Hansard: NCOP: Unrevised Hansard
House: National Council of Provinces
Date of Meeting: 17 May 2022
Summary
No summary available.
Minutes
UNREVISED HANSARD
NATIONL COUNCIL OF PROVINCES
TUESDAY, 17 MAY 2022
Watch: Plenary proceedings
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PROCEEDINGS OF THE NATIONAL COUNCIL OF PROVIINCES
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The Council met at 14:01.
The Chairperson took the Chair and requested members to observe a moment of silence for prayers or meditation.
The CHAIRPERSON OF THE NCOP: Hon delegates, before we proceed I would also like to remind you of the following that the virtual sitting constitutes a sitting of the National Councilof Provinces, that the place of the sitting is deemed to beCape Town where the seat of the National Council of Provinces
is, that delegates in the virtual sitting enjoy the same powers and privileges that apply in a sitting of the National Council of Provinces, that for the purpose of the quorum all delegates who are logged on to the virtual platform shall be considered present, that delegates must switch on their videos if they want to speak, that delegates should ensure that the microphones on their gadgets are muted and must always remain muted, that the interpretation facilities are active and that permanent delegates, members of the executive, special delegates and the SA Local Government Association, Salga,
representatives are requested to ensure that the interpretation facility on their gadgets are properly activated to facilitate access to the interpretation services, that any delegate who wishes to speak must use his or her raise your hand function or icon as we have already said that by now the hon members are familiar with the use of the icon or function.
NOTICES OF MOTION
Ms S SHAIKH: Chairperson, I hereby give notice that on the next sitting day of the Council I shall move on behalf of the
ANC:
That the Council—
(1) discusses the ongoing slaughter and mass murders of innocent people in Khayelitsha, Cape Town, Western Cape; and
(2) further notes with disgust the exclusion of the Khayelitsha community from the priority list of the City of Cape Town for the installation of the closed circuit television, CCTv, cameras in this area during this financial year.
Thank you, Chairperson.
Ms S B LEHHIHI: Chairperson, I hereby give notice that on the next sitting day of the Council I shall move on behalf of the
EFF:
That the Council—
(1) debates the legal age of the foster child grant as the current age restrictions of 18 years and younger is too low and should instead be increased in South Africa; and
(2) also debates that the socioeconomic conditions do not allow for orphans abandoned, abused or neglected children to suddenly become financially independent and able to fend for themselves when they turn 18.
Thank you, Chairperson.
Mr S ZANDAMELA: Chairperson, I hereby give notice that on the next sitting day of the Council I shall move on behalf of the
EFF:
That the Council—
(1) debates the issue of water shortages and lack of adequate sanitation infrastructure which is experienced across all municipalities, especially in Mpumalanga; and
(2) further debates a strategic plan which the Department of Water and Sanitation has in order to resolve this challenges.
Thanks, hon Chairperson.
Mr G MICHALAKIS: Chairperson, I hereby give notice that on the next sitting day of the Council I shall move on behalf of the
DA:
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That the Council debates the underfunding and the
underresourcing of the SA Police Service in the Western
Cape by the national ANC government despite the DA’s
numerous calls for more funding and more resources as
well as the devolution of the SA Police Service, SAPS,
to a provincial level.
Thank you very much.
Mr E Z NJANDU: Chairperson, I hereby give notice that on the
next sitting day of the Council I shall move on behalf of the
ANC:
That the Council discusses the apartheid style moves by
the City of Cape Town to abruptly stop and deliberately
disrupt the livelihoods of the people especially the
black and African communities of Cape Town who still
lives in the disgraceful shacks and humiliating squalor
through the abrupt stoppage of fire victims starter kits
through the City of Cape Town.
Thank you, Chairperson
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TRAFFIC DEPARTMENTS IN MPUMALANGA CONSTANTLY OFF-LINE
(Draft Resolution)
Ms H S BOSHOFF: On behalf of the DA, I hereby move without
notice:
That this Council -
(1) notes with concern the ill-equipped and dysfunctional
traffic departments in Mpumalanga that are constantly
off-line, leaving motorists frustrated and without
valid driver’s licences;
(2) also notes that these traffics departments rarely serve
motorists who want to abide by the law and be
adequately licensed;
(3) Further notes that motorists in this province have
voiced their frustration to the DA, as they are unable
to renew both their vehicle and driver’s licences
because traffic departments in Mpumalanga are either
constantly off line, lacking the necessary equipment or
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are forced to shut down completely as they fail to pay
their electricity bills;
(4) Again notes that the current circumstances in these
dysfunctional traffic departments can and should never
be deemed acceptable as motorists are forced to wait
long periods in snaking queues just to be told systems
are off line; and
(5) Finally notes that under a DA-led coalition government,
the livelihoods of the citizens would be at the
forefront, and every necessary step would have been
taken to rectify these problems to ensure that the
needs of the residents are addressed.
I so move.
Not agreed to
FAILURE TO SPEND MUNICIPAL INFRASTRUCTURE GRANTS
(Draft Resolution)
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Mr W A S AUCAMP: On behalf of the DA, I hereby move without
notice:
That this Council -
(1) notes with concern that the Gamagara Local Municipality
spent 0% of its allocated R12 273 000 00 Municipal
Infrastructure Grant for the 2021-22 financial year;
(2) further notes with concern that the Richtersveld Local
Municipality spent 0% of its allocated R14 480 000 00
Municipal Infrastructure Grant for the 2021-22
financial year;
(3) also notes that these municipalities have several
communities that are in desperate need of improvement
of their infrastructure;
(4) acknowledges that the failure by these municipalities
to spend any of the money allocated to them has a
serious negative impact on the infrastructure
development of their communities;
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(5) further acknowledges that it will lead to reduced
allocations for the next financial year, which in turn
will again have a negative impact on the infrastructure
development of these municipalities;
(6) further notes that the DA have on numerous occasions
called on these municipalities to fulfil their
obligations to service delivery and infrastructure
development; and
(7) condemns the lack of money spent which was made
available to them to better the lives of citizens.
I so move.
Motion agreed to in accordance with section 65 of the
Constitution.
KIDNAPPING OF HUZAIFA SANGE
(Draft Resolution)
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Ms M N GILLION: On behalf of the ANC, I hereby move without
notice:
That this Council -
(1) notes with concern the kidnapping of Huzaifa Sange from
his family takeaway business in Newfields, near Hanover
Park in Cape Town;
(2) also notes that four armed men went to the family home
where the business operates and robbed them before they
fled with Sange;
(3) further notes that this kidnapping has highlighted the
increased targeting of cash-based businesses by copycat
gangs; and
(4) therefore, calls on the police to leave no stone
unturned in their endeavour to return Mr Sange and lock
up the criminals responsible.
I so move.
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Motion agreed to in accordance with section 65 of the
Constitution.
THE ARREST OF THE MAYOR OF MASILONYANE LOCAL MUNICIPALITY
(Draft Resolution)
Mr G MICHALAKIS: On behalf of the DA, I hereby move without
notice:
That this Council -
(1) notes that the Mayor of Masilonyana Local Municipality
in the Free State, Dimakatso Modise, was arrested
yesterday and granted bail in the amount of R2 000. She
is charged for inciting violence in the community
during April and June 2021;
(2) That this council condemns this behaviour of the Mayor;
(3) further notes that Masilonyana Local Municipality is
currently crippled under unemployment and poor service
delivery;
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(4) That the Mayor of a municipality should be elected from
among the ranks of the cream of the crop of the
community’s leaders;
(5) That if this is the best leader the ANC in Masilonyana
has, since they elected her Mayor, then the people of
Masilonyana should get rid of the ANC in its totality
in this municipality; and
(6) Finally, that we as a Council reaffirm our support for
the principle that nobody is above the law in this
country and express our hopes that justice, in this
case too, will be served equally and fairly.
I so move.
Not agreed to.
THE PASSING OF MAGISTRATE GERHARD KIRSTEN
(Draft Resolution)
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Mr S F DU TOIT: On behalf of the FF Plus, I hereby move
without notice:
That this Council -
(1) notes with great sadness the passing of Magistrate
Gerhard Kirsten, a respected member of the legal
fraternity;
(2) also notes that this legal giant will be missed by
friends, family and colleagues;
(3) further notes that his legacy of fair judgement,
respect and empathy will live on in his absence; and
(4) conveys our heartfelt condolences to the Kirsten
family.
I so move.
Motion agreed to in accordance with section 65 of the
Constitution
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SERVICE DELIVERY CHALLENGES FACED BY RESIDENTS OF QWAQWA, IN
MALUTI-A-PHOFUNG LOCAL MUNICIPALITY
(Draft Resolution)
Mr M S MOLETSANE: On behalf of the EFF, I hereby move without
notice:
That this Council -
(1) notes the ongoing service delivery challenges faced by
residents of QwaQwa, Maluti-a-Phofung Local
Municipality, and the lack of accountability displayed
by local councillors and municipal officials in
handling the water and electricity crisis;
(2) further note that Maluti-a-Phofung Local Municipality
is among municipalities which have in the past, been
identified as service delivery hotspots, been promised
intervention, yet to date, this municipality has not
been able to detect the root cause of these
disruptions.
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(3) Acknowledge that residents of Bluegumbosch, Makwane and
parts of Phuthaditjhaba are often left without water
and electricity for weeks at a time.
(4) Further acknowledge that this municipality continues to
experience regression in infrastructure, is home to
thousands of people who cannot afford to pay for
services such as electricity and water, and as a result
are denied access to basic services by government.
(5) Recognise that corruption, poor financial management
and cadre deployment have worsened the plight of this
marginalized community.
(6) We therefore make a call to the executive arm of
government, that it must play a more active role in the
provision of basic services as this is an ongoing
responsibility.
I so move.
Motion agreed to in accordance with section 65 of the
Constitution
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PASSING AWAY OF GOMORA STAR SIYABONGA ZUBANE
(Draft Resolution)
Ms A D MALEKA: Chairperson, I hereby on behalf of the ANC move
without notice:
That the Council –
(1) notes with great sadness the tragic passing of one
of South Africa’s rising film stars, actor Siyabonga
Zubane who played Sdumo in the telenovela Gomora, on
Saturday,07 May 2022;
(2) further notes that the cause of his death is not yet
confirmed, though it is believed the young actor
took his own life;
(3) recalls that he has also previously acted in Mzansi
Magics most popular telenovela Isibaya before he
joined the Gomora cast;
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(4) also notes that the South African entertainment
industry has been engulfed by a dark cloud, after
the deaths of several notable SA entertainers, all
in a short space of time in 2022; and
(5) conveys its condolences to the families, friends,
members of Gomora cast, and the South African film
industry at large.
Motion agreed to in accordance with section 65 of the
Constitution.
STUDY TOUR TO NAMBIA BY SA WHIPPERY
(Draft Resolution)
Ms L C BEBEE: Chairperson, on behalf of the ANC, I hereby move
without notice:
That the Council –
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(1) notes that the Whippery undertook a very successful
study tour to the Parliament of Namibia from 9 to 13
May 2022;
(2) further notes that the study tour, which was a
benchmarking exercise on the work of the two
Parliaments, especially on mechanisms and systems
that have been put in place to strengthen the role
of Whips in enforcing discipline among members and
build a cohesive approach towards the representation
of issues affecting provinces or regions, as they
are called in Namibia has been both revealing and
also enriching;
(3) takes this opportunity to express its profound
appreciation the Chairperson of the National Council
of Namibia, hon Lukas Muha; the Deputy Chairperson
of the National Council, hon Victoria Kauma; the
Chief Whip and the Deputy Chief Whip Emma Muteka for
the amazing work that they did hosting the
delegation of Whips from the Council;
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(4) also extends its profound appreciation to the
Speaker of the National Assembly, hon Professor
Peter Katjavivi and Deputy Speaker, hon Loide
Kasingo and Secretary of the National Council, and
his team and the team from the NCOP that was led by
Adv Phindela; and
(5) further extends its profound appreciation to the
Chairperson of the Council, hon. Mr NA Masondo for
providing political approval for the study tour to
take place.
Motion agreed to in accordance with section 65 of the
Constitution.
CLIMATE CHANGE AND RAINFALL VARIABILITY IN SA
(Draft Resolution)
Mr A ARNOLDS: Chairperson, I rise on behalf of EFF move
without notice:
That the Council –
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(1) notes that climate change is leading to increased
temperatures and rainfall variability as evidence
shows that extreme weather is becoming more
prominent in South Africa;
(2) further notes, that recent estimates from the South
African Weather Service, show that the year 2021 was
the 13th hottest year on record; and that the trend
of rising temperatures will negatively affect crop
yields and human health;
(3) acknowledges that high temperatures can cause heat-
illnesses, which will put the elderly, children and
people with certain pre-existing medical conditions
at risk;
(4) further acknowledges that climate change poses a
significant threat to South Africa's water
resources, food security, health, infrastructure and
ecosystem services and biodiversity;
(5) recognises that export earnings, farmworker and
timber plantation worker livelihoods and food
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availability are at risk, particularly in the
Western Cape and Northern Cape, which are expected
to face the worst water stress, but also account for
95% of South Africa's food exports, 25% of national
agricultural earnings and 35% of national
agricultural employment; and
(6) calls on Parliament to play a more active role in
rethinking the country’s climate path, as the
effects of climate change are critical challenges to
our development.
Motion agreed to in accordance with section 65 of the
Constitution.
ZONDO COMMISSION’S REPORT IMPLICATES THE HOUSE CHAIRPERSON FOR
OVERSIGHT AND INSTITUTIONAL SUPPORT
(Draft Resolution)
Ms C LABUSCHAGNE: Chairperson, on behalf of the DA, I hereby
move without notice:
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That the Council-
1. Notes with concern that the House Chairperson for
Oversight and Institutional Support, Ms W Ngwenya,
MP has been implicated in Part 3 of the Zondo
Commission’s Report;
2. Recognises that the Chief Parliamentary Legal
Advisor, Adv Z Adhikarie, recommended that the
Speaker of the National Assembly, Ms N N Mapisa-
Nqakula, refer Part 3 of the Report to the Joint
Committee on Ethics and Members’ Interests to
consider the alleged breach of the Ethics Code by
House Chairperson Ngwenya;
3. Acknowledges with concern that this breach relates
to the House Chairperson Ngwenya’s term as a member
of the Portfolio Committee on Correctional Services,
where she is alleged to have executed her functions
in a biased manner, to the benefit of Bosasa, in
return for monthly cash payments;
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4. Resolves to strip House Chairperson Ngwenya of her
(a) delegated responsibility as House Chairperson
and (b) membership of the Ethics Committee while
these allegations are being investigated.
Motion not agreed to.
SHOOTING AT NEW SOMERSET HOSPITAL
(Draft Resolution)
Ms N NDONGENI: Chairperson, on behalf of the ANC, I hereby
move without notice:
That the Council –
(1) notes with great shock the killing of three people
by a suspect who opened fire on two patients who
died instantly at New Somerset Hospital in Cape
Town, on Saturday, 07 May 2022;
(2) also notes the death of the police officer who was
shot in the head by the same suspect;
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(3) applauds the police officers who disarmed the
suspect and arrested him again;
(4) expresses the hope that security measures will be
beefed up at South African hospitals to protect
staff and patience, and
(5) conveys its heartfelt condolences to the families of
the deceased.
Motion agreed to in accordance with section 65 of the
Constitution.
SIX PEOPLE KILLED IN ANOTHER MASS KILLING IN KHAYELITSHA
(Draft Resolution)
Mr E M MTHETHWA: Chairperson, I move without notice:
That the Council –
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(1) notes with great shock the shooting and killing of
six people at Site C in Khayelitsha on Sunday
evening, 8 May 2022;
(2) also notes that five victims died on the scene and a
sixth victim was certified dead on arrival at the
hospital;
(3) further notes that this mass killing follows several
other mass killings in Khayelitsha,
(4) conveys its condolences to the families of the
deceased, and assures them that our thoughts and
prayers are with them during this trying time; and
(5) calls upon the police to live no stone unturned in
bringing the suspects to book.
I so move.
Motion agreed to in accordance with section 65 of the
Constitution.
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A KIMBERLY WOMAN KILLED BY HER PARTNER IN FRONT OF HER SON IN
ANOTHER GENDER-BASED VIOLENCE INCIDENT
(Draft Resolution)
Ms S E LUCAS: Chairperson, I move without notice:
That the Council –
(1) notes with concern the continuation of gender-based
violence and femicide which was termed a second
pandemic during the Covid-19 pandemic;
(2) further notes with great sadness the death of
Danielle van der Linde who was killed in Kimberley by
her partner in front of her 9-year-old son; and
(3) conveys its deepest sympathy and condolences to her
family and friends.
I so move.
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Motion agreed to in accordance with section 65 of the
Constitution.
SHACK FIRE IN A KHAYELITSHA INFORMAL SETTLEMENT CLAIMS LIVES
OF FIVE RELATIVES
(Draft Resolution)
Ms N E NKOSI: Chairperson, I move without notice:
That the Council –
(1) notes the deaths of five relatives including two
children in a fire which destroyed their shack in
France informal settlement in Khayelitsha on Sunday;
(2) further notes that the fire started at about 4:30am
while the family was asleep;
(3) also notes that the neighbours could not help the kids
due to the burglar bars though they could hear them
screaming; and
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(4) conveys its heartfelt condolences to the family of the
deceased in this time of bereavement.
I so move.
Motion agreed to in accordance with section 65 of the
Constitution.
AL JAZEERA JOURNALIST, SHIREEN ABU AKLEH, IN WEST BANK
(Draft Resolution)
Mr K M MMOIEMANG: Chairperson, I move without notice:
That the Council –
(1) notes with great sadness the killing of Al Jazeera
journalist, Shireen Abu Akleh, on Wednesday, 11 May
2022, allegedly by the Israeli Defence Force;
(2) also notes Akleh was shot in the head whilst on
assignment in Jenin, covering Israeli raids on Jenin
in the occupied West Bank;
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(3) further notes that another Al Jazeera journalist, Ali
Samoudi, was also wounded after being shot in the
back; and
(4) condemns in the strongest possible terms the
targeting and the killing of journalists in the
occupied territories, and in conflict zones like
Ukraine and Afghanistan, which seems like a
deliberate pattern of silencing the free press.
I so move.
Motion agreed to in accordance with section 65 of the
Constitution.
CONSIDERATION OF DIVISION OF REVENUE BILL AND REPORT OF SELECT
COMMITTEE ON APPROPRIATIONS THEREON
Ms D G MAHLANGU: Chairperson my greetings to yourself and your
Deputy Chairperson, Mme Lucas, permanent and special
delegates, fellow South Africans, all participants on the
platform. A very good afternoon, goeie middag, baie dankie
Agbare. I am honoured to table before this House a Report on
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the Division of Revenue Billon on behalf of Select Committee
on Appropriations. The Bill validates the commitment of the
ANC-led government’s economic policy of fostering inclusive
economic growth. The National Treasury briefed the committee
together with provincial portfolio committees on finance on
the Division of Revenue Bill. I am talking about the Division
of Revenue Bill, Bill B6 of 2022, on 9 March 2022.
The report and the mandate were concluded on 11 May 2022 by
the committee. Hon Chairperson, permanent delegates briefed
provinces on the Bill and we received and considered mandates
from provinces. We received submission from Congress of South
African Trade Unions, COSATU, Section 27, Rural Health
Advocacy Project, Healthy Living Alliance and Budget Justice
Coalition. The committee also consulted with the SFP, The
South African Local Government Association SALGA and public
benefit organisation, PBO.
Hon Chairperson the committee has made observations and
recommendations. We believe that the executive should ensure
that any increased allocations to the provincial and local
government sphere is accompanied by requisite capacity and
support for proper planning and effective implementation of
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grant funded projects. And that all pillars of accountability,
monitoring and oversight are strengthened and consequence
management implemented immediately.
Hon Chairperson and members, SALGA should expedite its
engagement with the Executive to resolve the issues of
municipalities owing monies to Eskom, as well as provincial
and national departments owing municipalities. These issues
are long overdue and resolving them will partly address
revenue challenges for these entities.
Hon Chair, SALGA should intensify its skills development
programmes for municipalities to ensure that allocated funds
are spent efficiently and effectively to address the lack of
spending on infrastructure projects and non-compliance with
grant framework.
SALGA should interacts with all recognised traditional
leaders, to address under-development and infrastructure
issues particularly in rural areas. SALGA should also work
with more various more enforcement agencies to enforce
accountability and consequence management in municipalities.
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Hon members, we have challenged local government to develop
viable and long term growth programmes for their localities.
The importance of small, medium, and micro enterprise, SMMEs,
black women and youth owned businesses cannot be overstated.
Greater economic inclusion will drive growth not just for
established.
It is vital that we as legislators establish an enabling
environment through appropriate legislation and budget to
support this drive.
Hon Chairperson, national and provincial government should
intervene in municipalities only in instances where ...
[Inaudible.] ... of performing. This should always happen in
consultation with the particular municipalities or the
provinces. Interventions should ensure effective and ...
[Inaudible.] ... ratification and consequence management. They
must also be accustomed because there is no capital, no one
size fits all in as far as governance is concerned.
Hon Chairperson, government must ensure that funds lost due to
corruption, maladministration and wasteful expenditure are
recovered and paid back to the state. Provincial departments
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and municipalities must ensure that audit improvement are
implemented to address wastage of resources raised by the
Auditor General, as we have seen the report.
The Department of Health should ensure that conditional grants
are utilised to strengthen service delivery and hospital
infrastructure. There’s an urgent need for government to
resolve its inability to employ doctors and nurses and this is
very serious and a concern to the committee and the public at
large. We believe that primary health care should be
strengthened through community health care workers. The state
of health care infrastructure maintenance in some provinces is
worrisome and requires urgent attention.
The review of the provincial equitable share, formula should
be expedited and we recommend that certain provinces such as
the Northern Cape, Gauteng and KwaZulu-Natal, should continue
to be considered for a bigger share to address the challenges
posed by their rurality, vastness and population growth. You
know I have left to some of the rural provinces.
Hon Chairperson, the National Treasury should expedite the
tabling the Public Procurement Bill in Parliament, in order to
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promote local procurement initiatives, stimulate domestic
manufacturing and fast track economic recovery.
Hon Chairperson and members, the committee recommends that
government should continue engaging with labour unions to
amicable conclude the public sector wage negotiations. We have
said this several times and I think it will have considered
for the last time.
The review process of departmental organograms and vacant
posts is a critical exercise and we expect National Treasury
to report on this matter in next budget circle. We welcome the
R21,1 billion allocations for the ongoing responses to the
COVID-19 pandemic and for the appointment of the medical
interns and community service doctors, who are playing an
important role in ensuring ongoing improvement in the quality
of health care.
Hon Chairperson, the resources allocated to the Department of
Health for the presidential employment initiative will help to
mitigate the impact youth unemployment. The Department of
Higher Education, Science and Innovation should ensure that
R32,6 billion earmarked to fund the shortfall in student
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bursaries is transferred to the National Student Financial Aid
Scheme, NSFAS, timeously to assist the working class and the
poor students.
The Department of Basic Education should table a status report
in Parliament on school infrastructure backlog and pit
latrines around the country, particularly in the Eastern Cape
before social infrastructure backlog runs, is incorporated to
education infrastructure grant.
Hon Chair, the department should also table a clear plan on
how it intends incorporating the School Infrastructure
Backlogs Grant, SIBG, without compromising its fundamental
principle and objectives.
The Department of Basic Education, National Treasury and
provincial treasuries should ensure that provincial education
departments put proper systems in place to ensure effective
administration of the R3,7 billion for the Early Childhood
Development Programme, including a smooth function shift as
decided. The Committee is of the view that, for government to
improve the quality of education, more investment is needed in
the ECD.
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The Department of Social Development to further address the
administrative inefficiencies and corruption affecting the
social relief of distress grant.
Hon Chairperson, hon members the committee reiterate its
previous recommendations around gender budgeting and the
Minister of Finance, that the Minister of Finance, together
with the Minister of Women in the Presidency ensure that
adequate resources are allocated for women, youth and people
with disabilities.
Furthermore, they need to ensure that enough resources are
earmarked and transferred to provinces for the implementation
of the National Strategic Plan on Gender-Based Violence and
Femicide; to help address the scourge of gender-based violence
including those of the Lesbian, Gay, Bisexual, Transgender,
Queer, Intersex, Asexual LGBTQIA+ community.
In line with the proposed amendment to the Local Government
Financial Management Grant, FMG, the committee recommends that
National Treasury corrects the Grant’s framework that will be
issued in terms of the Section 15 of the Division of Revenue
Act, once this Bill has been enacted.
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There is a need to strengthen and enhance the
intergovernmental cooperation with regard to information flow
between the executive and the legislatures to avoid the
information gap regarding policy decisions and foster
transparency and accountability.
Hon Chairperson, in to order to avoid conditional grant funds
being consumed in salaries instead of service delivery,
National Treasury should give serious consideration to ring-
fencing the amount that can be used for salaries. Those are
the control measures that we recommending.
In conclusion, hon Chairperson building a developmental state
requires that the state should be play a decisive role in the
economy. The state cannot be a spectator when the vast
majority of our people are unemployed and live in poverty. Hon
members and the Chair many of the interventions in the 2002
Division of Revenue Bill are predevelopment and pro poor and
therefore welcome them as a committee.
In conclusion hon Chairperson and hon members, and our public
in the country, I wish to thank all committee members,
provincial committee members, committee stakeholders, the
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media and the general public, as well as the committee support
staff. The recommends to this august House that the Bill be
adopted without amendments. Ngiyathokoza Sihlalo. Thank you.
Declarations of votes on behalf of Western Cape and KwaZulu-
Natal.
Declarations of vote:
Ms C LABUSCHAGNE: Hon Chair, I would like to make a
declaration. Thank you, Chair. Hon Chair, the 2022 Division of
Revenue Bill has some very good aspects to it and signals some
very positive trends. There remain, however, several causes
for concern which need to be considered before the acceptance
of the Bill. The increase in allocations to provinces and
local government is welcomed, however, it is important to note
that inflation has already reached 5,7% year-on-year in
February 2022. This means that in real terms funding is
actually increasing by a very small margin year-on-year. With
inflation set to increase further over the coming months the
increase is, in fact, barely enough to stay stable.
For local government the increase is, in fact, insufficient to
retain existing service delivery levels. As Eskom increases
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of 9,6% and Water Board increases of between 7 and 12% make up
a substantial portion of the costs that local municipalities
need to fund with their equitable share, it is obvious that
service delivery cannot continue even at the poor levels that
our communities have been subjected to. Considering
furthermore that the cost of fuel is a massive input into
service delivery with refuse removal being the obvious biggest
user, but also road repairs, leak management and traffic
control all requiring extensive transport, one can only look
at the massive fuel price increases with fear for service
delivery in our towns and cities.
The subsequent reduction planned in the Medium-Term Revenue
and Expenditure Framework means that even the current small
burst of good news will be short lived. The Division of
Revenue Bill also shows little change and innovation to adapt
to a post coronavirus disease, Covid, reality, with government
continuing to copy and paste budgets with little regard for
what is working and what is failing, or more importantly, what
is needed. More alarming is the apparent failure of the census
2022 process, meaning our decisions over the next 10 to 12
years will be based on flawed data. Bad data makes for bad
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decisions. This Bill cannot and should not be supported. I
thank you.
Mr Y I CARRIM: Hon Chair, thank you very much. Just to say
that look our Chairperson covered the key points of the
report. If one looks at the Announcements, Tablings and
Committee Reports, ATCs, you will find the full set of the
recommendations there. Now, the many issues raised by the
Western Cape or the DA or Ms Labuschagne herself actually
catered for in some or other major either in the report or in
the discussions we have had over this Division of Revenue Bill
or the previous ones ... [Inaudible.] that we are unware of
the challenges that you point to. However, obviously ...
[Inaudible.] half-full or half-empty ... [Inaudible.] you
can’t raise issues without recognising the context in which
they appear, otherwise you will look for short-term solutions
which will not sustain themselves.
Therefore, we have repeatedly pointed out those challenges we
have had. Some of them are our responsibility as Parliament,
as the ANC government, and as in fact a state. We accept that.
We have never said everything is ... [Inaudible.] we have
never said that we are performing perfectly even the President
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himself said so and the acting secretary general of the ANC...
[Inaudible.] the previous secretary ... [Inaudible.] the
issue really is, you know, what do we do about it, and ...
[Inaudible.] and gloom and fatalism of the DA over Labuschagne
personally or in Western Cape. I’m not sure exactly, I think
she’s speaking in this case as a DA representative as the
major ... [Interjections.]
However, the issue really is that I don’t know in which
capacity because the things Ms Labuschagne mentioned don’t
necessarily coincide what the member says in our committee.
That’s why it’s ... [Inaudible.] whose behalf she speaks, I
just take that which she is speaking ... [Inaudible.] on
behalf ... [Inaudible.] matters. If it matters most for the
party ... [Inaudible.] I can’t just say whatever ...
[Inaudible.] on behalf of my party as the Chair of the
committee. Since it’s not clear what she’s stated, what she’s
saying doesn’t correspond with the robust debate that we have
and very fruitful one. However, often in fact by the
opposition members ... [Inaudible.] from other party.
Alarmist, it seems as if she’s alarming.
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The issues around the census I think are understandable. Look
at the context within, no party even the best party in the
world could actually deal with these challenges ...
[Inaudible.] they are ... [Inaudible.] Covid-19, the July
unrest be brought upon ourselves ... [Inaudible.] yes, true
but the ... [Inaudible.] reason for it. They always focus on
the internal division of the ANC without looking structural
under ... [Inaudible.] people ... [Inaudible.] she. They just
follow internal division of the ANC without recognising the
highly rationalised inequalities of the society. Let me ...
[Inaudible.] point to them, but no, they focus solely on the
one that has subjective without the objective. They have yet
to understand the relationship between the two.
Then, on the issue of this cut and paste, that is absolutely
not true actually. There are aspects that need to be changed
fundamentally. There are serious of other issues that have
been dealt repeatedly pointed out to restructure reforms that
are necessary that fall beyond the ... [Inaudible.] of the
National Treasury. Those issues have to be addressed. May be
Labuschagne should pay more attention in the portfolio
committee she is in, now that they speak of issues that she
seems to be ... [Inaudible.] very understanding of and deal
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with the matters as, indeed, there are the communications
committee over ... [Inaudible.] the spectrum as, indeed, the
other aspects of the human settlements issues and so on ...
[Inaudible.] dealt with. All these issues ... [Inaudible.]
that we have to deal with this collaboratively before it
appointed to the Appropriations committee which deals
ultimately dispersing of funds without looking at this broader
structural issue is actually doom to failure.
Therefore, let’s, in fact, Ms Labuschagne have our
differences, but let’s work together to fight to address them
in a constructive way. The country right now, more than ever,
needs unity despite our differences. Thank you.
Debate concluded.
Question put: That the Bill be agreed to.
In favour: Eastern Cape, Free State, Gauteng, KwaZulu-Natal,
Limpopo, Mpumalanga, Northern Cape.
Against: Western Cape.
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Bill agreed to in accordance with section 65 of the
Constitution.
CONSIDERATION OF EMPLOYMENT EQUITY AMENDMENT BILL AND REPORT
OF THE SELECT COMMITTEE ON TRADE AND INDUSTRY, ECONOMIC
DEVELOPMENT, SMALL BUSINESS DEVELOPMENT, TOURISM, EMPLOYMENT
THEREON
Mr M I RAYI: Hon Chairperson, greetings to you, the Deputy
Chairperson, MECs present and the hon members. The Select
Committee on Trade and Industry, Economic Development, Small
Business Development, Tourism, Employment and Labour, having
considered the subject of Employment Equity Amendment Bill of
2020 National Assembly ... [Interjections.]
The CHAIRPERSON OF THE NCOP: Please proceed, hon Rayi, and
order to the member in the background who is causing some
disturbance. Please proceed, hon Rayi.
Mr M I RAYI: Thank you, Chair. The committee reports that it
has agreed to the Bill. The Employment Equity Amendment Bill
was referred to the Select Committee on Trade, Industry,
Economic Development, Small Business Development, Tourism,
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Employment and Labour on 16 November 2021. The committee
received a briefing on the Bill, and the purpose of the Bill
is that the Employment Equity seeks to amend the Employment
Equity of 1998 Act 55. The amendments have purpose of
empowering the Minister of Employment and Labour to determine
sectoral numerical targets for the purpose of ensuring the
equitable representation of suitable qualified people from
designated groups – that is blacks, women and persons with
disabilities at all occupational levels in the work force.
Enhancing the administration of the Act, including the
implementation of section 53 thereof, which provides for the
issuing of a certificate by the Minister confirming employer’s
compliance with chapter 2, or chapter 2 and chapter 3 of the
Act, as a case may be, in relation to the conclusion of state
contracts. Removing the requirement for psychological testing
and similar assessments of employees to be certified by the
Health Professions Council of South Africa. Removing the
provision empowering non-designated employers to notify the
director-general of the Department of Employment and Labour
that they intend to voluntarily comply with chapter 3 of the
Act as if they were designated employers.
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The process that was followed by the committee was to place
the advert for public comments in newspapers and radio adverts
to advertise for public comments. The closing date for written
submissions was 22 January 2022. It was advertised or
published in all 11 official languages. The committee then
received submissions from the following stakeholders in
respect of the Bill, Business Unity SA, BUSA, Banking
Association of SA, Financial Intermediaries Association of SA,
Black Business Council for Built Environment, Association for
Savings and Investment SA and SA Insurance Association, Master
Builders SA, Congress of the South African Unions,
Construction Alliance South Africa, South African Civil
Engineering Contractors.
The committee held public hearings on 22 February 2022,
received responses from the Department of Employment and
Labour in respect of the responses of the submission received
on 8 March 2022, and held deliberations on 15 March 2022. The
outcome of the committee’s consideration of the Bill was that
we voted clause by clause as well as for the Bill. Five
members of the ANC voted in support of the clauses of the Bill
and also the Bill. [Interjections.]
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The CHAIRPERSON OF THE NCOP: You seem to have frozen.
Mr M I RAYI: Am I frozen?
The CHAIRPERSON OF THE NCOP: It says your internet is
unstable, but please proceed.
Mr M I RAYI: Oh, sorry. The committee report was supported by
five members of the ANC, one member of the EFF and two members
of the DA voted against the Bill as well as the report. The
committee therefore recommends that the plenary session of the
National Council of Provinces approves the Bill. Thank you
very much, hon Chairperson.
Declarations of Vote:
Ms H S BOSHOFF: Chair, undeniably, unemployment is a runaway
train without any brakes. Currently almost 12 million South
Africans do not and will not, in the foreseeable future, have
a job. We are heading for the 50% mark if we count those who
have given up looking for a job, and the trend has worsened on
Minister Nxesi’s watch.
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Instead of revising labour laws and regulations to free up the
labour market, he and his department would rather see
draconian regulations like the Employment Equity Amendment
Bill which will, in the first place, be a job killer and will,
in all likelihood, strangle any new and current businesses.
This is a destructive piece of legislation which will see
potential investors taking their investment elsewhere, and
will wreak havoc on the economic growth. The only thing this
Bill does is to empower the Minister to set numerical
employment targets for any national economic sector after, not
with, after consultation with the relevant sectors. The new
powers vested with the Minister are completely incompatible
with the principles of any market-based economy. We therefore
cannot support this Bill and Report. I thank you.
Mr K M MMOEIMANG: Hon Chairperson, Indeed, the chairperson of
the select committee has correctly pointed out the rationale
behind the Employment Equity Amendment Bill. From the ANC’s
side, indeed, this is the progressive move because of the
balance of the evidence indicate that indeed that there is a
poor record of transformation across a number of sectors.
Therefore, it becomes critical that the Minister of Employment
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and Labour is empowered to determine sectoral numerical
targets as clearly indicated by the chairperson of the select
committee.
What is quite important Chairperson, is to indeed indicate
that the transformation project in our country is sacrosanct
and consistent with the aspiration of the Bill of Rights and
cannot be deterred or be deferred by the ancillary issues such
as the investment scare and capital flights concerned;
shortage of skills from the designated purpose and capacity or
lack thereof from them who reach enforcement agencies.
The shortage of skills in critical sectors of the economy such
as financial services and insurance industries cannot be
usurped the transformation as these sectors had ample time to
be developed demand those capabilities.
What we are not told by the DA is what was correctly captured
by Prof Roger Southall a professor of sociology at the
University of Witwatersrand, when he said that South Africa’s
main opposition party is caught in an unenviable political
bind.
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Therefore, as the ANC, we are not surprised that the DA is
strongly opposing the Employment Equity Amendment Bill. They
are opposing it because the DA possess an uncanny ability to
shoot itself in the foot. It is its real dilemma is how to
escape the vicious circle. When it sought to attract black
voters by endorsing black empowerment, it alienated the white
voters to the right and classic liberals.
Let me warn you, when you reject the Employment Equity
Amendment Bill, you are going to alienate your potential
support base which you are on the verge of donating on a
silver platter to your proxy Mashaba. Therefore, the ANC
supports this Bill. Thank you, Chairperson.
Mr T APLENI: Hon Chairperson, the EFF welcomes the Employment
Equity Amendment Bill which seeks to provide recourse for
women, youth, persons living with disabilities and the black
majority who have for years been discriminated against by
employers without any form of recourse.
Employment equity should have long been achieved by promoting
equal opportunities and fair treatment through the elimination
of unfair discrimination and through the implementation of
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progressive policies. However, it is shocking to note that to
date, even in government departments, entities and state-owned
enterprises, local institutions have failed to comply with
requirements of employer equity, particularly with the
employment of persons living with disabilities who still face
marginalisation and exclusion from the labour market.
Under the leadership of the ruling party, blacks are still
highly under-represented in key management positions compared
to their workforce availability. While women make up the bulk
of the South African population, they still account for only a
third of the labour force. Still mainly concentrated in
services of hospitality, retail and other manufacturing
industries. Whilst whites still dominate top and senior
management positions.
There is no denying that progress in bringing about the change
in unfair discrimination in the workplace has been painfully
slow and that the legacy of the workplace discrimination
against blacks leaves on, whilst the gap between the rich and
the poor widens.
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We support this Bill as it is designated to address the
colonial exploitation which continues at the exclusion of the
majority of our people from having any meaningful
participation in the economy. While legislation is an
important aspect, in addressing workplace discrimination, it
is on its own not enough to achieve this goal.
Transformation needs to be supported by employment practices
which are conducive to the development of black workers. So,
if under administered efficiently, we hope that the Employment
Equity Amendment Bill will improve the social economic status
of black people, youth and persons living with disabilities.
We support this Bill as it seeks to achieve and promoting of
equal opportunities and fair treatment at the workplace so as
to advance the interest of black people with women, youth and
persons living with disabilities. Thank you very much,
Chairperson.
Mr S F DU TOIT: Hon Chairperson.
The CHAIRPERSON OF THE NCOP: Yes, who is that on the
background?
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Mr S F DU TOIT: That is Du Toit. I am experiencing technical
difficulty, but I see the sound is back on. May I continue.
The CHAIRPERSON OF THE NCOP: Yes, I will allow you, Du Toit,
although I called you more than once.
Mr S F DU TOIT: Thank you Chairperson. I appreciate that.
The CHAIRPERSON OF THE NCOP: It is alright. I will allow you
to speak. Please proceed.
Mr S F DU TOIT: Thank you, Chairperson.
Afrikaans:
Die kultuur van selfregverdigende aanspraakmaking vir die
reservering van poste, posisies en aanstellings is wat deur
hierdie wetgewing bewerkstellig word. Die VF Plus het ons
sedert 1994 sterk teen regstellende aksie en swart ekonomiese
bemagtiging uitgespreek.
The CHAIRPERSON OF THE NCOP: Hon Du Toit, just a minute.
[Interruption from the interpretations.]
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The CHAIRPERSON OF THE NCOP: There is somebody in the
background making a lot of noise.
Please stop what you are doing!
Please ensure that the translation is done properly.
English:
Mr S F DU TOIT: They do not mention that the economic
population growth in South Africa between 1993 and 2019, black
South Africans increased from 23,06 million to 47,4 million.
That is an increase from 3,4 million to 5,08 million, Indians
from 1,22 million to 1,45 million. White South African
population decreased from 5,1 million to 4,4 million people.
If the number of black South Africans doubled, in 26 years,
obvious there will be more unemployment without economic
growth because the government policies.
Afrikaans:
Die kultuur van selfregverdigende aanspraakmaking vir die
reservering van poste, posisies en aanstellings is wat deur
hierdie wetgewing bewerkstellig word. Die VF Plus het ons
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sedert 1994 sterk teen regstellende aksie en swart ekonomiese
bemagtiging uitgespreek.
The CHAIRPERSON OF THE NCOP: Can I make an appeal one more
time. The translation people are causing a bit of a problem
and ask the table to assist and manage the problem!
Please proceed, hon Du Toit!
Mr S F DU TOIT: Thank you Chairperson.
Afrikaans:
Buiten kaderontplooing en staatskaping is rasgebaseerde
wetgewing een van die grooste redes vir die verval van
staatsentiteite.
Minderheidsgroepe in Suid-Afrika, soos die Indieër, bruin en
wit gemeenskappe, het tot nou toe en sal ook nie in die
toekoms toelaat, dat hierdie uitsluitende wetgewing ons
verhinder om suksesvol te wees nie.
Die regering bied ons dalk nie ’n toekoms nie, maar ons skep
self een. Die regering wil ons potensiaal onderdruk, ons bewys
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hul verkeerd. Die regering stel strenger rasgebaseerde
wetgewing in, maar ons floreer met kreatiwiteit.
Die regering blaas rassekonflik, haat en verdeeldheid met
hierdie wetgewing aan, maar ons ag hul pogings nie bepalend
oor ons lot nie. Welgedaan aan elke persoon wat met genade bo
hierdie vloek uitgestyg het. Daar is twee hulpbronne wat nooit
uitgeput raak nie – God se genade en hoop. Volhard, oorwin,
floreer!
The CHAIRPERSON OF THE NCOP: Thank you, hon Du Toit. We will
ask the team of the table staff to make the translation
question to be a bit easier and more comfortable for almost
every one.
We will now proceed.
Motion agreed to.
Question put: That the Bill be agreed to.
Bill agreed to in accordance with section 75 of the
Constitution.
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CONSIDERATION OF COMPENSATION FOR OCCUPATIONAL INJURIES AND
DISEASES AMENDMENT BILL AND REPORT OF SELECT COMMITTEE ON
TRADE, INDUSTRY, ECONOMIC DEVELOPMENT, SMALL BUSINESS
DEVELOPMENT, TOURISM, EMPLOYMENT AND LABOUR THEREON
Mr M I RAYI: Thank you very much again hon Chairperson. The
Select Committee on Trade and Industry, Economic developments,
Small Business Development, Tourism, Employment and Labour,
having considered the subject of the Compensation for
Occupational Injuries and Diseases Amendment Bill, B 21B –
2020 refer to it. The Compensation of Occupational Injuries
and Diseases was referred to the committee on 9 November 2021.
The purpose of the Bill is that, the Compensation of Injuries
and Diseases Amendment Bill, seeks to amend the Compensation
Injuries and Diseases Act of 1993.
The amendment seeks to extend the coverage for occupational
injuries and diseases to previously excluded vulnerable
workers, as well as the improvement of compensation benefits
to employees. Link to key target of Chapter 10 and 11 of the
National Development Plan of 2030. Align the act with the
requirements of other legislation to remove ... [Inaudible]
... on some of the provisions of the act.
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Empower the National Economic Development and Labour Council,
Nedlac to nominate persons from whom members of the board may
be appointed by the Minister, to represent the interests of
organised businesses organised labour and the state. To
provide for the term of office of a board member to be limited
to two terms. Provide for the disqualification for membership
of the board, resignation and removal from office. Introduce
rehabilitation, reintegration and return to work, in order to
address the tendency of some employers to dismiss employees on
the basis of occupational injuries or diseases.
In terms of the process that the committee followed: The
committee invited public comments through advertisement in
newspapers and on the radios. The closing date for written
submission was 22 January 2022. The advertisement was
published in all 11 official languages. The committee received
submission on the on the Bill from the following stakeholders:
Business Unity South Africa, Congress of South African Trade
Unions, Injured Workers Action Group, Comsol and COIDLink. The
committee then held public hearings on 22 February 2022, and
received responses from the Department of Employment Labour on
8 March 2022 on this submission received.
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On 15 March 2022, the committee deliberated on the Bill. The
committee proposed amendments on clause 39, clause 43, clause
63 as well as clause 64. The outcome of the committee’
consideration of the Bill was that, five members of the ANC
voted in favour and in support of the Bill and its clauses.
Two members of the DA voted against the clauses of the Bill
and also the Bill itself. The report was adopted by five
members of the ANC and one member of the EFF. The DA voted
against the report. Therefore, in conclusion hon Chair, the
committee recommends the approval of the Bill by NCOP Plenary.
Thank you so much.
Question put that the Bill subject to proposed amendments be
agreed to.
Ms H S BOSHOFF: Hon Chair!
The CHAIRPERSON OF THE NCOP: Yes, Boshoff!
Ms H S BOSHOFF: I would like to make a declaration plesase.
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The CHAIRPERSON OF THE NCOP: Let’s proceed to declarations.
Again just to remind members, three minutes per declaration.
So we will start with you Boshoff.
Declarations of Vote:
Ms H S BOSHOFF: Thank you Chair. Many of the industry bodies
who made oral submissions to both, the Select and Portfolio
Committee on Employment and Labour raised their concerns about
the negative impact these arrangements, will have on job
creation. It was evident in the submissions that; they are
vehemently being opposed to as section 43 of the Amendment
Bill will in all likelihood collapse the only elements of this
act that are currently of benefit.
Hon Minister, those ... [Inaudible] ... who feel the brunt of
these amendments will be the employees, as medical
practitioners will now not be able to utilize third parties to
assist in the submission of claims, and do not have the staff
complement or the time to undertake these claims directly. The
notion that third parties are only there to derive money is
false, as these administrators provide prefunding to claimants
and then claim from the Compensation Fund. I am of the opinion
that the Compensation Fund does not take lightly to be seen as
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failing the claimants as they are currently doing, and
therefore need to eliminate these third-party administrators.
It would then also appear as of no study has been done to
determine the impact, the insertion of section 43 will have on
workers living in the most rural of areas. These workers are
reliant on third-party administrators, to draw up and submit
claims on behalf of medical practitioners. This privilege is
now being denied to them. It is clear that the insertion of
this amendment will only bring about legal challenges, which
this entity can solely afford. We therefore cannot support
this Bill. I thank you.
Mr M DANGOR: Thank you very much, Chairperson, the purpose of
the Compensation for Occupational Injuries and Diseases
Amendment Bill is to amend the Compensation for Occupational
Injuries and Diseases Act of 1993, so as to amend, substitute,
insert, delete, and repeal certain definitions and sections;
to provide for matters pertaining to the board and its
members; to provide the commissioner to perform certain
functions that were previously performed by the director-
general; to further provide for matters pertaining to
rehabilitation, reintegration and return to work for
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occupationally injured and diseased employees; to regulate the
use of health care services; to provide to the commissioner to
review pension claims or awards; to provide for administration
of penalties, to regulate compliance and enforcement; and to
provide for matters connected therewith.
Reflecting specifically on the COIDA Amendment Bill section
6(a) provides, the commissioner shall by notice in the gazette
prescribe the rules referred to in section 56(3)(c), as well
as the forms to be used and particulars to be furnished in
connection with the notice of occupational injuries and
diseases, claims for compensation or any other form or matter,
which he or she may deem necessary for the administration of
the Act.
In effect, section 6(a)(b) of the Act grants the commissioner
the power to publish gazette notices as he or she deems it
necessary within the prescripts of the law. However, the
aggrieved persons and the juristic persons with regard to the
application of this particular clause are at liberty to review
the gazetted notices through the available dispute resolution
mechanisms including the courts.
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Critical to the passing of this Bill is the milestone reached
in the amendment by including the domestic employees for the
first time, in which this subsector stand to benefit
retrospectively since 1984. Giving effect to this watershed
achievement, the administrative regulatory framework must
still be developed to expedite its implementation. The ANC
supports the Bill in its current form. I thank you, hon
Chairperson.
Mr T APLENI: Sorry, Chairperson, I raised my hand.
The CHAIRPERSON OF THE NCOP: I don’t see it. Yes. It’s not
here. It doesn’t appear as you can see for yourself but I will
allow you to speak. Please proceed.
Mr T APLENI: Thank you very much. Chairperson, the EFF
welcomes the Compensation for Occupational Injuries and
Diseases Amendment Bill, which repeals certain sections of the
Act which are unconstitutional excludes domestic workers from
compensation for occupational injuries and diseases.
Domestic work has been, and continues to be a source of
employment for many of our people as studies show that over a
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million and a half of the South African workforce is made up
of domestic workers, the majority of which are women.
Domestic workers play an important role in supporting the
labour market and are the backbone of the economy in any
country around the world, yet not enough is done in regulating
this industry which provides essential services to many
households, by relieving working families of household chores.
And in many instances, domestic workers work long hours and
earn low wages which are not a reflection of the work that
they do. They generally receive poor wages and yet also
vulnerable to sustaining injuries on the job, with a number of
workers being frequently abused by their employers, with live-
in domestic workers being particularly vulnerable to such
abuse because of being isolated and totally under the control
of their employers, often being hospitalized or dying as a
result of work related stress and injuries.
The EFF supports the Compensation for Occupational Injuries
and Diseases Amendment Bill as it seeks to protect such
workers.
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We once again note amendments made in an attempt to strengthen
the Compensation Fund, however more work needs to be taken in
this regard as there remain no signs of change. We are
nonetheless pleased that a Bill will come into effect, which
will regulate and protect the working conditions of our
mothers, sisters and many black women in this country. Thank
you very much, Chairperson.
Debate concluded.
Question put: That the Bill, subject to proposed amendments,
be agreed to.
Voting
[TAKE IN FROM MINUTES]
Bill, subject to proposed amendments, agreed to in accordance
with section 75 of the Constitution.
CONSIDERATION OF REPORT OF SELECT COMMITTEE ON TRADE AND INDUSTRY,
ECONOMIC DEVELOPMENT, SMALL BUSINESS DEVELOPMENT, TOURISM, EMPLOYMENT
AND LABOUR - VIRTUAL ENGAGEMENT WITH NATIONAL, PROVINCIAL, LOCAL AND
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PROVINCIAL DEVELOPMENT AGENCIES ON STRATEGIES TO BOOST ECONOMIC GROWTH,
ATTRACT INVESTMENTS AND BOOST JOB CREATION IN THE EASTERN CAPE PROVINCE
AND BUFFALO CITY METROPOLITAN MUNICIPALITY, DATED 7 DECEMBER 2021
Mr M I RAYI: Thank you very much once again, hon Chairperson.
Let me indicate that as a committee we have decided that we
would be inviting the provinces, municipalities and the state-
owned enterprises to give us a report on the economic
development and a contribution that is made in particular by
the state-owned enterprises - the national ones.
We started with the Eastern Cape and identified Buffalo City
Municipality that was then followed by Free State and with the
Municipality of Mangaung and state-owned enterprises. The next
would be Gauteng. That is just an introduction.
The Select Committee on Trade, Industry, Economic Development,
Small Business Development, Tourism, Employment and Labour,
convened a virtual meeting on 19 November 2021, invited the
Department of Trade, Industry and Competition, the TIC, and
the Public Enterprises, the PE, Passenger Rail Agency of South
Africa, Prasa, Transnet, Eastern Cape Economic Development,
Environmental Affairs and Tourism.
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We received an apology from the MEC, Eastern Cape Development
Corporation, Buffalo City Metropolitan Municipality and
Buffalo City Metropolitan Development Agency to discuss their
policy and development programmes contributing to the Economic
Reconstruction and Recovery Plan in their respective
jurisdictional areas.
Their presentation of all stakeholders acknowledges that the
Covid-19 outbreak has had a measure effect on both the global
South Africa’s economy performance, social and health systems.
Small businesses were more likely to be the hardest hit by the
lockdown restrictions put in place monies to the spread of the
virus. This measures warrant a state support to many small and
medium-sized micro enterprises and corporative.
The government support to some degree prevented the collapse of
firms and industries and there contributing to saving of jobs.
Some industries have been able to continue operating during
lockdowns notable online retailers and as a result have seen
massive increase in sales whilst most businesses based on
tourism or hospitality have closed for months. Many jobs in the
most affected sectors and industries were lost. The Covid-19,
South African economy and the provincial economies have been
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characterised by low investment and poor economic growth with
business activity and restrain consumer sentiments.
Energy supply remains an inherent risk to economic growth and
development. Energy supply crisis has the potential to deter
investment and have direct effect on productive capacity,
which subsequently negate South Africa’s employment creation
initiatives. Support of SMMEs and co-operatives remain a major
challenge.
According to the Eastern Cape Development Corporation 2021
corporate plan, nearly 80% of small, medium and micro
enterprises in the province are survivalist in nature. In
light of the constrain fiscal environment partnership with
private sector and development finance institutions, including
commercial bank and educational institutions are critical for
SMEs development as a need for province to develop and
deepened private sector participation in the economy to drive
inclusive economy. In terms of employment contribution, the
automotive, agriculture and services sectors are the main
drivers of the provincial economy. However, unemployment in
equality amongst the youth and women remain the major areas.
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The provincial economic both manufacturing multinationals such
as Volkswagen South Africa, Mercedes Benz South Africa, Ford,
Johnson and Johnson, nestle, Denver and Aspen.
In secondary sector the economies dominated by vehicles,
nuclear reactors, wool and precious stones, fruits and nuts
and locomotives. In diversifying the economy government is
championing need to develop domestic capacity by building
dynamic firms and local industry capabilities such as
suppliers to domestic, regional and global value chains.
In this regard, the government-led Industrial Master Plan will
further support efforts to industrialise key sectors of the
economy in order to enhance economic development, the Eastern
Cape Development Corporation, ECDC, has been administering
Imvaba Co-operatives Fund since 2009 for growth and
development of co-operatives and SMMEs.
The report indicates that policies and system of accessing
approving and dispensing funds in the approve primary and
secondary co-operatives have been developed.
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With regard to Buffalo City Development Agency, the Buffalo
City Metropolitan Municipality has reported that it has
adopted directed a six missions directed goals aligned to the
Economic Reconstruction and Recovery Plan. The mission is to
activate automotive consolidation and value chain localising
retain Mercedes-Benz South Africa, MBSA, yield on East London
Development supplier park establish automotive incubator shift
to Auto Digital Hub yield deification towards a future fit
economy, digital green, agro- industry, creative economic
industry. I see, Chair, that I am front done.
Let me rather go straight to the recommendations because it’s
a very long report which I will try to summarise into seven
pages. With regard to the recommendations: The committee noted
that deteriorating logistic network infrastructure could
derail government recommended retail price, RRP.
Hence it is important to invest in the ports, rail and energy,
including water and sanitation infrastructure. To this end,
the committee recommends that the Minister of Public
Enterprises should summit to the committee before the end of
2022-23 financial year. A feasibility study which is expected
to determine whether it is feasible to increase the capacity
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of East London Board, including incentives to expand the
automotive terminal.
Secondly, further the committee recommends that over the 2022
financial year, the Minister of Transport, the member of
executive council responsible for transport and the Body
Corporate and Community Management, BCCM, with the support of
national and provincial Treasury should formulate a plan that
should entail financing and funding mechanism to accelerate
the implementation of the public transport development
programme in the Buffalo City Metropolitan Municipality.
The member of MEC responsible for economic development,
Environmental Affairs and Tourism should engage the provincial
Treasury to consider funding to invest in the Eastern Cape one
stop show to improve its organisational capacity and
capability in order to fulfil its policy obligation. Funding
should set aside in 2022 to medium term and funds should be
earmarked for boosting investment.
The committee recommends that the Minister responsible for
Transport, Energy, Water and Sanitation and Public Enterprises
and ICT should develop a collaborative approach with the
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Eastern Cape provincial government and the affected district
municipality and produce an integrated plan for investment and
development of the eastern side region for the Eastern Cape
province. The plan should be submitted to the committee before
the end of 2023-24 financial year.
Further, the committee recommends that Buffalo City
Metropolitan Municipality and Buffalo City Development Agency
should submit to the committee the plan that will cover all
developmental projects within the region. The plan should be
submitted by the end of 2021-22 financial year.
Lastly, the committee further recommends that the Select
Committee on Public Enterprises and Communication and the
Select Committee on Security and Justice should convene a
joint meeting inviting the Minister of Police, Justice and
Correctional Services to address the low pace of finalising
the investigation and prosecution of alleged acts of
corruption and maladministration relating to the SOEs. Thank
very much, hon Chairperson.
Debate concluded.
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Question put: That the Report be adopted.
In favour: Eastern Cape, Free State, Gauteng, KwaZulu-Natal,
Limpopo, Mpumalanga, Northern Cape, North West, Western Cape.
Report accordingly adopted in accordance with section 65 of the
Constitution.
Business of the Council concluded.
The Council adjourned at 15:58.