National Assembly - 24 August 2006
THURSDAY, 24 AUGUST 2006
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PROCEEDINGS OF THE NATIONAL ASSEMBLY
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The House met at 14:03.
The Deputy Speaker 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
Ms J A SEMPLE: Madam Deputy Speaker, I hereby give notice that on the next sitting day of the House I will move:
That this House debates the nonpayment of maintenance orders for the maintenance of children and the problems related thereto.
Adv H C SCHMIDT: Madam Deputy Chair, I hereby give notice that I intend moving the following motion: That the House -
(1) censures the former Minister of Minerals and Energy, Ms Lindiwe Hendricks, for-
(a) misleading the public in her capacity as the
responsible Minister by stating without reasonable cause that
there was growing evidence that the Koeberg nuclear plant’s
breakdown was wilfully perpetrated in resistance to the
government’s transformation agenda;
(b) making the statement on 28 February 2006, on the eve of
the local government elections; and
(c) not apologising for misleading the public in making this
uninformed statement.
PROGRESSIVE WOMEN’S MOVEMENT OF SOUTH AFRICA
(Draft Resolution)
The DEPUTY CHIEF WHIP OF THE MAJORITY PARTY: Deputy Speaker, I move without notice:
That the House-
1) notes that from 5 to 8 August 2006 women representing various
sectors of our country came together in Mangaung in the Free State
province to fulfil the historic task of launching the Progressive
Women’s Movement of South Africa;
2) further notes that the patriarchal system of values and practices
that underpins the organisation and structure of our society results
in unequal power relations between women and men and the
subordination of women in all spheres of life;
3) recalls that over the years women in our country have played a
significant role in the struggle against colonialism and apartheid;
4) believes that by coming together in this manner, the women of our
country have honoured the duty we have to work at all times for the
unity of our people across race, class, gender and age divides and
that they have provided our country with a vital weapon for the
further consolidation of the gains made in the struggle for women
emancipation;
5) further believes that in our country many women have not yet tasted
the fruits of our liberation, particularly working-class, rural and
poor women and that, despite our democratic gains, women and the
girl-child continue to be victims of domestic violence and abuse and
that, in this context, the formation of the Progressive Women’s
Movement of South Africa represents a momentous step in the journey
towards the achievement of true equality among all the people of our
country;
6) acknowledges the movement’s commitment to taking the struggle of
women to higher levels and consolidate the gains already achieved in
pursuit of the establishment of a truly democratic, nonracial,
nonsexist and prosperous South Africa;
7) calls on all progressive women in our country to join hands and
build a strong and enduring women’s movement;
8) wishes the Progressive Women’s Movement of South Africa a heroic
future and success in its work; and
9) congratulates Madam Speaker and Mrs Noluthando Myende-Sibiya on
their election as convenor and co-convenor of the movement.
[Applause.]
Agreed to.
REMUNERATION OF PUBLIC OFFICE BEARERS ACT – PRESIDENT OF THE REPUBLIC’S REMUNERATION
(Draft Resolution)
The DEPUTY CHIEF WHIP OF THE MAJORITY PARTY: Deputy Speaker, on behalf of the Chief Whip of the Majority Party, I move the draft resolution printed in his name on the Order Paper, as follows: That the House resolves that -
(1) in terms of section 2(1) of the Remuneration of Public Office Bearers Act, 1998 (Act No 20 of 1998), and having due regard for the criteria listed in that subsection, the salary and motor vehicle allowance payable to the President of the Republic of South Africa be determined at eight hundred and eighty six thousand and seventy eight rand and fifty six cents (R886 078.56) and two hundred and ninety five thousand three hundred and fifty nine rand, forty four cents (R295 359.44) per annum, respectively, with effect from 1 April 2006; and
(2) in terms of section 2(2) of the said Act, the amount of forty thousand rand (R40 000) per annum be determined as that portion of the remuneration of the President to which section 8(1)(d) of the Income Tax Act, 1962 (Act No 58 of 1962), shall apply.
Agreed to.
The DEPUTY SPEAKER: The next item … Mr Gibson? The CHIEF WHIP OF THE OPPOSITION: I was just saying that I hope the Chief Whip stays at Pollsmoor permanently.
DISAPPEARANCE OF CONSTABLE RASUGE
(Member’s Statement)
Ms L M MASHIANE (ANC): Deputy Speaker, on 27 August it will be two years since Constable Frances Nyadi Rasuge disappeared. Her body has not yet been found. This fact alone is a cruel reminder of crime in general and the abuse of women in particular, and has placed huge strain, pain and stress on the families who are praying daily in the hope of at least knowing what has happened since that day.
We, as parliamentarians, wish to send a message of support to the family. We wish them continual strength and faith in this long period of pain and uncertainty. We want to assure you that those who committed this dastardly act will be brought to book. We will work with the SA Police Service in solving the crime. We would also like to congratulate the police officers who are working tirelessly round the clock to solve the case. I thank you. [Applause.]
ACCOMPANYING OF TONY YENGENI BY SENIOR ANC MEMBERS TO PRISON
(Member’s Statement)
The CHIEF WHIP OF THE OPPOSITION (DA): Deputy Speaker, it is nothing short of a disgrace that senior members of the ANC, including Western Cape Premier Ebrahim Rasool, are accompanying Tony Yengeni to Pollsmoor Prison as he reports to begin his sentence for fraud and corruption. [Interjections.] Yes, why don’t you show solidarity with the victims of crime instead of with the criminals?
This hero’s parade sets an appalling example to ANC members and to the rest of the country, and flies in the face of President Mbeki’s stance on corruption.
This morning on national radio the ANC’s provincial chairperson for the Western Cape, James Ngculu, said that he did not think that Yengeni had committed a serious crime because he did not steal anything, but only made use of discounts. By so doing, this senior ANC leader has attempted to justify and minimise Yengeni’s crime and to deflect the public’s attention away from the seriousness of his transgressions, which included lying to and misleading Parliament.
He abused the trust of the former Speaker of the National Assembly itself and of the people of South Africa. It is disgraceful and disappointing that senior figures in the ANC can treat Yengeni as a hero, when they should in fact be using him as an example of how not to behave when in public office. [Interjections.]
APPOINTMENT OF BRIGADIER GENERAL ERNEST ZWANE
(Member’s Statement)
Mr V B NDLOVU (IFP): Madam Speaker, we in the IFP find it absolutely shocking that the SA National Defence Force has seen fit to appoint Brigadier General Ernest Zwane as their director of prosecutions, considering his past criminal offences. Brigadier General Zwane was found guilty last year on two counts of fraud for falsely claiming to have two qualifications from the University of Fort Hare and also for the illegal possession of a firearm and ammunition.
The employment process of the SANDF needs to be reviewed. I think that the relevant authority needs to explain to us their reason for appointing Brigadier General Zwane to such an important position. What special skills or qualifications does he possess that would compel them to overlook his past criminal actions and appoint him over the rest of the other applicants?
We urge the Minister and his department to look urgently into this matter and at the conduct, and to take correctional action, as well as to review the employment process of the SANDF in order to avoid any further controversial appointments in future. I thank you, Madam. [Applause.]
CONGRATULATIONS TO WINNERS AND FINALISTS IN SA YOUTH WATER PRIZE PROJECT
(Member’s Statement)
Nkk P BHENGU (ANC): Umbutho wesizwe i-ANC ibahalalisela kakhulu abantwana abangoThokozile, Thobile Mbanjwa kanye noNompilo Mahlobo ngempumelelo yabo emncintiswaneni we-SA Youth Water Prize. Laba bantwana bafunda eMehlokazulu High School eMgungundlovu. Bangabokuqala abamnyama besifazane ukunqoba lomncintiswano wokongiwa kwamanzi ogqugquzelwe uMnyango wezaManzi namaHlathi.
Le mpumelelo yalaba bantwana ibavulele ithuba lokuba bayomela izwe lethu e- Stockholm emncintiswaneni ofanayo. Singumbutho i-ANC siwafisela impumelelo lama qhawe asakhulayo. Sifisela nayo yonke intsha yezwe lakithi impumelelo ekuzilungiseleleni kwayo kokuhlolwa kokuphela konyaka. Sithi inkunzi isematholeni. Ngiyabonga. [Ihlombe.] (Translation of isiZulu member’s statement follows.)
[Ms P BHENGU (ANC): The ANC congratulates the children whose names are Thokozile, Thobile Mbanjwa and Nompilo Mahlobo for their successes achieved in the SA Youth Water Prize competition. These children are learners at Mehlokazulu High School in Pietermaritzburg. They are the first black females to have won this competition on “water saving” which was organised by the Department of Water Affairs and Forestry.
The success of these learners has opened an opportunity for them to represent our country in the same competition in Stockholm. As the ANC, we wish these emerging heroines all the best. We wish the youth of our country success when they prepare for their end-of-year examination. We say, “leadership is among the youth”. Thank you. [Applause.]]
PORNOGRAPHY ON CELLPHONES
(Member’s Statement)
Rev K R J MESHOE (ACDP): The ACDP is very concerned about findings that indicate that in the Western Cape exposure to pornography on cellphones is worse than on the Internet. Principals and teachers have reported that pupils addicted to a service designed by a South African called “MXit” no longer pay attention in class. Principals and teachers say that learners are constantly glued to their cellphones as they access hardcore pornography.
The Film and Publication Board’s communications manager said that more than 80% of learners were accessing adult material on their cellphones. He concluded that MXit was dangerous, and we definitely agree with him.
The Immaculata High School principal, where pupils addicted to MXit are getting support, was reported to have said that MXit was a drug and that learners had become dependent on it. Some have stopped doing their homework because they spend most of their days on MXit.
The ACDP appeals to government to deal urgently with this problem that does not only negatively affect children’s schoolwork and moral behaviour, but also destroys their future. Thank you.
ARMS DEAL
(Member’s Statement)
Mrs P DE LILLE (ID): Madam Deputy Speaker, after numerous requests to the ANC government to come clean on the arms deal corruption, these calls have been repeatedly ignored to the detriment of the ruling party and the country as a whole.
Pierre Maynot, the head of Thint, stated in an affidavit at the Pietermaritzburg High Court that former Justice Minister Penuel Maduna did some work for the company last year. If the allegation is accurate, Maduna may well have had inside information on the charges against Zuma and Thint.
Even though the pieces of the puzzle are starting to fall into place, the ANC government has still not answered my one question: In light of the Scorpions’ grilling of former ambassador to France, Barbara Masekela, and now that Minister Pahad has regained his lost memory and admitted to having attended a meeting with the French company, South Africa would like to know, who else attended this meeting and what was discussed?
An integral figure in this saga, Mr Jayendra Naidoo, is in the process of suing me for raising this matter in Parliament. I wish him well. [Laughter.] [Applause.]
THE EXAMPLE OF AMIR PASTER
(Member’s Statement)
Mr T J BONHOMME (ANC): Madam Speaker, the ANC-led government will always work tirelessly for the rights of all the people of the world to independence and self-governance. It shall be the basis of our close cooperation. Peace and friendship amongst all our people shall be secured by upholding equal rights, opportunities and status for all.
This is the same objective that has influenced Captain Amir Paster, just 32 years old, an infantry officer and a student at the Tel Aviv University, who stood up against the call to participate in a military campaign in Lebanon. In his trial, Captain Amir Paster declared that it would be: “Taking part in a war contrary to the values upon which I was brought up.”
The values that this captain referred to are peace and friendship amongst all people, and the settling of all international disputes with negotiations and not with war. The ANC urges all peace-loving South Africans and the people of the Middle East and the world over to emulate the example of this courageous soldier. We further call on all South Africans who hold dual citizenship not to agree to be called up for military duty in the Lebanon and Palestine crisis. I thank you.
MATATIELE WINS COURT CASE
(Member’s Statement)
Dr S E M PHEKO (PAC): Madam Speaker, the PAC congratulates the people of Matatiele for winning their court case against a decision to incorporate them into the Eastern Cape. We welcome the decision of the Constitutional Court on this matter in declaring the Constitution 12th Amendment Act and Cross-boundary Municipal Law Repeal and Related Matters Act invalid.
The unwillingness of the people of Matatiele to move from KwaZulu-Natal has something to do with inferior service delivery in Mount Fletcher. Mount Fletcher, their main town in the Eastern Cape, is in shambles. There are no banks, African business has collapsed, unemployment is high and the Taylor Bequest Hospital is a hospital in name only. Roads are atrocious. There is a need for equitable and rapid development of Mount Fletcher.
The Constitutional Court decision is a test for Khutsong in Gauteng, which has been incorporated in the North West province without the consent of the people. The court has soon good juries prudence in striking down the unconstitutional government decision on Matatiele. Thank you.
COMPETENCY OF CABINET MINISTERS
(Member’s Statement)
Mr S SIMMONS (UPSA): Deputy Speaker, when a government department is repeatedly showing inefficiency and then producing failing remedies for its mismanagement, it is clear that drastic measures are needed to turn things around in such a department.
Not so long ago I highlighted the crisis in the Department of Correctional Services and subsequently requested specifically that the hon Minister Balfour releases himself as Minister of this department in view of his department’s performance. The general state of affairs in the Department of Correctional Services and now its financial mismanagement is a reflection of incompetence at the highest level in this department. It is not just the Minister of Health that should vacate her office, as advocated by many, but a number of others as well, starting with the hon Minister Balfour. These unacceptable levels of poor performance by some Ministers can only be turned around by firm and decisive action by the hon President. This action should include a process of revisiting and re-examining the levels of competencies among our Cabinet Ministers. I thank you.
THE 2010 WORLD CUP
(Member’s Statement)
Mr S J MASANGO (DA): Deputy Speaker, the DA wants the World Cup to work. We want it to be the best World Cup tournament ever held. We want to show that South Africa cannot only compete with the rest of the world, but can exceed it. If this is going to happen, we need a committed well-organised and carefully planned campaign.
This is particularly relevant to the building and improvement of new stadiums. Construction takes great time and planning. In Mpumalanga, where we are planning to build a stadium, there seems to be a number of problems which now need to be urgently addressed if we are to make the World Cup a success in this province. The council has failed to purchase the land where the stadium is to be built. People now have to be moved before the land can be bought. Two schools have to be demolished. It amounts to bad planning and a lack of foresight. We should be busy constructing the stadium now and not fighting for a piece of land on which to do so. If we are to excel, we need to start at the bottom and work up. These sorts of problems need to be sorted out now.
VICTIMS OF LIONS IN FREE STATE
(Member’s Statement)
Mr M J G MZONDEKI (ANC): Deputy Speaker, this statement is about the victims of lions in Hennenman in the Free State.
Mokgatlo wa ANC o lebisa kutlwelobohloko ho ba malapa a bafu, Mong Tatsi le Mong Mpholo ba dulang Virginia le Welkom. Bontate bana ba bile mahlasipa a ditau tse thobileng serapeng sa diphohofolo tse hlaha Hennemane, Freistata, mohla 9 Phato 2006.
Bafu e ne e le bahlanka ba tshireletso seratswaneng seo, mme ba ile ba hlaselwa ke ditau tse tharo tse tswileng seratswaneng ka lebaka la bofokodi ba terata ya tshireletso. Re boetse ra fumana tlhahisoleseding ya hore, monga seratswana sena, ha a na mangolo a tumello a ho ba le seratswana sa mofuta ona, ebile o se a kile a kgalemellwa hona.
Re boetse ra fumana tlhahisoleseding ya hore, basebeletsi bao bane ba lefshwa bonyane R430,00 ka kgwedi, ebile bane basa kwetlisetswa mosebetsi oo. ANC e tshwela boitswaro bona bo swabisang ka mathe, ke bohlaswa le hona ho se tsotelle maphelo a batho. Re etsa boipiletso ho mmuso hore o thibele diketso tsa mofuta ona le nakong e tlang.
Re kopa hore ho etswe phuphutso mabapi le ketsahalo ena, ebile re kopa hore diratswana tsohle tsa mofuta ona di fuputswe pele ho ka ntshwa mangolo a tumello. Ho swabisa haholo ha e le mona diphoofolo tsa rona tsa bohahlaodi mona Afrika Borwa di tlohelletswe matsohong a batho ba hlokang boikarabelo ka mokgwa ona. (Translation of Sesotho paragraphs follows.)
[The ANC would like to send our condolences to the families of the deceased, Mr Tatsi and Mr Mpholo, who live in Virginia and Welkom respectively. The two gentlemen were victims of lions that had escaped from a game reserve in Hennenman in the Free State on 9 August 2006.
The deceased were security guards at the game reserve, and were attacked by three lions which escaped from the game park as a result of a weak security fence. We also uncovered information that the owner did not have a licence to operate such a park, and was warned against such an operation.
Furthermore, we discovered that these employees were paid a meagre R430 a month, and were not even trained to do this kind of work. The ANC views this type of practice with the contempt it deserves, because it speaks of careless and uncaring behaviour towards other people’s lives. We would therefore like to implore the government to prevent such acts in the future.
We ask that an investigation be set up regarding this matter, and also that all game reserves of this nature be investigated before licences are issued. It is very embarrassing that wild animals in South Africa should be left in the hands of such irresponsible individuals.]
PLANNING IN CASE OF FLOODS
(Member’s Statement)
Mr M W SIBUYANA (IFP): Deputy Speaker, although the winter months bring much-needed rain to many areas, especially in the Cape Province, they also cause devastation and hardship. The recent floods that ravaged parts of the Eastern Cape caused damage and destruction in many areas. People had to be evacuated from their homes and the roads were left damaged. We know that it is impossible to plan against acts of nature, such as floods. We do, however, believe that the relevant authorities can do more in anticipation of these events. They know that winter brings rain in regions such as the Cape Province and therefore there is a distinct possibility of flooding and damages to roads and property. With thorough forward planning, the impact of floods and the heavy rains can be lessened.
The Department of Water Affairs and Forestry should be innovative enough and dynamic in its approach to find means of capturing and storing water during the rainy seasons, as South Africa is not a country that is blessed with abundant water resources. It is therefore imperative that we take full advantage of the situation when we do get rain. We cannot stop these acts of nature, but we can assist in easing the harsh effects of the two extremes, flooding and drought, if we have the right plans and mechanisms in place. I thank you.
RACISM BETWEEN WHITE FARMERS AND THE PEOPLE OF THABAZIMBI
(Member’s Statement)
Ms R J MASHIGO (ANC): Thank you, Deputy Speaker.
ANC e tshwenyegile thata ka ditiragalo tse di ntseng di tswelela tsa bogagapa mo Thabazimbi mo Limpopo. Dipogo tse di tsweletseng di bontsha gore modi wa ditiragalo tse di sa amogelesegeng tse, ke tsa go se itshokelane, tsa semorafe magareng ga balemi ba basweu le batho ba mo tikologong. Phitlhelelo e, e tlile morago ga kopano ya baagi. Tiragalo ya sešeng ke ya molemi mongwe e leng rre Nel, yo tlhageletseng kwa kgotla mme a lokololwa ka beili fa a sena go bolaya ka sethunya mosimane wa dingwaga di le 11, a nagana gore ke ntšwa.
Ngwaga pele ga tiragalo e e setlhogo e, molemi mongwe e leng rre Pinaar o thubile dikago tsa sekolo tsa polase go thibela bana ba bantsho ba tikologo eo go tsena sekolo. ANC e tshitshinya gore Khomišene ya Ditshwanelo tsa Botho e etele tikologo e ka bonako, go ya go batlisisa magatwe a semorafe a a dirilweng ke baagi mo kopanong. Ke fela dipatlisiso tse di tseneletseng, tsa ditshwaelo tsa baagi tse di tla letlang bathathi ba ba maleba go batlisisa le go tlhagisa boteng jwa magatwe a a semorafe. Ke a leboga. [Legofi.] (Translation of Setswana paragraphs follows.)
[The ANC is so disturbed by the criminal activities in Thabazimbi in Limpopo. The continuous harassment experienced shows that the cause of these activities which are not welcomed, is as a result of intolerance and racism between white farmers and the local community. These findings were made after a community meeting was held. The latest event involves a white farmer by the name of Mr Nel, who appeared in court for allegedly shooting an 11 year old boy, whom he mistook for a dog, and was later released on bail.
A year before this cruel act, a farmer known as Mr Pienaar, demolished a primary school building on a farm to bar black children in the area from attending school. The ANC has proposed to the Human Rights Commission to visit the area at their earliest convenience, to investigate allegations of racism made by the community at a meeting. It is only thorough investigations and comments made by the community at a meeting which can help the relevant authority to investigate and report on the substance of the racial allegations. Thank you. [Applause.]]
PUBLIC PARTICIPATION AND LEGISLATION
(Member’s Statement)
Dr J T DELPORT (DA): Madam Deputy Speaker, the Constitutional Court ruled that if Parliament does not allow for proper public participation in legislative processes, that fact may invalidate the legislation. It has become a pattern for Ministers and departments to drag their feet, only then to rush legislation through Parliament with undue haste. This makes a mockery of the so-called “People’s Parliament”. It shows that for the ANC, “people” means “the governing elite”.
Take the issue of same-sex marriages. This legislation must be passed before 1 December 2006 in terms of the ruling by the Constitutional Court. The subject is highly sensitive and calls out for in-depth participation. This is simply not possible anymore if Parliament wants to meet the deadline. There is nothing of any substance before the relevant portfolio committee. The DA calls on the Minister of Home Affairs to apply to the Constitutional Court for an extension of the deadline, stating inefficiency on the part of the Minister and her department as the reason why Parliament needs an extension. [Applause.]
MURDER OF TSHWANE COUNCILLOR
(Member’s Statement)
Mr H P MALULEKA (ANC): Deputy Speaker, the ANC condemns the brutal murder of political activists and councillors, for whatever reason, because the murder of one human being is one too many. The murder of Councillor Komiki Motubatse in Soshanguve, a member of the Tswane Metropolitan Council, last week, is an act which must be condemned by all our people. The ANC would like to send its condolences to the family of Councillor Motubatse, the community and the Tswane Metropolitan Council on the loss of Councillor Motubatse last week.
We in the ANC condemn this brutal act. Councillor Motubatse was a freedom fighter and a community leader. He has selflessly contributed to bringing about development in the area of Soshanguve. We are calling upon the community to assist the police in fighting crime in our communities. It is through the support of the community that police can apprehend perpetrators of crime. The ANC reiterates its confidence in the SA Police Service. We are confident that the perpetrators of these evil deeds will be apprehended and brought to book. I thank you.
CONSTITUTIONAL COURT RULINGS
DISASTER MANAGEMENT
HUMAN RIGHTS ABUSE
SAME-SEX MARRIAGES
(Minister’s Response)
The MINISTER OF EDUCATION: Thank you, Madam Deputy Speaker. Deputy Speaker, there are three things that all of us know about the DA and its leadership. One: they did not fight against apartheid. [Interjections.] Two: they were not prepared to lay down their lives or their liberty in the interests of the oppressed of this country. [Interjections.] Three: they have no individual among their ranks who could be labelled a hero of the people. [Interjections.] This is why they will never understand …
The DEPUTY SPEAKER: Order, hon members!
The MINISTER OF EDUCATION: … why the Western Cape leadership decided not to desert Tony Yengeni in his hour of need.
They are, in fact, so irrational that they believe a six-year-old can run away. I never heard anything so ridiculous in my life. [Interjections.] You are absolutely ridiculous. Your guilt makes you shout because you know what I say is true. [Interjections.] [Applause.]
In response to the matter of the Constitutional Court rulings: Of course the executive has taken note of the rulings, and certainly, public hearings are an important part of the work that Parliament should undertake. However, I think the rulings mustn’t be interpreted as saying that the laws in their substance are unconstitutional. I suggest hon members read the actual judgment by the Constitutional Court judges and the minority reports, as well.
There isn’t a statement that the incorporation was unconstitutional; it is in the application by Parliament of its particular role that questions have been raised. Let’s not transmit the judges’ view and ruling into our own perspective on the particular legislation and its substance.
With respect to disaster management, there are structures in place. The hon member of the IFP will be aware, with respect to the Taung community and the disaster experienced in the Bophirima district in the North West and the rains we had recently, that there was speedy action by the disaster management committee. The structures put in place through legislation reacted fairly well and we have begun to see the rebuilding of the infrastructure that was destroyed in those particular regions. We will be seeking assistance in other provinces where there have been the sorts of disasters that the hon member referred to.
We would fully agree that we perhaps need to be more anticipatory, but it is very difficult to fortune-tell when bad weather will occur. We are doing all we can to ensure that we do indeed ready ourselves to respond.
The matter that the hon member referred to with respect to Thabazimbi is, of course, worrying. Any form of attack that could be construed as racial is something we all should worry about, and of course we must never tire in our efforts to build a society where we respect the human dignity, rights and safety of all persons. So, certainly, we would say that more must be done and, certainly, the Human Rights Commission, I’m sure, would want to pay attention to those particular communities. We are fortunate in our country that there are indeed few such communities. However, whenever we have instances of racism, of abuse of the dignity of others, across all colours and genders, whenever abuse occurs and it is seen as something that is within the community or society, certainly the Human Rights Commission must assist us by reacting and supporting the necessary building of a nonracial society which respects and upholds the human dignity and equality of all.
On the matter of same-sex marriages, I thought there was an announcement yesterday of the Cabinet decision vis-à-vis the civil union legislation. I think on that basis, Parliament would be able to set its timeframes and get on with the work to actually deal with the legislation. I hope that the Minister would have heard the statement from the hon member of the DA and that steps will be taken in terms of Rule 159 to ensure that Parliament indeed has a draft piece of legislation, so that it could begin to develop its programme as to how it will address the legislation.
Given that there is a Constitutional Court ruling, I don’t think it was Cabinet’s view that there should be an approach to the court to extend the time. Rather, it was that we should ensure the legislation reaches Parliament to ensure that both Houses have an adequate opportunity to deal with the legislation and therefore to respond to the Constitutional Court deadline of 1 December.
In conclusion, I would join hon members in condemning the murder of Councillor Motubatse and expressing our sympathy to his family and the community that he served. I thank you. [Applause.]
The DEPUTY SPEAKER: Thank you, hon Minister. There is only opportunity for two Ministers to respond to any of the items that were left out by the Minister. All Ministers are happy. We now come to the subject for discussion.
THE 60TH ANNIVERSARY OF THE AFRICAN MINEWORKERS’ STRIKE OF 1946 – THE SIGNIFICANCE AND ROLE OF THE WORKING CLASS MOVEMENT IN THE TRANSFORMATION
OF OUR COUNTRY
(Subject for Discussion)
Mr G G OLIPHANT: Madam Deputy Speaker, thank you very much. In view of the debate and the excitement I hear on my left, I will move a motion without notice at the end of this debate. I will get responses to this and I am sure we will even get support from those on my left.
Let me start by saying that the month of August 2006 marks very important anniversaries in the political calendar of South African life. Firstly, 9 August 2006 marks the 50th anniversary of the women’s march to the Union Buildings in pursuit of the establishment of a democratic, nonracial, nonsexist South Africa. Secondly, 12 August 2006 marks the 60th anniversary of the African mineworkers’ strike for better living and working conditions in this industry, including the demand for a living wage.
It is in this context that we recognise that black women in the distant lands of our country continue to raise families alone, as their husbands are forced to toil in the mines, with no guarantee of safety from rock falls or immunity from diseases such as HIV/Aids and TB.
My interest in this subject derives from personal experience as a mineworker for about 14 years. We were part of the NUM membership, which was formed in 1982, and the subsequent formation of Cosatu in 1985, inspired by our forebears who formed the African Mineworkers’ Union in 1931 and the process that led to the heroic strike in 1946.
Members will recall that 2006 also marks 120 years of mining since the discovery of precious metals in 1886. Mining is, therefore, still the bedrock of the South African economy for manufacturing and other value addition that is still conducted outside our shores, a matter that we still have to address as a country. Since then, over 50 000 mineworkers have died, more than a million permanently disabled on duty, and hundreds suffer from occupational diseases.
In 1914 Sol Plaatje paid the following tribute to mineworkers:
Two hundred thousand subterranean heroes who, by day and night, for a mere pittance lay down their lives to the familiar “fall of rock” … in the bowels of the earth, sacrificed their lungs to the rock dust.
If time permits, we will also deal with the formation of the Communist Party of SA in 1921 and the 1922 Rand Revolt, which had an enormous impact on the mobilisation of African mineworkers in particular, culminating in the formation of the African Mineworkers’ Union in 1931.
It was indeed in 1941 that the beginning of the first real mass trade union for South African black mineworkers came to the fore. Such an initiative - and I stress this - was from the executive of the ANC in the Transvaal. Veteran leaders, Communist Party members and trade union leaders were behind the proposal to sponsor the organisation of trade unions. Central to that debate were communists like G Radebe, Thabo Edwin Mofutsanyane, Moses Kotane, J B Marks, James Majoro and others.
During that time the ANC was also going through a period of reorganising itself under the leadership of a new generation: Comrades Nelson Mandela, Oliver Tambo, Duma Nokwe, Govan Mbeki and others. So, for the record, this alliance was grounded in the struggle, and it is here to stay. Those who wish it away, continue to dream on. [Applause.]
On 3 August 1941 the ANC conference pressed ahead to bring the strengthening of the union to reality. By 1944 the membership of the African Mineworkers’ Union grew into thousands. The response of the Smuts government and the Chamber of Mines towards these developments was lukewarm. In 1943 government set up the Lansdowne Commission to investigate the living and working conditions of mineworkers in the industry. Even the recommendations of the Wage Board to Parliament were simply turned down.
The union seized the opportunity to mobilise its members for comprehensive demands, which included a living wage, the demolishing of the hostel system, a reduction in the number of working hours to 40, the provision of free safety equipment, and the improvement of food in the compound. I must say that all these demands are still relevant today, 60 years later.
These demands were carried in a letter written by the union to the chamber on 3 May 1946. Until today the chamber has never acknowledged receipt or responded to that letter. This type of arrogance and insensitivity displayed by mine bosses, together with their then government, precipitated the heroic strike in 1946.
The NUM, in their memorandum to the Chamber of Mines this year on 12 August, referred to this persistent attitude that continues across generations to the latter day. They further declared that the underlying spirit of J B Marks, J J Majoro, Thabo Mofutsanyane and Moses Kotane will continue to lead mineworkers in the current period and that, “With our action now, we promise not to falter.”
The strike of 1946 was the biggest single strike in South Africa, estimated to have had 76 000 African miners participating. During that period, nine workers were killed, 120 were injured, many leaders were arrested, some sacked, and the strike was broken. On the 40th anniversary of the mineworkers’ strike, in a commemorative pamphlet of the SACP, “A distant clap of thunder”, the party described the brutality of the regime in suppressing the strike as follows:
The atmosphere was not that of a labour dispute, as the term is understood elsewhere in the civilised world. It was rather that of a civil war; it was fought by police equipped like an army, with rifles and fixed bayonets; its operations conducted like military offensives against an enemy, ending in “surrender”, signified by raising of weaponless hands; the surrenders followed up by the “rounding up” of stragglers in hiding.
During the same period in 1986, Joe Slovo made the following observations: that no monument has yet been built to these fallen heroes of labour; that the fruits of their sacrifice can only be seen in the wealth accumulated by a tiny minority; that the 1946 strikers’ courage must be an inspiration to all workers to unite and fight for their rights.
Members will recall the collaborative effort between the Chamber of Mines and government, and that the General Smuts government attacked the communists as agitators of the strike, forcing those who were union leaders out of the union, and the Communist Party was subsequently banned in 1950. Simple demands of workers were met with brutal force.
Those who care to listen to music describing the living and working conditions of mineworkers must visit these places or just listen to the track by Bra Hugh Masekela called Stimela. He sings about the filthy, funky, flea-ridden hostels, and about the mineworkers who go deep, deep down into the belly of the earth every day to dig for that evasive piece of metal underground, risking loss of life and limb; of families not knowing if their loved ones will return after the choo-choo train has taken them from all over the region - Zimbabwe, Mozambique, Lesotho and Botswana.
Our mothers used to sing the song “Ba ile banake, ba ile mosebetsing” [My children are gone, they went to seek jobs] for the same reasons. Some have never seen the graves of their sons, even until today. This economy was built on the backs of mineworkers from all over the region, and we commend the NUM for their working class solidarity programmes and co-operatives within the areas mentioned above.
However, the struggle continues. In 1982 the National Union of Mineworkers was formed under the leadership of Cyril Ramaphosa, James Motlatsi and Elijah Barayi, to name but a few, picking up the fallen spear from the African Mineworkers Union. Cosatu was then launched in 1985, taking forward the torch from our forebears Sactu, with Elijah Barayi still as its first president. I won’t go into the rest, as the rest is history.
In 1986 the apartheid state tried to do with us what their heroes did in 1946 to our ancestors. They banned the UDF and other progressive formations, tried to restrict Cosatu, and introduced a state of emergency. This time, however, we were ready for them, and they capitulated before we could finish with them. The year 1987 saw the seven days that rocked the chamber, and we decided to take control of our movement towards a better South Africa.
They tried to change the labour laws, and we defied them. They tried with the Labour Relations Amendment Act in 1988 and 1989, and we defied them. In 1989 the mineworkers elected Comrade President Mandela as their life honorary president. Some of our demands were met in 1990. The 1994 democratic breakthrough brought about better conditions for workers and an improvement in the lives of black people.
A lot has been achieved, even though we still have to realise the demands of mineworkers in full. You will recall that in 1994 there was the rationalisation of labour laws, and we passed the Nedlac Act. We went on to pass the Labour Relations Act that is progressive. We have also passed the Basic Conditions of Employment Act, the Skills Development Act and the Employment Equity Act. Also, 100 or so years later - in 1996 - there was the Mine Health and Safety Act that deals with this.
We in this Parliament still have to recognise the quality leadership of J B Marks, Moses Kotane, J J Majoro and Edwin Mofutsanyane under very difficult conditions. We salute them.
In conclusion, let me once more congratulate the women of South Africa on the formation of the Progressive Women’s Movement, and the Speaker on her election as a convener. Let me also congratulate the National Union of Mineworkers on its significant role in the political landscape of Cosatu, the country and the continent. The NUM still remains the biggest affiliate of Cosatu and the biggest on the continent. We also wish Cosatu well in its congress next month, and I can tell you now that this alliance is here to stay. I thank you. [Applause.]
I, with leave, move without notice:
That the House-
1) notes that 12 August 2006 marks the 60th anniversary of the
mineworkers’ strike of 1946;
2) further notes the important role played by the mineworkers in the
development of our economy and the transformation of our country;
3) believes that the demands put forward by the African Mineworkers
Union in 1946 were not fully addressed and are still relevant today;
and
4) resolves-
a) that the living and working conditions of mineworkers be
investigated further and be improved;
b) to support the initiative to build a workers’ museum by the
mineworkers;
c) that Parliament establish a process of renaming some of its
buildings after heroes like J B Marks, a leader of the African
Mineworkers’ Union.
The DEPUTY SPEAKER: Order! Hon members, the hon Mr Oliphant has moved a motion without notice. Are there any objections to the motion being moved?
Hon MEMBERS: No!
The DEPUTY SPEAKER: The motion will be put for a decision at the end of the debate.
Mr C M LOWE: Thank you, Deputy Speaker and good afternoon, Deputy President. In addressing you all this afternoon, I am indebted to the writings of MP Naicker, Alex Hepple and James Philips, all of whom provide a welcome redress and rebalance, perhaps, to the biased and one-sided history I was disadvantaged enough to be taught when at school.
Sixty years ago, on 12 August 1946, the African mineworkers of the Witwatersrand came out on strike in support of the demand for higher wages. They continued to strike for a week in the face of the most savage police terror in which officially nearly 1 300 were wounded and a very large number - officially put at only nine - were reported killed. Lawless police and army violence smashed the strike. The resources of the racist state were mobilised, almost on a war footing, against the unarmed workmen.
The miners’ solidarity and defiant action should be commemorated by the working class and the liberation movement and by democrats everywhere as a heroic and historic event. It was a giant step forward towards freedom from exploitation and oppression in South Africa.
Its most profound impact, however, was the effect it had on the political thinking within the national liberation movement. Almost immediately, it shifted significantly from a policy of concession to more dynamic and militant forms of struggle. It transformed African politics overnight by ending the compromising, concession-begging tendencies that had dominated African politics until then.
Today, on the 60th anniversary of that strike, we honour the memory of those African miners, of mineworkers and workers everywhere. We remember and commend the cause for which they fought, and in whose name so many died. In so doing, we commemorate their efforts and the efforts of all brave South African men and women who went before them and who took up the struggle in the decades after them. These men and women wanted and ultimately demanded nothing more than what was their birthright in the face of unconscionable prejudice, untold and overwhelming violence and often utter hopelessness; to have their basic human rights acknowledged, to receive equal consideration in an open society and to earn a decent living wage.
The struggle of white miners in the unions from 1880 onwards, prevented the solidarity between white and black workers, but it taught black workers the importance of one thing - in order to win their demands, they had to organise. After many successful attempts, as we’ve heard, on 3 August 1941, the African Mineworkers’ Union was finally established; at a time when the wage rate for African workers was R70 per year and for white workers R848. By 1946, African wages were R87 and for whites the wage was R1 106, which meant a gap of 12:1.
The Chamber of Mines refused to even acknowledge the existence of the African Mineworkers’ Union, much less to negotiate with its leaders.
On Sunday, 4 August 1946, after months of futile attempts to reason with the Chamber, over a thousand delegates gathered at an open-air conference in the Newtown Market Square, and unanimously resolved to embark on a general strike in support of the legitimate demands of the minimum wage of eight shillings and better working conditions.
A last-minute appeal to the Chamber to negotiate was ignored, as usual. The press and mass media did not print any news of the decision until the Monday morning, 12 August, when the Rand Daily Mail came out with a front- page story that the strike was a “complete failure”. Yet, the paper had gone to print even before the strike had begun.
By that evening, tens of thousands of workers went out on strike. The Smuts government had formed a special committee of Cabinet Ministers to “deal with the situation” and thousands of police were mobilised and drafted into the area.
They dealt with it by means of bloody violence. The police used batons and bayonets and fired on the striking workers to force them down the mineshafts. The full extent of the police action would probably never be known, but reports from miners and some newspapers revealed intense persecution, violence and terror during the week that followed.
A peaceful procession of workers began to march in Johannesburg on what became known as Bloody Tuesday, 13 August, wanting their passes so that they could go home. The police opened fire on the procession, killing a number of workers. At one mine, workers who were forced to go down the mine and started a sit-down strike underground. The police drove the workers up, according to The Star newspaper, “stope by stope, level by level”, to the surface. They then started to beat them up and chased them into the veld with baton charges. Then, according to The Star, the workers were “re- assembled” in the compound yard, and “volunteered to go back to work”.
By Friday 16 August, after five days of violence, terror, mass arrests and propaganda, all 75 000 - or probably nearer to a 100 000 - striking workers were bludgeoned and subdued to going back to work.
These are the facts of the events of the story of the 1946 strike, and the story we must remember and honour because, through the efforts of so many, including those mineworkers, we now live in a far better country with the Constitution and labour legislation that recognises the rights of all workers and guarantees them those rights and protections. That is how it should be and that is what the DA supports.
However, while we honour the past, we must be careful of not living in it too. Today’s debate should also be about building on that past, how we deal with the realities of the present and what we are doing to confront the challenges of the future. Today in honouring the past, trade unions need to face up to the realities of the 21st century and change the way they behave. Addressing Parliament on 18 May, President Mbeki said that no cause is so great that strikers can damage property or injure people during strike or mass action. He was referring, of course, to the ongoing Satawu strike, a grim reminder of the damage that is done when unions behave recklessly and irresponsible. That strike saw more than nine people murdered, many more injured and led to large-scale destruction of both private and public property. All of it was carried out by people who, when at work, are supposed to prevent violence and unlawfulness of this or any other sort.
Two days before, only metres away from these Parliament buildings, Cape Town became a war zone. Journalists were attacked and stabbed, car windscreens were smashed and cars badly damaged, shop windows were broken, motorbikes turned on their sides and militant strikers, many armed with steel pipes, pick-axe handles and sticks, marched through the city, wreaking havoc and demonstrating the thuggery of some members of South Africa’s trade unions.
Panic-stricken law-abiding citizens ran for cover, shop workers were attacked, threatened and traumatised, and at least one person was thrown through a plate glass window. The DA recognises absolutely the right of all workers to strike, but we cannot condone the behaviour of those thugs who are intent on terrorising South Africans in an effort to put pressure on the employers. Workers have rights; hard-won and hard-earned rights, but law-abiding citizens do too. The DA believes that the constitutional right to strike must, in all instances, be carried out in a legalised and organised manner that does not infringe on the rights of those citizens and those workers who also carry out their right to work.
To do otherwise, would be to betray the memory, the struggle and the sacrifice of those who fought and died in the miners’ strike of 1946. By his own admission, the President has agreed.
So the lesson of today is that our labour laws should be amended to prevent a repeat of mass anarchy and wilful destruction of property and, as we have said we would, the DA has introduced the Private Member’s Bill and the Labour Relations Amendment Bill, which seeks to hold unions responsible for their strikers who take the law into their hands, making them criminally and civilly liable for damage caused. In commemorating the historic 1946 miners’ strike, we acknowledge how far we have come as a nation, how much we have shared and changed for the better, and how deeply we are all bound together by the shared history of our land; and just how far the road we still have to travel extends. However, more than anything else, it teaches us that the past, however brutal, illegitimate and unjust, really is another country.
We must remember and honour the past, but we must stop living in it. Constantly using the past is an excuse for current shortcomings and failings. We reflect badly on ourselves and we sully the memory of those men and women who struggled to make South Africa free.
While we honour the past, it is to the future that we must look if we are truly to honour the events of 1946 and their significance to us and the generations that will follow. [Applause.]
Prince N E ZULU: Madam Speaker, indeed it was on Monday 12 August 1946 that mineworkers in the Witwatersrand area went on strike and demanded a living wage and basic human conditions in the work place. The following day, the Transvaal Council of Non-European Trade Unions lent support to the general strike of black workers. The scale of that action was unprecedented at the time, notwithstanding the 1918 strike.
The Transvaal Chamber of Mines was paying R87 per month per black miner and R1 106 per white counterpart, which means a ratio of 12:1. This was appalling and the Chamber of Mines was not prepared to negotiate even a 10 shilling increase per month. I heard from my peers in the King’s palace that the Regent, Prince Mshiyeni kaDinuzulu also sent a word of caution from Nongoma to the Chamber of Mines before the strike, asking it to heed the plea of his father’s people. That was not heeded. It was soon after this that the Native Representative Council under Dr A B Xuma was dissolved as a toytelephone and the political impetus in the country was heightened as never before.
An outstanding feature of the strike was the manner in which it was organised, yet there were no formal training at the time. It is for this reason that we argue and say democracy is an integral phenomenon in Africa, save for a few delinquents.
It was not until 13 August, which became known as Bloody Tuesday, that the blood of the innocent was spilled and spattered on the streets, compound gates and everywhere else as a result of the state unleashing its gruesome vendetta upon the African miners under the instructions of a Cabinet Committee of General Smuts’ government. It was not until the end of that week that people were bludgeoned back to work, the leadership arrested and charged with treason and sedition. This action proved beyond doubt how rampant white South Africa was in defence of its cheap labour policy and big dividends for the mining magnates. This action by the state fuelled more vigour and determination among workers to organise and continue the fight by other means, proving correct the assertion by iNkosi uLuthuli that anger generates more and more courage.
Out of the evil system of the time, the African miners learnt how to organise, how to forge solidarity among themselves and how to best negotiate and bargain. The mine bosses were intransigent and the Smuts government was also intransigent. Why do we still have so many industrial actions now? Like yesterday, why did Cosatu call the wages paid in the cleaning sector “slave wages?” Why is Nehawu calling for a second job summit and then maybe a strike? Is our house in order? On the other hand, Madam Speaker, white workers became the aristocrats of labour in South Africa, being among the highest paid in the world. It is events such as these that inspired the leader of the IFP in his youthful age to get involved in human right activities up to this stage. Thank you. [Applause.]
Ms O R KASIENYANE: Madam Speaker, hon Deputy President, hon Ministers, hon members and members of the public, in 1946 the African mineworkers’ strike marked a turning point in South Africa’s political history, in the sense that it had a profound impact on both the country’s workers’ struggle for a better life and in advancing the principles contained within the national democratic revolution.
In this regard, as we celebrate the 60th anniversary of this significant event in our nation’s history, we have to advance the rise of the South African worker, as it is enshrined in our constitutional democracy. Even at this relatively early stage of our society’s political evolution, the most profound result of the strike, however, was the impact it had on the political thinking within the national liberation movement.
In 1941, when the decision to launch the Mineworkers’ Union was first mooted, the wage rate for African workers was a disgrace. I am not going to mention the gap between the salaries for white and black people, because two members had already mentioned it. With the formal establishment of the union, organisational work began in earnest in the face of increased harassment, arrests, dismissal, and the deportation of workers by the police and the mine management. Nevertheless, the union grew in strength and influence. The Chamber of Mines, however, refused to even acknowledge the existence of the African Mineworkers’ Union, as has been alluded to already by Comrade Oliphant, much less to negotiate with its representatives. We have since moved a long way as the ANC, together with the alliance partners, in raising awareness around horrific conditions in mines and a lot has changed since then. In this regard, our alliance partner, the South African Communist Party stated that although there has been a significant improvement in the legislative framework, there is very little change in terms of power relations on the shop floor. Management continues to take unilateral decisions with very little involvement of workers, except in those matters designated for collective bargaining. This fact is also captured by the recent DuPont Report on safety management and the progress evaluation of Sasol, which was presented to the Portfolio Committee on Labour a few days ago. It was also recommended that an active involvement of union personnel would help significantly. An appropriate process needs to be investigated to optimise the involvement in developing the safety culture.
Although we have made great progress in improving conditions in the mines over the years, some of the challenges we still face include the escalating rate of job losses in the mining industry and high levels of fatalities in the mines. Be that as it may, the ANC-led government is working towards transforming the mines in order to deal with challenges faced by the sector.
The Mining Charter, which was also alluded to by Comrade Oliphant, and which is a transformation strategy, addresses these challenges by highlighting key transformation components such as employment equity, skills development, procurement, leave conditions and community and rural development that will also be accelerated through fast-tracking the land reform process.
Some of the contributing factors are owed to industry-wide skill shortages, which are now being addressed through the Accelerated and Shared Growth Initiative for SA, Asgisa, which deals with these challenges through Jipsa, as it addresses issues such as scarce skills in the different sectors via different government departments.
As part of a commitment to building a better life for mineworkers, the Mine Qualification Authority is aimed at developing appropriate knowledge and skills in the mining, minerals and jewellery sectors to redress past inequalities in education and training through the awarding of bursaries to students for scarce skills and tertiary education assistance.
The challenge is, however, to place women in positions equivalent to men, in other words, to be able to do manual labour associated with mining. In this Month of Women, when celebrating the 50th Anniversary of the Women’s March, we also celebrate women in mining. Hence we extend this celebration to a tuneful contribution by women in mining projects, which has unrivalled opportunities for all women. Malibongwe! [Praise!] The new emphasis is on the development and the empowerment of women in the mining sector.
In order to create a developmental state that is biased towards the workers and the poor National Union Mineworkers, alliance partners have to play a central role. That will be the continuation of the role played by comrades, including the likes of Cyril Ramaphosa - who was a Secretary General of the National Union Mineworkers - who played an important role in the drafting of the Constitution, in the establishment of institutions such as Nedlac, and in formulating legislation such as the Labour Relations Act and the Basic Conditions of Employment Act.
Indeed, we are confident with our present and past leaders. We talk about the likes of Comrade Gwede Mantashe, one of the clear-sighted comrade leaders who showed leadership. Of course the one who was mentioned by Comrade Oliphant was J B Marks. I think all of us know or have heard about J B Marks who was also a product of the African Mineworkers Union.
Chairperson and Madam Speaker, with regard to the late Comrade Joe Slovo, I want to repeat what was said by Comrade Oliphant when he said that “no monument has yet been built to acknowledge these fallen heroes of labour. The fruits of their sacrifices can still only be seen in the massive wealth accumulated by a tiny minority who came from foreign parts and enslaved the whole nation”.
These words were uttered during the 40th anniversary of the 1946 mine strike. Unfortunately, those words are still true today as we celebrate the 60th anniversary of the strike. As we celebrate this 60th anniversary of the mineworkers’ strike, we owe it to those of our people who died during this strike to ensure that the good pieces of legislation that this House passes and its policies are implemented.
It is to ensure that never will our mineworkers lose their lives due to working in unsafe work places. Never again will the mineworkers suffer the indignity of being migrant workers. Of course, never and never again will the children of these mineworkers lose their fathers due to tuberculosis and phthisis. Never again will families cry and utter the words of Oliphant, when he said: “Ba ile banake ba ile mosebetsing, rra-nko tia, teng koo metsi a kgelelwang ka lenala” [My children have gone to work at Rrankotia, a place where water is sparingly used because it is scarce.] [Laughter.]
Mr J BICI: Madam Speaker, hon Deputy President and hon members, the significance of the African mineworkers’ strike of 1946 resides in its double impact in terms of politics and economics. By that time the foundations of colonialism and segregation were well established. Importantly, the weakness of apartheid was already built into its foundations even before the National Party set about building their regime.
The inherent flaw was that the masses of people that they sought to marginalise politically were the same people that they were exploiting economically as a labour force that formed a critical part of their economy. The strike signalled to the mining houses and many politically astute observers that this vital and indispensable economic group was now in a commanding position to make demands and force concessions. Sadly, it was inevitable that many were not willing to accept this and hence successive apartheid governments resorted to increasingly draconian and downright absurd measures.
The implication of that strike was clear: all of us in this country have a shared destiny, because no artificial, physical or legal border can separate us. Thank you, Madam Chairperson.
Mr H B CUPIDO: Chairperson, the ACDP pays tribute to the courage displayed by the group of Witwatersrand mineworkers who, in 1946, took the initiative to change the dire circumstances of their lives. The ACDP finds it unfortunate that in many instances workers are not acknowledged for their crucial contribution to the country’s development.
One of the factors that are slowing down transformation in this country is the slow pace with which the benefits of BEE’s initiatives are filtering down to the poor. We are now 12 years into our democracy, and whilst government and big business have publicly declared their support for each other, we have yet to see a similar display of camaraderie between government and workers.
With reference to the present and the recent security worker strike, and the Shoprite worker strike, which is taking place presently, one must confess that it cannot be seen as contributing to the legacy of those involved in the 1946 strike.
Voorsitter, daar is geen regverdiging in die stroping en wetteloosheid wat met onlangse stakings gepaard gegaan het nie. Nie een van die rolspelers kan wen nie. Dit ten spyte van die feit dat Suid-Afrika ‘n stabiele politieke en ekonomiese tydperk beleef. [Tyd verstreke.] (Translation of Afrikaans paragraph follows.)
[Chairperson, there is no justification for the plundering and lawlessness that accompanied the recent strikes. Not one of the role players can win. This, in spite of the fact that South Africa is experiencing a stable political and economic period. [Time expired.]]
Mr M J G MZONDEKI: Chairperson, like my colleague Godfrey Oliphant, I feel honoured to be part of this discussion as an ex-mineworker. I worked in the mines during the time when the mineworkers were not organised, that is, after they had been unsuccessful – after 1946 and when they had to reorganise themselves. I was also able to work in the mines when the mineworkers were organised.
So, unlike the DA, I’m able to speak from lived experience. I cannot be confused by the media; I cannot be confused by the experts. Therefore I cannot jump into thinking that the best thing to do is to make amendments. I think that if amendments are to be done, they should be informed by what transpires on the ground, which is what the ANC is informed by.
I have also lived through the experiences. I have been into the compounds; I have lived in those conditions. I have also experienced what it means to go underground, to wake up at two in the morning and have breakfast at that time and to start queuing to go underground, only to have to wait for the miner who will only go underground at six in the morning.
I’ve also experienced what it is like to then finish your work around 11 o’clock, but have to wait for all the whites to be lifted out from underground because the black workers are finished with last. I have lived through that. I have also lived through the situation of being a personal assistant and having to sit in on a case with an alleged offender who had no representation - in fact, I can almost say, without any disciplinary procedure in place. I have had to inform such an alleged offender as he came from underground to go straight to the office to sit in a hearing without a representative. Depending on the mood of the so-called presiding officer, he would be found guilty without making a statement. Of course, as a poor personal assistant you had to endorse his record. There was no appeal. He could not appeal. I have had the experience of resigning about three times, because if the white man decided to call me the “k” word, I could not complain anywhere. So I have lived through those experiences.
It is thanks to the National Union of Mineworkers that in 1982 the workers were reorganised and we started dealing again and taking over from where we left off in 1946.
Comrade Joe Slovo once had this to say:
Over 50 000 dead. More than a million permanently disabled. Hundreds of thousands diseased through inhaling the poison dust. Millions displaced from their homes, separated from their families and locked into a chain of guarded, high-walled labour camps. These are not the casualty figures for a major war; they are the price already paid by black miners for digging gold and coal from the bowels of South Africa’s earth.
Today, our black working class, the creator and owner of all our country’s wealth, is in the forefront of mass forces which are poised to deal a deathblow to the tyranny of race rule and its roots in capitalist exploitation. Within this working class, the mines undoubtedly constitute the backbone of a rapidly growing trade union movement which has already demonstrated its massive potential in the liberation upsurge.
As I have said, I feel very honoured to participate in this very important discussion today. I would like to note the important role played by the former Transvaal president and Communist Party chairperson J B Marx, “Uncle J B”. I further note the role played by the National Union of Mineworkers in taking forward the legacy and spirit of 1946.
The immediate aftermath of that brutal suppression of the strike was the systematic destruction of the union through collaboration between the Chamber of Mines and the police. However, while the government of that time succeeded in suppressing the strike, some important gains were made from that strike. It set the tone for the radicalisation of the ANC and inspired the Defiance Campaign of 1952, which enhanced the course of our struggle forever. We surely owe our liberation and freedom to the 1946 strike heroes who set the trend for the working class and for popular activism as the bedrock of the national struggle?
Today the trade unions operate under different conditions. A legal framework is in place that enables us to strike legally. There is also a framework that should enable us to avoid strikes, provided that we negotiate in good faith.
It is unfortunate that we continue to see strikes in our country, because those who own everything - our minerals, our land and our factories - do not want to share with those who own nothing but their power of labour.
Let me also note the role played by those that came from outside the borders of our country and participated in our struggle. Many of them were displaced from their homes, separated from their families and locked in those high-walled labour camps. Many of them remain in our country, because there is nothing for them to take home despite their contribution to the wealth of this country. Others go home badly maimed, owing to the dangerous conditions under which mineworkers work. Thanks go to the role that the National Union of Mineworkers continues to play in reaching out to those outside our borders through programmes such as the Mineworkers Development Agency that enables some ex-mineworkers, such as those in Lesotho, to continue to earn a living through initiatives such as co-operatives and other skills provided by the MDA. I hope our government will reach out and complement these efforts to make such initiatives sustainable.
Initiatives such as clinics built outside our borders to cater for injured ex-mineworkers in those countries are a result of pressure by the mineworkers. A lot still needs to be done, though, and hence there is a need to strengthen the trade union movement even more.
The trade unions continue to play a vital role even beyond the workplace. We note their involvement in issues such as housing, education and health, not only for their members, but also for the communities at large.
There is a need to strengthen unity amongst mineworkers. The emerging, new fly-by-night unions are a matter of concern. Their agenda is questionable, and we need a unified workforce that cannot be derailed by selfish motives.
The increasing number of accidents on the mines, such as at Sasol, needs the strong voice of the workers to engage management on these matters. My chairperson has already referred to reports like the DuPont Report. The absence of a progressive trade union in such areas is a matter of concern.
Challenges such as retrenchments on mines that close or downscale need a strong voice to ensure that processes such as the social plan, which may avoid these retrenchments or at least reskill people, are properly implemented. Challenges such as globalisation need a strong voice, so that we can reskill mineworkers for new opportunities. Challenges in the workplace, such as the slow implementation of employment equity, need the strong voice of the workers.
The 1946 strike has taught us that whatever mountains there are, we will climb them. The mineworkers at the time had obstacles such as different cultural backgrounds. They came from rural and urban areas, while others came from outside the borders of country speaking different languages, but they united. There was also the strong collaboration between the Chamber of Mines and the government of the day. Despite all that, the mineworkers came out winners.
We need to continue with this battle until we are economically liberated. We want to thank those wives who did not abandon their husbands, even when they came home with very little to offer. I thank you. [Applause.]
Mnr W D SPIES: Mevrou die Voorsitter, die agb Oliphant het verwys na die Randse staking van 1922 en hoe dit saam met ander gebeure bygedra het tot die stigting van werkerorganisasies, en ook na die staking van 1946, wat weer ’n bepalende rol gespeel het in die verdere geskiedenis van Suid- Afrika.
Die verrassende uiteinde van die staking van 1922 is dat verarmde Afrikanerwerkers saam met hulle swart kollegas in opstand gekom het teen die werkomstandighede wat geldgierige mynbase op hulle afgedwing het. Dit is interessant dat werkers nie net die gang van die geskiedenis in Suid- Afrika verander het nie, maar ook dié van die wêreld.
Ons het gesien dat in Frankryk die bestorming van die Bastille deur werkers geskied het. So het die bolsjewistiese republiek in Rusland tot stand gekom na aanleiding van ’n werkeropstand, en ook in die VSA het werkers ’n bepalende rol gespeel in die bevryding van die VSA van Britse oorheersing.
Die merkwaardige is egter nie die feit dat werkers die geskiedenis kan verander en vryheid vir mense kan bring nie, dit is wat met daardie vryheid gemaak word. Dit is waaroor die debat behoort te handel. Vandag is Suid- Afrika weer eens midde-in ’n debat tussen die vakbondverenigings – ons sien dit orals – wat op die voorpunt staan van ’n toutrekkery oor wat met die vryheid gemaak moet word wat ons 12 jaar gelede ontvang het.
Laat ons dus nie net juig oor die verlede en die verandering van die geskiedenis nie, maar laat ons luister na alle werkers, die meerderheid sowel as die minderheid, oor hoe ons die toekoms ook beter kan maak. Ek dank u. (Translation of Afrikaans speech follows.)
[Mr W D SPIES: Madam Speaker, the hon Oliphant referred to the Rand strike of 1922 which, together with other events, contributed to the establishment of worker organisations, as well as to the strike of 1946, which in turn played a defining role in the further history of South Africa.
The surprising result of the strike of 1922 was that impoverished Afrikaner workers, together with their black colleagues, rebelled against the working conditions which money-grabbing mine-owners enforced on them. What is interesting is that workers not only changed the course of history in South Africa, but all over the world as well.
We saw how workers in France stormed the Bastille. The Bolshevistic republic came about in Russia following an uprising by workers, and in the USA workers also played a defining role in liberating the USA from British oppression.
What is remarkable, however, is not the fact that workers can change history and bring freedom to people, but rather what is done with that freedom. That is what the debate ought to be about. Today, once again, South Africa is in the midst of a debate between trade unions – we see it everywhere – who are about to squabble about what ought to be done with the freedom that we achieved 12 years ago.
Therefore, let us not only rejoice about the past and the changing course of history, but let us listen to all workers, the majority as well as the minority, on how we can also improve the future. I thank you.]
Dr S E M PHEKO: Chairperson, the 1946 mineworkers’ strike stands out as a symbol against exploitation of workers. It is a reminder that the rapid growth of capitalism in South Africa has created a situation where a CEO of Shoprite Checkers can earn R59 million in a year while resisting an increase of R300 for workers, with consequences of an economically damaging workers’ strike to the country.
Millions of people, both employed and unemployed, are condemned to a life of poverty by the twin evils of low pay and mass unemployment. Unemployment, combined with HIV/Aids, constitutes one of the major social challenges confronting our country today.
The right to work is a fundamental right that must be vigorously protected. Work is life. In paying tribute to the 309 000 mineworkers who in 1946 were forced to work six days a week with an average wage of 21c a shift, with no overtime pay, no sick pay or holiday pay, our country must get rid of a work environment that makes workers more insecure and forces them to work in outsourced and subcontracts that do not provide benefits. Aluta continua! [Time expired.]
Ms J L FUBBS: Madam Chair, hon members of the House, comrades and colleagues, the mining sector forms the foundation of our economy and the foundation of modern mass mobilisation in our country. It was a mobilisation, as we have heard this afternoon in this House from the ANC in particular and possibly a few others, that renewed the vigour of socioeconomic and political freedoms in our country and effectively ensured that all workers were recognised as the motive forces for the national liberation movement.
I just want to indicate that with regard to the points made by the hon Spies of the FF Plus, one would certainly want to support the total recognition of workers that were pioneering change – what we in the ANC alliance would call the motive forces for change - we certainly share that view and hopefully you will soon be joining us.
Yes today, 60 years later, many of us enjoy those rights which the miners fought for in 1946 and subsequent strikes, in particular those in the 80s. However, you are asking: What on earth are people still fighting for today? What are the strikes continuing about? We in the ANC certainly don’t support any form of criminal activity during a strike. We never have, and neither do the unions or any of our alliance partners. However, the reality remains that what they fought for then – a 40-hour week, fair wages and family housing - is today a figment of the imagination. Many same-sex hostel types of accommodation exist. Where are the 40-hour week for such dangerous heavy-duty jobs and the fair wages? I wouldn’t risk my life for that. That’s for sure.
AN HON MEMBER: What about productivity?
Ms J L FUBBS: You talk about productivity. Let’s talk about productive capital. I am coming to that.
Yet, miners who work in a sector that directly contributes nearly 7% the GDP and labour under the most dangerous and difficult conditions, work these long hours. It is not surprising with the type of accommodation they have that HIV/Aids has a significant presence.
It is also worth noting that the total real contribution of the mining industry to the GDP is effectively in the region of 16% or about a R153 billion. This is made up of a direct contribution of about 6,2% or R55 billion and a backward linkage GDP contribution of about 2,3% or R20,3 billion and a forward linkage of about 1,7% which is about R14 billion. When you add this to a consequent induced contribution, you then get a further 6% or R53 billion. Indeed, there are more than a million workers in this sector.
What I have seen and read last year was that the mining industry is a sunset industry. I am not sure whether they are at the North Pole or what. That’s quite the contrary. Instead, both the Department of Minerals and Energy and the Chamber of Mines recognise the key role of the mining industry.
Also, what is significant - and makes one recall the strike of 1946 – was the strong relationship between the SACP – the South African Communist Party – the miners and their newly developed union, the ANC youth within the broader political alliance of the ANC. This was a political and broader alliance which sustained the struggle that the miners had then and now for our society. It was a struggle built on social justice in which capital served the people and it was not the people serving capital.
It was this solidarity of miners and the ideological linkages that have directly contributed to the current economic transformation measures. The commitment to deracialise the workplace, which was very evident in the early struggles in the unions, has been broadened beyond the simple transfer of ownership to black African miners to a fundamental transformation of the economic landscape.
The ANC seeks to reach beyond the development of black elites, as our President said – black elites who would simply replace the former white mining magnates. Indeed, the ANC Secretary General put it very succinctly when he said:
We seek not only the deracialisation of ownership, but also the fundamental transformation of the economy to the benefit of the masses of our people who continue to live in conditions of poverty and underdevelopment …
Comrade Motlanthe goes on to exhort all of us, not only those of us sitting in this House but the broader community outside this House, to work together not only as black entrepreneurs, the progressive union movement but also the agencies of government to realise an authentically transformative and broadbased approach to black economic empowerment.
Unfortunately, capitalists, for the most part, have neither the inclination, nor it’s regrettable to say – the mindset to grapple alone with this tremendous task. Instead it would be best to recognise this limitation of the capitalists - let’s be realistic - and instead identify what and how capital can be used in the process of this radical transformation that is needed. On this note we can perhaps look at progressive capital because we are well aware of the propensity of capital to develop the forces of production. These include technical innovation, skilling, and developing national and regional markets. Indeed, in this way capital could accelerate job creation.
In so many ways, as one goes through this debate, you realise how it illuminates the strength of the ANC alliance. For example, comrades who led the debate spoke so eloquently about leaders Comrade Oliphant put the motion on the table, about which I am very pleased. This brings to mind the great role which J B Marks played which all workers are benefiting from. Indeed, today as we move with greater deliberation and intensity to transform the economic landscape, we see again the solidarity of the alliance.
The ANC is calling on all South Africans to implement BEE and its sister BBBEE in such a way that it will broaden the economic base and restructure South African society. The party calls on all South Africans to use the development of productive forces as the key criterion to identify such BEE projects which can be supported.
In this way we would overcome fronting. Indeed, the unions are of course demanding more than simply individual shareholding which would create these elites, but rather the transformation of the ownership of production and the boardroom. I think we are well aware of the tendency and capital to identify one or two individuals to join an elite economic group and so accumulate capital and eventually, such elite people coming from the workers’ ranks a few of them. You simply find them using their fingers scrolling across the stock market screens.
I want to look at this in a far more positive way. The muscle of the mining industry, through its shareholding with the financial sector on the Johannesburg Stock Exchange and other international exchanges, can contribute beyond the confines of the statistical view and can become a powerful instrument for change.
The lessons we have learnt from mining can also be put to use through the legislation that has been passed in that area that industry. There is and can be a greater recognition of the role human capital development can play.
Another critical component of BEE is the access to finance, and indeed the small-scale mining that has been opened up to create new opportunities for new entrants who drastically need finance, human capital development and the like.
I would just like to say that it’s very, very difficult when you look at the decades that we have endured or rather the hundreds of years of economic colonisation of the country. Today, we are faced with addressing the restructuring of the economy of distortions which that economic colonisation created. I do have faith and we do have hope in the season of hope of this year that it is possible to change the mindsets of mining magnates and others and to get them working together to grow the economy of our country - South Africa – and in this way paying tribute to the blood lost and injuries suffered by the miners of the 40s and the 80s, earlier and later. Thank you. [Applause.]
Mr G G OLIPHANT: Thank you very much, Madam Chair and all hon members who participated in this debate. I also wish to thank those who are still present - and those who have already left - for honouring us with their presence during this very important discussion.
Having considered the inputs made, I wish to move an amendment to the motion, as follows:
In paragraph (4), to omit subparagraphs (b) and (c) and to substitute with:
(b) to support the initiative by the National Union of
Mineworkers to build a workers’ museum; and
(c) that Parliament gives consideration to naming some of its
buildings after J B Marks, a leader of the African
Mineworkers’ Union, and other heroes of the struggle.
Debate concluded.
Motion, as amended, agreed to, namely:
That the House –
(1) notes that 12 August 2006 marks the 60th anniversary of the mineworkers’ strike of 1946;
(2) further notes the important role played by the mineworkers in the development of our economy and the transformation of our country;
(3) believes that the demands put forward by the African Mineworkers Union in 1946 were not fully addressed and are still relevant today; and
(4) resolves –
(a) that the living and working conditions of mineworkers be
investigated further and be improved;
(b) to support the initiative by the National Union of
Mineworkers to build a workers’ museum; and
(c) that Parliament gives consideration to naming some of its
buildings after J B Marks, a leader of the African
Mineworkers’ Union, and other heroes of the struggle.
The House adjourned at 15:45. ____
ANNOUNCEMENTS, TABLINGS AND COMMITTEE REPORTS
CREDA INSERT REPORT - INSERT T060824E-insert – PAGES 1818-1849. PLEASE INSERT FOOTNOTES ON THE SAME PAGES AS TEXT.
b) Draft Notice and Schedule in terms of section 2(4) of the Judges
Remuneration and Conditions of Employment Act, 2001 (Act No 47 of
2001), determining the rate at which salaries are payable to
Constitutional Court judges and judges annually, with effect from 1
April 2006, for approval by Parliament.
(c) Draft Notice and Schedule in terms of section 12(3) of the
Magistrates’ Act, 1993 (Act No 90 of 1993), determining the rate at
which salaries are payable to magistrates annually, with effect
from 1 April 2006, for approval by Parliament.
Referred to the Portfolio Committee on Justice and Constitutional
Development for consideration and report.
-
Minister of Public Enterprises
a) Report and Financial Statements of Transnet Limited for 2005-2006, including the Report of the Independent Auditors on the Financial Statements for 2005-2006.
COMMITTEE REPORTS
National Assembly
- Report of the Portfolio Committee on Minerals and Energy, dated 23 August 2006:
The Portfolio Committee on Minerals and Energy having held Public
Hearings on 21 and 23 June 2006 on the viability of establishing a
National RED/7th RED, reports as follows:
1. Background
The Committee undertook to hold hearings on exploring stakeholders,
interested and affected parties views on the viability of establishing
a National RED/7th RED as opposed to the existing Six RED model. The
hearings were held on 21 and 23 June respectively. The objectives of
the public hearing process were to:
• provide an open platform for discourse around the REDs,
• solicit suggestions on how to fast-track the REDs process,
• gauge stakeholder sentiments around the REDs in general and more
particularly the National RED,
• understand the challenges associated with the formation of the REDs,
and
• formulate an approach, which, is inclusive of stakeholder
preferences. The following organisations attended the hearings and made input on the subject:
• Umhlathuze Municipality
• eThekwini Municipality
• Nelson Mandela Municipality
• Southern Karoo Electricity Forum
• Energy Intensive Users Group (EIUG)
• Eskom
• NERSA
• CENTLEC
• RED1
• AMEU
• SALGA
• SOLIDARITY
• IMATU
• COSATU
• Chamber of Mines of South Africa The remainder of organisations listed below forwarded their written comments:
• Gauteng: Department of Local Government
• Mogalakwena Municipality
• Institute of Municipal Finance Officers (IMFO)
- Contextualising the developments leading up to the public hearings
2.1 The restructuring of the Electricity Distribution Industry (EDI) has been in the offing for over a decade.
2.2 Cabinet approved a Blueprint on EDI restructuring on 2 May 2001
2.3 EDI Holdings was established in 2003 to implement the directives of government on restructuring, through the Blueprint.
2.4 The Blueprint noted a number of outstanding issues which were to be finalized mid-course of establishment of EDI Holdings, notably the EDI Restructuring enabling legislation.
2.5 Prior to the establishment of first RED, namely RED1, which was centred around the City of Cape Town, EDI Holdings was instructed to establish it as a municipal entity within the confines of the municipal jurisdiction of the City of Cape Town including the concomitant Eskom distribution assets within the said jurisdiction, under existing municipal legislation, but excluding key industrial customers.
2.6 A number of stakeholder engagements ensued, which culminated in a proposal before Cabinet on 14 September 2005, to consider other means of establishing the REDs without necessarily upsetting the financial viability of six Metropolitan Cities.
2.7 On the basis of the arguments presented before it, Cabinet took a decision to establish six Metropolitan REDs as municipal entities and made provision for the establishment of the National RED for the remainder of the municipalities subject to the necessary financial modelling and governance issues being concluded.
2.8 The Committee requested DME and EDI Holdings to make a presentation before it in order to equip itself to better understand the ramifications of the proposed route.
2.9 The Committee invited all stakeholders to make presentations and express their views regarding the viability of the National RED and the impact that it will have on the stakeholders concerned.
- Deliberations
3.1 Some indicated a preference for the National RED with a provision for clustering or regional REDs while others were in favour of the six wall- to-wall REDs. Some of the Metropolitan Cities would only support the National RED on condition that the Metro REDs would be allowed to buy electricity at wholesale price from Eskom Transmission rather than at Retail Price from the National RED, which is seen as effectively, Eskom Distribution disguised. If the Metro REDs succeed in this regard, they will not be cross-subsidising the National RED.
3.2 In general, the views expressed by stakeholders were as follows:
3.2.1 Labour
Cosatu supports the six wall-to-wall REDs. However, it believes that
all the REDs must be under the control of one national holding company
to ensure equal distribution of resources all over the country and to
allow for cross-subsidisation.
Solidarity believes that the National RED can meet the objectives of
the government if properly modelled.
3.2.2. Business
In general business is happy with any model provided large customers
are exempted from buying from the REDs, i.e. that key industrial
customers buy electricity directly from Eskom Transmission and are
serviced by Eskom, mainly for safety (mining houses), pricing and good
quality of supply and service (productivity and competitiveness in
export markets). Currently customers consuming more than 100 GWh per
annum can buy at wholesale price.
In this regard, the Metros argue strongly that key industrial
consumers within their jurisdictions should remain with the Metro
REDs.
3.2.3. Local Government
Secondary and District Municipalities (UMhlathuze, South Central
Karoo, Centlec (Mangaung)). These municipalities support the sub-
regional REDs, especially those that are in existence and have proven
to be sustainable.
SALGA
Local government, represented by SALGA seems to support the
establishment of six wall-to-wall REDs while acknowledging that
municipalities cannot be treated the same. They do recognise the need
for cross-subsidisation. This statement means that SALGA supports the
6 wall-to- wall REDs including clustering.
If a decision is to go the National and Metro REDs route, SALGA
supports the concept of Sub-Regional REDs as favoured by the above
secondary municipalities.
SALGA supports the governance of the REDs under the municipal
entities.
1 Other organizations
Organisations such as AMEU and the NERSA believe that the six wall-to-
wall REDs were properly modelled and there is justification for the
demarcation. They emphasised that the EDI is sustainable on its own
and does not need external financial support, therefore the
restructuring should ensure that balance is maintained.
They also believe that the REDs as Public Entities will be easily
Regulated by NERSA and the existing National Cross-subsidisation
Framework could be maintained to help uplifting rural areas, as part
of the objectives of EDI restructuring without much fiscal support.
They believe that the National RED will not be viable and it will
create challenges of financial viability, sustainability and
management going forward.
- Deductions drawn from the inputs received
In general, most participants were in favour of the six wall-to-wall
REDs as per the Blueprint. Metros support the Metro REDs with a
National RED on condition that customers within the Metros do not cross-
subsidise the National RED. It should be noted that the electricity
distribution business is most viable around the Metros and large
cities.
The six wall-to-wall approach requires cross-subsidization within
customer categories at a larger scale even outside the Metro
boundaries, thus minimising the need for fiscal intervention in the
EDI. This model lends itself to easy Regulation by NERSA and
governance if REDs are Public Entities.
The Metro and National RED model places Metros in a poor financial
position due to having to cross-subsidise the previously disadvantaged
areas, thus creating the imbalance the Blueprint seeks to address. The
governance of the National RED poses a challenge due to its multi-
jurisdictional nature, which would lead to further constitutional
challenges.
-
Conclusion and Way forward
• The Committee, yet again completed a comprehensive process in its attempt to understand the new developments with regard to the restructuring process. Over the past three years the Committee had extensively interacted with the Department of Minerals and Energy, and key stakeholders, with the main aim of discussing and developing a common understanding, and finding solutions to challenges with regard to the electricity restructuring process, with specific focus on the six RED Model. The ultimate aim being to give effect to the restructuring process and ensure buy-in from the public.
• Satisfied with its understanding of the six RED Model, and the aims to achieve governments’ objectives by providing low cost electricity to all consumers with equitable tariffs for specific customer segments, providing reliable and high quality service to customers and meeting the country’s electrification targets in the most cost-effective manner, the Committee fails to understand how the proposed National RED/7th RED can address these objectives in the absence of any evaluation which might prove the 6 RED Model ineffective.
• The argument in favour of the National RED/7th RED was emphasised and made clear in the Eskom presentation, but the Committee felt that the national objectives outlined were achievable through the Six RED Model. The Committee found it problematic that municipalities could be given the choice to join the National RED/7th RED or Metro REDs. The Committee does not favour the National/RED7th RED option. This position is taken based upon two factors namely:
-
the lack of convincing argument for establishing the National RED/7th RED emanating from the hearings in particular the fact that almost none of the positions put forward could sustain the argument around the financial viability of a National RED/7th RED; and
-
to eliminate any further delays in the restructuring process by introducing new models, spending time and financial resources on it, but to rather commit to ensuring that the six RED Model is operational.
• In advancing the restructuring agenda and promoting the six RED Model, the Committee recommends, that concerted efforts by the relevant decision-makers be made to speed up the process, that collaboration amongst the Department of Provincial and Local Government, National Treasury, Department of Minerals and Energy and the Department of Public Enterprises takes place to ensure that the long, unresolved challenges hampering the successful implementation of the six RED Model is addressed with urgency.
• The Committee noted with concern the number of inputs which called for legislative and policy direction to drive the restructuring of the electricity distribution industry. The Committee recommends that the Department of Minerals and Energy speed up legislation in order to accelerate with change in the industry.
• The Committee recommends that National Treasury finalise the process of providing clear policy guidelines with regard to the transfer of assets from Eskom to the municipalities.
• The Committee recommends that The Department of Minerals and Energy provides clarity with regard to the definitive problems with “reticulation”, “competition and contestable customers.”
-
The Committee remains steadfast in its commitment to ensure an
accelerated REDs creation process and that all transformation processes
remain informed by the needs of our country and its people.
Report to be considered.