Hansard: Appropriation Bill: Debate on Vote No 15 - Basic Education
House: National Assembly
Date of Meeting: 07 May 2013
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Minutes
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 7 May 2013 Take: 294
"National Assembly Chamber Main",Unrevised Hansard,27 Jun 2013,"Take 294 [National Assembly Chamber Main].doc"
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START OF DAY
TUESDAY, 07 MAY 2013
PROCEEDINGS OF THE NATIONAL ASSEMBLY
______________
Members of the National Assembly met in the National Assembly at 10:00.
House Chairperson Mr C T Frolick, as Chairperson, took the Chair and requested members to observe a moment of silence for prayers or meditation.
The MINISTER OF BASIC EDUCATION
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 7 May 2013 Take: 294
START OF DAY
APPROPRIATION BILL
Debate on Vote No 15 - Basic Education:
The MINISTER OF BASIC EDUCATION: The hon Chair, hon members and colleagues, distinguished guests, ladies and gentlemen, we thank you most sincerely for this debate on Vote 15: Basic Education. Fellow compatriots, I am humbled by your support. As men and women of South Africa, you have indeed nurtured and jealously guarded children's constitutional rights to education like the robin that lays and shields its eggs over time. It takes honesty, maturity, clarity of purpose and hard work to build the new, equitable and uniform national system of education that is envisaged in the progressive South African School Act of 1996.
Today, we stand before this House to account and seek a fresh mandate for the 2013-14 programme on the strength of observable advances we have made, with the nation, over time, to build a better education system for a better life for all. The overall budget for 2013-14 for the Department of Basic Education stands at R17,592 billion. Last year, it was R16,344 billion. This is an increase of about R1,248 billion, which confirms government's commitment to education. The budget allocation for provincial education departments stands at R173,454 billion. It will reach R199 billion in 2015-16. In this budget, Umalusi is allocated R97,6 million in 2013, which will reach R112,7 million in 2015-16 to cover its expanded mandate.
The Kha Ri Gude programme, which is one of our most successful programmes, receives R549,7 million. This is a mass literacy campaign which has enabled us to reach 2,9 million adults. To this, we add R59,2 million allocated to Expanded Public Works Programme, EPWP, and Kha Ri Gude, which has made a contribution to job creation by recruiting and training young volunteers. The Kha Ri Gude volunteers comprise of 44 monitors, 203 co-ordinators, 3 703 supervisors and 38 000 educators, including 250 helpers for blind volunteers. In this way, our department has contributed to the government's effort to create jobs.
Chair, on the question of improved quality of basic education, the building blocks for a high-performing system are in place. Improving performance across the system is a key objective of the education sector plan. The key outputs of the Action Plan are consistent with the priorities of the National Development Plan, NDP. Once Cabinet has finalised the Medium-Term Strategic Framework, which is aligned to the NDP, we will revise our plans and priorities accordingly.
Hon members, he who has a plan is a million times better than the one who pokes holes in the plans of others, those without a plan. [Interjections.] We are attending to learner performance while addressing those systemic issues that are making it difficult for us to crack the system. We have been allocated an amount of R25 million for this year, which I will speak to later. We know the challenges. We are therefore better placed to improve quality and efficiency while consolidating the gains in access and equity.
We can proudly say South African's school participation is nearly 100% for the basic compulsory band, which is a band for the 7-to 15-year age range. Reports also show there are fewer out-of-schoolchildren, and those who have dropped out. According to household surveys from Statistics SA, we have 80 000 fewer children who were out of school as compared to 2011. We plan to do more to improve retention and post compulsory schooling.
Census 2011 also gave us good news for education. It said the proportion of the population without any formal schooling has decreased twofold from 2001 to 2011. With education comes critical skills, and out of these come great prospects for absorption in the labour market, great entrepreneurship, leadership and economic opportunities. Through government's antipoverty strategy, we are progressively removing obstacles inhibiting access to equal, quality education for all children, across the race, gender and class divide. Over eight million children in more than 80% of our schools received free education in non-fee paying schools.
The conditional grant for the National School Nutrition Programme has increased by R266 million to R5,173 billion. It will reach R5,7 billion in 2015-16. Our HIV and Aids Life Skill Education Conditional Grant has been allocated R213 million. We will continue to improve access to quality early childhood development, ECD. In 2011 monitoring results show South Africa has improved access from 39,3% to 84,8% of Grade 1s. All in all, we have 12433 million learners in over 25 000 schools. In line with the drive to build an equitable system, in 2013, we are prioritising inclusive education. Chair, I have invited one of our learners with special needs. I will refer to her later. She's a young girl who uses her feet to do everything, to write and to walk. I will introduce her at the end of my speech.
Chair, our interventions are definitely bearing fruits. There is progress on the four priority areas that we agreed on last year, which is Curriculum Assessment Policy Statements, Caps, assessments, workbooks and infrastructure. You know that a major setback was the time it took to complete, for instance, delivering books to Limpopo last year. It was very unfortunate. There's evidence of improved learner performance, even in those districts we had said were underperforming, showing that our interventions over time are bearing fruits. We'll therefore sustain our focus on these four priority areas. The "Triple Ts" will remain on the agenda of quality teaching and learning.
Hon members, you did witness sustained improvement in matric exam results. This is a result of systemic interventions for strengthening and raising performance in all levels of the system. Just to remind you, the matric pass rate climbed to 73,9% in 2012 and I'm quite confident that our target of 75%, is well within reach. We are also on target to deliver 175 000 university entrants by 2014. In 2012, the number of Grade 12 learners who qualified for Bachelor's degrees rose to 136 000 learners. Members, do you know that under this government, the number of learners who became ready for Bachelors level studies almost doubled over the last 12 years, from around 70 000 to 136 000? [Applause.]
With the number of passes in matric increasing and the number of passes in physical science increasing, we have in line with President's call established a maths and science task-team to help us identify challenges in this area. For that purpose, the Dinaledi Schools programme which is supposed to deal with maths and science has been allocated R105 million. We are very encouraged by the recent Trends in International Mathematics and Science Study, TIMSS, which bear testimony to our gains. I think you have to listen quite carefully. In the last TIMMS report, South Africa's improvement in mathematics, of 67 TIMSS' points, between 2002 and 2011, or seven points per year on average, is among the steepest seen by any TIMSS' participant, even higher that Brazil.[Applause.].
We are leaving nothing to chance. We've completed a detailed diagnostic analysis of NSC results in terms of key subjects. This has identified key subject deficiencies which will become our target for interventions this year. The ministerial committee on the National Senior Certificate, NSC, will, inter alia, investigate standards and promotion requirements of the NSC, including the matter of matric results publication, a matter raised passionately with me by Congress of South African Students, Cosas.
Moving to the curriculum, as stated last year, our continued focus is on the phased in implementation of the revised Curriculum and Assessment Policy Statements, Caps. In 2013, we moved to Grades 4 and 6. Grades 1-3 were covered this year. I am worried though about low levels of reading and writing in the Foundation Phase. This has emerged in an audit of the provincial reading programme we commissioned in February 2013. The audit report proposed the kind of support we must give to teachers and learners because reading is at the heart of learning. This fact has also been confirmed by the recent NEEDU report again, which we released last week Friday. The Intermediate and Senior Phases of Caps were distributed in 2012 to prepare for implementation in 2013 and 2014, respectively. The Senior Phase of Caps orientation programme for provinces started in March, and will run until 24 May 2013. The Grade 12 Caps orientation was conducted in all provinces between February and April 2013. We are a department at work and hard at work.[Applause.]
An amount of R220,9 million is allocated for the recapitalisation of these schools, to improve facilities and equipments. This will assist in addressing skills shortages and joblessness. The sign language curriculum has been completed and is being piloted in two schools in the Western Cape and Gauteng. We believe good grounding in a learner's home language is essential. So, in 2014, a new policy will come into effect mandating the learning of an African language in all schools. This builds on work we've done to improve competencies in African languages. [Applause.] We list among successes the progressive development of the National Curriculum Statement for Grades R-12, a milestone since the days of the racialised, fragmented education department.
Using Annual National Assessments, ANA, to monitor levels and quality of learning outcomes has taken root. We now have empirical evidence to use in planning further interventions. In 2012, we administered language and mathematics tests to more than 7 million learners in Grades 1-6 in more than 20 000 schools. We are told no country has done it to the scale that we've done. [Applause.] The results of this ANA tests show that while learner performance in Literacy varies from satisfactory to good, the same cannot be said about performance in numeracy, particularly in Grade 9. If you recall that there was a huge outcry when we again bravely published results around our Grade 9 numeracy.
The particularly low learner performance in mathematics at the Intermediate and Senior Phase justifies the steps we have already taken to focus on teacher professional development and provision of learning and teaching support materials at the higher school grades. An allocation of R75 million to strengthen the existing programme has been secured for 2013 and will reach R160 million in 2014-15
Regarding workbooks, we have increased learner access to workbooks and coverage to improve literacy, numeracy and, importantly, reading. An allocation for the workbooks stands at R859 million. We have provided the workbooks to all learners in Grades 1 to 9. Through savings from developing content in-house, we have expanded the scope to cover Braille workbooks. Close to 24 million copies of Workbook 1 were delivered to 23 000 schools in November 2012, for use in 2013. By 2013 around 114 million full colour national workbooks, which the Australian Council for Educational Research has confirmed as high quality, had been distributed to our schools. The feedback from the surveys we conducted on workbook utilisation is also very positive.
In terms of national policy, it's a key priority for every learner to have access to a minimum set of textbooks and workbooks. In 2007, according to SACMEQ results, coverage stood at 45% for literacy and 36% for maths – that is 2007. Our 2011 survey puts us at 78% for literacy and 83% for maths. I must say, this is still unacceptable because we say we want to have every learner with a book in every subject. We have doubled our efforts but I do believe that we can do more.
Hon members, prudence in the deployment of resources is key to the national endeavour for equality and inclusive development and growth. To address inequalities in education, we are therefore mindful of economic disparities resulting from apartheid education. This is a part of the rationale for centralising procurement. The development of the national catalogue of textbooks for Grades 7-9 has commenced. As reported, the national catalogue for Grade 12 has been completed and was made available to provinces.
Hon members, school infrastructure is an area of great concern, which we have also paid serious attention to as a sector. Improved expenditure on infrastructure budgets, and the number of completed projects in the last financial year, are indicators of progress. More schools do receive water, sanitation and electrification and many more continue to do so.
SIP 13 will also drive skills development and job creation. We want to see synergy in infrastructure planning between national and provincial education departments. The benefit would be schools that are in areas where people live. Thus, we are finalising a Comprehensive Infrastructure Investment Plan. We're also working on partnerships with Department of Labour and Department of Correctional Services for the supply of school furniture. We have developed plans to close once and for all the chapter of potholes and hanging ceilings in our classrooms. The infrastructure allocation for 2013 stands at R6,30 billion. For the provincial allocation, it will increase to R10 billion in 2014. An amount of R1,9 billion will go to the Schools Backlog Grant, called Accelerated Schools Infrastructure Delivery Initiative, Asidi, run by the national department.
It's also important to share Asidi challenges. We had challenges with the contractors that were used by our service provider because I am running out of time. I would not tell you or go into details as to which schools and how many schools are going to be done. I think will do that through the committee. [Interjections.] We will provide sanitation to a number of schools and we want to thank the many South Africans who supported us in providing and maintaining school infrastructure. Schools in the Eastern Cape will never be the same again! Those who had seen the new schools we built in the Eastern Cape will agree ...[Applause.]...they are state of the art institutions with fully-furnished libraries, laboratories and administration blocks. [Interjections.] By end of May, we will hand over the completed schools to the province so that they can pass them officially to the people. If we say, we are going to finish mud schools by 2015. It means by 2014 we will still see a mud school – if your logic works well. If we say the project finishes in 2015, it means 2013-14 expect one. What we need you to judge us on is what we are doing towards 2015.
Quality teaching is high on our list of priorities. Allow me therefore to repeat President Zuma's consistent call to teachers, to be in school, in class, in time, teaching, at least 7 hours per school day. President Zuma had said in the 2013 state of the nation address, that education is an essential service. Its health depends on collective efforts and bargaining in a climate that is conducive. That's why we've engaged earnestly with organised teachers on contentious issues rendering it hard for the falcon to hear the falconer. That is why it was very important for me that we should find an amicable way to resolve the two months long impasse we had with Sadtu. The interest of the child will best be served where and when there is uninterrupted harmony within the system, and between the key stakeholders. When we lose sight of this fact, and mere instability is loosed upon the world, it is the child, the African child in particular, who suffers the most. Accountability is important and is of paramount importance.
We are on track on implementing the Integrated Strategic Planning Framework. Through our Teacher Union Collaboration initiative, teacher unions and their institutes implemented professional development programmes covering areas in which teachers needed support. It was reported that over 58 000 teachers benefited from this programme and we will continue that programme, because even from the NEEDU report it is quite essential that we move with speed on the question of teacher development. We also want to welcome the Presidential Remuneration Review Commission for public sector, with teachers as a priority.
We also would want to report on the thorny matter around teacher laptops, that the department is currently working with State Information Technology Agengy, Sita, and National Treasury to finalise implementation systems and processes including modalities of using a centralised procurement and mechanism. This has been an extremely frustrating matter but we are doing all we can to bring it to finality. The Funza Lushaka bursaries is receiving R839 million.
Regarding the NEEDU report, I want to say that last Thursday, we received from its CEO, Dr Nick Taylor, the Unit's first national report for 2012 on the state of literacy teaching and learning. This independent evaluation provides evidence to support our proposals on the need urgently to remedy shortcomings in educational practice.
The Planning and Delivery Oversight Unit which was set up last year, we again can report proudly that we've made progress. We have most of the schools coming out of dysfunctional, and for instance, Libode headed by a very capable director, Dr Nuku, registered an improvement which is almost 20% that we are very proud of.
On strengthening better outcomes, we've also worked with our Districts to improve performance. We can also report that we've made progress in terms of our interventions both in Limpopo and the Eastern Cape. We will be announcing through our portfolio committee the programme of Education Collaboration Framework that responds to the call made by the National Development Plan for intersectorial co-operation to improve educational outcomes working with various stakeholders.
Before I close I see I got 16 seconds. Let me just acknowledge my colleague, Deputy Minister Surty, the Chairperson of the portfolio committee, the director-general and all his officials. Just allow me to acknowledge and pay tribute to my special guest today, who is Princess Kgosana Sithole, a 12-year-old, from Tehillah Christian School. Princess has overcome her challenges and she's a very bright, positive young girl who uses her feet to do everything, including excellent writing.[Applause.] I am not sure if she's here for us to see her. Where is MaSithole.[Applause.] Thank you very much. She opens taps and everything else with her feet and writes much more cleaner and neater than most of us in the classroom. She is a very brilliant and successful scholar.
Let me also acknowledge the presence of the former Deputy President, Mrs Ngcuka, who also works very closely with us in this collaboration that we are working on in education. I thank her very much for coming. [Applause.] I also take this opportunity to thank ...[Interjections.]...the Chief Whip here for the support that he gives, but also to acknowledge the presence of my mother and siblings, who are also very supportive and who have come here. We thank you very much.[ Time expired.] I knew it will hurt the opposition that we have made progress and we have made peace with sadtu members – they are back in class. [Applause.]
Mrs H H MALGAS / GG / END OF TAKE
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 7 May 2013 Take: 295
"National Assembly Chamber Main",Unrevised Hansard,07 May 2013,"Take 295 [National Assembly Chamber Main].doc"
"National Assembly Chamber Main",Unrevised Hansard,07 May 2013,"[Take-295] [National Assembly Chamber Main][NAC-Logger][mm].doc"
The MINISTER OF BASIC EDUCATION
Mrs H H MALGAS: Chairperson, hon Ministers and Deputy Ministers, hon members of the House, distinguished guests in the gallery, ladies and gentlemen, under the leadership of President Jacob Zuma, both as the President of our Republic and that of the ANC, and building upon the achievements of the ANC since 1994, education has been declared an apex priority for our country since 2009.
If Verwoerd and his criminal apartheid regime of 1948 had said that the black child must not study mathematics and no black worker must become a skilled artisan, President Zuma had emphatically said that the black child must indeed study and be competent in mathematics and increase the production of new artisans, including black artisans. President Zuma has not only said these things but has led from the front through leading concrete interventions in education as part of inverting and destroying the Verwoerdian legacy. In 2009, President Zuma decided to split the former Department of Education into two. This was indeed a stroke of genius that is beginning to bear fruit.
We are all aware that education is our hope for reducing and eliminating inequality, unemployment and poverty. The ANC emphasises the significance of education in the Freedom Charter of 1955. The commitment was decisive and clear. The doors of learning and culture should be open to all. As such, education has remained the apex priority for our government since 1994. The ANC government has opened doors of learning and, to date, still continues with the commitment. After 19 years of democracy, the ANC is still holding on to its commitment to improve the quality of education by building upon its achievements and learning from its experience in government since 1994.
However, we remain conscious of the challenges still facing our people in our struggle to attain quality education for all. These challenges facing education in South Africa are well known. It is not a secret. Let me point out that the ANC has taken upon itself the task of making these challenges the substance of its debates, discussions, conversations, resolutions, and plans from Polokwane to Mangaung, in order to ensure that they remain in the mainstream of our discourse of transforming society. Conference resolutions of the ANC and President Jacob Zuma's state of the nation address urge us to look at some of the essential priorities on which we can agree, including, but not limited to, issues of education, health, poverty, and the safety of our children.
The ANC presented the National Development Plan, NDP, as the embodiment of our shared set of objectives, a common vision for a different South Africa. In line with this, we need to develop a programme of essentials on which we can agree. The National Development Plan commits us as a nation to accelerate progress, deepen democracy, and build a more inclusive society. The NDP calls on South Africans to translate political emancipation into economic well-being for all. Most importantly, it strongly asserts that it is up to all South Africans to fix the future, starting today.
These resolutions of the ANC with regards to our vision of schooling are well represented in various policies of government. In our assessment as the oversight body, the Portfolio Committee on Basic Education has noted that the Department of Basic Education has drawn up a clear policy map that serves as a sector compass towards addressing challenges facing the system. We have often noted the efforts to align education priorities to the National Development Plan. However, we have learnt that the output results of these moves will depend on our understanding of education as a collective. There is a need for systemic efforts, where outward success is not measured by individual dominance but by the contribution each and every one of us is prepared to make towards the achievement of our common goal. As a portfolio committee, our engagements in executing the oversight mandate have taught us a lesson about education as a societal endeavour that is strengthened by collective conviction.
We consider the Vote, as we pride ourselves as a nation that has achieved and progressed on many issues with regard to basic education. Over the years, government had progressively increased our education budget to support all our policy initiatives. Consistent and persistent efforts are being made to make education structurally accessible to all who were previously disadvantaged or who had limited access and, thus, to realise the ideal of compulsory education. South Africa is on track to ensure universal access to primary education. Equity in school funding has also improved substantially. The ANC government has introduced numerous policy-targeting policies, such as pro-poor funding in the form of no-fee schools. Our Minister alluded to it and gave the number.
She also said that the 2013-14 budget has allocated funding for equipment and utensils, because she spoke about the National School Nutrition Programme rolled out to quintile 1 and quintile 3 secondary schools. This will be progressively provided also to primary schools to address the backlog. She spoke about government that has extended its efforts and joined hands with the private sector partners to enhance the impact of the nutrition programme. We would like to congratulate and applaud the department, as the ANC, on the workbook project and the expansion of Grade R. We would like to applaud the ANC government for initiatives that are positive and are contributing to ensuring that all of our children complete the full course of their schooling. [Applause.]
The Minister spoke about the Kha Ri Gude Mass Literacy Campaign. She spoke about the number of adults – 4,7 million – over the age of 15 years who have the opportunity to become literate and numerate. From 2008 to 2011, this campaign reached 2,2 million adults. There is no doubt that the ANC government is on track towards meeting the Millennium Development Goals' commitments with regard to 2015. The Minister spoke about the Curriculum and Assessment Policy Statements, Caps. She spoke about the mainstreaming of Caps. She spoke about the Grade 12 teachers that were trained. The other issues that were in our report from our oversight visits that we would like to repeat, Minister, include the shortage of textbooks, challenges regarding post provisioning, and the poor or non-existence of school infrastructure. We are of the view that these issues are the lifeblood of quality learning and teaching. Therefore, we commend you on resuscitating these issues in the 2013-14 budget.
Furthermore, the recent move by the Minister to set up a task team to review the National Senior Certificate, NSC, curriculum, gives confidence that we have taken a direction that will eventually lead to success. The ANC is hopeful that the findings will go a long way in assisting government to streamline the NCS curriculum. The ANC applauds the Minister for the bold step she took. The National Senior Certificate, as the Minister alluded to, is in its fifth year. The ANC congratulates its government for achieving a pass rate of 73,9% for 2012, which depicts an increase. It is the ANC government's view that more can be done.
As the Minister has encouraged our matriculants ...
Afrikaans:
... wil ek ook graag al ons matrikulante van 2013 voorspoed toewens vir hierdie allerbelangrikste skool-eksamen van hulle jong lewens. Matriek is die fondament van verdere beroepsopleiding, en ek wens die matrikulante net die beste toe met hul voorbereiding in hierdie verband vir hierdie jaar.
English:
With regard to the Action Plan to 2014: Towards the Realisation of Schooling 2025, the Minister spoke about the results of the Annual National Assessments, ANA. She spoke about the shortcomings but, as the ANC, we are encouraged by the fact that the department's plans for 2013-14 are addressing these areas.
Chairperson, the issue of labour peace is at the centre of our efforts to achieve quality education for all, and we would like to congratulate the ANC, as the Minister mentioned, for brokering labour peace between the department and the SA Democratic Teachers' Union, SADTU. [Interjections.] We urge all parties involved to always make sure that labour peace prevails and that we are able to work together, hand-in-glove, towards the vision of quality education for all. What is important – and I am calling on the educators in South Africa – when it comes to the teaching profession is that it is a professional profession. At all times, we have to remember that when we are in the streets or anywhere else, we are the people that shape the minds of those little children. We mould them, and there is a decorum that we, as teachers, should adhere to.
The ANC welcomes a host of interventions in the 2013-14 Basic Education Budget Vote which propose the strengthening of the delivery of quality education, amongst others. I would like to single out a few. The Minister spoke about Grade R, and a substantial amount was made available to expand the intake when it comes to Grade R. However, we are acutely aware that the quality of Grade R provisioning in disadvantaged schools remains an issue of concern. Notwithstanding positives efforts by the Departments of Basic Education and Social Development, interdepartmental co-ordination with regard to the provision of early childhood development, ECD, education still needs to be enhanced. This is even more important given the targets set by the National Development Plan with regard to ECD provision. In this regard, we urge the ANC government to take the lead in ensuring that these issues find a place in the budget.
For four years, as the Minister mentioned, the President has been calling for our teachers to be in class, on time with textbooks, teaching. [Interjections.] The ANC believes that ordinary teachers should not need to be instructed as such. This should be the norm. The ANC calls on all our teachers to ensure that our aspirations for quality education for all are realised, as the ANC is of the view that issues such as unauthorised teacher absence from school, teachers being at school but not in the classroom teaching, insufficient curriculum coverage in a year, and insufficient and inadequate assessment given to learners have no place in our schools. The ANC government is committed to improving the accountability of individual teachers. For instance, the discussions at the Education Labour Relations Council on the Quality Management System are expected to be finalised before June 2013, and the training of teachers is anticipated to follow soon.
President Jacob Zuma has reminded us that education remains a societal issue and that we must take it more seriously and that we must begin to appreciate the fact that all successful societies have one thing in common: they invested in education. To this end, we are delighted by the fact that the ANC-led government has located the Quality Learning and Teaching Campaign at the centre of its operations. We need to have every stakeholder in education actively playing their role in making education a centrepiece of our democracy. With regard to equalising allocations to no-fee schools, the ANC government has committed that by 2013, all provincial education departments will have equalised their provincial allocations to schools.
Evidence from the oversight work in provinces reveals a huge infrastructure backlog. However, we should all congratulate the ANC government for devoting the bulk of spending increases over the medium term to accelerating the delivery and improvement of school infrastructure. Through our interactions with the national and provincial departments, we have become aware that capacity, market and provider constrains are the main challenges in the provision of the improvement of school infrastructure. We have also observed that underspending of infrastructure budgets continues in spite of the huge need. People, don't let me say which other province, besides the Eastern Cape, is ranked at the bottom. We are standing in this province. We urge government and all affected parties to dedicate special attention to these challenges. Given the scale of the existing infrastructure backlog, it is our view that government alone cannot overcome these challenges.
We would like to congratulate the Minister for declaring 2013 as the year of inclusive education. Flowing from this, government is planning to train district officials on guidelines for full-service schools and special schools. In addition, teachers will receive training in specialised areas of visual and hearing impairment, as well as the curriculum.
In conclusion, I would like to refer to the Auditor-General's report. [Interjections.] The Auditor-General's report has shown that some provinces continue to show signs of poor fiscal discipline. For 2011-12, we have to congratulate the Department of Basic Education for receiving an unqualified audit report, with some provinces receiving adverse audit opinions. [Applause.] The Auditor-General stated that there is a lack of accountability, action plans that were not specific in terms of indicators and targets, a lack of fixed timeframes, delays in the filling of posts, shortage of relevant skill sets, and limitations not addressed in financial reporting systems. The Auditor-General further indicated that some provinces were persistently incurring over, unauthorised, irregular, and fruitless and wasteful expenditure. The ANC is encouraged by the fact that government is addressing these discrepancies. However, we are of the view that although some progress has been registered in this area, we can still do more to enhance our compliance with the prescripts of the Public Finance Management Act.
In conclusion, the 2013-14 Budget Vote ... [Interjections.] Yes, second – we like making second conclusions. The 2013-14 Budget Vote is an unequivocal response to our commitment to provide quality education for all. From where we stand, we are confident that this budget will yield positive spin-offs for our efforts of broadening access to quality education for all. I would like to convey my gratitude to the hon members of the portfolio committee – all of them – and the officials for the co-operation, professionalism and integrity projected by committee staff. I would also like to thank the ANC research person, Comrade Ntiza. That is what brought us this far and that provided a fertile space for the committee to work together and achieve more. The ANC proposes that this Budget Vote be supported. The topic of the speech was "Working together we can do more in the basic education sector". I thank you. [Applause.]
Mrs A T LOVEMORE/Mia /END OF TAKE
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 7 May 2013 Take: 296
"National Assembly Chamber Main",Unrevised Hansard,27 Jun 2013,"Take 296 [National Assembly Chamber Main].doc"
"National Assembly Chamber Main",Unrevised Hansard,07 May 2013,"[Take-296] [National Assembly Chamber Main][NAC-Logger][mm].doc"
Mrs H H MALGAS
Mrs A T LOVEMORE: Chairperson, Michelangelo is reported to have said in the 1500s that, "the greatest danger for most of us lies not in setting our aim too high and falling short, but in setting our aim too low and achieving our mark." It is absolutely relevant to our discussion today. In determining where our aim should be set, we first have to determine why we do what we do. Why is the right to basic education constitutionally enshrined? Why does the President refer to basic education as an apex priority? Why do we all consider basic education fundamentally important?
Allow me to attempt to answer this very personally. My alma mater is Kimberley Girls' High School. Their mission statement is in the form of a short rhyme:
We recognise each diverse soul,
And aim to educate the whole -
That every girl, in every deed,
May think, discern, adapt, succeed.
The school the Minister chose for her daughters is Parktown High School for Girls. That school proudly states:
We have a vision of confident and courageous young women ready and willing to meet every challenge on the way to achieving their dreams.
A selection of mottos from our countries top schools will emphasise the point: Kearsney College, carpe diem; Roedean School, inspiring a life of significance; Leap Science and Maths Schools, educating future leaders.
All of South Africa's top schools focus squarely on why they educate. They start with their vision of the adults their efforts will produce. And so, Minister, should you. When you do, you will quickly realise that this is not a tick box exercise for you or for any official of your department. Unfortunately anyone reading the department's Annual Performance Plan would be forgiven for thinking otherwise. Nowhere does the reason for your existence as a department and the reminder of your accountability to every child appear. There is a flagrant lack of commitment to producing courageous, confident and capable adults.
Before we consider your plan for this year, let us pause for a moment, and reflect on the current situation which can best be described as tragic. Only half of Grade 3 learners are literate;
13% of Grade 9 learners achieve a 50% pass mark in mathematics; the World Economic Forum ranks our Maths and Science education second last in the world; the International Mathematics and Science Study of 2012 ranks South Africa third last for mathematics; the International Reading and Literacy Study of 2012 placed South Africa fourth last; 20% of our schools have no or reliable access to water; 79% of our schools have no library; 80% of teachers of the deaf are not fluent in sign language; 80% of teachers of the blind are unable to read Braille; We have one of the world's highest teacher absenteeism rate; 60% of Grade 6 teachers cannot pass tests their learners are expected to pass; half of the children who start school never finish; only 35% of children who start school ever receive a Grade 12 certificate; more than 10 000 unqualified teachers are employed in our schools.
The achievement so often proudly touted – access to schooling for all our children – pales somewhat in significance when we consider the immense failure in ensuring access to quality education in our public schools. Now, is it acceptable, in light of the current abominable situation in public education in this country, to take incremental steps towards improvement? The answer has to be a categorical no.
We cannot afford another year of producing Grade 12 learners who predominantly have no connection with values and principles, who cannot make career decisions, who are not capable of tertiary study and who do not have the confidence or initiative to become entrepreneurs nor are considered teachable by many prospective employers. We need massive change in at least three senses: the change must be massive in that much must change; the change must be massive in that it must be radical; and the change must be massive in that every one of the hundreds of thousands of children who need that change must feel that change.
Recall the earlier quote about setting the aim too low. Setting the aim too low is exactly what your department has chosen to do. Not taking any chances on being found wanting with respect to achievement of outcomes. The only meaningful target – and that is questionable – that has been left in the Annual Performance Plan is the matric pass rate. Guess what South Africa? The target is exactly the same as last year, 74%.
Every other target that might be used to measure the immediate effectiveness of the department has been removed. We have no targets for: the percentage of schools with a basic level of infrastructure; having access to a library; percentage of learners with a textbook for each subject. The Minister's verbal commitment was welcomed but it appears nowhere in writing. We have no target for the percentage of Grade 3, 6 and 9 learners who are numerate or literate. We have no target for the number of Grade 12 learners passing mathematics or physical science or achieving bachelor's passes.
We are very grateful to every school in South Africa, both independent and public that understands why it is educating children. It is clear that the department needs, urgently, to support these schools and to duplicate their efforts to benefit every child. Successful independent and public schools understand the concept of accountability. They are accountable to their funders, whether they are corporate or parents. If the schools fail to perform, fail to produce young adults who can utilise every opportunity to fulfil their potential, they lose their funding, and they cease to exist. The crises in Limpopo and the Eastern Cape demonstrate vividly the results of the collapse of accountability in the education system.
These schools understand that children cannot develop skills and talents without exposure to as wide a spectrum of resources as possible. They are the breeding grounds for the Chad le Clos and Lindiwe Mazibukos of the future. They would never have to be instructed by a court to provide desks or textbooks or fill teacher vacancies or to attend to unsafe structures.
These schools understand the need for positive role models. Teachers are properly qualified, constantly developing and truly professional. The thought of employing unqualified teachers, of regularly absent teachers or of teachers using learners as pawns in political battles would be absurd. The work ethic in these schools is exceptional. Not something the department expects. It has yet to take action against those Eastern Cape teachers who were on strike for a full term last year.
I use this opportunity to welcome the apparently amiable end to the South African Democratic Teachers Union, Sadtu, work-to-rule campaign yesterday. Many matters raised by Sadtu, and they are real matters that deserve attention, remain unaddressed, and, of course, the necessary action against Sadtu striking members for causing learners to lose out on learning hours still has to be taken.
Successful independent and public schools have principals who are managers and visionary leaders. Sadtu has demanded - and the department is about to agree sign off on - no management requirements at all for appointment as a principal. These schools appoint on the basis of expertise, not on the basis of union affiliation. These schools understand that education is more about learning than it is about teaching. These schools understand discipline and a culture of continuous learning. They do not teach to the tests, they do not need to cram knowledge into winter and spring camps.
Despite a budget of R17,6 billion and a slew of policies, your education system does not work. If you believe it does then I am afraid that you are in denial. Admit failure. Until you do, you will never make the massive changes that are required for this country to succeed. Understand why you are educating; understand that education is the foundation for the future, for every child, and for this country. Commit to success and to removing every obstacle to success. That will include removing Sadtu. Sadtu immobilises almost any attempt to reprofessionalise teaching and provide quality education.
The Minister is in charge and has to make that unconditionally clear. Massive change cannot happen overnight. But it cannot happen incrementally either. And it will never happen if we accept plans such as that presented by the department this year. I challenge the Minister to surround herself with expertise and to publicly commit to realistic but challenging targets to change our education outcomes, to produce capable and courageous adults.
I challenge the Minister to gazette her commitments. The Miniter has mentioned her plan. We do not believe it to be bold enough. Be bold. Call your policy South Africa's plan for successful education. The Minister cannot continue to fail our children and, directly, our nation. I remind you, the greatest danger for most of us lies not in setting our aim too high and falling short, but in setting our aim too low and achieving our mark. [Applause.]
Mr W M MADISHA / JN / END OF TAKE
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UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 7 May 2013 Take: 297
Mrs A T LOVEMORE
Mr W M MADISHA: Hon Chair, please permit me to start by referring section 29 of the Constitution, which provides as follows: Everyone has the right to a basic education, including adult basic education; and to further education, which the state, through reasonable measures, must make progressively available and accessible.
Today's budget proposal for basic education should be assessed on whether the present government has achieved the above-named constitutional right, and if not, what is it that the department is going to do to ensure that it achieves it. To ensure that, yes, indeed, the constitutional rights of the children of our country and the people as a whole are achieved.
Cope, just like millions of other South Africans, moves from the position that our people have a right to basic education, and that right occupies the highest position given the history of our people and our country.
However, Cope is convinced that the present government has and continues to fail in ensuring that millions of South Africans get access to basic education, despite the directive to the Minister through section 5(a) of the SA Schools Act.
For example, in 2007, the Education Laws Amendment Act 31 of 2007 was passed to ensure that the norms and standards for school infrastructure get implemented. Those norms and standards would address, inter alia, the building and all improvements on classes that were never implemented at all.
In 2008, the Minister published a set of national uniform Draft Regulations Relating to Minimum Norms and Standards for School Infrastructure. Even though the Minister has committed to urgent implementation, there was no implementation. The same and even extra promises were made in 2012 and early this year, but there has not been movement. Instead, what we have is the rise in problems and nondelivery.
I will give examples. If we talk about school infrastructure, we would say that hundreds of thousands of children drop out of school and millions of those who remain in school receive education of poor quality. They sit in overcrowded and dilapidated classrooms and lack textbooks. Many schools around the country need more classes and rehabilitation.
In the Eastern Cape, for example, in the Alfred Nzo District Municipality, there are more than 10 mud schools and in the Amathole District Municipality, we have more than 30 mud schools.
Many schools in Limpopo are in a very bad state. Some lack roofs, others are leaking, there are holes in the floor and windows are broken. For example, at Jaji Secondary School, teachers and pupils are forced to open umbrellas in classrooms when it is raining because of the leaks in the roof. [Interjections.] You don't know about the place we are talking about. In Silverton in Limpopo, children are taught under marula trees.
When the Treasury announced in their budget speech that R430 billion has been allocated to social infrastructure, including schools, we were hoping that they would inform Parliament about the R7,2 million taken away from the School Infrastructure programme to replace mud schools and to catch up on backlogs in school infrastructure. This is because of the slow spending by both the department and the Development Bank of South Africa, the DBSA, which was asked to implement the programme. This means that the gap in infrastructure needs will continue to grow.
Many more schools will still lack access to safe drinking water, basic sanitation and electricity. Many children, for many years to come, will continue learning under the trees and in environments that are not suitable for learning and teaching. The government, on the other hand, will continue to make promises to improve education. An antithesis, of cause, shall be the case. The budget deficit, which is beyond a trillion, will continue to grow while government expenditure is out of control to breaking point.
What about the textbooks? Textbooks are a fundamental resource to both teachers and students. The timeous provision of textbooks remains a problem in our country. Many schools in South Africa, for example - again in Limpopo - in the Eastern Cape, in the Northern Cape and in the North West are without the required textbooks in this second term of schooling. Many other schools were given the wrong batches of books.
In a survey conducted last month by Pondering Panda, it was found that 54% of pupils countrywide did not have all the textbooks. This lack of textbooks shows again that the quality of education in South Africa is suffering tremendously, and that the education crisis is sapping the education system's energy and funds.
Now there is this very bad thing that Cope is convinced about, that the high levels of corruption add to the lack of access to school material by pupils and teachers. I will give you an example. Yes, the Limpopo textbook saga highlights the magnitude of corruption.
EduSolutions, which was reported to have links with President Zuma, won a bid before the tender was published in the media and the Government Tender Bulletin. A contract to the amount of R680 million awarded to EduSolutions for textbooks, educational toys, science kits and other materials for the 2011 school year is now under investigation by the Special Investigative Unit. We need to follow this because it is a major problem, and indeed the people of South Africa continue to suffer as a result of this kind of corruption which people are protecting here. [Interjections.] Not one, but four.
In the Funda Lushaka Bursary Scheme, there is no substitute for good teachers. The expansion of primary enrolment has put enormous pressure on the supply of teachers.
The HOUSE CHAIRPERSON (Mr C T Frolick): Hon member, your time has expired.
Mr W M MADISHA: Thank you very much. [Interjections.] [Applause.] Four black bags, not only ...
The HOUSE CHAIRPERSON (Mr C T Frolick): Hon member, will you please leave the podium. [Interjections.] [Laughter.]
Mr A M MPONTSHANE / ARM / END OF TAKE
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 7 May 2013 Take: 298
"National Assembly Chamber Main",Unrevised Hansard,27 Jun 2013,"Take 298 [National Assembly Chamber Main].doc"
"National Assembly Chamber Main",Unrevised Hansard,07 May 2013,"[Take-298] [National Assembly Chamber Main][NAC-Logger][mm].doc"
Mr W M MADISHA
Mr A M MPONTSHANE: Hon House Chair, hon Minister and hon Deputy Minister, 38 years ago, the National Cultural Liberation Movement, now the Inkatha Freedom Party, was founded. At the time, the political situation was paralysed, waiting for leadership, and the IFP emerged to provide it. We are now in a similar situation of paralysis ...
AN HON MEMBER: Of the IFP!
Mr A M MPONTSHANE: ... and the education system shares a fair amount of this paralysis, at the most important levels, including provincial and district levels.
The ongoing power tussle between Sadtu and the Minister of Basic Education is paralysing our education system. The work to rule policy of Sadtu has only further crippled the system. The continued politicisation of teacher unions is holding most of the department's policy choices and programmes to ransom. For example, for over four years now, the department has been unable to have simple performance agreements for principals and their deputy principals signed. Competency tests for markers were abandoned at the last minute last year because unions objected to it. This is simply unworkable. The system is crying out for bold, decisive and accountable leadership.
Let me turn my focus to the immediate task before us. That is the Budget Vote. This year's budgetary allocation shows that government is spending enough on education. The budget has increased from R16,3 billion to R17,6 billion. The vexing question remains, though: Why are our children still taught so badly? Why are our children still performing poorly in competitive forums? For instance, the recent World Economic Forum ranked our learners at 142 out of 144 countries. That is very bad.
The bulk of this year's budget has been allocated to programmes 4, 5 and 2. These allocations consist mainly of transfers to provincial education departments, for them to address core priorities such as infrastructure, the national school nutrition programme, curriculum implementation and monitoring. However, the main challenge which has continued to fail the Department of Basic Education is that some provinces are still showing signs of poor fiscal discipline. Last year, for instance, only the Free State, Gauteng and Mpumalanga received unqualified reports. The Eastern Cape and Limpopo received disclaimers. Whilst the picture has somehow improved this year, instances of irregular, fruitless and wasteful expenditure still persist in most provinces. Therefore we need to put in place more mechanisms that will assist provinces to improve their financial management capacity and their internal controls, especially the serious weakness so prevalent in leadership.
The department's monitoring and delivery unit must play a more effective role in this regard. Our education system will continue struggling if we do not get the basics right. Teachers are at the centre of our struggling school system. Government as a whole has acknowledged that the system lacks sufficient quality teachers. According to Umalusi, many teachers who mark matric papers cannot apply marking tools consistently because their subject knowledge is often poor and inadequate. Research findings of the CDE have indicated that many of the existing teachers are not teaching well and are also poorly managed. The key reason for all this is bad training.
The department has set itself 5 strategic goals, the first three being the most important: improve quality of teaching and learning; improve quality of early childhood development; and track progress across the education system through regular assessment.
These goals are achievable only if we have well-trained teachers; unfortunately most are not. Many studies have confirmed that poor performance of many teachers is a major reason for the continued bad results, especially in essential subjects.
The debate about the role of teachers leads to another very important question: Are our teachers being adequately remunerated? The IFP welcomes the establishment of the Presidential Remuneration Review Commission as announced by the President during the state of the nation address. One only hopes that this will not go the way of other promised initiatives, which have not been followed up on, the teacher laptops being one of those unkept promises. Rural areas continue to suffer the most. Teachers in the rural areas were promised rural incentives, but this never happened. The IFP supports this Budget Vote. Thank you. [Time expired.] [Applause.]
Mr N M KGANYAGO / LIM... END OF TAKE
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 7 May 2013 Take: 299
"National Assembly Chamber Main",Unrevised Hansard,27 Jun 2013,"Take 299 [National Assembly Chamber Main].doc"
Mr M H HOOSEN
Mr N M KGANYAGO: Chairperson, Ministers, Deputy Ministers and hon members, the UDM supports Budget Vote No 15. [Applause.]
Let me state from the outset that the South African basic education system is in crisis. In the recently released World Economic Global Information Technology Report, South Africa's mathematics and science education ranks second last in the world, only ahead of Yemen. The same report ranks the quality of our education system at 140 out of 144 countries. I think this has been said by the hon Mr Mpontshane.
With high enrolment rates every year, our basic education system churns out matriculants who do not possess basic numeracy and literacy skills. Increasingly, the severity of the problem is that the majority of our matriculants do not meet the minimum requirements for university entrance. In addition, a large number of the pupils who go into the system never reach matric.
In many public schools, teachers are poorly trained and lack adequate resources – and a lack of resources is very important here. Furthermore, it is common knowledge that the fundamental mission of schools is the education of all children, regardless of race, home background, sex or colour. Yet, it is apparent that either schools fail to educate significant numbers of learners or significant numbers of learners fail to profit sufficiently from our education.
Now, the double-edged meaning of this statement is intentional, because, obviously, we are dealing with a two-sided, or many-sided, problem – we are all aware that many black children are not in school. Many who are in school fail to acquire basic skills in reading, mathematics, spelling and self-expression through writing. To many primary school learners, the world is full of empty words, because they cannot read. These are the children who will find it very difficult to get into the labour market when jobs are available.
Recently, we witnessed disgraceful scenes when the SA Democratic Teachers Union, Sadtu, encouraged learners to participate in its march to Parliament, demanding the resignation of the Minister of Basic Education, Angie Motshekga. While some of the reasons for Sadtu's march were legitimate, encouraging pupils to participate in it portrayed it as an organisation that has no regard for the interests of black children, especially when considering the fact that the majority of the pupils who participated in the march were from township schools. This meant that our children, whose schooling is already poor, were even worse off. There were many opportunities for Sadtu to genuinely march and mobilise society against the poor state of our education system in the past – that is, the Limpopo textbook debacle – but it did not. Now that the state of dysfunction in the education department affects its pockets, it deems it fit to use our children as pawns in the ruling alliance's internal power battles.
The HOUSE CHAIRPERSON (Mr C T Frolick): Hon member, your time has expired.
Mr N M KGANYAGO: On a positive note ...
The HOUSE CHAIRPERSON (Mr C T Frolick): Hon member, your time has expired.
Mr N M KGANYAGO: Just on a positive note ...
The HOUSE CHAIRPERSON (Mr C T Frolick): Hon member, your time has expired.
Mr N M KGANYAGO: This is very important!
The HOUSE CHAIRPERSON (Mr C T Frolick): Hon member, your time has expired. [Interjections.]
Mr N M KGANYAGO: And I was going to praise you on this one! [Laughter.] Just allow me to say ...
The HOUSE CHAIRPERSON (Mr C T Frolick): Hon member, your time has expired!
Mr N M KGANYAGO: Thank you very much. [Laughter.] [Interjections.]
MNR P J GROENEWALD
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 7 May 2013 Take: 299
MR N M KGANYAGO
Afrikaans:
Mnr P J GROENEWALD: Agb Voorsitter, die VF Plus sal kan saamstem met die agb Minister deur te sê dat sy moeite gedoen het om toe te sien dat daar toegang vir leerlinge tot skole is. Met ander woorde, ons kan sê in Suid-Afrika met ongeveer 'n kwart van die begroting van Suid-Afrika is daar redelike toeganklikheid van ons kinders tot skole.
Die agb Minister en almal kom en spog oor die matriekuitslae. Die VF Plus sê geluk aan daardie matrikulante wat geslaag het, maar wat is die werlikheid? Ek wil vandag vir die agb Minister sê die werklikheid is dat in 2001 ongeveer 1 131 000 leerlinge die skool betree het. Van daardie 1 131 000 leerlinge het verlede jaar slegs 45% die matriekeksamen geskryf. Van daardie leerlinge het slegs 33% matriek geslaag, en slegs 'n elkele 12% het matriekvrystelling gekry. Nou, agb Minister, u mislei uself. Suid-Afrika mislei homself as hy dink dit is 'n prestasie.
U het 'n Nasionale Ontwikkelingsplan vir die toekoms. Ek wil vandag vir u sê dat u nie 'n toekoms gaan skep met so 'n klein persentasie van leerlinge wat die skool betree en dan aan die einde van die dag matriek slaag nie. Dit kan nie in die behoeftes van die land voorsien nie.
Die tweede aspek is dissipline. Ek praat nie net oor die dissipline van ons kinders nie. Ek praat oor die dissipline van die onderwysers en die onderwyseresse. Hoe is dit moontlik dat van hierdie mense wat ons kinders moet leer twee of drie dae in 'n week by die skool opdaag of, as hulle by die skool is, gaan sit en doen niks? Watter voorbeeld stel hulle? Daar is wel goeie onderwysers en onderwyseresse wat werklik 'n voorbeeld stel, wat werklik hulle kinders wil motiveer om hulleself te verbeter.
U wil inspekteurs instel. U kan dit doen, maar ek wil vir u vra, het hulle die kundigheid of is dit maar net weer 'n werkskeppingsgeleentheid vir die regering? U sal daadwerklik moet optree om daardie dissipline toe te pas.
In u eie departement weet ek van hoeveel onderwysers en onderwyseresse wat vir drie, vier maande nog nie salaris ontvang het nie. Dit is 'n teken van swak dissipline in u departement. Dit is onaanvaarbaar dat daardie mense dan nog moet aangaan. Watter motivering het hulle, as hulle sulke swak administrasie van die departement ontvang?
Ons stem saam dat u die vakbonde moet vasvat, want dit is deel van die ondermyning van die dissipline. Ek dank u.
THE DEPUTY MINISTER OF BASIC EDUCATION /Robyn/ END OF TAKE
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UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 7 May 2013 Take: 300
"National Assembly Chamber Main" Hansard,07 May 2013,"[Take-300] [National Assembly Chamber Main][NAC-Logger][mm].doc"
Mr P J GROENEWALD
The DEPUTY MINISTER OF BASIC EDUCATION: Chairperson, hon Ministers, Deputy Ministers, former Deputy President, MECs who are my colleagues and are present here, stakeholders in education and hon members, I cannot but agree with the hon Lovemore that what we require in our country is massive change and merely dealing with matters in a fragmented way, we will not be able to turn the situation around. I do not disagree with the hon Lovemore when she says that indeed our vision must be cast high. Our attitude and altitude must be such that we are motivated to do even better; and by setting goals which are moderate, we certainly will not be able to turn things around.
Hon members, it is rather instructive that hon Lovemore chooses Kimberley High and Parktown High, two schools which were privileged, as examples of models of excellence. I would, on the other hand, like to choose three schools that I visited two weeks ago in the Free State. These are schools in the rural area which are committed to mainstream education and function under very difficult circumstances. These schools recognise and realise that the disparities that occur have not occurred by accident, but as a result of the legacy of the past. But, when we talk about differences and disparities in infrastructure, we do so recognising these were not imposed by the current government, but were inherited as a result of the demeaning colonialist past that we have had. That is something that we have to recognise.
Hon members, the schools that I would like to speak about are the following: Letlotlo Primary school which is in the rural area of the Free State, is committed to mainstream education, ensuring that learners receive the opportunity to enhance their ability to read and write, read with understanding, and improve their literacy and numeracy skills. Quite interestingly, in this particular environment we see the instructional and institutional leadership that is present and a committed principal who understands that the curriculum is central to doing well. This is what Nidu says, that there has indeed been a move away from the understanding that the principal is no longer merely an administrative leader of the school, but indeed an implementer of the curriculum.
There was recognition of the fact that children who come from poor circumstances ought to be provided with a caring and loving environment to ensure that they enhance the opportunity of providing quality education to them. Quite interestingly, in that school there were more than 50 learners in a class. Notwithstanding the fact that overcrowding was a reality, there was a commitment by each and every educator to ensure that those children who come from poor economic backgrounds should not be disadvantaged. What I am saying to you is that we have a particular responsibility to instil hope in our people, and that the rural child who suffers from deficits is not ignored. Indeed we must acknowledge, applaud and laud those thousands of educators who work under very difficult circumstances to ensure that we provide quality education to our children.
Let me give you another example. On the very same day we visited a school called Manthatisi Secondary. The school has more than 320 learners but provides hostel accommodation for more than 1 000 learners from nearby areas. The difference here is that the principal of that particular school and the educators recognise that those children are not children that are cohort learners in that particular school but, notwithstanding that, provide their time and energy to ensure that those learners are taken care of; they take pride in those learners, and the hostel facilities are indeed protected, looked after and cared for by those educators. That means they understand what the meaning of being in a caring and humane society is all about. These are the people who inspire hope in our people.
Similarly, if one goes to Leswane Full Service Primary School in the area, we have a principal – in fact, we were received by a community of more than 200 people who were very excited that the district director and the Deputy Minister were there, and wanted to hear from us what we brought to them. Wherever we went we saw hope in the eyes of children, progress and a belief that indeed tomorrow will be better than yesterday.
Hon Chairperson, indeed we have challenges in our country. We have never pretended that literacy and numeracy are not a problem. We were bold enough to say that we would subject each and every child, from Grade 1 to Grade 6, to a literacy and numeracy test. We knew in advance that the children would not perform well, but we wanted our parents, society and nation to confirm the reality that indeed we have challenges in literacy. As a result thereof, there was an awakening in society to say that surely, as parents, we have a responsibility to ensure that we too contribute to the meaningful progress of the child in school. The result of that is that after having tested 5 million, 500 children are already in the second year as a result of the resources that we provided, the emphasis being on content knowledge, motivation, and accountability mechanisms, our children –Grades 1, 2, 3, 4 and 5 - have indeed improved.
I am not saying that is optimal performance. What I am saying is that there is a clear sign of progress. What the opposition is not saying to you is that in the past three years, we have consistently had progress both in primary and high schools. It is this Minister that has brought education, early childhood development, ECD, to the centre of attention of society. [Applause.] It is this Minister that has indicated to society to please not look at our performance in Grade 12 but to look at our performance right from the beginning, ie from Grade 1. [Applause.]
Indeed, it is this Minister that has provided more than 55 million workbooks in 11 official languages to our children. Even Nidu and every educator say that those textbooks have contributed significantly and substantially to the improvement of the ability of learners in terms of both literacy and numeracy. These are massive changes.
Massive changes are when you do not just feed 100 000 children but massive changes are when you feed more than 8 800 000 children every day, and you say that you are taking care of your children. Massive change means that you are not providing for only certain privileged children, but massive change means that you are providing workbooks in literacy and numeracy from Grade R to Grade 9 to all children across all quintiles in the system. [Applause.]
Massive change means that you are not testing only a cohort of 100 000 learners. Massive change means that you are testing 7 200 000 learners so that we can say, in each and every class, school and district, we are able to compare the ability of our learners and determine where indeed progress has been made. [Applause.] Massive change means that from here to there, more than 15 000 children there has been an increase of in terms passing matric. Massive change means that in the past five years we have more than doubled the number of passes in matric. Massive change means that in the past five years more than 70 000 learners have indeed qualified for a bachelor's degree. [Applause.]
These are significant changes that we must say we have made together. That does not detract from the reality that our challenges in the country are enormous. That does not detract from the reality that indeed we have to instil greater discipline. That does not detract from the reality that as a collective across all political party lines, parents and society, we have to recognise that the challenge of education is so huge that we have to pull together indeed to make a difference.
What is it indeed that we should do? What is it that we believe we have done right? The hon Lovemore should do what a curriculum implementer does. She should look at the delivery agreement. What are the key issues that we set out in the delivery agreement? That is an agreement that was signed between the Minister and the President to which we and the MECs of education are all bound. That agreement says, firstly, that early childhood development is at the centre of a successful programme in education.
Today we can celebrate the fact that approximately 90% of our learners, some 880 000 learners, are in Grade R and have received at least one year of formal training. Today we can celebrate the fact that every child that goes to Grade R receives a workbook on literacy and numeracy free of charge from this particular government. [Applause.] This never happened before, not in the past 50 years. [Applause.]
Today we can celebrate the fact that the Department of Social Development is going to embark on a One Thousand Days campaign so that the child, from birth to three years of age, receives important cognitive, emotional, educational health support. That means that ECD is a reality in the lives of South African children.
What is the second point? The second point is about accountability. We said that we cannot have a system and make massive changes unless there is accountability amongst educators, the principal of the school and the district. Every quarter of every year this Ministry meets with every district director across the country to determine what the challenges are, learn from each other, and determine the path for the future. This has contributed to a consistent improvement in the achievement of our learners across the system and that is indeed the reality.
In the schools that we visited we discovered that indeed for the first time, subject advisers were visiting schools. The district directors were recognising their roles and responsibilities indeed. Look at where the Free State was and why it has improved. It has done so because it recognises the importance of districts. It recognises that everybody has to play a particular role. We cannot pretend that these changes are not realities. We cannot pretend that when we go to the Eastern Cape there are new schools being built.
We recognise and affirm the fact that there are huge challenges in relation to sanitation and electricity, but let us not be blind to the fact that changes are indeed taking place in our country. I think one can only say that those who are parochial, those who do not want to see something positive, those who want to demotivate our children and instil in them the belief that they can never be successful are those who stand on podiums and say nothing has changed, the past was better than the future.
Who amongst you went to school in Grade 1 and received four books? Not one amongst you! [Applause.] You received an exercise book and an exercise was written on the chalkboard. But, today every child receives it and then you say, "our children do not receive books". Those are the realities. You are the product of apartheid education and some of us have gained from it. There are those on the right, others still remain on the left. That is the reality of apartheid.
Hon members, let us recognise one thing, that education itself ... [Interjections.] oh please, could I say in a kind and polite way, shut up, you make no sense! You can object if you want to. I am telling you to shut up! Hon Chairperson, I do not wish to take any questions. [Interjections.]
The HOUSE CHAIRPERSON (Mr C T Frolick): Hon Deputy Minister, will you take your seat, please!
Mr D A KGANARE: Chairperson, on a point of order: Is it parliamentary for the Deputy Minister to tell another hon member to shut up?
The HOUSE CHAIRPERSON (Mr C T Frolick): Hon Deputy Minister, will you just withdraw the words ``shut up'' please!
The DEPUTY MINISTER OF BASIC EDUCATION: Hon Chairperson, I will withdraw the words ``shut up'' but certainly ask for the protection ... [Interjections.]
The HOUSE CHAIRPERSON (Mr C T Frolick): Deputy Minister, thank you. You may continue.
The DEPUTY MINISTER OF BASIC EDUCATION: Hon Chairperson, thank you very much!
The HOUSE CHAIRPERSON (Mr C T Frolick): May I also request that while we do allow interjections, we cannot allow ongoing commentary while the speaker is on the podium. Let us just observe that protocol so that we can maintain the decorum of the House.
The DEPUTY MINISTER OF BASIC EDUCATION: Hon Chairperson, thank you very much! It has been said that there are some, such as a drunkard who leans against a lamp post for support, while others go to the lamp post for enlightenment and illusion. So, one has to distinguish between those two. Comments that come from some quarters would be regarded in the appropriate way.
Hon Chairperson, what I am saying is that education is indeed an Apex Priority. It is the collective responsibility of all of us to ensure that we indeed make our contribution. The challenges, we will say, are enormous and indeed more has to be done. We take comfort in the fact that indeed there is a collaborative spirit between Sadtu and the department and we have to build on that. This is because we cannot sacrifice millions of our children at the altar of political expediency. I think all unions must recognise the fact that we have that particular responsibility. Overall, there has been recognition of that fact.
As we go to places such as the Free State and the North West, which we will be visiting on Friday, we recognise that thousands upon thousands of Sadtu educators are working under difficult circumstances, are passionate about education, and indeed want to make a difference. We do believe that they, as a collective, have the responsibility to ensure that the few that seek to tarnish the image of the professional person indeed do not succeed.
Chairperson, at the heart of what we are doing is that we have to ensure that what occurs in the classroom is optimally for the benefit of the learner. It is called ``backward mapping''. It is called looking at the way real education and learning has to take place. We have established 114 teacher resource centres to ensure that, in-service training, inset, and pre-service training and preset education take place; that content knowledge is being passed on; the workbooks that we are disseminating are being used productively by the educators; and the methodology is correct, especially in the foundation phase so that our children can indeed benefit from that particular exercise. This is not by accident. This is massive change. That means in every district in the country you would have a teacher resource centre where there would be community practices of learning, and where unions would get together and ensure that, as a collective, they make a difference in the lives of our children.
Hon Chairperson and hon members, I am optimistic. I think we recognise our collective responsibility across political lines, of this particularly important Apex Priority. If indeed South Africa is to develop in the right direction, it means that we have to take the burden that we have imposed on ourselves as parents and adults, to ensure that we provide whatever support we can to our rural learners in particular, but to our learners generally. It is us who must motivate and inspire them. If we fail to do so and diminish their belief in their ability, capacity and potential, then certainly we are betraying the future of these very children that we see and say we represent. I thank you most kindly. [Applause.]
Mr C M MONI / A N N / END OF TAKE
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 7 May 2013 Take: 301
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The deputy minister of basic education
Mr C M MONI: Hon House Chairperson, hon Ministers, Deputy Ministers, hon members, distinguished guests, ladies and gentlemen, I am going to talk about broadening access to quality education for all. Education is a means of promoting good citizenship as well as preparing our people for the needs of a modern economy and a democratic society. The ANC government aimed at ensuring the progressive realisation of universal schooling, improving quality education and eliminating disparities.
Chairperson, I would like to remind this House of what uTata uMadiba said about education:
Education is the great engine of personal development. It is through education that the daughter of a peasant can become a doctor, that a son of a mineworker can become the head of the mine, that a child of farm workers can become the president of a great nation. It is what we make out of what we have, not what we are given, that separates one person from another.
The ANC adopts the view that the task of broadening access to quality education should remain at the centre of all our efforts to build our nation. This stance is founded on the understanding that education plays a crucial role in broadening the scope of social and economic emancipation for all of our people. The ANC continues to hold education as a key mechanism to enable people to define their identities, take control of their lives and participate confidently and effectively in the social, political and economic life of our society. To this end we regard education as a matter of public interest, relevantly serving as a critical foundation for the advancement of human dignity, equality, human rights and freedom, nonracialism and nonsexism.
Research shows that the ANC government, together with South African people, are joining hands in an effort to improve the quality of education and to make it accessible to the majority of all South Africans. It shows that we are all beginning to recognise in the most practical way that education is central to the success of a whole range of other human endeavours. Our reconstruction and development efforts, the renaissance of the entire continent of Africa, and our successful interaction in the global village, depend largely on the progress we make in educating our population. There has been a significant increase in the percentage of individuals aged 5 to 24 years attending an education institution between 1996 and 2011.
Over the years there has been a steady decline in the percentage of adults who have not received an education. The percentage of persons 20 years and older who have no schooling decreased from 19,1% in 1996 to 8,7% in 2011, whilst those with education higher than Grade 12 increased from 7,1% to 12,3% during the same period of time.
Chairperson, most of the individuals without schooling were generally black Africans, but even so their numbers decreased from 24% to 10,5% in 2011. Our people continue to bear the socioeconomic burdens that were imposed by the apartheid legacy. This legacy makes it difficult for our people, particularly children from poor communities, to get the required opportunities to define their lives and participate meaningfully in the socioeconomic life of our society.
It is within this view that government has elevated the task of broadening access to quality education as a priority that we should be working together to realise. As the ANC, we believe that such a trajectory lies at the centre of the call for working together made by the President in his state of the nation address in 2013.
Education is a concern for all of us and we can only make it work better for our people if we are prepared to converge and synergise our efforts of working together.
I believe that it is therefore imperative that our government works to address the socioeconomic burdens to ensure that all our children can have access to quality education, in order to enable them to participate fully and meaningfully in the socioeconomic life of society. Dealing with socioeconomic burdens should continue to be a priority for our government, specifically the Department of Basic Education. Such an understanding is against the backdrop that these challenges are potentially eroding the gains we have made with regard to ensuring that every one of our children receives the education to which they are entitled in terms of our constitutional obligations.
The ANC decided at its national conference in Polokwane to assign top priority to education. In order to give practical expression to this decision, we felt that the then Department of Education was too big and overburdened, with a vast and comprehensive series of tasks and functions that were often beyond the management and leadership capacity of a single government department. Arising from this concern, it made more meaningful and practical sense to group together issues relating to the special focus area of basic education, while separating these from issues relating to higher education. This gave birth to a split of the Department of Education into two new Ministries in the new government structure, namely the Ministry of Basic Education and the Ministry of Higher Education and Training.
Chairperson, our observation as the portfolio committee has been that this decision was an appropriate step in the right direction as it has streamlined activities and focused the Department of Basic Education on issues that matter at that level of our education system. However, we want to encourage continued co-ordination between the two Ministries, as the two departments are interdependent. In essence, we consider this as vital for a flawless transition of students from one level to the other.
Chairperson, the structural changes instituted by the government in 2009 served as an important signal for a strong sense of accountability for service delivery. The Cabinet lekgotla held in 2010 adopted the 12 outcomes for government. These outcomes served as the basis of our service delivery activities. One of these outcomes was an improved quality of basic education. This speaks to our oversight mandate as the Portfolio Committee on Basic Education.
Flowing from this outcome, the Minister of the Department of Basic Education, Mrs Angie Motshekga, as well as the members of the executive councils for education, committed to the agenda of working towards improving the quality of education in the service delivery agreements signed with the President.
The service delivery agreement of the Minister covers output areas such as improving the quality of teaching and learning; undertaking regular assessments to track progress; improving early childhood development; and ensuring a credible outcomes-focused planning and accountability system. We are confident that this is the right step towards broadening access to quality education for all. We can already see the benefits of this move.
Chairperson, the question of access to quality education remains on the agenda of the government led by the ANC. As such, the department has identified the annual national assessments, ANA, as a strategic tool for monitoring and improving the level and quality of basic education, with a special focus on the foundational skills of literacy, numeracy and life skills.
The department initially introduced the annual national assessments for learners in Grade 3 and Grade 6 as a diagnostic tool to inform us of the health of our schooling system and how we could go about shaping our interventions going forward. In 2012, we expanded ANA to include learners in Grade 9. The findings of the annual national assessments have provided the department with important lessons on what it should do to improve the health of our schooling system.
The findings of the 2012 round of ANA revealed an overall improvement in learner performance across grades. Significant improvements were observed in the foundation phase, in particular. However, the report also revealed depressing levels of performance in Grades 6 and 9, particularly in mathematics and languages, which is an indication that there is a need for focused interventions at this level.
Chairperson, our engagements with the department during our budget review meetings for 2013-14 gave us confidence that the department is treating this initiative with the seriousness that it deserves. For instance, tests for ANA 2013 have been set, reviewed and versioned. Two forms of tests have been piloted, and results from the pilot are being incorporated into the tests. The timetable for ANA 2013 has been approved by the Heads of Education Departments Committee, Hedcom, and procurement of service providers for printing, packing and distribution is in progress.
More than R260 million has been set aside for the implementation of national assessment and public examinations. As part of the department's response to the findings of ANA, the department took an unprecedented step of developing and distributing workbooks to all Grades 1 to 9 learners in all of our more than 24 000 public schools across the country, benefiting over 11 million learners. However, the department also provided 900 000 workbooks to all our Grade R learners.
It is not only workbooks that were made available to schools, but also textbooks through partnerships with private sector partners such as the Mark Shuttleworth Foundation. However, we realise that it would be unsustainable for government to renew textbooks for the entire learner population every year. Therefore, we call on parents, teachers, learners and communities at large to work with government to ensure 100% retrieval of textbooks.
We have prioritised early childhood development based on its potential to contribute positively to learner performance in the subsequent years of schooling. As such, the Grade R programme remains one of the department's critical interventions. We commend the fact that the department has done very well in broadening access to Grade R. For instance, in 2012 the government of the ANC committed over R3 billion to expanding accesses to Grade R education. Currently, over 90% of public schools offer Grade R education. In 1999, South Africa had just over 150 000 learners in Grade R. However, by the close of 2012, the number had increased to about 800 000. Currently, there are more 22 000 Grade R classes in our schools.
The high increase of learners aged five who are attending educational institutions in particular is attributable to such factors as the provision of nutrition to Grade R learners in public or ordinary schools; increased subsidies to ECD practitioners; cheaper fees paid by parents at public ordinary schools offering Grade R; the automatic acceptance of registered Grade R learners to Grade 1 in public schools; and the increase in the registration of ECD centres by the Department of Social Development.
A major task at hand is universalising access to Grade R education by 2014. This is particularly important as research indicates that access to early childhood development programmes improves learner retention and performance in subsequent years of schooling. The 2013-14 budget for basic education is a reflection of our response to our commitment to improving the quality of our ECD programmes by allocating more resources.
We have noted with content that we are on our way to meeting our commitment to the Millennium Development Goals by 2015. Goal 2 of the Millennium Declaration commits us to ensuring that by 2015 children everywhere, boys and girls alike, should be able to complete a full course of primary schooling. In terms of this goal, we have done well in expanding access to universal primary education. Pursuing universal primary education for all is imperative; indeed, it is a central part of our commitment to the UN Millennium Development Goals.
However, focusing on girls poses particular and considerable challenges, but offers considerable benefits that far outweigh these challenges. Girls' education, in particular, is an integral part of virtually every aspect of the development of our nation.
Since 1994, South Africa's net enrolment rate in both primary and secondary schooling has increased dramatically, with the participation rate among girls being the highest compared to global standards. [Time expired.] [Applause.]
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Mrs C DUDLEY ///tfm/// END OF TAKE
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 7 May 2013 Take: 302
Mr C M MONI
Mrs C DUDLEY: Chair, hon Minister and Deputy Minister, despite the efforts and the progress that I have seen, the people of South Africa are extremely frustrated that it is taking so long to deliver improved quality education to meet the human resource development needs of the country and to end poverty and inequality. With this in mind, the ACDP welcomes the budget increase of almost 6%.
Government's mantra of ``do more with less'' is now becoming ``do more with more''. In the case of the Department of Basic Education, DBE, it's no less a challenge as underspending and lack of delivery has been a serious problem, particularly in the area of infrastructure backlogs.
In the last financial year the department received R2,3 billion to replace 496 schools and to provide 1 257 schools with water, 878 schools with electricity and 868 schools with sanitation. Only 12 out of 49 mud schools in the Eastern Cape were replaced, only 106 schools got water, 144 got sanitation and 118 got electricity. This resulted in nearly R1,7 billion for infrastructure being redirected away from Basic Education, and it's a great shame.
Apart from infrastructure, quality education requires quality teachers and quality textbooks. These are two areas in which the department in some way has failed to deliver.
The ACDP regards the disruption of learners' studies by union activities as extremely problematic and we are calling on government to commit fully in ensuring that the teaching profession is held to a higher professional standard. The DBE promises to improve accountability measures to ensure that all teachers are in school, on time, regularly and teaching. Seriously this begs the question, why have you waited until now because this is not exactly a new revelation?
The ACDP has welcomed the National Education Evaluation and Development Unit's 2012 report on the state of literacy, teaching and learning in the Foundation Phase. There are grave concerns about poor levels of reading and it is in the Foundation Phase where the education battle is often won or lost.
We note that problem areas identified include difficulties experienced by teachers and learners regarding language. We support the introduction of English as a compulsory additional language in African language schools. Learners must have a solid grounding to assist them when they move from the Foundation Phase to the Intermediate Phase. A good grounding, of course, in a learner's home language is just as important and we welcome the new policy that will come into effect in 2014, mandating the learning of an African language in all schools.
Provincial education departments have been cutting independent schools' subsidies unilaterally by as much as 40%, which is not in line with the present norms and standards for school funding. These subsidy cuts have resulted in some schools closing down and others operating under impossible financial constraints. The ACDP is calling for allocations to independent schools to be made by National Treasury and ring-fenced at provincial level. [Time expired.]
Mr I S MFUNDISI
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 7 May 2013 Take: 302
Mrs C DUDLEY
Mr I S MFUNDISI: Hon Chairperson and hon members, we consider this budget at the time when the department has been embroiled in a controversy for years. But so far in the past year in particular, the controversy has been as far as the textbooks are concerned. The sad news is that at the end of April as many as 19 schools in Limpopo were still without the requisite textbooks despite the department's vehement denial of such facts.
It is disappointing that threats of disciplinary actions are issued against school principals who disclose the department's failure to deliver. School principals are mouthpieces of the poor children and they should not be silenced. It means that the children of these communities will be condemned to a life of poverty and underdevelopment.
The shortage of furniture in some schools is another area in which the department continues to fail dismally. Hundreds of thousands of pupils are forced to learn sitting on the floor because there are no desks in their schools. It is a disgrace that almost 20 years since democracy there are still so many mud schools.
It is unfortunate that as recently as yesterday, it has been brought to light that teachers are incapable of imparting skills on reasoning. It is absurd to argue that the teachers in question come from the old order and were trained to teach labourers. Even if that is the case a responsible government department should have upgraded their skills to meet modern demands. It has, of course, to be borne in mind that when the ANC said they were ready to govern it actually meant that they were ready to do so and geared to improving the quality of life of the people. Gone are the days of passing the buck.
The low numeracy and literacy levels are unacceptable. Without secure foundations of literacy and numeracy, our learners will never obtain the high skills needed by the nation to address poverty and inequality. The findings of the National Planning Commission that the quality of schooling is substandard, especially in township and rural schools, clearly indicate a crisis now and for the future.
While strike action is a right, the ease with which teachers quickly abandon their duties to take to the streets for their wage demands needs urgent attention. Teaching is a labour of love. Leaving classes unattended should be the last thing for professionals to do. One wishes that they could take a leaf from the book of the nonagenarian, Mama Qwelane of Mpumalanga, whose matric classes pass with flying colours. She really deserves the Baobab Order recently awarded to her by the President.
We remain astounded by the manner in which school-going children are inconvenienced by being sent from pillar to post as their schools are amalgamated without paying due consideration to issues such as their transport to such schools. [Time expired.]
Mr Z S MAKHUBELE / NN / GC / END OF TAKE
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UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 7 May 2013 Take: 303
Mr I S MFUNDISI
Mr Z S MAKHUBELE: Hon Chairperson, hon Minister, Deputy Minister, hon Members of Parliament, distinguished guests, ladies and gentlemen, allow me first to talk to the issue of corruption as raised by Cope. An impression is being given in the country that it is only the opposition parties that are serious about corruption and the ANC-led government is not.
The point that was referred to with regard to EduSolutions and all other cases, are being followed by the institutions that are doing so under the initiative of the ANC-led government. You know as well that at its 53rd ANC National Conference – Mangaung-, the ANC resolved to ensure that all its members who are associated with corruption activities should be dealt notwithstanding the view that a person is presumed innocent until proven guilty. It's known that we are serious about corruption and not everyone, but the ANC.
Chairperson, as the ANC we believe that the quality of an education system cannot exceed the quality of its teachers. As such, we are of the view that the successful implementation of our national curriculum depends on the strength of our teacher development programmes. Teachers are the essential drivers of quality education for all. We therefore commend the department for taking the initiative to make teacher development a focal point of their 2013-14 plans, and realising that this complex task can only be executed as a joint responsibility shared amongst all those involved in education.
We are confident that this view will go a long way towards reinforcing the gains that we have made in this area. The ANC emphasises therefore that an investment in education is a
prerequisite for building a country that works and, most importantly, that advances the ideals of our Constitution.
For us to make education an Apex Priority in the country, our teachers must play their part. They must turn the image of the profession around. Through professional conduct like coming to school on time and doing their work diligently, the teaching profession will regain the respect of the community. We will revert to the situation years ago, when teachers were revered members of the community that people looked up to. We want children to look up to the teachers and learn from them more than fromthe formal curriculum.
Through watching the conduct of teachers, learners must want to be
successful, respectful and to be good citizens who will take the country forward to prosperity. Our teachers therefore carry an enormous responsibility on their shoulders. They carry the dreams and hopes of the nation. The manner in which they raise and nurture our precious children will help us build the model South African citizen. We will build the country that national heroes and heroines such as Pixley ka Isaka Seme, Chief Albert Luthuli, Ruth First, Dorothy Nyembe, Nelson Mandela, Walter Sisulu and many more sacrificed life's comforts to establish. Those who do not believe in the noble vision of our forebears do not belong to the profession. They will continue giving the profession a bad name and besmirch the name of all teachers, including those who are dedicated to their work.
The challenges facing teacher education and development in
South Africa are substantial. These include the lack of access to
quality teacher education and development opportunities for prospective and practising teachers; a mismatch between the provision of and demand for teachers of particular types; the failure of the system to achieve dramatic improvement in the quality of teaching and learning in schools; a fragmented and unco-ordinated approach to teacher education and development; and the tenuous involvement of teachers, their organisations and other role-players in teacher education and development planning.
We want to congratulate all those who participated in the crafting of the Declaration of the Teacher Development Summit in 2009, as it has culminated in the collaborative work that gave birth to
production of the Integrated Strategic Planning Framework for Teacher Education and Development in South Africa, 2011-2025. We urge the department and all involved to begin with the
implementation of the plan so that we may begin to reap the fruits of an improved quality teacher education and development system, as a critical lever for the improvement of the quality of teachers and teaching. We commend President Jacob Zuma for identifying the need to investigate conditions of service of public servants, more specifically teachers.
As noted in the state of the nation address, and I quote:
All successful societies have one thing in common, they invest in education. Decent salaries and conditions of service will play an important role in attracting, motivating and retaining skilled teachers.
We are confident that this move will serve as a boost to the
department's efforts which aim at developing teachers and attend to their needs. The cherry on top was the announcement that teachers will receive first priority. We therefore urge all teachers to ensure that the service they provide in our schools is worth the amount of investment the state will make in teachers. Our expectation in this regard is that the review must also consider enforcing teacher incentives for those working in rural areas and in difficult conditions of service that do not befit the stature and professionalism of the teaching profession. This will go a long way to enticing more teachers to the rural areas.
We acknowledge the fact that state-employed educators with at least a three-year postmatric qualification are now over 96%. However, the challenge that we are facing is that of the competency of some of our teachers to be able to meet the expectations of our streamlined national curriculum. This was also confirmed by the recently released National Education Evaluation and Development Unit, Needu, report which exposed critical weaknesses in this regard. Further, the shortage in maths, science and technology teachers in the system is becoming a cause for concern. However, we are confident that the plans that were presented to us by the branch that deals with teachers in the department will go a long way towards enhancing the capacity of our teachers to deliver our national curriculum. We need to have a better understanding of the
supply and demand nexus.
We need to improve the public image of the teaching profession, and attract more young and talented people into the education system. It is an open secret that our teachers in the system are aging. We commend the department for establishing the Funza Lushaka bursary scheme, which offers bursaries for undergraduate studies in mathematics, science and languages. By the end of 2012, the department awarded around 11 500 Funza Lushaka bursaries. The estimated allocation for 2013-14 is R900 million. This will make it possible for more than 14 000 bursaries to be awarded in the current financial year. This is an increase of 3 000 bursaries from the 2012-13 financial year.
In order to enhance new teacher recruitment initiatives, the department is targeting learners from rural and poor communities to assist them to access Funza Lushaka bursaries. More than 100 bursaries have been awarded to students through this approach. However, the department should note that few students are enrolling to teach Foundation Phase and Intermediate Phase. There are allegations that the bursary scheme does not have an intake of Afrikaans speakers and therefore this should be looked into, Minister. We urge the department to develop a tracking system to monitor bursary recipients both during their study period and once they are employed in order for them to meet their contractual obligations. We also urge the department to evaluate the programme in order to measure its impact in increasing the number of quality teachers in priority areas.
In terms of the use of information communication technology in teacher professional development, the department is working in collaboration with the University of South Africa, Unisa, in the resourcing of 45 teacher centres. A budget of R87 million has been earmarked for the initiative.
We believe that challenges with teacher supply and demand have led to some of the unintended consequences such as delivering of undergraduate studies to students who are not physically onsite to
receive their education. That is, rather than attending full-time in a conventional classroom, lecturers and students communicate through the exchange of electronic media and other sources. We are of the view that a face-to-face interaction allows the student to acquire essential social skills necessary for working as a teacher, and gives the student a chance to be socialised into the culture of what it really means to be a teacher in the first place. This system of attaining qualifications has been criticised for providing us with teachers who have a qualification, but who are not adequately competent to face the challenges in our schools. We urge the Department of Basic Education to work with the Department of Higher Education and Training to look into this matter. The reopening of teachers' colleges by the Department of Higher Education and Training is a welcomed idea.
We are of the view that all teachers need to enhance their skills for the effective delivery of our national curriculum. Research
reveals that continuing teacher professional development succeeds best when teachers themselves are integrally involved in their own
development and are given space to reflect on their practice. As such, we commend the department for forging ahead with the continuing professional teacher development programme. The programme will ensure that current professional teacher development initiatives contribute more effectively and directly to the improvement of the quality of teaching and learning.
We welcome the fact that the department has included an allocation of approximately R10 million for this programme in their plans for 2013-14. We urge the department to forge ahead with the implementation of the plan in order to advance our movement towards quality education for all.
Teacher accountability is at the centre of our work towards quality education for all. Recently, the department commissioned a study on integrated quality management system that revealed some inherent deficiencies in the system. The department indicated that
discussions at the Education Labour Relations Council on the
quality management system would be finalised by the end of April
2013. Thereafter, the Minister would be requested to declare the policy on the matter, should an agreement be reached. It is envisaged that the training of teachers would be undertaken in the second quarter along with the existing integrated quality management system.
In addition, there are plans to enhance accountability of office-based educators. This will include reviewing of the current performance management development system through reopening discussions on the education management system.
The department has established teachers' centres across the nine provinces with a view to bringing teacher development opportunities closer to teachers. We welcome the fact that the department has included in its 2013-14 plan the strengthening of the capacity of existing teachers centres so that they are in a position to support teachers on content knowledge, pedagogical content knowledge and the effective implementation of the Curriculum Assessment Policy Statements.
Effective and efficient leadership and management are increasingly considered as crucial in any organisation whose mission is to strive towards excellence. As the ANC, we are of the view that effective school management creates an environment for high performance and service delivery. Research shows that newly appointed school
principals experience great difficulty in adapting to the role of
principalship. The internal monitoring and evaluation processes of the department have revealed challenges with the implementation of policy at school level. To this end, we would like to congratulate the Department of Education for introducing targeted initiatives to address this product of the legacy of the past. We are delighted by the fact that the department introduced a new threshold qualification for aspiring school principals as part of the wider strategic view to address the challenge of poor standards of performance in the public schooling system.
While we believe that more still needs to be done, we should not shy away from the good stories emanating from our programmes. But one the challenges we present to the department is, how long will we speak of the troubling temporary teachers phenomenon without finding the necessary solution? The ANC encourages a strong resolution of this phenomenon on an equal footing across provinces. Under the guidance of the national department, provinces need to come up with a strong policy position on dealing with teacher vacancies, and movement of seemingly elusive teachers to where they are needed. For how long will we hear about continued misconduct and absenteeism of teachers while we watch? How long will we hear about the streamlining of the SA Council for Educators, Sace, Education Labour Relations Council, ELRC, and departmental disciplinary cases, more especially where schoolgirls are victims of sexual harassment because they are more traumatised when they are subjected to three different processes dealing with the same thing, that degrades their person? As the ANC we support this Basic Education Budget Vote for 2013-14. I thank you. [Applause.]
Mr R B BHOOLA / GC/ END OF TAKE
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UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 7 May 2013 Take: 304
Mr Z S MAKHUBELE
Mr R B BHOOLA: Hon Chairperson, education is the strongest means of social empowerment and should be used to drive out the inequalities that hamper our society. Those who have always gone to Model C schools must not be hypocritical, and when the conditions of the poor are systematically improved, they should not shout to protect the privileged on the one hand and suppress the poor on the other. [Interjections.] If one looks objectively at where education was in 1994 and where it is today, one will take particular note of the fact that our matriculants have almost doubled.
We have come a long way, but that does not mean that there is not a lot of work to be done. We applaud the Minister for her stance in concluding a truce in regard to the protest action. Having said that, a programme of action must be implemented to deal with the one month's work that was lost. The MF is concerned about overcrowding in schools. We have not decreased the learner and educator ratio for the past three to four years. We as government are absolutely responsible. I understand that we are going through an economic recession, but something must be done.
The hon President made a statement with regard to the improvement of the salaries of educators. How was that catered for in the budget? Has the budget catered sufficiently for the roll-out of the nutrition programme to all schools? We must ensure that the rural incentive is paid to educators in terms of the performance management development system.
The issue of the improvement of quality teacher training is divided in many areas. Do we have sufficient training institutions for educators? It is clear that we don't, especially when the unions are establishing their own. We need to take this matter forward. The MF suggests that we refer this matter to a task team, to come up with proposals identifying institutions in all of the provinces.
We have a great number of qualified and underqualified educators. We need to train more teachers and more funding must be directed towards these concerns as the MF views this as a neglected area. The MF further calls for an urgent audit and a programme to fast-track the eradication of backlogs, particularly in the building of schools and classrooms.
Although the Minister has taken the issue of the insults to the equality courts, it is not enough. The media is using pictures to identify people who were demonstrating with those unethical slogans. The provincial department must deal with it as cases of misconduct because it's definitely a breach of the demonstrators' contractual obligations. [Interjections.] [Applause.] One cannot raise issues on the street and blame the Minister, instead of raising them in the bargaining council. [Applause.] [Interjections.] Without antagonising the Minister, I believe that if there are any people who have misrepresented us and signed agreements without her authorisation, she needs to get rid of them.
The Minister must take heed of the growing spectra of the population, and be reminded of and guided by the National Development Plan, NDP. The MF further proposes a strong maintenance budget which should be maintained by a huge amount. Each year the fiscus must provide, so that on the one hand we maintain that which we have, upgrade that which is in a poor condition and, in certain instances, rebuild.
We have a collective responsibility to ensure the dignity and safety of women. As more women enter public spaces for education or work, there are more reports of violence against them. The MF stands in solidarity with our girl-children and women. We further emphasise ... [Time expired.] [Applause.]
Mr K J DIKOBO
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 7 May 2013 Take: 304
Mr R B BHOOLA
Mr K J DIKOBO: Hon House Chair, hon members and hon guests, South Africa has indeed made strides towards achieving education for all. The records show that we are nearly at 100%. The biggest problem that the country has not been able to address is that of quality. The report released by the National Education Evaluation and Development Unit, Needu, confirms what we have known. It confirms what the Annual National Assessments, ANA, and other reports have told us, that the quality of education in the majority of our schools is poor. The Needu report tells us that many teachers cannot teach at a higher cognitive level. Children are by and large taught to reproduce.
However, before we lynch teachers, let us remember that these teachers did not produce themselves. They can only teach what they were taught. Azapo therefore calls for more investment in the development of teachers. No education system can be better than its teachers. With regard to the three T's, and the three hours of contact, researchers have told us that in township and village schools, children are taught three and a half hours on average per day, instead of seven hours. That is why we become alarmed when we hear that there will be work-to-rule, or go-slows. If a teacher who teaches three hours per day embarks on a go-slow, does it mean that the teacher is going to teach for one hour per day?
We want to add our voice to those who accuse the Minister and her department of undermining collective bargaining. How could she withdraw from a collective agreement without putting a new proposal on the table? We assume that she has legal advisers, who should have told her that it was not legal to do so.
Azapo is glad that the threat of industrial action has been removed. The threat should not have been there in the first place because, as the Minister should know, unions cannot strike on a dispute of right. People go to court for that kind of dispute. Did the hon Minister's legal advisers not tell her that? It is unfortunate that the decision to stop the threat of strike action was also taken outside the bargaining council, the Education Labour Relations Council, ELRC ... [Interjections.] ... once more undermining collective bargaining.
We did not say anything in our speech about money, because Azapo believes the problem in our system is not about money, but about leadership, commitment and the management of our schools and systems, including the department. Azapo supports Vote No 15. Thank you. [Applause.]
Mr D C SMILES
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 7 May 2013 Take: 304
Mr K J DIKOBO
Afrikaans:
Mnr D C SMILES: Agb Voorsitter en lede, die agb Minister en Adjunkminister van Basiese Onderwys het gister met die SA Demokratiese Onderwysersunie, Sadou, vergadering gehou. Vandag in hierdie Parlement hou die Minister vergadering met die mense van Suid-Afrika oor die onderwys van hul kinders. [Tussenwerpsels.] Die mense van Suid-Afrika sal die Minister en Sadou aanspreeklik hou vir die ooreenkoms wat hulle gister bereik het. Van my kant af wil ek vandag my nek uitsteek om vir die Minister te waarsku dat as sy nie vir Sadou kan beheer nie, gaan die mense van Suid-Afrika met haar afreken. Hulle gaan dalk vra dat sy moet bedank. [Tussenwerpsels.]
Die agb Adjunkminister het probeer om my kollega se toespraak af te kraak, maar hy het ongelukkig gefaal daarin. [Tussenwerpsels.] Al wat gebeur het ... [Tussenwerpsels.] [Gelag.] ... is dat hy net daarin geslaag het om weer eens, soos die ANC gewoonlik maak, apartheid te blameer. [Tussenwerpsels.] Dit is 'n ou snaar wat hy elke dag en elke jaar hier kom tokkel ... [Tussenwerpsels.] ... en hy moet daarmee ophou. [Tussenwerpsels.]
Ek wil voortgaan deur aan die agb Minister te sê dat my kollega 'n rigtinggewende toespraak gelewer het, en as ek sy was, sal ek defnitief luister na wat sy gesê het en dit implementer. [Tussenwerpsels.] Ek wil graag op een aspek fokus, en hierby wil ek probeer om aan te dui wat die tekortkominge in voorskoolse onderwys is.
English:
The DA doubts that the Department of Basic Education will, in terms of the Action Plan 2014, achieve their target of 80% of universal access to Grade R. Early childhood development, ECD, is one of the top priorities of the NDP, and also of the department. However, unless the other provincial education departments drastically improve their action plans and follow the exceptional example set by the Western Cape Education Department, WCED ... [Interjections.] ... the expansion of ECD will not happen as it is planned by the department. [Interjections.] As a national co-ordinating body, the department ...
The HOUSE CHAIRPERSON (Mr C T Frolick): Hon member, please take your seat. Yes, hon Deputy Minister?
The DEPUTY MINISTER OF TRADE AND INDUSTRY (Mrs T V Tobias): I want to find out whether the hon member will take a question.
Mr D C SMILES: Sorry, I'm not taking a question. [Interjections.] As a national co-ordinating body ...
The HOUSE CHAIRPERSON (Mr C T Frolick): Order, hon members!
Mr D C SMILES: ... the department must urgently manage and recommend that struggling provincial education departments learn from the WCED ... [Interjections.] ... when it comes to ECD. [Interjections.] The WCED has already achieved its ECD universal access targets, and to some degree exceeded those targets. [Interjections.]
Our concern, which coincides with that of the Portfolio Committee on Basic Education, stems from a lack of competent ECD teaching staff, as well as a lack of quality learning materials and other relevant resources that must be provided for Grade R learning and teaching. [Interjections.] The Department of Basic Education has identified that this is a major obstacle to their delivering on ECD. However, the plans do not adequately address this problem. As my colleague indicated, the plans are incremental in nature. Let me explain.
Thousands of learners with disabilities of school-going age are not in schools - thousands of them! Why? It is because ... [Interjections.] ... the Department of Basic Education has an incremental approach towards implementing White Paper 6 of 2000 on inclusive education. [Time expired.] [Applause.]
Ms N GINA / TH (Eng and Afr)/ END OF TAKE
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 7 May 2013 Take: 305
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Mr D C SMILES
Ms N GINA: Hon Chairperson, hon Ministers, hon Deputy Ministers present in the House, hon Members of Parliament, distinguished guests in the gallery, ladies and gentlemen, I greet you all. Education is indispensable to social and economic development and to the future of our youth. Education in our country was used as an instrument of subjugation. Now we want it to be an instrument of liberation and empowerment.
With education we can advance the ideals of our Constitution. We can promote democracy, nonracialism, nonsexism, decent standards of living and security for all, and fight inequality. The National Development Plan, NDP, is a long-term strategic plan of what the ANC government wants to achieve by 2030 to ensure that all South Africans attain a decent standard of living through the elimination of poverty and reduction in inequality. Among the core elements of a decent standard of living identified in the NDP is education.
Allow me, Chairperson, to touch on the issues raised by hon Lovemore when she came up here and had the guts to talk about radical and massive change when it comes to educational issues. As I was sitting there, I was wondering what hon Lovemore was talking about? What is the definition that she can put when she talks of massive change? As me, I was wondering, because in the Western Cape, where the Department of Basic Education is under the leadership of her party, we find unprocedural processes of closing down schools. [Interjections.] You have to listen, that is why I said unprocedural processes of closing down schools when it comes to the department of basic education in the Western Cape.
As, I was asking if that is the massive change that hon Lovemore is talking about? When you go around the Western Cape and visit farms owned by most of the people coming from her party, we find that learners experience unconducive conditions. If you ask, who are those learners going to those schools? Most of the time those are the children of farm workers, and I then ask myself, is this really the massive change that hon Lovemore is talking about? [Applause.] If it is so, I do not think that is the change that we need to follow as a country.
The question of creating a caring and supporting learning and teaching environment for learners and educators is at the core of our efforts to ensure access to quality education for all. This speaks directly to our task of addressing health, social and emotional barriers that prevent learners from participating fully in teaching and learning activities. The ANC believes that every school should inspire learners and educators to want to come to school and learn and teachers to teach to the best of their potential.
We debate this Budget Vote against the backdrop of three disturbing events, where satanic activities claimed the lives of children in schools; increased incidents of bullying, and, where we saw learners leaving their classes to join protest marches or service delivery protests. As the ANC we condemn such behaviours and wish that learning should take place unhindered and in a caring and supportive environment. We strongly call for that since education has been made a societal issue in our country. Let us see all communities making sure that education is treated as a priority and a societal issue.
When hon Mpontshane came to speak on the podium today, yes, he delivered a very good speech ... [Applause.] ... but I was concerned again ...
IsiZulu:
... ukuthi kanti umuntu usheshe akhohlwe ngale ndlela. Uma umhlonishwa uMpontshane ekwazi ukuma impela phambi kwezakhamuzi zonke zaseNingizimu Afrika akhulume, agxeke ukuthi ezemfundo ziqhutshwa kanjani, okwenzeka ezikoleni aphinde akhulume nangezinto ezithinta izakhiwo zezikole.
Ngiyafisa ukumkhumbuza umhlonishwa uMpontshane ukuthi mina naye singavumelana kulokhu ukuthi sivela esiFundazweni saKwaZulu-Natali lapho inhlangano yakhe ibuse khona iminyaka eminingi. Ngonyaka wezi-1994 uma uKhongolose ethatha umbuso, isimo esizifice zikuso ezemfundo kulesiya sifundazwe kube yisimo esishaqisa igazi. Kodwa njengamanje ngiyafisa ukukhumbuza umhlonishwa ukuthi yimaphi amagxathu asenzekile la, nalapho kubonakala khona ukuthi ngempela ukhona uhulumeni wabantu futhi uyazilungisa izinto ezinjalo? [Ihlombe.]
Kukho konke ngiyafisa uma umhlonishwa uMpontshane ekhuluma nangokwenatshiswa kwezinsiza uma kufundiswa, ngingabalula isigameko esisodwa ngaphansi kohulumeni wenhlangano yakhe wawubona ngomgwaqo omuhle owenziwe obonisa ukuthi uya esikoleni lapho mhlawumbe kunenkosikazi womholi wenhlangano yakhe. Ubone ukuthi yiwona mgwaqo owenziwe. [Ubuwelewele.] Yilapho ngizibuza khona ukuthi yikho yini lokhu ukusatshalaliswa kwezinsiza zokufundisa lezi akwazi ukuzoma la akhulume ngazo. [Ubuwelewele.]
English:
Mr A M MPONTSHANE: Chairperson. Chairperson ...
The HOUSE CHAIRPERSON (Mr C T Frolick): Order, hon members! Hon member, will you take your seat please.
Mr A M MPONTSHANE: Chairperson ...
The HOUSE CHAIRPERSON (Mr C T Frolick): Yes, hon member.
Mr A M MPONTSHANE: Chairperson, is the hon member comparing this with the Nkandla development?
The HOUSE CHAIRPERSON (Mr C T Frolick): Hon member, that is not a point of order. Continue, hon member.
Ms N GINA: Thank you Chairperson, sexual violence has imposed itself as an evil force against women and children that keep disrupting the peaceful fabric of our society. Recently, we have been shocked by an incident where learners videotaped themselves having sex in a classroom. We believe that this is an indication of a much deeper societal issue, to which even young people, who were not directly affected by a system that taught us not to value ourselves, seem to ascribe very little value in terms of who they are as persons.
We believe that part of the problem is that sexual harassment and violence is currently far too common on our streets, homes and in our schools. The ANC condemns all these evil acts and is fully committed to eradicating this scourge. Our goal is to eliminate all forms of unacceptable behaviour. We believe that men and women, boys and girls, should be treated as equals and with respect, and care for them in terms of our Constitution.
Our teachers are placed in a strategic position to identify and manage cases of sexual abuse. As such, for the 2013-14 financial year the department has planned training for teachers on how to go about this undertaking. The handbook called Speak Out has been written especially to help our precious youth to handle any sexual abuse they may encounter while at school or at home. This handbook will help them understand what sexual harassment and violence is so that they are quickly able to recognise and act on it. The handbook will also guide them regarding steps they must take so that the person guilty of sexual abuse is forced to stop and face the consequences of their unacceptable behaviour. In addition, the handbook also provides an extensive list of useful contacts, which will also help to connect learners to people who are specially trained to assist them with handling sexual harassment or violence.
For the 2013-14 financial year, we are proud to see that the department is linking 4 000 additional schools with their local police stations to establish a database of all linked schools as well as train school safety committees. The department will be making a transfer payment of R50 000 to Childline South Africa to assist the department with cases. In addition, we have set aside an amount of R241 000 for psychosocial support cases, and approximately R1,5 million for social cohesion and equity in education.
We are still faced with the reality of communities that thrive on illegal drugs. Research reveals that the number of young people using tobacco and alcohol is increasing. We believe that drug dealers target learners in order to further their criminal acts, which corrode the fabric of our society. In our view, the use of alcohol and drugs by learners compromises teaching, learning and safety in schools. For instance, we know that the use of drugs by learners has serious scholastic consequences such as poor academic performance, absenteeism and even places learners at high risk of dropping out of school.
We appreciate and commend the department for coming up with a draft National Strategy for the Prevention and Management of Alcohol and Drug Use Amongst Learners in Schools. We believe that the implementation of the strategy will, amongst other things, ensure that schools are alcohol- and drug-free zones; learners have increased knowledge of life skills and the confidence to decide against the use of these substances; that will be able to manage alcohol and drug use problems to enhance learning outcomes and the retention of learners.
The government of the ANC has made massive strides in dealing with HIV/Aids in South Africa. We have expanded access to counselling and medication for those affected and infected by HIV. As a result, many families have been somewhat relieved of complexities associated with HIV/Aids. We further commend the department for providing life skills education materials for training teachers and ensuring that we have functional school-based support teams. For the 2013-14 financial year, the department has set aside an allocation to be used in terms of the Department of Basic Education's Draft Integrated Strategy on HIV, STIs and TB.
The department also plans to review the 1999 policy on HIV/Aids that currently exists in order to boost the notion of schools as centres of care and support. We believe that the notion of care and support is an appropriate vehicle for taking our efforts foward towards quality education for all.
IsiZulu:
Ngesintu sike sithi umhlola uyakhuzwa. Uma kunento eyisimanga eyenzekayo kuphuma wonke umuntu ababaze ukuze umhlola ubaleke. Nathi njengamanje siyinhlangano kaKhongolose sithi umhlola esiwubona uqhubeka ezikoleni nasemphakathini wethu othinta kakhulu ukukhula kwabantwana bethu bamantombazana abasakuleli zinga lokuba ngamatshitshi. Umhlola lowo okudingeka ukuthi siwukhuze. Sithi emphakathini, asivikeleni izingane zethu.
Okubuhlungu kakhulu-ke engifisa ukukusho ukuze kubonakele ukuthi lo mhlola uKhongolose uyawukhuza ngempela yilapho kutholakala ukuthi kukhulelwe umntwana wesikole osesemazingeni aphansi. Uthole ukuthi uthisha, lo umzali athathe ingane wayoyibeka ezandleni zakhe, uyathinteka kulowo mhlolo owenzekile. Cha, lapho ngiyababaza ngiyakhuza ngithi, sizwe esimnyama ake siwukhuze umhlola siphinde sithi kothisha bethu abantwana bethu beze ezikoleni ngoba befuna ukunakekelwa. Asikwazi ukuthi sinithole nithinteka kulezo ziga ezinjalo. Nawo wonke umphakathi okhona sithi kuwo, uma umntwana oneminyaka eyi-16 ekhuleliswa uwena baba oneminyaka engama-50 kuya phezulu. Siyabuza ukuthi siyaphi siyisizwe sase-Afrika?
Umhlola lowo! Sithi asibambisaneni sonke wonke umuntu azi ukuthi silungiselela ikusasa lethu. Akube yinto esithi siyagcina ngayo ngeke siyibone iphinde yenzeka. [Ihlombe.]
English:
We are mindful of the fact that as South Africa we have made significant progress since 1994 towards achieving gender parity in basic education. In fact we have gone beyond achieving gender parity to an extent that girls are now in the majority in terms of enrolment in secondary schools. Again, we are also mindful of the fact that, as South Africa, when it comes to access to basic education, we have exceeded the target that we have set for 2020, the 80% target.
IsiZulu:
Okungiphatha kabuhlungu uma ngizothinta leyo ndawo, khona manje kade sinomhlonishwa u-Smiles ovela enhlanganweni eseceleni kwami. La umhlonishwa bethi unongabazane ngokuthi njengezwe sizokwazi ukufika emigomeni esazibekela yona yama-80% okuqeqeshwa kwabantwana besesemazingeni aphansi [early childhood development, ECD].
Ngiyafisa ukuthi ngikuqhakambise lokho ukuthi, mhlonishwa Smiles, kuyokusiza ngesinye isikhathi ukuthi ufunde izincwadi esizitholayo ekomidini, ulalele uma unqena ukufunda ngoba njengamanje siyizwe laseNingizimu Afrika sesiwudlulile ngisho umgomo wama-80%. [Ihlombe.] Njengamanje uma sikhuluma ngokuthi abantwana bethu bafinyelela kanjani ku-ECD, sesikudlulile saze sagamanxa kukhona.
English:
We are standing at 93% when it comes to access of our learners to ECD placing. Yes, I will agree ... [Interjections.] Okay.
IsiZulu:
ILUNGU ELIHLONIPHEKILE: Ukufunde encwadini kwawena lokho! [Ubuwelewele.]
Nk N GINA: Ngiyajabula sihlalo uma umhlonishwa ethi ngiyifunde encwadini ngoba kusho ukuthi yena konke akushoyo usuke ekubonile. Angazi-ke ngoba noma siphuma siya ngaphandle besiphuma naye umhlonishwa u-Smiles senza konke.
English:
So, when it comes to other challenges, yes, we can agree that we still need to do more. We still need to make sure that the ECD practitioners are well trained. We still need to make sure that the curriculum is well developed. But even at the same time, we would like to commend the Minister's department. We see for the first time learner workbooks being provided for that section of our education. [Applause.] That is the basics of our education. That is where we all agree that we need to intensify and make sure that we lay a solid background for ECD, and we are seeing great strides towards that.
Sometimes it is very disturbing to seeing a person coming here to grandstand whilst knowing very well that much progress is being made when it comes to that. The total budget set aside for the 2013-14 financial year for this branch, branch number five, for social activities for basic education is R5,187 million ... [Interjections.] yes it is too big. [Laughter.] The bulk of that budget is earmarked for the National School Nutrition Programme Conditional Grant, NSNP. The NSNP grant caters for our learners' meals. The NSNP has already reached over eight million learners and is currently in more than 20 520 schools nationally in quintiles 1 to 3 primary schools and quintiles 1 to 2 secondary schools.
The programme has been extended to include quintile 3 secondary schools in the 2011-12 financial year. We need to stand tall in acknowledging the huge impact the programme is making. The spin-offs in this programme are huge. For instance, when we look at the spin-offs of this programme, we see a huge drop in the drop-out rate of learners, because we understand that learners cannot go to school hungry. This is one of the benefits we get from this huge programme the department has come up with.
The project has become the trademark of healthy eating in our schools through offering quality meals. This programme has created jobs for thousands of food handlers and continues to empower small, medium and micro enterprises that are service providers at our schools. While our children are getting healthier, more jobs are being created and the local economies are growing. We now have few, if not no, cases of nonfeeding across the country. However, we commend the Minister for the launch of the department's partnership with one of the big businesses, Tiger Brands, in the initiative to provide breakfast to our learners. This has also shown much of the fruits we are bearing from that.
The level of latecoming has dropped, because learners know that in the instances where this initiative has been started, they get breakfast, which compels them to arrive at school early. Thus the fruits we envisage are that more quality education is going to be received in our schools.
Lastly, there is the issue of sports. When it comes to our schools, we need to commend the Department of Basic Education for the brave stance they have taken in making sure that physical education and sport are part of the curriculum at school. We urge the Department of Sports and Recreation to come on board and make sure that they cater for that. We further urge municipalities out there to make sure that sportsgrounds are provided for education. That is one of the strides that the department has made when it comes to these social responsibilities of theirs.
All in all, we need to applaud. It has never happened before in history that we look at these activities, which are more than the core duties of education, being performed the way they are. I think that the department, led by Minister Angie Motshekga, should be applauded when it comes to these activities in our schools. [Applause.]
Since I have a minute left, allow me, Chairperson, to respond again or to comment on what hon Mfundisi came up here to say today.
IsiZulu:
Bab'uMfundisi, kuhle ukuthi uma ugxeka, ugxeke ube wazi ukuthi okugxekayo kuyiqiniso kangakanani. Ukuma kwakho la uzokhuluma ngezikole ezingakhiwe - ngiyajabula ngoba siwuKhongolose ...
English:
... we do acknowledge that we still have shortcomings, but...
IsiZulu:
... umsebenzi awumile kangangokuthi ayisekho into eyenzekayo. NoNgqongqoshe naye ukwazile ukuma la abe nesibindi sokukusho lokho. Kodwa engifisa... [Ubuwelewele.]
English:
The ANC supports this Budget Vote. Thank you. [Applause.]
The MINISTER OF BASIC EDUCATION (Mrs M A Motshekga)/ JN (Eng/Zul//LIM CHECKED ZLU//) / END OF TAKE
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Tuesday, 7 May 2013 Take: 307
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Ms N GINA
The MINISTER OF BASIC EDUCATION: Chairperson, in closing, let me thank all members who have participated in the debate and say that their perspectives have indeed enriched our work. However, let me also acknowledge and recognise the presence of Mr Sizwe Nxasana, the chief executive officer, CEO, of FirstRand Bank Limited and also the chairperson of Xanax Foundation and Mr Godwin Khosa, the CEO of Jet Education Services.
I'm recognising these two gentlemen, in particular, because they are at the heart of the education collaboration framework we have put in place. We would like to come and inform the portfolio committee on this very important initiative, which is a response to the call made in the National Development Plan for intersectional co-operation to improve educational outcomes, in working with various stakeholders. This follows the dialogue we convened in December which will implement targeted programmes that include districts as systematic change interventions. Therefore, thank you very much, Mr Khosa, and Mr Nxasana for coming. [Applause.]
Just to respond quickly to the matters raised by colleagues from the left. It is quite sad and very disappointing that organisations one takes seriously don't seem to take themselves seriously. They peddle rumours, put unsubstantiated matters forward and do what we've removed - rote learning. One says to the nation, here are the challenges and here is the progress and they distort it; here are the challenges, minus the progress and this is very sad. There is nothing new that has been said; which we have not said.
Hon Lovemore, these documents – I think it is also very important for us to learn quite quickly – about the vision of our education system are contained in the correct South Africa Schools Act documents. These documents tell you what the vision of education is. I don't know whether you want to see it everywhere and on everything we have written. The targets are contained in your delivery agreement. Perhaps the reason why you are unable to really recognise those targets is because we have reached and surpassed them. That is why you don't see them. They are in your delivery agreement; go and look for them.
It is very sad that we publish reports to inform South Africans about progress in the spirit of transparency and accountability, but what happens? These are the challenges; these are the challenges; we can't deal with rote learning. Let us not be parrots. Let us come with fresh ideas. We are looking forward to them. However, it is quite sad to be on the left and I pity those who left home to go to the left. You can see they are just as wounded as those on the left. Come back, because this is sad and you are going to find yourselves being parrots and repeating things.
The HOUSE CHAIRPERSON (Mr C T Frolick): Order, hon members!
The MINISTER OF BASIC EDUCATION: In closing, I must say that overall, South Africans have a government which knows the schooling system well, that learns from national and international experience when reporting on its successes and is brave and honest enough to acknowledge the significant challenges that it faces. All South Africans should take pride in that. In the last few years, both national and international data - not me – pointed to the fact that we are on the upward improvement path. The choices we have made over the years have not always been easy. However, on the whole they have been right ones and we are beginning to enjoy the fruits of our efforts.
International results, not me, confirmed that there were significant improvements in maths and science in 2011. That is why they are not talking about it; because it is something positive. If it was negative, they would be hopping up and down, saying, yes, you have not improved. We have improved. [Applause.] South Africa's improvement is seen in terms of the largest learner performance improvement compared to other countries in the last decade. We have improved the number of enrolled learners and doubled the number of matriculants. We are on track. When you talk about textbooks, say where we were. In 2007, our rate of delivery was at 45% and in 2011 we exceeded 80%. [Applause.]
Mr Madisha, when we procured textbooks in Limpopo, we saved almost R800 million without putting it in any plastic bag. It went back to Treasury. [Laughter.] There are better policies and teacher development plans are there. I think my colleagues have said it; let us not brush all teachers with a black brush. We have good teachers who have produced distinctions that we are proud of.
In the past, when I was a teacher, I had a learner who had 4 distinctions. This learner was made to repeat matric because an African child could not get distinctions. Under this government, thousands of distinctions are obtained and we celebrate when black learners pass. We don't ask them to repeat because we don't believe that black learners cannot pass. [Applause.]
Therefore, we are saying, rather than doing rote learning and taking challenges minus successes, let us be honest and say, indeed, under this government, the future is bright and tomorrow will be even better than today. So, hon members, I thank you very much. I wish to say to South Africans, long live the ANC! Long live! [Interjections.] [Applause.]
Debate concluded.
The HOUSE CHAIRPERSON (Mr C T Frolick)
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The MINISTER OF BASIC EDUCATION
ADDRESS BY PRESIDENT OF FEDERAL REPUBLIC OF NIGERIA, G E JONATHAN, AT JOINT SITTING
(Announcement)
The HOUSE CHAIRPERSON (Mr C T Frolick): Order, Order! I wish to remind members that His Excellency President G E Jonathan, the President of the Federal Republic of Nigeria, will be addressing a Joint Sitting of both Houses at 14:00.
The debate on Vote No 28 - Economic Development is scheduled to commence at 15:30 this afternoon.
Business suspended at 12:57 and resumed at 15:32.
The SECOND ORDER / Nb/Checked by Nobuntu/ END OF TAKE
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The HOUSE CHAIRPERSON (Mr C T FROLICK)
APPROPRIATION BILL
Debate on Vote No 28 – Economic Development:
The MINISTER OF ECONOMIC DEVELOPMENT: House Chairperson, hon members and invited guests, I have the honour to present the fourth budget of the Economic Development Department, EDD. Given our responsibility to integrate efforts across different departments on economic development, our success lies in its collaboration with other Ministries and spheres of government.
In these opening remarks to the debate, I will draw attention to the substantial progress made in the economy over 19 years of ANC governance. I will point at the successes of this administration in recovering from the recession we inherited in 2009 due to the global economic crisis. I will share our progress to develop policy coherence in the past year to improve infrastructure construction and use it to promote skills and industrialisation; to expand funding; to refocus competition and trade policy on jobs; to facilitate new investment in the economy; and of course the steps we are taking to improve small business and youth employment.
In short, I will make the point that we have solid achievements, whilst acknowledging the many challenges that we face. I welcome members of the public in the gallery who represent the human faces behind the economic achievements. [Applause.]
Hon members, in 50 weeks' time, we will be celebrating 20 years of democracy. The economy we inherited in 1994 was broken, characterised by low growth and weak job creation. More fundamentally, it was structured to serve the needs of some rather than all. It focused on the needs of corporations rather than people. In contrast, we have created an inclusive economy seeking to address the needs of all South Africans, 51 million people, not merely 4 million.
What is our record? Gross domestic product, GDP, growth is up. In the 19 years before 1994, annual growth was 1,6% compared to 3,2% annually in the 19 years since. This is despite the global economic recession. The value of our gross domestic product today, the value of our economy is R3,2 trillion, 83% larger than in 1993. This is stewardship under four ANC administrations. This is how democracy has outperformed apartheid on the metric of growth. But, growth must create jobs and equitable development.
Prior to 1994, hon members, there were between 8 and 9 million employed South Africans. Today, we have more than 13,6 million employed people. More than 4 million new jobs were created under democracy. Under this administration, we developed stronger planning and policy cohesion. The National Development Plan provides the country's vision for overall economic and social development; integrating policies; demographic shifts; governance and state capacity issues into a coherent framework. It is complemented by government's economic strategy, the New Growth Path, NGP, and the detailed plan set out in the Industrial Policy Action Plan, Ipap, and the National Infrastructure Plan.
We are now in action mode, as President Zuma remarked in January:
Some of the key programmes of the National Development Plan are already being implemented. These include the New Growth Path Framework with its major infrastructure development programme as well as the state-led industrial policy.
Yesterday, hon members, Statistics SA released its latest employment data. It shows that employment has begun to grow again with the gain of 44 000 new jobs in the first quarter of 2013. Over the 12 months up to the end of March this year, nearly 200 000 new jobs were created in difficult domestic and global circumstances. The biggest job gains were in agriculture, followed by manufacturing and community services.
These figures show that our transformation policies are having some success despite the headwinds from the global slowdown. But, unemployment levels are still stubbornly high. Our task is to consolidate these gains and accelerate job growth for unemployment constitutes the biggest economic challenge for the country. We must begin to see a decline in the levels of joblessness. That is the task that we have taken on through the New Growth Path.
Consider, hon members, that from October 2010, when the NGP was adopted, to date 646 000 new jobs were created – additional jobs. Of these, 366 000 new jobs were created for women, 57% of all the jobs that were created. [Applause.] As South Africans, we need to bank these positive trends and commit to do more. Our GDP has recovered from the 2009 recession and is now R750 billion higher in current rands, or 9,4% in real terms, than at the low point of the recession. The economic output of no less than 38 other countries, including the UK, Holland, Spain, Italy and Portugal, are still lower than what they were before their recessions.
I wish to welcome and acknowledge one of our visitors today, Richard Matsomela. [Applause.] He is a worker at the BMW factory in Rosslyn. He was placed on special training financed through the training lay-off fund, one of the new tools created by government in 2009 to respond to the recession. Production recovered at BMW, the company expanded and Richard now again works on the assembly line for the new three series BMW made in South Africa and exported to the rest of the world. [Applause.] This is active partnership with the private sector and organised labour.
The New Growth Path mapped out a labour-absorbing economic trajectory. Under the infrastructure jobs driver and through the leadership of the President, we developed a National Infrastructure Plan, co-ordinated by the Presidential Infrastructure Co-ordinating Commission, PICC, to which the Economic Development Department provides technical support. We made real progress in laying the physical platform for growth and development over the past year, working with Minister Nkwinti and other members of the management committee. What is the outcome? Construction levels are up. Visitors in the public gallery illustrate what our programme is doing.
I would like to recognise Ms Elakanyani Ndlovu, a 30-year-old African female electrical engineer ... [Applause.] ... who is part of a team building one of the world's largest coal-fired power stations, Kusile, near Witbank in Mpumalanga. [Applause.] Ms Kedisaletse Maseko, another member in the gallery, is a welder employed on the new locomotive build programme in Koedoespoort. [Applause.] I would also like to welcome Mr Thomas Solomon, who is a contractor who lays tar on roads in the Western Cape. [Applause.] They are part of more than 150 000 workers currently on PICC-monitored construction sites across the country building roads, power stations and dams; deepening our ports; building schools; laying broadband cable; manufacturing components; and changing the spatial patterns of the past.
The project pipeline for the new infrastructure projects has been developed into the 20-year R4 trillion plan, a blueprint for our generation. Spending levels are up too. Indeed, during this administration, when we complete our mandate, we would have spent roughly R1 trillion on infrastructure - not budgeted for, not on our books, money that would actually have been spent - compared to half that sum in the previous five years, and substantially more than in the last five years of apartheid. Even when adjusted for inflation, this is a remarkable achievement.
We now monitor every quarter how much has been spent; what construction has actually taken place; and how many people are employed in construction projects. That portfolio of projects is worth R900 billion. Working closely with Minister Gordhan through the PICC, R19 billion in new money or reprioritised resources were identified for infrastructure projects over the next three years, integrated governance. State capacity challenges, including those identified in the National Development Plan, as articulated by Minister Manuel, are being addressed; including improved environmental processes, the work of my colleague Minister Molewa and the new Infrastructure Development Bill recently released for public comment.
Hon members, we need to bring the cost of infrastructure build down. Private sector collusion and price-fixing cost the state many billions of rands in previous infrastructure projects, including the 2010 World Cup stadiums' build. The competition authorities have identified 300 cases of irregular and illegal behaviour by the private sector in the construction industry on projects valued at about R47 billion. Eighteen construction companies, including the top six firms, have now confessed and are in discussions on settlement with the competition authorities. We are determined to ensure that we develop an affordable infrastructure build programme and that our tax rands do not improperly find their way into private pockets. The competition probes extend wider than infrastructure and include input costs across the economy to improve competitiveness and reduce costs for consumers.
Following discussions with Minister Motsoaledi, I am pleased to announce that the Competition Commission will conduct a market enquiry into the private health care sector. As ordinary South Africans will know, private medical care is becoming unaffordable. The enquiry will use the new powers under section 6 of the Competition Amendment Act of 2009 and will examine the pricing, costs and the state of competition in the sector. It is expected that the enquiry will commence before the end of September this year. The authorities are ensuring that public interest tests in our law are met when companies acquire existing operations.
I would like to welcome Mr Emmanuel Motumi. [Applause.] He is one of a few hundred workers reinstated by the Competition Appeal Court at Walmart following its purchase of a local retailer. Government's efforts led to the Competition Appeal Court ordering the creation of a fund of up to R240 million for local supplier support by Walmart. The judgement expanded competition jurisprudence and ensured that the central economic imperative of our time, namely jobs and local industrial capacity, is pivotal to competition policy. It demonstrates our commitment to policy integration and coherence. Trade policy is being harnessed to support infrastructure roll-out and to support agroprocessing industries that are infrastructure users. They range from poultry to tomatoes. More will, however, need to be done to support farming jobs and agroprocessing as part of our food security strategies.
The Ports Regulator has introduced a differentiated port tariff that encourages the export of manufactured goods rather than raw materials. We earlier heard the President of Nigeria talking about an Africa that no longer exports raw materials to others. These are the steps we are taking to begin to turn that around in our own country, South Africa. We are using the infrastructure programme to address skills and industrialisation challenges. We now have a skills model for all major infrastructure projects over the next 20 years, developed through working closely with Minister Nzimande and Minister Nxesi; the engineering industry; the construction regulator; and the private sector.
Hon members will be pleased to know that, for example, with the Mzimvubu Dam in the Eastern Cape, we can now quantify the number of bricklayers, carpenters, engineers, plumbers and so on, that we need for every quarter of the five-year build programme. This will help universities and further education and training, FET, colleges to plan their student intake and the graduate output. On industrialisation, EDD has worked with Minister Davies and Minister Gigaba on measures to provide a major boost to local manufacturers through the infrastructure roll-out programme. It is about the Proudly South African programme and Buy Local programme. State-owned companies deepened their supplier development plans.
In complementing these efforts, because we've got to integrate the different things we do. The Industrial Development Corporation, IDC, has set up a localisation unit and increased its five-year plan for industrial funding that's available to R102 billion. Over the past two years, the IDC increased actual funding approvals substantially to about R27 billion. So, it's not plans on paper, the money is beginning to flow through the investment pipeline. This is 48% higher than the previous two years. We have success stories out of these interventions. In the past, for example, we imported buses for the infrastructure roll-out of inner city public transport. We drove in a recently acquired bus in Johannesburg, and chances are that it was made in Brazil.
Last year, to implement the Local Procurement Accord, new policies were introduced. They led the cities of Johannesburg and Cape Town to order 240 locally assembled buses. I would like to welcome Ricardo Truby, who is with us today. Welcome, Ricardo! [Applause.] He is a production line worker for the Cape Town buses where the IDC provided bridging finance. The first locally assembled bus for Johannesburg will come off the production line in June 2013 from a Germiston factory. This is real progress with industrialisation. [Applause.]
Hon members, when this administration came into office, all our minibus taxis were being imported. Today, two taxi assembly plants have been set up by Toyota and Beijing Automobile Works, BAW. I wish to recognise Ms Brenda Smith, who is with us today. [Applause.] She is a supervisor on Toyota's new taxi line. [Applause.] Hon members, through the work that she and others are doing in the taxi industry, by 2015, two out of three new minibus taxis will have been assembled here in South Africa. [Applause.] This too is real progress with industrialisation.
The country will expand its rail transport very significantly in the next 20 years. The IDC is working with companies in the sector to use R198 billion procurement to build coaches, locomotives and wagons, and create local jobs. We have already landed one export contract to supply trains to Mozambique. These success stories in transport – because I have taken a few transport ones - are replicated in other parts of the infrastructure programme, such as the new condenser unit commissioned from a local company for the Kusile Power Station. Working with Minister Peters, we plan to improve the localisation impact of wind and solar energy, so that green energy creates local jobs. The industrialisation drive is at the centre of our work.
Last year, the IDC concluded a R3,4 billion deal to take majority ownership of Scaw Metals Group, a large diversified manufacturer of steel products for the infrastructure sector and industry. It employs 7 000 workers. It is the only producer of locomotive frames in southern Africa. When Anglo American Corporation decided to divest from the asset, we ensured that this critical national asset was placed in local hands rather than asset stripped and closed down. I am pleased to have Ms Patricia Mashigo, an artisan and production team leader at Scaw Metals Group present today, together with Group Manager, Mr Paul Zinn. [Applause.]
Scaw Metals Group operations in South Africa have a crude steel production capacity of about 600 000 tons per year. It has manufacturing operations in Canada, Australia, Italy, Namibia, Zimbabwe and Zambia, which also serve as important distribution channels for its products. A sophisticated industrial strategy, as outlined in the Industrial Policy Action Plan, requires the injection of foreign and local capital, know-how and innovation. I would like to offer a few examples of progress we are making. Asia's largest commodities trading company, Noble Resources, is the main investor in one of two advanced soya-crushing plants under construction. In the past twelve months, the company invested about R2,2 billion in the local economy. I acknowledge the presence of Mr Ronald Jettin, the local chief executive officer, CEO, of the company who is here with us. [Applause.] Later this week I will host the senior management of the company to consider additional investment in South Africa.
We attracted Turkish investment in the manufacturing of stoves in East London, the Defy plant, and to restart the Cape Town-based steel mill Cisco in August this year with a R250 million investment, which points to a growing appetite by investors to manufacture goods in South Africa. I would like to welcome Mr Turanli, the President of the new shareholding company of Cisco, who flew in from Turkey, and the Turkish Ambassador, Kaan Esener, who is with us today. [Applause.]
Hon members, these efforts are supported by greater beneficiation of our natural resources. In July this year, the largest manganese sinter plant in the world, backed by the IDC, will open in the town with the quaint name of Hotazel in the Northern Cape. I welcome the major shareholder, Ms Daphne Nkosi, whose company will be producing 2,4 million tons of manganese sinter for ferromanganese smelters. [Applause.]
Hon members, following public consultation, I have decided to issue a trade policy directive in terms of section 5 of the International Trade Administration Act to limit the export of scrap metal so that this resource ... [Interjections.]
The CHIEF WHIP OF THE OPPOSITION: House Chairperson, I have a point of order. I think the hon Minister has forgotten the name of the Guptas on his donors list. [Laughter.]
The HOUSE CHAIRPERSON (Mr C T Frolick): Hon member, that is not a point of order. Let us avoid frivolous points of orders.
The MINISTER OF ECONOMIC DEVELOPMENT: I will encourage the hon member to ask the leader of his party what the nature of her relationship is in that case. [Applause.]
Hon members, following public consultation, I have decided to issue a trade policy directive in terms of section 5 of the International Trade Administration Act to limit the export of scrap metal so that this resource is used in South African foundries and steel factories, saving energy, creating local jobs and promoting infrastructure development. To strengthen regional integration, manufactured exports to the rest of Africa rose by about R20 billion or 21% in this past year, now accounting for more than 90 000 jobs in South Africa. Tomorrow, we will be hosting the World Economic Forum Africa Summit here in Cape Town, and this follows the successful Brazil, Russia, India, China and South Africa, Brics, Summit hosted by President Zuma six weeks ago wherein we announced the establishment of a Brics-led development bank and signed a number of partnership agreements with Brics countries and investments.
Hon members, the New Growth Path calls for greater economic inclusion, through small business development and youth employment. Today, 1,6 million more young people under the age of 35 are working than in 1995, and school and university enrolments are dramatically higher, as even critics of government concede. As University of Stellenbosch research released a few weeks ago show, in less than a generation we have more than doubled the number of graduates in our labour market. Three weeks ago, we signed a Youth Employment Accord at Hector Pieterson Memorial in Soweto, in front of a 2 000-strong crowd of young people, bringing together the efforts of the public and private sectors. The Youth Employment Accord provides for a comprehensive approach, which includes incentives, commitments and action to address the problem from its starting point, inadequate skills formation. It provides for work experience through internships and, most importantly, new jobs for young people.
I would like to welcome the delegation of youth leaders led by Thulani Tshefuta and Yershin Pillay, who is in Cape Town today to attend a workshop on youth entrepreneurship and the Youth Employment Accord. Welcome to the youth team! [Applause.] To support the Youth Employment Accord, the IDC announced a R1 billion Youth Fund to provide concessional lending to youth-owned enterprises that create jobs. I am pleased to announce today that the new Small Enterprise Finance Agency, Sefa, will make R1,7 billion available, over the next five years, to youth enterprises with a target of R220 million in this financial year. [Applause.] This combined "fighting fund", if you like, of R2,7 billion is mobilised so that young people are mainstreamed into our economy. My small business advisory panel has noted the substantial resources available to small businesses through various Budget Votes, but delivery is fragmented, costly, with very little integration of funding and business support. We are beginning to address this, though our work is by no means done.
In April last year, we launched Sefa, bringing together three small business funding programmes, bedded down the institution and expanded the lending rate. Last year, Sefa approved loans worth R435 million, which is 106% higher than its predecessors did the previous year. We have now created the machinery to vastly increase access, impact and the level of small business support. By next year, Sefa plans to approve annual funding of more than R1 billion to more than 20 000 small, medium and micro enterprises, SMMEs. That is practical action to support people entering the economy.
I would like to welcome Ms Magdalena Paledi, a female entrepreneur contracted by Anglo Platinum who is here with us today. [Applause.] She is building a school in Serafa village in Sekhukhune. Her company is a beneficiary of Sefa funding. Over the next five years, Sefa plans to provide R2,3 billion for women-owned enterprises, with R295 million this year, so that women are more actively represented in the economy, but also, so that the economy can benefit from the enterprise that drive the energy of women.
We financed a training programme for 100 young people in partnership with the SA Institute of Chartered Accountants. One of the graduates is here today, Ms Thandeka Nyani, who works in the Sefa business hub as an accounting clerk supporting small business clients. I am pleased to announce that a further 170 young people will be enrolled in this programme from this year. [Applause.] We now intend to take the small business programme to our people through 18 large community roadshows, meetings in rural areas and townships, with a special focus on youth and women.
To meet the numerical targets in the Youth Employment Accord, government entities will adjust regulations and tender conditions to bring more young people into infrastructure programmes, the green economy, call centres and other business process services. Social dialogue has been stepped up. Last year, EDD provided support to the Presidency to conclude the October Social Accord that brought the strike wave in the mining sector to an end. Ministers Chabane, Shabangu and Oliphant are now driving the follow-up of this accord.
I have released a report today on the progress with the various accords on skills, the green economy, local procurement and basic education.
I would like to welcome learners from Litha Primary School who are with us today. They are benefitting from one of the social accords through the adopt-a-school pledge. [Applause.] Looking ahead, we need an accord or social agreement to address industrial relations in infrastructure programmes.
Hon members, the budget allocation for this financial year for the Economic Development Department amounts to R772 million, of which R231 million goes for small business funding; the amount of R193,8 million for the competition authorities; the amount of R79,8 million for trade administration; and R108 million to the IDC for the agroprocessing fund. The department's budget for operations and capital spending is R159 million. Hon members, the Budget Vote of EDD is a window across programmes in many different departments and all them have helped to achieve these goals.
I would like to thank my colleagues in the economic cluster; those who work with the department in the PICC; Deputy Minister Mkhize; the director-general, Ms Jenny Schreiner, and her predecessor, Saleem Mowzer; the agencies and the heads of the Competition Commission and Itec; the Development Finance Institutions; the heads of the Industrial Development Corporation and Small Enterprise Finance Agency; and the staff of the department and the Ministry. Our work benefitted from engagements with social partners. I would like to thank the shop stewards, managers and workers who are driving economic development in the cold phase of our economy. Finally, I would like to thank my family for their support.
I now table the Economic Development Department's budget for consideration by this august House. Thank you very much. [Applause.]
Mrs E M COLEMAN / KC/ END OF TAKE
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 7 May 2013 Take: 312
"National Assembly Chamber Main",Unrevised Hansard,10 May 2013,"Take 312 [National Assembly Chamber Main].doc"
"National Assembly Chamber Main",Unrevised Hansard,07 May 2013,"[Take-312] [National Assembly Chamber Main][NAC-Logger][ct].doc"
The MINISTER OF ECONOMIC DEVELOPMENT
Mrs E M COLEMAN: Hon Chairperson, Minister Patel, Deputy Minister Mkhize, other hon Ministers and Deputy Ministers from the economic cluster present here, Members of Parliament, distinguished guests, special guests of the Department of Economic Development, ladies and gentlemen, let us from the outset, congratulate the department for its positive audit outcome once again. [Applause.] Since its inception it has been receiving unqualified audit outcomes. This represents an institution that has good corporate governance practices.
There is a saying that goes that the future can be defined by where we come from. Thus defining the historical background will clearly define the Department of Economic Development, its mandate and its objectives. In addition, it would be important to give the highlights about the department's evolution. The policy origins of the department is to be found in the economic transformation resolution of the 52nd National Conference of the ANC held in Polokwane in December 2007. The conference resolved the following.
Firstly, in order to achieve the necessary economic growth and development, the building of the strategic organisational and technical capacities of government in the context of a democratic developmental state is essential. Secondly, a strengthened role of the central organs of state, including - through the creation of an institutional centre for government - wide economic planning with the necessary resources and authority to prepare and implement long and medium-term economic and development planning, have to be established. Lastly, the integration, harmonisation and alignment of planning and implementation across all three spheres of government and with the development finance institutions and state-owned enterprises, including - through the development of coherent intersectoral at national level and the alignment of local implementation in terms of the Integrated Development Plans,
IPDs, of metro, district and local municipalities, had to be realised.
It was in the light of the above that the Department of Economic Development, EDD, was established in July 2009. It is just only four years old and it begins its fifth year. The department was created with the sole aim of creating decent work through meaningful economic transformation and inclusive growth. The ANC-led government through the EDD for the past four years, despite its young age, has managed to co-ordinate a response plan to the global economic crisis; processed its mandate on the alignment of jobs; completed the development of the New Growth Path in 2010; aligned the work in government to the New Growth Path; started implementing Outcome 4 on jobs and growth; and launched work on infrastructure jobs driver.
It refocuses the Industrial Development Corporation, the Competition Authorities and the International Trade Administration Commission on jobs. It has initiated dialogues to develop social accords on key NGP areas. The latest one is the signing of the Youth Employment Accord. As the department, we recommend that we need to expedite the implementation of this accord.
We managed to consolidate small business entities, that is, merging the SA Micro Finance Apex Fund, Samaf and Khula Enterprise Finance into one entity now called Small Enterprise Finance Agency, Sefa. It has been fully integrated under the Industrial Development Corporation, IDC. We have launched and implemented the infrastructure plan and strengthened NGP focus on industrial policy.
The President, in his state of the nation address, re-emphasised the importance of infrastructure as a vehicle for job creation. A number of infrastructure projects were indentified for implementation. The department should be commended for its active role in the Presidential Infrastructure Co-ordinating Commission.
The Minister is the head of the Presidential Infrastructure Co-ordinating Commission's Secretariat. The department's key role is that of co-ordinating and integrating the work of various departments and providing secretarial services to the PICC with regard to the implementation of the National Infrastructure Plan. In the light of this we would like to commend the collaborative approach and efforts in the above regard by the government. This shows the dying of the silo approach in doing government business.
Having said the above, it is worth mentioning also that this could not be achieved without challenges. In the committee's engagement with the department the following challenges, amongst others, were noted. Firstly, the policy mandate of the department is quite clear. It was established to ensure integration of existing functions and mandates of government departments; to co-ordinate the work of finance institutions and regulatory agencies; and to implement the plans and decisions of the executive structures of government with the main focus being on ensuring achievement of better jobs and industrialisation.
The scope therefore tends to be wide and it cuts across other government departments. Thus it requires extensive co-ordination and co-operation with other departments. If not really attended to, this may pose a serious challenge to the achievements that we have made.
Secondly, there is a lack of an impact assessment and monitoring tool which would enable easy reporting of the department, entities and other stakeholders on the impact of development issues such as jobs, poverty, inequality, small, micro and medium enterprises, SMMEs, development, etc. Moreover, the existence of such a tool would have enabled easy monitoring of the NGP targets.
Thirdly, the role of the regulatory bodies in ensuring industry competitiveness, fair trade and addressing anticompetitive behaviour will need to be enhanced. It is clear that, going forward, we need to ensure that we also assess the outcomes of the decisions made by the regulatory bodies. This will enable us to determine the impact of those decisions on the poor and the development of the SMMEs and co-operatives. For example, we would want to be able to answer questions such as what happens after price collusions have been detected, confirmed and a penalty charged on food prices. Does the baseline price change or remain high to the detriment of poor households? As a consideration, do we need to enforce certain conditions that would favour poorer households or reciprocity commitments towards attainment of government goals?
Fourthly, there is the enhancement of co-ordination of the work of the national and provincial economic development departments. We still see elements of silos in some instances. We feel that this needs to be strengthened together with the human resource capacity that would ensure speedy processing and implementation of priority initiatives and projects by the department. We see this as a major challenge.
Notwithstanding the above challenges, we would still want to welcome and commend the department for having taken a positive approach addressing most of the above challenges. For example, an impact assessment and monitoring tool is in the process of being developed to monitor and assess the impact on the work of entities with regard to job creation and other development indicators.
Going forward, the entities that report to the department will be held accountable for direct impact on jobs and development. In future, the department would therefore be able to give detailed reports with regard to impact and progress made on jobs.
While we look at internal challenges we should not fall short of mentioning other external challenges that serve as a hindrance to the advancement of the work of the department and government as a whole. The external challenges that confront our country have been the subject of considerable debate both in the world economic forums, amongst economists and developmental economists. What has been central to these debates is that classical economic theory has contributed manifestly to the global economic challenges we have today.
The ANC-led government's response reflects the growing progressive economic theory posture that the state must of necessity intervene in the economy so as to ensure the necessary growth required to build the economy. Our countercyclical fiscal economic stance, as articulated in the New Growth Path, provides the strategic economic approach and provides for continued financing of the infrastructure programme and the industrial strategy, both of which will result in greater levels of growth in the economy over the medium-term.
It is also important to indicate that despite the department having made much progress within its four years of existence, there is consensus that more is still needs to be done. The unemployment level is still high and youth unemployment in particular is still a challenge. I think we've heard the statistics by Statistics SA. I don't need to go through it, especially its impact on the youth.
The need to improve performance of productive sectors of the economy, like manufacturing, mining and beneficiation, agriculture and agroprocessing, cannot be overemphasised. More still needs to be done with regard to the development and financing of the SMMEs and co-operatives, especially with more focus on women, youth, the disabled and rural population. Together with the department, as the portfolio committee, we are prioritising our interventions in this regard. For instance, a round table forum is being organised to look at the challenges facing the survivalists, SMMEs and co-operatives, including women, people living with disabilities and those in the rural areas with the whole aim of finding appropriate and effective solutions. My colleague, hon Mabasa, will elaborate more on this subject.
The triple challenge facing the country is multitude and have manifested themselves over a long period since the apartheid era. The challenges require effective and honest dialogue, co-ordination and strong partnerships involving both the private sector and public sector, not forgetting civil society.
It is important to note that the Budget Vote today is well timed. It is happening in against backdrop of the World Economic Forum on Africa 2013, which is starting tomorrow just behind this venue, thus bringing hope to finding solutions to the economic growth challenges facing not only South Africa, but also the continent. We would like to join the leadership of the country in welcoming the distinguished guests and members participating in the World Economic Forum. We wish them successful deliberations and outcomes.
In conclusion, let us not forget that the socioeconomic challenges facing our country will need much more than the Department of Economic Development's effort, but rather a concerted effort from every member of this nation, including the partnership I have alluded to earlier.
Let me thank the department and its entities for their continued co-operation and wish them well in their 2010 endeavours. We would also want to thank the members of the portfolio committee and its support staff for their continuous wisdom in overseeing the work of the department. We recommend that the House supports the EDD Budget Vote, No 28, of R771,466 million. I thank you. [Applause.]
Mr K S MUBU/Arnold / GC / END OF TAKE
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 7 May 2013 Take: 313
"National Assembly Chamber Main",Unrevised Hansard,08 May 2013,"Take 313 [National Assembly Chamber Main].doc"
Mrs E M COLEMAN
Mr K S MUBU: Chairperson, hon Ministers, hon Deputy Ministers, hon members, distinguished guests, ladies and gentlemen, the Department of Economic Development is four years old this year, after having been established in 2009. Amongst other things, it was meant to promote economic development through participatory, coherent and co-ordinated economic policy and planning for the benefit of all South Africans.
The DA believes that the department is an unnecessary addition to an already bloated and large executive team. [Interjections.] It is our view that this department was created as a payback or reward by President Zuma to some elements that supported his ascendency to the highest political office in the land. The department is unnecessary and much of what it does and performs is done by other departments. For example, some of the functions and oversight responsibilities have been cannibalised or cloned from other departments, such as the Department of Trade and Industry, DTI, and the Treasury, in order to give it credence, relevance and legitimacy. In fact, the only thing the department does is co-ordinate, co-ordinate, and co-ordinate.
It should be noted that the department's target of creating five million jobs by 2020 is a distant dream, given the fact that the country is facing slow economic growth, which has been revised down to 2,8% by the International Monetary Fund, IMF, for this year. The unemployment figures that were released yesterday by Statistics SA show that we are far from achieving work opportunities for the 4,6 million people who are currently out of work.
The New Growth Path, which the department sees as a way to eliminate unnecessary red tape, to improve competition, and to enhance development skills should be abandoned in favour of the National Development Plan, NDP, which is South Africa's only hope of achieving economic growth and creating jobs. The NDP has been embraced by business and other sectors as the answer to addressing South Africa's many socioeconomic ills, except, of course, for Cosatu and some of its affiliates who characterise it as lacking concrete proposals for tackling the problems of poverty, inequality and unemployment.
The DA sees the NDP as having set some laudable goals for addressing some of the challenges. Our leader, Helen Zille, had stated that the DA's 8% growth plan "dovetails in large measure with the NDP". She said:
We believe it is the plan behind which South Africans can unite to achieve a sustained economic growth rate of 8%. We know that no country has ever overcome poverty and unemployment without substantial sustained economic growth. This must be our central focus.
I agree with the Minister in the Presidency, Trevor Manuel, who once said:
But if we do not at least double the size of our economy, there won't be labour absorption and then the big risk that afflicts our country is that tens of millions of unemployed and frustrated young people will burn the country down.
The recently signed Youth Employment Accord will fail to provide any workable solutions to the youth unemployment crisis facing this country. This is because the Youth Employment Accord does not include a youth employment tax incentive. It is contradictory to the NDP and will not be effective in creating the 4,7 million jobs we need to provide for South Africans under the age of 34. In short, it is economically unsound, unrealistic, and will have distortionary effects on the economy. The DA has always advocated the implementation of a youth wage subsidy, which the President announced in 2010 in his state of the nation address. Of course, the pressure from Cosatu has resulted in a watered-down version of the original idea of a youth wage subsidy.
The DA had proposed the rolling out of a national wage subsidy programme to reduce barriers and encourage job creation. The plan had envisaged the introduction of a comprehensive vocational training and apprenticeship programme as a tool to address critical skills shortages and enhance the interface between planning and employment and reforming Nedlac so that it is not dominated by economic insiders but rather works to promote economic growth, job creation and poverty reduction. The DA had proposed the expansion of the National Student Financial Aid Scheme to help more people to access higher education and to gain marketable skills. As we all know, the department plays an oversight role over three regulatory bodies and two development finance institutions, namely the Competition Commission, the Competition Tribunal, the International Trade Administration Commission, the Industrial Development Corporation, and the Small Enterprise Finance Agency, Sefa.
An economist was once asked whether markets were good or bad for economic development. In reply, the economist said that markets are as good as the economy they keep. Competition policy means making markets work, by ensuring that companies keep good company. That means that they do not collude against consumers and that they compete to win customers. The Competition Commission needs to be commended for its crackdown on the cartel of six competing companies in the glass manufacturing industry who came together to avoid competition, by agreeing to fix the price of their product at a higher level than the price that would have been determined in a competitive market. This is not only bad for customers, but it is also bad for the economy. The commission also needs to be commended for its recent exposure of the major construction companies in their bid collusion in the building of Fifa Soccer World Cup infrastructure prior to 2010. As we all know, this commission was set up to investigate such complaints of collusion, cartels and price-fixing, whilst the Competition Tribunal and Competition Appeal Court act as adjudicating bodies.
As of 1 April 2013, the Competition Amendment Act came into effect, thereby providing the commission with teeth to undertake market inquiries into the various sectors of our economy. I understand that the first such market inquiry involved the health care sector where, according to the Minister of Health, Dr Aaron Motsoaledi, prices are artificial and distorted.
In my view, the other sectors that need investigation are the print media industries, the food retail, the food production, and the cellular industry. The cellular industry in this country has been accused of ripping off the consumers by charging one of the highest call rates in the world. In order for the Competition Commission to undertake the market inquiries, it is important that it is equipped with the necessary skills and personnel. I wish therefore to appeal to the hon Minister to provide the commission with adequate resources to undertake this important task of protecting the consumer. The Competition Commission therefore plays a very critical role in the economy of this country, particularly given the fact that we have such high unemployment levels. Its role should be seen as managing the delicate balance between promoting efficiency whilst, at the same time, protecting jobs by way of the public interest provisions of the Competition Act. It is therefore with much concern that we note that the commission is beset with serious governance issues and reports of maladministration. It is also reported that the Public Protector has launched an investigation into the commission. Of course, the nature of this investigation is not yet known.
With regard to these reports, last year in August, I posed a parliamentary question to the hon Minister in which I wanted to know how he was addressing these challenges in the Competition Commission. His response was:
I have taken note of reports on internal challenges in the Competition Commission. The best interest of the commission and its staff require that internal processes be completed prior to any public statement being issued. The department is now addressing these matters.
Last year, in November, I also wrote to the Minister to request a report arising from that internal process that he referred to in my question to him. Up to now, I have not received any response to that letter. At the beginning of this year, I again sent a letter, in which I asked the Minister whether I could please have a copy of that report. Nothing has come forth. Needless to say, these reports are disturbing, and the Minister should show that he is fulfilling his responsibilities to the entity and the people of this country. We are still awaiting clarity on the steps to be taken by the Minister to ensure that the areas of concern are addressed as a matter of urgency.
According to the study done by the Global Entrepreneurship Monitor at the University of Cape Town, Graduate School of Business, early-stage entrepreneurial activity in South Africa last year dropped to 7,3% from a high of 9,1% in 2011. The report says this is below the average of countries with a similar development level. The picture painted by this report is rather bleak, Minister. It shows that only 14% of individuals intend to pursue a business opportunity within the next three years; well below the 27% average. South Africa's established business rate of 2,3% is the second lowest in the world, according to the report.
This is a disturbing picture in view of the fact that small, medium, and micro enterprises, SMMEs, are supposed to be the answer to creating job opportunities for the multitudes of unemployed people in this country. Another study found that SMMEs described the regulatory environment in this country as complex, burdensome and imposing unrealistic demands on business. South Africa has become less accommodating to SMMEs over the past year. The study found that 74% of SMMEs agreed that running a small business has become more difficult. The NDP also highlights the importance of SMMEs in contributing to alleviating unemployment in this country. It further highlights the need to reduce the cost of doing business for small businesses and emerging enterprises.
It is important to note here that the Small Enterprise Finance Agency is really failing SMMEs by allowing intermediaries to charge up to 40% interest on small loans. At the same time, it has created unnecessary red tape for entrants to the market, making it very difficult for small businesses to grow and to create jobs. The proposed Licensing of Business Bill by Minister Rob Davies of the Department of Trade and Industry is an affront to the NDP and will add an unnecessary regulatory burden to businesses, particularly small businesses. Business Unity SA and small business representatives have expressed concern that this Bill will be badly enforced, as existing laws already make it harder for people trying to run an honest business. We in the DA do not see how this Bill will improve efficiency in regulating and cutting red tape. In fact, this Bill intends to impose more red tape on the system.
Chairperson, infrastructure development has been identified as another way in which massive numbers of jobs can be created in this country. In his Budget Speech, the Minister of Finance, Pravin Gordhan, had indicated that over the next three years, R827 billion is planned to be spent by the fiscus and state-owned companies to build infrastructure. The Presidential Infrastructure Co-ordinating Commission, PICC, which is supported by the Department of Economic Development, has the responsibility of providing facilitation and co-ordination of infrastructure development in the country. In view of the crucial nature of the contribution to economic development of the infrastructure roll-out programme, the DA is of the view that this entity should be housed under the NDP and, by extension, the Presidency and not under this department.
Direct foreign investment, is important for the country's economic development. However, conditions that are required to attract foreign direct investment are sometimes threatened by hostile and violent labour unrest as we have seen in the recent past. The recent merger of Walmart and Massmart presented us with lessons on how to treat foreign investors in our country. While the Department of Economic Development and two other departments of government wasted taxpayers' money on unnecessary court action to oppose the merger, it is gratifying to hear that Minister Rob Davies was reported to have praised the merger as a major success. Well done. It is also reported that the R200 million Local Supplier Development Fund has resulted in the production of 500 tons of fresh produce, in Limpopo alone, to the value of R3 million within a period of six months.
Finally, the department has been allocated a budget of R772 million for the 2013-2014 financial year for its programmes, namely Administration, Economic Policy Development, Economic Planning and Co-ordination, and Economic Development and Dialogue. This is an increase of more than R75 million over the 2012-2013 period. I thank you. [Applause.]
Mr L S NGONYAMA/ /Mia/ END OF TAKE
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 7 May 2013 Take: 314
"National Assembly Chamber Main",Unrevised Hansard,27 Jun 2013,"Take 314 [National Assembly Chamber Main].doc"
"National Assembly Chamber Main",Unrevised Hansard,07 May 2013,"[Take-314] [National Assembly Chamber Main][NAC-Logger][ct].doc"
Mr K S MUBU
Mr L S NGONYAMA: Hon Chairperson, the unprecedented opulence in our country, of two nations, contrasts with the deprivation, destitution and economic oppression. Overcoming this problem has to be a central part of economic development.
The severity of inequality in South Africa is reflected in the country's Gini coefficient, which is currently at 0,7. Employment statistics released yesterday showed that unemployment has increased by 100 000 in the last quarter. At present 4,6 million people are unemployed and 2,3 million are discouraged work seekers.
According to the annual national perceptions audit of 2012, 54% of respondents agreed with the statement: "I'm afraid I might never get a job in South Africa." This situation is untenable. There is no silver bullet that solves the problem of unemployment, whether ideologically shot from the left or the right.
Poverty and inequality cause unemployment, and unemployment causes poverty and inequality. It is a vicious cycle that must be broken. The best and most useful economic strategies must be employed, with no total commitment to ideological leanings.
If poverty and inequality are to be reduced, policy-makers cannot rely on the so-called ruthless growth that leads to increased income inequality. Contrary to some perceptions, inequality hinders growth. If South Africa is to accelerate economic growth, it has to mainstream the eradication of poverty. It has to be the core priority of our economic policy.
Poverty is widening and deepening. Solutions are absent while promises abound. Let us make no mistake; this is a ticking timebomb, and the real danger lies in failing to genuinely address poverty, inequality and unemployment. Now is the time for concerted and concentrated action.
The National Development Plan, NDP, and the Industrial Policy Action Plan, Ipap, talk about long-term visions and long-term programmes. What is needed at the present moment is for the NDP to be divided into five yearly programmes, so that it is effective and properly monitored. The relationship between the unwieldy Department of Trade and Industry, DTI, and the slimmer Department of Economic Development must be sorted out so that the mandate of the economic department must be clarified and be explicit.
Overindebtedness of South Africans is a matter of great concern. In July 2012, Property24 reported that 6,2 million consumers had impaired debt records. Of these, 2,3 million had their accounts handed over for collection. Another 3,8 million were three months and more in arrears with some of their accounts.
Predatory microlenders and unsecured lending offered by African Bank, the country's biggest unsecured lender, amongst others, is deepening the financial crisis and exacerbating poverty. We need to know why this is allowed to happen despite the Financial Intelligence Centre Act, Fica, being in place.
On the question of Small, Medium and Micro Enterprises, SMMEs, the development finance institutions, DFIs, must make finance as well as professional business support available, and not act like banks by making the interest rate exorbitant, unreachable and unaffordable to ordinary people. In addition to finance, training needs to cover entrepreneurs who lack formal education in business. The private sector incubators alone cannot be relied upon.
Industrial development zones, IDZs, and special economic zones should be concentrated in areas where there is existing infrastructure. Here I refer to places like Dimbaza, Bophuthatswana, Qwaqwa and even here in the Western Cape, in the Atlantis area. Idle infrastructure deteriorates and creates no jobs. It is deplorable that government is not making use of these available resources to create jobs.
Economic initiatives such as the Pebble Bed Modular Reactor and the Joule electric car, which cost our country billions of rands, were quietly written off. Why was this allowed to happen? We have also not been answered satisfactorily on why Mthombo, the proposed refinery in Coega, has not yet come to fruition. What else is going on at Coega?
With regard to manufacturing, the government has failed to create downstream beneficiation of our natural resources like gold, diamonds and platinum. We are effectively exporting jobs to other countries, hence the higher unemployment that is facing us. The model that renders the automotive sector workable is to be commended. However, why is a similar model with regard to agroprocessing not adopted? Perhaps the Brazilian model should be used in this case.
While having some of the best universities on the continent, South Africa has not exploited the available capacity for research and innovation that would make our country the owners and developers of intellectual property. The Joule car is an example of a lost opportunity.
With regard to international trade – through the International Trade Administration Commission, ITAC - we have experienced agreements that expose our country to the dumping of cheap goods in our markets, especially from the European Union, EU. However, the relevant Ministries have not intervened in this regard. Why is the worsening of the balance of trade not being properly monitored?
With regard to the management of our Budget, the national debt has increased by R1 trillion in the past five years. At the same time, the Gross Domestic Product, GDP, has continued to be lower than projected. If the national debt had been incurred to accelerate infrastructure development only, the borrowing and expenditure could have been regarded as countercyclical, but unfortunately this is not the case.
Loss of moral values has seen a squandering of resources without consequences. The more than R240 million spent at Nkandla is a national scandal, and an insult to the poverty-stricken of our country. The discontent of the workforce has therefore increased, as evidenced during the Marikana massacre, and Ficksburg, where Andries Tatane was mowed down by the SAPS.
The same kind of desperation that inflamed the Arab Spring is now increasingly evident in our country. The landing of the Gupta plane at a national key point ... [Interjections.] ... shows how pervasive the moral loss in our countrty has become. [Interjections.] Fair play no longer exists, and blatant favours open the way for the well connected. The continuation of this state of affairs will create a negative investment environment for our country. [Interjections.] Some intervention needs to be made in this regard.
The Public Infrastructure Co-ordinating Committee must be fully energised as this can set a very good platform to create more jobs. The department earned an unqualified audit, and therefore has the opportunity to come out of the shadows and to exert itself for the betterment of South Africa. A small window of opportunity is all that is left as the clock continues ticking. I thank you. [Interjections.] [Applause.]
Mr Z C NTULI / TH/ END OF TAKE
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 7 May 2013 Take: 315
"National Assembly Chamber Main",Unrevised Hansard,10 May 2013,"Take 315 [National Assembly Chamber Main].doc"
"National Assembly Chamber Main",Unrevised Hansard,07 May 2013,"[Take-315] [National Assembly Chamber Main][NAC-Logger][ct].doc"
Mr L M NGONYAMA
IsiZulu:
Mnu Z C NTULI: Sihlalo , oNgqongqoshe abakhona, amaPhini, amalungu ahloniphekile kanye nezivakashi zethu, inkulumo yami izogxila entuthukweni yezimboni kanye nezindaba ezithinta ukuqhudelana, nokuthi lokhu kube nomthelela ongakanani ekuthuthukeni komnotho.
Intuthuko yomnotho incike kakhulu ekusebenzeni kahle kwezimboni. Lo hulumeni oholwa uKhongolose wethule inqubomgomo yokuthuthukiswa komnotho wezwe phecelezi i-New Growth Path njengohlelo oluzokwazi ukuthi lufeze amaphupho esizwe entuthukweni yomnotho kanjalo nesizwe ngokubanzi.
English:
Chairperson, at the ANC's 52nd National Conference in 2007 we resolved that we needed to develop an active and well-resourced industrial and trade strategy aimed at creating decent work. We now have an Industrial Policy Action Plan 2 and a developmental Trade Policy Strategy and Framework. These two policy documents are at the centre of the New Growth Path and Development Plan. Whilst the Industrial Policy Action Plan identifies sectors that should be supported, a major challenge that it confronts is to prioritise catalytic sectors, to build and broaden industrial linkages between these sectors.
The Administration has placed jobs at the centre of the mandate of the Industrial Development Corporation, IDC, and Competition Commission. This is consistent with the call in the manifesto of the ruling party that was endorsed by the electorate in 2009. This is what democracy is about, giving effect to the will of the people.
We have served in the portfolio committee since its establishment in 2009, and we have seen a dramatic shift in the level of industrial funding and projects that the department has announced on its own or through the agencies it is accountable for.
As the ANC, we welcome the expansion of investment approvals by the IDC under the leadership of Minister Patel. This is a more active IDC than the one we saw in 2009. In particular, it is helpful that government is not only focusing on the level of funding, but also on the cost of funding. Many companies have raised this as a serious challenge, because their competitors in Brazil and China are sometimes able to access cheaper loans.
The introduction of a new, low-interest facility to support companies that create jobs is consistent with our electoral mandate. This is what the ANC undertook to do and so we are pleased that the department and the IDC have introduced a facility priced at the prime interest rate less three percent. The IDC spent some R27 million over the past two years alone and we now expect it to deepen its developmental impact. We want to draw attention to the move by the IDC to encourage youth entrepreneurship and jobs for youth. This is what we mean by development. The Rl billion fund announced in Soweto must now be implemented with great energy so that young people can be drawn into new decent jobs so that we can offer hope to the young generation.
While the IDC has done well, there is more that our people expect in the year ahead. We need to focus on poorer provinces. The products of the IDC should be made more accessible at a local level. I welcome that the IDC will also be part of the planned Small Enterprise Financial Agency, Sefa, roadshows. The IDC should also have a facility to assist local entrepreneurs with the technical side of producing business plans.
The focus of the Competition Commission is greatly welcomed. There is sometimes a view in the public debate that competition is an end in itself, as if jobs do not matter or that jobs will simply come automatically from competition. We think that the competition policy is part of the tools that is available to government to help drive the broader economic goals. Sometimes greater competition on its own will be helpful in bringing new energy and innovation to a sector. At other times, we need to place employment conditions in mergers and acquisitions, as our laws clearly provide.
The economy must also provide opportunities for new entrants. For this reason, it is right that we tackle monopolies and cartels. We are pleased at the Minister's announcement on the investigation into the private health care industry. Some of its practices border on callously exploiting people's illness for profit.
The Pioneer Food settlement set the trend of competition settlements with companies that can benefit all South Africans. That settlement, hon members, led to the reduction in the price of bread and flour. It also led to a fine imposed on the company that allowed the Minister to set up an agroprocessing fund, which is now now administered by the IDC.
In this budget, we will approve a further transfer of monies to the IDC from the fines paid by Pioneer Foods. This fund is now creating new jobs in agriculture and the food industry. Last year, the Wal-Mart matter was finalised by the Competition Appeal Court. The Wal-Mart settlement showed that government is determined to ensure that any foreign company entering South Africa must support local industrial capacity. It has led to many workers being reinstated by Wal-Mart after they were retrenched just before the merger. It has led to a R240 million fund to support local industry. I hope hon Mubu, you get the difference. Hon members, the success with creating a manufacturing capacity for the taxi industry is very exciting. I used to work at Toyota Motors in Durban many years ago. I want to tell this august House that the factory is now expanding and taking in more workers. Sifiso Mhlongo is a 39-year-old worker from KwaZulu-Natal. His hometown is that of Impendle in the KwaZulu-Natal hinterland, near Pietermaritzburg.
IsiZulu:
UMhlongo ushadile unezingane eziyisishiyagalombili endala ineminyaka eyishumi nesikhombisa ifunda ibanga leshumi nambili. Uqashwe laphaya kwa-Toyota, eThekwini KwaZulu-Natali. UMhlongo kade engasebenzi iminyaka emihlanu ephila ngemisebenzana emincane ehamba ebamba lapha nalaphaya ukuze akwazi ukuthola okuya ngasethunjini. Lokhu bekwenza impilo yakhe ibe nzima azizwe engeyona indoda emzini wakhe. Kuthe ngoNtulikazi wezi-2012 uMhlongo wayesethola umsebenzi laphaya kwa-Toyota ngesikhathi kuvulwa inkampani yokuthi kwakhiwe amatekisi lawa athutha abantu KwaZulu-Natali. Lokhu kumsizile uMhlongo wakwazi ukuthi kube khona akwazi ukukuthola abuye nakho ezinganeni zakhe. Uqashiwe laphaya kwa-Toyota ku-assembly line futhi miningana imisebenzi ayenzayo ngoba uwumsebenzi oqeqeshekile.
English:
He is also used in the fitting of parts in the assembly line, parts such as lights, pipes and the radiator as he is multiskilled.
IsiZulu :
UBaba uMhlongo uqashe laphaya ehostela laseWema eThekwini ukuze kube lula ukuthi njalo aye emsebenzini. Uhamba ngezinyawo uma eya emsebenzi kwa-Toyota bese kuthi njalo ngezimpelasonto aye ekhaya eMpendle ayobona izingane zakhe. UMhlongo uthi uyabonga kakhulu ukuthi ukwazile ukuthola ithuba lokuthola umsebenzi akwazi ukondla izingane zakhe.[Ihlombe.]
English:
Our industrial policy is about creating opportunities for people like Mr Mhlongo.
IsiZulu:
SiwuKhongolose sithi Sihlalo, sizoshintsha ukwenza ukususa lezi zithiyo ezikhona ezibambezela intuthuko yezwe. Esesikwenzile kuyinkomba yokuthi lokho esikuthunywe yisizwe namaphupho abaholi abadala baKhongolose abanjengoLangalibalele Dube, uMafukuzela, oLilian Ngoyi, Walter Sisulu, Albertina Sisulu, Oliver Tambo, Chief Albert Luthuli, nabo-Braam Fischer kanye nabanye abaningi sizowafeza. Sizimisele ukufeza umbono wesizwe ngowezi-2030.
English:
We are determined to achieve our vision of 2030.
IsiZulu:
UKhongolose uthi asingalilahli ithemba... Ngiyabonga. [Kuphele isikhathi.] [Ihlombe.]
Mr M HLENGWA / GG// ZLU LIM CHECKED// END OF TAKE
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 7 May 2013 Take: 316
"National Assembly Chamber Main",Unrevised Hansard,27 Jun 2013,"Take 316 [National Assembly Chamber Main].doc"
"National Assembly Chamber Main",Unrevised Hansard,07 May 2013,"[Take-316] [National Assembly Chamber Main][NAC-Logger][ct].doc"
Mr Z C NTULI
Mr M HLENGWA: House Chairperson, hon members, at the outset let me indicate that the IFP supports Budget Vote No 28. And therefore everything I will say from this podium will be constructive. I hope there will be no noise.
The Department of Economic Development is charged with the all important mandate of spearheading job creation. Therefore the working of this department is, and remains the measuring yardstick of the progress we are making, or lack thereof.
At the epicentre of this focus is the National Development Plan, NDP, which should be a magnet in attracting and aligning all government plans. In this regard we trust, Mr Minister, that the New Growth Path will immediately align itself with the goals, visions and focus of the NDP.
Today I speak on behalf of millions of young people, my fellow brothers and sisters who struggle daily with poverty and unemployment a shared hopelessness. The desperation of our unemployed young South Africans is mounting and their patience is fast dwindling. In 2013, 19 years into our freedom and democracy, a crisis is rapidly approaching as unemployment levels continue to rise. We are sitting on a time bomb that should have exploded already. As much as 22,5 % unemployment is beyond critical and the efforts seeking to control the same are clearly not working.
It is in this vein that we must ensure that the plans and programmes we are debating today ultimately translate into jobs or at the very least job opportunities.
In preparation for this debate I took to Facebook to solicit views of young South Africans on how best jobs could be created. And the responses were at best constructive and hope-inducing. Although I cannot read all of them here for want of time, on the question of jobs I will read what Nkululeko Wangempela Mdletshe said, for it summarises best what young people feel should be done. He says: "It is important that government focuses more on quality and sustainable jobs..."
The IFP therefore fully supports the development of SMMEs and co-operatives. And we welcome the programmes that are being rolled out by the Small Enterprise Finance Agency, Sefa, and the Industrial Independent Corporation, IDC, to ensure that South Africans are enabled to create and build their own sustainable livelihoods through the business and entrepreneurial support they are receiving. This moves South Africa away from dependency and firmly onto the course of sustainability, self-help and self-reliance.
We impress on the department the importance of ensuring that Sefa reaches all South Africans, especially those in rural areas who were hardest hit by apartheid. Moreover, the duplication and overlap of roles and functions, with regard to co-operatives, between the Departments of Economic Development and Trade and Industry is of serious concern and a catalyst for confusion. This must be resolved.
The IFP has, as its contribution to the development of co-operatives, employed an expert on co-operatives from Kenya and is already training rural women on co-operatives in KwaZulu-Natal and other areas.
The failure to implement the youth wage subsidy does not in any way inspire hope and confidence in government's commitment to see through its own initiatives. And therefore, the National Youth Accord should not face the same fate of union resistance and a government that continually buckles under pressure.
The issue of jobs remains the most important and the most pressing matter that requires bold leadership from the Department of Economic Development. The IFP maintains that government should strive towards the creation of a conducive environment for businesses to operate and create jobs.
We are of the view that political freedom needs to be translated into opportunities and access to economic and social sustainable livelihoods for all. We cannot standby and watch those in power loot the country, whilst they sing the NDP 2030 economic emancipation lullaby for the poor. Twenty-thirty is today, and should not be seen to be 17 years from now.
The multiple accords signed by government departments nationally and internationally, particularly those related to job creation must be brought to life.
The Economic Development Department, EDD, must also ensure, Mr Minister, - we are expecting, from now on – that this department has its finger in every single pie, because the Department of Performance Monitoring and Evaluation is obviously failing to hold your colleagues and their departments to account. It is in the collective interest of economic development that all departments contribute positively and progressively towards the creation of a healthy and vibrant economy that is conducive to growth, development and job creation.
Therefore, Mr Minister, you must throw the book at all your colleagues who are not working towards the creation of such an economic environment, tell them - and you have got our support on this - it's either they shape up or ship out! I thank you. [Applause.]
Ms M M MOHOROSI /Sam / END OF TAKE
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 7 May 2013 Take: 317
"National Assembly Chamber Main",Unrevised Hansard,07 May 2013,"[Take-317] [National Assembly Chamber Main][NAC-Logger][ct].doc"
Mr M HLENGWA
Sesotho:
Mof M M MOHOROSI: Modulasetulo, Letona e leng Mohlomphehi Patel, Motlatsi wa Letona ya hlomphehang, Mme Mkhize, Ditho tse hlomphehang ka mona ka Ntlong le baeti ba hlomphehang, katleho ya tokoloho ya rona ya selemo sa 1994 e neile batho ba Afrika Borwa monyetla wa ho batla kgolo ya moruo.
English:
The ANC's 2009 Election Manifesto outlined a clear and unambiguous path for government in its role in trade and regional integration. It stated that the struggle against poverty and underdevelopment is also an international struggle; that foreign policy would need to continue to focus on efforts of reconstruction and development in the Southern African region and Africa in general.
In this context, the ANC government has continued to play a leading role in working towards regional economic integration in Southern Africa, and socioeconomic development on the continent. Specifically, this has meant building cohesion, unity, democracy and prosperity in the Southern African Development Community, SADC, and strengthening our capability to respond to the challenges we face.
The regional economic integration in Southern Africa that we speak of as the ANC is premised upon a fair, equitable and developmental basis, promoting SADC integration based on a developmental model that includes infrastructure development, co-operation in the real economy and development of a regional supply chain.
The approach is informed by the ANC and government's national economic policy framework, the New Growth Path. This provides bold, imaginative and effective strategies to create the millions of jobs South Africa needs. Of course, as the ANC, we agree that we need jobs because we are saying: A better life for all.
The framework also lays out a dynamic vision for how we collectively can achieve a more developed, democratic, cohesive and equitable economy and society over the medium term in the context of sustained growth. The shift to the New Growth Path has required leadership and strong governance. It has, in its implementation, taken into account new opportunities, the economic strengths we have, and tried to deal effectively with the constraints we face. Changing the character of the South African economy and ensuring that the benefits are shared
more equitably by all our people, particularly the poor, is a task. Let me assure you, we are equal to that task.
That unemployment is very high, we as the ANC are saying we are aware of. Because the hon Ngonyama is from the ANC, he knows about unemployment and poverty, and has been talking about these things. They did not start today, but started a long time ago. He failed during his time as Minister in the ANC-led government. [Applause.]
The strategy calls for a case-by-case analysis of tariff setting, ie each sector must be considered in its own right and in relation to its strategic role in the linkages of the economic structure. In this context, it is important that concrete trade policy instruments are urgently applied to support the domestic production of the types of goods that we have agreed to support through the Industrial Policy Action Plan, Ipap, and foster linkages between our growth sectors.
Emphasis should be placed on entering into highly beneficial bilateral trade agreements with nontraditional trading partners so as to tap into the potential presented in emerging markets such as China, India, Brazil and many African economies.
The HOUSE CHAIRPERSON (Mr C T Frolick): Order, hon members! Your noise levels are too high. I find it difficult to follow the speaker in front of me. I think it is also in the interest of all members that we listen to one another so that when we debate, we know what we are debating about. Continue, hon member.
Ms M M MOHOROSI: This serves as political education to others.
Sesotho:
Re na le dikamano le naha ya Brazil, Russia, China le India. Haufinyana re ne re tshwere kopano ya Brics e bileng le katleho e kgolo. Hona ke pontsho ya hore moruo wa rona o tla tswela pele ho ntlafala ho feta hona jwale. Ke e meng ya meralo eo re nang le yona bakeng sa ho fedisa bofuma. Ho molemo hore batho ba letsohong la ka le letshehadi ba ithute, ba mamele, ba bale mme ba etse diphuputso.
English:
As the ANC, we envisage an economy that fosters economic and regional integration; an economy that fosters relations with the global environment and has mutual relations with the North and the South, and is an essential component of a balanced regional economy which contributes to the growth and prosperity of Africa. The above are some of the elements that form the vision of the economic base of the national democratic society that we as the ANC seek to create.
Regional integration is one of the bases to foster inter-African relations that we as the ANC have pursued and will continue to pursue. This has been expressed through organisations such as the Southern African Development Co-ordination Conference, SADCC, the Preferential Trade Area for Eastern and Southern Africa, PTA, and the Economic Community of West African States, Ecowas.
From the onset, ours was to say that regional integration in Southern Africa would have to be based on the agreement of all countries in Southern Africa in order to form this regional economic community. This was because of our understanding, as the ANC, that this would enable balanced and stable regional economic development so that our relations with our regional compatriots would not, postapartheid, be perceived as what it was during apartheid, a hegemonic regional power.
Our attempts to accelerate the economic integration of the Southern Africa region through our goal of creating a free trade agreement within the SADC will be based on the premises of mutual benefit, equity and balance.
Sesotho:
Ke kahoo Mokgatlo wa Industrial Development Corporation, IDC, o thusang dinaha tse potapotileng Afrika Borwa. Re ka bua ka boikgantsho ka tswelopele tse entsweng ke Mokgatlo wa IDC mane Botswana, Lesotho, jj.
English:
The idea was and still is to increase South Africa's interests through our ANC-led government when it comes to relations with our traditional trading partners like the European Union.
We reflect on the legacy of apartheid and we are affirmative when we say that the ANC-led government has made great achievements and as such there is sharper regional and continental focus by our government.
South Africa is an essential component for regional and continental integration. This is because there is immense work that needs to be done to rapidly eradicate the challenges of poverty and sustained economic development, which are remnants of our colonial past. The notion is to eradicate poverty by ensuring that dependency on our colonisers is not entrenched through aid.
One of the drivers of regional integration is mainly continental, the New Partnership for Africa's Development, Nepad. Nepad basically calls for a mutual vision and a goal to eradicate poverty and replace this with a programme of sustainable economic growth and development. Ours, as the ANC-led government, is to implement economic programmes that will attain growth whilst eradicating poverty that will encourage investment, infrastructure, agriculture and regional integration.
Sesotho:
Batho ba batsho ho tloha kgale ba lekanngwa le bofuma. Le hona jwale ho thata ho ba basweu hore ba amohele hore batho ba batsho le bona ba ka kgona ho una molemo moruong ona wa naha ya rona. O tla bona le ho utlwa ha motho e motsho eka o a iphumana, ho ba le lerata ho tswa ho baqolotsi ba ditaba le Mekga ya Kganyetso hobane ba dumela hore ntho e nngwe le e nngwe e fumanwang ke motho e motsho ke bobodu.
English:
Hon Chair, thank you very much! [Time expired.][Applause.]
Mr M H HOOSEN / A N N / END OF TAKE
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 7 May 2013 Take: 318
"National Assembly Chamber Main",Unrevised Hansard,07 May 2013,"[Take-318] [National Assembly Chamber Main][NAC-Logger][ct].doc"
Ms M M MOHOROSI
Mr M H HOOSEN: Hon Chairperson, I want to start by congratulating the hon Minister because today he has successfully managed to fool many people into believing that the Department of Economic Development is actually achieving its mandate of developing the economy and creating jobs.
The hon Minister announced that R1,7 billion has been set aside by the Small Enterprise Finance Agency, Sefa, for youth entrepreneurship. This is simply not true. In the recent presentation in our committee, Sefa has informed us that of that R1,7 billion, only 30% has been set aside for youth-owned enterprises. The proof is in this document, hon Minister.
This is nothing short of a desperate attempt to recover lost ground in an election year to make up for the damage caused by the ANC for not implementing the President's promised youth wage subsidy. Therefore, we had the Minister engaged in a hastily convened Youth Employment Accord signing ceremony which is a nonbinding agreement anyway. It's like a ``pinkie promise'' to create jobs for the youth because if the role-players don't keep their word, the Minister can't really do anything about it and he would just be angry with them for not playing with him.
This is just another public relations, exercise aimed at fooling the poor and vulnerable youth who, for the past two decades, have been fed with promises, plans and excuses. We have heard all sorts of feel-good stories about how much of investment is being made in infrastructure development. Yes, we must give credit for that. But most of these projects are not being driven by this department anyway. The Minister simply cuts and pastes and borrows from the successes of other departments and reports these projects as the successes of his department. The Minister and the department have been relegated to a co-ordinating role and he is simply playing with the toys of his Cabinet colleagues, while claiming them as his own.
We all recognise that massive opportunity exists in our country to create much needed jobs by investing more resources in small businesses. This is covered quite extensively in the National Development Plan, NDP, and the New Growth Path.
Is this department really serious about developing small business? The fact that the Industrial Development Corporation, IDC, has set aside about R100 billion for big business and only R1 billion for the development of small businesses is a clear indication that this department and the Minister are not serious about developing small businesses in South Africa.
It comes as no surprise therefore that the latest unemployment figures have now risen to 25% and the promise to create those five million jobs by 2020 will not achieve its target if we continue on this nongrowth path.
The Minister, in his reply, would give us the worn excuse that it is the fault of the global economic environment and it would take some time for us to realise these jobs in the New Growth Path. Hon Minister, neither we nor the South African public buy this story any longer.
This is the department that is struggling for relevance. If Minister Patel wants to become more relevant and develop the economy through more job creation intervention, then this department must identify and create real economic opportunities for the historically disadvantaged and the poor. I thank you. [Time expired.] [Applause.]
Mr X MABASA
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 7 May 2013 Take: 318
Mr M H HOOSEN
Xitsonga:
Nkul X MABASA: Mutshamaxitulu, Holobye Patel, Vaholobye lava nga kona, Xandla xa Holobye, Hlengiwe Mkhize, Swirho swa Huvo na manana un'wana loyi ndzi n'wi hloniphaka swinene loyi a nga kona eka vaendizi lava nga kona haleno, Manana Daphne Mashile-Nkosi,
English:
I'm dedicating this speech to two very special people who are now late. We lost the first one last year, and the worst loss was a day before yesterday. Last year, we lost Mme Ruth Machobane, a genius at her best. Blind as she was, she helped to establish the National Organisation of the Blind in South Africa, Nobsa. The day before yesterday we lost the chairperson of the ANC branch in Pimville, the Mpete Mosaka Branch, where I am a member. We have lost Ephraim Nkwe, a founder member of the South African Youth Congress. He, together with Comrade Rapu Molekane, contributed in the liberation of this country.
Before I go very far, I want to illustrate that small, medium and micro enterprises, SMMEs, and co-operatives are very real. Look at these beautiful school shoes; they are from co-operatives. Look at this beautiful bag. It is manufactured by the Soweto Empowerment Zone in Diepkloof. Look at this briefcase and see how it locks and unlocks. Again, it is manufactured by the Soweto Empowerment Zone in Diepkloof. Look at this "xibelana" [traditional Vatsonga robe]... [Interjections.]
The HOUSE CHAIRPERSON (Mr C T Frolick): Order, hon members! Hon member, would you return to the podium, please. [Applause.] [Laughter.]
Mr X MABASA: My apology, Chairperson.
Xitsonga:
Xibelana xi endliwile hi vamanana ... [Nkavanyeto.]
Mr S B FARROW: Chairperson, on a point of order: Actually, you answered one of the things that I wanted to raise about walking away from the podium when delivering a speech ...[Interjections.]
The HOUSE CHAIRPERSON (Mr C T Frolick): Hon members, I can't hear the hon member while you are interjecting.
Mr S B FARROW: Normally, if there is any display of this nature, I would suggest that it be done outside of this House or in the exhibition. You can describe the items to the people working at ... [Interjections.]
The HOUSE CHAIRPERSON (Mr C T Frolick): Hon member, your point is noted. Hon member, continue with your speech, please.
Mr X MABASA: This pipe is used in the industry. I want to notify the complaining member that this is South African made and is also manufactured in Diepkloof, in Soweto. [Applause.] This is just to show that SMMEs work. [Interjections.] If you avoid provoking me, I may also avoid the temptation of reminding you that we are meeting all these challenges because of your granddad, Verwoerd. [Laughter.][Applause.]
The Budget Vote of the Department of Economic Development allows us to focus on small businesses and youth employment - two themes that the other hon members have spoken about in this august House. I have another bullet which I can produce; please behave.
As the ANC, we measure human welfare not only by the rate of growth of the economy, but by whether the economy grows to create jobs, empower the rural poor, bring township residents into the economic mainstream and offer hope to young people. Job creation is very important in this regard. Our challenge is therefore to find ways in which more of the nation becomes productive in the real economy - in the productive economy and not in stock exchanges.
This is where development of small business and co-operatives become so vital to our programmes in the National Development Plan, New Growth Path and the National Infrastructure Plan.
The history of small business support has never been good. During apartheid days black people were excluded from the mainstream economy. The only thing they were allowed to do was to buy, but not to sell. Licensing laws, property laws and business restrictions were hindrances. I can go on and on and this could take me back to Hertzog. [Laughter.]
While the democratic era changed much of these, we had not cracked the challenges of small business funding. Two years ago we had a multiplicity of funding agencies at national, provincial and local level. I am pleased that through the efforts of the Ministry of the department, we now have at least one small business funding agency at the national level. In the ANC we believe that co-ordination is the way to go. It is not a weakness, but a strength. [Applause.]
In the portfolio committee we have been engaging with the new agency to ensure that it is not simply the same as its predecessors. We want Small Enterprise Finance Agency, Sefa, to lend more - and be less expensive than other agencies - to the electorate and the poor.
Last year, this agency improved its lending rate to more than R400 million. This is twice as high as it was under the previous agencies, Khula and the SA Micro-Finance Apex Fund, Samaf. Once more integration is positive, therefore we welcome it. But even though it has increased substantially, it is still low and we want it to increase so that we make a meaningful impact on the lives of people. We raised this with the Minister of the Department of Economic Development earlier this year in the portfolio committee, and I am pleased to acknowledge that there is a big turnaround.
The announcement made by the Minister today that Sefa will increase its lending from 2014-15 financial year to over a billion rand is very welcome. We are concerned as representatives of the ANC in Parliament that many middlemen, in the form of retail financial institutions, are taking money from the state and lending it to the small business person at too high rates. The government aims and targets helping these people. We don't want the middleperson who charges so much that by the time the money reaches the end user, much of it is depleted.
Few weeks ago, Sefa held a mini roadshow in my area, Soweto, to showcase some of their products. That was helpful, but Soweto is big and we need many more roadshows. Minister, you mentioned 18 roadshows. But if you look at the whole country, 18 are not going to take us anywhere. You better have ways to multiply them.
Government must not hide the good things that it does. Communicate what you do. We are communicating now so that people may not say we communicate because it's election time. We communicate all the time.
One of the challenges we confront in South Africa is high youth unemployment. Not all youth find jobs in big companies. We must therefore help young people to use their skills and energy to start their own businesses and co-operatives. Let us be realistic, many of the commercial banks would be reluctant to back a young entrepreneur. Yet, youth entrepreneurs created Facebook and Google of this world. That is where Sefa comes in to provide a first loan to young people.
What I'm wearing here is a black economic empowerment, BEE, and co-operatives product. [Applause.] The trousers that I'm wearing here are also the product of the co-operatives. Mme Olga from Pimville made this attire. [Applause.]
On 18 April, the day on which the Youth Employment Accord was signed in Soweto, coincides with the day when the most important person, Enoch Sontonga, the writer and composer of Nkosi Sikelel'iAfrica passed on. This is a very historic day.
I support the Budget Vote. [Time expired.] [Applause.]
Mr B H HOLOMISA/ NN / GC / END OF TAKE
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 7 May 2013 Take: 319
Mr X MABASA
isiXhosa:
Mnu B H HOLOMISA: Mhlalingaphambili, namalungu abekekileyo ale Ndlu yoWiso-mthetho, ndiphakamela ukuxhasa le Voti yoHlahlo-lwabiwo-mali yama-28. Ningaqhwabi kakhulu, niza kulila kwangoku. [Kwahlekwa.]
English:
The dismal performance regarding employment proves beyond reasonable doubt that government's economic policies have failed to grow our economy at the levels required to reduce unemployment and eradicate poverty. This occurs against the background of the ever increasing gap between the haves and the have-nots. In addition, South Africa seems to be on a fiscal slippage. In the 2007-08 financial year, our budget balance declined from a surplus 1,7% to a deficit of 5,2% in the 2012-13 financial year. Our debt to gross domestic product, GDP ratio has increased from 23% in 2008 to approximately 40% in the 2012-13 financial year.
Corruption and wasteful expenditure in government have reached crisis levels. With the bleak picture I have sketched thus far, it is not difficult to conclude that South Africa is on the slippery slope to becoming a subinvestment-grade country. We need to take decisive steps to turn the situation around and there are, unfortunately, no shortcuts to long-term success.
To reduce unemployment, government needs to develop an environment that is conducive for small and large businesses to flourish. It must not be the current situation where you find companies that employ workers from neighbouring countries. The so-called outside investors that we find in every corner of South Africa do not give work to South Africans, but exclusively employ their families and friends.
We have to consider whether businesses should not be compelled to ensure that 60% to 70% of their staff complement is made up of South Africans. Government can develop the aforementioned environment by, amongst other things, ensuring that there is the required level of labour flexibility in the economy. This means that the labour market framework should enable businesses to frame appropriate responses to changes in market conditions. For this to succeed, government would need to begin to reign in its alliance partner, the Congress of South African Trade Unions, Cosatu, which seems only to be interested in protecting the interests of the employed at the expense of the unemployed.
In conclusion, in the past many raw materials were processed domestically, but today most of these factories are closing down in droves. The common denominator is their inability to compete with imports from countries where such products are subsidised by their governments. Government needs to root out corruption and wasteful expenditure in the system and adopt policies that are aimed at reducing its deficit and debt accumulation.
IsiXhosa:
Andinibethanga kakhulu noko, ndicebisile. [Kwahlekwa.] [Laphela ixesha.]
Mr S J MOHAI
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 7 May 2013 Take: 319
Mr B H HOLOMISA
Mr S J MOHAI: Chairperson, Ministers and Deputy Ministers, hon members, it is important to note that the Minister has presented a comprehensive account of the performance of South Africa's economy and once more dispelled the myth, particularly within the opposition parties, that the South African economy is crumbling. It particularly covers the massive investment in infrastructure that has got to encourage industrialisation of our economy, thus breaking the old apartheid economic structure. It could be that the fear of the DA and ID is located within that framework.
In February last year, our President, Jacob Zuma, inspired the nation during the state of the nation address with his vision on infrastructure development. He presented a bold plan to the nation, which was received well. Speaking today in the Budget Vote, it is pleasing to note the progress we are making with regard to the transformation of our economy. This is indicative of the bold plans and actions that have characterised systematic implementation of our transformation agenda.
Before I go any further, let me state that we are in a critical moment in unfolding our social transformation, in which the need to alter economic relations is looming larger as a main terrain and the pillar of our overall social transformation. It seems the consolidation of our democracy, going forward, largely depends on economic transformation. There can be no meaningful social progress without economic transformation.
Infrastructure development has long been identified as a major catalyst for economic growth and development in the policy positions and perspectives of the ANC. It is the hub for driving economic restructuring, transformation and development for meeting the economic and social needs of our people and for driving industrialisation. Such an industrialisation must put job creation and competitiveness of our economy at the centre of its outcomes. That is where the ripple effect of infrastructure comes in handy. Infrastructure development must create jobs in the construction of facilities, materials and machinery.
Infrastructure development must create jobs and build the competitiveness of our export industries by developing and expanding local technologies and machinery in the industries. Infrastructure development must therefore strengthen and develop the entire value chain of our local industries. Production industries must benefit on a sustainable basis from our infrastructure roll-out. That is the only way we can be competitive in international markets. The government therefore has to effectively use its procurement, which is relatively large, to develop local production industries.
The New Growth Path, NGP, whose main industrialisation programmatic base is the Industrial Policy Action Plan, IPAP 2, advances these gaols to a large extent. The National Development Plan, NDP, also takes this goal of infrastructure development forward by seeking to build local production industries. The world economy is now integrated and operates seamlessly. South Africa is a relatively small economy that can succeed better when it has sound links with other large emerging economies such as China, India, Brazil and Russia in the conglomerate of Brazil, Russia, India, China and South Africa, Brics.
Africa should not only be our growing trading partner, but our starting point. Today, trade among developing economies is much more possible because machinery and technologies for production are no longer an exclusive monopoly of the main global centres of Europe, United States of America and Japan, like it was approximately 30 years ago. This can have the desired effect of progressively changing the skewed global economic structures and also really change developing economies in the south for the better.
We should therefore welcome the R827 billion being spent by state-owned enterprises in the current Medium-Term Expenditure Framework, MTEF, as well as the R430 billion that is being spent by government departments on social infrastructure in the areas of education, electricity, health and roads. Alongside these allocations, we should also welcome the reforms in the procurement of infrastructure. These reforms are aimed at improving or strengthening the efficient delivery of infrastructure within the allocated budget.
The construction industry is historically an industry of a few large players who dominate the entire value chain in the industry. Government procurement must be continually improved to change the sad reality that persists. The recent cases of collusion reported in the media and highlighted by the Minister earlier on are now being investigated by the Competition Commission and are also a sad reminder of monopoly tendencies that are widespread in the construction industry.
Our competition authorities must therefore strengthen their mechanisms not just to minimise monopoly, but to root it out in its historical and contemporary manifestations. Monopoly blocks new entries and thus denies industry the necessary growth. Monopoly escalates prices because it is by nature rent-seeking and rent-securing.
Rail is a major opportunity to address both passenger and goods transport. I am very happy that the new Majuba Railway Line will be built in Mpumalanga this year to transport coal and ensure that our roads are not clogged with trucks. I applaud the announcement by hon Minister Patel that the state will localise the manufacture of trains, including locomotives, coaches and wagons. That will create jobs for South Africans and help to industrialise the country.
There are threats to effective infrastructure build. One of them is bureaucratic delays and another is high costs. With the Infrastructure Development Bill before this House, we believe it will go a long way in dealing with such bottlenecks.
The significance of the Local Procurement Accord is that it brings together the private, public and labour sectors to drive local procurement for the creation of jobs and will also help to improve competitiveness of our economy. These NGP Accords are not just paper agreements, therefore their success should be measured by the impact they make in achieving their development goals. The consistent commitment and reliability of all partners in driving the implementation of these accords is therefore very important.
We applaud the decision to set up a localisation unit for the Industrial Development Corporation, IDC, which will look at every infrastructure project to determine if its components can be made in South Africa. The Presidential Infrastructure Co-ordination Commission, PICC, drives the national infrastructure plan to co-ordinate the activities of 18 strategic infrastructure projects in a manner that will change the economy in relation to production, employment and equity.
This plan will therefore bring to the fore the necessary strengthening of the co-ordination of infrastructure projects in both planning and delivery so as to get maximum economic gains. Part of these economic gains should be a big expansion of our skills, based particularly in the area of artisans and engineering skills.
To conclude Chair, the ANC, as a leading force for unfolding the fundamental social transformation agenda mandated by its 53 rd national conference in Mangaung, will ensure that these progressive policies, which will be for the better and change the conditions of life of our people will be implemented without fail. We will not be diverted, for this is not just a mere debate for its own sake. Through this we seek to strengthen our resolve for better life for all our people.
The re-organisation of government architecture as spelt out by the hon Minister, will only help to bring faster change and propel us to greater heights. Let me once more emphasise that, since we are nearly 20 years into our democracy, the dominance of the economic transformation in our polity is proving decisive on a daily basis. In the current political and economic climate it seems we will fail or succeed based on the progress we make on the economic front. And I dare say that, based on the resounding success we have made in the delivery of social services and the ANC track record, working with our people, we will not fail. The ANC supports the Economic Development Budget Vote because it is a budget forever. Thank you.
Mr M SWART / LN/Checked by Nobuntu / END OF TAKE
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 7 May 2013 Take: 320
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Mr S J MOHAI
Mr S N SWART: Chairperson, the ACDP shares the concerns expressed by most speakers that the biggest challenge facing us is jobs, jobs, jobs. I'm sure members of the gallery will agree with that. The question arises: How many jobs has this department actually created? Yesterday Statistics SA indicated that 25,2% of South Africans are jobless, depending, of course, on the definition you use. Clearly, steps need to be taken to address this. We know there is consensus that the way forward is the National Development Plan. We are widely in agreement with that across the board.
However, how do we achieve this growth? Is it realistic to say the New Growth Path will achieve 5 million jobs over the next 10 years? Yes, we would all like to see that, but are the plans in place and how we will achieve those employment targets? Clearly, we have to double the rate of economic growth. That is the key aspect. We've got to move away from 2,8% to 7% and more sustainable growth. This we need to do. We should not only blame the lack of growth on the global climate, but also on our domestic challenges.
Whilst we appreciate that there is no textbook available to teach us how to acquire this 5% to 7% growth and create more than 5 million jobs, let us look at other emerging market countries such as Brazil, India and China. The ACDP trusts as well that our membership of Brazil, Russia, India, China and South Africa, Brics, will help and assist us in this learning curve to achieve that goal.
The ACDP also supports the departure from a consumption-driven to a production-driven economy. The focus of the state on infrastructure is correct. Growth must not be an aim but must focus on job creation. However, we also need to look at productivity and that is the key. We need to look at that in order to be more globally competitive to achieve our economic growth targets.
It is undoubtedly so that productivity, innovation and entrepreneurship are key economic growth aspects for job creation. These aspects and programmes need to be supported. We all know that entrepreneurs hold the key to unlocking the potential for increased economic growth and job creation. They need to be supported in every way possible. We see many of them here in the gallery. We, as the ACDP, applaud the good work that they are doing.
The ACDP supports the New Development Plan, and to a certain degree, the New Growth Path and the Industrial Policy Action Plan. We differ to the extent to which the state itself creates jobs. Obviously, it must be a partnership and, Minister, you are on record as saying there must be the necessary partnership to create this national environment for job creation. We support your efforts for social dialogue and taking Nedlac to a greater level. We are, however, concerned about the state of collective bargaining in South Africa. I think everyone is concerned about that because agreements have been breached and ignored, as we saw in the mining sector.
The ACDP, however, will support this Budget Vote and we thank you for the good work that has been done. Thank you. [Applause.]
Mrs I C DITSHETELO
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 7 May 2013 Take: 320
Mr S N SWART
Mrs I C DITSHETELO: Chairperson, the UCDP supports the Budget Vote, but job creation is central to economic development. For ordinary people, economic development means waking up to a good, decent job and to be able to provide for their families. There are a number of things that need to be addressed before we can positively make a difference to current unemployment statistics.
If the World Economic Forum ranks South Africa's labour laws the 7th
lowest among 139 countries, then this is an area worthy of attention. Poor education outcomes also aggravate the issue of unskilled labour and compromise sustainable economic development.
Infrastructure inadequacies also play a major role in determining economic growth, hence the recent commitment to spend much of the country's budget is most welcome. However, infrastructural spending is riddled with its own set of problems, like tenderpreneuring and corruption, which makes the country move at a snail's pace in spite of huge resources allocated. However, we need to continue addressing infrastructural constraints, especially in energy.
The role of state-owned enterprises need clear clarifications so that they can have a significant impact on the reduction of poverty and the establishment of sustainable development. Even though the idea of nationalisation seems to have been abandoned, there remains a need to empower workers through share ownership schemes so that they may acquire a stake in the rich mineral resources of this country.
The private sector has a role to play in order for us to see continued sustainable development. For instance, food retail companies need to be encouraged to establish partnerships with emerging farmers. The last issue I want to speak about is economic freedom, without which it is almost impossible to have other freedoms. It is also an insult to call people ``free'' when they remain bound to economic underdevelopment. There are many proposals in this regard. I admit that they all deserve our attention if we possess the political willingness to address economic development. I thank you. [Applause.]
Mr T D HARRIS
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 7 May 2013 Take: 320
Mrs I C DITSHETELO
Mr T D HARRIS: House Chairperson, this department's flagship document, the New Growth Path, suggests that its ideas can create 5 million new jobs by 2020. Lets see how that is going.
On the day that the Minister tabled the New Growth Path in November 2010, there were 6,5 million unemployed South Africans. Today there are almost 7 million. So, right now there are 500 000 more unemployed people than there were the day the New Growth Path was introduced.
The increase in unemployment during the lifetime of the New Growth Path is probably not a direct result of the muddled policies in the document, because almost all of them have not been implemented, thankfully. The whole country has been talking about the National Development Plan instead.
However, unemployment has almost certainly been worsened by the ideological stand-off between the ideas coming out of the Department of Economic Development on the one hand, and those coming from National Treasury and the National Planning Commission on the other. The best example of this is seen in the shameful Youth Employment Accord published last month under the stewardship of Minister Patel and the Department of Economic Development. I encourage all the members of this House to go and read this document. I'm sure they will agree with me that it is one of the weakest documents that this government has ever worked on.
Most of the ideas in the Youth Employment Accord will simply not work for creating new jobs. There is no way that youth brigades or youth co-operatives can even begin to create the millions of jobs we need for young South Africans. This idea of youth set-asides would have a significant distortionary effect on the labour market. Most importantly, the Youth Employment Accord reads like an embarrassing effort to oppose Treasury's Youth Employment Tax Incentive. Not only does it lack any reference to the incentive, but it also actively speaks out against it.
This means we are in an extraordinary situation, in which National Treasury has now tabled not one, but two tax incentives to subsidise the employment of young people. Whilst the so-called Youth Employment Accord is meant to represent the overall strategy to tackle youth unemployment in South Africa, it leaves out the tax incetives entirely. It is a tragedy for this government to have an ideological stand-off blocking progress in the exact parts of Cabinet that should be working to create jobs.
Thirty-eight percent of South Africa's workforce cannot find work, or has given up looking. In the past three months, the ranks of the unemployed nationally have increased by 73 000. This is despite the best efforts of the Western Cape, where we've brought the number of unemployed workers down by 16 000 in the same period.
Imagine how many more workers could have had the chance to join us in the gallery today if government worked hard at bringing down the cost of doing business, as they do in Minister Patel's vague record. Over the past five years, we have given this department R2,7 billion of taxpayers' money. With this money, the department has achieved three things.
Firstly, it has published six accords that together have not created a single job. Secondly, it has given Cosatu a voice in the economic cluster. Lastly, it has worked hard to provide ideological opposition to Treasury and the National Planning Commission, blocking new policies and reforms that would start to tackle the world's highest rate of unemployment. In anybody's book that is not good value for money. I thank you. [Applause.]
The DEPUTY MINISTER OF ECONOMIC DEVELOPMENT / Nb/Checked by Nobuntu/ END OF TAKE
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 7 May 2013 Take: 321
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Mr T D HARRIS
The DEPUTY MINISTER OF ECONOMIC DEVELOPMENT: Hon Chairperson, I would like to thank the Minister, the director-general and the officials for the support that they have given to the department up till this day. I want to start off by reflecting on a historical statement, which I recall occurred at the business and labour hearings of the Truth and Reconciliation Commission, where Prof Sampie Terreblanche, an academic, an economist and a writer, to name a few of his credentials, testified to the effect that apartheid was beneficial to white-owned businesses, because it was an integral part of a system premised on the exploitation of black workers and the destruction of black entrepreneurial activities.
Therefore, I logically attribute this debate to Mrs Charlotte Maxeke, a gallant freedom fighter, fearless tigress, scholar and leader of the struggle against the Natives Land Act of 1913. This legislation was part of the machinery which was established to systematically impoverish, marginalise and exploit the oppressed.
Of course, we have to look at our Constitution, for it entrenches economic and cultural rights in an unprecedented manner. Our own first President of the democratically elected government, Mr Nelson Mandela, stated that no political democracy can survive and flourish if the masses of our people remain in poverty, without land and without tangible prospects for a better life.
Along the same lines, the Freedom Charter states that the people shall share in the country's land. Of course, logically, our President, Mr J G Zuma, stated in his state of the nation address in 2009, at the birth of this historic department, that the creation of decent work will be at the centre of our economic policies and will influence our investment attractions. I think the Minister was able to demonstrate the progress made by this department thus far.
There has been a reference to the New Growth Path, NGP, and of course there are some misunderstandings. If you take a look at where we come from, which was a systematic system, legalised over many years, which was meant to destroy jobs, I think we should be realistic in saying that the NGP of the Department of Economic Development is undoing that process. It has to be intense as it is being implemented and it is going to take time.
Sectors have been identified, and we have heard a lot about what has been achieved through infrastructure development and the mining value chain. They include beneficiation, agriculture and agro-processing, rural development, manufacturing, tourism, the creative industries and high-level services.
According to all monitoring and evaluation reports, it is clear that we are a nation at work, with a clear vision to achieve our job targets. Of course, we have to admit that we still have people who are vulnerable in our midst, like women, the youth, the disabled and people in rural communities. Unfortunately, they are still predominantly black and they constitute 60% of our society.
We would recall that last year, Africa as a whole lived through the trauma of the Arab Spring uprisings, and we are hard at work to ensure that we convey a sense of hope to our young people through the work that will emanate from the signed Youth Employment Accord. We are determined and resolved to work within a sustainable and comprehensive strategy, whereby young people have access to skills that are strategic and that are relevant to industries of interests.
We firmly believe in the future of this country and have embraced the National Development Plan Vision 2030 as ``Umkhombandlela wethu'' [a guide.] Our Minister in the Presidency: National Planning Commission, Mr Trevor Manuel, said during the launch of the country's overall vision for South Africa that the plan we hand over is about the actions that all of us should take to secure the future chartered in our Constitution.
Of course, along the same lines as the NGP, the emphasis is on partnerships. It is not about government, the Opposition or the ANC not having done that, but it is a national call for all of us to work strategically in partnerships to find ways of making breakthroughs.
When it comes to the question of the youth, the department will continue to tackle youth unemployment, using whatever resources are available, not only within the department or the sector, but also among our partners in the private sector. The whole area of information communication technology, ICT, given its dynamic nature, hold great prospects for young people and they seem to be attracted to it, as well as areas of manufacturing.
The policy pillars of inclusion and sustainability are very, very important. We are working hard to learn, as we visit our most vulnerable communities, like the 23 poorest municipalities that we are having dialogues with on an ongoing basis. One of the lessons that is uppermost is the need to integrate and co-ordinate our efforts, as we have done at the level of infrastructure development.
Support for small and medium enterprises and co-operatives should be enhanced and we are basically looking at a possible model whereby we invest at a higher level during the phase of entry, given the challenges of the new entry phase. In most instances people's co-operatives and small, medium and micro enterprises, SMMEs, have not been sustainable, mainly because we did not invest heavily in their capacity building from the beginning. We do believe that through trade policies, we can leverage and continue, like the Industrial Development Zone, IDZ, to make sure that our SMMEs are empowered to be suppliers to big industries. In that way they will move beyond survival and become suppliers of choice.
I learned a good example from a colleague, the Deputy Minister of Transport, Ms Sindiswa Chikunga, with regard to the rolling stock programme of the Passenger Rail Agency of SA, Prasa. She has gone public nationally and, accompanied by many of us, has clearly stated that the vulnerable groups, which are people from rural areas, women and our youth, will benefit from this as manufacturers, not only with regard to social services. They have set aside huge amounts of money to ensure that it happens, and the multinationals that are benefiting from this are given clear conditions to support the skills development, which of course will mean that many more of our young people are included.
Through other projects we are also learning to support those that are run by women, like poultry farming in KwaZulu-Natal, under the leadership of Dr May Mkhize. This clearly says that we need to invest in the whole value chain, the breeding, the abattoir, packaging, quality, storerage and enterprises. In that way, we are clearly turning the tide around, where women will be given support on a small-scale and they are empowered to enter the whole value chain.
In the area of waste management, we have also had interactions with communities like Alexandra township, and again the strategy there is to find ways of ensuring that our vulnerable groups participate at all levels, not only in waste collection but by using new technologies in creating alternative energies, and also in moving on to producing manure and using it for farming.
In conclusion, I would like to reiterate our commitment, by using an example from a children's book which many of you might know. It is about an ugly duckling that was laughed at and scorned by the swans. One day that ugly duckling became a beautiful swan that all the swans admired. It is time that we turn small businesses into beautiful swans – which will be a solution to joblessness – instead of treating it like ugly ducklings. The meaning of this children's story is that we cannot afford to support SMMEs half-heartedly, as they are key to growing an inclusive economy, creating massive employment and also skilling our people without any threat. I thank you. [Applause.]
Mr D R TSOTETSI/AZM MNGUNI//TH / END OF TAKE
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 7 May 2013 Take: 322
"National Assembly Chamber Main",Unrevised Hansard,13 May 2013,"Take 322 [National Assembly Chamber Main].doc"
"National Assembly Chamber Main",Unrevised Hansard,07 May 2013,"[Take-322] [National Assembly Chamber Main][NAC-Logger][ct].doc"
The DEPUTY MINISTER OF ECONOMIC AFFAIRS
Sesotho:
Mof D R TSOTETSI: Mohlomphehi Modulasetulo, Maloko a Hlomphehileng a Palamente ho ya ka ditulo tsa lona jwalo, le baeti ba rona ba hlomphehang ba bohlokwa, ba entseng hore e be kajeno re bitswa Maloko a Palamente, pele ke bua ka moruo o motala, ke tla rata hore ke re le se ke la makalla maratanyana a bang teng ka hara Ntlo. Nako yane ya dikgetho e se e fihlile. Jwale, ka ho hopola hore dimilione tse leshome le motso o le mong tsa batho ba kgethileng ANC di ntse di le teng, ebile manane a tlo eketseha, ke ka hona re ntseng re itlatlarietsa. Jwale, le se ke la makala.
English:
The green economy benefits households, business communities and the government, local government in particular, as it is the structure that deals with people directly on a daily basis. Through the green economy, municipalities could enhance their revenue base and strengthen local economic developments, wherein small, medium and macro enterprises, SMMEs, and co-operatives, co-ops, find expression. In my previous deployment at Emfuleni Local Municipality, I happened to be part of the team that undertook a study tour to the Netherlands. The best thing that we learned is the impact of an incentive as a reward for compliance. People take their domestic garbage to the municipality and this garbage is separated and weighed. The amount of garbage reduces the amount which was supposed to be paid on rates. We hope that our municipalities would consider that.
One of the research documents produced by the Industrial Development Corporation, IDC, and the Development Bank of South Africa, DBSA, team in 2011, it is spot-on regarding green jobs, ie employment-creation potential of approximately 98 000 new direct jobs on average in the short term; almost 255 000 in the medium term; and around 462 000 employment opportunities in the formal economy in the long run. By now, the numbers have increased.
Sesotho:
Eo hee ke ntho eo re e bitsang tsebo e tlwaelehileng, hore dipalo di atile ...
English:
... but the DA will always deny that ...
Sesotho:
... empa re a tseba hore ke tsebo e tlwaelehileng, e a tsebahala.
English:
However, common sense is not always common. For instance, "ANC evaporating into thin air in 2019 because it delivered nothing."
Sesotho:
Wa bona ena hee, le dibuka tsa ntshetsopele ya mathomo ya bongwana ha di na yona tsebo e tlwaelehileng e tjena, eo re e bitsang ka hore ke keretjhe ha re bua ka sekgowa ...
English:
Possibly in one of the institutions for mentally challenged people ...
Sesotho:
... re ka e fumana tsebo e tlwaelehileng e jwalo.
English:
At least, in such cases the particular common sense would be understandable and tolerated.
The second draft of the National Water Resources Strategy released recently by Minister Molewa warns that South Africa is at risk if water is not properly managed and responsibly used. Rural communities are hardest hit as far the scarcity of water is concerned. This scarcity has an adverse impact on all efforts for development as most of them depend on agricultural development, an area which they can master and excel in if water is adequate. However, we must not lose sight of the Presidential Infrastructure Co-ordination Commission, PICC. We hope the PICC has the necessary capacity to fast-track rural development and development in general.
We must also take care of the cost of doing business so that we attract foreign investment without compromising local procurement. Mr Patel and members of the Committee on Economic Development shared their achievements with us while, at the same time, we acknowledged weaknesses and bottlenecks, some of whom are as a result of resistance by those who said the ANC would rule South Africa over their dead bodies. But, here is the ANC, governing South Africa over their living bodies! [Applause.]
However, we must rise above petty and cheap politics and acknowledge previous oppressors and beneficiaries of apartheid laws who have seen the light. Seeing the light has little to do with joining the ANC and its alliance partners, but has more to do with the mindset.
Hon member Mubu, my friend, if you want to speed up service delivery, you decentralise the whole and deploy people in terms of their special skills. That is why tertiary institutions have lecturers and schools have teachers who specialise in various subjects. Imagine what would happen if one teacher was teaching all the subjects? This used to be the situation during apartheid. Apartheid has inflicted a lot of harm to most of us. But, little did we know that it had caused irreparable damage to the mindset of some until we hear them speaking.
Mme Ngonyama, mngani wami, I trusted your listening skills but you really disappointed me. The Minister had gone to town tabulating achievement and plans in place, but you still say we have done too little to measure. The promises that you are referring to are commitments which are tabulated explicitly in the Green Economy Accord that you all know about.
Mme Hlengwa, there will never be a time when all the people in any country are employed. South Africa is worse as big business retrench workers whenever they demand what is due to them. Labour is not donated but sold to the highest bidder. It is painful to see companies take advantage of the plight of our foreign brothers and sisters. They see them as a variable to minimise costs. That is cheap labour to the detriment of the good plans for job creation and economic growth.
Fortunately, Mme Hlengwa, age is on your side. Soon, you will understand the old trick of divide-and-rule. You have never worked for these predators. Otherwise, you wouldn't be expecting government to undo what was practised for over 50 years in one night.
Hon member Hoosen, the profits of doom that came before you failed to educate you. They became frustrated and ended up singing, ``Nelson Mandela, ha ho na ya tshwanang le wena''. Why don't they sing about other leaders who equally contributed to the struggle against apartheid? The same Mandela was labelled one of the most dangerous terrorists.
The things that you say about Minister Patel are the same things they said about our former freedom fighters, but today they bow before them. It is because of the DA, or IDA, that most black people are not educated. Illiterate as they are, when coming to election time, make no mistake, they will vote for the ANC.
Hon Harris, you are always negative and I think it is now time for government to assist you. Hon member Motsoaledi and his team must organise psychologists for you. You are too young not to be able to read and interpret documents, and see where and what government has delivered, where it has failed and why. You are one of the people who are privileged to have received a better education.
Sesotho:
Jwale, motho o a ipotsa hore na o ile wa pasa jwang sekolong. Ka nako e nngwe ha o pase hoba o arabile dipotso ka nepo; empa ka nako e nngwe o pasa hobane o arabile dipotso ka puo ya Afrikaans, ho sa kgathaletsehe hore na di nepahetse kapa di fosahetse. [Ditsheho.] [Mahofi.]
English:
Coming back to the green economy ... [Interjections.] No, I am trying to skip some. I'll talk about the importance of nurturing the environment. This is an action which brought about the concept of ``green economy''. I agree that the green economy is usually an economic revolution, not only in South Africa but worldwide. A number of projects in the green sector have been initiated, such as the 28 projects in wind, solar and small hydro technologies; rolling out of the solar water geyser; and the establishment of the Green Fund.
The projected 300 000 jobs that are going to be created over the next decade through the green industries will be achievable through these inventions and many others that are in the pipeline. The Industrial Development Corporation's role as a driving force of commercially sustainable industrial development has not gone unnoticed. It has done a lot to put us where we are today.
Successful projects such as DCD Wind Towers factory; bioethanol projects both in the Eastern Cape – Hon Ngonyama, Eastern Cape is included this time; - the SA Calcium Carbide project in Newcastle; and the Russell Stone soy crushing plant in Bronkhorstspruit are examples of some projects funded through the IDC, which are a means of enhancing industrialisation. The benefits of these projects are manifold. They include environmental localisation and rural development benefits, and target poorer provinces for downstream development.
As for the household food that is left over fresh or stale - the paper in the yard, and small pieces of metal - could manufacture compost. But, is there a market for that compost? In as far as our wellbeing is concerned, we have the power to make or break. If you go to the landfill site and stand there for some time, just next to a small heap of rubbish, you will feel the heat coming out of it. That is the energy which is generated by that rubbish. It happens the natural way, but now we have sophisticated means to generate energy taking into consideration the fact that we have deadlines to meet.
To further quote the Green Jobs document verbatim:
The largest contributions to job creation are likely to be associated with natural resource management due to the rich endowment of natural capital in South Africa and the need for its commitment for its preservation.
Government has proved its commitment to natural resource management. We have passed the National Environmental Management Act, 59 of 2008, Nema. The Act talks to policies, standards and regulations. Nema calls for greater collaboration and alignment of departments. For instance, Department of Health should guard against noncompliance relating to medical waste.
The Department of Mineral Resources must take care of the mines that contaminate water, and they do not cover unused, depleted mines. The Department of Agriculture – it is unfortunate that Member Lekota is not here, but it is meant to assist hon Lekota - must punish people who mercilessly kill horses and donkeys and dump them in open fields next to human settlement areas. The same applies to dogs, hon Huang.
The Department of Justice capacitates the relevant authorities to bite hard on noncompliance. Not only is the environment affected, but our health as well. This also impacts on the labour force. People become infected and are forever on sick leave. We need a healthy workforce so that we accelerate the Green Economy.
Water pollution is the most deadly element or component of the whole cycle. I hope we are observing the cycle, the ecosystem. If the environment is not nurtured, it will be a vicious cycle. The hazards that come with climate change are as a result of noncompliance with legislation and irresponsible behaviour, littering and polluting of air and water, which are sources of life and development. [Time expired.] [Applause.]
The MINISTER OF ECONOMIC DEVELOPMENT / /Mosa//A N N(ed)/
END OF TAKE
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 7 May 2013 Take: 323
"National Assembly Chamber Main",Unrevised Hansard,10 May 2013,"Take 323 [National Assembly Chamber Main].doc"
"National Assembly Chamber Main",Unrevised Hansard,07 May 2013,"[Take-323] [National Assembly Chamber Main][NAC-Logger][ct].doc"
Mrs DR TSOTETSI
The MINISTER OF ECONOMIC DEVELOPMENT: House Chairperson, I would like to start off by inviting hon members from all parts of the House as well as members of the audience to join us at the reception in the New Assembly Restaurant at a modest reception, I point out, immediately after the conclusion of this debate.
It's clear that there is consensus on some issues in this debate. Jobs are central. Inclusive growth is important, and by that we mean both higher rates of growth, but also more job-absorbing growth. The question is how. And I think what we have been able to do as the executive and what a number of Members of Parliament from the ruling party did was to spell out, indeed, concrete ways how we are doing that, how we are making an impact as government, how we are making an impact as Cabinet and how we are making an impact as a department through many excellent interventions, some great ideas which we will take forward. But not all the interventions have maintained that high standard. Perhaps, as someone pointed out, because an election is around the corner.
Hon Harris says that the Youth Employment Accord is shameful, it is the weakest document of government, it is going to fail, and so on. I have brought a copy of the Youth Employment Accord for the hon member. I will draw his attention to page 24. On page 24, I will draw his attention to the fact that one of the signatories of the accord is a certain Mr Gana Makhashule. Mr Makhashule is the federal Deputy Chairperson of the DA ... [Applause.] ... and until last week, he was the leader of the DA youth. He signed the accord on behalf of the DA youth. Perhaps he is a little bit more passionate about employment of young people and a little bit less concerned about the grandstanding that we saw from the hon Harris. [Applause.]
The hon Harris, of course, is described on the website as ``shadow minister of finance''. One of the requirements of a minister of finance is the ability to count. I think it is fairly intrinsic to the job. So, if you aspire to be the shadow minister - hopeful one day you will get to be more than the shadow minister - although that may be a very long time from now, let's, in the meantime, use the time to count. [Laughter.]
On the website yesterday, before looking at anything, when the Statistics SA Quarterly Labour Force survey came out, Mr Harris rushed to print and he says in print:
Fortunately, the DA-run Western Cape bucked the negative trend by creating 8 000 jobs in the quarter, seeing unemployment reduced further.
I have brought the hon Harris a copy of the Quarterly Labour Force survey. I have taken the time to mark it with post-it notes. I draw his attention, amongst others, to the areas that indicate what has happened to employment in the Western Cape in the first quarter of this year ... [Interjections.] ... 14 000 jobs were lost. [Applause.]
Now, we don't celebrate that, because those are our people. Those are people for whom we need to try to get jobs, but what we do want to point out is that, as hon Ngonyama said, "Unemployment has no silver bullet". It means really working on it consistently in a stubborn focused way, and hon Mabasa showed us examples of concrete ways in which jobs have been created. I am going to leave a copy of the Quarterly Labour Force survey here for the hon Harris. [Laughter.]
I will also leave a copy of the Youth Employment Accord here for him so that he may be able to see what I have said. But it seems to me that, unfortunately, these things don't reside only in one member. The hon Mubu, who is generally very pleasant in our committee until an audience appears as today, has pointed out that the Walmart matter is a waste of public money. I will draw the hon Mubu's attention to the hon Ntuli, who provided a sharp, incisive, sophisticated understanding of competition policy. Please study the Hansard; it will be of great use to you. [Applause.] [Laughter.]
The hon Hoosen, who also aspires to be a shadow-something at some stage, posed a question. He says the information we gave in the Small Enterprise Finance Agency, Sefa, is not correct. I have a copy of the Sefa presentation here; I have a calculator here and I will leave a copy of the Sefa business plan for you. I have added up the five years; I have added 30% and I am happy - over a cup of coffee - to show hon Hoosen how to do a percentage calculation. [Applause.] [Laughter.]
Finally, hon House Chair, I would make the point that part of the drama of a debate is this kind of thing. It spices up the discussion and makes it less boring, and so on. But employment is serious, economic development is serious, fighting poverty, inequality, is serious. We need to build consensus to work together.
When the economy actually creates 44 000 jobs in three months, let's celebrate it. When it creates 199 000 jobs over 12 months, let's celebrate it. We are South Africans together. We are in this together, and we can win the battle against poverty, unemployment and inequality together. Thank you very much. [Applause.]
Debate concluded.
The House adjourned at 18:19.
MALUTA ///tfm/// END OF TAKE
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