30 March 2006
Question Number 1
Ms P Bhengu (ANC) to ask the President of the Republic:
(a) To what extent have the local government elections held on 1 March 2006
consolidated democracy and (b) what steps will the government take to ensure
the acceleration of integrated service delivery to ensure a better life for
all?
Reply:
One of the founding values of our democracy as articulated in Chapter 1
section 1(d) of the Constitution is universal adult suffrage, a national common
votersâ roll, regular elections and a multi-party system of democratic
government. Since we attained our freedom in 1994 we have held three successful
national and provincial and three successful local government elections,
including the recent ones. Voter turn-out has consistently gone up in each
election, clearly demonstrating an irreversible process of the consolidation of
our democracy.
As Honourable Members are aware, in terms of our electoral system and laws,
any interested party may lodge with the Independent Electoral Commission an
objection that is material to the determination of the final results. Because
of the smooth technical management of the elections there were no material
objections to the running of the past elections. As a result, these elections
were declared free, fair and credible in all respects.
However, democratic election management is more than an efficient and
well-managed technical process and also includes an enabling constitutional and
political environment. Free and fair elections implies the presence of an
environment that ensures civil and political rights such as freedom of
expression, of movement, of association, assembly, and participation by all
citizens, the absence of intimidation and compliance with the rule of law. The
fact that the March elections took place within this climate bears testimony to
our deepening of democracy.
Before the last local Government Elections, government conducted Izimbizo,
nationally, to identify obstacles to the acceleration of integrated service
delivery as well as to assess the necessary capacity and readiness of
municipalities in pursuit of a better life for all. We have completed that
assessment and have identified priorities that are central to the consolidation
of the system of local government that will improve the living conditions of
all our people.
On the basis of that assessment, the focus of the new municipal councils
will be around practical and critical technical and policy interventions in the
priority areas of institutional and skills development, acceleration of basic
service delivery and infrastructure investment, improving capacity for economic
development at district and metropolitan levels, improving financial viability
and financial management and promoting good governance and meaningful community
participation.
We have prioritised the important challenges of institutional development
because we have to give adequate support to municipalities to work out credible
and workable Integrated Development Plans (IDPs) that are linked to the
Provincial Growth and Development Strategies (PGDS) and the National Spatial
Development Perspective (NSDP). In this regard, we will ensure thorough
hands-on support for all municipalities and help them to have in place the
basic systems, resources and staff for their effective and proper
functioning.
Government in partnership with South African Local Government Association
(SALGA) will also embark on a training programme for councillors as part of our
efforts to improve the capacity, efficiency and effectiveness of our
municipalities.
Further, as we have announced in the past, to achieve universal integrated
service delivery, government will continue to build on the progress made in
broadening access to basic services and infrastructure. This includes maximum
and efficient utilisation of the R25 billion earmarked for the Municipal
Infrastructure Fund over the 2006/07 medium-term.
Indeed, Madam Speaker, priority actions to accelerate service delivery and
infrastructure investment also include ensuring that the service delivery
targets with respect to access to clean water, decent sanitation and
electricity and the eradication of the bucket system are on track.
Creating favourable conditions for accelerating service delivery and
infrastructure is also bound to have a positive impact on economic development
opportunities within municipalities. Over and above this, however, national
government will work with municipalities and provinces to strengthen and help
stimulate local economies.
As honourable members know, local government derives most of its income from
its own revenue sources such as property rates and service charges.
Strengthening and supporting municipal financial viability and financial
management is thus crucial to the proper functioning of local government.
Specific measures have been put in place to ensure that this is achieved
through the provision of hands-on support, capacity building as well as
financial support mechanisms where necessary.
Finally, it is clear that there is still a lot of work to be done if we are
to increase public participation in our local government system. Accordingly,
we will do whatever is necessary to improve mechanisms for better and effective
community participation, especially ensuring that ward committees have the
required capacity and resources to discharge their mandate.
We will also ensure that the work of the community development workers
assist this process of improving interaction between government and communities
so that we are better able to respond to the challenges facing our people,
accelerate integrated service delivery and bring about a better life.
Question Number 2
Adv. HC Schmidt (DA) to ask the President of the Republic:
Whether, in light of the statements made by the Minister for Public
Enterprises on 28 February 2006 and 3 March 2006 with regard to the problems
experienced at the Koeberg power station, he intends taking any steps against
the Minister; if not, why not; if so, what steps;
We presume that this question is in reference to the purported âsabotage
statementsâ. The press conference on the eve of the election where the alleged
inferences were made was occasioned by the failures of the system the night
before. Reference to the outage at Koeberg one arose due to the need to clarify
inaccurate speculation on the cause of the problem.
The CEO of Eskom and the Minister of Public Enterprises have at all times
been consistent in stating that the cause of the shutdown of Koeberg unit one
is under investigation and I am receiving regular updates in this regard.
Minister Erwin also dealt with this matter in hearings of the Portfolio
Committees on 14 March 2006. He has made the commitment to make a statement in
Parliament once the investigation has been completed.
Whether he will set up an independent commission of enquiry to establish the
causes of the failure of the government to meet South Africaâs national
electricity capacity needs and to recommend appropriate action; if not, why
not; if so, what are the relevant details?
The Honourable Member is proceeding from the wrong assumption that our
government has failed to meet South Africaâs electricity capacity needs.
On 14 March 2006 Minister Erwin, accompanied by the Deputy Minister of
Minerals and Energy, the Chairperson and the CEO of Eskom, gave a comprehensive
briefing to a joint meeting of Portfolio Committees. This dealt with the
situation comprehensively and Honourable Members had the chance to ask
questions.
The situation is well known and understood. Accordingly I do not believe
that there is any purpose to be served from the appointment of a Commission of
Enquiry. The Parliamentary procedures provide adequate means for members to
obtain any information in relation to this matter.
As was made clear in the above mentioned briefing, the situation in the
Western Cape is specific to issues around Koeberg. The process to deal with
this has been fully outlined and will require the full collaboration of all
concerned. In this regard, I would like to thank Premier Rasool for the hard
work he and his team have undertaken to try and mitigate the situation. The
Premier is co-ordinating all stakeholders in the Western Cape with the full
co-operation of Eskom and the Minister of Public Enterprises and more than
seven meetings have already taken place this year.
I am also pleased to announce that the SAS Drakensberg is currently making
its way to Cape Town with the replacement rotor. I would like to thank the
Government of France, Electricité de France, our Minister of Foreign Affairs,
the Ministry of Defence and the Navy. We are fortunate in having the capacity
to carry out such an exercise.
I would also like to thank the staff at Koeberg who are working tirelessly
to try and deal with this very difficult situation. It is also my view that Mr
Gcabashe and the Eskom team have responded to this crisis in the most
expeditious and professional manner possible in the circumstances.
These events have however, only served to confirm the urgency of investing
in our infrastructure. The increased pressure on the transmission lines to the
Cape and on the City infrastructure have shown up weaknesses that are being
addressed with the necessary urgency.
The position nationally is that we have about 37 000 MW available with an
additional 2 000 MW available to manage very high peaks. The projected demand
is some 35 000 MW. As has been indicated in the abovementioned briefing to the
Portfolio Committees the situation is tighter than we would have preferred,
this being the result of the higher than projected rates of growth.
However, the Eskom build plan is already addressing this situation. Approved
projects, including those under construction, will add another 7260 MW in the
next few years. Projects in the planning process will provide a further 10382
MW. The Minister of Public Enterprises has asked the Eskom Board to provide for
plans to fast track this latter category of projects. It is therefore evident
that there is no crisis and that on the contrary this very large build plan
will have a major impact on the growth of the Economy.
Question No: 3
Prince NE Zulu (IFP) to ask the President of the Republic:
(1) Whether the government is on course to halve poverty by 2015; if not,
why not; if so, what are the relevant details;
(2) whether the Accelerated and Shared Growth Initiative for South Africa
(AsgiSA) will have an impact on non-affluent societies; if not, why not; if so,
what are the relevant details;
(3) whether he will make a statement on the matter?
Reply:
Madam Speaker I think it would be better that I give an answer that
addresses all the three parts of the question simultaneously. I therefore ask
for your indulgence, Madam Speaker, to be allowed to combine the answers to all
the elements of the question.
Let me start by saying yes, we are confident that we are on course to half
poverty by 2015.
As Honourable Members are aware, there are several ways of measuring
povertyâthe three key components of poverty are income poverty, asset poverty
and human capital poverty. By all measures we can say with confidence that
poverty levels in South Africa are on the decline.
Certainly, income poverty is the most conventional measure; it is a measure
of income by household or by individual. Target one of the Millennium
Development Goal one requires us to âhalve between 1990 and 2015 the proportion
of people whose income is less than US$1 per dayâ. By this measure, in 2000,
11% of our people were living on less than US$1 a day, and one third of
households [1] and 34% of individuals were living on less than US$2 a day
[2].
Madame Speaker, using the measure of US$2 per day with respect to income
poverty our task is to reduce levels of poverty to less than one-sixth of
individuals or households by 2015.
Asset poverty relates to the distribution of economic assets, particularly
land and housing. Honourable Members have access to the considerable progress
that we have made since 1994, and we expect to make even greater progress by
2015.
A third element of poverty is human capital poverty. We have already made
major strides in reversing the damage that apartheid did to the human capital
through âbantu educationâ. This progress is continuing, even accelerating, and
we expect to meet our targets by 2015.
A recent study, utilising a variety of techniques to measure poverty [3] (in
this case, incomes below R250) found that in recent years the proportion of
poor people have declined substantially - 18.5 million in 2000 to 15.4 million
in 2004. Over the same period, the number of non-poor rose from 26.2 million in
2000 to 31 million in 2004.
The study also shows that per capita real incomes of individuals comprising
the poorest two population quintiles rose by more than 30% during 2000-2004.
Our pro-poor socio-economic policies are meeting with success.
As we have reported to this House, the main impact of the Accelerated and
Shared Growth Initiative for South Africa (AsgiSA) on non-affluent communities
in South Africa is through job creation, which is not only important in helping
us defeat unemployment but also in ensuring that we are better able to increase
household income. This is the central focus of AsgiSA.
In addition to the direct impact of AsgiSA through job creation, the fact
that AsgiSA supports a growth rate rising to 6% means that the economy will
generate additional resources, some of which can be redistributed through the
fiscus in the form, for example, of better schooling and health care, access to
water and roads, and as social grants including pensions and the child support
grant.
Further, there are numerous elements of AsgiSA specifically designed to
address the challenges of poverty and unemployment. These include a further
expansion of the Expanded Public Works Programme, further impetus to providing
access to credit and savings facilities for the poor, and a range of skills
interventions, and industrial strategies designed to create jobs for low
skilled workers.
A key mechanism is to use the leverage of the First Economy to address the
Second Economy. There are two key examples in AsgiSA in this regard.
The first is to leverage the increased levels of public expenditure,
especially investment expenditure, to develop small businesses and broad based
empowerment addressing such issues as: access to finance, preferential
procurement, sectors that are labour intensive and review of regulationsâ
impact on this sector.
As part of ensuring that the poor, the majority of which are black, do
benefit from the growing economy, we have among other things, decided on a
procedure through which 10 products that are regularly sourced by government,
would be set aside for procurement from smaller black owned business.
Another form of leverage will be that all the sector strategies, such as the
strategies for tourism or Business Processing Outsourcing (BPO), will have
elements addressing development goals in the second economy. For example, the
economic cluster of government is committed to ensure that at least five BPO
operations are established in poor areas with relatively little economic
activity. The targeted beneficiaries are youth and women.
All these measures together with other programmes of government will have an
impact on non affluent societies such that we will be able to half poverty by
2015.
More generally, Madam Speaker, we continue to create a considerable number
of new jobs and our social programmes and social grants have had an enormous
positive impact in our efforts to defeat poverty. Although we still have a long
way to go to reduce poverty and inequality in South Africa, we however are
confident that we can more than meet our targets for 2015.
Since we are currently growing at a rate of about 5% per year, we believe
that our objectives will be met. Recent research by a team led by Professor
Servaas van der Berg at the University of Stellenbosch has found that between
1994 and 2004, and mostly within the period 2000 to 2004 the real incomes of
the poorest 20% of the South Africa population increased by 30%. This finding
(and the findings of other researchers) indicates that our redistributive
strategies, including employment creation, tax relief, and social grant
programmes, are having a real impact on the conditions of the poorest South
Africans.
Notes:
1. In 1993 40% of all South Africans were asset- (and service-) poor, by
2004 this figure had halved to 22%. (Study by Bhorat, Naidoo and van der
Westhuizen)
Question No 4
Ms F Hajaig (ANC) to ask the President of the Republic:
In view of the referral of the matter of the Islamic Republic of Iran to the
United Nations Security Council by the International Atomic Energy Agency, what
steps does the government believe should be taken to resolve this matter?
Reply:
Madame Speaker, the position that the South African Government has adopted
in relation to the matter of Iranâs implementation of agreements concluded with
the International Atomic Energy Agency (IAEA) is primarily informed by a
principle contained in the Treaty on the Non-Proliferation of Nuclear Weapons
(NPT). This is âthat the benefits of peaceful applications of nuclear
technology, including any technological by-products which may be derived by
nuclear-weapon States from the development of nuclear explosive devices, should
be available for peaceful purposes to all Parties to the Treaty, whether
nuclear-weapon or non-nuclear-weapon Statesâ. The exploitation of nuclear
technology offers humanity the possibility to achieve its socio-economic
development goals in activities such as electricity-generation.
Access to the benefits of nuclear technology must be accompanied by a
reciprocal pledge by all Parties to the Treaty to prevent the diversion of
nuclear materials from peaceful uses to nuclear weapons or other nuclear
explosive devices. We are fully conscious of the devastation which, as
articulated in the preamble to the Treaty, âwould be visited upon all mankind
by a nuclear warâ. We are consequently duty-bound, acting in concert with the
rest of the international community inclusive of the Islamic Republic of Iran,
to make every effort to avert the danger of such a war and to take measures to
safeguard the security of the worldâs population.
We believe that the verification of compliance or otherwise by Iran with its
commitments made under the Non-Proliferation of Nuclear Weapons (NPT) as well
as with the nuclear safety standards developed by the International Atomic
Energy Agency (IAEA), should be performed under the auspices of the Board of
the IAEA. The Honourable Hajaig will no doubt be aware that the IAEA is
internationally regarded as the sole authority with the competency to verify
and ensure compliance with established safeguards.
Madame Speaker, Director-General Mohamed ElBaradei notes in his last
introductory statement to the Board of Governors that, as far as the Iranian
nuclear programme is concerned, the agency has not seen indications of
diversion of nuclear material to nuclear weapons or other nuclear explosive
devices. He, however, expresses the concern that despite the rigorous
verification exercise conducted over a period of three years, the nature and
extent of Iranâs nuclear programme remains uncertain. We are convinced that in
order to remove these uncertainties, Iran should be urged to co-operate fully
with the IAEA and provide maximum transparency and instil confidence in the
international community and the IAEA about the manner in which they use their
nuclear technology.
Madame Speaker, in our view, to resolve the tensions surrounding the issue
of Iranâs nuclear programme, it is of utmost importance that all parties work
towards an all-inclusive negotiated accord that respects the legitimate
interests of all countries, taking into account the principle contained in the
preamble of the Treaty on the Non-Proliferation of Nuclear Weapons (NPT) âthat
the benefits of peaceful applications of nuclear technology, including any
technological by-products which may be derived by nuclear-weapon States from
the development of nuclear explosive devices, should be available for peaceful
purposes to all Parties to the Treaty, whether nuclear-weapon or
non-nuclear-weapon Statesâ.
Madame Speaker, the correctness of the approach we have adopted is confirmed
by Director General ElBaradei in remarks he made on 2 March 2006 when welcoming
the high-level meeting between Foreign Ministers of the EU3, the High
Representatives of the EU and the Secretary-General of the Supreme National
Security Council wherein he implored âall parties to use this opportunity to
create the necessary conditions to return to negotiations". He went on to call
on Iran to âto take all the necessary confidence building measures required to
assure the international community of the peaceful nature of its nuclear
programmeâ. In the remarks we are citing, Mohamed ElBaradei reminds us that
"Only through these two tracks â full transparency on the part of Iran and
negotiations with all concerned parties â can confidence be established
regarding the nature of Iranâs nuclear programme and a durable solution be
found".
Madame Speaker, Mohamed ElBaradei is right and we agree with the course of
action he proposes. The steps we must take should ensure that there âis full
transparency on the part of Iran and negotiations with all concerned
partiesâ.
Of course, as the Hon Members are aware, yesterday the United Nations (UN)
Security Council issued a statement on the matter we are discussing, which
called on Iran to stop its uranium enrichment programme. We will continue to
engage Iran and other role players on this and the related issues.
Question 5
Rev. KRJ Meshoe (ACDP) to ask the President of the Republic:
(1) Whether the government will put pressure on Hamas to accept the right of
Israel to exist within safe and secure borders, in line with similar calls from
the international community; if not, why not; if so,
(2) whether the issue of suicide bombers will be discussed; if not, why not;
if so, what are the relevant details?
Reply:
Madame Speaker, any intended engagement with Hamas must, in the first
instance, be premised on the recognition and unconditional acceptance of the
reality that the people of Palestine have freely and democratically elected
Hamas to represent their interests.
In the second instance, Madame Speaker, it is vitally important to bear in
mind that our efforts to lend whatever assistance we are called upon to provide
the people of Palestine to attain their long cherished dream of an independent
and sovereign state, must not be based on a false and ill-conceived notion of
our ability to place demands on the Palestinians and their leadership on how to
pursue their goals.
On the contrary, we are likely to make a meaningful contribution to the
peace process through constructive engagement with all the people of Palestine,
including Hamas.
In this regard, we have taken note of and are indeed encouraged by the
post-election assurances given by the leader of Hamas, Ismail Hanniya, that his
organisation is âan aware and mature movementâ; that is, among others, âopen to
the international arenaâ.
We accordingly seek to use that âopeningâ by conveying to Hamas that we hold
the firm view that the road to an independent Palestinian homeland is through
the prescripts of the Oslo Agreement as well as the principles contained in the
Roadmap for Peace.
Key among these principles is the two-state solution to the
Palestine-Israeli conflict the outcome of which must be the creation of an
independent, democratic and viable Palestinian state co-existing side by side
in peace and security with an independent Israel. The recent statement by Hamas
political leader, Khaled Meshaal, during his visit in the Russian Federation to
the effect that they âwill deal with existing agreements according to the
interests of the Palestinian peopleâ is worth noting. In our view the
recognition of the right of Israel to exist is not inimical to âthe interests
of the Palestinian peopleâ. On the contrary, we believe that the cause of the
Palestinians will be immensely enhanced if they acknowledge the legitimate
right of the Israelis to their own sovereign state.
Madame Speaker, it is obvious that the goals of the Roadmap for Peace we
have just alluded to can only come to fruition in conditions in which the guns
and bombs that regularly echo in that troubled region are silenced.
Consequently we deem it as vitally important that there be a demonstration
of continued commitment by both the Palestinian and Israeli leadership to the
termination of all acts of violence as well as incitement against each otherâs
peoples. In this context we welcome the renewed undertaking by Hamas to extend
the cease-fire declared in March 2005 provided that Israel reciprocates by
refraining from launching attacks against the Palestinians.
Madame Speaker, these are some of the messages that we hope to convey to the
Hamas leadership as and when we meet with them in accordance with the
agreements we reached prior to the legislative elections. We remain convinced
that the approach stipulated in the three-phase Roadmap is likely to lead to
the achievement of a just, lasting and comprehensive peace settlement and
historic reconciliation in the Middle East.
Madame Speaker, this week witnesses another milestone in the history of our
country, the historic address of the National Assembly by the President of the
Palestinian Authority, President Mahmoud Abbas.
The visit signifies another phase in the deepening of relations between the
peoples of Palestine and South Africa. We should expect that, when he addresses
us, President Abbas will among other things provide us with insights into the
journey thus far traversed by the Palestinian people towards the vision that we
have already spoken about, as well as the challenges that they are yet to
overcome. We should accordingly be at the ready to respond positively to
whatever pleas may be made to us to assist and support the citizens of the
region to find a lasting solution to the conflict.
In this regard, we welcome the appeal to the Palestinians made by Ehud
Olmert, the new Prime Minister of Israel, in which he said: âWe are prepared to
compromise, to give up parts of our beloved land of Israel, to uproot painfully
Jews who live there, to allow you the conditions to achieve your dreams as
well, and live in a state beside us in harmony.â
Question Number 6.
Mr LW Greyling (ID) to ask the President of the Republic:
(1) How have the recent electricity outages in the Western Cape affected
South Africaâs (a) growth rate and (b) objectives of Accelerated and Shared
Growth Initiative of South Africa (AsgiSA) to obtain the target of 6% economic
growth;
(2) whether these outages have affected investor confidence in South Africa;
if so, what plans does the Government have in place to (a) restore this
confidence and (b) ensure a reliable long-term supply of electricity;
(1) We do not expect the outages experienced in the Western Cape to derail
the growth projections outlined in AsgiSA.
The faster than expected economic growth has required that we accelerate our
build plan, but it is expected that Eskomâs capital expenditure of R84 billion
will have a massive positive impact on the economy and should sustain and drive
a six percent growth rate.
This build programme is already underway. I have indicated the amounts of
additional electricity that we expect from this new first phase of the build in
the previous answer. It is important to note that Eskom is currently in the
process of adding 1050MW of peaking capacity in the Western Cape in the form of
two gas turbine plants â one at Mossel Bay and the other at Atlantis.
(2) We have no evidence of any adverse impact on investment and accordingly
the notion that there has been a rush away from investment in South Africa is
not correct.
Large users of electricity approach Eskom well in advance in order to secure
their supply. In the modern world where energy is in short supply, we are, as
government, aware of any major users in our country.
In regard to the purported aluminium smelter that is looking elsewhere we
need to point out that that company has not approached Eskom. In any event the
Government is currently only negotiating with one potential aluminium smelter
investor. This is with Alcan regarding the establishment of an aluminium
smelter at Coega and this negotiation is on track.
Eskom is a flagship entity that has a solid track record internationally.
There are very few countries in the world that could host a smelter of such
capacity. The fact that South Africa is being seriously considered indicates
the degree of confidence that international investors have in our ability to
provide sustainable, cost-effective electricity.
(a) falls away and (b) has been dealt with in the previous answer.
[1] For the purposes of our calculation we used the poverty line developed
by the Poverty and Inequality Report prepared by Professor Julian May of the
University of KwaZulu-Natal in 1997, and updated by Professor Haroon Bhorat
from the University of Cape Town. According to this measure, at the latest date
of measurement 1999 about 3.7 million households out of 11.4 million were
living below the poverty line. This was just under 33% of households.
[2] This is if we use the $2 per day standard and apply this to the 2000
Income and Expenditure Survey of StatsSA.
[3] Study conducted by Servaas van der Berg, Ronelle Burger, Rulof Burger,
Megan Louw and Derek Yu utilise a poverty line set at a lower R250 household
income per month or R3 000 per year in 2000 Rands. Using various
techniques, this study concludes that the proportion of people living in
poverty increased during 1993 to 2000, probably as a result of sluggish
economic growth and poor labour market prospects. Thereafter there was a rapid
decline in poverty.
Issued by: The Presidency
30 March 2006
