Hansard: NA: Unrevised Hansard
House: National Assembly
Date of Meeting: 20 Nov 2018
Summary
No summary available.
Minutes
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TUESDAY, 20 NOVEMBER 2018
PROCEEDINGS OF THE NATIONAL ASSEMBLY
The House met at 14:01.
The Speaker took the Chair and requested members to observe a moment of silence for prayers or meditation.
CONSIDERATION OF REPORT OF PORTFOLIO COMMITTEE ON PUBLIC ENTERPRISES ON REPEAL OF THE OVERVAAL RESORTS LIMITED BILL
There was no debate.
The Chief Whip of the Majority Party moved: That the Report be adopted.
Motion agreed to.
Report accordingly adopted.
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REPEAL OF THE OVERVAAL RESORTS LIMITED BILL
(Second Reading debate)
Ms L A MNGANGA-GCABASHE: Hon Speaker, the repeal of Overvaal Resorts Limited Act 127 of 1993 was referred to the Portfolio Committee on Public Enterprises on 25 April 2018. In August 2001, Cabinet took a decision to dispose of Aventura Resorts. This decision was informed by the governing policy to restructure state-owned companies by selling noncore assets which were loss-making. The objective of restructuring was to raise funding for the fiscus and reduce the national debt to empower previously disadvantaged groups and existing sectors that were loss-making and noncore to government.
Subsequent to receipts of the Bill by the committee, there were meetings held. The department took the committee through the repeal of Overvaal Resorts Limited Act 127 of 1993 on 25 April 2018. The Bill was approved by Cabinet for publication in the Government Gazette to invite public comments on 29 March 2017. The Bill was published in the Government Gazette, National Gazette No 40921 volume 624 of 15 July 2017 from 15
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June 2017 to 15 July 2017. The committee invited and received public comments on the repeal of the Overvaal Resorts Limited Act on 127 of 1993. The committee discussed clauses on the Bill on 31 October 2018 and finalised by adopting the repeal of the Overvaal Resorts Limited Bill, B36 of 2017 as tabled in the announcements, tabling and committees, ATCs, on 5 November 2018.
The repeal of the Bill was well received by the members of the public and organised labour and Forever consortium and broad- based black economic empowerment forum as well as by all members of the committee. Notwithstanding the above, the committee members agreed that the department should provide the committee with progress report in two months on ancillary issues raised by the public. The progress report will outline the Department of Public Enterprises’ plan to resolve the outstanding land claims in consultation with the Department of Rural Development and Land Reform together with the Department of Public Works.
The committee received comments from the Forever’s consortium of broad-based black economic empowerment forum. The forum
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raised the following matters relating to Overvaal Aventura Resorts Broad-Based Black Economic Empowerment Act 56 of 2003 as amended by Act 46 of 2013: The need to empower employees through employees share ownership programme; the impact of restructuring the business on job creation; the need to address matters relating to appropriating implementation of the sale and purchase agreement between the Department of Public Enterprises and Forever Siyonwaba consortium dated 20 June 2003; the 30% shareholding of broad-based black economic empowerment partners should be implemented in line with the legislative prescripts as outlined by the South African government and allocated to black-owned South African companies.
The committee recommends that the above-mentioned issue should be implemented by the Department of Trade and Industry and the Department of Labour, working with the Department of Public Enterprises. Furthermore, the committee members were assured that the repeal of the Act is not going to have negative impact on the commitments made to organised labour, communities and the department.
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As the committee, we fully support the Repeal of the Overvaal Resort Limited Bill, B36 of 2017 in line with the intended objectives of government to dispose Aventura Resorts. I thank you, hon Speaker.
There was no debate.
Declarations of vote:
Ms N W A MAZZONE: Through you Speaker, I thank the chairperson of the committee. The DA is completely in agreement with the repeal of this legislation, but we would like to place on record that we do have serious reservations which were raised in the committee. The level of public participation that went with this specific repeal was not correctly executed and we are concerned that many of the complaints and concerns were received late. However, we realised that it won’t be up to this particular Fifth Parliament, but we urge the Sixth Parliament to please keep a very close eye so that the department does exactly what they assured us they will do.
We don’t know why this specific repeal took as long as it did, but we hope certainly that going forward, the land claims and
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anything surrounding the land claims will be dealt with swiftly. Once again, we urge that in the Sixth Parliament a very close eye be kept on the promises that were made to the committee. Thank you.
Mr Z R XALISA: Speaker, perhaps the liquidation of Aventura Resorts, the stripping of its assets, and its fringe annexation by private companies, led in the main by foreign resorts, exemplify the tragic story of the retreat of the state from what should be its core function – the restructuring of the economy to ensure it benefits the common good.
That this was done here at the insistence of the democratic state, led by a movement that calls itself a revolutionary and liberation movement, is more tragic. It shows the unmitigated descent of the ANC from a movement of the people to a tool firmly in the hands of capital. Today, the department led by Pravin Gordhan wants to hammer the final legislative nail into a process started in 2001 and cemented by another dubious character, Malusi Gigaba, by repealing the Overvaal Resorts Limited Act, Act 127 of 1993. Overvaal Resorts, later named
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Aventura Resorts, manage at least 14 public resorts, most of them acquired and developed after the dispossession of African people of their land by the colonial and apartheid government. A mere eight years after the enactment of the Act, in 2001, the ANC-led government believed these resorts were unprofitable and sold them off for next to nothing to white companies, eight of them to a single American company, Forever Resorts. They did this with the full knowledge that some of these properties were under land claim, so they sold off Bela- Bela for peanuts and then bought it back to settle a land claim for R1 billion. If it is not craziness, then I don’t what crazy is. Similarly, there were land claims for Blydepoort and Swadini, and these properties are yet to be transferred back to their claimants.
However, in all these instances, these white companies were paid handsome amounts of money to settle the land claims, but they have not been removed from the land. They still operate as if all is normal, and they are only supposed to pay rental amounts to land claimants. This daylight robbery of public resources for private gain has been facilitated by the ANC. Today, Pravin and his people want to continue stripping the
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state of its invaluable assets ... [Interjections.] ... and hand it over to their white masters, as the ANC has done for years.
Mr P D N MALOYI: Speaker, on a point of order: Can the member refer to the hon Pravin as the “honourable” Pravin or “mister”, not just “Pravin”.
The SPEAKER: Hon member, you know that is how we refer to one another. The hon Pravin Gordhan is a member of this House and therefore should be referred to as such. [Interjections.]
Mr Z R XALISA: “Mr Pravin”. Back in 2002, when the ANC was moving at speed to privatise state entities, the late Prof Sampie Terreblanche asked the following: If the state’s role in the economy is to be drastically reduced, who will fundamentally restructure it? Who will counter the power of the commanding heights and other well-organised pressure groups in the private sector? Who will devise and lead a developmental state? Who will see that the poorest half of the population does not remain marginalised, impoverished, and neglected?
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These remain important questions to this day. In a country with a history like ours, why is the ANC handing over its development function to racist, white monopoly capital? The Aventura public resorts have been completely annexed, and this Bill only seeks to cement that process. The EFF cannot endorse the massive looting of state resources that happened. The EFF rejects this Bill. [Interjections.]
Mr N SINGH: Speaker, I would like to welcome the hon Deputy President. It is good to see him in the House. May I also, Speaker, use some of my time to welcome colleagues who are serving on the Municipal Public Accounts Committee of the eThekwini Metropolitan Municipality. They are up in the gallery over there, and they have come to sit in on Scopa and some of the other committees to see exactly how we operate. [Applause.] Hopefully with the experience that they gain from the way in which Scopa operates in the National Parliament, they will be able to get the eThekwini Metropolitan Municipality and good governance on track when they go back.
Having said that, I have in my possession here a document from 2003 where it says, “Radebe” – and it was Minister Radebe at
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that time – “Signing sale agreement for last batch of Aventura resorts”. It is dated 20 June 2003. This is when this sale agreement was signed, and I know the government of the day was waxing lyrical about the empowerment and the opportunities that were being given to previously disadvantaged people to own these resorts. Well, it is 2018 now, 15 years later, and still there is no finality to this particular problem. What does it say? It talks about the lack of co-ordination within government and government departments. It talks to the fact that government has still, in 15 years, been unable to sort out some of the land issues, yet we want to expropriate land without compensation. We couldn’t sort out a simple thing here from 2003 to 2018 to ensure that the communities where these resorts are situated have an opportunity, not only to work at these resorts but to own these resorts.
It is for that reason that liquidation was the only way to go. Liquidate Aventura Resorts, and then that would pave the way forward for the Department of Rural Development and Land Reform, Trade and Industry, and Public Enterprises to give meaningful opportunities to people that live in that area.
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We are aware – I think all of us are aware – of the days before the postapartheid era when many of these resorts were created or built in the so-called TBVC states. Sun City comes to mind. That is Bophuthatswana. Wild Coast comes to mind in the Transkei. I think we were very pleased recently when there was a landmark judgment that gave ownership to people living in the Transkei area. In the northern parts of the Transkei, ownership of the land on which the Wild Coast Casino is situated was given to people living in the area. Those communities are going to benefit tremendously from what was taken away from them illegally by the apartheid government.
I know the hon Cwele will be very happy about that because we come from that area, and it will be good to see our people benefit. We support the repeal of this as a way forward. Thank you very much.
Prof N M KHUBISA: Speaker, we support the repeal of the Act, but we want to register our concern that it has taken long. This was meant to repeal Act 127 of 1993, but the process has been going on and on unabatedly, starting in 2001 and up to
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2007 until liquidation in 2012. Why is the government in power taking so long to action an issue that is as small as this?
It is indicated there were issues with regard to the Deeds Office, the land claims, the resorts, etc. Therefore, the committee has resolved that this committee must work with the Departments of Rural Development and Land Reform and also Public Works. However, we are worried about the fact that issues like these to empower our people – for our people to get land, our people to get resorts, our people to get access to financing, to get access to empowerment – take so long.
We find solace in knowing the department is recommending that the disadvantaged people, those that were disadvantaged and the local communities, should get access to whatever will accrue out of the repeal of the Act. Thus, the NFP will support it. As I said earlier, it must be a lesson that it should not take so long to empower our people.
In the Chief Whips’ Forum, we said that all of the Acts and the Ordinances in the public regime must be repealed so that our people will get access to whatever entity they should get
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access to. Of course, the Joint Constitutional Review Committee has taken a resolution on the land issue. This is one issue that must be attended to. We accept the fact that government has to deal with the noncore assets and sell them so that our people may benefit from the economy of this country. Thank you very much. We support the repeal.
Ms G N NOBANDA: Speaker, we have a really caring Parliament! [Laughter.] The Overvaal Resorts Limited Act, Act 127 of 1993 was enacted to establish Overvaal Resorts Limited as a public company in order to hold and manage public resorts on behalf of government. Cabinet took a decision in 2001 to dispose of Aventura and to sell off all 14 resorts it owned. Difficulties were experiences which prolonged the transfer of some of the resorts. These included unresolved land claims.
After receiving the briefing from the Department of Public Enterprises in May 2018, the committee accepted the Bill in its current form. However, the committee expressed concerns about the unresolved land claims the Department of Labour is negotiating on with the relevant stakeholders. We have requested the Department of Public Enterprises to report back
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to the committee on these matters at least two months after the adoption of the Bill by the National Assembly. The ANC calls on relevant departments to ensure, in their negotiations with the all the parties concerned, that the final settlement must include black economic empowerment that will benefit in particular the current and former employees of the Aventura Resorts. The ANC supports the adoption of the Bill. [Applause.]
Bill accordingly read a second time (Economic Freedom Fighters dissenting).
CONSIDERATION OF REPORT OF STANDING COMMITTEE ON FINANCE ON RATES AND MONETARY AMOUNTS AND AMENDMENT OF REVENUE LAWS BILL [B 37 – 2018]
CONSIDERATION OF REPORT OF STANDING COMMITTEE ON FINANCE ON TAXATION LAWS AMENDMENT BILL [B 38 – 2018]
CONSIDERATION OF REPORT OF STANDING COMMITTEE ON FINANCE ON TAX ADMINISTRATION LAWS AMENDMENT BILL [B 39 - 2018]
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There was no debate.
The CHIEF WHIP OF THE MAJORITY PARTY: Speaker, I move that all these reports be adopted by this House. Thank you very much, Speaker.
Question put: That the Report on Rates and Monetary Amounts and Amendment of Revenue Laws Bill be adopted.
Ms N W A MAZZONE: Speaker, thank you very much. The DA would like to call for an objection on point number 3, as well as for a division.
[Interjections.]
The SPEAKER: Hon Mazzone, you are objecting to the Tax Administration Laws Amendment Bill.
Ms N W A MAZZONE: No, Madam Speaker. We are objecting to the Rates and Monetary Amounts and Amendment of Revenue Laws Bill. Thank you.
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The SPEAKER: Oh, okay. So the DA objects to the report on the Rates and Monetary Amounts and Amendment of Revenue Laws Bill, and calls for a division. A division having been asked for ...
Dr M Q NDLOZI: Speaker? Speaker?
The SPEAKER: Yes, hon Ndlozi?
Dr M Q NDLOZI: We need your guidance. We should have to discuss first ... debate first before it seems to me you put the question. My understanding is that you are combining the Third Order up to the Twelfth Order ... rather to the Eleventh Order.
The SPEAKER: No.
Dr M Q NDLOZI: Sorry, let me see ... up to the Tenth Order. Anyway, Speaker, we can’t just divide the House. There must be a debate because the Sixth Order ... I mean the Seventh Order is your First Reading debate. So we must ... [Inaudible.]
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The SPEAKER: Hon Ndlozi, there will be debates on those. There will be debates on those.
Dr M Q NDLOZI: This is the Rates and Monetary Amounts ... [Inaudible.] ... Mazzone is calling a division on.
The SPEAKER: Hon Ndlozi, please take a seat. [Interjections.] The bells shall be rung for five minutes.
Division demanded.
The House divided.
[Voting take in from minutes]
Mr H P CHAUKE: Speaker, it must be noted that hon Nhleko’s thing is working today.
The SPEAKER: Okay, hon Nhleko’s is okay. At the back?
Ms A T MFULO: Lerato Theko.
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The SPEAKER: Okay, we have noted you. Have all members voted?
HON MEMBERS: Yes!
The SPEAKER: Voting is now closed. Hon members, the voting result is as follows. There were no abstentions. There were
73 noes and 174 ayes. Therefore, this report has been adopted. [Applause.]
Question agreed to.
Report on Rates and Monetary Amounts and Amendment of Revenue Laws Bill accordingly adopted.
Report on Taxation Laws Amendment Bill accordingly adopted.
Report on Tax Administration Laws Amendment Bill accordingly adopted.
Ms M W A MAZZONE: Madam Speaker, would you please be so kind as to note the objection of the DA? Thank you. [Interjections.]
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The SPEAKER: Okay. We’ve just voted because of you. [Interjections.] With regard to the other two items, they are therefore agreed to because it’s only the third issue that the hon Mazzone objected to and made us vote on. I now move us to the Sixth to Eighth Orders. The secretary will read them together.
RATES AND MONETARY AMOUNTS AND AMENDMENT OF REVENUE LAWS BILL
(First Reading Debate)
TAXATION LAWS AMENDMENT BILL
(First Reading Debate)
TAX ADMINISTRATION LAWS AMENDMENT BILL
(Second Reading Debate)
Ms T V TOBIAS: Hon Speaker and Deputy President, the talib and the monetary bills are the important money bills that give effect to our taxable administration in South Africa. We as
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the ANC this has reluctantly accepted our tax laws because we believe any taxes hon deputy president is regressive. However, we have also taken into consideration that the Debris Committee has made recommendations to the standing committee on finance to start taking into account a need for the wealth tax in South Africa.
So, perhaps at a later stage hon members, we will consider imposing a wealth tax to be able to raise revenue in our country. But, in the current conjuncture, given the financial situation in the globe and the fact that we are in technical recession we had to take into account our tax system as it sends. Therefore, we as the committee had to look at issues that were raised during our discussions. We also had a panel that had to specifically look at value added tax and see whether we can increase, which I’ll talk about at a later stage.
Part of the report which hon Ntantiso will speak to today, relates to the issues of for instance the venture capital market. What we have established in the venture capital markets is that we have a situation where people want to
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double deep and avoid taxation, where people will actually want yield benefits at an earlier stage to avoid access duties. Therefore, we said that any venture capital company that wants to establish different classes of shares will have to adhere to the rules and policies that have been established by the SA Revenue Services.
We said that we will give a window of opportunities for them to declare their benefits up until April 2019. Any venture capital company that will be established from the 1 April 2019, will have to adhere to the set principles. We have also taken into account that people have been declaring their doubtful debts as a benefit from the state. This is being done by tax practitioners who actually write off debt that can still be collected. They write it off because there’s an incentive that is beneficial from people as they do so. We said no, it’s not going to happen again. We’ll have to look whether any doubtful debt is indeed classified as doubtful debt, if not, people will have to make presentations to SARS.
As we continue hon members, we’re also taking into consideration that in South Africa there’s an element of
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transfer pricing, where companies trade amongst themselves, sell goods and products and avoid taxation. As part of our intervention we’re saying SARS will ensure that there is no internal trading between one and the same companies that has different names but doing internal trading. We’re also taking into consideration that we still have elicit financial flaws. Therefore, we have taken action in establishing a committee that will look into this matter.
As I proceed hon Speaker, we need to come to the reality of the elephant in the room. The elephant in the room is that value added tax, the 1% VAT increase.
Sesotho:
Mona hee ke batla ho bua le Basotho ba rona ke re ho lona, setjhaba sa heso, re maswabi ho le tsibisa jwalo ka mokgatlo wa African National Congress hore re eketsa lekgetho ka persente e le ngwe. Lebaka e le hore ekonomi ya rona ha e ka ba ya sebetsa hantle selemong sena ebile ha re a kgona ho fumana lekgetho le ka etsang hore re be le bokgoni ba hore re ka le ekeletsa tjhelete jwalo ka tlwaelo. Empa hee hona le tsela e re tlo etsang hore boima bona le se ke la bo utlwa.
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Engwe ya ntho tse re tlo di etsa selemong sena ke ho etsa hore dikolo tsa ronatse fumanehileng, di fumana ditshebeletso tse ba tshwanetseng ho di fumana, o thusa bana ho fumana di dijo, ebile re tla etsa bonnete ba hore le transporoto ya bana ba sekolo e ya fumaneha ebile ha re eketsa jwalo ka bomme re re halala ha e le mona re tla fumana di pads tsa mahala halala.
Selemong sena dikolo tsa rona di tla fumana di pads tsa mahala ebile lekgetho ha le no lefuwa ha o reka di pads.
English:
Hon members we have zero rated sanitary pads and all fee free schools will get sanitary pads for free. We salute the ANC government for adhering to this plea by the ANC Women’s League. As we proceed hon members, we have said that they also need to be a targeted expenditure to cushion the effect of the value added tax increase of 1%. One of the targeted approaches is for the National Treasury to relook at the entire list of the zero rated items.
Secondly, we said that for instance the Early Childhood Development (ECD) programmes should be given more when we go to the next fiscal year. We also indicated that wheat flour
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will also be fortified as per the recommendations of the Department of the Environmental Affairs because the fact of the matter is that South Africans prefer to eat white bread as opposed to brown bread. Therefore white flour will be fortified and it will be zero rated. However, we have loaded engagements on the issue of poultry, where the poultry industry told us to reconsider zero rating full body chicken. We have also noted the fact that South Africans consume other body parts of chicken that also have nutritious value, like your chicken feet that does have collagen. Therefore we’ll take into consideration as we move forward not in this current financial year but in the next financial year as to whether there is a need to do this, but we have also said because of Vat’s regressive nature, after the NPF budget cycle it will have to be reviewed.
Sesotho:
Ka hoo hee, ka mora dilemo tse tharo tsa lekgetho lena, Department ya National Treasury e tla dula fasthe e seka seke hore na ho ntse ho hlokahala hore re tswelle pele ka…
English 14:43: … this 1% increase. In short is that after Medium-term Expenditure Framework (MTF) budget cycle hon
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members, the VAT increase will be reviewed. Therefore it’s not doom and gloom as some will come to the podium today and try to project this government this government as if it’s not a caring government. The ANC let government is a caring government.
As I conclude hon members, these are the reasons why had to implement this. In the current fiscal year, we experienced a
20 billion revenue shortfall. And I repeat, in the current conjuncture, we experienced a 20 billion budget shortfall given different factors.
The economy did not perform well, manufacturing sector in particular, the agricultural sector in terms of our exports did not perform well. We have also accepted as the ANC that corruption has played a role hence the State Capture Commission to make sure that we hold people accountable.
Another reason is that there has been withholding of 27 billion of VAT refunds by SARS based on challenges of governance and leadership. We as the ANC say that this will not happen again. We will not allow people who are supposed to take responsibility not to refund South African citizens.
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Therefore the 27 billion VAT refunds will be refunded back to the South African citizens. But, as we conclude, we should also indicate to ourselves that 48% of companies that are supposed to pay company taxes are not doing so. On those basis hon Deputy President we’ve got a shortfall, we’re under collecting because they are avoiding paying tax. Therefore we’re going to be very intrusive in our laws to make sure that companies indeed do pay tax. We believe that we need to understand the concept of tax morality.
We need to make sure that all South African citizens do understand the importance of contributing to the fiscas because this money is meant for the poor. As long as businesses do not come to board we will have a challenge. Those are the reasons hon members, other than other reasons that made us come here today. We want to create an impression that the increase was not supposed to happen. It is because of those reasons I repeat: 48% of companies not contributing to the fiscals, the 20 billion shortfall and the 27 billion that needs t be refunded in taxes that has put us in this situation. So, therefore hon members I beg for you indulgence and make you to please understand that we’re in a predicament
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that we can sort out and indeed the ANC promises to review this. I thank you for your attention.
Mr D J MAYNIER: Speaker, we all know that the governing party supports fraternal parties who deal with deviation from the party line using a combination of the midnight knock on the door and the Gulag.
We cannot help noticing that the new Finance Minister was not present to debate the revised fiscal framework; was not present to take questions during question time; was not present for the debate on the division of revenue and is now not present to debate the tax bills in this Parliament.
We wonder whether we shouldn’t be concerned because the new Finance Minister seems to have disappeared after his deviation from the party line calling for the shutdown of South African Airways, SAA. [Interjection.]
Dr N Ndlozi: On a point of order, Speaker: ask hon Maynier to raise his head and amend the statement he just made because it will be deliberately misleading the people of South Africa.
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Mr D J MAYNIER: I’m indebted to the member; I see that the hon member has finally wandered into Parliament. [Interjections.] [Applause.]
We are not surprised that the Minister disappeared from Parliament because we still do not have any answers about the new Minister of Finance’s midnight meltdown on Twitter. The real question remains, whether the new Finance Minister, who has a reputation for consuming vast quantities of good food, good wine and good cigars, was sozzled when he took to Twitter?
The Minister’s midnight meltdown was so serious that it culminated in a sit down with the South African National Editors Forum, SANEF.
Speaker, the new Finance Minister comes across as a sophisticated version of Donald Trump; posting the first thing that comes to mind on Twitter. The Minister has done it again and appears to have liked a tweet by Black First Land First’s storm tripper, Lindsay Maasdorp. The Tweet takes a swipe at
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his Cabinet colleague, Pravin Gordhan, and was posted ahead of his appearance before the Zondo Commission.
What compounds the embarrassment is that National Treasury is desperately trying to save the Minister from himself by claiming that his account was hacked, which seems unlikely given the Minister’s track record on Twitter.
Speaker, we are here today to debate an increase in Value Added Tax, VAT, from 14% to 15%. President Cyril Ramaphosa needed the money to pay for a bloated Cabinet, to bail out the SA Post Office, to bail out SA Express and to bail out SA Airways. Which means that the poor will are effectively bailing out the ANC who have mismanaged this economy for the past decade; and that is why people who are battling to make ends meet and who are battling to put bread on the table are worse off.
Today, the ANC, who claim to represent the poor, will vote “yes” to support an increase in VAT which will make life harder for the poor. Worse, the SACP, who claim to represent the poor, will vote “yes” to support an increase in VAT which
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will make life harder for the poor. That is why we must fight those who fight the poor and that is why the DA will vote “no” and oppose an increase in VAT in South Africa. [Applause.]
Speaker, in closing, we can only hope that the Minister apologises and is open and honest about the reasons for his midnight meltdown; and that he gets a grip and starts acting like a Finance Minister who is actually capable of dealing with the economic crisis in South Africa. I thank you. [Applause.]
Dr M Q NDLOZI: Speaker, it is really a shameful and a sad day that when the ANC has mismanaged the economy, has looted, wasted and mismanaged public funds, it is the workers, the poor, the students and the unemployed who have to suffer a VAT hike.
It is a one percent point increase; but the real increase that is often hidden behind the one percent point is an actual increase in 6,5%; that is the real price the poor people are paying. The VAT increase is already having a serious impact on
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the price of food, transport, education, housing and the overall standard of living.
When the actual price of food decreased by nine rands, because of the VAT the gains were lost and as a result, the net increase was over four rands. Companies who are well- capitalised making profits, enough profits to go on an investment strike by holding billions in cash are allowed to claim VAT; but people who face similar expenditures are not allowed to claim VAT.
We reject VAT increase and we will continue to challenge it.
Not only do companies enjoy VAT claims, in addition to all incentives that only increase their prices, but their contribution to overall taxes also continues to decrease because of the lower corporate income tax rate, aggressive tax avoidance and other illegal tax activities.
The idea that more revenue will flow from investment, economic growth and job creation is the clearest demonstration of the ANC naivety and lack of proper understanding of the scale of
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budget shortfalls. Here we are not talking about the
R54 billion that we are told that the South African Revenue Services, SARS, failed to collect; we are talking about the actual budget shortfalls if you are to deliver proper roads, houses, water, infrastructure and schools to eradicate poverty in South Africa.
A good example is the housing backlog; with more than
2,2 million in the national housing needs register. An average cost of RDP house being R160 000; it means that we need more than R370 billion, yet the Department of Human Settlements’ budget is only R34 billion.
The same with roads infrastructure; we need no less than R375,4 billion to resurface and strengthen gravel; an expansion backlog yet the department’s actual budget is only R59 billion.
If we continue to rely on taxation, especially taxing the workers, the poor and the unemployed, South Africa is never in a position to eradicate poverty. The only way to eradicate poverty is through reform of monetary policy, but in the
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immediate, the government must establish a sovereign wealth fund and also leverage on the Public Investment Corporation, PIC, assets, strategically to inject cash into protected infant industries; create a state-owned bank to leverage on the economy of scale to make it cheaper for government to transact.
It is only then, that we can start building sustainable revenue streams and work towards the creation of a much more equal and stable society.
So, we are here to unequivocally reject the Value Added tax that has increased to affect the poor of our people. Thank you very much. [Applause.]
Mr M HLENGWA: Hon Speaker, at the outset, the IFP welcomes the amendment brought forward to the Bill and the rigorous process in which many submissions were made to strengthen the gist of the Bill. However, what remains of grave concern is the harsh, almost draconian penalty regime that will affect thousands of South Africans across the board.
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We are well aware of Sars’ unsuccessful revenue collection management in the past, yet ordinary South Africans’ pockets are being punished for the corrupt who continues to collude with industries to avoid paying their share.
The IFP is not here to preach tax avoidance, but if the taxman cannot manage their internal affairs in a manner that inspires confidence in the institution, then we certainly cannot stand here and vote for a Bill that seeks to make life harder for South Africans.
Let us not forget that the VAT increases were brought upon us by the ANC earlier this year to make up for the shortfall, because many of their members who are compromised could not stop themselves from enjoying the public purse.
The growth of the economy came to a grinding hold; the tax base shrank; unemployment skyrocketed and Sars began to crumble; debt service costs stand at R180 billion a year; and state-owned companies are the perennial bane of the fiscus.
Our climb-out of the unfavourable credit ratings and the technical recession is at a snail’s pace.
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Government spending, in the face of competing priorities and grave challenges, has not focussed on the national needs, but has rather been an egotistic and luxurious splurge on one’s. An already stretched tax base is compounded by wasteful, fruitless and irregular expenditure, which have become a norm and which go by unpunished. Expansions and deviations of tenders have become a norm to bypass competitive bidding processes and undermine SCM policies, also without consequences. Simply put, all is not well in South Africa.
An already overstretched tax base now has to deal with South African Airways, SAA, which is a problem child and which has become an unsustainable vanity project. The taxpayer can no longer be expected to bare the brutal brunt of the endless bailouts being extended to SAA.
It is therefore high time to bite the bullet and begin the process of selling off SAA. The current funding model is not working and the economy does not have deep enough pockets to continue with the junket expenditure on SAA.
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All these tax increases are actually brought to us by the ANC. Petrol increases are brought to us by the ANC. Vat increases are brought to us by the ANC. E-tolls are brought to us by the ANC. Bailouts are brought to us by the ANC. Corruption is brought to us by the ANC. It is the taxpayer who is expected to foot the bill for the shortcomings of the ANC.
The zero-rated items are not pro-poor. Whilst we welcome some of the steps that have been taken, including, but not limited to sanitary towels, the list simply does not respond to the collective needs and aspirations of the poor.
Let me, at this point, thank hon Van der Merwe who long before the ANC woke up, lobbied in this House to ensure that sanitary towels are made available to people who need them. [Interjections.]
In 2016, the IFP committed itself in the local government elections to make sure that all our municipalities make provisions and we have walked that talk. We welcome the fact that the ANC finally woke up and actually seeing this as a need.
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Sars, once a reputable organisation, is a shadow of its former self, on the one hand, and on the other hand, fails to collect enough revenue. It is also plagued by scandals. The restoration of the institutional credibility of this institution is therefore a matter of urgency.
The unforgivable implementation of the regressive VAT increase, under the cheap guise that it is in the interest of the poor, whereas it does the opposite, is the truest indication yet that all is not well in South Africa.
The IFP therefore expects that VAT must be lowered back to 14% and that other cost-cutting measures must instead be effected. None of these measures are pro-poor. The ANC has failed us. I thank you.
Mr A M SHAIK EMAM: Hon Speaker, the NFP notes the opposition to the VAT increase of 1% and the impact it will have on particularly poor households. The NFP welcomes the zero-rating on some products, particularly on bread, cake flour and sanitary pads. However, we are hopeful that the provision of sanitary pads will be extended to tertiary institutions as
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well, because many of our learners in tertiary institutions have an equally serious problem with access to sanitary pads. The Minister of Higher Education is here.
One percent does affect our people, particularly the manner in which we have done it. Whilst we are zero-rating certain products, it is going to benefit many people who are already privileged. So, maybe, at some stage, we need to look at a model that would benefit the underprivileged rather than equally benefitting the privileged. For me, that seems to be a bit of a problem.
The other issue is the illicit financial flows coupled with another problem and that problem is that there are offshore companies that conduct their business in South Africa. They set up these companies, show profits in the offshore countries and show losses in South Africa so that they can evade VAT. That seems to be rife, particularly in the agricultural field where they are importing maize and wheat, showing losses in South Africa and profits in their countries internationally.
That seems to be a problem. So, we believe that matter needs to attention.
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At some stage, we have established that South Africa loses billions of rands and it is estimated up to about R200 billion a year, either through fraud, corruption, maladministration or more importantly, not getting value for money. If you listen to the words of Chief Justice Mogweng Mogweng, you notice that it is an accepted fact that when you do business with the state, the state is seen as a cash cow. So, the prices are three and fourfold. People believe that when we do business with the state, we can actually enrich ourselves.
There appears to be a perception that the rich eat differently to the poor. I don’t know where that comes from. The poor equally eat what the rich eat. They eat the same. We seem to be moving in a direction that certain items like bread and cake flour ... Who said that a poor person does not feel like eating prawns sometimes. They do and why should they be deprived of that? Why should the rich enjoy a five-course meal in a beautiful restaurant and the poor should suffer? Clearly, there needs to be some balance.
Poultry is the other issue. We know that the poor households seem to basically use poultry as their basic diet because of
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the cost. So, we also believe that, at some stage, we need to zero-rate items like poultry, but on the basis that it be directed to the poor households, so that those people that have do not benefits from it. We must take from the haves and give to the have-nots.
So, those are the challenges that we face and if we could address that, together with the R200 billion estimated that we lose, we want to welcome the fact that you are going to review the VAT.
Mr N L S KWANKWA: Hon Speaker, we reject this thing with the contempt it deserves.
IsiXhosa:
Linye, siza kunixelela inyaniso emsulwa sithi, nisenza oonothetha, iicawa zakwaKhulile eMnqaba. Le nto sayithetha ngowama-2015...
English:
... this thing of zero-rating and increasing the list of items that needs to be zero-rated.
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IsiXhosa:
Le ANC yenu itya imali, ithathe imali iyigibisele kumashishini karhulumente, ize ithi yakuba iyityile inxalenye yale mali, iyithathe igaye ngayo ivoti; nenze unothanda nayo yonke into. Nithi nisakugqiba, xa kushota kwingxowa-mali karhulumente (fiscal) niyithathe kubantu abahluphekileyo.
English:
Now you balance this budget on the backs of the poor because...
IsiXhosa:
...into eniyenzayo noyika ukuhlawulisa irhafu oongxowa-nkulu anifuni kubachukumisa, nifuna ukuchukumisa iimali zamaxhegwazana nabantu abahluphekayo elokishini...
English:
...and you expect us to celebrate these ameliorations where you decide to say, ok we are going to tweak here, expand the list of zero-rated items. That is unadulterated clap trap, because if...
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IsiXhosa:
... nina kuqala benenze le nto sasithe yenzeni ngaphambili, yokuba nilawule kakuhle abantu, kube nemiphumela kwaba bantu bamosha ooSAA nooSA Express. Unyanisile lo mntu ebethetha ngaphambili xa esithi, zonke ezi mali onyulwa ngazo la mashishini karhulumente zisuka kubantu abahluphekayo...
English:
...because, the fact of the matter is, if you were to look at the statute to corporate tax rate and compare it with the effective corporate income tax rate, companies are actually getting away with murder. They are not contributing enough to the fiscals.
The second question is that, we should be ashamed of ourselves if we look at Corporate Income Tax, CIT and their contribution to the fiscals and compare it with Value Added Tax...
IsiXhosa:
... ubone ukuba kakade isuka kuthi thina bahluphekileyo, bona bahleli phaya, banemali yokuthenga izinto zekhefu, baphinde bathenge nani baqhube nokugaya ivoti.
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English:
The other issue which we must talk about, whether you like it or not is that, it was this UDM in 2015 when it was unfashionable to do so, that raised it in the Standing Committee on Finance, the need to increase the number of zero- rated items. I sighted an example on behalf of the UDM of an instance where in one of the ancient countries, they even decided to zero-rate bicycles as a mode of transport for the poor.
We were not saying, increase the list in order to increase Vat, no, we were saying, increase the list in order to ensure that you expand in tax matters for the poor. The fact of the matter is, unless...
IsiXhosa:
... nina nifunda ukwenza izinto ngendlela, asizukukwazi ukunixhasa apha. Mayicace gca okwekati emhlope ibaleka ehlungwini ukuba, le UDM ivotelwe ngabantu, imela abantu abangathathi ntweni, ayingekhe ikwazi ukunixhasa xa nibalahlekisa, nithatha imali kubo behluphekile ukuze nikwazi ukuzisa iinkonzo kubantu abafumileyo. Yiyani koosomashishini.
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English:
We have said world tax must be introduced, we have said; consider this issue that the Corporate Income Tax rate is low, in fact, if you consider a study which was done in America...
IsiXhosa:
... thina apha sidlala upuca kulama-28 ekhulwini
English:
...the effective rate is 19%...
IsiXhosa:
...sithi aba baxhase le ngxowa-mali karhulumente, bahleli phi bona? Amasela. Enkosi kakhulu.
Adv A D ALBERTS: Honourable Chair, tax income is the life blood of government. When that life blood becomes infected or there is a significant loss to it, then the question arises whether the country can survive.
In SA we have reached a dangerous impasse regarding the viability of tax collection. As such, this House can pass all
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taxation laws as it wishes but it will have no real effect on actual collection taking place.
Afrikaans:
Die feit is die belastinglas op Suid-Afrikaners het die Laffer-kurwe verbygesteek. Dit wil sê ons land se belastingbetalers is nie meer bereid om belasting te betaal nie, en is daarom gedurig opsoek na maniere om belasting op wettige wyse te vermy.
Wat met die Gautengse e-tolstelsel gebeur het, gebeur nou ook op nasionale vlak.
English:
So we have come to a point where the country’s tax base is shrinking due to tax avoidance measures, but also due to a shrinking economy. The salient reasons for this can be set out as follows amongst others: Firstly, service delivery is in a debt spiral. Why pay taxes when it is not used as planned?
Furthermore, government is used as an employment agency outstripping employment uptake in the private sector and is actively trying to compete with the private sector. Why pay
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when government is overpays redundant employees while competing in the market and destroying jobs?
Afrikaans:
Derdens, en dit is belangrik dat ons ook hierdie in ag neem, dit is ons plig om die regering te waarsku oor die effek wat die Transnet pensioenfonds-hofsaak op die land sal hê in die toekoms indien daar nie spoedig geskik word met die pensioenarisse nie. Die eis beloop nou oor die R100 miljard, en wanneer die hof in die guns van die pensioenarisse beslis, sal Transnet onmiddellik afgegradeer word tot rommelstatus, met ’n gevolglike domino-effek op ander staatsentiteite en uiteindelik ook die staat wat rommelstatus sal sien. Suid- Afrika sal ekonomies vernietig word deur daardie hofsaak.
Deur die saak nie nou op ’n billike basis te skik nie, sal die regering ons finaal oor die finansiële afgrond stoot. Daarna sal geen belastingbasis meer bestaan as reddingsboei nie.
Daarom vra ons u die volgende: Skik nou, en skik billik met die pensioenarisse.
English:
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And then ultimately the last point, poor policies premised on outdated mark system can just currently destroy the economy, jobs and thus also the tax space. Expropriation without compensation is nuclear bomb triggered in phases that will finally destroy our economy. It will take everything away from us.
Capital outflow from SA is currently on par with the records during the 1980s when sanctions were imposed on the then apartheid government. This in fact means that the ANC obediently following its new master the EFF has inflicted its own sanctions on the country and its people scoring an own goal.
This happens at a time when Cuba is changing its constitution to acknowledge private property. This government is trying its best to destroy private property in contrast; as a result we will see the tax base wither away over time and so also unfortunately social cohesion which will be detrimental of course to the country and its people as a whole.
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It is the ANC’s choice whether you start implementing evidenced-based policies that work or follow your newly adopted commander in thief to oblivion. I thank you
Ms D CARTER: Speaker, the most disappointing need to increase the VAT rate and the resultant amendment proposed by the Standing Committee on Finance that the Minister must review the VAT increase following an evaluation of its impact on revenue collection and the poor by the end of June 2021, does not cut the Gordian knot.
The VAT increase and the committee’s reaction, do not get us near to ground zero, neither does it address the underlying problem. The VAT increase merely addresses the symptoms by plastering over cracks, whilst the committee’s reaction is to prescribe a feel-good Panado, looking-like placebo.
Speaker, as we’ve put it last week: Rearranging the deck chairs did not stop the Titanic from sinking. The Medium-Term Budget Policy Statement proves this point, hence we continue to bleed. Our condition continues to deteriorate economically,
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fiscally, socially and governmentally. The ruling party continues to sabotage our economic prospects.
It has piloted us into a stall, a low growth trap, and has now placed a bomb on board in the form of its intention to force land expropriation without compensation, using populist majoritarian politics in a Constitutional democracy. I want to ask the question: Who paid for expropriation with compensation; was it the government? No, it wasn’t, it was the taxpayers.
Widening holes appear in our revenue projections and in our revenue collection ability; our purse continues to be looted; we face the prospects of a debt trap and the need of an International Monetary Fund, IMF, bail-out. Let me share something with you, South Africans: Two years ago, an interest per second amounted to R3 245.
Currently, two years later, we’re talking about an interest which is R5 301 per second in our debt. National debt equals to R53 000 per citizen based on 55 million South Africans; even your babies has got R53 000 debt. We are sitting with
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debt Gross Domestic Product, GDP, of 55%. Let’s look on what happened to countries like Greece when they reached 39%.
Widening holes appear in our revenue projections and in our revenue collection ability; our purse continues to be looted; we face the prospects of a debt trap and the need of an IMF bail-out, as I’ve just stated. The ability of our state to deliver efficiently and effectively has been impaired and the corrupt continues to fight back.
Government’s Wage Bill continues to balloon and become increasingly more unsustainable. The extent of the rot and financial crisis amongst our State Owned Enterprises, SOEs, becomes clearer and direr with each passing day. We can’t even keep the lights on and the crisis in our provincial and local governments, the coal face of service delivery, particularly to the poor and indigent, continues to deteriorate.
Speaker, it is the poor that suffer the most from an increase in VAT. The biggest euphemism used in South Africa this year, is the standing committee’s use of the phrase that they, “reluctantly accept the VAT increase.” It doesn’t cut the
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Gordian knot; it doesn’t get us close to ground zero and it doesn’t address the underlying problem. We need investment; we need economic growth; we need job creation, and the only thing that is standing on the way is the ruling party, the ANC. Thank you. [Applause.]
Mr S N SWART: Speaker and Deputy President, the main issue to be considered today is tax and the vigorous opposition of almost all stakeholders to the 1% VAT increase and the ACDP shares the concerns that have been expressed. However, one need to take a step back and consider how the country landed up in this situation of reduced revenue collection, resulting in this unpopular decision and indeed, in an erosion of tax compliance in the nation.
What we do know from extensive evidence heard at both the Zondo and Nugent Commission of Inquiry is the impact that the state capture has had on the SA Revenue Services, Sars.
Yesterday, Minister Gordhan testified at the Zondo Commission that former President Zuma had insisted on appointing Mr Moyane who had little or no tax experience.
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We know about the troubled relationship between Mr Gordhan and Mr Moyane. We also know that one of the few, if not the only purported prosecution in terms of the Public Finance Management Act was of Mr Gordhan, after a complaint was laid by Mr Moyane. This was clearly part of state capture and the attempts to capture National Treasury, and was also dealt with earlier today by Mr Gordhan at the Zondo Commission.
Judge Nugent in his first Interim Report on Sars indicates the dismal picture of Sars.
Sars reeks of intrigue, fear, distrust and suspicion. The trajectory of modernisation that had been in the making for a decade was summarily stopped when the current commissioner, Mr Moyane, took office in on 27 September 2014, and the systems are degenerating as technology advances. In exasperation, many skilled professionals left. Measures to counter criminality have been compromised, and those who trade illicitly in commodities, like tobacco, cooperate with little restraint.
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I am sure that you would agree with me that this is a disgraceful situation and we as the MPs; have to accept responsibility as well, in our oversight function. What we’ve seen as the result is that, undercollections has risen dramatically, from 7,4 billion in 2014, when it was one of the first years that we had undercollection of tax, coincidently when Mr Moyane was appointed, to a staggering R49 billion in the last financial year of 2017-18.
This is projected to continue over the next three years with shortfalls of R27,4 billion; R24,7 billion and R33 billion respectively in the outgoing years. This of course brings us to the VAT increase. As a result of Standard Income Tax on Employees, SITE, Sars is not collecting sufficient tax.
Therefore, we now have to increase tax and VAT.
The report on the Taxation Laws Amendment Bill says that the committee recommended that the VAT increase has to be “reluctantly accepted.” While the ACDP welcomes the increase in zero rated items, we cannot agree to a VAT increase, given what has happened at Sars over the years, and how the Majority party has allowed that to happen.
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Why must the poorest of the poor suffer as a result of this, which allowed Sars to be rendered inefficient? It is not sufficient to say that the increase must be reviewed at the end of three years. Political responsibility must be accepted now. I would like to hear members accepting responsibility in allowing Sars to degenerate in the evidence we are hearing at the Zondo Commission. The wanton deterioration at Sars, the nation is reaping the reward now. The ACDP will not support this report. I thank you.
Ms G S A NGWENYA: Speaker, to quote Ronald Reagan, “government’s view of the economy could be summed up in a few short phrases: if it moves, tax it. If it keeps moving, regulate it. And if it stops moving, subsidise it.”
It is no surprising then, that South Africa’s economy is no longer moving. We’re being squeezed from the top and from the bottom. High top rates of personal income taxes are squeezing the middle class who often are doubly taxed because they cannot rely on public education; they cannot rely on public transport; they cannot rely on public healthcare and they cannot rely on public security.
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In other words, there is a significant portion of South African taxpayers cannot rely on their taxes being used to deliver quality and reliable services. So what do they do? They repurchase the same services already paid for in taxes from the private sector.
Unfortunately, in this country, the poor face an even grimmer prospect. For them, a lack of disposable income condemns them to public services. They have to take what they get, which is often very little. But even the poor are squeezed by government’s insatiable fiscal hole. Blade Nzimande, part of the very same Cabinet, but moonlighting as the General- Secretary of the SA Communist Party opined quite recently that, “the poor do not live on pap and bread alone.”
He’s quite right. No matter which items have been added to the zero-rated list, we cannot adequately cater for the effect that the increased VAT hike, as well as in combination with the rise in fuel prices will have on the poor and the economy more broadly. There has of course been as kindly expected, the usual pomp and pageantry of panels, experts and consultants, but all to come at the predetermined outcome, which is that,
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hard working South Africans and business owners must bail out government incompetence.
The President, earlier this year, had the gall; and I mean the gall, to request retailers and food producers to “hold back and not increase prices of foodstuffs and basic products that people use.” I suppose, from their palatial ministerial homes, who knows what this government understands of how the real economy works. To them, businesses run on simply goodwill alone. It is goodwill that pays wages, not this nonsense of prices above costs.
Borrowing from Marie Antoinette, the ANC have decided to ‘let the poor eat cake.’ South Africans are expected to be relieved to know that the economy is not growing, but they will at least be able to bake, having added cake flour to the list of zero rated items. What about rising petrol prices? I hear you ask. The ANC might assume that they have certainly proved themselves callous enough, that there being no jobs, the poor therefore have nowhere to go.
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That is the future we have been condemned to; a country at a standstill, its people going nowhere slowly. Thuma mina [send me], was the clarion call of the new President. As the party of individual agency, usually, we would welcome a message that says send me, but not from a lazy government. Send each other. Wherever it is that we are going or wherever it is that we are being asked by government to go, we have neither the petrol money nor the economic drivers to get us there. [Applause.]
Ms N ABRAHAM-NTANTISO: Hon Speaker, hon Deputy President, the standing committee’s extensive consultations on the Bills at hand; are a sign that the ANC continues to be the people’s government. As King Solomon warns in proverbs 31 verse 9:
“Open thy mouth, be the voice of the voiceless and plead the cause of the poor and needy”
The topic of taxation will always be high on the agenda of tax payers of all times regardless of where they find themselves in the economic cycle. Yet, with the past few years of below par growth and the need for government to raise additional
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revenues, greater interest has been taken in tax policy and the change is required to meet those revenues requirements.
The Taxation Laws Amendment Bill and the Tax Administration Amendment Bill, include the legislative amendments for the more complex tax proposals that we announced in the 2018 budget review. Some of the more significant proposed legislative amendments include the rules dealing with the conversion of debt into equity as well as the anti-dividend stripping provisions.
These measures assist in creating an overall tax regime for South Africa that continues to be internationally competitive and consistent, while ensuring that tax receipts are not undermined and that the tax burden is fairly distributed. As the governing party, we thank and appreciate all South African citizens for their support and co-operation as they continue to meet their tax obligations - against all odds.
Due to the constitutional requirements related to the definition of a Money Bill, the draft tax amendments are split into two separate Bills; namely the Money Bill and an ordinary
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Bill as required in terms of section 77 and 75. The Bills have been revised taking into account public comments by the Standing Committee and Select Committee on Finance in the NCOP before being introduced here.
Taxation is at the very core of democracy.
IsiXhosa:
Ngumtshato phakathi kwabantu norhulumente wabo. Bona ngokuhlawula irhafu bancedisa ukuba kuziswe iinkonzo ebantwini. Urhulumente kufuneka awenze lo msebenzi ngendlela apha ephucukileyo aze athathe uxanduva lokuphatha imali yabantu ngendlela efanelekileyo nexolisayo eluntwini ukuze kuphuhle ubomi babo.
Sifumanise ukuba kubekho ukungaxoli ebantwini ngokunyuswa kwerhafu ntengo, iVat. Ngenxa yokubona imeko yezemali kwilizwe, nathi siye sanyanzeleka ukuba sivume nangona besimadol’anzima kuba thina sithi, bathi abantu. Siye sachulumanca ukufumanisa ukuba uMphathiswa uye wachonga iincutshe ezithe zaqwalasela izinto ezisetyenziswa kakhulu ngabantu abangathathintweni ukuze zisinde kwirhafu ntengo.
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English:
Hon Tobias has spoken to those.
IsiXhosa:
I-ANC inomthwalo ngentlupheko nangentswelo-misebenzi kumakhaya ethu. Ukwazile ke urhulumente ukuba ayibhaqe le ngxaki ngomnwe we-NDP. I-NDP iyaqinisekisa ukuba abantu bafumana imisebenzi babe nengeniso. Simqhwabela izandla uMongameli wethu ngokuthi akhuthaze ukudalwa kwemisebenzi nokukhuliswa koqeqesho ngotyalo-mali.
English:
We more than ever call on government to ensure that more revenue is secured through considerably strengthening SATS capacity to raise more, drastically reducing wasteful expenditure in government, ensuring the quality of expenditure and more effectively tackling the illicit financial flows out of the country and the economy. Much more also needs to be done to reprioritise and to stop the funding of ineffective and under performing programmes. The stimulus package of 400 billion reprioritised for infrastructure spent is much appreciated.
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In its December conference, the ANC resolved that the government must urgently crack down on tax avoidance and illicit capital outflows. In order to ensure that non-bank tax payers also have the ability to obtain a tax deduction for a third category of doubtful debts that is broadly comparable to amounts that are in default for banks under section 11, changes have been made in the 2018 TLAB.
The second issue relates to the TLAB amendments aimed at closing abusive tax structures using the Venture Capital Company regime. One of the main challenges to the growth of small and medium sized businesses and junior mining exploration is access to equity finance. To assist these sectors in terms of equity finance, the government has implemented a tax incentive for investors in these enterprises through a VCC regime. A number of amendments have been made applying to a VCC or a qualifying company. It is important also to reiterate that the policy rationale for a VCC regime is for investors to collectively channel funds into SMMEs and junior mining companies.
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The TLAB also contains amendments to the Mineral and Petroleum Resources Royalty Act, 2008. This is essential for our people as the amendments seek to remove confusion and provide clarity to both tax payers and SARS regarding the meaning of the tax base for the purpose of calculating the royalty. We continue to fight for the rights of citizens and enact laws that protect their interests.
The tax systems we have developed as well as the world class administration we have in South Africa are important contributors to our developmental agenda. Let us always remember always members, where we are as the economy is not our destination. The future is definitely not capitalism. I thank you, hon Speaker. [Applause.]
Mr R A LEES: Speaker, the South African economy is in such a mess as a result of a decade of ANC mismanagement that the ANC are now taxing the poor in order to fund their big black fiscal hole. By increasing VAT to 15% the ANC are using poor South Africans to bail out the ANC economic mismanagement.
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One of the main ways that Jacob Zuma’s good friend Tom Moyane apparently manipulated revenue figures was to withhold VAT refunds. This was done by using and abusing the time periods given to SARS to do verifications and audits. It was clear from the flood of complaints from taxpayers that the economy was being negatively affected by the non-payment of VAT refunds to businesses, especially small businesses. This led to some businesses shutting down with people losing their jobs.
In order to ensure that a similar campaign does not recur, it is vital that the Nugent Commission determine whether or not the VAT refund delays were deliberate manipulation or were simply inappropriate application of tax law provisions. There can be no question that the refund delays must never be allowed to happen again and if needed, the Tax Laws must be amended to prevent it.
I am fascinated by the indignation with which hon Tobias refers to tax refund delays. Where was she and her ANC colleagues when the DA raised this issue three years ago? [Interjections.] They simply dismissed it. The increase in VAT
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to 15% was budgeted to raise additional revenue of R23 billion in the current tax year. However, in practice, it will raise no additional revenue as R20 billion will be used to clear the VAT backlog and another R2,7 billion will go towards extra zero rating and free sanitary pads.
There was universal condemnation of the increase of VAT and much bluster from the ANC themselves opposing themselves. This included repeated reservations about the VAT increase expressed by the Chair of the Standing Committee on Finance, hon Yunus Carrim. But as time passed the bluster subsided and the ANC spin took over. First, a commission of enquiry that came up with weak recommendations that were either not implementable, such as zero-rating school uniforms, or were of marginal benefit to the poor. Then the ANC decided that white bread flour, cake flour and sanitary pads would be zero rated.
Finally, a vague decision that frees sanitary pads would be provided at fee free schools - who knows when – given the record of the ANC of failing to even deliver text books to schools. Speaker, in the end the VAT increase hardship already inflicted on poor South Africans since March 2018, cannot be
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reversed. There was no need to implement such a dramatic tax increase without a proper consultation process.
I am fascinated that hon Tobias fails to emphasise that the much vaunted review of the VAT increase will only be done in three years time. I say to you - ladies and gentlemen - hon members - it will not be reduced. Thank you very much.
Mr Y I CARRIM: Comrade Chair, Comrade Deputy President, comrades and colleagues, let’s be clear from the very outset: The ANC in this committee did not embrace this change to VAT – the increase – enthusiastically. We didn’t. And, in fact, I think Treasury itself introduced it very reluctantly.
Now, you think about it: what ruling party – what majority party – would increase VAT on the eve of an election? [Interjections.] So, it was done because there was no other choice. And you will have parties saying that the ANC is popularist; it plays to constituencies; it is not rational; it doesn’t try to balance the books. On the other hand, when the ANC seeks to do precisely that, it’s accused of selling out.
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So you can’t have your cake and eat it, as the English expression goes.
Now, let us be clear: National Treasury was aware of how widespread opposition to this VAT increase was. In fact, since July 2014, when we came to this committee as we’re currently constituted, we have never had a proposal on tax measures that had received such widespread and intensive opposition. As we have pointed out - Minister, wherever you are - this time around the arguments against VAT were not based solely on moral grounds or political slogans. There were economists who came and presented arguments that were quite cogent. Even if you didn’t agree with them, they were very substantial.
So, it is that National Treasury, which is normally accused of being aloof by the masses out there, agreed to create a VAT independent panel. In fact, the very people opposed to the VAT increase made submissions to that panel. That panel came up with its decisions. And, in fact, we welcome, Minister, the concessions made on additional zero-rated items.
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But what we began to do as we evolved in our thinking is understand that if you add to the list of zero-rated items, it happens that, disproportionately, unless you are very strategic about it, it’s the better off - Members of Parliament, members of the executive and so on – who benefit disproportionately. So, through engagement, we moved towards a situation – and there’s no spinning this – in which we began to understand the complexities. What is wrong in beginning to understand the technical complexities over time through engagement?
We began to understand that it’s better for the government to provide more targeted expenditure items that specifically seek to cushion the effects of the VAT increase on the poor - based on this increase. So that’s where we went. We had endless engagements with the sectors that were making submissions to us. We had three sets of public hearings on this: when it came to the fiscal framework, when it came to the actual Bill and then again on the amended/revised fiscal framework, in-between which we had an endless number of engagements with the sector concerned. In fact, the last meeting, I think, was on 2 October in Tshwane so that we could facilitate the
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participants easily getting there instead of flying to Cape Town. It was chaired by member Thandi Tobias.
So, we had endless engagements on it, and we have reluctantly
– we have said so – agreed to this VAT increase on the terms set out by Comrade Thandi Tobias. Let me quote from our report, paragraph 2, 13: The Standing Committee on Finance from the outset expressed its serious reservations about the VAT increase, among other reasons, because of its negative effects on poor and lower-income earners who are stressed enough as it is ... the increases in fuel prices, job losses, the increases in the cost of living and the widespread opposition to the increases.
The presentations made to the committee – and I’ve covered this – were substantial. So, what we are saying is: Through engagement – and, in particular, when the Minister brought the Medium-Term Budget Policy Statement to Parliament and we saw how dire the numbers were and the financial crunch that, in fact, the government and the country as a whole, not least the DA, were experiencing - we decided we would accept it on the understanding that in three years from now, as economic and
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financial conditions improve, the government should engage with everybody and consider reviewing that.
Now, what I am saying is that it is particularly galling that the DA, which is the party of big capital, sits here and presents itself as representing the working class and the poor. Who represents the DA? Who votes for the DA, if not big capital? How is it that on the eve of the 2019 elections their own surveys, as we gather, let alone independent surveys, show that they cannot exceed their 23% ceiling? In fact, the last independent survey, if I remember correctly from a few weeks ago, said that they couldn’t even exceed 11%. [Interjections.] And even their fragile coalition – this alliance of inconvenience in the municipalities – is being threatened, if what we see is anything to go by. So, this is a party of the past, not of the future. In fact, it is clear that this party is going nowhere. And, in fact, their own members accuse them of being racist. What is Patricia de Lille, your very own member, saying, if not that you are actually racist and backward and almost feudal?
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Now, you raise the issue of the SA Communist Party, the SACP. Well, I am not here as an SACP representative, but as I know it the SACP remains opposed to the VAT increase, as does the Congress of SA Trade Unions, Cosatu. Now, the differences within the alliance are around ideology and policy. The differences within the DA are about power, about race and about patronage in the municipalities they control. [Interjections.]
Let’s go on also to say that ... [Interjections.] What alternative does the DA offer? Zilch. All they say is: reduce wasteful expenditure, but the ANC agrees with that. It’s a mantra. There is no pinpointing of exactly, in what sense, further expenditure could be reduced and how we could save.
No, no; it’s the bleating of the sheep that we get all the time. Nothing substantial. In fact, the last Minister, Nene, came to Parliament and said: “Here it is. We have reduced wasteful expenditure over the years.” The ANC in the committee, led by the ANC not the DA, said: “Minister, it is not enough. Do more.” And our Minister now, the new one, Minister Mboweni, made it clear in his speech to Parliament that he is gatvol - having been there for two weeks – about
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this wasteful expenditure. And we can hold you to account, Minister, as is our job.
Now, you say, Mr Lees, the ANC is taking on the ANC, but you must remember that there is a parliamentary arm of the ANC and there is an executive arm of the ANC, and there is an extraparliamentary arm of the ANC. So, usually, you would say to us that we are lapdogs ... we are lapdogs of, in fact, the executive. When we become the watchdogs of the executive, which is our job - as shaped by the Constitution, shaped primarily by the policies of the ANC, as we exercise our oversight role over the executive in terms of the national democratic Parliament this is - you complain. So there is no conflict between the ANC and the ANC. There is some measure of difference between the executive and Parliament, and so it should be.
Let me go on to say: On illicit financial flows, Dr Ndlozi, we agree entirely with what you were saying. In fact, there is a lot that you said that we agree with. Right. The difference between us is phasing in its implementation.
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We welcome, Minister, the amount of money you have allocated as Treasury to the SA Revenue Services, Sars. We welcome the re-establishment of the Large Business Centre. We welcome the establishment of the new unit to deal with the illicit economy, yet they will not welcome it because it’s their constituency, big capital, that has actually become far more vulnerable. The main culprits in not paying the monies that Mr Shaik Emam also referred to are your constituents. What are you doing to ask big capital to pay the taxes that they should pay? You do very little in regard to that.
Mr Hlengwa, you are quite correct. It was a very rigorous process – the IFP representative – and so it was, and we will continue to engage. In the new term, the next term of Parliament, they will continue to engage. What is it we have finally resolved? We think that we came to a very fair balance between the need for revenue – which revenue, primarily, goes to the poor and disadvantaged, not the constituency of the DA; that’s why they couldn’t be bothered.
What did we say? Let me quote to you what our report actually says. It says: The committee believes that our approach to the
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VAT increase both provides certainty for the fiscus in raising the revenue required for the MTEF period - Mr Minister, Mr Director-General and one particular deputy director-general, more especially - and allows, at the same time, for a review taking into account future economic and financial circumstances.
So, we effected an amendment to the Bill that reads: The Minister shall review the amendment to the rate in section 9 of the Rates and Monetary Amounts and Amendment of Revenue Laws Bill, 2018, following an evaluation of its impact on revenue collection and the poor, and shall table a report in writing to Parliament by no later than 30 June 2021.
So, the DA will complain bitterly: “There’s no policy certainty; there’s fragility; nobody knows what’s going on.” Well, here it is. We’ve given them that and we’ve given it to the people out there and to the credit rating agencies. And, Minister, if it is appropriate for the parliamentary committee to meet them, let’s meet them. There is nothing here that is not certain. What is certain is that for the fiscal MTEF period there’s the revenue. But, at the same time, obviously,
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as you have to review all the taxes you apply, you will have to review the VAT. It’s very interesting: Mr Lees and Mr Maynier never offered increased corporate income tax. No, no, no; they are focusing on other issues.
So, in short, there’s a permutation of taxes that any reasonable, sensible, national treasury would consider, and, we think, there is nothing cast in iron here, but there is nothing uncertain. And we are quite prepared to engage with whomever – the investors and so on. It it’s our role; we are prepared to do that. Let’s engage with them. You cannot have a VAT for life and, at the same time, have huge constituencies out there that are going to use this increase to destabilise the very economy that you are seeking to stabilise through a VAT increase. So, here it is. Balances, right?
Now, the DA will, on the one hand, say that we are far left and we are ultraleftist and we’re irrational and so on. When we seek to find the right balances, they complain. In whose interests? Their own interests for an election campaign. It’s not going to get you anywhere. The very same people you pretend to represent will be voting in large numbers for the
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ANC. So, don’t waste your breath. [Interjections.] No one is listening to you, Mr Maynier. Nobody ever does. Nobody ever cares ... in this committee the most ineffective member. So, you know that, and we know that. Thank you very much indeed. [Applause.]
Ms T V TOBIAS: Chairperson? Hon Chairperson?
The HOUSE CHAIRPERSON (Mr C T Frolick): Yes, hon member, why are you rising?
Ms T V TOBIAS: Is it parliamentary for the hon Ndlozi to drink concoctions in the House?
The HOUSE CHAIRPERSON (Mr C T Frolick): No, hon member, that’s not a point ...
Ms T V TOBIAS: He’s drinking concoctions in the House.
The HOUSE CHAIRPERSON (Mr C T Frolick): It’s not a point of order. I cannot see concoctions from here. The next speaker is the hon Minister of Finance.
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Dr M Q NDLOZI: Chairperson, people who drink alcohol are always thinking about concoctions.
The HOUSE CHAIRPERSON (Mr C T Frolick): No, hon member. I’ve not recognised you ...
Dr M Q NDLOZI: If you are used to alcohol ... [Inaudible.]
The HOUSE CHAIRPERSON (Mr C T Frolick): Please take your seat. Please take your seat. Continue, hon Minister. [Interjections.] Order, hon members!
The MINISTER OF FINANCE: Hon Chair, Deputy President of the Republic, Chair of the portfolio committee, hon members, thank you very much for this opportunity to listen to your contributions to the debate. It is quite clear that you spent the last five year warming up. I still need to warm up so that I can understand what is happening.
The matter before us has been debated at length in the committee and many constructive suggestions have been made and we welcome this very much and hope that going forward, we will
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have more constructive distributions in the committee. It would seem like that the major issue at hand has been the VAT adjustment. The committee has correctly concluded that an evaluation will be made after three years on the effectiveness and otherwise, of this increase.
It is however important to remember that there have been major adjustments to the expenditure side of the budget which needs to be financed, in particular, the free education for higher education. So, when you introduce such a large expenditure item, you have to find the revenue side to fund that. If you don’t understand that interrelationship, then we are in a difficult conversation where you can argue that you want less taxation but you want higher expenditure. The two don’t go together and I think it is very important that we see the interrelationships of these issues.
We are also handling these matters against the backdrop of slower economic performance of higher debt-to-equity ratios and of increasing demand of our society. Therefore, the manner in which we manage and handle this manner must be reflective of people who understand the complex interrelationships of
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this phenomenon. Failure to do that, we would have warmed up and for nothing.
Speaker, I thank you very much for your contribution. As they say, you have made some very profound contributions which I very much appreciate and I will take that to heart as we go forward. Thank you very much. [Applause.]
Debate concluded.
Question put: That the Rates and Monetary Amounts and Amendment of Revenue Laws Bill be read a first time.
Division demanded.
The House divided.
Voting [TAKEN FROM MINUTES]
Question agreed to.
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Rates and Monetary Amounts and Amendment of Revenue Laws Bill accordingly read a first time.
Taxation Laws Amendment Bill accordingly read a first time (Democratic Alliance, Economic Freedom Fighters, Inkatha Freedom Party, African Christian Democratic Party and United Democratic Movement dissenting).
Tax Administration Laws Amendment Bill accordingly read a second time (Economic Freedom Fighters dissenting).
RATES AND MONETARY AMOUNTS AND AMENDMENT OF REVENUE LAWS BILL
(Second Reading debate)
There was no debate.
Bill read a second time.
TAXATION LAWS AMENDMENT BILL
(Second Reading debate)
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There was no debate.
Bill read a second time.
CARBON TAX BILL
There was no debate.
The MINISTER OF FINANCE: Deputy President and hon members, it is my singular honour and privilege to introduce the Carbon Tax Bill for consideration by Parliament for the benefits of all South Africans as well as our contribution to the world.
This, because climate change poses the greatest threats facing humanity and South Africa intends to play its role in the world as part of the global efforts to reduce green house gas emissions. This enables South Africa to be considered amongst the positive nations of the world.
This Bill is a culmination of an extensive stakeholder consultation process conducted over the past eight years, commencing with the publication of the 2010 Carbon Tax
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Discussion Paper, followed by the 2013 Carbon Tax Policy Paper and the 2014 Carbon Offsets Paper and the initial 2015 Carbon Tax Bill and the 2016 Draft Regulations on the Carbon Offsets.
The Bill, as you might know, is a bit technical and complex but we are quite convinced that members will be able to process this without delay. Without going into the details of the Bill, I hereby commend this Bill to this House. Thank you very much. [Applause.]
Carbon Tax Bill referred to the Standing Committee on Finance for consideration and report.
CONSIDERATION OF BUDGETARY REVIEW AND RECOMMENDATION REPORT OF PORTFOLIO COMMITTEE ON HOME AFFAIRS
The DEPUTY CHIEF WHIP OF THE MAJORITY PARTY: House
Chairperson, I move that the report be adopted.
The HOUSE CHAIRPERSON (Mr C T Frolick): The motion is that the report be adopted, are there any objections?
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AN HON MEMBER: Yes Chairperson and I request for declarations. [Interjections.]
The HOUSE CHAIRPERSON (Mr C T Frolick): We are not there yet. I now put the question. Those in favour will say aye...
HON MEMBERS: Aye.
The HOUSE CHAIRPERSON (Mr C T Frolick): Those against will say no.
HON MEMBERS: No.
The HOUSE CHAIRPERSON (Mr C T Frolick): I think the AYES have it.
Mr M Q NDLOZI: House Chairperson, is it time to request for a declaration, the EFF wants to declare?
The HOUSE CHAIRPERSON (Mr C T Frolick): It’s fine, we will get parties in the following order: The DA followed by the EFF. Hon member.
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Declarations of Vote:
Mr H M HOOSEN: Hon House Chair, over the last year and beyond, the Department of Home Affairs has been in the news for all the wrong reasons. The Gupta naturalisation and Fireblade Aviation sagas have caused huge reputational damage to the department. This department is already struggling to build a reputation of being a department and a leader in efficiency.
Most of the negativity around the department of recent has been largely due to the activities of the former political head of the department, Malusi Gigaba. But over and above those negative incidents, the department itself remains plagued with massive deficiencies in normal operational activities. The long and winding queues at all home affairs departments across the country have become synonymous. People dread to visit a home affairs office in our country they would much prefer to visit a dentist instead.
Hon House Chair, in 1994 millions of South Africans braved the scorching heat and long queues to cast their votes for a better government. Twenty four years later, they still stand in long queues in the scorching heat just to get an identity
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document. This should be an embarrassment to the ANC but they do not care.
Today the DA calls for urgent and immediate actions to reduce the massive queues at home affairs offices countrywide. South Africans deserve better and it is time that we, as members of this House, express our deep dissatisfaction with this state of affairs.
Hon Chair, beyond this issue, the Department of Home Affairs, in our view, is in a massive mess and requires a new political head who will take immediate steps to address the huge challenges with immigration and border security. Millions of people are entering South Africa through illegal means and for far too long we have been turning a blind eye.
We need an immigration system and a border management system that will make it as difficult as possible for people to enter South Africa illegally and as easy as possible for people to enter legally.
In addition, the department’s billions of rands in massive legal fees, poor management and inadequate levels of service
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are all weaknesses that require immediate attention. I thank you. [Time expired.]
Ms N K F HLONYANA: House Chair, the EFF rejects the BRRR on the Department of Home Affairs. For four years we have been here, each and every BRRR note similar deficiencies in the Department of Home Affairs; lack of consequence management for staff engaging in illegal activities, massive irregular expenditure and lack of sufficient funding for the IEC to do proper voter education. The list goes on and on and they have not been addressed to date.
This is in addition to pathetic and disastrous political decision made by Malusi Gigaba - and we thank God that he has fallen in his sword – such as the introduction of the Immigration Regulations which slowed the growth of the tourist sector.
This weak political management in the department was deliberate; it was done so that it would be easy for Gigaba and Zuma to facilitate the capture of the state by the Gupta family, the facilitation of illegal visas for that family, the
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introduction of the Border Management Authority Bill and placing its management under the department were all calculated mechanisms to capture the South African state.
There is no visible improvement on these deficiencies and not visible commitment by the administration of Ramaphosa to lift home affairs out of this quagmire it is in. He does not take this department seriously, he even appointed Blade Nzimande as an Acting Minister. We therefore reject this BRRR.
The HOUSE CHAIRPERSON (Mr C T Frolick): Hon member, will you take your seat please? Why are you rising hon member? [Interjections.]
The CHIEF WHIP OF THE MAJORITY PARTY: Our Rules say that we must be respectful to members of this House, including the President and hon Blade Nzimande. Thank you very much.
The HOUSE CHAIRPERSON (Mr C T Frolick): Hon member at the podium, you know that Rule and you must abide by that Rule that we refer to each other in respectful terms. [Interjections.]
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Dr M Q NDLOZI: House Chairperson, can we explained to, in what way did the hon member on the podium disrespect those people? [Interjections.]
The HOUSE CHAIRPERSON (Mr C T Frolick): No, hon member, we do not refer to each other in first name or just on surname terms. [Interjections.]
Dr M Q NDLOZI: Is he not Ramaphosa? [Interjections.]
The HOUSE CHAIRPERSON (Mr C T Frolick): No, hon members, he is the President of the Republic. [Interjections.]
Dr M Q NDLOZI: He has changed the name? [Interjections.]
The HOUSE CHAIRPERSON (Mr C T Frolick): Hon member, will you take your seat please. Are you done?
Ms N K F HLONYANA: Mr Ramaphosa.
The HOUSE CHAIRPERSON (Mr C T Frolick): Thank you hon member.
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Ms S J NKOMO: House Chairperson, through the administration of its mandate, this department has a lot of principled programmes which it does. One of the books well written in this country of ours as well as in the world states that it was the best of times when home affairs was still run by Prince Mangosuthu Buthelezi ... [Interjections.] and of course, it is the worst of times when we look at what has happened.
House Chairperson, I wish people can stand up and talk if they wish to speak to me. What we are talking about today is a department which has a lot of bad things that have happened to it. It has a lot of registrations where we find that migrant labourers or basically people who are coming into our country are not registered, they go for registrations and offices are closed; where we have the Gupta networks which have been going on and where we have the Oppenheimer issue where the department has also messed up.
We are actually stating that whilst we support this department, which is the IFB baby, [Interjections.] we would like to state for the record ... as I have stated Chairperson,
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if anybody would like to talk to me, stand up and say it. I thank you House Chairperson.
Prof N M KHUBISA: House Chairperson, the NFP welcomes the BRRR tabled here today with regards to home affairs. The Department of Home Affairs has been in public domain for a number of wrong reasons; the citizenship given to the Guptas, the Fireblade saga, the problem with the visa regime and long queues and many other issues that seem to have derailed the real focus of this department.
The mission of the department is to ensure efficient, determination and safe guarding of the identity and status of the citizens and the regulation of migration to ensure security as well as to promote and fulfil South African international applications.
The NFP is really concerned about the inability of this department to bring stability to the legal framework regarding the visa regime. This has impacted negatively on international tourism which generates a lot of money and also influences the government’s fiscus.
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Time and again we have raised our concerns about our borders which are porous and this has nothing to do with xenophobic tendencies. It is only that the Border Management Authority has got to put its house in order. It is important to know exactly who resides in our country as an asylum seeker or as a refugee. The stability of the visa policy is important to stabilise our need to scarce resources.
The NFP urges the department to vigorously ensure that all births are registered within the 30 day calendar period. The NFP agrees with the public committee that this department must vigorously improve service delivery, address corruption, fill critical posts and attend to all other issues that Auditor- General referred to.
It is indeed concerning that the Department of Home Affairs has not appeal the SCA ruling to the Constitutional Court to provide services at Fireblade Aviation, and also there is no written agreement or contract between the Fireblade Aviation and the Department of Home Affairs to provide services at the facility.
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The NFP also concurs with the portfolio committee on the issue of the security of the country and the spending of public funds to private individuals. [Time expired.] Having said this, we support the report. Thank you.
Mr M W MADISHA: We support the committee’s recommendations regarding the need for additional funding for the Independent Electoral Commission, IEC, in order to the following:
Firstly, to complete the harvesting of addresses for inclusion in the voters roll;
Secondly, to ensure that the biometric function of voter registration devices are operational before the upcoming elections; and
Thirdly, to complete its ICT platform upgrade.
Chairperson, on the one hand the Department of Home Affairs is the verifier and protector of our identity and status as citizens and of other persons residing in our country. We remain in this regard concerned at the poor and the
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undignified level of service provided to our citizen. It flies in the face of the values and principles which should govern the provision of public services and enshrined in Chapter 10 of our Constitution. On the other hand, the department controls, regulates and facilitates immigration and the movement of persons through our ports of industry. In doing so, it has an important role to play in facilitating our developmental objectives and yet, it sabotages them.
According to the Tourism Business Council of SA, over 13 000 travellers were denied the chance to tour our country as a result of the unabridged birth certificate debacle, costing our country and our tourism industry R7,5 billion in lost revenue. It is beyond acceptable that this matter remains unsuitable resolved. Unfortunately or fortunately, the Minister ... [Time expired.]
Mr H P CHAUKE: Chair, thank you very much for the opportunity. Let me first start to address and to congratulate the wonderful work done by the officials of the department at a national and provincial level as we all know that the Department of Home Affairs has 28 targets and they were able
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to meet almost 86% in the financial year. That’s the reality; it’s surprising that colleagues who serve in the portfolio committee would come and speak as if this department is non- functional. It is one of the departments that have a clean audit form the Auditor-General.
However, let us not forget the reality of what this department is addressing. The reality that this department is addressing is that ... [Interjections.] ... let me teach you something you don’t know. Before 1994, white South Africans were not taking their fingerprints as they acquire ID books. It is only now through this ANC government that all of us have what is called common voters roll, with white people having to take their fingerprints. They were given ID as they appear. [Interjections.] Now, the reality again is that this department has managed in the last 24 years. We now have one of the best ID document called the Smartcard, which 10 million already has been issued to South Africans. These are things that we have to be proud about. [Interjections.] These are the things that we must celebrate because it is only the ANC that can claim this victory. We don’t expect anyone from you to can claim anything. You know that this department has performed
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very well. The child’s birth certificate that it can be registered in hospital, it happened through this government of the ANC. Women when they give birth to children, they are able to get the birth certificate at a go. What is it that the DA can tell us? The issues that you’ve raised of the “Fireblade” the citizenship, I think, members are aware that ... [Time expired.]
Motion agreed to (Democratic Alliance and Economic Freedom Fighters dissenting).
Report accordingly adopted.
CONSIDERATION OF BUDGET REVIEW AND RECOMMENDATION OF REPORT OF PORTFOLIO COMMITTEE ON HEALTH
The CHIEF WHIP OF THE MAJORITY PARTY: House Chair, we move that the Report be adopted.
Declarations of vote:
Ms E R WILSON: Chair, this Report is a true reflection of the presentation made to the portfolio. However, Chair, reflection
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is probably not a good term or phrase. It is hard to see a reflection in a muddy hole of nothingness, mismanagement, lack of leadership and political will. In a 40 page report, seven pages alone are concerns, observations and recommendations of the committee. The department spent 99% of its budget, but only achieved 64% of its targets. Programme 5, namely hospitals, tertiary services and workforce development only achieved 31% of its targets, but blew the budget.
The reliability of performance information with a serious concern, perhaps we have a case of the blind trying to lead the blind. Provincial departments started the year with
R15 billion in accruals. They face medical malpractice claims to the tune of R56 billion and that does not include legal fees. Health is bankrupt, unable to deliver health of care for the South Africans. The high-level task team for Health, last week advised and I quote, “the Health Department is in a crisis. It is a department in intensive care unit, ICU, and even has a knot in its dripline.” It is bankrupt and cannot deliver. It is time for the poor and vulnerable to vote for the DA. A party that does care, that takes health seriously and we will make it a priority. I thank you. [Applause.]
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Ms E N NTLANGWINI: The Bill of Rights in our Constitution states that everyone has the right to access to health care services and that no one may refuse medical emergency treatment, but the Department of Health which has been tasked with ensuring that South Africans receive health care, is failing the people. The reality is that our health care system is collapsing. The Minister of Health and his department have mismanaged our health care system and have no clear conception of the type of health care system that our country needs.
We have a total of 41 000 vacancies in the public health care sector only. Staff is overworked and the public health care facilities are experiencing a long hour waiting period and is unable to provide quality health care to patients waiting for days to be attended to and even sleeping in reception areas. What a shame!
There are shortages of beds, ambulances and basic equipments. In fact, it is so bad that in KwaZulu-Natal the majority of ambulances in the province are dysfunctional. Over 140 morgue fridges in the country are dysfunctional, leaving dead bodies to rot, but these are just some of the problems which result
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from mismanagement. Our health care sectors face much-more systematic problems and our approach to the health care is flawed. The focus of our health care system should be preventative, not curative.
The Cuba health care system which is arguably the best health care system in the world, focus on primary health care that is preventive. This is a model that we should be using in South Africa. That is why the EFF rejects this BRR Report. Thank you.
Mr N SINGH: Hon Chairperson, let me say at the outset that the IFP supports the Budgetary Review and Recommendation Report, BRRR, as tabled before Parliament. Having said that, I wish to report to the House that I attended and contributed to those two very important discussions in KwaZulu-Natal on the weekend. The one was organised by an organisation representing foreign qualified medical doctors. Present at that meeting was the President of the Health Professions Council of SA, HPCSA, Dr Tebogo Letlape and his colleague Dr Titus. In thanking them, I wish to place on record the appreciation to our Deputy Minister of Health, Dr Joe Phaahla, for having facilitated
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these gentlemen to attend this meeting of students for foreign medical qualified doctors. [Applause.]
He also was very instrumental in facilitating the attendance of Griffith Molewa at a conference which I spoke at that very afternoon on medical cannabis and the topic was “Educate before you medicate.” Thank you very much for your sincere contribution to these topics, hon Deputy Minister. However, having said that there a number of issues that we still need to grapple with. The HPCSA as you know is governed by regulations and statutes that are adopted by this Parliament. We have to look at some of the provisions of that Act to make it easier for South Africans who are forced to study abroad because they want to enter the medical profession, to come back here and get easier entry into writing the board exams and contributing to the welfare and the health of all South Africans.
They have some very legitimate grounds to complain and I think we can sit down together and work on this. On the question of medical cannabis, I think here too there is a lot of education that needs to go out there, because many people think that you
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can just smoke cannabis [Intsangu] just about any where, a joint. We need to educate ... [Inaudible.] ... We support this report. Thank you. [Time expired.]
Mr A M SHAIK EMAM: Hon House Chair, the NFP supports the Budgetary Review and Recommendation Report, BRRR, of the Department of Health tabled here today. Allow me to congratulate the President, the Minister and his team on a very successful Presidential Health Summit. [Applause.]
Indeed the response at the summit was very, very positive. Alright. The NFP welcomes the progress made in the implementation process of the National Health Insurance, NHI, ensuring universal health coverage to all South Africans irrespective of their race, gender and economic status. For far too long, the poor and underprivileged in South Africa have been subjected to unequal health care as if poor lives do not matter.
We also welcome the resolve by the Minister and his department to move from a curative to a preventative health care system. However, being mindful of the fact that unless you deal with
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the socioeconomic conditions which are contributing factors to the challenges that we face in health in South Africa, this is going to be a dream that we may not be able to fulfil.
Hon Chairperson, a matter of grave concern is the medical legal claims a lot of which are as a result of collusion between legal experts, medical practitioners and the public of course. Management in the health care sector leaves a lot to be desired particularly at provincial level. One such example being the Free State with limited powers to the Minister, the future looks bleak. While most of the underspending is attributed to delays in receiving invoices which is questionable, service providers continue to complain of not receiving payment. Billions of rand of irregular expenditure in some of the provinces must be dealt with as a matter of urgency.
Again, we come to the issue of consequence management which is what a problem is. A matter of grave concern is that whilst your budget is spent the outcome is 64% of its target. The NFP supports the report tabled here. [Time expired.]
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Mr M W MADISHA: Hon House Chair, the shocking and disturbing state of our health care services was symbolically summed up when the department was served with a prohibition notice and forced to close the doors of its headquarters due to health and safety concerns. [Applause.]
Firstly, it is summed up inter alia by the fact that 21 Life Esidimeni victims still remain missing. Secondly, when the bereaved victims are turned away from our mortuaries because the staff have gone on a go slow in frustration at unbearable and hazardous working conditions. Thirdly, by the three times national infant mortality rate at the Pelonomi Hospital as a consequence of qualified staff shortages. The lack of equipment and access to operational theatres that have been under renovations since 2015.
Fourthly, when the President of the ANC ally National Health Education & Allied Workers Union, Nehawu, states that and we agree with him in quote, “In almost all our nine provinces where the ANC governs the Department of Health is dysfunctional.” He was correct and we agree with him totally.
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The committee’s report makes for horrifying reading. As Mark Heywood of the Section 27 recently observed — and we agree with him — and I quote, “Our public health system is haemorrhaging uncontrollably.” The greatest tragedy though is that when it comes to the cause of the health systems weaknesses we have the diagnosis, we have the knowledge, we even have the resources, but we do not seem to have ...
Alright. Thank you. [Time expired.]
Mr M L W FILTANE: Hon House Chair, the UDM supports the report. The recent promulgation of the long awaited National Health Insurance Bill and the Medical Schemes Amendment Bill must result in fundamental changes or transformation of the health care services in South Africa in particular for the poor who are locked in poverty stricken rural hinterland. The mass of our people yearns for the uninterrupted access to quality public health services. They have no option because the private health facilities are unaffordable.
For more than 42 million citizens out of 57 million, public is their only option. It is for this reason that the UDM will continue to support all efforts aimed at the implementation of
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the National Heal Insurance, NHI, system so that the tide against deteriorating health services can be turned for better outcomes. The health sector services derives its mandate from multiple policies that amongst other things outlines plans to tackle the broader clinical and systemic challenges engulfing the system and to improve national health outcomes.
The hallmark of a successful public health system is the individual patients’ lived and perceived experiences when coming into contact with public health care facilities.
Patient experience is an integral part of quality health and is concerned with what the patient values when seeking or receiving services.
A good and responsive health system is one that is able to make services available when needed, instead of keeping patients on long waiting lists. Equally, patients need assurance that their prescribed medication will be available when needed. That their wards, bed linen and ablution facilities will be clean and safe from infections and most importantly that health care professionals will treat them with respect and dignity.
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The record on patient experiences is uninspiring and the health authorities fall short in their job of monitoring this area. We hope that the immediate and radical implementation of the President’s economic stimulus and recovery plan as it particularly relates to this sector will make our people receive the kind of health service they so deserve and yearn for. Thank you.
Mr A F MAHLALELA: House Chair, this Budgetary Review and Recommendation, BRR, Report is as a result of vigorous engagements between the portfolio committee with the department and its entities. It must be noted by this House and the public in general that this report was unanimously adopted by all members of the political parties serving in the committee.
The ANC-led government is engaged in a process of strengthening community-based services with the intention of improving primary health care and extending health coverage to all South Africans. It is a worth noting progress made thus far towards the implementation of the National Health
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Insurance, NHI, between the Department of Health and the National Treasury in terms of the funding model.
We welcome government’s pronouncement that over the Medium- Term Expenditure Framework, MTEF, period, an additional 2 200 critical medical posts will be filled in provinces and medical student’s internships will be expanded. The community health workers programme will implement the national minimum wage.
This will standardise the salary package and the condition of service for all community health workers in the country. This is in line with the recommendations of the High-Level Panel.
As per the recommendation of the committee we expect the department to work with provinces in order to enhance the quality of the health care, improve their audit outcomes as well as dealing with the unpaid bills and medico-legal claims that poses a significant risk in the health sector.
We further welcome the funding that has been allocated to provinces to absorb medical interns returning to South Africa after training in Cuba as well as the additional fund allocation to fight malaria within the comprehensive HIV/Aids
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and tuberculosis, TB, grant. We support the report. Thank you, very much. [Time expired.] [Applause.]
Motion agreed to (Economic Freedom Fighters and Congress of the People dissenting).
Report accordingly adopted.
CONSIDERATION OF THE BUDGETARY REVIEW RECOMMENDATION REPORT OF THE PORTFOLIO COMMITTEE ON TELECOMMUNICATIONS
There was no debate.
The Chief Whip of the Majority Party moved that the Report be adopted.
Declaration(s) of vote
Mr C MACKENZIE: House Chair, the SA Post Office, SAPO, has obtained an unqualified audit for the year under review. This is a very welcome development in the entity’s long and painful road to financial recovery. Yet, an unqualified audit doesn’t mean that the business model is sound or sustainable. It
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simply means that there is a traceable paper trail for transactions.
If you want a real a picture of the state of affairs at the SAPO, look at the chief executive officer, CEO, Mark Barnes, the stress of running this organisation is clear. Declining mail volumes and customers lost forever due to atrocious delivery standards means the SAPO is forever on the back foot.
As it continues to lose hundreds of millions a month, the government’s response has been R1 billion bailout after the other with a staggering R3,7 billion in October 2017 and now another R2,9 billion, this year. This turkey is costing as mush as the SA Airways, SAA. These bailouts are, however, a case of too much too late. Instead of proactive funding, they can invest in upgrading systems and automating processes, bailouts are only given reactively. After customers have left, post offices are locked due to rental nonpayment, delivery trucks are repossessed by the fleet owner and staffs are on strike. This is just enough to settle the backlog and get the business up and running so that this vicious cycle can start all over again.
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In his Medium-Term Budget Policy Statement, MTBPS, Tito Mboweni, said the trend of state-owned companies, SOEs, seeking bailouts to finance operational expenditure, inefficiency and waste must be brought to an end. With a R109 million irregular expenditure and R15 million fruitless
and wasteful expenditure, he is talking directly to the SAPO. We trust that this last bailout is exactly that – the last and that the SAPO will use this hopefully final taxpayer funded gift to do the right being to invest in systems, processes and people so that it can at last does its job, deliver our mail in time, on time and about time. The DA supports this report. [Applause.]
Ms H O HLOPHE: House Chair, the role, importance and responsibility of this department continues to grow. Its entity, the SAPO, has been tasked with distributing grants to millions of beneficiaries who are dependent on the grant for their survival.
The SAPO must be strengthened and further capacitated so that it has the ability to distribute grants quickly and efficiently.
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In addition, this department should be supporting the EFF’s Banks Amendment Bill, which will allow the establishment of a state bank. This will allow the Post Bank to become fully legalised and registered as a bank.
The importance of this department is not limited to the Post Office. Telecommunications as a sector continues to grow in importance. The role and capacity of this department must grow at the same time. One of the greatest stumbling blocks to South Africa’s participation in the Fourth Industrial Revolution and the information economy is the cost of data.
The high data prices in this country are not as a result of basic supply and demand but the monopolies within the industry and manipulation by data companies.
Therefore, this department should make it a priority that data prices must fall in this country. The monopolies within the telecommunications industry are dismantled as higher data prices do not hurt consumers only but the economy as a whole. This department still has a long way to go in realising its potential and its Budgetary Review Recommendation Report, BRRR, is a reflection of this.
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We, therefore, reject this BRRR. Thank you, Chair. [Applause.]
Ms L L VAN DER MERWE: House Chairperson, firstly, it is important to note the progress that the SAPO continues to make. Although they are not financially stable as yet, they did for the first time in a very long time receive an unqualified audit opinion and they have been successful in taking over the SASSA grant payment process.
So, we hope that the SAPO can continue on this upward trend, while not continuing the endless government bailouts, enough is enough. They must become financially viable.
In reflecting on this BRRR, many other concerns remain. South Africa’s economy remains in intensive care unit, ICU, with little sign of life. This is after more than a decade of our state resources having being pillaged by the Gupta-Zuma cabal.
Our economy is in desperate need of expansion in information and communication technology, ICT, growth, yet, instead of aggressively expanding, this department underspend its budget on ICT infrastructure support by more than R273 million due to
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delays in implementing the SA Connect project. Moreover, South Africa still has some of the highest data prices in the world. Our data prices are higher than our neighbouring countries - Malawi, Mozambique and Lesotho; higher than our BRICS partners and six times higher than Egypt.
So, it is clear that this department remains paralysed in its pursuit of achieving its mandate of ensuring that all South Africans have access to reliable and affordable ICT services.
While this department fails to aggressively tackle the issue of high costs to communicate and while it fails to champion the internet as a tool for social economic development at the expense of our poorest communities, we cannot support this BRRR. I thank you, Chairperson.
Prof N M KHUBISA: House Chairperson, the NFP welcomes the BRRR tabled here today. The Department of Telecommunications and Postal Services is mandated to develop ICT policies that create conditions for an accelerated and sustained shared growth for the South African economy and ensure to the development of a robust, reliable, secure and affordable ICT
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structure. The policies must contribute to the development of an inclusively information society in which information and ICT tools are key drivers of the country’s economic development.
The NFP is concerned about the price of communication. It is very expensive. Time and again, we have complained about the fact that the cost of data is very high – very exorbitant; yet, technology these days is the used way of communication. People use texts, emails, Wi-Fi, Skype and all other forms of social media for communication.
Our students, most of whom come from the poor backgrounds have to use data to do their research and assignments.
The NFP is also aware that this department is still finalising National e-Strategy, ICT SMME Development Strategy and e- Government Strategy. We call upon this department to ensure to ensure that this is expedited and concluded without delay.
The NFP would recommend that more funds be allocated to the ICT Enterprise Development Programme and state-owned
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enterprise, SOE, Oversight. It is our view that the
R3,9 billion is not enough when we consider the fact that this entity focuses on SMME development and ICT support.
The NFP concurs with the portfolio committee that liquidity challenges of the SAPO are adequately addressed so that the SAPO can its creditors on the relevant due dates and that the processes are put in place to improve the key performance areas in this entity. Also, that the critical vacancies are filled so that the lack of staff cannot have an impact on the overtime claimed from the entity.
Processes must be put in place so that the SAPO to clear its parcel packing. The NFP supports the BRRR. Thank you.
Mr N L S KWANKWA: House Chair, the UDM supports the report. Firstly, while the irregular expenditure has declined, it is still very high at R109 million.
It is unacceptable for South Africans or anyone to be pleased with the R200 million reductions in irregular expenditure because it means that as South Africans we become too
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accustomed to poor performance, service delivery and a lack of financial management by the many government entities.
We, however, do acknowledge the progress made in trying to sort out the challenges that face the SA Post Office in particular.
House Chair, in our country, we must ensure that departments operate as efficiently and effectively as possible. We must ensure that all service deliveries are smooth and seamless and that taxpayer’s monies are being used effectively for development rather than waste money on issues of poor governance as is the case at the SA Post Office.
Furthermore, the recent decision to move SASSA grants to the competency of the SA Post Office is troubling when one looks at the historical poor performance or poor management of its finances. A call must be made to all South Africans to closely monitor the SAPO in order to protect the poor against mismanagement or the failure of the social grants payment system.
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The list gross concerns registered by the committee report, which speaks to financial management and poor performance creates further concerns as to the ability of the SAPO to administer all future SA Social Service Agency, SASSA, beneficiary grants adequately and timeously.
Finally, the UDM recommends that the SAPO must identify new and innovative ways to increase its revenue that is declining due to electronic methods of delivering mail.
We also echo the sentiments of previous speakers in so far as dealing with data costs which remain extremely high and therefore, making communication very difficult, especially for the poor in our country. We support you now, be happy.
Mr J L MAHLANGU: House Chair, the department has seven entities and therefore eight auditees. The Auditor-General says in his report that the overall audit outcomes of the telecommunication and postal services portfolio for 2017-18 shows an improvement from the last years, in particular, the SA Post Office, National Electronic Media Institute of SA, NEMISA, as well as the broadband company, Infraco.
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Sentech maintains its clean audit and the department’s Universal Service and Access Agency of SA, USAASA, and State Information Technology Agency, SITA, remained stagnant on unqualified audit findings. The Universal Service and Access Fund, USAF, is the only entity that has regressed and as the oversight committee, we have decided to place the USAF on our radar screen to make sure that it goes back to good performance.
We are indeed encouraged, as other members have already said, with the progress made by the Post Office as it has been able to turn the corner. This comes about as a result of the strong leadership by the board, the chief executive officer, CEO, and the chief operations officer, COO. Indeed, they continue to do a good job and they have our unqualified support.
The major concern at the SAPO raised by the Auditor-General is the whole issue of the going concern. We share this view and we are aware of the asset portfolio that the SAPO possesses.
Indeed, what we are saying as the portfolio committee is that the underperformance of the SAPO is attributable to the nonpayment of the public mandate and we implore the government
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to consider funding the public mandate because it is the only entity that delivers services to ... [Inaudible.]. [Time expired.] As the ANC, we support the report. Thank you. [Applause.]
CONSIDERATION OF THE BUDGET REVIEW AND RECOMMENDATIONS REPORTS OF THE PORTFOLIO COMMITTEE - ON WOMEN IN THE PRESIDENCY
There was no debate.
The CHIEF WHIP OF THE MAJORITY PARTY: Chairperson, we move:
That the Report be adopted.
Declarations of vote made on behalf of the Democratic Alliance, Economic Freedom Fighters, Inkatha Freedom Party, National Freedom Party, United Democratic Movement and African National Congress.
Ms T STANDER: Good afternoon, I address this declaration to the President as the Department of Women falls within the Presidency. The department’s role is to lead, co-ordinate and
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monitor socioeconomic empowerment for women in both the private and public sectors. However, they have never engaged with any of the departments to effect change in departments such as the police, where they still disregard rape reports and turn women away.
Women are still trafficked across porous borders and genuine asylum seekers suffer abuse. Women still have to have sex to get a job. The unfilled supply chain management and human resource, HR, manager post within the departments mean that they are going to keep on getting qualifications in their Auditor-General’s reports. In fact, an independent report has indicated that employees employed in positions don’t even know what their job is.
Ladies and gentlemen, if the DA was in government, we would cut corruption by firing people and recovering the money. We would have enough money to employ professional and honest police service to secure our borders and to ensure that there is fair access to long term meaningful work to get women out of poverty. We want to provide support to women who are trying to start their own businesses and to develop their skills so
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that they are ready for the jobs of tomorrow. A competent resourced administration would be able to speed up service delivery. We know that our women still bear the brunt of the lack of service delivery. This role is intersectional and Mr President, fund it or shut it down but we need total change to build one South Africa for all. I thank you.
Ms N R MASHABELA: Chairperson, we reject this Budgetary Review and Recommendation Report of the Portfolio Committee on Women in the Presidency. The Ministry of Women in the Presidency is mandated to co-ordinate and oversee the transformation agenda on women socioeconomic empowerment rights and equality. Apart from the fact, it had failed to do its job. Could there be any legitimate expectation that this department would be functional under the leadership of a well known defender of men who have abused women over the past decade, Minister Bathabile Dlamini?
We have seen this year a massive intensification of the assaults on women on our society. We have not seen any action by this department.
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Ms Z S DLAMINI-DUBAZANA: Hon House Chair.
The HOUSE CHAIRPERSON (Mr C T Frolick): Hon Mashabela, would you just take your seat, please.
Ms N R MASHABELA: For what bjalo (now)?
The HOUSE CHAIRPERSON (Mr C T Frolick): Just take your seat, hon member. Hon member Mashabela, would you just sit down, please.
Ms N R MASHABELA: Point of order for what bjalo (now)? Ai, you are wasting our time, man.
Ms Z S DLAMINI-DUBAZANA: I am rising on eh ...
Ms N R MASHABELA: Rule what?
Ms Z S DLAMINI-DUBAZANA: Rule 84, that a member knows very well that if she has such allegation towards a member of this House those allegations has to be put in a substantive motion.
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The HOUSE CHAIRPERSON (Mr C T Frolick): Hon member, I want to state that you are quoting the wrong rule. Rule 84 does not speak to that. Continue, hon member.
Ms N R MASHABELA: We have seen this year a massive intensification of assaults on women in our society. We have not seen any action by this department coming to the defence of women, or to help those who are being abused or to actively advocate that those responsible must account. The truth is, hon Jackson Mthembu, in the ANC itself Minister Bathabile Dlamini actively supported a male Deputy President as opposed to a female one. She defended Mduduzi Manana and Jacob Zuma when they were accused of abusing women. She is the least qualified to lead this portfolio or any other portfolio in the same society. The EFF rejects this Report. Thank you.
Ms L L VAN DER MERWE: Hon House Chairperson, in South Africa women are under constant attack. On our streets, at home, at work and at places of learning women are under siege. In fact, South Africa is one of the most dangerous countries for women and children to live in. Yet, the Department of Women in the Presidency has in successive years excelled at doing nothing
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about this reality. They have done nothing to address the gender pay gap which sees women earning 27% less than a man. They have done nothing to lobby for better pay for Banyana Banyana, for example. They did nothing to support the total shut down marches which brought together all women of this country in total defiance of the war, that is: gender-based violence. Instead, they stood on the sidelines.
They have done nothing to hold to account the Department of Social Development, Department of Police and the Department of Justice and other departments that failed our women. In fact, as a committee we were quite shocked to find that the staff in the Department of Monitoring and Evaluation unit don’t know how to monitor and evaluate. This was a shocking finding considering that monitoring and evaluation is this department’s core business. This department’s mini skew budget of a R127 million, almost 90% goes to paying salaries, travelling, property payments, expenditure on external auditor costs and consultants leaving the core programmes under funded.
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The reality is that this department is not a voice for women. It lacks the vision, the focus and resources to be that voice. It is an employment agency and nothing more. Our South African women deserve better. I think also that the ANC has to really look at themselves very deeply. You’ve got a woman in the Presidency who was found guilty by a Constitutional Court of having lied to the court. She misled the court and she was grossly negligent at executing her duties. She was responsible for the South Africa Social Security Agency, Sassa, crisis and you give her another portfolio to lead. It is shameful. I thank you.
Prof N M KHUBISA: House Chairperson, as the National Freedom Party we want to support this department. The reason why we say so is because we feel it is a critical department. There are a lot of episodes. I mean, our country is littered with a litany of episodes which are directed to women especially with regard to the issues of women and child abuse.
Chairperson, this morning I was driving to the airport at about 03:00 in the morning and I saw a group of women jogging on the road. I asked myself whether they are protected because
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there are so many people out there who are only there to prey on women. Therefore, this department has a mammoth task to execute with regard to ensuring that women are really protected so that we deal a shuttered blow with the endemic abuse on women and our children.
Also, on the issue of women empowerment when it comes to leadership positions especially in the private sector, I feel that is sacrosanct because very few of them are in the private sector occupying senior and leadership positions whether it the governance or strategic management positions. I think this department must ensure that women are empowered to occupy those senior positions. It is time that this department becomes as robust and vibrant as ever because the space there dictates that this department does this job for the benefit of our society. It is our considered view that given as space women can do a lot in our country. They can lead and direct.
Therefore, this department will ensure that this task is done.
Women must be exposed to skills because they are there as leaders and entrepreneurs. They must be assisted to get funding to ensure that they secure funding from the bank
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sector. Therefore, for that reason we would support this Report. Thank you. End of tape
Mr M L W FILTANE: Chairperson, the fact that I have a scrap piece of paper is symbolic of the shameful way in which the ANC regards women in this country. It is as simple as all that. This is exactly how the ANC looks at women in this country, scraps. When there is nothing else to be done, then you will say that women must come to the fore.
When will this department be closed down if it cannot get serious with its job? It is one of the departments that need to be closed down because the ANC itself is not able to put anything meaningful for women in South Africa. Look at the budget itself. It is as simple as all that. You can only theorise and talk in simplex percentages out of 50 people lets have 25 women. That is as far as the ANC can use its brain to put the course of women upfront. It does not go beyond that.
Simply, it do not have the ability to do anything better. Look at social services when and how do you ever prefer women.
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Can you tell the House that there are more women who have got houses than there are men? You look at the employments, the Minister of Public Works was standing there the other day not ashamed to tell us that after 24 years of uninterrupted ANC rule it is only now that – Ag, shame - he is beginning to think what he can do for women. Only now, he is still thinking at the end of the Fifth Parliament. That is how the ANC treats its women. Salaries gap is as big as anything. The ANC is not even able to go and talk to big corporations. You find that they occupy few chairs when it comes to corporate positions.
The budget is just appalling. It tells you before you say anything that: we do not deserve to exist as a department except for one thing, to keep one lady earning a huge salary, for doing what? Nothing for the South African women. Anyway, carry on with the pittance.
Ms N R BHENGU: Deputy Speaker ...
IsiZulu:
... sibonge labo ababeke imibono yabo eyakhayo.
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English:
Firstly, we have acknowledged as the ANC members that there has been poor performance on the side of the departments previously. The changing of leadership as well as the changing of officials in the department and some on suspension but being paid by the department while at home has delayed finalising their cases. This has done an impact on the performance of the Department of Women.
IsiZulu:
Sihlalo, kubanzima ukuphendula umuntu uma nje ehema nje engazi ukuthi ukhuluma uthini. njengoba nazi-ke nonke ukuthi akuthina sonke esivumelana ngokuthi lo Mnyango Wezabesifazane uqhubeke ube khona ukubhekelela ukuthi abesifazane bathola amathuba alinganayo nawabesilisa. Futhi ukuba khona kwalo mnyango wukuthi ukwazi ukuthi abesifazane babamba iqhaza kwezomnotho ngokulinganayo nokulwa nokubulawa kwabesifazane nabantwana, lokho osekuyinsakavukela ezweni lethu. Futhi lokho okungeke kwenziwa wumnyango kuphela, kumele kwenziwe yithi sonke la njengamaLungu ePhalamende sibambisene nemiphakathi esisuka kuyona.
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English:
As the committee we have recommendations as outlined in the Report. One of them is to monitor and evaluate the implementation of action plans and progress reports that should be submitted to the committee on monthly basis until the end of the financial year. Therefore, as this portfolio committee we will continue to stringently monitor the department which respect the recommendations we have made and the ones made by the auditor general and the Administrative Reforms Commission, Arc. The ANC supports the Report. I thank you, Chairperson.
Motion agreed to. (Economic Freedom Fighters dissenting).
Report accordingly adopted.
CONSIDERATION OF BUDGETARY REVIEW AND RECOMMENDATION REPORT OF PORTFOLIO COMMITTEE ON SCIENCE AND TECHNOLOGY
There was no debate.
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Declarations of vote made on behalf of the Democratic Alliance, Economic Freedom Fighters, Inkatha Freedom Party, National Freedom Party and African National Congress.
The CHIEF WHIP OF THE MAJORITY PARTY: Hon Deputy Speaker, we move:
That the Report be adopted.
The DEPUTY SPEAKER: The motion is that the Report be adopted. Is there any objections? There is an order you know. Go ahead DA, we follow the usual order.
Declarations of vote:
Ms T K MOTSHIDI: Hon Deputy Speaker, there has never been ... [Interjections.]
The DEPUTY SPEAKER: Hon Paulsen, take your seat and be orderly. Hon member, stop pointing at other members, take your seat and be orderly. No, no, take your seat, don’t stand up in the House and be orderly please. Go ahead, hon member.
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Ms T K MOTSHIDI: Thank you very much. There has never been a greater time than there is today for a more inclusive Department of Science and Technology. The Auditor-General has given the department a clean audit for the year under review an exception to the norm for the gross mismanagement under the ANC government. The Democratic Alliance congratulates the department on this clean audit. The Auditor-General, AG, attributes this clean audit to the effective implementation of the supply chain management guideline for the prevention and detection of unauthorised irregular expenditure ... [Interjections.]
The DEPUTY SPEAKER: No, hon members don’t do that. You are out of order. Check your records; don’t scream at a member speaking on the podium. Just have some order please. Go ahead, hon member.
Ms T K MOTSHIDI: ... another phenomenon which is visibly lacking under the ANC government, we are keenly monitoring that the White Paper on Science and Technology does help improve this department’s mission to provide an enabling
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government and resources for technology and innovation in support of South Africa’s development.
While there is a great need for South Africa to improve its standing in the global scientific community it cannot be at the cost of neglecting the basics.
Sesotho:
Ke nna Tsholofelo Katlego Motshidi!
English:
Deputy Speaker, I hear somebody asking who I am so that we are clarified ...
Sesotho:
Ke nna Tshologelo!
English:
If we are to achieve the much anticipated Fourth Industrial Revolution the Department of Basic Education as a key stakeholder should step up towards the development of science and technology at primary school level.
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Let me take this opportunity to highlight the danger this department faces as a result of the decline in the parliamentary grant. It is only through proper intergovernmental planning and alignment with related department that is all South Africans will realise the optimal benefits of science and technology. Aggressive and decisive measures have to be taken to incentivise the public-private sector participation in science and technology. The transversal nature of this department is understated. This is evident in the amount of appropriation this department receives. If fully utilised this department could be a research spring board for sectors such as health, defence and our country security which currently are compromised under the ANC government. If we achieve the above, science and technology would be more accessible to all South Africans.
Thank you. [Time expired.] [Applause.]
The DEPUTY SPEAKER: Hon Paulsen!
Sesotho:
Re kopa hore le se ke la batla hore batho ba ithoke. Se re ikopela ho lona maloko a hlomphehileng ka letsohong la ka le
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letona. Batho batla ithoka mona ha le se le ba botsa na ke bo mang.
English:
Go ahead, hon member.
Mr M N PAULSEN: Hon Deputy Speaker, it was the hon Katlego who has made an address here and you did not make mention of it.
The DEPUTY SPEAKER: I must be notified, hon member.
Mr M N PAULSEN: Okay, thank you. As the world enters the age of the Fourth Industrial Revolution and the information in economy South Africa is still struggling to be a significant player in the economic activity and forms of production which resulted from the Second and Third Industrial Revolutions. Our economy remains reliant on mineral extraction, financial services and consumption. The Fourth Industrial Revolution is dependent on new innovative technologies which will change the way we live and produce, but the development and invasion of these new technologies is reliant on human resources and the ability of those humans to create, develop and innovate.
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In China, Rwanda, Ethiopia and many other countries which we look to as examples of development science and technology, have played critical roles in unleashing the productive capacities of those countries. This is because in these countries science is not seen as an end in itself, but as a tool for the development of the country and the improvement of the lives of the people. Research in development in this country is not only driven by profit, but it is linked to industries and sectors of strategic economic and national importance and industries where there is a lot of future potential even when not immediately profitable the state subsidises these industries and funds research with an understanding of the long-term economic value they will add to the country.
What you also see in this country is that our continental and international leaders in the Fourth Industrial Revolution is cross sectoral approach where various government co-ordinate amongst each other so that the educational policy financial and economic factors are all taken into consideration. Instead in this country we have a Department of Science and Technology that has a very little idea of what it is doing. We reject
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this Budget Review & Recommendations Reports, BRRR. [Time expired.]
Mr M HLENGWA: Hon Deputy Speaker, at the outset let me say that the IFP supports this BRRR. We congratulate the department, yet again, for a clean audit. They are indeed an exception, and we encourage them to continue doing the work they are doing. Of course, well-done to hon Minister Pandor and hon Minister Kubayi-Ngubane. I will take it ...
IsiZulu:
... I-ANC ijwayele ukuthi, malibongwe! ngakhoke ngithi, malibongwe!
English:
Hon Deputy Speaker, of course ... [Inaudible.]of promise is a lack of funding. I don’t think we can achieve the scientific technological innovative dreams, hopes and inspirations we have for this country if we are not going to fund this department adequately. We are on the brink of the Fourth Industrial Revolution, but the funding does not speak to that. We want to build a country that is capable, globally
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competitive but the finances don’t speak to that. If there is anything that needs the bailout is the Department of Science and Technology, they need more money. It would be worthwhile for us to apply our minds to say, how we give this department more money.
Fundamentally science and technology needs to be the basis upon which we build a new South African economy to create jobs, fight poverty and deal with the issues of inequality and it is something which we are capable of doing, but our spending priorities are not consistent with our outlook.
Therefore, it the IFP’s fundamental believe that we need to place science, technology and innovation at the centre of what we do for economic development for beneficiation for the up- skilling of our people and to make sure that we actually make science and technology fashionable because for some strange reason ...
IsiZulu:
... yenziwa into eyabayizicwicwi nje aba le phezulu. Kanti nanomubani unekhono lokungena kulo mkhakha wezobuchwepheshe, bakhande amathuba baphile.
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English:
Let us make science and technology something that is going to make our people live and broaden the spectrum of what is actually available. If we are not going to invest in science and technology year in and year out we will come here and lament. Therefore, let’s stop funding the SA Airways, SAA, and fund science and technology. Thank you.
The DEPUTY SPEAKER: Hon Mncwabe, NFP!
Mr S C MNCWABE: Thank you, Deputy Speaker. [Interjections.]
IsiZulu:
USEKELA SOMLOMO: Ngicela nibuke isikhathi. Leli washi uma libomvu, likutshela ukuthi isikhathi sakho sesiphelile. [Ubuwelewele.]Liyasebenza eskhathini esiningi. Qhubeka, baba.
Mr S C MNCWABE: Hon Deputy Speaker, the NFP welcomes and supports the report of science and technology. Science and technology and innovation are considered crucial for the creation of wealth and improving the quality of life in the modern society. This department has to guide the country
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towards the knowledge based economy through human capital development, knowledge generation, knowledge infrastructure and enablers to convert knowledge into socioeconomic outcomes. However, the NFP is concern about the fact that this department was only allocated R7,5 billion whereas there are so many issues that need to be addressed through science and technology in our country.
This department has been performing well for a number of years and we note that. However, it has spent 99,1% of its 2017-18 allocated budget which shows an underspending of R67,7 million and that is a regression from 2016-17 spending of 99,4% of the budget. It is also worrying that in the report of the Auditor- General the department incurred R14,5 million of irregular expenditure due to noncompliance with supply chain management processes. However, the NFP applauds the department for continuing to spearhead milestone projects in our country and most of these research projects are led by women and youth.
The NFP would love to see more and more people, especially black young people graduating in masters and Doctor of Philosophy, PhD, in science and technology and innovation and
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we hope that the department will work hard to meet this target. The NFP supports the report. Thank you.
Ms N P NKONYENI: Hon Deputy Speaker, the ANC upfront supports the BRRR. The mission of the Department of Science and Technology is to provide leadership in enhancing environment and resources for science, technology and innovation in support of South Africa’s development. Evident from the budget BRRR, the department proved that its commitment in playing a full role in implementing the National Development Plan, NDP, by focusing on initiative that will ensure that it makes a profound impact on economic growth and development while assisting in the eradication of poverty, unemployment and inequality.
The Department of Science and Technology executes its mandate through the implementation of 1996 White Paper on science and technology, the national research development, strategy and the tenure innovation plan. It is thus an opportune moment to congratulate the Department of Science and Technology for the recent introduction of the draft 2018 White Paper on science, technology and innovation which sets the long-term policy
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direction for the South African government to ensure a growing role for science, technology and innovation in more prosperous and inclusive society.
To ensure that science and technology remains as key driver in enhancing productivity economic growth and socioeconomic development, the economic resources challenges will have to be addressed. Cognisant to the broader economic challenges faced by our country the Portfolio Committee on Science and Technology throughout race concern that the science system is not adequately funded. The department and its entities were subjected to extensive budget cuts and had to continuously reprioritise their location of available funds where increase location were realised these were far below inflation.
Furthermore attention was also given to formulating funding mechanism especially for innovation activities and for small and medium enterprises. Hence a sovereign innovation funds and the small, medium and micro-enterprises, SMME, innovation fund is intended for implementation in the next Medium-Term Expenditure Framework, MTEF. The new White Paper also proposes policy interventions. I thank you. [Time expired.] [Applause.]
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Motion agreed to (Economic Freedom Fighters dissenting).
Report accordingly adopted.
IDEAS FOR ENSURING FAIR AND EQUAL ACCESS TO JOB OPPORTUNITIES FOR ALL SOUTH AFRICANS
(Subject for Discussion)
Mr G G HILL-LEWIS: Deputy Speaker, sir, endless column inches and hours of debate in this House have been devoted to the question of how to get the economy growing so that it can create enough jobs to bring down unemployment. Despite all of this attention, the problem has only got worse. It has got worse because we have a government and a President that has no plan for how to fix the economy, beyond talk-shop conferences and photo-op summits.
And it has got worse because we have a government and a President incapable of implementing real economic reforms, because his party has outsourced policy making to the EFF. According to Stats SA there are now 9,7 million unemployed
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South Africans. That’s a full one-and-a-half million more people than the 8,2 million South Africans who voted for the ANC in the last election.
If every unemployed person votes for the party that is best able to grow the economy and create jobs, this government will fall at the next election as it rightly should. But let’s not labour under the misapprehension that the ANC even wants to fix this problem, because it does not. A population of unemployed people must rely on the government, and to the ANC, that means they must rely on them. They are kept in the dependency trap.
If you think that is even too cynical for the ANC, just wait until you see for yourself, the truly hideous underbelly of how the ANC actively manipulates desperate people who need to feed their families. We have focused a lot in this House on how grand corruption - state capture, Nkandla, VBS Mutual Bank and more recently, Bosasa – have undermined our country’s growth and destroyed jobs.
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But the real truth of the lived reality for poor people at the hands of this venal party is even more shocking than who is paying for the President’s son. The truth is this: Even those jobs that are available are only available to those who are prepared to pay the ANC. And what are the only currencies that the ANC is willing to accept in this jobs manipulation record? Cash, votes and sexual favours.
Imagine for a second, hon members. Imagine being a young matriculant excited to apply for an internship at the local Emfuleni Municipality in Gauteng, offered an amazing starting salary of R7000, but soon told that to get the job, she needs to sleep with local ANC officials who are funding this sex- for-jobs ring - disguised as an internship programme — by siphoning money from the council’s disaster relief fund.
Imagine studying to be a nurse, optimistic and idealistic to help people, but then being told that you will have to pay R2000 a month of your salary to the human resources director of the Bheki Mlangeni, the district hospital, also in Gauteng, just to get a job in the first place; then only months into
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your job, being told that money is not enough, and now he wants more.
The provincial government in Gauteng said it could not do anything about this issue because there was “no official complaint that had been received.” No such callous government deserves to stay in office in that province. What about the ANC Councillor in Itsoseng in the North West, Morutse Molefe, who is charging people R100 for Expanded Public Works Programme, EPWP, job that only pays R70 a day?
Also, what about the Councillor in Roodepan in the Northern Cape, who made anyone wanting an EPWP job first show him their ANC membership card; or the Eastern Cape government’s refusal to release a report into a massive cash-for-jobs scandal in the provincial government, because it implicated too many senior ANC politicians and officials in the province?
There are literally hundreds of these examples. Viewed as isolated incidents, they are sad and shocking. But viewed together, they paint a horrific picture of an endemic practice in the ANC and its governments, which is tacitly accepted and
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endorsed by protecting the guilty. Venal, corrupt, lecherous and predatory. This is the ugly truth about the ANC, and we’re going to make sure that everyone knows who is responsible.
The DA is calling on every person who has been denied fair access to a job by an ANC councillor or official to write to the DA, contact our local DA office or your local DA representative. We will bring every example here and make the ANC account for their behaviour. [Applause.] Let’s see what they do about it.
Will they change the EPWP job allocation system to a randomised, fair system that shuts the door on corruption, like we have done in every single of one of our governments? Will they act strongly against the perpetrators, or will they start by apologising to the country for what has happened so far? We, this House and voters, particularly in Gauteng, Minister, we will be waiting to hear the answer. Thank you. [Applause.]
Ms S R VAN SCHALKWYK: Hon Deputy Speaker, what a total waste it was. I thought the debate was about saying equal access to
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job opportunities. The South African economy has been described by economist Ruchir Sharma in his recent book Breakout Nations as: “a developed market wrapped inside an emerging market”.
Two decades on from the formal end of the old apartheid regime, the South African economy can lay claim to being one of the wealthiest in Africa and one with a stable functioning democracy. It is one of Africa’s biggest economies but also one which has deep rooted structural problems constraining its growth and development.
The underlying pace of expansion of national income, known by economists as the trend rate of growth is held back by a number of key features which include but are not limited by: two-speed economy like tourism, banking and finance, slower growth in many informal urban industries, traditional manufacturing and many parts of South African farming.
There is also low capital investment. Many South African companies invest abroad rather than focus on the domestic economy and we hope to see this practice turning as a result
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of pledges made at the Investment Summit. South Africa has very high levels of income and wealth inequality. Millions of people inactive in the labour market are dependent on public and private cash transfers, like the grants. There are also infrastructure gaps especially in the areas of roads, sanitation, energy and more.
The ANC ensured that policies were passed seeking to address historical imbalances and achieving equity like affirmative action, employment equity and Broad-Based Black Economic Empowerment. The challenge however remains the poor and non compliance levels.
South Africa went through a painful apartheid system of racial segregation from 1948 until 1994, where race determined social, economic and political advantages and disadvantages.
In 1994 South Africa elected its first democratic government which launched Broad-Based Black Economic Empowerment, BBBEE, racially selective program to empower previously disadvantages groups and enhance the economy.
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The BBBEE makes it almost unavoidable for many industries, especially larger business entities not to complain.
Affirmative action is a way of making the workplace more representative and fair and that is what we wanted to hear hon Lewis. It makes sure that qualified people from designated groups have equal opportunities in the workplace.
In South Africa, these groups are black people, women and people with disabilities. Historically, these groups have been under-represented in many key work areas. They must also be equally represented in all job categories and levels of the workplace.
The purpose of the Employment Equity Act is to achieve equity in the workplace by promoting equal opportunity and fair treatment in employment through elimination of unfair discrimination and implementation of affirmative action measures to redress the disadvantages in employment experienced by designated groups.
It is a shame hon members that Commission for Employment Equity reported that there is no improvement since last year
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in terms of Employment Equity. In the top management positions over the past 20 years there has been a 1% decline in whites occupying senior management positions, whilst whites occupy 67,7% of top management jobs.
It is a shame that in the Republic of the Western Cape it is the highest in the country at 62%, no wonder they are so passionate about today’s debate, because they want the status quo to remain. In the rest of the other provinces the situation is the same where the lowest 46% in KwaZulu-Natal.
White men exiting workplaces are replaced by white men who lead to the transformation agenda not being realised. In terms of unskilled level positions, Black people occupy 83,5%, Coloureds sit at 11,1%, Indians at 0,8% whilst Whites are at 1,1%. Facts speak for themselves; white and Indian females benefited the most out of Employment Equity Act during the past 20 years. African and coloured women continue to be disadvantaged and might only surpass their white counterparts by 2050. What a shame.
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Inequality and poverty remain one of South Africa’s biggest challenges over the past 24 years of a democratic breakthrough. The Western Cape Finance MEC, Ivan Meyer, presented the Western Cape Municipal Economic Review Outlook and please listen, in the legislature towards the end of September where he showed that and I quote “inequalities in the Western Cape, distribution are generally high almost all the regions of the Western Cape,” and he says: it is at its highest in the past 10 years I this Western Cape. Shame on you, DA!
Afrikaans:
Statistieke in 2017 bewys dat meer as die helfte van die informele nedersettings in die Kaap Metro gevind word binne die Khayelisha — Mitchells Plain distrik, en gekombineerd met Cape Flats, Tygerberg, and Blaauwberg, ’n gekombineerde totaal van 213 163 informele eenhede het, terwyl Table Bay ’n skrale beraamde totaal van net 9 584 informele eenhede het.
Selfs gedurende die waterkrisis in die Kaap was daar bevind dat die informele nedersettings slegs 4% van die water in die Wes-Kaap verbruik, maar byna nie behoorlike drinkwater gehad
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het nie, terwyl sommige welaf inwoners in die voorstede die luuksheid van swemgeriewe in hul agterplase kon geniet het.
English:
How can we support the motion that there should be fair and equal access to job opportunities when the imbalances of the past have not yet been addressed, when noncompliance to transformative legislation is the order of the day, when income distribution, access to basic services like proper water and sanitation, access to decent health care, access to quality education are not shared equally amongst all citizens of South Africa as we speak. [Interjections.]
The incentives and Special Economics Zones, SEZs, are creating jobs and uplifting poor areas. The R18,8 billion allocation for incentives in the Department of Trade and Industry, DTI, budget over the next three years will enable the government to continue providing financial support to the private sector.
We appreciate the YES initiative by President Ramaphosa, which is a collaboration between different stakeholders where business will be incentivised to employ young people to gain
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work experience and seeks to place 1 million young people over three years into sectors like tourism, hospitality, financial and manufacturing.
Special Economic Zones and industrial hubs can and will expand economic opportunities in underdeveloped areas for the creation for the equal and fair job opportunities. The private sector organisations investing in SEZs benefit from a reduced corporate tax rate and the employment tax incentive. It is comparable to global competitors.
Manufacturing is and will continue to be alongside agro- processing a great job opportunity creator. Recently, the manufacturing investment programme of DTI achieved job creation of 26 030 new jobs from a R400 million investment.
Today is important that all of us need to ensure the vision of this beautiful beloved country of our nation-building and social cohesion is fulfilled but special efforts need to be made to restore the human dignity and pride of previously disadvantaged groups through effective implementation of transformative legislations.
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We must make a positive difference where we find ourselves and stop grandstanding and have to offer ourselves and get our hands dirty in the interest of the Thuma Mina campaign. That’s why we know that the mandate to the ANC will once more being renewed in 2019 and members are not silly, they will vote for the ANC. I thank you very much. [Applause.]
Mr T E MULAUDZI: Hon Deputy Speaker, the reality of the challenge facing South Africa today is that our economy was structured in a way that serves the interest of minority to the exclusion of the majority. This was done through conquest, and through putting together a suite of legislative mechanisms that ensured that African people would only play a subservient role in the economy, whose sole purpose is to serve the interests of the minority.
It is therefore illogical to expect that the same economy, structured the way it was 50 years ago, to do the miracle to serve the interests of all South Africans. To create jobs and eradicate racial economic inequality to this country, some tough decisions relating to the structure of the economy must
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be made.
At a fundamental level, this must entail a radical distribution of wealth, property and resources to those who were excluded from the mainstream economy for decades. The first of these interventions must be the expropriation of land from the minority without compensation for redistribution to the marginalized majority.
This must be accompanied by swift reform in our agrarian economy, to diffuse the power of agrarian monopolies and empower smallholder agriculture to produce food at a massive scale at a local level, to reform access to agricultural market for local farmers to make it easy for them to sell their produce.
This cannot be done without also reforming financial institutions. For this reason, we have always called for the establishment of the state bank that would make access to credit easier for the poor, and much smaller interest to be given.
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At a policy level, the state needs to develop policies that would protect not only agriculture, but all infant industries from unfair global competition. We must emphasize the importance of buying locally produced goods for our consumption.
It is very wrong that we must export our raw mineral resources only to import them back as finished material. We must keep South African jobs in South Africa. We must keep our platinum in South Africa and it must be processed in this country, and produce jobs in this country. This cannot be done if the state remains a spectator in the economy. We need a developmental state that can decisively intervene to restructure the economy at a fundamental level.
The majority of white people were lifted out of poverty because the colonial and apartheid government used state entities as tools for development, instead of a limited government as the likes Mr Pravin will have us believe. We actually need more state-owned enterprises to drive development and employ our people.
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We need a state construction company to lead infrastructural development initiatives, while employing thousands of our people. We need a state guided development of the manufacturing sector, to ensure that both at the policy and implementation level, our manufacturing sector is performing and creating jobs.
Lastly, we need to protect existing jobs by making it very difficult for companies to retrench people willy-nilly as they have been doing. This must be done through a Job Protection Act that must oblige employers who want to retrench to first find alternative jobs for their employees.
The resolution of the jobs and inequality problem in this country requires a strong state with sufficient capacity.
Xitsonga:
Nkul X NGWEZI: Mutshamaxitulu, loko u languta vanhu laha tikweni ra hina va kuma mitirho ya kahle...
English:
...and this is what you must do. You must listen properly. Jobs empower people, jobs overcome historic exclusions and
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jobs create pathways out of poverty and lead to a myriad of socioeconomic improvements not only for the families that have employed breadwinners but for the nation as a whole.
The exclusion begins in early childhood development and so this is where we must begin addressing the challenge. Early childhood development therefore must fall under the mandate of the Department of Basic Education as a start and not under the Department of Social Development. The problem is compounded throughout the basic and secondary school education which ultimately results in a relatively small segment of the population being able to attend tertiary institutions.
Tertiary qualifications are the doorways to the middle class, middle and higher income lifestyles. Yet, many remain precluded from such access.
In conclusion, hon Deputy Speaker, and in ensuring fair and equal access to job opportunities for all South Africans, we must start with early childhood development and then address the current pervasive inequality at our schools, particularly our schools in rural areas. If we can address these issues at
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basic education level, we will have addressed a foundational aspect of ensuring fair and equal access to job opportunities for all South Africans. Thank you very much.
Mr S C MNCWABE: Hon Deputy Speaker ...
IsiZulu:
Sekela Somlomo weNdlu, mabawuyeke umhlaba wethu.
English:
The subject for debate requires us as this House to bounce ideas for ensuring fair and equal access to jobs for all South Africans. This subject cannot be treated without taking a glimpse at where this nation comes from.
South Africa was under a colonial and apartheid regime for such a long time. The year 1994 marked a dawn of democracy in our country and the Constitution which is the supreme law of our country was adopted. Contained in that Constitution is a fundamental Bill of Rights for all. Among these rights are freedoms and access to equal opportunities, and fairness and justice for all South Africans.
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As South Africans we need to look forward and be purpose- driven. To create the opportunities that we need, we have to deal with all apartheid laws and enact legislation that will be responsive to job creation and investor confidence. Some of these laws continue to be a red tape for ordinary citizens to participate in the economy of the country.
All departments should come up with some legislation that will transform our society and repeal all draconian laws that impedes economic growth and transformation. It starts from there. Good legislation and implementation lays the foundation for prosperity in our country.
Opportunities must not be given to a selected few but all South Africans, wherever they are, must benefit from the wealth generated in our country.
The biggest task facing our government is to democratise our economy. In more than 20 years of liberation, the economy still discriminates against the poor and working class. The only answer to this is for the government to push for a social economy. This is where ordinary citizens in their communities
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participate fully in the economy through co-operative businesses.
It is a strong belief of the NFP that a co-operative movement with the full support of government can assist in changing and improving the lives of ordinary citizens ... of our people for the better. This is the only way to democratise our economy, thereby making our people self-reliant and ... exit the social grant register which is currently sitting at about 17 million beneficiaries.
We believe that once we implement this we will be able to open doors for all our people to participate in the economy. I thank you.
Mr M L W FILTANE: To confirm just how serious the ANC is ... [Interjections.] ... about making sure that millions of South Africans remain poor, even the last man from the Ministry of Labour left the House right in the middle, and you can see how empty the chairs are. [Applause.] And it is these people who are going to go out to South Africans and say, vote us back
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into power so that we can make you poorer. Here are the statistics. [Interjections.]
This ANC ... You vote for them; you vote yourself out of work. They stay in the Assembly and they earn big megabucks. So anyone who does not want to use their brains can continue to vote these people back into power time and time again, and no Minister will even be here to listen to anyone’s suggestions on how to create jobs for poor South Africans. Here are the statistics. [Interjections.]
In 2008 the unemployment rate was 22%. Under the ANC’s rule this has gone up to 27,5%. When you bring in those who have given up looking for work it goes close to 40 ... and in fact when it comes to the youth, in some provinces it’s as high as 50%.
The ANC’s way to keep people hoping that there’s going to be change is to budget year in and year out, provincially and nationally, for what is termed job summits. Can you imagine the President of the country deciding to allocate a budget for a job summit when he knows that they are not serious about it?
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Why must the ANC stay in power if only to keep South Africans poorer and poorer by the day? You don’t deserve to be where you are.
These job summits yield nothing. I can’t count the number of job summits that have been held in my own Eastern Cape. Since
10 years ago, nothing has ever been yielded by any job summit, even the recent one. It’s not going to yield anything. The ANC decided to hold this job summit knowing full well that it’s not going to deliver anything. But, at least there will be a record to say, we tried.
Now, on 26 March 2014 former President Zuma spoke somewhere in the Northern Cape or in North West, and he was so joyful that the number of people who are going to depend on the national food security had increased. Can you say a man who is leading the country is soberly rejoicing? He was happy. So how can we believe that the ANC is serious about job creation? No wonder we are where we are.
The UDM submits that in order to make serious inroads into unemployment, and in particular amongst the historically
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excluded groups, South Africans — not the ANC — must revisit the implicit and explicit ideas struck at the time. We should all remember that an elite bargain over the country’s economic framework formed an essential part of the foundation for a democratic South Africa.
South Africans need a coherent package delivered from the carefully thought-out tradeoffs from all stakeholders, treating each other with respect and honesty, with the interest of the country at heart. I thank you. [Applause.
Dr P J GROENEWALD: Deputy Speaker, the subject of this motion is not about creating job opportunities. It is about ensuring fair and equal access to job opportunities.
The hon Van Schalkwyk from the ANC stood here and about the fact that there is no service delivery and no equality when it comes to service delivery. That is actually blaming white workers for the situation and the fact that blacks don’t have those opportunities. What are the real facts? Let me say to this hon member that, at this moment, more than 40 000 vacant positions are available at local government level for water
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engineers. Why are they vacant? It is because they are reserved as affirmative action vacancies.
There are white engineers. There are brown engineers ... [Interjections.] ... and you laugh, but you don’t want to appoint them, and that is why we get the situation where sewage just flows into our rivers. Therefore, if we want to ensure equal and fair access, then we must do away with affirmative action. [Interjections.]
Afrikaans:
Dit is totaal onaanvaarbaar dat jongmense wat in 1994 gebore is vandag die prys moet betaal. Omdat hulle wit is, mag hulle nie werk kry nie. Omdat hulle wit is, mag hulle sekere posisies nie kry nie, mag hulle nie beurse kry nie.
English:
You can even look at the President’s Youth Employment Scheme.
Afrikaans:
Wanneer witmense aansoek doen, ons jeug daarvoor aansoek doen, dan sê die rekenaar hulle mag nie, want hulle is wit. Toe ons
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klagtes lê by die Menseregtekommissie, toe word daar ’n verandering gemaak, maar u mislei die mense van Suid-Afrika, want jy kan aansoek doen, maar nog steeds nie deel wees van die skema nie. Jou curriculum vitae word na ander plekke gestuur. Dit is rassisme. Dit is diskriminasie.
English:
If you want to ensure fair and just access, do away with affirmative action. I thank you.
Ms G S A NGWENYA: Deputy Speaker, some of us are tall in intellect but a bit small in stature. [Laughter.] Insufficient jobs are being created in South Africa to absorb our labour force, and it is important to explain how it is that the ANC – this big, green job-killing machine – has systematically destroyed jobs in South Africa. The ANC machinery has deployed a two-pronged strategy to destroy jobs and, in turn, to ensure that even if the majority is free from apartheid, they should never be free from the ANC.
The first assault is on education and the educated. One of the well-known figures of the French Revolution, Maximilien
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Robespierre, stated that “the secret of freedom lies in educating people, whereas the secret of tyranny is in keeping them ignorant”. More crudely put, this means keep them stupid; keep them subservient. How else can one describe the motive behind this government’s poor management of the education system, a system so poorly mismanaged that the average learner who reaches Grade 4 cannot read for comprehension? If there should have been one job for the postdemocratic government to get right, it was this – to educate people. Instead of young people filled with knowledge and promise, we hear grim stories of young people dying in pit toilets filled with excrement.
To add insult to injury, for those who do manage to escape the dismal education system unscathed, on them the ANC bestows constant vilification. The “clever black” narrative has often been repeated in the ranks of the ANC and this year by the EFF when Mr Floyd Shivambu said that there are a lot of whites who get clever blacks to front. Mr Ndlozi too seemed to think I had to apologise for having a solid grip on the English language. Jobs cannot be created and sustained in an environment where to be educated, to be articulate, and, even worse, to question is considered anti-black. [Applause.]
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For many years, my father was the principal at Vukuzakhe High School, a school in Umlazi township. My mother is a teacher too in Umlazi, at Zwelibanzi High School. Therefore, growing up, I was aware of those two words: “vukuzakhe”, the meaning loosely translated to “wake up and build your own future or mould yourself”, and “zwelibanzi”, meaning “an expansive land”, but I never paid them much attention. I am, however, profoundly aware of them today because unwittingly they best describe the message of the party that I, and many others like me, have placed our confidence in. We want to create a society that teaches the attitude that you can do it, that education and hard work, not political connections, can take you far, and that ours is not a closed cabal of cadres but an open and expansive world filled with opportunity.
The ANC and the EFF despise clever blacks because it is precisely the questioning, forward-looking South African who shuns and is embarrassed by ignorance. [Interjections.] Those at home will know what it’s like to listen to a mumbling, incoherent Minister and to wonder how it is that this person is paid millions of rand whilst many sit at home without a job. [Applause.] It is the clever black who shuns the
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opportunity to lick the boots of politicians and to eat the scraps that fall from their table because they want to make it on their own merits. The ANC and the EFF have it wrong.
Ms N K F HLONYANA: Deputy Speaker, on a point of order: Can the speaker at the podium please just stick to the ANC ...
IsiZulu:
... asishiye phansi thina siyi-EFF.
English:
The DEPUTY SPEAKER: Hon member ...
IsiZulu:
Nk N K F HLONYANA: Ngisacela abhekane ne-ANC ayeke ukusihlanganisa ne-ANC.
English:
The DEPUTY SPEAKER: Hon member, you are out of order! That is not a point of order. [Interjections.] Proceed, hon member.
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Ms G S A NGWENYA: The ANC and the EFF have it wrong. Clever blacks, whether urban or rural, whether they have a university degree or not, have not forgotten where they come from; they are just determined not to remain stuck where they began.
The second assault has been on the private sector, in
particular business owners. There is no shortage of legislation targeted at making the lives of those who operate in the private sector more difficult. In South Africa, we work according to the motto, “If it works, fix it”.
Illustratively, the private security industry employs close to half a million active officers, and yet the ANC saw it fit to
introduce the Private Security Industry Regulation Amendment Bill that threatens to bring the sector to its knees. What conceivable reason is there to disrupt a sector that in one shot is providing jobs and filling the gaps left by the SAPS?
Like little children, our government must touch everything, but unlike children, they don’t learn. Just last week in the finance committee, I was lambasted by an ANC Member of Parliament for defending the interests of capitalists. Of course, we defend the interests of capitalists!
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[Interjections.] The ANC would have South Africans believe that the only capitalists are the likes of the Ruperts and the Oppenheimers. [Interjections.] That was the same thinking of the apartheid architects – to keep black South Africans along a separate, inferior path.
The ANC continues that mantra today. Education, capitalism – those things are for white people, an easy thing to say when you live off other people’s money. [Applause.] [Interjections.] Too many politicians, unfortunately, are
handsomely paid with no qualifications and no business acumen. The rest of South Africa, however, depends on entrepreneurs in the private sector to identify opportunities, to take risks
that hopefully reward not only themselves but those they create jobs for. Those capitalists, or “capital crusaders”, as Herman Mashaba calls them ...
Mr N V XABA: Deputy Speaker, on a point of order: Will the member take a question? I want to ask about Lindiwe Mazibuko. [Interjections.]
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The DEPUTY SPEAKER: Hon member? No, wait. Wait for the answer. Hon member, are you prepared to take a question?
Ms G S A NGWENYA: No.
The DEPUTY SPEAKER: The answer is no, sir. Take your seat.
 |
Mr D W MACPHERSON: Deputy Speaker, there is a lot of mumbling coming from that side of the House. Can you ask them to just turn it down a bit, please.
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Mr C D KEKANA: Hon Deputy Speaker, before I get to my topic may I just respond to the FF Plus speaker who said we must abolish affirmative action. If you remember the 2007 second economic review, that review reviewed the Shared Growth Initiative for South Africa, Asgisa and the Joint Initiative for Priority Skills Acquisition, Jipsa. That review was the second economic policy of our government. It is the one that identified scarce skills. The ANC adopted the policy that said we are going to go out because we have scarce skills. They were deliberately scarce because the apartheid system actually had by law forbidden blacks to become engineers. These scarce skills were there. After 1945, when the Afrikaners took over, they decided to effect affirmative action against the English. They felt that they have been denied skills and as a result the whole railway programme and the whole government structures were ran by Afrikaners. That was affirmative action. [Applause.]
They even established their own businesses. The Afrikaner bourgeoisie started there - Sanlam, Volkskaas, Perm Bank, they all started there because it was the Afrikaners’ affirmative action. Therefore, it is not fair to run for 48 years in
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favour of the Afrikaners and when they lose they say blacks must not do it. Actually, we just want justice. Everybody must get a fair opportunity for the skills and we are not excluding anybody. [Applause.] As I have quoted the Afrikaners who were on pension were recruited back into the system even though they have gone to pension due to their age. They were engineers and had scarce skills.
My topic today is the role of skills development to enhance access to job opportunities. The policy of the ANC is in accordance with the National Development Plan, in accordance to our manifesto and accordance to the White Paper. I am mentioning manifesto because during the last elections our people said they want jobs to be created as priority number one. Now we have designed a policy that is supposed to enhance that and we are starting with scarce skills - scarce skills according to trades in order to develop the economy in line with the globalised economy.
Remember we are already in the Fourth Industrial Revolution. What are these four industrial revolutions? The first one was when industrialisation started - the steam engines; the second
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one was about electrification; the third one was electronic revolution; and the fourth one that we are in now is quantum DNA where machines would be very close to be doing things like human beings. They can think and do things and initiatives.
So, these are the four industrial revolutions. In other words the economy keeps on changing all the time. When you are training you need to train and upgrade yourself according to the changing needs of the economy.
Just to show how serious we are as government, in 2017, we have spent R7,4 billion. This year, 2018, we have spent R10,7 billion in technical and the vocational education and training, Tvet, colleges in order to develop the skills that are needed by our economy. We are making an appeal to
businesses and industries to open up their factory shop floors for our people and our students from colleges to train and do apprenticeships because it is apprenticeships model. We started right there at the beginning of the industrial revolution in developed countries. It is not just students that we want to be exposed to workplace experience and practical, but also lecturers so that when they go back and
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lecture they lecture according to a curriculum that is in line with modern global economy.
The last point I want to make is that we are actually moving from a two stream where you integrate education and training, education at university, training at colleges which is too frond, technical and vocational training. As I am saying discussions are taking place with Basic Education because it must not just be postmatric, but we would like the programmes of skills development to take place right at basic education. Basic education must train educational, academics, vocational and technical so that by the time they get to Tvet colleges they have an idea of what it is all about. Thank you, Chair. [Applause.]
Mr W M MADISHA: Deputy Speaker, the achievement of equality is a founding value of our Constitution. It is, in the words of former Deputy Chief Justice Moseneke, “the most prominent organising principle of our democratic enterprise”.
In order to address the historical disadvantage, our equality clause permits legislative measures to achieve equality. The
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Employment Equity Act forms part of a suite of legislation to give effect to this.
These sub-constitutional laws, to use a phrase made infamous by the Constitutional Review Committee, “make explicit what is implicit” in the Constitution. They provide an enabling environment and the means to promote the achievement of equality, including fair and equal access to job opportunities.
The sad reality is that a recent World Bank study concludes that despite our constitutional order, our legislative regime and a progressive tax system, inequality has increased since apartheid; that the triple challenge of high poverty, high inequality and high unemployment persists; that poverty remains concentrated and highest among black South Africans, the less educated and the unemployed; and that the rich are getting richer, whilst the poor are getting poorer, and that the gap is widening.
Studies show that those that have benefitted from our equality legislation and policies, are those who were already fairly
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advanced on the social ladder - people with good education or social connections; and that those who are being left behind are poor black citizens with poor education outcomes or skills, and without contacts.
The imperative to right the wrongs of the past have been abused and perverted. Cadre deployment and patronage are inherently corrupt, abusive, unfair, and damaging practices. They enrich the elite and the politically connected, at the expense of those who should be the beneficiaries of such policies. [Time expired.]
Mrs C DUDLEY: Deputy Speaker, economic empowerment or equal access to job opportunities for all South Africans, few would disagree, starts with achieving and maintaining quality education across rural and urban divides and across all areas, from the most affluent to the most impoverished. At the same time, opportunities to learn a skill, gain experience and embark on a career path need to be available to absorb school leavers and inspire young people with both achievable and outlandish goals. Black economic empowerment, no matter how
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well intended, cannot produce what quality education can in the long term.
Transforming education and equalising opportunity are in the hands of government, the private sector, communities and parents. One of the big challenges is also the managing of the necessary tensions between unions and employers in the sector. Co-operation on both sides is a must because the education of learners cannot be sacrificed on this alter.
Interestingly, South Africa spends 2% more on education than the average for upper-middle-income countries globally, although less than Botswana and Namibia. The problem does not therefore seem to be money as much as it is bad management, lack of accountability and a general instability.
Instead of discouraging private education and home schooling, government should be encouraging and supporting these initiatives, providing positive regulations to facilitate their success and expansion, in order to relieve the burden on public schools. A number of studies in South Africa support the notion that private schools can and should play a positive
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and complementary role in providing accessible quality education.
Private universities should also play an important role. Currently, 50 000 Grade l2 school learners who qualify for university cannot get a place in the country’s public universities and if properly managed, private universities can help fill that gap.
The ACDP calls on government to facilitate this process by supporting the Council for Higher Education, which is responsible for the accreditation of both public and private higher education institutions. This would require an amendment to the Higher Education Act, which precludes any institution from calling itself a university without permission from the Minister of Higher Education.
Another controversial thought is that serious consideration should be given to the fact that equal access may well necessitate the adoption and advancement of a single language, like English, as the medium for secondary and tertiary education, and for formal communication in all sectors, in all
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public-funded education institutions, and in government. We can talk about that so much more.
The ACDP agrees that, while education should focus on the natural and practical sciences, ... [Time expired.] Our young people deserve better.
Mr R W T CHANCE: Deputy Speaker, just a few days ago, I was in conversation with a Wits master’s student about the future of South Africa. She said she was seriously considering emigrating to the UK, following many of her friends who had left South Africa in the past few years. Her reason? The jobs situation here is so bad, and prospects in the UK are better, even with Brexit looming.
What really concerned me is that she and the friends she referred to are young, black professionals, the sort of people our country needs to be a successful nation.
This sums up where South Africa is today and it’s not a pretty story. If our economy cannot create opportunities for our best and brightest to stay and thrive, we are in dire straits.
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Jobs Summits that artificially create 275 000 jobs every year are no substitute for innovative entrepreneurs creating real, sustainable jobs based on rising business confidence. That is what the DA delivers wherever we govern.
For South Africa to create jobs and opportunities for all, we need economic growth. Without growing our economy, the population will only get poorer.
In its report following public consultations on the MTBPS, the Treasury makes the following observation and I quote:
Our main challenge is persistently low economic growth. The underlying causes cannot be fixed through the fiscal framework. What is required is implementation of growth reforms, together with efforts to improve services by strengthening governance, stamping out waste and corruption and turning around key state institutions.
I couldn’t agree more. The DA has been advocating these measures for years. It seems that Treasury is the only government department to have woken up to this reality. What
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are these growth reforms Treasury refers to but does not specify? They include making the economy more competitive and export-focused; reducing the cost of doing business; equipping South Africans with better skills; attracting more skilled immigrants; and supporting small businesses.
South Africa has dropped from 47th in 2016 to 67th in 2018 in the World Economic Forum’s Global Competitiveness Index report. The report scores countries in four broad areas - enabling environment, markets, human capital and the innovation ecosystem. This alarming drop makes us a less attractive investment destination, and shows up in our dropping share of foreign direct investment.
In 2017, South Africa recorded negative foreign direct investment. The recent investment conference was more of a confidence trick than a convincing commitment to make South Africa investment friendly.
Export-led growth has characterised all high-growth economies since the industrial revolution. The so-called Asian Tigers
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and China are the most recent examples of countries achieving sustained levels of 6 to 8% growth on the back of exports.
South African consumers lack the purchasing power to drive growth to these levels, essentials to shift the job creation needle. The DA would prioritise exports to high-income countries and transform our moribund embassies and high commissions into super-charged export promotion offices.
One of the simplest ways to boost growth at little cost to the state is to attract skilled foreigners and new businesses into South Africa. We would accordingly simplify the visa regime and scrap the idiotic regulations for minors introduced under former Minister Gigaba.
Unbelievably, in 2016, Home Affairs issued not a single business visa for any start-up company, and only 25 for existing businesses. The DA would go on a recruitment drive to attract entrepreneurs and start-ups by introducing a start-up visa, following the lead of Canada, the UK, the Netherlands and other countries.
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The cost of doing business in South Africa has to come down and red tape has to be reduced. These deter investment and kill jobs. The 2018 World Bank Doing Business in South Africa survey suggests recent improvements, but we are still not getting up there with our peers. Charges at the port of Durban are more than double the OECD average, a huge deterrent to trade.
South Africa’s labour environment was designed by big government, big business and big unions. It excluded small business, which is meant to be the major source of new jobs. Business owners are reluctant to hire staff because it’s too difficult to fire them when times get tough.
They are forced to adopt wage agreements negotiated without their say. A DA government would exempt companies employing less than 250 staff from restrictive labour laws to encourage them to hire more people.
We would also immediately tackle the scourge of late payment of suppliers, particularly SMEs. Both government and big business are guilty here. This morning, I was with the owner
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of a steel fabrication business who was close to going under, due to late payment by Eskom.
Government must fulfil President Ramaphosa’s promise to lay charges of misconduct against offending accounting officers. Business Leadership South Africa and Business Unity South Africa must publicly support the Prompt Payment Code of paying suppliers within 30 days.
A longer-term problem that must be solved is improving the educational outcomes of our young people. This will involve tough choices the ANC has avoided, including tackling the unions’ grip on our schools. It will also require more resources for our TVET colleges, which must produce the skilled workforce a growing economy relies on.
Taken together, these reforms will boost growth and job creation by tackling both the supply and demand sides of our economy. A business-friendly environment in an open-market economy is essential for job creation, equal access and retaining our brightest minds. Only the DA can bring this about. I thank you. [Applasue.]
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Mr N J J van R KOORNHOF: Deputy Speaker, before we start to unpack the ideas for ensuring a fair and equal access to job opportunities, let’s dwell a little on the issue: Which jobs will be the opportunities for the future? And, further: What are emerging skills required if you want the job in the future. The World Economic Forum, WEF, in its report, The Jobs Landscape in 2022 – that is four years from now - are reporting that the top-ten emerging jobs will create
133 million jobs world wide.
But, what are these jobs? You have to be a data analyst; you have to be a scientist; you have to be an operation manager; you have to be a software developer; you have to be a big data specialist; and you must be in an information technology services industry. Basically all linked to the importance of a healthy science and technology environment.
However, the top-declining jobs, they say, are: Data entry clerks; accounting clerks; secretaries; executive secretaries; factory workers; and, believe-it-or-not, auditors. It is clear, the report says, and I quote, that:
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Emerging contours of the new world of work in the fourth industrial revolution are rapidly becoming a lift reality for millions of workers and companies around the world.
Only those who can reform education, the labour market, industrial policies and develop the right skills will survive. If you want a job in future, you will need the following emerging skills: You have to be creative; you must be an analytical thinker; you must be basically a technologist and designer; you must be able to be a complex problem solver; and you must have a good dose of emotional intelligence. [Interjections.]
If you want fair and equal access, you must be able to guide your labour force to develop these skills and beat the correct training required by the emerging job chart. You have to embrace the drivers of change. What are they? You have to access high speed mobile internet – it is vital to all. Not only to the rich; to everybody! That is a driver for change. [Interjections.]
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We are going to see more robots. Artificial intelligence will change our industries. According to the World Economic Forum, 29% of tasks were performed by machines in 2018. In four years from now, it will be 42%. Fifty percent of industries expect that automation will reduce the workforce, but the good news is that 38% expect to extend the work force. It is all about new roads, less regulation and more flexible approach. [Interjections.] The good news is that across all industries by 2022, the emerging professions I have to earlier will increase their share of employment from 16% to 27%.
We shall see a huge shift and new skills required to perform the most jobs. We, in the ANC-led government will need to play a fundamental role in helping those who are displaced to repurpose their skills, to retrain them and to make sure our education works effectively. Only the ANC can do that! [Interjections.] We need to look after our children. They are the labour force of the future.
The hon Ngwezi spoke about the importance of early childhood development. I agree with him. The first one thousand days describes the time from the start of pregnancy to a child’s
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second birthday. This is the most significant period of any child’s development. If you failed us, forget about a stable labour force. Forget about fair and equal opportunity.
This is the trap of poverty and the only government is the ANC-led government that will lead us out of that poverty. [Applause.] [Interjections.] Science tells us that your brain develops faster in first thousand days than any other time in your life. That is a basic, and we should get it right. [Interjections.]
If we want fair and equal opportunities, we must be tough on corruption. Here in South Africa, we are seeing the attempts to turn it around with the commission on state capture. We must protect the quality of our infrastructure. That is why the news about load shedding is alarming. [Interjections.] I admit that. We have many pockets of excellence in South Africa, and we have to protect them. To ensure a fair and equal access, you will need a good style of leadership in this country. [Interjections.]
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We have shown it to the world that we, as a nation, are excelling when we have good leadership. According to Clem Sunter, and I quote him:
Our current President is definitely a person who can exercise the right kind of inclusive leadership to put us on our feet again. [Applause.]
So, the best idea of all for jobs: Let’s all vote President Cyril Ramaphosa in on 2019 General Elections. [Applause.] [Interjections.] Then we will have jobs!
The hon Hill-Lewis, you are completely wrong about the President. Under his guidance, we will attract more foreign investments in 2019. We shall build the township economy. We shall diversify SMMEs ownership. We shall make a success of land reform and rural development. We will grow the agriprogrammes in partnership with Agri South Africa and that will add massively to new jobs.
I see I have got few minutes left. The hon Hill-Lewis, you are the chief of staff of your leader. Your introduced a motion
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here but you dish up a DA rally speech. You had seven minutes; you used all seven minutes by naming and shaming the ANC and attacking our President. Hon Hill-Lewis, I have really thought you could do better. [Interjections.]
You mention the EPWP, in this province, ruled by the Western Cape. My inbox – and I think that of many other members of government in this province – is full of people who are not DA members and never employed in terms of the DA-run EPWP programmes. So, don’t point fingers to us if you do exactly the same. That is not the way! [Interjections.]
Let me just say that the EFF made a very calm speech here today, but hon Mulaudzi made one point: He is unfairly targeting the white minority in this country – unfairly! This afternoon, the hon Malema, standing outside the Zondo commission offices, said, and I quote:
When you fight against Pravin, you must be ready. There will be casualties. There might be even loss of life. I am not scared of white people - of Johan Rupert or the Oppenheimers - the white people handling them.
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This blatant racist statement by the EFF leader will not grow jobs in South Africa and it must stop. It is against the spirit of the Constitution [Interjections.]
Ms N K F HLONYANA: We are not scared! We are scared Deputy Speaker!
The DEPUTY SPEAKER: Hon member, you are out of order!
Mr N J J van R KOORNHOF: It is against the spirit of the Constitution and it is wrong! I, as a member of the ANC and a member of the white minority, I do take offence to his statements. Let me remind you: There was another party here, the PAC. I don’t think they are here anymore. They were very hardly judged by the voters when they took this stance. So, a warning is out to the EFF: Don’t be so racist and count your words in future. [Interjections.]
Ms N K F HLONYANA: We are not racist, Deputy Speaker. [Interjections.] We are not racist; we are just not scared of white people! [Interjections.]
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The DEPUTY SPEAKER: Hon member, where do you come from? How do you do that nonsense you are doing? [Laughter.] [Interjections.] You stop that; you don’t do that! This is Parliament, please, and there are rules here. [Interjections.] No, this is disrespectful of the House, not of the member here. You can’t rise when you please! [Interjections.] You will have a chance outside to respond here. If you want to respond in the House, you do it orderly. You are out of order. Keep your mouths for a little while, please. I request you. Go ahead, hon member!
Mr N J J van R KOORNHOF: Deputy Speaker, I am concluding. I just want to refer to the hon Ngwenya. She is a young and a new member of this House. I want to with her all the best. She left the podium with a standing ovation from her own party, but unfortunately the same has happened to so many other promising DA Members of Parliament before her. [Applause.] Many of them have left this House and that caucus. I hope ... [Interjections.] I really hope that she will survive the liberal onslaught. I thank you. [Applause.]
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Mr G G HILL-LEWIS: Hon Deputy Speaker, it is interesting to be warned about leaving parties for someone who has left many of them. Hon Van Schalkwyk, let me just say that many of the examples that are used from the Northern Cape where you are supposedly a leader of the ANC, what have you done about the pugnacious culture of cash for jobs and sex for jobs in your province madam? Even in your own constituency of Douglas; that is your constituency.
Earlier this year, there were riots because residents have a video of the mayor saying you will only get jobs in Douglas if you are an ANC member. What did you do about that? [Interjections.] Nothing you did, preciously nothing. You could have come here and apologise for everything that has gone wrong before but you did nothing.
Hon Koornhof you say that we must have all of these qualifications to get a job in the new economy but the truth is, under the ANC government you do not need any of those qualifications because the ANC only expects one thing, money or sexual favours. That is what the ANC wants for jobs and nothing else. Come and apologise here. [Applause.]
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Ms N K F HLONYANA: Hon Deputy Speaker, may I address you? It is very cold. Can something be done with the air conditions please?
The DEPUTY SPEAKER: Tell your Whips, they know what to do.
Debate concluded
DEATH OF MORE THAN 40 PEOPLE AFTER A BUS HEADED FOR SOUTH AFRICA COUGHT FIRE ON BEITBRIDGE BULAWAYO ROAD IN ZIMBABWE
(Draft Resolution)
Mr M S A MASANGO: Hon House Chairperson, I move without notice:
That the House —
notes with sadness the death of more than 40 people after a bus headed for South Africa caught fire along the Beitbridge-Bulawayo road in Zimbabwe, on Thursday, 15 November 2018;
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understands that at least 27 more people suffered injuries in the blaze and were admitted at Gwanda District Hospital;
further understands that the bus left Zimbabwe’s a mining town in Midlands province, and was headed for Musina, a border town in South Africa’s Limpopo province;
recognises that preliminary investigations suggested the fire was caused by an explosion of a gas cylinder in the luggage compartment;
acknowledges that the high cost of gas in Zimbabwe has prompted many Zimbabweans to journey with gas cylinders to neighbouring South Africa for a refill;
recalls that this is the second bus disaster within two weeks after two buses collided on 7 November 2018, killing 47 people in Zimbabwe;
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conveys its condolences to the families of the deceased and the government of Zimbabwe; and
wishes those injured a speedy recovery.
IsiNdebele:
ipalamende yeSewula Afrika ithi nxanxabe, uZimu nabezimu baphakamise izandla. Ngiyathokoza.
SUCCESS OF PARLIAMENT SQUASH CLUB’S FIRST TEAM
(Draft Resolution)
Mr C H H HÜNSINGER: Hon House Chairperson, I move without notice:
That the House —
notes the success of Parliament Squash Club’s First Team;
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recognises that they ended this season in the first position of the Western Province 15th League by winning 90% of their games under the captaincy of Mr Bradley Viljoen;
congratulates the rest of the team: Mr Louis Londt, the hon Jaco Londt, Mr Randall Favier and Mr Darin Arendse who will be promoted to the 14th League next year;
further congratulates the second team who ended third in the 16th League under the captaincy of Mr Garron Phillips; and
acknowledges the contribution of the Parliament Squash Club in their ambassadorial role with club members consisting of a multitude of official capacities at Parliament, all playing together in various teams promoting Parliament through sport. [Applause.]
PLIGHT OF PETROL ATTENDANTS ALL OVER SOUTH AFRICA
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(Draft Resolution)
Mr P G MOTEKA: Hon House Chairperson, I move without notice:
That the House —
notes the plight of petrol attendants all over South Africa and their poor working conditions which continue without being noticed. At a sectoral meeting held by the EFF on Sunday, many raised the disturbing issue of lack of safety especially from ATM bombing criminals and there is no police visibility near their workplace. Petrol attendants are exploited, overworked and extremely underpaid. This problem is made worse by customers who make fraudulent payments, leaving the petrol attendant liable even when they are not provided enough equipment to prevent such crimes;
acknowledges the work of petrol attendants all over South Africa; and
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calls on the Portfolio Committee on Labour to engage all stakeholders, including petrol attendants, to work on a plan to create a policy that will improve their working conditions.
NATIONAL IMBIZO FORTNIGHT OF ACTIVISM KICK OFF
(Member’s Statement)
Ms N W MAGADLA (ANC): Hon House Chairperson, the ANC applauds the kick-off the National Imbizo Fortnight of Activism, it welcomes the ninth National Imbizo Fortnight of Activism which started on 12 until 25 November 2018 under the theme, “Together we move South Africa.” The campaign is in line with the Thuma Mina or Send Me, which a call is made by the President Mr Cyril Ramaphosa which is aimed at improving the lives of our people and solving the problems they are faced with. Throughout the fortnight of activism government leaders from all three spheres of government including Ministers, Deputy Ministers, premiers, mayors and senior government officials are leading the engagements with various communities across the country.
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The imbizo platform will provide communities with an opportunity to interact with the public representatives to address issues such as gender-based violence, poverty, unemployment and inequality. The ANC urges communities to use the imbizo platform to propose ideas for or solutions to some of the socioeconomic issues in the country. This is an opportunity for all citizens to exercise their active citizenry, rights and strengthen the democracy that Tata Nelson Mandela and Mama Albertina Sisulu fought for. I thank you, House Chairperson. [Applause.]
The HOUSE CHAIRPERSON (Ms M G Boroto): Hon Magadla, I think that was a Member’s Statement and it was not circulated. So, I am not going to put the question.
Mr P D N MALOYI: Hon House Chairperson, we request that during the Member’s Statement time you allow her to read the statement because you are the one who called her name. You confused her. [Interjections.]
The HOUSE CHAIRPERSON (Ms M G Boroto): Hon members, the ANC members, it is said you have numbers. So, if you raise your
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hand, she raised her hand and that is why I recognised her first. So, you have numbers; do not raise your hands anymore. So, the one who is at number two, continue.
Setswana:
Rre S G MMUSI: Ke a leboga Modulasetulo. Mokgatlo wa ANC o tsitsinya ko ntle ko ntle ... [Tsenoganong.]
Ms N W A MAZZONE: Chairperson, on a point of order, please. I am sorry to interrupt the hon member. However, Chairperson, am I right in my understanding that you are giving the ANC two chances?
The HOUSE CHAIRPERSON (Ms M G Boroto): No, no, no. It is not like that hon member. [Interjections.]
Ms N W A MAZZONE: Could you just explain to the House ... [Interjections.]
The HOUSE CHAIRPERSON (Ms M G Boroto): I am just explaining to them that they raise hands and somebody speaks that side and I do not see them. I see the one who is raising the hand. So,
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what I am asking is that they have numbers on their list so, they must work on that. Thank you.
Ms N W A MAZZONE: So, Chairperson, then because that ANC member spoke that will be taken of the Member’s Statement. Thank you.
The HOUSE CHAIRPERSON (Ms M G Boroto): Yes. ANC continue, actually restart.
CONGRATULATE BANYANYA BANYANA ON THEIR VICTORY OVER NIGERIA
(Draft Resolution)
Setswana:
Rre S G MMUSI: Modulasetulo, mokgatlho wa ANC o tsitsinya ko ntleng ga kitsiso :
Gore Ntlo e —
e tlotlomatse setlhopha sa basadi sa Banyana Banyana ka go itiya setlhopha sa Nigeria botlhoko;
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le go tlhaloganya gore setlhopha sa Nigeria ke sone se se ntseng se itaola ko bophirima jwa Aforika, mme Banyana Banyana bone ba se tshetse thupa;
go gakologela gore ditlhopha tse pedi tse, di ne di kopane ka ditlhogo jaaka dipoo tse pedi tsa Brahman metsotso e le 84 mme setswerere sa kgwele ya dinao eleng Thembi Kgatlana, a itaya letloa ka kgakgamuso ya nno;
ANC e tlotlomatsa Banyana Banyana ka phenyo e, le go ba eleletsa katlego mo metshamekong e e tlang kgatlhanong le Equatorial Guinea. Ke a leboga motl. Motlatsa Mmusakgotla. [Tsenoganong.]
English:
Ms N R MASHABELA: House Chairperson, on a point of order. My point of order is: This is still a member statement. It is still a statement. We are tired of ... [Inaudible.] ... [Interjections.]
Mr S G MMUSI: Hey, this is a motion ... [Interjections.]
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The HOUSE CHAIRPERSON (Ms M G Boroto]: Hon members, are there any objections to the motion?
No objections. Agreed to. IFP continue.
Mr N PAULSEN: [Inaudible.]
The HOUSE CHAIRPERSON (Ms M G Boroto): Hon Paulsen, Mr Hlongwa is waiting for you to finish talking.
19 NOVEMBER IS WORLD TOILET DAY
(Draft Resolution)
Mr M HLENGWA: Hon House Chairperson, I move without notice:
That the House —
notes that World Toilet Day is marked on 19 November every year;
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acknowledges that around 4,5 billion people around the world live without safely managed sanitation and 894 million people are forced to defecate in the open, posing many health risks;
further acknowledges that World Toilet Day is about nature-based solutions to our sanitation needs;
recognises that the issues of access to decent sanitation in this country in particular has been persistent with many still not having access to decent and safe sanitation in their homes and even at schools;
further recognises that government must provide toilets and sanitation systems that work in harmony with ecosystems as we experience unprecedented climate change; and
calls on government to provide decent sanitation for people and prioritise hygienic and safe toilets for
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the millions of children who attend public our schools as it is a matter of basic human dignity.
TWO SUSPECTS ARRESTED FOR THE MURDER OF FORMER MUNICIPAL MANAGER OF RICHMOND LOCAL MUNICIPALITY
(Draft Resolution)
Mr S C MNCWABE: House Chair, I move without notice:
That the House –
notes that 20 months after Sibusiso Edward Sithole, a former municipal manager of Richmond Municipality, was gunned down in the KwaZulu-Natal Midlands town police arrested two suspects;
affirms that the two men appeared in the Richmond Magistrate’s Court on Monday, 19 November 2018, for the murder of Mr Sithole;
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believes that much needed justice will be expedited and served so that the family finds closure after this ruthless killing of their loved one; and
hopes that these arrests will lead to other arrests for the killings of other officials and politicians that have been going on unabated in the province of KwaZulu-Natal. I so move.
Agreed to.
UDM APPLAUDS DR NOLUBABALO UNATHI NQEBELELE FOR HER PHD IN INTERNAL MEDICINE AT WITS UNIVERSITY
(Draft Resolution)
Mr M L W FILTANE: Hon House Chair, I move without notice:
That the House –
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notes that on 14 November 2018, Dr Nolubabalo Unathi Nqebelele was awarded as a first black woman to earn a PhD in internal medicine at Wits University;
acknowledges that Dr Nqebelele, who has been awarded a PhD in nephrology and has been recognised as this year’s recipient of the Ken Huddle Clinical Role model award, becoming a specialist in chronic kidney disease;
realises that Dr Nqebelele follows in the footsteps of other women in medical profession at firsts at Wits, including legendary Wits alumnae Dr Mary Susan Malahlela and recently elected Chancellor, Dr Judy Dlamini;
congratulates Dr Nolubabalo Unathi Nqebelele for proving that dedication, enthusiasm and all work ethics takes one to places;
encourages all other women who wish to pursue any health care professions to do with the same
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enthusiasm and dedication showed by Nolubabalo as we recognise that traditionally women were in the past discouraged to pursue science careers. I so move.
Agreed to.
DA CALLS FOR VISIBLE TRAFFIC OFFICERS IN THE GOVAN MBEKI LOCAL MUNICIPALITY, MPUMALANGA
(Draft Resolution)
Ms A T KHANYILE: Hon House Chair, I move without notice:
That the House –
notes that there have been several accidents in Govan Mbeki Local Municipality, on the Evander, Embalenhle, Brendan village as well as Graceland roads between Friday, 26 October and Sunday, 28 October;
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observes that three people sustained fatal injuries and about 13 persons injured are unknown and were hospitalised accordingly;
acknowledges that there have been numerous accidents on the aforesaid roads weekly for the past three months;
alls upon on the Govan Mbeki Local Municipality to ensure that there is a very strong traffic officer presence on these roads with immediate effect, and installs speed humps on the aforesaid roads; and
expresses our sincere condolences to all families who have lost their loved ones and wish speedy recovery to all who were hospitalised. I so move.
Mr P D N MALOYI: Hon House Chair, I am here, on this side. The DA knows very well that the motion presented was not circulated.
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The HOUSE CHAIRPERSON (Ms M G Boroto): It was circulated hon member. That is what I am told. I would be told before that if it was not circulated. [Interjection.]
Mr N PAULSEN: Chairperson, what is wrong with the ANC? They do not know the difference between the motion and a statement.
EFF COMPLAINS ABOUT THE PLIGHT OF INFORMAL TRADERS ACROSS SOUTH AFRICA
(Draft Resolution)
Ms N NOLUTSHUNGU: Hon House Chair, I move without notice:
That the House –
notes the plight of informal traders all over South Africa’s cities;
acknowledges that at a Sectoral meeting held on Sunday many of the informal traders complained that government has forgotten about them;
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agrees that they do not have proper sanitation facilities, access to water infrastructure or a conducive place to do their business;
accepts that they raised a concern that informal traders, for example in Braamfontein are pushed away from where they are; and
admits that the continued spatial planning of our cities continues to discriminate against them, despite the importance of informal trade into the economy;
regrets that women continue to suffer all forms of violence, including bodily harm with no protection from Johannesburg Metro Police or SAPS;
Calls on all urgent Joint Portfolio Committee meeting of Small Business Development, Economic Development, Co-operative Governance and Traditional Affairs and Women in the Presidency to hold a public discussion before the end of this year and invite
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all informal traders to tell Parliament how their sector should be reformed going forward. I thank you.
The HOUSE CHAIRPERSON (Ms M G Boroto): Are there any objections to the motion? Yes. In light of the objection, the motion may not be proceeded with. The motion without notice will now become notice of a motion.
ANC APPLAUDS FINANCE MINISTER TITO MBOWENI FOR HIS APPOINTMENT AS A MEMBER OF THE BOARD OF TRUSTEES OF THE AFRICAN UNION PEACE FUND
(Draft Resolution)
Ms D G MAHLANGU: Hon House Chair, I move without notice:
That the House –
notes that the Minister of Finance, Tito Mboweni has been appointed as a member of the Board of
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Trustees of the African Union Peace Fund, on Sunday
17 November 2018;
understands that the appointment of the Trustees of the AU’s peace fund is key step in the implementation of financing of the AU agenda which is part of the ongoing institutional reform processes;
remembers that the role of this Board of Trustees was to ensure strategic coherence and enhanced governance financially and administrative oversight of the peace fund;
recalls that Minister Mboweni also served on the AU Reform Steering Committee convened by President Paul Kagame of Rwanda;
further recalls that hon Mboweni is also a governor on the New Development Bank, a multilateral Development Bank established by the Bricks Block; and
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congratulates Minister Mboweni on his new appointment and wishes him well in his strategic role he is facing. Thank you, hon Chair.
Mr N PAULSEN: Once the ANC deploys pensioners to key positions, we object to that. It is an objection. Why do they send pensioners all over? These are strategic positions.
The HOUSE CHAIRPERSON (Ms M G Boroto): Hon member, you either object. It is not the time for the debate.
Mr N PAULSEN: Ok, we object.
Ms N NOLUTSHUNGU: Hon House Chair, I think it is really important for the people of South Africa to know that the ANC
...
The HOUSE CHAIRPERSON (Ms M G Boroto): Hon member, we are on motions and I will not allow you to take it into a debate.
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Ms E N NTLANGWINI: Hon House Chair, we are objecting to that motion.
The HOUSE CHAIRPERSON (Ms M G Boroto): Thank you very much. That is how it is done. In light of the objection, the motion may not be proceeded with. The motion without notice will now become notice of a motion.
ANC MOURNS THE DEATH OF EIGHT UN PEACEKEEPING FORCE MEMBERS KILLED IN THE DRC
(Draft Resolution)
Ms D D RAPHUTI: Hon House Chair, I move without notice:
That the House –
notes with sadness the death of the eight United Nations Peacekeeping Force members in an operation against the rebel militia in a Democratic Republic of Congo, DRC, Restive East on Wednesday 14 November 2018;
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acknowledges that 10 other peacekeeping troops were wounded and other is missing;
understands that a joint operation had been launched with the DRC troops on Tuesday 13 November 2018 against the Allied Democratic Forces, a jihadist group blamed for bloody attacks on civilians;
recognises that the deaths mark the biggest loss by the large United Nations Peacekeeping Force in the DRC since the rebels killed 15 troops nearly a year ago;
observes that several Congolese were also killed and others wounded in the joint operation; and
conveys its condolences to the families of the deceased and the governments of the attacked troops. I thank you.
The HOUSE CHAIRPERSON (Ms M G Boroto): Are there any objections to the motion? Yes. In light of the objection, the
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motion may not be proceeded with. The motion without notice will now become notice of a motion.
ANC CONGRATULATES TUMELO RAMOKANE OF MAPUDITHOMO PRIMARY SCHOOL FOR HER FEMALE SCIENTIST AWARD IN THE ESKOM SCIENCE EXPO
(Draft Resolution)
Mr M D KEKANA: Hon House Chair, I move without notice:
That the House –
notes that the 13-year-old school girl Tumelo Ramokane of Mapudithomo Primary School won the Female Scientist award on Wednesday 14 November 2018;
understands that the love for science and solving of problems turned into a win for this young girl;
recalls that while out for a picnic with her family, she noticed that their cooler box had not been doing
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a great job at keeping the drinks chilled, and this is when she got the bright idea to invent her own improved cooler box, and eventually her innovation led to her winning a prize for best female scientist at the annually held Eskom Science Expo;
acknowledges that the expo also features learners from Lesotho, Namibia, Kenya, Nigeria, Ghana, Zimbabwe, Mozambique, Tanzania and Mexico;
further acknowledges that Tumelo took top spot and won a gold medal plus other prizes such as a laptop and gold certificates, for her solar powered cooler box which can be used to store food, drinks, medicine and even charge cellphones; and
congratulates Tumelo on winning such a prestigious prize. I thank you.
The HOUSE CHAIRPERSON (Ms M G Boroto): Are there any objections to the motion? Yes. In light of the objection, the
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motion may not be proceeded with. The motion without notice will now become notice of a motion.
SERVICE DELIVERY PROTESTS IN STUTTERHEIM
(Draft Resolution)
Mr K J MILEHAM: Chairperson, I hereby move on behalf of the DA without notice:
That the House -
notes that a few weeks ago, 27 year-old Xoliswa [Inaudible.] was killed and 18 others were arrested during violence service delivery protests in Stutterheim;
further regrets that four municipal buildings, including a clinic were burned to the ground;
condemns declining standards of service delivery, an absent municipal manager and the ANC factionalism
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that lies at the heart of the chaos in the greater Amahlathi Municipality;
further notes that the Municipal Manager, Ms Ivy Sikhulu-Nqwena who allegedly has a chequered past at the Mnquma Municipality, has gone into hiding while services have ground to a halt;
acknowledges that a number of investigations into Amahlathi by the Eastern Cape Department of Co- operative Governance and Traditional Affairs, Cogta, and the SA Police Service should be concluded speedily;
believes that Amahlathi is in urgent need of a competent administrator;
further acknowledges that residents and businesses have complained that they have not received rates accounts for up to six months and one business owner indicates that rubbish had not been collected for at least three months; and
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calls upon Cogta MEC Fikile Xasa and the Minister of Cogta Zweli Mkhize to place Amahlathi Municipality and the administration in terms of section 139(1)(b) of the Constitution effective immediately.
CAR ACCIDENT ON VAALWATER ROAD
(Draft Resolution)
Ms N NDONGENI: Chairperson, on behalf of the ANC I move without notice:
That the House -
notes with sadness the death of five people which occurred after a truck tried to overtake two vehicles on the R33 near Doringfontein, on the Vaalwater road, in Limpopo on Thursday, 15 November 2018;
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understands that whilst the Toyota Dyna truck tried to overtake two motor vehicles it collided head-on with an on-coming minibus taxi;
acknowledges that a 56-year-old truck driver and the four passengers of the minibus taxi - two men and two women - were all declared dead;
further acknowledges that the driver and four other passengers of the minibus were seriously injured; and
conveys its condolences to the families of the deceased and wishes those injured a speedy recovery
The HOUSE CHAIRPERSON (Ms M G Boroto): Hon members, on 25 October 2018 during Members’ Statements an exchange occurred between hon Cachalia, hon Paulsen and other members in particular the Chief Whip of the Opposition rose on a point of order to contend that the hon Paulsen had directed offensive remarks and gestures to hon Cachalia and specifically, that he had threatened to “moer” him. Following the point of order, I
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asked hon Paulsen whether he had indeed made such a remark to which he replied. “No, he showed me gesture – a fist – and I will moer him. He must come out, you bugger.”
Then, I asked hon Cachalia whether he had gesticulated with his fist which he also denied. I subsequently indicated that I would study the record to ascertain what had occurred. Having now had the opportunity to study the unrevised Hansard and video footage from the day, I wish to rule as follows:
Section 58(1) of the Constitution states that members have freedom of speech in the Assembly, subject to its rules and orders;
National Assembly Rule 84 states that no member may use offensive, abusive, insulting, disrespectful, unbecoming or unparliamentary words or language, nor offensive unbecoming or threatening gestures;
In addition, section 7 of the Powers, Privileges and Immunities of Parliament and Provincial Legislature Act states
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that no person may assault or threaten a member on account of the member’s conduct in Parliament.
With reference to the above, the unrevised Hansard and video footage of the day, do not capture hon Paulsen speaking to Mr Cachalia nor do they show hon Cachalia making any threatening gestures. At the same time, however, the record does indicate that hon Paulsen when challenged, proceeded to say the remarks I initial quoted. These remarks were clearly offensive and threatening and are therefore out of order in terms of the rules. [Applause.] However, before I ask the member to withdraw, I must again caution members in general from using language or making gestures only intended to offend. Of course, South Africans should expect debates and exchanges in Parliament to be robust and passionate. But, there is no need to resort to behaviour that only serves to undermine the dignity and the decorum of the House and the confidence of the people in Parliament. I will now ask hon Paulsen to withdraw the statement I have quoted.
Mr N PAULSEN: I was challenged. I refuse to withdraw, Chairperson.
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The HOUSE CHAIRPERSON (Ms M G Boroto): Thank you, if you refuse to withdraw, will you leave the House? Thank you.
SA ONE OF LEADING COUNTRIES ON AFRICAN EXPORT
(Member’s Statement)
Ms E M COLEMAN (ANC): House Chair, South Africa is one of the leading countries in terms of export to the rest of Africa according to the African Trade Report of 2018 by the African Export Import Bank titled ... [Interjection.]
The HOUSE CHAIRPERSON (Ms M G Boroto): Hon Paulsen! Sorry, ma’am. Hon Paulsen, please leave the House. I’m sorry, hon member.
Ms E M COLEMAN (ANC): Can I start afresh?
The HOUSE CHAIRPERSON (Ms M G Boroto): Please restart, I’m going to allow you.
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Ms E M COLEMAN (ANC): South Africa is one of the leading countries in terms of export to the rest of Africa, according to the African Trade Report of 2018 by the African Export Import Bank titled Boosting Intra-African Trade: Implications of the African Continental Free Trade Area Agreement.
South Africa, Namibia and Nigeria contribute over 35% of the intra-African trade. Our trade with the rest of the continent rose by 8,6% to US$31,92 billion, accounting for over 24,9% of the intra-African trade. South Africa recorded a large trade surplus with the rest of Africa over the course of 2017.
The Report notes that intra-African trade is dominated largely by primary commodities including crude oil. The African Continental Free Trade Area, AfCFTA, presents an opportunity for Africa to transform its economies and in the process, diversify its source of growth and trade for a better integration into global economy.
The AfCFTA seems to be well-positioned to help achieve and deliver more technology-intensive manufactured goods on the continent and in global markets.
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ANC SABOTAGED THE DA TO HAVE LESS POLICE IN THE WESTERN CAPE
(Member’s Statement)
Mr Z N MBHELE (DA): Chairperson, one of the biggest indictments against successive ANC national governments is the chronic understaffing, underresourcing, underequipping and undertraining of the SA Police Services, SAPS, at station level.
These rotten fruits of ANC misgovernance have been felt most acutely in the Western Cape. While the country’s average police-to-population ratio is one-to-369, in the Western Cape the figure is a shocking one police officer for every 509 residents.
In contrast to the more than 6000 officers recruited by the SAPS during the ANC’s tenure in the Western Cape, that number plummeted to only 2300 during the DA’s first five years. It cannot be a coincidence that as soon as the DA came to power in the Western Cape, the national government slashed police recruits in this province by two-thirds. During this period,
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successful Police Ministers stalled and dragged their feet on responding to the years long and urgent call for the reestablishment of the anti-gang specialised units as a policing need and priority in the province.
The question for the ANC to answer is this, why did close to 3000 people had to be killed in the gang-related murders over the last 10 years before the ANC finally listened to the DA’s recommendation? [Applause.]
SOUTH AFRICA’S SENIOR CITIZENS FORGOTTEN BY THE ANC GOVERNMENT AND IGNORED BY THE SOCIETY
(Member’s Statement)
Ms H O MKHALIPHI (EFF): Chairperson, last week Thursday, 15 November 2018, the EFF held a consultation workshop with senior citizens in Soweto. The engagement was both fruitful and heartbreaking as senior citizens explained the challenges they faced and told stories of how government and society continue to ignore them.
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The elderly, who lived under the brutality and injustices of the apartheid regime are being ignored and left behind by the ANC government. They are forced to support families on pensions that are worth peanuts because there are no jobs for the youth and many are still denied pensions because of government’s mismanagement.
Their vulnerability is being exploited by criminals, and sometimes even family members who see them as soft targets, like Gogo Norah Makgalemele, who is still ill-treated at home. Our attitudes and treatment of the elderly is a reflection of our society and it is clear that as a society and the people, we are failing those which we are meant to draw wisdom and guidance.
We call on the Department of Social Development and all government departments to prioritise the welfare of senior citizens in all policies and programmes as well as the Department of Human Settlements, specifically, as senior citizens are being evicted from their houses. Thank you, Chair.
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INDUSTRIAL PARKS CAN BE REVITALIZED AS SPECIAL ECONOMIC ZONES WITH EFFECTIVE SUPPORT
(Member’s Statement)
Ms J L FUBBS (ANC): Chairperson, the ANC welcomes the decision of the Department of Trade and Industry, DTI, to revitalize the Industrial parks. The vital employment role Industrial Parks play can be strengthened if they are converted in Special Economic Zones, SEZ.
“As Special Economic Zones, the Parks can contribute immensely to the economy of the country as well as generating jobs,” this was according to the Director-General, DG, of the Department of Trade and Industry Lionel October at the opening of the two-day Industrial Parks Symposium in Midrand, Gauteng recently.
This conversion of the Industrial Parks into SEZs will lead to lowering the cost of doing business and making South Africa’s manufacturing sector more competitive and sustainable.
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The ANC applauds the dynamic partnership between the DTI and the Department of Co-operative Governance and Traditional Affairs using the Municipal Infrastructure Grant which can provide effective support. In this way, the challenges that industrial parks have and are facing can be resolved.
Revitalizing the industrial parks includes [Time Expired.] I must thank you, hon Chairperson. [Applause.]
PUBLIC SCHOOLS’ INFRASTRUCTURE STILL AWFUL
(Member’s Statement)
Mr X NGWEZI (IFP): House Chairperson, the deplorable state of our public schools’ infrastructure remains one of the biggest hurdles that the Department of Basic Education faces in this country; particularly in the underdeveloped parts of the country.
So, to have read in the recent reports that a school in Limpopo, in the Greater Letaba Local Municipality, called
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Lebaka B Primary School, has been left to ruin after multiple millions of rands were used, to be accurate, R35 million.
Chair, this is a new structure complete with equally expensive furniture that has been neglected. This is extremely disheartening; especially to learn that one of the core reasons for the school not to be operational was due to the petty political squabbles as a result of factionalism in the ANC. The structure has become a drug den for criminals and sex workers operate from the space.
I take this opportunity to remember the stories of the six- year-old Michael Komape’s death in a pit toilet at a school in 2014 and that of Lumka Mketwa at an Eastern Cape primary school earlier this year as we remembered yesterday, the World Toilets Day.
In response to an order made by Judge J Muller in the Michael Komape’s damages case in April, in an affidavit filed on 30 August 2018, the Department of Basic Education stated that it could not afford to supply proper toilets and that it does not have enough money [Time Expired.] and can only start replacing
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pit toilets in 2026. The IFP calls on the department to fix this. Thank you.
DISCOVERY PLANS TO GIVE AWAY 10% OF SHARES TO BLACK SOUTH AFRICANS AS PART OF LAUNCH OF A NEW BANK IN SOUTH AFRICA
Afrikaans:
Adv A de W ALBERTS (VF Plus): Voorsitter, Discovery se plan om ’n nuwe bank te stig sal goed wees omdat dit kompetisie in die bankwese sal aanmoedig. Dit is egter ongelukkig dat die stigting van die bank op so ’n vals rassistiese noot moes begin.
Dit het bekend geword dat Discovery 10% van sy aandele gratis aan swart kliente sal toeken, alleenlik. Hierdie bemagtigingspoging van Discovery is niks anders as blatante rassisme nie.
Discovery moet nie vergeet wie sy eerste kliente was nie, en wie die maatskappy gehelp het om ’n fiansiele reus te word nie. Vandag het Discovery kliente van alle rasse en agtergronde. Al hierdie mense is belangrik en speel ’n rol om
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Discovery suksesvol te maak. Om nou vir een groep te sê jou velkleur is verkeerd om in aanmerking te kom vir gratis aandele, is immoreel. Die rede daarvoor is eenvoudig dat armoede tans onder alle rasse voorkom.
Indien Discovery egter glo ras is die basis waarop aandele weggegee moet word, dan moet Adrian Gore sy oortuiging bewys deur van sy eie aandele weg te gee, en nie verwag dat sy wit kliente die las moet dra vir aandele weggegee aan swartes nie.
Indien Discovery nie afsien van hierdie rassistiese plan nie, sal die firma uitvind dat wit kliente eenvoudig met hulle geld sal stem deur besigheid weg te neem van die firma.
Onthou wat met Spur gebeur het.
CITY OF EKURHULENI RING FENCES R12 BILLION FOR SMALL, MEDIUM AND MICRO-SIZED ENTERPRISES
English:
Dr P MAESELA (ANC): Chair, the ANC is of the view that the development of small businesses and co-operatives is a
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critical means of empowering our people, of drawing new entrants into the economy, and of strengthening inclusive growth and creating large numbers of jobs.
Thus, in this regard, the ANC hails the commitment of the city of Ekurhuleni’s ring fencing of about R12 billion for small, medium and micro-sized enterprises that will be doing business directly with the municipality over the next three years.
Already over 2 000 SMME’s have registered on Ekurhuleni’s database and are expected to benefit directly from this R12 billion.
Furthermore, the city seeks to assist dozens of farms and give support services to entrepreneurs in the agricultural sector. In addition, the city has also invested about R6,2 billion per annum in infrastructure development.
The ANC applauds the City of Ekurhuleni for this bold undertaking and calls upon SMMEs to use this opportunity as the initiative will go a long way towards speeding up social
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development and substantially reducing unemployment and poverty.
THE VITAL ECONOMIC IMPORTANCE OF SOUTH AFRICA’S ROAD FREIGHT INDUSTRY
Ms D CARTER (Cope): Chairperson, our road freight industry represents the arteries that feed our economy. Should the industry fail, our economy would grind to a halt.
More than 100 000 of some 500 000 freight drivers commute across the country on a daily basis, transporting billions of rands worth of good and supplies.
In 2005, the Department of transport launched with much fanfare the National Freight Logistics Strategy. It was supposed to forge a partnership between government, role players in the industry and NGOs to establish much-needed serviced, maintained and secure truck stops.
Unfortunately, there was no meaningful delivery on this strategy. Driver fatigue and the theft of cargo threaten our
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road safety and our economy as a consequence of ill-equipped, unserviced and unsecured truck stops. Many truck stops have become hotspots for crime. Just last week, within a 24-hour period, two truck drivers were murdered. Loads are stolen, vehicles vandalised, drivers attacked, robbed and in some cases, like I stated, even murdered.
We call upon the Department of Transport to re-ignite its National Freight Logistics Strategy, to co-ordinate a coherent intergovernmental response and to work with the road freight industry and other role-players in establishing equipped, serviced and secure truck stops and providing the road freight industry with safety and security as its drivers traverse across our country. Thank you. [Time expired.]
NATIONAL OFFICIALS OF THE ANC’S EXECUTIVE COMMITTEE VISITED THE FREE STATE AND THE EASTERN CAPE
Ms R M M LESOMA (ANC): House Chair, from its formation, the ANC was and is still the movement that is within the masses of our people, committed to work with the people to create a better life for all and improve our communities.
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In this regard, the national officials of the ANC executive committee visited the Free State and the Eastern Cape last week and, in a two-day programme that includes door to door as well, encouraged the electorate to apply for their IDs, register to vote and ensure their particulars are in order.
The officials visited various villages, townships and suburbs and across the provinces.
These visits form part of Thuma Mina campaign and were a means of identifying the challenges faced by ordinary people in these two provinces. We hope to spread these visits to all the provinces in the near future.
This initiative was part of the ANC’s effort to interact with community members as part of the Thuma Mina programme which is about the ANC re-connecting with the people through activities that improve their lives and which solve the problems that confront them.
Through Thuma Mina the ANC re-affirms its commitment to working with the people to create a better life for all. Thank you.
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THE SUCCESS OF MATRIX COMMUNITY-BASED ALCOHOL AND DRUG DEPENDENCY SITES IN CAPE TOWN
Ms L V JAMES (DA): Chair, as gangsterism, drugs and crime continue to plague our communities, the DA-led City of Cape Town could not fold its arms and sit back while our people suffered.
For the past decade, Cape Town has been using the Matrix community-based alcohol and drug sites in Mitchells Plain, Brooklyn, Delft South, Khayelitsha, Parkwood and Manenburg. The 16-week Matrix programme is based on methods developed by the Matrix Institute in the US to minimise harm caused by substance abuse. The free-of-charge treatment helps those with substance dependence to stop using illicit substances, stay in treatment and learn about addiction and relapse. In addition to self-help programmes, there is ongoing support from trained therapists and monitoring by staff.
Housed within the City’s clinics, in 2017-18, Matrix sites performed 20 166 screening, 1 109 assessments, and recorded a clean drug test rate of 83% for substance abuse.
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Over the same period, 32 patients who completed the programme found jobs.
Just as the ANC has copied the DA administration’s [Inaudible.] programmes in Johannesburg and Tshwane, we hope they imitate this programme as well, and bring about the same real and positive change in the lives of our people that the City of Cape Town has. Thank you.
THE VALUE OF COLLECTING DNA EVIDENCE IN RAPE CASES
Ms E N NTLANGWINI (EFF): Chair, rape in the country has become a national crisis. Every day, women and young girls re assaulted and raped by men. Our police and criminal justice system are not equipped to fight rape in the country.
Because of the nature of rape, the only evidence besides the testimony to build a case against a rapist is often DNA evidence. DNA evidence has been used in police work for decades and many cases have been solved because of DNA.
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But, in South Africa, the majority of our police stations do not have DNA swabs to take DNA evidence. For rape cases, this means that when victims come to report being raped, the police are unable to collect the necessary evidence. This lack of very basic equipment is one of the reasons there is such a low prosecution rate for rape, and why so many rape victims do not go to the police.
We call on the Minister of Police and National Treasury to ensure that DNA swabs are available at every police station with immediate effect. Thank you.
ANC RETAINS ITS SEATS IN NORTH WEST, FREE STATE BY-ELECTIONS
(Member’s Statement)
Mr N XABA (ANC): Chair, the retaining of Ward 17 in the North West and Ward 11 in the Free State during by-elections on Thursday 15 November proves that the ANC remains the only hope for the people of South Africa. [Applause.] The ANC retained the seat in the Mahikeng Local Municipality with an increased margin of 59,5% of the votes.
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In Ngwathe Local Municipality in the Free State, the ANC retained the seat it with a 76,47% of the votes cast. This is a demonstration that our people are saying that, “uvalo dololo” (they have no fear) and that ANC votes “Wololo” (they will always vote for the ANC)
The ANC thanks the communities of these two wards. We remain indebted to the trust and support of the voters that showed the ANC is still the only party that represents their hopes and aspirations.
IsiZulu:
Phakama khansela Patricia Nthabiseng Tlhobelo! Phakama khansela Kenneth Ntamehlo...
English:
... in Ward 17. I thank you. [Applause.]
SA WELCOMES LIFTING OF ERITREAN SANCTIONS
(Member’s Statement)
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Ms T C MEMELA (ANC): Chair, the ANC has welcomed the unanimous decision by the UN Security Council on Wednesday 14 November 2018 to lift sanctions against Eritrea. The adoption of the resolution comes just over four months after the signing of the historic Joint Declaration of Peace and Friendship between the Prime Minister of Ethiopia, Abiy Ahmed, and the President of Eritrea, Isaias Afwerki, in Asmara, Eritrea, on 9 July 2018.
This was followed by Ethiopia and Eritrea signing an Agreement on Peace, Friendship and Comprehensive Co-operation on 16 September 2018. The ANC believes the lifting of the sanctions will have far-reaching effects in improving stability and building lasting peace and normal relations in the region. The positive developments in the region over the last few months are further testament of the goal of Africa to silence the guns on the African continent by 2020 and are reflective of the political will by African countries to seek African solutions in resolving African problems. We hope that the ... [Time expired.] Thank you.
ESKOM’S COAL STOCKPILES DETERIORATE FURTHER
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(Member’s Statement)
Ms N W A MAZZONE (DA): House Chair, on Sunday Eskom was forced to implement emergency stage 1 load shedding following the revelation that five of coal-fired power stations have less than 10 days of coal supply left. These outages are proof that South Africa desperately needs a long-term solution to reshape the entire energy sector.
It is for this reason that the DA introduced its proposed Independent System Market Operator Bill which will see Eskom split into two entities, a transmission grid entity and a generating entity. The generating entity will then compete with other power producers on an equal footing with price and efficiency being the main determinants of delivering power to the national electricity grid.
Eskom’s monopolistic stranglehold of power delivery to the economy must be broken. It is the only way we can free-up the energy space to competition, stability and reliability. At the same time, Eskom needs to start trimming the fat around its employment expenses especially considering its bloated
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workforce. South Africans can no longer bear the brunt of the ANC’s failures. The government’s mismanagement of Eskom has turned the once world-class power utility into a stagnant public entity eating away at the public purse. [Applause.]
DA FAILS TO FOLLOW DUE PROCESS IN JUNIOR CITY COUNCIL REMOVALS
(Member’s Statement)
Mrs J D KILIAN (ANC): Chairperson, the ANC is extremely concerned about the recent events in the Junior City Council of Cape Town. It has come to our attention that the Whip as well as the mayor of the Junior City Council were summarily removed allegedly because of their political affiliation. The problem is that there was absolutely no due process.
They attended a public meeting of the Minister of Finance to which everybody was invited and as a result of that, they have just received notification from the DA council of Cape Town that they no longer serve in the Junior City Council. This is an absolute shocker and this just points to how the DA works with those that they do not agree with. [Interjections.]
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It’s evident that the same sort of approach meted out to these young city councillors is the same that the DA dished out to Patricia de Lille, totally unacceptable. [Interjections.] That is what they shouldn’t be doing if they respect the rule of law and due process. It is just another example that they do not practice what they preach. Thank you. [Applause.]
Ms L L VAN DER MERWE: House Chairperson, on a point of order:
The HOUSE CHAIRPERSON (Ms M G Boroto): Hon Van der Merwe?
Ms L L VAN DER MERWE: The reason that hon Kilian didn’t have a prepared statement is that you’ve just allowed the ANC to make an extra statement.
The HOUSE CHAIRPERSON (Ms M G Boroto): No! No! No!
Ms L L VAN DER MERWE: In fact, you had earlier told us ... [Interjections.]
The HOUSE CHAIRPERSON (Ms M G Boroto): Hon member, that is not true.
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Ms L L VAN DER MERWE: It is true.
The HOUSE CHAIRPERSON (Ms M G Boroto): I have a Table here ...
Ms L L VAN DER MERWE: But you allowed a member statement to be read under motions and now you have allowed an extra one and that is why the hon Kilian ... [Interjections.]
The HOUSE CHAIRPERSON (Ms M G Boroto): No hon member! Listen, thank you very much for that. Let me explain. The member of the ANC read a statement instead of a motion and that is why I denied the ANC another slot for a motion without notice. So, they have a right to use their time for statements, thank you very much, and I think ... [Interjections.]
Ms L L VAN DER MERWE: Yeah! No, that is fine Chairperson but can we just appeal to the ANC to get their motions and member statements in order because if they can’t sort out their motions and member statements then they cannot run the country. [Interjections.]
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The HOUSE CHAIRPERSON (Ms M G Boroto): I do not think that is your problem. Thank you very much.
ANC WELCOMES START OF NATIONAL IMBIZO FORTNIGHT OF ACTIVISM INDUSTRIAL PARKS CAN BE REVITALIZED AS SPECIAL ECONOMIC ZONES WITH EFFECTIVE SUPPORT
(Minister’s Response)
IsiZulu:
UNGQONGQOSHE WEZOKUXHUMANA NEZAMAPOSI: Somlomo, ngithi
angiphendule kulokhu kwaThuma Mina, lokhu okucacisayo ngokusobala ukuthi i-ANC iyona inhlangano exhumana nabantu ukubhekana nokuxazulula izinkinga zabantu ngokubambisana ukuthi sihlanze la sihlala khona, silungise ama-sewerage treatment plant, kungabiko indle egelezayo. Yingakho wonke amasonto sixhumana nabantu silungisa izinto la abahlala khona.
Okwesibili, kulokhu kwekhaya lamafemu amancane namakhulu ...
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... to be turned into industrial economic zones, this is part of the township economy revitalisation. It is part of the effort by the ANC government to support the small and medium enterprises, SMMEs, in order to create jobs and stimulate our economy. For instance, if you look at the recent investment summit led by His Excellency, President Ramaphosa, a small SMME company from Rwanda is investing R1 billion in the Durban Special Economic Zone, in order to create, build and manufacture smart phones at a quarter of the price that we paying for smart phones at the moment, which will contribute significantly in reducing the costs to communicate. I thank you.
Ms L M MASEKO: Chairperson, on point of order: Before the hon Nkwinti responds, are we now allowed to bring in tea and have it in the House like the EFF is doing? [Interjections.]
IsiZulu:
Nawu umhlola!
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The HOUSE CHAIRPERSON (Ms M G Boroto): Hon members, can we respect the Rules of the House please.
BETTER LIFE FOR ALL FOR SMALL BUSINESSES AND COOPERATIVES
(Minister’s Response)
The MINISTER OF WATER AND SANITATION: House Chair, on small businesses and cooperatives, I will speak on that and on a better life for all. We are faced with this challenge – as we all know – of the Sedibeng Regional Sewer Scheme programme which pollutes the Vaal River system. What we have done and is beginning to bear fruit is, we have established a community cooperative in Sebokeng which houses the largest precinct that pollutes the river so that people stop taking action that blocks people from coming to work, exacerbating the situation. Now, we have created that and we busy now starting by training them so that they become part of the economy by creating these small businesses and that major cooperative is having several functions so that when we do go there now we will be able to talk to that cooperative and employ people from the 12 Wards of Sebokeng.
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So that is where we are and we think that it is going to be part of solving the problem because generally these sewer schemes are situated near townships and therefore means our people have got to have the skills to work in those schemes and make that they understand also the implications in terms of human rights of the country. So, the small business cooperatives are one of the things that we have decided that we will do in order to solve the problems. Thank you very much.
QUALITY INFRASTRUCTURE KEY TO HELPFUL ENVIRONMENT FOR LEARNING AND TEACHING IN SCHOOLS
(Member’s Statement)
The DEPUTY MINISTER OF BASIC EDUCATION: Hon Chair, the hon
member is indeed correct that quality infrastructure is necessary to create an environment that is conducive to learning and teaching. In the Western Cape, for example, we have 25 state-of-the-art schools whether you go to Atlantis, Dunoon, Belhar or Khayelitsha, you will see these beautiful monuments of education in the sea of poverty.
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Across the country we have established 210 state-of-the-art schools with laboratories, libraries etc and as we speak right now, there are hundreds of schools under construction. We have already delivered 15 schools this financial year and 25 schools have exceeded 25% in construction, effectively there is a school per week that is being delivered.
Now, I am very concerned to hear that we have a state-of-the- art school delivered but it is not being used and if the hon member could provide me with the information we will immediately make the intervention. With regard to the issue of sanitation, we have expressed our condolences and certainly our shock at the fact that we have lost lives as a result of poor sanitation.
In the past two quarters we’ve delivered to 684 schools. As we speak right now, there are more than a 100 projects on sanitation that are under construction which means that the ANC-led government is paying particular attention to this reality and indeed we got to work together and corroborate with the private sector as the President has urged what the private sector should do in order to ensure that we eliminate
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pit latrines and create a safe environment for our learners. I thank you hon Chair.
ANC NEC EMBARKS ON EASTERN CAPE DOOR-TO-DOOR CAMPAIGN
(Minister’s Response)
The DEPUTY MINISTER OF HOME AFFAIRS: Chairperson, I rise in response to the issue of the Thuma Mina empowerment campaign. One of the hon members would probably be very interested to learn that one of the biggest challenges that we have in terms of empowering our citizens is their lack of documentation.
Around the country we have about 274 000 uncollected IDs in the Home Affairs offices.
It is very interesting that people would come in, pay for these documents, apply for them but not return to collect them. So it would be very heartening for MPs across the board to obtain these figures from Home Affairs in relation to the different provinces and in their outreach campaigns to educate our citizens about the importance of acquiring their ID documents which are sitting at Home Affairs.
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In regard to the issue of the drug rehabilitation programme in the Western Cape as one of the members of the DA spoke about it, coincidentally I was out in Surrey Estate and met ordinary people who live everyday with drug addicts, many of whom are mothers of drug addicts and I must say that none of them spoke or knew about this initiative by the Western Cape government.
I think it would be very important for you to go out there and explain that these services are available to people. What they did raise with me however, is the enormous number of young children who roam the streets during schooldays in those areas and that it doesn’t seem that there is a programme to address that particular problem which is really is the cause of young people getting involved in gangsterism and drugs. Thank you.
NOTICES OF MOTION
Ms E M COLEMAN: House Chairperson, I move on behalf of ANC that in its next sitting the House debates: The extent to which local beneficiation could be affected in our mineral resources without undermining the unity of our people and their overall participation in all economic activities.
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Mr G R KRUMBOCK: House Chair, I move on behalf of DA that in its next sitting the House debates: The illegal invasion and occupation of the Allanridge Housing Complex in Umsunduzi Local Municipality, with particular emphasis on the rental scam and inability of law enforcement to intervene in the defence of property rights. I thank you.
Ms N K F HLONYANA: House Chairperson, I move on behalf of EFF that in its next sitting the House debates: The collapse of municipalities in the North West province and this government’s obligation to mitigate the impending health catastrophe.
Ms J L FUBBS: I move on behalf of ANC that in its next sitting the House debates: Investing more in research and innovation in order to create more jobs and more entrepreneurs. Thank you.
Mr X NGWEZI: Hon House Chairperson, I move on behalf of IFP that in its next sitting the House debates: The dire need and merit as regards the establishment of a new Chapter 9 Integrity Commission to prevent, combat, investigate and
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prosecute grand corruption and cleptocracy, thereby removing the functions of the partially capture and dysfunctional DPCI and NPA, both of which will take years to recover from the damage brought to them in the process of the state capture. I thank you.
Mr S C MNCWABE: House Chairperson, I move on behalf of NFP that in its next sitting the House debates: The role of co- operatives in job creation and the economic empowerment of our communities.
Ms R M M LESOMA: House Chairperson, I move on behalf of ANC that in its next sitting the House debates: Ensuring the enforcement of appropriate legislation on transfer pricing and illicit financial flows.
Mr M L W FILTANE: House Chairperson, I move on behalf of UDM that in its next sitting the House debates: The urgent need to tighten safety measures and security at school which are situated in places dominated by shack or informal settlements, due to pupils and teachers being robbed of their belongings on a regular basis.
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Mr R K PURDON: House Chair, I move on behalf of DA that in its next sitting the House debates: The shocking revelation by Green Peace’s recent analysis identifying Mpumalanga as the world’s largest air pollution hotspot.
Ms N K F HLONYANA: House Chairperson, I move on behalf of EFF that in its next sitting the House debates: Government’s role in developing smart cities that will provide citizens with enhanced quality and performance in urban services, such as energy, transportation and utilities in order to reduce resource consumptions, wastage and overall cost.
Dr P MAESELA: House Chairperson, I move on behalf of ANC that in its next sitting the House debates: Ways to mitigate the severe looming retrenchments of workers by banks, parastatals and other businesses.
Mr N XABA: House Chairperson, I move on behalf of ANC that in its next sitting the House debates: Addressing the rising number of unemployment youth, including young graduates in South Africa.
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Ms N W MAGADLA: I move on behalf of ANC that in its next sitting the house debates: The advantages and disadvantages of gambling in South Africa, and whether we need a policy change to keep up with global trends.
Ms L V JAMES: House Chairperson, I move on behalf of DA that in its next sitting the House debates: Response central number for all provinces and long response times of emergency medical services.
Ms T C MEMELA: I move on behalf of ANC that in its next sitting the House debates: Implementation of the rural policing strategy to curb the rise in crime in rural communities.
Notices of motions concluded.
Business of the day concluded as well.
The House adjourned at 19:48.
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