the standards of goods and its safety is an assurance to the consumer of the quality of goods traded.
As we know, the National Regulator for Compulsory Specifications Bill has been introduced to administer technical regulations regarding standards. It appears to deal with technical regulations that approve, inspect and market surveillance and sanctions.
The MF sincerely hopes for the effective transfer of administration that is relevant to compulsory specifications between the two Bills. The MF finds the National Resources Conservation Service assessment methods to be comprehensive and promising in delivery.
We respect that the NSCR will be the accounting authority but we find it necessary to be an oversight body in this regard. We are supportive of the regulatory body that previously existed under the Standards Bill being shifted to the NCRS.
Bringing us in line with global trends we hope for improvement in the quality of standards in South Africa and our representation abroad. The MF supports the both the Bills. Thank you.
Mr L B LABUSCHAGNE
END OF TAKE
Mr R B BHOOLA
Mr L B LABUSCHAGNE: Chairperson, we have before us the National Regulator for Compulsory Specifications Bill, which together with the Standards Bill are the last of a series of Bills presented by the Department of Trade and Industry to restructure the South African technical regulatory infrastructure and to optimise the South African standards, quality assurance, accreditation and metrology system.
We previously passed legislation establishing the SA National Accreditation System and the Metrology Institute.
It is a fact that we live in a global village today, whether we like it or not. It is up to us to take cognisance and adjust. We have institutions today that regulate and influence trade, the World Trade Centre and a myriad of bi- and multilateral international instruments in this regard. Relations with the European Union,
SADC, Customs Union, all impact on our trading and commercial relations. We have to be internationally competitive and develop our exports accordingly. We are no longer just a quarry and a farm, but we are an important manufacturing and exporting country.
To enable us to compete in a competitive world it is of cardinal importance that our technical regulatory infrastructure adapts and be aligned with the international best practice. Brand South Africa must not only be up there with the best because it is necessary, but because we also deserve it.
The world must be confident that when they receive a product from South Africa, the measurement quality and standards are world-class. Our word or our standards must be our brand.
It is with this in mind that this Bill which establishes the national regulator for compulsory specifications will play a cardinal role in the administration and maintenance of compulsory specifications and implementation of a regulatory and compliance system, and also provide sanctions for non-compliance. Any regulator needs teeth.
It is important to note that the specifications referred to are in the interest of public safety and health or for environmental protection. The two former interests are self-evident, but the concept of environmental protection is relatively new and indeed necessary in view of the many environmental challenges that face not only the global community, but our country in particular.
In a sense nothing new is created in that there was a world-class regulatory department as part of SABS and the work continues, but in a better organised structure for greater efficiency. The DA supports the Bill. [Applause.]
Mr J J MAAKE
END OF TAKE
Mr L B LABUSCHAGNE
Mr J J MAAKE: Chairperson, Ministers and Deputy Ministers, fellow Members of Parliament, the Bill before us today, the National Regulator for Compulsory Specifications Bill, seeks to establish a public entity responsible for compulsory specifications. The National Regulator for Compulsory Specifications Bill will be responsible for the protection of the health and safety of the public and the environment through the administration and maintenance of compulsory specification in the interest of public safety, health or environmental protection.
In keeping with international trends, the current regulatory division within SA Bureau of Standards is to be separated from the SABS as standard writer and conformity assessment service provider. The objectives of all this is to promote the rights and obligations of government and to protect the health and safety of the public and the environment. The Bill will also provide for market surveillance by the National Regulator in order to ensure compliance with the compulsory specifications and to provide for sanctions of noncompliance to compulsory specifications.
All the legal jargon above simply means that the National Regulator for Compulsory Specifications Bill is created to administer technical regulations of which they are about 70 regulations that covers automotives and automotive components, fish, canned meat and fish, electrical and electronic products and components, environmental and personal safety products. The Bill will transfer the administrative elements that are relevant to compulsory specification from the Standards Act to the new National Regulator for Compulsory Specifications Bill.
In terms of the current mandate, SABS is responsible for three activities: The promotion, development and maintenance of national standards, the provision of conformity assessment services and the administration of compulsory specification that are largely from DTI's regulation of products and processes.
The current combination of responsibilities is not in line with the WTO requirements. It creates a conflict of interest in terms of providing conformity assessment services for technical regulations and administering technical regulations at the same time, which is sometimes very surprising because products are harvested from Africa and conformity standards are then imposed on us. An example might be a simple thing like chloroquine. It is made from an African herb which is very bitter. The pill is still very bitter even today, but the standards of the herb which we, as Africans, used from time immemorial, is getting its standards from Europe. Whilst in Africa we cured the disease, in Europe it was still called "bad air". Mal means bad; malaria, maladministration, malnutrition. Mal means bad! So, in Europe it was called "mal aria" which simply means "bad air" because they couldn't cure it.
I remember standing on this podium when we were debating the Standards Bill. I said that standards need to apply to political parties too. The National Regulation for Compulsory Specifications Bill talks about conformity to compulsory specification and this is done for purposes of maintaining public safety, health and environmental protection; all these in the public interest. What the opposition is always doing, which I always doubt if it is in the public interest, it that their definition of the public is skewed. We are therefore appealing to the opposition to direct their surveillances for the public interest.
The provision of this Bill will need us to approve, inspect and market surveillance as well as sanctions to appropriate levels in order to deter abuse of the regulations. The opposition will need to help in this regard in the interest of the public the safety, health and environmental protection and to instead stop conducting surveillance on politicians and let us be one as South Africans, at least this time.
Let the opposition stop focussing on Zimbabwe whilst their own country is in need of their help. The ANC supports the Bill. [Time expired.] [Applause.]
The MINISTER OF TRADE AND INDUSTRY
END OF TAKE
Mr J J MAAKE
The MINISTER OF TRADE AND INDUSTRY: Chairperson, I would like to thank all the members from different parties for the overwhelming support that they have given to these two Bills. I think it is a very good start for the country because these are critical Bills that will enable us to respond to the pressures and challenge of globalisation.
They will also enable us to respond to the challenges of industrial development and industrial upgrading which is one of the critical challenges facing South Africa, which is to ensure that we can deepen, improve our manufacturing and enhance value addition.
I would like to thank hon Labuschagne for attending the launch of the Metrology Institute, the other night. You will recall that on that occasion I did say that the critical challenge is going to be that we can make these disciplines commonplace, make them understandable to ordinary people so that people understand that the bread they buy measures up to the standard; the products that they consume are safe and the appliances they use also meet the specifications. So, this is what I see as an important challenge.
Of course, hon Maake, we will work on the matter of developing a specification and a standard for political parties. Thank you. [Applause.]
Debate concluded.
Bill read a second time.
END OF TAKE
THE MINISTER OF TRADE AND INSUSTRY
National regulator for compulsory specification bill
(Second Reading debate)
There was no debate.
Bill read a second time.
The MINISTER OF SCIENCE AND TECHNOLOGY
END OF TAKE
The MINISTER OF TRADE AND INDUSTRY
TECHNOLOGY INNOVATION AGENCY BILL
(Second Reading debate)
The MINISTER OF SCIENCE AND TECHNOLOGY: Chairperson, hon members, the Technology Innovation Agency Bill forms part of our country's ongoing effort to address the challenges presented by the gap between the local knowledge base and the translation of knowledge into products and services which we commonly refer to as the "innovation chasm".
The concept of the TIA – Technology Innovation Agency – was mooted in the 1996 White Paper on Science and Technology. It was developed and raised again in the 2002 national research and development strategy.
While our country's science system has evolved significantly since this time, five years of careful monitoring of the outputs of South Africa's national system of innovation has provided solid evidence that the system is operating suboptimally. This claim is supported by local evidence, the findings of a qualitative survey of lost opportunities in technology development and a further study conducted last year by my department which compares our system with international best practice.
In addition, the need for an agency like the TIA was explicitly emphasised by the 2007 Organisation for Economic Co-operation and Development in its review of South Africa's science system. The OECD report claims that, "South Africa could usefully establish a Nordic style innovation agency to bring together strategic research and innovation measures and to develop capabilities both of the productive sector and the knowledge infrastructure."
Cumulatively, these findings and recommendations emphasise the need for a new approach to stimulate innovation in our country.
The establishment of the TIA will enhance our ability to realise the objectives of our 10-year innovation plan, which outlines the principle challenges to be addressed by our science system if we are to successfully realise the transformation to a knowledge economy.
South Africa's innovation system has developed a substantive repository of local knowledge, but currently this has minimal influence on the real economy. This situation is exacerbated by a number of impediments to productivity and technological innovation, which include market inefficiencies, a lack of access to adequate financing, as well as a relatively weak and unco-ordinated intellectual property rights management framework.
Over the years, this situation has contributed to the loss of a number of great South African technologies to the developed world. One glaring example is the electric vehicle hype in the world today, which uses a South African-developed lithium battery technology that left our shores for the United States of America two decades ago. Also, as recently as two years ago, we lost our own thin-film solar-cell technology to Germany.
Such losses are largely due to the lack of dedicated funding mechanisms for technology development, and the subsequent commercialisation strategy within our own country. It is this development gap in the local market that the establishment of the Technology Innovation Agency aims to fill.
From the financial and institutional point of view, the establishment of the agency will build on existing capacity. Specifically, the funding instruments that have already been established, such as the Innovation Fund and the Biotechnology Innovation Centres, will be incorporated into and further refined by the agency in a manner that extracts synergies from existing relationships and infrastructure to ensure the rapid acceleration of commercialisation of knowledge.
The Bill provides for the establishment of the Technology Innovation Agency as a new public entity. The primary objective of the agency is to stimulate and intensify technological innovation for the purposes of improving our economic growth, and thereby enhancing the quality of life of our people. The agency is intended to develop and support local technological inventions and innovations, and create an enabling environment for their commercialisation.
The Bill further provides for the appointment of the TIA board, the CEO and staff, and sets out the powers and functions of the agency, which include, among other things, to provide financial assistance to people, consortia or enterprises in order to enable them to develop and commercialise their technological innovations and inventions; and to draw together and integrate the management of disparate technological innovation initiatives that are specifically at the technology development stage.
Our approach towards creating an environment that stimulates and exploits local technological innovation is based on our belief that such innovations should create sustainable and long-term economic growth. Moreover, our increasing investment in research and development must result in tangible benefits for our society.
Drawing on international experiences in this regard, and taking into account South Africa's own challenges in managing the innovation chain, the form, function and objectives of the TIA are those of a public institution intended to develop a significant and commercially viable technology base for the country by, one, stimulating the development of technology-based products and services; two, providing an interface for and promoting active collaboration between government, industry, academia and international sources of foreign direct investment; three, actively managing the development of technologies to ensure success in the market; four, facilitating the development of human capital to drive innovation; five, connecting technology entrepreneurs and enterprises to downstream funding opportunities and global markets; and, six, increasing South Africa's exports of value-added and finished goods.
Our national system of innovation is characterised by strong private-sector research and development funding flows. According to a report produced by the National Advisory Council on Innovation in July 2006, the business sector is the dominant R&D actor in the country, funding approximately 45% of all research and development and performing 58% of it.
According to the OECD, whose review report was received last year, "this demonstrates that South Africa has an important platform of industrial R&D competence upon which to build." We see this as an environment that is conducive to allowing us to actively connect the R&D performed at our universities and research councils to these industrial opportunities.
Evidently all nations that have successfully made this connection, that is, through entities like the proposed TIA, have amassed immeasurable economic and social good. Pertinent examples include countries such as South Korea, Singapore and Taiwan.
The governments of these countries created specific institutions to proactively co-ordinate and align national innovation missions and innovation support. Such institutions were typically set up to stimulate the creation of new industries and enterprises, and provide the basis for strengthening existing industries through the injection of new knowledge and technologies.
Consultations and engagements on the TIA concept have been ongoing. But the consultations on the business case and legislation intensified early in 2007. These interactions have taken a number of forms including one-on-one discussions with key role-players in the national system of innovation; participation in and the hosting of national and international meetings, seminars, conferences and group discussions; presentations to Cabinet and sister departments; numerous calls for public comment on the draft legislation; and written submissions and oral presentations to the Portfolio Committee on Science and Technology.
On the basis of the consultations and comments received, we are comfortable at this point that the establishment of the Technology Innovation Agency is seen as a very positive intervention in the national system of innovation.
In closing, may I take this opportunity to express my gratitude to the Deputy Minister of Science and Technology, the hon Derek Hanekom, the portfolio committee led by the hon Godfrey Oliphant, the Director-General of the Department of Science and Technology, Dr Phil Mjwara, and the management and staff of my department for working as a team in the drafting and consultation processes for this Bill.
I submit to the House the Technology Innovation Agency Bill for consideration and approval. Thank you very much. [Applause.]
Mr G G OLIPHANT
END OF TAKE
The MINISTER OF SCIENCE AND TECHONOLOGY
Mr G G OLIPHANT: Chairperson, hon Ministers, Deputy Ministers, members and our guests, the Bill before us today is an establishment Bill for a new public entity to be known as the Technology Innovation Agency. [Interjections.]
Mr M J ELLIS: Chairperson, I rise on a point. Could I ask the hon member which guests he is referring to? I don't see anybody in the gallery! [Laughter.]
The HOUSE CHAIRPERSON (Mr K O Bapela): That's not a point of order. Continue, hon member.
Mr G G OLIFANT: That's why the DA cannot get votes - they can't see the voters. [Interjections.]
The Bill before us today is an establishment Bill for a new public entity to be known as the Technology Innovation Agency.
It is essentially aimed at intensifying technological innovation by stimulating the development of technology-based products and services; supporting economic growth through the development of technology-based enterprises, both public and private, and ultimately contributing to enhancing the quality of life of all South Africans. The intention is thus to enhance the country's capacity for local innovation and to bridge the innovation gap or chasm, as it is often referred to, between the local knowledge base and the productive economy.
Let me take this opportunity, hon members, at the outset to thank the South African public for the positive contribution we've received after publishing the Bill for comments, as well as their active and constructive engagement. The contributions received from various organisations, institutions and individuals were valued and have greatly improved our refining of this law. We sincerely appreciate all their efforts. In particular, I want to recognise the support received from the Department of Science and Technology team, under the leadership of Doctor Mjwara, throughout the broad process of developing this Bill.
There are several provisions in the Bill. I'll just highlight three of them: The subsequent repeal of the Inventions Development Act of 1962; the appointment of the board that the hon Minister of Science and Technology referred to, which includes the staff and the chief executive officer, and the funding of the agency.
In repealing the Inventions Development Act, all the assets and liabilities of the SA Inventions Development Corporation, known as Saidcor, established to provide for the purpose of this Act, will be transferred to the Council for Scientific and Industrial Research. The portfolio committee has taken into account the background and history of the relationship between these entities and has acceded to that recommendation.
Another key success factor that will ensure that the agency functions effectively is the hybrid funding model currently being explored between the DST and Treasury, taking into account the provisions of the Public Finance Management Act. The portfolio committee will be following these developments very closely and we wish success to all parties involved. The committee is however concerned about the regulatory regime provided for in the Bill. Special attention will be given to the implementation of the investment framework policy in due course.
The Technology Innovation Agency will be there to support the development of inventions beyond their early stage to the point of technology demonstrators, prototypes and even pilot plants. This type of funding is not usually available within the budgets of academic institutions and the broader government-owned science system. Therefore, as is the case currently, when the basic invention is attained, it either stagnates in the system or goes to a third party which, in our history, has mostly been an overseas investor willing to take such risks.
We must continue to unlock and support the creative ideas of our nation and realise the benefit of its inventions, discoveries and designs. After all, we have many successes and best practices that stood the test of time. We ultimately need to ensure that these innovations bridge the innovation chasm and translate into products and services that contribute to the development of all our people.
Let me now consider some example, members. The Minister also referred in his speech to the lithium battery. The lithium batteries that are in our phones, in drills and other power tools today, and which are already in prototype and production cars in the United States, have a South African invention from the CSIR at its core. Although money was earned for SA as royalties, this was a very small fraction of what has been earned for the Japanese and the US companies that were able to invest in the technology and mature it to a point of having products in the marketplace.
Another example exists in the computer industry. There is an observation of a trend known as Moore's Law, which speaks to the fact that a number of transistors on a chip will double about every two years. This has had massive implications for efficiency and costs in the industry. The industry has however expressed the view that this trend is coming to an end as it is reaching a physical limitation with current technologies. A solution has multibillion dollar implications for this industry. Please take advantage.
There are, however, weaknesses. When a technology is developed, even to a point of prototype, there is still a lot of expense or investment that is required to develop the plan on how the technology is translated into business. Without this essential step, the possibility of engaging the private sector as a partner or ultimate owner of technology usually fails.
There has historically been a lack of funding for this incubation process, especially the investment needed to get technological products to the market. There've also been instances where our technological innovations have been appropriated and exploited by others internationally.
Another example - maybe I should end the examples now because time is running out – is that there was not adequate funding. Let me leave that point because of the time limits I have.
The critical challenge we put to the DST, science councils and associate institutions is our pragmatically driven need for smart co-ordination of science and technology activities in the National System of Innovation. This, we know, is a surmountable challenge and requires extra effort to contribute to the broad apex categories and speed up economic growth relatively significantly.
It also requires a streamlined understanding of scientific work, interdepartmental relationships and outputs in the various critical domains like water and sanitation, housing, job creation, health, and safety and security, to name but a few. There needs to be a consolidation of research and development outcomes of entities and a wide spectrum of products, systems and processes that ultimately reflect in the improvement of quality of lives of all the people of South Africa.
The President, in his state of the nation address, referred to the Apex Priorities that require priority attention. The TIA aims to support one of the main apex categories of furthering the acceleration of economic growth and development. It intends to do so by providing the primary bridge between the formal knowledge base and the real economy.
To conclude, it is essential therefore that we continue as a country to address the skills shortages we face as a nation and ensure that we make every effort to provide for the effective training of scientists and engineers. We also need to enthusiastically monitor the strategic collaboration between the DST and the National Research Foundation that aims to significantly increase the number of Doctor of Philosophy degrees within our national system of innovation. We should also ensure that available skills are utilised to their maximum potential. Where this is not happening, it should be corrected as a major priority as it ultimately affects service delivery.
Finally, members, my sincere appreciation goes to the staff in the committee section. Zelna, wherever you are, I thank you very much. I also want to thank the parliamentary legal advisers and the state law advisers, the secretaries to the Chairperson and the Whippery respectively, and a special word of thanks surprisingly goes to all members of the portfolio committee which includes the ANC in particular. The DA supports this Bill. The noise near me is fine. We enjoy it; it's late in the day. I thank Azapo for the support they have given throughout this process, and all the members for their commitment and dedication throughout the processing of this Bill. The ANC definitely supports this Bill. [Applause.]
Mr S B FARROW
END OF TAKE
Mr G G OLIPHANT
Mr S B FARROW: Chairperson, the Bill before us was well-researched and underwent a vigorous public participatory process, to the extent that despite the closing date of 10 January 2008 the committee felt it necessary to extend the date by a further two weeks. This was to accommodate those stakeholders and academics who may have been away or unaware of the gazetting of the Bill during the Christmas break.
To this end, the DA is grateful for this request being accommodated. However, Bills, of course should not be gazetted during December as most institutions, businesses and universities are closed or on holiday during this period, raising concerns about whether full consultation could effectively taken place.
This Bill, according to the University of Pretoria is significant in so much that it has the real possibility of making South Africa a world player in the development, manufacturer and dissemination of technology products and in so doing improving our ability to protect its intellectual property and thus turning the tables on the negative trade balances which are presently being experienced by our country.
What is required with this Bill is to bridge the innovation chasm through providing a public mechanism to absorb the risk in the product development part of the value chain. The DA believes that the direct funding of project through the TIA can further stimulate partnerships between the private and public sectors, particularly at SMME level and in the promotion of black economic empowerment initiatives.
However, the success of these funding would depend on the role the TIA plays in handing over these technology products once the product has been developed and their investment hopefully recovered. A clear policy by the Department of Science and Technology will have to be developed along the value chain to ensure that the equity held on behalf of the state must have a defined exit strategy.
It is therefore pleasing to note that the Department's Investment Policy Framework and Guidelines actually addresses this particular aspect and in particular the concerns raised that the TIA will become a profit generating vehicle as opposed to the one that rather focused on the long-term sustainability and the growth of the resources available to the TIA and ultimately for its reinvestment back into the system.
Hanging on to these investments would also cause foreign direct investments to shy away from putting capital into companies that have state involvement on their boards or shareholdings. And that, I think, is an obvious issue.
It is important therefore that the board so appointed by the Minister in consultation with the National Assembly must have the necessary knowledge and experience in technological innovation, technology management, intellectual property and the commercialization thereof, and the necessary business skills which collectively should enable them to obtain the objectives of the agency, whilst most importantly providing for good governance. There should be no conflicts of interest involved due to the sensitive nature of discoveries or technological innovations, particularly prior to them being registered under the Patent's Act and Parliament needs to be vigilant in this regard.
It is also important therefore that serving board members do not impede the flexibility of a SMME and more specifically take away the equity or royalties from them but rather empower them.
Paramount to the success of the TIA would be its ability to service the interpreters swiftly and efficiently during the incubation period as the delays could result in loss of opportunities to overseas grants and FDIs, which is been happening up to now. At the same time the TIA should not be seen as competing with classic venture capital-private equity funders.
To this end, the committee feels that it would be essential for the TIA to apply for a hybrid schedule 3A/3B type exemption from National Treasury under the PMFA for it to be successful and to meet the demands put before it for project financing. It is hoped that Treasury will be sympathetic to this request.
Finally, the DA believes that if we as Parliament are to be serious about our oversight role then it is essential that regulations made by the Minister - which ordinarily we do not see - are tabled in this House. This matter was discussed with the Portfolio Committee on Science and Technology and although it was received sympathetically, it requires policy decision from the ANC Caucus to make it a reality.
Too many regulations vested in Ministers take place which have major bearings on the financial and administrative capabilities of state-run operations. And the TIA is no exception. Clause 16 of the Bill is a point in question where the Minister has direct influence in regulating reserve funds and investments. I trust that our counterparts in the NCOP will consider this matter before the Bill is finally passed.
The DA looks forward to the passing of the Bill and the opportunities it will bring to South African entrepreneurs, but more importantly, the effects it will have in overcoming the challenges of high poverty, underdevelopment, decreasing agricultural output and the high prevalence of disease which we encounter on a daily bases.
The Bill will harness the expertise and intellectual knowledge of high-tech academic, industrial research on the one extreme and the inventor, entrepreneur, and traditional healer on the other, all of which could benefit society and the world at large with their exciting innovations and inventions. Maybe South Africa could even find a treatment for HIV/Aids, malaria and other ailments using our indigenous plants. The opportunities are endless and hopefully the TIA will be the catalyst to open up these opportunities.
The DA will therefore be supporting this Bill. Thank you Chairperson. [Applause.]
Dr R RABINOWITZ
END OF TAKE
Mr S B FARROW
Dr R RABINOWITZ: Chair, imagine a country in which most people understand the way the world works and are clear-thinking individuals, with the spirit of goodwill towards others. They recognize problems in their community and respond to them creatively through art, constructive actions and innovative technology. This should by the goal of an ideal technology innovation agency fed into by a strong education system.
Countries prospering in the 21st century are investing hugely in education and science and technology. This applies to India, China, Brazil, US and Taiwan. It should apply equally to South Africa.
The beauty of TIA is that it has not been formulated to act as a Big Brother, stamping a national agenda on all science and technology but as a nurturing mother that will foster initiatives and try to bring to fruition ideas that contribute to prosperity and well-being; not that the agency shouldn't open eyes that are squinting down dark passages, a tendency in our technology obsessed modern world.
Nano-, bio- and information technology are for good reasons hailed as modern miracles but they are being pursued with little respect for long term consequences.
While it is not the job of the TIA to regulate, it should embrace the precautionary principle as it chooses which innovators to support.
Ironically, going forward may consist in going back to the indigenous knowledge in which South Africa abounds. It is being greedily scavenged by the outside world while here it remains secretly guarded by its holders who see little value in sharing it.
South Africa has made its mark in every field of sophisticated science and the TIA must accelerate this. But it is in the field of indigenous knowledge that our contribution must be strengthened, through the right intellectual property, benefit-sharing and ethical research done by research institutes collaborating with healers and university scientists.
We rush headlong into genetic modification – GM - whereas we could foster a myriad other agricultural technologies that retain biodiversity, are more sustainable and promote human and animal health. We allow ourselves to be sitting ducks in uncontrolled unethical experience with cell phones and must which are not regulated by government and GM foods that are not tracked.
We are a country lacking a vision in the fields of energy and health. We sponsor nuclear and coal energy generation and waste unlimited free resources of sun and geothermal energy from the sea. Research commissioned by Eskom reveals that for less investment that is needed to build a power station, the state could provide three times as many kilowatts of energy by installing 2,5 million solar water heaters in homes.
Through initiatives like TIA we must try to strike a balance between new and old technology; between our largest energy source the sun, and the smallest atom; and between developing a vaccine for Aids and producing products that keep people healthy.
The IFP warns against the board channelling all VC funding for innovation and letting it be either stolen, wasted or stagnate while bureaucracy bubbles away. We also warn against the disincentive to new businesses of the TIA sharing in their profits. We will watch how the agency develops and appeals to civil society to do likewise.
As the millennium task force of the UN stated in a report commissioned by Kofi Annan, a report which I commend to the board of the TIA, through practical steps governments and international agencies have a unique opportunity to use science, technology and innovation to improve the lives of billions and meet Millennium Development Goals. For that we need good intentions, knowledge, understanding and wisdom. We hope TIA embodies them all. The IFP support the Bill. [Applause.]
Mr R B BHOOLA
END OF TAKE
Dr R RABINOWITZ
Mr R B BHOOLA: Chairperson, as implied by the hon President in the state of the nation address, we are to pave ways for the growth and development of the economy, technology and advancement with the world through innovations.
South Africa may boast of a number of innovations used all over the world and invented by our local scientists, engineers and inventors. We performed the first heart transplant under the auspicious care of Professor Chris Barnard. It was a South African physicist that developed the Computed Axial Tomography scan, known as the CAT scan. Our Sasol is reported to be the world's finest oil from coal refineries, and the Kreepy Krauly pool cleaner, as well as the pain relief Action Potential Simulation machine were all made in South Africa. Let's not forget that it was only Pratley Putty that held bits of the Apollo XI mission's eagle landing craft which went to the moon. However, the MF realises that there are far more innovations that are waiting to be discovered on South African soil, and that we have a responsibility to pave the way for them.
In the village of Kondivre in South India lived a man, Noordien Kaprey who, with a little education and lots of imagination, built a gadget that would prevent car accidents. It was discovered by some Germans, who took it from him in the 1960s, and claimed it was their own. This man was never reimbursed for his innovations and remained poor, fending for his family through village trade, too afraid to allow his mind to guide his hands again, too afraid to be exploited.
The MF is pleased that this Bill comes in a time when we are striving to walk away from the times of exploitation. Let us open roads for innovation in South Africa so that we may keep up with global trends and make our mark as a global entity. In view of the provisions of the Bill, it appears very promising in this regard. We sincerely hope that these benefits will be made available in all corners of South Africa. The MF will support the Bill.
Dr S E M PHEKO
END OF TAKE
Mr R B BHOOLA
Dr S E M PHEKO: Chairperson, this is one of the most important Bills before this Parliament. The PAC supports the Technology Innovation Agency Bill. Its purpose is to facilitate discoveries, inventions, innovations and improvements.
Because my time is very restricted, I simply want to say that our country, like the rest of our continent, is endowed with enormous wealth. The riches of our country and continent will never benefit us, and be under our control until we acquire the 21st century technology to advance our country and continent technologically.
Today our diamonds, platinum, iron, gold and other raw materials are sold back to us at 2000% because we lack the technology to process them here and them as finished goods to develop ourselves economically. The majority of our population lives in abject poverty amidst the massive riches of our country and continent. Eradication of poverty will not happen until our school education capacitates us with the technological know-how. Epistemology and indigenous knowledge show that our ancestors, even before colonialism, were inventors. Today we are being bullied by those who have bought our uranium cheaply and processed it into advanced technology, and have become nuclear powers at our own expense.
We are consuming everybody's goods in the world. We are inventing very little because of our backwardness in technology. We are today more dependent than when we began the struggle for independence. We are being oppressed and dominated with our own riches. Thank you. [Applause.]
Ms B T NGCOBO
END OF TAKE
Dr S E M PHEKO
Ms B T NGCOBO: Chairperson, as the South African Inventions Development Corporation, established by the Inventions Development Act of 1962, is being repealed, transitional provisions and savings are being taken care of by disestablishment, deregistration in terms of the Companies Act of 1973, and dissolution of the directors.
At the commencement of this Act, all rights, obligations, assets, liabilities, patents and the sum of R3000 from Technifene vest with the Council for Scientific Industrial Research, the CSIR. Personnel will be transferred to the CSIR in accordance with the Labour Relations Act of 1996.
The agency has been given powers and duties to provide early and second-stage funding, in particular, and third and later stage in general, and to further establish enterprises in accordance with the Companies Act and to be able to develop and exploit technological innovations, and provide support for persons undertaking such technological innovations. It would be important for the agency to co-ordinate and integrate technological innovations, incubation and diffusion initiatives in the country, and further to develop human capital to address the existing skills shortage.
It would be important to apply for or revoke patents and institute legal actions where patents and intellectual property rights have been infringed. The agency will buy land and erect buildings so that they are able to do their work in those buildings or assign land if and when necessary, and will lend whichever land and property they are not using. It would also be important for the agency to establish national and provincial offices in consultation with the Minister.
As far as remuneration benefits and allowances for all categories are concerned, the Minister may determine those in consultation with the concurrence of the Minister of Finance. Regarding appointments, the Minister must appoint a panel that will compile a short list of candidates for members of the board after a transparent and competitive nomination process. They must appoint members of the board in consultation with the National Assembly on their knowledge, experience, and technological management, intellectual property, commercialisation and business skills. When the aggregate of all this is considered collectively, it should enable them to attain the business of the agency.
The Minister may dissolve the board for mismanagement in accordance with the Promotion of Administrative Justice Act of 2000, after which he or she may appoint an interim body for the continued governance and control of the affairs of the agency. The interim structure must not exceed six months, or until the new board is appointed.
As far as the chief executive officer is concerned, the Minister will appoint one on the recommendation of the board, who will be responsible for the administration, management and control of day-to-day functioning of the agency, subject to the directions and instructions issued by the agency. The term of office of the CEO will not exceed five years. However, he or she will be eligible for re-appointment, but not exceeding two consecutive terms.
The board of the agency consists of the chairperson, the chief executive officer who is a non-voting member, and there should not be less than six members, but not more than nine. The board must prepare an investment framework policy as prescribed, and is reviewable annually. The committee will be vigilant that the body is doing exactly what it is meant to do. When members are being disqualified from the board, it would be important that one of the following criteria are met: Declared by a court of law as mentally ill, as defined in the Mental Health Care Act; convicted of an offence, or sentenced to imprisonment with an option of a fine; elected as a member of the legislature, a councillor in the municipality or a delegate to the National Council of Provinces; is a non-South African who cannot be a member of the board; removed from the position of trust by a court of law, and if the member is an unrehabilitated insolvent.
A member will be removed or vacate office on the grounds of misconduct, inability to perform duties efficiently, and being absent from three consecutive meetings without permission of the board. If a member ceases to hold office or has a disqualification, the Minister may appoint a person who meets the criteria of the board for that member's remaining term of office. The member may vacate office on resignation or on disqualification.
The term of office of the members of the board is four years, and eligible for re-appointment, but they cannot serve more than two terms. Meetings of the board should take place quarterly, or there should be four per year, with the chairperson presiding. In the absence of a chairperson, members of the board must elect amongst themselves the chairperson. The board determines the procedure of its meetings. The chairperson may convene a meeting of the board, for which two-thirds of the members must sign a written request within 14 days to convene a special meeting, and convene such a meeting with a two-thirds quorum of members eligible to vote at that meeting. [Time expired.]
The MINISTER OF SCIENCE AND TECHNOLOGY
END OF TAKE
Ms B T NGCOBO
The MINISTER OF SCIENCE AND TECHNOLOGY: Thank you, Chair. I wish to thank all the hon members for their support. We learnt a lot during the public hearings. I was telling the chairperson of the portfolio committee that when they called for a public hearing, we thought they were wasting their time because, we thought, nobody was going to be interested in such a technical Bill. But the interest was huge from role-players and the inputs that they have made helped a great deal to improve the Bill and make it better than it is today. Even during this debate, we learnt quite a bit and some of the comments made by hon members will be taken into account as we go forward.
The hon Rabinowitz says the TIA is a nurturing mother. I like that. It's really, really a beautiful image: The image of a mother nurturing, of scientists nurturing, of our institutions nurturing, innovation nurturing, enterprises nurturing, inventions nurturing and so on. So it's wonderful. We would like to see the TIA as exactly that, and not all the other things that hon members might fear it might become as it goes forward.
It is a potentially huge leap forward for our country. We are closing a gap that has been yawning for a very long time. We have been very good as a country in developing institutions such as universities, science councils, supporting them, developing scientists and so on. We are spending billions and billions of rands a year in keeping them alive and supporting their work, but we have not been very good at harvesting the results of their labour. So, with this potential, we will be able to harvest this. It's a new territory for all of us and we hope that we will continue to get the support of hon members, particularly the portfolio committee chaired by hon Oliphant in taking the agency off the ground and nurturing it as a mother, into what it ought to be. Thank you very much for your support.
Debate concluded.
The House adjourned at 16:22.