Hansard: Consideration of Fiscal Framework and Revenue Proposals and of Report of SC on Finance thereon (ATC, March 2014, p )
House: National Assembly
Date of Meeting: 10 Mar 2014
Summary
No summary available.
Minutes
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TUESDAY, 11 MARCH 2014
PROCEEDINGS OF THE NATIONAL ASSEMBLY
___________
The House met at 14:04.
The Speaker took the Chair and requested members to observe a moment of silence for prayers or meditation.
NOTICES OF MOTION
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START OF DAY
NOTICES OF MOTION
Mr M WATERS: Hon Speaker, I hereby give notice that on the next sitting day of the House I shall move:
That the House debates the high number of femicide cases in South Africa.
Ms L MJOBO
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Mr M WATERS
Ms L MJOBO: Hon Speaker, I hereby give notice that on the next sitting day of the House I shall move on behalf of the ANC:
That the House debates increasing and strengthening local sport and recreation councils.
Mr J de GOEDE
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Ms L MJOBO
Mr J DE GOEDE: Mr Speaker, I hereby give notice that on the next sitting day of the House I shall move on behalf of the DA:
That the House debates the merits and effectiveness of quiet diplomacy.
Ms V BAM-MUGWENYA
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Mr J DE GOEDE
Ms V BAM-MUGWENYA: Mr Speaker, I hereby give notice that on the next sitting day of the House I shall move on behalf of the ANC:
That the House debates assessing the sector education and training authorities' progress in ensuring commitment to the implementation of the National Skills Accord by all stakeholders.
Ms G SAAL
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Ms V BAM-MUGWENYA
Ms G SAAL: Mr Speaker, I hereby give notice that on the next sitting day of the House I shall move on behalf of the ANC:
That the House debates supporting and strengthening local government in the areas of air quality management and waste management.
Mr E SULLIMAN
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Ms G SAAL
Mr E SULLIMAN: Mr Speaker, I hereby give notice that on the next sitting day of the House I shall move on behalf of the ANC:
That the House debates opening up regional markets for South African goods and services and for imports from the region.
Ms L MOSS
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Mr E SULLIMAN
Ms L MOSS: Mr Speaker, I hereby give notice that on the next sitting day of the House I shall move on behalf of the ANC:
That the House debates developing and preserving South African arts, culture and heritage to promote social cohesion and nation-building.
MOTIONS WITHOUT NOTICE/ The DEPUTY CHIEF WHIP OF THE MAJORITY PARTY:
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Ms L MOSS (NOTICE OF MOTION)
PRECEDENCE GIVEN TO SEVENTH AND SIXTH ORDERS
(Draft Resolution)
The DEPUTY CHIEF WHIP OF THE MAJORITY PARTY: Hon Speaker, I move without notice:
That in accordance with National Assembly Rule 97(c), after the Second Order, precedence be given to the Seventh Order on the reprinted Order Paper and thereafter to the Sixth Order, these Orders being farewell tributes to the hon the Deputy President and the hon the Minister in the Presidency, National Planning Commission, respectively.
Agreed to.
The CHIEF WHIP OF THE OPPOSITION PARTY
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The DEPUTY CHIEF WHIP OF THE MAJORITY PARTY
SA SWIMMERS RAISE FUNDS FOR CHILDREN LIVING WITH CANCER
(Draft Resolution)
The CHIEF WHIP OF THE OPPOSITION PARTY: Mr Speaker, on behalf of the DA, I move without notice:
That the House-
(1) notes that on Wednesday, 5 March 2014, 15 courageous South African swimmers took part in the Swim for Hope event to raise funds for children living with cancer;
(2) further notes that these individuals swam a total of eight kilometers in the turbulent and stormy waters of Cape Point and that only 11 swimmers have ever successfully completed a rounding of this particular stretch of ocean;
(3) acknowledges that the R100 000 raised will go towards the Little Fighters Cancer Trust's Bag of Hope project;
(4) further acknowledges that each bag of hope contains basic necessities like toiletries, blankets, non-perishable foods and toys;
(5) recognises that the Little Fighters Cancer Trust operates in 11 paediatric oncology treatment centres around the country; and
(6) thanks these brave South Africans for this selfless act in support of young children living with cancer.
Agreed to.
The DEPUTY CHIEF WHIP OF THE MAJORITY PARTY
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The CHIEF WHIP OF THE OPPOSITION PARTY
CELEBRATION OF LIBRARY WEEK IN SOUTH AFRICA
(Draft Resolution)
The DEPUTY CHIEF WHIP OF THE MAJORITY PARTY: Mr Speaker, I move without notice:
That the House-
(1) notes that SA Library Week will be celebrated from 17 to 23 March 2014;
(2) further notes that the theme for this year is Celebrating libraries in 20 years of democracy: Check in @ your library;
(3) acknowledges that as South Africa celebrates 20 years of democracy, this theme serves as an opportunity to focus attention on celebrating the role of libraries in strengthening South African democracy, highlighting how libraries are making the right to freedom of access to information, as enshrined in the Bill of Rights, a reality and enhancing nation-building and community development by opening the doors of learning to all;
(4) further acknowledges that this theme also speaks to social media such as Facebook, Twitter, Foursquare and YouTube, which are widely used by libraries globally for marketing and communication with various user groups and outreach; and
(5) calls on all South African citizens to support Library Week and make sure that they check in at their libraries.
Agreed to.
Mr M WATERS
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The DEPUTY CHIEF WHIP OF THE MAJORITY PARTY
MISSING MALAYSIA AIRLINES FLIGHT 370
(Draft Resolution)
Mr M WATERS: Mr Speaker, on behalf of the DA, I move without notice:
That the House-
(1) notes that Malaysia Airlines Flight 370, that took off from Kuala Lumpur on Saturday, 8 March 2014, is still missing;
(2) further notes that the Boeing 777 was carrying 227 passengers from 14 different nationalities and 12 crew members;
(3) recalls the media reports that two individuals with stolen passports listed on Interpol's database were able to board the flight;
(4) acknowledges that, although it is still too early to speculate, the passport mystery raises concerns about the possibility of terrorism;
(5) conveys its condolences to the family and friends of the 239 people on board; and
(6) wishes Malaysia Airlines all of the best as they continue their investigation into this terrible tragedy.
Agreed to.
The DEPUTY CHIEF WHIP OF THE MAJORITY PARTY
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Mr M WATERS
KENYAN ACTRESS LUPITA NYONG'O WINS COVETED ACTING AWARDS
(Draft Resolution)
The DEPUTY CHIEF WHIP OF THE MAJORITY PARTY: I move without notice:
That the House-
(1) notes that the Kenyan actress Lupita Nyong'o scooped the Best Supporting Actress Oscar for her role as an abused servant in the movie, 12 Years A Slave, on Sunday, 2 March 2014, at the 86th Oscars ceremony in Hollywood;
(2) further notes that she had already picked up the Screen Actors Guild and Critics' Choice Award for best supporting actress for her portrayal of Patsey, a slave brutalised by her sadistic owner, played by Michael Fassbender;
(3) recalls that the 31-year-old Yale School of Drama graduate has risen in a year from relative obscurity to Hollywood's A-list, winning plaudits for her on-screen efforts;
(4) believes that her winning of an Oscar award is a source of inspiration for many African children, as well as fostering the positive attitude that anything is possible, even for children with humble beginnings;
(5) congratulates Lupita Nyong'o for winning such a prestigious award and for putting Africa on the big screen; and
(6) wishes her more success in her future endeavours.
Agreed to.
The CHIEF WHIP OF THE OPPOSITION PARTY
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The DEPUTY CHIEF WHIP OF THE MAJORITY PARTY
NOLAN HOFFMAN AND CHERISE STANDER CONGRATULATED ON WINNING 2014 CAPE ARGUS CYCLE TOUR
(Draft Resolution)
The CHIEF WHIP OF THE OPPOSITION PARTY: Mr Speaker, on behalf of the DA, I hereby move without notice:
That the House-
(1) notes that on Sunday, 9 March 2014, more than 35 000 cyclists from around the world took part in the 36th annual Cape Argus Cycle Tour in Cape Town;
(2) further notes that the Cape Argus is the world's largest independently timed cycle race and a highlight on the country's sporting calendar;
(3) congratulates Nolan Hoffman of Team Abantu on winning the men's race in a time of 2 hours, 38 minutes and 39 seconds, and Cherise Stander of Team RECM for winning the women's race in a time of 2 hours and 51 minutes; and
(4) further congratulates all those who participated and thanks the organisers for a successful Cape Argus Cycle Tour.
[Applause.]
Agreed to.
The CHIEF WHIP OF THE MAJORITY PARTY
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The CHIEF WHIP OF THE OPPOSITION PARTY
REQUEST FOR FIRST MOTION PRINTED ON ORDER PAPER TO STAND OVER
(Draft Resolution)
The CHIEF WHIP OF THE MAJORITY PARTY: Hon Speaker, I move:
That the first Draft Resolution as printed in my name on the Order Paper stands over.
Agreed to.
Motion stood over.
The CHIEF WHIP OF THE MAJORITY PARTY
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The CHIEF WHIP OF THE MAJORITY PARTY
SUSPENSION OF RULE 253(1)FOR SECOND READING OF THE DETERMINATION OF REMUNERATION OF OFFICE BEARERS OF INDEPENDENT CONSTITUTIONAL INSTITUTIONS LAWS AMENDMENT BILL.
(Draft Resolution)
The CHIEF WHIP OF THE MAJORITY PARTY: Hon Speaker, I move without notice:
That the House suspends Rule 253(1), which provides, inter alia, that the debate on the Second Reading of a Bill may not commence before at least three working days have elapsed since the committee's report was tabled, for the purposes of conducting the Second Reading debate today on the Determination of Remuneration of Office Bearers of Independent Constitutional Institutions Laws Amendment Bill.
Agreed to.
MEMBER'S STATEMENTS (Ms J TSHABALALA)
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Motions
Defection of da members to ANC
(Member's Statement)
Mrs J TSHABALALA: Hon Speaker, the DA campaign to take over Gauteng was dealt a major blow by the recent developments where an exodus of councillors from the DA in Gauteng defected to ANC. Four councillors have already resigned to join the ANC and the other four are in the process of joining the ANC. From the four DA councillors who have already defected, the two from Ekurhuleni were unveiled on February 11, the day of the DA's march to Luthuli House headquarters, and the others were announced on 27 February. [Interjections.] [Applause.]
The SPEAKER: Order, hon members! Order!
Mrs J TSHABALALA: As if that was not punishment enough for the DA, four more DA councillors in Tshwane are set to defect to the ANC, to take the tally up to eight. According to the Tshwane ANC Deputy Chairperson, Mapiti Matsena, the four councillors would leave the DA in pairs during the next two council sitting. It is going to be two per council meeting until the elections. [Interjections.]
The SPEAKER: Order! Order!
Mrs J TSHABALALA: According to some of these councillors, like Toni Molefe, who was the Deputy Chief Whip of the council in Johannesburg, and councillor, Sipho Masigo, who was the deputy chairperson of the DA in Gauteng and are now in the ANC in the City of Johannesburg, said that black people in the DA were not given room to grow. They painted a picture of internal policy confusion, especially on the issue of Black Economic Empowerment. [Interjections.]
The two defectors, councillors Sam Moimane and Sello Maila, argued that when they joined the DA they found symptoms of apartheid within that organisation. [Applause.] [Interjections.] They also added that colour remained very important in the DA and what the DA did at the national level was not what was happening at the ground level, hence they rented Agang for a presidential candidate. [Time expired.] [Applause.]
Mr S C MOTAU
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Mrs J TSHABALALA
NC SUPPORT in Gauteng DWINDLING
(Member's Statement)
Mr S C MOTAU: Hon Speaker, the DA's Premier candidate for Gauteng, Mmusi Maimane, said in mid January that ANC support could drop to less than 50% in Gauteng. Today, Speaker, it gives me great pleasure to announce to this House that Mmusi Maimane was 100% correct. [Applause.] The ANC's own internal polls now show that their support in Gauteng stands at 45% and could even drop to a mere 36%. [Applause.]
The ANC's in-house research is in line with the findings of an Ipsos survey, which puts the ruling party's support in Gauteng at 45,5% at best. Of course, these reports of dwindling ANC support in Gauteng do not come as a surprise to us. They forced e-tolls on the people of Gauteng and implement policies that do not create real sustainable jobs. They literally cannot even keep the country's lights on any more.
The people have had enough, they want change and they are hungry for real change. On top of this, the ANC has taken for ever to release its election party list. Why has it taken the ANC so long to provide us with the list of names? [Interjections.]
The SPEAKER: Order, hon members! Order!
Mr S C MOTAU: Is it because of their internal party divisions or is it pure embarrassment at the calibre of its candidates.
The voters deserve to know who they are voting for, and unlike the ANC, we in the DA made our list public long ago. The people of Gauteng are ready to for a new government, a government with a job creation agenda and anti-e-tolling tolling policies that put power back where it belongs, with the people. The DA will bring change to Gauteng! Thank you. [Time expired.] [Applause.]
Mr D A KGANARE
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Mr S C MOTAU
CODE OF CONDUCT FOR FREE AND FAIR ELECTIONS
SIGNED BY DIFFERENT PARTIES
(Member's Statement)
Mr DA KGANARE: Hon Speaker, the credibility of the fourth election that is coming depends on the conduct of different political parties. Most parties have signed a code of conduct that they will allow the elections to be free and fair. It is disappointing that the ANC is just paying lip service to this commitment.
Hon Speaker, the free and fair elections include the freedom to assemble. If the party in custody of public property uses dirty tactics to deny other political parties access to public property that cannot and will not be regarded as free and fair. This is rightfully called abuse of power.
Last year, 16 December, Cope booked and paid for the Kaizer Sebothelo stadium to celebrate Cope's fifth anniversary in the Free State. It was after we tried the Free State rugby stadium, and we were told that there was going to be an Africa Cup of Nations competition, which we all knew was not going to take place. When we wanted the cricket stadium, we were told the same thing about a cricket game that was going to take place. This was another blue lie.
We later discovered that the hand of the ANC was active via its chairperson, Ace Magashule. We ultimately won a court case against the Mangaung Municipality, which is going to spend large amounts of ratepayers' money. Recently, we tried to book the Free State Stadium for the launch of our manifesto. The same story surfaced, whilst all of us knew that the Cheetahs were in Australia and New Zealand. We were told that Bloemfontein Celtics was going to play, whilst we knew that they were going to play Moroka Swallows in Soweto.
Officials at these stadia told us that the ANC chairman told them not to give Cope a venue. Luckily, he could not intimidate the Bloemfontein showground management ... [Time expired.][Interjections.]
Mr D D VAN ROOYEN
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Mr DA KGANARE
GAUTENG HUMAN SETTLEMENTS COMMIT R100 MILLION TO BURGERSDAL SEWERAGE NETWORK UPGRADE PROJECT
(Member's Statement)
Mr D D VAN ROOYEN:
Setswana:
Ke a leboga, Mmusakgotla. A ke tseye sebaka se boemong o o ratwang ke batho. Ke rata go akgola Lefapha la Matlo la Gauteng.
English:
Speaker, on behalf of the ANC, indeed it is correct for us to commend the Gauteng department of human settlements for committing R100 million of its budget to Burgersdal sewerage network upgrade project. This project is meant to ensure that the recurring sewerage network blockages in our beloved township of Burgersdal are the things of the past.
To complement this good story, the department has completed building 1 000 units of the earmarked 6 000 units for the Westonaria Borwa Housing Development project. Beneficiaries are being verified and the handover will take place in due course. It is of essence, hon Speaker, to know that the majority of targeted beneficiaries hail from the informal areas of Burgersdal.
This intervention further proves that the ANC-led government cares; that the ANC respects and values its people. I call on our peace-loving people of the Greater Westonaria, particularly the people of Burgersdal, to rally behind the ANC-led government and embrace this noble intervention. It is correct for them to do so because it is only the ANC and no one else that will deliver on the promise of a better life to them. Thank you. [Applause.]
Mr N SINGH
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Mr D D VAN ROOYEN
INCIDENTS OF POLITICAL VIOLENCE IN KWAMASHU, KWAZULU-NATAL
(Member's Statement)
Mr N SINGH: Mr Speaker, ahead of May 7, there have been once again incidents of political violence and several lives have been lost. KwaMashu in KwaZulu-Natal has emerged as the hot spot. KwaMashu has seen problems of violence for many years, not all of them political. In its many hostels the living conditions are poor and the poverty is widespread.
The ever present tension and high levels of crime predicts violent outburst. A multifaceted intervention by government to address KwaMashu socioeconomic challenges is long overdue. We therefore call the eThekwini Municipality, together with the provincial and national government, to act now.
The IFP believes that political leaders have a responsibility to protect the lives of their people. In the words of Prince Buthelezi:
We may not be able to change all the circumstances that breed aggression amongst grassroot activists, but we have a responsibility to try. There is no legal political or moral justification for violence in our society.
It was this firm conviction that led the IFP's President, Prince Buthelezi, to write directly to the leader of the NFP, seeking an urgent meeting to diffuse the volatile situation in KwaMashu. He did this both to ensure free and fair elections and to prevent further loss of life. This initiative must be met with support by all role-players.
We therefore urge the police to intensify investigations and bring perpetrators to book. It is unacceptable that arrests are delayed for more than a year or never happen. For the people of KwaMashu justice delayed is justice denied. Thank you. [Applause.]
Mr S Z NTAPANE
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Mr N SINGH
UDM AND ANC CONTESTING BY-ELECTIONS IN MBASHE MUNICIPALITY IN THE EASTERN CAPE
(Member's Statement)
Mr S Z NTAPANE (UDM): Thank you, Mr Speaker. The UDM is satisfied about its performance during the by-elections that took place at Mbhashe Municipality in the Eastern Cape on 29 January 2014. Although the ruling party won five out of the six wards that we contested for, the by-elections were tightly contested by the two parties, the UDM and the ANC, locking horns in areas that were the ANC's traditional strongholds.
The tight election race confirms that the people of the Eastern Cape are thrilled about Gen Bantu Holomisa's decision to accept nomination to be the UDM's premier candidate in the Eastern Cape. Thank you. [Interjections.]
The SPEAKER: Order, hon members! Order!
Mr S Z NTAPANE
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Mr S Z NTAPANE
RESPONSIBILITY OFDEPARTMENT OF RURAL DEVELOPMENT AND LAND REFORM TO TRANSFORM RURAL AREAS
(Member's Statement)
Ms H MATLANYANA (ANC): Thank you, Speaker. The Department of Rural Development and Land Reform has a responsibility to transform our rural areas, specifically to deal with the challenges of poverty, unemployment and inequality in rural areas. The ANC, in its 2009 election manifesto, identified rural development and land reform as one of its key priorities.
So far the department has managed to deliver about 3 million hectares of land to more than 200 000 beneficiaries since 1994.Among those who benefitted there are women. Most recently the department undertook a visit to Venezuela with the purpose of exposing rural women from South Africa and their arts, crafts, sewing and agriculture to women from Venezuela and their arts, crafts and agriculture.
It was also to explore the possibility of opening markets and exchanging skills amongst the South African women and women in Venezuela in the aforementioned three sectors. All the women who undertook the visit have been trained as trainers.
Speaker, as the ANC government, we do not perceive gender as an act of charity or goodwill, but as a strategic objective for the achievement of a nonsexist society. This is one good story among many good stories to tell those who want to listen. Thank you. [Applause.]
Rev K R J MESHOE
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Ms H MATLANYANA
POSITION OF ACDP REGARDING CONFLICT BETWEEN ISRAEL AND PALESTINE IN SUPPORT OF A TWO-STATE SOLUTION
(Member's Statement)
Rev K R J MESHOE (ACDP): Speaker, the ACDP position regarding the conflict between Israel and Palestine has always been to support and negotiate the two-state solution. We have, however, consistently opposed one-sided and inflammatory statements that show no attempt to understand the concerns, fears and aspirations of both sides of this complex issue.
While the challenges facing the Palestinian people are placed front and centre the challenges Israeli people are facing are invariably dismissed. Israel faces serious security threats from the enemies who do not merely seek its withdrawal from the West Bank, but its eradication as a sovereign state.
The ACDP believes that it is important for political parties to hold Parliament accountable in ensuring fair and transparent processes, which are inclusive rather than exclusive. We further believe that Parliament must state categorically clear that Israel as a sovereign state has the right to live within safe and secure borders, with the right to self-defense like all other sovereign states nationwide.
The ACDP therefore calls on parties to distance themselves from resolutions calling for extreme measures that set unrealistic precedence to international relations with all other countries; resolutions that also infringe on both peace processes in the Middle East and the South African economy, including, boycott, divestment and sanctions; complete military, financially and political sanctions, as South Africa campaigns for Israel to be suspended from the Swift network; the blocking of financial transactions with Israeli banks and companies involved in the settlements... [Time expired.]
Mrs N W A MICHAEL
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Rev K R J MESHOE
ESKOM ENERGY CRISIS IN SOUTH AFRICA
(Member's Statement)
Mrs N W A MICHAEL (DA): Thank you, Mr Speaker. Eskom has imposed rolling blackouts for the first time since 2008, forcing business to scale back on power usage. This will have a major impact on our economy and undoubtedly lead to job losses. It is increasingly clear that the government itself is unsure about what's going on.
Ahead of his Budget Speech, Finance Minister Pravin Gordhan said the following:
Delays at Medupi are unfortunate. If we had those suppliers earlier, the economy might have grown a little bit better and might have created a bit more certainty in our environment.
However, suddenly he is suffering from a fit of denialism. Mr Gordhan yesterday tempted to downplay the seriousness of the Eskom failures as "an inconvenient kick in the ankle".
Eskom chairperson, Mr Tsotsi, insisted that there is no power crisis. He said:
No! We don't have energy crisis in South Africa; there is no crisis here. In South Africa, we are the only people that seem to be always inventing a crisis where none exists.
The outgoing CEO, Mr Brian Dames, however, contradicted his colleague and admitted that the power supply was a situation that has put the country in crisis, and that it will continue until more generating capacity could be added.
According to media reports from earlier today, the Minister of Public Enterprises, Malusi Gigaba, said he is confident that the leadership of Eskom is doing all it can to ensure that what happened last week is not repeated. But at the very same time, this contradicted Mr Brian Dames, who said:
The supply issue will be a problem for the next few months unless we aggressively supply interventions of at least 3 000 mw.
We cannot allow this to continue. We call on Mr Gigaba to end the confusion and to give South Africa a frank and honest briefing of the facts. When it comes to the current crisis at Eskom, it would seem like the lights are on, but no one is home. [Time expired.] [Applause.]
Mr C D KEKANA
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Mrs N W A MICHAEL
PUBLIC PROTECTOR'S REPORT ON SABC
(Member's Statement)
Mr C D KEKANA (ANC): Thank you, Mr Speaker. The statement is about the Public Protector's report and recommendation. The ANC welcomes the report and the recommendation of the Public Protector and also that the weaknesses in corporate governance have been pointed out. However, South Africa is a constitutional democracy where the rule of law reigns supreme.
The Minister of Communications and the board of the SABC must be given an opportunity to study the report and its recommendations before any action is taken. The call that is made by other parties that the board of the SABC must come and account is premature and ill-informed. This is because the recommendations and the report are not the be-all and end-all. Those who are implicated in the report must be given an opportunity to be heard. Thank you. [Applause.]
Mr M HLENGWA / EKS/\\\tfm/// TAKE ENDS AT 14:31
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Mr C D KEKANA
UNIVERSITY OF KWAZULU-NATAL POTGTRADUATE STUDENTS FACE CHARGES FOR CRITICISM
(Member's Statement)
Mr M HLENGWA (IFP): Hon Speaker, four students at the University of KwaZulu-Natal who are doing their postgraduate studies, Lukhona Mnguni, Mnikeni Phakathi, Siyabonga Khumalo and Thembeni Khumalo, are going to appear before a disciplinary hearing tomorrow for writing an open letter to the vice chancellor of the University of KwaZulu-Natal for expressing their concerns about what is going on in that institution.
Just for doing that, they are now being called to a disciplinary hearing. We cannot allow a situation whereby we confuse different views for dissent. This is a gross abuse of power and amounts to nothing but bullying students, who are coming up wanting to be active citizens of our country and bring forward different suggestions on how best we can handle the problems facing South Africa. Instead of listening, the management has decided to have a long list of charges laid against them and tomorrow they are going to find themselves before a disciplinary hearing, not even allowed to have external representation so that their case can be heard.
If this continues, it means that we are trampling on fundamental rights and on the right to the freedom of expression. These are the rights we struggled for and it is upon all South Africans to ensure that they are enshrined in the daily lives of our people. What is going on at the University of KwaZulu-Natal cannot possibly be allowed to go on and amounts to gross human rights violations, whereby students cannot even be allowed to express themselves. Thank you. [Applause.]
Ms B D FERGUSON
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Mr M HLENGWA
ELECTRICITY CRISIS IN SOUTH AFRICA
(Member's Statement)
Ms B D FERGUSON (Cope): Hon Speaker, South Africa's electricity network requires considerable reform over the coming decades if the country is to successfully diversify its generation mix to sources other than coal to meet the increasing demand for power.
We are told that South Africa's energy requirements are running at 2% spare capacity instead of the 10% minimum. South Africa needs 4 000 megawatt in energy reserves from somewhere for that piece of mind. Eskom and the government have failed our people through the lack of proper planning. The power failures that are taking place are adding to the crisis of political credibility that the post-apartheid democratic government is experiencing. The energy crisis is happening against the backdrop of community uprisings, strikes, student boycotts and other forms of mass action that proliferate in the country, indicating dissatisfaction and the perception of lack of delivery objectives.
About 85% of the country's electricity is used by big business, and that means that most of the electricity is used to make profits. Big business pays 8% per kilowatt, while domestic users pay 26 cents, whilst the mining bosses only pay 3 cent per unit. Is the dream of liberation, indeed, being trampled upon on the altar of profit? Eskom in the last five years retrenched 30 000 workers, half of its workforce, instead of retraining them.
Cope says the solution lies in government being honest and more aggressive in introducing more competition in the supply of energy and the variety of renewable energy solutions. Hon Speaker, the lack of urgent and focused investment direction will leave South Africa with a continued energy crisis and our country in darkness. I thank you.
Mr V G SMITH
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Ms B D FERGUSON
DA COUNCILLORS OWE CITY OF JOHANNESBURG IN RATES AND TAXES
(Member's Statement)
Mr V G SMITH (ANC): Speaker, a second DA councillor, Mr David Dewes, is in trouble with the City of Johannesburg after reportedly failing to pay more than R400 000 in rates and taxes owed to the city. The DA councillor has not been paying rates and taxes on several business properties. According to the finance committee of the ANC in the city the DA is aware of the councillor's failure to pay his rates and taxes, but is dragging its feet and is not taking action against the councillor. It knows that part of the privilege of being a councillor means not having to pay interest for outstanding city accounts for personal property. Mr Dewes, however, does this on business properties and his behaviour is unethical.
It was also not too long ago that another DA councillor in Johannesburg, Daniel Netnow, was handed over to city lawyers for failing to pay more than R300 000 in rates and taxes. The ANC calls for the DA to take immediate action against Mr Dewes. The DA must practice what it preaches. They should be ashamed of the fact that although this matter has been brought to their attention no corrective action has been forthcoming. And even more disturbing is the fact that the DA leader of the council to which these errant councillors, Mr Dewes and Mr Netnow, belong has far-fetched aspirations of being the Premier of Gauteng after the elections. [Applause.]
Ms D KOHLER-BARNARD
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 11 March 2014 Take: 169
Mr V G SMITH
PRESIDENT ZUMA AND MINISTER OF POLICE BLAMED FOR FAILURE OF FIGHT AGAINST GANG VIOLENCE
(Member's Statement)
Ms D KOHLER-BARNARD (DA): Hon Speaker, the DA is angered and saddened by the tragic and senseless deaths of another five people who were caught in the crossfire during a gang shootout on the Cape Flats this weekend. The brutal gunning down of innocent civilians on the Cape Flats must be laid directly at the doors of Police Minister Nathi Mthethwa and President Jacob Zuma. [Interjections.]
The SA Police Service is a national competence, and the deployment of specialised units, such as antigang units, remain their responsibility. [Interjections.]
The SPEAKER: Order, hon members! Order!
Ms D KOHLER-BARNARD: The DA and the Western Cape government have repeatedly called upon the ANC government for the reintroduction of the antigang units closed down by the then National Police Commissioner, Jackie Selebi. These calls have gone unheeded and due to this thousands of community members continue to live a life in fear.
The SAPS has introduced an antigang unit in the Free, which recorded 6 168 drug-related crimes in 2012-13. In comparison, the Western Cape recorded a staggering 82 062 drug-related crimes – 13 times higher than that of the Free State. So, where are the Western Cape's antigang units?
Minister Mthethwa is putting ANC politics ahead of the safety of the people of the Western Cape, deliberately preventing the province from setting up crucial units so that the DA-run province suffers. Under a national DA government, we will ensure that specialised units are set up throughout the country to respond to crime trends in all areas – regardless of who governs. [Applause.]
Ms M R MORUTOA
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 11 March 2014 Take: 169
Ms D KOHLER-BARNARD
SA POST OFFICE TERMINATED CONTRACT WITH LABOUR BROKERS
(Member's Statement)
Ms M R MORUTOA (ANC): Hon Speaker, the ANC welcomes the bold decision by the SA Post Office to do away with labour brokers in their employment of casual employees. [Applause.] Since this decision was taken in August 2012, 1 552 casual employees have been absorbed, whilst 6 428 still remain in the process, waiting to be absorbed. This decision by the SA Post Office has resulted in the casual employees immediately receiving an average increase of around 35% in their salaries, which was going to be paid to labour brokers.
We call upon the Sapo and organised labour to work together as the process unfolds to absorb the remaining casual employees. This is a good story of a state-owned company committed to creating decent work. Thank you, hon Speaker. [Applause.]
MINISTERIAL RESPONSES/The MINISTER OF FINANCE / GG/NM-ed / TAKE ENDS AT 14:39
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 11 March 2014 Take: 170
Ms M R MOROTOA
ESKOM ENERGY CRISIS IN SOUTH AFRICA
(Minister's Response)
The MINISTER OF FINANCE: Speaker, one suggestion for us might be really be frank and say that election campaigning has really started in the House. Then at least we can place some of the statements in some kind of perspective. With reference to my statements quoted by the hon member on the other side, let me state what I said. Firstly, the lack of adequate supply of electricity is a structural constraint in our economy; it's in the budget review. It's in speeches we have made. We don't hide that. Secondly, the delays at Medupi have had an impact both on the supply of electricity and would have changed the growth picture marginally had it been on time. Thirdly, the weather, it appears, did make some impact on the supply of the appropriate quality of coal and we must accept that.
What is the sum total of all of this? The kick in the ankle is about saying, what do we want to do as South Africans: remain paralysed because we have a problem and shout that we have a crisis, or do we actually say, yes, we have a challenge. We have to adapt to the environment in which we exist. [Interjections.]
The SPEAKER: Order, hon members! Order!
The MINISTER OF FINANCE: We have to accept that users have to change their behaviour, whether they be households or businesses. Eskom will have to take another look at certain of the arrangements it has for power supplies and the cost of that power supply, plus do something about the constraints. What are we doing about the constraints? At the moment we are in the process of developing three power stations. We have a R110 billion of renewable independent power producers and more to come. We have plans for a new coal power station if we actually require it. The Integrated Resource Plan for Electricity 2010 is being reviewed currently; shale gas explorations will start shortly in this country. If you look at this package, I reckon that in the next two years or so we will have adequate electricity supply, but we have to admit that we have to make the adaptations necessary now in order to cope with the current situation. [Interjections.]
The SPEAKER: Order, hon members! Order!
The MINISTER OF FINANCE: There are no lies. There is absolute frankness about where we stand. So, let us not mislead the public because it is election time. [Applause.]
The MINISTER OF HIGHER EDUCATION AND TRAINING
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 11 March 2014 Take: 170
The MINISTER OF FINANCE
UNIVERSITY OF KWAZULU-NATAL POSTGRADUATE STUDENTS FACE CHARGES FOR CRITICISM
POSITION OF ACDP REGARDING CONFLICT BETWEEN ISRAEL AND PALESTINE IN SUPPORT OF A TWO-PARTY STATE
(Minister's Response)
The MINISTER OF HIGHER EDUCATION AND TRAINING: Hon Speaker, I just want to respond briefly to two statements. The hon member of the IFP, please don't come and politicise whatever tensions and conflicts there are in our institutions. We must aim to support processes that will ensure that we minimise conflict between students and management in our institutions. That is really cheap politicking, and I am not even sure whether you are aware of the details. You just what to appear to be politically correct, but we don't blame you. [Interjections.]
The SPEAKER: Order!
IsiZulu:
UNGQONGQOSHE WEZEMFUNDO EPHAKEME KANYE NOKUQEQESHA: Umbutho ovele usushonelwe yilanga wenza njalo ngoba lishonile ilanga eNkatheni njengoba sasishilo. Okwesibili, sasho sathi uma kuwa umbuso wobandlululo neNkatha nayo iyoya ethuneni njengombuso wobandlululo. Yileyo inkinga yenu. [Ubuwelewele.]
The SPEAKER: Order, hon members! Order! [Interjections.] Order!
English:
The MINISTER OF HIGHER EDUCATION AND TRAINING: Thirdly, hon Speaker, hon Meshoe mustn't come here and pretend to be neutral on the Palestinian question. At the heart of the problem in that part of the Middle East is the right of the Palestinian people to national self-determination and independence until or unless that issue is addressed there won't be peace in the Middle East. We do support a two-state solution based on the borders prior to 1967 and Rev Meshoe, if you are serious, you must condemn; join us in condemning the building of apartheid walls on Palestinian land... [Applause.]... built by the way by a funder of the DA. We must also condemn the consistent violation of UN resolutions on the Palestinian question, and we must condemn the apartheid rezoning of Palestinian land and also condemn the aggressive expansion of Israeli settlements into the Palestinian territory. Don't come here and pretend actually to be neutral on this question. Thank you, Speaker. [Time expired.] [Applause.]
The DEPUTY MINISTER FOR CO-OPERATIVE GOVERNANCE AND TRADITIONAL AFFAIRS
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 11 March 2014 Take: 170
The MINISTER OF HIGHER EDUCATION AND TRAINING
DA COUNCILLORS OWE CITY OF JOHANNESBURG RATES AND TAXES
(Minister's Response)
The DEPUTY MINISTER FOR CO-OPERATIVE GOVERNANCE AND TRADITIONAL AFFAIRS: Speaker, in reacting to the statement by the hon Smith regarding the nonpayment of rates and taxes by two DA councillors in Johannesburg, we can only express our deepest concern. [Interjections.] We hope that those allegations are not true, and if they are true, that they would be acted upon speedily. I think it is very worrying that as this House prepares to vote on the Municipal Property Rates Amendment Bill this afternoon, that there is a party here who's opposing that legislation that is tolerating massive nonpayment by its councilors. I think that is a cause for great, great concern. Thank you. [Applause.]
Mr T A MUFAMADI
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 11 March 2014 Take: 171
The DEPUTY MINISTER FOR CO-OPERATIVE GOVERNANCE AND TRADITIONAL AFFAIRS
CONSIDERATION OF REPORT OF STANDING COMMITTEE ON FINANCE - 2014 FISCAL FRAMEWORK AND REVENUE PROPOSALS
The SPEAKER: As the hon Mr Mufamadi approaches the podium, I wish to say to him: Happy birthday, sir! [Applause.]
Mr T A MUFAMADI: Thank you for the words, hon Speaker. Hon Speaker, hon Deputy President, hon Ministers, particularly hon Minister Gordhan, Deputy Minister Nene, hon members, comrades and compatriots, and colleagues on my left, the Minister's 2014 Budget Speech has drawn the most enthusiastic commentary of respected economists who lined up to give their views and interpretation of the Budget in relation to the country's fiscal wellbeing.
Most political and economic analysts concurred that this is once again a balanced Budget, others calling it a disciplined Budget, with some going as far as saying politicians - particularly the ANC - will be disappointed because it is definitely not your typical election year Budget. It is indeed not an election Budget, because the ANC-led government services communities on an ongoing basis, informed by the mandate received from the electorate in terms of our manifesto, commitments in particular, not promises.
In the Reconstruction and Development Programme we said:
The first priority is to begin to meet the basic needs of people - jobs, land, housing, water, electricity, telecommunications, transport, a clean and healthy environment, nutrition, health care and social welfare.
Indeed, great strides have been made in addressing these challenges in the past twenty years. Significant progress has been registered, and yet we are the first to admit and acknowledge that much more still needs to be done. Working together with all South Africans, we will be able to take South Africa forward.
Some political commentators have made comments and assertions that seek to reduce the work of a capable collective under the wisdom of President of the Republic of South Africa, Jacob Zuma, and the collective committee of Ministers in the Cabinet, seeking to alienate the Minister of Finance from this collective. We profusely refused this destructive thinking. It is in this vein that we wish to recognise and commend the collective efforts of the hon Minister of Finance, together with the Ministers' Committee on the Budget. We also commend the invaluable input of Cabinet colleagues for their consistent and sterling work in putting together a credible Budget before the Republic and the people of South Africa in general.
Through this Budget, we remain true to our commitment. We continue to be guided by the Reconstruction and Development Programme, RDP. For the past half a decade, the Fiscal Framework has been an evident narrative of consistency, stability, debt management, economic growth, job creation, fiscal prudence, the foundation of which was laid in 1994 under the first democratically elected President and our world icon Ntate Nelson Mandela.
The fiscal path over the last 20 years of our democracy has been a tool of assurance that the South Africa we have built since 1994 is indeed today a better place to live in and continues to inspire hope to millions of South Africans for an even better tomorrow.
From the submission of interested parties during the public hearings, the Select Committee on Finance agrees that the 2014 Budget is underpinned by the following key principles. The global economic environment outlook remains a festering soar particularly from developed economies, whilst the developing world will continue to be the main pillar of the global economic recovery. Domestically, the South African economy registered a lower economic growth than projected due to lower commodity prices and labour instability, particularly in the mining industry. The domestic currency remains volatile due to, amongst others, the quantitative easing measures introduced by the Federal Reserve Bank in the United States.
The budget deficit is now at 4% lower than the projections, despite lower economic growth. This will narrow the deficit to 2.8% of the GDP over the medium term expenditure period. Consolidated noninterest spending will increase by only 2% over the medium term. This is a remarkable achievement.
In line with the Medium-Term Budget Policy Statement, MTBPS. We welcome the implementation of the expenditure ceiling in order to force government departments to reprioritize without undermining social security and service delivery programmes.
In terms of benefits to households, the committee acknowledges that the Budget will also support income tax relief to households; job creation in the private sector; infrastructure, particularly in the renewable energy supply; and an increment of child support grants, which will take care of over 16 million people in the Medium-Term Expenditure Framework period, MTEF period.
On support for business, there will be increased support and tax relief to promote entrepreneur development, as well as financial support and subsistence for mainstream industries, i.e. agriculture. And, on financial security, steps have already been taken to ensure the protection and security of income tax, particularly retirement benefits, in a prescribed assets environment.
Therefore, it is our view as Select Committee on Finance that the 2014 Fiscal Framework which has been presented should support a developmental programme to promote youth employment and protect the most vulnerable people in our society - the aged, women and children.
Furthermore, this Budget re-emphasizes three fundamental aspects of the National Development Plan, NDP. It seeks to foster partnerships; achieving fiscal prudence by capping the Budget and management of contingency grants; to support transformational imperatives, particularly land redistribution programmes, entrepreneurship, SMME development and budget management ; focuses on managing public debt and reducing the fiscal deficit over the next three years.
It is important that we dispel some of the myths that were propagated by some members in and out of this House. In that spirit, I wish to reiterate some of the important and valuable information that the Minister shared with us in his Budget Speech:
Your administration started out, Mr President, with an economy that, in rugby terms, might be called a 'hospital pass'. Furthermore you said, 'We experienced a once-in-70-year economic earthquake, the aftershocks of which are not yet over.' Today we can report to the South African people, on what we have done in the past five years to respond to this crisis. We began on a firm footing.
It is important to repeat some of this information, precisely because some amongst us appear to either suffer from amnesia or selective memory or, worse still, they will never let facts stand in the way of a political point that they wish to make. Accordingly, we have heard certain leaders claim that South Africa did not have World Bank debt before 2009. The facts are as follows.
Firstly, in the 2008-09 cycle, the stock debt of our gross government loan was R626 billion. Adjusted for cash balances, this figure becomes R525 billion, which is a net loan debt in other words. Expressed as a percentage of the GDP, these figures translate into 23,1% and 18,7% respectively.
Secondly, and perhaps very importantly, the figures I have referred to above are a far cry from what we inherited from the apartheid government thanks to the successive ANC-led administrations since 1994. For example, in the 1994-95 cycle, the gross debt was R240 billion or 46,5% of GDP, whilst the net loan debt was 45,2%. While the absolute debt continued to rise to reach the levels I quoted earlier, we can safely say, without fear of contradicting ourselves, that we succeeded to contain debt as a percentage of GDP, thus reducing it by over 20 percentage points.
Thirdly, of course, as much as our debt has increased, we pride ourselves that such debt was incurred delivering services to the people. We have built millions of houses, connected many households to water and electricity and we have built schools and clinics. Amongst other important programmes, we intend to fast-track the redistribution of land through this budget. [Applause.]
Lastly, I need to remind this House that when the 2008-09 financial crisis broke, we had registered a budget surplus for two consecutive years. I am raising this precisely because some among us have forgotten about the global financial crisis of 2008-09. As the Minister of Finance had noted in his speech, "We ran one of the biggest countercyclical fiscal stances in the world." Correctly, when revenues fell short by R61 billion, we allowed the deficit to rise, invested in infrastructure, set up competitiveness enhancement packages and expanded our public employment schemes.
Today, we know that we were right because we have regained all the jobs that we had lost during the crisis. The recently released Goldman Sachs study, assessing the first two decades of freedom, made the following findings once more: The government debt costs have trended lower and foreign reserves have risen; the cost of capital has declined; corporate valuations have improved relative to that of global peers; and labour productivity has improved despite the challenges that we have in the mining sector.
Simply put, we saw increased economic growth, attracting the world's International Monetary Fund, IMF, and the World Economic Forum's appraisal, WEF's appraisal, of the ANC-led government on the competitiveness and regulatory framework that compares with the best globally. This Budget is characterized by budget reprioritisation and recovery of the contingency reserves of the medium-term period. We are, and will continue, to remain the beacon of excellence and example to many, both in the developed and emerging economies.
In conclusion, I would like to thank members of the Standing Committee on Finance for the good work they delivered, particularly the Chairs and Co-Chairs of Finance committees. Hon Charl De Beer has been a pillar of support in terms of the work that we all do. Thanks to hon Sogoni and hon Chaane, the Minister of Finance, Mr Pravin Gordhan, the Deputy Minister of Finance, Mr Nhlanhla Nene, the Director-General of the SA Revenue Service, Lungisa Fuzile and the SA Revenue Service officials.
I must say that the foundation of fiscus stability and revenue collection that was laid by the current Minister of Finance, hon Pravin Gordhan, remains. I wish to say that legacy continues to prevail under the current Acting Commissioner of the SA Revenue Service, Mr Irvan Pillay. With this foundation, we have managed to put strategies in place that have become the pillars of our revenue supporting the national purse.
The former SA Revenue Services Commissioners also played a very important role in pursuing this goal. Let me also thank the staff in the National Treasury, particularly under the leadership of the director-general, for the work done in the past five years.
The ANC supports the 2014 Fiscal Framework and Revenue Proposals for the 2014 Budget. I submit this report to the House forconsideration. Thank you. [Applause.]
The HOUSE CHAIRPERSON (Mr C T Frolick): May I request the members who are standing around in the passages, having long conversations, to take their seats, please? Thank you.
Mr T D HARRIS
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 11 March 2014 Take: 172
Mr T A MUFAMADI
Mr T D HARRIS: Hon House Chairperson, as a birthday present to the committee Chairman, let me recap some of the credits that the budget speech got from some analysts and commentators. There are three things I want to cover: firstly, the sentiments expressed in the Budget that underlined how government needs to work with the private sector, and move to implementation of the National Development Plan, NDP; secondly, the reassurance for rating agencies that are coming in with budget deficit figures lower than expected; and thirdly, introducing expenditure ceiling and projections for cost containment on savings on items like catering, entertainment and venue rental. Overall, some analysts were relieved that this was a conservative budget.
However, the DA has to ask itself, when seven million South Africans are unemployed, and we have the highest unemployment rate amongst middle-income countries - is a conservative budget good enough? When our economy is growing at less than 2% per year, while any other emerging markets are growing at 4% to 6% -is a conservative budget good enough?
The Finance Minister avoids these awkward questions, and he stayed on message for the governing party's election campaign by suggesting that this Budget should be judged by the fact that our country is better today than it was under apartheid. Of course, we all know that it is not debatable; we have all acknowledged that things are better today than under apartheid. The real question is how this administration has performed over the past five years, and whether this Budget before the House is strong and brave enough to take us out of the economic doldrums.
No member in this House would deny the fact that the global financial crisis had a central role to play in the deterioration of our economy in 2009. The Minister described this in great detail in his speech. But what he did not describe is how South Africa, unlike most emerging markets, suffered a double crisis, the global financial crisis on the one hand, and a crisis of political leadership on the other. While our economy grew at 1,9% last year, Peru, Malaysia, Chile – you have all of heard these countries before in recent weeks – are growing at 4% to 6%. While political leaders in those countries and other developing countries responded to the global financial crisis by implementing reforms to make their economies more competitive today, our leaders muddled along, tabling contradictory economic plans and refusing to take on vested interest rights at the top of government. That is why our average gross domestic product, GDP, growth has dropped from 4,2% under President Mbeki to 2,8% under President Zuma. The President himself acknowledged in a speech today that growth has not been adequate to meet the objective of reducing unemployment substantially. The bottom line is that today there are 1,4 million more unemployed South Africans than there were on the day that President Zuma took office.
The only way we can really measure this Budget is by asking two questions: Does it do enough to help our economy to create jobs and does it do enough to accelerate economic growth? I think the answer to both of these questions is no. That is why we cannot support this report, nor the Fiscal Framework. If you dig a little deeper, even the aspects of the speech that I welcomed earlier on are problematic. [Interjections.] Firstly, it is good for the Finance Minister to make the right noises about implementing the NDP each February, but South Africans have seen that this government does not listen to him and the implementation does not happen; secondly, the main reason we hit that lower budget deficit figure is because the provinces underspent by R6,7 billion, reflecting deep capacity problems across ANC-run provinces.
It is also not clear that government will comply with the Finance Minister's cost containment measures. We remember the North West Premier at the end of last year buying herself a R1.3 million car; we saw the Mpumalanga Premier buying himself an Audi A8, a BMW X5 and a Range Rover; we saw the budget for this years' presidential inauguration increased to R120 million, 60% more than what we spent last time.
There are other, deeper structural problems with this Budget. We are told that government debt, as a percentage of GDP, will peak in three years' time, but peak means it is going to come down afterwards. So, why has last year's peak of 40% in 2015 changed to a new peak of 44% in 2016? This raises serious questions, at the very least about the long-term sustainability of our government finances, particularly when already today R1 out every R10 we spend goes into paying off debt.
There has also been a lot of fuss about the R1 trillion we spent on infrastructure over the past five years. If you go with the amounts the NDP says we should be spending on infrastructure, that number should have been more than R1,5 trillion. The
R847 billion that the Minister is claiming over the next three years should actually be over R1,2 trillion. The bottom line is that we are not spending enough on infrastructure.
While the Minister pays lip service to the NDP, the actual implementation has not happened. Why are we not holding teachers accountable for their performance? Why have we not seen the regulatory reform we need to boost growth? Why have we not overhauled the Public Service to hold government employees accountable? Why are we increasing barriers to trade and investment rather than lowering them?
The implementation has not happened because the ideological enemies of the NDP are many; they sit at the highest levels of government, and the President is not prepared to take them on. That is the reason why South Africans do not have confidence that the good sentiments expressed each year by the Finance Minister will translate into real action by government. It is the reason why, despite being the largest economy in Africa, we are not benefitting from the African economic growth of 6%. While we have the largest endowment of mineral resources, our mining sector has contracted by 0,5% for the past three years. It is also the reason why this Budget is too conservative to tackle unemployment and slow growth, and the reason why we cannot support it. Thank you. [Applause.]
Mr N SINGH
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 11 March 2014 Take: 172
Mr T D HARRIS
Mr N SINGH: Hon Chairperson, hon Deputy President and colleagues, our Fiscal Framework and Revenue Proposals must continually strive to align themselves with the National Development Plan of this country. At the current economic growth rate of sub-2%, it is imperative that we focus on creating an economic environment that will boost the economic recovery environment and growth. This we can do largely by creating the necessary space within which our small, medium and micro enterprises can flourish and by utilising the limited fiscal space available to the utmost benefit of our economy.
Wasteful expenditure by government must become a thing of the past. It is high time that government start taking a very serious and responsible look in terms of how they spend taxpayers' money. I have a good story to tell. However, it is not about the ruling party or the government; it is about the nameless South African taxpayers who continue to support this country. The citizens and corporates that comprise our tax base are the real heroes of this country. This government should thank them every day for without their contributions very little of the infrastructure and social spend would be achieved. However, these taxpayers need to receive value for their money. Unfortunately there are challenges that face us a country.
South Africa is riddled with many dishonest people who, through their stealing, lessen our ability to learn, work and survive. Dishonesty means that state procurement laws are abused and officials steal money from service delivery projects to enrich themselves and their families. Those who are guilty of stealing very often escape public prosecution. People are hired based on their party affiliation and not their competence. State-owned enterprises and departments often cannot function properly because their resources are used to advance the political and financial interests of the elite. Big business steals your money and my money by colluding to fix prices for essential items like bread. Law enforcement officers often break the law by soliciting bribes, hijacking, extorting, pimping, assaulting, raping and murdering those they are meant to protect. I am sure we all in this House agree that corruption is a cancer that is not easy to remove. If allowed to thrive, it becomes the culture that will steal our future.
We as South Africans must not tolerate dishonesty. We must refuse to be part of it. We must report it and we must demand a justice system that punishes it. The IFP believes in fighting corruption with a zero tolerance policy. The fact that government's net debt continues to grow is a matter of concern. We look forward to seeing how current policy deals with creating more fiscal space in the next three years by reducing the ratio of government debt to gross domestic product.
As The IFP, we will support this Fiscal Framework, but we will look closely as we move forward into the coming years.
In the last 20 seconds I have - I do know that the hon Minister does not reply to the Division of Revenue Bill and this might be his last reply as the Minister of Finance and as IFP and as a member of the committee I wish the hon Minister well. You have certainly done an admirable job we trust that the hon President, post 7 May elections, sees his or her way to retaining you as Minister of Finance. You certainly have an unfinished business and we thank you. [Applause.]
Mr N L KWANKWA
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 11 March 2014 Take: 173
Mr N SINGH
Mr N L KWANKWA: Hon Chairperson, Deputy President and hon members, economies around the world including ours have since the financial crisis in 2008 struggled to return back to pre-subprime economic performance levels. This decline in business activity has resulted in massive job losses, business closures and many families are finding it difficult to make ends meet.
Despite these challenges, good strides in economic and social development have been made to boost the economy, create jobs and reduce poverty.
One of the good things that the Minister and the department have done over the past few months is that they have heeded the call to reduce costs by keeping an eye on and actively seeking ways to moderate the public sector wage bill and by introducing the wide range of measures to try and cut costs within the system.
We also commend the government for ensuring that the consolidated budget deficit came down from the 4,2% in October last year to about 4%. However, while it makes sense to, in the light of the current general economic decline, run a budget deficit of 4% in the medium-term to support our developmental objectives, the budget deficit, viewed together with the rising public debt, which stands at just over 40% of gross domestic product, GDP, gives an impression that government is struggling to embark on a fiscal consolidation programme.
Yes, we are aware that the rising global interest rates have been a major contributing factor to the rise in debt service costs for government. We are also cognisant of the fact that significant steps have been taken to improve the management of the public debt and that currently only about 10% of public debt is in foreign currency.
However, the UDM believes that more needs to done to improve efficiency in government - fight corruption. This is essential to reduce and bring South Africa's debt levels down to sustainable levels.
Labour unrest is hurting the South African economy and results in the loss of our country's competitiveness. Nowhere is this loss of competitiveness more evident than in the current account deficit of approximately 6% and the fact that South Africa's net portfolio investments declined to R24,3 billion in 2013, from R88,8 billion in 2012.
Mr Minister, it concerns us that South Africa's large current account deficit, together with the budget deficits, are beginning to attract the attention of rating agencies, which already have a negative outlook on South Africa. The UDM calls on government to take steps to improve the depressing investment climate in South Africa in order to ensure private investment,– both portfolio and in particular foreign direct investment, is rekindled. This is one of the most essential ways to achieve economic growth rates that are necessary to arrest poverty in South Africa.
Mr Minister, it makes us uneasy to see that government's debt and deficit reduction programme seems to principally depend on the optimistic economic growth forecasts. I thank you. [Time expired.] [Applause.]
Adv A D ALBERTS
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 11 March 2014 Take: 173
Mr N L KWANKWA
Adv A D ALBERTS: Hon Chair, Minister Gordhan, we admit that you have a very difficult job. There are many competing issues and causes worthy of intervention and funding, but one cannot, due to limited income, attend to all as one would like. We think that you are doing a good job in the circumstances and for that we are thankful.
We have a country partitioned between a very modern economy on the one hand and the dire socioeconomic challenges on the other. It is thus easy to fall into a trap where one merely redistributes wealth from one side to the other. The challenge, of course, worldwide is to ensure that the middle class grows and that people are uplifted without resorting to killing the proverbial goose that lays the golden eggs. The ANC talks about the developmental state as the governmental instrument to perform this function. In this respect, the apt word is development as opposed to mere redistribution that does not solve the poverty problem.
Afrikaans:
Daarom is dit goed dat die Minister wil sorg dat Suid-Afrikaners meer spaar. Tog betaal die gewone man en vrou in die straat steeds te veel belasting. Die beplande belasting op myne en olie-ontginners gaan die industrie breek. Enige koolstofbelasting moet nie teruggeploeg word in die algemene fiskus nie, maar moet eerder geoormerk word vir groen projekte vir beide werkskepping en skoon energie. Daar moet kreatief gekyk word na hoe die gewone man en vrou se belastinglas verlig kan word deur byvoorbeeld ander belasting kreatief te kan inspan, soos belasting op groot, riskante beleggingsinstrumente, wat die positiewe sosiale effek sal hê dat swak beleggings en toksiese finansiële instrumente nie sal plaasvind nie.
English:
Lastly, Minister, I also asked you to kindly look at two important matters with huge possible financial repercussions. The first is the R80 billion class action claim against Transnet instituted by the Transnet pensioners. If this claim is successful, the credit status of Transnet and other parastatals, by association, and probably national government itself will be severely downgraded.
There is, however, a way out this impasse, if you are willing to talk to us. The same goes for the intractable e-tolls problem. A win-win scenario is still possible if you are willing to talk to us and other interested organisations. We think that we can submit a plan that will take us out of this impasse that will benefit the country as a whole as well as the affected individuals.
Afrikaans:
Ons hoop om graag van die Minister in hierdie verband te hoor. Dankie vir u harde werk, Minister.
English:
Thank you.
Mrs P E ADAMS
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 11 March 2014 Take: 174
Adv A D ALBERTS
Afrikaans:
Mev P E ADAMS: Agb Huisvoorsitter, agb Adjunkpresident, agb Minister Gordhan, agb Adjunkminister Nene, agb lede van die Huis en kamerade, die 2014 Begroting, soos voorgelê deur die Minister van Finansies, lê die grondslag vir strukturele hervormings wat vir die volgende regeringstermyn in die vooruitsig gestel is. Dit lê die middelebron uiteen wat aangewend sal word vir die verskerpte inwerkingstelling van die Nasionale Ontwikkelingsplan. Dit word ter tafel gelê in die wete dat alle Suid-Afrikaners uit die deurlopende transformasie van die samelewing sal voordeel trek.
Ons ontwikkelings- en ekonomiese agenda moet deur die staat gedryf word en die wetgewende arm van die staat het 'n belangrike rol hierin te speel deur die nodige wetgewende en regulatoriese omgewing te skep. Hiervoor is die staat in vernootskap met die private sektor om diversiteit en die ruimte te skep vir meer swart Suid-Afrikaners en meer vroue om deel van die ekonomie te wees. Die klem is weer eens op eienaarskappatrone en produksiemiddele, en vereis verskerpte aandag op ons ontwikkelingsagenda. Dit het 'n diepgaande impak op voorstelle wat met behulp van 'n reeks maatreëls bereik moet word, soos vervat in die ontwikkelingsbloudruk, naamlik die Nasionale Ontwikkelingsplan.
Die ekonomiese en breër ontwikkelingsplanne vir die tydperk wat voorlê, is gefokus op ekonomiese transformasienoodsaaklikhede, wat groei sal versnel, 'n meer inklusiewe ekonomie sal bou, geleenthede sal skep en 'n meer gelyke samelewing daar sal stel.
Die aanvaarding van die Nasionale Ontwikkelingsplan as die langtermynraamwerk vir ekonomiese groei en sosiale ontwikkeling staan sentraal tot die planne wat deur die 2014 Begroting befonds word. Dié. plan dien as gids vir die toekenning van openbare bronne en erken die behoefte om te diversifiseer om uitvoermededinging te verhoog en vennootskappe te skep ten einde die geïdentifiseerde uitdagings die hoof te bied.
Begrotingsprioriteite sluit in: Belegging in infrastruktuur; indiensneming van die jeug; verbetering van dienslewering; ondersteuning oor die langtermyn van die Gemeenskap Werksprogram; hulp aan kleinskaalboere; klein, medium en mikro-ondernemings; Belastingaansporings vir die indiensneming van persone wat die eerste keer begin werk; die Uitgebreide Openbare Werkeprogram; Spesiale Ekonomiese Sones; en Openbare infrastruktuurbelegging.
Gelei deur die verwagtinge van die Vryheidsmanifes, het die ANC 'n duidelike en omvattende visie vir Suid-Afrika in die jaar 2030, naamlik dié van hoër groei, skepping van ordentlike werk en groter gelykheid.
Beide die mediumtermynbegrotingsbeleidsverklaring van Oktober 2013 en die ANC se vyfjaar manifes vir die tydperk 2014 tot 2019, verskaf die implementeringsfase van hierdie visie, waarmee daar 'n verskil in die lewens van alle Suid-Afrikaners bewerkstellig sal word. Hiermee word ons prioriteite vir die volgende fase van ons radikale ekonomiese transformasie in werking gestel.
Die Nasionale Ontwikkelingsplan maak voorsiening vir 'n sosiale ooreenkoms om armoede en ongelykhede uit te wis, en werksgeleenthede en beleggingsgeleenthede te verhoog. Dit word aanvaar dat, om vinniger vordering met die uitwissing van armoede te maak, ons ekonomie in die rigting van 'n minimum van 5% per jaar moet groei.
Om dit te bereik en om 'n groeikoers te vestig wat inklusief is en wat swart ekonomiese ontwikkeling vinniger bevorder, is daar 'n wye reeks inisiatiewe in die pyplyn. Die inisiatiewe sluit in: versnelde infrastruktuur belegging; nuwe ruimtelike planne vir stedelike ontwikkeling, verbeterde openbare vervoer en die opgradering van informele nedersettings; ondersteuning vir Spesiale Ekonomiese Sones en vervaardigingsaansporings soos uiteengesit in die Industriële Beleid Aksieplan, Ipap; belastingaansporings om jeug indiensneming te bevorder; verdere uitbreiding van openbare werksprogramme; 'n Hernude fokus op verantwoordbare en kwaliteit van onderwys; verdere infasering van Nasionale Gesondheidsversekering; verdere beleggings in hernubare energie, agb lid Alberts, en ondersteuning vir die oorskakeling na 'n lae-koolstof ekonomie; en stappe om die staatsdiens te professionaliseer en die bestuur van verkryging en voorraadketting op te knap.
Saam kan ons Suid-Afrika vorentoe neem. Ons kan maar net die ANC regering en Tesourie bedank dat die inkomende administrasie 'n gesonde stelsel van openbare finansies erf wat 'n platform vir die implementering van die Nasionale Ontwikkelingsplan verskaf, en 'n raamwerk vorm vir die samewerking met alle belanghebbendes in die verdere ontwikkeling van ekonomiese transformasie.
Werkskepping sal die sentrale prioriteit van die ANC bly. Ons gee erkenning aan die feit dat werkskepping sedert 2009 met ongeveer 1,3 miljoen toegeneem het, soos aangeteken deur die kwartaalikse Arbeidsmagopname.
Verhoogde belegging in die ekonomie deur die openbare en private sektore is die grondslag van werkskepping en groei. Ons kan saam Suid-Afrika vorentoe neem.
Belastingvoorstelle vir die 2014 Begroting prioritiseer steeds ekonomiese groei, werkskepping en generering van voldoende inkomste om staatsuitgawes te finansier wat strook met die oogmerke van die Nasionale Ontwikkelingsplan ten opsigte van die uitbreiding van die ekonomie en die vermindering van werkloosheid.
Vordering in verbeterde toegang van onderwys is oor die afgelope vyf jaar gemaak. Soos beklemtoon in die Nasionale Ontwikkelingsplan, is die verbetering in die onderwys van kritiese belang. Die 2014 Begroting gee dan ook hieraan spesiale aandag.
English:
Education is not only a way to improve life, but education is life.
Afrikaans:
Die ANCbeleid is dié van inklusiewe groei om die siklus van groei en ontwikkeling te versterk. Oor die mediumtermyn word verskeie belastingmaatreëls op strukturele ekonomiese uitdagings gerig en die bevordering van sterker en meer inklusiewe groei.
Die Nasionale Ontwikkelingsplan is 'n plan vir fundamentele transformasie waarin ons jeug gemobiliseer en alle Suid-Afrikaners byeengebring word. Elkeen van ons het 'n rol om te speel. Elkeen van ons het 'n verpligting om na te kom.
Die DA baseer debatte op media-analise eerder as op die Begrotingsrede. Agb Harris is duidelik onbewus van enige finansiële hervormings wat deur die ANC-beheerde regering gedoen is. Tesame kan ons Suid-Afrika vorentoe neem. Die ANC ondersteun die Fiskale Raamwerk en Inkomstevoorstelle. Ek dank u. [Applous.]
Mr S N SWART
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 11 March 2014 Take: 175
Ms P E ADAMS
Mr S N SWART: Chairperson, the ACDP supports the report on the 2014 Fiscal Framework and Revenue Proposals. We know that the Budget was very well received by commentators and economists, and we as the ACDP believe that the Minister has not departed from the prudent countercyclical fiscal policy, notwithstanding the labour unrest in the mining sector as well as slowing global and domestic economic growth prospects.
We are also pleased to see that the Budget is now firmly aligned with the National Development Plan, and this we believe provides policy certainty. That is what investors are always looking for. Both foreign and domestic investors look for policy certainty. It sends a very clear message to reassure those investors and credit rating agencies that National Treasury will not deviate from its trademark fiscal conservatism, notwithstanding political pressure from various quarters. In our view and as other media commentators pointed out, prudence has trumped populism.
We also need to bear in mind that the fiscal outlook for the years ahead is going to be challenging, and with the onset of the 2009 recession, government was able to use the fiscal space built in the preceding years to support the economy. However, there is now very little space to move.
The changed environment has significant implications for revenue collection, with global interest rates rising, the rand depreciation and weaker commodity prices having significant fiscal implications. Our projected debt service costs for 2014-15 are R5 billion higher than estimated in October 2013, and that is obviously cause for concern.
Our economic growth remains below our potential with the terms of trade deteriorating, and they are unlikely to improve over the medium term. A weaker outlook for commodity prices, as pointed out in the report, has contributed to a downward revision of the estimated tax revenue.
We share concern about the debt to gross domestic product, GDP, ratio, as pointed out by my colleague from the DA, in that it will reach just below 45% in the outgoing years, up from 40% that was indicated earlier. Debt service costs rise faster than any other category of spending over the medium term, which in our view crowds out spending on developmental priorities.
We also, of course, need to look at our wage bill, which is increasing. Almost 40% of the consolidated noninterest expenditure is spent on our wage bill and we know that a new wage bill will have to be negotiated with the three-year bargaining cycle coming to an end. We must have an affordable wage sector wage agreement. That will have to be negotiated.
We support government's cutting down on wasteful expenditure and the Minister's announcements in that regard, but clearly much more needs to be done. Across the House we are in agreement with that. The issue of the estimated R30 billion being misappropriated must be addressed.
May we wish the Minister everything of the best. We congratulate chairperson Mufamadi on his birthday today as well.The CDP, as indicated, will support the Budget and the fiscal report. Thank you. [Applause.]
Mr R B BHOOLA
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 11 March 2014 Take: 175
Mr S N SWART
Mr R B BHOOLA: Hon Chairperson, central to the Fiscal Framework is our economic growth. While the DA likes to criticize our government for the lack of growth, the statistics, however, tell a completely different story. Let me tell you that 15 years prior to our democratic dispensation our growth rate was a dismal 1,5% per year. However, in the last 20 years, we have had a stable growth rate of more than 3%. This reflects and undoubtedly confirms that we have a good story to tell. [Applause.]
The plan presented by the Minister is both reliable and stable. This will do a lot to inspire investor confidence, unlike the DA, that concocts ridiculous figures to fool the masses. They must stop living on stupidity. [Interjections.] They have stated that an 8% growth rate is the solution to our problems. Satanism must be rife within the DA. Where did they get this 8% from? Was it Satan whispering in their ears ... [Interjections.]
Mr J H VAN DER MERWE: Hon Chairperson ...
The HOUSE CHAIRPERSON (Mr C T Frolick): Order, hon members! Hon Bhoola, will you just take your seat, please!
Mr J H VAN DER MERWE: Chairperson, may I ask the hon member ... [Interjections.]
The HOUSE CHAIRPERSON (Mr C T Frolick): Order, hon members! Chief Whips, you don't have to compete. I will listen to the hon Van der Merwe first and then the hon Watson.
Afrikaans:
Die HOOFSWEEP VAN DIE OPPOSISIE: Hy het van my gepraat, man! [Gelag.][Tussenwerpsels.]
English:
The HOUSE CHAIRPERSON (Mr C T Frolick): Order!
Mr J H VAN DER MERWE: Chairperson, I would like to know if I can ask the hon member a very easy question.
The HOUSE CHAIRPERSON (Mr C T Frolick): Hon Bhoola, are you prepared to take a very easy question?
Mr R B BHOOLA: I will take it at the end.
The HOUSE CHAIRPERSON (Mr C T Frolick): He will take it at the end. There is a point of order by the hon Watson.
The CHIEF WHIP OF THE OPPOSITION: House Chair, would you rule whether it is parliamentary for a member at the podium to say that another party is rife with Satanism? [Laughter.]
The HOUSE CHAIRPERSON (Mr C T Frolick): Order, hon members!
The CHIEF WHIP OF THE OPPOSITION: I would think that it is totally unparliamentary.
The HOUSE CHAIRPERSON (Mr C T Frolick): Hon member, I will look at Hansard. It was a reference to the party and not a specific individual. However, I will consult Hansard and come back with a ruling if necessary.
Mr R B BHOOLA: Was it Satan whispering in their ears, telling them how to prolong the suffering of the masses? [Interjections.]
Now is not the time for lofty ideals and wishful thinking. We need to be realistic in our targets for GDP growth, as opposed to chasing unattainable ideals, as it will provide stability to a long-term growth path and expected revenue.
We need to further contain costs, increase the efficiency of government and thereby decrease the national debt. The MF therefore lauds the implementation of the debt ceilings across all departments, as mentioned by the Minister in 2012, and I am sure we will see further results in the next few months.
I commend the hon Minister on the higher than expected tax revenue for the 2013 fiscal year. This shows that sound policies and good management ... [Interjections.]
The HOUSE CHAIRPERSON (Mr C T Frolick): Hon Bhoola, will you just sit down, please.
The CHIEF WHIP OF THE OPPOSITION: Hon Chair, in terms of my previous point of order can I please draw your attention to Rule 63: Offensive Language, which says that no member shall use ... [Interjections.]
The HOUSE CHAIRPERSON (Mr C T Frolick): Hon Chief Whip ...
The CHIEF WHIP OF THE OPPOSITION: Can I continue please?
The HOUSE CHAIRPERSON (Mr C T Frolick): Hon Chief Whip, I have already said that I would consult Hansard and come back with a ruling. What you are saying now is not going to assist with what we are busy with at the moment. Can we continue with the debate?
The CHIEF WHIP OF THE OPPOSITION: Hon Chair, you said he was addressing the party. Members of this party are offended in terms of this Rule.
The HOUSE CHAIRPERSON (Mr C T Frolick): Hon member, your point of order is noted. It was a reference to a party and not to a specific member. Continue hon Bhoola.
Mr R B BHOOLA: This shows that sound policies and good management are the drivers behind the good story that we are telling. Great results like this allow government to spend on pertinent issues like a livable increase in social grants for the poor and marginalised communities. The MF welcomes this, and we will consistently advocate a greater increase and an inclusive basket of services for all the people, be it health, housing, basic services, etc.
Furthermore, we commend the Minister for not bending the knee to lower taxes in an election year and by implication decrease the revenue in order to score cheap political points. Contrary to this, the DA campaigned hard for tax cuts for everyone. This is understandable as the DA would do anything to protect their elite support base.
Tax cuts for the rich millionaires in our country will not help right the wrongs of the past, but it will be there and indeed will not cover the hardship of our national debt. Parties must not come, like the DA, and blow hot air. Yes, with our country's deficit we do indeed acknowledge that we will be spending more than we have, but people are unemployed, poverty is rife and the gap between the rich and the poor is increasing. Deficit or no deficit, we simply must do more to ensure that we are delivering to these destitute communities.
Let us not allow the rest of the country to end up like the sad story of the Western Cape, with its growing gap between the rich and the poor. Let us instead do all that we can to achieve realistic goals to keep on telling the good story of the 20 years of democracy that indeed is associated with President Zuma's administration and, of course, Madiba's inspirational and spiritual guidelines, which serve as a protective shield. The MF will support the Budget and the framework. [Time expired.] [Applause.]
Mr D C ROSS:
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 11 March 2014 Take: 175
Mr R B BHOOLA
Mr D C ROSS: Chairperson, the hon Bhoola once again surprised me with his unfounded attack on the DA, and once again there was not very much substance. Let me just note that his application to become a member of the DA and to serve the DA has been rejected. [Interjections.] However, we wish him all the best. We wish him a happy retirement and a good story in his retirement.
This year Minister Gordhan tabled a Budget that held the line against populist pressure to spend more. The Budget holds the line in committing government to spending limits of R1,25 trillion in 2014-15. Whilst the fiscal consolidation is an impressive accomplishment and we have noted the global crisis, as the chairperson mentioned, and we know that some good work has been done, it is the hard realities in the Budget framework and in the economic outlook that forced government to implement prudent policies to achieve a decline in expenditure.
Hard realities in the Budget framework indicate, inter alia, a Budget deficit of 4% to GDP, whilst the current account deficit is expected to average at 5,7% of GDP and debt peaking at 44% of GDP.
With regard to debt, it is the way a government handles its debts that is crucial to any economy, more so in a developing economy like South Africa's. With debt at 44%, Moody's did send us a very clear message. Our debt levels should not increase, but the risk of it happening still exists, especially noting that salary payments to public servants remained unchanged. The public sector wage bill constitutes 57% of expenditure – and I think the Minister shares my concern in this regard - in the Budget and is 6,5% of GDP. I think the Minister shares my concern with regard to this.
The challenge of meeting debt service costs of R114 billion in 2014-15 and R126 billion and R139 billion in the medium term will have an effect on our ability to reduce the Budget deficit. Noting these challenges, it is evident that the fiscal boat could hit some turbulent waters with regard to costs and expenditure.
The Minister indicated that Treasury was running a safe and stable fiscal ship. Therefore, I think the Minister will agree with me, boosting economic growth becomes essential. It is essential because we know if we don't get growth going there will be no money. The GDP growth is projected at 2,7% in 2014. The current 2% growth is way below the growth of our peers in Africa. Major rating agencies and analysts appear to be skeptical about the forecast in the Budget for growth and the current account deficit. However, I seem to differ a bit with my colleague and Chairperson in the Finance Committee about the response by agencies and critics.
It is also evident that in the event of the economy underperforming in growth, the fiscal boat could indeed hit some rough waters this year. In a crisis like the current energy crisis that undermines our potential to achieve the economic growth required, it is essential that we take the right steps.
Load shedding has a devastating effect on the economy, and we saw it in 2008, where the blackouts cost the country an estimated R200 million per day. The costs today are perhaps double that. Yet, what is worse about the present energy crisis is that it could have been entirely avoided.
Indeed, for several years South Africa has been told that excessive electricity price increases were necessary precisely to avoid the blackouts and to keep the lights burning. What has happened is that we saw flaws with regards to Eskom's pricing formula, some misunderstanding with regard to the costs of the replacement of assets and the return on assets for government. Although we have moved closer to inflation-related tariffs, there is a further 8% average increase in electricity prices scheduled for 1 April.
What can we do? That is what the Minister asked. Do we have any proposals? Yes, indeed we have those proposals. The DA will request a full National Energy Regulator of SA, Nersa, investigation into the causes of the current electricity supply shortages, including recommendations of who should be held accountable.
We will ask once again that Eskom provide us with all documentation and contracts relating to the Medupi Power Station project. It is clear that infrastructure investment of 10% to GDP cannot be solely funded through the national fiscus.
I agree with the Minister that we need to consider innovative funding models and we have spoken about it in the question and answer session. Thank you. [Time expired.] [Applause.]
Dr Z LUYENGE
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 11 March 2014 Take: 176
Mr D C ROSS
IsiXhosa:
Gqr Q Z LUYENGE: Sihlalo, ndivumele ndikhahlele kuSekela Mongameli weli lizwe, aBaphathiswa, ooSekela Baphathiswa, amaLungu ePalamente ahloniphekileyo, egameni lombutho wesizwe ndithi mpilo nde, Sihlalo, mfo kaMufamadi, ngale mini yokufika kwakho emhlabeni.
English:
The ANC, as a responsible organisation, has another story to tell; a big one, about taxation.
Hon Chair, I would like to present the input, which is viewed by the ANC as an answer, in terms of ensuring that the sustainable public finances and a stable tax base are the anchor of the country. Therefore, the ANC-led government has, over the past 20 years, ensured the protection of the tax revenue base so as to support the fiscus whilst ensuring that the system remains fair.
In keeping with this approach, the ANC-led government continues to support the long-term policy objectives of inclusive growth, employment, development and fiscal sustainability. Within the ANC-led government's overall fiscal framework and in the context of rapid globalisation, South Africa's tax reform has since 1994 sought to improve the efficiency, equity and international competitiveness of its tax system.
These far-reaching changes implemented in the tax system are informed by both the ANC's domestic fiscal policy priorities and response to economic globalisation. Broadening the tax base and reducing statutory tax rates are central pillars of the ANC-led government's tax reform agenda. Tax amendment proposals have been guided by equity and fairness, efficiency, intersectoral neutrality, certainty and consistency, simplicity in administration and a lighter compliance burden for taxpayers, all as central tenets of a good tax design and sound tax principles.
Over the past 20 years of democracy, the ANC's tax amendment proposals have been guided by the following: the principle of equity, whereby all residents should contribute to the fiscus in proportion to their ability to do so; the principles of simplicity in that taxes should be easy to understand and should be collected in a timely and convenient manner; the principles of transparency and certainty in the way taxes are calculated and collected being certain and supported by transparent rules and procedures; and the principles of efficiency that cause taxes to be raised in a way that interferes minimally with the economic decision-making.
According to the hon Minister of this department, meeting South Africa's development challenges requires sufficient revenue to fund key expenditure priorities, while ensuring that public debt and debt service costs are contained and avoid overburdening taxpayers. At the heart of the fiscal achievements is the financial management of the fiscus and the dramatic improvements in revenue collection by the SA Revenue Service, Sars, as well as disciplined spending choices.
One of the Sars' strategic objectives is to grow the tax register and thereby broaden the South African tax base. Sars has sought to increase the number of registered taxpayers through tax education outreach and enforcement initiatives. The cost of revenue collection is an important indicator of efficiency of Sars and is generally used as a benchmark internationally. This ratio is calculated by expressing the cost of internal operation as a percentage of total tax revenue.
During the past five years, the cost of revenue collections varied between a low of 1,04% in 2008-09 to a high of 1,17% in 2009-10. This surge was mainly due to the extensive modernisation investment, which significantly improved the efficiency of its operations and specifically accelerated processing turnaround times, raised service levels and increased efficiencies.
For the 2012-13 Budget, the ratio was 1,07%, slightly lower than the previous year, due to operating costs increasing at a slower rate than the revenue. Among the key factors which have encouraged growth in compliance are improvements in the ease of submission through electronic filing, prepopulation of returns and third party validations along with the introduction of penalties on outstanding returns.
The system of e-filing continues to grow and less than 1% of filers still make use of the paper-based channels to submit their returns, which is a massive improvement from the 98,8% that made use of paper based channels in 2006. During the 2009 tax season, 2,3 million returns were assessed within 24 hours. This volume increased by 18% in the 2010 season to 2,7 million returns.
Since 1994, tax policy has consistently delivered revenue growth that has enabled the fiscus to reduce deficit while expanding public services. The programme of fiscal discipline, sound fiscal management, efficient taxation, focused spending programmes and continual tax relief remain hallmarks of the ANC-led government's taxation policy. All of these principles have been recognised, both nationally and internationally, as defining features of financial management and have seen the ANC lauded globally in this regard.
Robust growth in tax revenue has contributed to the continued strong fiscal position that provides the platform for further tax reforms in every consecutive year's budget. The ANC-led government remains committed to a tax reform programme that improves the efficiency of the South African economy and contributes materially to investment and job creation.
In conclusion, the good story is that over two decades, the ANC administration has built a progressive tax system founded on the principles of equity, simplicity, transparency, certainty and efficiency. Through the efficiency of Sars, tax revenue has remained buoyant in 2013-14 with the result that the revenue estimate presented in last year's Budget could be revised upwards by a billion to R899 billion.
The ANC believes that the government has a duty to ensure that conditions are created to meet the basic needs of the population and in the context of taxation, this will be achieved through a fair, progressive and efficient system of taxation. One could be deterred by the views of the opposition, especially hon Harris, who has the audacity to come to this podium and present tautology in the name of presenting the same inputs that he presented during the debate on the state of the nation address, which is something that undermines the integrity of the members who are listening and the communities that have brought us here.
The hon Minister has lauded a number of aspects that have been raised by the department, and the cost-effectiveness in spending is a cornerstone of all those aspects. The fact that we need to be responsible enough and work together does not necessarily mean that ...
IsiXhosa:
... kufuneka kubekho urhwaphilizo, kube ngathi kufe inkomo, ibe ngulowo athi ndimanqe; athi omnye ndimafu; athi omnye ndiza kubamba intloko njengokuba abanye bezibona bezinkulumbuso zephondo laseMpuma Koloni abanye bekhetha iGauteng. Akuqhubeki loo nto eMzantsi Afrika. Abantu baseMzantsi Afrika...
English:
...have been liberated for the past 20 years and they have a reason to vote and they will do that come 07 May 2014. The ANC therefore supports the Fiscal Framework and Revenue Proposals in order to ensure that the gap between the haves and the have-nots is not just reduced, but closed. It will be closed as long as business goes on to assist government by employing more than the government can because government is not an employment agency. Government has the responsibility to ensure that it creates a
climate conducive for business to do the work and part of that work is to employ. Thank you. [Applause.]
The MINISTER OF FINANCE / LN/Checked by Nobuntu / TAKE ENDS AT 15:50
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 11 March 2014 Take: 177
Dr Z LUYENGE
The MINISTER OF FINANCE: Hon Chairperson, hon Deputy President, the chairperson of the committee, Mr Mufamadi, and members of the committee on both sides of the House, thank you for the various contributions. Happy birthday, Mr Mufamadi – I don't know whether it would be protocol to sing "Happy Birthday", but if the Chairperson would allow it, I am sure the opposition would lead it!
At the outset, let me reiterate the foundations of the Budget. Firstly, we were going to ensure fiscal sustainability. We are not running a reckless ship, and I think it would be wrong, both factually and otherwise, if, in the search for votes in the coming elections, we start misrepresenting the facts.
Secondly, we tried to get the balance right between supporting the social wage, meaning housing, education, public transport and social grants, on the one hand, and support for the economy on the other. Details are in the Budget Review and in the Budget Speech. If you want page references to help you, we will certainly help you with that as well.
Thirdly, notwithstanding all of these constraints that we live under, we attempted to gradually still continue with fiscal consolidation. One of the hon members raised this particular question about whether we are consolidating adequately, or not. Our approach is slightly different to what some of us might actually want, which is a drastic cut. Mr Kwankwa, ours is a more gradual approach on this particular question.
Fourthly, in addition to that, we agreed as government, that we would have an expenditure ceiling, and we are disciplined enough in the ANC to work within the expenditure ceiling and do whatever we have to do in that regard.
Fifthly, we are intent upon implementing the National Development Plan, NDP. A number of hon members made reference to whether we are implementing, or not. I want to refer them to page 4 of the Budget Review. There is a nice, long list of projects here, which states in a very concrete way, a) these are the projects; and b) we are already funding them, or we intend funding them over the next three years.
Questions raised on whether cost containment measures on catering, consultants, and so on, are working. In the Budget Review on page 35, the first trends, which in each of these key areas begin to show a downward movement, are already there. There might be aberrations, where people buy expensive cars, but they are individuals we are talking about, who, in their own right, should be thinking more carefully about some of these issues, rather than giving in to their own preferences. Overall, however, in gross terms, government is moving in the right direction.
The announcements we made in relation to the Chief Procurement Office and the centralised purchasing that we will do, or the interventions that we will undertake in big purchase items in the state, from this point onwards, in order to ensure that we get value for money, is a further reassurance to South Africans that we are, indeed, spending their money in a responsible way.
The hon Mufamadi laid out very carefully the kind of global context that we operate in and also set right many of the factual issues that have arisen for party political purposes from my left. The hon Harris is very gracious in admitting that there are some elements of the Budget that meet with his approval and approval elsewhere. However, he then goes radically wrong. He goes wrong, because he then ends on the note that the Budget is too conservative. I didn't realise that the platform of the DA has suddenly shifted to radicalism of one sort or another.
There are factual issues that he needs to get right, however. He says that in my speech I made reference to the fact that we are better off today than we were under apartheid. Actually, I didn't. Very carefully. If you look at pages 11 and 12 of the speech, I talk about the last five years of this administration, the amount of money we spent, the kind of delivery that we undertook and the kind of delivery we intend to undertake over the next three years. So, again, facts can be twisted in order to get marginal votes in a desperate situation.
He then makes reference to the global crisis, and this is something that, as the hon Luyenge pointed out, is his favourite sport: Why aren't we doing better than x, y and z? He might want to read the latest Financial Times and The Economist, with reference to Chile, a country that has done extremely well in the past, but, like all countries, particularly emerging markets, find themselves in a spot of difficulty at the moment. There are street protests in those countries, from the middle classes on issues of free education, and so on.
So, let's not use these examples opportunistically and mislead the public into believing that all is rosy. In fact, emerging markets/developing countries are going to face a very tough time. Globally, the developed countries are deliberately propagating a very negative narrative about emerging markets. If we don't get our act together, regardless of party-political affiliations, and begin to defend our own turf and promote ourselves across the globe, we are going to play into very difficult geopolitical agendas around us. However, I hope that there are sensible people on all sides who would undertake that.
He says that we don't talk about reform, but again, in the Budget Speech on page 4, and elsewhere in the Budget Review, we say it very clearly. As the recent World Bank report on exports from South Africa indicates, 90% of our exports take place from 5% of companies in South Africa. That is an untenable amount of concentration in our economy. Even if we take out commodities from that equation, around 87% of exports from South Africa still come from 5% of companies in South Africa.
So, clearly, this is not a party-political issue. It is about ensuring that our economy widens its base, that there are more medium-sized companies that are allowed to grow, that they become competitive across the global stage and are able to export and earn us the important income that will to attend to the other issue that the hon Kwankwa referred to, which is the current account deficit. We need to export more. We need to earn more dividends, as South African firms, in order for us to change that current account deficit. In the meantime, the currency is going to play the buffering role that it currently is.
The hon Harris also makes reference to the NDP and our intention to implement or not. Once again, I refer him to page 4 of the Budget Review. He then makes reference to our deficit being arrived at in terms of 4% in the next year merely because the provinces are underspending. That, again, is a misrepresentation of the facts. There is extra revenue coming in, both in tax terms and in terms of nontax revenue that the state is actually obtaining. This is in addition to the fact that we actually implemented the expenditure ceiling that I made reference to earlier on.
In terms of infrastructure spending, the government said a long time ago that we wanted infrastructure spending to be beyond 10%, if we could help it, and we want to head in that particular direction as we make fiscal space available for ourselves, as the hon Singh pointed out as well.
There is a fundamental contradiction in the DA's argument. On the one hand, they want more fiscal discipline and a narrower deficit. On the other hand, they want a more expensive Budget and more expenditure. I do not know what kind of budgeting this is that can narrow your deficit and still give you more expenditure without there being growth in either the economy or on the revenue side of the equation.
However, we have some important things happening in respect of the private sector. Firstly, South African firms have been doubling their investment in Africa every five years for the last five years; and secondly, exports from South Africa to Africa now constitute 28%, largely of our manufactured exports, all of which are extremely important developments in terms of the kind of agility that some of our firms have been able to display. The key, of course, is still to continue to expand our economic base so that we can move further.
We agree with the hon Singh on wasteful expenditure. We have always said that we need to spend taxpayers' money carefully. That is going to be a long battle, which, even in the next and following administrations, will have to be pursued. We certainly agree that we need to create more fiscal space for ourselves as a country.
The hon Kwankwa is right. We are working very hard at creating the right kind of investment climate in this country. There are lots of references to incentives, to the special economic zones, and other measures that the Department of Trade and Industry and others have in place to, in fact, make South Africa more hospitable as far as investment is concerned.
The hon Alberts says we must be willing to talk to them in order to get the e-tolls issue right. We have been willing to talk for a long time. We are not the ones who have been running to the courts in order to delay and compound this particular problem. So, you are welcome to come for a cup of tea while it's free, hon Alberts, any time you actually want to.
I want to thank the hon Swart for his support and I once again thank my colleagues in Cabinet and all of the members of the standing committee from all of the parties. I certainly wish them well in the elections as we head towards an ANC victory. Thank you very much. [Applause.]
Debate concluded.
The CHIEF WHIP OF THE MAJORITY PARTY: Hon Speaker, I move:
That the House adopt the Fiscal Framework and Revenue Proposals and the Report of the Standing Committee on Finance thereon.
Motion agreed to (Democratic Alliance dissenting).
2014 Fiscal Framework and Revenue Proposals and the Report of Standing Committee on Finance on the Fiscal Framework and Revenue Proposals accordingly adopted.
SECOND ORDER – THE SPEAKER/ LOCAL GOVERNMENT: MUNICIPAL PROPERTY RATES AMENDMENT BILL
UNREVISED HANSARD
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Tuesday, 11 March 2014 Take: 177
The CHIEF WHIP OF THE MAJORITY PARTY
LOCAL GOVERNMENT: MUNICIPAL PROPERTY RATES AMENDMENT BILL
(Decision of Question on Second Reading)
There was no debate.
The SPEAKER: Hon members, I wish to remind you that after the debate on the second reading of this Bill, on Thursday, 6 March 2014, the decision of question on the second reading was postponed.
Question put: That the Bill be read a second time.
Division demanded.
House divided.
[TAKE IN FROM MINUTES]
Question agreed to.
Bill accordingly read a second time.
The SPEAKER: Order! In line with the motion by the Chief Whip of the Majority Party, we will now take the Seventh Order on the reprinted Order Paper, which is a farewell tribute to the hon K P Motlanthe, the Deputy President of the Republic of South Africa. [Applause.]
The MINISTER OF HOME AFFAIRS /Robyn/TAKE ENDS AT 16:10
UNREVISED HANSARD
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Tuesday, 11 March 2014 Take: 178
SECOND ORDER/THE CHIEF WHIP OF THE MAJORITY PARTY
FAREWELL TRIBUTES TO MR K P MOTLANTHE, DEPUTY PRESIDENT OF RSA
The MINISTER OF HOME AFFAIRS: Hon Speaker, hon Deputy President, hon Ministers, hon Deputy Ministers, hon members, hon Deputy President, I wish to begin by saying that I do regret that you had to tolerate my heckling in your time in this House. If I caused you not to hear intelligent contributions from the DA, then I apologise, but I assure you, you missed very little. [Laughter.]
While I am honoured that the Chief Whip asked me to speak in this debate, I must confess that I do so begrudgingly. I am not happy at the retirement of the Deputy President. The Deputy President, is first and foremost, a tried and tested freedom fighter. [Applause.] He has experienced South Africa from all angles, apartheid state, emerging democracy, fledgling constitutional state and an increasingly robust nation of the world. In each of these stages of the state of South Africa, the Deputy President made an honourable contribution. He is a dignified person, strong-willed man of principle, very suited to his name, Kgalema, which means caution, correct, guide, ba kgaleme. Comrade Deputy President, the name befits you in an extraordinary way. [Applause.]
I have been on official trips with the Deputy President to a number of countries and served in the National Executive Committee of the ANC during his tenure as secretary-general and Deputy President. He has always impressed me with his immense grasp of the detail of politics and with the dignity he brought to representing South Africa in the international arena.
I recall, in particular, a meeting with the President of Finland, a meeting that was anything but ceremonial or an exchange of pleasantries and greetings. The Finnish President was genuinely interested in hearing about our various matters, matters to do with our politics, and he wanted information at first hand and Deputy President Motlanthe was more than equal to the occasion. He responded without notes, showing a full command of the issues confronting South Africa and Africa today; genial, courteous at all times, engaging and winning supporters for our country, representing us brilliantly on that occasion and several others.
I've had the honour to serve in the Cabinet of former President Motlanthe, and I believe he served that office well during his tenure. It is his service as the Leader of Government Business that has most impressed me. In a context where many executive leaders seek to diminish Parliament, he has asserted the importance of Parliament, and the need for the executive to account to Parliament. His views on complex policy issues always show a strategic grasp of the core issues that must be addressed. He can speak on economic issues, on the nature of the postcolonial struggle in Africa and the importance of stakeholder collaboration to achieve national transformation.
The Deputy President has led our government on several important initiatives. He is the chairperson of the Human Resources Development Council, HRDC, and has steered the council's stakeholders to a number of important decisions about human resource development policy initiatives and implementation programmes. In this structure, he brings together and leads government, labour, business and a range of education practitioners, and forms an interesting unity with the Minister of Higher Education, Dr Blade Nzimande, in steering this particular council.
He has brought robust energy to the work on the Presidency's "War on Poverty" initiative. Within the ANC, he can be relied upon to assert principle over expediency. He knows the movement, lives its belief and fully merits the decision that he will head the ANC political school. I can think of no better leader for the ANC political school. [Applause.]
The Deputy President is a man who came from the union movement, led within it and fully understands the struggles of the working peoples of our country. That is why he continues to work today to create stability in the mining sector and is trusted by workers within it as an honest broker. It was because of his experience in the union movement that he was able to lead the ANC's secretariat with such effective command.
It was because of his experience in leading the ANC that he has been a capable Deputy President.
I am fully aware that the Deputy President does not relish praise, but we are pleased in the ANC to say that we are proud of this servant of the nation, servant to South Africa and servant to the ANC. [Applause.]
I have heard you say, Deputy President, that you plan to spend time after your parliamentary retirement with the Congress of South African Students, Cosas, further proving your courage. The fundamental message you have indicated you'll convey is the following:
Remember, progress is always a function of working out opposites. Once there is a monopoly, even in the realm of ideas, that can only lead to stagnation.
I would urge, Deputy President, to consider assisting the future government by offering orientation to the next Leader of Government Business to ensure a similar commitment to keeping our Parliament vibrant, transparent and accountable.
We wish the Deputy President well in his next undertaking. I believe he will be sorely missed in Parliament, but I am certain, as I am sure all members of the ANC are, that he will continue to have an important impact on South Africa, and will continue to play a role in the ongoing transformation of our country and in ensuring that that which we aspire to, in terms of the national democratic revolution, is achieved by South Africa led by the ANC. We thank Deputy President, Kgalema Motlanthe, for his service to the nation, for his service which will continue to the ANC, and we wish him well in all his future endeavours. Thank you. [Applause.]
Dr W G JAMES / Kn//LIM CHECKED// [16:11] TAKE ENDS AT 16:20
UNREVISED HANSARD
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Tuesday, 11 March 2014 Take: 179
The MINISTER OF HOME AFFAIRS
Dr W G JAMES: Mr Speaker, Deputy President, Kgalema Motlanthe, the historian Arthur Schlesinger once remarked that the concept of leadership implies, by its very nature, that individuals make a difference in history. He disapprovingly wrote:
From classical times to the present, eminent thinkers have regarded individuals as no more than pawns of larger forces, whether the gods and goddesses of the Mount Olympus of the latter-day divinities of Race, Class, Nation, Progress, the Dialectic, the General Will, the Spirit of the Age and History itself...
He goes on to make the important point that:
Determinism may or may not be true, but it unquestionably violates our deepest instincts. It abolishes the idea of human freedom by discrediting the presumption of choice that underlies every word we speak and every decision we take. It abolishes the idea of human responsibility by depriving the individual of accountability for his or her acts.
I share this with you, Mr Speaker and colleagues, because we are here in this very Parliament in the compelling belief that individuals and leaders make a difference. I share this with you also because it is true that leaders may alter history for better or for worse. There is no question that the person we honour today, Deputy President Kgalema Motlanthe, has altered history for the better for reasons to do with his strong inner belief in justice, his devotion to public service rooted in the Episcopalian tradition of the Anglican church - you would know that he was once an altar boy and wanted to be a priest - and a civility in his conduct based on the notion of reciprocal honour and respect that we could all do well to emulate in this world dominated by so much noise, incivility and the crass exercise of power.
The hon Motlanthe was no armchair revolutionary. He put his life under apartheid on the line. He was recruited to uMkhonto weSizwe in the early 1970s, languished for 11 months in the feared John Vorster Square prison in central Johannesburg, was convicted for terrorism and spent 10 years on Robben Island, from 1977 to 1987, became key to the formation of the National Union of Mineworkers and, with Cyril Ramaphosa and Marcel Golding, in doing the impossible by unionising the mines' unstable, oscillating migrant labour force. It was when I was doing some work on the mines and the study of the labour system, together with Marcel Golding, that I first learnt of his remarkable skills.
The Deputy President made a huge difference in Parliament. With regard to HIV/Aids, he appointed the supremely competent Barbara Hogan as Minister of Health. She was vital in turning back the HIV/Aids pandemic so criminally mismanaged by the late Manto Tshabalala-Msimang, who denounced ARV drugs as poison. He was a lonely, sane and sober voice on Zimbabwe, critical of both Robert Mugabe's and Morgan Tsvangirai's roles in the deterioration there and South Africa's role in that process.
He recognised that the first round of black economic empowerment benefited a handful of black millionaires with little advantage for small businessmen and women and no opportunities for the masses. He took Parliament very seriously, as youremember. He attended sessions with great diligence and answered oral questions with great care and a soft-stated humour. Some amongst us will miss that in this House.
It is unclear and a bit of a puzzle why he recommended to Parliament that the former head of the NPA, Vusi Pikoli, be fired, when the Ginwala Commission advised otherwise. I personally regret that I did not have the opportunity to interact with the Deputy President in an organised way in Parliament. He exemplifies the qualities of personality that are rare in the world of politics, such as honour, to be held in public esteem, showing an unusual and merited respect for others, one whose work invites respect and one where a gesture of deference is given to the highest moral virtues of which human beings are capable.
In terms of quality of honour, a quality of integrity, by which I understand to mean a keen sense of ethical conduct,to keep one's word, to honour a promise, a quality of completeness or wholeness, adhering to a code of moral and artistic values, a quality of respect, whether for his colleagues or members of the opposition. He was absolutely even handed in an attitude that showed consideration for others and held others and their ideas and views in high regard, regardless of their background or political affiliation.
Perhaps most of all, the hon Motlanthe is one of the few remaining politicians who, in his conduct and personal example, reminds us of the centrality of public purpose in what moves our politics, a defining theme set by the Mandela presidency, which almost seem exotic and quaint in the self-serving and self-justifying crass materialism that we have today.
I wish to say that the populists, the nationalists, the sectarians and the opportunists amongst us in this House hate being reminded of the nobler and the more demanding days of Mandela's time as they hate being reminded that their commitment to the dispossessed and the humiliated have become little more than mere rhetoric. The hon Motlanthe is a walking reminder of the central theme of the Mandela presidency that politics are for the public purpose of serving our fellow citizens in our great land. We thank you, sir, for it. We will miss you. We wish you and your family very well indeed. [Applause.]
Mr T BOTHA / Nb/Checked by Nobuntu/
UNREVISED HANSARD
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Tuesday, 11 March 2014 Take: 180
Dr W G JAMES
Mr T BOTHA: Hon Speaker, hon Deputy President, the manner in which you carried yourself, and the way you responded to questions from the opposition parties, during the Deputy President's question time, demonstrated a depth of respect and honour you accorded this House.
I have no doubt that your background as a trade unionist, your intellectual prowess and the many years you spent in prison cells on Robben Island, underscored by your Christian values, taught you both humility and respect for people and humankind in general. I have watched you with interest how you responded to questions in this House, in an unassuming manner, unemotional, but demonstrating depth of knowledge and respect for the opposition parties and the questions raised.
Hon Deputy President, we as opposition parties did not always agree with everything you said, but your humility and the demeanour with which you responded to questions persuaded even the skeptics to let go and agree to disagree.
The role you played in championing the supply of antiretrovirals and the call on both young and old alike to exercise restraint in order to defeat the scourge of Aids yielded positive results for the country. Having said all of these positive things, it is true to say that our country is still faced with daunting challenges that cut across party politics and require a strong sense of patriotism from all of us.
I hope that in your new dventure, you will remain vigilant, objective and critical in monitoring and evaluating the progress made and the outcomes of the actions of those who remain behind as you depart from this House. Our country is crying out for strong, committed, unambiguous, honest and reliable leadership that our next generation can look up to and follow with pride.
I wish to take a quote from an unusual source, D F Malan, who said in his resolute defence of Afrikaner nationalism in the early 1900s:
Few are content to build, unseen and unknown, the sure and stable foundations of a building whose completion they will not see, to live for an idea, to die for an ideal whose realisation they can prepare for but which they themselves will not see.
In short, Deputy President, you must go out there and fight for the things you believe in, even if you, yourself, may not benefit from the fruits thereof. We believe in you.
IsiXhosa:
Hamba kakuhle, Mhlekazi. Ndiyabulela, Mkhuluwa. [Kwaqhwatywa.]
Mr V B NDLOVU
UNREVISED HANSARD
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Tuesday, 11 March 2014 Take: 180
Mr T BOTHA
Mr V B NDLOVU: Hon Speaker, hon Deputy President, hon Ministers and Deputy Ministers, colleagues, firstly, the IFP wants to thank you, Deputy President, for your honourable, diligent hard-working and straight to the point manner. The IFP appreciates the way you conducted yourself inside and outside the National Assembly, in your own manner of accepting all others despite your high office.
The IFP wants to place on record, sir, that when you were the secretary of the ANC, the understanding between the IFP and the ANC that you had, as the leader of your party, with our leader, Prince Mangosuthu Buthelezi, greatly contributed to making it possible for discussions between these two parties to take place.
On behalf of the IFP, I want to thank you, sir, for many things that we cannot include here because of the time limitation, but we will always cherish your honesty and your integrity.
However, I would like to make a special mention of the dignity and honour your attendance, together with members of your party, lent to the funeral of my colleague, the late Mr Ben Skosana, Member of Parliament, MP. His family was deeply appreciative, especially when you were requested by my leader to say a few words, despite knowing that you were not part of the programme. You did this with the respect that you always maintain in such circumstances towards the leader of our party, and without hesitation, you agreed to speak. I mention this specific event because I want to show the deep understanding you have, personally, of the leadership of the IFP, and the IFP as a whole.
The IFP wishes you well in your endeavours, and hopes that you will be able to leave your legacy of respect and honour of your opponents to those who come after you so that they may follow in your admirable footsteps.
IsiXhosa:
Hamba kakuhle, Mkhuluwa.
English:
Thank you very much. [Applause.]
Mr S Z NTAPANE
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 11 March 2014 Take: 180
Mr V B NDLOVU
Mr S Z NTAPANE: Mr Speaker, hon Deputy President and members, this Parliament loses one of its best as the Deputy Minister Hon Motlanthe is not coming back after the end of this term. Hon Deputy Minister dedicated his life thus far ... [Interjections.] I'm sorry, thank you so much. Hon Deputy President Motlanthe dedicated his life thus far to the best interest of the people of South Africa.
He was involved in the liberation struggle at a very young age. He is one of the youths that apartheid government condemned to Robben Island. When he came out of prison in 1987, he started where he left off, that is fighting for the rights of the voiceless.
When he was appointed as the Deputy President of the Republic of South Africa by President Jacob Zuma, he carried out his duties as such with dignity, enthusiasm and vigour. He never at any stage embarrassed this beautiful country of ours. He is a true gentleman, one whose word is as good as his bond. He is one of the most amiable persons I've ever met. Those who know him and have nothing against him will agree with me that he is not that type of politicians who are insatiable of power. He is easy to approach and takes people very seriously. I am saying this, hon Speaker, from my personal experience.
IsiXhosa:
Mkhuluwa ...
... the UDM is in short of words to express its gratitude to the dedication and commitment you have shown as Deputy President of this country. The UDM wishes you the best in your future endeavours. I thank you, hon Speaker. [Applause.]
Dr C P MULDER
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 11 March 2014 Take: 180
Mr S Z NTAPANE
Dr C P MULDER: Hon Speaker, hon Deputy President, hon colleagues, Members of Parliament, it is always a bit sad to say goodbye to a colleague. Even though the Deputy President is the Deputy President, he is also a colleague of all of us in this House.
The one specific word that stands out for me if I have to describe the hon Deputy President is the word dignity.
Afrikaans:
In Afrikaans praat ons van waardigheid [dignity].
English:
In all the posts where the Deputy President served while he was acting President at some stage, while he was President at alater stage and again Deputy President, it was always with dignity, "waardigheid".
South Africans could always be very proud of the Deputy President and the way that he, as Deputy President, carried himself. Those of us who are interested in sport will know that in each and every sports team, from time to time, there is a specific individual, someone who, when things get rough on the field – be it rugby or soccer - is a safe choice to pass or kick the ball to. From my perspective Deputy President Motlanthe was that person. When things got rough when we were entering into rapid waters, he was a safe player on the field.
I would like to extend on behalf of the FF Plus, and all the colleagues in the House, if may do so, our sincerest and best wishes for the Deputy President in retirement. We in this House will miss him. Thank you very much. [Applause.]
Mr S N SWART / Nb/Checked by Nobuntu/ TAKE ENDS AT 16:38
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 11 March 2014 Take: 181
Dr C P MULDER
TAKE 181 STARTS AT 16:38
Mr S N SWART: Speaker, the ACDP would like to join other speakers in paying tribute to Deputy President Kgalema Motlanthe. He has always treated us in the opposition with the greatest respect and has appreciated the role that the opposition plays in a vibrant democracy, and that is hold government accountable.
It was the hon Motlanthe who stood in during the tumultuous period when former President Thabo Mbeki was recalled. He managed to calm internal party sentiments then and guide the country to the 2009 elections. It is very apparent that the hon Motlanthe at no stage strove to hold positions of power. He had no ambition to occupy any government position in the 2009 elections, but aimed rather to ensure that the new President is properly inaugurated.
For him, his party came first, ahead of personal aspirations, and we can all learn from that. The fact that President Zuma chose him for the position of Deputy President in spite of him having no ambition to run for any position speaks volumes for his reputation.
We, in the ACDP, honour Deputy President Motlanthe. He also was not afraid to criticise his own party. His report to the ANC's 2002 Stellenbosch Conference reflected serious problems besetting the ANC in government. His criticisms of the party also led to his being described as the ANC's conscience and moral anchor.
We understand that he wanted to become a priest, but he has lived out those spiritual values and principles of honour, humility, respect for others and servant leadership. It would do us all well to emulate those values, to be servants of the people. He has indeed been a rock on which the ANC government and indeed the nation has been built. One could almost say that the hon Deputy President is a true "Petrus".
Hon Motlanthe has always responded to questions with great respect, even when he was exasperated and even when the follow-up question was not related to the question put, he, however, would find a respectful way to answer. Hon Deputy President, we, in the ACDP will miss your dignified presence and we wish you very well in your future endeavors. May you and your family continue to be blessed. I thank you. [Applause.]
Mr R B BHOOLA
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 11 March 2014 Take: 181
Mr S N SWART
Mr R B BHOOLA: Mr Speaker, when someone departs it is indeed a sorrowful occasion, especially when it is a personality that commands such deep respect as Deputy President Kgalema Motlanthe. Indeed, the uniqueness of his character and caliber has brought contentment to the broad suffering masses.
The contribution made towards entrenching our democracy by this astounding leader is unmatched. His commitment to fight for the liberation of our country and his subsequent tenure as Deputy President leaves us mourning as he vacates this position.
The MF says that he played his role with distinction and with his remarkable personality, he leaves behind an indelible impression for the youth to emulate. He has made an incredible impact on leading our country in the fight against HIV and Aids. When negativity was thrown at our government because of the epidemic, the Deputy President stood resolute, kept his head down and continued his work. We salute you with great admiration.
Today, under his stewardship, we have weathered the storms of this epidemic and, like a true messiah, he has led us to safe ground. Hon Speaker, I am reminded of the saying by a great Indian activist, Mahatma Gandhi, who said:
You must not lose faith in humanity. Humanity is an ocean; if a few dirty drops fall in the ocean, it does not mean the ocean is dirty.
Hon Deputy President, you give us hope. You were known for speaking softly, but powerfully, reiterating the notion that strong ideas, a good character and a gentle nature can speak louder than those who shout and scream every day and true accolades must be awarded to you, undoubtedly, for your impeccable leadership.
In my personal interactions with the Deputy President, I was overwhelmingly humbled by his professionalism, which gave expression to his compassionate nature. I personally consider it to be a singular honour to be working with him in advancing the concerns and interests of minority communities.
He truly gives true meaning to the beautiful Zulu proverb, "umuntu ngumuntu ngabantu" [a person is a person because of people]. The hon Deputy President was and will always remain like a gentle giant within the ANC and our country. He encapsulates the spirit of a particular era in our struggle, embodied by our former President Nelson Mandela, with immeasurable commitment to the selfless advancement of the greater vision.
I am reminded of a great Chinese saying that when a man is at peace with himself, then he is at peace with his family, town, city, province, country and the world. I have no doubt whatsoever that as long as South Africans are not at peace with one another, Deputy President Kgalema Motlanthe will not be at peace.
With beautiful thoughts, wonderful wishes and an abundance of prayer, the MF wishes you long life and good health. Hamba kahle. Go well. [Applause.]
Mr I S MFUNDISI
UNREVISED HANSARD
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Tuesday, 11 March 2014 Take: 181
Mr R B BHOOLA
Mr I S MFUNDISI: Hon Speaker, Deputy President and hon members, the Deputy President should by rights be belonging to the UCDP taking into account his early background in the church. [Laughter.] Anyway, he is well placed to convert the ANC from within.
He has since lived those values of leadership - love, respect, service, tolerance and consultation. He is a stickler for details and rules. When he was assigned by his organisation in 2002 to develop party-to-party relations in the region, he did so diligently and even consulted with the UCDP.
While we have been onlookers, we have noticed that the ANC is not the same as when he was its secretary-general. As the voice of reason, ANC members call him Mkhuluwa – elder brother - which simply means that they appreciate his advice and counsel at all times.
As former President of the Republic, he is the only one who had the occasion to invite the leaders of opposition parties, one by one, to his Mahlamba Ndlopfu residence to have eye-to-eye discussions with them and sort out issues of the country. The Deputy President exuded humility, even when asked provocative questions in the House. He has come out as calm, cool and collected.
It is no secret that he stood up and spoke out, and sought to change even the fortunes of his organisations. As early as 2007, he bewailed the unfortunate manner in which the ANC handled the allocation of tenders. As recently as December last year, he spoke out against the stance of his party on the question of the release of Clive Derby-Lewis. He compared the matter with how B J Vorster released J B Marks on compassionate grounds.
It is this outgoing President who, as recently as this year, spoke out to say that the Nkandla issue could have been handled in a different way. We thank you for ...
Setswana:
... go tswelela o kgalema, rra. O kgalemile, ba ba utlwileng ba utlwile.
English:
We wish the Deputy President the best in all his future endeavours, wherever his party may decide to place him. Good luck.
Setswana:
Re a leboga. Tswelela o kgalema, rra. [Legofi.]
Mr A MLANGENI
UNREVISED HANSARD
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Tuesday, 11 March 2014 Take: 182
"National Assembly Chamber Main",Unrevised Hansard,11 March 2014,"[Take-182] [National Assembly Chamber Main][NAC-Logger][mm].doc"
Mr I S MFUNDISI
Mr A MLANGENI: Hon Speaker, hon Deputy President, hon Members of Parliament and our guests in the gallery, everybody has spoken so well of Comrade Kgalema that I do not think I can outdo anybody in speaking so well about him. The fact that even the opposition should speak so glowingly of you only shows how committed to the struggle and to the people of South Africa you are. Nevertheless, I would not have agreed to speak. But, when the Chief Whip of the ANC says, "You must go and speak." I cannot say "no".
As we steadily advance towards the terminal end of the Fourth Parliament of the Republic of SA under the democratic ANC-led government, we, by the same token, pay tribute to one of our South Africa's greatest sons for having lived a life of self-sacrifice for the good of his people. Hon Deputy President, the contribution you made to this beautiful country and its people is a gift whose fruits will be relished even in posterity. You stood for the right, and against the wrong. You led by example and you exercised constructive criticism whenever it was absolutely necessary to do so.
Born on 19 July 1949 in Alexandra Township, to a working-class family, Comrade Kgalema spent most of his time in Alexandra Township. Much of his adult life was spent in Meadowlands in Soweto. Today, we can reveal or disclose that you were recruited to uMkhonto weSizwe, MK, as hon James pointed out earlier, in the 1970s, while you were working for the Johannesburg City Council. As a result, Motlanthe formed a unit that was tasked with recruiting comrades for military training. The unit was later instructed to transform its function from recruitment to sabotage. So, you are a saboteur! [Laughter.]
The unit was also involved in smuggling MK cadres in and out of the country via Swaziland. On 14 April 1976, the members of this unit were arrested for furthering the aims of the ANC. They were kept in detention for 11 months at John Vorster Square, now known as Central Johannesburg Police Station, as somebody pointed out earlier. In 1977, Comrade Kgalema was found guilty on three charges under the Terrorism Act and sentenced to 10 years' imprisonment on Robben Island.
Reflecting on life on Robben Island, Comrade Kgalema said, and I quote:
We were a community of people who ranged from the totally illiterate to people who could easily have been professors at universities. We shared basically everything. The years out there were the most productive years in one's life. We were able to read. We read all the material that came our way. We took an interest in the lives of people even in the remotest corners of this world. To me, those years gave meaning to life.
The hon Deputy President helped turn the lemon - which was the harsh conditions of Robben Island - into lemonade of political education and intellectual development. He was instrumental in ensuring that newcomers, especially the youth who came to Robben Island, were welcomed and put through an appropriate political education and other academic development programmes. It is therefore unsurprising, and true to the character of the man, that he would say the years of incarceration and isolation were the most productive ones in his life.
He was released in 1987, and in 1992 he was elected General Secretary of the National Union of Mineworkers, NUM, as somebody has already pointed out. During his tenure, NUM established, among others, the JB Marks Education Trust Fund, which provided bursaries to mineworkers and their dependants, and the resident trade union school called the Elijah Barayi Memorial Training Centre located in Yeoville in Johannesburg.
Comrade Kgalema was elected unopposed as Secretary-General of the ANC in 1997, and was re-elected again in 2002. In 2007, he was elected ANC Deputy President. In 2008, he was sworn in as South Africa's third democratically elected President. What you do not know, Comrade Kgalema, is that the late Comrade Walter Sisulu had always wanted you to be the President of this country. [Applause.] When you became the President, I am sure his dreams were fulfilled. In 2009, Comrade Kgalema was sworn in as Deputy President of the Republic of SA.
The hon Deputy President has always epitomised the values of the ANC in discharging the mandate which the ANC imposed upon him. He is a humble servant of the people - as most people have already pointed out - who is prepared to go anywhere and to undertake any task that the ANC asks him to perform. As a parliamentarian, he has led by example – many people have already said that.
You have led by example, always keeping calm, ready to engage all and to clarify whatever matter needed clarity! Hon Deputy President, it has indeed been an honour to serve alongside a comrade so firm in principle as you always have been, and continue to be. You have displayed courage even in the midst of adversity. And, where many vacillated and zigzagged, you were as true to principle as a compass needle is to the north!
What is of comfort, though, is that your determination to serve our glorious organisation, the ANC, and our beloved country, the Republic of South Africa will always keep you close by to serve whenever it is necessary. We cannot forget your wisdom in intervening in the mining sector. Your leadership in ensuring that South African men become more involved with their families and carry more responsibilities in relation to their dependants shall always be part of our history.
Your counsel to members of the ANC in particular, and members of Parliament in general, shall be part of the guiding principles that this tribute of the people shall ground as an anchor in any storm.
Sesotho: [16:65:30]
Ka mantswe ao sebata se seholo sa ha Motlanthe, ke re, tselatshweu! Disakopaneng ke dithaba, tau ya kgale. Amandla!
HON MEMBERS: Awethu!
Mr A MLANGENI: Matla!
HON MEMBERS: Ke a rona!
English:
Mr A MLANGENI: We all wish you well in whatever you are going to do or wherever the ANC is going to deploy you. Thank you very much. [Applause.]
The DEPUTY PRESIDENT
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 11 March 2014 Take: 183
Mr A MLANGENI
The DEPUTY PRESIDENT OF THE REPUBLIC: Hon Speaker, hon Deputy Speaker, hon Ministers and Deputy Ministers, hon members, distinguished guests and friends, I sincerely thank you for this farewell tribute to me today. It is truly humbling to have time set aside for oneself for a farewell tribute by as august a House as this National Assembly of our Republic.
Mr Speaker, at times life seems inscrutably hard to make sense of precisely because one has to study life while still living it. I wonder whether Charles Lindbergh was moved by the selfsame realisation when he memorably remarked that:
Life is like a landscape. You live in the midst of it, but can describe it only from the vantage point of distance.
Forgive me upfront, therefore, that, since I am still a serving member, albeit for a few more days, I may not be able to lift myself from the spatiotemporal limitations imposed by my formal presence in this House so that I share a retrospective account that may appeal to your sense of history. In other words, my adjacency in time and space to the NA makes any reflection on the historical landscape covering my six-year experience all the more difficult.
Mr Speaker, on an occasion such as this I stand in this House, that makes the laws of our land, caught up in an ambivalent frame of mind. After six years of history, I am running the whole gamut of human emotions - from melancholy to elation. Humanity is conditioned to experience emotions attuned to the peculiarities of the moment.
Yet for me right now this is a moment laden with mixed emotions. For one thing, I am disconsolate for parting ways with the members of the party I come from, the ANC. You will know that my presence in this House is attributable to the ANC, which has, for all this time, been my extended family. [Applause.]
As such I stood here, about six years back, on an ANC platform, in a prospective mood, looking forward to making my own little contribution to the vision that defines our nation. Entailed in this vision was, as still is, the need to consolidate unity, democracy, nonracialism and nonsexism, all of which constitute the strategic goal of postapartheid South Africa.
On the ticket of the ANC I took oath of office, both as Minister in the Presidency and subsequently as President of our country. Both these occasions were of historical moment in various ways. As a Minister, I assumed office intent on serving our nation in keeping with the philosophical tenets of the ANC. At the same time, as the President of our Republic, I took office under anomalous circumstances.
This was the time during which our nation, for the first time since the onset of democracy, faced its sternest test. Eight months before the end of the third term of office of the sitting President, hon Thabo Mbeki, destiny commandeered me to assume the reigns of the Presidency to see the term through.
As the world turned many were beginning to wonder whether this conjuncture signalled the beginning of the end for our nation. Unprecedented, it was a defining moment. This House knows, as do many of us, that there is a standing assumption that our nation is no exception to the sad experience that has befallen many a post-colonial country, not least our continent, Africa.
No sooner had we disarmed Afro-pessimists with a smooth transition to democracy than this difficult historical period emerged, seen in some quarters as sounding the death knell of our nation. Those less given to hyperbole saw our country as being on the cusp of a new era, the contours of which, though, were as yet indistinct. In the event, we proved the doomsayers wrong. But I am losing my bearing. The story does not begin here.
Into these murky conditions of uncertainly thrown up by the unrelenting hand of contingency, I was plunged. As it turned out I was, in this epochal task, guided, supported, assisted and encouraged by the ANC. Instinctually, I would affirm that whatever I managed to help our nation do correctly during those trying times, I did so leaning on the ANC as my pillar of strength. For this, I am eternally grateful. [Applause.]
Yet, Mr Speaker, I would be insincere if I stood in this House right now without acknowledging the support that members of this House as a whole gave me, both as President of the Republic and later, as Deputy President.
I have always understood our relationship in this House as elected representatives of the people of our country in their diversity in the light of the advice of Joseph Joubert, the French philosopher, that: "The aim of an argument or discussion should not be victory, but progress."
I will submit that largely proceedings in this House lent colour to this conclusion. Yet, Mr Speaker, it looks to me that by definition politics, especially parliamentary politics, is at least partly about self-preservation, to the extent that key players strut and preen themselves on the political stage, all with the tacit aim of capturing the hearts of the electorate. This much seems to be a permanent feature of democratic politics across time and space. Happily, while we have not been an exception to this universal characterisation, we have also been able to hold on to the purpose for which we are here, that is, to serve our people.
While bare-knuckle engagements were par for the course, with bruising exchanges that went beyond the pale not uncommon, I have found this House to be an epicentre of rational and level-headed discourse that left many bloodied, but not bowed. I dare say, at the end, we are all the richer for it.
Our system of democracy is ultimately about creating a multi-vocal society, thriving on irreconcilable ideological differences, none of which, paradoxically, can survive without the other. [Interjections.] Cheers. [Applause.]
It is a political ecology, which, while rife with discordant voices and atonal noises on the surface, needs every voice for the survival of all, at least at an imperceptible level. This is what we have in mind when we speak of our indissoluble future as a nation. Mahatma Gandhi could have had us in mind when he admonished that "civilisation is the encouragement of difference".
Accordingly, I have learnt to understand liberalism, political conservatism, nationalism, socialism, and numerous other ideologies represented in this House. While poles apart from all these other ideological orientations, I never for one moment doubted the abiding sincerity of each political party represented in Parliament to contribute to the reconstruction and development of our country.
Misguided as some may be, and I think some indeed are, all these political parties in this august House are here as organic expression of popular sentiments. So, Mr Speaker, I am filled with sadness because I am leaving this House after about six years of history.
Being asked to serve one's country at any point in history is always an honour. However, the truth is our nation is replete with luminous talent. Not only that, at some point serving leadership must give way so that new blood, fired up with life-changing ideas, can take society to a higher level of development.
Necessarily the time comes when all leaders, as H G Wells advises, "should lead as far as they can and then vanish. Their ashes should not choke the fire they have lit". [Applause.] I would not let my ashes choke the verdant future that is beginning to assume some discernible outlines on the horizon. Few have been the moments in human history when the time was ever right for a leader to leave.
On another level, I am happy to have played the small part history has assigned me. I leave office over the moon that the ANC and by extension the people of our country have entrusted me with the responsibility to help steer our nation to the future.
Mr Speaker, Hon members, just as misperceptions about our country being yet another case of a flash in the pan were proven hollow, the world was, in 2008, struck by the most devastating financial meltdown experienced in decades.
As only South Africans know, once again we employed social dialogue as a mechanism to bring together all role-players - government, the trade union movement as well as organised business - the better to compare notes fully aware that any looseness in our relations would spell doom for all of us.
This is a key lesson about our national character. Going forward, let us consolidate the principle of social dialogue as the central defining tenet of our nationhood. I have come to the conclusion that as this House moves into the fifth term of office, we will need to come to terms with the imperatives of the age. We need to service a large vision, one bigger than the clutter of the age. Right now South Africa does not need man the politician but, in a classical sense, it needs man the creator; bold visionaries whose sights transcend the frontiers of time.
The imperatives of our time enjoin this august House to rise above beguiling but small-minded discourse adorned with rhetorical embroidery to think realistically about the future of our nation. We have a duty to this nation and a responsibility to posterity. That responsibility has just begun.
We have to do this bearing in mind Francois Chateaubriand's assertion that, "every revolution is the consequence of one revolution and the beginning of another". We are in the middle of another revolution. We dare not sell out.
I would like to end by thanking President Jacob Zuma for his unwavering support through all these years, my colleagues in Cabinet, both Ministers and Deputy Ministers, and Members of Parliament as well as presiding officers with whom I have interacted in my capacity as Leader of Government Business.
On a lighter note, when I was appointed Leader of Government Business, I was approached by many people who said that, now they have appointed the right person, we are now interested in business. [Laughter.] This, of course, was said in whispers until I explained that Leader of Government Business is the bridge between Cabinet and Parliament. [Laughter.] It has nothing to do with public enterprise and business contracts. [Laughter.]
Let me also acknowledge the stellar support from the staff in my office and the Presidency in general. Lastly, I wish to thank the people of our nation for the trust they have shown in me.
In conclusion, Mr Speaker and hon members, I ask myself, what is to be a man's last words in the face of this historic day? And all I can say is: Fare thee well, friends, since I must needs be gone!
Na Khensa, Ndo a livhuwa, ngiya thokoza, baie dankie, I thank you, ke a leboga. [Applause.]
THE SPEAKER
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 11 March 2014 Take: 183
THE DEPUTY PRESIDENT
The SPEAKER: I thank the hon Deputy President. Hon members, that concludes the farewell tributes. Hon Deputy President, the presiding officers also wish to take this opportunity to wish you well and also to remind you that serving the people and being a servant of the people is a permanent job. You cannot retire from it. I for one know where to find you tomorrow. [Laughter.]
Hon members, in line with the motion by the Chief Whip of the Majority Party, we will now take the sixth order, which is farewell tributes to the hon T A Manuel, Minister in the Presidency: National Planning Commission. Before I invite the first speaker, I wish to acknowledge in the gallery members of Trevor's family, his mother, his sister, his two sons, Pallo and Jaime and the extended family seated behind the family. You are all welcome. [Applause.]
Hon members, I now wish to invite hon F Hajaig to the podium.
Mrs F HAJAIG
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 11 March 2014 Take: 184
The SPEAKER/SIXTH ORDER
FAREWELL TRIBUTES TO Mr T A MANUEL, MINISTER IN THE PRESIDENCY: NATIONAL PLANNING COMMISSION
The HOUSE CHAIRPERSON (Mrs F Hajaig): Mr Speaker, I would like to take this opportunity to say that I am actually speaking on behalf of our very well known stalwart and cadre, Sophie de Bruyn.
In his last address to this august House, the former President of the Republic of South Africa and former president of the ANC had this to say:
Each historical period defines specific challenges of national progress and leadership and no man is an island. As for me personally, I belong to the generation of leaders for whom the achievement of democracy was the defining challenge.
Madiba, as he was affectionately known, continued to say:
I count myself fortunate that, amongst that generation, history permitted me to take part in South Africa's transition from that period into the new era whose foundation we have been laying together. I hope that decades from now, when history is written, the role of that generation will be appreciated, and that I will not be found wanting against the measure of their fortitude and vision.
In Madiba's style, he saved the best for last by saying:
If I have been able to help take our country a few steps towards democracy, non-racialism and non-sexism, it is because I am a product of the African National Congress, of the movement for justice, dignity and freedom that produced countless giants in whose shadow we find our glory.
Minister Manuel can lay claim to have been asked by this great icon to serve with him. He can also lay claim to have been asked by him to be part of the leadership that would steer the ship through the uncharted waters of transition. Indeed, to the extent that Madiba was shaped by the ANC, Minister Manuel can also say, "me too."
Minister Manuel grew up and was educated in this city. He matriculated from the prestigious Harold Cressy High School in 1973 and studied civil and structural engineering and later, during his detention, he read law. These studies really prepared him for a role he was to play in the public office, especially his political career as a long-serving Minister of Finance. [Applause.]
It was, as Madiba indicated, that he was schooled in the tradition of the ANC, a foundation that formed the basis for his later success in life. The hard school of life also shaped Trevor in incisive ways and the way in which he turned adversity into strength became a hallmark of his life. Poverty, like struggle, discrimination, detention and suffering was not foreign to him.
Trevor was born in the working class suburb of Kensington in Cape Town in 1956, his mother was a garment worker and his father worked for the City Council. His family's experiences encapsulated the racial wrongs perpetuated on Coloureds by the apartheid system. His father's family were old residents of District Six and they lost their home in the great destruction of that historic inner city area in the late 1960s by the apartheid government. His mother's relatives had lived in the centre of Stellenbosch for three generations. They too were forcibly removed from their home, from where Trevor's great-grandfather and uncle had run a business in the middle of Stellenbosch.
Trevor also has another characteristic that got him into a lot of trouble throughout his life, but endeared him to all of us for ever. Even in those younger days, he was always a bit of a troublemaker. [Laughter.]
His friend, now a University professor at Stellenbosch recalled how in 1972 he walked into his classroom at Harold Cressy in Roeland Street and Trevor invited him to sit at the back of the classroom next to him. We all know that troublemakers at school always sit as far away as possible from the front.
Shaun was worried about this because he was a studious boy who had always done well in his studies. "My academic results took a huge dip", he said. He later recalled, "but what I learnt about life from Trevor was huge". Now as a former Minister of Intelligence myself, I can regale you with many amusing and funny stories about the mischief that these two friends got up to at the back of the classroom and what the teacher had to say about it, but the Minister of Basic Education would not approve, therefore I leave that for another day.
Hon Manuel lost his father when he was very young, just 13 years old, and had to find a way when he was still at school to help his mother, who survived on a garment worker's salary. He worked at odd jobs at a supermarket in Sea Point, packing shelves and later, when he finished school, worked for a while in a garment factory in the dispatch section. He thought this was a dead end and told his mother so and eventually got a job at the civil engineering firm where they would train him as a civil engineering apprentice while he worked.
The ANC, as a preparatory school, was so effective that later in life, to be precise, the misunderstood announcement of his resignation led to the unsettling of the financial markets. Few Finance Ministers can make that claim in their career. The ANC has always been willing to take a chance on its cadres, those willing to learn end up having a good story to tell.
The markets bounced back after he explained that resignation was as a principle gesture, and that he was prepared to serve under the next president of the ANC. Minister Manuel, whose ability was initially roundly questioned and in some quarters condemned for his lack of business and economic experience and knowledge, eventually served long enough to hold at one time the title of the longest serving Minister of Finance in the world. [Applause.)
What this really proved, once again, was the effectiveness of the tried and tested principles that he learned in the ANC at a very tender age, that of continuous learning, self-improvement, commitment, ethics and hard work. These principles played a key part in the success of Trevor in all parts of his working life and career and it reminds us again how important and valid they remain.
In the year 2004, Minister Manuel was given another challenge, an even a better one, a challenge that will make sure that we would continue to refer to him after he is long gone, that he participated in putting together the country's blueprint for the future. This is a blueprint that has enjoyed universal support in this Parliament. It has been largely endorsed and provides another framework and pillar on our journey to achieve the ideal of a democratic, nonracial, nonsexist and prosperous society.
Even as he bows out of public office, we expect him to follow the tradition of the former President Nelson Mandela and that he will continue to pay his subscription and to report to the branches of the ANC.
We thank you deeply, Trevor, for the sacrifices you and your loved ones have made in building a country that is free and democratic. We thank you for the important contribution you have made to rescue our national economy from the bankruptcy of the apartheid economy in those early days. We thank you for your keen leadership in creating our future path of inclusive, fast and sustained growth and development.
We wish you all the best and we know that we can continue to rely on your wisdom, support and active participation and we grant you the honour that even though you remain a disciplined member of the ANC, your days of mischief and troublemaking can finally resume again, and she thanks you. [Laughter.]
From my side, Comrade Trevor, I wish to thank you sincerely for your wonderful service to South Africa and her people. May your new road be an interesting and a happier one. Go well. [Applause.]
Mr T D LEE / LN/Checked by Nobuntu TAKE ENDS AT 17:28
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 11 March 2014 Take: 185
Mrs F HAJAIG
Mr T D LEE: Mr Speaker, the Deputy President, Ministers, and colleagues, I first sat in this Parliament in 1994. In the past 19 years, during which I have had the privilege of serving at the heart of our democratic order, I have seen three distinct phases.
The first I would call the phase of hope and fear. For the first five years of South Africa's new democracy, our actions were defined by those two impulses. We saw the great potential freedom brought and, with it, the possibility that we might create, out of horror and prejudice, a new order, a testament to everything that is wonderful about South Africa. Mr Manuel, I want to thank you on behalf of the DA and all South Africans for your contribution in creating that new order. Your involvement in the United Democratic Front, UDF, was a defining contribution, something that could never and should never be ignored and forgotten. [Applause.]
With the new order came much fear, as the possibility of failure always generates doubt and insecurity. It was an age of great aspiration and great trepidation. We have done well, I think, generally to keep that hope alive and those fears fairly constrained. May I again say to Minister Manuel that his efforts, as our previous Minister of Finance, played a major role in achieving that. What we should always remember is the jittery reaction by the markets when you, Mr Manuel, temporarily resigned as Minister of Finance at the end of the Mbeki regime. That reaction was indicative of the high esteem in which you were held by those in charge of the economy of this country.
The second phase is best described as a phase of self-awareness. Over the next 10 years, we came to understand that our hopes could not be instantaneously realised, that their realisation required hard work, and that our fears would be made very real if ever we neglected or failed to be vigilant in our duty. Often, we were. During this time, the true nature of those obstacles we had to overcome was quantified – a terrible legacy of poverty and injustice that is as daunting as it is disheartening.
To this end, Mr Manuel, we owe you a great debt of gratitude for, firstly, introducing a budget system that is regularly rated as one of the most transparent in the world and, secondly, for convincing your colleagues in Cabinet to accept your long-term plans for South Africa, of which the National Development Plan, NDP, is the last. This is a plan that has the support of the majority of South Africans. It is a plan that can help us out of this cycle of poverty.
All this I have watched from a sporting perspective. Sport is my passion and my great love, and I know it is yours too, Trevor. We have differed about that on a few occasions. I think sport is a wonderful metaphor for our democratic journey. Few things better capture South Africa's potential for excellence and the realisation of our hopes and dreams than sport. At the same time, few things better capture our collective despair when those high ideals are crushed.
My colleague the hon Wilmot James wrote:
The best antidote to our fears and insecurity is excellence, that when we take risk to act, and succeed, it is when we confirm to ourselves and others that we are worthy.
That, I think, is a profound insight. Excellence is the answer to the question that we are grappling with in South Africa. If we want to overcome our low sense of self-worth and the decades of degrading treatment imposed on the majority of South Africans, we need to embrace excellence. We need to believe that we can be the best and then do it, set the standard and then exceed it. Can there be any better answer to self-doubt? Is there any greater source of confidence?
Always my party and I have advocated for this. Our party policy, "The pursuit of excellence", is a testimony to this ideal. We do so because we believe every South African is first and foremost an agent, not a victim, and that, given the right opportunity, all South Africans can succeed.
So, I would like to leave this House with the following suggestion: Let us use sport to give South Africa the self-confidence it needs. Let us embrace excellence, not shun it. Let us make it the light that guides the decisions we make. Let us outlaw mediocrity and victimhood, and let us emphatically answer the question and show that we are a great nation, capable of great things. This is how we are going to dispel our doubts and realise our dreams. Excellence, indeed, is the antidote to our fears. Let us start to distribute the cure and stop comforting the disease.
Speaker, I was told that I had seven minutes. Now I see that I have 10 minutes. Let me use those three minutes to say ...
The SPEAKER: You do not have to. [Laughter.]
Mr T D LEE: ... farewell to all my friends in this place. I have friends – if I look at the Deputy Minister of Basic Education looking at me, if I look at Ms Sisulu looking at me, and I think of all the notes that we used to send one another ... [Laughter.] ... and then I also received a note one day, and I do not see Minister Connie September around, but I know exactly what she is going to do on 26 June, because I am going to do the same thing. I know what 26 June means to her. I have had many friends on both sides of this House. If I look back there at a very dear friend of mine, the hon Kora Dikgacwi, I would like to say that your contribution in that committee was really valuable. I do not see the hon Graham MacKenzie around.
However, I must really also recognise the people on the left, my friends and colleagues. The last 20 years here were wonderful years. It gave me the opportunity to ...
Afrikaans:
... soos ons in Afrikaans sê, skouers te skuur met die groot geeste in ons land. Ek kyk hier voor na Dene Smuts, wat ook gaan uittree, en my aanvallige bankmaat daar, Anchen Dreyer. Dan kan ek nie vergeet om in haar afwesigheid ook vir die agb Lindiwe Mazibuko te sê ek hoop sy word gou gesond nie. As ek so rondkyk, dan sien ek veral ons hoofsweep, agb Watson, 'n man saam met wie ek in 1994 hier aangekom het. Baie dankie vir jou vriendskap oor baie jare. [Applause.]
English:
I would like to turn to Mr Speaker, and I know now I will have time. [Laughter.]
The SPEAKER: Yes, but you are really running out of time now! [Laughter.]
Mr T D LEE: Mr Speaker, thank you very much for the example that you set in this House. [Applause.] Thank you for always being fair. [Applause.] Thank you for keeping order and sometimes calling us to order. Finally, Mr Deputy President, thank you for the example that you set in this House. Thank you for the example that you set South Africa. Thank you ever so much. [Applause.]
Mr D A KGANARE
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 11 March 2014 Take: 186
Mr T D LEE
Mr D A KGANARE: Hon Speaker, hon Deputy President and hon Ministers who are here, I've got to say upfront that I was only informed this morning at 10:00 by your candidate, the ANC candidate, that I must come and speak here. At that time she had not yet told us that she is appearing on your list. [Laughter.] [Applause.]
I am honoured to participate in this debate to bid farewell to the hon Minister Manuel, who I presume has decided to take his leave of parliamentary politics. I'm saying taking leave of parliamentary politics because a political activist never takes leave of politics. There are issues which are common knowledge to all South Africans about Minister Manuel. We all know that he was one of the longest serving Finance Ministers. We all know that he was faced with the challenge of steering the South African ship towards stable economy. We all know that he navigated the National Planning Commission towards the production of the National Development Plan. We all remember how he moved from one caucus to the other as a salesman to explain and get buy-in from all political parties in favour of the National Development Plan. When this Parliament unanimously adopted the National Development Plan, NDP, you knew that you had done your job to put a common objective in front of the country and the nation.
We are unable to limit your contribution to this country only to your activities as a Minister in Cabinet. We all know that you participated fully in bringing the South Africa we are celebrating into being. Your role as a member of the Cape Areas Housing Committee is as important as your role as a government Minister. Your holding together of the United Democratic Front affiliates during the Delmas Trial is more than what you did as the Minister of Finance because it was during this period that the Congress of SA Trade Unions, Cosatu, adopted the Freedom Charter and all the problems which came with it. It was during this time that the struggle for nonracialism emerged as a prominent ideology against other views that were talking more about revenge and anger. You know that during that period it was not fashionable to be a varara.
I don't know whether you still remember how and where we met. Just to jog your memory, it was in 1985 in Yeoville at Joanne Yawitz's house. Now you can put the pieces together. It was before you started going to detention as a regular activity and the struggle for freedom intensified. You were an inspiration to a lot of youth, particularly in the Western Cape. If you still remember, after your release and restrictions were lifted somewhere around 1987-88, I came to see you accompanied by a youngster called Allister. He talked about you continuously in a taxi from the station to your house and back. That's how he regarded you, as an activist and as a leader. Your role during that time created many Allisters who are today holding different responsibilities of trying to make South Africa a better place for all of us.
They might not be prominent individuals in political parties, but they understand that South Africa can only succeed if we all work hard in an honest and caring manner. Your exemplary behaviour during that period of the struggle against apartheid and now against poverty is worth being emulated. Your understanding that the poor does not have to be with us forever should be taken to wherever you are going. The struggle against inequality can be defeated. As humans advance, we need to understand that there will be many stages they will have to go through.
As a comrade and Minister, you understand that to tell the truth is no art at all. In 1910 Theodore Roosevelt, whilst talking about the new nationalism, said:
National efficiency has to do not only with natural resources and with men, but is equally concerned with institutions.
As a Minister, we believe that you understood this very well. Cope wishes you well in your future endeavours and know that you will never tire of contributing to the wealth and progress of this country. We have no doubt that you will continue to ensure that what is enshrined in the Freedom Charter is realised. We bid you farewell and we hope that you will enjoy whatever you are going to do. I also have to bid farewell to all ANC members who have to give space for others who came on your list via other political parties. [Laughter.] [Applause.]
Mr N SINGH
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 11 March 2014 Take: 186
Mr D A KGANARE
Mr N SINGH: Hon Speaker, His Excellency the Deputy President and fellow members, I want to start off by thanking you, hon Speaker and the scheduling committee, for allowing us as members of this House to bid farewell and say the kind of things that we have said about the two very committed countrymen. Thank you very much, indeed. I hope, Mr Speaker, I will get an injury time for saying that. [Laughter.]
About 14 years ago, when our Minister of Finance opened lines of communication with ordinary South Africans through the innovative "Talk to Trevor" forum, we all admired his common touch. Minister Manuel was already the darling of the struggling South Africans, for he was what we all wanted in a Minister of Finance. He was smart, accessible and tough.
Today we bid farewell to Minister Manuel and thank him for his long and distinguished service to our country. I would like to take this opportunity, on behalf of the IFP, to "Talk to Trevor". Minister, your stewardship of our country has been admirable. You deserve every accolade bestowed on you today. I remember listening to you and being in the audience in a community hall in Mitchells Plain in 1990, when you were welcoming returning prisoners from Robben Island. I was in the audience on that day and I remember admiring this young man from the United Democratic Front, UDF, who had so much hair - invisible parts of his body - but now it's something different.
When President Nelson Mandela moved you from the Minister of Trade and Industry to the Minister of Finance in 1996, you took to the portfolio like a duck to water. It was a brilliant move for our country, predicated perhaps by the World Economic Forum's recognition in 1994 that you were called "the global leader of tomorrow". That tomorrow came. But you became more than a global leader. You became a household name. You spoke a language we could all understand. That is not an easy task when it comes to economics. Many flaws can be hidden in economic speak, but you never did that. You are a leader of principle, who stood your ground, even when you disagreed with your own party and government.
The IFP applauded when you insisted that government cannot afford to borrow money to meet social expenditure. We admired your honesty when you said government must stop blaming apartheid and find the real reason behind poor service delivery. We commended you for speaking out so strongly against government spokesperson, Jimmy Manyi, who sought to change race quotas and labour laws to reflect national rather than local demographics.
Unfortunately, this is back on the cards with the latest regulations to the Employment Equity Act. Manyi's "surplus" of Coloureds in the Western Cape and his "surplus" of Indians in KwaZulu-Natal will bear the consequences. Prince Buthelezi wrote to you to thank you for opposing Manyi. He said:
Our nation owes you a debt of gratitude for your honesty, integrity and courage.
Undoubtedly though, hon Minister, your greatest legacy will be the National Development Plan. You excelled in the Presidency by creating broad consensus on the NDP. You convinced us that the NDP is the roadmap for the future. Now, it will be up to your party to convince its alliance partners to come on board so that this great roadmap can be implemented.
I will remember you, Minister, for your powers of persuasion and your great dance moves. I recall how you persuaded me and a colleague from the ruling party to support a special adjustment of R2 billion to be awarded to the SA Airways, SAA, in 2010. You overheard us during a committee break right at the back here expressing dissent and you convinced us right there in the washrooms that South Africa had to save its own airline for the 2010 World Cup.
Minister, you will be sorely missed in Parliament. But we trust that your intellect and services will not be lost to our country. We thank you and we ask you to keep on dancing, not to populist tunes, but to the needs of the South African populace. Thank you. [Applause.]
Mr N L KWANKWA / GC /
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 11 March 2014 Take: 187
Mr N SINGH
Mr N L KWANKWA: Speaker, Deputy President and hon members, since we are one of the very few opposition parties that are stable, I should be able to bid you farewell, Mr Minister, without a heavy heart. I am greatly honoured by the privilege, on behalf of the UDM, to deliver a farewell speech to Minister Trevor Manuel.
Minister Manuel has been an outstanding servant of the people and as a result, it is impossible for anyone to claim not to know him given the number of lives he has touched during his terms in office.
Mister Minister, when you moved from Trade and Industry on 4 April 1996, you took charge of the finances of a South Africa that faced a compendium of complex challenges.
First, you had to help the nation to reconcile the contradiction between democracy and capitalism in a country where many people did not believe that the two could coexist harmoniously. Democracy, as you know, puts emphasis on producing political accountability and on joint interests and equality, while capitalism entails the seeking of one's own self-interest. Through your outstanding leadership, you proved that the two can exist side by side when capitalism was given a more humane face.
Second, you took charge of the finance portfolio of a country that had limited resources, whose people were still deeply polarised along racial lines and whose socioeconomic inequality levels were high due to the misguided policies of the past.
Working under the ruling party government, you adopted income redistribution policies that sought to achieve political and social stability in order to provide a secure context for economic growth.
Though the needs and demands of our country were numerous, your idealistic approach to meeting our challenges was invariably imbued with a deep sense of pragmatism.
You always ensured that in modernising our economy, the policy choices and responses government made were proportionate to circumstances and were sustainable. Nowhere is this more succinctly captured than in the legacy of fiscal prudence you left the finance portfolio in 2009.
When I met Minister Manuel at the Union Buildings more than a year ago, during public consultations on the National Development Plan, he came across as a leader who was willing to sublimate his individual interests to those of the collective. I was truly inspired by the humility and the outstanding leadership qualities of this intellectual giant. It is therefore not surprising that he leaves us today with the shining legacy of the National Development Plan.
Fellow South Africans, as a young person, the best farewell we can give Minister Manuel is peace of mind that we too will leave South Africa in an even better condition for both current and future generations.
Farewell, son of the soil. South Africans of all races are going to miss your outstanding leadership qualities in the public sector and your sheer dedication to your job. You have served our nation with distinction!
However, given your skills, knowledge, expertise, the love and respect the people of South Africa have for you as well as how much they still desire your services - as Abe Lemons once put it: The trouble with your retirement is that you will never get a day off. Thank you. [Applause.]
Adv A D ALBERTS
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 11 March 2014 Take: 187
Mr N L KWANKWA
Adv A D ALBERTS: Speaker, Minister Manuel, ek het 'n interessante storie om vir jou te vertel. En ja, dis ook 'n goeie storie. Die lewe het 'n manier om interessante draaie te loop.
Toe ek nog 'n student was, met die oorgang van Suid-Afrika na die nuwe bedeling, toe ek nog aan die destydse Randse Afrikaanse Universiteit, vandag bekend as UJ, studeer het, het ek eendag geskok geluister na 'n gesprek in die media waar u gesê het dat u eerder die All Blacks ondersteun as die Springbokke. Ek het by myself gedink, wie is hierdie ministertjie, hy moet reggeruk word. Hoe kan iemand so onpatrioties wees?
Daarna het die tweede skok gekom. Ek het ervaar, alhoewel ek toe min van die ekonomie geweet het, hoe u uitsprake gemaak het oor die amorfe mark met die gevolglike val van die rand met elke uitspraak, aldus die ekonomiese kenners. Dit het my ook aangegryp en ek het gevra, wat gaan ons nou doen omtrent hierdie Minister? Ek was in daardie tyd in 'n gebedsgroep en het een aand naïef gevra dat ons vir Minister Manuel moet bid, sodat hy die regte goed kan begin doen en sê.
Tot my eie verbasing het die agb Minister daarna begin bou aan sy profiel as die beste Minister van finansies in Afrika. Sy denke en uitsprake het verbeter. Ek het op 'n stadium begin wonder of u nie dalk die beste Minister van Finansies in die wêreld is nie. So Minister Manuel, as jy ooit in die moeilikheid is, probeer gebed. Lyk my, dit werk vir jou.
Minister, dis inderdaad vir my ook 'n voorreg om hierdie afskeidsboodskap vir u te lewer. Ek het nooit gedink ek sou die voorreg hê om dit te doen nie.
Minister, dis inderdaad vir ons 'n groot verlies dat jy weggaan. Ons hier in die opposisie het eintlik stilweg gehoop, ons het dit nooit hardop gesê nie, dat u presidensiële ambisies het. Ongelukkig het die hoop daaroor beskaam.
Ons is baie dankbaar vir die werk wat jy vir Suid-Afrika en sy mense gedoen het en dat jy ons op 'n gesonder makroekonomiese pad geplaas het. Ons sal ook jou kwinkslae, grappe en jou skerp intellek baie mis. Deur u toekomsgerigdheid is die Nasionale Ontwikkelingsplan onder u beheer geskep. Ons wens u alles toe wat mooi is en mag God se gebede en seëning jou steeds agtervolg.
Mr S N SWART
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 11 March 2014 Take: 187
Adv A D ALBERTS
Mr S N SWART: Speaker, the ACDP would like to join other speakers in paying tribute to the hon Manuel, Minister in the Presidency: National Planning Commission. It was indeed an honour to serve in the Finance committee, where Minister Manuel was the Minister of Finance. He was the longest serving finance Minister worldwide and guided state finance in an exemplary fashion, a great steward.
Indeed, it was only when I studied economics through Parliament that I realised what a remarkable job had been done by the then Minister of Finance, Trevor Manuel. Historically, when liberation movements came to pass, such as in South America, government expenditure would shoot up to fulfill macroeconomic populist expectations. This often resulted in debt to gross domestic product, GDP, ratios that shot up and increased debt service costs. Some countries even had a sovereign debt crisis and social upheaval.
In contrast, Minister, as you are aware, together with President Nelson Mandela and, subsequently, President Thabo Mbeki, you embarked on a process of cutting government expenditure and debt to GDP ratios from a high of 50% down to almost 24%. This in turn released billions of rands, which would be spent on debt service costs for service delivery. It also cushioned us for the 2009 crisis.
It was always a pleasure to comment on the hon Manuel's Budgets, which even reached a small surplus at one stage. You would remember that, Minister Manuel. This indeed also happened the first time in history.
I remember one occasion when I was preparing to address the television media after a particularly good Budget. Minister, I don't know if you remember this. You walked past with your entourage and you asked me whether I am going to criticise your Budget and I responded by saying, how can I criticise you when you just quoted Scriptures.
I don't know if you recall, on that particular Budget Tips for Trevor, someone had asked if their tithes to their church are tax deductible. You then said, regrettably, this is not possible and quoted: Render unto Caesar what is due unto Caesar and unto God what is due unto God. [Laughter.]
You have received a lot of criticism from certain quarters, even within your own party and quite unjustifiably, in my opinion. You bounced back in the Presidency, which I am sure was a huge surprise to many of your detractors and you have led the formulation of the National Development Plan, a vision for the future of South Africa. The fact that all political parties in Parliament adopted this plan speaks volumes.
It is indeed a momentous achievement and a rich legacy, ranking as high, even higher than the financial stability that you brought to our finances. We honour you and wish you well in your retirement. We will miss you. If I were to quote a Scripture, it would be: Well done, my good and faithful servant, you have indeed used your talents. We wish you well, but don't forget to quote Scripture. Thank you very much. [Applause.]
Mr I S MFUNDISI
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 11 March 2014 Take: 187
Mr S N SWART
Mr I S MFUNDISI: Hon speaker, the hon Deputy President, the man of the moment, hon Manuel, hon members, this old boy of Herold Cressy High School on the Cape Flats is one of the worthy sons of South Africa. He holds five honorary doctorates because of his diligence in public office. Among his numerable awards, hon Manuel was honoured as the African finance Minister on two occasions.
He is a person who does not shy away when things go awry. Who can forget how he tackled the former CEO of the Government Communication and Information System, GCIS, Jimmy Manyi, on the question of racial quotas. Without going into detail, in his open letter to Jimmy, he started by saying and I quote:
Let us drop titles for the purpose of unnecessary exchange. So let us forget that I am a Cabinet Minister and that you are a director-general, equivalent in the same government.
Thereafter, he gave a solid lecture to this self-appointed ethic anthropologist.
Having served as the first Minister of Trade and Industry in the democratic government of the Republic, Minister Manuel served as the Minister of Finance from 1996 to 2009, when he resigned after President Mbeki was ousted. He did this as a matter of principle so that the new President could apply his mind in constituting his government. Only a man of honour could do that and not take for granted that he would be retained in that portfolio.
In 2009, when he was appointed as the Minister in the Presidency responsible or rather commissioned for the National Development Plan, NDP, he made a good job of it. He consulted extensively and his leadership of that commission has given South Africa a legacy of self-discovery. When I rejoined this House two years ago, Minister Manuel led me by the hand on what the NDP is all about, by writing me a special letter and then he sat me down and explained the whole thing to make me so that I could catch up.
This is a man of great vision and a team player. Mr Manuel is one man who enjoys the respect of most, if not all Members of Parliament. I know a good number of people out there who saw him as a voice of reason.
When he decided at the Mangaung Conference of the ANC to step down as a member of the National Executive Committee, NEC, of the organisation, many were disappointed, but we have to live with that. Wise men know when they have come to the end of their innings.
Good luck, hon Trevor. Be happy wherever you will be, and surely you will remain a repository of the values you hold and may you pass it on to others in the country. That is what we want for all South Africans – excellence through hard work. Farewell, sir. [Applause.]
Mr R B BHOOLA
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 11 March 2014 Take: 188
Mr I S MFUNSISI
Mr R B BHOOLA: Mr Speaker, when a leader of Minister Trevor Manuals' stature steps out of the public domain, it leaves a colossal void. The space he occupied both as Minister of Finance and as head of the National Planning Commission placed our country on a strong foundation focused on service delivery. After 20 years_ of democracy South Africa expresses an immense debt of gratitude to Minister Manuel for steering our economy out of the wretched clutches of apartheid, to a system which the ANC now serves unfailingly.
The American Scholar Warren Bennis once said, "Leadership is the capacity to translate vision into reality." Minister Manuel gave true value and impetus to those words. He created a vehicle, through which we could achieve our political goals - the economic emancipation of our people. Life was given to our lofty political ideas by strategically navigating and co-ordinating a finance department which put the principles of Batho Pele first. The Minister's influence is so significant that when he stepped down in 2008, as you have heard, he unsettled the financial market, showing that as an individual he inspired great confidence both within South Africa and abroad. This is further highlighted by his being tasked to head up an independent panel for the World Bank.
Not only did the Minister lead his departments successfully, he laid down the foundation for his successor to continue the good work, putting systems and measures in place so that a department becomes more than just a person, but indeed an institution and a well-oiled machine. However, the Minister's influence did not stay in the sphere of economics. As a Coloured from Cape Town, he continued to stay grounded, and would stand up for his community when he felt they were marginalised. This displays a type of integrity inculcated in few leaders.
Prior to our democracy, the hon Minister had the wisdom and foresight to see past the problems of the apartheid era. He envisioned a future where everyone can share in the rich abundance of this beautiful land. He did this by driving forward the policies of the ANC and serving as a true patriot. When you can see the vision of a better future, the resolve to overcome the current obstacles becomes obstinate. Similarly, to the problems faced during the struggle, Minister Manuel leaves behind a clear road map of national development for us, enabling us to take the baton and run the rest of the race.
The MF says that you are a true leader. We laud you for this astounding characteristic. Your personal legacy will be one of thoughtful leadership, undoubted service, unwavering integrity and a passion for this country and its citizens. For your immense contribution to this country, its people and a collective future, we are indebted to you. With a great spirit of humility, the MF wishes you well. Go well.
Ms J L FUBBS
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 11 March 2014 Take: 188
Mr R B BHOOLA
Ms J L FUBBS: Hon Speaker, it is a great pleasure for me to speak in the House. [Laughter.] In fact it is a great honour to be given the opportunity to pay tribute to you, hon Manuel, whom I normally call Trevor or Trev, because one is not often given this opportunity. I want to thank the leadership of the ANC for giving me this opportunity.
When we look at the hon Manuel we seem to forget where he comes from. I hope people would want to listen to this. Yes, he comes from what is now known as Western Cape. He joined the Labour Party in 1969, as did so many disciplined and loving children of their fathers, at the bequest and encouragement of his father. Then, like a young man, he looked at South Africa and he said: Right, this is the labour party, alright, and then there was the United Democratic Front, a few young people talking together. He actually got off his motorbike and said: Guess what? I think this United Democratic Front is the way to go. It is the way to go because it is what we are all trying to do now, but he did it with conviction then. You know what students are like; absolute conviction and passion and then on the motorbike; and he said the churches, of course, were right; the this, the that and the next thing and so on and so forth. It were civic associations, trade unions, student organisations and sports bodies. One may have asked him: What other sports do you play other than the motorbike? In other words, those were all of the organisations that the hon Manuel was involved in.
Then, in 1983, it was decided; this is it. It was really unplanned, and this is the thing about the hon Manuel, he digs deep. I am a farmer's daughter and, you know, the knowledge of digging deep is so powerful, and then you dig deep, you nurture, you feed the soil and you actually surprise yourself at what comes out of it - the United Democratic Front. [Applause.] Even today, as we sit here – yes, at a crossroads - we need to remember people like the hon Manuel, whom I know as Trevor. As a clinical psychologist, who had come out of a bomb blast - I see the hon Mdakane has come in quietly - and when I came out after the eye procedure, and a little bit of medical treatment, I found that they had decided to put me in finance – finance! What do I know about finance? I am clinical psychologist. [Interjections.] But we had Trevor Manuel there in the background in the Trade and Industry which I now find myself chairing – and thank heavens I have learned one or two things like using a calculator.
Then we found you, Trevor, telling us, when you became Minister of Finance – out of your khakhi shorts, off your motorbike – to pull in our belts. What? We to create jobs. I hope you understand that, Minister Manuel? What do you mean, pull in your belts? You said: I am cutting the budget. And yes, it was quite a draconian sweep of the sword. [Laughter.] You said you were cutting it, and that was it. You know, I thought what a far cry it was from this jovial lad to what he had now become. And then he tried to explain that had taken them to Gauteng, which has now become the province, you see. We then said that we wanted to discuss that with him. Jabu Moleketi was the then MEC of finance and also wanted to discuss his new approach. The next thing we learned that we had to start thinking of serving our people. That means we have to get funds, and that means we cannot service debt, and that means we must not incur more debt unless it is for constructive issues like something you can hold, not this consumable expenditure.
Half of us did not know what we are talking about but... [Laughter.] ... we said yes. In fact I remember the DA was also saying yes, everyone in there was just saying yes, yes, yes, the three bags full sort of thing. [Laughter.] Then I said, right, what is this?
We found ourselves with the Public Finance Management Act and we marched ahead with the general's orders. As Chair of Gauteng I did not realise that we were a province and that Parliament was higher and I invited Parliament to join us on the study trip to Australia and New Zealand. Fortunately, I had a very understanding Chair at that moment who understood – you know how this blooming people are in the provinces – let us just agree.
We went there and they were shocked to learn how far we had advanced in two years. They said, but you know, we are not there yet and we have been going on this road for seven years. We said, but we had been following you, while at that point we were ahead of them. And Trevor - that was you, but you had disappeared and I could not see beyond where you were sitting. All I can say ... [Laughter.]... is that you taught us the sound fundamentals of not only good governance. You also said if a country wanted to know your policy, they should read your budget and they would be able to deduce from it what you really cared about. He added on by saying, since they would not even listen to me, Fubbs, check your budget. Since then I have been checking it very regularly. May I just say one thing quoted from Okri, who said: The new era is here. Thank you, hon Manuel, for bringing in the new era of sound financial fundamentals. Thank you. [Time expired.] [Applause.]
The MINISTER IN THE PRESIDENCY: NATIONAL PLANNING COMMISSION
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 11 March 2014 Take: 189
Ms J L FUBBS
The MINISTER IN THE PRESIDENCY: NATIONAL PLANNING COMMISSION: Mr Speaker, the hon Fubbs is always a hard act to follow. I will try. [Laughter.]
Hon Speaker, Deputy President, ministerial colleagues, hon members, I want to express appreciation for the indulgence of this farewell and convey a particular word of gratitude to the Parliamentary Oversight Authority for affording us this opportunity. I am completely humbled by the many contributions made here this afternoon, so much so that my mother in the House probably doesn't recognise her son from all of the nice things that have been said here today. [Applause.]
On reflection, I want to say that it feels good to be part of that generation, that very special generation in the life of the nation that had the opportunity to bring down an old order and be involved in the construction of a new one. [Applause.]
There are a number of very particular highlights, some of them reflected on, but perhaps the one that we must single out and go back to - because, for future generations, this will be the touchstone - was the adoption of our fine Constitution. [Applause.]
It is a truly magnificent document, not created, not forced on us by the outside, by any multilateral agency. It is ours; it is owned by us; it is the product of what we have been through, and therefore we must cherish it for what it is worth for ourselves and as the bridge to the future from where we have been. [Applause.]
As a Member of Parliament, I want to say that I have appreciated working with all members of all parties. I remain of the view, albeit naïve, that we are all bound together by the same oath to our Constitution that we take in this House. We may come at it from slightly different positions, but ultimately we take an oath of service and an oath of loyalty to our Constitution, and that should be the acid test of who we are and what defines us in our relationship with our people.
I don't believe that any person can come here and take the oath to the Constitution and be a racist and a bigot, and if they are off the mark, we have to help them back, because ultimately, the test is that which is defined in the preamble to our Constitution, which asks of us in perpetuity to raise the living standards of our people and free the potential of each person. It's not an option; it's an obligation imposed by history, defined in our Constitution. And when we gather in this House, we gather for that purpose.
So, for me, the ability to have served here for 20 years as a member of this august Assembly is an honour that I don't take lightly. It's an honour that I am privileged to share with so many and with so many who have been part of this Assembly for the past four terms.
I was sworn in as part of the first group of 10 MPs in a democracy on 9 May 1994. There were many greats. I don't know what I was doing there. When I look at the photograph of the occasion, there were people like MaSisula, Joe Slovo, Madiba, Jay Naidoo, Thabo Mbeki, Cyril Ramaphosa, Winnie Madikizela-Mandela. All of us were sworn in together as the first group of MPs. And it wasn't an honour that I could have dreamt of in any part of my life before that point. [Applause.]
The question is whether we remain true to that. One of the reasons - I am very privileged to have my mom here today - is that she was also in the House on that day, 9 May 1994. [Applause.] All of us as members had elected the first democratic President of the Republic, and the first Speaker, the first Deputy Speaker. We left here and went to the Parade to hear our newly elected President address the country. He said:
Today we are entering a new era for our country and its people; today we celebrate not the victory of a party but a victory for all the people of South Africa.
That has been, in many ways, the genesis of what we will create as this democracy. I don't believe that for a moment it's something that ends. I don't believe that we can take a snapshot approach to the task of building democracy. It has to be ongoing because that statement by Madiba on 9 May 1994 is, in fact, the profundity of the joy of responsibility to build that we all undertake.
So, for me, 20 years as an MP is a rare privilege. It is a rare honour to be called to serve in Cabinet uniquely by four successive Presidents – one of whom is here with us today, former President Kgalema Motlanthe. Only two of us who were called to serve in the first Cabinet remain, my benchmate Jeff Radebe and I. So mngani, you are on your own from now. I want to thank the ANC, obviously, and the four successive Presidents for their trust.
For me the 20 years has been a true journey of discovery of myself, of my colleagues, of my comrades, of my country, of the world – a discovery of possibilities and boundaries, and where the boundaries exist, to identify them so that together we can push them back.
I know that I leave here wiser than when I came. But, in that frame and in that vein, I want to ask of all of us whether we really use this Chamber, whether we understand the value of this Chamber, this Assembly, in the lives of our people in the way that we should. I want to mention a few examples, and I know that the swansong speech is meant to be uncontroversial. Forgive me, I am me.
Did we do justice to using this podium to explain to our people, each one of them, the impact of the 2008 crisis on their lives on a continuous basis - not to score points, but to say to our people that our Constitution requires of us to operate in a particular way?
I watched with awe the hon Fubbs lead a process in the Portfolio Committee on Trade and Industry just recently. It was a very important discussion on the way in which our people are impoverished through unsecured lending. The question I ask myself repeatedly is whether that debate should not have been on the floor of this House before legislation, so that our people understand that they deploy us here – each one of us – to take seriously what is happening in their lives.
I watch in horror what is happening in the Central African Republic right now. And I say "horror" because those moments of great joy for us as a nation, born in April 1994, were the toughest times in the life of the Rwandese people when they lived through their genocide. We didn't even notice it happen.
Of course, matters relating to the Central African Republic have been on the floor of this House, regrettably for what appears to be point-scoring. As we speak today there is a pogrom in Bangui. As we speak, we must be conscious of the fact that virtually every Muslim who was a resident of Bangui has been driven out. And we as a people who care, who want a caring democracy for ourselves, cannot be blind to the suffering of other Africans.
This floor of this House is fundamentally important in building the value system so that our people will know that we care as Africans and that we care deeply as people. This is because when we were in need as a people struggling for democracy, everybody else demonstrated care for us. So, the floor of this House, I believe, needs to be used more extensively to persuade each other and persuade our people of the values of our Constitution and the values that our democracy requires of us.
We must know that we do carry the hopes and aspirations of every African. We can't ever be blind to those responsibilities. So I ask, provocatively, whether we use the floor of Parliament sufficiently.
During the 20 years I have been a member here, of course, all manner of things have happened to me, Mr Speaker. You told me not to say that ... you know ... Madiba asked me to be the first leader of government business. I was pretty useless at that. Not many people remember. Fortunately, the hon Koos van der Merwe is not here, because the Thursday morning meetings were very difficult then.
I was also an individual who flew in a plane that didn't look good for any Member of Parliament, least of all anybody coming from the ANC. I was berated and teased and reprimanded by this House. Fortunately, those planes don't fly any more. I forget what they were called, and the temptation has been spared.
An HON MEMBER: Gulfstream.
The MINISTER IN THE PRESIDENCY: NATIONAL PLANNING COMMISSION: And then, of course ... Not the Gulfstream. It was called the Concord. It's before your days of Romania. [Laughter.] I am afraid you have a one-track mind, sir. [Laughter.] Then, of course, there was that car. The less said about it, the better and, hopefully, I will soon be relieved of that car and the privilege of driving in the luxury of that car. But that's another story. All of that was debated and shared here, and I want to say to all of you who teased and berated me: Thank you very much. I learnt out of the process.
So, even now, as we approach this next period ... And, you know, I am amazed because people who are perfectly rational, Mr Speaker, jettison rationality on the eve of an election. I want to say that we must maintain our collective responsibility to all of our people, because this democracy and its ability to better their lives is something that we will wake up to after the elections when new Members of Parliament have been sworn in, where the issues of poverty and inequality and unemployment will continue to dominate. So let's not destroy all rationality, all hope. We, as democrats, have the responsibility to serve our people to the best of our ability.
Of course I want to say thank you to all 400 members and those who served before for the collegiality, and I want to thank especially some of the older members who were there to assist me and guide me. Tata Mlangeni, Tata Diale, MaNjobe, MaNtuli – where is my old friend Aubrey Mokoena from the Release Mandela Campaign? - the hon Koos van der Merwe and a number of others. Thank you very much for that collegiality.
I also want to say thank you to the amazing public servants I have had the privilege of working with in all three departments I have served. I see here in the box some of those who served with me before in the Treasury. This speaks to that relationship that is very special. There are also the personal staff that have served in the Ministry, and some of them have life sentences. There are two people with the surname "Smith" who are unrelated. The one joined me on 14 May 1994, and the other one on 16 June 1994. I don't know why they are still here. The person who has been with me for the shortest time has been with me for a mere seven years. So, this is an amazing group of people who have assisted me, carried me and allowed me to be.
These past five years have placed me in a position where I worked differently with an amazing group of commissioners in the National Planning Commission – great South Africans. I don't know what the political persuasion of those people are, but I do know that they want to serve South Africa and make this country great, and I want to say I owe them a debt of gratitude to them.
My sisters are represented here by my one sister, and my sons are represented by the two here. Minister Sisulu always used to talk about my sons who used to sit there and sleep during budget speeches. [Laughter.] Now they are there and fully grown up, and I hope that they won't fall asleep during their father's speech today. Of course, my mother is very special and I am glad that she is able to be here.
I want again to express appreciation to the four Presidents. Pardon me for singling out the one President who identified some opportunity in me, nurtured me, corrected me when I was wrong, and gave me this amazing opportunity: Madiba. [Applause.]
Like the Deputy President, the ANC flows through my veins. It's not a job. It's a belief system. And I will always remain a true, loyal and disciplined member of the ANC. And, hon Hajaig, yes, I will go to my branch meetings ... [Applause.] ... and pay my subscriptions because none of this would have happened in my life without the ANC affording me an opportunity to serve my people. [Applause.]
I want to leave with a short message from a writer whose work I have found very influential of late. His name is Tony Judt, and he says:
Something is profoundly wrong with the way we live today. For thirty years we have made a virtue out of the pursuit of material self-interest: indeed this very pursuit now constitutes whatever remains of our sense of collective purpose. We know what things cost, but have no idea what they are worth. We no longer ask of a judicial ruling or a legislative act: Is it good? Is it fair? Is it just? Is it right? Will it help try to bring about a better society or a better world? Those used to be the political questions even if they invited no easy answers. We must learn once again to pose them.
Thank you very much. [Applause.]
Debate concluded.
The SPEAKER: I thank the hon Minister Manuel. That concludes the farewell tributes. The presiding officers also wish to take this opportunity to wish you well, hon Minister. Also, when you change your cellphone number, please give me your new number so that we can contact you should we need you to come and help us and support us. Thank you very much, hon Minister.
3RD ORDER: The CHIEF WHIP OF THE MAJORITY PARTY
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 11 March 2014 Take: 190
NATIONAL PLANNING MINISTER/The SPEAKER
DETERMINATION OF REMUNERATION OF MEMBERS OF CONSTITUTIONAL INSTITUTIONS LAWS AMENDMENT BILL
(Consideration of Report)
There was no debate.
The CHIEF WHIP OF THE MAJORITY PARTY: Mr Speaker, I move-
That the Report be adopted.
Motion agreed to.
Report accordingly adopted.
The DEPUTY MINISTER OF JUSTICE AND CONSTITUTIONAL DEVELOPMENT
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 11 March 2014 Take: 190
The CHIEF WHIP OF THE MAJORITY PARTY
DETERMINATION OF REMUNERATION OF OFFICE BEARERS OF INDEPENDENT CONSTITUTIONAL INSTITUTIONS LAWS AMENDMENT BILL
(Second Reading debate)
The DEPUTY MINISTER OF JUSTICE AND CONSTITUTIONAL DEVELOPMENT: Speaker and hon members, the late Prof Kader Asmal once wrote:
... emerging from a racially divided and oppressive past, where basic human rights were violated in the extreme by an illegitimate government that failed to honour even the most basic tenets of the rule of law, South Africa crafted a Constitution that is unique and far-reaching in its provisions. Amongst others, it established an array of constitutionally protected institutions created to strengthen democracy and to promote respect for human rights in our society.
The Bill before us this afternoon seeks to strengthen these constitutional institutions. The Bill addresses practical challenges that currently exist, and I know the Bill is welcomed by stakeholders.
Furthermore, the Bill is a constitutional requirement, as section 219(5) provides, that-
... national legislation must establish frameworks for determining the salaries, allowances and benefits of judges, the Public Protector, the Auditor-General and members of any commission provided for in the Constitution, including the broadcasting authority referred to in section 192.
At present, the various pieces of enabling legislation which govern each of the Chapter 9 Institutions, other commissions referred to in the Constitution, as well as the broadcasting authority, all provide for different procedures to be followed and for different functionaries to play a role in the determination of the remuneration, allowances, and other terms and conditions of employment of office bearers of these institutions. The need has therefore arisen to eliminate these disparities and to create uniformity in this regard.
In order to achieve this, the Bill amends the various pieces of legislation to create a uniform procedure to be followed in respect of the determination of the salary, allowances, and benefits of office bearers of these institutions. In terms of the new procedure, the Public Protector, the Deputy Public Protector, the Auditor-General and office bearers of other Chapter 9 Institutions, including the Independent Communications Authority of South Africa, Icasa, will be entitled to such salary, allowances, and benefits as determined by the President, from time to time, by notice in the Gazette, after taking into consideration the recommendations of the Independent Commission for the Remuneration of Public Office Bearers, and after it has been approved by the National Assembly.
The independent commission must, when investigating or considering the salary, allowances, and benefits, consult with the responsible Cabinet member and the Cabinet member responsible for finance. The notice must be submitted to the National Assembly for approval before publication thereof. The National Assembly must, by resolution, approve the notice, whether in whole or in part.
Members will note that this procedure is very similar to that followed in determining the salary, allowances, and benefits of judicial officers. Despite the provisions of section 219(5) of the Constitution, it should also be noted that this uniform procedure is not being made applicable to the Public Service Commission and the Financial and Fiscal Commission at this stage as their inclusion would require a different tagging of the Bill, and thus these commissions will be provided for in the near future.
I would like to thank the Chairperson of the Portfolio Committee on Justice and Constitutional Development, the hon Luwellyn Landers, and the members of the committee for the time, effort, and hard work they have put into considering and finalising this important piece of legislation. I have been informed of the amendments to the Bill, which were proposed by the committee, and I am of the opinion that these amendments reflect the high standard that this committee has set in its approach to, and processing of, legislation.
In closing, it is always prudent, whenever we discuss our Chapter 9 Institutions, and this House's oversight role, that we recall what the late former Chief Justice Pius Langa said in the Constitutional Court in the New National Party v The Government of the RSA case. He was discussing the Independent Electoral Commission, IEC, and other Chapter 9 Institutions, but one could very well apply it to all constitutional institutions. He said:
The establishment of the Commission and the other institutions under Chapter 9 of the Constitution is a new development on the South African scene. They are the product of the new constitutionalism and their advent inevitably has important implications for other organs of state, who must understand and recognise their respective roles in the new constitutional arrangement.
He stressed that our Constitution places a constitutional obligation on organs of state to assist and protect our constitutional institutions in order to ensure their independence, impartiality, dignity, and effectiveness. We believe that this is exactly what this Bill will achieve, and I therefore commend the passing of the Determination of Remuneration of Office Bearers of Independent Constitutional Institutions Laws Amendment Bill to the House. I thank you. [Applause.]
Mr L T LANDERS
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 11 March 2014 Take: 191
The DEPUTY MINISTER OF JUSTICE AND CONSTITUTIONAL DEVELOPMENT
Mr L T LANDERS: Hon Deputy Speaker, hon Deputy President, I stand before you to say that the ANC will support this Bill. The hon Deputy Minister was very kind in his lavish praise of the Portfolio Committee on Justice and Constitutional Development, because he has already covered the substantial portions of what is contained in the Bill. Therefore, I will not go there. However, as it is usually the case, it is my role to set out for you the procedure that we followed in the portfolio committee in our consideration of the Bill.
The portfolio committee received written submissions from amongst others SA Human Rights Commission, SAHRC, the Commission for Cultural, Religious and Linguistic Communities, CCRLC, the Commission for Gender Equality, CGE and a late submission by the Public Service Commission, PSC. I will not deal with the submissions made by the first three I have referred to. However, I would like to address the submission made by the Public Service Commission.
As we know, Public Service Commission is established in terms of Chapter 10 of our Constitution. However, section 219(5) of our Constitution does not draw a distinction between institutions referred to in Chapter 9 with those elsewhere in our Constitution.
During our deliberations on the matter, the portfolio committee acknowledged the strength and validity of the argument put forward by the Public Service Commission to the extent that, initially, the committee resolved to include the Public Service Commission in the Bill. Regrettably, however, the law advisers serving the committee reminded us that to include the Public Service Commission would alter the classification or tagging of the Bill from the section 75 tagging it presently enjoys, to being a section 76 Bill, which would have led to serious logistical problems.
Effectively, changing the classification would have delayed the passing of this Bill. That being said, the portfolio committee resolved not to include the Public Service Commission or the Financing Fiscal Commission at this point, on the eve of the general elections, but that the new portfolio committee appointed by the fifth democratically elected Parliament should do so as soon as it is reasonably possible with the co-operation of the Ministry of Justice and the Department of Justice and Constitutional Development.
We will take this opportunity to express our appreciation to Messrs Johann Labuschagne, Johan de Lange and Lawrence Bessett for their commitment to producing excellent quality legislation such as the Determination of Remuneration of Members of Constitutional Institutions Bill, which is before the House as I speak.
I also want to say that I have been privileged and honoured to have served as Chairperson of the Portfolio Committee on Justice and Constitutional Development during this Fourth Parliament. We are blessed with a committee whose members are dedicated, hard-working and serve with distinction in striving to hold government into account and to produce legislation which we can all be proud of.
I crave your indulgence, hon Deputy Speaker, to say a few kind words to someone who will not be returning to this House, and I refer to the hon Dene Smuts. The hon Dene Smuts epitomises everything that an elected public representative should be. She is diligent, honest, committed, forthright in her views, tough and uncompromising. Coupled with a determination to hold government and the executive to account, it means that this NA will be a lesser place without her. Thank you. [Applause.]
Ms M SMUTS
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 11 March 2014 Take: 191
Mr L T LANDERS
Ms M SMUTS: Deputy Chairperson, I would like to say to my hon Chairman: Thank you for those kind words. Madam, may I say to the hon Trevor Manuel: After twenty years, in justice we do still ask the question: Is it good? Is it fair? Is it just? If a justice committee did not do so, it would of course be a problem.
Well, I do take issue with my ANC colleagues today. The aim of the argument is progress, as my former President has argued, following the French philosopher Joseph Joubert, "The aim of an argument or discussion is not victory but progress." It is in that spirit that I make some, but I take issue on some matters.
It has taken 18 years for this Parliament to carry out its obligation under section 219 (5) to produce this legislation to establish frameworks for determining salaries, allowances and so forth. It is therefore greatly to be welcomed that we are now doing our duty to bring an end to the disparities and eccentricities that have characterised the salaries and conditions of service of the Chapter 9 institutions.
Our one difficulty on the side of the DA, which is conceded to by the ANC only in so far as it recognises the need for later debate, is that the line Ministries that act as conduits for the budget allocations of the various Chapter 9 institutions are to be consulted by the Independent Commission for the Remuneration of Public Office Bearers alongside the Treasury.
The line Ministry should not be acting as conduits at all. The Chapter 9 institutions are independent and subject only to the Constitution and the law, just like the courts. They are accountable to the NA and Ministries have no role to play in them. It was consequently the recommendation of the Ad hoc Committee on the Review of Chapter 9 and Associated Institutions, supported by Treasury, in the hands of Minister Manuel at the time, that the location of the budget allocation within Ministries creates a false impression of accountability to government.
The previous NA, near the end of its life, adopted the Ad hoc Committee on the Review of Chapter 9 and Associated Institutions' proposal for the creation of a unit in the Speaker's Office. It also supported - but did not yet adopt - the recommendation that the Chapter 9 institutions' budget should become part of Parliament's own Budget Vote. This Parliament should have adopted that recommendation and it would have followed that line Ministers also should not be consulted on the salaries of the commissions. They have no role to play.
Now, I want to go slightly and more broadly but still within the context of the argument. I believe that there is a trend against the grant of institutional independence from the executive which is discernable right now as we approach the end of the life of this Parliament, and it worries me. It applies also to the courts. Let it be said clearly, however, that the work we have done in Justice during this term, until the end of last year, has been historic.
Nothing can ever match the glory days, when we negotiated the two Constitutions or the early years in the Justice and associated committees. Nothing can ever match those years. There were two reasons: No one ever compromised ton the principles that we ourselves had built into the Constitutions, and the people involved were all personalities in their own right, as politicians should be. Nothing can match those years!
However, in this term in the Justice committee, we have begun something historic, we have begun to create the institutionally independent judiciary, which judges have been proposing for some time, and which the Justice and Constitutional Development Minister and his former Deputy Minister facilitated. These developments would bring us in line with the comparative jurisdictions, but now the Justice and Constitutional Development Ministry appears to be losing the political will to take the final steps. I hope that I am incorrect, but that is how it appears to me.
The first and second steps were the Constitution of South Africa's Seventeenth Amendment Act which made the Chief Justice the head of the judiciary, and the Superior Courts Act which further elaborates the management of the judicial functions by the judges. The third and fourth steps are supposed to be the creation of a judicial council to make policy and an independent administrative agency to run the courts.
The Office of the Chief Justice was simply an interim step to get the show on the road, but now the hon Deputy Minister of Justice, John Jeffery, tells us in the Mail & Guardian that the government has accepted only that the judiciary should play "an active role" in court administration. He also writes that the judges are not elected, cannot be recalled and would therefore be unaccountable if they ran the courts. That is simply not so.
It was already understood between the Office of the Chief Justice and the Portfolio Committee on Justice and Constitutional Development that the Secretary-General of the Office of the Chief Justice would have come to us for the public money that was voted and spent. How is that a problem when that is how it already works for the Chapter 9 institutions and when the judicial branch is the granddaddy of independent institutions? How is that a problem?
The Chief Justice himself specifically favours a model based on the auditor-general which is, of course, a Chapter 9 institution under which the judicial council will comprise of only judges with an advisory board from other disciplines for accountability. The Chief Justice has pointed out that there is no Cabinet member responsible for Parliament and there should be none for a judge-led court administration under the institutionally independent judicial branch of the state.
Of course it is true, as the hon Jeffery argues, that the Constitution itself gives the Justice Minister a responsibility for the administration of justice, but the clear compromise is to make the Justice Minister a member of the judicial council, where some of the international comparative examples would also place him.
A number of other jurisdictions already have independent agencies which run the courts. We have also been falling behind international trends in respect of our prosecuting authority and the SA judicial Service Commission. I took the thinking of the two gentlemen to whom we bad farewell today - the former President Motlanthe and the hon Minster Trevor Manuel - forward in two Private Member's Bills, on which I will address you on Thursday.
The one pertained to the SA Judicial Service Commission, its composition and certain other aspects. That thinking I based directly on the NDP. The other Private Member's Bill pertained to the National Prosecuting Authority. It began first and foremost with an appointment mechanism that is different from what we have now, the very first person to propose a different mechanism was the then President Motlanthe. I will address you on those on Thursday in a last blast.
I regret to say that the ANC could not be bothered to deliberate on those two Private Members' Bills. It is a matter of regret to me that the ANC appears to be hanging on to such executive power as is already enshrined, instead of modernising the legal sector. We produced a political order which was widely admired during the transitional years, which had been my privilege to be a participant to, from the start to the end! I think we are leaving the transitional times behind.
My plea is simple: let us not now fall behind. I say so against the background of a justice committee which up until the end of last year has done, I repeat, historic work! That goes also for the Ministry, both the hon Justice Minister Radebe, the former Deputy Minster Andries Nel and the present Deputy Minister John Jeffert. We have all worked in concert to do work that I considered to be historic and my plea is quite simple: Let us not now fall behind.
Thank you. [Applause.]
Mr S N SWART
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 11 March 2014 Take: 192
Ms M SMUTS
Mr S N SWART: Deputy Speaker, the ACDP will support this Bill. The arguments have been presented and I won't repeat them. I also share the concerns that have been expressed by the hon Smuts about the line Minister's function. It gives me great pleasure to follow the chairperson of the Justice committee in also commending Dene Smuts for her rich legacy in Parliament for the past 22 years.
I have had the honour of serving with the hon Smuts since 1999 in Parliament and the last five years on the Justice committee. I was always under the impression that Dene was legally qualified, given her compelling legal arguments that she often presented. I would refer to her as the senior counsel and I was the junior counsel when I presented arguments. I remember the late nights that we spent dealing with the Protection of the State Information Bill, persuading the ANC with compelling arguments to change its views. It is interesting, in this regard, those of you who want to read an encouraging article, read, "A Ray of Hope from Parliament", written in the Sunday Times some time ago, where the author, Brendan Boyle, says the following:
Watching Parliament in action is often quite disappointing, so it is heartening to see a more positive episode unfolding.
He goes on to relate about the committee.
The committee began to go through the Bill, clause by clause, and the ANC shut its ears. Then something changed, not all at once, but tentative steps, using the mechanism that delivered our Constitution, tackling the easiest issues first, the ANC, DA, ACDP and the IFP began to find each other, at least on some of the most obvious flaws of that Bill.
The three leading opposition delegates – Dene Smuts, Steve Swart and Mario Oriani-Ambrosini – cemented each hard-won concession without gloating over their victories and ANC members found they could give ground without the sky falling down.
Oriani-Ambrosini is so frustrated at times that he seems on the verge of tears. Smuts allows herself an occasional snort of derision when the ANC members deny the logic of an argument a six-year-old would grasp. Swart pursues the least bad option with religious patience.
What emerges from this is that it is still likely to be a bad Bill, but it may just be constitutional. Yet, it does show the diligence of a few good men and women who were prepared, according to their lights, to apply themselves in a way many Members of Parliament, MPs, don't know is possible - to do the right thing. I think, in this example, it was MPs across political lines.
You, Dene Smuts have applied yourself in a way that many MPs don't know is possible - to do the right thing. I want to honour you today and thank for all your support to me as a friend in the justice committee. The ACDP will support this Bill. I thank you. [Applause.]
Mr J B SIBANYONI
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 11 March 2014 Take: 192
Mr S N SWART
IsiNdebele:
Nom J B SIBANYONI: Angithome gokuthokoza iSekela lakaSomlomo, ngilotjhise iSekela lakaMongameli, aboNgcongcotjhe abakhona begodu namaSekela wabo nakini noke maLunga ahloniphekileko ngithi, lotjhani. Nginendaba ehle khulu kwamambala begodu ekarisako namhlanjesi ekulumeni pikiswano le noMthethomlingwa othi ...
English:
... Determination of Remuneration of Members of Constitutional Institutions Laws Amendment Bill. Let me share a light moment with you. I want to tell you that some people say I look like President Zuma and others say that President Zuma looks like me. All I can say is, judge for yourself. [Laughter.] First of all, I want to deal with Chapter 9 institutions.
IsiNdebele:
AmaZiko wesiGaba sethoba woMthethosisekelo lo, enzelwa ukuvikela amalungelo wobuntu ngebanga lobudisi nomthlago okhabe ukhona ngaphambi komnyaka waka-1994. Ubaba wethu owalalako uNelson Rholihlahla Mandela, uMadiba, watjho bonyana lokho ekhabe kukhona ngaphambi komnyaka waka-1994, kungasabuyi kube khona godu. Wathi, ngiyamdzubhula ...
English:
Never, never and never again shall it be that this beautiful land will again experience the oppression of one by another.
This is the statement of the former ANC President Nelson Mandela at his inauguration as the first black President of the country on 10 May 1994.
Secondly, I want to deal with the mischief to be addressed by this Bill.
IsiNdebele:
Seku kade seloku kunokuhlubayela ngebanga lokungalingani kwemirholo yalabo abasebenza emaZikweni wesiGaba sethoba, [Chapter 9 institutions] begodu nemirherho elandelwako yoku buyelela imirholo nobujamo bemisebenzi. UMengameli ngokubonisana neKhabinedi nguye obeka imirholo yamalunga weKomitjhini yamaLungelo woBuntu [SA Human Rights Commission] kanti iNdlu yokuthoma yesiBethamthetho seNarha [National Assembly] iqalene nokuhlela imirholo nobujamo bemisebenzi yoMphathi-Ncwadi zombuso [Auditor-General] noMvikeli woMphakathi [Public Protector] begodu neSekela lakhe.
Kwesithathu ngifuna ukukhuluma ngomqopho waloMthethomlingwa. Alo-ke uMthethomlingwa lo unqophe ukulungisa iintjhijilo engikhuluma ngazo lezi ngokwenza kubekhona ikambiso ekhambelanako [uniform procedure] yokubeka umrholo nobujamo nokukhambisana kezemisebenzi begodu nokufanelwe kutholwa mVikeli womPhakathi neSekela lakhe. NabeKhomitjhini yamaLungelo woBuntu begodu neKhomitjhini yokuLinganisa bembhaji nabengubo ngokuthuthukisa nokuvikela amaLungelo wamaSiko, wezeKolo newamaLimu.
Kwesine uMthethomlingwa lo unqophe ukutjhugulula nasi imithetho: ...
English:
Fourtly I want to deal with the legislation is to be amended, namely the Public Protector Act of 1994, Human Rights Commission Act of 1994, Commission for Gender Equality Act of 1996, Electoral Commission Act of 1996 and, lastly, the Commission for the Promotion and Protection of the Rights of Cultural, Religious and Linguistic Communities Act of 2002.
Fifthly, I want to deal with the proposals in this Bill. The Determination of Remuneration of Members of Constitutional Institutions Laws Amendment Bill in brief, proposes a method in terms of which the Independent Commission for the Remuneration of Public Office Bearers shall investigate and make recommendations to the President on salaries, allowances and conditions of service of various office bearers.
Sixthly, about the independence of the Chapter 9 institutions, these Chapter 9 institutions enjoy constitutional independence and operate free from interference or influence of other organs of state. Really, today it is better to live in South Africa than it was before 1994. This is a good story to tell.
Lastly, there is the matter of the benefit of this Bill. After this Bill is passed, uniformity will exist in the procedures for determining the salaries, allowances and benefits of the Chapter 9 institutions that protect constitutional democracy, those are the watchdogs of human rights.
I want to join my colleagues in saying farewell to the hon Dene Smuts. It is now a fact that she won't be returning to Parliament after the elections on 7 May. I would also like to join my fellow comrades in saying goodbye. We will miss you, hon Smuts, in our portfolio committee meetings and the oversights the committee had. We only had a few due to the busy schedule of passing the Bills.
One of the overseas visits that I will never forget is the one we undertook to Germany. As I was chairing the meeting we had with the South African Ambassador to Germany, Rev Makhenkesi Stofile, I said to the ambassador that he should keep his address very brief, because some of us can sleep and listen at the same time. I think you recall that, and you objected to my utterances. The ambassador understood, because he said I must speak for myself and not include other people. Before 1994, we used to sing and say, "I can shoot and run at the same time." Now, if we were allowed to sing, I would have sung you a very beautiful song. But I will just recite its words as you are leaving.
The song says:
IsiNdebele:
Maba hambe aba hambayo, thina sosala siyi
ncenga
English:
Otherwise, you can say:
IsiNdebele:
Maba sale aba salayo, so phinde sibonane.
English:
We learn that there is a certain Ms Glynnis Brytenbach who will be joining the Justice portfolio committee.
Afrikaans:
Stuur groete vir haar en ek wil vir haar sê dat ons vir haar wag...
English:
... in the Justice portfolio committee.
The ANC supports this Bill. I thank you. [Applause.]
The DEPUTY MINISTER OF JUSTICE AND CONSTITUTIONAL DEVELOPMENT
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 11 March 2014 Take: 192
Mr J B SIBANYONI
The DEPUTY MINISTER OF JUSTICE AND CONSTITUTIONAL DEVELOPMENT: Deputy Speaker, I only have two minutes and I had wanted to pay tribute to the hon Smuts, but I will need to respond to some of the issues that she raised.
Firstly, I want to pay tribute to the hon Smuts. As other members have said, she is an extremely hardworking and well-prepared member of the committee. But I think she is also someone that other members of the DA can learn from in that she makes a difference. She is constructive, she engages the majority party and is listened to, rather than somebody who is more interested in getting into the newspapers and issuing press statements.
On the issues that were raised, this Bill enhances the independence of the Chapter 9 institutions by having the commission investigate and make recommendations on their salaries. Currently, with regard to the Public Protector, the law says that the Public Protector cannot earn less than a High Court judge. The salary of the Public Protector is, in fact, higher. It is at the level of a Judge of the Supreme Court of Appeal. This is going to mean that there is an independent body, as with the judges, that makes recommendations.
The issue of the consultation with the Minister is an after-consultation and not an in-consultation, but that is what happens with the judges. The Minister of Justice and Constitutional Development gets asked for an input by the commission before they make their final recommendation.
As far as the issues relating to the judiciary are concerned, we do, as I think you pointed out, have in our Constitution, reference to a member of Cabinet responsible for justice. I am not sure of the role of that person, if that person has nothing to do with the courts, which is what you seem to be suggesting. In addition, is it appropriate for the Chief Justice to come and account to the National Assembly, as the Chapter 9 institutions do, about how money is spent and the budget? The issue is, as in the Superior Courts Act, that the responsibility is shared. I have run out of time but I am sure we can respond on other platforms at a later date. Thank you. [Applause.]
Debate concluded.
Bill read a second time.
The CHIEF WHIP OF THE MAJORITY PARTY/FIFTH ORDER
UNREVISED HANSARD
NATIONAL ASSEMBLY
Tuesday, 11 March 2014 Take: 192
The CHIEF WHIP OF THE MAJORITY PARTY
NATIONAL ENVIRONMENTAL MANAGEMENT: AIR QUALITY AMENDMENT BILL
(Consideration of Bill)
There was no debate.
The CHIEF WHIP OF THE MAJORITY PARTY: Deputy Speaker, I move-
That the Bill be passed.
Motion agreed to.
Bill accordingly passed.
The House adjourned at 19:07.
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