Hansard: Debate on IPU topic: Redistribution of power, not just wealth; Members' Statements

House: National Assembly

Date of Meeting: 31 Aug 2011

Summary

No summary available.


Minutes

THURSDAY, 1 SEPTEMBER 2011

PROCEEDINGS OF THE NATIONAL ASSEMBLY

______________________________

The House met at 14:02.

The Speaker took the Chair and requested members to observe a moment of silence for prayers or meditation.

NOTICES OF MOTION


START OF DAY

NOTICES OF MOTION

Mr E J MARAIS: Mr Speaker, I hereby give notice that on the next sitting day of the House I shall move on behalf of the DA:

That the House-

debates different ways of beneficiation in the mining sector and specific ways and measures to address beneficiation, like increasing employee shareholding, free shares, profit sharing, and other innovative proposals to take beneficiation forward. I thank you.

Ms F E KHUMALO


Mr E J MARAIS

Ms F E KHUMALO: Mr Speaker, I hereby give notice that on the next sitting day of the House I shall move on behalf of the ANC:

That the House-

debates the working and living conditions of farmworkers in the Western Cape. I thank you.

Mr N J J van R KOORNHOF


Ms F E KHUMALO

Mr N J J van R KOORNHOF: Mr Speaker, I hereby give notice that on the next sitting day of the House I shall move on behalf of Cope:

That the House-

debates the impact of the proposed increased airport taxes and the effect that it will have on domestic tourism.

Ms N A MNISI


Mr N J J van R KOORNHOF

Ms N A MNISI: Mr Speaker, I hereby give notice that on the next sitting day of the House I shall move on behalf of the ANC:

That the House-

debates the future of informal settlements in South Africa with a view to finding solutions to the problem of housing the ever-increasing number of people migrating to cities. Thank you.

Mr J H VAN DER MERWE


Ms N A MNISI

Mr J H VAN DER MERWE: Mr Speaker, I hereby give notice that on the next sitting day of the House I shall move on behalf of the IFP:

That the House-

debates the numerous taxi and bus incidents in which so many innocent people are killed, and that practical ways are discussed on how to curb this.

Mr J H STEENHUISEN


Mr J H VAN DER MERWE

Mr J H STEENHUISEN: Mr Speaker, I hereby give notice that on the next sitting day of the House I shall move on behalf of the DA:

That the House-

debates the purchase of mansions for Ministers by the Department of Public Works and the costs involved, and comes up with measures to hold the department accountable for these purchases and any future purchases of a similar nature.

Ms M N PHALISO


Mr J H STEENHUISEN

Ms M N PHALISO: Mr Speaker, I hereby give notice that on the next sitting day of the House I shall move on behalf of the ANC:

That the House-

debates how to encourage community participation on parole boards and with corrections, rehabilitation and reintegration initiatives.

Mrs C DUDLEY


Ms M N PHALISO

Mrs C DUDLEY: Mr Speaker, I hereby give notice that on the next sitting day of the House I shall move on behalf of the ACDP:

That the House-

calls for a debate on the benefits of a Fair Trade campaign that will incentivise wine, fruit and other farmers to grow, produce and trade in line with criteria to ensure a fair deal for workers and citizens. Thank you.

DR H C VAN SCHALKWYK


MRS C DUDLEY

Dr H C VAN SCHALKWYK: Mr Speaker, I hereby give notice that on the next sitting day of the House I shall move on behalf of the DA:

That the House-

debates the degree to which senior managers in the Public Service have entered into performance agreements, as is required by the Public Service Commission, and to come up with measures to improve compliance in the best interests of improved service delivery.

DR P J RABIE


DR H C VAN SCHALKWYK

Dr P J RABIE: Mr Speaker, I hereby give notice that on the next sitting day of the House I shall move on behalf of the DA:

That the House-

(1) debates the contribution of small and medium-sized businesses to job creation in South Africa and the factors that impact on their success, including access to credit, labour legislation and tax rates; and

(2) comes up with measures to help these businesses thrive. I thank you.

MOTIONS WITHOUT NOTICE


NOTICES OF MOTION

IMPORTANCE OF TOURISM MONTH

(Draft Resolution)

The CHIEF WHIP OF THE MAJORITY PARTY: Hon Speaker, I move without

Notice:

That the House-

(1) notes that Tourism Month is an annual celebration held in September to focus on the importance of tourism on the economy of South Africa;

(2) further notes that World Tourism Day is commemorated on 27 September each year;

(3) also notes that this date was chosen to coincide with an important milestone in world tourism - the anniversary of the adoption of the United Nations World Tourism Organisation, UNWTO, statutes on 27 September 1970; and

(4) recognises the importance of Tourism Month and World Tourism Day to foster awareness among South Africans and the international community of the importance of tourism and its social, cultural, political and economic values.

Agreed to.

Mr J H VAN DER MERWE


CHIEF WHIP OF THE MAJORITY PARTY

CONGRATULATIONS AND BEST OF LUCK TO OSCAR PISTORIUS AND SA MEN'S 4X400M RELAY TEAM

(Draft Resolution)

Mr J H VAN DER MERWE: Speaker, I move without notice:

That the House-

(1) notes that double amputee sprinter Oscar Pistorius has helped South Africa to reach the final of the men's 4x400m relay at the track and field world championships in South Korea;

(2) further notes that Pistorius has become a hero and an inspiration to the whole world, especially to disabled people;

(3) recognises that the Blade Runner, as he is affectionately known, has become a great ambassador for South Africa on the world athletics stage;

(4) congratulates Pistorius and the South African men's 4x400m relay team on reaching the finals at the world championships; and

(5) wishes them all the best of luck in their pursuit of a medal, which would be an historic feat for Pistorius as the first disabled athlete to reach this milestone.

Agreed to.

The CHIEF WHIP OF THE MAJORITY PARTY

Mr J H VAN DER MERWE

BEST WISHES TO BAFANA BAFANA ON GAME AGAINST NIGER

(Draft Resolution)

The CHIEF WHIP OF THE MAJORITY PARTY: Speaker, I move without

notice:

That the House-

(1) notes that Bafana Bafana will battle against Niger in a 2012 Africa Cup of Nations qualifier on Sunday, 4 September 2011, at the General Seyni Kountché Stadium in Niamey, Niger;

(2) believes that Bafana Bafana will return with positive results from Niamey; and

(3) wishes Bafana Bafana success in their crucial match against

Niger.

Agreed to.

MEMBERS' STATEMENTS

MOTIONS WITHOUT NOTICE

PARLIAMENTARY SPORTS COUNCIL

(Member's Statement)

Dr Z LUYENGE (ANC): Speaker, the Parliamentary Sports and Recreation Council was launched last year to co-ordinate all sporting activities in Parliament and bring Members of Parliament and parliamentary staff together to interact informally around various sporting codes. As part of the mandate of the council to profile the image of Parliament, the parliamentary rugby team has left for New Zealand to play against other world parliaments there, preceding the international Rugby World Cup.

We wish the parliamentary rugby team and the Springboks success in their respective matches and have full confidence that ...

Afrikaans:

... die Bokke sal wen. [the Boks will win.]

English:

We call upon all South Africans to unite behind our parliamentary rugby team and, subsequently, die Bokke, in their quest to bring the gold back home. I thank you. [Applause.]

Mrs H LAMOELA


Dr Z LUYENGE

FOSTER CARE GRANT FOR VULNERABLE CHILDREN IN SA

(Member's Satement)

Mrs H LAMOELA (DA): Mr Speaker, last week, a reply to a DA parliamentary question revealed that 33 000 vulnerable children are not receiving their state foster care grants. This backlog is because just over 33 000 cases are awaiting investigation by social workers, and the national shortage of social workers is a major hindrance for the Department of Social Development.

These vulnerable children often end up being shunted from one home to another, living in child-headed households or living on the streets. It cannot be right that our children should suffer abuse and neglect because of the department's inability to train, attract and retain social workers. Much more can be done to protect these children.

The Department of Social Development must do a comprehensive analysis of why this shortage exists, and work out not only a long-term strategy that addresses the root causes of the shortage, but also arrange for an urgent intervention to protect these most vulnerable children.

For these tens of thousands of children, the only hope they have is the basic support the state is supposed to provide. Every effort needs to be made to provide them with an effective safety net.

Mr N J J KOORNHOF


Mrs H LAMOELA

SOUTH AFRICAN NATIONAL PARKS AND SUSTAINABLE ENVIRONMENTAL DEVELOPMENT

(Member's Statement)

Mr N J J van R KOORNHOF: Mr Speaker, before I start, I would like to say that I like the hon Luyenge's blazer; maybe, in the future, we can consider that for sports teams in Parliament. [Laughter.]

Speaker, Cope supports sustainable environmental development. We are however concerned that various stakeholders often take shortcuts to avoid red tape. The proposed Safari Hotel development near the Malelane gate in Kruger National Park has sparked some heated debates.

The South African National Parks, Sanparks, have allegedly not followed the National Environmental Management Act in some regards, leading to the entity being accused of leapfrogging certain legal requirements.

More alarming is the backlog of the Department Water and Environmental Affairs regarding the effective management of conservation. If this backlog is not addressed, the state will fail in its obligation to protect the cultural heritage of South Africans and in its constitutional commitment towards the environment.

Cope calls on the department to ensure that this backlog is addressed and that no shortcuts are taken regarding sustainable environmental development.

Ms M S MANGENA


Mr N J J VAN RKOORNHOF

INTEGRATED HUMAN SETTLEMENTS

(Member's Statements)

Ms D E DLAKUDE (ANC): Hon Speaker, the ANC government is delivering on the promise made by President Zuma last year to impoverished white communities that government services would be provided equally to all South Africans. The ANC has always strived to work towards building more united, nonracial, and integrated communities across our cities and towns.

Fifteen white families received a warm welcome from their black neighbours at Chief Mogale Garderns last Thursday, 25 August 2011. One of the beneficiaries is a 57-year-old lady, Mrs Beukes, a mother of six who has never owned a house before, and was on the waiting list for about 10 years. She shares the four-and-a-half-roomed RDP house with two of her six children. This initiative takes forward the ANC's commitment to the transformation of our cities and towns, as well as to build cohesive, sustainable and caring communities. Thank you. [Applause.]

Ms H N MAKHUBA


Ms D DLAKUDE

WOMAN STRIPPED BY EMPLOYER

(Member's Statements)

Ms H N MAKHUBA (IFP): Hon Speaker, two weeks ago, Precious Msibi, a female worker at an Mbombela wholesaler in Nelspruit, was made to strip naked in front of her colleagues, men and women, by her manager to prove that she was indeed a woman. This cruel and humiliating act has not only stripped Ms Msibi of her dignity and self-worth, but she is now without and income as well because the incident has left her too traumatised to return to her workplace.

This heart-wrenching and shocking story reveals that many South African women are still faced with abuse, not only at home but at their workplaces as well. This inhuman act was in clear breach of our Constitution, which affords us all the right to dignity and human rights. This incident, once again, proves that, despite the efforts we have made with regard to women's rights in South Africa, and despite the focus on women's issues each year during women's month, much more must be done to protect our women and children.

The IFP welcomes Labour Minister Mildred Oliphant's strong condemnation of this incident. However, we are disappointed to learn that, despite the fact that Ms Msibi was assured by police that an arrest was imminent, nothing has happened. The IFP appeals to the authorities to deal swiftly and ruthlessly with those who show utter disdain for our Constitution and women's rights in general. I thank you.

Mr L B GAEHLER


Ms H N MAKHUBA

CLAMPDOWN ON UNROADWORTHY PUBLIC TRANSPORT VEHICLES

(Member's Statement)

Mr L B GAEHLER (UDM): Somlomo [Speaker], the decision by the Department of Public Works to clamp down on public transport operators who use unroadworthy vehicles is encouraging. We are particularly pleased by the department's decision to consider revoking roadworthy certificates of unroadworthy vehicles.

Just during the month of August alone, the country has lost almost 100 lives in fatal road accidents involving public transport. While the UDM commends the steps taken by the department to reduce the number of road fatalities caused by unroadworthy public transport vehicles, there seems to be a lack of consistency in dealing with this challenge.

Government's response to challenges is always reactionary; it awaits a sense of loss of live to occur before it reacts. It needs effort to sort out this problem. The department should not hesitate to impound unroadworthy vehicles and impose stiff fines on their owners. Thank you, Speaker.

Ms C C SEPTEMBER


Mr L B GAEHLER

CALL ON DA TO LISTEN TO THE PLIGHT OF ABUSED FARMWORKERS

(Member's Statement)

Ms C C SEPTEMBER (ANC): Speaker, the ANC is not surprised by the DA's attack on the internationally respected Human Rights watch for its condemning report on the appalling abuses suffered by farmworkers in the Western Cape. Ten days later, a similar independent report in the Black Association for the Agricultural Sector, on 65 farms in the Western Cape, also came to the same conclusions.

By denying the outcomes of these reports and calling for more evidence, the DA demonstrates that it is not in touch with the number of farmers sentenced in courts for human rights abuses. Caroline and James Swartz were evicted and retrenched without compensation from the farm that they were working on and dumped in the informal settlement of Nova in Rawsonville where many farmworkers end up after they are told that they are too old or too ill to work. The informal settlement has no electricity or toilets and there are currently more that 70 families of old farmworkers.

The ANC has repeatedly raised the plight of the vulnerable and poor who are prone to abuse and exploitation and are restricted from enjoying their human rights as enshrined in our Constitution.

This clearly demonstrates that the DA is a party that represents the interests of the rich minority in the Western Cape. The ANC, therefore, reiterates its call upon the DA to listen to the plight of the abused farmworkers. I thank you. [Applause.]

Mr K J DIKOBO


Ms C C SEPTEMBER

DISRUPTIONS IN TWO SOWETO SCHOOLS

(Member's Statement)

Mr K J DIKOBO (AZAPO): Hon Speaker, the Sowetan of 30 August 2011, led with the headlines, "Schools under siege". It carried stories of disruptions at two schools in the Gauteng Province. [Interjections.]

The SPEAKER: Hon Ellis, order! Continue, hon member. [Laugther.]

Mr K J DIKOBO: At one school, pupils were demanding the reinstatement of the school principal and at the other school they were demanding the dismissal of the school principal. There is a growing trend in the country where communities evict principals from schools. We want to emphasise that teachers and principals are the employees of the Department of Basic Education and employed in accordance with the Employment Educators Act.

If there are allegations of misconduct against any teacher or principal, people who are aggrieved must report to the employer who shall investigate and, if need be, invoke disciplinary procedures against that person.

Azapo condemns in the strongest possible terms situations where teachers and or principals are subjected to evictions by communities, and calls upon the Department of Basic Education and provincial departments to embark on a campaign to educate communities.

We know of cases where principals were evicted and the department could not find any evidence of wrongdoing, yet those principals could not return to their stations because of threats of violence by sections of the community. Some principals have been reporting to the district or circuit offices for more than five years. Their schools and communities are being deprived of the services they could be rendering. Our schools should be centres of learning, not battle fields where people come to settle scores that have nothing to do with schools or education. Thank you. [Applause.]

Mr S MOKGALAPA


Mr K J DIKOBO

RELUCTANCE TO GRANT VISA TO DALAI LAMA

(Member's Statement)

Mr S MOKGALAPA (DA): Hon Speaker, on Wednesday 31 August 2011, His Holiness the Dalai Lama sent the application to the South African Department of Home Affairs for a visa. His application has been referred to the Department of International Relations and Co-operation for advice on diplomatic implications. This suggests that, as in 2009, relations with China will first be considered, South Africa cannot continue to make diplomatic decisions out of fear.

Our international relations policy needs to be focused on human rights. While this department has communicated that this visa application will be treated like any other, the DA calls upon the Department of International Relations and Co-operation to consider this visa without the influence of the decision, possibly upsetting relations with China.

In 2009, the Dalai Lama's visa application to attend a World Peace Conference was declined amid fears that relations with China would be jeopardised as a result of that. The DA supports the application by the Dalai Lama to attend the Archbishop Emeritus Desmond Tutu's 80th birthday in October. We cannot allow our country to be held ransom by other states. As a sovereign state, we need to make decisions based on human rights. I thank you. [Applause.]

Mr M C MANANA


Mr S MOKGALAPA

PRIVATE MEMBERS' BILL TO REDUCE SCOPE FOR PRESIDENTIAL POWER

(Member's Statement)

Mr M C MANANA (ANC): Speaker, the ANC regards the recent statement by the DA to propose legislative amendments to the Private Members' Bill for what they term "to reduce the scope for presidential power" as blatant opportunism and politicking in the extreme. Currently, the Executive Members' Ethics Act and other oversight mechanisms to oversee interests of the executive serve sufficiently ...

The CHIEF WHIP OF THE OPPOSITION: Mr Speaker, on a point of order: I thought there was a Rule that says you cannot pre-empt potential legislation before the House.

The SPEAKER: I will check the Hansard and come back with a ruling on that matter. Hon member, I believe the matter is in front of your committee, isn't it? So, some of the issues can be raised there, but continue.

Mr M C MANANA (ANC): The DA's conjecture that the potentialfor the individuals closest to the President to be favoured in state deals is considerable will not stand muster. To suggest that because the President is in a powerful position, which implies unfettered access to business deals by his family, is inaccurate at best and misleading at worst.

The raising of the business interests of the President's immediate and extended family borders on witch hunting and a denial of the President's family members as citizens of this country who are entitled to all the same rights of engagement as all other citizens - the right to participate in the economy. We welcome all efforts to strengthen oversight. However, where these measures seek to serve narrow political interests and target specific individuals under the guise of oversight, we would call for sober engagement. Thank you. [Applause.]

Mr J H VAN DER MERWE

Mr M C MANANA

DEMONSTRATORS CAUSING HAVOC IN THE COUNTRY

(Member's Statement)

Mr J H VAN DER MERWE (IFP): Mr Speaker, recently, striking workers thrashed our streets, looted businesses and pelted our police with missiles. Earlier this week, demonstrators in Johannesburg again caused an estimated R30 million of damage. The vandalism and intimidation which has become part of practically every strike and demonstration is cause for serious concern. Unions are denying responsibility, saying that their members are not responsible. Those who called for support this week are also denying responsibility.

South Africa is in the news for the wrong reasons. We appear to be showing the world that we are a country of violence and ill discipline and that our people have no respect for our police and for people in authority.

Instead, South Africa needs to build confidence. We need to show the world that we are not a country of mayhem on our streets. We need to show the world that we are a country filled with excellent promises. We need to show the world that we are a country with a golden future. Let us therefore all stand together to condemn all these wanton needless acts of violence on our streets and demand action from the government.

Mr P B MNGUNI


Mr J H VAN DER MERWE

GOVERNMENT SPENDING MILLIONS ON MINISTERIAL ACCOMMODATION

(Member's Statement)

Mr P B MNGUNI (Cope): Speaker, Cope is appalled that R183 million have been spent on 34 homes of luxury accommodation for the six new Ministries created in 2009. While the Ministers are living in full luxury at the expense of the taxpayer, the indigent are still without houses, education and infrastructure. We cannot allow this excessive unnecessary spending to continue while we boost the biggest inequality gap in the world.

An average of R5,4 million was spent on each ministerial residence. With the cost of single residences worth R5,4 million, which is approximately 3% of the total amount spent on the 34 houses, government could have provided primary schooling for over 600 children. Government's priorities are clearly misguided when it comes to public spending. Government should heed the honourable Desmond Tutu's call to "respect the poor". Cope demands answers for the reasons behind the excessive spending.

I thank you. [Applause.]

Ms A F MUTHAMBI


Mr P B MNGUNI

CNN MULTICHOICE AFRICAN JOURNALIST OF THE YEAR AWARD

(Member's Statement)

Ms A F MUTHAMBI (ANC): Speaker, the ANC congratulates the following two distinctive women who lifted our country's flag higher by scooping up the awards in the highly contested CNN MultiChoice African Journalist of the Year Awards that was held in Sandton recently, namely Melini Moses of the SABC and Lindile Mpanza of e.tv. Melini Moses won the category Radio General News Award with the title: Hillbrow - Den of Iniquity. Lindile Mpanza won the category Television General News - Feature/Current Affairs - with the title: Silence of the Innocents, the Ukuthwala story in the Eastern Cape.

The ANC also recognises that the CNN MultiChoice African Journalist of the Year Awards is the only event of its kind on the African continent that rewards outstanding journalism for the past 16 years.

These awards have encouraged journalists to tell the stories of Africa with pride, integrity, excellence and, above all, hope. These stories inspire, educate and inform. Without our own stories, Africa will not have its own voice. The ANC therefore also congratulates and encourages MultiChoice to support these awards. In so doing they are playing their part in building a better Africa. Thank you. [Applause.]

Adv H C SCHMIDT


Ms A F MUTHAMBI

DISCOVERY OF TORTURE CAMPS

(Member's Statement)

Adv H C SCHMIDT (DA): The BBC recently reported a discovery of alleged torture camps in the Marange diamond field and criticised the Kimberley Process for failing to address violence in the Merange area. In addition to the specific accusation of torture camps, the BBC reported a problem associated with the militarisation of the Marange mining area which has clearly been a concern since 2009.

The pertinent questions are: firstly, whether the Minister and the department are prepared to consider the evidence concerning the discovery of torture camps; and secondly, whether they are of the view that the Kimberley Process should ignore the allegations contained in the report of the BBC.

The systematic torture in the Marange mining fields and South Africa's support of the Kimberley Process' incapacity to act against such alleged human rights violation puts tremendous pressure on the diamond industry.

The International Bar Association also reports denounced alleged human rights violation. An independent monitoring group should be established to verify and compile reports about alleged torture camps and the militarisation of the Marange diamond fields.

Should allegations be found to be true, all trading in diamonds emanating from the Marange diamonds fields should immediately be halted until all alleged human right violations in the Marange diamond fields stopped. I thank you.

Mrs D R TSOTETSI


Adv H C SCHMIDT

BUILDING OF A LEGAL CAR WASH FACILITY

(Member's Statement)

Mrs D R TSOTETSI (ANC): Speaker, as part of the ANC commitment toward contributing to the building of small and micro enterprises, critical in the mobilisation of small businesses into co-operative organisations is the Iperekeng Dikwena. The Iperekeng Dikwena, Work for Yourselves project recently launched in Polokwne is set to benefit from a R1,2 million project allocated for building a legal car wash facility before December which is aimed at benefitting the car washers who have been operating illegally.

The facility will accommodate 34 vehicles and will be fitted with prepaid water and electricity metres as well as a recycling water system and storeroom. Local people will be hired to build the wash bays. This project will not only benefit the car washers but also the vendors. It will operate as a co-operative with a 17-member steering committee representing the local taxi association and street vendors already established to manage the co-operative.

The ANC encourages this initiative and believes that it should be emulated to other provinces, as this initiative helps to transform community-based car washers into small businesses and co-operatives that can help with the local economic development and the empowerment of youth and women. Thank you.

The SPEAKER


MS D R Mrs TSOTETSI

RAISING OF ISSUES CURRENTLY SERVING BEFORE COMMITTEES

(Ruling)

The SPEAKER: (Ruling) Hon members, the matter raised by the hon member, Mr Manana, in his member's statement just now is currently serving before the committee on private members legislative proposal and special petitions. Members of all parties therefore have the right and opportunity to address their concerns about particular legislative proposal in that forum. Though it will be desirable for members to participate there if they wish to influence the outcome of the process, there is nothing in the rules preventing members from raising issues before committees of this House during members' statements.

MINISTERIAL RESPONSES


MEMBERS' STATEMENTS

DISRUPTIONS IN TWO SOWETO SCHOOLS

(Minister's Response)

The DEPUTY MINISTER OF BASIC EDUCATION: Speaker, the Department of Basic Education recognises the importance of principals in terms of them being professional leaders and managers of the institutions. More often than not, where a school performs, achieves and functions well, it is attributed to the ability of the principal to manage that particular institution.

To this end, the Department of Basic Education has ensured that more than 1 300 principals and deputy principals are being trained in the current financial year. The curriculum content in relation to the training programme includes the ability of the principal to interact with communities, to communicate efficiently, to implement the curriculum, to ensure that there is proper financial and fiscal management and to develop democratisation processes within the institution.

The department fully supports the view that we would not encourage, under any circumstances, arbitrary evictions of principals or deputy principals but also says, in very general terms, that it is important for principals to ensure that they interact effectively and efficiently with communities and that they liaise very closely with the governing bodies of institutions.

The MECs for education have in the past responded very efficiently, as has Barbara Creecy in Gauteng in relation to the problems that she has encountered in the particular school. So we support fully the view that no community should take the law into its own hands and that they should support or initiate due process in this regard. Thank you.

The MINISTER OF SOCIAL DEVELOPMENT


The DEPUTY MINISTER OF BASIC EDUCATION

FOSTER CARE GRANT FOR VULNERABLE CHILDREN IN SA

(Minister's Response)

The MINISTER OF SOCIAL DEVELOPMENT: Speaker, on the issue of the foster care grant, I wish to raise in this House: firstly, that we need to thank the government of the ANC for availing support to children across racial lines.

Secondly, I wish to raise that, up to now, 500 000 children are receiving the foster care grant and that there is a backlog because the Children's Act that was passed last year in April stipulates that the Department of Constitutional Development has to be involved in the process of review, more especially because we want to protect children from violence and other social ills such as trafficking.

We all know that in 2006, social work was declared as a scarce skill and we have embarked on the process of retaining and recruiting social workers. Up to now, we have offered 5 000 bursaries to students from various communities and 3 000 are already working in social development in different civil society organisations. We are also bringing back retired social workers and the matter will be finalised at the end of September.

Thirdly, we are recruiting social auxiliary workers and childcare workers because we need a number of people to deal with this issue. Thank you.

The MINISTER OF LABOUR


The MINISTER OF SOCIAL DEVELOPMENT

WOMAN STRIPPED BY EMPLOYER

CALL ON DA TO LISTEN TO THE PLIGHT OF ABUSED FARMWORKERS

DEMONSTRATORS CAUSING HAVOC IN THE COUNTRY

(Minister's Response)

The MINISTER OF LABOUR: Speaker, on the issue of Mrs Msibi, who was stripped in front of her co-workers, I want to say that it is being followed up by the Department of Labour. We are working with the Department of Police, because the matter was also reportedto the police. We are going to follow that one up until the end. We will report to the member in terms of what is happening.

On the second issue of the Human Rights Watch report, we have discussed the matter with the departments of Agriculture, Rural Development, Labour and Police. We have agreed that we are going to have a round table meeting of which the members of the portfolio committees in those related departments should also be part.

We will also invite the three federations of organised labour and also organised business, through AgriSA, to be part and parcel of that meeting so that we can address the issue of the rights of farmworkers. We also want to address the issue of the obligations of the employers because it seems as if the employers don't understand what their obligations are.

On the issue of violent strikes that was raised by hon Van der Merwe, it is unfortunate that the member was not here last week. This matter has been discussed in this House and it was responded to. There are also discussions between myself and the leadership of the organised labour. The Minister of Police has even indicated on how they will deal with the issue of violent strikes. I hope the member, in future, will just ask for the report on what was happening during his absence in Parliament. Thank you.

The DEPUTY MINISTER OF HUMAN SETTLEMENTS

The MINISTER OF LABOUR

INTEGRATED HUMAN SETTLEMENTS

(Minister's Response)

The DEPUTY MINISTER OF HUMAN SETTLEMENTS: Speaker, allow me to thank the hon member, Doris Dlakude, for raising the statement on the delivery of 15 houses to the white families in Mogale Gardens.

It demonstrates beyond any doubt that the ANC policies of integrated human settlement on a nonracial basis is beginning to bear fruit, particularly, the kind of reception that these families received in that community.

It is very clear that, at the moment, we are building this transformative society. We are building cohesive communities, particularly the delivery of a house to Mrs Beukes in the month of August which is Women's Month. It was indeed positive. Thank you.

The DEPUTY MINISTER OF MINERAL RESOURCES

The DEPUTY MINISTER OF HUMAN SETTLEMENTS

DISCOVERY OF TORTURE CAMPS

(Minister's Response)

The DEPUTY MINISTER OF MINERAL RESOURCES: Speaker, I am responding to the issue raised by hon Schmidt about the Marange diamonds to assure hon Schmidt that South Africa subscribes fully to the Kimberly Process Certificate, KPC, and that the issue of Marange has been discussed on many forums. As a member of the Portfolio Committee on Mineral Resources they have a right to get accurate information about that process rather than relying on the BBC and others only.

There is a process that if there are any issues that have been raised, there is a chairperson of the Kimberley Process who has the power to investigate issues that are raised about Kimberley Process members or where there are allegations of blood diamonds.

Here we must differentiate between members who are trying to resolve the issues of the Kimberley Process and the lobbies who are hell-bent on - I am sorry for using that language; I withdraw that one - who are determined to punish Zimbabwe forever, regardless of the progress that is made in that country.

If we make that distinction we should be able to address this matter in a more sober way. Thank you. [Applause.]

FIRST ORDER


MINISTERIAL RESPONSES

REDISTRIBUTION OF POWER, NOT JUST WEALTH: OWNERSHIP OF THE INTERNATIONAL AGENDAS

(Debate)

Ms S C VAN DER MERWE: Speaker, it is clear to us all, on this first day of Spring in 2011, that the international arrangement of power and wealth is shifting dramatically. The world in 2011 is moving inextricably, from the economic dominance of the Western countries in the 20th Century, to a new economic reality with the big emerging countries - China, India and Brazil - at the centre of this shift.

With this shift in economic power, is there a concomitant shift in the power of different ideas, of a different value system, a different set of international principles? Is there equally a shift towards the world that is more people centred and more principled? If so, what role is South Africa playing in this shift? What is our role here in changing ideas across the globe, in creating the world that we aspire to in our Constitution?

South Africa's foreign policy since the ANC-led government was elected to power in 1994 has been guided by a set of principles that form the backbone of the ANC policy; formed and refined over a hundred years of struggle for a better world for all of us to live in. From the formation of our organisation in 1912, to the remarkable Africans Claims document - that powerful and foresighted statement of human rights - adopted at the 1943 ANC Conference, then to the Freedom Charter, and ultimately to our South African Constitution - South Africans, as represented by the ANC, have sought to express a particular world view.

It is a world view that seeks to advance human dignity, equality and opportunity for all. As an internationalist organisation, we seek this for our own people, and we seek nothing less for the peoples of the world. It is these principles and values, enshrined now in our Constitution, and agreed upon as a nation, that we need to apply and promote at home and also abroad as an international citizen.

Our government describes the principles that underpin our international relations as a commitment to the promotion of human rights; the promotion of democracy; justice and international law in the conduct of relations between nations; in a commitment to international peace; to internationally agreed upon mechanisms for the resolution of conflicts; to the promotion of the African agenda in world affairs; and an economic development through regional and international co-operation in an inter-dependent world.

We have, as a country, indicated our readiness to play a role in world affairs since 1994: most recently, through securing a seat on the United Nations Security Council; through membership of various international and regional multilateral bodies and forums; and including of course the African Union, AU, the Brazil-Russia-India-China-South Africa economic agreement, Bricks, and SADC.

We have also taken on leadership roles in organs of these bodies, such as our chairing of the Peace and Security Council of the AU, and chairing SADC and many more. All these roles serve to signal our willingness to play on the world stage. We are thus positioned to participate in an international discourse on all the big issues that confront the world, and in so doing promote our principles and values.

We take a stand on conflict across the globe, and on the difficult international issues. So, we should, if we wish to be a player and if we seek to make the world the better place that we aspire to. We must continue to articulate our county's positions on all the world's intransigent problems, on all the difficult conflict, and in all those forgotten areas where democracy and human rights are undermined, such as in the Western Sahara.

We have particular world view, with human dignity at the centre. We should understand our principles as our own, and we must apply them equally in all our international engagements. In a recent article in the Business Day, a commentator identifies two groupings in this country. One group that think everything that the Western countries do is right by definition and is good by definition. The other group believes that everything that the Western countries do is by definition wrong. The truth is as usual somewhere in between!

We should be proud of our beliefs as South Africans, that we have taken decisions as country that are independent and often unpopular with those whose interests are not served by our decisions. Equally, we should not allow ourselves to be influenced to go against our own principles in order to be popular.

Is there a shift in the world towards a new way of doing things? Will the new emerging world order reflect more closely our own set of values and principles? Will the world be a better place in the 21st Century? The Africans Claims document, to which I referred earlier, was developed in response to the Atlantic Charter. That Charter was developed in 1941, in the midst of a world war, and in the context of Nazi tyranny, and it called for an end to that tyranny. The Africans Claims' response to this charter was to support the campaign against Nazi tyranny, but also called for all form of tyranny, including racial tyranny across the world to be destroyed.

Through this Africans Claims document and the Bill of Rights that was developed alongside of it, our ANC leadership said that only then:

... shall there be established peace which will afford all peoples and races the means of dwelling in safety, within their own boundaries, and which will afford the assurances that all men in all lands shall live out their lives in freedom from fear, want and oppression.

Of course, this was 1943, and they did not mean all men; they meant all people. These were the foresighted of thoughts and desires of our leaders in 1943. So, how far has the world moved towards their vision almost 70 years later/ At least I believe we can say these matters are now on the agenda of the world bodies at every level.

In this changed world in which we find ourselves, is there now a new opportunity to promote and influence the way the world thinks and acts in the protection of human dignity? How will the shift in economic power provide us with the opportunity to shift the world's way of thinking about our common humanity. Do we need new ideas? Most certainly, I believe we do, but we also need our old values and principles at home and abroad.

We, as parliamentarians and international activists, have a role to play in this shift. For example, we are present at all the world's major forums. Our road to democracy and our recent history is admired by all, and we have a Constitution that is universally acclaimed. Are we using these advantages to make our voice heard and place our principles and values on the world agenda? Maybe, but I think not loudly enough. Thank you, very much.

Mr S MOKGALAPA


Ms S C VAN DER MERWE

Mr S MOKGALAPA: Hon Speaker, according to article 1 of the founding provisions of the Inter-Parliamentary Union, IPU, the following principles are fostered: contacts, co-ordination and exchange of experience among parliaments and parliamentarians of all countries; it considers questions of international interest and expresses its views on such issues with the aim of bringing about action by parliaments and members thereon.

It also contributes to the defence and promotion of human rights, which are universal in scope and respect for which is an essential factor of parliamentary democracy and development. It contributes to better knowledge of the working of representatives of institutions to strengthening and development of their means of actions.

These are fundamental principles espoused by the IPU to further champion the improvement of a working relationship, with the UN by ensuring that there is enhanced parliamentary contribution and support of the UN and its programmes. They also foster co-operation between UN and national parliaments through its various activities like peace, security, democracy, economic and social development, as well as sustainable development, to mention but a few.

The UN is at the core of the international multilateral fora and every effort must be made to strengthen it in order to fulfil its role and implement its mandate effectively. Hence there should be a collective approach to addressing global challenges in multilateral forums and work in collaboration with the IPU. Greater synergy is needed between the work of the IPU and the UN. Linked to that is the important role of accountability, oversight and transparency by both organisations in its programmes and activities to ensure good world corporate governance.

The UN systems are of major importance for the maintenance of international relations, including that of peace and security. This multilateral forum is a platform for the advancement of objectives of addressing poverty and underdevelopment of the developing world. The commitments made by developed world need to be translated into tangible actions.

The UN, through the use of systems of global governance should recognise the need for and the importance of addressing the pressing social and economic needs of the international community, particularly those in Africa and other parts of the developing world. Stronger leadership and more equitable distribution of power are necessary to shape and develop the norms and standards of international development.

The developing world should utilise the existing negotiating groupings of the UN and alliances to pursue the objectives of the developing world. This should be done mindful of a need to continue engaging within the global systems of government institutions on political, economic and social matters, including the fundamental issue of reform of multilateral institutions.

This is necessary in order to be more responsive to the development needs of the developing countries. A redistribution of power to the developing countries will lead to attainment of an equitable global order. The UN machinery needs to be strengthened to adequately respond to the challenges of the developing world and Africa.

The World Bank was created to lend money to countries that need aid. This aid is linked to conditions of political reform which includes democratisation, rule of law, good governance and recently lowered carbon emissions. These are noble principles, but many challenges to this conditionality have highlighted the need for reform.

One such challenge is whether these principles are sustainable in transplanting democracy to developing counties or lack sustainability and ownership of political reform and economic development by developing countries. They tend to be viewed as controlling mechanisms by the developing counties as opposed to encouragement, suggesting that aid is subject to manipulation by these institutions at the expense of countries that need aid. The issues of concern are manipulation of conditions, lack of ownership or reform by developing nations, and developing countries becoming dependent on aid, membership issues and no direct relationship between aid and flows of political reform.

The UN Security Council is responsible for maintenance of peace and security in the international community. Five permanent members make decisions for the 192 UN member states and can veto decisions. The issues of reform are based on the lack of geographical representation and legitimacy. Some suggested reforms include: that more permanent seats should be created; regional representation enlargement of UNSC from 15 to 24 members; creation of six new permanent seats; and the AU suggest two permanent seats for Africa with the powers to veto.

The hard power issues prevent reform of the United nations Security Council, UNSC, issues like economic muscle of permanent members, disagreement from different regions, disagreement about reform in the world, the AU disagreement itself, and the AU lobbying individually are some of the concerns. As long as these issues of reform are not addressed then global power and ownership of international agenda will be a pipe dream, and South Africa should be at the forefront of lobbying for these reforms.

Distribution of powers means levelling the playing field and the use of soft power to enhance global co-operation and development. The reform of Bretton Woods institutions is about making sure that this institution does not abuse soft power and turn it into de facto hard power by using aid as a means to suppress the interest of developing countries though imposing strenuous conditions for access to aid and loans. This further attempts to transplant democracy in developing countries, thereby creating a culture of dependency. The issues of reform to be addressed are as follows: The challenges of legitimacy, accountability and credibility; effectiveness and equity of its policies; failure to regulate currency flows; lack of representivity; and the consideration of candidates from developing countries for top positions - this is about the appointment of CEOs on merit and not on geographical or historical status - ability of Western Powers to veto important policy decisions on the need to increase voice and representation for developing countries.

These institutions were established to ensure that developing countries could gain access to global resources. The unintended consequences were that they created too much power for developed countries at the expense of developing countries.

In conclusion, the redistribution of power and ownership of international agenda needs South Africa to assume a leadership role in the forums such as the AU, the UN, the G20, as well as the UNSC to advocate and lobby for such reforms. Every multilateral forum should be encouraged to recognise that for real world reform, power needs to be redistributed equally in the world.

We should also use candidature diplomacy to recommend and support candidates from Africa and the developing world to fill these strategic positions in the World Bank, IMF and some UN Agencies.

We should use the G20 as a forum for developing countries to hold the developed countries accountable to act on their commitments and push for review of the UN Development Assistance Framework to respond to the development needs of Africa. The UN Security Council reform is essential in order to transfer power and strengthen these bodies.

We should use the upcoming Cop 17 UN Conference on Climate Change to lobby for consensus and reform of global systems of governance. Power must be distributed evenly and the playing field should be levelled and the rules of the game should be consistent, clear and coherent.

As we participate in the global governance system we need to push for more equitable power and aid to developing countries and ensure strong voice and representation to empower Africa. In the quest for a global world order that has equal responsibility and accountability the developed world should implement and take action on their promises.

South Africa along with other developing countries should ensure that they get their House in order by driving political and economic reforms in their countries, which would ensure more equitable power distribution in the global world order and ownership of international agendas. Thank you.

Mr L S NGONYAMA


Mr S MOKGALAPA

Mr L S NGONYAMA: Speaker, in the Second Coming, the Irish Poet William Butler Yeats wrote:

... the centre cannot hold; mere anarchy is loosed upon the world; the blood-dimmed tide is loosed; everywhere

the ceremony of innocence is drowned; the best lack all conviction, while the worst are full of passionate intensity.

In the world today, the centre is no longer holding. Anarchy is therefore beginning to manifest itself as we saw in the streets of London recently and in the mindless massacre in Norway. A spectre of such anarchy has also been witnessed in our country.

In recent months, South Africa joined the Brazil, Russia, India and China, Bric, countries. Brics represent more than 40% of the world's population. Its combined gross domestic product, GDP, accounted for only 18% of the global total last year.

Obviously Brics is keen to alter this status quo. It is clear that the redistribution of both power and wealth in the global context will have to occur. This requires that the formulation of an international agenda is henceforth democratised and decentralised.

At present, the developed world has had near monopoly on creating the agendas for the world. Notwithstanding this, they failed to conclude the Doha Round of talks which was so important to world trade. Developed countries have been unwilling to respond to the challenges posed by increasing global integration. They have demanded market access, but continued to subsidise and protect their own agriculture. This distortion has had a negative impact on Africa. The growth of the Chinese and Indian economies will of necessity begin to upset the apple cart. The proliferation of literature on the subject testifies to this.

Since World War II, the economic agenda has been set primarily by one country, that is the USA. The recent failure of its financial institutions and the toxic bonds that they sold to banks of other nations resulted in the economic meltdown we are now witnessing.

Meanwhile globalisation and accelerating climate changes have been exerting pressures on commodity prices. Therefore, food prices have continued to rise. The economic security of middle class workers was put into jeopardy. The situation of the poor has worsened as a result of the loss of manufacturing capacity and agricultural output. We in South Africa and other countries in Africa have experienced this.

A total overhaul of the economic multilateral institutions has to occur. The developing nations in partnership with Brics can ensure that a new centre of gravity arises with an important role for them within the new formation. The Bretton Woods accord will have to be urgently revised to fully involve new role-players and create a new agenda which the world can possess as the product of a new consensus. For the first time, we are seeing entire nations, and developed nations at that, standing on the brink of bankruptcy.

Economic power equates to political power. Africa has the potential to become economically and politically powerful. It has to support democratisation and achieve cohesion to become a force for good. As the continent has not been able to do this effectively, it has not been able to impact on the very international agendas that directly affect it. The situation that is playing out in Libya indicates continental impotence which has allowed the North Atlantic Treaty Organisation, Nato, to call the shots.

The situation in North Africa and the Middle East is explosive. The tolerance of people for dictatorship is ending. Young people using social media are beginning to demand a right to decision making. Beginning with the Arab Spring, young people have started to put their bodies on the line to alter the manner in which political power is generated and exercised. The international agenda for poverty, famine, unemployment has to be formulated democratically among the nations of the world.

Not since World War II have so many people begun to worry so much about the future. Not since then have so many people become so agitated with the failure of political leadership. Revolt and rebellion are becoming frequent occurrences. The social contract whereby people ceded some of their sovereign power to their respective governments in exchange for stability, security and prosperity has not been honoured by governments. The monopolisation of power and wealth is what is causing the fury against politicians that is now manifesting itself.

In conclusion, the guarantee of civil liberty arises from eternal vigilance, the enforcement of accountability and transparency. An activist population with a culture of heightened citizen democracy will now have to prevail for nation states to remain in tact. [Time Expired.] I thank you. [Applause.]

Mr J H VAN DER MERWE


Mr L S NGONYAMA

Mr J H VAN DER MERWE: Chairperson, as this is a debate on the IPU topic, please allow me at the outset to briefly refer to the establishment of the International Parliamentary Union, the IFP – not IFP but IPU, [Laughter.]

It was established in 1881. Currently, it has a membership of 157 parliaments all over the world and nine associate members. The IPU normally meets every year to discuss matters of international importance. It takes resolutions and member parliaments are then expected to forward them to their respective countries for implementation.

The wording of the IFP theme that we are debating today, puts its finger exactly on the main problem facing the IPU; namely, it speaks about ownership of the international agendas. Behind these very words is hidden the real problem facing the IPU; namely, that the resolutions it passes every year do not effectively find their way into the agendas of its various member parliaments. I think this is where we all fail. Therefore, we should seriously rethink what we, as the South African Parliament, could do to effectively pay attention to, and implement IPU resolutions.

The second topic of this debate is the redistribution of power, not just wealth. This is important to the current situation in South Africa because the divide between the rich and the poor is expanding exponentially. At its current rate of expansion, South Africa could eventually be divided only into two main camps, namely the very rich, and the very poor. The middle class will struggle to survive because of poor governance and excessive taxation.

As far at the IPU status is concerned, we do not think that we are taking the resolutions effectively. If we do that, we will allow that the IPU will become only an international talk shop with no teeth. It may eventually only serve as a very nice holiday for Members of Parliament.

In conclusion, the rich-poor situation worldwide is a serious problem. It will require a commitment from all role-players, and specifically our government, to embark upon and embrace a wealth and power redistribution policy in favour of all South Africans and not just those who know how to organise lucrative tenders and government contracts. Thank you. [Applause.]

Mr E M MTHETHWA

Mr J H VAN DER MERWE

Mr E M MTHETHWA: Hon Chairperson, executives present, comrades and guests, in explicating our general principle established by the 1955 congress of the people that two of our pillars of the new South Africa must be peace and friendship, the Morogoro Consultative Conference of 1969 pronounced that:

Democratic South Africa shall take its place as a member of the OAU – the current AU - and work to strengthen Pan-African unity in all fields. Our country will actively support national liberation movements of the people of the world against imperialism, colonialism and neocolonialism. Diplomatic relations will be established with all countries regardless of their social and political systems on the principles of mutual respect for each other's independence, sovereignty and territorial integrity.

South Africa's strategic orientation regarding foreign relations is driven by the collective vision of all South Africans to live in a peaceful and friendly world. The ANC regards peaceful coexistence as a sine quo non to all human development. Its view is, and always has been, that peace and development are mutually reinforcing.

After being an international pariah for decades due to its relentless persecution of the doctrine of separate development, South Africa was welcomed into the sisterhood of nations in 1994. South Africa has been able to put behind it its divisive past and is united in building a new nonracial, nonsexist, and prosperous society. We are one of the few countries with a Constitution that is not only the supreme law of the country, but also entrenches the Bill of Rights. Our democracy is truly based on the will of the people and takes both the participatory and the representative form.

The founding provisions of our Constitution are stated in its first section as:

The Republic of South Africa is one, sovereign, democratic state founded on the following values: human dignity, the achievement of equality and the advancement of human rights and freedom; nonracialism and nonsexism; supremacy of the Constitution and the Rule of Law; universal adult suffrage and a national voters roll; regular elections and a multiparty system of democratic government to ensure accountability, responsiveness and openness.

Our forbears mentioned as grounds for validating our chosen path part of the family of nations. We have chosen a path of peaceful coexistence that is underpinned by constitutionalism and without derogating from the rights of people to follow a path of own choice, for experience persuaded to commend the same for other nations with analogous objectives and also subjective conditions. The ANC has, from its launch in 1912, been oriented towards progressive internationalism. It has been its view that injustice and violation of human rights is a phenomenon of universal proportion. Progressive international forces should unite to fight against such undesirables.

In this regard, the ANC has mobilised the international community to isolate the apartheid government, and in the same vein it persuaded the United Nations to declare apartheid as a crime against humanity. It boasts two of its former presidents, Chief Albert Mvumbi Luthuli and Dr Nelson Rolihlahla Mandela, being recognised for their peace-building conduct through the prestigious Nobel Peace Prize.

The tradition of peaceful engagement had seen South Africans negotiate peacefully and agreeing to a Truth and Reconciliation Commission to deal with the past atrocities. Through full disclosure and evidence of political motive, perpetrators of gross human rights violations were granted amnesty. It should be noted that we used our Ubuntu values to eschew retribution for restorative justice.

In principle, we support the efforts of oppressed people to liberate themselves. However, we oppose to all acts of terrorism. Terrorism in our view targets innocent civilians and is not focused on achieving justice. We, however, are averse to aggressive methods to deal with perceptions of terrorism; we believe that sovereign states should be engaged constructively without a resemblance of interference and that citizens of countries should be empowered to solve their own problems. Where military intervention is inevitable for a fair, reasonable, and just, we are convinced that there should be a comprehensive postconflict reconstruction and development.

The tendency to leave this to a plethora of development agencies working in silos should be replaced by a co-ordinated intervention designed to strengthen the transition to full and permanent peace by creating conducive political and economic conditions. The threat of reversal in many cases also comes from failure to transform economies, failure to expand economic opportunities to combatants, failure to undertake coherent capacity-building programmes and failure to help build postconflict states that are capable of delivering essential services to their citizens.

Coming to my conclusion, our commitment to peaceful coexistence among nations has demonstrated itself in our activities within the Southern African Development Community, SADC, and the African Union, AU. We will continue to engage in efforts to consolidate the SADC as a regional economic community as a first step towards the development of the South African Union Government. We take a developmental approach in our engagements in the SADC forum to ensure diversification of the economies of member states.

It is our considered view that most multilateral institutions do not serve the interests of the poor. The UN is often obstructed and limited in its capacity to resolve international conflicts because of the lack of political will on the part of its members, particularly the permanent members of the Security Council. The Bretton Woods institutions perpetuate dominance of the world economy by the rich countries. The UN Security Council's composition and veto system benefit the interests of the permanent member states.

We stand convinced that the foregoing status quo ante requires that the mandate of, inter alia, the World Bank, and International Monetary Fund, IMF, should be redefined to focus on fighting poverty and assist in building the economies of developing countries. The World Bank, IMF and World Trade Organisations, WTO, should be more accountable, transparent and responsible.

It is our view that global inequality, evinced by the unequal distribution of power in the UN Security Council and international economic organisations, is a problem for our foreign policy. It breeds global poverty, conflict and terrorism. We believe that multilateralism allows for a democratic expression of the collective will of the community of nations, regardless of the size of their economies, armies and territory.

South Africa does not see values and interests as mutually exclusive, but mutually reinforcing. Consequently, in pursuing foreign policy, South Africa does not sacrifice its values. It seeks substantive realisation of a better life for South Africa, as well as a better life for Africans and citizens of the world. We choose our allies and friends based on the foregoing principle. South Africa's world view is oriented by the struggle against inequality, injustice, oppression and crimes against humanity. As such, we envisage a new world order based on the principles of equality, justice, freedom, peace, democracy and human rights. Thank you.

Mrs C DUDDLY


Mr E M MTHETHWA

Mrs C DUDLEY: Chairperson, can there be power without wealth? Sure, there can, but not the kind people want to hear about - you know the Gandhi and Jesus kind. International agendas clearly revolve around another the kind of power, the kind that money buys. Archbishop Tutu's call, earlier this month, for a wealth tax unleashed a huge debate when it was reported that his suggestion was aimed at white people. It turns out he was not aiming his comments at whites at all. He was highlighting a problem of inequality that is threatening the existing order in even the richest countries in the world.

Addressing an audiences at the University of Stellenbosch, Tutu said one of the major recommendations that the Truth and Reconciliation Commission, TRC, made was to say that the gap between the rich and the poor is wide, it is dangerously wide and we recommend that something ought to be done quickly to narrow this gap. Those on the top half of people, in terms of wealth and particularly the top 0,1%, can often borrow for almost nothing, keep profits and production oversees, hold personal assets in tax havens, write out down market and economies and even influence legislation. In other words, they have power. Those in the bottom half of the top 1% are not quite in the same category as the bottom 99% but have diminished power all the same as more doors are shut to them.

In Germany very rich people who take advantage of every possible tax break pay just over 30% tax and more and more people are questioning this; saying countries can no longer afford to make due without money from their wealthiest citizens. The German system had been described as redistribution of wealth from poor to rich. A system where only a few gets the profit, but the many do not. If the rich under co-operations pay fewer and fewer taxes and keep their money for themselves, while poor pay no taxes because they have no money. Public debts result. This system has come to the end of the road and people in governments face tough decisions and tough questions: do we raise taxes or cut spending?

The recent riots in London tell an all too familiar story of increasing social instability, a politics of inequality has gotten us into this crisis, globally. With every decision government makes it should be asking does this give power to people or take it away? While it is not always possible to give power back to individuals, we can do the next best thing - redistribute power both decision making and finances to neighbourhoods and local governments. History shows us that all politicians, when they have been in office for long enough, become centralisors. Time for radical decentralisation and redistribution of power is due on a global scale. Thank you

MINISTER OF ECONOMIC DEVELOPMENT


Ms C DUDLEY

The MINISTER OF ECONOMIC DEVELOPMENT: Chairperson, in 2004 the United Nations Conference on Trade and Development published a report that stated:

A quiet transformation is reshaping the global, economic and trade landscape. The centuries-old economic trade geography, where the South served as hinterlands of resources and captive markets for finished goods of the North, is changing. The shares of the South in global trade and financial flows have grown dramatically during the last two decades. The old geography of international trade has been defined much by colonialism. The industrial revolution helped the colonial powers to attain decisive technological superiority in both civil and military spheres, and enabled them to occupy the central position in international economic relations, vis-à-vis developing countries - an asymmetric pattern that continued into the postcolonial era.

Hon members, this august House has joined parliamentarians of different countries – members of the Inter-Parliamentary Union, IPU – to debate the topic: Redistribution of Power, not just wealth: ownership of the international agendas. Put more concretely in the language of our challenges in South Africa, does the current international agenda and the distribution of power help a subsistence farmer in Lusikisiki to improve her livelihood; does it offer hope to a young, unemployed person in Atlantis that he can find a job; does it inspire a worker in a factory in Isithebe with the knowledge that decent work is not a distant reality, but something that can be achieved here and now?

To answer that question, we have to go back to the formation of the current economic institutions and power relations. The basic economic infrastructure that nations rely on in this globalised economy was shaped by past crises. The foundations of the International Monetary Fund, the World Bank and of the forerunner to the World Trade Organisation, WTO, were laid in the aftermath of the Great Depression, as the world emerged from the Second World War.

The victorious powers – principally, the United States and the UK – set up the Bretton Woods institutions, but they set them up on a governance model based on shareholding dominance by northern, developed nations. The agendas, the decision-making and the senior staff of these institutions reflected, in many cases, the prevailing ideas and interests of their main shareholders. They developed what became known as the Washington Consensus – a set of ideas on how countries should run their economies and of the essential ingredients of public policy.

Today, almost 70 years after some of these institutions were created, what is the state of the world? How healthy in the social balance sheet? How well have they served the common good across nations?

On the one hand, we live in an age where technological progress and wealth creation is at the most advanced in human history. The internet, the sophisticated systems of transport that move goods across the world, the advanced manufacturing capacity that produces ever more goods, and the innovation systems that provide for an expansion of products and consumer choice, have all dramatically changed the world for many people.

On the other hand, more than a billion people live in conditions of extreme poverty. Based on the rate at which progress is currently being made, it has been estimated that it will take another 88 years to achieve a world without extreme poverty.

Globally, more than 200 million people are without jobs, and about 215 million young children who should be at school, are forced to work in order to earn an income for their families. Income and wealth disparities are high and rising, both within nations and between nations. The social balance sheet is clearly not in a good state.

We have been faced with at least five large gaps in the economic governance and policy architecture: one, institutions whose governing structures are unrepresentative, as we have seen in the voting structure of the IMF and World Bank; two, developmental needs that have been marginalised, as seen in the positions adopted by industrialised economies in the Doha Round of WTO trade talks; three, policies that have not sufficiently prioritised jobs and decent work, as we see from the non-observance of the International Labour Organisation's, ILO, standards and conventions, and the high levels of unemployment across the world; four, economic activities that damage the environment and is resulting in profound climate change as we have seen in the evidence presented in the UN climate change talks; and five, economic policies that have not been connected at global level with social policies and goals, as we have seen in the lack of policy coherence across the international system, and in the social deficits that remained high in periods of fast economic growth.

We now face dual and connected challenges. To ensure we address the vast inequalities faced by so many nations, we can call these the challenges of the past, while we, at the same time, address the new challenge of weak economic performance, of global imbalance that led to the global economic crisis and the growing problem of climate change.

There is the recognition by parliamentarians in many governments across the world that more can and needs to be done through the international policy agenda. Following decades of high global economic growth, policy-makers are asking whether the purpose of economic activity is simply to expand the volume of goods and services. Is all of it reducible, simply, only and principally to your rate of growth? Is it mainly to provide opportunities for entrepreneurs to make profit?

Some of these may be characteristics or consequences, but they are by no means the defining public purpose of economic activity, which is and must be to help human beings live fulfilling lives through the production of food, shelter, culture and ideas. The goal of public policy is to place the values of human development, solidarity and social justice at the centre of our common economic efforts. Producing more bread is important if more people who need bread can obtain it, and not if those with mountains of bread simply get more.

As we co-operate in societies, within nations and between nations, there are opportunities to create decent work, so that those who bake the bread can also eat. The economic, social and environmental priorities that have dominated global policy-making for so many years will have to change if we are to realise this.

Developing countries have played an increasing importance in setting the agenda and staking our claim to policies and ownerships of key institutions. More efforts have been made to build or to strengthen inclusive institutions, through the UN system.

In 2000, heads of state and governments from a 189 countries came together to develop and adopt 8 goals, the Millennium Development Goals, which cover areas such as health, education, reducing poverty, and promoting gender equity. It was an important initiative to set common goals, a common agenda and to define a common responsibility, in order to help to achieve those goals.

In 2008, months before the dramatic market meltdown on Wall Street, governments, business representatives and union leaders across the world discussed and adopted the Declaration on Social Justice for a Fair Globalisation. It was a vision of economic co-operation between nations, founded on the goal of full employment. All those who want to work should be able to work. It was also founded on social cohesion and economic inclusion. Developing countries played a critical role in drafting this global vision of development.

The following year the ILO produced a Global Jobs Pact that set out elements of a new growth path for the global economy. It recognised the limitations of the old growth model and, instead, placed investment in infrastructure, employment and social protection, together with sustainable environmental practices, at the centre of economic recovery, and as the policies on which millions of new decent work opportunities can be created. It recognised that development – in other words, meeting the needs of ordinary people, of fixing the environmental damage caused by decades of reckless practise – is a source of growth, of green jobs and of incomes.

For South Africa, as we chart a New Growth Path, we place employment and decent work at the centre of our efforts. We recognise that growth needs to be inclusive and balanced, and that the needs of women, young people and the rural poor need to be prioritised.

Increasingly, the international agenda has to reflect these priorities of jobs, gender empowerment, youth development and rural advancement. These are not only our priorities but are shared by billions of people across the world.

Our New Growth Path is based on expanding opportunities for economic development on the African continent, to recognising the value of increasing South-South partnerships, and of economic ties and co-operation through institutions such as Brazil, Russia, India, China and South Africa, Brics.

Through the G20, the UN climate change negotiations, the international labour organisations, the United Nations Educational, Scientific and Cultural Organisation, to the World Health Organisation, and our work in the UN, government seeks to advance the view of a new development contract between nations. We seek to change the agenda as well as the governance structures. We seek to promote a better connection between the economic institutions and social objectives. In a word, we seek to harness economic dynamism for social justice outcomes. Thank you. [Applause.]

Debate concluded.

The HOUSE CHAIRPERSON: May I ask that hon members take their seats upon entering the Chamber and not conduct long discussions in the passages.

Mr M ELLIS: Hear, hear!

SUBJECT FOR DISCUSSION


The MINISTER OF ECONOMIC DEVELOPMENT

THE SLOW EXPENDITURE OF CAPITAL BUDGETS OF THE COUNTRY'S MUNICIPALITIES

(Subject for Discussion)

Prof C T MSIMANG: Chair and hon members, in the state of the nation address held in February this year, his Excellency, the President outlined certain key growth factors which he advised would be both vociferously and aggressively persuaded by government in 2011.

The year 2011 was heralded to great applause, I might add, by the ANC as the year of job creation. Economic growth was fundamental to this and a key factor thereof was that of infrastructure development.

In the local government elections campaign held in May, his Excellency, the President, once again promised that no stone would be left unturned in respect of job creation and service delivery to all areas and people of South Africa.

The harsh reality is that by 31 March this year figures released by Treasury indicated a spend of only 45% by South African municipalities over the preceding nine month period. Treasury itself conceded as much when it released a statement saying, and I quote, "Capital spending remains slow and this is a concern for government". The question is: what is government doing about this?

Another serious problem is that of laziness or even complete negligence by municipal officials in carrying out their mandate in respect of the payment of creditors. Municipalities enter into contractual agreements with many small business enterprises. These enterprises in turn employ a large number of workforce but they are being squeezed by our municipalities and in some instances even going into liquidation because of very late payments by municipal managers.

As the IFP we want to say to government that you are not helping but in fact hurting the ordinary people of South Africa. It is time to stand up and be held accountable. It is time to deliver on your promises in respect of service delivery and job creation otherwise this country will witness more violent uprisings and toyi-toying by our communities in an effort to give voice to their disappointments and frustrations. I thank you.

Mr E M SOGONI


PROF C T MSIMANG

Mr E M SOGONI: Hon Chairperson and hon members, good afternoon. The ANC inherited a local government that was dysfunctional, unco-ordinated, unequal and geared for serving a society of few people. These obvious inequalities are defined by the informal settlements that lie all over the show. The advent of democracy meant that these imbalances must be addressed.

The democratic governance in local government is a new phenomenon as it was introduced in 2000. Today, 11 years later, that legacy will manifest itself in different forms, and that's what the ANC government must reverse and extend services to all people of South Africa, including Khayelitsha, Kwa-Langa, etc.

Therefore, the underspending in infrastructure must be understood in the context of reconstruction and development of our country. This government is investing a lot on financial resources in infrastructure, to bring back the dignity of our people and create a better life for all. Maybe it is also important not to generalise too much about the underspending. However, the ANC does not necessarily condone it. Therefore, the question is: What is it that should be done, as the member was asking what the government is doing about it?

In 2006-07, the Municipal Infrastructure Grant expenditure was at 97%. It did go down the following year to 93%. It went up to 96%, and later this year, we understood that it is at 86%. This is just one grant. It excludes the MIG for cities that is accounted for within the equitable share of municipalities. This is not an end in itself, as this grant is meant to augment other infrastructure resources of the municipalities.

The government has created support systems in order to improve infrastructure spending in local government. For example, the Municipal Infrastructure Support Agency, which is the initiative of the Department of Co-operative Governance and Traditional Affairs, was aimed at creating a dedicated and focused institutional mechanism for managing and co-ordinating the provision of technical support. It was also aimed at the creation of the technical capacity in local government, for accelerated and sustainable provision of municipal infrastructure and services.

The proposal to establish the Municipal Infrastructure Support Agency, Misa, as a ring-fenced government component under the Department of Co-operative Governance and Traditional Affairs, was approved recently in August, by the Acting Minister. It is currently being evaluated by the Department of Public Service and Administration as provided for in Chapter 6 of the Public Service Act.

Meanwhile, the department is simultaneously undertaking the process of institutionalising and putting the agency into operation. The process entails creating a programme-management unit to run Misa operations; consultations with the relevant stakeholders at all three levels of government on Misa programmes, and its operational model; contracting of technical experts, including planning and engineering professionals, to give practical effect to Misa programmes; and managing the transition from Siyenza Manje programme.

The target is to get Misa support programmes for municipalities off the ground by 11 November. This process of contracting technical experts, currently underway, has an initial target of getting 115 experts on board. In order to improve the spending on infrastructure, the Division of Revenue Act enjoins the municipalities to submit to National Treasury, detailed plans of the envisaged project plans for the next financial year, and even for the outer year of 2013-14.

The receiving officer of a Municipal Infrastructure Grant must, by 31 May 2011, submit all technical reports to the sector department responsible for water services, sport and recreation, roads and transport, including environmental affairs matters for all projects to be implemented for 2012-13. The responsible sector department must evaluate the reports and provide final recommendations to the receiving officer by 29 July. The receiving officer of the Municipal Infrastructure Grant must summit all the project registration forms including business plans for the projects to be implemented in the next financial year to the provincial department of local government by 31 August.

The provincial department must provide full recommendations to the receiving officer by 30 September 2011. The receiving officer must submit a detailed project implementation plan of all projects to be implemented in the 2012-13 financial year, to the transferring national officer by 31 October. Such details should include timelines regarding project designs, initiation of procurement, and Environmental Impact Assessment, EIA, approvals.

The above are only measures that will only assist in part to the MIG, which is only a fraction of the infrastructure budgets of municipalities. The introduction of comprehensive planning in municipalities and master infrastructure plans in the Integrated Development Plan, IDP, will improve municipal spending in that all the municipalities will have the designs of all infrastructure projects well in advance, and be able to plan the procurement of this through the current Supply Chain Management policies.

The Misa, Public Services and Utilities, PSU, capacity-building framework seek to address these challenges. The fact that around 24% of engineering capacity in the municipal sector is above 50 years, requires that the acceleration of training in these fields must happen, so that the Misa might have the people with experience to assist municipalities in this regard. The sector departments are required to support ... [Interjections.]

The HOUSE CHAIRPERSON (Mr C T Frolick): Hon Sogoni, will you take your seat, please?

Mr M J ELLIS: Mr Chairman, on a point of order: is the hon member allowed to read from two different speeches? We don't where he is and it's a cause for great concern, Sir. There is something very schizophrenic about the speaker and I'm worried about his good health ... [Interjections.]

The HOUSE CHAIRPERSON (Mr C T Frolick): Hon Ellis, that is not a point ...

Mr M J ELLIS: I didn't make a Point of Order.

The HOUSE CHAIRPERSON (Mr C T Frolick): But I didn't say it's a Point of Order, can you take your seat please!

Mr M J ELLIS: ...But Mr Chairman, we are generally worried about the ... [Interjection.]

The HOUSE CHAIRPERSON (Mr C T Frolick): I can see you are worried Mr Ellis, will you take your seat, please? Before you continue hon Sogoni, I just want to address the point. Members can reflect on notes in front of them and address the House, and I think that's exactly what the member is doing.

Mr M J ELLIS: But how many ... [Interjections.]

The HOUSE CHAIRPERSON (Mr C T Frolick): Hon Ellis, will you take your seat, please? Take you seat Mr Ellis.

Mr M J ELLIS: Two different speeches, I am confused.

The HOUSE CHAIRPERSON (Mr C T Frolick): Take your seat. You may continue, hon Sogoni.

Mr E M SOGONI: Thank you very much hon Speaker. When I'm done, I will give the hon member the notes that I'm reading from.

The sector departments are required to support and monitor implementation of projects as agreed in the March 2011 Minmec of the Department of CO-operative Governance and Traditional Affairs. Section 154 of the Constitution, and section 34 of the Municipal Finance Management Act imposes a responsibility on national and provincial governments through legislation to support municipalities. Whereas the law allows for withholding or stopping of funds to a municipality that is not performing, the national department must still demonstrate measures it has taken to support the municipality.

There is further support from the National Treasury through the Financial Management Grant, to build financial capacity in lower capacity municipalities. Again, this programme will also contribute to the absorption and employment of young financial professionals by mentoring them under the experienced and retired accountants.

To us, members on my left, this is an important programme of the government that must be supported by this House. I thank you. [Applause.]

MR J R B LORIMER


Mr E M SOGONI

Mr J R B LORIMER: Mr Chairman, one of the most disturbing things about the slow pace of expenditure on municipal infrastructure is that it is a declining trend. In the 2008-09 financial year, the rate of expenditure of municipal infrastructure grants was 85%. It went down to 75% in 2009-10 financial year. That left close to R2,2 billion unspent.

Let's remember what this money is for. It's supposed to cover many of the services that are vital to the poorest of our citizens: electricity connections, storm water, streetlights and sanitation. When this money isn't spent, it's the poorest of our citizens who lose out. Therefore, this debate cuts to the heart of our struggle in South Africa to bring the basics of an acceptable life to all of our citizens.

The SA Institution of Civil Engineers makes the point that the state of a nation's infrastructure is one of the best indicators of its likely prosperity. It's also worth pointing out that, out of the 13 DA‑run municipalities, before the recent municipal elections, 12 of those - in other words 93% - spent 100% of their municipal infrastructure grants. All municipalities in the Western Cape spent 100% of their infrastructure grants during the 2009-10 financial year.

In contrast to this, 10 municipalities did not spend a cent of their municipal infrastructure grants. Another 41 spent less than half their grants. Almost all of those were municipalities controlled by the ANC. So, what are the reasons for this inability to spend on infrastructure?

Well, there are many. Some of them are more technical or procedural. Sometimes it's because tranches of funding from national government arrive too late in the financial year for the projects to be undertaken, if there is to be proper financial compliance.

There is another problem that may be delaying projects. Engineers who often motivate for these projects know that current Treasury regulations mean that winning tenders are chosen by giving disproportionate wage to price. That may mean paying for materials that are cheap but will not last long. In this case, "goedkoop is duurkoop" [cheap buying is expensive buying].

Not wanting to waste the money may be cause enough to sit on it. The possibility that this is happening is surely enough reason to re-examine those regulations so as to include a greater weighting for quality, longevity and sustainability of infrastructure that is built.

The SA Institution of Civil Engineers says that there are sometimes problems with co-ordination between different spheres of government which have interlocking responsibilities. This may result in nonsequential project completion because of the failure to co-ordinate. These are procedural matters which can and may even be fixed relatively easily.

But, there are other problems which have their roots in the politics of the ruling party, which will not be so easily put right. The first of these relates to skills. An engineer told me that the planning process is flawed. He says too much weight is given to public participation processes.

Now, those processes are necessary, but they can only take place effectively when they are guided by sufficient technical knowledge. People may know that they want sanitation, but they may not know that in order to get a sanitation system that works properly, there needs to be a necessary expansion of reticulation works. The result is that toilets are installed and connected to the sewerage system, but the reticulation cannot then handle the load and there are sewage spills and the degradation of the surrounding environment and quality of life together with health risks - this is exactly what happened under the ANC in Cape Town.

That lack of technical capacity is apparent as a recurring theme in any discussion of infrastructure. South Africa starts at a disadvantage, having - by proportion of the population - up to 20 times fewer engineers than are found in the Western Europe, the United States and India. Skills have gone and are difficult to attract back.

It's common cause that smaller municipalities do not have the financial resources to attract engineers. One of the more successful interventions has been the Siyenza Manje project that deploys technical experts to smaller municipalities in need. But the success has been threatened by the department, moving responsibility for that project away from the Development Bank of Southern Africa, DBSA, to one run directly by the department. That has immediately caused uncertainty amongst the deployed professionals, and has led to at least one resignation that I know of. Why mess with success? The government should explain.

This points to another reason that engineers are reluctant to work in smaller towns. They simply don't want to work for municipalities that are badly run. Who wants to work for a company with bad management, where decisions that should be technically motivated are rather driven by whim, factionalism and political populism? And it's not just me saying that. Factionalism in the ANC hampers delivery and those are the words of the Deputy Minister of Co‑operative Governance and Traditional Affairs, Yunus Carrim, who admitted this earlier this year.

There've been numerous reports about factional fighting in provinces like North West, which is tied to the spending of money on infrastructure projects and attempts to win kickbacks from that spending. Has the situation improved since the local government elections? Possibly too early to say, but so far it doesn't look good.

Let's take, for example, the district Municipality of Nkangala in Mpumalanga province. In the last two financial years they've managed to spend only a third of the money allocated for infrastructure. They're sitting on some R500 million. Yet one of the local municipalities in that district, Thembisile, tens of thousands of people are without clean water.

It needs to be said in this debate that the hard figures of money spent do not tell the full truth about what is happening. Sometimes the money is spent but the infrastructure is still not delivered. That's because the companies given tenders cannot perform and cannot complete projects. By way of example, there's a 400 meters stretch of tarred road between the N4 and the town of Belfast in Emakhazeni Local Municipality. The road has potholes and is too narrow. A project to fix and widen it was begun two years ago. Work has been done, but it has been of a poor quality. New contractors have been appointed and they say they will begin soon.

We got on the road to Machadodorp where a new sewage pumping station was scheduled to have been completed in November 2010. The extended completion date was the end of February this year. Well, as of last week, not a single liter of sewage had been pumped by that works after millions of rand have been spent. It seems quite clear that the officials don't know what they're doing, and they're giving contracts to people who don't know what they're doing.

It may be unstated, but the practical effect of the policy of this government is that jobs and tenders for comrades are more important than giving people clean water. [Interjections.] That's a political problem related to cadre deployment and its handmaiden, corruption. This government plays a double game on cadre deployment saying that it is taking steps to end it, and yet it is still there for all to see, if you look for it.

Now, to spent wisely on infrastructure projects is not easy. It is made far more difficult by the policies of this government that guarantee extra hurdles are put in the way of any project going ahead. When there is a municipal infrastructure project, it is not enough to simply appoint a contractor who will build the best system for the lowest price.

Other factors are introduced, which make finding the best contractor more difficult. The council has to deal with whether or not the contractor has sufficiently good black economic empowerment, BEE, credentials. And there is the issue of gender. Councils are told that, where possible, they should give contracts to companies which are owned by women.

Then there is the issue of the geographical origin of the companies involved. There is always a great deal of pressure to appoint locally based companies, or at least appoint companies who will appoint workers from the municipality where the contract is being carried out.

Then, of course, there is the alignment of contractors to the correct faction of the ANC. If the contractor does not have the right connections, the contract may not be given and the money not spent.

All of this makes finding an appropriate contractor much, much more difficult. Is it any wonder that projects are difficult to initiate? Some of those things may be nice to have, but they detract from the mission of municipal government and should not be allowed to stand in the way of delivery.

This government has a wrong approach. Municipal government is there to deliver quality services effectivelyand financially sustainable for the municipality and cheaply for the consumer.

The DEPUTY MINISTER OF HIGHER EDUCATION AND TRAINING: Chairperson, on a point of order: May I please know if it is parliamentary for a member to read the speech that he delivered in the House in the past as is. Thank you.

The HOUSE CHAIRPERSON (Mr M B Skosana): When you say in the past, do you mean today? Continue, hon member. [Laughter.]

Mr J R B LORIMER: Thank you, Mr Chairman. I am - you will notice -only reading one speech. [Laughter.] Now the point that you're seeking to obscure here is that municipal government is there to deliver good quality municipal services to everybody at low cost on a sustainable basis. And if municipalities were directed by those imperatives only, processes would be unblocked and projects would be undertaken.

There are more sinister concerns that are widely spoken about but difficult to prove, logically possible or even probable. Infrastructure projects are delayed until councilors or municipal officials can find a vehicle to carry out the project which is prepared, which directly benefits them. In plain language, they will not spend the money until they can spend it with somebody who will give them a bribe.

Running like a leaking municipality sewer through all this is a lack of political will, more accurately, perhaps, a subordination of a political will to do the right thing to the dictates of party or factional advantage. The procedural matters I described can and possibly will be fixed, but the political underpinnings of so much of this problem can only be changed when the voters decide to change the ANC for a party with a track record of success in local government, and that party can only be the DA. [Applause.]

The HOUSE CHAIRPERSON (Mr B SKHOSANA): If we go according to the other hon member's point of order, we could end up with hon Ellis running out of points of order. [Laughter.]

Mr M J ELLIS: That's highly unlikely, Sir.

Mr L RAMATLAKANE


Mr J R B LORIMER

Mr L RAMATLAKANE: House Chair and hon members, the topic for discussion today is long overdue. Municipalities have failed to govern effectively for almost two decades and yet we keep debating without much progress and noticeable results. It is time to act on this issue and finally implement solutions.

We must address the roots of the problem and not the symptoms. The failure of municipalities to spend their budgets effectively remains a problem and becomes a greater obstacle for the socioeconomic progress of the nation. It is therefore of the utmost importance that this inability is not only debated but acted upon immediately.

According to the Treasury, for the nine months, as on 31 March, only 45% of the funds in all metros have been spent. The roots of the inabilities to spend the allocated funds point directly to the deployed cadres' inability, poor financial management, poor project management and a lack of skilled personnel.

Proper financial management has to be in place in order for municipalities to collect revenue and function effectively. We are in need of a long-term strategy that will include a coherent supply chain alongside the technological solution.

Every municipality should have a clearly defined financial operation in place to ensure that money is spent optimally for cost-effectiveness. It is therefore vital that improved financial management is practiced and critical senior positions are filled with suitably qualified people.

Municipalities' failure to collect money owed to them and to spend their budgets means that service delivery is severely compromised. According to Treasury, municipalities around the country are owed R62 billion for outstanding property rates and services fees. The government debt is also unpaid.

Currently, South Africa is faced with a R1,5 trillion infrastructure backlog. It is unacceptable that, while money is available and people are waiting for service delivery, the municipalities are dragging their feet. The failure to spend the allocated funds also means that we have failed to deliver basic services to many South Africans.

According to the Bill of Rights of the Constitution section 26 and 27 says, I quote:

All South Africans have the right to adequate housing, health care services and sufficient food and water.

Almost in every corner of South Africa we continue to witness potholes, poor sanitation and poor infrastructure. Provincial and municipality roads are not well maintained whether you are driving at Sekhukhune, Dewetsdorp, R702 or R26 roads. What you see is a lack of road infrastructure maintenance.

Although South Africa has over 500 government-built dams infrastructure to connect water source, rural communities are still lagging far behind with access to water.

As we speak, in 2007 R1,6 billion was invested to eradicate the bucket system. By 2011, 1 480 houses at Botshabelo, in Thaba Nchu still have this toilet system. First, by 2007 National Bucket Eradication Programme deadline was not implemented. When you drive along the N2 in Cape Town and pass Khayelitsha you see the dehumanisation of our people.

The bucket system is one of the most demeaning systems of apartheid. Despite government's promises in 2011 for a better life for all, the system has not yet been eradicated. [Time expired.]

Mr J J MC GLUWA


Mr L RAMATLAKANE

Mr J J MC GLUWA: Chairperson, we are 17 years in a new South Africa and there should be no excuse for lack of service delivery. Reasons for slow expenditure of capital budgets are: the appointment of a Minister whose attitude is, "do as I say and not as I do"; the announcement of tenders already knowing who it will be assigned to; the pretence of advertising jobs knowing who the successful candidates will be; and the setting of high standards and requirements but still incompetent appointments made.

This results in poor financial planning, incompetent officials, municipal managers receiving obscene salaries, lack of political leadership, municipalities receiving qualified audits, and in some cases interns running the financial departments.

There is crisis in governance. We have situations where houses are falling apart, children are playing in sewage water on their way to school, and uncollected trash resulting in little children playing with used condoms and rotting scraps. Potholes escalate by days.

I suggest the following turnaround strategy that will bring us back to the Mandela euphoria: fire the Minister of Co-operative Governance and Traditional Affairs; fire poor financial planers; fire incompetent municipal officials who receive qualified audits every year; fire those who are a constant source of crisis and corruption; and finally, fire those who show complete lack of political leadership. I thank you. [Applause.]

Ms T D CHILOANE


MR J J MC GLUWA

Ms T D CHILOANE: Hon Chairperson, I will start by declaring my extra notes for referral. [Laughter.] Hon members, our guests and South Africans who are observing the proceedings through media, "Madume, Sanibonani, Reperile". [Greetings.]

The Constitution requires all spheres of government to provide an effective, efficient, transparent, accountable and coherent government to secure the wellbeing of the people and the progressive realisation of constitutional rights. South Africa is constituted of national, provincial and local spheres of government, which are distinctive, interdependent and interrelated.

Indeed, hon Chairperson, the monthly Capital Expenditure Report from the National Treasury for the third quarter, which ended on 31 March 2011, paints an uncomfortable picture. According to the report at national level, we stand at 45,7% on spending patterns of the municipal capital expenditure. As much as this is something, we need to work hard to improve. It is heartening to know that there are municipalities out there that have led the way in this regard.

Hon members, we have other municipalities in three different provinces that have reported constant spending trends well above 50% over the years, and the number keeps growing. Chairperson, I know that hon members will have an interest in finding out in which provinces these municipalities are.

I am at liberty to report to this House that these are in our own ANC-led provinces: Limpopo, North West, and the Northern Cape which have reported improvements at an average of 63%, 52% and 61% respectively. [Applause.] Such improvements must be applauded and encouraged.

Credit must be given to the political leadership, officials and communities in the mentioned provinces. We hope that the improvements do not stop here, but will grow; and that in the spirit of promoting intergovernmental relations, these practices will be shared with others as lessons.

According to the Auditor-General's Consolidated General Report on the Local Government Audit Outcomes for the 2009-10 financial year, there are notable improvements in the audit results of a number of municipalities. Hon members, I again proudly mention that over and above the aforementioned, three more municipalities in the ANC-led provinces, namely Gauteng, Mpumalanga and KwaZulu-Natal have all submitted their financial statements on time. This must be a standing practise for all our municipalities. [Applause.]

I'm very sure that hon members do remember that in the previous financial year, there were 85 reported disclaimers. This year the number has gone down to 54. [Applause.] We should also mention that about 121 audit outcomes were reported as unqualified outcomes and others with findings.

These findings seem to be similar within a number of municipalities and they range from payments not made or paid within 30 days as required. On this one, Chairperson, most municipalities are serial offenders in terms of complying with the law and the Municipal Finance Management Act, MFMA, the lack of financial management and internal controls, and so on.

Chairperson, as we mention the few findings, one has to wonder why, what is it that is not right? We therefore feel that proper and qualified personnel should be recruited to address this challenge. The issue of using Municipal Infrastructure Grant, MIG, funds on unintended programmes should also be addressed.

This is an area of concern for all of us, although there is an improvement, Department of Co-operative Governance and Traditional Affairs, should ensure that MIG policy is reviewed, like the institutional arrangements to support infrastructure planning, project preparation and management and contract management. The establishment of a national communication task team for a coherent and co-ordinated message campaign is also needed.

There is another hot potato. There ia a practice called "fiscal dumping". As the financial year ends, many municipalities do not want to be seen underspending. Therefore, they dump the money. This really hampers the ability of our own municipalities to deliver services. Our own people cannot wait long for services. They deserve better service delivery. And, by the way, the Constitution compels us to provide these services, in spite of colour, creed, religion or geographical space they occupy, as long as they are South Africans.

Oversight and monitoring is an important and a relevant task to be performed over the executive. The interventions of appointing consultants by the Department of Co-operative Governance and Traditional Affairs and the support by the National Treasury, Provincial Treasuries to municipalities are indeed valuable. Meanwhile, the departments should play an active role in monitoring and overseeing those consultants so that the issue of value for money and "Operation Clean Audit" is realised by 2014.

Early warning signs systems should be put in place so that they can assist to provide the municipality with sharper and more immediate preventative measures. The SA Local Government Association, Salga, is expected to have already inducted councillors with the aim to capacitating them with general understanding of their leadership role, and legislation that guides local government in key municipal processes of a developmental local government.

Salga is also urged to speed up the process of developing a method of work for Municipal Public Accounts Committees. Hence, councillors who are delegated to sit in those committees must receive the necessary support from all stakeholders to empower them to play an effective oversight role over municipalities' finances.

Hon Chairperson, as I conclude, let me remind South Africans that local government is a key part of the reconstruction and development efforts in our country. The aim of democratising our society and growing our own inclusivity can only be realised through a responsive, accountable, effective and efficient local government system that is part of the developmental state. Together with our communities, we can make local government work.

Setswana:

Ke a leboga. [Legofi.]

MR A R AINSLIE

Ms T D CHILOANE

Mr A R AINSLIE: Chair, I am very pleased that Mr Ellis has returned to the House, because I shall give him a personal copy of my speech, after I've made it. Chair, the slow expenditure of capital budget by some municipalities ...

The HOUSE CHAIRPERSON (Mr M B Skosana): Hon member, there is a point of order.

Mr M J ELLIS: Could I persuade Mr Ainslie to give it to me now, so that I don't have to listen to him. [Laughter.]

Mr A R AINSLIE: I want both: You must read and listen. Chair, the slow expenditure of capital budgets by some municipalities is a cause for concern. However, opposition parties participating in the debate today need to locate the discussion in the wider context of the enormous strides the ANC government continues to make towards local government transformation and ensuring that the majority of our people have access to basic services.

During today's debate, hon Lorimer, in particular, of the DA and hon Msimang of the IFP have adopted a very narrow and limited view of what has been achieved at local government level. All is not doom and gloom, as the hon members would have us believe. Let us look at some facts which put the matter in perspective. I have here the latest Estimates of National Expenditure for 2011, which analyse service delivery for the 2009-10 financial year.

It indicates a massive increase in basic services to our people in four main categories. This implies significant capital expenditure taking place during the period, as well as a high level of competency on the part of officials and the political leadership in our municipalities. According to this report, basic services increased as follows over the last financial year: firstly, in terms of basic water, an estimated 1,2 million households, that were not in the previous financial year, are now provided with potable water previous financial year. This touches the lives of approximately 5 million of the poorest of the poor.

Secondly, in terms of basic sanitation, an additional 680 970 households have been provided with sanitation.

Thirdly, 965 636 households have been given increased access to roads. This means that approximately an additional 3 million people now have access from their homesteads and villages in the deep rural areas of the Eastern Cape, Limpopo, North West and elsewhere, to schools, hospitals and places of work. This on its own represents, in my view, a massive developmental outcome. Of course backlogs in roads infrastructure persist. There are still parts of my constituency of Ndwedwe in KwaZulu-Natal where access has not improved since the days of King Shaka, but we are getting there.

In terms of community lighting, 464 183 additional households were connected over the past financial year to the grid. The village of Sonkombo in my constituency is next in line to be connected. A municipal infrastructure grant, MIG, allocation of R20 million has been spent on building an electrical substation in the area. By the end of the year, and for the first time in history, the lights will go on in Sonkombo.

Chair, hon Sogoni has dealt at length with MIG expenditure. I simply want to add that it is clear from the expenditure trends that he refers to that municipalities' capacity to absorb funds has improved significantly since the inception of MIG. The MIG expenditure has succeeded in reducing backlogs faced by many municipalities across the country. Take my district municipality of Ilembe, for example. The water backlogs in 2001 were over 76 000 households. According to National Treasury, by 2007, this had been reduced by 36 000 households, a reduction of almost 50%. I know that further MIG amounts have been spent since 2007, and I am confident that things have improved even further since then. What is happening in Ndwedwe, Sonkombo and Ilembe is being replicated in villages and towns across all provinces, and the DA and IFP need to take cognisance of that fact. [Applause.]

Chair, we do concede however that in some instances capital expenditure is a concern that needs to be remedied, and hon Sogoni has dealt with this at length in his speech. Hon Msimang asks what government is doing. Hon Sogoni has given lists of interventions on the part of government, and I suggest that hon Msimang reads that speech very carefully to understand the interventions that have been made.

That these interventions are succeeding is borne out by the audit outcomes referred to by hon Chiloane when she addressed us. I know that the hon Chiloane is passionate about the need for effective audit committees. She will be very pleased therefore to learn that Minister Mthethwa, acting Minister of the department, announced earlier this week, at the SA Local Government Association, Salga, conference in Durban that all municipalities would have to have public accounts committees established by 30 November. This will provide good governance and help achieve clean audits. [Applause.]

Members have expressed concern with regard to capacity constraints, especially with regard to personnel, not only the high vacancy rate in our municipalities, but also the calibre of municipal officers employed. The Local Government: Municipal Systems Amendment Bill was introduced to Parliament to address the professionalisation of local government administration and, when implemented, I have no doubt that it will go a long way to improving the situation.

Mr Lorimer mentions cadre deployment. Let me say that in the vast majority of cases, those deployed by ANC to the Public Service meet the very high standards expected of them. However, the Bill makes it mandatory for municipalities to employ appropriately qualified and competent people. Cadre deployment is in any event preferable to the purge of senior, competent and experienced officials, almost always black. That is the first order of business the minute DA takes over control of a municipality. [Interjections.] An example is Cape Town, in 2006, when the municipal manager and other senior black staff were axed. Purges happened at the same time of black staff in Stellenbosch and Eden. Now they are forcing out, I think he may already have gone, the municipal manager in Knysna. Plettenberg Bay is next. They are it trying with Oudtshoorn, but they don't control Oudtshoorn so they won't get it right. [Interjections.]

The HOUSE CHAIRPERSON (Mr M B Skosana): Hon members, order please!

Mr A R AINSLIE: Chair, I can't see the time on my screen. Mr Lorimer talks about ANC municipalities. Let us look at just two DA-controlled municipalities. Let us look at Midvaal in Gauteng. Earlier on hon Chiloane referred to capital expenditure estimates, which indicate the extent to which capital expenditure is been made. If you look at this document, which you are going to have a copy of it afterwards, in these monthly capital expenditure reports for the third quarter ending on 31 March this year, Midvaal has only spent a shocking 12% of its budget, by far the lowest in province. If you look at the Gauteng list, it is by far the lowest in the whole of Gauteng province. [Interjections.]

For a long time, the ANC has been saying that there is something wrong with Midvaal. Now, party leaders, including Premier Helen Zille, have been accused by a former DA councillor of ignoring reports of rampant fraud and corruption in the municipality, first reported to her as long ago as 2005. A charge of obstructing the course of justice has now been laid against the premier, and we look forward to the outcome. [Interjections.]

Chair, this comes hot on the heels of the communications tender scandal in Cape Town, now the subject of an investigation by the Public Protector, so much for good governance on the part of DA. I look forward to how the Auditor-General audits this tender. The DA, and they have done it again today, Mr Lorimer, is fond of patting itself on the back for its clean audits in the city and province, but unqualified audits tell only a small part of the story. They do not give a picture of value for money. They are no indication of the quality, extent or the demographics of service delivery. [Interjections.] Anyone familiar with the City of Cape Town can be in no doubt that services are skewed to favour the wealthier suburbs at the expense of the poor who live on the Cape Flats, in Langa, Gugulethu and elsewhere on the margins of DA delivery. Last week, I drove from Acacia Park through Goodwood to the airport. Leaving Goodwood and entering Hanover Park was like crossing into another country. The difference in service delivery is that stark.

Mr M J ELLIS: You've changed. You used to be a nice guy.

Mr A R ANSLIE: The news this week that the Cape Town metro has only spent 71,5% of its capital budget is a blow to the poor of Cape Town. For it is they that are in the greatest need of capital expenditure on housing, water, electricity, sanitation and the other basic necessities of life.

Both the Auditor-General and the Accountant-General have on numerous occasions identified a lack of leadership as the root cause of poor performance at local government level. The call, therefore, by the ANC in the City of Cape Town for the mayoral committee to be reshuffled in the light of this under-expenditure due to poor leadership is very appropriate and one which needs to be taken seriously.

Yes indeed, there are some cases of slow capital expenditure. These need to be addressed. I have no doubt that the measures implemented by the department to intervene have already started turning the situation around. Thank you, Chair. [Applause.]

Mr M J ELLIS: Mr Chairman, I am sorry. The hon Ainslie assured me that he was going to give me a copy of his speech. Now he walks off without giving me one. [Laughter.]

The HOUSE CHAIRPERSON (Mr M B Skosana): I am sure he is going to give it to you.

Mr M J ELLIS: Roy?

Mr A R AINSLIE: Do you want to see these lines?

Prof C T MSIMANG


Mr A R AINSLIE

Prof C T MSIMANG: Hon Chairperson and hon members, I would like to thank this House for engaging in this debate in the manner that they did. The comments made and the views put forward convinced us in the IFP that, indeed, the debate was worthwhile. However, I would like to also underscore the remarks made by the hon Ramatlakane from Cope when he said that the same debate was long overdue. He said that it was time for action. Indeed, this is an indisputable fact.

The last speaker before me has already referred to the input made by the hon Sogoni, especially the number of interventions that are being introduced by the ruling party in the municipalities. Indeed, these have been noted and are appreciated. However, these interventions which look so beautiful on paper are only one side of the coin. On the other side of the coin is implementation. This is where many of the officials in the South African municipalities have let us down.

I have been allocated only three minutes and therefore I won't comment on each and every input made by the members. However, I would like to say that hon Lorimer of the DA hit the nail on the head when he elaborated on the lack of skills by officials. He particularly referred to engineers. I would to add to his list, by saying that we are also lacking municipal managers and chief financial officers. These are at the forefront of delivery and are officials that let us down.

In conclusion, I would just like to say that low expenditure, do not only deprive citizens of this beautiful country of basic services, but it also translates into fewer jobs in this climate of so much unemployment. I thank you. [Applause.]

Debate concluded.

The House adjourned at 16:32.


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