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ECONOMIC DEVELOPMENT, ENVIROMENTAL AFFAIRS & TOURISM
“Creating an environment for investment and jobs”
Honourable Speaker
Honourable Premier
Honourable Members & Members of the Public
Following our Portfolio Committee meetings of the last few weeks it is very clear that we have many challenges. But
before I address the challenges I would like to thank our Committee Chairman for making us new Members fell
welcome. (We do feel Pakati & not Ngaphandle)
Some of the main challenges in this portfolio include rising unemployment in the Province, especially among the
youth. It is vitally important that an environment is created which can stimulate growth and investment, which leads
to job creation. This involves major focus on infrastructure development – especially in the rural areas. Government
has to provide an enabling environment for economic activity.
There has been major focus on SMME’s. It has been proposed that 50% of the procurement budget is to be spent on
goods and services manufactured and supplied by SMME’s and Co-op’s in the Eastern Cape this year.
While the intentions are good it is yet to be seen how this will be implemented in practise. Can the Department
provide the appropriate support needed? Payment on time is also critical to their survival.
Labour unrest is a major factor and we cannot underestimate what an influence this has on our Provincial
and National Economy, especially in the vital Motor Industry here in the Eastern Cape.
- How are the Renewable Energy projects going to be driven and how are we going to tackle the Shale Gas
(Fracking Issues)? These are major challenges that require farsighted leadership.
70% of the Departments Budget is transferred to its public entities. Of concern is that general co-ordination
between the Provinces public Entities and the Department seems to be wanting.
The Entities all have their own challenges to name but a few:
COEGA stressed their financial concerns. The Department of Trade and Industry has not provided the CDC
with grant funding for capital and operational expenses for 2014 /15 .How will the IDZ’s be transformed into
SEZ’s and when?
- Rhino poaching is not only a Provincial crisis but a National crisis. Good management and protection of our
Natural Environment is Non-Negotiable
- Although Tourism is the core responsibility of Municipalities, the Eastern Cape Parks and Tourism Agency will
have to take a stronger line in promoting our Province. Municipalities are not performing.
We will be watching the process of the establishment of the 2 new Special Economic Zones (Wild Coast and Chris
Hani). We are told the focus on these New Zones will be Agro-Processing? It is not entirely clear on what will be
processed and where this will come from? Land issues are also a major concern with these zones .The DA policy
supports and encourages EPZ s because they promote foreign investment due to tax and other competitive
incentives.
The existing IDZ’s have to strive to become self-sustainable in the future.
The Auditor General is investigating the ECDC as we speak. The CEO was dismissed and obviously these actions have
put the ECDC under a dark cloud of controversy. They are heavily invested in poor performing property and this will
have to be addressed.
Miscommunication with Treasury cost the East London IDZ R80 million last year. That is indefensible and someone
should have been FIRED. The East London IDZ also talks of an Agro-Processing plant at Berlin – again we must ask to
process what?
It is impossible to mention all the major concerns and challenges in this short time, Honourable Speaker.
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THIS PORTFOLIO CANNOT MAKE PROGRESS IN THE QUEST FOR SUSTAINABLE GROWTH ON ITS OWN. To make this
happen we have to ensure that:
- Public money is better spent , we need value for money
- We have to focus on Skills Development
- Crime, Corruption and Greed must be fought at all levels
- Labour Laws must support Job Creation
- Small Businesses have to be supported. This is where the Growth will come from.
Government must make it easier for South Africans to start and grow their own businesses. We need to cut
the RED tape.
- Businesses have to be Open and Transparent. The Market Place will Demand It.
- And above all Quality Education is the KEY to improved quality of Life, there is no other way .Education is the
foundation of opportunity !
Promises of a bright future are often weighed against the realities of high levels of unemployment, poverty and
inequality. We have to tackle these challenges.
In the past few years Social Media, Mobile Technology and Online News sites have become platforms for people to
express their views on the State of the Country and the world. We must understand that power has shifted from
Government and Big Organisations on to the street all around the world.
Honourable Speaker, Honourable Members, to tackle these issues will take BRAVE , DECISIVE and VISIONARY
LEADERSHIP.
We must always remind ourselves that Leadership serves the People, not the people serving the Leaders.
Leaders have to sometimes make uncomfortable and unpopular decisions.
I was taught that Good Leaders take people where they want to go. Great Leaders take people, not necessarily
where they want to go BUT where they ought to be.