National Council of Provinces - 17 September 2002

TUESDAY, 17 SEPTEMBER 2002 __

          PROCEEDINGS OF THE NATIONAL COUNCIL OF PROVINCES
                                ____

The Council met at 14:02.

The Deputy 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.

                          NOTICES OF MOTION

Mr N M RAJU: Mr Chairperson, I give notice that I shall move at the next sitting of the House:

That the Council -

(1) notes -

   (a)  that the World Summit  on  Sustainable  Development,  which  was
       recently held in Johannesburg,  was  attended  by  some  60  000
       delegates and more than 100 heads of state;


   (b)  with approbation and national pride that the event, a first  for
       South Africa, showcased our country in a highly positive  light,
       which will no  doubt  bring  about  immense  spin-offs  for  the
       benefit of all South Africans, thus proving to  the  world  that
       the Republic of South Africa not only  has  the  infrastructural
       capacity, but the necessary human  resources  to  host  such  an
       event of international magnitude; and

(2) congratulates the Government, the Ministry of Environmental Affairs and Tourism in particular, and every South African who was involved in whatever capacity in advertising South Africa and successfully raising the curtain on one of the finest conferences held anywhere in the world.

Mrs E N LUBIDLA: Mr Chairperson, I give notice that I shall move at the next sitting of the House: That the Council -

(1) notes with concern the war talk from world leaders;

(2) believes that war does not solve anything;

(3) acknowledges South Africa’s position that whatever hostilities arise in the international arena must be resolved by peaceful means;

(4) welcomes Iraq’s decision to allow the United Nations’ inspectors to come and inspect whether there are weapons of mass destruction within Iraq; and

(5) calls on the international community to find peaceful solutions to global problems.

Me C-S BOTHA: Voorsitter, ek gee hiermee kennis dat ek by die volgende sitting van die Huis sal voorstel:

Dat die Raad -

(1) kennis neem -

   (a)  van die stygende aantal mense in  Suider-Afrika,  14,4  miljoen,
       wat in die volgende paar maande  deur  hongersnood  oorval  gaan
       word;


   (b)   van  die   doelbewuste   stappe   van   president   Mugabe   om
       voedselvoorsiening in Zimbabwe te  vernietig,  wat  beteken  dat
       hierdie hongersnood opsetlik op 6 miljoen Zimbabwiërs  afgedwing
       word;


   (c)  dat hierdie situasie nou die punt bereik het waar  dit  volgende
       jaar herhaal gaan word; en


   (d)  dat President Mbeki en die SA  Regering  se  beleid  van  stille
       diplomasie teenoor  Zimbabwe  allerweë  gesien  word  as  stille
       goedkeuring, en totaal teenstrydig is met die beginsels vir  die
       sukses van Nepad, wat President Mbeki self verwoord het as synde
       gebaseer op  'n  program  van  vennootskap,  wedersydse  respek,
       verantwoordelikheid en aanspreeklikheid; en

(2) versoek dat Suid-Afrika onmiddellik hard en duidelik sy afkeer van president Mugabe se optrede uitspreek om te keer dat Suid-Afrika se geloofwaardigheid saam met Zimbabwe s’n sneuwel. (Translation of Afrikaans notice of motion follows.)

[Ms C-S BOTHA: Chairperson, I hereby give notice that I shall move at the next sitting of the House:

That the Council -

(1) notes -

   (a)  the  increasing  number  of  people  in  Southern  Africa,  14,4
       million, who are going to suffer  starvation  in  the  next  few
       months;


   (b)  the  purposeful  steps  by  President  Mugabe  to  destroy  food
       provision in Zimbabwe, which means that  this  famine  is  being
       deliberately forced on 6 million Zimbabweans;


   (c)  that this situation has now reached the point where it is  going
       to be repeated next year; and


   (d)  that President Mbeki and the SA  Government's  policy  of  quiet
       diplomacy  towards  Zimbabwe  is  widely  perceived   as   tacit
       approval, and totally inconsistent with the principles  for  the
       success of Nepad, which President Mbeki expressed as being based
       on a programme of partnership,  mutual  respect,  responsibility
       and accountability; and

(2) requests that South Africa immediately expresses its disapproval loudly and clearly of President Mugabe’s action to prevent South Africa’s credibility from dying with that of Zimbabwe.]

         DISTURBING NUMBER OF SHIPWRECKS ALONG OUR COASTLINE

                         (Draft Resolution)

Mr K D S DURR: Chairperson, I move without notice:

That the Council -

(1) notes the disturbing number of shipwrecks occurring along our coastline over the past few months;

(2) deplores the environmental damage these wrecks cause to our pristine coastlines;

(3) expresses its disquiet at the threatened destruction of the St Lucia wetland and marine life and at the fact that certain endangered species in the area are threatened;

(4) asks how it is possible that a high risk ship can be allowed to travel so close inshore;

(5) calls upon our authorities, during the clean-up period, to ensure the maximum protection and safety of our beaches and wildlife which are being threatened;

(6) calls upon the Government to investigate any negligence in this regard;

(7) further calls upon the Government to conduct an investigation into the causes of these accidents and to take the necessary preventative actions; and

(8) thanks the KwaZulu-Natal Parks Board and government for the efforts to date in dealing with the present crisis.

Motion agreed to in accordance with section 65 of the Constitution.

                   ALLEGED RACIST INCIDENT IN SHOP

                         (Draft Resolution)

Ms N D NTWANAMBI: Chairperson, I move without notice:

That the Council -

(1) expresses its shock and outrage at the abusive way in which a black customer has been treated by the owner of Kwikspar in Monte Vista and his security guard;

(2) notes that this was an utterly racist insinuation by the owner that blacks are prone to stealing;

(3) appeals to the owners of the Kwikspar group to investigate the racist behaviour of this particular franchise holder, to determine whether such conduct does not constitute a breach of the contractual agreement between them, and to immediately terminate his authority to sell the company’s goods in that particular area if his racist conduct is in breach of their contractual agreement;

(4) calls on the police to spare no effort in their investigations into the racist attack on the customer by the security guard; and

(5) furthermore calls on the prosecutorial service to spare no effort in proving the racist motive behind this attack and on the courts to take this racist motive into consideration during sentencing.

Mr A E VAN NIEKERK: Chairperson, I would recommend that we move the following amendment:

That, in paragraphs (3), (4) and (5), “alleged” be inserted before “racist”.

The DEPUTY CHAIRPERSON OF THE NCOP (Mr M L Mushwana): Ms Ntwanambi, that is a proposed amendment to the motion. Is it acceptable?

Ms N D NTWANAMBI: Yes, Chairperson, it is acceptable for that to be added.

Amendment agreed to in accordance with section 65 of the Constitution.

Motion, as amended, agreed to in accordance with section 65 of the Constitution, namely:

That the Council -

(1) expresses its shock and outrage at the abusive way in which a black customer has been treated by the owner of Kwikspar in Monte Vista and his security guard;

(2) notes that this was an utterly racist insinuation by the owner that blacks are prone to stealing;

(3) appeals to the owners of the Kwikspar group to investigate the alleged racist behaviour of this particular franchise holder, to determine whether such conduct does not constitute a breach of the contractual agreement between them, and to immediately terminate his authority to sell the company’s goods in that particular area if his alleged racist conduct is in breach of their contractual agreement;

(4) calls on the police to spare no effort in their investigations into the alleged racist attack on the customer by the security guard; and

(5) furthermore calls on the prosecutorial service to spare no effort in proving the alleged racist motive behind this attack and on the courts to take this alleged racist motive into consideration during sentencing.

      RIGHT-WING PLOT EXPOSED BY EXCELLENT POLICE INVESTIGATION

                         (Draft Resolution)

Ms M P THEMBA: Chairperson, I move without notice:

That the Council -

(1) expresses its appreciation for the excellent investigation done by the South African Police Service which led to the seizure of a truck with a large quantity of potentially dangerous weapons;

(2) congratulates the National Commissioner of the SA Police Service on his role in leading his charges to expose the right-wing plot against our Government; and

(3) shares the optimism of the National Commissioner that the rest of the right-wing plotters will soon be apprehended.

Motion agreed to in accordance with section 65 of the Constitution.

              VOLATILE SITUATION IN MIDDELBURG HOSPITAL

                         (Draft Resolution)

Dr P J C NEL: Chairperson, I move without notice: That the Council -

(1) notes -

   (a)  the  extremely  volatile  situation  which  has  arisen  in  the
       Middelburg Hospital in Mpumalanga, which renders health services
       to approximately 350 000 inhabitants;


   (b)  that three young doctors have resigned from their posts at short
       notice over the past two months  because  they  alleged  that  a
       campaign of terror was being waged in the hospital by members of
       a certain NGO and that even  more  doctors  are  threatening  to
       resign because they feel  that  they  are  working  under  life-
       threatening circumstances; and


   (c)  that two  former  superintendents  of  the  hospital  were  also
       allegedly violently forced to  leave  the  hospital  grounds  by
       members of the same NGO and that one of the trainee doctors  had
       to obtain an interdict to protect himself  from  their  actions;
       and   (2) requests the Minister of Health to have the incidents investigated as
   a matter of urgency and to make an effort  to normalise conditions at
   the hospital in order to ensure the continued delivery of health care
   to the large community served by the hospital.

Motion agreed to in accordance with section 65 of the Constitution.

          CHILDREN DYING OF STARVATION IN THE EASTERN CAPE

                         (Draft Resolution)

The CHIEF WHIP OF THE COUNCIL: Chairperson, I move without notice:

That the Council -

(1) notes with shock that 166 children have died of starvation in 11 hospitals in the northern areas of the Eastern Cape in the past six months;

(2) agrees with the national Minister of Social Development that cases of malnutrition need to be prioritised by the Eastern Cape in order to drastically reduce the mortality rate of young children;

(3) notes with concern that most of the children who died of starvation in the rural portions of the Eastern Cape were under the age of seven years and therefore were eligible for the child support grant; and

(4) appeals to all sectors within the Eastern Cape responsible for the facilitation of access to the child support grant, such as the Department of Home Affairs responsible for the delivery of identity documents, the Department of Health responsible for the health care of children and the Department of Social Development, to increase their co-operation as partners in service delivery to the most vulnerable sector of our society, namely our children.

Motion agreed to in accordance with section 65 of the Constitution.

    INSTITUTION OF LEGAL PROCEEDINGS AGAINST ORGANS OF STATE BILL

(Consideration of Bill and of Report of Select Committee on Security and Constitutional Affairs thereon)

The DEPUTY CHAIRPERSON OF THE NCOP: Order! I take this opportunity to welcome the hon the Deputy Minister for Justice and Constitutional Development back to her original Chamber, and call upon her to address this House.

The DEPUTY MINISTER FOR JUSTICE AND CONSTITUTIONAL DEVELOPMENT: Chairperson, it is always a pleasure to be back here, and may I congratulate the House on its new format. It is the first time I have been here since the House has had a facelift. It is very, very attractive indeed.

There are currently several laws that regulate and even impose limitations on the right of a person to institute legal proceedings for the recovery of debt against organs of state, such as the SA Police Service, Correctional Services and the Public Service. The majority of these laws provide that the creditor or plaintiff must, within a specific period, give notice to the organ of state of his or her intention to institute such legal proceedings. This is coupled with a further requirement that a specific period of time must elapse from the date of the notice before the legal proceedings may be instituted.

A further provision is also made for the lack of the right to institute such legal proceedings after the expiry of certain fixed periods, called periods of prescription, which are calculated from the date on which the cause of the action arose. The justification for these laws was summarised by the SA Law Commission in October 1985 when it said:

The circumstances under which the state can incur liability are legion. Because of the state’s large and fluctuating workforce and the extent of its activities, it is impossible to investigate an incident properly long after it has taken place. The state is obliged by law to follow cautious and sometimes cumbersome procedures.

Government bodies operate on an annual budget and must be notified of possible claims as soon as possible. The state needs time to deliberate and consider questions of policy and the possibility of settlements. The state acts in the public interest and not for gain. Because public funds are involved, the state must guard against unfounded claims. The state is an attractive target for unfounded claims.

However, the predicament is that the existing laws have proved to be inconsistent. On the one hand, they provide for different notice periods for the institution of legal proceedings against different organs of state, and on the other different periods of prescription are applicable in respect of the various organs of state.

This state of affairs creates uncertainty that is further aggravated by the uncertainty around the constitutionality of each different provision. In this regard, it should be noted that the Constitutional Court has already declared some of these provisions to be constitutionally invalid. Furthermore, the periods of prescription provided for in some of the laws are inconsistent with the periods of prescription prescribed by the Prescription Act of 1969, which is the cornerstone of the laws regulating the extinction of debts by prescription.

Consequently, there is a need to harmonise and create uniformity in respect of the provisions of existing laws that provide for, firstly, different notice periods and, secondly, different periods of prescription. This Bill, therefore, seeks to achieve this object. This it does, in the first instance, by substituting the different notice periods with a uniform notice period of six months that will apply in respect of the institution of legal proceedings for the recovery of debt against most organs of state. Secondly, the three-year period of prescription provided for in Chapter 3 of the Prescription Act is made applicable to all debts. These issues are dealt with in clauses 2 and 3 of the Bill.

Clause 2 further provides for transitional arrangements to ensure smooth transition between the various existing statutory provisions regulating notice and prescription periods, and the provisions of this Bill.

Clause 4 regulates the manner in which and the persons on whom notices must be served. It further sets out certain requirements to be complied with by a creditor, if the notice is being sent by electronic mail or transmitted by a facsimile.

In terms of clause 5, no process by which legal proceedings are instituted in terms of this Bill may be served before the expiry of a period of 30 days after the notice has been served on the organ of state. However, if such a notice has been served before the expiry period, clause 5 further provides that it must be regarded as having been served on the first day after the expiry of the said period.

This is an incredibly technical piece of legislation. I am trying to make it more fun than it really is. [Interjections.]

I am aware of the fact that the necessity and desirability of statutory provisions of the kind contained in the Bill have been questioned in some quarters. Over the years some of our courts have criticised requirements that are provided for in this legislation. The main point of criticism was that such requirements undoubtedly hamper the ordinary rights of an aggrieved person to seek the assistance of the courts.

Other arguments could also be raised against the Bill. For example, organs of state are not the only defendants that have extensive activities and a fluctuating workforce. Large companies experience the same problems but do not enjoy special protection. Another argument could be that although it is in the public interest that public funds should not be wasted, it is also in the public interest that well-founded claims should not fail as a result of strict procedural requirements.

Although these arguments may be valid, I am of the opinion that the Bill allows sufficient flexibility to an Act to enable a court to ensure that potential litigants will be able to institute legal proceedings even if they have not complied with all the procedural requirements of the Bill. In this regard it is important to note that clause 3 empowers a court, upon application by a creditor and if certain requirements are met, to condone such creditor’s failure to comply with the notice requirements provided for in the Bill.

I also respectfully agree with the Constitutional Court’s remarks in the Mohlomi case, namely:

Rules that limit the time during which litigation may be launched, such as the provisions in this Bill, serve a purpose to which no exception and principle can cogently be taken.

In conclusion, I would like to make use of this opportunity to extend my sincere appreciation to the Chairperson of the Select Committee on Security and Constitutional Affairs, the hon Kgoshi Mokoena, and the members of the committee for the hard work they have put into the consideration of this Bill. I might say that they are setting standards that we have all learnt to expect by now. I congratulate them. [Interjections.]

I have noted the amendments to the Bill that are proposed in the Select Committee’s report on the Bill, and I am convinced that those amendments will contribute to making this already complicated and technical piece of legislation more understandable.

Just before I close, I would also like to thank the officials in the department who have worked on this Bill. They also have set standards which Parliament and people in our department have come to expect. I thank them for their input in this process and for their support of the committee. [Applause.] Kgoshi M L MOKOENA: Chairperson, on behalf of the select committee we are humbled by the accolades by the Deputy Minister.

This debate indicates the seriousness that this Government affords to the issue of time limits for the institution of legal proceedings against the state. We have only recently emerged from an era where the existing laws provided for different notice periods for the institution of legal proceedings against certain organs of state for the recovery of certain debts. The Bill proposes to create uniformity in respect of these different notice periods, so as to harmonise these laws as contemplated in Chapter 3 of the Prescription Act, Act 6 of 1969.

One of the most important features of this Bill is the wide definition of debt. Debt is defined in this Bill as arising from any unlawful acts or omissions for which organs of state are liable for payment or damages, including any delict or liability without fault in terms of statutory provisions. Fault, in turn, will not include debts arising from any breach of contract. The Bill also defines the concept organ of state as being all the national and provincial departments, municipalities, functionaries or institutions exercising a power or performing a function in terms of the Constitution, or a provincial constitution, and any person for whose debt such an organ of state is liable.

As the hon the Deputy Minister rightly said, clause 2 of this Bill provides for the prescription of certain debts. This has been proposed so as to create uniformity. Various provisions which regulate the institution of legal proceedings against organs of state, by prescribing specific periods within which claims are to be made or actions are to be instituted in respect of debts and the prescription of such debts, are amended or repealed.

The Bill also provides that these provisions will not apply to any debt which has been extinguished by prescription before the date of commencement of the Bill or any debt in respect of which any legal proceedings were instituted before the date of commencement. This means that the Bill will not have a retrospective effect on all claims which have prescribed and on all claims which have already been instituted on the commencement date of this Bill.

The alteration of these notice periods was effected by our Constitution. Although notice periods are required, the Constitutional Court declared that short notice periods were not constitutional, as they have adverse effects on claimants. The effect of these amendments would indicate the extension of individual rights. For instance, if a person had been shot by a police official six months before the Prescription Act came into operation and legal proceedings had not yet been instituted, a three-year prescription period would apply from the date of coming into operation of the Act.

This will mean that, in accordance with transitional arrangements, one would deduct six months from three years and that would leave that person with two years and six months prescription time. Very interesting. In order to enable the creditor, in the case of an old debt, to comply with the notice period provided for in the Bill, provision is made that where the unexpired portion of the period of prescription of such a debt will be completed within twelve months after the fixed date, that period of prescription must be regarded as not having been completed before twelve months have elapsed after that date. Very interesting too. This committee applied its mind until we arrived at this conclusion.

Clause 3 of the Bill, as has been mentioned by my wonderful Deputy Minister, imposes a duty on a creditor to give an organ of state written notice of his, her or its intention to institute legal proceedings for the recovery of a debt against that organ of state, unless the organ of state in question consents in writing to the institution of legal proceedings without such notice. This notice must be served to such an organ of state within six months after the debt becomes due.

The Bill also provides that the creditor may apply to the courts for condonation of his, her or its failure to give notice and that the court may grant condonation if it is satisfied that the debt in question has not been extinguished by prescription, that good cause exists for the failure by the creditor to give notice and that the organ of state was not unreasonably prejudiced by such failure.

In conclusion, the legal proceedings Bill will ensure that the different prescription periods are all dealt with by one Act. There will be a common standard, which is a three-year prescription period. The Bill provides for one notice period for all debts.

We consulted widely, the discussion in the committee was vigorous, many questions were asked and it was pleasing to note that, after all the interaction, all parties in the committee said: ``Let us support the Bill.’’ [Applause.]

Mnr P A MATTHEE: Mnr die Voorsitter, wanneer die Voorsitter van die Portefeuljekomittee oor Justisie en Staatkundige Ontwikkeling, Adv Johnny de Lange, sê dat LPs sê hierdie Wetsontwerp op die Instel van Regsgedinge teen Staatsorgane is verreweg die mees ingewikkelde wetsontwerp van oor die 100 wetsontwerpe wat oor die afgelope agt jaar deur daardie komitee goedgekeur is, kan agb lede aanvaar dat dit inderdaad ingewikkeld is.

Adv Labuschagne van die Departement van Justisie het ook aangevoer dat die tegniese aard en kompleksiteit van hierdie wetsontwerp die finalisering daarvan in die wiele gery het. Nadat die wetsontwerp op 28 September 2000 reeds deur die Nasionale Vergadering goedgekeur is, het dit onder die aandag van daardie komitee gekom dat Wet No 94 van 1970 ten opsigte van die beperking van regsgedinge teen provinsiale en plaaslike owerhede na die Konstitusionele Hof verwys is. Daar is toe wyslik besluit om eers te wag met die verwysing van hierdie wetsontwerp na hierdie Raad.

Die Konstitusionele Hof het toe op 4 Julie verlede jaar uitspraak gegee in die saak van Mooizee versus Greater Germiston Transitional Local Council en die Hof het bevind dat artikel 21(a) van daardie Wet No 94 van 1970, wat eisers verplig om skriftelik kennis te gee binne 90 dae vanaf die datum van die eisoorsaak, inderdaad onkonstitusioneel is. Na aanleiding van hierdie uitspraak, en in ‘n poging om die wetsontwerp te vereenvoudig en makliker verstaanbaar te maak, is daar toe verskeie breedvoerige wysigings aanbeveel wat na die Gekose Komitee oor Sekuriteit en Staatkundige Ontwikkeling verwys is. Nadat ons in hierdie komitee onder voorsitterskap van die vorige spreker hierdie voorstelle oorweeg het, het ons dit vervat in ons verslag waarin ons aanbeveel dat die Nasionale Vergadering hierdie wysigings wel aanvaar.

Hierdie voorgestelde wysigings is sekerlik van die mees omvattende wat hierdie Raad nog voorgestel het vir enige artikel 75-wetgewing wat deur die Nasionale Vergadering na ons verwys is. Dit onderstreep die uiters belangrike konstitusionele rol wat hierdie Raad ook speel ten opsigte van artikel 75-wetgewing. Die voorgestelde wysigings sal hierdie wetsontwerp aansienlik verbeter.

Die nuwe voorgestelde voorwoord tot die wetsontwerp sit duidelik uiteen wat die redes vir hierdie wetsontwerp is. Daar is ‘n dringende noodsaak om eenvormigheid daar te stel ten opsigte van die huidige verskillende bepalings aangaande die verjaring van aksies teen die staat en die verskillende tydperke vir die kennisgewing van sodanige aksies.

Die Adjunk-Minister en die voorsitter van ons komitee het reeds die verskillende bepalings van hierdie wetsontwerp uiteengesit en ek sal dit daarom nie herhaal nie. Alhoewel dit ‘n tegniese en gekompliseerde stuk wetgewing is, soos reeds aangetoon, is dit uiters belangrike wetgewing. Soos ons almal weet wat al as regspraktisyns gepraktiseer het, is die huidige verskillende tydperke van verjaring en kennisgewings ‘n nagmerrie vir regspraktisyns, baie waarvan al slagoffers daarvan was dat hulle nie een of ander spesifieke tydperk in ag geneem het nie. Dit was sekerlik die oorsaak van die meeste eise van professionele nalatigheid teen regspraktisyns.

Ek is net jammer dat, soos uit die voorwoord blyk, dit lyk asof daar steeds sekere wetgewing sal wees waar sekere kennisgewings vir verskillende tydperke behou sal word. Ek weet nie wat dit is nie, maar ek hoop ons slaag daarin om dit tot die uiterste minimum te beperk sodat ons op ‘n punt kan kom waar daar, ten opsigte van alle eise teen die staat of staatsorgane, absolute eenvormigheid sal wees.

Ek hoop en vertrou dat hierdie wetgewing meer sekerheid sal bring ten opsigte van hierdie aangeleentheid en dat dit ook sal bydra tot ‘n vermindering in die aantal eise vir professionele nalatigheid in hierdie verband teen ons regspraktisyns. Mag dit ook die lewe van ons praktiserende regsgeleerdes makliker maak, sodat minder van hulle in die nag in sweetangs moet wakkerskrik net om te onthou dat hulle een of ander tydperk nie nagekom het nie. [Applous.] (Translation of Afrikaans speech follows.)

[Mr P A MATTHEE: Mr Chairperson, when the Chairperson of the Portfolio Committee on Justice and Constitutional Development, Adv Johnny de Lange, states that MPs are saying that this Institution of Legal Proceedings against Organs of State Bill is by far the most complex of the more than 100 Bills that have been passed by that committee over the past eight years, then hon members can accept that it is indeed complex.

Adv Labuschagne of the Department of Justice has also argued that the technical nature and complexity of this Bill hindered its finalisation. After the Bill had already been agreed to by the National Assembly on 28 September 2000, it came to that committee’s attention that Act No 94 of 1970 in respect of the limitation on legal proceedings against provincial and local authorities had been referred to the Constitutional Court. It was then wisely decided to wait before referring the Bill to this Council.

On 4 July of last year the Constitutional Court then gave a ruling in the case of Mooizee v Greater Germiston Transitional Local Council, with the Court finding that section 21(a) of Act No 94 of 1970, which compels claimants to give written notice within 90 days from the date of the cause of the claim, was indeed unconstitutional. In consequence of this finding, and in an attempt to simplify the Bill and make it easier to understand, various extensive amendments were then recommended which were referred to the Select Committee on Security and Constitutional Development. After we had considered these proposals in this committee under the chairmanship of the previous speaker, we then included this in our report in which we recommend that the National Assembly accept these amendments.

These proposed amendments must surely be among the most comprehensive ones ever proposed by this Council regarding any section 75 legislation which the National Assembly had referred to us. This emphasises the extremely important constitutional role that is also played by this Council in respect of section 75 legislation. The proposed amendments will greatly improve this Bill.

The newly proposed preface to the Bill clearly sets out the reasons for this Bill. There is an urgent need to establish uniformity in respect of the currently differing provisions regarding the prescription of actions against the state and the differing periods for the notification of such actions.

The Deputy Minister and the chairperson of our committee have already given an explanation as regards the various provisions of this Bill and I will therefore not repeat that. Although it is a technical and complex piece of legislation, as has already been pointed out, it is extremely important legislation. As all of us who have practised as legal practitioners know, the present differing periods for prescription and notifications are a nightmare for legal practitioners, many of whom have already fallen victim to not having taken some or other specific period into consideration. That was certainly the cause of the majority of claims for professional negligence against legal practitioners.

I am just sorry that, as is clear from the preface, it would appear that certain legislation will remain in which certain notifications for different periods will be retained. I have no idea what it is, but I hope we succeed in restricting it to the absolute minimum, so that we may reach a point where, in respect of all claims against the state or organs of state, there will be absolute uniformity.

I hope and trust that this legislation will bring more certainty in respect of this matter and that it will also contribute to a decline in the number of claims of professional negligence in this regard against our legal practitioners. May it also make life easier for our practising legal practitioners, so that fewer of them have to wake up with a start at night, in a cold sweat because they have just remembered that they have not complied with some or other period. [Applause.]]

Mr B J MKHALIPHI: Chairperson, our Constitution devotes an entire chapter to public administration, that is Chapter 10. That is what is expected of a constitutional democracy, but we go a step further in order to enhance our checks and balances on matters of governance by putting forward this piece of legislation correctly before the sceptics would claim and scream: ``Justice delayed is justice denied.’’

The ANC is the leading force for transformation of organs of state in our country. We believe that the transformation of state organs is an all- encompassing process. It involves not only transformation in terms of representivity, but also transformation in terms of the way in which organs of state operate. In our view organs of state are really servants of the people and must conduct their business in a way that shows respect and dignity for our people.

We also understand that the strict limitations placed on the institution of legal proceedings against organs of state cannot really be looked at in isolation from our political history, in which the principles of accountability and transparency of state institutions were deliberately ignored to make it possible and easier for the apartheid government, through its many state organs, to implement its unjust policies. It was clearly an attempt to limit the opportunity for victims of racist and discriminatory policies to challenge the unjust practices by state organs. These limitations are incompatible with our new democracy, in which respect for human dignity, accountability and transparency of state organs are fundamental principles of governance, as stipulated in the Bill of Rights.

The Institution of Legal Proceedings against Organs of State Bill is another weapon in our attempt to fundamentally transform the social relations between Government and the governed. Its main objective is to streamline all provisions in existing laws that deal with different notice periods for the institution of legal proceedings against organs of state in respect of certain debts, by replacing it with a single notice period that will be applicable to all organs of state.

Currently we sit with a situation in which different notice periods are required for the institution of legal proceedings against different organs of state. Many of these periods are very short and this in itself may create serious difficulties for both a person and the state.

The short notice period does not give people who may have legitimate claims against organs of state enough time to institute proceedings. This may be inconsistent with the constitutional right which section 34 of the Constitution bestows on everyone to have his or her justifiable disputes settled by a court of law.

Even where a person is successful in complying with the notice period, the organ of state on the other hand may not be given sufficient time to investigate the complaint. With their extensive activities and large staff which tends to shift, the organs of state need the opportunity to investigate claims in order to consider them responsibly and to decide, before going into litigation, whether these claims are justifiable or not. Apart from this, there is another compelling reason why this Bill has become necessary. The numerous provisions which lay down different requirements in different Acts create uncertainty. This is aggravated by the question of the constitutionality of the different provisions.

The South African Law Commission in a 1998 report identified a number of provisions which limited the institution of action against Government institutions or persons for whose actions Government institutions were liable in law. This Bill is therefore an attempt to rectify this situation.

This Bill also gives the court having jurisdiction the power to condone failure to comply with the notice requirement if sound reasons existed for such a failure. This is a particularly important provision. Many of our people are illiterate and therefore do not know they may have legitimate claims against organs of state, which need to be instituted within a certain time period.

The most important aspect of this Bill is the fact that it creates a fair balance between the rights of ordinary people to institute legal proceedings against organs of state and the need to protect organs of state against unnecessary legal action. We therefore support the Bill. [Applause.]

Mr L G LEVER: Chairperson, there is a distinct disadvantage in speaking so far down the list when debating a Bill of this nature and I am going to cut out all of the technical issues that have already been referred to from my speech. If I miss one or two, please bear with me.

Historically the state and most of its organs enjoyed the benefits of certain time bars and shortened periods of prescription which placed the state and those various organs of state in a more favourable position than the ordinary citizen. More significantly, it restricted the ordinary citizen’s rights to have access to the courts when he or she had a dispute with the state or its organs.

These laws relating to time bars and prescription were not always uniform and were found in a myriad of different Acts, such as those relating to the SA Police Service and provincial and local governments. Many legal practitioners had difficulty in keeping track of the different time bars and periods of prescription. One could not reasonably expect a lay person to know how to secure and enforce his or her rights in those circumstances.

The problem was investigated by the Law Commission and their research and proposal was one of the prime motivating factors in the development of the present Bill. After the Bill was passed by the relevant portfolio committee in the National Assembly, a case was referred to the Constitutional Court to confirm the court of first instance’s finding that the provisions of certain sections of the Limitations and Legal Proceedings (Provincial and Local Authorities) Act, Act 94 of 1970, were unconstitutional. Here I refer to the case of Mooizee vs Greater Germiston Transitional Local Council.

In short, the Constitutional Court confirmed that the relevant notice period in favour of the local authority was unconstitutional. Once this case had been referred to the Constitutional Court, the select committee suspended the processing of the Bill to await the ruling of the Constitutional Court, the motivation for this being that we wanted to have sight of the Constitutional Court’s ruling to obtain the benefit of any guidance such judgement might give us. This Bill makes time bars and periods of prescription uniform for all organs of state. It extends the period in which notice must be given to the relevant organ of state from 90 days to six months. The need to give organs of state notice of the contemplated claim was re-examined and confirmed by the Constitutional Court in the Mooizee case. This notice period was found to be necessary in order to enable the organ of state to investigate the matter while the evidence relevant to the matter was still available.

The court may even condone noncompliance with the need to give notice in appropriate circumstances. The committee considered whether the application of this Bill should be retrospective to the changeover in 1994 to the new constitutional order. The committee felt that making this Bill retrospective would create an untenable situation in relation to the state’s liability and the legal uncertainty of making the Act retrospective was unacceptable.

The select committee has proposed certain amendments which will be referred back to the National Assembly. This Bill sets up an equitable and constitutional relationship between the individual and the state and for these reasons the DP supports this Bill. The DEPUTY CHAIRPERSON OF THE NCOP (Mr M L Mushwana): Order! I have heard the request from Mr Bhengu that his name be removed from the speakers’ list. I now call upon the hon P D N Maloyi.

Mr P D N MALOYI: Chairperson, last night I had a very long discussion with the Chairperson of the Select Committee. I requested him to increase the time allocated to me because I felt that six minutes was very little. But he could not agree with me. Now I will request hon members, particularly the hon Setona, not to be bored and sleepy, but just to listen to my long speech. [Laughter.]

In summarising what the other members have said earlier - as I am trying to stick to six minutes - the Bill seeks to harmonise and create uniformity in respect of the provisions of existing laws which provide for different notice periods for the institution of legal proceedings against certain organs of state for the recovery of certain debts.

I do not want to spoil what the hon the Deputy Minister is going to say. I think, at this point, I should say that the ANC supports this Bill. [Laughter.] The DEPUTY CHAIRPERSON OF THE NCOP (Mr M L Mushwana): Order! Maybe the hon Mr Lever was right in expressing his predicament. [Laughter.]

The DEPUTY MINISTER FOR JUSTICE AND CONSTITUTIONAL DEVELOPMENT: Chairperson, I would like to thank everybody for their inputs, as well as those who chose to remain silent. It is a master of debate and conversation who knows when not to speak, and the members have mastered it. I would like to say that there seems to be general support for this Bill. It has been a long time coming, but there have been very good reasons for the wait.

The amendments that have been made, as pointed out, will in due course be referred back to the National Assembly and we will await their response. I can only believe that it will be a positive response. I am in fact sure, as I know the way members work, that they have probably liaised with their colleagues in any event.

I would like to thank the Council for the time, the debate and the support of this Bill. [Applause.]

Debate concluded. Bill, subject to proposed amendments, agreed to in accordance with section 75 of the Constitution.

CONSIDERATION OF REPORT OF SELECT COMMITTEE ON LAND AND ENVIRONMENTAL
                    AFFAIRS - NAIROBI CONVENTION

Rev M CHABAKU: Hon Deputy Chairperson and hon members of this esteemed Council. I beg your leave to make this humble presentation. The East African region covers four coastal countries along the East African coast, namely Kenya, Mozambique, Tanzania and Somalia, one large island which is also Madagascar, and three smaller island states, which are the Comoros, Mauritius and the Seychelles, and of course the territories of France in the South West Indian Ocean, Réunion.

The region’s people are dependent to a significant degree on coastal resources. As far back as 1981, a UNEP fact-finding mission to East Africa identified large-scale erosion, oil pollution, damaged coral reefs, pollution from fertilisers, and threats to precious marine animals as major environmental problems in the region. Since then the list of threats to the marine and coastal environment of the East African region has changed a little. A workshop in 1997 confirmed that domestic sewage, solid domestic waste, habitat degradation, agrochemical pollution and industrial waste pollution posed great threats to the region. This area is particularly vulnerable to oil pollution owing to the heavy use of the tanker route along the East African coast. On any given day, there are hundreds of tankers in this region. In recent decades, the growth of industry has also brought about an increasing volume of effluents into coastal waters in the area.

The use of agricultural chemicals has continued to grow, and sewage treatment continues to be inadequate in many parts of this region. As a consequence of this, rivers, creeks and the sea have become dumping sites for industrial waste. Linked to industrialisation, the East African region is also undergoing an extraordinary rate of urbanisation. As the cities have become overcrowded, water supplies have proved to be insufficient, and systems for drainage, sewerage and refuse disposal are also inadequate.

Domestic sewage is discharged directly into the rivers, and in some cases even into the sea. Some species of marine animals are already endangered, as a result of these human activities. Some people may say: ``So what? Why should we be bothered about the degradation of the marine and coastal environment of these countries?’’ The fact of the matter is that neither marine pollution nor marine resources respect geographical or political boundaries. Pollution or the depletion of marine resources in our neighbouring states will have implications for us.

In the same way the pollution and depletion of our own marine resources will have serious implications for people living in the East African coastal region, many of whom are dependent on marine resources for their survival. It is therefore in our interest to work actively and co- operatively with other countries in the region to ensure the sustainable use of marine and coastal resources.

This convention is an ideal vehicle through which we as South Africans can harmonise our own marine and coastal policies, strategies and standards with our East African neighbouring states, to ensure such sustainable use. In the days and times of today, we have to rise up to work together, with our brothers, sisters and children of the continent of our motherland Africa.

The East African region has been neglected. Now is the time to put life in our protocols, namely the Nairobi Convention. If I may borrow the Kenyan word ``Harambee’’, which means working together, I therefore appeal for harambee! Harambee! [Applause.]

Debate concluded.

Question put: That the Report be adopted.

The DEPUTY CHAIRPERSON OF THE NCOP (Mr M L Mushwana): Thank you, hon members. I know we will always experience a few mistakes. This time I wanted only delegation heads to vote. Fortunately all nine delegation heads voted in favour, but Mr Conroy, Mr Nel, and Mr Raju also voted. [Laughter.] Those votes will not be counted.

IN FAVOUR OF: Eastern Cape, Free State, Gauteng, Kwazulu-Natal, Mpumalanga, Northern Cape, Northern Province, North West, Western Cape.

Report accordingly adopted in accordance with section 65 of the Constitution.

CONSIDERATION OF REPORT OF SELECT COMMITTEE ON LAND AND ENVIRONMENTAL
                    AFFAIRS - ABIDJAN CONVENTION

Rev P MOATSHE: Chairperson and hon members, I want to read a statement on the Convention for Cooperation in the Protection and Development of the Marine and Coastal Environment of the West and Central African Regions. Much of what has been said with regard to the Nairobi Convention is also true for the Abidjan Convention which seeks to establish co-operation in the protection and development of the West and Central African coastal region.

The Regional Seas Programme for West and Central Africa, was drafted in the early 1980s. The action plan and the Abidjan Convention were adopted by the governments in 1981. The convention entered into force in 1984 and soon projects on contingency planning, pollution, coastal erosion, environmental impact assessment, environmental legislation and marine mammals got under way. A number of difficulties, including competing priorities and lack of resources, resulted in slow progress from 1985 to 1999.

In recent decades, coastal eco-systems have suffered greatly from rapid development, improper use of resources and extensive pollution. Erosion and floods are already particular problems. This is likely to exacerbate climate change. But, today the Abidjan convention is back on track holding regular meetings and implementing its planned activities.

South Africa has much to offer in terms of technical knowledge around sustainable use of coastal areas. Over the past seven years, we have implemented a number of policies and laws aimed at ensuring more effective and efficient management of the coastal and marine eco-systems and all the other natural resources in the country. This knowledge can greatly assist our brothers and sisters in the West and Central African coastal region in their endeavours to promote much-needed social and economic development while preserving their natural habitat.

This Convention provides an ideal vehicle through which such technical co- operation can be achieved. I believe that this offers an achievable and practical solution through which we as Africans can preserve our oceans, which are our common heritage. I urge members to give the Convention their endorsement.

Debate concluded.

Question put: That the Report be adopted.

IN FAVOUR OF: Eastern Cape, Free State, Gauteng, Kwazulu-Natal, Mpumalanga, Northern Cape, Northern Province, North West, Western Cape.

Report accordingly adopted in accordance with section 65 of the Constitution.

CONSIDERATION OF REPORT OF SELECT COMMITTEE ON SOCIAL SERVICES - OPTIONAL PROTOCOL TO CONVENTION ON RIGHTS OF CHILD ON SALE OF CHILDREN, CHILD PROSTITUTION AND CHILD PORNOGRAPHY

Ms E C GOUWS: Mr Chairperson, hon members, only recently and only in certain countries and cultures has the abuse of children come to be seen as a major social problem and a main cause of suffering and personal problems for many people.

Children have been abused throughout human history, but for the first time we are beginning to face the true prevalence and significance of child abuse. Whilst I was sitting at Port Elizabeth airport yesterday, I opened the daily newspaper. The very first headline I saw informed readers that two children were raped near King William’s Town. An eight-year-old girl was raped by a fourteen-year-old youngster, and a six-year-old boy was raped by a 51-year-old man. How disgusting! How low can our moral standards drop or let me rather say: How cruel can society be?

The statistics on physical and sexual child abuse in South Africa are alarming. It is estimated that hundreds of thousands of children are physically and sexually abused each year by a parent, a close friend or a relative. Many die. For those who survive the emotional trauma remains long after the external bruises have healed. The emotional hidden bruises of child abuse can be treated. Early recognition is important to minimise the long-term effect of physical abuse.

Often the severe emotional damage to abused children does not emerge until adolescence or later when many abused children become parents. An adult, who was abused as a child, often has trouble establishing intimate personal relationships. Without proper treatment physically abused children can be damaged for life.

I want to state that there is concrete evidence to confirm a strong link between the possession of child pornography and sexual abuse. In fact, 87% of perpetrators emulated pornographic scenes when raping their victims. The optional protocol to the convention on the rights of children seeks to prevent child pornography, which means any representation by whatever means of a child engaged in real or simulated explicit sexual activities or the representation of the sexual parts of a child. This has become a matter of urgency. I would say that it is long overdue in these days of the growing availability of child pornography on the Internet and other evolving technologies.

The above-mentioned protocol also discusses child prostitution, which is the use of a child in sexual activities for remuneration. There are a number of particularly vulnerable groups, including girl children who are at greater risk of sexual exploitation. Factors contributing to this evil are lack of education, gender discrimination, irresponsible adult sexual behaviour, armed conflict and trafficking in children.

We should all support the ratification of this optional protocol to the Convention on the Rights of the Child. South Africa needs this desperately. A strong legislative framework is required that has the child’s interests at heart and that would prevent the trauma and pain which children are subjected to.

All the examples mentioned are forms of child abuse, but in different ways. I really think there is an urgent need for a moral renewal of our society and a dire need to uplift women, and more especially children, so that they can be seen as equal human beings and not as possessions or containers for some sick person’s desires.

Let me say something about Rapcan, ie Resources Aimed at the Prevention of Child Abuse and Neglect, which strives to protect children’s rights. World Day for the Prevention of Child Abuse and Neglect on 19 November of every year commemorates the ratification by the United Nations in 1989 of the Convention on the Rights of the Child. Let us all go out and ask our communities and organisations to find ways in which to draw attention to the abuse and neglect experienced by South Africa children. This is a malicious cancer and a threat to our whole nation and our future. [Applause.]

Mrs T E MILLIN (KwaZulu-Natal): Chairperson, a lot of what I say will sound very similar to the previous speaker with regard to the report before us, on the Convention on the Rights of the Child on the Sale of Children, Child Prostitution and Child Pornography, all of which are encompassed by the generic term of child abuse, and which undoubtedly includes the widespread rape of children.

Clearly, the intentions of this set of international protocols are laudable and all reasonable states and their law-abiding citizens would wish to see such measures implemented and effectively used to combat the litany of vile wickedness that spreads like a gangrenous cancer worldwide, not least in our own beloved, yet blighted land against our future generations. These comprise so many, who through various forms of abuse have had what should have been happy carefree years of nurturing and child-like innocence, torn asunder and brutally stolen from them, all too often for the exploitation and financial gain of adults who are a disgrace to humankind.

Yes, of course we need to subscribe to protocols that would hopefully prevent the horrendous rape of a nine-month-old baby or a six-year old girl left for dead after a rapist tore her so badly that her intestines hung between her emaciated legs like a red cauliflower. Both these examples are well-documented, recent South African cases.

Of course, all these manifestations of child abuse and particularly pornography, which is arguable a logical progression from other forms of pornography for lust-obsessed monsters seeking yet more kicks to feed their filthy habits, should and must be abolished. However, given the track record of countless sessions, conventions, declarations and policy statements on the rights of children in this instance with little if any evidence of meaningful action, one can be forgiven for expressing a healthy dose of scepticism, or at least caution, at the prospect of yet another protocol.

The root cause of this terminal disease in society is that mankind has become just too clever for its own good. So much so that we have turned our collective backs on Almighty God, rejecting His eternal precepts and guidelines for our own pathetically puny ones, drifting on the shifting sands of secular relativism which rejects such ideals as discipline, striving for excellence, the sanctity of marriage between a man and a woman, raising children in a safe, secure and loving environment, to be replaced with anarchistic urgings and an obsession with rights, and this without much thought for responsibilities. The result - an overwhelming tidal wave of crime, gross violence and abuse of so many, particularly our young ones.

We see children dying in large numbers from starvation, within the borders of our country as referred to earlier by one of the motions. A country that can, nevertheless, afford to lavish hundreds of millions on UN-backed World Summits, not to mention billions on arms.

Should we really wonder why all this happens when we pass laws legalising such obscenities as abortion on demand, which involves unborn children being indiscriminately ripped from their mothers’ wombs, often by reluctant doctors and nurses deeply traumatised by having to perform such abominations according to man-made laws. Should we wonder that we have become so desensitised and dehumanised when we are engulfed by so much violent abuse? And yet, hope springs eternal and so one hopes that this protocol will not end up gathering dust in some forgotten archive. May I quote:

When the high and mighty gathered at the UN General Assembly’s special session, with the improbable acronym of Ungas, on children and produced a document entitled A world fit for children, setting targets for meeting their most pressing needs by 2012 and 2015, this session was hailed by some as an indication of the increased seriousness with which children’s rights were been taken by the UN.

Maybe they are - on paper.

But it is action and changed hearts alone that will turn the tide against the rottenness that eats of the core of mankind. The real work must be done by activists. If one has a compassionate mind and strong arms then one can use these papers as a weapon, but one has to have the strong will of a fighter. Documents cannot liberate child slaves. It is the efforts of activists and the risks that they will take that set a child free.

I gratefully acknowledge the Children First publication and its editor, Cosmos Desmond, for the above quote. [Applause.]

Mnr F ADAMS: Mev die Voorsitter en agb lede, ‘n uitgebreide internasionale stel wetlike rigsnoere oor die beskerming en welstand van kinders is eenparig by ‘n VN-kongres oor Kinderregte aanvaar. Die Suid-Afrikaanse Regering steun sedert 16 Junie 1995 die VN-kongres oor Kinderregte en het homself weer eens verbind tot die wetlike werktye wat op 15 Mei 2002 in werking gestel is. Derhalwe glo die Nuwe NP dat alles in die stryd gewerp moet word om elke kind teen mishandeling en uitbuiting te beskerm.

Belangrike aangeleenthede soos kinderprostitusie, pornografie en handel met kinders het tot dusver beslis nie die aandag gekry wat dit verdien nie. Daar is wêreldwyd ‘n aansienlike toename in die algemene skending van kinderregte. Dit is van die uiterste belang dat ‘n wye netwerk van lande deel vorm van hierdie poging om kinders te beskerm. (Translation of Afrikaans paragraphs follows.) [Mr F ADAMS: Madam Chairperson and hon members, a comprehensive international set of legal guidelines regarding the protection and welfare of children has been unanimously accepted by a UN Conference on the Rights of the Child. The South African Government has supported the UN Conference on the Rights of the Child since 16 June 1995 and has once again committed itself to the legal timeframes which became operative on 15 May 2002. For this reason the New NP believes that everything possible should be done to protect every child from abuse and exploitation.

Important matters such as child prostitution, pornography and child trafficking have thus far not received the attention they deserve. There is a considerable increase worldwide in the general violation of children’s rights. It is of the utmost importance that a wide network of countries form part of this effort to protect children.]

A wide variety of factors contribute to these practices, such as lack of education, urban-rural migration, gender discrimination, irresponsible adult sexual behaviour, harmful traditional practices, armed conflict and trafficking in children. Sexual abuse of children knows no boundaries of social class, race or gender. Conditions of abject poverty and social disintegration make children especially vulnerable to sexual abuse. With the moral breakdown of society, the most vulnerable in society thus fall victim to those people who have lost their moral bearing. Social factors such as overcrowding, unemployment, alcohol abuse and broken families contribute to the problem of child abuse.

Certain policies developed in partnership with civil society are not being effectively implemented. The New NP believes that there should be a stronger, worldwide call for the criminalisation of the production, distribution, exportation, intentional possession and advertising of child pornography …

An HON MEMBER: Yes!

Mr F ADAMS: … stressing the importance of closer co-operation and partnership between government and the Internet industry. In order to ensure that the protocol is a living document, each state shall, within two years following the coming into force of the present protocol for that state, submit a report to the Committee on the Rights of the Child, providing comprehensive information on the measures it has taken to implement the provisions of the protocol.

The New NP trusts that this protocol will really contribute to the implementation of those steps that will ensure a better life for all children, not only our South African children, but children all over the world. Children are our most valuable resource for the future of our country and we need to ensure that they are given the best care, attention, protection and love so as to ensure that the future of the country will be in the hands of responsible and caring adults. [Applause.]

Debate concluded.

Question put: That the Report be adopted.

IN FAVOUR OF: Eastern Cape, Free State, Gauteng, Kwazulu-Natal, Mpumalanga, Northern Cape, Northern Province, North West, Western Cape.

Report accordingly adopted in accordance with section 65 of the Constitution.

CONSIDERATION OF REPORT OF SELECT COMMITTEE ON SOCIAL SERVICES - PROTECTION AND ADOPTION OF CHILDREN CONVENTION

Ms E C GOUWS: Chairperson, the Select Committee on Social Services believes that the Convention on Protection of Children and Co-operation in respect of Inter-Country Adoption Office is a sufficient safeguard to ensure that the interests of the child in the case of inter-country adoption is taken into account. The committee has expressed concern at cases where a child is taken from South Africa and potentially abused in the receiving state by the adoptive parents, that we have no recourse to repatriate that child since adoptions are permanent.

To a certain extent our fears are allayed because of the efficient monitoring which, we believe, will be done between our country and the receiving state. We also trust that the receiving state will have stringent human rights legislation for the protection of the rights of children. The committee understands that this convention will help reduce the horrors of kidnapping and trafficking in children which has increased in the past few years in South Africa.

The Select Committee on Social Services therefore fully supports the ratification of the Convention on Protection of Children and Co-operation in respect of Inter-Country Adoption. [Applause.]

Debate concluded.

Question put: That the Report be adopted.

IN FAVOUR OF: Eastern Cape, Free State, Gauteng, KwaZulu-Natal, Mpumalanga, Northern Cape, Northern Province, North West, Western Cape.

Report accordingly adopted in accordance with section 65 of the Constitution.

The Council adjourned at 15:40. ____

            ANNOUNCEMENTS, TABLINGS AND COMMITTEE REPORTS

                      MONDAY, 9 SEPTEMBER 2002

ANNOUNCEMENTS: National Assembly and National Council of Provinces:

  1. The Speaker and the Chairperson:
 (1)     The  following  Bill  was  introduced  by  the   Minister   for
     Agriculture  and  Land  Affairs  in  the  National  Assembly  on  9
     September 2002 and referred to the Joint  Tagging  Mechanism  (JTM)
     for classification in terms of Joint Rule 160:


     (i)     Agricultural Debt Management Amendment Bill [B 45  -  2002]
          (National Assembly - sec 75) [Explanatory summary of Bill  and
          prior notice  of  its  introduction  published  in  Government
          Gazette No 23798 of 6 September 2002.]


     The  Bill  has  been  referred  to  the  Portfolio   Committee   on
     Agriculture and Land Affairs of the National Assembly.


     In terms of Joint Rule 154 written views on the  classification  of
     the Bill may be submitted to  the  Joint  Tagging  Mechanism  (JTM)
     within three parliamentary working days.
 (2)    The following Bill was introduced by the  Minister  for  Justice
     and Constitutional  Development  in  the  National  Assembly  on  9
     September 2002 and referred to the Joint  Tagging  Mechanism  (JTM)
     for classification in terms of Joint Rule 160:


     (i)     Promotion of Administrative Justice Amendment Bill [B 46  -
          2002] (National Assembly - sec 75) (official translation  into
          isiXhosa: UMthetho oYilwayo oLungisayo  weNkuthazo  yokuPhatha
          ngoBulungisa). [Explanatory summary of Bill and  prior  notice
          of its introduction published in Government Gazette  No  23807
          of 30 August 2002.]


     The Bill has been referred to the Portfolio  Committee  on  Justice
     and Constitutional Development of the National Assembly.


     In terms of Joint Rule 154 written views on the  classification  of
     the Bill may be submitted to  the  Joint  Tagging  Mechanism  (JTM)
     within three parliamentary working days.

National Council of Provinces:

  1. The Chairperson:
 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
     Security and Constitutional Affairs:


     (a)     Government Notice No 762 published  in  Government  Gazette
          No 23477 dated 30 May 2002, Statement of the National Revenue,
          Expenditure and Borrowing as at 30 April  2002,  in  terms  of
          section 32 of the Public Finance Management Act, 1999 (Act  No
          1 of 1999).


     (b)     Government Notice No 898 published  in  Government  Gazette
          No 23580  dated  28  June  2002,  Statement  of  the  National
          Revenue, Expenditure and Borrowing as at 31 May 2002, in terms
          of section 32 of the Public Finance Management Act, 1999  (Act
          No 1 of 1999).


 (2)    The following paper is  referred  to  the  Select  Committee  on
     Finance:
     Annual Report and Financial Statements of the Financial and  Fiscal
     Commission for 2001-2002, including  the  Report  of  the  Auditor-
     General on the Financial Statements for 2001-2002 [RP 132-2002].


 (3)    The following papers are referred to  the  Select  Committee  on
     Labour and Public Enterprises:


     (a)     Annual Report and Financial Statements  of  the  Department
          of Labour for 2001-2002, including the Report of the  Auditor-
          General on the Financial Statements  for  2001-2002  [RP  116-
          2002].


     (b)     Annual  Report  and  Financial  Statements  of  the  Media,
          Advertising,  Publishing,  Printing   and   Packaging   Sector
          Education and Training Authority for 2001-2002, including  the
          Report of the Auditor-General on the Financial Statements  for
          2001-2002 [RP 105-2002].


     (c)     Annual Report and Financial Statements  of  the  Government
          Communication and Information System - Vote  No  7  for  2001-
          2002, including the  Report  of  the  Auditor-General  on  the
          Financial Statements for 2001-2002 [RP 140-2002].


     (d)     Annual Report and Financial Statements of  the  Information
          Systems,  Electronics  and   Telecommunications   Technologies
          Sector  Education  and  Training  Authority   for   2001-2002,
          including the Report of the Auditor-General on  the  Financial
          Statements for 2001-2002.


 (3)    The following papers are referred to  the  Select  Committee  on
     Labour and Public Enterprises and to the Select Committee  on  Land
     and Environmental Affairs:


     (a)     Annual  Report  and  Financial  Statements  of  the  Forest
          Industries Education and  Training  Authority  for  2001-2002,
          including the Report of the Auditor-General on  the  Financial
          Statements for 2001-2002 [RP 100-2002].


     (b)     Annual Report  and  Financial  Statements  of  the  Primary
          Agriculture Education and Training  Authority  for  2001-2002,
          including the Report of the Auditor-General on  the  Financial
          Statements for 2001-2002 [RP 109-2002].


     (c)     Annual Report and Financial  Statements  of  the  Secondary
          Agriculture Sector Education and Training Authority for  2001-
          2002, including the  Report  of  the  Auditor-General  on  the
          Financial Statements for 2001-2002 [RP 111-2002].


     (d)     Annual Report and  Financial  Statements  of  the  Tourism,
          Hospitality and Sport Sector Education and Training  Authority
          for 2001-2002, including the Report of the Auditor-General  on
          the Financial Statements for 2001-2002.


 (4)    The following papers are referred to  the  Select  Committee  on
     Labour and Public  Enterprises  and  to  the  Select  Committee  on
     Finance:
     (a)     Annual Report and Financial  Statements  of  the  Insurance
          Sector  Education  and  Training  Authority   for   2001-2002,
          including the Report of the Auditor-General on  the  Financial
          Statements for 2001-2002 [RP 103-2002].


     (b)     Annual Report and Financial  Statements  of  the  Financial
          and  Accounting  Services  Sector   Education   and   Training
          Authority for 2001-2002, including the Report of the  Auditor-
          General on the Financial Statements  for  2001-2002  [RP  138-
          2002].


 (5)    The following papers are referred to  the  Select  Committee  on
     Labour and Public  Enterprises  and  to  the  Select  Committee  on
     Economic and Foreign Affairs:


     (a)     Annual Report and Financial  Statements  of  the  Clothing,
          Textile, Footwear and Leather Sector  Education  and  Training
          Authority for 2001-2002, including the Report of the  Auditor-
          General on the Financial Statements  for  2001-2002  [RP  112-
          2002].
     (b)     Annual Report and  Financial  Statements  of  the  Chemical
          Industries Education and  Training  Authority  for  2001-2002,
          including the Report of the Auditor-General on  the  Financial
          Statements for 2001-2002 [RP 93-2002].


     (c)     Annual Report and Financial  Statements  of  the  Food  and
          Beverages Sector Education and Training  Authority  for  2001-
          2002, including the  Report  of  the  Auditor-General  on  the
          Financial Statements for 2001-2002 [RP 99-2002].


     (d)     Annual Report and Financial  Statements  of  the  Wholesale
          and Retail Services Sector Education  and  Training  Authority
          for 2001-2002, including the Report of the Auditor-General  on
          the Financial Statements for 2001-2002 [RP 115-2002].


     (e)       Annual   Report   and   Financial   Statements   of   the
          Manufacturing, Engineering and Related Services Education  and
          Training Authority for 2001-2002, including the Report of  the
          Auditor-General on the Financial Statements for 2001-2002.
     (f)     Annual  Report  and  Financial  Statements  of  the  Mining
          Qualifications Authority for 2001-2002, including  the  Report
          of the Auditor-General on the Financial Statements  for  2001-
          2002.


 (6)    The following papers are referred to  the  Select  Committee  on
     Labour and Public  Enterprises  and  to  the  Select  Committee  on
     Public Services:


     (a)     Annual Report and Financial  Statements  of  the  Transport
          Sector  Education  and  Training  Authority   for   2001-2002,
          including the Report of the Auditor-General on  the  Financial
          Statements for 2001-2002 [RP 114-2002].


     (b)     Annual Report and Financial Statements of the  Construction
          Education and Training Authority for 2001-2002, including  the
          Report of the Auditor-General on the Financial Statements  for
          2001-2002 [RP 136-2002].


 (7)    The following paper is  referred  to  the  Select  Committee  on
     Labour and Public  Enterprises  and  to  the  Select  Committee  on
     Education and Recreation:
     Annual Report and Financial Statements of the  Education,  Training
     and Development Practices Sector Education and  Training  Authority
     for 2001-2002, including the Report of the Auditor-General  on  the
     Financial Statements for 2001-2002 [RP 134-2002].


 (8)    The following paper is  referred  to  the  Select  Committee  on
     Labour and Public Enterprises, the  Select  Committee  on  Economic
     and Foreign Affairs  and  the  Select  Committee  on  Security  and
     Constitutional Affairs:


     Annual  Report  and  Financial   Statements   of   the   Diplomacy,
     Intelligence, Defence  and  Trade  Sector  Education  and  Training
     Authority for 2001-2002,  including  the  Report  of  the  Auditor-
     General on the Financial Statements for 2001-2002.


 (9)    The following paper is  referred  to  the  Select  Committee  on
     Public Services:


     Annual Report and Financial Statements of the  South  African  Rail
     Commuter Corporation for 2001-2002, including  the  Report  of  the
     Auditor-General on the Financial Statements for 2001-2002 [RP  151-
     2002].


 (10)   The following papers are referred to  the  Select  Committee  on
     Economic and Foreign Affairs:


     (a)     Annual Report and Financial Statements  of  the  Department
          of Minerals and Energy for 2001-2002, including the Report  of
          the Auditor-General on the Financial Statements for  2001-2002
          [RP 159-2002].


     (b)     Annual Report  and  Financial  Statements  of  the  Central
          Energy Fund for 2000-2001, including the Report of the Auditor-
          General on the Financial  Statements  for  2000-2001  [RP  30-
          2002].


     (c)     Annual Report and Financial Statements of the  Council  for
          Mineral  Technology  (MINTEK)  for  2001-2002,  including  the
          Report of the Auditor-General on the Financial Statements  for
          2001-2002 [RP 92-2002].


     (d)     Annual Report  and  Financial  Statements  of  the  Central
          Energy Fund for 2001-2002, including the Report of the Auditor-
          General on the Financial  Statements  for  2001-2002  [RP  98-
          2002].


     (e)     Annual Report and Financial Statements of the  Council  for
          Geoscience for 2001-2002, including the Report of the Auditor-
          General on the Financial Statements  for  2001-2002  [RP  128-
          2002].


     (f)     Annual Report and  Financial  Statements  of  the  National
          Electricity Regulator for 2001-2002, including the  Report  of
          the Auditor-General on the Financial Statements for 2001-2002.


 (11)   The following paper is  referred  to  the  Select  Committee  on
       Social Services:


       Annual  Report  and  Financial  Statements  of   the   Electoral
       Commission for 2001-2002, including the Report of  the  Auditor-
       General on the Financial Statements for 2001-2002 [RP 146-2002].
 (12)   The following papers are referred to  the  Select  Committee  on
       Education and Recreation:


     (a)     Report and Financial Statements of  the  Engelenburg  House
          Art Collection for 2001-2002,  including  the  Report  of  the
          Auditor-General on the Financial Statements for 2001-2002.


     (b)     Report and Financial Statements of the Freedom  Park  Trust
          for 2001-2002, including the Report of the Auditor-General  on
          the Financial Statements for 2001-2002 [RP 141-2002].


     (c)     Report and Financial Statements of  the  Natal  Museum  for
          2001-2002  and  the  Report  of  the  Auditor-General  on  the
          Financial Statements for 2001-2002.


     (d)     Report  and  Financial  Statements  of  the  South  African
          Heritage Resources Agency for 2001-2002, including the  Report
          of the Auditor-General on the Financial Statements  for  2001-
          2002 [RP 125-2002].


     (e)     Report and Financial Statements of the War  Museum  of  the
          Boer Republic for  2001-2002,  including  the  Report  of  the
          Auditor-General on the Financial Statements for 2001-2002.


     (f)     Report and Financial Statements of  the  Iziko  Museums  of
          Cape Town for 2001-2002, including the Report of the  Auditor-
          General on the Financial Statements for 2001-2002.


 (13)   The following paper is referred to the Select Committee on  Land
       and Environmental Affairs:


       Report and  Financial  Statements  of  the  Department  of  Land
       Affairs, including the Report  of  the  Auditor-General  on  the
       Financial Statements of the Department of Land Affairs - Vote 28
       for 2001-2002 and the  Report  of  the  Auditor-General  on  the
       registration of the Deeds Trading Account for 2001-2002 [RP 160-
       2002].


 (14)   The following paper is  referred  to  the  Select  Committee  on
       Education and Recreation:


       Report and  Financial  Statements  of  the  National  Zoological
       Gardens of South Africa for 2001-2002, including the  Report  of
       the Auditor-General on the Financial  Statements  for  2001-2002
       [RP 130-2002].


 (15)   The following paper is  referred  to  the  Select  Committee  on
       Finance:


       Report and Financial  Statements  of  the  Development  Bank  of
       Southern Africa Limited for 2001-2002.

TABLINGS:

National Assembly and National Council of Provinces:

Papers:

  1. The Minister of Arts, Culture, Science and Technology:
 (a)    Annual Report and Financial Statements of the State Theatre  for
     2001-2002.


 (b)    Annual Report and Financial  Statements  of  Business  and  Arts
     South Africa for 2001-2002. 2.    The Minister of Transport:


 Annual Report and Financial Statements of the  Airports  Company  South
 Africa Limited for 2001-2002.
  1. The Minister for Justice and Constitutional Development:
 Annual Report and Financial Statements of the Legal Aid Board for 2001-
 2002, including the Report of  the  Auditor-General  on  the  Financial
 Statements for 2001-2002 [RP 161-2002].

COMMITTEE REPORTS:

National Council of Provinces:

  1. Report of the Select Committee on Security and Constitutional Affairs on Organization of African Unity Convention for the Prevention and Combating of Terrorism, dated 9 September 2002:

    The Select Committee on Security and Constitutional Affairs, having considered the request for approval by Parliament of the Organization of African Unity Convention for the Prevention and Combating of Terrorism, referred to it, recommends that the Council, in terms of section 231(2) of the Constitution, approve the said Convention.

 Report to be considered.


                     TUESDAY, 10 SEPTEMBER 2002

TABLINGS:

National Assembly and National Council of Provinces:

Papers:

  1. The Minister of Finance:
 (a)    Report and Financial Statements of  the  South  African  Reserve
     Bank for 2001-2002.


 (b)    Annual Economic Report of the South  African  Reserve  Bank  for
     2002.


 (c)    The Address of the Governor of the South African Reserve Bank on
     27 August 2002.


 (d)    Resolutions of the Standing Committee  on  Public  Accounts  for
     2002 and replies thereto obtained by the National Treasury -  Third
     Report, 2002.
  1. The Minister of Public Enterprises:
 Annual Report and Financial Statements  of  the  Department  of  Public
 Enterprises for 2001-2002, including the Report of the  Auditor-General
 on the Financial Statements of the Department of Public  Enterprises  -
 Vote 8 for 2001-2002 [RP 158-2002].
  1. The Minister of Labour:
 (a)    Annual Report and Financial Statements  of  the  Commission  for
     Conciliation, Mediation and Arbitration  for  2001-2002,  including
     the Report of the Auditor-General on the Financial  Statements  for
     2001-2002 [RP 82-2002].


 (b)    Annual Report and Financial  Statements  of  the  Energy  Sector
     Education and Training Authority for 2001-2002 [RP 98-2002].


 (c)    Annual  Report  of  the  Public  Service  Sector  Education  and
     Training Authority for 2001-2002 [RP 110-2002].


 (d)    Annual Report of  the  Unemployment  Insurance  Fund  for  2001,
     including the  Report  of  the  Auditor-General  on  the  Financial
     Statements for the year ended 31 December 2001 [RP 117-2002].
  1. The Minister of Environmental Affairs and Tourism:
 (a)    Annual Report and Financial  Statements  of  the  Department  of
     Environmental Affairs and  Tourism  for  2001-2002,  including  the
     Report of the Auditor-General on the Financial Statements for 2001-
     2002.


 (b)    Protocol on the Development of Tourism in the  Southern  African
     Development Community, tabled in terms of  section  231(2)  of  the
     Constitution, 1996.


 (c)    Explanatory Memorandum to the Protocol.

                    WEDNESDAY, 11 SEPTEMBER 2002

TABLINGS:

National Assembly and National Council of Provinces:

Papers:

  1. The Minister of Communications:
 (a)    Annual Report and Financial  Statements  of  the  South  African
     Broadcasting Corporation (SABC) for 2001-2002.


 (b)    Annual  Report  and  Financial  Statements  of  the  Independent
     Communications Authority of South  Africa  (ICASA)  for  2001-2002,
     including the  Report  of  the  Auditor-General  on  the  Financial
     Statements for 2001-2002 [RP 120-2002].


 (c)     Annual  Report  and  Financial  Statements  of   the   National
     Electronic Media Institute of South Africa (NEMISA) for 2001-2002.

COMMITTEE REPORTS:

National Assembly and National Council of Provinces:

  1. Report of the Joint Standing Committee on Intelligence for 2001-02, dated 19 June 2002:
 STATEMENT OF  THE  CHAIRPERSON  OF  THE  JOINT  STANDING  COMMITTEE  ON
 INTELLIGENCE

PLEASE INSERT PP 1415 TO 1432 OF 11 SEPT 2002 ATCs

Report to be considered.

                     THURSDAY, 12 SEPTEMBER 2002

ANNOUNCEMENTS:

National Council of Provinces:

  1. The Chairperson:
 (1)    Message from National Assembly to National Council of Provinces:


     Bills  passed  by  National  Assembly  on  12  September  2002  and
     transmitted for concurrence:


     (i)     South African Maritime and Aeronautical Search  and  Rescue
             Bill [B 23D - 2002] (National Assembly - sec 75).


     (ii)    Road Accident Fund Amendment Bill [B 27B - 2002]  (National
             Assembly - sec 75).


     The Bills have been referred to  the  Select  Committee  on  Public
     Services.

TABLINGS:

National Assembly and National Council of Provinces:

Papers:

  1. The Speaker and the Chairperson:
 The Strategic Plan of the Human Rights Commission for 2000-2005.
  1. The Minister of Finance:
 (1)    Memorandum of Understanding  among  Member  Governments  of  the
     Eastern and Southern African Anti-Money Laundering  Group  and  the
     Republic of South Africa, tabled in terms of section 231(2) of  the
     Constitution, 1996.


 (2)    Explanatory Memorandum to the Memorandum of Understanding.
  1. The Minister of Trade and Industry:
 Report  and  Financial  Statements  of  the  South  African  Bureau  of
 Standards for 2001-2002, including the Report of the Auditor-General on
 the Financial Statements for 2001-2002.
  1. The Minister for Justice and Constitutional Development: Report of the Independent Electoral Commission regarding the Management and Administration of the Represented Political Parties’ Fund for 2001- 2002, including the Report of the Auditor-General on the Financial Statements of the Represented Political Parties’ Fund for 2001-2002 [RP 147-2002].

  2. The Minister of Communications:

 Report and Financial Statements of Sentech (Pty) Limited for 2001-2002.


                      FRIDAY, 13 SEPTEMBER 2002

ANNOUNCEMENTS:

National Assembly and National Council of Provinces:

  1. The Speaker and the Chairperson:
 (1)    The following Bill was introduced by the  Minister  for  Justice
     and Constitutional Development  in  the  National  Assembly  on  13
     September 2002 and referred to the Joint  Tagging  Mechanism  (JTM)
     for classification in terms of Joint Rule 160:


     (i)     Child Justice Bill [B 49 - 2002] (National Assembly  -  sec
          75) [Explanatory summary of  Bill  and  prior  notice  of  its
          introduction published in Government Gazette  No  23728  of  8
          August 2002.]


     The Bill has been referred to the Portfolio  Committee  on  Justice
     and Constitutional Development of the National Assembly.


     In terms of Joint Rule 154 written views on the  classification  of
     the Bill may be submitted to  the  Joint  Tagging  Mechanism  (JTM)
     within three parliamentary working days.

National Council of Provinces:

  1. The Chairperson:
 (1)    Message from National Assembly to National Council of Provinces:
     Bills  passed  by  National  Assembly  on  13  September  2002  and
     transmitted for concurrence:


     (i)     Collective Investment Schemes Control Bill [B 28B  -  2002]
             (National Assembly  -  sec  75)  (referred  to  the  Select
             Committee on Finance).


     (ii)    South African Revenue Service Amendment Bill [B 36 -  2002]
             (National Assembly  -  sec  75)  (referred  to  the  Select
             Committee on Finance).


     (iii)   Corporate Laws Amendment Bill  [B  32B  -  2002]  (National
             Assembly - sec 75) (referred to  the  Select  Committee  on
             Economic and Foreign Affairs).
  1. The Chairperson:
 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
     Security and Constitutional Affairs:


     (a)     Report and Financial Statements  of  the  Public  Protector
          for 2001-2002, including the Report of the Auditor-General  on
          the Financial Statements for 2001-2002 [RP 89-2002].


     (b)     Annual Report and Financial Statements  of  the  Legal  Aid
          Board for 2001-2002, including  the  Report  of  the  Auditor-
          General on the Financial Statements  for  2001-2002  [RP  161-
          2002].


 (2)    The following papers are referred to  the  Select  Committee  on
     Education and Recreation:


     (a)     Report and Financial Statements of the Artscape  for  2001-
          2002.


     (b)     Report and Financial Statements of  the  William  Humphreys
          Art Gallery for 2001-2002, including the Report of the Auditor-
          General on the Financial Statements for 2001-2002.


     (c)     Annual Report and  Financial  Statements  of  Business  and
          Arts South Africa for 2001-2002.


 (3)    The following papers are referred to  the  Select  Committee  on
     Labour and Public Enterprises:


     (a)     Annual Report and Financial Statements  of  the  Department
          of Public Enterprises for 2001-2002, including the  Report  of
          the  Auditor-General  on  the  Financial  Statements  of   the
          Department of Public Enterprises - Vote 8  for  2001-2002  [RP
          158-2002].


     (b)     Annual Report and Financial Statements  of  the  Commission
          for Conciliation, Mediation  and  Arbitration  for  2001-2002,
          including the Report of the Auditor-General on  the  Financial
          Statements for 2001-2002 [RP 82-2002].


     (c)     Annual Report of the Unemployment Insurance Fund for  2001,
          including the Report of the Auditor-General on  the  Financial
          Statements for the year ended 31 December 2001 [RP 117-2002].


 (4)    The following paper is  referred  to  the  Select  Committee  on
     Public Services:


     Report and Financial  Statements  of  the  South  African  Maritime
     Safety  Authority  for  2000-2001,  including  the  Report  of  the
     Auditor-General on the Financial Statements for 2000-2001.


 (5)    The following paper is  referred  to  the  Select  Committee  on
     Social Services:


     Report  and  Financial  Statements  of  the  Department  of  Social
     Development for 2001-2002, including the  Report  of  the  Auditor-
     General on the Financial Statements of  the  Department  of  Social
     Development - Vote 17 for 2001-2002 [RP 174-2002].


 (6)    The following papers are referred to  the  Select  Committee  on
     Finance:


     (a)     Report  and  Financial  Statements  of  the  South  African
          Reserve Bank for 2001-2002.


     (b)     Annual Economic Report of the South  African  Reserve  Bank
          for 2002.


     (c)     The Address of the Governor of the  South  African  Reserve
          Bank on 27 August 2002.


     (d)     Resolutions of the Standing Committee  on  Public  Accounts
          for 2002 and replies thereto obtained by the National Treasury
          - Third Report, 2002.


 (7)    The following paper is referred to the Select Committee on  Land
     and Environmental Affairs:


     Annual  Report  and  Financial  Statements  of  the  Department  of
     Environmental Affairs and  Tourism  for  2001-2002,  including  the
     Report of the Auditor-General on the Financial Statements for 2001-
     2002.


 (8)    The following papers are referred to  the  Select  Committee  on
     Land and Environmental Affairs for consideration and report:


     (a)     Protocol on the Development  of  Tourism  in  the  Southern
          African Development Community,  tabled  in  terms  of  section
          231(2) of the Constitution, 1996.


     (b)     Explanatory Memorandum to the Protocol.

TABLINGS:

National Assembly and National Council of Provinces:

Papers:

  1. The Minister of Arts, Culture, Science and Technology:
 Annual Report and Financial Statements of the National Library of South
 Africa for 1999-2001, including the Report of  the  Auditor-General  on
 the Financial Statements as ended 31 March 2001.
  1. The Minister of Health:
 Annual Report and Financial Statements of the Medical Research  Council
 for 2001-2002, including the  Report  of  the  Auditor-General  on  the
 Financial Statements for 2001-2002 [RP 91-2002].
  1. The Minister of Sport and Recreation:
 Annual Report and Financial Statements of the South  African  Institute
 for Drug-Free Sport for 2001-2002, including the Report of the Auditor-
 General on the Financial Statements for 2001-2002 [RP 127-2002].


                      MONDAY, 16 SEPTEMBER 2002

ANNOUNCEMENTS:

National Assembly and National Council of Provinces:

  1. The Speaker and the Chairperson:
 (1)    The Joint Tagging Mechanism (JTM) on 16 September 2002 in  terms
     of Joint Rule 160(3), classified the following Bills as section  75
     Bills:


     (i)           Anti-Personnel Mines Prohibition Bill [B 44  -  2002]
              (National Assembly - sec 75).
     (ii)    Agricultural Debt Management Amendment Bill [B 45  -  2002]
              (National Assembly - sec 75).


     (iii)   Promotion of Administrative Justice Amendment Bill [B 46  -
              2002] (National Assembly - sec 75).


 (2)    The following money Bills which were introduced by the  Minister
     of Finance in the  National  Assembly  on  13  September  2002  and
     referred to the Portfolio Committee on Finance, were also  referred
     to the Joint Tagging Mechanism (JTM) for  classification  in  terms
     of Joint Rule 160:


     (i)     Gas Regulator Levies Bill [B 47 - 2002] (National  Assembly
             - sec 77).


     (ii)    Finance Bill [B 48 - 2002] (National Assembly - sec 77).


     In terms of Joint Rule 154 written views on the  classification  of
     the Bills may be submitted to the  Joint  Tagging  Mechanism  (JTM)
     within three parliamentary working days of the introduction of  the
     bills.

TABLINGS:

National Assembly and National Council of Provinces:

Papers:

  1. The Minister of Arts, Culture, Science and Technology:
 Report and Financial Statements of the Pan South African Language Board
 for 2001-2002, including the  Report  of  the  Auditor-General  on  the
 Financial Statements for 2001-2002 [RP 166-2002].

National Council of Provinces:

  1. The Chairperson:
 Petition of  the  Royal  Swazi  Families  (Bantfwabenkhosi)  and  Swazi
 Chiefs/Nation  presiding  in  Traditional  Swazi  Areas,  praying   for
 Parliament to urge  and  encourage  the  South  African  Government  to
 expedite the final determination of a border issue.


 Referred to the Select Committee on Economic and Foreign Affairs.


                     TUESDAY, 17 SEPTEMBER 2002

ANNOUNCEMENTS:

National Assembly and National Council of Provinces:

  1. The Speaker and the Chairperson:
 (1)    The Minister of Intelligence on 9  September  2002  submitted  a
     draft of the Intelligence Services Control  Amendment  Bill,  2002,
     as well as the memorandum explaining the objects  of  the  proposed
     legislation, to the Speaker and the Chairperson in terms  of  Joint
     Rule 159.


 (2)     The  following  Bill  was  introduced  by   the   Minister   of
     Intelligence in the National Assembly  on  17  September  2002  and
     referred to the Joint Tagging Mechanism  (JTM)  for  classification
     in terms of Joint Rule 160:


     (i)     Intelligence Services Control Amendment Bill [B 50 -  2002]
          (National Assembly - sec 75) [Explanatory summary of Bill  and
          prior notice  of  its  introduction  published  in  Government
          Gazette No 23828 of 9 September 2002.]


     The Bill has been referred to the Ad Hoc Committee on  Intelligence
     Legislation of the National Assembly.


     In terms of Joint Rule 154 written views on the  classification  of
     the Bill may be submitted to  the  Joint  Tagging  Mechanism  (JTM)
     within three parliamentary working days.

National Council of Provinces:

  1. The Chairperson:
 (1)    Message from National Assembly to National Council of Provinces:


     Bills  passed  by  National  Assembly  on  17  September  2002  and
     transmitted for concurrence:


     (i)     Regulation of Interception of Communications and  Provision
          of Communication-Related  Information  Bill  [B  50B  -  2001]
          (National Assembly - sec 75) (referred to the Select Committee
          on Security and Constitutional Affairs).

TABLINGS:

National Assembly and National Council of Provinces:

Papers:

  1. The Minister of Labour:
 Report and Financial Statements Services Sector Education and  Training
 Authority for 2001-2002, including the Report of the Auditor-General on
 the Financial Statements for 2002-2002 [RP 94-2002].

COMMITTEE REPORTS:

National Council of Provinces:

  1. Report of the Select Committee on Finance on Provincial Public Hearings on FFC submission on Division of Revenue for 2003-04, dated 17 September 2002:
 The Select Committee on Finance,  having  conducted  provincial  public
 hearings on the Financial and Fiscal  Commission's  submission  on  the
 Division of Revenue for 2003-04, reports as follows:


 A.     Introduction


     On 29 April  2002,  the  Financial  and  Fiscal  Commission  (FFC),
     tabled its submission on the Division  of  Revenue  in  Parliament.
     The FFC has a legislative mandate of  advising  the  government  on
     the Division of Revenue among the national,  provincial  and  local
     spheres of government and making recommendations on provincial  and
     local fiscal matters.


     Pursuant to that, the Select Committee on Finance in  the  National
     Council of Provinces requested provinces to host their  own  public
     hearings to assist the  NCOP  in  drafting  a  consolidated  report
     based  on  information  acquired  from   such   provincial   public
     hearings.


     The  FFC's  mandate  is  to  make  submissions  to   the   national
     Parliament in terms of  section  9  the  Inter-Governmental  Fiscal
     Relations Act, 1997. In terms of the Act, the FFC has to make  this
     submission 10 months before the Minister of  Finance  presents  his
     Budget.  The  FFC  is  also  expected  to  assess   the   financial
     implications of new policies and to develop mechanisms  to  support
     the effective and efficient funding of these policies.  This  gives
     the Minister  of  Finance,  Parliament  and  other  stakeholders  a
     chance to debate, discuss and use  the  FFC's  recommendations  and
     proposals as  input  for  the  Minister's  budget  speech  and  the
     drawing up of the Budget itself.


     The Minister of Finance is obliged to consult with the FFC, but  is
     not compelled to incorporate the recommendations  into  the  budget
     speech. In  his  response  the  Minister  highlights  some  of  the
     concerns and issues that face the government with  respect  to  the
     equitable  share  and  inter-governmental  fiscal  relations.   The
     meetings with the Minister take place in December  and  January  in
     terms of the Inter-Governmental Fiscal Relations Act. The  Minister
     is obliged, in terms of that Act, to respond to the FFC  proposals.
     The formal response of the government is contained  in  the  Budget
     Review, submitted by the Minister on Budget Day.


     Section  214(2)  of  the  Constitution  states   that,   when   the
     recommendations of the FFC are considered,  the  following  factors
     (paragraphs (a) to (j) of the said  section)  must  be  taken  into
     account:


     (a)     The national interest


     (b)     Any provision that must be made in respect of the  national
          debt and other national obligations


     (c)      The  needs  and  interest  of  the   national   government
          determined by objective criteria


     (d)     The need to ensure that the  provinces  and  municipalities
          are able to provide basic services and perform  the  functions
          allocated to them


     (e)     The fiscal capacity and efficiency  of  the  provinces  and
          the municipalities


     (f)      Developmental  and  other  needs   of   provinces,   local
          government and municipalities


     (g)     Economic disparities within and among the provinces


     (h)     Obligations of the provinces and  municipalities  in  terms
          of national legislation


     (i)     The desirability of stable and predictable  allocations  of
          revenue shares


     (j)     The need for flexibility in responding  to  emergencies  or
          other temporary needs, and  other  factors  based  on  similar
          objective criteria.


     The recommendations are also informed by request the FFC gets  from
     other stakeholders.


 B.     FFC recommendations for 2002-03


     The nature of  the  FFC  proposals  was  within  the  framework  of
     proposals it had made for the MTEF cycle in 2000. Annual  proposals
     have to be made for the next fiscal year within that cycle.


     1. Provincial government proposals


          (a) HIV/AIDS and ECD


              The FFC proposes that conditional grants remain  the  most
              appropriate  mechanism  for  targeting  the  spending   of
              HIV/AIDS funds, and that ECD should be  funded  through  a
              conditional grant until it can be  incorporated  into  the
              equitable share. The  conditional  grants  in  respect  of
              HIV/AIDS  should,  therefore,  not  be  included  in   the
              equitable   share,   since   the   equitable   share    is
              unconditional and it will be difficult to track funding.


              The FFC proposes the development of a  suitable  data  and
              information base in order for HIV/AIDS to be prioritised.


          (b) With regard to own revenue, provinces  can  generate  this
              through:


              *    Road traffic revenue


              *    Hospital and patient fees


              *    Horse-racing and gambling.


          (c) The Provincial Tax Regulation Process Bill should:


              *    Specify  criteria  against  which  the  Minister  can
                   measure provincial tax proposals


              *    Clarify the implications and procedures  relating  to
                   capacity limitations of SARS


              *    Allow provinces maximum  flexibility  in  determining
                   tax rates within tax rate bands


              *    Include  guidelines  with  regard  to  tax  room  and
                   equalisation  measures,  where  certain  taxes   have
                   implications for the equitable share revenue pool


              *      Specify   regulations   for   dispute   resolution,
                   especially  where  a  province  may  fail  to   reach
                   agreement with SARS on certain tax proposals.


              The FFC submission suggests that there  are  possibilities
              for  improvement   relating   to   financial   management,
              appropriate revision of fees and incentive structures.


     2. Local government proposals


          (a) Municipal borrowing and finance markets


              There should be a combination of market discipline  and  a
              rules-based approach.  The  government  should  set  rules
              that  will  ensure  that   borrowers   and   lenders   are
              adequately protected.


              There  should  also  be  a  differentiated   approach   to
              municipalities   and    policy    measures    to    assist
              municipalities to build their credit-worthiness.


          (b) Primary health care


              The  FFC  supports  the   recommendation   that   district
              municipalities  should  be  the  service  authorities   in
              respect of health care.  It  also  recommends  that  local
              municipalities should be the main service delivery  agents
              and authorities for water and sanitation, unless there  is
              no capacity.


          (c) Councillors' remuneration


              On the contentious  issue  of  councillors'  remuneration,
              the FFC states that  constitutionally  councillors  should
              be  remunerated  from  municipal  revenue.  However,   the
              institutional component of the local government  equitable
              share should  be  assessed  to  ensure  that  it  reflects
              existing  legislative  requirements   (i.e.   departmental
              guidelines on upper limits of councillor remuneration).


          (d) Restructuring of electricity


              On the restructuring of electricity distribution, the  FFC
              proposes  that,  from   the   six   regional   electricity
              distributors  (REDS)  to  be  formed,  their   demarcation
              should be conterminous  with  municipal  boundaries.  This
              will  ensure  that  two  people  living  within  the  same
              municipality will not be paying different tariff rates.


              There should be a national tariff  support  programme  for
              low-income consumers  through  lifeline  tariffs  or  free
              basic services.


              There  should  be  compensation  to   municipalities   for
              transfer-related losses. About 6% of municipal revenue  is
              collected in respect of electricity.


     3. Cross-cutting equitable share proposals


          (a) Disaster management funding


              The FFC  proposes  that  central  funding  mechanisms  for
              disaster management should be introduced so as  to  ensure
              that   budget   frameworks    and    the    delivery    of
              constitutionally-mandated basic services  (CMBS)  are  not
              compromised.
              The FFC proposes that once  provinces  and  municipalities
              exceed  a  prescribed  threshold  of  their   budgets   on
              emergency  response,  funding  should  kick  in  from  the
              central  contingency  reserve.  For  municipalities,  this
              prescribed  threshold  would  take   account   of   fiscal
              capacity.


          (b) Contingency reserve


              The FFC proposes that more defined objective  criteria  be
              provided to guide the purpose of the contingency fund.


              The contingency reserve should be set aside for  emergency
              response  efforts   for   all   spheres   of   government.
              Furthermore, the FFC suggests that  the  two  purposes  of
              the contingency reserve  should  be  separated  (i.e.  new
              spending priorities of the outer years  of  the  MTEF  and
              one for emergencies dealing with  macroeconomic  stability
              and responses to natural or human made disasters).
          (c) Social security


              The FFC proposes that  old-age  and  veteran  pensions  be
              budgeted for and administered by the national government.


              The FFC also proposes that a national security  agency  be
              established to  deal  with  problems  in  repsect  of  the
              delivery of  social  security  programmes.  Its  main  aim
              would be to improve access to, as well as  efficiency  and
              effectiveness of, service  delivery  with  regard  to  the
              poorest of the poor.


          (d) Review of current equitable share formulae


              The 2004-05 financial year begins the new MTEF cycle.  All
              stakeholders (e.g.  the  government  and  Parliament)  are
              required to apply their minds to reviewing  the  equitable
              share formula.


              The  FFC  proposes  that  the  mechanism  of  distributing
              nationally collected revenue should introduce a  principle
              of balancing the requirements of the Bill  of  Rights  for
              the delivery of constitutionally-mandated  basic  services
              (CMBS) with the constraints contained  in  section  214(2)
              of the Constitution (see paragraph A. above).


              It  also  mentions  the  need  for  improvement   in   the
              collection  of  data  to  enhance   the   development   of
              intergovernmental  fiscal   mechanisms   consistent   with
              constitutional requirements.


 C.     Responses of provinces to recommendations


     1. The review of the equitable  division  of  revenue  should  take
          into account the  Census  2001  data.  When  allocating  funds
          between  the  different   spheres   of   government,   poverty
          alleviation and economic development  should  be  prioritised,
          based  on  population  density  informed  by  the  soon-to-be-
          released new Census data.
     2. The RED boundaries should be aligned with  municipal  boundaries
          to ensure that residents of a given municipality do  not  fall
          within  different  REDs  and  hence  under  different   tariff
          structures.


     3. Metro or urban municipalities rely on electricity as  their  key
          rates collector for own revenue  for  solvency.  The  move  to
          compensate such municipalities for the losses  that  might  be
          caused by the transfer to RED's is welcomed.


     4. Greater emphasis should be placed on  needs  and  cost  recovery
          issues.


     5. The current arrangements for disaster funding are  unstructured.
          The funding of disaster response efforts should be drawn  from
          the contingency reserve,  once  provinces  and  municipalities
          have exceeded a given proportion of their budgets on  response
          efforts.


     6. Councillors should be  remunerated  through  municipal  revenues
          (including their equitable share  allocation).  Municipalities
          would like to receive increased equitable shares to  speed  up
          service delivery in those municipalities who cannot afford  to
          raise their own revenue and also to help with  the  adjustment
          of councillors' remuneration.


 D.     Committee conclusions and recommendations


     1. Provinces supporting the phasing out of conditional  grants  are
          not in agreement with the FFC's proposal on HIV/AIDS.


     2. The development of specific inter-governmental fiscal  capacity-
          building programmes should be accelerated and funds  initially
          transferred through equitable division of revenue should  also
          be supported by specific conditional grants.


     3. The functions and powers related to the distribution  of  social
          grants must remain with the  provinces.  Capacity  constraints
          exist at national, provincial and local level.


     4. The provincial tax assignment issue is still unresolved  because
          of its complexity. A surcharge on  PIT  needs  to  be  debated
          because most provinces disagree on this arrangement.


 Report to be considered.
  1. Report of the Select Committee on Finance on the Financial Advisory and Intermediary Services Bill [B 52B - 2001] (National Assembly - sec 75), dated 17 September 2002:

    The Select Committee on Finance, having considered the subject of the Financial Advisory and Intermediary Services Bill [B 52B - 2001] (National Assembly - sec 75), referred to it, reports that it has agreed to the Bill.

  2. Report of the Select Committee on Security and Constitutional Affairs on European Convention on Extradition, dated 21 August 2002: The Select Committee on Security and Constitutional Affairs, having considered the request for approval by Parliament of the European Convention on Extradition, referred to it, recommends that the Council, in terms of section 231(2) of the Constitution, approve the said Convention, with the declaration that:

    (1) the Republic of South Africa, for the purposes of Article 2 of the Convention, shall not extradite any person unless the punishment awarded for a conviction in respect of which he or she is being sought, is a sentence of imprisonment of at least six months; and

    (2) for the purposes of Article 6 of the Convention, the term “nationals” is defined, in terms of South Africa’s legal system, as persons who have acquired South African citizenship by means of birth, descent or naturalisation. This includes persons with citizenship of South Africa and of another country. These persons will all be liable to be extradited. South Africa’s acceptance of dual citizenship will therefore not bar the extradition of a person where he or she is also in possession of a citizenship of a country which prohibits the extradition of its nationals.

 Report to be considered.
  1. Report of the Select Committee on Security and Constitutional Affairs on Additional Protocol to European Convention on Extradition, dated 21 August 2002:

    The Select Committee on Security and Constitutional Affairs, having considered the request for approval by Parliament of the Additional Protocol to the European Convention on Extradition, referred to it, recommends that the Council, in terms of section 231(2) of the Constitution, approve the said Protocol.

 Report to be considered.
  1. Report of the Select Committee on Security and Constitutional Affairs on Second Additional Protocol to European Convention on Extradition, dated 21 August 2002:

    The Select Committee on Security and Constitutional Affairs, having considered the request for approval by Parliament of the Second Additional Protocol to the European Convention on Extradition, referred to it, recommends that the Council, in terms of section 231(2) of the Constitution, approve the said Protocol.

 Report to be considered.
  1. Report of the Select Committee on Security and Constitutional Affairs on SADC Protocol Against Corruption, dated 21 August 2002:

    The Select Committee on Security and Constitutional Affairs, having considered the request for approval by Parliament of the SADC Protocol Against Corruption, referred to it, recommends that the Council, in terms of section 231(2) of the Constitution, approve the said Protocol.

    The Committee is of the opinion that, in accordance with Article 12 of the Protocol, the Director-General of Justice and Constitutional Development should be designated as the authority for purposes of co-operation and assistance under this Protocol.

 Report to be considered.
  1. Report of the Select Committee on Land and Environmental Affairs on International Study Tour to Malaysia, dated 6 September 2002:
 The  Select  Committee  on  Land  and  Environmental  Affairs,   having
 undertaken a study tour to Malaysia from 1 to 6 July 2002,  reports  as
 follows:


 A.     Terms of Reference


     It is parliamentary policy to provide opportunities for Members  of
     Parliament to develop skills, knowledge and competencies  in  order
     to perform their duties efficiently and effectively.


     In the light of this policy  guideline,  the  Committee,  which  is
     responsible for the portfolios of  Agriculture  and  Land  Affairs,
     Water Affairs and Forestry as well  as  Environmental  Affairs  and
     Tourism, resolved to undertake a study tour to  Malaysia  in  order
     to  gain  knowledge  of  how  a  country  at  a  similar  stage  of
     development as South Africa was dealing with  problems  encountered
     in the fields of Agriculture, Fishing, Agro-Tourism  and  technical
     co-operation with other developing countries.


     Whilst South Africa has advanced rapidly with regard to policy  and
     legislation in the sectors that are of concern  to  the  Committee,
     the problems of emerging farmers and small-scale fishers  have  yet
     to  be  addressed.  Malaysia  has  worked  effectively   within   a
     sustainable development framework to  overcome  problems  in  these
     sectors, and South Africa  has  important  lessons  to  learn  from
     their initiatives.
 B.     Background


     Malaysia is located in  the  heart  of  South-East  Asia,  slightly
     north of the equator. It consists of  330,200  square  km,  and  is
     divided into two main regions -  Peninsular  Malaysia,  which  lies
     just south of Thailand, and East  Malaysia,  which  lies  north  of
     Indonesia. These two regions are divided into 13 states.


     Although East Malaysia is  the  larger  segment,  it  is  primarily
     comprised of undeveloped land and  jungles.  Approximately  80%  of
     the  country's  more  than  24  million  people  occupy  the   main
     peninsula.


     The  territories  making  up  the  modern  Malaysia  were   British
     protectorates during the 1920s. Malaysian nationalism came  to  the
     fore in the 1930s and in  the  period  after  World  War  II.  This
     eventually  culminated  in  the  formation  of  the  Federation  of
     Malaysia in 1957, which became Malaysia in 1963.


     Since independence,  the  country  has  developed  rapidly  and  is
     aiming at first-world status by 2020.


     The diverse cultural and racial  groups  comprising  the  Malaysian
     nation are reminiscent of South Africa's cultural diversity.


     In  the  field  of  Agriculture,  the   Malaysian   Department   of
     Agriculture  has  introduced  various   types   of   projects   and
     activities to increase  the  income  of  Malaysian  farmers.  Group
     farming projects and women's extension group projects are of  great
     importance here.


     With respect to fishing, ventures in aquaculture are of  particular
     interest,  with  technical  and  extension  services  as  well   as
     training  programmes  being  made  available  by  the  State.   The
     services  promote  the  development  of  a  modern  and   efficient
     industry with well-trained and skilled manpower.


     The  Department  of  Agriculture  also  introduced  the   idea   of
     incorporating tourism  with  small-scale  agricultural  activities.
     This goes a long way to increasing the income of farmers.


     The Malaysian Technical Co-operation Programme (MTCP) was  launched
     in 1980 to promote  technical  co-operation  between  Malaysia  and
     other developing countries. The programme organises  technical  co-
     operation activities on a systematic and sustained basis.


     The Committee  set  its  objectives  for  the  study  tour  as  the
     investigation of the above-mentioned important fields.


 C.     Procedure


     The Malaysian government assisted the  Committee  in  reaching  its
     objectives by drawing up a programme that included  visits  to  the
     sites of aquaculture, group  farming  ventures,  women's  extension
     group projects and agro-tourism ventures.


     Important briefings were also given on the  Malaysian  economy  and
     the Third National Agricultural Policy, which formed  the  backdrop
     against which the various projects could be understood.


     Information on the MTCP was also made available to the Committee.


     The multi-party delegation consisted of  Rev  P  Moatshe,  Ms  B  N
     Dlulane, Mr V V Z Windvoël, Mr A E van Niekerk and Mr R M  Nyakane.
     The  Committee  Secretary,  Mr  K  Williams,   was   also   present
     throughout.


 D.     Findings


     1.  Briefing  on  Malaysian  Economy  (Development  Philosophy  and
          Policy) - Putrajaya, 2 July 2002


          Mr Adzmy Abdullah, a member of the Economic Planning  Unit  in
          the  Prime  Minister's  Department,  conducted  the  briefing.
          Although  this  was  the  second  briefing  received  by   the
          delegation, it will be dealt with first as  it  contains  many
          key concepts that explain the Malaysian government's  approach
          to development.


          (a) Development planning in Malaysia


              Mr Abdullah  pointed  out  that  development  planning  in
              Malaysia was based on a  mixed  economic  system  of  free
              enterprise with active government support  and  direction.
              The  government  provides  the  broad  thrusts  and   sets
              direction  for  the  whole  economy,   and   ensures   the
              achievement of socio-economic goals. On  the  other  hand,
              the private sector is free  to  operate  and  is  provided
              with     appropriate     policy,     institutional     and
              infrastructural support. What is aimed at is a  system  of
              co-operation  between  the  government  and  the   private
              sector towards the creation  of  a  Malaysian  company  to
              achieve progress and shared benefits.


              Structural  mechanisms  to  achieve  the  above  included,
              amongst others, the Malaysian Business Council,  dialogues
              with the private sector and the  privatisation  programme.
              Needless to say, the development aims cannot  be  achieved
              if the private sector is not patriotic and progressive.


              Since independence in 1957, there have been  a  number  of
              major economic policies. The first period of  significance
              was from 1957 to 1970. This could be viewed  as  the  pre-
              New Economic Policy period. It was  marked  by  a  laissez
              faire approach and was dominated by production for  export
              of mono-crops.


              The New Economic Policy (NEP) was  implemented  from  1971
              to  1990.  It  aimed  at  growth   with   equity   between
              Malaysia's racial groups and set the country on  the  path
              to development. The major goal was national  unity  within
              the context of an expanding economy. The major  strategies
              of  this  period   were   the   reduction   and   ultimate
              eradication of poverty among Malaysians,  irrespective  of
              race or ethnic roots, and restructuring Malaysian  society
              to correct economic imbalances  so  as  to  eliminate  the
              identification of race with economic function.


              Vision 2020 covers the entire period from  1991  to  2020,
              and  is  aimed  at  the  total  development  of  Malaysian
              society, with the aim of bringing the country on par  with
              developed nations.


              The first half of Vision 2020 covers  the  years  1991  to
              2000 and is called the National Development Policy  (NDP).
              In this period, balanced  development  between  the  urban
              and rural sectors is stressed, with industrial  production
              beginning to overhaul agricultural production.  The  chief
              goal of the period is a united  and  just  society  again,
              within  the  context  of  an  expanding   economy.   Major
              strategies for the period are again poverty reduction  and
              eventual elimination together with  the  restructuring  of
              society.


              In  order  to  achieve  balanced  development,   the   NDP
              encompasses the following critical aspects:


              *    Optimum balance between economic growth and equity


              *    Greater material welfare imbued with positive  social
                   and spiritual values


              *      Balanced   regional   development   for    national
                   integration


              *    Balanced development of major sectors


              *    Human resource development


              *    Development and protection  of  the  environment  and
                   ecology.


              The years 2001-10 are  governed  by  the  National  Vision
              Policy (NVP) that has the theme of  building  a  resilient
              and  competitive  nation.  The  overriding  objective   is
              national unity with the aim of establishing a  progressive
              and prosperous Malaysian nation.  The  key  strategies  of
              the   NEP   and   the   NDP   (eradicating   poverty   and
              restructuring  society,  as  well  as  ensuring   balanced
              development) are maintained with new dimensions.


              The overall strategy for Vision 2020 is total  development
              (i.e. economically,  politically,  socially,  spiritually,
              psychologically and culturally). The  aim  is  to  improve
              the quality of life and standard  of  living  to  reach  a
              level enjoyed by other  developed  countries.  To  achieve
              this, an annual average  output  growth  of  7%  with  low
              inflation is aimed at. Furthermore,  there  should  be  an
              eight-fold increase in GDP and  a  four-fold  increase  in
              per capita income.


          (b) Agricultural development planning


              The general objective here is the maximisation  of  income
              through the  optimisation  of  resources  in  the  sector.
              Although Agriculture's contribution to the  economy  as  a
              percentage of GDP dropped from 10,3% in 1995  to  8,8%  in
              2000, the agricultural sector as a whole grew by 1,2%  per
              annum from 1996 to  2000.  Furthermore,  it  was  expected
              that the sector would grow by 2,9% per annum from 2001  to
              2005. Therefore, despite  the  growth  of  the  industrial
              sector, agriculture's importance had not diminished.


              The main thrust  in  agriculture  from  2001  to  2005  is
              transforming  the  sector  to  be  modern,   dynamic   and
              competitive, in line with  the  strategies  of  the  Third
              National  Agricultural  Policy  (NAP3),  particularly   to
              increase food  production  and  to  contribute  to  export
              earnings.


              In order to achieve these goals, the following  strategies
              have been outlined:


              For agricultural industrial commodities


              *    Consolidating oil  palm  hectarage  and  establishing
                   Malaysian standards and brand


              *      Reorientating   rubber   cultivation   through   an
                   integrated planting system and the creation of rubber
                   forests


              *    Utilising natural resources on  a  sustainable  basis
                   and promoting linkages with other activities such  as
                   manufacturing, eco- and agro-tourism


              For food production


              *    Expanding food production areas


              *    Intensifying aquaculture development


              *    Intensifying land use through integration


              *    Promoting cost- and  labour-saving  technologies,  as
                   well as intensifying  research  and  development  and
                   downstream processing


              For new sources of growth


              *    Developing speciality natural  products,  other  non-
                   timber  forest  products,   biotechnology   products,
                   floriculture and ornamental fish as  new  sources  of
                   growth


              The sector could also be strengthened by


              *    Strengthening human resource development


              *    Strengthening  support  services  and  improving  the
                   delivery mechanism


              *    Undertaking measures  to  increase  accessibility  of
                   credit as well as introducing insurance coverage  and
                   services.


          (c) Response to questions


              In  response  to  questions  from  the   delegation,   the
              following points were raised:


              *    The government was able to  implement  its  grandiose
                   plans by consulting with all stakeholders. People  on
                   the street  were  encouraged  to  give  their  views,
                   either directly  or  through  their  representatives.
                   Furthermore, the government has  a  track  record  of
                   working for the good of  the  people,  and  political
                   stability has enabled people to work together for the
                   common  good.  National  unity  has  been   preserved
                   through the abolishing of economic "apartheid".
                   The private sector has been taken on board and  their
                   comments and feedback is welcomed. Expropriation  has
                   been made  unnecessary  through  the  growth  of  the
                   economic cake.


                   National consensus was achieved through the  National
                   Consultative Council  of  1990,  which  included  all
                   political  parties,  trade  unions,  NGOs   and   the
                   chambers of commerce.


                   All  of  the  country's  mass  media  were  used   to
                   popularise the developmental programmes.


              *    A multi-dimensional strategy was used to correct  the
                   imbalances between urban and rural  areas.  Education
                   was made accessible to all rural  persons,  and  once
                   they  were  educated,  they   were   guaranteed   job
                   security. The rural landless were also  resettled  on
                   economically  viable  land  and  encouraged  to  grow
                   commercial crops for profit.


              *    The  government  and  the  private  sector  can  work
                   together on a "win-win"  basis  because  the  private
                   sector works to achieve national objectives.


     2. Briefing  on  Third  National  Agricultural  Policy  (1998-2010)
          (NAP3) - Wisma Tani, 2 July 2002


          Mr Foo of the Ministry of Agriculture conducted the briefing.


          (a) Introduction


              It was pointed out that NAP3 was  a  continuation  of  the
              previous two national agricultural policies. Its main  aim
              was to maximise the use of the country's land resources.


              The vision for agriculture under this policy  is  that  it
              should be an engine for growth, it should  be  competitive
              in the world market and it should turn the country into  a
              prominent food producer.


          (b) Policy direction


              The aims of the third national policy  would  be  achieved
              by enhancing production and deepening linkages with  other
              sectors such as industry. Here  it  was  anticipated  that
              agricultural products would be  processed  before  export,
              rather  than  having  the  raw  product  exported  without
              beneficiation.


              New frontier areas would be ventured into and there  would
              be a conscious effort to conserve  natural  resources  and
              utilise them on a sustainable basis.


              New  features  of  the   Third   Policy   would   be   the
              encouragement of large-scale ventures that  would  benefit
              from the economies of scale. Mechanisation would  also  be
              encouraged to  improve  efficiency  and  to  overcome  the
              labour shortage. To this end, farming that was technology-
              based and knowledge-intensive would be stressed.


              Private sector  participation  would  be  encouraged,  but
              support  services  in   the   fields   of   research   and
              development, marketing and financing would be provided  by
              the State. These would be strengthened.


              The State would also undertake human resource  development
              in order  to  raise  the  skills  levels  of  farmers  and
              agricultural workers.


              Agro-Tourism would be expanded.


          (c) Priority projects


              Certain projects would be regarded as  priorities  on  the
              basis of certain criteria:


              *    They should be competitive and commercially viable


              *    They should reduce imports and increase exports


              *    They should provide food security


              *    They  should  be  less  vulnerable  to  severe  price
                   changes


              *    They should attract private sector participation


              *    They should be less labour intensive


              *    They should be environmentally sustainable.


              The priority products identified are  all  food  products,
              in line with  the  aim  of  achieving  food  security.  In
              addition to this, the production  of  exotic  flowers  and
              ornamental fish is encouraged, as  they  are  huge  export
              earners.


          (d) Strategic thrusts


              Large-scale farming with modern techniques  is  encouraged
              to enhance productivity and efficiency.


              Integrated,  mixed  farming  activities  are  stressed  in
              order to make the most efficient use of land resources.


              Food production is emphasised in the three sub-sectors  of
              food crops, fisheries and livestock production.


              In line with the above, incentives  in  the  form  of  tax
              reductions  are  given  to  enterprises  engaged  in  food
              production.


              Private sector participation is  encouraged  in  order  to
              free up state funds  for  strengthening  support  services
              and investing in  other  spheres  such  as  education  and
              health.


              The consultative and collaborative mechanism  between  the
              public and private sector is further strengthened  through
              the  establishment  of   a   Private-Public   Sector   Co-
              ordination Council.


              The Business Development Centre assists  with  information
              on investment opportunities and good business practices.


              Regular  investment  seminars  are  held  at  which   good
              investment opportunities are identified.


              The State  further  creates  an  enabling  environment  by
              intensifying  research  and  development,   by   providing
              extension    services,    warehousing    facilities    and
              distribution  networks,  and  by  providing  finance   and
              information.


              Agro-technology parks will be developed  to  promote  high
              technology agricultural production systems by the  private
              sector.  Such  production   systems   involve   mechanised
              operations,  precision  control  of  inputs  and   growing
              environment,  production  of  quality   and   high   value
              products  such  as  fruits,  vegetables,  aquarium   fish,
              flowers, fishery and livestock products.


              The  transfer  of  technology  is  encouraged  to   ensure
              automisation   and   mechanisation,    production    under
              controlled environments, integrated  pest  management  and
              the quality of seeds and breeder stock.


              Communication   programmes   would   be   launched,   both
              internally and externally, to promote  Malaysian  products
              at home and abroad in order to limit imports and  increase
              exports.


          (e) Response to questions


              Questions  posed  by  members  of  the   delegation   were
              numerous and varied. Some of the most important  responses
              were the following:


              *    Upstream products are products in their  crude  form,
                   while the refined product is regarded as a downstream
                   product.  Malaysia  was  aiming  at  the  export   of
                   downstream products  which  are  less  vulnerable  to
                   price fluctuations.


              *    Government policy is to encourage large companies  to
                   practice mixed farming by introducing cattle  on  the
                   palm-oil  estates.  So   far,   results   have   been
                   disappointing.


              *    At grass-roots level, the  State  provides  extension
                   services by which farmers are trained in the  use  of
                   more sophisticated technology. This enables  them  to
                   be more productive and to graduate  from  subsistence
                   farmers to entrepreneurs.


              On a higher level, some farmers are  brought  to  training
              institutes at the State's expense  and  they  graduate  as
              fully-fledged agronomists.


              *    Agro-tourism initially started in  the  marine  parks
                   that were developed for conservation and tourism. The
                   concept has, however, been extended to ordinary farms
                   where the tourist gains experience by living with the
                   indigenous family.


              *    Malaysia attempts to off-set the  cost  of  importing
                   certain crops that it cannot grow by  exporting  more
                   of those crops that grow well in the country.


              *    Malaysia  has  about  85  000  fisher  folk  who  are
                   granted one-year licences to fish. The government  is
                   trying to reduce this  number  so  that  participants
                   will get a bigger  slice  of  the  cake  and  thereby
                   improve their income. More efficient catching methods
                   are also encouraged with this aim in mind.


              A system of different zones for  different  categories  of
              fishers ensures that the smaller fishers do  not  have  to
              compete with the bigger companies in the same areas.


              Enforcement teams check on zoning and curb  poaching  with
              the help of the navy and air  force.  Misdemeanours  could
              result in the confiscation of the boats involved.


              *    The Agricultural Bank provides soft  loans  for  food
                   production projects and to those farmers  wishing  to
                   expand their  activities  from  a  subsistence  to  a
                   commercial level.


                   Group farming is encouraged. The government  provides
                   grants initially, but later credit is obtained on the
                   basis of the group's own resources.  Group  marketing
                   also  occurs,  and  in  this  way  farmers  learn  to
                   commercialise and become entrepreneurs.


              *    Malaysia aims at limiting price fluctuations for  its
                   products, but this is very difficult and has not  yet
                   been achieved. A positive measure,  however,  is  the
                   limiting of intermediaries in the marketing chain.


              Some  of  Malaysia's  primary  products  are  affected  by
              subsidies in the developed world. The only  solution  here
              is  to  participate   in   negotiations   aimed   at   the
              eradication of these subsidies.


              *    Aquaculture  is  the  answer  to  diminishing  marine
                   resources, and is growing  rapidly  in  Malaysia.  It
                   must, however, be practised in a sustainable manner.
              *    Although Agriculture's share of  GDP  is  decreasing,
                   the sector is still growing and  is  viewed  as  very
                   important, especially for the production of food.


              *    Malaysia has a good record  of  poverty  alleviation,
                   and a high incidence of poverty has been  reduced  to
                   insignificant proportions. Projects and  schemes  for
                   people in rural areas have played  a  role  here,  as
                   have the attempts to  curb  inflation  and  keep  the
                   price of essential  items  low  and  controlled.  The
                   country  is  now  concentrating  on  more   efficient
                   production, which will ensure access  to  food  at  a
                   reasonable price.


     3. Aquaculture in Malaysia


          (a) Overview


              Production  from  aquaculture  is  not   very   large   in
              Malaysia, due to the fact that the industry is  relatively
              young, having just started in the  early  1930s  with  the
              introduction of freshwater fish  culture.  Brackish  water
              culture came in later  with  the  introduction  of  shrimp
              farming, using  trapping  ponds  in  mangrove  areas,  and
              cockle culture in mud flats in the late 1930s  and  1940s,
              respectively.


              In the seventies came the culture  of  marine  finfish  in
              floating net-cages and the culture of green mussels  using
              floating rafts.


              In the eighties  and  nineties,  the  industry  picked  up
              considerably, with great emphasis given to the  sector  by
              the   government.   There   was   also   involvement    by
              entrepreneurs and  the  corporate  sector  in  large-scale
              shrimp farming and  freshwater  fish  culture  on  a  more
              intensive scale.


              The aquarium fish  industry  also  developed  rapidly.  In
              recent years, interest in the  culture  of  other  aquatic
              species such as freshwater turtle, frogs,  crocodiles  and
              seaweed also emerged.


              The  aquaculture  industry  provides  employment  to  some
              18 143 people  and  numerous  others  engaged  in  related
              activities such as harvesting, processing and marketing.


              The bulk of employment generated is in rural  and  coastal
              areas and this helps with provision of gainful  employment
              in those  areas.  It  also  provides  an  avenue  for  the
              redeployment  of  fishermen  from   the   over-capitalised
              inshore fisheries,  thus  reducing  the  pressure  on  the
              coastal fish stocks.


              Aquaculture  plays  an  important  role  in   contributing
              towards  food  supply  and  will  play   an   increasingly
              important role  in  the  future  to  meet  the  increasing
              demand for protein, both in the low-priced as well as  the
              high-priced categories.


              Freshwater fish from aquaculture is  especially  important
              in  the  rural  hinterland  areas  where  marine  fish  is
              generally not available. Moreover, with the  depletion  of
              the coastal fish stocks through  over-exploitation,  there
              is  a  growing  expectation  of  aquaculture  playing   an
              increasingly dominant role in fish production.


              The aquarium fish  industry  took  off  on  a  significant
              scale only in the 1980s with the  establishment  of  farms
              especially in Johore, Perak, Selangor  and  Penang.  Prior
              to this, it was more of a backyard activity.


              By 1992 there was a total of  336  farms  engaged  in  the
              production of ornamental fishes,  natural  or  live  feed,
              pelleted feed, aquarium accessories and aquatic plants.


              Malaysia has made considerable inroads in  the  production
              of ornamental fish with a number of notable successes.


              Under  NAP3,  aquaculture  is  designated   to   play   an
              important role  to  cater  for  the  expanding  local  and
              foreign   markets,   with   development   undertaken    in
              sustainable manner.  In  line  with  this,  a  perspective
              development plan up to the year 2010  has  been  drawn  up
              for aquaculture.


              The plan envisages the  gradual  increase  in  aquaculture
              production from the current  80  000  tonnes  to  200  000
              tonnes by the year 2010. This represents  an  increase  of
              120 000 tonnes or a 150% increase over the period.


              The aquarium fish industry is also targeted to  accelerate
              its development several-fold to 470 million fish.


              A master plan detailing the various action  programmes  is
              being drawn  up  to  facilitate  the  smooth  and  orderly
              development of the industry as planned.


              The  provision  of  fiscal  and  financial  incentives  is
              deemed necessary to stimulate investment in  the  industry
              by both local and foreign entrepreneurs.


          (b) Visits to sites of aquaculture


              *    Fish Hatchery Project - Three Ocean Company


                   This is a private  venture  that  has  grown  from  a
                   family business to a lucrative  enterprise  employing
                   eight people, including the family.


                   Although the owner was  non-committal  about  profits
                   obtained, the four vehicles on site did indicate that
                   sizeable profits were being made.


                   The owner, Mr See Kong  King,  claimed  that  he  had
                   received training in breeding for one week in Taiwan.


                   There  were  about  50  tanks  for  the  hatching  of
                   catfish. These fish are sold for about 8RM when  they
                   attain a weight of one kg. Fry  are  also  sold  when
                   they attain a length of approximately one inch.


                   Brood stock is also kept in nets in a big  dam.  They
                   are fed high protein feed to encourage them to  spawn
                   and excess eggs are sold to other hatchers.


                   Freshwater shrimp are found in another of the dams on
                   the farm. These occur  naturally  and  are  used  for
                   feed. The excess is again sold to other farms.


                   Ponds were formed in the holes  left  by  tin  mining
                   activities in former years.


                   Some ornamental fish are being produced and this is a
                   very lucrative activity. It is not the main focus  of
                   the project, however.


                   The presence of ducks on the farm indicated a move to
                   integrated farming, in line with  government  policy.
                   At  this  stage,  however,  the  ducks  were   merely
                   providing additional food for the family on the farm.


              *    Aquarium Farm Project - San Sui Tropical


                   This was also a private venture that had grown from a
                   family business into a lucrative enterprise. Its main
                   concern was the trade in ornamental fish.


                   Although some breeding was done on site, the  concern
                   mainly buys in small ornamental  fish,  raises  them,
                   and then  sells  them  to  a  worldwide  market  that
                   includes the USA, Australia  and  Germany.  Trade  in
                   ornamental fish is a  multi-million  dollar  industry
                   and is considered  to  be  a  most  important  growth
                   sector for aquaculture.


                   The site consists  of  a  warehouse  with  about  100
                   oxygenated   tanks   containing   approximately   100
                   varieties of ornamental fish. There are also about 50
                   ponds for larger fish that are  not  suited  for  the
                   tanks.


                   15 workers are employed and, although no figures were
                   discussed, they seem to make a good livelihood.


                   There was clearly a  good  relationship  between  the
                   owner   and   the   government   representative   who
                   accompanied  the  delegation.   State   intervention,
                   however,  is   minimal   and   consists   mainly   of
                   popularising what is  clearly  a  profitable  private
                   venture.


                   The profitability of the venture was stressed by both
                   the  owner  and  the  government  representative  who
                   accompanied the delegation.


              *    Tiger Prawn Farm - Api Api Company


                   This was a large commercial venture  with  120  ponds
                   covering approximately 200 acres.


                   About 100 workers are employed and  an  eight-hectare
                   pond can produce five tonnes of  prawns  in  a  four-
                   monthly cycle.


                   The prawns are mainly exported to the US and  one  kg
                   fetches 18 to 20RM (ex-farm). A kg consists of 30  to
                   35 pieces, depending on its size.


                   Ponds are oxygenated by means of paddles and with the
                   use of piping, which is an indigenous technology.


                   An on-site laboratory is  used  to  check  the  water
                   parameters such as alkalinity, salinity  and  the  PH
                   level.


                   Feed is imported from Thailand.


                   Motorcycles  are  used  by  workers  to  cover   huge
                   distances on the site.


                   Government assistance is confined to training for the
                   transfer of technology.


          (c) Conclusion


              The world's fish  production  is  in  the  region  of  100
              million tonnes, of which about 87% is from marine  capture
              fisheries and 13% from aquaculture.


              However, production  from  marine  capture  fisheries  has
              peaked. At present there is overcapacity in  this  sector,
              resulting in an unprofitable state  of  the  industry.  In
              fact, it is estimated that the value of the  catch  landed
              is even below the operating cost.


              Against this scenario is the projected increase in  demand
              of 30 million tonnes by  the  turn  of  the  century,  due
              largely to population  growth  from  5,5  billion  to  6,5
              billion. The increase is not likely to  come  from  marine
              capture fisheries, as this has reached a plateau.


              This means that aquaculture  will  have  to  feature  more
              prominently in future.


     4. Visit to Agrotechnology Park of Ulu Chuchuh, Sepang


          (a) Introduction


              An Agrotechnology Park was specially land-gazetted by  the
              government for agricultural activities, using  the  latest
              technology.


              The  main  objectives  of  the  Agrotechnology  Parks   in
              Selangor are:


              *    To develop intensive  agricultural  activities  using
                   the latest technology


              *    To supply at least 30% of the fresh food required  in
                   the central region of peninsular Malaysia


              *      To   promote   entrepreneurship   skills   in   the
                   agricultural sector among the participants


              *    To promote the agrotechnology park as an  agrotourism
                   attraction.


              The Parks hope to achieve  their  objectives  by  adopting
              the following strategies:


              *    The Government gazettes  discrete  land  holdings  of
                   100  hectares  or  more  for  agricultural  use   and
                   provides  basic  infrastructure  facilities  such  as
                   roads, drains, water and electricity supply which are
                   suitable  for  intensive  and  highly   technological
                   agricultural practices


              *    Both local and  foreign  investors  who  utilise  the
                   latest  agricultural  technology  are  attracted   to
                   participate  in  these  projects   on   a   long-term
                   leasehold basis


              *      Participants   are   assisted   with   agricultural
                   consultancy  services,   which   include   management
                   services.
              The Selangor parks concentrate on the  production  of  the
              following high value  commodities  to  meet  local  demand
              (the exception is orchid  production  which  is  envisaged
              chiefly for export markets):


              *    Horticultural crops which include vegetables and  cut
                   flowers. Nurseries are developed with the  production
                   of planting materials utilising tissue culture


              *    Short-term food crops such as maize, melons,  tubers,
                   root crops and  pumpkins  (seasonal  fruits  such  as
                   pineapples are grown in the agrotourism locations)


              *     Suitable  livestock  such  as  chickens  and  ducks.
                   Aquaculture is also practiced with the production  of
                   fish fries and aquarium fish.


              The  production  of  foodstuff  is  in   line   with   the
              Government policy of working towards  increasing  national
              food production.


          (b) Basic information on Agrotechnology Park at Sepang


              The Park is 100 hectare in extent. It is situated  in  the
              region of Sepang, about 30 km from the new town  of  Salak
              Tinggi. It was started in 1996. The soil is shallow  peat,
              which requires some improvement before it is suitable  for
              agricultural production.


              The Park has been through three phases. Phase 1  ended  in
              2000 - it consisted of the development of 20  hectares  of
              land at a cost of RM100  000.  Phase  2,  which  ended  in
              2001, saw the development of a further 20 hectares at  the
              cost of another RM100 000.  Phase  3  is  currently  under
              way, with an additional 30 hectares being developed  at  a
              cost of RM100 000.
              The project status as at January 2002 was:


              *    Total lots - 29 units


              *    Lot size per unit - two hectares


              *    Number of  participants  producing  vegetables  -  15
                   participants on 18 units


              *     Number  of  participants  producing  flowers  -  six
                   participants on seven units


              *    Vacant - four units.


              Flower production has increased on an  annual  basis  with
              the number of plants increasing from 280 000  in  1998  to
              434 693  in  2001.  Productivity  increased  from  19  047
              pots/hectare/year in 1998 to 33 437  pots/hectare/year  in
              2001.


              Vegetable production also increased  from  484  tonnes  in
              1998 to 910 tonnes in 2001.  Productivity  increased  from
              9,2 tonnes/hectare/year in 1998 to 18  tonnes/hectare/year
              in 2001.


              In both instances, increases could mainly be  ascribed  to
              more efficient production methods.


              The management of the park has  identified  the  following
              constraints on production:


              *     Mechanisation  is  still  limited  and   not   fully
                   optimised


              *    The peat soil found in the park is a "problem soil"


              *     Water  quality  and  water   management   could   be
                   improved.


              Suggestions for the improvement of the park are:
              *    Infrastructure works should be done before the  rainy
                   season


              *    More ponds should be  built  to  increase  the  water
                   supply


              *    Hydrated lime should be  used  to  improve  the  peat
                   soil


              *    Emphasis should be put on engaging small farmers  and
                   agricultural entrepreneurs in production  within  the
                   park.


          (c) Interaction with participants in Park


              The delegation met an  agricultural  entrepreneur  engaged
              in orchid production. He said that his land  was  acquired
              on a  21-year  lease  from  the  State  and  that  he  had
              obtained financial assistance from the  Agricultural  Bank
              in order to start production.


              The State provided  support  in  supplying  infrastructure
              and  giving  advice  on  management,  but  production  was
              largely dependent on the enterprise and endeavour  of  the
              entrepreneur himself. Continued participation in the  Park
              depended on continuing constant production.


              He provided employment for eight people, resulting  in  28
              mouths being fed in the surrounding rural area.


              The enterprise was very lucrative,  returning  profits  of
              between RM3 milion and RM4 million annually.


          (d) Agro-tourism - visit to Banghuris Homestay


              The  homestay  project  is  part  of  the  Park,  and  the
              delegation was taken there to enjoy  a  traditional  Malay
              lunch.


              Visitors to the project stay  with  the  Malay  family  in
              their  traditional  wooden  house  and  experience   their
              traditional way of life. The exotic flavours of  the  meal
              were a treat for the delegation.


              The  State  promotes  the  venture   by   assisting   with
              advertising  and   marketing,   as   well   as   providing
              managerial assistance.


              There are 23  houses  in  the  Sepang  Park  project,  and
              guests are divided amongst these in order  to  spread  the
              economic gain.


              The Park's agricultural projects can be visited by  guests
              at an additional cost.


              Although  no  figures  were  given,  the  delegation   was
              assured  that  staying   at   the   project   was   highly
              affordable.


          (e) Visit to Women's Extension Group  (WEG)  engaged  in  food
              processing


              While still  in  the  Park,  the  delegation  visited  the
              Women's Extension Group engaged in food processing.  Their
              concept  is  an  interesting  Malaysian  innovation   that
              manages to lighten the burden of rural women.


              *    Background


                   WEG units are groups of farmwomen formed  at  village
                   level. They serve as a  platform  through  which  the
                   services  of  the  Department  of   Agriculture   are
                   channelled  to  farmwomen.   Through   these   units,
                   farmwomen have the opportunity to be involved in  the
                   planning of programmes as well as in  discussions  on
                   suitable activities to be  carried  out  for  and  by
                   them. The first unit was formed in  Bukit  Changgang,
                   Kuala Langat, Selangor in 1978.


              *    The objectives of the units are:


                   -     To provide opportunities for  farmwomen  to  be
                       involved in activity planning at village level


                   -     To educate women about services and  facilities
                       available to them


                   -     To improve efficiency and management skills  in
                       domestic  and  related   fields   through   group
                       efforts


                   -     To  improve  leadership  skills  for  community
                       development.


                   Units are headed by management committees.  Committee
                   members are village locals who  are  elected  by  the
                   members of the unit. The  Department  of  Agriculture
                   acts as adviser, while committees plan activities for
                   members.


                   All women working on a farm or who are members of the
                   farm family, are eligible to become unit members.


                   The  activities  carried  out  by   WEG   units   are
                   threefold:


                   -     Economic activities such  as  food  processing,
                       agriculture, crafts and services


                   -     Activities which enhance the quality  of  life,
                       such as food  and  nutrition,  beautification  of
                       home  surroundings  and  public  areas   in   the
                       village,  environmental  cleanliness,   vegetable
                       gardening  and  planting  of  non-seasonal  fruit
                       trees around the home


                   -      Community  development  activities,  such   as
                       social  projects,  for  the  development  of  the
                       individual, family and community.
                   By the end of 2001, there were 1 324  units  with  33
                   121 members all over Peninsular Malaysia. There  were
                   about  2  344  income-generating  projects,  made  up
                   mainly of food processing projects.


                   The  Department  of  Agriculture  has  personnel,  at
                   federal, state  and  area  level,  who  help  develop
                   advisory  services  that   are   channelled   through
                   demonstrations,  farm  and  house  visits  and   unit
                   meetings.


                   Competitions are periodically held to select the best
                   WEG  groups.  Prizes  take  the  form  of  inputs  or
                   processing equipment that will  further  enhance  the
                   profitability of farm projects.


                   The  total  turnover  for  these  projects  was  RM81
                   million in 2001.


              *    Visit to WEG food processing group in  Agrotechnology
                   Park, Sepang
                   The group was formed by women  from  the  surrounding
                   villages who had come together for  the  purposes  of
                   processing snacks such as biscuits.


                   The delegation  found  a  thriving  small  enterprise
                   consisting of about 15 participants who  were  housed
                   in one large room.


                   When  starting  out,  the  group  had  pooled   their
                   resources and were  provided  with  equipment  and  a
                   grant  for  the  building  by   the   Department   of
                   Agriculture.


                   Profit,  which  comes  largely  from  bulk  sales  to
                   supermarkets, is divided amongst the members  of  the
                   group.


                   The Department  of  Agriculture  interacts  with  the
                   management  committee  in   an   advisory   capacity,
                   although the State also provides some  equipment  and
                   training as  well  as  assistance  in  marketing  the
                   product.


                   The group succeeds because of the hard  work  of  its
                   participants, the skilful entrepreneurial  activities
                   of the management group and the democratic nature  of
                   its organisation.


     5. Visit to State of Malacca


          The visit  to  the  State  of  Malacca  started  with  another
          briefing on agriculture by the Department  of  Agriculture  of
          that state. Most of the  points  raised  had  previously  been
          raised in earlier briefings that the delegation had received.


          The briefing was followed by another  visit  to  a  WEG  group
          engaged in the production of snacks. This too was  similar  to
          the previous meeting with such a group in Sepang.


          (a) Group farming in Malaysia
              The visit to Malacca  was  supposed  to  illustrate  group
              farming in Malaysia. Unfortunately, as will  be  explained
              later, this goal was not achieved. However, the  principle
              of group farming in Malaysia, and the  extension  services
              that go along with  it,  are  important  and  need  to  be
              discussed.


              *    Group Farming Extension Services


                   The  Department  of  Agriculture  in   Malaysia   has
                   implemented  extension  services  based  on  farmers'
                   group projects since 1984. The concept  is  aimed  at
                   elevating farm  production,  utilising  optimum  farm
                   resources  by  grouping  the  farms  physically   and
                   incorporating farming activities through the  process
                   of technology transfer and farm management within the
                   group.


                   To this end, the Department devised a quality  system
                   for extension services to ensure that it will provide
                   quality services that will include, among others, the
                   preparation of project business plans. It  will  also
                   ensure  that  the  implementation   of   agricultural
                   activities and farm operations are in accordance with
                   the working manual for extension.


                   Through direct  supervision  and  strict  monitoring,
                   this system will initiate farmers  to  practice  farm
                   management and adopt it as  a  culture  in  producing
                   quality products and attaining crop potential yield.


                   By employing this system,  the  Department  hopes  to
                   provide effective and efficient extension services to
                   farmers in transforming current activities towards  a
                   more feasible and profitable agricultural industry.


                   The objectives of the quality system are:


                   -     To implement at  least  80%  of  the  extension
                       activities  planned  at  state  level  for   that
                       particular year


                   -      To  increase  the  income  of  group   farming
                       participants  through  optimal  use  of  land  in
                       order to achieve at least  70%  of  the  targeted
                       net income for the year  based  on  the  business
                       plan


                   -     To achieve at least 70% of the total  potential
                       yield for the cultivated crop for the year as  in
                       the business plan


                   -     To achieve at least 70% of the yearly target of
                       establishing new farm groups.


                   By the end of 2001, 660  farming  groups  under  this
                   system had shown a dramatic increase in productivity.


          (b) Visit to Group Farming Mango Project


              In order to illustrate the above principles at  work,  the
              delegation was taken to a mango group-farming  project  in
              Malacca. Unfortunately, although much high  quality  fruit
              was clearly being produced and the  farmers  were  assured
              of  a  good  income,  only  two  of   the   original   six
              participants remained in the group. Reasons for  the  four
              having left were not clearly specified,  although  it  was
              mentioned that some of them were old.


              1,6 hectares are under cultivation, and it produces  eight
              tonnes of fruit  per  season.  Initial  subsidisation  had
              come from the state but now the project is entirely  self-
              financing.


              The farmers have clearly  benefitted  from  the  extension
              services of the state and they  have  also  been  assisted
              with management skills. Unfortunately, they had  to  leave
              for prayers before the delegation could delve more  deeply
              into these matters.


     6. Malaysian Technical Co-operation Programme (MTCP)


          One of the objectives of the study tour was for the delegation
          to obtain information on the Malaysian Technical  Co-operation
          Programme. The following points were raised at a  briefing  in
          Putrajaya on 2 July 2002:


          (a) MTCP was launched in 1980 with following objectives


              *     To   share   development   experience   with   other
                   developing countries


              *     To  strengthen   bilateral   relationships   between
                   Malaysia and other developing countries


              *    To promote South-South co-operation


              *    To promote technical  co-operation  among  developing
                   countries


              The motivating philosophy behind the MTCP is based on  the
              belief  that  human  resource  development  is   a   vital
              catalyst for countries  to  achieve  sustainable  economic
              and social development.


          (b) Type of assistance offered includes:


              *    Training - short and long courses


              *    Study visits


              *    Attachments


              *    Advisory services (dispatch of experts)
              *    Project-type co-operation.


              Experts in the following fields could be dispatched:


              Teaching, investment, public  administration,  development
              administration,  economic   planning,   central   banking,
              integrated agriculture development, law,  energy  experts,
              micro-credit experts,  poverty  eradication  experts,  gas
              experts.


              Projects have been undertaken in the  fields  of  housing,
              research   and   development   in    rubber    technology,
              infrastructure  development,  clinics,   resettlement   of
              Bosnian refugees.


              The following equipment has been made available:


              Office  equipment,  water  pumps,   transport   equipment,
              emergency supplies (on a very selective basis).
          (c) There are 131 participating countries, grouped  into  nine
              regions


              *    ASEAN


              *    Other SEA and Asia


              *    Arab States


              *    Pacific Islands


              *    North Africa and West Asian States


              *    Africa and the CIS


              *    East and Central Europe


              *    South America


              *    Caribbean


          (d) Funding modalities include:


              *    Full funding by the Malaysian Government


              *    Full funding by the recipient country


              *    Third party funding (e.g. UNDP)


              *    Cost-sharing between Malaysia, the  recipient  and  a
                   third party.


          (e) Future directions envisaged for organisation


              *    Continued  expansion  of  technical  co-operation  in
                   terms of expansion of new programmes  and  activities
                   designed to cater  for  special  needs/priorities  of
                   participating  countries,   and   strengthening   its
                   planning, co-ordination and implementation  machinery
                   through consultations  and  joint  co-operation  with
                   participating countries


              *    Continuing emphasis on Human Resource Development


              *    Encouraging greater private sector  participation  in
                   the fields of training, feasibility studies,  experts
                   and projects


              *    Co-operating with donor countries  and  organisations
                   for more third-party funding


              *    Reciprocating technical  expertise  by  participating
                   countries to Malaysia.


 E.     Conclusions


     1. Malaysia is a progressive developing country  with  huge  dreams
          for the future. South Africa has much to learn from  Malaysia,
          especially in the fields of economic planning, strategies  for
          development and the unlocking of the entrepreneurial spirit of
          its people.


     2. There is much room for co-operation  between  South  Africa  and
          Malaysia in the technical field, especially  with  respect  to
          aquaculture.


     3. The objectives of the study tour were achieved and the  time  in
          Malaysia was well spent.


 F.     Recommendations


     The Committee recommends the  following  as  a  result  of  lessons
     learnt on the study tour to Malaysia:


     1. South Africa should  consider  drawing  up  a  widely  consulted
          development plan along the lines of  Malaysia's  Vision  2020.
          Such an overall development plan  for  the  economy  could  be
          supplemented by  other  plans  for  development  in  the  most
          significant developmental  sectors  such  as  Agriculture  and
          Trade and Industry.


     2.  The  Department   of   Agriculture   should   investigate   the
          possibility of setting up Agro-Technology Parks,  which  could
          become centres in which the entrepreneurial  spirit  of  small
          farmers are developed with a view to them becoming  commercial
          farmers. The Parks would also be sites where assistance  could
          be channelled to emerging farmers on a more systematic basis.


     3. The Department of  Agriculture  should  adopt  the  strategy  of
          encouraging group farming to ensure the pooling  of  resources
          by emerging farmers. This will also  enable  them  to  benefit
          from  the  economies  of  scale,  which  will   smooth   their
          transition to commercial farmers. Technical assistance in  the
          fields of management and marketing could also be  supplied  to
          them more efficiently.


     4. South Africa could emulate the Malaysian model in the  formation
          of women's groups. This will enable especially rural women  to
          engage in economic activities, thereby increasing  the  income
          of rural families.


     5. The Malaysian model of Agro-Tourism should be  further  examined
          with a view to  implementing  a  similar  model,  which  would
          improve the income of the rural population.


     6. The development of Aquaculture should  be  seriously  looked  at
          with a view to solving the problem of our  diminishing  marine
          resources, which results in so many of our fisher  folk  being
          left without fishing rights. Fish from this source would  also
          be a cheap supplementary source of protein to bolster our food
          stocks.


     7. South Africa should take advantage of the assistance offered  by
          the Malaysian Technical Co-operation Programme in the field of
          human resource development. Concrete steps should be taken  to
          ensure that experts are trained, especially in  the  field  of
          Aquaculture.


 G.     Acknowledgements


     The Committee heartily thanks those members of  the  South  African
     High  Commission  in  Malaysia  and  officials  of  the   Malaysian
     Government who worked so hard to make this study tour a  meaningful
     learning experience.


     APPENDIX


     Although it was not part of the original programme, the  delegation
     paid a visit to the Malaysian Parliament on 4 July 2002  to  obtain
     insight into  this  institution  and  the  Malaysian  parliamentary
     system. They learnt the following:


     Malaysia practices Parliamentary Democracy  with  a  Constitutional
     Monarch. The Parliamentary Democratic System comprises  three  main
     branches - legislative, executive and judiciary.


     His Majesty the Yang  di-Pertuan  Agong  is  the  Supreme  Head  of
     State. He is elected by the Conference of Rulers and  holds  office
     for five years. He does not, however, preside over the  two  Houses
     of Parliament, but addresses both Houses as and when necessary.  By
     convention, this is only done  at  the  beginning  of  each  annual
     parliamentary session.
     The Senate (Dewan Negara) comprises of 69 members, of whom two  are
     elected by each of the 13 State Legislative Assemblies and  43  are
     appointed  by  the  Yang  di-Pertuan  Agong  on  grounds  of  their
     experience  and  wisdom,  or  to   represent   racial   minorities,
     professional, commercial and other groups. A full  term  of  office
     for a senator is three years and could be extended for  two  terms.
     The Senate is not affected by the dissolution of Parliament.


     The House of Representatives (Dewan Rakyat) has 193  members,  each
     representing  one  constituency.  Elections  are  held  every  five
     years. The number of members  of  the  Barisan  Nasional  Component
     Parties is 148. The opposition parties consist of 45 members.


     The functions of Parliament are:


     *  To pass laws
     *  To amend existing laws


     *  To examine government policies
     *  To approves government expenditure/spending


     *  To approve new taxes.


     At the beginning of each year, the Yang di-Pertuan  Agong  outlines
     national progress and future development policies.


     The Malaysian Parliament does not have a committee  system  similar
     to the South African system.


 Report to be considered.