Speech by the Deputy Minister of Telecommunications and Postal Services, Hon Prof Hlengiwe Mkhize, during the closing event of the National Imbizo Focus Week, Claremont, KwaZulu-Natal
Premier of the KZN Province, HE Senzo Mchunu,
Honourable Deputy Minister Bheki Cele,
Honourable MEC Mr VC Xaba
Mayor of eThekwini Municipality, Clr J Nxumalo
Senior Officials from the government
Distinguished guests, and dignitaries
Members of the Community of the Ethekwini Municipality,
Residents of Clermont and the surrounding areas
Ladies and gentlemen
Programme Director,
Allow me to greet the members of the public who have joined us today here in Claremont to mark an important milestone in the programme of our current administration. It is indeed a special moment for us because in this event we are taking stock of the important work done during the Imbizo focus week, convened under the theme – “Together we move South Africa forward”.
This theme which was adopted by the Government of the people led by the African National Congress should not be taken lightly. It carries an important principle of unity in Action; unity in diversity; and a principle of working together. This theme further compels us to inculcate a continued sense of working together in all our communities, in schools, in health facilities, in academia, in business and government as a whole. It is also important to build on the existing and sound labour relations so that we work to find solutions together.
Our government is indeed committed to play it's part to work together with business, labour and civil society to improve the living conditions in our country. It is a critical theme which compels all of us to live together harmoniously, to respect the rights of each other in our communities, but also to work to build a better South Africa.
Imbizo Focus Week, which is the second of the fourth democratic government administration is taking place after the State of the Nation Address made by President Jacob Zuma under the same theme. It also takes place during the time after which the nation commemorates the barbaric killing of Comrade Thembisile Martin “Chris” Hani who was assassinated by the elements of the Apartheid regime in 1993 in Boksburg, in the Ekurhuleni Municipality. Today marks 22 years since Comrade Chris Hani was killed. A giant of our struggle for liberation and freedom against the cruel Apartheid system, a commander of the Umkhonto Wesizwe, a leader of our National Democratic Revolution and a former Secretary-General of the South African Communist Party.
To emulate the life of Cde Chris Hani, we have to work on ensuring that we deliver on the mandate given to us by the electorate as a government of the people. Therefore, this Imbizo Lounge under the theme – “A Nation At Work” is an opportunity for us to account to you the people of South Africa.
This past Friday (10 April) I was received by the community of KwaNibela in Hluhluwe, at an Imbizo event where we launched a Computer Laboratory at Mavuso High School. This initiative is part of government’s focus in connecting schools and other government facilities such as health centers.
The aim of the event was to have a public engagement, particularly aimed at communicating the positive impact that telecommunication services have on the lives of our people, especially access to computers in schools. We have through our State Owned Company, Sentech successfully installed and connected 22 laptops to the internet at the school. These laptops will not only help advance the level of education at the school but will also help in skilling the community.
During the State of the Nation Address, President Zuma said “The year 2015 will mark the beginning of the first phase of broadband roll-out. Government will connect offices in eight district municipalities.
These are Dr Kenneth Kaunda in North West, Gert Sibande in Mpumalanga, O.R. Tambo in the Eastern Cape, Pixley ka Seme in the Northern Cape, Thabo Mofutsanyane in the Free State, Umgungundlovu and Umzinyathi in KwaZulu-Natal, and Vhembe in Limpopo”.
We are working hard to rollout broadband infrastructure networks to these districts, merely highlighting the focus of government in uplifting rural communities through the necessary infrastructure. We believe this is an important demonstration of the progress that government has made so far.
To avoid duplication whilst ensuring rapid roll-out, the department will adopt the footprint of the NHI pilot that's being piloted by DoH in the 10 district municipalities and connect all government facilities in the districts. Phase 1 of the roll-out prioritizes 8 districts and excludes Gauteng & Western Cape that have their own rollout plans. This will all be done under our Digital Development plan aimed at providing connectivity to identified government institutions including schools and health centres.
We are happy that in this province that we are in today, the leadership has commissioned the formulation of a Provincial Broadband Strategy and Action Plan. In this plan a total of 1553 Schools are to be connected, 958 Health facilities are to be connected, 253 Post Offices are to be connected and 51 municipalities will be connected.
In terms of the South Africa Connect Policy, we have clearly set targets for broadband connectivity. By 2016 the Broadband access in Mega Bits Per Second (Mbps) per user experience is estimated to be 50% at 5 Mbps and by 2020 the estimation is 90% at 5 Mbps and 50% at 100Mbps. By 2030 the estimations are 100% at 10Mbps and 80% at 100Mbps.
For schools the targets are 50% at 10 Mbps by 2016; 100% at 10Mbps, 80% at 100Mbps by 2020; and 100% at 1 Giga Bits Per Second (Gbps) by 2030.
For health facilities the targets are 50% at 10Mbps by 2016; 100% at 10Mbps, 80% at 100Mbps by 2020; and 100% at 1Gbps by 2030.
The targets for public sector facilities are 50% at 10Mbps by 2016; 100% at 10Mbps, 80% at 100Mbps by 2020; and 100% at 1Gbps by 2030.
Our Departments of Science and Technology; and Telecommunications and Postal Services and respective Ministers Naledi Pandor and Siyabonga Cwele were at Reitz in the Free State Province to showcase a broadband project implemented by Telkom, whilst highlighting the importance of science, engineering, and technology.
Infrastructure development in the country is one of government’s key priorities. Through the National Development Plan (NDP) it has been listed as governments’ first job driver. Having inherited the triple challenges of poverty, unemployment and inequalities, the democratic government has had to adopt strategies which would encourage economic growth, translate into the creation of jobs and the reduction of poverty and inequality in the country. Amongst these is the Information and Communications Infrastructure – broadband. In rolling out broadband, our Department is carrying the directive of the NDP forward.
The infrastructure programme will alter the structure of the economy; ensure economic empowerment and inclusive growth to ensure that the country yields the results it hopes to achieve.
We also have to emphasize the importance of empowering women in our focus on growing the economy so that women in rural and all areas are active participants in the economic cycle of our country. We have launched the Women in ICT Forum which will reflect on the progress we are making to empower young and upcoming women to enter the Information and Communication Technology sector, not only as participants or employees but also as leaders of some of the companies. To us, addressing the challenge of inequality is a major priority and women empowerment and gender mainstreaming through practical interventions are some of the partnership we seek with all role players.
We are coordinating our efforts of expanding Information and Communication Technologies through the Presidential Infrastructure Coordinating Commission's SIP 15, a system which was set up by Cabinet during the previous administration. Infrastructure development yields positive results for communities and the economy at large and encourages development and growth. This is helping us to work together to ensure that the goal of infrastructure development is achieved.
The postal sector is faced with unprecedented competitive pressure from new modes of communication such as electronic mail and instant messaging technologies such as Facebook, twitter, and WhatsApp etc., which are also referred to as Over-The-Top services (OTT). However, the good news is that the postal infrastructure network remains at the centre of economic activity through the movement of goods, information and services in the rural areas.
As government we acknowledge the fact that not all of our people have access to the modern technology.
Therefore, the aspect of the postal service is working to ensure the provision of universal service and universal access for postal services. This ensures that all citizens have equal access to a basic letter service that is reasonably accessible to all people in the country regardless of physical location at a uniform rate of postage, and which is reliable.
Our Post office outlets are well located even in rural and under serviced areas. It is imperative that the importance of the postal sector to economic development is recognised and integrated in order to create and to encourage investment opportunities in the country.
The South African Post Office (SAPO) business is continuing to stabilize under the guidance of the Deputy President Cyril Ramaphosa. We are currently undertaking processes of appointing a Board as part of building confidence in the entity, SAPO.
We encourage all South Africans to use the Post Office services including the banking services. We are also working together with National Treasury to improve Postbank services through the process referred to as the Postbank corporatisation. The main aim for the corporatisation of Postbank is to give under-serviced communities access to vital financial and related services and thereby contribute to economic and social development.
Once fully established, the Postbank will take advantage of the post office's vast infrastructure network countrywide to provide its services to reach rural people in a way most alternative institutions cannot.
As a financial services institution, Postbank will become one of the most trusted cost effective banking institutions which will encourage a culture of saving and thus help curb the debt many South Africans are burdened with. The Post Office and Postbank are also trusted brands in communities; the products which are offered will thus be tailored to meet the needs of the very communities it aims at servicing. In so doing the Postbank is also fulfilling government’s mandate of serving the underserved and bridging the banking divide between the banked and un-banked communities of our society.
We believe that SAPO needs to build on its experience in the market to remain relevant and competitive. We are going to ensure that adequately skilled management is appointed to lead the entity and this is a priority. SAPO needs our support as leaders and communities.
It is critical that Labour comes on board as well. We are working with the Labour Organisations represented at SAPO to address the challenges that are there. It is important to us as the leadership to ensure a sustained labour peace in the postal sector to ensure that we maintain job security for our people.
The Department will continue to strive to develop policies that address the ever-changing needs of South Africans, especially those in rural and under serviced communities.
We are also looking to establish policies and frameworks that seek to promote the development of postal services that are responsive to the needs of users and consumers and ensure greater access to basic services through the achievement of universal postal service, by providing an acceptable level of effective and regular postal services to all the areas.
Today, the post office outlet is more than a unit in the postal system serving community and the nations, but also connects people to the world at large. Apart from its traditional business of mail and parcel delivery, postal outlet forms the backbone of service provision, especially to the rural communities. Amongst others, the Post Office provides the following services: Money transfers, third party payments such as TV Licences and payments of accounts, Motor Vehicle Licences renewal, Payment of traffic fines, Payment of utility bills, Access to financial services which include banking, online registration with the institution of higher learning and the delivery of study material, photocopying and certification of documents.
Our government has prioritised the rollout of addresses to rural areas and informal settlements to ensure the addressability for all households and the fulfilment of economic inclusion.
There is no doubt that an address gives you a national identity and further encourages the spirit of social cohesion which is a sense of belonging.
SAPO, like many other postal offices around the world can be sustained by being given government business. A process is underway to designate 30 percent of government business to SAPO which will be finalized in consultation with the National Treasury.
Allow me to reflect briefly on our work of reducing the cost of communication. The South Africa Connect broadband Policy, 2013, states – “high communications cost have constrained investment in South Africa as a regional business hub, and particularly investment in large-scale business process outsourcing and similar job-creating industries. Despite recent reductions in both fixed and mobile data prices, broadband pricing remains a barrier to exponential growth in broadband use”.
The Department has embarked on a number of activities contained in a program of action on cost to communicate. The good news is that the voice call termination regulation has achieved reduction in prices of over 260 percent since the programme started in 2010. It is now far cheaper to make a phone call than it was in 6 years ago. This is a greater achievement in our policy intervention of regulating prices fairly, and transparently.
Other interventions include the Data services market policy which will ensure a fair and transparent pricing mechanism for data services. The Department intends to develop a policy on data pricing that will determine clear policy guidelines on affordable broadband access during the course of this year.
In many instances, the lack of access to ICT infrastructure is found to be one of the major contributing factors to the high cost of communication. Our intervention through infrastructure is aimed at addressing this pricing gap challenge.
Mobile communications including mobile broadband communications contribute positively to the economic and social development of both developed and developing countries. The Department has been following the work of the ITU on bridging the digital divide and indications are that mobile broadband (delivered) over smartphones and tablets has become the fastest growing segment of the global ICT market and is now more affordable than fixed broadband in some countries. It is against this background that South Africa will work within the auspices of the African Telecommunication Union (ATU) to seek for additional allocation of spectrum for mobile broadband.
In preparing for the World Radio Communication Conference 2015, to be held in November, the Department will consider in particular the protection of spectrum used for the broadcasting service in consultation with industry stakeholders. This is because broadcasting provides low cost and easy access solution to consumers to gain access to content whilst affording Government the potential to communicate directly with the country and specific communities.
I thank you
