National Council of Provinces - 19 October 2004
TUESDAY, 19 OCTOBER 2004 __
PROCEEDINGS OF THE NATIONAL COUNCIL OF PROVINCES
____
The Council met at 14:01.
The Chairperson took the Chair and requested members to observe a moment of silence for prayers or meditation.
ANNOUNCEMENTS, TABLINGS AND COMMITTEE REPORTS – see col 000.
NOTICE OF MOTION
Mr M A MZIZI: Chairperson, I hereby give notice that at the next sitting of this Council, I shall move on behalf of the IFP:
That the Council –
(1) notes that four people were to appear in court in Alberton yesterday on 18 October, following their arrest over the weekend in connection with drugs;
(2) further notes that the use of drugs, which are easily accessible and readily available, is a problem currently plaguing South Africa and harming the many people who use these illegal substances;
(3) acknowledges that in order to curb the distribution and availability of drugs, we need to find ways of stopping and arresting the people who illegally produce and import them; and
(4) agrees that if drugs are found on business premises, the trading licence of that business should be confiscated.
VARIOUS SPORT VICTORIES
(Draft Resolution)
Mr N M RAJU: Chairperson, I move without notice:
That the Council —
1) notes that the United Cricket Board, in a spring-cleaning exercise,
showed the exit to Eric Simons, the beleaguered coach of the Proteas,
and appointed a new coach, Ray Jennings, former charismatic
wicketkeeper and batsman of the formidable then Transvaal Cricket
Eleven;
2) wishes to record its approval of this change in stewardship of the
national cricket team, hoping that this long overdue change is the
harbinger of better things to come in one of our national sporting
codes;
3) notes with joy the victory gained by Bafana Bafana in the crucial
away match against Uganda at Kampala last weekend; and
4) furthermore salutes South Africa’s World No 2 golfer, Ernie Els for
his magnificent sixth win at the World Matchplay Golf Championship
just completed at Wentworth, England.
Motion agreed to in accordance with section 65 of the Constitution.
DA VICTORY OVER THE FF PLUS AND ACDP
(Draft Resolution)
Mnr D A WORTH: Agb Voorsitter, hiermee stel ek sonder kennisgewing voor:
Dat die Raad—
(1) kennis neem dat die Demokratiese Alliansie tydens ‘n onlangse tussenverkiesing in Wyk 24 in Bloemfontein ‘n oortuigende oorwinning, met 424 stemme, teen die VF+ en die ACDP behaal het; en
(2) voorts kennis neem dat die uitslag weereens bevestig dat opposisiekiesers ‘n tuiste in die DA gevind het. (Translation of Afrikaans draft resolution follows.)
[Mr D A Worth: Hon Chairperson, I move without notice:
That the Council -
(1) notes that the Democratic Alliance achieved a convincing victory with 424 votes in a recent by-election in Ward 24 in Bloemfontein against the Freedom Front and the ACDP; and
(2) believes that this result once again confirms that opposition voters found a home in the DA.]
Motion agreed to in accordance with section 65 of the Constitution.
POVERTY ALLEVIATION AND SOCIAL DEVELOPMENT
(Draft Resolution)
Ms H F MATLANYANE: Chairperson, I move without notice:
That the Council —
(1) acknowledges the commitment of the ANC-led government in Limpopo towards alleviating poverty and promoting social development in the province;
(2) further acknowledges that the pursuit of these objectives has been the key focus of our provincial government during the first decade of freedom;
(3) welcomes the recent successful Growth and Development Summit between the provincial government, business, organised labour and development organisations as another significant milestone in our pursuit of these objectives; and
(4) commends all stakeholders involved in the Growth and Development Summit for the consensus they have built to collectively confront the urgent challenges facing the people of our province, particularly the poor.
Motion agreed to in accordance with section 65 of the Constitution.
PUBLIC AUDIT BILL
(Consideration of Bill and of Report of Select Committee on Finance
thereon) Mr Z S KOLWENI: Hon Chairperson and members of this House, I stand to take members through the Public Audit Bill. I think the first question would be: Why the new Public Audit Bill? The Bill before this House does the following: It aligns the Auditor-General Act and the Audit Arrangements Act with the Constitution and other legislations like the Public Finance Management Act, the Labour Relations Act, and the new Municipal Finance Management Act. It consolidates all of these Acts into one Act and provides a modern framework for governance and financial management. It aligns the functions of the Auditor-General with the Constitution. It also clarifies the relationship between the Auditor-General, Parliament and the Audit Office. It employs domestic law, international legislation best practice, and corporate governance as guiding principles and benchmarks. Members of the NCOP would also be pleased to learn that various stakeholders were consulted in its drafting process, as well as some structures like the Joint Standing Committee on Intelligence, the Audit Commission, the National Treasury and the state law advisers.
More importantly, the Bill gives the Auditor-General powers to conduct searches of properties, premises, vehicles and persons. It also deals with audits by the Auditor-General, audits of institutions by auditors in private practices and investigations, and special audits by the Auditor- General. And the Bill specifies the powers and duties of auditors appointed to conduct audits of listed institutions. The Select Committee on Finance also raised a concern that, in terms of the Bill, the Auditor-General accounts to the National Assembly only. The select committee was of the view that the Auditor-General should report to the NCOP as well. The select committee received the following response later that, in terms of the Constitution, the Auditor-General accounts to the National Assembly. The Bill had to comply with the Constitution, and hence it states that the Auditor-General accounts to the National Assembly. In practice, however, we are quite aware that the Auditor-General also accounts to Parliament as a whole.
In terms of the current oversight duties of the Select Committee on Finance, in relation to municipalities and municipal entities, the Municipal Finance Management Act makes it mandatory for municipal entities to be audited by the Auditor-General.
In fact, the constitutional arrangements in the preamble of this Bill requires the Auditor-General to submit audit reports to any legislature that has a direct interest in the audit, and to any authority prescribed by national legislation, and that all reports be made public.
The Select Committee on Finance currently enjoys a healthy working relationship with the Office of the Auditor-General, and with the additional mandates issued by the Municipal Finance Management Act. One can expect such a relationship and association to break new ground. The Select Committee on Finance appeals to the NCOP to endorse this Bill. I thank you. [Applause.]
The CHAIRPERSON OF THE NCOP: That concludes the debate. I shall now put the question. The question is that the Bill be agreed to. In accordance with Rule 63, I shall first allow political parties the opportunity to make their declaration of vote, if they so wish.
Declaration of vote:
Ms D ROBINSON: Thank you, hon member. This Bill gives effect to the provisions of the Constitution establishing the signing functions to the Auditor-General to provide for the auditing of institutions in the public sector. It also provides for accountability arrangements of the Auditor- General. In addition, it enables the Auditor-General to repeal a number of obsolete pieces of legislation such as Act 12 of 1995, Act 122, and sections 58, 59, 60, 61 and 62 of Act 1 of 1999. This is a technical Bill and the DA supports this Bill.
Debate concluded.
Bill agreed to in accordance with section 75 of the Constitution.
PUBLIC INVESTMENT CORPORATION BILL
(Consideration of Bill and of Report of Select Committee on Finance
thereon)
Mr E M SOGONI: Hon Chairperson of the National Council of Provinces, hon Chief Whip, hon members and our visitors, I would like to take this opportunity to acknowledge the presence of the senior management of the Public Investment Corporation or Commission – or the soon-to-be Corporation
- Dr Dan Matjila, who is the Risk Manager and Acting CEO in the absence of Mr Brian Molefe; Ms Swazi Matthews, the Legal and Complaints Manager; and Mr Deon Botha, the Senior Manager of Special Projects.
Today marks the culmination of work that was started little more than a year ago to restructure and gear up the Public Investment Corporation so that it could participate as a senior player in the tough world of financial markets.
The Investment Commission was established in 1911 to invest, at that time, in government bonds and the government deficit, but that role has been expanded over the years to include portfolios such as asset management and equities, and developmental investments through the Isibaya Fund. Surely it cannot exist or operate in the way it did 90 years ago when it was established, especially in the modern, global capital markets.
So, the Bill provides for the change from the current Public Investment Commission to the Public Investment Corporation, which will be established as a juristic person with counter-party ability in financial transactions, be subjected to corporate governance, as with all other private companies, and to attract scarce investment management talent, which it is unable to do currently.
The total funds under management of the PIC, as at 31 March 2004, was R378 billion, whilst Old Mutual manages R252 billion and Sanlam manages R200 billion, thus making the PIC the largest asset manager in the country.
To manage risks associated with financial markets the Bill proposes that the Minister of Finance appoints a board of directors that will adopt investment strategy and policy, although he will also have a representative on that board of directors.
Clause 6(4) states that the Minister may issue directives to the board to guard the interests of the state, because the state is the only shareholder of the corporation. The corporation will therefore be accountable to the state and be subject to the Public Finance Management Act.
The concerns of civil society, including Cosatu and a few other role- players, were addressed, though there seemed to be a misunderstanding on their side in terms of what the Bill sought to achieve.
The Financial Services Board will have oversight of the PIC’s operations, and that should contribute to a more stringent, financially controlled environment. The current PIC does not fall under any regulatory legislation, so this Bill seeks to bring the PIC in line with players in the financial markets.
On behalf of the Select Committee on Finance, I therefore propose the adoption of the Public Investment Corporation Bill, Bill 6 of 2004. Thank you.
Debate concluded.
The CHAIRPERSON OF THE NCOP: I shall now put the question. The question is that the Bill be agreed to. In accordance with Rule 63, I shall first allow political parties an opportunity to make their declarations of vote if they so wish.
Ms Robinson, I hope that is a declaration and not a speech in support, because we can’t create a debate if the committee has agreed that the statement will be made from the Bill that has been agreed to by all political parties in the committee. [Interjections.]
Bill agreed to in accordance with section 75 of the Constitution.
The CHAIRPERSON OF THE NCOP: Before the Secretary reads the Third Order of the Day, I just want to alert members to the fact that we have before us a lectern, a podium, which we actually want all members to test to see whether it is working. So, as the Secretary reads the next Order, the next speaker must come to the podium. [Applause.]
NATIONAL PAYMENT SYSTEM AMENDMENT BILL
(Consideration of Bill and of Report of Select Committee on Finance
thereon)
Mr D J BOTHA: Chair, I think that the Limpopo province, as usual, is making history today for being the first to use the podium. I am indeed very honoured to be in that position.
It is once again a pleasure to not only address this House, but also to deliver a fundamental historic motion on the National Payment System Amendment Bill.
There are four reasons for amendments to the original National Payment System Act of 1989. Firstly, the most important amendment is to allow inclusion of the South African Rand – the SA Rand - in multicurrency Continuous Linked Settlement, widely known as the CLS and operated by the CLS Bank in the United States.
Secondly, the amending Bill c1arifies the role of the Reserve Bank and the payment system management body, currently the Payment Association of South Africa.
Thirdly, the Act is being amended to allow for smaller financial institutions to, for example, collect payments that are due on behalf of third persons such as city councils. This amendment will also enable second and third-tier banks to participate in the payment system.
Finally, wider powers are granted to the South African Reserve Bank. These powers will further enable the Reserve Bank to include second and third - tier banks, that have the correct system, to participate in the payment system.
South Africa’s financial system is generally described as robust, highly developed, sophisticated and well regulated. We boast a particular stable banking system as compared to most other emerging markets. Our banks are well managed and most have sophisticated risk management systems and corporate governance structures in place. South Africa is effectively compliant with all the basic core principles for effective banking supervision.
Maintaining a stable financial system is, however, an ongoing task. The National Payment System Amendment Bill currently before the NCOP seeks to contribute to this objective of improving the financial stability of South Africa’s banking system.
The Select Committee on Finance urges the House that the Bill agreed to in accordance with the procedure established by section 75 of the Constitution of South Africa. Thank you. [Applause.]
Debate concluded.
The CHAIRPERSON OF THE NCOP: I shall now put the question in respect of the Third Order. The question is that the Bill, subject to the proposed amendments, be agreed to. In accordance with Rule 63 I shall first allow political parties the opportunity to make their declarations of vote if they so wish. We shall now proceed to voting on the question.
Agreed to in accordance with section 75 of the Constitution.
GOVERNMENT EMPLOYEES PENSION LAW AMENDMENT BILL
(Consideration of Bill and of Report of Select Committee on Finance
thereon)
Mr N M RAJU: Hon Chairperson and hon colleagues, the Government Employees Pension Law Amendment Bill makes provision for the correction of errors that occurred at the time of proclamation of the Government Employees Pension Law (Proclamation 21 of 1996). Furthermore, the Bill provides for amendments to the benefit structure negotiated in the Public Service Co- ordinating Bargaining Council, PSCBC. The amendments are of a technical nature. The Bill does not appear to have any financial implications.
The purpose of the Government Employees Pension Law Amendment Bill is to make provision for an increase in pensions payable to certain pensioner services within the nonstatutory forces. Section 224(2) of the interim Constitution of the Republic of South Africa, Act 200 of 1993, provides for the integration of seven former forces that constituted the SA National Defence Force.
In terms of Schedule 6, item 24(1) of the new Constitution Act No 108 of 1996, the said section 224 continues to apply as if the interim Constitution had not been repealed. Former nonstatutory force members have not had the opportunity to obtain membership and contribute to a pension fund prior to the integration. This creates disparity between members of the former statutory forces and former nonstatutory forces regarding the recognition of pensionable services.
The aim was to place members of former nonstatutory forces in the Department of Defence in a similar position to that of the former statutory force members regarding the recognition of previous services for pension purposes.
The total costs amounts to R766 million of which the employer’s portion amounts to R501 million and that of the members to R265 million. About R501 million of the fund set aside under the PSCBC Resolution 7/98 will be used to finance the employer’s responsibilities.
Affected employees will be responsible for a part of the additional costs. For members who are unable to pay their share of the costs, additional pensionable service granted will be reduced accordingly. Affected employees will be excluded from any benefits other than those received as dependants payable under the Special Pensions Act, Act 69 of 1996.
Members who have already received benefits under the Special Pensions Act will repay such benefits or have their pensionable services granted reduced.
The Bill gives effect to section 224(2) of the interim Constitution of the Republic of South Africa. This section provides for the integration of seven former forces that constituted the SANDF. In terms of Schedule 6 to the new Constitution, Act 108 of 1996, the said section 224 continues in force as if the interim Constitution had not been repealed.
The Select Committee on Finance approves the Bill. I thank you, Chairperson. [Applause.]
Debate concluded.
The CHAIRPERSON OF THE NCOP: I shall now put the question in respect of the Fourth Order. The question is that the Bill be agreed to. In accordance with Rule 63 I shall first allow political parties the opportunity to make their declaration of vote if they so wish. We shall now proceed to the voting on the question.
Bill agreed to in accordance with section 75 of the Constitution.
LOCAL GOVERNMENT AS A VEHICLE FOR THE SUCCESSFUL IMPLEMENTATION OF THE SOCIAL CONTRACT TO CREATE JOBS
(Consideration of Report on Provincial Week of 6 to 10 September 2004)
The DEPUTY MINISTER FOR PROVINCIAL AND LOCAL GOVERNMENT: Chairperson, Deputy Chairperson and members of the NCOP, I’ve been requested to come and lead this debate in the NCOP on how best local government, as a vehicle for successful implementation of the social contract, can create jobs.
As we consider the report on Provincial Week of 6 to 10 September 2004 under the theme, local government as a vehicle for the successful implementation of the social contract to create jobs, allow me to start from the point that guides all the government’s decisions around economic growth and development.
The Freedom Charter clearly stipulates that people shall share in the country’s wealth, and that there shall be work and security. These noble words were not mere wishful thinking, but rather reflected a sincere commitment by our visionary leadership to improve the quality of lives of our people. Therefore, it is these very words that form the basis of government’s policy today.
The Freedom Charter does not just represent a check list of things to be done, but also a vision that drives today’s government in its work for fundamental transformation of our society. I believe that all of us here today recognise and understand clearly that the political freedom we gained in 1994 provides the foundation on which to build South Africa’s economic emancipation, without which our people will not be truly free.
When the Freedom Charter talks about sharing in the country’s wealth, we know that this is intricately linked to the imperative for economic growth and development. As we celebrate 10 years of our freedom, and as we celebrate the growth of our economy, we should take special cognisance of the fact that the growth of our economy does not undermine development and that it creates jobs and a better life for all our citizens. This is what we meant by signing a social contract with our people. As government departments we should ensure that the terms of this contract are realised.
In this tenth year of South African democracy, I want us to pause and reflect on how far we are as a nation in building our economy. In 1994, the economy was in an advanced state of decline due to political isolation, inward-looking economic policies and the legacy of racial exclusion. There was a stagnant GDP growth until 1994; saving and investment rates were declining; and employment within the formal sector was falling. In terms of human development, the weakness in the economy resulted in declining living standards; high levels of racial, gender and geographic inequality as well as absolute poverty.
This bleak picture would have spiralled out of control if the historic event of 27 April 1994 had not occurred. It is not that somebody suddenly actually had a good heart and 27 April just happened, but it happened against the backdrop of people’s struggles and people’s lives.
Our new democratic government had to institute a number of policy and institutional reforms to transform South Africa into a growing economy and expand economic opportunities. The first priority was to create macroeconomic stability and macroeconomic reforms, which resulted in the stabilisation of the major macroeconomic aggregates such as reduced budget deficit as a percentage of the GDP, a decline of inflation and real interest rates, improved transparency and predictability of monetary and fiscal policies, and the successful reintegration of our government into the global economy. Furthermore, the creation of sound macroeconomic fundamentals enabled more targeted microeconomic reforms to generate economic growth levels to sufficient levels in order to address South Africa’s policy goals.
However, although the growth of the South African economy has ranged between 2% and 3% for the past few years, what is still needed is an impetus to stimulate higher levels of growth, investment and employment. We believe that this is where local government can play a significant role. Government’s intentions for local sphere of government are clear and unequivocal: Local government must impact upon the lives of millions of people whom apartheid denied democratic choice, economic security and social justice.
Our cities and towns, from the largest metropolitan conglomerates to the deep rural hamlets, are weapons on the front line of a war against poverty. These municipalities are instruments for participatory, responsive and accountable governance, and offer us an opportunity to develop local leaders who will have the capacity to build the political, economic and social partnerships that are needed to fight and win this war.
Therefore, our White Paper on Local Government introduces the concept of developmental local government. It describes this concept as, … local government committed to working with citizens and groups within the community to find sustainable ways to meet their social, economic and material needs and improve the quality of their lives.
The White Paper goes further and says that municipalities need to have a clear vision for their local economy, and work in partnership with local business to maximise job creation and investment.
However, the White Paper warns that local government is not directly responsible for creating jobs. Rather, it is responsible for taking active steps to ensure that the overall economic and social conditions of the locality are conducive to the creation of employment opportunities. And, this does not contradict the theme of today’s debate.
We need to remember that our new municipal system has increased the economic development responsibilities of local government. Therefore, local government has greater responsibilities for, firstly, the economic welfare of its citizens; secondly, its own fiscal health; and thirdly, the management of its assets.
Municipalities have to play a key strategic facilitation role as agents of local economic change and development. This role encompasses a strategic approach that goes way beyond the marginal role municipalities have been playing up to now in respect of developing their local economy. It focuses on enhancing revenue generation and identifying key triggers to spur economic activity, growth and job creation.
It is through economic strategies at a local level that meaningful empowerment of communities can take place. This empowerment has to be based on systematic skills development, expanding entrepreneurship, embarking on sound business ventures, acquisition of assets and most importantly, greater ownership of economic processes by the majority of citizens.
Therefore, there is a number of key strategic facilitative measures that local government has to embark on to ensure that meaningful empowerment of communities can take place. Allow me to mention but a few. Firstly, and probably most importantly, local government has to render the local socio- economic environment operational in order to facilitate the creation and development of local economic activities. The bylaws, basic infrastructure and services delivered must be of such a nature that they do not create barriers to economic activities that local and external investors have embarked on. Nearly as important as the first measure is that local government should determine what the comparative and competitive advantage of its locality is. It then has to market the area based on its findings, and provide marketing assistance and support to businesses of the area, and attract inward investment.
The development of human capital is also an important factor in the creation of sustainable jobs. However, the skills development strategy should be focused on the needs of the local economy so that skilled individuals are retained in the locality. The development of social capital should also be in tandem with the development of human capital. Local government should therefore encourage and develop the presence and capacity of all relevant collective stakeholders in the local economy, for example chambers of commerce, co-operatives, NGOs, CBOs, development agencies etc.
A huge emphasis should be placed on community economic development. Local government should encourage community-based initiatives targeted at community businesses and co-operatives, and municipal-community partnerships, especially in respect of infrastructure and service delivery. I think we need to put an emphasis on this paragraph, that is, we need to begin to make a dent on that second economy. We need to begin to transfer resources from the first economy to the second economy.
Local government should also play a leading role in organising a network of local actors who will prepare and elaborate on projects and initiatives that can have access to the provincial, national and international resources that are available. Local governments must prepare and implement technically appropriate, viable and sustainable local economic development components for their integrated development plans, in alignment with the provincial growth and development plans.
These are some of the numerous measures that local government can take to ensure that sustainable jobs are created in their localities. These measures need to be effected in a way that enhances co-operation between different regions and is based on a people-centred approach. And, what we need most are the IDPs in our local areas. It therefore pains me when I realise that there are certain municipalities who still operate outside government’s box.
It pains me to find out that wherever we go, our people continue to complain about basic services that are not rendered to them. And, in most cases, I will argue that that is not due to the lack of infrastructure for providing those services, but I would think that it’s a lack of political will. It pains me to realise that we continue to receive reports about councillors who do not do their job, and that they treat such a mammoth task of providing services to people as a part-time job. On this note, I would like to commend the NCOP for having taken the rather difficult but necessary decisions to dissolve those dysfunctional councils.
Finally, I want to emphasise that a people-centred approach to economic development recognises that local government co-ordinates and facilitates an environment in which economic growth can take place, while it is communities and entrepreneurs with the appropriate skills and commitment that would drive economic growth. I thank you. [Applause.]
Mr S SHICEKA: Madam Chairperson, I am privileged to be standing here today, because I am amongst the first cadre that is able to occupy this podium, and for some it might still take a while to get here.
It is an honour to present the outcome of the report on the state of our municipalities across the lengths and breadths of our country. The outcome is a result of a democratic process undertaken by all the members of the Council under the able leadership and stewardship of our Chairperson and her deputy.
This process was undertaken in response to the call made by the President in his state of the nation address in May. The process further advanced our cause of implementing the Council’s “Vision 2009”.
This input is against the background of celebrating 10 years of democracy for provincial and national spheres of government, whilst municipalities have been in their current state for almost four years. Therefore, our fledgling democracy is still young and fragile.
Municipalities are a very important sphere of government as they are at the cockpit of service delivery. In terms of Chapter 3 of the Constitution, the NCOP is an embodiment of corporative governance. It is a sphere better positioned and poised to conduct an audit of experiences, challenges and constraints facing municipalities.
We believe that the information obtained in this report will be used by the NCOP as a framework for the development of a monitoring tool for municipalities across our country in different provinces. There may be a need for external capacity to be mobilised in the development of a monitoring mechanism, and where necessary, to augment the skills within the NCOP with additional expertise.
The overwhelming findings following that democratic process is that, despite the enormous challenges and constraints, significant progress has been registered in delivering and expanding services where they never existed before.
Throughout the country municipalities are found to be functioning and delivering services of high quality and making a real contribution in our quest to bring a better life to all in our country. However, there are areas of grave concern and weakness that were recognised within these municipalities. Therefore, we say that there is room for improvement amongst them.
My input will touch on various aspects, particularly the recommendations. The deepening of democracy by means of ensuring that in real terms people govern in our country is a cornerstone of our people’s government. Therefore, community participation is a critical component of local government.
Although municipalities indicated that ward committees have been established and that they are receiving support, it appears that many are not functioning adequately for various reasons. These include, amongst others, a lack of proper financial and administrative support and the fact that ward councillors are working on a part-time basis, and therefore unable to give attention to the functioning of ward committees.
In some municipalities the provision of free basic services is still a challenge as these services are not provided by municipalities themselves, but by Eskom and other entities. In other municipalities there are still problems with the installation of water metres, thus casting serious doubts on claims that free basic services are being provided.
Outside the metropolitan areas, and particularly in informal settlements and rural areas, households continue to use ventilated pit latrines, and some of them are still using the bucket system. It is, therefore, recommended that a national policy, to establish minimum standards for the provision of sanitation, must be developed as a matter of urgency.
The Department of Provincial and Local Government, at national level, and provincial departments must, as a matter of urgency, meet with the Department of Minerals and Energy to ensure that agreements in relation to the provision of free electricity by Eskom are implemented as a matter of urgency.
All local government departments at provincial level should co-ordinate and carry out an audit with regard to the extent of infrastructure backlogs and ensure that infrastructure is costed. This should be done so that there is a programme for implementation and so that we know how much it will cost the fiscus of the country to implement our programmes around service delivery.
We must also encourage the establishment of committees in various municipalities, particularly tender and audit committees. Audit committees must work towards the goal of ensuring that municipalities receive unqualified opinions from the Auditor-General. We must also ensure that IDPs are linked to budgets and that they reflect the will of our people on the ground.
The Skills Development Act and the Growth and Development Summit resolutions must be applied to learnerships. Some problems are being experienced in getting approval for projects around development because of legislation on the environment, particularly the environmental impact assessment, which causes some delays, and that we believe are unintended consequences of environmental legislation.
Therefore, we recommend that the Department of Provincial and Local Government meet with the Department of Environmental Affairs and Tourism, as a matter of urgency, to ensure that these matters are addressed, because they have the adverse effect of making our country and our municipalities unattractive to investors.
In conclusion, we must encourage and ensure that these resolutions are implemented by the departments affected. Committees should convene meetings with their relevant departments to discuss programmes for the implementation of these resolutions with their counterpart departments. Provincial governments should also follow suit by ensuring that issues raised in provincial reports are attended to and that they are addressed. Thank you very much, Madam Chair. [Applause.]
Mr D A WORTH: Madam Chair, the crisis in local government is being tackled on several fronts, but we wonder as to who has the courage to tackle the central issues. Violent uprisings, notably in the Free State, point to severe problems. The popular uprising started at Intabezwe township, outside Harrismith, and the protests have spread to the neighbouring towns of Warden, Vrede and Memel, where residents, who live in dire poverty, took to the streets. Taps are not working, and latrine buckets have not been collected for weeks.
Councillors not accounting to their constituencies appear to be a common complaint amongst the residents of the township. In many instances ward committees were not working, or those protesting were not involved in the committees.
The finances of too many municipalities are in disarray. These municipalities do not collect enough revenue to provide proper services and are incapable of spending, in an efficient manner, what little they have.
Capacity constraints represent the biggest obstacle to service delivery. Many small towns have deteriorated as middle-class people move to the cities, and economic life in these smaller towns have collapsed. The residents of towns like Vrede are desperately poor and are unemployed without capital or resources. On top of this comes the arrival in local government of people without much managerial experience or training. Disgruntled residents refuse to pay for inferior services. There are municipalities where thousands of people are permanently in arrears.
Various types of debt write-offs have merely postponed the inevitable, without instilling a culture of payment. There is often no uniform policy regarding credit control or collection of revenue. There are problems with billing, collection of money for rates and services provided by the municipalities. Many municipalities depend largely or exclusively on the equitable share as their source of revenue.
The national Department of Provincial and Local Government undertook a study to profile all the municipalities in the Free State province in order to determine their capacity to deliver basic services. Some of the findings reflected the following: 18 municipalities have a high unemployment rate of around 48%; 8 municipalities have no access to refuse removal, over 50% have access to sanitation facilities in any form, and in 6 municipalities 50% of the population have no access to electricity. The study came to the conclusion that most municipalities in the Free State are in dire need.
As a result of these findings the provincial government has an increased number of municipalities, from the present five to now 10, that need assistance.
Veel meer sal gedoen moet word om die toestand in ’n munisipaliteit soos die van Maluti-A-phofung, Qwaqwa of Phuthaditjhaba in die Vrystaat reg te ruk. Kommerwekkende feite oor die munisipaliteit waar die onluste weens inwoners se griewe voorgekom het, het in die munisipaliteit se voorlegging aan die komitee aan die lig gekom.
Ek noem enkele voorbeelde: sowat 50% van alle huishoudings in die gebied is sonder toegang tot veilige water, en 75% is sonder sanitasiegeriewe, elektrisiteit en telekommunikasiedienste. Die munisipaliteit moet nou ook geld terug betaal nadat hy homself verkeerdelik as ’n kategorie vyf munisipaliteit gegradeer het, en personeel gevolglik te veel betaal het.
Nie al die probleme is die munisipaliteit se skuld nie. (Translation of Afrikaans paragraphs follows.)
[Much more will have to be done to rectify the state of municipalities such as Maluti-A-phofung, Qwaqwa, or Phutaditjhaba in the Free State. Distressing facts about the municipality where rioting occurred on account of the inhabitants’ grievances, came to light in the municipality’s submission to the committee.
I want to mention a few examples: Roughly 50% of all households in the area have no access to potable water, and 75% have no sanitation facilities, electricity, or telecommunication services. The municipality must now also pay back money after it had wrongly classified itself as a category five municipality, and subsequently overpaid staff members. Not all the problems are the municipality’s fault.]
Ms N D NTWANAMBI: Madam Chair, on a point of order: Is the speaker speaking on behalf of the Free State province, or is he speaking for his party?
Mnr D A WORTH: Voorsitter, blykbaar is nie al die probleme die munisipaliteit se eie skuld nie. Regeringsdepartemente skuld die munisipaliteit nie minder nie as R37 miljoen in agterstallige diensterekeninge. Die twee grootste sondaars is die Departemente van Onderwys en Openbare werke. Van die geld is langer as twee jaar uitstaande. Hoe kan die publiek oor wanbetaling betig word as provinsiale departemente se huis nie in orde is nie? (Translation of Afrikaans paragraph follows.)
[Mr D A WORTH: Chairperson, apparently not all the problems are the municipality’s fault. Government departments owe the municipality no less than R37 million in arrears service accounts. The two greatest culprits are the Departments of Education and Public Works. Some of the payments are more than two years in arrears. How could the public be reprimanded for nonpayment if the provincial departments don’t keep their house in order?]
Since the advent of democracy a decade ago, the country’s municipalities have been battling to come to terms with their primary function, namely delivering services to the people. Residents expect efficiency and competence from councillors and the officials in return for paying their rates and service charges.
There are also allegations of corruption relating to procurement or awarding of tenders within municipalities, since many of them do not have effective anticorruption policies. Indigent registers are often not updated, nor is an indigent defined. We need to get rid of incompetent officials so that the many officials who are dedicated can go on with the job. We need to get rid of political office bearers who abuse their positions of power.
We need to work out a system whereby municipalities can work together to solve mutual problems and learn from each other. Decisive action must be taken to ensure that local government becomes an effective instrument of delivery. I thank you. [Applause.]
Mr M A MZIZI: Chairperson, the report we have before us is a consolidated report of nine provinces. It stems from local government as a vehicle for the successful implementation of the social contract to create jobs and alleviate poverty. The content of the report reflects a variety of issues that seek to address a number of pressing basic needs.
It would therefore be premature to start criticising the implementation of policies of both national and provincial government. Having said that does not suggest that there are no issues that need to be addressed as speedily as possible. These issues can be addressed by interacting more with both the provincial legislatures and local authorities.
The evidence in the report has proven that considerable progress has been made at some municipalities in relation to fully performing their functions. But, as you are aware, the report has also highlighted a number of urgent issues relating to service delivery at some municipalities. Capacity constraints, institutional weaknesses and limited revenue have been highlighted as some of the hurdles in the way of the smooth delivery of services.
In this respect, legislation should not be handed down to provinces without first inspecting and assessing the capacity of municipalities to implement such legislation. In this regard, it has also become evident that implementation cannot take place effectively without setting up the necessary infrastructure to meet implementation needs.
Statutory compliance in municipalities is a critical point of departure to ensure that the needs of our people, especially the poorest of the poor, are met according to the legislation we pass.
In terms of capacity-building and service delivery, local government should not be regarded as a remote institution that functions in isolation. If we are committed to this notion of delivering services, we need to capacitate all municipalities in order to allow them to bring much needed services to the people.
In this regard, it is important to note that this Report on the Provincial Week has laid the foundation that will allow us to put the necessary mechanisms in place to deal with the pressing problems still encountered by certain municipalities, as is stated in the report.
In terms of the above, the NCOP now has to embody adequately its oversight function by monitoring local government and continually holding them accountable. Service delivery needs to be made a priority by ensuring that those responsible are able to perform their functions with all the necessary support whenever such support is needed.
We also need to harmonise the oversight function of the NCOP over both provinces and municipalities in order to remove the reception that members of Parliament are being seen as the police or inspectors when conducting oversight visits, which is part of our mandate in various select committees. People need to understand that these processes can only assist them to improve and excel in performing their functions.
Overall we support the report with the suggested amendment and correction made during the deliberations at the select committee meeting on 18 October this year. The report has definitely laid the foundation for progress and improvement by highlighting what the problem areas are that we need to improve. In conclusion …
… Sihlalo, iqembu leNkatha likubona kusobala ukuthi singenza zonke izinto ngokufisa nokuthanda kwethu ukuthi izidingo zabantu zifezeke ngokwemigomo kaHulumeni.
Ezinye zezinto ezivele obala ngukwabiwa kwezimali ngokwezinhlelo zikaHulumeni. Omasipala bathi izidingo azifezeki ngenxa yokwesweleka kwezimali kanti yibona abasondelene nabantu. Izilinganiso zezimali kuyadinga ukuthi zibuyekezwe ukuze sinqobe. Ngiyabonga. (Translation of isiZulu paragraphs follows.)
[Chairperson, the IFP feels it is clear that we can do all things as we please, as long as the needs of the people are met according to the government’s plans.
Some other things came into the spotlight, like the allocation of funds through the government’s plans. The municipalities say they cannot meet the needs of their people because of a shortage of funds and they are the ones who are closest to the people.
Budget measures need to be reviewed for us to be able to overcome. Thank you.]
Ms H F MATLANYANE: Chairperson, hon Deputy Minister, I would like to start my speech by quoting our former President, Comrade Nelson Rolihlahla Mandela, who once said:
Our deepest fear is not that we are inadequate. Our deepest fear is that we are powerful beyond measure. It is our light, not our darkness, that most frightens us. We ask ourselves, who am I to be brilliant, gorgeous, talented and fabulous? Actually, who are you not to be? You are a child of God. Your playing small doesn’t serve the world.
There is nothing enlightened about shrinking so that other people won’t feel insecure around you. We are all meant to shine, as children do. We are born to make manifest the glory of God that is within us. It is not just in some of us; it is in everyone. And as we let our own light shine, we unconsciously give other people permission to do the same. As we are liberated from our own fear, our presence automatically liberates others.
Contextually, in terms of the sentiments expressed above, in a developing country such as South Africa where a large proportion of the labour force is poor, unskilled and marginalised, job creation and skills training are essential to resolving the problems of poverty, unemployment and lack of skills.
Therefore, our ANC-led government always recognises the complexity of poverty, its root causes, symptoms and ramifications, and has waged a struggle against poverty, apartheid, racism and oppression, which predated 1994.
It should further be borne in mind that the multifaceted interventions of the ANC-led government, which were in direct response to the nature of the problems, led to, among other things, the intention to invest more than R100 billion in infrastructure development in the next five years, part of which is to be used to create a massive amount of jobs for the unemployed and poor sectors, resulting also in the birth of the Expanded Public Works Programme, which has as its core objectives job creation, skills development and improved social services.
During our visit it was pleasing to note that many municipalities – and also those close to them - had made great strides in implementing Expanded Public Works-related projects. Further, it was also heart-warming to note that there was accelerated progress in the municipalities of the areas declared nodal areas in terms of the implementation of the projects and in accessing funds.
Members will understand that it is in these areas where the poorest of the poor of our people reside, and that their putting the nodal areas and renewable areas high on the list of priorities is a relief.
It is very important for the effective and efficient success of local government, as an implementation vehicle of the social contract, to create jobs and alleviate poverty so that co-ordination among the three spheres of government can be strengthened to ensure that the national Department of Public Works plays its role of, amongst other things, conducting an awareness campaign on the objectives and expected outcomes of the social contract programme, while municipalities establish steering committee representatives of the necessary sector departments to drive the implementation of this noble programme.
It is because of this intervention that South Africans made progress in building a caring society and committed themselves to becoming one by working together to turn ideals into practical realities. We have bound ourselves together as a united nation in a people’s contract to create work and fight poverty.
As the people have given this government the mandate it has, it is vital that the sector education and training authorities conduct training on labour-intensive methods to capacitate municipalities to implement fully the Expanded Public Works projects. As such, training is also a prerequisite for compliance with the EPWP projects and serves as a catalyst for smaller municipalities that are dependent on institutional grants, such as the municipal infrastructure grant, for survival.
Cognisance should be taken of the fact that the centrepiece of the Expanded Public Works Programme is a large-scale programme using labour-intensive methods to upgrade provincial and municipal roads, pipelines, storm-water drains, paving and fencing, as well as community supply and sanitation, among other things.
This is therefore in line with what the President said in his state of the nation address in that the Expanded Public Works Programme integrates, amongst other things, the objectives of the social and economic infrastructure with human resource development, enterprise development and poverty alleviation.
The observed and often reported lack of capacity in our municipalities, especially in the small and rural ones, indicates beyond any doubt a shift from the spirit and letter of the contents of the President’s state of the nation address, more especially in relation to the finalisation of the financing protocol relevant, in particular, to the Urban Renewal Programme and Rural Development Programme, which were supposed to have been finalised by at least the end of July this year.
It should be noted that capacity is a precondition for the proper functioning of local government and for the effective discharge of their constitutional and legislative mandates of quality and sustainable service delivery.
It was also pleasing to note, as is still the case, that our municipalities are providing basic services to their and our communities, and this is informed by the existence of an indigent policy and a register. Significant progress has been made in the provision of basic services in compliance with Cabinet-adopted policy to assist, in particular, the very poor households in the country. These services, commonly referred to as a basket of services, are solid waste, water, sanitation and electricity.
To avoid problems experienced and likely to be experienced in other areas with the installation of functioning water metres, a call is made to all relevant sector departments at both the national and provincial level to closely monitor the provision of basic services by municipalities to ensure that these services meet national norms and standards.
Added to that, the Department of Minerals and Energy and the Department of Local and Provincial Government must also ensure the implementation of agreements with Eskom to provide free basic electricity to those communities where Eskom is the service provider.
We realised, when we were in the provinces, that municipalities sometimes prioritise Eskom to electrify villages, or they electrify the villages with the hope that Eskom will refund them or ensure that they get something out of that, but this is not the case. So we need to ensure that an agreement is entered into between municipalities and Eskom before they get into a project that won’t ensure electricity for the people. I thank you. [Applause.]
Mr J A AULSEBROOK (KwaZulu-Natal): Thank you, Madam Chair. This provincial week by the NCOP permanent delegates to KwaZulu-Natal, which took place from 6 to 10 September, was a most productive and essential visit. It was essential for two aspects. Firstly, it gave the KwaZulu-Natal permanent delegates a far better understanding of what was taking place in the province at the local government sphere, in respect of governance and delivering. Secondly, it gave those at the local sphere of government an opportunity to interact with the national sphere of government. They used that opportunity to express their concerns at the people’s expectations versus the available resources to deliver on those expectations.
Let me deal with some of the concerns expressed by our provincial local government department with regards to local governments. Firstly, the debt collection issue was becoming a major handicap to service delivery, which should be the noncollection of debt. Secondly, councillors’ allowances were being increased to the detriment of service delivery and with no consideration to the rates base. Thirdly, funds for municipal management assistance may not be available in the next financial year and this could have a drastic effect on certain municipalities that were being supported. Fourthly, we were given R3 billion to provide for the implementation of infrastructure to ease the backlogs in the province. We greatly appreciate and welcome that, but the concern now is that no provision has been made once the infrastructure is in place for the maintenance thereof and certainly the sustenance of the development.
We also heard from the KwaZulu-Natal local government association who expressed their concerns and these were: Firstly, that the equitable share was used for operational purposes and thus jeopardising the free basic service delivery. In other words, there was indiscriminate use of the equitable share. Secondly, the lack of capacity among councillors, which resulted in poor decisions being taken, and which led to the detriment of service delivery. Some of these councillors have been in office for four years, if not two terms, and what is of concern is that they have not developed their capacity yet.
Let us examine the views that were expressed by the councillors themselves: Firstly, nearly all spoke of the financial constraints caused by a low rates base on which they operated, which was exacerbated by the high rate of unemployment in the areas. And, some of the areas we went to spoke of a 60% unemployment rate and the scourge of HIV/Aids, which is ravaging some of those municipalities, which in turn compounded this. All municipalities that we visited were making progress with the free basic services in spite of the challenges they were facing with regard to financial constraints.
It is also encouraging to see the progress being made in the development of an indigent policy and the implementation of those policies in certain municipalities. One municipality that deserves a compliment is the Newcastle municipality, which had made terrific progress with regards to the indigent policy and its implementation.
Communities were also given an opportunity to interact with the delegation and their views can be summed up by saying that their expectations far exceeded the capacity of any municipality and that expectations of service delivery in the short to medium term is certainly not going to be met. And that is a crisis which municipalities across the country face, if one reads the national report.
Finally, it will be amiss of me not to mention the issue of municipal officials’ remunerations, which in many cases is disproportionate to the available resources. We in KwaZulu–Natal supports the report tabled here. I thank you.
Mrs A N D QIKANI: Madam Chair and hon members, the report before us is the result of the provincial week that took place from 6 to 10 September. We travelled to various provinces and interacted with local governments to assess their readiness and capacity to participate in the delivery of job creation programmes initiated by the national government. Many local governments are experiencing severe human and financial resource constraints, whilst most local governments enthusiastically expressed their willingness to participate in the job creation programme.
As the report recommends, various actions have to be taken as a matter of urgency. Many of these actions resort with the national and provincial department responsible for local government and Salga. We must urge these institutions, as a matter of urgency to address the financial and human constraints experienced at local government.
In conclusion, allow me to highlight a specific concern that was raised during our tour of the province, namely, the capacity of councillors and ward committees. This matter requires urgent attention.
Sihlalo, kunganjani xa iikomiti zeewadi bezingabonelelwa kakhulu ngemali kuba zizo eziphakathi kanye ebantwini ikwazizo nezizisa imicimbi kooceba? Enkosi, Sihlalo. [Kwaqhwatywa.] (Translation of isiXhosa paragraph follows.)
[Chairperson, how about providing ward committees with adequate funds as they are nearer to the people and it is also they who refer matters to the councillors. Thank you, Chairperson. [Applause.]]
Mnr J W LE ROUX: Agb Voorsitter, agb Adjunkminister en kollegas, tydens ons parlementêre besoek aan die Oos-Kaap was dit duidelik dat daar baie goeie werk gedoen word in sommige rade, maar dat daar ook ernstige probleme by talle rade ondervind word. Ek is oortuig dat elke persoon in hierdie Raad sal saamstem dat plaaslike bestuur die voertuig is wat vir ons óf welvaart óf armoede gaan bring. Plaaslike bestuur is ook die voertuig wat dienslewering aan die mense van Suid-Afrika moet verseker.
Waaroor ons nie saamstem nie, is die toestand van hierdie voertuig, en dit sal jammer wees as my oordeel van ons voertuig gesien gaan word as negatief en sonder hoop op herstel. Ek wil dit ook duidelik stel dat baie van ons huidige probleme beslis die resultaat is van wanbestuur, selfsug en rassisme in die tydperk voor 1990. Dekades lank is die behoeftes van anderskleuriges net eenvoudig geïgnoreer. Dit het tot gevolg gehad dat die meeste van ons inwoners in krotbuurte feitlik sonder basiese dienste moes klaarkom. Groot agterstande, veral wat infrastruktuur betref, het ontstaan, en natuurlik moet ons in ons oordeel van die huidige situasie die verlede deeglik in aanmerking neem. (Translation of Afrikaans paragraphs follows.)
[Mr J W LE ROUX: Hon Chairperson, hon Deputy Minister and colleagues, during our parliamentary visit to the Eastern Cape it was obvious that very good work is being done in certain councils, but also that serious problems are being experienced by many councils. I am convinced that every person in this Council will agree that local government is the vehicle that is going to bring us either prosperity or poverty. Local government is also the vehicle that must ensure service delivery to the people of South Africa.
What we do not agree about is the condition of this vehicle, and it would be a pity if my assessment of our vehicle is going to be seen as negative and without hope of reparation. I also want to clearly state that many of our present problems are definitely the result of mismanagement, selfishness and racism in the period before 1990. For decades the needs of persons of colour were quite simply ignored. This resulted in most of our inhabitants of shantytown having to manage virtually without any basic services. Immense backlogs, especially regarding infrastructure, arose and naturally, in our assessment of the present situation, we need to take the past thoroughly into account.]
I would like to focus on a few issues that need to be taken into account to avert a total breakdown of local government. [Interjections.] Somebody is trying to phone me, Madam Chair.[Laughter.]
During the struggle years, people were instructed … [Interjections.] We are busy with a very serious debate now. During the struggle years, people were instructed not to pay for services. This trend has not been turned around and, as you all know, over R30 billion is outstanding for services rendered.
The DA fully supports free basic services for people who just cannot pay, even if they want to. We have an indigent policy in place, but thousands of ratepayers who can afford to pay, simply do not. This is a party-political issue and the ANC must take the responsibility of turning this culture of nonpayment around.
No business can survive if clients do not pay for services, and local government cannot survive if it must deliver services to residents who can pay, but simply refuse to do so.
Secondly, we come to the issue of capacity. The DA has stated over and over that we support affirmative action and black economic empowerment. I am sure that every proud South African is aware of what harm was done during decades of apartheid and that this damage must be repaired.
At present, however, municipalities are judged on how quickly they can get rid of white faces, and, when gross mismanagement occurs, this is fobbed off as challenges. It is true that in the metropolitan areas the capacity problems are not as acute as in rural and smaller councils.
Mr S SHICEKA: Madam Chairperson, I want to ask the member, as a point of order - because he keeps very quiet in the committee and accepts everything that is raised in the committee – whether he is representing the views of the committee here, his own views or the views of his party. Thank you, Chair.
The DEPUTY CHAIRPERSON OF COMMITTEES: Hon Shiceka, Mr Le Roux is speaking as a DA member. So continue, hon member.
Mr J W LE ROUX: Thank you very much, Chair. [Laughter.] I would like to say to our chairman that I have the greatest respect for him, but for him to stand up in this Chamber and say that I usually keep quiet in the committee is just not true.
It is true that in the metropolitan areas, where we don’t have the capacity problem that we have in the smaller towns, we demand that councils do a wide range of important delivery functions, yet we know that the capacity is often not there. It can never make sense to replace competent workers if you have a capacity problem and your training programmes are ineffective.
As far as municipal managers are concerned, it is my opinion that a competent manager is worth his weight in gold. But to pay an incompetent manager R700 000 per year, when his only claim to fame is mismanagement, is totally disgraceful.
This brings me to the Auditor-General’s report on local government. The report makes for very unpleasant reading. If we believe the Auditor- General, I am afraid, then local government is on the verge of collapse. The Auditor-General warns that, broadly speaking, there are four stages of collapse: firstly, depleting the operating account and, fourthly, using long-term loans to fund service delivery. To quote the Auditor-General:
The current situation from the limited information available indicates that municipalities are at stage three, that is the use of liabilities to fund current levels of service delivery.
To rely on central government to rescue local government can, at best, be a very short-term solution and can never be sustained over the long term. Robbing Peter to pay Paul has never been the solution to financial problems.
Wat werkskepping betref, is dit die privaatsektor wat hier die hoofrol moet speel om permanente werkgeleenthede, rykdom en groter inkomste vir plaaslike rade te skep. In ’n ontwikkelde land soos ons s’n is dit egter noodsaaklik dat die staat ook ’n belangrike rol sal speel, en ons verwelkom die miljarde rande wat nou vir infrastruktuurskepping bewillig word. Die feit dat dit merendeels arbeidsintensiewe projekte gaan wees, sal beslis help om agterstande uit te wis en armoede te verlig. Omdat daar geweldige druk is op plaaslike rade om dienslewering te verbeter wil dit voorkom asof rade nie genoeg aandag skenk aan ekonomiese groei en werkskepping nie. Dit is noodsaaklik dat plaaslike rade aan die sogenaamde LED-programme prioriteitsaandag moet gee. Eerstens sal rade alles moontlik moet doen om kapitaalinvestering aan te moedig en veral om buitelandse beleggers te lok. Tweedens moet rade sorg dat oormatige regulering nie voornemende entrepreneurs afskrik nie. Derdens moet plaaslike rade sorg dat medium- en kleinsake-ondernemings maklike kan vestig en floreer. Die inkomstebronne van plaaslike bestuur kan slegs gevoed word deur ’n florerende sakesektor. Ek dank u. (Translation of Afrikaans paragraph follows.)
[Regarding job creation, it is the private sector that must play the major role in creating permanent job opportunities, wealth and greater income for local councils. In a developed country such as ours it is, however, essential that the state will also play an important role, and we welcome the billions of rands that are now being appropriated for creating infrastructure. The fact that the majority will be labour intensive projects will definitely help to eradicate backlogs and alleviate poverty. Because of the tremendous pressure on local councils to improve service delivery it appears as if councils do not devote enough attention to economic growth and job creation. It is essential that local councils give priority attention to the so-called LED programmes. Firstly, the councils must do everything in their power to encourage capital investment and especially to attract foreign investors. Secondly, councils must ensure that excessive regulating does not scare off prospective entrepreneurs. Thirdly, local councils must ensure that medium and small business enterprises can be easily established and prosper. The sources of income of local government can only be fed by a flourishing business sector. I thank you.]
Mr M A KUBHEKA (KwaZulu-Natal): Chairperson, I am sure you have gotten used to the fact that everything that comes from KwaZulu-Natal comes in pairs: the name KwaZulu-Natal, and, as I have noticed on the speakers’ list, we even have two special delegates from KwaZulu-Natal. [Interjections.] We are working on that, I can assure you.
It is our belief in the province that the visit by the NCOP permanent delegates to the four municipalities in the province during the provincial week assisted, as my colleague has said, not only in providing necessary information to the NCOP and ultimately to the Minister for Provincial and Local Government, but also to the municipalities themselves.
There is no disputing the fact that the morale of municipalities has received a boost in that interaction of this kind helped them realise the centrality of their role in dealing with the legacy of the past and in implementing the national policies and programmes. The interaction during that week gave an opportunity to all involved – the NCOP, the provincial portfolio committee, organised local government, traditional leadership and municipalities – to reflect on the challenges confronting us in the campaign to create a better life for all.
It gave us an opportunity to assess our ability as government in all spheres in relation to our core function of ensuring integrated and sustainable delivery of public goods and services, increased access to services and the effective implementation of policy and legislation. These are, of course, some of the general principles and objects of co-operative government and intergovernmental relations, which I hope the NCOP was also hoping to promote during the provincial week.
It is our belief that the general picture, and therefore our conclusion, is that whilst there is an improvement in the way in which some, if not most, municipalities are doing their operational duties, a number of challenges, as they appear in the report, attest to the fact that there are critical issues that should be given priority attention.
These are, amongst other things, refocusing municipalities on issues of basic service delivery; capacity-building within each municipality; shaping the institution of local government focusing on the implementation of the Local Government: Municipal Finance Management Act; and the ability to produce recovery plans to ensure that financial policies conform to the provisions of the newly adopted Local Government: Municipal Finance Management Act.
With regard to grappling with the question of municipalities with no tax base - something other members have already alluded to - the fact is that a number of municipalities in our province, which may be the case in other provinces, depend on intergovernmental grants. It is our hope that the experience of the provincial week will help us make the necessary input to assist the relevant departments nationally and provincially to come up with strategies to ensure that all our municipalities become self-sustainable.
The input from the communities also points to the need for the cleansing of local government; the need to develop mechanisms and a ruthless approach in dealing with corruption, fraud and maladministration, which include the need to regulate the remuneration of municipal officials; and the need to develop relations and confidence between ratepayers and municipalities.
There is also the need to undertake a campaign to ensure that the institution of traditional leadership in our province develops a synergy so that there is no standoff between this institution and local government.
There are, of course, a number of challenges raised in the report. We hope that these will receive continual attention from the NCOP and, of course, from provincial legislatures, as we continue the consolidation of the people’s contract to create jobs and fight poverty so as to rid our people of want and underdevelopment. I thank you. [Applause.]
Mnr F ADAMS: Agb Voorsitter, agb Adjunkminister en agb lede, plaaslike regering se rol sluit plaaslike dienslewering en die bevordering van ’n veilige en gesonde omgewing in. Die bevordering van ontwikkeling in plaaslike regering is ’n integrerende deel van die drie vlakke van regering.
Vordering met die verbetering van lewensgehalte vereis funksionering as ’n volledige eenheid. Koördinasie, beplanning, begroting en implementering is dus nodig binne ’n samewerkende regeringsraamwerk.
Ondanks die stadige begin en talryke uitdagings is munisipaliteite besig om bo die uitdagings uit te styg met werkskepping, alhoewel arbeidsintensiewe werkskeppingsprojekte nie op ’n groot skaal in gebruik is soos dit behoort te wees nie. (Translation of Afrikaans speech follows.)
[Mr F ADAMS: Hon Chairperson, hon Deputy Minister and hon members, the role of local government includes local service delivery and promoting a safe and healthy environment. The promotion of development in local government is an integrating part of the three levels of government.
Progress in the improvement of the quality of life requires functioning as a complete unit. Co-ordination, planning, budgeting and implementation are therefore necessary within the framework of co-operative government.
Despite the slow start and numerous challenges, municipalities are beginning to rise above the challenges with the creation of jobs, even though labour-intensive job creation projects are not being used on as large a scale as they should be.]
While progress with the Urban Renewal Programme and Rural Renewal Programme in the Western Cape has, within the last year, made up for the late start, there is still a need to ensure greater integration between the various communities. The Urban Renewal Programme and Rural Renewal Programme can make a considerable contribution in terms of job creation and in addressing some of the social problems experienced in the communities.
Although it is recognised that community participation should be a key element of the URRP, progress in developing community forums is still not of the standard it is supposed to be. The municipalities also face considerable challenges in ensuring that their financial resources are adequate to render the necessary services to communities.
The considerable number of vacancies and limited progress with the performance management systems suggest that not much progress has been made in human resource development. However, despite all the challenges, municipalities do appear to be heeding the President’s call for job creation and socio-economic development.
Voorsitter, in ’n vennootskap met plaaslike regering moet ons verantwoordelikheid aanvaar vir suksesvolle dienslewering in ons land. Ek dank u. [Applous.] (Translation of Afrikaans paragraph follows.)
[Chairperson, in partnership with local government we must accept responsibility for successful service delivery in our country. I thank you. [Applause.]]
Dr F J VAN HEERDEN: Agb Voorsitter, werkloosheid is sonder die minste twyfel sekerlik een van die grootste probleme in hierdie hele land van ons; een van die grootste probleme waarmee die regering te kampe hê. Dit vorm die grondslag van verskeie ander probleme en een van die ander probleme wat daarmee saamgaan, is die kwessie van misdaad.
Agb Voorsitter, as mense nie werk het nie, dan is hulle bereid om hul vryheid op die spel te plaas om aan die lewe te bly. Dit is ’n baie ernstige situasie en ons kry helaas te doen met bestaansmisdaad wat ongelukkig onwettig is en derhalwe ook swaar gestraf word. So ’n persoon word sy vryheid ontneem. So ’n persoon word opgesluit. Dit word ’n las op die staat, en dit word ook ’n las op sy familie waar so ’n persoon dan nie die geleentheid het om met beperkte middele vir sy familie te sorg nie. Sodoende ontstaan ook ’n tipe ekonomie wat ‘n skadu-ekonomie genoem word – ekonomie wat ontwikkel in die skadu van misdaad. En hulle ontglip dan ook die wakende oog van die Ontvanger van Inkomste.
’n Verdere probleem is armoede wat gepaard gaan met werkloosheid. Daar is ook ander verwante probleme, te wete die hele kwessie van gesondheid, ondervoeding, wanvoeding en maatskaplike ellende wat volg op die kwessie van werkloosheid.
’n Verdere probleem wat aan werkloosheid gekoppel kan word, is die gebrek aan behuising. Dit is logies dat mense stroom van plekke waar daar nie werk is nie na plekke waar daar moontlik werk is. En dit plaas ekonomiese druk op die plaaslike owerhede. Dit verhoog die druk op daardie plaaslike owerhede. En die hele proses moet omgekeer word in die sin dat daar ontwikkelings moet kom in daardie gebiede waar daar nie werk is nie. Dit is waar die plaaslike owerhede ’n baie, baie groot rol het om te speel en waar die regering dan met sy beleidsdokument oor plaaslike ekonomiese ontwikkeling bepaald ’n baie groot rol het om te speel.
Hoe kan plaaslike owerhede hierdie bose kringloop stopsit? Deur eenvouding eers hul eie huis in orde te kry. En hoe doen hulle dit? Hier is vandag ook na belaglik hoë salarisse van munisipale bestuurders verwys. Bo en behalwe dit is daar skuldinvordering. Ander kollegas het ook daarna verwys. Daar moet ’n klimaat van ekonomiese ontwikkeling geskep word. Dit is nie die taak van die plaaslike owerhede om werkskepping … (Translation of Afrikaans paragraphs follows.)
[Dr F J VAN HEERDEN: Hon Chairperson, unemployment is certainly without any doubt whatsoever one of the biggest problems in this country of ours; one of the biggest problems that the government faces. It forms the basis of various other problems and one of the other concomitant problems is the issue of crime.
Hon Chairperson, when people do not have work they are prepared to put their freedom on the line in order to stay alive. It is a very serious situation and we are unfortunately dealing with subsistence crime, which is illegal unfortunately and therefore carries heavy penalties. Such a person is deprived of his freedom. Such a person is locked up. It becomes a burden to the state and a burden to his family when such a person does not have the opportunity with limited means to care for his family. Consequently a type of economy comes into existence that is called a shadow economy – an economy that develops in the shadow of crime. And they then also escape the watchful eye of the Receiver of Revenue.
A further problem is poverty that accompanies unemployment. There are also other related problems namely the whole issue of health, nutrition, malnutrition and social misery that follows after the question of unemployment.
A further problem that can be linked to unemployment is the shortage of housing. It is logical that people stream from places where there is no work to places where there may possibly be work. And this puts economic pressure on local authorities. This increases the pressure on those local authorities. And the whole process must be reversed in the sense that developments must take place in those areas where there is no work. This is where local authorities have a very, very big role to play and where government with its policy document for local economic development certainly has a very big role to play.
How can local authorities end this vicious cycle? Simply, by first getting their own house in order. And how do they do this? Reference was also made here today to the ridiculously high salaries of municipal managers. Over and above this, there is debt collecting. Other colleagues have also referred to this. A climate of economic development must be created. Is it not the task of the local authorities to create jobs …]
The CHAIRPERSON OF COMMITTEES: Order, hon member. Hon Shiceka?
Mr S SHICEKA: Chairperson, the member is out of order, because he is not speaking on the subject for discussion today and he is not giving his maiden speech. I would request your ruling, Madam Chair.
The CHAIRPERSON OF COMMITTEES: Hon member, could you please focus on the subject for discussion.
Dr F J VAN HEERDEN: Yes. Well, the whole question, Madam Chair, as far as I see it, is the social contract to create jobs, which was on the billboards of the ANC. This is the situation in which local governments must be involved in creating jobs. That’s the issue, with great respect, Madam Chair. If you just look at point number five. [Interjections.] Was that the hon Whip saying now, Madam Chair? Was that the Whip speaking or was that you speaking? [Laughter.]
The CHAIRPERSON OF COMMITTEES: Hon member, your time has expired.
Dr F J VAN HEERDEN: Thank you so much.
The CHIEF WHIP OF THE COUNCIL: Hon Chairperson … [Laughter.]
The CHAIRPERSON OF COMMITTEES: Hon Chief Whip, unfortunately the member has finished so he won’t take the question.
The CHIEF WHIP OF THE COUNCIL: No, Chairperson. I was rising on a point of protecting the Chairperson, because I see there was now a kind of de facto coup when Dr Van Heerden was presiding. [Laughter.] But I understand that he is still new at using the podium, so he thinks that that is procedural. [Laughter.]
The CHAIRPERSON OF COMMITTEES: Thank you, Chief Whip. I now call the chairperson of the standing committee on local government, Eastern Cape, Ms T Xasa. I hope I pronounced your surname well.
Ms T XASA (Eastern Cape): Thank you, hon Chairperson. Members of the National Council of Provinces, representatives from Salga and Deputy Minister, in line with the objectives of the NCOP provincial week, as agreed upon by the Select Committee on Local Government and Administration, provincial portfolio committees and Salga in July here in Cape Town, I wish to present to you a report from the Eastern Cape portfolio committee, which is still to be tabled in the legislature.
We visited seven municipalities. My report will seek to highlight some of the issues concerning each of the municipalities that are of interest, and those that present challenges that are forwarded forthwith for consideration, with possible recommendations.
Before that, I wish to highlight that it is acknowledged that a lot of work was done prior to this exercise to determine the state of our municipalities. However, this particular exercise took a step further and obtained this information from politicians and other stakeholders in the presence of technocrats so that areas that require information and immediate implementation get this done then and there.
This exercise also went further to give the NCOP and portfolio committees some basic education on local government and in that way enhances our oversight capabilities. Furthermore, a partnership was developed that needs to be taken further so that the NCOP, the legislatures, the Department of Local Government and Salga do not only engage during intervention periods.
Chairperson, can I also indicate that the exercise, together with the information it came up with, is not in accordance with Mr Le Roux’s statement that our local government is on the verge of collapse. Instead, there are areas where there is a lack of capacity and it is our responsibility to suggest ways of trying to assist in such areas.
I then come to the respective municipalities. The first area we visited was the O R Tambo District Municipality. There we found structures and systems in place. There was maximum support for and co-operation between both the provincial government and the national department. Both councillors and officials understood their roles and responsibilities with regard to public participation generally and programmes of integrated rural and sustainable development. The Expanded Public Works Programme and the Urban Renewal Programme can be singled out as best practices for other municipalities to follow. It is suggested that such best practices be copied so that municipalities can begin to use such models, as we wish for participation in programmes at local government level.
What was not very clear there was how the district municipality makes annual allocations to the smaller municipalities, but there is a programme at the district municipality that is directly related to Category B municipalities. However, there is no flow of money to those local municipalities.
Also, the allocation of functions was a problem. It is clear that there are certain functions that have been allocated to the district municipality. I will look at one of the functions, such as the provision of water, for example. Water provision has been one source of revenue for category B municipalities, but it resides with most district municipalities, and this poses a problem for category B municipalities. Sanitation programmes – as part of water and sanitation - are also vested with the district municipality, which robs smaller municipalities of a source of revenue.
In terms of prioritisation of IDPs, smaller municipalities relied on the district municipality because the funds reside with the district municipality. Apart from public participation, the identification of priorities is done jointly with the smaller Category B municipalities. So the process of financing such IDPs does not assist the ailing municipalities in putting finance in their coffers so that they are able to finance the priorities within their areas. This also affects their constitutional responsibilities in that they have to wait until a district municipality is able to attend to their priorities. So you find that there are municipalities that do not perform certain constitutional responsibilities because certain functions reside with the district municipality.
We found situations where municipalities await a district municipality that is piloting a sanitation project in one of the municipalities and not in others.
The question of salaries of councillors was also an issue. Allowances were cited in respect of the councillors of the district municipality, which does not take into consideration the geographic spread of the district municipality. For instance, in terms of the determination, the grade of the district municipality is equal to the biggest municipality within that area. A Category B municipality takes a small portion of the district municipality. And we are bringing this matter to the attention of the Deputy Minister for her to look into.
There is a section 21 company that has been established to perform certain functions for the district municipality. Our recommendation was that co- operative governance works well when municipalities themselves recognise their incapacities and become decisive in accepting support. Such best practices must be used as models for other municipalities, as I have said. The provincial department should put together such information and it should be used in other municipalities.
We are saying that concerning these section 21 companies, it is always important to ensure that such entities account to district municipalities or to the respective municipalities.
Furthermore, the establishment of these section 21 companies does not take away their constitutional responsibilities. They should be co-ordinated so that we do not have them mushrooming throughout the municipalities, which would drain the finances because there are staff to be paid and accounting to be done.
With regard to the other municipality, that is the King Sabata Dalindyebo Municipality, we are saying that intervention there was clearly a necessity as systems and service delivery were reportedly chaotic. When we got there the councillors and stakeholders had not yet been briefed on the intervention and the department was immediately tasked to attend to that, which it did immediately.
Besides intervening there, we are calling upon the national department to look into the prioritisation of two key programmes within that area that indicate a serious backlog on infrastructure, which is not of our own making, but yours, Mr Van Heerden and Mr Le Roux. But we agree that it is now our responsibility.
We do not know what the department can do about the backlog in electrification infrastructure in the area. However, considering that there is the Municipal Infrastructure Grant, the King Sabata Dalindyebo Municipality needs to be assisted to have such infrastructure revived in order for it to have a source of revenue.
The Ntabankulu Municipality is an example of a municipality that has no revenue base at all. They have employed a number of managers who consume a big portion of the Equitable Share Fund. These section 57 managers have not even signed performance contracts, but one positive area was good public participation. This municipality really needs assistance and it is an area where there needs to be a follow-up.
I now come to the Umzimvubu Municipality, which is one municipality with a very good best practice programme of provincial support. [Time expired.] [Applause.]
Mr R J TAU: Chairperson, Deputy Minister, hon members and guests, if present, I think the report presented to us today for engagement raises serious challenges which we, as members of this respectable House, need to address honestly and with integrity. It is a report that reflects on a very important sphere of government; a sphere conceptualised as closest to our people and committed to working with citizens and groups within our communities to find sustainable ways to meet their economic and material needs and to improve the quality of their lives.
The report makes the point that it is not the sole responsibility of local government to create jobs and fight poverty, municipalities have a role to play as well. They have an important, active role to ensure that they put in place overall economic and social conditions in the localities they serve. They must make sure that those conditions are conducive to the creation of employment and opportunities to address the widening skills gap that exist in our society.
The report further notes that South Africa is a highly divided society with a dual economy that co-exists, and seeks to locate the role of local government in closing that particular gap. The report does that honestly, because it recognises the fact that local government is part of a broader economic environment. By so saying, the report further engages us to note the contribution of various local economies to the national economy. It has to be fully recognised, as it has been recognised as a point.
It is sad also to note that some members in this House fail to recognise the fact that macroeconomic growth and development and the improved functioning of the first economy and its integration with the second economy are dependent on the contribution of the functioning of the various local economies in the country. In turn, the local economy of a municipality is made up of various sectors and the proper functioning of these local sectors will directly impact on the growth of the local economy, and therefore the national economy.
Our function is to improve the capacity of these local economies or municipalities so that they are able to intervene in these particular sectors so as to be able to grow and therefore improve the quality of their contribution at national level. Through this we will then be able to broaden the thinking of municipalities and their approaches to local economic development beyond just LED projects, because economic development does not exist in a vacuum.
We need to urge our municipalities to ensure that whatever they harness and deliver impact directly on their local economic development, and as such we need to look beyond that particular aspect, and that is in terms of their participation in the global economy.
This brings us back to the point of participation of our people by paying for services. This should not merely be reduced to an ANC issue, but we have to recognise the fact that the rent boycott came as a result of and as a direct response of our people to an unjust system. It is not a system or an approach that seeks to bring down the very same government that we have fought so hard for.
Informed by our 2014 vision, our President, hon Thabo Mbeki, launched the Expanded Public Works Programme. Its fundamental objective is to fight poverty through labour intensive programmes. Of course, at its heart is to increase the skills capacity of our people in order to allow them an opportunity into the first economy.
We have, however, noted that not all our municipalities have started with the implementation of the programme, due to various reasons as provided in the report. The report makes the point that most of the municipalities that have their systems in place to implement the EPWP are those that have been declared nodal points, or that have been identified as future nodal points; and further notes that smaller municipalities are falling behind because of that. Of course this point was made earlier on the independence of the Municipal Infrastructure Grant.
While we know that the situation presents itself as a serious matter of concern to us, it is also equally important to consider the fact that the programme has just been launched in the country and in all the provinces, and therefore we should avoid a situation of being alarmists as we engage with this issue of the Expanded Public Works Programme and the capacity of municipalities. Our role should rather be to look at the best possible ways of assisting our municipalities in having their systems in place and to let our people benefit from the programme.
We also note the lack of capacity amongst the stakeholders that must participate in this particular programme. One key area that has been raised by municipalities about the programme is the lack of understanding by stakeholders, in particular, on the matter of skills transfer as a core of the Expanded Public Works Programme. Having observed some of these challenges it therefore, as noted and stated before, becomes important for this House to call on the sector education and training authorities to conduct training for our municipalities to be able to monitor the implementation of the programme.
We also wish to advise municipalities to establish Expanded Public Works Programme steering committees representing all relevant stakeholders, departments and senior municipal officials from the district local municipalities near municipal areas to drive the implementation of the programme.
It is my contention that by doing the above, we will enhance the participation and skilling of women and young people in rural areas through the Expanded Public Works Programme. In the process we will marginalise the unscrupulous stakeholders who are out there waiting to mislead our people and gain from the wonderful programmes that our government has put in place for the benefit of the ordinary and the poor. We also raise these matters understanding that not only shall the urban municipalities be able to implement the programme, but also the rural municipalities, once there are enough capacity resources injected in this particular process.
We note that often the rural municipalities face skills shortages, insufficient infrastructure to support economic opportunities and income leakage. Many of these areas display little economic potential in the traditional economic sense. However, with indigenous local economic development and appropriate support to the people residing in these areas there can be significant improvements and positive changes.
The thrust of the report reaffirms the developmental character and mandate of our local government and highlights the key role municipalities are supposed to play. Since our national economy is characterised by a dualistic nature, municipalities should engage in local economic development strategies that seek to promote self-sustaining economic growth and the development of vibrant localities within an integrated economy. Municipalities need to co-ordinate and integrate its municipal functions and activities.
The decisions and actions of the municipalities will inevitably affect the performance of any of their localities. Therefore, municipalities must be hands-on and in control of their administrative systems. Accessibility to the municipality, the turnaround time of applications for plans and rezoning, leasing of land for agricultural purposes, addressing the issue of food security and the social character and economic relations built with local producers, local service providers and consumers are what make development a reality.
I want to take this opportunity to move for the adoption of the report. Thank you very much. [Applause.]
The DEPUTY MINISTER FOR PROVINCIAL AND LOCAL GOVERNMENT: Chairperson, members of the NCOP and members of Salga, I would just like to take this opportunity to thank all those who participated in the debate. The participants also identified many a challenge in the various areas at local municipalities. I therefore think that our task is to go out and assist our local communities in these various endeavours, because we cannot afford to be armchair politicians whilst Rome is burning.
I would like to make just a few responses to the various participants who aired their views on how they think local municipalities and all government programmes function at local level. Let us just take the response of the chairperson regarding these various visits to municipalities that have been reported here and which are, in fact, the subject of discussion of the debate today. My recommendation is that, perhaps, as the NCOP, we need to change or restructure our provincial visits and say: “We can’t be embarking on local visits year by year without timeframes.”
We must be able to say: “These are the problems identified in a particular municipality”. We should then say to that particular municipality: “By when would this problem be addressed?” So that the next time you go back to that particular municipality that problem would have been attended to. You cannot be going backwards and forwards while the same problems occur in the same area. I think we need to restructure. In fact, I think we need to highlight many of the urgent matters that need to be addressed in the various local municipalities. Perhaps this will come out later on when I respond to some of the inputs given here.
To the hon member Mr Worth, I would like to say, yes, I think we welcome criticism. We surely welcome criticism. That is the only way we can move forward and know in which direction we are going. But, certainly, we don’t like people who use scarecrow tactics. We don’t take very kindly to the use of scarecrow tactics. You spoke about the profiling of municipalities; yes, we are busy profiling the municipalities. That’s the only way we will be able to tell how far we are, and whether we are moving forwards or backwards.
By profiling those municipalities we check what is really taking place in those municipalities, what services are being provided and which services are not being provided in those areas. In fact, I think the hon member should have introduced his input in this House by saying that the reason we are using the bucket system still in 2004 was not their fault. Whose fault is it that people are still using the bucket system? That should be the introduction of the debate and then tell us where we come from and move forward. Today, we would no longer be having the bucket system if Mr Worth had addressed the bucket system in those days. [Interjections.]
Regarding the profiling of these municipalities, we must know how to equally distribute this piece of cake amongst everyone when we do get it from national or provincial government, because, you see, in many of the areas some never even receive these services. They never got the share of this piece of cake.
I will tell you a story about the place where I grew up. I grew up using the bucket system. Where I was born and bred, we used the bucket system. Those services never came to us. Now, when you say that the ANC encouraged people not to pay for services, what services are you referring to, because we never received these services? These services never came to us until I and other youth activists pulled down those public bucket toilets because they were a health risk in our communities. That is what we did. It was not to encourage the public not to pay for services, because what services were we paying for? That is the argument and this is where we come from. You can’t just move in a vacuum. You have to start where you come from and then plan ahead.
I also wanted to respond to the Municipal Infrastructure Grant programme. That is exactly why I am saying that maybe we need to restructure these provincial visits. The MIG programme is there, we brought it forward as the Department of Provincial and Local Government in order for us to begin to implement it because of the problems that we picked up in the profiling of these municipalities. If you say, “here is the MIG programme” and regarding municipalities you say, “here is the infrastructure with no provision made for maintenance”, for goodness sake, you should be creative! Be creative.
You can’t just sit and fold your arms and say, “you have given me this infrastructure, and who is going to maintain it?” You can’t do that. You have to be creative. We are transforming this country. Bring proposals forward and let us look at those proposals. Give them to DPLG and say, “in order for us to be able to maintain this infrastructure, these are the proposals and this is the business plan for maintaining this infrastructure”. But, you don’t just sit and say that no provision has been made. We need to be proactive. We are South Africans and therefore we need to assist our local communities.
I am not going to be long even though I am tempted. I fully agree with the statement that the wrong decisions were taken and that there is no capacity. I agree 100%. Now, hon member, unfortunately, you had a certain group of people in a given community locked up in a cage. They were locked up in this cage for many years. All of a sudden, you decide to bring them out and say: “Go and participate with the others in the Olympic Games, go and race with them in the Olympic Games.” Meanwhile the other groups have been practising and doing all sorts of things while these ones were caged. You then bring the caged ones out and put them with those who have been participating and say: “Go and participate in the race as equals.” Don’t do that. Don’t do that. You have to level the playing field. Somehow you have to level the playing field and say: “How does this group meet who group that has been caged for many centuries?”
There is just one last thing I wanted to say to the members, particularly Mr Adams, regarding the Urban Renewal and Rural Development Programmes in the Western Cape. Hon member Adams, you know that in the Western Cape the President announced the Urban Renewal and Rural Development Programmes in
- It took this province only two years to implement that programme. Whilst other provinces were moving, it took this province two years to start with the implementation of this programme after the announcement. Hence this programme has not in fact come off the ground effectively as yet and people are struggling, particularly regarding the things that you have raised.
We are building one South Africa here and we are trying to integrate our communities. These communities are still operating as Mitchells Plain and Khayelitsha. Do you see the problem we have? We are still grappling with that and it is because of the delay of two years that these communities still regard themselves this way.
What happened in the Western Cape is that they had certain programmes that they were busy with instead of implementing the presidential nodal programmes. They were busy evicting poor people from houses and cutting off services to those areas of Mitchells Plain and Khayelitsha. If you remember very well … [Interjections.] Absolutely. I will not say it. You know which council it was. [Laughter.] I will not mention it.
Lastly, when we say that municipalities are collapsing, that’s a very strong word. It is a very strong word. I wonder: Are they collapsing because other people are now benefiting from these services? Is that what we are saying? Or, are they collapsing because other people are now in charge? That statement carries a lot. If I should unpack that statement … you know, I would not like to unpack it but it says a lot if one says municipalities are collapsing. Why are they collapsing? Are they collapsing because of certain reasons?
And lastly, very lastly, I really apologise to you. I would like to say to all members here that we have to make our local municipalities work. I am not saying that there are no flaws; I am not saying that we don’t have problems or we don’t have flaws. We are at a learning curve, and we saw the provincial visits that the President undertook and I was part thereof. There are many programmes on the ground and we are still a learning curve where we have to capacitate our people at a local level, and I think the local municipalities are in fact the veins of a nation. I thank you. [Applause.]
Debate concluded.
The CHAIRPERSON OF COMMITTEES: We shall now proceed to the voting on the question. I shall do this in alphabetical order per province. Delegation heads must please indicate to the Chair whether they vote in favour or against or abstain from voting. Eastern Cape?
Ms B N DLULANE: In favour.
The CHAIRPERSON OF COMMITTEES: Free State?
Mrs S E MABE: In favour.
The CHAIRPERSON OF COMMITTEES: Gauteng?
Mr E M SOGONI: IGauteng iyayixhasa. [Gauteng supports.]
The CHAIRPERSON OF COMMITTEES: KwaZulu-Natal?
Mr Z C NTULI: KwaZulu-Natal supports.
The CHAIRPERSON OF COMMITTEES: Limpopo?
Ms H F MATLANYANE: Re ya e amogela. [We support.]
The CHAIRPERSON OF COMMITTEES: Mpumalanga?
Mr J B TOLO: In favour.
The CHAIRPERSON OF COMMITTEES: Northern Cape?
Mr M A SULLIMAN: Ke ya rona. [We support.]
The CHAIRPERSON OF COMMITTEES: North West?
Mr Z S KOLWENI: In favour.
The CHAIRPERSON OF COMMITTEES: Western Cape?
Mr F ADAMS: Ons steun. [We support.]
The CHAIRPERSON OF COMMITTEES: All provinces voted in favour. I therefore declare the report adopted in terms of section 65 of the Constitution.
Hon members, I would like to take this opportunity to thank the hon Deputy Minister and the special delegates from provinces for having come here to participate in this debate.
The Council adjourned at 16:18. ____
ANNOUNCEMENTS, TABLINGS AND COMMITTEE REPORTS
WEDNESDAY, 22 SEPTEMBER 2004
TABLINGS
National Assembly and National Council of Provinces
- The Minister of Finance
Report and Financial Statements of South African Revenue Service (SARS)
for 2003-2004, including the Report of the Auditor-General on the
Financial Statements for 2003-2004 [RP 175-2004].
- The Minister of Trade and Industry
(a) Report and Financial Statements of Ntsika Enterprise Promotion
Agency for 2003-2004, including the Report of the Auditor-General
on the Financial Statements for 2003-2004 [RP 140-2004].
(b) Report and Financial Statements of the Competition Commission of
South Africa for 2003-2004, including the Report of the Auditor-
General on the Financial Statements for 2003-2004 [RP 107-2004].
(c) Annual Review of the Competition Commission of South Africa for
2003-2004 [RP 107-2004].
(d) Report and Financial Statements of the National Manufacturing
Advisory Centres Trust (NAMAC) for 2003-2004, including the Report
of the Independent Auditors on the Financial Statements for 2003-
2004.
(e) Report and Financial Statements of the National Lotteries Board
for 2003-2004, including the Report of the Auditor-General on the
Financial Statements for 2003-2004.
(f) Report and Financial Statements of the South African Bureau of
Standards (SABS) for 2003-2004, including the Report of the
Auditor-General on the Financial Statements for 2003-2004.
(g) Report and Financial Statements of the National Gambling Board
for 2003-2004, including the Report of the Auditor-General on the
Financial Statements for 2003-2004.
- The Minister of Science and Technology
Report and Financial Statements of the Africa Institute of South Africa
for 2003-2004, including the Report of the Auditor-General on the
Financial Statements for 2003-2004.
Note: On the Announcements, Tablings and Committee Reports dated
21 September 2004 there was an incorrect indication that this
document had been tabled by the Minister of Arts and Culture.
- The Minister of Public Works
Report and Financial Statements of the Construction Industry
Development Board (CIDB) for 2003-2004, including the Report of the
Auditor-General on the Financial Statements for 2003-2004 [RP 138-
2004].
COMMITTEE REPORTS
National Assembly and National Council of Provinces
- First Report of the Joint Rules Committee, dated 21 September 2004, as follows:
At a special meeting of the Joint Rules Committee on Tuesday, 14
September 2004, two matters were under consideration by the Committee,
namely a proposed vision for Parliament and the new governance model.
Consideration of proposed vision for Parliament
The following options for a proposed vision statement for Parliament
were presented:
OPTION 1
To build an effective Parliament that is responsive to the needs
of the people and that is driven by the ideal of realising an
improved quality of life for all the people of South Africa.
OPTION 2
To build an effective people's Parliament that is responsive to
the needs of the people and that is driven by the ideal of
realising a better quality of life for all the people of South
Africa.
Mr D H M Gibson, on behalf of the DA, expressed support for Option 2,
subject to the following amendment: To substitute "Parliament" for
"people's Parliament". The vision statement would, therefore, read as
follows:
To build an effective Parliament that is responsive to the needs
of the people and that is driven by the ideal of realising a
better quality of life for all the people of South Africa.
Mrs S A Seaton, on behalf of the IFP, initially proposed the omission
of the first and third reference to "people", but subsequently withdrew
the proposal and seconded the proposal by the DA.
Mr A C Nel, on behalf of the ANC, also supported Option 2, subject to
the following amendment: To substitute "their needs" for "the needs of
the people". The vision statement would, therefore, read as follows:
To build an effective people's Parliament that is responsive to
their needs and that is driven by the ideal of realising a better
quality of life for all the people of South Africa.
Mrs P de Lille, on behalf of the ID, seconded the proposal by the ANC.
Mr N T Godi, on behalf of the PAC, also expressed support for the ANC
proposal.
Mr D H M Gibson proposed as an alternative that "people's Parliament"
be replaced by "democratic Parliament". The vision statement would,
therefore, read as follows:
To build an effective democratic Parliament that is responsive to
the needs of the people and that is driven by the ideal of
realising a better quality of life for all the people of South
Africa.
After discussion, the Chairperson of the NCOP suggested that the
proposed vision could be tabled in both Houses for debate and decision.
The Chief Whip of the Majority Party said that if that were the case,
the ANC would reserve the right to return to its original proposal
presented to the Joint Rules Committee at its meeting on 4 August 2004,
namely:
To build an effective people's Parliament that is responsive to
the needs of the people and that is driven by the ideal of
realising a better life for all the people of South Africa.
The Speaker, noting that apart from some matters of detailed wording
there was broad agreement on the basic approach, appealed to all
parties to continue talking to one another in order to reach consensus
before the matter was put to the Houses for decision.
The Committee resolved that the proposed Vision for Parliament would be
presented to both Houses for debate and decision, while parties would,
in the meantime, continue their discussions in an attempt to reach
consensus.
Consideration of new governance model
After a discussion, the Committee resolved that the Presiding Officers
and the Secretariat would reconsider and refine the proposals before
the Committee, with particular attention to the following: -
· the processing of policy and the role of the Chief Whips' Forum, the
Quarterly Consultative Forum and the Joint Ad Hoc Committee on
Parliamentary Budget;
· the relationship between the directing authority and the Joint Rules
Committee;
· representivity on the directing authority; and
· the participation of the Secretary to Parliament in the directing
authority.
An adjusted document would then be presented to the next meeting of the
Committee, which would sit before the directing authority met for the
first time. In principle the directing authority was agreed upon and
work had to proceed for it to be formed.
MONDAY, 27 SEPTEMBER 2004
TABLINGS
National Assembly and National Council of Provinces
- The Minister for the Public Service and Administration
(a) Report and Financial Statements of Vote 10 - Department of
Public Service and Administration for 2003-2004, including the
Report of the Auditor-General on the Financial Statements of Vote
10 for 2003-2004 [RP 170-2004].
(c) Report and Financial Statements of the State Information
Technology Agency (SITA) for 2003-2004, including the Report of
the Auditor-General on the Financial Statements for 2003-2004 [RP
75-2004].
- The Minister of Public Works
Report and Financial Statements of Vote 6 - Department of Public Works
for 2003-2004, including the Report of the Auditor-General on the
Financial Statements of Vote 6 for 2003-2004 [RP 185-2004].
- The Minister of Minerals and Energy
Annual Financial Statements of the Central Energy Fund (CEF) Group of
Companies for 2003-2004, including the Report of the Auditor-General on
the Financial Statements for 2003-2004.
- The Minister of Public Enterprises
Report and Financial Statements of Transnet Limited for 2003-2004,
including the Report of the Independent Auditors on the Financial
Statements for 2003-2004.
TUESDAY, 28 SEPTEMBER 2004
TABLINGS
National Assembly and National Council of Provinces
- The Minister of Finance
(a) Report and Financial Statements of Vote 8 - National Treasury
for 2003-2004, including the Report of the Auditor-General on the
Financial Statements of Vote 8 for 2003-2004 [RP 141-2004].
(b) Report and Financial Statements of the Corporation for Public
Deposits for 2003-2004, including the Report of the Independent
Auditors on the Financial Statements for 2003-2004.
(c) Report and Financial Statements of Vote 13 - Statistics South
Africa for 2003-2004, including the Report of the Auditor-General
on the Financial Statements of Vote 13 for 2003-2004 [RP 163-
2004].
(d) Report and Financial Statements of the South African Reserve
Bank for 2003-2004, including the Report of the Independent
Auditors on the Financial Statements for 2002-2004.
(e) Annual Economic Report of the South African Reserve Bank for
2004.
(f) The Address of the Governor of the South African Reserve Bank on
24 August 2004.
- The Minister for Justice and Constitutional Development
Report received from the Minister of Justice and Constitutional
Development on 23 September 2004 regarding the provisional suspension
of Magistrate S E Tebe without remuneration pending an investigation
into his fitness to hold office.
Note: This report replaces and supersedes the report tabled on 12
August 2004.
- The Minister of Minerals and Energy
Report and Financial Statements of Electricity Distribution Industry Holdings (Proprietary) Limited for 2003-2004, including the Report of the
Auditor-General on the Financial Statements for 2003-2004
WEDNESDAY, 29 SEPTEMBER 2004
TABLINGS
National Assembly and National Council of Provinces
- The Speaker and the Chairperson
Report and Financial Statements of the Office of the Auditor-General
for 2003-2004, including the Report of the Independent Auditors on the
Financial Statements for 2003-2004 [RP 177-2004].
- The Minister of Finance
Report and Financial Statements of the Financial Intelligence Centre
for 2003-2004, including the Report of the Auditor-General on the
Financial Statements for 2003-2004 [RP 189-2004].
- The Minister of Health
Report and Financial Statements of the Council for Medical Schemes for
2003-2004, including the Report of the Auditor-General on the Financial
Statements for 2003-2004 [RP 135-2004].
- The Minister for Provincial and Local Government
(a) Report and Financial Statements of the Municipal Demarcation
Board for 2003-2004, including the Report of the Auditor-General
on the Financial Statements for 2003-2004 [RP 165-2004].
(b) Report and Financial Statements of the Commission for the
Promotion and Protection of the Rights of Cultural, Religious and
Linguistic Communities for 2003-2004, including the Report of the
Auditor-General on the Financial Statements for 2003-2004 [RP 167-
2004].
- The Minister of Public Works
Report and Financial Statements of the Independent Development Trust
(IDT) for 2003-2004, including the Report of the Auditor-General on the
Financial Statements for 2003-2004 [RP 86-2004].
- The Minister of Water Affairs and Forestry
Report and Financial Statements of the Water Research Commission for
2003-2004, including the Report of the Auditor-General on the Financial
Statements for 2003-2004 [RP 143-2004].
THURSDAY, 30 SEPTEMBER 2004
ANNOUNCEMENTS
National Council of Provinces
- Membership of Committees
(1) The following members of the National Council of Provinces have
been appointed to the Joint Committees mentioned, viz:
Joint Monitoring Committee on Improvement of Quality of Life and
Status of Children, Youth and Disabled Persons:
African National Congress
Gamede, Mr D D
Goeieman, Mr M C
Madlala, Ms N M
Mkono, Mr D G
Nyanda, Ms F
Setona, Mr T S
Sibiya, Mr M J
Democratic Alliance
Terblanche, Ms J F
Watson, Mr A (Alt)
New National Party
Sinclair, Mr K
Joint Budget Committee:
African National Congress
Botha, Mr D J
Goeieman, Mr M C
Kolweni, Mr Z S
Manyosi, Mr A T
Mkhaliphi, Mr B J
Nyanda, Ms F
Ntwanambi, Ms N D
Ralane, Mr T S
Inkatha Freedom Party
Raju, Mr N M
New National Party
Sinclair, Mr K
Joint Standing Committee on Defence:
African National Congress
Hollander, Ms P
Manyosi, Mr A T
Mokoena, Kgoshi L M
Moseki, Mr A L
Ntuli, Mr Z C
Shiceka, Mr S
Tolo, Mr J B
Democratic Alliance
Worth, Mr D A
Loe, Ms S (Alt)
New National Party
Sinclair, Mr K
TABLINGS
National Assembly and National Council of Provinces
- The President of the Republic
Report and Financial Statements of The Presidency for 2003-2004,
including the Report of the Auditor-General on the Financial Statements
for 2003-2004 [RP 180-2004].
- The Minister for Provincial and Local Government
(a) Report and Financial Statements of Vote 5 - Department of
Provincial and Local Government for 2003-2004, including the
Report of the Auditor-General on the Financial Statements of Vote
5 for 2003-2004 [RP 193-2004].
(b) Report and Financial Statements of the South African Local
Government Association (SALGA) for 2003-2004, including the Report
of the Auditor-General on the Financial Statements for 2003-2004.
(c) Report and Financial Statements of the National House of
Traditional Leaders for 2003-2004.
- The Minister for Agriculture and Land Affairs
(a) Report and Financial Statements of Vote 26 - Department of
Agriculture for 2003-2004, including the Report of the Auditor-
General on the Financial Statements of Vote 26 for 2003-2004 [RP
186-2004].
(b) Report and Financial Statements of Vote 30 - Department of Land
Affairs for 2003-2004, including the Report of the Auditor-General
on the Financial Statements of Vote 30 for 2003-2004 [RP 168-
2004].
- The Minister of Trade and Industry
(a) Report and Financial Statements of the South African Quality
Institute for 2003-2004, including the Report of the Independent
Auditors on the Financial Statements for 2003-2004.
(b) Annual Review of the Community Public Private Partnership
Programme for 2003-2004.
- The Minister for the Public Service and Administration
Report and Financial Statements of the South African Management
Development Institute (SAMDI) for 2003-2004, including the Report of
the Auditor-General on the Financial Statements for 2003-2004 [RP 127-
2004].
- The Minister of Public Enterprises
Report and Financial Statements of Vote 9 - Department of Public
Enterprises for 2003-2004, including the Report of the Auditor-General
on the Financial Statements of Vote 9 for 2003-2004 [RP 143-2004].
- The Minister of Transport
(a) Report and Financial Statements of the South African National
Roads Agency Limited (SANRAL) for 2003-2004, including the Report
of the Auditor-General on the Financial Statements for 2003-2004
[RP 157-2004].
(b) Report and Financial Statements of the Air Traffic and
Navigation Services Company Limited for 2003-2004, including the
Report of the Independent Auditors on the Financial Statements for
2003-2004.
(c) Report and Financial Statements of the Airports Company South
Africa Limited (ACSA) for 2003-2004, including the Report of the
Independent Auditors on the Financial Statements for 2003-2004.
(d) Report and Financial Statements of the Urban Transport Fund
(UTF) for 2003-2004, including the Report of the Auditor-General
on the Financial Statements for 2003-2004 [RP 191-2004].
(e) Report and Financial Statements of the Cross-Border Road
Transport Agency for 2002-2003, including the Report of the
Auditor-General on the Financial Statements for 2002-2003 [RP 27-
2004].
(f) Report and Financial Statements of the Airports Company South
Africa and Air Navigation Services Company Ltd for 2003-2004.
- The Minister of Minerals and Energy
(a) Report and Financial Statements of Vote 31 - Department of
Minerals and Energy for 2003-2004, including the Report of the
Auditor-General on the Financial Statements for 2003-2004 [RP 85-
2004].
(b) Report and Financial Statements of the Central Energy Fund (CEF)
Group of Companies for 2003-2004, including the Reports of the
Auditor-General and the Independent Auditors on the Financial
Statements for 2003-2004 [RP 132-2004].
- The Minister of Correctional Services
Report and Financial Statements of Vote 21 - Department of Correctional
Services for 2003-2004, including the Report of the Auditor-General on
the Financial Statements of Vote 21 for 2003-2004 [RP 192-2004].
- The Minister of Housing
(a) Report and Financial Statements of Vote 29 - Department of
Housing for 2003-2004, including the Report of the Auditor-General
on the Financial Statements of Vote 29 for 2003-2004 [RP 125-
2004].
(b) Report and Financial Statements of the Rural Housing Loan Fund
(RHLF) for 2003-2004, including the Report of the Independent
Auditors on the Financial Statements for 2003-2004.
(c) Report and Financial Statements of Servcon Housing Solutions
(Proprietary) Limited for 2003-2004, including the Report of the
Independent Auditors on the Financial Statements for 2003-2004.
(d) Report and Financial Statements of Thubelisha Homes for 2003-
2004, including the Report of the Independent Auditors on the
Financial Statements for 2002-2003.
(e) Report and Financial Statements of the Social Housing Foundation
for 2003-2004, including the Report of the Independent Auditors on
the Financial Statements for 2003-2004.
(f) Report and Financial Statements of the National Housing Finance
Corporation Limited for 2003-2004, including the Report of the
Independent Auditors on the Financial Statements for 2003-2004.
(g) Report and Financial Statements of the National Urban and
Reconstruction Agency for 2003-2004.
- The Minister of Sport and Recreation
Report and Financial Statements of Vote 20 - Department of Sport and
Recreation for 2003-2004, including the Report of the Auditor-General
on the Financial Statements of Vote 20 for 2003-2004.
MONDAY, 4 OCTOBER 2004
TABLINGS
National Assembly and National Council of Provinces
- The Minister of Arts and Culture
Report and Financial Statements of Vote 14 - Department of Arts and Culture for 2003-2004, including the Report of the Auditor-General on the Financial Statements of Vote 14 for 2003-2004.
TUESDAY, 5 OCTOBER 2004
TABLINGS
National Assembly and National Council of Provinces
- The Minister for Justice and Constitutional Development
Report and Financial Statements of Vote 24 - Department of Justice and
Constitutional Development for 2003-2004, including the Report of the
Auditor-General on the Financial Statements of Vote 24 for 2003-2004
[RP 182-2004].
- The Minister of Minerals and Energy
Report and Financial Statements of the South African Diamond Board
(SADB) for 2003-2004, including the Report of the Auditor-General on
the Financial Statements for 2003-2004 [RP 194-2004].
- The Minister of Home Affairs
Report and Financial Statements of Vote 4 - Department of Home Affairs
for 2003-2004, including the Report of the Auditor-General on the
Financial Statements of Vote 4 for 2003-2004 [RP 175-2004].
- The Minister of Sport and Recreation
Report and Financial Statements of the South African Sports Commission
for 2003-2004, including the Report of the Auditor-General on the
Financial Statements for 2003-2004.
WEDNESDAY, 6 OCTOBER 2004
TABLINGS
National Assembly and National Council of Provinces
- The Minister of Health
Report and Financial Statements of Vote 16 - Department of Health for
2003-2004, including the Report of the Auditor-General on the Financial
Statements of Vote 16 for 2003-2004 [RP 179-2000].
National Council of Provinces
- The Chairperson
The President of the Republic submitted the following letter dated 28
September 2004 to the Chairperson of the National Council of Provinces
informing Members of the Council of the employment of the South African
National Defence Force:
EMPLOYMENT OF THE SOUTH AFRICAN NATIONAL DEFENCE FORCE IN BURUNDI IN
FULFILLMENT OF THE INTERNATIONAL OBLIGATIONS OF THE REPUBLIC OF SOUTH
AFRICA TOWARDS THE UNITED NATIONS
This serves to inform the National Council of Provinces that I
authorised the employment of the South African National Defence Force
(SANDF) personnel to the Republic of Burundi as part of the United
Nations Operation in accordance with the United Nations Security
Council Resolution 1545 of 2004.
This employment was authorised in accordance with the provisions of
section 201(2)(c) of the Constitution of the Republic of South Africa,
1996 (Act No 108 of 1996), read with section 93 of the Defence Act,
2002 (Act No 42 of 2002).
A total of 1099 personnel will be employed until the end of the
transition period in September 2004. The contingent will be reduced to
1078 personnel after September 2004 and 1007 personnel after December
2004 until the end of March 2005. The SANDF personnel are already in
Burundi and will only changeover to the United Nations mandate.
The cost of the deployment will be funded from the Department of
Defence's current allocation for peace Support Operations and will be
reimbursed by the United Nations.
I will communicate this report to the Members of the National Assembly
and the Chairperson of the Joint Standing Committee on Defence, and
wish to request that you bring the contents hereof to the notice of the
National Council of Provinces.
Regards
SIGNED
T M MBEKI
COMMITTEE REPORTS
National Council of Provinces
-
Report of the Select Committee on Finance on the Government Employees Pension Law Amendment Bill [B 15 - 2004] (National Assembly - sec 75), dated 4 October 2004:
The Select Committee on Finance, having considered the subject of the Government Employees Pension Law Amendment Bill [B 15 - 2004] (National Assembly - sec 75), referred to it, reports that it has agreed to the Bill.
-
Report of the Select Committee on Finance on the Public Audit Bill [B 1 - 2004] (National Assembly - sec 75), dated 4 October 2004:
The Select Committee on Finance, having considered the subject of the Public Audit Bill [B 1 - 2004] (National Assembly - sec 75), referred to it, reports that it has agreed to the Bill.
-
Report of the Select Committee on Finance on the Public Investment Corporation Bill [B 6B - 2004] (National Assembly - sec 75), dated 4 October 2004:
The Select Committee on Finance, having considered the subject of the Public Investment Corporation Bill [B 6B - 2004] (National Assembly - sec 75), referred to it, reports that it has agreed to the Bill.
-
Report of the Select Committee on Finance on the National Payment System Amendment Bill [B 14B - 2004] (National Assembly - sec 75), dated 4 October 2004:
The Select Committee on Finance, having considered the subject of the National Payment System Amendment Bill [B 14B - 2004] (National Assembly - sec 75), referred to it, reports the Bill with proposed amendments, as follows:
CLAUSE 13-
On page 11, in line 4, after “subsection” to insert “(1) or”.
CLAUSE 17 -
On page 11, in line 46, to omit “and commencement”.
-
On page 11, in line 47, to omit all the words after “2004” up to and including “Gazette” in line 49.
FRIDAY, 8 OCTOBER 2004
-
ANNOUNCEMENTS
National Council of Provinces
- Membership of Committees
1) Mr B J Mkhaliphi has been elected Co-Chairperson of the Joint
Budget Committee with effect from 8 October 2004.
TABLINGS
National Assembly and National Council of Provinces
- The Minister for Justice and Constitutional Development
Government Notice No R.889 published in Government Gazette No 26603
dated 10 July 2004: Designation of a body for the purpose of section
212(4)(a) and (8) of the Criminal Procedure Act, 1977 (Act No 51 of
1977).
- The Minister of Labour
Report and Financial Statements of National Economic Development and
Labour Council for 2003-2004, including the Report of the Independent
Auditors on the Financial Statements for 2003-2004.
TUESDAY, 12 OCTOBER 2004
ANNOUNCEMENTS
National Council of Provinces
- Referrals to committees of papers tabled:
The following papers have been tabled and are now referred to the
relevant committees as mentioned below:
(1) The following papers are referred to the Select Committee on
Education and Recreation:
(a) Report and Financial Statements of the Market Theatre for
2003-2004, including the Report of the Independent Auditors on
the Financial Statements for 2003-2004.
(b) Report of the South African Geographical Names Council for
2002-2003 [RP 203-2003].
(c) Report and Financial Statements of the Playhouse Company
for 2003-2004, including the Report of the Auditor-General on
the Financial Statements for 2003-2004.
(d) Report and Financial Statements of the National Zoological
Gardens of South Africa for 2003-2004, including the Report of
the Auditor-General on the Financial Statements for 2003-2004.
(e) Report and Financial Statements of the Engelenburg House
Art Collection for 2003-2004, including the Report of the
Auditor-General on the Financial Statements for 2003-2004.
(f) Report and Financial Statements of the South African
Library for the Blind for 2003-2004, including the Report of
the Auditor-General on the Financial Statements for 2003-2004.
(g) Report and Financial Statements of the Human Sciences
Research Council for 2003-2004, including the Report of the
Auditor-General on the Financial Statements for 2003-2004 [RP
98-2004].
(h) Report and Financial Statements of the Africa Institute of
South Africa for 2003-2004, including the Report of the
Auditor-General on the Financial Statements for 2003-2004.
(i) Report and Financial Statements of the South African
Qualifications Authority (SAQA) for 2003-2004, including the
Report of the Auditor-General on the Financial Statements for
2003-2004 [RP 111-2004].
(2) The following papers are referred to the Select Committee on
Finance:
(a) Report and Financial Statements of the Accounting
Standards Board for 2003-2004, including the Report of the
Independent Auditors on the Financial Statements for 2003-2004
[RP 73-2004].
(b) Report and Financial Statements of the Financial Services
Board for 2003-2004, including the Report of the Auditor-
General on the Financial Statements for 2003-2004 [RP 133-
2004].
(c) Report and Financial Statements of the Public Accountants'
and Auditors' for 2003, including the Report of the
Independent Auditors on the the Financial Statements for the
year ended 31 December 2003.
(d) Report and Financial Statements of South African Revenue
Service (SARS) for 2003-2004, including the Report of the
Auditor-General on the Financial Statements for 2003-2004 [RP
175-2004].
(3) The following papers are referred to the Select Committee on
Labour and Public Enterprises:
(a) Recommendation No 192 concerning Safety and Health in
Agriculture, adopted by the International Labour Conference at
its Eighty-Ninth Session, Geneva, 21 June 2001, tabled in
terms of section 231(3) of the Constitution, 1996.
(b) Recommendation No 193 concerning the Promotion of
Cooperatives, adopted by the International Labour Conference
at its Ninetieth Session, Geneva, 20 June 2002, tabled in
terms of section 231(3) of the Constitution, 1996.
(c) Recommendation No 194 concerning the List of Occupational
Diseases and the recording and notification of occupational
accidents and diseases, adopted by the International Labour
Conference at its Ninetieth Session, Geneva, 20 June 2002,
tabled in terms of section 231(3) of the Constitution, 1996.
(d) Convention No 185 revising the Seafarers' Identity
Documents Convention, 1958, adopted by the International
Labour Conference at its Ninety-First Session, Geneva, 19 June
2003, tabled in terms of section 231(3) of the Constitution,
1996.
(e) Report and Financial Statements of the South African
Broadcasting Corporation Limited (SABC) for 2003-2004,
including the Report of the Independent Auditors on the
Financial Statements for 2003-2004.
(f) Report and Financial Statements of Telkom SA Limited for
2003-2004, including the Report of the Independent Auditors on
the the Financial Statements for 2003-2004.
(g) Report and Financial Statements of the National Electronic
Media Institute of South Africa (NEMISA) for 2003-2004,
including the Report of the Independent Auditors on the
Financial Statements for 2003-2004.
(h) Report and Financial Statements of Denel (Pty) Limited for
2003-2004, including the Report of the Independent Auditors on
the Financial Statements for 2003-2004.
(i) Report and Financial Statements of Transnet Limited for
2003-2004, including the Report of the Independent Auditors on
the Financial Statements for 2003-2004.
(4) The following papers are referred to the Select Committee on
Security and Constitutional Affairs:
(a) Report and Financial Statements of the National
Prosecuting Authority for 2003-2004, including the Report of
the Auditor-General on the Financial Statements for 2003-2004
[RP 160-2004].
(b) Report and Financial Statements of the Legal Aid Board for
2003-2004, including the Report of the Auditor-General on the
Financial Statements for 2003-2004 [RP 129-2004].
(c) Report and Financial Statements of the Independent
Electoral Commission regarding the Management and
Administration of the Represented Political Parties' Fund for
2003-2004, including the Report of the Auditor-General on the
Financial Statements for 2003-2004 [RP 116-2004].
(d) Report and Financial Statements of Vote 25 - Department of
Safety and Security for 2003-2004, including the Report of the
Auditor-General on the Financial Statements of Vote 25 for
2003-2004 [RP 184-2004].
(e) Report and Financial Statements of Vote 23 - Independent
Complaints Directorate (ICD) for 2003-2004, including the
Report of the Auditor-General on the Financial Statements of
Vote 23 for 2003-2004 [RP 121-2004].
(5) The following paper is referred to the Select Committee on
Social Services:
Report and Financial Statements of the Medical Research Council
(MRC) for 2003-2004, including the Report of the Auditor-General
on the Financial Statements for 2003-2004 [RP 91-2002].
(6) The following papers are referred to the Select Committee on
Land and Environmental Affairs:
(a) Report and Financial Statements of the National
Agricultural Marketing Council (NAMC) for 2003-2004, including
the Report of the Auditor-General on the Financial Statements
for 2003-2004 [RP 7-2004].
(b) Report and Financial Statements of Onderstepoort
Biological Products Limited for 2003-2004, including the
Report of the Independent Auditors on the the Financial
Statements for 2003-2004.
(c) Report and Financial Statements of the Ingonyama Trust
Board for 2003-2004, including the Report of the Auditor-
General on the Financial Statements for 2003-2004 [RP 161-
2004].
(d) Report and Financial Statements of the Perishable Products
Export Control Board (PPECB) for 2003-2004, including the
Report of the Independent Auditors on the Financial Statements
for 2003-2004.
(e) Report and Financial Statements of Ncera Farms
(Proprietary) Limited for 2003-2004, including the Report of
the Independent Auditors on the Financial Statements for 2003-
2004.
(7) The following papers are referred to the Select Committee on
Local Government and Administration:
(a) Report and Financial Statements of Vote 10 - Department of
Public Service and Administration for 2003-2004, including the
Report of the Auditor-General on the Financial Statements of
Vote 10 for 2003-2004 [RP 170-2004].
(b) Report and Financial Statements of the State Information
Technology Agency (SITA) for 2003-2004, including the Report
of the Auditor-General on the Financial Statements for 2003-
2004 [RP 75-2004].
(c) Report and Financial Statements of the Municipal
Infrastructure Investment Unit 2003-2004, including the Report
of the Auditor-General on the Financial Statements for 2003-
2004 [RP 178-2004].
(8) The following papers are referred to the Select Committee on
Economic and Foreign Affairs:
(a) Report and Financial Statements of the Council for Mineral
Technology (MINTEK) for 2003-2004, including the Report of the
Auditor-General on the Financial Statements for 2003-2004 [RP
31-2004].
(b) Report and Financial Statements of the Council for
Geoscience for 2003-2004, including the Report of the Auditor-
General on the Financial Statements for 2003-2004 [RP 68-
2004].
(c) Report and Financial Statements of the National
Electricity Regulator for 2003-2004, including the Report of
the Auditor-General on the Financial Statements for 2003-2004
[RP 122-2004].
(d) Annual Financial Statements of the Central Energy Fund
(CEF) Group of Companies for 2003-2004, including the Report
of the Auditor-General on the Financial Statements for 2003-
2004.
(9) The following papers are referred to the Select Committee on
Public Services:
(a) Report and Financial Statements of Vote 6 - Department of
Public Works for 2003-2004, including the Report of the
Auditor-General on the Financial Statements of Vote 6 for 2003-
2004 [RP 185-2004].
(b) Guidelines for the Implementation of Labour-Intensive
Infrastructure Projects under the Expanded Public Works
Programme (EPWP).
(c) Report and Financial Statements of the Construction
Industry Development Board (CIDB) for 2003-2004, including the
Report of the Auditor-General on the Financial Statements for
2003-2004 [RP 138-2004].
TABLINGS
National Assembly and National Council of Provinces
- The Speaker and the Chairperson
Annual Review of the Independent Commission for the Remuneration of
Public Office-Bearers, 2004.
- The Minister of Education
(a) Report and Financial Statements of the Council on Higher
Education for 2003-2004, including the Report of the Auditor-
General on the Financial Statements for 2003-2004.
(b) Government Notice No 983 published in Government Gazette No
26692 dated 18 August 2004: Appointment of a replacement to serve
as a member of the South African Qualifications Authority (SAQA)
in terms of section 4(4) of the South African Qualifications
Authority Act, 1995 (Act No 58 of 1995).
(c) Government Notice No 285 published in Government Gazette No
26119 dated 3 March 2004: Appointment of members to serve on the
proposed management structures with the aim of developing
additional subjects to be included in the National Curriculum
Statement Grades 10-12 (General) in terms of the National
Education Policy Act, 1996 (Act No 27 of 1996) and the South
African Schools Act, 1996 (Act No 84 of 1996).
(d) Government Notice No 995 published in Government Gazette No
26711 dated 23 August 2004: Amendment to the names of members to
serve on the Ministerial Project Committee and Associated Subject
Working Groups for the development of subject statements to be
included in the National Curriculum Statement Grades 10-12
(General) in terms of the National Education Policy Act, 1996 (Act
No 27 of 1996).
(e) Government Notice No 1052 published in Government Gazette No
26767 dated 8 September 2004: Appointment of members to serve on
the proposed subject working groups in terms of the National
Education Policy Act, 1996 (Act No 27 of 1996) and the South
African Schools Act, 1996 (Act No 84 of 1996).
(f) Government Notice No 1080 published in Government Gazette No
26788 dated 15 September 2004: The development of a National
Curriculum Statement Grades 10-12 (General) - Second phase: Call
for written submissions from the Stakeholder bodies and members of
the public in terms of the National Education Policy Act, 1996
(Act No 27 of 1996).
(g) Government Notice No 981 published in Government Gazette No
26690 dated 18 August 2004: Extension of the term of office of the
current members serving on the Second South African Qualifications
Authority for the period 26 April 2004 until 26 October 2004 in
terms of the South African Qualifications Authority Act, 1995 (Act
No 58 of 1995).
(h) Government Notice No 982 published in Government Gazette No
26691 dated 18 August 2004: Calling for nomination of persons to
serve as members on the Third South African Qualifications
Authority for the period 27 October 2004 until 26 October 2007 in
terms of the South African Qualifications Authority Act, 1995 (Act
No 58 of 1995).
(i) Government Notice No 820 published in Government Gazette No
26560 dated 8 July 2004: National Policy regarding further
Education and Training programmes: Approval of Additional
Languages as National Education Policy to be listed in the
National Curriculum Statement Grades 10-12 (General) in terms of
the National Education Policy Act, 1996 (Act No 27 of 1996) and
the South African Schools Act, 1996 (Act No 84 of 1996).
j) Government Notice No 1081 published in Government Gazette No 26789
dated 17 September 2004: National Policy regarding further
Education and Training programmes: Approval of the draft policy
document, National Policy on the Conduct, Administration and
Management of the Assessment of the Senior Certificate as National
Education Policy in terms of the National Education Policy Act,
1996 (Act No 27 of 1996) and the South African Schools Act, 1996
(Act No 84 of 1996).
WEDNESDAY, 13 OCTOBER 2004
TABLINGS
National Assembly and National Council of Provinces
- The Minister of Communications
Report and Financial Statements for Vote 27 - Department of
Communications for 2003-2004, including the Report of the Auditor-
General on the Financial Statements of Vote 27 for 2003-2004.
COMMITTEE REPORTS
National Council of Provinces
-
Report of the Select Committee on Economic and Foreign Affairs on the Geneva Act of the Hague Agreement Concerning the International Registration of Industrial Designs, dated 13 October 2004:
The Select Committee on Economic and Foreign Affairs, having considered the request for approval by Parliament of the Geneva Act of the Hague Agreement Concerning the International Registration of Industrial Designs, referred to it, recommends that the Council, in terms of section 231(2) of the Constitution, approve the said Act.
Report to be considered.
-
Report of the Select Committee on Economic and Foreign Affairs on the Protocol Relating to the Madrid Agreement Concerning the International Registration of Trade Marks, dated 13 October 2004:
The Select Committee on Economic and Foreign Affairs, having considered the request for approval by Parliament of the Protocol Relating to the Madrid Agreement Concerning the International Registration of Trade Marks, referred to it, recommends that the Council, in terms of section 231(2) of the Constitution, approve the said Protocol. Report to be considered.
THURSDAY, 14 OCTOBER 2004
ANNOUNCEMENTS
National Assembly and National Council of Provinces
- Assent by President in respect of Bills
(1) Immigration Amendment Bill [B 11B - 2004] - Act No 19 of 2004
(assented to and signed by President on 12 October 2004).
- Classification of Bills by Joint Tagging Mechanism:
(1) The Joint Tagging Mechanism (JTM) on 12 October 2004 in terms of
Joint Rule 160(3), classified the following Bill as a section 75
Bill:
(i) Securities Services Bill [B 19 - 2004] (National Assembly
- sec 75)
TABLINGS
National Assembly and National Council of Provinces
- The Minister of Trade and Industry
(a) Report and Financial Statements of the International Trade
Administration Commission of South Africa for 2003-2004, including
the Report of the Auditor-General on the Financial Statements for
2003-2004 [RP 188-2004].
(b) Report and Financial Statements of the Micro Finance Regulatory
Council (MFRC) for the year ended 31 December 2003.
COMMITTEE REPORTS
National Council of Provinces
-
Report of the Select Committee on Economic and Foreign Affairs on the National Energy Regulator Bill [B 9B - 2004] (National Assembly - sec 75), dated 13 October 2004:
The Portfolio Committee on Minerals and Energy, having considered the subject of the National Energy Regulator Bill [B 9B - 2004] (National Assembly - sec 75), referred to it, reports the Bill with proposed amendments, as follows:
CLAUSE 8-
On page 5, from line 45, to omit “information to be discussed during a certain part of a” and to substitute:
, for the part of the meeting concerned, the information to be discussed during that part of the
CLAUSE 10 -
On page 6, in line 44, to omit “the” and to substitute “a”.
FRIDAY, 15 OCTOBER 2004
-
ANNOUNCEMENTS
National Assembly and National Council of Provinces
- Classification of Bills by Joint Tagging Mechanism:
(1) The Joint Tagging Mechanism (JTM) on 15 October 2004 in terms of
Joint Rule 160(3), classified the following Bill as a section 75
Bill:
(i) Financial Services Ombud Schemes Bill [B 20 - 2004]
(National Assembly - sec 75)
- Draft bills submitted in terms of Joint Rule 159
(1) Judicial Matters Amendment Bill, 2004, submitted by the Minister
for Justice and Constitutional Development on 6 October 2004.
Referred to the Portfolio Committee on Justice and Constitutional
Development and the Select Committee on Security and
Constitutional Affairs.
- Translations of Bills submitted
(1) The Minister of Finance
(i) Wysigingswetsontwerp op die Nasionale Betalingstelsel [W
14 - 2004] (National Assembly - sec 75)
This is the official translation into Afrikaans of the National
Payment System Amendment Bill [B 14 - 2004] (National Assembly -
sec 75).
TABLINGS
National Assembly and National Council of Provinces
- The Minister in The Presidency
Report and Financial Statements of the International Marketing Council
for 2003-2004, including the Report of the Auditor-General on the
Financial Statements for 2003-2004 [RP 174-2004].
MONDAY, 18 OCTOBER 2004
COMMITTEE REPORTS
National Council of Provinces
CREDA PLEASE INSERT REPORT - insert ATC1018e
TUESDAY, 19 OCTOBER 2004
ANNOUNCEMENTS
National Assembly and National Council of Provinces
- Bills passed by Houses - to be submitted to President for assent
(1) Bills passed by National Council of Provinces on 19 October
2004:
(i) Public Audit Bill [B 1 - 2004] (National Assembly - sec
75)
(ii) Public Investment Corporation Bill [B 6B - 2004] (National
Assembly - sec 75)
(iii) Government Employees Pension Law Amendment Bill [B 15 -
2004] (National Assembly - sec 75)
- Translations of Bills submitted
(1) The Minister of Finance
(i) Wetsontwerp op die Openbare Beleggingskorporasie [W 6 -
2004] (National Assembly - sec 75)
This is the official translation into Afrikaans of the Public
Investment Corporation Bill [B 6 - 2004] (National Assembly -
sec 75).
(ii) Wysigingswetsontwerp op die “Government Employees Pension
Law” [W 15 - 2004] (National Assembly - sec 75)
This is the official translation into Afrikaans of the
Government Employees Pension Law Amendment Bill [B 15 - 2004]
(National Assembly - sec 75).
TABLINGS
National Assembly and National Council of Provinces
- The Minister of Finance
Report and Financial Statements of the Public Investments Commissioners
for 2003-2004, including the Report of the Auditor-General on the
Financial Statements for 2003-2004 [RP 99-2004].
- The Minister of Social Development
Report and Financial Statements of Vote 19 - Department of Social
Development for 2003-2004, including the Report of the Auditor-General
on the Financial Statements of Vote 19 for 2003-2004 [RP 198-2004].
- The Minister of Water Affairs and Forestry
(a) Government Notice No 1012 published in Government Gazette No
26731 dated 27 August 2004: Notice of list of protected tree
species under the National Forests Act, 1998 (Act No 84 of 1998).
(b) Government Notice No 1031 published in Government Gazette No
26749 dated 3 September 2004: Restrictions on the use of water for
agricultural use and for domestic and industrial use from the
Gamtoos River Government Water Scheme (The Kouga Dam and the
Gamtoos Canal) in the Fish-to-Tsitsikamma Water Management Area
(WMA 15) in the Eastern Cape Province, in terms of the National
Water Act, 1998 (Act No 36 of 1998).
(c) Government Notice No 1042 published in Government Gazette No
26752 dated 10 September 2004: Correction notice in respect of
lists of protected tree species in terms of the National Forests
Act, 1998 (Act No 84 of 1998).
(d) Government Notice No 1099 published in Government Gazette No
26807 dated 17 September 2004: Notice to protect a tree in terms
of section 12 of the National Forests Act, 1998 (Act No 84 of
1998).
(e) Government Notice No 1098 published in Government Gazette No
26799 dated 23 September 2004: Water Research Fund: Rates and
Charges in terms of the Water Research Act, 1971 (Act No 34 of
1971).
(f) Government Notice No 1103 published in Government Gazette No
26799 dated 23 September 2004: Restrictions on the use of surface
water for agricultural purposes and urban and industrial purposes
from any resource in the catchment of the Loskop Dam (Secondary
Catchment B1 and B2) in terms of the National Water Act, 1998 (Act
No 36 of 1998).
(g) Government Notice No 1104 published in Government Gazette No
26799 dated 23 September 2004: Establishment of the Upper Komati
River Water User Association, Magisterial District of Belfast and
Carolina, Mpumalanga Province, Water Management Area Number 5 in
terms of the National Water Act, 1998 (Act No 36 of 1998).
(h) Government Notice No 1105 published in Government Gazette No
26799 dated 23 September 2004: Establishment of the Lower Modder
River/Krugersdrift Water User Association, Districts of Boshof,
Bloemfontein, Petrusberg and Jacobsdal, Province of the Free
State, Water Management Area Number 13 in terms of the National
Water Act, 1998 (Act No 36 of 1998).