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WEDNESDAY, 15 MAY 2013
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PROCEEDINGS OF EXTENDED PUBLIC COMMITTEE – OLD ASSEMBLY CHAMBER
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Members of the Extended Public Committee met in the Old Assembly
Chamber at 14:02.
House Chairperson Mr C T Frolick, as Chairperson, took the Chair.
ANNOUNCEMENTS, TABLINGS AND COMMITTEE REPORTS – see col 000.
APPROPRIATION BILL
Debate on Vote No 36 – Trade and Industry:
The MINISTER OF TRADE AND INDUSTRY: Hon Chairperson, members of the
portfolio committee, Members of Parliament, Ministers, Deputy
Ministers, director-general, officials of the Department of Trade
and Industry, DTI, and officials from the Council of Trade and
Industry Institutions, COTII, leaders of business and labour,
distinguished guests, and ladies and gentlemen, it is common
knowledge that the term of this administration has coincided with
the most severe global economic crisis since the 1930s.
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When we took office in 2009, the South African economy moved into
recession, which cost us close to a million jobs. Sir, 200 000 of
these, or 20%, were in manufacturing, a sector which contributes
only 14% to the GDP, meaning that the impact of the recession was
disproportionately severe in manufacturing.
This reality, highlighted by the global economic crisis, put into
sharp relief the necessity to redouble our efforts to transform a
number of long-standing structural imbalances and weaknesses in our
economy in order to place it on a new sustainable and productive
sector-led growth path.
Guided by the resolutions adopted at the ANC’s 52nd National
Conference in Polokwane and the manifesto in terms of which we were
elected in 2009, this administration tabled the New Growth Path,
within which the Industrial Policy Action Plan, Ipap, was identified
as the manufacturing job driver. Ipap has become the centrepiece of
the Department of Trade and Industry’s work, with all our actions
being coordinated with or aligned to it.
Over the course of this administration we have institutionalised the
tabling at the start of each financial year of a new iteration of
Ipap, covering action plans over that financial year and two outer
years. Ipap has moved far beyond vision statements or diagnostics.
Its main feature is the identification of action plans with defined
frameworks and identified responsibilities for implementation by
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various entities. Key action plans have been developed after
consultation with industry players.
Last month we released the 5th iteration of Ipap, covering this
government’s last full financial year in office. Accordingly, we
highlighted a number of key lessons we have drawn from our efforts
over the past five years, as well as identified the broad direction
we believe a higher impact industrial policy would need to traverse
in the future.
One of our major conclusions is that where government has acted
purposefully to implement programmes developed in consultation with
industry players, businesses and labour, concrete positive results
have been achieved. Among our most significant achievements has been
the finalisation of the transition from the Motor Industry
Development Programme, MIDP, to the Automotive Production and
Development Programme, APDP, which now includes the heavy, medium
and commercial vehicle segments of the automotive sector, as well as
a programme under discussion and in development for electric
vehicles.
Providing incentives to promote competitiveness and localisation in
this important sector of the South African economy has contributed
to production volumes’ increasing to 539 424 units, with exports
reaching 277 893 units in 2012. Furthermore, this change in focus in
incentive, to support and encourage deepened local component
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manufacturing, has resulted in 128 projects supporting or sustaining
57 197 jobs.
As a sign of confidence in the steps we have taken and in the future
of this sector in South Africa, private investments of nearly
R16 billion have been secured. These have included both new
investors and new lines of operation by existing investors. Among
the new investors in the sector we have welcomed the First
Automobile Works of China which is constructing a truck plant in
Coega and the Beijing Automotive Works which is building a taxi
assembly line and distribution centre. Examples of existing
investors’ expanding their operations include Toyota’s Africa taxi,
Quantum Ses’fikile, assembly line in Durban. We’ve also seen
important new investments by long established regional equipment
manufacturers such as Mercedes Benz, BMW, Ford and General Motors.
The clothing, textiles, leather and footwear industry experienced a
remarkable turnaround, directly attributable to a radical change in
our incentive programme, which occurred when we introduced the
Clothing and Textiles Competitiveness Programme, CTCP. Sir, 12 205
new permanent jobs have been created in companies benefiting from
this programme. A pleasing new development has been that local
retailers have committed themselves to local procurement in support
of manufacturing companies. Over 469 companies were assisted under
the CTCP, with R1,5 billion’s worth of applications approved.
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Approximately 49 000 existing jobs are being retained through the
support of the CTCP.
The roll-out of the Renewable Energy Independent Power Producer
Procurement Programme has underpinned significant investments in
renewable energy. Significant investments in wind tower
manufacturing and solar power plants have been made, including
investments by DCD, which invested R300 million, Mainstream
Renewable Power, R4,6 billion and SunEdison, R2,6 billion.
Chairperson, in 2009 we said that the threat of de-industrialisation
loomed large and we had to confront this danger with interventions
to promote industrialisation in a systematic and sustainable manner.
We also said that the infrastructure roll-out, which is our main
countercyclical response, must be a tool of industrial development.
Accordingly, we have sought to strengthen our procurement system to
support increasing local industrial production. In this regard we
can point to the designation of sectors for local procurement under
the Preferential Procurement Policy Framework Act as introducing a
sea change in industrial development in South Africa. The first wave
of designations has already seen significant new investments in
sectors such as transport and capital equipment, and companies are
actively “tooling up” to ensure that they are positioned to take up
the opportunities which arise from the infrastructure programme.
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Sectors already designated include railway rolling stock; power
pylons; bus bodies; textiles, clothing, leather and footwear,
particularly workwear; canned vegetables; furniture; certain
pharmaceuticals, particularly oral solid dosages; and set-top boxes.
Furthermore, localisation is now fully entrenched in a number of key
procurement programmes, such as renewable energy generation and
fleet procurement processes of state-owned companies.
Moving ahead, work has already begun on assessments of sectors and
products for designation, including valves, manual and pneumatic
actuators, power and telecommunication cables, and components of
solar water heaters.
In addition to the strategic use of localisation in government
procurement, the Department of Trade and Industry has also used a
variety of incentives to support and encourage investment in
manufacturing and value-added services. A case in point is the
Manufacturing Competitiveness Enhancement Programme, MCEP. Grants to
214 enterprises have been approved, at a value of R1,35 billion.
Sir, 41 626 jobs are expected to be retained as a result, with a
total investment outcome of R5,37 billion.
I am pleased to report that MCEP is currently operating on an
average two-month turnaround time. Considering the large numbers of
applications and the amounts of funding involved, this is an
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excellent rate and the feedback I am receiving from a range of firms
is very positive indeed.
Through the 12i tax incentive we have supported 26 projects
involving investments valued at R32,6 billion and creating or
sustaining 3 326 jobs over the past four years.
Additionally, we can report that the European Outsourcing
Association awarded South Africa its prestigious Offshoring
Destination of the Year Award a few weeks ago. Over the past three
years, we have seen investments in business process services to a
value of R1,3 billion, supporting 4 500 new jobs.
At the beginning of this administration we identified the film
industry as having significant potential. Our efforts to work with
the industry to unlock this potential have resulted in an impressive
roster of locally shot blockbuster films. There are a number of
things outside that show you some of the ones that have been shot in
South Africa. I recently had the opportunity to see some of the
rough cuts of the film Mandela: Long Walk to Freedom, which is a
film that we have been supporting. I can report that we as the
Department of Trade and Industry can be proud to have been
associated with supporting what I have no doubt will be one of the
most important films ever produced in South Africa. [Applause.]
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Chairperson, I believe that our record speaks to what can be
achieved by industrial policy, and it also shows that we have laid a
basis for strengthening our efforts to reindustrialise our economy
in the future. As the current iteration of Ipap argues, industrial
development in the future will need to be built on six pillars.
These are, firstly, the beneficiation of mineral products, and this
is something that is fundamental to our future progress; secondly,
regional economic development and industrial integration; thirdly,
the steady roll-out of the infrastructure development programme;
fourthly, the development of new export markets; fifthly, local
procurement and supplier development; and lastly, partnerships with
Brics countries.
We believe that what we need in the future is a higher impact
industrial policy and not a lighter touch programme, as has been
called for by some of our critics.
South African history does not, however, allow us to grow the
economy, and to industrialise and develop, without addressing the
legacy of disadvantage, discrimination and underdevelopment which
was left to us by apartheid. But while one element of economic
transformation and broadening participation is about redressing the
injustices of apartheid, it is also important to recognise that
there are sound socioeconomic reasons for aspiring to a more
inclusive economic model.
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The Department of Trade and Industry considers entrepreneurship, cooperatives and SMME development as not only central to addressing
injustices of the past, but also key to our efforts to ensure a more
vibrant and effective productive economy. In other words, by
broadening economic participation to include participants who were
excluded in the past, we develop a stronger entrepreneurial base for
the future.
It is for that reason that all of our SMME support programmes were
reviewed in 2009 to identify ways to improve outputs and impacts.
One outcome of this exercise was that we decided to prioritise
incubation programmes based on evidence both in South Africa and
elsewhere. The programmes, which seek actively to support productive
small, medium and micro enterprises, SMMEs, in their start-up phase
and to mentor them as they develop, dramatically improve survival
chances for this sector. In line with this new priority and to
leverage private investment, the Department of Trade and Industry
introduced the Incubation Support Programme in September 2012, with
the aim of contributing to the establishment of 250 incubators by
2015-16.
To date 13 projects have been approved under the scheme, with a
total project value of R373 million, in sectors such as renewable
energy, information and communications technology, agroprocessing,
chemicals, mining, and clothing and textiles. Currently, the Small
Enterprise Development Agency Technology Programme has 42 incubation
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centres in all nine provinces in sectors such as biotechnology,
mining, agroprocessing, construction, jewellery, automotives, metals
and renewable energy. To date, 376 new enterprises have been created
as a result of these efforts. Furthermore, 2 247 SMMEs were
supported, 28% of which are owned by women, and 2 161 jobs were
created as a result. We will in future also encourage universities
and science councils to host incubators. These incubators will be
used to develop hi-tech and high-growth sectors.
Since 2009 we have made steady but important progress in ensuring
that the co-operatives sector receives the attention that the
potential of this sector deserves. We have reviewed the Cooperatives Act, and yesterday the National Council of Provinces
approved the new amending Bill which, when it is signed into law,
will allow us to establish a co-operatives development agency to
provide more focused development support for co-operatives, and will
also allow the establishment of the co-operatives tribunal.
[Applause.] Another feature of the Bill is that it will recognise an
apex body to represent the interests of co-operatives, both in South
Africa and in international contexts.
Hon members will be well aware of the efforts the Department of
Trade and Industry has made over time to increase the participation
of black people in the economy. In line with the changing landscape,
new black economic empowerment legislation and a proposed new
amendment to the Codes of Good Practice were introduced in 2012. The
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BEE Bill, which is before the portfolio committee, seeks to confront
fronting. It will establish a BEE commission to deal with complex
fronting and thus enhance compliance with the legislation.
The Codes of Good Practice have been revised to incentivise stronger
performance in enterprise development and supplier development.
These will be the key features of broad-based black economic
empowerment. The shift to enterprise development and supplier
development is intended to support stronger symbiotic relationships
between black-owned enterprises and large companies in key valuechains in the economy. We hope that it will help to ensure that big
business plays a role in developing viable suppliers that will be
able to take on opportunities in both domestic and international
markets.
The Department of Trade and Industry views women’s empowerment as
one of its priorities, and we are in the process of developing a
national strategic framework on women’s economic empowerment. This
aspect of our work has been led by our champion Deputy Minister,
Elizabeth Thabethe, and she will develop this point in her input a
bit later on.
In 2009 we said that industrial policy requires a supportive
regulatory environment to foster more competitive and dynamic
industries and businesses, and to prevent harmful market domination
and abuse and the exploitation of consumers. Consequently, business
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regulation and the protection of vulnerable consumers has over the
past four years been another focus of attention.
A key outcome has been the establishment of the Companies and
Intellectual Property Commission, CIPC. We took the decision, which
I now think has been vindicated, to go ahead with the roll-out of
the new Companies Act, despite reservations in some quarters. The
new Companies Act gives South Africa a forward-looking regulatory
framework that provides for simple, easy company registration. It
gives us enhanced governance and clarity on disclosure standards for
business, and it provides measures to assist companies facing
economic difficulties.
The innovative business rescue provisions have already shown their
mettle as a tool to save otherwise viable enterprises that are
facing cash flow problems from the previously inevitable fate of
liquidation. Sir, 945 companies, including close corporations, have
been assisted through this scheme, and 6 624 jobs have been saved as
a result.
We have also introduced other important legislative changes. They
include the Intellectual Property Laws Amendment Bill to protect
indigenous knowledge.
They also include key reforms to the operation of the National
Lottery. We have responded to the criticisms and suggestions which
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were made in wide consultation, and Cabinet recently approved the
new Lotteries Policy Framework and Lotteries Amendment Bill which is
now out for public consultation. In addition, we have introduced
regulations and a directive to improve the accessibility of lottery
funds by needy communities and causes, to improve governance
structures on lottery matters, and to ensure optimal distribution of
lottery funds for development purposes.
The Consumer Protection Act was finalised and implemented during
this administration. I am pleased to report that, despite some
initial teething problems, there is now overwhelming support for the
work of the National Consumer Commission, especially in poorer
communities where the worst abuses of consumer rights have been
uncovered.
As we look beyond South Africa and our immediate challenges, we must
not lose sight of the changing global economy. This administration
foresaw the importance of broadening development integration in
Africa, as well as the importance of the emerging new global
powerhouses, such as China, India and Brazil.
Negotiations for a Tripartite Free Trade Agreement, TFTA, between
the Southern African Development Community, SADC, the East African
Community, EAC, and the Common Market for Eastern and Southern
Africa, Comesa, are progressing and on track. But we have said that
our efforts in this regard must be complemented by the promotion of
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both infrastructure development and co-operation, in order to
transform productive sectors and industrialise our continent.
I am pleased to say the themes that we have been championing from
the start of this administration are now finding an important echo
on the African continent, as was evidenced, for example, by the
discussions that took place last week during the World Economic
Forum here in Cape Town.
Infrastructure development has focused on the North-South Corridor,
with significant progress in upgrading road links. Projects have
been identified for rail, border post and port developments.
The TFTA will combine the markets of 26 countries, with a population
of nearly 600 million people and a combined GDP of US$1 trillion. In
summary, this is a key initiative that will provide market scale
that could launch a sizeable part of the continent onto a new
trajectory of industrial development. The TFTA is also envisaged as
part of a bigger project, a continent-wide Free Trade Agreement,
FTA, which will create a market with a combined GDP of
US$2,6 trillion.
Chairperson, the election of Roberto Azevedo of Brazil as the next
Director-General of the World Trade Organisation, WTO, creates an
important new opportunity to advance a multilateral trade agenda
informed by the mandate agreed to at the 2001 Doha Ministerial
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Conference to place the needs and interests of developing countries
at the heart of the work programme of the WTO. We know Mr Azevedo
well and actively supported his candidature, particularly after the
elimination of the African Union-endorsed candidate in the first
round. We congratulate Mr Azevedo and look forward to building a
strong working partnership with him in advancing the WTO’s work.
South Africa’s participation in the Brics group is a significant
component of our diversification strategy, as it provides important
opportunities to build South Africa’s domestic manufacturing base,
enhance value-added exports, promote technology sharing, support
small business development, and expand trade and investment
opportunities.
It is for that reason that a key priority for us is to develop a
work programme that will promote more value-added exports among the
Brics members. We are pleased to announce that Brics trade
ministers, at their meeting in eThekwini in March, accepted a
proposal from us that we would co-ordinate a study to identify the
way forward in the promotion of value-added trade.
In the coming year we will focus on strengthening South Africa’s
relations with Brics as well as with other fast-growing emerging
economies. In addition to that, the national export plan which we
adopted recently will shift to the implementation phase as we seek
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to develop a new layer of emerging exporters to lead South Africa’s
export diversification.
In conclusion, are all these efforts bearing fruit or are the
pessimists right? Let me just say that in one week last month I
participated in three key investment announcements – by Procter and
Gamble in Gauteng, Johnson Controls in East London, and Tellumat in
Atlantis. The investment announcements by these three companies in
one week alone amounted to R2,4 billion. In fact, from 2010-11 the
Department of Trade and Industry has facilitated investments with a
total value of R125,5 billion. At the end of the 2012-13 financial
year in March, the department had an investment pipeline to a value
of R53,5 billion, with the potential to create 20 000 jobs.
However, of greater significance than the value of these investments
is the strong vote of confidence in the South African economy that
the companies in these value-added sectors have provided. These are
not investments that were made on the spur of the moment; the
companies involved have rigorously assessed the South African
market, considered the potential risks, and compared South Africa to
other potential investment destinations. After considering all of
these factors, these companies and many more like them have chosen
to invest and step up their role in South Africa, and create jobs in
the productive economy of this country.
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These investors know that we have challenges, but they are not put
off by our challenges. They recognise that Africa is the next growth
frontier, and that South Africa, as the most industrialised country
on the African continent, is of key strategic importance.
They have accepted the necessity for broad-based black economic
empowerment, they have accepted that they need to be active in
addressing the skills challenges in their own enterprises as well as
in the country as a whole, and they have not been put off by our
industrialisation or localisation programmes. In fact, many of them
have embraced these challenges and our initiatives as necessary
developments that will lead to a stronger economy.
In closing, I do not believe that we could have made these advances
without the support of people in the Department of Trade and
Industry – its family and its institutions. I am proud of what we
have achieved with the staff, which has a much more diverse profile
than the Department of Trade and Industry had in 1994. This new
profile, much more reflective of the demographics of South Africa,
is emerging as a source of strength that will lead us into the
future.
I want to thank, for the support I’ve received, my colleagues the
Deputy Ministers, the director-general, the deputy directorsgeneral, the heads of the different Council of Trade and Industry
Institutions, my ministerial colleagues in the cluster, and
everybody who has worked in our office.
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I commend the Budget Vote of the Department of Trade and Industry to
this Parliament. Thank you.
Ms J L FUBBS: Hon Chairperson, hon members, colleagues, compatriots,
and ladies and gentlemen, the Department of Trade and Industry
budget is driven by its commitment to employment through an enabling
environment, an environment underpinned by strategic trade and an
expanding footprint in Africa.
Fighting against the headwinds of a continuing European economic
crisis, the DTI’s budget of R9,6 billion is geared to driving
industrialisation and broadening economic participation underpinned
by trade. These objectives are supported by technical
infrastructure, such as standards and quality assurance which our
fellow African states are commending, as we are also transferring
some of our skills and sharing experience with them.
This budget is built upon a strategic plan of realistic output-based
action, and is closely aligned with the ANC-led government’s vision.
Consequently, Budget Vote No 36 – Trade and Industry - is expected
to achieve its outcome of restructuring the economy and creating
this enabling environment specifically for the private sector to
create employment. [Interjections.]
Yes, this is a realistic, robust and results-based budget. It is a
budget for a developmental state, a state that through a series of
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interventions, such as incentives, infrastructure building,
strategic tariff adjustments, beneficiation and strategic skilling,
is turning South Africa into the economic engine of Africa.
Through its flagship mandate in the Industrial Policy Action Plan,
which has been covered by our Whip, hon Radebe, we have this budget
aligned to the National Development Plan, NDP – it is not out of
sync – and its primary pillar is the New Growth Path. The DTI, in
this budget with all the financial constraints that it faces, has
brought about allocated efficiency and established an expenditure
platform for an equitable service delivery budget.
I am sure you can see from the committee’s report that this budget
reflects its commitment to industrialisation. Sir, 75% of this
budget is earmarked for industrialisation. Industrial Development:
Incentive Administration gets 58%. Industrial Development: Policy
Development gets 17%. Broadening Participation, which the hon Mabasa
will spell out to us all, and which includes SMMEs and regional
development, gets 10%. Trade does require more funding, and the
items Trade and Investment South Africa, and International Trade and
Economic Development get 5%. Also you, the people of South Africa,
the consumers, have not been forgotten – you are fully funded in
this budget, and we have also recommended a review upwards. The
integrated budget ensures that technical infrastructure no longer
lies below the radar screen.
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As I said earlier on, we have not gone through the economic crisis,
which was introduced, of course, by America and Europe. We are still
there, but we are working very hard on this.
How do we support industry? How do we work in partnership with the
private sector without allowing them to try a move between the
cracks, as they so often do? Well, I will tell you how. What we have
done is to look at incentives backed by serious conditionalities in
this regard.
For example, the grant disbursement incentive is not just a freebie.
It is given only on the completion of each activity, such as plant
and equipment, or upgraded or new production lines. The
Manufacturing Competitiveness Enhancement Programme, MCEP, which was
launched last year, 2012, is also making a significant contribution
in this regard. Of course, as we are aware, in the motor industry
the Automotive Investment Scheme, AIS, continues to be a robust
contributor to our GDP.
With all of this, we should not forget that these funds don’t lie in
a bank vault of the Department of Trade and Industry. They are
handed out strategically with conditionalities, 92% making up the
transfers.
Regarding the clothing and textiles production incentive, you will
recall that in 2009 the clothing and textile industry was in total
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collapse, and that was right here in the Western Cape. I am not too
sure what people were doing down here! [Laughter.] The fact that we
are not a federal state is why we, from our other provinces, from
this pool of funds ... [Interjections] ... were able to actually
ask: What we can do to help because, after all, we are all South
Africans? That is the main thing here. [Applause.] What did we do
with this incentive that is administered by the Independent
Development Corporation, IDC, which falls under the mandate of
Minister Patel? I saw him somewhere, and I see the Deputy Minister
here. There is R758 million just for clothing and textiles.
There is a contribution to research, for the National Metrology
Institute because, of course, we know how important that is. The hon
Gcwabaza will tell us all about technical infrastructure. Then there
is the National Cleaner Production Centre, NCPC, administered by the
Council for Scientific and Industrial Research, CSIR, because we are
well aware that research and development is a Cinderella area and we
are resuscitating her from the fire. There is also the SA National
Accreditation System, which hon Gcwabaza again will speak to, and
this is absolutely no fairy tale if you have been to the CSIR, which
I doubt.
We welcome the DTI’s marketing its programmes, incentives and
support. Where? They are not simply in Gauteng, but in the rural
areas, and not using people like me, but using the Congress of
Traditional Leaders of South Africa, Contralesa. They are in
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partnership with Contralesa, a recognition of the significant role
that our traditional institutions play.
Concrete support for the youth feeds into the Youth Enterprise
Development Strategy.
Then there are women. Of course, Minister Davies is now ensuring
that the face of our boards reflects a softer outlook. You will see
the female component highly reflected there. Women are recognised as
a critical resource agent. They can transform boards and inject
fresh thinking into value-added production, ranging from agroindustries and manufacturing to arts, crafts and research. We heard
the Minister talking about films just now, and our support for that.
The Technology and Human Resources for Industry Programme, Thrip,
complements the department’s commitment to human capital.
Let us turn to trade. All of us heard the Minister of Finance saying
what the impact has been of the decline in American and European
demand, not just for South African goods, but for goods across the
world, and that in South Africa’s case this has linked up with the
imbalance between exports at 1,1% and imports at 7,6%. This
imbalance has had a negative impact on the current account of the
balance of payments. All that means is that the current account is
on one side of this huge balance sheet. That’s what it means.
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What is it that needs to be done? We can no longer pursue a
consumer-driven economy. We are, as this ANC government has been
saying for some time now, committed to a productive economy, because
it is only through a productive economy that we will redress the
current account. [Interjections.]
An HON MEMBER: Show us that in electricity prices, Joan!
Ms J L FUBBS: Yes, I am coming to administered prices, and I want to
tell you that this committee – driven by the ANC, of course, may I
add – actually looked at administered prices. [Interjections.]
However, I will say this of my colleagues in the DA, Cope and the
rest, that they were very, very collegial – very, very collegial. We
worked together – of course, after persuasion! We worked together to
ensure that we got to the root of what was causing this increase in
sending some of our goods outside the country.
I know Minister Gordhan will agree with me that port charges played
a significant role, and we were able to persuade the CEO in this
regard. By the way, we don’t like your model, which has actually put
the highest prices for transport from the ports onto manufactured
goods – beneficiated items! That is not ANC policy! He fully agreed
and has committed himself to significant reductions in port charges.
The point here is that the committee brought together the
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stakeholders, helped them see sense and reason, and they agreed. And
this, I can tell you, is a total victory!
Mr Chairperson, because of the oversight work in our committee we
have cut that price. There are a few more things we are going to be
cutting because, after all, Eskom has also realised the need to
balance these issues to ensure ... [Interjections.] No, no! It
didn’t take them as long as the previous government before 1994!
[Applause.]
We wish to congratulate ... [Interjections.] No, let us congratulate
them. Let us also be aware of where many of us are. For example, I
don’t know where Tim Harris is today. Maybe he is in the Other Place
... [Interjections.] Indeed, he is an honourable man. The hon Tim
Harris was in the committee at the time when we went to the World
Trade Organisation, WTO, and he knows how we all felt about, should
I call it, the “skewed sight” that they had on the developing world.
We are very happy to congratulate the new Director-General of the
WTO, Mr Roberto Azevedo. Of course, I don’t say his name as well as
the Minister, who has a knowledge of Portuguese. Mr Azevedo is
currently with the Permanent Mission of Brazil to the WTO. We look
forward to a deepening appreciation of the development objectives of
the WTO and how they pan out in Doha, which we believe may be
getting a fresh life.
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I believe he will bring an informed understanding of the role of
emerging economies, developing countries, and countries classified
as “MIC”. That is not a “Mickey Mouse” statement! That is “middleincome countries” – that is what it stands for. An example is South
Africa, for the following reason. When you look at the total GDP of
South Africa, you think, “Wow! We can’t help South Africa!” But, as
a matter of fact, the gap between the haves and the have-nots is the
second biggest internationally, and that is a direct result of the
legacy of apartheid. [Applause.] Now, in regard to the imbalances
... [Interjections.] We have tackled that. [Interjections.]
The HOUSE CHAIRPERSON (Mr C T Frolick): Order, hon members! Order!
[Interjections.] Hon member!
Ms J L FUBBS: Let me say one thing. I welcome your opportunity to
exercise your lungs, but do so outside!
One of the other measures pursued by the DTI which has born fruit is
the strategic setting of tariffs, and I must say all members of the
committee agreed on this. Let’s not have just one way of setting our
tariffs.
How did we correct the high cost of domestic steel? We were all in
agreement on that – how did we address it? Well, when we hit a brick
wall with ArcelorMittal, which believes in parity pricing, we said
that there were many ways to tango and that we were going to lower
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the tariffs on steel, and we secured a lower price for steel. But we
didn’t just say, “Lets lower tariffs across the board.” We would
have collapsed other industries, in particular the clothing and
textiles industry, which we had to protect during its rebuilding
campaign. So, we increased the price of tariffs there.
Of course, there are other issues we have to worry about. We are
aware that some of our raw minerals – and I know the hon Radebe will
tackle this in detail – are being shipped out, even to friends,
before being beneficiated. That we are going to address, and I know
he will speak on that issue in depth.
Hon Chairperson, we are aware of the catalytic role
industrialisation plays, backed by strategic, export-driven trade,
how it plays out and how it engages with our developmental economy.
But the ... [Interjections.] [Time expired.] The ANC supports this
Budget Vote. [Applause.]
Dr W G JAMES: Chairperson, hon members, and ladies and gentlemen,
the year ahead is the final one for Ministers in President Jacob
Zuma’s administration, as it is for those of us giving the annual
budget ripostes. It is a year that will define the legacy of the
executive, with Minister Robert Davies under scrutiny today, as it
defines my contribution as a representative of the official
opposition in Parliament. It is a year that defines two decades of
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the ANC government since uhuru in 1994, as it does the political
character of the opposition as a whole. [Interjections.]
Where to begin? In 1994 we inherited a bankrupt fiscus, a sputtering
economy, a nation damaged by apartheid, and a people traumatised by
the violence of the transition. A group of leaders, among whom were
Tito Mboweni, Derek Keys, Trevor Manuel, Minister Robert Davies and
others, came together at Mont Fleur in 1992 and emerged with four
scenarios represented by iconic “birds”.
At that time the ostrich represented the white government, which
kept its head in the sand to avoid a negotiated settlement with the
black majority. Then there was the lame duck, which anticipated a
prolonged transition under a weak government because it sought to
satisfy everyone and satisfied no one. There was also Icarus, which
represented a constitutionally promiscuous government which came to
power on a wave of populist support, embarking on an unsustainable
public spending programme and crashing the economy. Finally, there
was the flamingo which, in flight mode, made hope and history rhyme,
uniting the country in a successful transition, with all citizens
rising slowly and together.
Pippa Green tells the story of Trevor Manuel, Derek Keys, Alec
Erwin, Maria Ramos, André Roux, Iraj Abedian and others in reforming
what was an economy in a pathological state of decline at the time.
This economic leadership laid responsible foundations for recovery,
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defined a stable route out of debt, and kept us out of the exacting
hands of the World Bank and the International Monetary Fund.
Under apartheid, Trade and Industry was about protecting vested
interests. Under Trevor Manuel ...
HON MEMBERS: The hon Manuel!
Dr W G JAMES: The hon Manuel. Under the hon Manuel it became, at
least initially, the vanguard of economic freedom, trade and
tourism. What we saw was the falling of protectionism, export
subsidies coming down, barriers to small business being identified,
and anticompetitive ideas being mooted. The flamingo, the iconic
bird, started to rise, but not in formation. As time went by, and
unsolved challenge followed unsolved challenge, the poor bird began
to falter.
Firstly, mesmerised by beneficiation, we did not do more of what we
were already doing at the time, such as taking more from the earth
and shaking more trees for low-hanging fruit.
Secondly, we failed to turn the HIV/Aids crisis into an opportunity
to develop our health biotechnology industry, and furthermore to
transform our arms and steel industries into complexes for serving
in peacetime.
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Thirdly, what started as a people-centred Reconstruction and
Development Programme, RDP, descended, by way of the arms deal and
the opening round of black economic empowerment, into a cycle of
history characterised by elite self-enrichment on the back of
corruption, tender fraud and consumption-led debt. [Interjections.]
The result, colleagues, was the crowding out of caring for the poor,
the jobless and the unhoused, which is why former President Nelson
Mandela pleaded at the time for an “RDP of the soul”. It is in this
spirit that the DA today identifies five issues requiring
resolution, so as to up our game and free the energy latent in our
economy.
Firstly, empower our citizens with quality education! Only by having
skills and knowledge can citizens master the environment, push new
ideas, get a job, start a business and refuse to put up with
incompetence, inferior service, and big brothers who think they know
everything, presume what is good for us, and have the nerve to act
on our behalf without being asked.
Secondly, remove all barriers to starting and running a small
business! The Business Day’s Peter Bruce once said that South Africa
was not a nation of shopkeepers. He was wrong. Scratch below the
surface, look behind the formal sector, and go on a ride with the
SA Revenue Service, Sars, in search of greater revenue lines, and
you will find a nation teaming with small businessmen and women,
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desperate to come up for air, under the weight of overregulation by
this government.
Thirdly, investors need policy certainty! Under the ANC the
direction of national policy changes, depending on the machinations
of different factions within that party and its alliance partners.
The absence of policy certainty and stability plague the ANC-led
national government as it struggles to reach consensus around the
National Development Plan. Especially difficult is the discord with
some key trade union partners.
Fourthly, South Africa needs to be proactive about identifying
potential investors and trading partners and to actively lobby them
to invest in our country! In order to do this, we will need a
coherent and focused strategy, properly trained diplomats who can
promote South Africa as a reform-minded and business-friendly
destination, and a redesigned, modern, combined foreign affairs and
trade footprint located where it matters.
By the way, on the question of trade, I recommend that you all read
Tony Leon’s book, The Accidental Ambassador, to understand what
needs to be done in the area of trade and diplomacy reform. Leon
would know. He and his talented embassy staff almost doubled our
exports to Argentina in one year, reaching a record amount of R1,3
billion by 2011. [Applause.]
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Fifthly, the government needs to create the right business
environment for business to flourish! This needs to be done so that
both domestic and international players receive good returns on
their investments. This requires that tax rates be competitive
relative to other developing countries and that South Africa’s
physical infrastructure be upgraded and expanded to meet the needs
of a vibrant and growing economy.
The Western Cape government is single-mindedly committed to
maintaining our infrastructure to providing excellent service
delivery and to providing a public transport network to connect
every citizen to opportunities to work and to run a business.
[Applause.]
My friends, our trading position today has never been so bad. Please
listen up! Between 1994 and the year 2000 our trade balance rose
from a positive R18 billion to R48 billion - the highest ever. By
2012 our trade balance was in deficit by R78 billion, worsening
since. Our trade account over the last 18 years has been a function
of the state of our mining industry, which is today in a crisis that
this government seems singularly incapable of resolving.
We have not, as a country, developed diversified export lines, and
we have remained reliant on imports for a range of consumer
products. Our deficit has been financed by foreign capital that has,
in turn, aggravated dividend and interest deficits. The reliance on
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foreign capital makes us extremely vulnerable. It raises the spectre
of Icarus, where an unfocused and paralysed government, which tries
to satisfy everyone and as a consequence satisfies no one, breaks
the economy in the process.
What we need to do is to trade ourselves out of trouble, but the
Department of Trade and Industry is not enough of a trade Ministry.
The department spends 5,3%, which is R508 million – the second
lowest item in its budget for 2013-14 – on advancing trade
objectives. It should spend significantly more on aggressively
championing our products and companies and many of our world-class
CEOs in the markets that matter the most. My friends, you can find
the same advice in the National Development Plan.
Minister Davies is more of an industry Minister. His department
spends 72% of its budget, which is R6,9 billion, on promoting
industrial development. Minister, spending money on infrastructure,
economic development zones, incubators for small business
development, incentive programmes for niche areas like
agroprocessing and ship building, and providing some measure of
relief in hard times to troubled sectors like textiles, albeit
temporarily and without destroying low-wage jobs as a consequence,
make sense and they are worthy of support. I want you to know that.
We are not opposed to the Ipap, Minister, only to projects that do
not meet John Maynard Keynes’s wise injunction. I quote:
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The important thing for Government is not to do things which
individuals are doing already, and to do them a little better or a
little worse; but to do those things which at present are not done
at all.
Accordingly, we see no compelling reason why we must nurse so many
projects that are part of the automobile sector. What the car
companies require is to trade freely in the Southern African
Development Community.
The HOUSE CHAIRPERSON (Mr C T Frolick): Hon member, your time has
expired.
Dr W G JAMES: Thank you very much. [Applause.] Chairperson, I was
going to present ...
The HOUSE CHAIRPERSON (Mr C T Frolick): Hon member, your time has
expired. [Interjections.] Order, hon members! The next speaker is
the hon McIntosh.
Mr G B D MCINTOSH: Thank you, Mr Chairman.
The HOUSE CHAIRPERSON (Mr C T Frolick): Hon McIntosh, make use of
the podium here in front of us.
EPD 15 MAY 2013
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Mr G B D MCINTOSH: No, I do not want to use the podium, sir. I can
keep my eye on the Minister and on you ... [Interjections.]
[Laughter.]
The HOUSE CHAIRPERSON (Mr C T Frolick): Hon member, you must use the
podium!
Mr G B D MCINTOSH: Mr Chairman, that is not a Rule.
The HOUSE CHAIRPERSON (Mr C T Frolick): Hon member, if you do not
want to follow the protocol that has been followed, then you will
forfeit your speaking time. You will use the podium.
Mr G B D MCINTOSH: Mr Chairman, I will take that up with the ...
The HOUSE CHAIRPERSON (Mr C T Frolick): Hon member! For the last
time, you must use the podium! [Laughter.] [Applause.]
Mr G B D MCINTOSH: Mr Chairman, I want to object to your ruling and
I will take it up in the correct areas.
The HOUSE CHAIRPERSON (Mr C T Frolick): You are welcome, hon member.
Mr G B D MCINTOSH: And I can speak this way on the podium.
[Laughter.] [Applause.]
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The HOUSE CHAIRPERSON (Mr C T Frolick): Hon member! Hon member!
[Applause.] Order, hon members! [Applause.] Order, hon members!
Mr G B D MCINTOSH: Mr Chairman ... [Interjections.]
The HOUSE CHAIRPERSON (Mr C T Frolick): Order! Order!
Mr G B D MCINTOSH: Mr Chairman, this is a good department and a
diverse department ...
The HOUSE CHAIRPERSON (Mr C T Frolick): Hon member, will you take
your seat? [Interjections.] [Laughter.] Hon member, you are refusing
to follow protocol and you are deliberately ignoring the
instructions from the Chair. [Interjections.] Can I ask the service
officers to remove this member from the Chamber, please?
[Interjections.]
Mr G B D MCINTOSH: Mr Chairman, on what basis? I am speaking from
the podium. It is an abuse of power by you. I am speaking from the
podium! [Interjections.]
The HOUSE CHAIRPERSON (Mr C T Frolick): Hon member! Hon member!
Mr G B D MCINTOSH: I am listening, sir.
EPD 15 MAY 2013
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The HOUSE CHAIRPERSON (Mr C T Frolick): Hon member, you are now
deliberately not following the order. The debate has gone well – we
made a request that members and even the Minister make use of the
podium here, and that has been done. But you have deliberately come
here after three times – you ignored what the Chair was saying – and
you started engaging in certain unparliamentary activities, jumping
onto the benches like a small child! [Interjections.] That is not
allowed in the House!
Mr G B D MCINTOSH: Mr Chairman, can I address you on this matter?
The HOUSE CHAIRPERSON (Mr C T Frolick): Hon member! Where are Cope’s
Whips?
Mr G B D MCINTOSH: Mr Chairman, let me address you on a point of
order.
The HOUSE CHAIRPERSON (Mr C T Frolick): I am not allowing you to
address me.
Mr G B D MCINTOSH: I want to speak to you on a point of order! That
is my right. [Interjections.]
The HOUSE CHAIRPERSON (Mr C T Frolick): Order! May I request, hon
member, that you either continue as the other members have done or
EPD 15 MAY 2013
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you forfeit your speaking time and you leave the Chamber.
[Interjections.]
Mr G B D MCINTOSH: Mr Chairman ...
The HOUSE CHAIRPERSON (Mr C T Frolick): I am not taking any
explanations from you! I am not going to ...
Mr G B D MCINTOSH: This is a good department ...
The HOUSE CHAIRPERSON (Mr C T Frolick): Order! Order!
Mr G B D MCINTOSH: It is a diverse department ... [Interjections.]
The HOUSE CHAIRPERSON (Mr C T Frolick): Order, hon members!
[Interjections.]
Mr G B D MCINTOSH: ... and it is absolutely vital to the South
African economy.
The CHIEF WHIP OF THE OPPOSITION: Hon Chair, may I address you?
[Interjections.]
The HOUSE CHAIRPERSON (Mr C T Frolick): Hon Watson, I have made a
ruling in this regard. The hon member is now following procedure.
Will you take your seat, please?
EPD 15 MAY 2013
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The CHIEF WHIP OF THE OPPOSITION: May I ...
The HOUSE CHAIRPERSON (Mr C T Frolick): Will you take your seat,
please?
The CHIEF WHIP OF THE OPPOSITION: ... address you on a point of
order, Chair?
The HOUSE CHAIRPERSON (Mr C T Frolick): No, hon member.
The CHIEF WHIP OF THE OPPOSITION: Are you refusing me a point of
order? [Interjections.]
The HOUSE CHAIRPERSON (Mr C T Frolick): Hon member, take your seat.
We want to get the debate under way.
The CHIEF WHIP OF THE OPPOSITION: Chair, I am just asking you: Are
you refusing me a point of order?
The HOUSE CHAIRPERSON (Mr C T Frolick): Hon member, we have resolved
this issue with the member.
The CHIEF WHIP OF THE OPPOSITION: You do not know what I want to
say.
EPD 15 MAY 2013
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The HOUSE CHAIRPERSON (Mr C T Frolick): There is no need for further
points of order on this matter.
The CHIEF WHIP OF THE OPPOSITION: You do not know what I want to
say!
The HOUSE CHAIRPERSON (Mr C T Frolick): There is no need. I have
made a ruling, hon Watson.
The CHIEF WHIP OF THE OPPOSITION: But you have not heard me, sir.
The HOUSE CHAIRPERSON (Mr C T Frolick): Hon Watson, will you take
your seat, please? [Interjections.] Continue, hon member.
Mr G B D MCINTOSH: To run a globally competitive economy and walk
tall in a hard, unsentimental world ... [Interjections.] ... where
national self-interest rules ... [Interjections.]
The HOUSE CHAIRPERSON (Mr C T Frolick): Order, hon members!
[Interjections.] Continue, hon member.
Mr G B D MCINTOSH: To run such an economy we need a department with
strong institutional memory, with highly skilled, dedicated,
patriotic personnel, regardless of colour or gender, and with at
least some staff with language skills linked to our biggest trading
partners. Board meetings at the Standard Bank now have simultaneous
EPD 15 MAY 2013
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interpretation of Mandarin and English. How many DTI staff can speak
Chinese, or indeed any other languages?
Generally the department is well run and, if there are weaknesses,
the DG and his senior staff are doing their best to correct them.
As the hon Fubbs reminded us, private investment is the handmaiden
of this department – capital! We need money – foreign direct
investment and local investment. That is how we will grow our
industries and our industrialisation.
However, did hon members notice that the hon Minister did not speak
about the National Development Plan? He spoke about the New Growth
Path. [Interjections.] Nothing about that!
We notice, too, that the Minister should act strongly against people
like Patrick Craven. What business has Patrick Craven to comment on
Ipap and to use that political swearword “neoliberal”? The Minister
should firmly repudiate those communists who are trying to cripple
the NDP. If he did that, his pipeline of investment would grow
exponentially, because people who are investing with capital want to
see that. However, the Minister said there was an “echo” on African
investment at the World Economic Forum this past week.
Let me quote to you what the richest man in Africa had to say at
that forum and in an interview with Business Day. Listen to this:
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In Nigeria, we had these laws demanding that any (foreign)
investor had to have a Nigerian partner. But that just dried up
the capital flows.
Are you listening, Mr Minister? [Laughter.] What did Mr Dangote go
on to say? He said:
Now anyone can do business with anyone in Nigeria.
[Interjections.] He has about R6 billion in investments in South
Africa. He went on to say – and this is not an umlungu [white
person] speaking; this is a black Nigerian:
... South Africa’s BEE laws and policies would have to be reviewed
in order to attract more investment from Africa to South Africa
...
He went on to say:
... (South Africa’s) BEE rules and regulations benefited only 5%10% of the population.
The Minister is pushing through a BEE Bill, and I have written about
it on www.politicsweb.co.za. This Bill comes 20 years after freedom
and is highly problematical. It complicates and holds back
investment. It denies the vision of Nelson Mandela, the hon Trevor
EPD 15 MAY 2013
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Manuel and Mr Cyril Ramaphosa, and reaffirms the stream of race
victimology and greed that Malema and Manyi embody.
South Africa is actually doing very well. There are a lot of people
in this country who are always thinking, “Siyahlupheka!
Siyahlupheka!” [We are poor! We are poor!] I want to tell you, South
Africa is doing very well. The black middle class has more than
doubled in the last eight years. It has grown to 4,2 million people.
Motor car ownership by the black middle class has increased from
750 000 to 1,9 million. That is a huge achievement.
Minister Patel and our President point out that the South African
economy has grown by 83% in the last 20 years, but we are only going
to grow it if we attract private capital. The Nigerians understand
that.
But what does the hon Fubbs say? Listen to her comments. She says,
well, we have to bring in private investment, but we must control
these blighters because they creep through the cracks in the wall!
[Laughter.] Not only that, but when Walmart comes, what does one
get? A genuine attitude by the government of being anti. They are
not welcomed with open arms. No, no, no! They support the
Competition Tribunal.
This is the same attitude our Minister of International Relations
and Co-operation has. Her department is called Dirco – which sounds
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like an engineering company! [Laughter.] The Minister of
International Relations and Co-operation speaks of when the British
cut our aid. That is actually a source of pride to me as a South
African, because it is telling me what the British are saying, that
they have made an assessment that the South Africans are doing so
well they do not need aid! But what does our Minister do? She throws
a fit! I would be proud of the aforementioned fact. It also shows
you that the rest of the world sees that we are doing well.
Our problem is the left. It is the communist trade unions and
wildcat strikes that are damaging our country, and the Minister must
understand that. He must not pussyfoot around them; he must make a
strong statement objecting to that attitude! Then we will have
capital pouring into South Africa, as it is into Nigeria.
[Interjections.] [Applause.]
The HOUSE CHAIRPERSON (Mr C T Frolick): Order! Order, hon members!
Mr J H STEENHUISEN: Mr Chairperson ...
The HOUSE CHAIRPERSON (Mr C T Frolick): Please take your seat in the
meantime, hon member. Hon members, we will take up the matter of the
conduct of the hon member Mr McIntosh ...
HON MEMBERS: Yes!
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The HOUSE CHAIRPERSON (Mr C T Frolick): ... and we will discuss it
with the relevant Chief Whip from Cope outside this forum. We will
now continue with the debate. Did you have a point of order, hon
member?
Mr J H STEENHUISEN: Chairperson, I would like to seek clarity from
you. In every other debate that has taken place, including the one
in this Chamber yesterday, members have been given the option at the
beginning to speak from the podium or to speak from the benches. I
seek clarity, therefore, on behalf of our members for future
reference. Are you making a ruling today that this is how it shall
be henceforth, or will this be only when you are in the Chair,
Chairperson? [Interjections.]
The HOUSE CHAIRPERSON (Mr C T Frolick): Hon member, I am the
Chairperson of this session ...
HON MEMBERS: Yes!
The HOUSE CHAIRPERSON (Mr C T Frolick): I am the Chairperson of this
session, and that is why I requested the hon member to use the
podium, like I requested the hon Minister to do. [Applause.] I
repeat, like I requested the hon Minister to do. I am not going to
...
Mr J H STEENHUISEN: Mr Chairperson ... [Interjections.]
EPD 15 MAY 2013
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The HOUSE CHAIRPERSON (Mr C T Frolick): Order, hon members! Order!
Order!
As I have indicated, I will enter into a discussion with the Speaker
and the Chief Whip of Cope on the matter of the hon member who was
just at the podium, and then we will deal with the matter from
there.
As the Chairperson of this session, I am requesting hon members to
make use of the podium. In the past hon members have complained that
neither the Old Assembly Chamber nor Committee Room E249 is properly
equipped to conduct Budget Vote debates. That is why podiums were
put in there. So, if the podium is there and I am in the Chair, then
I am going to request members to make use of the podium.
Mr I O DAVIDSON: Mr Chairman, on a point of order ...
The HOUSE CHAIRPERSON (Mr C T Frolick): Hon member, what is your
point of order now?
Mr I O DAVIDSON: Sir, my point of order is this: I just want to
endorse the comments of my colleague. You have the right to request,
but you do not have the right to make Rules. The Rules are made in
the Chief Whips’ Forum and in the Parliamentary Oversight Authority.
Only they have the right to make Rules. [Interjections.]
EPD 15 MAY 2013
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The HOUSE CHAIRPERSON (Mr C T Frolick): Hon member, thank you for
your point of order. Will you take your seat, please? The Chief
Whips’ Forum is a consultative body. It does not make Rules for
Parliament.
Mr N E GCWABAZA: Hon Chairperson, hon Minister of Trade and
Industry, Dr Rob Davies, hon Deputy Ministers and hon members, the
ANC supports Budget Vote No 36, the budget for Trade and Industry.
In supporting this budget, let me attend to some of the entities
over which the portfolio committee has oversight.
The National Credit Regulator is an instrument that contributes to
addressing the socioeconomic challenges related to the low wages in
the workplace which no longer match the living standards of the
majority of South Africans and, as a result, force them to the
lending institutions. Challenges have emerged with regard to
unsecured and reckless lending by financial institutions, which is
also characterised largely by lending for consumption rather than
for productive and job creating economic activities. There are
problems in debt counselling and court processes as well.
The ANC looks forward to a comprehensive amendment of the National
Credit Act and the National Credit Policy, which amendments the DTI
plans to introduce in Parliament in July.
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Let me turn to technical infrastructure institutions and start with
the National Metrology Institute of South Africa, NMISA. The
selection of the technical infrastructure institutions, all of them,
was linked to their strategic importance in supporting the
manufacturing sector and exports, and protecting consumers from
unsafe and poor quality products and services. These institutions
ensure the maintenance of quality standards, compulsory
specifications, accredited testing and measurement units. These are
primary scientific standards of physical quantities for South
Africa, which are equivalent to other national and global
measurements.
NMISA provides the international link to traceability for all
measurements and also provides reference analysis in the case of
measurement disputes. Furthermore, it develops and maintains primary
methods for chemical analysis to certify reference materials for
South Africa and the SADC region.
South Africa needs sound and effective measurement systems to be
able to compete in a globalised economy which emphasises free trade.
Scientific development and applied research necessitate modern
measurement systems and techniques. As the provider of
internationally equivalent measurements and standards, NMISA
therefore plays a critical role in underpinning South Africa’s
industrial and trade competitiveness through developing and
maintaining vital elements of the national technical infrastructure.
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Thus NMISA supports the Industrial Policy Action Plan by ensuring
that South Africa’s manufactured goods are acceptable and
competitive in international markets.
In the 2013-14 financial year NMISA will be focusing on measurement
standards for sectors that are prioritised in Ipap, such as the
green and energy sectors, metal fabrication, capital and transport
equipment, automotive components, agroprocessing, plastics,
pharmaceuticals and chemicals. It will also be upgrading the optical
frequency national measurement standards for the Square Kilometre
Array, SKA.
The National Regulator for Compulsory Specifications, NRCS,
regulates the development of and adherence to compulsory minimum
product specifications. It ensures that business manufactures, sells
imports, and exports goods and services which comply with compulsory
specifications in order to guarantee the health and safety of
consumers and the protection of the environment, and to make our
goods and services competitive in terms of costs, quality and
quantity in the global markets.
For the financial years 2013-14 to 2017-18 the NRCS is planning to
focus on enforcing technical regulations, with the emphasis on
locking out goods that do not comply with compulsory specifications.
Also, it seeks to address failures of the market, where businesses
may produce, import and sell goods and services that are harmful to
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consumers and threaten the environment, and may fall short of
promised quality, quantity and safety in line with trade metrology.
However, the NRCS acknowledges that it has to strike a balance
between the burden of overregulation and the benefits of pragmatic
focused regulation.
The NRCS also regulates other products covered by memoranda of
understanding with other national departments, namely the
Departments of Transport, of Health, of Labour, of Water and
Environmental Affairs and of Agriculture, Forestry and Fisheries.
As far as legislation of the NRCS is concerned, the Minister of
Trade and Industry, the hon Dr Rob Davies, has amended, with effect
from 1 July 2013, Schedule 2 of the Regulations Relating to the
Payment of Levy and Fees with regard to Compulsory Specifications.
These amendments cancel the existing tariffs for the automotive,
chemical, mechanical and materials, electrical, and food and
associated industries, and substitute new tariffs.
The NRCS is currently strengthening and enforcing existing and new
mandatory standards for the manufacturing sector of our economy as
identified in Ipap. These are: energy and water-efficient building
regulations; water-efficient requirements for plumbing components;
safety and environmental requirements for electrical products in
fixed installations; compulsory requirements for processed meat;
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compulsory requirements for live aquaculture; and safety and
environmental requirements for electric vehicles.
The NCRS participates in international forums and regional
committees on technical infrastructure, and serves as the coordinator and the secretariat for the three SADC committees.
I now turn to the South African National Accreditation System,
Sanas, which is a national accreditation body aimed at providing an
effective accreditation system. It is internationally recognised and
provides a good laboratory compliance and monitoring system. It
underpins South Africa’s industrialisation, trade and economic
development through credible accreditation and improving operational
delivery of services.
In its strategic objectives for 2013-14 Sanas includes excellence in
operational delivery of services; the provision of accreditation
support for industrial development and the protection of the health
and safety of the public and the environment; the promotion of
accredited results among global partners and the advancement of
South Africa’s trade and economic development; and the support of
regional integration as part of the objectives of Ipap and the trade
policy.
Sanas is the founding signatory of the Multilateral Recognition
Agreement of both the International Laboratory Accreditation Co-
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operation and the International Accreditation Forum. At a regional
level, it holds the position of regional co-ordinator of and is host
to the SADC Accreditation Secretariat. It also undertakes the
transfer of skills to the SADC Accreditation Service, and was
recently elected to host the secretariat of the newly established
African Accreditation Co-operation in support of African technical
infrastructure under the African Union.
The SA Bureau of Standards develops, promotes and maintains South
African national standards. It keeps South Africa’s database of more
than 6 500 national standards as well as developing new standards,
and revising and amending or withdrawing existing ones.
The HOUSE CHAIRPERSON (Mrs F Hajaig): Hon member, your time has
expired.
Mr N E GCWABAZA: In conclusion, clearly, South Africa’s technical
infrastructure institutions are well placed to promote and support
regional and continental ...
The HOUSE CHAIRPERSON (Mrs F Hajaig): The hon member’s time has
expired.
Mr N E GCWABAZA: ... industrialisation, trade and infrastructure
development in the context of the SADC-EAC-Comesa tripartite
alliance. Thank you.
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The DEPUTY MINISTER OF TRADE AND INDUSTRY (Mrs T V Tobias): Hon
Chair ... [Interjections.] ... the hon member is trying to save face
by claiming that I look smart! [Laughter.]
Good afternoon, hon Chairperson, hon members, and ladies and
gentleman. Before I begin with my speech, I need to indicate upfront
that if the creative industry needs people to act, they can get many
from the National Assembly. Today I saw a lot of actors in this
House. [Laughter.] They demonstrated their ability to participate in
the creative sector, and I think they are in the wrong place!
[Interjections.]
Once again the time has arrived where we need to give a detailed
account of what programmes we have implemented with the budget
appropriated in the last financial year, namely the 2012-13 budget,
and also to request approval of the budget for 2013-14 from this
august House. We need to reflect on the programmes implemented,
based on policy positions approved by this collective body. We will
also reflect frankly and honestly on the realities that any
government is faced with when implementing a mandate given to it by
the electorate, operating within a complex environment of scarce
resources.
In government the fiscus is based on tax revenue. In the South
African context there is a situation where half of the labour force
are not actively participating in the economic mainstream, due to
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factors that we all know and have regurgitated since the inception
of the democratic dispensation.
For any economy to grow, we need unity of purpose. If the private
sector and the government look at each other with a suspicious eye,
we run the risk of unneeded disparities in policy formulation and
policy implementation. I repeat, if the private sector and the
government look at each other with a suspicious eye, we run the risk
of unneeded disparities in policy implementation and policy
formulation. [Interjections.] We need to harmonise the relationship
between the private sector and the state through continuous
engagement and consensus-seeking.
The target of five million jobs can only be achieved through
consistent and vibrant economic growth. There was a question
regarding whether we need a consumption-driven or a productiondriven economy. That is the debate that ensued this morning. This
question, in the context of the South African economy, is neither
here nor there, as we are dealing with an economy that until now has
left the majority of its citizens out of participating in the
mainstream. That is a fact, hon members.
In the past our economy left the majority out of the economic
mainstream and therefore we as politicians ... [Interjections.] Hon
member, I’m going to beg for your indulgence. [Interjections.] We as
politicians need to avoid gambling with such a sensitive matter and
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become patriotic in changing the lives of South African citizens.
This does not mean that leaders and government officials should take
advantage of the vulnerability of our society and become involved in
corrupt activities.
We also need a balance between consumption and production because,
for any economy to grow, we need both a competitive and a productive
economy. Therefore, as the state we will continue to humbly call for
a partnership between the public and private sectors in addressing
these complexities.
We further promise, as always, to provide tax incentives, which we
have always provided, as a reward. We will also reward compliance.
Therefore, there will always be incentives when companies comply
with regulations.
The debate on wage subsidies has become egg on the face of some and
seems to have divided our society. In my considered opinion, any
idea that seeks a solution to our unequal past should be embraced as
far as it works. However, it should be evaluated, and abandoned if
it does not work. Criticism should be positive ... [Interjections.]
... and an alternative solution should be provided.
I am also wary of international ratings that presuppose that all
countries move on an equal footing. How can developed countries be
measured with the same yardstick that is used to measure developing
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countries? How can the economic growth of developing countries be
equated with that of developed countries? This is not just an
exercise; it is actually insanity and hypocrisy.
However, that does not mean that the bar must be lowered. In fact,
it must propel us to perform even better. Indeed, South Africa has
outdone itself; hence we gained membership of Brics. This was not
because we were equal to the Brics countries with regard to monetary
value and otherwise; it was the political and socioeconomic factors
that put South Africa on the map.
To elaborate on my point, it was reported that the International
Monetary Fund, IMF, had slashed South Africa’s economic growth focus
for next year from 4,1% to 3,3%. This was done against the backdrop
of what the Minister of Finance indicated in his Budget speech,
putting next year’s projection at 2,7%. Where did the IMF get the
3,3%? Our projection for 2015 is 3,8% and not 3,7%. Let people stop
counting chickens before they hatch! [Interjections.]
Come 2015 we will report on the real growth, as we do every
financial year. Of course, government did project its growth to be
5% in its last projections, but there were challenges that were
experienced by our economy. [Interjections.] No, let me give you
examples. I am going to be specific – I don’t deal in drama but with
facts!
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The first one is that the energy prices went up. [Interjections.]
There were global risks – we know that there was a financial crisis.
There was a decline in global demand, and that is a fact.
[Interjections.] That is a fact. There was a decline in global
demand. [Interjections.] Domestic consumer demand also declined. We
experienced volatile capital inflows and commodity prices, the
volatility of the rand, the rising of food prices and the rising of
inflation. I can go on.
This eventually led to growth being below the 3,8% projection,
ladies and gentlemen. I think we agree on that. We also agree that
there was a challenge of structural problems in the country, and I
have already provided the example of the labour force.
During the Budget speech the Minister of Finance indicated that the
2013 Budget was being presented during challenging times. He
elaborated on this by saying that the South African economy was
continuing to grow at a slower rate, and government had to take
measures to reduce spending. Last year, during the Budget debate in
the NCOP, I made a remark that the global economy was facing
uncertainties, but countries were still expected to build vibrant
economies.
We are meeting here today in the National Assembly, and we need to
answer difficult questions about how we are going to create
employment, especially for the youth, 80 days after the Minister of
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Finance tabled the Estimates of National Expenditure. This is based
on his assertion that the global economy was painting a bleak
picture.
We need to strike a balance in juxtaposing global economic discourse
and South African policy challenges. He further challenged us to
balance economic recovery and economic consolidation, and our being
an economic power and having social solidarity. Given the above, he
also provided hope by indicating that the South African economy was
expected to grow from 2,5% to 2,7% in the current financial year,
and it is expected to grow, as I said earlier on, to 3,8% by the
year 2015.
The million dollar question that remains is how we achieve these
economic projections, given the challenges experienced in the past.
The answer lies in our performance. As long as there are low
productivity levels, uncompetitive behaviour, little innovation and
lack of investment in local content, they will not be achieved. To
the hon member from Cope, it is not about foreign direct investment
– if there is no local content, investment is equally useless.
Notwithstanding global challenges, this growth won’t be realised ...
[Time expired.] [Applause.]
Adv A D ALBERTS: Chairperson, it is a pleasure to serve on this
committee. The fact that many decisions are made by consensus is
testimony to the pragmatic mindset of the committee members under
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the very able and, dare I say, entertaining leadership of its chair,
Ms Fubbs. It is quite appropriate to thank her for always listening
to my comments and advice and acting thereon.
Minister, soos u weet, is u departement die enjinkamer van die land
se ekonomie. Die hardnekkige probleem wat ons in die gesig staar, is
die feit dat werkloosheid nie verminder nie. ’n Mens kry die indruk
dat min van die planne wat gemaak word ’n substantiewe, positiewe
effek het. Dit is vir ons kommerwekkend, en daarom wil die VF Plus
’n paar voorstelle maak. (Translation of Afrikaans paragraph
follows.)
[Minister, as you are aware, your department is the engine room of
the country’s economy. The persistent problem that is facing us is
the fact that the level of unemployment is not declining. One gets
the impression that few of the plans that are being made have a
substantive and positive effect. It is disturbing, and therefore the
FF Plus wants to make a couple of proposals.]
Many of the structural problems in the economy have been created by
government. This department has been a prolific creator of
legislation, whether new or amending, that imposes layers of
bureaucratic burden on businesses. One pending piece of legislation,
the Licensing of Businesses Bill, is so far-reaching that it will
kill off the informal sector if implemented unchanged. We need less
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red tape so that society, especially the poor, can spontaneously
create businesses for themselves as opportunities arise.
Die industrialiseringsplan lyk belowend, maar die sukses daarvan is
onderhewig aan die sukses van ’n effektiewe vervaardigingsektor. Die
feit is dat die gebrek aan effektiwiteit baie te doen het met ons
streng arbeidswetgewing. Dit word bewys deur die rand se
wisselkoers. Sodra dit laag is, kan ons meeding met ander lande.
Sodra dit styg, bestaan daar nie meer aansporings wat ons produkte
mededingend maak nie. Die wisselkoers en hoë arbeidskoste word dan
saam ’n struikelblok tot effektiewe internasionale mededinging.
Daarom moet die Minister met sy kollega by Arbeid gesels oor hoe om
die probleem die hoof te bied. Selfs die Minister van Finansies deel
hierdie siening. (Translation of Afrikaans paragraph follows.)
[The industrialisation plan looks promising, but the success thereof
depends on the success of an effective manufacturing sector. The
fact is that the lack of effectiveness has a lot to do with our
strict labour legislation. It is proven by the rand’s exchange rate.
When it is in decline, we are able to compete with other countries.
When it increases, there is no incentives that make our products
competitive. The exchange rate and high labour costs together then
become a stumbling block to effective international competition.
Therefore, the Minister must talk to his colleague at Labour about
ways to solve the problem. Even the Minister of Finance shares this
view.]
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The economy will also grow when it is truly inclusive. Therefore,
the implications of the Broad-Based Black Economic Empowerment
Amendment Bill, whereby white women and people with disabilities
will be excluded from being taken into account for BEE scoring, are
extremely worrisome. This sends the negative message to people who
can contribute to building the economy that they are not welcome
here.
The Minister has also inherited restrictive regulations that
prohibit the establishment of certain industries. However, should
they be amended, they could create many jobs. I have now for almost
a year tried to obtain an audience with the Minister regarding this,
but to no avail. I know the Minister is busy, but surely a Member of
Parliament must be able to see the Minister on such an important
matter as job creation.
Laastens wil ons ’n pleidooi lewer dat die Minister opnuut kyk hoe
SunSpace as ’n hoëvlaktegnologie-werkgewer geakkommodeer kan word
binne die Aksieplan vir Nywerheidsbeleid, Ipap, in plaas daarvan dat
die maatskappy opgebreek en by Denel geïnkorporeer word. Hierdie
maatskappy kan baie nuwe wetenskaplikes en ingenieurs oplei,
buitelandse valuta deur satellietverkope inbring en die ekonomiese
golf van die ruimtenywerheid tot voordeel van die land ry.
(Translation of Afrikaans paragraph follows.)
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[Lastly, we want to make a plea to the Minister to once again look
at ways in which SunSpace can be accommodated as a high level
technological employer within the Industrial Policy Action Plan,
IPAP, instead of dismantling the company and incorporating it into
Denel. This company can train many new scientists and engineers,
bring in foreign exchange through satellite sales and ride the
economic wave of the space industry to the advantage of the
country.]
We hope the Minister will attend to these matters for the sake of
our economy. Thank you, Chair. [Applause.]
Mr Z G WAYILE: Hon Chairperson, hon Minister, hon Deputy Minister,
members of the committee, all those in the gallery, and our social
partners, I want to depart from the basis of a scientific analysis.
We seek to change the world, but we are not working under conditions
of our own choosing – we are operating in a very hostile global
environment.
I want to deal with the distortion that is creating the impression
that some of the problems the Minister has been commenting on, and
all the challenges that the ANC government is dealing with, are
yesterday’s problems. I think hon members must bear in mind that in
1884 the Berlin Conference of European powers created scars on our
continent. The particular epochs of the 1652 Dutch East India
Company, the 1910 Union of South Africa, the Natives Land Act, Act
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27 of 1913, and the Bantu education system all created social and
political scars on our people. [Applause.]
The ANC government and our allies on the rest of the continent have
the inherent responsibility to heal the scars of centuries that have
been created by our colonial masters.
The year 1994 has been characterised by a number of people as a
political miracle, which is an insult to the South African people,
in particular under the custodianship of the ANC. There was no
miracle. People died – they perished – and they went into exile.
That is why, at times, we respond to issues in a very mechanical
way. It is because we move on the basis of a wrong assumption.
The ANC adopted the Freedom Charter. Some of the basic tenets of the
Freedom Charter are the following:
The national wealth of our country, the heritage ... shall be
restored to the people;
All other industry and trade shall be controlled to assist the
wellbeing of the people;
We are not part of a technical exercise. The historical mission of
the ANC is to ensure that the wellbeing of our people is addressed.
I just want to highlight a few issues.
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We have to applaud the ANC government for being visionary and for
adopting policies. Some of those policies we have managed to
navigate in turbulent and challenging times, both here and globally.
That must be appreciated. [Applause.]
The Motor Industry Development Programme, MIDP, has been regarded as
a major success of South Africa’s postapartheid trade and industrial
policy. The MIDP was introduced on 1 September 1995 and was
scheduled to continue until 2012. It was initiated to assist the
motor industry to adjust to the global economy. It was introduced
against the backdrop of South Africa’s political and economic
liberation and other major structural shifts in government policy,
in line with the trade regime.
The MIDP was designed to help the industry to adjust and also to
increase its competitiveness in the new postapartheid trade policy
environment. The programme consisted of various elements, but I will
not mention them because of time constraints. The MIDP has resulted
over the past 10 years in fostering adjustments that have increased
the competitiveness of the industry to the point where some, perhaps
many, factories can now become competitive with the continued
subsidies. The ultimate goal is to increase the competitiveness of
the South African automotive industry through best practice
compatible with the World Trade Organisation, WTO.
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The Automotive Production and Development Programme, APDP, replaced
the MIDP. The APDP aims to stimulate growth in the automotive
vehicle production industry to 1,2 million vehicles per annum by
2020, with the associated expansion of the components industry. This
means that an opportunity will be afforded for local content to be
increased in domestically produced vehicles. I think these are some
of the major achievements of the ANC government. The automotive
industry is regarded as a strategic sector. It is also deemed the
largest – leading – manufacturing sector.
The APDP comprises the following elements: tariffs, local assembly
allowance, production incentives, and automotive investment
allowance. These are some of the measures that have been instituted
by the ANC government to ensure that we navigate the difficulties of
the global economy. Furthermore, this is in the context of the
acceleration of industrialisation, which is much needed in our
country.
Let me touch on another point which is of strategic importance,
namely the process of bringing about the Special Economic Zones
Bill. [Time expired.] Thanks very much. The ANC supports the Budget
Vote.
The HOUSE CHAIRPERSON (Mrs F Hajaig): I would like to remind the
House that this was hon Wayile’s maiden speech. [Applause.]
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Mr S N SWART: Hon Chairperson, whilst the department’s core strategy
is the promotion of industrial development, and this the ACDP
definitely supports, I wish to focus on the informal sector today.
We all know that the informal sector contributes more than 3 million
jobs to the South African economy, and this number includes street
traders, shoe repairers, hair salons, dressmaking businesses, spaza
shops and retailers. There are many others. The majority of street
traders in South Africa are women who trade in a range of goods,
including sweets, Nik Naks, clothing, and fruit and vegetables.
Despite its relatively modest appearance, street trading is one of
the largest sectors of the informal economy. It is interesting that
the City of Durban has acknowledged this. They estimate that the
value of the sale of cooked green mealies on the street is in the
region of R1 million per month. This is very significant.
There are a number of bylaws that must be complied with, such as the
registration of formal businesses, trading in legal spaces, and
complying with tax regulations. The ACDP questions the wisdom of the
additional licensing requirement proposed in the Licensing of
Businesses Bill. We also question the capacity of municipalities not
only to issue these licences’ but also to keep a register of every
business, including informal street traders, in their jurisdiction.
One can rest assured that bribery and corruption would be the order
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of the day to obtain or renew these licences. This is a serious
concern that we need to deliberate upon.
This Bill will empower every police and traffic officer, as well as
a host of other municipal officials, to be licence inspectors with
far-reaching powers of search, seizure and issuing of fines. The
maximum penalty for operating a business, such as selling mealies on
the side of the road, without a valid licence will be 10 years. How
are our overstretched criminal courts going to deal with this
additional burden? [Time expired.] We believe that this needs to be
re-assessed. Thank you.
Mr I S MFUNDISI: Chairperson and hon members, if the AuditorGeneral’s report is the yardstick with which we measure the
performance of a department, then the Department of Trade and
Industry is doing very well.
The preferential trade agreements with other developing countries
are a step in the right direction; more so, if we seek to have such
agreements with African countries in particular.
Some expert opinions are of the view that the Trade Policy and
Strategic Framework does not properly define the exact nature of the
South–South co-operation proposed by the policy framework and, as
such, South Africa is viewed as not having a strategy for dealing
with its trade partners.
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Minister, perhaps the time is ripe for the industrial parks in the
erstwhile independent and self-governing states to be reopened to
ensure access to jobs in the proximity of the people concerned.
Rosslyn is a shining example in this regard, and Babelegi in
Hammanskraal is another example.
There is a need to evaluate and confront investment and competition
policy barriers that South African companies face when attempting to
set foot on the rest of the continent. Complex SADC rules must be
reviewed so that they cease to be trade barriers and rather enhance
meaningful trade integration in the region. With South Africa’s
ambition of leaving an investment footprint in Africa, it is in our
interest to pursue and facilitate a more fertile ground of
engagement in the SADC first. The UCDP knows that South Africa, as
the biggest economy on the African continent, plays an integral role
in the advancement of the continent.
The department has vehemently defended the government’s industrial
policy as working well. The question, however, is this: How come we
continue to have such high unemployment numbers if our industrial
policy is doing so well? For years now there has been talk of how
South Africa’s manufacturing sector needs to grow the number of
jobs, but that has not happened, because decision makers are to some
extent working in silos. No amount of state intervention towards
creating more manufacturing jobs will work, if the manufacturing
companies find, for instance, that our labour laws are unbearable.
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Finally, if South Africa continues to import almost everything from
China and elsewhere, then we are not likely to create jobs. However,
if imports are reduced, then a more reasonable space to trade is
created domestically, and the hope is there that we may be able to
create jobs. Thank you.
Mr X MABASA: Chairperson, ... [Interjections.] ... this is an SMME
shirt! [Applause.]
Holobye Davies, vamanana vambirhi lavo saseka va Swandla swa
Holobye, Swirho swa Huvo na vuyeni lebyi nga eka galari ...
[Minister Davies, the two beautiful lady Deputy Ministers, Members
of the House and the guests in the gallery ...]
... the basis of South Africa’s economic challenge is a structural
economic challenge which, if not qualitatively addressed, will
exacerbate growing income inequality. This challenge relates to
skewed patterns of ownership and production, characterised by
inequality, dualism and marginalisation. In addition, the
monopolistic domination of the economy is an obstacle to the goals
of economic transformation, growth and development.
Hon Wayile has given us a context so that, when we look at the
challenges that are faced by South Africans, they are not seen as
being seeds planted by the ANC. No, all that the ANC government is
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doing is uprooting most of the evil things that were planted as long
ago as the time of Dr Verwoerd and his colleagues.
The year 2012 was declared the International Year of Co-operatives
and the theme was, “Co-operative enterprises build a better world”.
The theme seeks to capture not only the significant role that cooperatives are playing in the global economy and at local level, but
also to articulate the resilience and stability of the co-operative
enterprise model. To illustrate this, I may mention that when the
whole world was sunk in depression and the other economic forms
could not shoulder the world, it was co-operatives that held the
economy sky high. [Applause.] All those countries that have cooperatives embedded in them did well under those strenuous
conditions.
Let me tell you why co-operatives are important. When we talk about
co-operatives, one could think that we are talking simply about
developing countries, but we are talking about developed countries
as well. For example, France has 21 000 co-operatives which have
created one million jobs. In Kenya, 63% of the population derive
their livelihoods from co-operatives. Approximately 250 000 Kenyans
are employed by and gain their income from co-operatives. By the
way, while we were in Kenya cheese, milk and yoghurt were made in
our presence – that is the reality. In Columbia the co-operative
movement provides 137 888 jobs. In Indonesia it provides 288 586
individuals with jobs. In the USA – it is important that you listen
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carefully, as this is the USA – 30 000 co-operatives provide more
than two million jobs! When we say that we must strengthen cooperatives in South Africa, we are looking at a model that succeeds.
How should SMMEs and co-operatives be treated in order to succeed?
It is critical that SMMEs and co-operatives are paid on time after
they have rendered services either to government or the private
sector. [Interjections.] Government should protect SMMEs and cooperatives from big business, who sometimes run away without paying
the subcontracted SMMEs and co-operatives. [Applause.] Working space
is often a challenge to SMMEs and co-operatives. Here we call upon
municipalities to ensure that they assist them with land and other
infrastructural needs.
It is important to note that white people who acquired land through
the Land Act of 1913 should not be too greedy and hold onto the
land. Greed kills. [Interjections.] White people who acquired land
in that manner should make part of it available to the government so
that it can be used for co-operatives and SMMEs. [Applause.]
What factors make co-operatives and SMMEs succeed? We have
nonfinancial support in the form of the Small Enterprise Development
Agency, Seda. We also have financial support in the form of the
National Empowerment Fund, NEF, the Industrial Development
Corporation, IDC, and the Small Enterprise Finance Agency, Sefa.
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The Co-operatives Amendment Bill calls for the establishment of a
co-operatives development agency as well as a co-operatives
tribunal. The NCOP has already passed the Co-operatives Amendment
Bill and very soon we will have the Co-operatives Amendment Act.
[Interjections.] I am very good at being rude, but I am controlling
myself. Please, don’t push me there, because I can easily go there!
[Applause.]
The co-operatives development agency will support, promote and
assist with the development of co-operatives, provide financial and
nonfinancial support to co-operatives, and provide business and
support services to co-operatives. The main function of the cooperatives development agency is to intervene when there is conflict
amongst co-operatives. There is also financial support. The function
of the agency is, inter alia, nonfinancial support services,
education, and training.
Let me spell out the fact that co-operatives must not be relegated
to being poor little institutions! Co-operatives can be giants! In
the countries that I have spoken about, co-operatives build
buildings and rent them out. They must be seen as maintaining
sustainability. They are growing all the time. That is why,
typically, the following should be remembered. The type of
activities that are engaged in by co-operatives should not be
regarded as “little ones”, but ... [Time expired.] The ANC supports
this Budget Vote. Thank you. [Applause.]
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The DEPUTY MINISTER OF TRADE AND INDUSTRY (Mrs E Thabethe):
Chairperson, I would like to acknowledge the Minister of Trade and
Industry and other Ministers present in the House; the Deputy
Ministers that are here; members of the National Assembly; MECs;
heads of departments; officials of the Department of Trade and
Industry and the Council of Trade and Industry Institutions; members
of the South African Women Entrepreneurs Network, Sawen, led by its
president and the CEO; leaders of organised business and labour;
distinguished guests; and ladies and gentlemen.
I would like to specifically recognise from the podium the 2012
technogirls that won a competition for best entrepreneurship and
technology. Those involved are the youth from Ponelopele Oracle
Secondary School in Kaalfontein, Tembisa, Gauteng; Boitumelo
Olifant, a technogirl from Tetlanyo Secondary School in the Northern
Cape; Nomarika Motaung, my mentee; and Kgotso Mokoele, an incubatee
from Seed Container Park, Secopa, manufacturing hub. [Applause.]
We believe that, instead of only talking about red tape, between the
Department of Co-operative Governance and Traditional Affairs and
the DTI we must put in place a mechanism to deal with this matter.
We give support to the SMMEs, and that is why I acknowledge them
from the podium – we are not just theorists, but we actually give
support.
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In the gallery we would like to recognise Kgotso Mokoele, who is an
incubatee in Soweto and doing very well. She is a very young, fresh
businesswoman who is doing very well. [Applause.] I would also like
to recognise Manqoba Katane in the gallery, a young man who is very
passionate about small business, is currently working with the
incubation centre, Secopa, as a social media guru, and is doing
fantastic work. [Applause.] In the gallery is also Sister Jenny. It
is because of the support that we give to them that they are in the
gallery. These are the people we have supported.
People keep on saying that the Minister is concentrating on only one
side. They are very wrong. The Minister of Trade and Industry is the
Minister of both Trade and Industry. He is dealing with both, and
the President has not made a mistake, because the Minister is doing
very well. [Applause.]
In the gallery we also have Mama Lolo, a beneficiary of the Tourism
Support Programme and former lecturer, who runs a B&B in Diepkloof,
Soweto, and who is also supported by the government.
The current administration’s central focus has been on the creation
of decent jobs, economic transformation and inclusive economic
growth. These are some of the key strategic priorities identified in
the 2009-14 Medium-Term Strategic Framework, MTSF, which were later
turned into government outcomes.
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The Department of Trade and Industry, under the leadership of Dr R H
Davies as Minister, articulated these priorities in the 2010-13
MTSF. Therefore it is imperative that we reflect on the achievements
that have been recorded in these areas. [Interjections.] If you do
not have anything to say, just keep quiet and do not disturb the
people on the podium.
With regard to women and gender empowerment, the National
Development Plan identified poverty, underdevelopment and inequality
as the major challenges facing our country. We agree that women and
the youth are not fully integrated into our economy as yet. The
department understands that economic emancipation should be
broadened to include women and the youth, who were excluded from the
mainstream economic activities of the country in the past during the
apartheid era. We will continue to talk about that, because these
are the ills that the ANC government is still trying to deal with
after these 20 years of democracy.
It is against this backdrop that the DTI has introduced initiatives
that are tailor-made for women, such as the Isivande Women’s Fund,
for the information of the hon Swart; Bavumile to assist them with
technology use; and Technology for Women in Business, TWIB. The
Isivande Women’s Fund aims to provide women entrepreneurs with
affordable financial support. Of course, we take some of the women
from the informal sector. The director-general, Mr Lionel October,
is working very hard to make sure that we can deal with this matter.
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We take them out of the informal sector, formalise their businesses,
and support them. We need to grow this fund, because we have more
than 31 projects that we are supporting. The TWIB deals with
technology, growth, development and businesses.
While we recognise the need to afford women opportunities to
participate in the economy, we also need to encourage our young
girls to pursue technology, mathematics, commerce and sciencerelated careers. It is for this reason that, under this Minister, we
are promoting the Techno Girl programme. This is a vehicle that the
department is using to achieve this objective. Today you plant a
seed, and tomorrow you get a better harvest because of what you have
done. The DTI partnered with the provincial departments of education
and of economic development, the Small Enterprise Development Agency
and Cell C in delivering this programme. It is a programme that
works very well.
In addition, the department will table the national strategic
framework on women’s economic empowerment and present it to Cabinet
and the portfolio committee in order to make sure that this strategy
assists our women and ensures that we deal with this issue.
I now come to small businesses and co-operatives. It has been proven
that we are doing very well under this Minister. Internationally we
hosted a very successful small business summit in September last
year, together with other African countries, such as Ghana and
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Zimbabwe. We were able to host this, and the CEO of Seda was elected
president to focus on Africa. She is one of our own. We are very
proud and congratulate her, encouraging her to keep up the good work
because we are doing the right thing. [Applause.]
The department considers entrepreneurship development as strategic
to broadening economic participation, since we understand that the
economic development and success of many countries are anchored on
increasing the participation of SMMEs in the mainstream economy. We
believe that SMMEs form a principal driving force of economic growth
and development. In this regard we undertook to accelerate the
delivery of the upscaling of the support, particularly for blackowned rural and township SMMEs, as well as co-operative programmes
through the Seda network, and what the NEF is doing.
We also congratulate the CEO for doing very well by penetrating into
areas that had not been penetrated before. We say she should keep it
up. We will then be able to reach our desired goal. Although the IDC
is dealing with these matters, we are also trying to make sure that
we can deal with all the other challenges that are faced by small
business.
The Minister has come with amendments to broad-based black economic
empowerment because there were unintended consequences that we had
to deal with. To me he has done very well, because some of the
issues were hidden, but he was able to deal with them and make sure
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that we had a committee to discuss them and give us inputs. We will
be going ahead with these amendments. Of course, transformation is
easier said than done, and I am very disappointed that people who
should be supporting this are saying: “No, this is not working”. It
can only work if all of us work together.
The Codes of Good Practice, with a view to creating an enabling
environment, are doing exactly that. We have partnered with Unisa
and Wits University to offer a BBBEE Management Development
Programme. The programme is aimed at professionalising the BBBEE
industry and making sure that we can reach our goal.
In conclusion, I reported our winning last year. This year, led by
Minister Rob Davies, Trade and Industry won, for the second time in
a row, the gold award for the Best Foreign Stand at the Zimbabwe
International Trade Fair. Out of more than 21 countries
participating, we were able to win that for the second time!
[Applause.] What did we win with? Best products and best stand, and
that was done with those very officials who you accuse of not being
able to speak Mandarin! This is South Africa and we have 11 official
languages. I don’t think Mandarin is one of the languages we have to
promote! [Applause.] We promote our 11 languages and we have done
well, together with those officials of the DTI, who make sure that
we can participate in those exhibitions.
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Neither can we just win for having the best products; we must win
for taking the informal sector, formalising their businesses, and
training them so that, together with big business, they are able to
go to these missions and represent us.
Minister, there is a good appetite for our products in Africa – the
footprint is there. I have just come back from Tunisia and Algeria
after taking delegations from small and big business there.
[Applause.] They are there and they say we must come back again,
because they believe in what you are doing and how you are leading
the department. We will be there to support you, to make sure that
we make a difference in creating conditions conducive for businesses
to do business. [Interjections.]
Please, where it is right, you can be an imbongi [praise singer] for
us – we are doing very well under the leadership of this Minister.
Don’t just come to the podium for political point-scoring and tell
us about something that you did not thoroughly research and that you
cannot even back up.
The ANC will make sure that it leads this country. The ANC will lead
this government, and I am sure that next year all of us will be
there at the polls. People know exactly what we do, and we don’t
just talk! That is why some of those people are in the gallery –
because we act! Thank you. [Applause.]
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Mr G J SELAU: Chairperson, hon Minister, hon Deputy Minister, hon
members, distinguished guests, and ladies and gentlemen, I wish to
thank the hon Minister for his developmental budget speech, which
was well delivered, and also the Deputy Ministers for their speeches
supporting his speech.
Allow me, hon Chair, to start by saying that the ANC supports Budget
Vote No 36 of the Department of Trade and Industry for 2013-14. Let
me also take this opportunity to congratulate the Department of
Trade and Industry for a job well done on one of the department’s
major programmes, which is the Manufacturing Competitiveness
Enhancement Programme. This programme was launched in May 2012. To
date a total of 189 enterprises have been approved for grants to a
value of R992,2 million, and 33 551 jobs are expected to be
retained. We also congratulate the department for other successes
mentioned in the budget speech here today. This is very remarkable.
Hon Chair, with your permission, let me focus in the beginning of my
speech on clean energy in our country, South Africa, from a
manufacturing perspective. The Industrial Policy Action Plan
outlines the fact that, for the purpose of the development of the
economy, there is a need for investment in the manufacturing sector
to ensure an increase in employment creation. These are value-adding
industries, which create the highest opportunities for employment.
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The South African government has continuously outlined the need for
the country to redirect some of its efforts towards the green
economy for purposes of job creation and economic growth. In the
process of finding innovative ways to transform the country’s
manufacturing sector, the green economy offers opportunities to work
on strategies aimed at ensuring sustainability and resource
efficiency to improve the productivity of the manufacturing sector.
The benefit of this will be the creation of jobs and opportunities
to diversify export offerings as the demand for green goods
increases in developed countries.
In the words of the US President, Barack Obama:
... a green, renewable energy economy isn’t some pie-in-the-sky,
far-off future, it is now. It is creating jobs, now. It is
providing cheap alternatives ... now. And it can create millions
of additional jobs and entire new industries if we act now.
[Applause.]
Industrial Policy Action Plan 2, Ipap 2, calls for the following in
order to effectively address the required structural changes from a
manufacturing perspective. Firstly, electricity and capitalintensive resource-processing sectors should introduce new cuttingedge alternative technologies and processes to make additional
investments in green technologies and sectors. Secondly, the share
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of value-adding, labour-intensive sectors should be increased and
the share of energy-intensive sectors in the GDP should be
decreased. Thirdly, accelerated growth that will be sustained in the
green and energy-efficient sectors should be promoted.
The success of projects identified by the Industrial Policy Action
Plan relies on how well the various departments work together. The
Department of Trade and Industry, working together with other
departments, specifically the Department of Energy, has embarked on
the following programmes to ensure the transformation of the
manufacturing sector through green technologies. [Interjections.]
Firstly, the DTI is in the process of developing a comprehensive
solar and wind sector development strategy. Approved in May 2012 in
principle and still to be finalised, the strategy has identified
seven key action programmes, namely, market facilitation, local
manufacturing and industry upgrading incentives, local content
requirements, technical and physical infrastructure, trade and
investment support and facilitation, research demonstration, and
skills development.
Secondly, the DTI supports the development of energy-efficient
products and services in a competitive local manufacturing industry.
Thirdly, as part of the Manufacturing Competitiveness Enhancement
Programme, the DTI provides the Green Technology and Resource
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Efficiency Improvement Incentive. This is an incentive programme to
support projects with green technology upgrades and business
development activities that will lead to cleaner production and
resource efficiency.
Fourthly, the Department of Trade and Industry is also funding an
industrial sustainability programme that is managed by the National
Cleaner Production Centre of South Africa. The objective of the
programme is to strengthen market access to South Africa’s industry
by developing networks and transferring resource efficiency and
cleaner production technologies and services.
Therefore, the department is contributing to the sustainability of
industry value chains, and delivering measurable economic,
environmental and social impacts. Thank you very much, Chairperson.
[Applause.]
Mr G G HILL-LEWIS: Chairperson, there was not a single mention – not
one mention! – by any ANC or government speaker today of the
National Development Plan. [Interjections.] Not once! It is
unbelievable how quickly a so-called national plan can be tossed in
the bin by the ANC.
Chairperson, the Minister of Trade and Industry has one of the
biggest and most important mandates of any Minister in this
government. The department is responsible – more so than any other
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one – for setting South Africa’s economy on a path of job-creating
growth. It is against this mandate that the Minister must be
measured.
From the outside, one would be forgiven for thinking that the
Department of Trade and Industry and its Minister were doing
everything right – unqualified audits, on time payments, no
significant underspending, and a generally available and responsive
Minister and director-general. These are all laudable achievements.
However, when we consider the department’s progress in the
achievement of its core mandate of job-creating growth, the picture
is very different. Instead of unlocking new investment, growing
trade, positioning South Africa as the biggest exporter to the
continent, and driving growth, the Minister seems to be preoccupied
with extending the control he personally exerts over our economy. He
has amassed vast power to make new rules and issue reams of new
secondary legislation.
In his own words, speaking at the release of the latest Industrial
Policy Action Plan, the role of the state in the economy is to
“steer but not to row”. In other words, this is a model of state
capitalism in which the state must determine the direction and
priorities on behalf of the private sector, which must then just
follow instructions. Except that this government cannot steer!
Chairperson, it cannot even read the map! [Interjections.]
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However, we have a map for how to fix our economy and unlock growth
– it is called the National Development Plan! You should read it. If
the Minister were making a real effort to implement the sections of
the NDP which relate to this department, we might be more
complementary, but he is not doing so. In fact, he seems bent on
following a policy course directly and deliberately opposed to the
NDP.
Let us just consider one small example, that of small, medium and
micro businesses. The FinScope Survey details how 90% of new jobs in
South Africa are created in SMMEs. That is, jobs are created by
entrepreneurs, hon Fubbs, who have a good idea and who take huge
risks to turn that idea into something they can sell. Jobs are not
created by bureaucrats or by new government commissions or
committees.
Given that context, it should alarm us that South Africa is ranked
53rd out of 185 economies with regard to the ease of starting a
business. That is ten positions lower than we were ranked last year!
The Global Competitiveness Report 2012-13 of the World Economic
Forum ranks us 37th out of 38 countries on the burden of government
regulation. Most worryingly, Chairperson, entrepreneurial activity
in South Africa is half of what it is in our competitor countries.
That is why the National Development Plan repeatedly and correctly
emphasises the need for the government to create an environment in
which it is easier and cheaper to start and run a small business.
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The NDP calls for a quick and easy process for starting a new
business and transferring property. It envisions a state which cuts
unnecessary red tape, streamlines administrative processes, and
supports businesses in their investing, growing and hiring more
staff. It sees a relationship, not of one party steering and the
other rowing, hon Minister, but of the two rowing together in
partnership.
In this context, the gazetting of the Licensing of Businesses Bill
belies the Minister’s stated commitment to implementing the NDP,
because the Bill runs counter to everything the NDP calls for. The
NDP specifically says that we should be doing everything to simplify
the regulatory burden, not add to it. As a first step, it calls for
the establishment of a panel to conduct a comprehensive regulatory
review for small business to see where we can strip away red tape
and simplify processes. Why has the Minister not established such a
panel? This is something simple and tangible that he could do now to
implement the NDP. He need not wait, and it would really help small
businesses, but he has not done it. Why not, I would like to know?
The Bill he has gazetted does not solve any problems. He has never
told us why he wants the Bill. He says it is to fight businesses’
trading in counterfeit or stolen goods. But none of these things are
solved by this Bill, and other legislation already allows the
government to police those things. They just don’t do it! In any
case, I would like to put this question to the Minister: Does he
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really believe that a business trading in stolen goods is going to
stop doing so because they don’t have a licence? Is he really
serious about that? [Interjections.] It is excessive, unnecessary
regulation that slows down new business formation and hampers
entrepreneurs in getting on and creating jobs.
Here is an idea for the Minister. [Interjections.] Not yet – still
two minutes. Bring us a small business regulatory reform Bill that
unties the regulatory knots that currently hamstring our economy.
That is a Bill the DA would support.
Also, make sure other departments pay their suppliers on time. This
should be a standing item of yours on the Cabinet agenda, Minister.
If it is not, then I’m sorry, you are not doing your job. You should
be hounding any Minister whose department does not pay its suppliers
within 30 days.
Here is something else you could do. Launch a “red tape to red
carpet campaign” that allows entrepreneurs to identify the
regulations that hold them back, and then commit your government to
getting rid of them. Start a government red tape challenge involving
all DTI employees and encourage them to innovate, thinking of new
ways of getting rid of red tape. [Interjections.]
Minister, these are all things the DA is already doing where we
govern. [Interjections.] That is why where the DA governs, small
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businesses are flourishing, investment is flooding in, the economy
is growing faster than before, and jobs are being created.
[Interjections.] These are productive, self-sustaining, prosperitygenerating jobs.
This department ... [Time expired.] Thank you very much. [Applause.]
Mr B A RADEBE: Chairperson, Ministers, Deputy Ministers, members of
this august House and the public in the gallery, this debate takes
place when we will be celebrating the Golden Jubilee of the
Organisation of African Unity, OAU, next week. This organisation was
instrumental in mobilising the international forces that waged a
continental and global assault on the apartheid regime.
The founding members of the OAU, such as Kwame Nkrumah, believed
that the fight against colonialism involved the unification of
Africa, politically and economically. In the 1964 summit of the OAU,
he said the following, and I quote:
By far the greatest wrong which the departing colonialists
inflicted on us, and which we now continue to inflict on ourselves
in our present state of disunity, was to leave us divided into
economically unviable States which bear no possibility of real
development ...
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This clarion call of President Kwame Nkrumah was to agitate the
African states to make common policies in development, trade and
industrialisation.
It is a remarkable achievement that the ANC-led government, which is
only 19 years old, is involved in the programmes that promote
industrialisation, intra-African trade and continental unity, and
Africa-wide developmental institutions. The sterling work of this
government is realising the dreams of the founding fathers of the
OAU.
The Department of Trade and Industry, through its programme of
industrial development, is ensuring that South African companies are
able to add value to our resources and trying to minimise the export
of raw materials. Since the Department of Trade and Industry is the
custodian of the Industrial Policy Action Plan of the ANC-led
government, what is important is that strides are being made every
day in ensuring that agricultural goods and mineral resources have
value added before they are exported.
In 2009 the ANC made the clarion call that “working together we can
do more”. This is now evidenced by the fact that national and
provincial departments, local municipalities, and state-owned
enterprises are working together to fight the triple challenge of
unemployment, poverty and inequality.
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Hon Minister, the Industrial Policy Action Plan is working. In the
past development took place only in the big cities. Today I want to
focus on the rural areas, because I am a boy from the Free State,
which is an agricultural province.
Let me give an example of how the Ipap works in those small towns.
In the past few years the maize farmers all over the country have
been faced with a surplus of 500 million tons of maize. The co-op,
Vrystaat Koöperasie Beperk, in the Free State worked together with
the provincial government, the three local municipalities of
Phumelela, Nketoana and Mafube, and the IDC to launch a R624 million
broiler project known as Grain Field Chickens project. This project
was divided into three subprogrammes.
An abattoir was erected in Reitz with the capacity of processing
160 000 chickens a day. This led to the creation of 622 jobs in
Reitz. These jobs have been created through Ipap. [Applause.]
In the town of Vrede a chicken feed factory was erected. This
chicken feed factory is the place where the excess maize is being
beneficiated, after which it is taken to the international market.
The value of maize would otherwise have gone down and put its
farmers out of work. As we say in the Free State, “’n boer maak ’n
plan” [where there is a will, there is a way]. We did make a plan.
[Inaudible.] We are dealing with that! [Applause.]
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What is very important is that the provincial government also came
to the party. When the provincial government came to the party, it
ensured that all the roads connecting these towns were upgraded so
that there could be a free flow of commodities – the chicken feed
factory is in Vrede, the hatchery is in Frankfort, and the abattoir
is in Reitz. [Applause.] The provincial government committed
R300 million to improving the roads. Now, as I speak, these roads
are in good condition. That is what we call unity in action.
[Interjections.]
What is also very important is that around those towns – that means
in the three municipalities – a total of 65 broiler houses were
erected. Sir, 65 broiler houses were erected, and these broiler
houses are managed mainly by the black farmers – emerging black
farmers! It shows that you can have samewerking [co-operation] in
the Free State, where the white farmer and the emerging businessman
can come together and work and build this country. [Applause.] That
is what is happening. These are the results of the Industrial Policy
Action Plan.
What is critical here is that the provincial government came to the
party. The provincial government provided R10 million for these
projects to ensure that the emerging black farmers were able to
build their own broiler houses. That is what we call black economic
empowerment, BEE. BEE is not a swear word. Hon Hill-Lewis, BEE is
not a swear word or horrible! [Laughter.] It is not a swear word.
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What is critical here is that we as South Africans have no choice
but to work together to build this country. If we don’t work
together, we will sink together. [Interjections.]
What is very important in the process is that the Industrial
Development Corporation, which is a state-owned enterprise, went
straight to Reitz and bought R15 million’s worth of shares in that
abattoir so that the workers there could become owners at the same
time. That is what we call unity in action to fight poverty.
[Applause.] What is also very important with regard to the capital
investment is that the IDC was able to put in R85 million as its own
shareholding. [Interjections.]
What is critical here, hon Minister, is that the municipalities also
came to the party. They ensured that they made the land available,
that water was always available, and that electricity was always
supplied timeously so that it was not interrupted. This is because
these operations operate 24 hours a day. Those are the results of
the Ipap. If the Ipap can work in such small rural towns, what more
can we not achieve if we work together as a team?
In the process, this project is facing a threat. There are a lot of
chickens coming from the European Union and Brazil. I think that
this department must do its job to ensure that such emerging
enterprises are protected from this type of dumping. I think this
department must really work on that. [Applause.]
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Hon McIntosh, with regard to the issue of free enterprise, no
country is industrialised without the protection of infant industry.
You can go to America, England and South Korea, and you will find
it’s the same story. Infant industries were protected so that they
could grow. This is not a new thing.
This project actually proves that the economic policy of the ANC, of
creating a developmental state which is based on a mixed economy, is
correct. The Polokwane resolutions, which stated that the state had
to lead an industrial and developmental trade policy, were correct.
This project also has a sister project in Namibia. This very project
is being replicated in other SADC countries, because we have to
develop together as a region. As I said, this project also has a
sister project in Namibia where the IDC, which is our very own
state-owned enterprise, plus Bank Windhoek and the Development Bank
of Namibia have partnered in a similar project, which is known as
Namib Poultry Industries. Firstly, this project sourced
R150 million’s worth of equipment from South Africa. Secondly, it
sourced R20 million’s worth of raw materials. Thirdly, 20 tons of
maize from South Africa will be shipped straight to Namibia
annually.
It shows that the threat which the economy was facing has been
turned into an advantage because of the Industrial Policy Action
Plan. This has turned a rural project into a regional one, and this
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would not have been possible without the co-ordination of policies
in the region and Africa as a whole, where the DTI is leading in the
alignment of these policies on the continent. The Freedom Charter
states that we are striving for a better South Africa, a better
Africa and a better world. That is what is happening. [Applause.]
The Economist of 27 April to 3 May 2013 had a very bold front page
title: “Generation Jobless”. That is The Economist – it is not a
South African journal, but an international journal, and it states,
“Generation Jobless”. The editor of The Economist stated that in the
countries that are members of the Organisation for Economic Cooperation and Development, OECD, 26 million youths in the age group,
15 to 24 were unemployed and out of school. In emerging economies
like Africa 262 million youths are unemployed and economically
inactive. The same report indicates that youth unemployment has
increased by 30% worldwide since 2007. This shows that the
unemployment problem among the youth is an international phenomenon.
[Applause.]
The issue of youth unemployment and poverty was eloquently
summarised by the former President of South Africa, Dr Nelson
Mandela, when he said, and I quote:
Every country in the world faces challenges. One of our challenges
here is to ensure that we deal with poverty ...
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... unemployment and ...
... lack of education.
This is critical. The issue of education was linked to unemployment
and poverty. We know very well that the years of Bantu education
have caused South Africa to have high structural unemployment.
[Interjections.] If we are going to try to solve this, the issue of
fighting unemployment has to be better handled. One of our
challenges is to ensure that we deal with poverty, unemployment and
lack of education.
The International Labour Organisation study and the OECD report
indicated that the youth that have university qualifications in the
fields of natural science and technology are less likely to be
unemployed.
This issue of fighting unemployment is better handled when the state
and the private sector work together to create opportunities for
youth entrepreneurs. Working together is manifested in a town known
as Sasolburg, where the Metsimaholo Municipality and the Sasol Group
are able to work together to create opportunities for young
entrepreneurs. What is happening is that the Department of Trade and
Industry has provided R26 million in seed funding, and the Sasol
Group has come with R80 million, and they have created ChemCity Eco
Industrial Park, where young entrepreneurs are being nurtured, so
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that they can grow. What is very important here is that the
municipality has provided the land, the infrastructure, and
incentives. This means that up to 2018 there will be preferential
rates for those areas so that more people are able to get work. That
is an example of unity in action. [Applause.]
What is also very important is that we cannot ignore the issues that
have been raised here. As far as the issue of the National
Development Plan is concerned, it is the ANC’s policy! [Applause.]
Why do I say this? Listen carefully. In Polokwane in 2007 the ANC
resolved that the state must create, and I quote:
... an institutional centre for government-wide economic planning
... to prepare and implement long and medium term economic and
development planning.
That is the resolution of the ANC. What does that mean? It means
that the National Planning Commission was a resolution of the ANC.
[Applause.] What happened after that was that, at the Mangaung
conference, the work of the National Planning Commission was blessed
by the ANC, because in Mangaung the ANC was able to adopt the
National Development Plan as its official policy. I repeat, this is
the official policy of the ANC! [Applause.]
When it comes to implementation ... [Interjections.]
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The HOUSE CHAIRPERSON (Mr C T Frolick): Order! [Interjections.]
Order! [Interjections.] Order, hon members! Order! Yes, hon member
Hill-Lewis?
Mr G G HILL-LEWIS: Hon Chairperson, I would like to ask if the hon
member will take a question.
The HOUSE CHAIRPERSON (Mr C T Frolick): Hon member, are you prepared
to take a question? [Interjections.]
Mr B A RADEBE: [Inaudible.]
The HOUSE CHAIRPERSON (Mr C T Frolick): Order! [Interjections.]
Order, hon members! You may continue, hon member Radebe.
Mr B A RADEBE: What is very important is that with whatever plan we
have, we have short-term, medium-term and long-term goals. The
Industrial Policy Action Plan is the immediate goal. That is what we
are doing now. The New Growth Path is the medium-term goal. We have
identified the areas where we are going to grow, and we are
implementing this. The National Development Plan is the long-term
goal. So hon members must understand these economic basics.
[Applause.]
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What is very important is that there are certain things which we
cannot run away from. The first is this, and it is very important.
[Interjections.]
The HOUSE CHAIRPERSON (Mr C T Frolick): Order, hon members!
Mr B A RADEBE: What is very important, hon Hill-Lewis, hon James and
hon “Makhathini” ... [Laughter.] ... is that BEE is here to stay.
BEE is here to stay! [Interjections.] On those issues raised during
the portfolio committee meeting concerning broad-based black
economic empowerment, the DA was proposing that the word “black” be
removed. [Interjections.] [Time expired.] The ANC supports this
Budget Vote. Thank you.
The MINISTER OF TRADE AND INDUSTRY: Hon Chairperson, let me thank
the hon members for their contributions. I think that we are
actually getting to the point where we are beginning to see what the
issues and the alternatives are.
The hon James is getting himself into a terrible knot on industrial
policy. It was reported to me that when the latest iteration of Ipap
was tabled in the portfolio committee, he described it as worldclass. Later they went out and issued a statement saying that it was
too diverse, too widespread, and that we needed a “lighter touch”
industrial policy!
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In the portfolio committee I said that when I went out to open the
Tellumat factory, the Premier of the Western Cape was there, and she
said, “Halala!” [Inaudible.] [Laughter.] The managers of that
factory told us that it owed its existence to the 12i tax incentive,
the designation of set-top boxes, and the fact that we had also
introduced a tariff-rebate scheme for the television sector.
[Interjections.] So I said to the hon James, “Which of those, in the
name of ‘lighter touch’, do you want us to remove? Which of those
must we remove? Then go and tell that to the workers in Atlantis and
see what it means for their jobs.” [Interjections.] We got no answer
to that. No answer!
Today the hon James quoted J M Keynes to me, saying that we should
have less nursemaiding in the automotive sector. The question still
arises: Which part of the Automotive Production and Development
Programme must be withdrawn? What will this mean for the
competitiveness of the South African programme compared to other
destinations? [Interjections.] And what will this mean for jobs and
manufacturing capacity in this country? I think the hon James is not
going to give us a concrete answer to that either, because I think
he knows it’s going to be darned embarrassing. [Interjections.]
Rather, he tells us that we should have more trade and less
industrial policy.
Now I want to trade quotes from Keynes with him. Keynes said, back
in the 1930s:
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Practical men, who believe themselves to be quite exempt from any
intellectual influence, are usually the slaves of some defunct
economist.
So, who is the defunct economist? [Laughter.] There were a bunch of
economists who went around in the early 1990s and told developing
countries that they could assume that global markets were infinitely
growing and that export-orientated growth offered opportunities
unlimited across the world. Well, I have news for him. There has
been a global economic crisis. It’s not like that anymore, if it
ever was! [Applause.]
We have to have a strategic approach to trade promotion, and we have
that. [Interjections.] We have that. We have identified Africa and
African integration as our first priority. [Interjections.] We have
identified value-added exports in Brics, the Association of
Southeast Asian Nations, Asean, and the Gulf - fast-growing emerging
economies - and we are also seeking out opportunities in Japan and
the OECD countries.
It’s quite true that we could probably improve our work.
[Interjections.] However, when I take into account that Trade and
Investment South Africa, Tisa, was recently elected as the
international vice-president of the international World Association
of Investment Promotion Agencies, we can’t be doing so badly.
[Applause.]
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The other issue is that the DA pretends that the issues of small
business development are all about removing red tape. Well, we are
trying to remove red tape. [Interjections.] I gave some examples,
including the Companies Act ... [Interjections.] ... and the new BEE
codes.
However, it’s not all about that. [Interjections.] There is also a
need for active mentoring and support for small businesses as they
develop the capacity to become real players. [Interjections.] And do
you know what? The current Western Cape government closed down all
the Red Door facilities providing those services in this province.
[Interjections.] But we have gone out and the Small Enterprise
Development Agency has established a Seda outlet ...
[Interjections.] ... in every single one of them, because we know
that if we are going to deliver small business growth, even in this
province, we need to have those facilities in place.
[Interjections.]
The HOUSE CHAIRPERSON (Mr C T Frolick): Order, hon members!
The MINISTER OF TRADE AND INDUSTRY: Lastly, let me say ...
[Interjections.] ... in relation to the BEE codes that I sat with Mr
Dangote on a panel debate that was televised, and he did express
some concerns about BEE. However, when we explained the direction
that we were trying to move in with regard to BEE, using it as a
tool to promote entrepreneurship, I think he then had a different
view. [Interjections.]
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Dr James referred to the flamingo with regard to me, reminding me
that I was in that scenario. The flamingo takes off steadily,
steadily. [Interjections.] As it gains capacity, it is poised to go
much, much higher, and much more solidly. That is what we are doing
in the DTI. That’s the programme we put before the country and I am
happy and proud to be associated with it. Thank you very much.
[Applause.]
Debate concluded.
The HOUSE CHAIRPERSON (Mr C T Frolick): Order, hon members! Although
the debate is concluded, there is a matter that we need to deal with
before this EPC rises. Hon members will recall that we had an
unfortunate incident during the course of the debate. The matter has
now been discussed with the whippery of Cope and I recognise the hon
McIntosh.
Mr G B D MCINTOSH: Must I speak from here or there? [Laughter.]
The HOUSE CHAIRPERSON (Mr C T Frolick): Order, hon members!
Mr G B D MCINTOSH: I would like to apologise to the hon Chairman for
the distress that I caused him in the discussion about speaking from
my bench or from the podium. [Applause.]
The HOUSE CHAIRPERSON (Mr C T Frolick): Order, hon members!
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The CHIEF WHIP OF THE OPPOSITION: Hon Chair, may I address you? In
view of the goodwill expressed by Mr McIntosh, will you also
apologise for not recognising me when I rose on a point of order?
[Interjections.]
The HOUSE CHAIRPERSON (Mr C T Frolick): Order, hon members! Hon
Chief Whip of the Opposition, you are too big not to be recognised.
[Laughter.] That concludes the business of this Extended Public
Committee.
The Committee rose at 16:46.
________
ANNOUNCEMENTS, TABLINGS AND COMMITTEE REPORTS
TABLINGS
National Assembly and National Council of Provinces
1.
The Minister of Justice and Constitutional Development
(a)
United Nations International Covenant on Economic, Social and Cultural Rights, tabled in
terms of section 231(2) of the Constitution, 1996.
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(b)
PAGE: 103 of 209
Explanatory Memorandum to the United Nations International Covenant on Economic,
Social and Cultural Rights.
COMMITTEE REPORTS
1. Report of the Portfolio Committee on Police on its oversight visit from 26-30 March 2012 to
the following Police Stations in the North West Province:

Mafikeng Police Station

Itsoseng Police Station

Stella Police Station

Potchefstroom Police Station

Orkney Police Station
TABLE OF CONTENTS
1. Structure of the report
2. Introduction
3. Key observations, specific recommendations and additional
information requested
3.1 Mafikeng Police Station (26 March 2012)
3.2 Itsoseng Police Station (27 March 2012)
3.3 Stella Police Station (28 March 2012)
3.4 Potchefstroom Police Station (29 March 2012)
PAGE
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3.5 Orkney Police Station (30 March 2012)
4. General Concerns and Recommendations
5. Outstanding matters
The Portfolio Committee on Police having conducted an oversight visit to Mafikeng, Itsoseng, Stella,
Potchefstroom and Orkney Police Stations from
26-30 March 2012 reports as follows:
1.
STRUCTURE OF THE REPORT
This Report is divided into five sections.
Section One: outlines the structure of the Report.
Section Two: Introduction outlines the objectives of the visits, the stations visited, and the members of
the delegation; and explains the methodology used during the visits.
Section Three: Key Observations, Specific Recommendations and Additional Information Requested
- records in some detail the observations of the members of the Portfolio Committee on Police with
respect to each of the police stations.
The observations in this section are organised according to station to provide a detailed overview of
the issues, problems and successes noted by the members at each of the stations.
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In addition, under each station, there is a section on additional information requested. Timeframes
were given for receipt of this information and it is recorded in the report as to whether this information
was received or not, within the stipulated time period.
Lastly, under each station, there is a sub-section on Specific Concerns and Recommendations which
identifies a number of specific concerns and recommendations that have been made by the Committee
with respect to the individual police station concerned.
Section Four: General Concerns and Recommendations - highlights general concerns of the
Committee emanating from the oversight visit as a whole and includes a number of general
recommendations to the Department of Police arising from these concerns. It should be noted that
these recommendations are directed to both the National Department of Police, and the North West
Provincial Commissioner, and will also be taken up by the Committee in its interaction with the
Department during the budget and other oversight processes of Parliament. The Department will be
expected to respond to these concerns and recommendations during these processes.
Section Five: Outstanding issues – highlights information requested by the Committee that is still
outstanding for response from the Provincial office or the stations concerned.
2.
INTRODUCTION
The Portfolio Committee on Police undertook an oversight visit to the five police stations in North
West Province in the period 26-30 March 2012.
Objectives of the visit
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The objectives of the oversight visit to the police stations in North West were to assess:

service delivery at station level;

the implementation, at station level, of the budget approved by Parliament;

the implementation, at station level, of policies and legislations passed by Parliament; and

whether or not stations are abiding by the performance plan and code of conduct of the SAPS.
Delegation
Members of Parliament
Ms LS Chikunga (ANC), Chairperson and leader of the delegation
Mr G Lekgetho (ANC)
Ms PA Mocumi (ANC)
Ms MA Molebatsi (ANC)
Ms D Sibiya (ANC)
Ms A Van Wyk (ANC)
Ms D Kohler Barnard (DA)
Mr P Groenewald (FF+)
Rev Meshoe (ACDP)
Parliamentary Officials
Ms Z Vice (Committee Secretary)
Mr K Lobi (Committee Assistant)
Mr M Buthelezi (Researcher)
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The delegation was accompanied by the following officials:
Members of the North West Provincial Legislature
Hon. M. Matsemela Chairperson on Human Settlement, Public Safety & Liaison.
Hon. F. Motladiile
Hon. V.Kekesi
Hon. S.P. Motswenyane
South African Police Service
Head Office
LT General Dramat
- Head: Directorate for Priority Crime Inv.
LT General Mbekela
- Human Resources Development
North West Province
LT General Mbombo
- Provincial Commissioner
Major General Mpembe
- Deputy Provincial Commissioner
Major General Tsumane
- Deputy Provincial Commissioner
Major General Molefe
- Deputy Provincial Commissioner
Major General Naidoo
- Deputy Provincial Commissioner
Major General Matthews
- Cluster Commander
Brigadier Van Zyl
- Provincial Head: Detectives
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Colonel Moagi
- Supply Chain Management
Brigadier Makhosi
- Cluster Commander
Brigadier Le Grange
- Cluster Commander
Colonel Qumashe
- Cluster Commander
Independent Complaints Directorate
Ms L Nonjaduka
- Parliamentary Liaison Officer
Ms Masibi
- Investigator
Mr Koliya
- Investigator
Ms Potlaki
- Investigator
Ms Meruti
- Investigator
Ms Wageng
- Investigator
Mr Motaung
- Investigator
Secretariat of Police
Mr S Mahote
- Parliamentary Liaison Officer
Ms B Mboniswa
- Provincial coordination
Ms B Mazibuko
- Personal Assistant (Chief Director)
Ms E Galane
- Admin Clerk
Mr S Sibanyoni
- Information Analyst
Ms C Msada
- Transformation &Compliance
Ms N Matshaba
- Service Delivery an Performance Audit
Ms R Pule
- Admin Clerk
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The delegation met with the station management team at each of the police stations.
The Committee would like to appreciate the Provincial Commissioner and his officials for availing
themselves and accompanying the Committee throughout the oversight visit.
Methodology
In its visit to police stations, the Committee utilises the Station Monitoring Tool (SMT) to assist in
ensuring comprehensive gathering and interrogation of information. The SMT is designed to ensure
that members cover a wide range of issues during the visit - ranging from information on management
of the stations, capacity of detectives, human and physical resources, and implementation of prioritised
legislation, including the Domestic Violence Act No. 116 of 1998, the Firearms Control Act, No. 60 of
2000 and the Child Justice Act, No. 75 of 2008. The Committee also meets with interest groups,
including members of the Community Police Forum (CPF) and the unions. The Committee is divided
into groups during the visit and each group is responsible for gathering information on specific areas.
The Committee thereafter meets together with the management of the station to discuss these
observations and findings in detail.
3.
KEY OBSERVATIONS, SPECIFIC RECOMMENDATIONS AND ADDITIONAL
INFORMATION REQUESTED
3.1.
MAFIKENG POLICE STATION (26 March 2012)
According to the Acting Station Commander, Brig Moatshe, the following were the key challenges
faced by the station:
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Rating: For the first semester of 2011/12, Mafikeng police station had a rating of D+ (47.29%).

The station serves an area of 361 km² and a population of 51,922.

The station was responsible for policing 30 Schools, 39 Churches, 9 Malls, 24 Farms, 2 Hotels,
29 Bed & Breakfasts and four Taxi ranks.

The station was an accounting station and had 6 Sectors.

There were two Correctional Services facilities in the area.

The area had 60 registered second hand goods shops.
3.1.1 KEY OBSERVATIONS
Management: Brigadier, Moatshe was the Cluster Commander and was also acting as the Station
Commander. At the time of the visit he had been acting as a Station Commander for only a week. He
had completed all the courses relating to the station management learning programme. He had not
sign a performance agreement with the Provincial Commissioner as a Station Commander but as a
Cluster Commander.
He had 32 years of service in SAPS.
Community Service Centre (CSC): The station was clearly marked and was accessible by
wheelchair. The CSC was clean and the Batho Pele principles were clearly displayed at the entrance
of the police station and the police officers understand them.
The Occurrence Book was clean and well kept but the information inside was not informative. There
was no clear indication of second level inspection.
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The Bail Register was in total disarray. Bail conditions were not attached. It was not clear whether
people who were supposed to report on a daily or weekly basis did so. Information was difficult to
figure out and was written on separate pieces paper.
There was valuable information on the notice board but SAPS members did not understand it. There
was information about certain cases that are not supposed to be handled by trainees. The Committee
was told that trainees handled those cases in the presence of the senior members.
Firearm Safes: The safe was clean and firearms were neatly packed. Lt Colonel Nojila was managing
the safe very well although there was room for improvement.
Designated Police Officer (DPO): The Station had a DPO and he had his own vehicle. He also had
access to the DVA register. He took a long time to provide information that was asked by the
Committee and when he eventually did the information was inconsistent.
This resulted in the
Committee not able to obtain information on applications for firearm licences.
The office had three support staff and the Committee was of the view that the office was over staffed.
Discipline: There was a high rate of absenteeism at the station. This was associated with alcohol
abuse by SAPS members. The months that reflected the highest absenteeism were June and December.
Members were also abusing sick leave.
Training: The station had a field training officer who had 17 years experience and was a Warrant
Officer. There were 17 student constables at the station and the Station Commander was satisfied with
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their level and capacity. 49 members had been assessed in firearm proficiency. Those who fail were
re-assessed.
The flying squad mentioned that they needed more training as they had last attended training in March
2011.
Community Police Forum (CPF): There is a good relationship between the CPF and the station. The
CPF Chairperson was strong and knew issues very well. He was also the Cluster CPF Chairperson.
The meetings were held on a monthly basis. The last AGM was held in July 2010. The CPF operated
with a budget of R10 000 from the MEC’s office.
The community complained to the CPF about a lack of feedback from detectives. He mentioned that
there were lack of resources in the station, especially, in the specialized units and that needed to be
urgently addressed. The CPF Chairperson also mentioned that the relationship with detectives should
be improved as well as the funding of the CPF.
The CPF Chairperson also mentioned that the CPF members were disrespected by the by the
community because they were perceived as being biased to the police. He went on to say that the CPF
was concerned by the loss of 59 dockets at the station. There were bad apples within the police that
needed to be identified and removed. The CPF was readily available to assist in managing crime.
Unions: The Station Commander said that there was a good relationship between the station and the
two unions – Sapu and Popcru. This was also confirmed by the Union representatives that were
interviewed by the Committee.
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Vehicles: There were 47 vehicles at the station and it was confirmed that that number was not enough.
The RAG was not up to date and the officer in charge of the vehicles was not sure how many more
vehicles were needed. There was a need for 4X4 bakkies. Three vehicles were inspected and two had
broken reverse lights. The licence disks were up to date. Forms indicating the driver of a fairly new
Nissan bakkie were not completed. Officers did not know who were driving some of the vehicles.
A high speed GTI that was inspected did not have an itinerary. It had completed 174 000 kilometres
but when its details were punched into the AVL system the report did not come up.
There were 158 officers with driver’s licences and 12 did not have authority to drive state’s vehicles
(the Committee was not provided with proof of this.)
Detectives: There were 36 detectives at the station and five more were required. The request was sent
to the Province. The detectives’ offices were located in different location that was 3-4 kilometres from
the station.
A boardroom was used as an interview or meeting room by the detectives. There was no facility to
secure identification of suspects by witnesses, the station use the one in Mmabatho Police Station
which was five kilometres away. The average years of experience of detectives at the station was 5-30
years and the average age was 44 years. The youngest was 30 years old and the eldest was 54 years.
34 detectives had completed the full detective training course. The Branch Commander mentioned
that she was not happy with the level of detectives’ experience and said that detectives needed more
training as criminals were using more sophisticated methods to commit crime.
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The unit had 17 vehicles and need three more. One was in the garage and had done 250 000
kilometres. Three vehicles were going to be boarded but the Branch Commander had not applied for
their replacement.
The detectives were working on 4 201 dockets. The average number of dockets assigned to each
detective was 150-350. The smallest caseload was 22 and the highest was 354. The average detection
rate for the previous financial year was 5.22%. The average detection rate per crime category was:
rape 45.28%, murder 93.06%, property crime 13.53% and assault GBH was 78.48%. The average
disposal rate was 88.82%. The average conviction rate per crime category was: rape 7.94%, murder
6.38%, property crime 6.18% and assault GBH 22.98%. The percentage of dockets that were older
than one year was: rape 17%, murder 21%, property crime 64%. The number of cases in the past
financial year that have been closed undetected was 4 351.
The station did experience problems with regard to incorrectly formulated charges and this was
immediately attended to by assisting the involved officers. This was also the case with poor statement
taking but the problems experienced in this instance were far less than incorrectly formulated charges.
The unit mentioned that only ten dockets had gone missing in the past three years. It eventually
transpired that the number was 59 and only one officer was disciplined for the missing dockets and
there were no consequences for others.
There was no strong room but there was a big safe. There were no burglar bars in detectives’ offices.
The only office that had burglar bars was the Branch Commander’s. The Committee was very
concerned about the fact that although the detectives’ offices were on the second floor of the building,
they could be easily accessed from the outside through the windows.
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The docket register was not inspected.
It was mentioned that the e-docket system was almost fully rolled out. When inspecting detectives’
offices the Committee discovered the following:
Office No.1 – The detective was working on 96 dockets and had lost the key for the filing cabinet.
The Branch Commander did not have a duplicate key.
Office No. 2 – There was no filing cabinet, no burglar bars on the door and windows. The office was
occupied by a Group Commander who had no cases allocated to him. Four detectives were working
under him and he was responsible for allocating cases to them.
Office No. 3 – This was also a Group Commander’s office.
He mentioned that he phoned
complainants for the progress on their cases. The office had filing cabinets but they were unused.
There were no burglar bars.
Office No. 4 – There were filing cabinets but dockets were not properly filed and personal stuff was
found inside the cabinet.
The detectives received two training opportunities per year and two detectives were sent per session.
The Committee was concerned by the fact that only Group Commanders had specialised training in
commercial crimes, organised crime and serious crime investigations.
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Seven detectives had been disciplined for taking long in working on dockets. The province had
intervened and assisted with distribution register after it took note of the cases that took long to be
finalized.
The province mentioned that police stations did not automatically receive a vehicle when one had been
boarded, they had to apply for it. Mafikeng had been prioritized to receive more vehicles but it was
not sure when they would be delivered.
Family Violence, Child Protection and Sexual Offences (FCS) Unit: The station does not have a
FCS unit. There was a DVA register and the last entry was on 22 March 2012. There were
regulations, national instructions and station orders. The station orders were too long. There was no
list of organisations and services in the file but it was on the notice board. There was a copy of the Act
inside the vehicles but the national instructions say the list of organisations should in the vehicles.
There was a copy of the Child Justice Act, regulations, and national instructions. There was a
beautiful graph of the CJA but was not known by members. This was a concern to the Committee as
the chart was clear and a shorten version of the Act.
Members at the CSC did not understand the content of the DVA and its national instructions. The
register is not completed correctly except by Warrant Officer Kelehe. The ICD was not assisting the
station in this area.
Cells: The station had seven holding cells. All of them were in operation at the time of the visit. Each
cell is designed to occupy 15 people. On the day of the visit the cells were overcrowded, there were 98
people, 17 were in court and two were in hospital.
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Cell inspections were not done hourly as it is required. Shoe strings, plastic bags, tracksuit strings,
medication and a lot of contraband was found in the cells. One detainee, Mr Ernest Mashoba had been
in the cells for two years and nine months. One detainee had been detained for seven days without
being charged and was only charged on the day of the visit. Another detainee had been in the cells for
17 months and detective Mogorosi did not want to give him his ID book so that he could apply for
bail. There was an eighteen year old who had been in the cell for one year and three weeks. On
calculation the Committee discovered that he was detained when he was younger than seventeen years
and the reason given was that he was detained for mental observation.
Cells were not properly maintained. Water drinking points inside some of the cells were leaking. A
toilet was not working in one of the cells and the mattress had lice.
Archives: The archives were in the same building that housed the detectives unit. They were clean
and neatly packed. The docket that was asked for was easily found. No dockets have been lost in the
archives. The only problem was that the room was very full and it would not be long before they ran
out of space.
SAPS 13 Store: The SAPS 13 Store was clean but items were not packed according to evidence
numbers. There was no proper filing system. Drugs that were found in the store were there since
November 2011. The Committee was concerned about this as drugs are supposed to be sent to
forensics laboratories within 48 hours. The last entry in the register was on 25 March 2012.
Evidence was destroyed on a weekly basis and the last auction was held in February 2012.
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The Committee was informed that a large amount of money was stolen from the store but nobody
knew the exact amount. There was no forced entry the person used the safe keys. There was a break in
at the store and 225 boxes of cigarettes were stolen and the case was still under investigation.
The Committee was told that bulky items were kept in the Rooigrond store but the evidence that was
asked for could not be found although it was a small item. The excuse given was that it might be at
Rooigrond. The Committee could not understand why some items were sent to Rooigrond while there
was still space available at the SAP 13 store at the station.
Another evidence (dagga) could not be found and the Committee was told that it had been destroyed
but there was no record indicating that.
The Rooigrond store was divided into two sections. One section was used by Mmabatho police station
and the other one by Mafikeng. Copper wire was not tagged although there were new tags that lay
around. There was no packing order, items that stored were mixed with those that were going to be
destroyed. There was a lot of liquor that was not properly tagged. A lot of dagga that had been in the
store since 2010 was found. The store rat infested. A parcel from the forensic laboratory was in the
store and nobody knew the contents of the package.
SAP 13 vehicles – no one had a key for the office that had information on the vehicles. A commander
from Mmabatho left an almost new combi in the premises without reporting to anybody.
Old uniforms were dumped in boxes that were not sealed. The Committee was told that the uniform
had been standing there since the previous week as they were waiting for a truck to take them to
Pretoria where they would be destroyed.
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Specialised Units
K9: The unit was headed by Captain Molatedi. He mentioned that there were four types of dogs in
the unit. There were five dogs for narcotics, five dogs for explosives, one tracker dog and one for
patrol. One more tracker dog was needed. There were 14 operational members in the unit. 12 had
been fully trained and two still need to be trained.
The unit does displays at schools with the assistance of other stations.
Tswana Territorial Authority (TTA)
The unit houses the office of the Head of Inspectorate and the Cluster Commander. The offices were
clean inside but very dirty on the outside. Most buildings were dilapidated and not used. The
swimming pool was very dirty and also not used.
The unit was more of a dumping site, grass was not cut for a long time. It was 15 metres away from
the finance office. The Head of Inspectorate said that he was a junior, therefore, not responsible for
the implementation of issues he had reported to his seniors.
The Committee was very concerned when he received a call instructing him not to reveal too much
information to the Committee. Management never visited the unit. One officer said that the moral
was very low due to the filth that was surrounding them.
The Committee was told that four officers were supposed to look after the property but was not sure if
this information was correct as the property was in a shocking condition. The Committee questioned
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the use of inspectorate if their recommendations were not implemented. Something needed to be done
urgently.
Sector policing: The area had six sectors and they were all functional. The police station was an
accounting station.
3.1.2. ADDITIONAL INFORMATION REQUESTED
The following additional information was requested during the visit from the provincial management:

The Provincial Head of Detectives mentioned that the Province would look at the issue of
providing the station with more detectives within six months. A report on this would be
provided to the Committee.

A full report on the investigation regarding the money and the boxes of cigarettes that were
stolen at the SAP 13 store.
3.1.3. SPECIFIC FINDINGS AND RECOMMENDATIONS
The following are the key positive findings of the Committee:

There is a positive relationship between the CPF and the station.

The archives were well arranged and managed.
The following members were commended by the Committee for doing good work:

Warrant Officer Kelehe for completing the DVA register properly.
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
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Ms Selina Ditlhake, registration and archives and Warrant Officer Moinda whom she reported
to.
The following are the key recommendations of the Committee:
The Station Commander should ensure that:

A filing system that would reflect whether an item is in the SAP 13 store at the station or in
Rooigrond should be created.
The Provincial Office should ensure that:

The filth at the TTA unit was urgently addressed.

The Provincial Commissioner should find out why the provincial managers who were there
before her allowed the station to be in such a state. What did they do to address the situation?
She will provide the Committee with the report on this.

There is a need for skills evaluation audit. This will help with the placement of police officers
to where they will be productive. Alternatively, more members will have to be transferred from
this station to other stations so they do not form a resilience to turn around strategy to redeem
the station from quagmire it is in.

The Provincial Commissioner should decide whether she will permanently appoint the current
acting station commander. The identified candidate should be an experienced, skilled and
qualified person. The person should have experience for dealing with a malfunctioning police
station like Mafikeng.
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
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The Provincial Commissioner should investigate fully all issues identified by the Committee:
lost dockets and steps taken against those involved; granting of bail for Schedule 1 offences;
K9 building that was not finalised and other issues raised.

Why overspending on overtime by the station with surplus personnel and low detection rate.
The Provincial Commissioner must explain.

Full report on the turn-around strategy for the station and the Provincial Commissioner must
submit such report with all the issues raised above on the 5th of April 2012 to the Committee.
It is recommended that the National Commissioner should ensure that:

The National Office must also report to the Committee their involvement in ensuring that
challenges at Mafikeng are addressed.
3.2.
ITSOSENG POLICE STATION (27 MARCH 2012)
The Station Commander, Lt. Colonel Mashaba noted the following:
Rating: For the first semester of 2011/12, Itsoseng police station had a rating of 66.06% and Grade
C+

The station served an area of 355 square kilometers and a population of 68,413.

The actual number of personnel at the station was 88 and the RAG 80.

The SCM post had been vacant since December 2011.

There were 61 reservists.

The station was an accounting station.

The area had three sectors and were all fully operational.
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
There were 36 schools in the area.

Liquor Licensed premises were 9 and other liquor premises (on consumption) were 51.

There were two taxi ranks.
3.2.1. KEY OBSERVATIONS
Management: The Station Commander had signed the performance agreement with the Provincial
Commissioner as well as all members of the station. The station did not experience problems with
regard to poor statement taking except in cases where they are taken by the reservists.
Full management meetings took place on a monthly basis as well as meetings with other members.
The Station Commander met with detectives twice a month.
The reaction time was fifteen minutes. The station did not have a satellite station. The station did not
have sufficient offices and has been on the list of police stations to be build since 1994. The station
had a private security contract that cost R17 924.10 per month.
Community Service Centre: The station was clearly marked and was accessible by wheel chair. It
was close to two taxi ranks. Notice boards had valuable information but were inside offices, therefore,
needed to be displayed outside offices so that the public could have access to the information.
The OB book was checked every day – first and second level inspections. An exercise book was used
as a bail register. No senior officer inspected it. No bail conditions were attached. This needed to be
corrected and the Province should come with a better strategy. Admission of guilt – detectives were
granting bail for serious crimes.
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Firearms safe: The firearms-safe was in a bad state and was not properly managed. Reservists were
booking firearms in and out and were not supervised by seniors. There was no control of the key to
the safe everybody had access to it. This was a serious problem and commanders needed to take full
control of the firearms’ safe keys.
The Committee was told that one firearm was issued out to one of the detectives but it was not
recorded. The detective was called to return it, which he then did.
Discipline: There was a general problem with absenteeism at the station. Most reported absenteeism
was during month-end and weekends. There was abuse of sick leave, one member who was always
drunk was promoted and the Committee was very concerned about this as it meant that nonperformance was rewarded.
There were five complaints that were received from the public about police. Four were dealt with
internally and a Captain received a verbal warning. One case was referred to the ICD.
There were 26 criminal cases that involved police. Six were for reckless driving and two for assault
GBH. The Committee was very concerned that ICD said there was no need for it to investigate those
cases. There were 20 outstanding cases of misconduct.
Training: 53 members had been trained on DVA and 16 on Child Justice Act. 28 members receive
firearm competency certificates.
When student constables arrived at the station they arrive with their own bullet proof vests but no
firearms. The station needed 18 more constables.
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Family Violence, Child Protection and Sexual Offences (FCS) Unit: The station did not have a
Victim Support Centre and victims were sent to Litchtenburg police station. The DVA register was
excellently recorded and properly completed.
The last date of entry in the register was 26 March 2012.
Vehicles: There was a shortage of vehicles at the station. The RAG was 19 and actual was 17 and 8
more were needed, preferably 4X4’s. The vehicles were not suitable for the terrain of the station area.
Three vehicles that were inspected were well kept. Two did not have a list of organisations. AVL
system was not functioning, therefore, vehicles could not be located.
Unions: Both POPCRU and SAPU mentioned that the relationship with the station was good.
Community Policing Forum: The CPF had a good relationship with the management of the station.
The Station Commander actively supported it. Meetings were held once a month and they were well
attended. The last AGM was held in 2011.
Community complained about lack of feedback from the station on their cases. They also complained
that the response time was too long.
The CPF raised the following issues with the Committee:

The condition of the station was bad in relation to the building – office walls had holes.

The road leading to the police station was in a bad state.
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
The station had been in the priority list since 1994 but so far nothing had been done.

The station management should be given permission to build the station because DPW had
failed the community.

CPF projects were not well funded as the only operational funds were received from the
MEC’s office. The amount received was R9000 and was R5000 the previous year.
SAPS 13 Store:

Other exhibits
The station used two park homes as SAP 13 store. It was reported that there had been no incidents of
theft in the store. All the exhibits were properly labelled except for liquor. The reason given was that
the station had run out of tags. Exhibit that was asked for was easily found by the store clerk, Ms
Mokhele.
There was dagga that had been in the store from December 2011. The last auction was in September
2011. Exhibits are being destroyed once a month. Liquor was last destroyed at the end of February
2011. The last entry on the SAP 13 register was 26 March 2012.
Rape kits and murder exhibits were found in the store. These were unopened and the reason given was
that they were removed from CSC and Captain Moabe was the one who was supposed to give
instructions for them to be opened.
The Committee felt that the park homes were not ideal to keep exhibits. SAPS members went in and
out of the store although they did not work there.
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Firearms
Firearms were in new evidence bags and were neatly packed.
Archives: The archives were also well run although a park home was used for keeping the dockets.
There was rodent infestation and the archives had holes in the wall. The province needed to urgently
address the issue. A computerized filing system was used and there was no manual recording of
documents.
A docket that was asked for was easily found.
Relationship with other Criminal Justice System role-players: The Committee was told that
prosecutors unnecessarily questioned information on the dockets. For post mortem results – doctors
take too long to complete the J88. Regional court comes only once a month for one week.
Cells: The station did not have cells and suspects were sent to Ottoshoop that is situated 90 kms from
the station, Litchtenburg – about 26-37 kms and Mooifontein – 60 kms.
Detectives: The detectives’ offices were located in a different location that was 1.7 kms from the
station. The building was in a horrible state and was not conducive to good working conditions. Only
the outside toilet was working.
Inside doors did not lock and only one window in the Branch Commander’s office had burglar bar.
The offices were clean although the working conditions were not ideal. Filing cabinets were
maximally used.
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There were 11 detectives at the station and detectives said that seven more were needed. At least two
should be females. The average years of experience of the detectives was ten. Five had been trained
on the old detective course and five on the new one. One name had been submitted for attending a
course during this year.
There were 16 registered informants. The unit had six vehicles. The detectives were working on 1051
dockets. The smallest caseload was 50 and highest was 115. There were 20 court ready dockets.
The average detection rate for the previous year was 70-80%. The average detection rate per crime
category was: rape 66.86, murder 23.99, property crime 53.06, assault GBH 91.67.
The average disposal rate was 45.73. The average conviction rate per crime category was: rape 3.86,
murder 8.29, property crime 44.08, assault GBH 32.5. It was said that cases of assault GBH were
usually withdrawn for mediation.
The conviction rate needed to be improved.
The oldest docket that was still open was for culpable homicide (1994). 510 cases had been closed
undetected in the past financial year. No dockets have gone missing in the past three years.
The Committee found a September 2011 report on fingerprints for house breaking that was not sent to
the Criminal Record Centre. The detectives were not aware of the Criminal Law Procedures
(Forensic) Act.
The following issues were raised by the detectives:
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
They needed more training in new and refresher courses.

They needed to be trained on analysing of documents and computer training.

Specialised units were prioritized and it would be better if detectives could receive the same
attention.

There were more opportunities of promotions in other areas of SAPS, for example, of 18 recent
promotions in the province, only one detective was promoted.

The working environment was not encouraging. Some computers were not connected to the
main frames.

Detectives who left for other units were not replaced.

Because of shortage of staff in the unit there were 30 outstanding warrants of arrests.

There were only two phone lines in the unit and they were sharing a cell phone.

The unit needed a GPS in order to be able to locate complainants’ addresses.
3.2.2 ADDITIONAL INFORMATION REQUESTED
The provincial office was asked to provide the Committee with the following:

A full report on two members who were allegedly abusing alcohol.

A full report on why out of 18 promotions, only one member was given to the station.
3.2.3 SPECIFIC RECOMMENDATIONS
The following are the key positive findings of the Committee:

The DVA register was well kept.

The station was trying very hard under the circumstances.
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
Members knew what was discussed during parade that morning.

The Committee commended the members of the station for running the station so well under
the appalling conditions, more so the detectives unit.
The following members were commended by the Committee for doing good work at the station:

Captain who managed the CSC.

CSC officials for good recording of the DVA register.

Ms Mokhele for the well kept SAP 13 stores.

Captain Othibeng for well run archives.
The following are the key concerns of the Committee:

The Committee was very concerned about the state of the building of the station.

Detectives were granting bail for serious crimes.

The Committee was very concerned about the fact that the province rejected the detectives’
claims for overtime.
The following are the key recommendations of the Committee:
The Minister

The Minister should explain to the Committee why the police station was on the list of police
stations that were only going to be built in 2015/16 financial year.
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Provincial office

The Provincial Commissioner should investigate why J398 is issued to Schedule 1 offences.

The report should be submitted as to why a record of fingerprints was not submitted to LCRC.
The station

The station management must implement the requirements of the National Instructions on the
contents of both DVA and Child Justice Act files.

The station management must improve on entries in Bail Condition register.

The station must improve on the control of the firearm safe keys.
3.3.
STELLA POLICE STATION (28 MARCH 2012)
The Station Commander, Captain Bogatsu highlighted the following:
Rating: For the first semester of 2011/12, Stella police station had a rating of 85.47% and Grade A-

The station covered an area of 2615 square kilometres and a population of 8 570.

The station had a total personnel of 43 which consisted of 32 vispol, 5 detectives, 4 support and
2 cleaners.

The station had five reservist and all of them were active.

The station was policing an area that had three licenced premises, two bed and breakfasts, 525
farms, one hotel, two taxi ranks, eight churches, and eight schools.
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3.3.1 KEY OBSERVATIONS
Management: The Station Commander had signed a performance agreement with the Provincial
Commissioner and all members of the station had signed performance agreements. The average
reaction time was 45 minutes, this was due to the vastness of the area and the bad condition of roads.
Full management meetings were held on a monthly basis. Meetings with detectives were held on a
weekly basis. The policies and procedures were communicated to members during parades.
The station did not have a satellite station. There were no sufficient offices and there were no plans to
build a new station nor to renovate it. There was no private security operating at the station.
Community Service Centre: The police station was clearly marked and there was a road sign
indication of the station. It was easily accessible to persons with disabilities. The station was clean.
General information was displayed on the walls but some information outdated. Members were
required to sign on the OB book that they had read the information on the notice board.
The OB book was checked daily and first and second level inspections were done. Bail Conditions
register was not properly kept, a person who was supposed to report at the station twice a week was
reporting only once a week.
Admission of guilt/granting of bail – The station said that the decision guiding the amount of bail or
admission of guilt fine was the seriousness of the crime. There was no proper guide that was written
down. The Committee was told that sometimes a person would be asked how much he had and that
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money would be accepted and the person would be released because the court process took long. This
was not done on schedule 1 offences.
The Committee was concerned that one reservist was working day and night shifts concurrently and
felt that reservists were over worked.
Unions: There was a good relationship between management and the unions. Both Popcru and Sapu
were represented at the station.
Community Police Forum: The CPF was functional and held its meetings once a month. The
relationship between the station and the CPF was good and it was actively supported by the station
commander. If there were differences they were quickly resolved by both parties. The meetings were
well attended. The last AGM was held in June 2011.
The CPF was funded by the provincial government that provided it with R5000 annually. The CPF
chairperson mentioned that they did not have a good relationship with the farmers. The CPF would
like to receive a stipend.
Firearms Safe: Constables had access to the safe key and the explanation given was that there were
few members at the station, therefore, in other shifts constables had to book firearms in and out.
The Committee was concerned by the fact that a constable who was said to be a Crime Intelligence
Officer had booked out a firearm for herself and filled in her particulars.
The Committee felt that there was no proper control of the safe key.
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Designated Police Official: The station had an active DPO but he did not have his own vehicle. He
had an access to the DVA register. Ten members of the station had been trained in the Firearms
Control Act.
The nearest firearms accredited training institution was in Vryburg.
FCS: The station had a Victim Support Centre that was operated by the Department of Social
Development. Victims received counselling at the centre.
The centre also helped woman with
maintenance queries. The Centre had a personnel of three auxillary workers and one cleaner.
There was an “Intake File” that was used for recording people who had come for help on all issues
related to domestic violence.
The Centre was operating from containers that were donated by
Transnet.
The Committee recommended that the Centre should work closely with the station because the last
entry on the domestic violence register at the station was on 20 February 2012, whereas at the Centre
there was an entry on the day of the visit. They should share information as that would affect the
statistics of domestic violence.
The Committee appreciated the work that was done at the Centre.
Vehicles: The AVL system was operational at the station and this was commended by the Committee.
The station had a total of ten vehicles. Seven were allocated to Vispol and three to the detectives. The
support unit borrows from Vispol when there is a need to use a vehicle.
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Four vehicles were inspected. All were in good condition but have high mileage. They all have permits
and log books were properly completed. The station management was commended for looking after
the vehicles
Sector policing: The area had two sectors. Sector two was mostly dealing with feud amongst family
members. The station needed ten more members in order for sectors to be fully functional.
Cells: The station had three cells with a capacity of 45. The cells were clean. All of them were
operational. In cell no. 3 shoe strings and ropes were found. Toilet was not flushing at cell no. 3.
Cells were not regularly visited. One detainee was assaulted by the police.
There was a detainee who had been in the cells since 23 September 2009. The J7 stated that he should
have been detained in Mafikeng police station.
Detectives: The detectives did not have sufficient interview rooms and used Malebogo police station
for this purpose.
There were five detectives at the station one had not been at work for two years
after he was attacked during an operation.
The Branch Commander was not happy with the experience level of detectives at the station. The
youngest detective was 27 years old and eldest was 42 years old. Three detectives had completed the
introductory course.
There were sufficient vehicles for use by the detectives and the Branch Commander was commended
for keeping them clean. At the time of the visit the unit was working on 120 dockets. The highest
caseload per detective was 27.
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The average detection rate for the previous financial year was 52%. Per crime category it was:
rape:100 %. Murder:80%, property crime:34.21%, assault GBH:99.71%.
The average conviction rate was: rape:100%, murder:100%, property crime:100% and assault
GBH:20.91%. The Committee was told that courts were mediating on assault GBH and felt that was
wrong because it was not common assault. The Committee would take this up with PC on Justice.
The oldest docket in the system that was still open was for 25 April 2007. 59 cases were closed
undetected in the past financial year. There were no missing dockets in the past three years.
There were filing cabinets in the detective’s offices. There was one that did not open because its key
was lost.
The station could not provide information on average disposal rate.
The Branch Commander did not know how to interpret the crime statistics. The Committee was
concerned about this and recommended that he should go for training.
3.3.3 SPECIFIC CONCERNS AND RECOMMENDATIONS
The following are the key positive findings of the Committee:

The station was well kept and managed.
The following are the key concerns of the Committee:
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There was a shortage of office space.
The following are the key recommendations of the Committee:

The station should be renovated.
3.4 POTCHEFSTROOM POLICE STATION (29 MARCH 2012)
The Acting Station Commander, Colonel Molate noted the following:
Rating: For the first semester of 2011/12, Potchefstroom police station had a rating of 62.06% and
Grade C

The station covered an area of 2108 square kilometres and a population of 72 389.

The station had a total personnel of 300 which consisted of 175 vispol, 55 detectives, 61
support staff and 9 cleaners.

The station had 116 reservists and all of them were active.

The station was policing an area that had 199 liquor licensed premises, 104 on consumption
liquor premises, one taxi rank, six hotels, 95 Bed and Breakfasts, six camping sites, four malls,
35 schools and one correctional centre, a university and two colleges.
3.4.1 KEY OBSERVATIONS
Management: The Station was a Brigadier station. The station had an Acting Station Commander
because the one who was in that position was an Acting Cluster Commander. She had completed the
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station management learning programme and would like to do the executive learning programme. Full
management meetings, meetings with detectives and with other members took place on monthly basis.
Policies and procedures were communicated during parade and place on notice boards. The station
had a private security contract but was contracted by the Province. There was shortage of office space.
The station was an accounting station.
Community Service Centre: The police station was clearly marked and there was a road sign
indication of the direction to the station. The station was clean and in good condition. General
information was displayed on the walls. There was information on absenteeism that was
displayed on the notice board. There was a shortened version of the DVA and the CJA.
OB book was in total disarray but first and second level inspections were done. Relief
commanders were not signing the Information Book.
Bail Conditions register was properly kept. There was an index where each member had his or
her pages to sign on. The Committee commended the way the register was kept.
Admission of guilt register needed to be properly managed and entries to be transferred to the
OB book. Granting of bail needed to be revisited because it was not acceptable that police were
granting bails on assault GBH.
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The Committee recommended that the area in front of the police station needed to be levelled so that
the CSC could be easily accessible by disabled people. The area that was accessible by wheelchair
was the car parking.
The CSC was generally well kept and Commander Lieutenant Thebe was commended for that.
Firearm Safe: The firearm register was in total disarray. Constables were booking guns in and out.
Firearms that were asked for were not found. There was one that was signed for as if it was booked out
although it was sent for repairs. There was a firearm that was booked out to Mr Steyn but there were
no details of who had signed it out.
The nearest accredited firearm institution was Denel and it was about 15-20 kms from the station. The
nearest shooting range was about 10 kms from the station.
Designated Police Official: The station had a designated police official who had no access to the
DVA register. The DPO had a designated vehicle. 115 applications were received for firearm renewals
in the previous financial year and it took about 30 days to process them.
On average the station received five new applications per day and it took an hour and a half to process
one application. 252 new applications were received in the previous financial year. Ten were rejected,
130 were approved and 112 were still outstanding. It took about four months to process them.
The office had eight people working on firearm applications and the Committee felt that the office was
overstaffed and their job descriptions needed to be reviewed.
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The DPO was commended for having distributed all firearm licences.
Community Police Forum: The station had a functional CPF. The meetings took place on monthly
basis and were well attended.
The last AGM was held on 22 March 2012.
The CPF was
representative of all sections of the community served by the station i.e. Business, local government
and women.
The CPF mentioned that most CPF members were from the white community, therefore, there was
some difficulty in organising meetings that were inclusive of all community members.
There was a good relationship between the CPF and the station and was actively supported by the
station commander. It raised funds for its operations and submitted business plans to the station. The
CPF mentioned that it received complaints about the high level of noise in the area.
The CPF mentioned that the quality of police needed to be improved and would like to have an office
at the station.
FCS: The station had a big and beautiful Victim Support Centre that was operated by volunteers and
professionals who were called in when there was a need. It was also used by the University Social
Science Students for practicals. Victims from other stations were accommodated in the centre. The
volunteers did not receive a stipend.
There was a DVA register at the station but filling it in needed to be improved. The copies of
protection orders were not kept and this needed to be improved. There were incident forms. 142
SAPS members were trained on DVA. There was always a female member on duty.
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There was a copy of the DVA and CJA, its regulations, national instructions, station orders and the list
of organisations and services. The documents were properly filed.
Unions:
SAPU and POPCRU were represented at the station. Popcru said that the relationship with
management was good while Sapu said it was average.
Discipline:
There was a general problem with absenteeism at the station. The month of June
reflected the highest absenteeism rate. This happened during weekends, month-ends and night duty.
A grievance was lodged by a member who was demanding to be paid an acting allowance. There were
23 cases of misconduct that were initiated in the past financial year. The case that was highlighted is
the one where a detainee hanged himself with a tie inside the cells but ICD could not find any proof of
misconduct – the Committee was very concerned about this, it emphasized that the tie was not
supposed to be in the cell and it was evident to everybody that the incident occurred.
Sector policing: The area had three sectors. Sector one was too big and it was decided that it should
be divided into eight small blocks in order to be manageable. Each block had a dedicated vehicle. The
strategy was working.
Training: There were three field-training officers at the station. Two were sergeants with eleven and
nine years experience respectively. One was a constable with ten years experience. All were trained
in the field training course.
The station had fourteen student constables. There were 120 operational members who had been
trained in the past financial year regarding their fitness levels. In the past financial year, 239 members
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had received training on domestic violence, 44 had received training on the specialised five day course
in handling domestic violence incidents and 39 training on implementation of the child Justice Act and
National Instructions.
Vehicles: There was a shortage of vehicles at the station but the station could not provide information
as to how many vehicles should be allocated to station according to the RAG. 102 members either did
not have drivers’ licenses or authority to drive state vehicles. 128 members had authority to drive state
vehicles.
Cells: The station had eight cells and all were in operation at the time of the visit. They were
generally in good condition. The cells are designed to hold 45 people but here were 46 detainees and
20 were illegal immigrants.
In one of the cells the shower was leaking. Mr Isaac Kgetsi had been in the cells since 10 February
2008. The J7 did not correspond with the detainees in the cells. The cells were not overcrowded.
There had been deaths in the cells in the past financial year and one escape incident where one person
was involved and was recaptured. This incident happened on the way court and station commander
mentioned that it was a case of negligence.
SAPS 13 Stores:

Firearms
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The Committee was given different numbers of the total firearms that were in the store. The station
said they were 65 and later said they were 67 but the Committee after counting the firearms found out
that there were 115 firearms that were in the store.

Other exhibits
No incidents of theft had occurred in the store in the previous financial year. The station provided an
inventory or register for general exhibits. The last date of entry in the register was 29 March 2012.
All exhibits were labelled.
There was a lot of dagga in the store. An officer’s safe was found in the store and the Committee
requested a full report on that.
Archives: The archives were too full and were in total disarray. There was an office that was full of
furniture and the Committee was of the view that it could be used for archives.
Detectives: There were 46 detectives at the station. The station did not have sufficient detectives and
needed ten more. The average years’ of experience was 12 and average age was 35. The youngest
detective was 27 years old and the eldest was 58 years old.
All detectives had completed the two week detective course. 21 detectives have the full detective
training course and one was busy attending the course. Four detectives have attended murder and
robbery course, seven fraud workshop, two project management and three sexual offences. Detectives
were allowed to attend training courses on quarterly basis. Detectives did not know the Criminal
Procedure Amendment Act.
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The ratio of vehicles allocated was 2:1. Currently there was no shortage of vehicles at the unit
although two more had been requested.
The detectives were working on 1596 dockets.
The average number of cases assigned to each
detective was 50-60. The smallest caseload per detective was 35 and the highest 96.
The average detection rate for the previous financial year was 35%. The average detection rate per
crime category was: Rape 78.79%, Murder 71.43%, Property Crime 12% and Assault GBH 80.98%.
The average disposal rate was 92.86%. The average conviction rate per category was: Rape 82.05%,
Murder 91.67%, Property Crime 96.38% and Assault GBH 71.38%.
The oldest docket that was still open was of a theft of a motor vehicle for 2008. 3770 cases have been
closed undetected in the past financial year. No dockets have gone missing in the past three years.
The station did a docket audit on monthly basis.
Some of the detectives’ offices were not locked and did not have keys. The station had a court
register, safes, strong room, burglar proofing and a docket register. There wereno lock up facilities.
The Committee also checked out the Supply Chain Management store. The store did not have an
inventory register. Over 500 rape kits were found at the store.
3.4.3 ADDITIONAL INFORMATION REQUESTED
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
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The ICD was requested to provide a full report on the case of a detainee who had hanged
himself inside a cell. The report indicated very poor investigation.
3.4.4 SPECIFIC CONCERNS AND RECOMMENDATIONS
The following are positive findings of the Committee:

The SAPS 13 stores were neatly packed and well organised.
The following are the key concerns of the Committee:

The Committee was very concerned about the station’s inaccurate record of the number of
firearms at the station.

3.5.
The absence of the register at the stores.
ORKNEY POLICE STATION (30 MARCH 2012)
(UNANNOUNCED VISIT)
3.5.1 KEY OBSERVATIONS
The Station Commander, Lieutenant Colonel M J Selehelo, mentioned the following:

The station had received a “C” ranking for the past three years.

The station had a staff complement of 91 and 30 reservists.

The area had eleven mines.
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
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There was a high rate of house breakings after mines closed down leaving the residential area
empty.

There were many cases of copper theft.

There were also many cases of contact crimes and the station had joined forces with other
departments to fight these crimes.

There was a shortage of staff at the station.

The area had a lot of game farms.

The station did not have a satellite station but had a contact point.

The area had 94 farms including small holdings.

There were two sectors.
Management: The Station Commander had 24 years of service with SAPS. He was appointed as
Station Commander at the station on 01 December 2010. Management meetings are held monthly on
the first Monday of each month. He is currently busy with the Station Management Learning Program
and has completed five modules of the course. He had completed the Middle Management Learning
Program in October 2008. He has not attended the Executive Learning Program yet.
He had not signed a performance agreement with the Provincial Commissioner.
Community Service Centre: The station was clearly marked and was accessible by wheelchair. There
was a board showing the direction to the station. The CSC was clean and in good condition. General
information was displayed on the walls.
Occurrence Book – There was first and second level inspection. Some entries were not signed by the
Station Commander.
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Bail register – Bails were issued by a member who was on standby. The station took a decision to stop
the CSC from performing this function due to that some officers were issuing bails for serious crimes
like assault GBH. The Committee was told that drunk driving bail was not less than R500.
The Committee recommended that the Province provide police stations with instructions on how much
should be charged for specific crimes and that police bail only be granted for those crimes that they are
allowed to.
Bail conditions – The station did not record the reasons if people did not come to sign as per their bail
conditions.
Information book – The book was not properly signed. There was no clear indication as to who signed
for what. There were no dates entered only file numbers. The Committee recommended that the
situation be improved.
FCS: The station had a Victim Empowerment Centre. The centre was small and did not have beds.
Victims were immediately sent to hospital after consultation. It was operated by volunteers.
The station had a Domestic Violence register but it was not properly kept.
It had the list of
organisations which offer counselling. There was a copy of the DVA, national instructions and station
orders. Station orders were too long.
There was a copy of the Child Justice Act but no national instructions and station orders. There was a
list containing the contact details of the designated probation officers. The CJA file was divided into
chapters and the Committee commended the way the file was kept.
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Unions:
Popcru and Sapu were represented at the station.
PAGE: 148 of 209
Popcru said the relationship with
management was average and Sapu said it was good. Both unions complained about the shortage of
staff and cars at the station.
CPF: The station had a functional CPF and its chairperson was Mr Emmanuel Lukhele. The meetings
were held on monthly basis and were well attended. The CPF had a good relationship with the station.
The CPF operated with R15 000 that was provided by the provincial office. The CPF mentioned that it
would like to have its own vehicle. It complained that the station sometimes informed them of the
meetings a day before the meetings took place. The CPF used to receive complaints from the
community about police members before the current station commander took over.
Firearms: Rape kits and flags were found in the firearm safe. Expired blood kits were also found in
the safe. A firearm that belonged to Potchefstroom police station was in the safe. All registered
firearms were found in the safe.
DPO: The station had a designated police officer. All the firearm licences were distributed except for
two who’s applicants were untraceable.
Training: 25 members had received training on Domestic Violence Act. The last group had been sent
nearly two years back. All members had passed firearm competency test.
Discipline: There was a case of an officer who charged people for applying for firearm licences.
Another officer was charged because his fire proof vest was burnt by his wife.
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Vehicles: There was a shortage of vehicles at the station. According to the RAG 17 vehicles were
allocated to the station and the actual number was 18 but four more vehicles were needed.
Five members were not in possession of a driver’s licence. All the members who had drivers’ licences
had authority to drive state vehicles. Only one member was waiting for state authorisation.
All vehicles inspected were neat and their log and service books were up to date. One of them did not
have fire extinguisher, jack and spare wheel. The spare wheel of the other vehicle was worn-out.
Thursdays and Fridays were car inspection days.
Detectives: The detectives’ offices were located 400 metres away from the station. The station had
15 detectives and five more were needed. There were two group commanders. The average years of
experience of the detectives was six years. The youngest detective was 24 years old and the eldest was
51 years old.
Three detectives have completed the three months full detective course. One detective had completed
the additional specialised detective training course – murder and robbery. The detectives mentioned
that they do not really have opportunities to attend courses but rather workshops.
Seven vehicles were allocated to the unit. The ratio was 2:1. One vehicle was at the garage and one
was shot at. The unit needed two more vehicles.
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The detectives were working on 752 cases. The average number of cases assigned to each detective
was 40-50. The smallest caseload per detective was 20 and highest was 100. Most cases were of
housebreaking. The Committee felt that the statistics at the station needed to be investigated.
The detectives’ offices were clean and cabinets were locking. There was no electricity at the time of
the visit. No dockets have gone missing in the past three years.
Cells: The station had six holding cells. Two cells were in operation at the time of the visit. Lights
outside the cells had not been working for a month. An electrician appeared when the Committee was
at the station. Women were detained at Stilfontein police station.
The cells are designed to hold 72 people and 48 people occupied the cells on the date of the visit. The
longest serving detainee had been there for four months. Sheets were found inside the cells. Blankets
were clean.
Hourly visits were conducted and the Committee commended the Warrant Officer and the two
Constables who were on duty in the cells.
SAPS 13 Stores:

Firearms
There was a big trunk that was full of firearms. The Committee was concerned about the fact that the
officer looking after the stores did not mention it and the Committee discovered this on its own. The
contents of the trunk were not reflected in the SAPS 13 register.
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
PAGE: 151 of 209
Other exhibits
It was also in a bad condition. There was a firearm that was marked for destroy but was not destroyed
even though destroying took place a week prior the visit. Detainees’ property was found in the store.
Evidence was not tagged.
Archives: It was in bad condition. Dockets asked for could not be found.
4.
GENERAL CONCERNS AND RECOMMENDATIONS
The following are the overarching general positive findings of the Committee:

All the Station Commanders that the Committee interacted with had brought positive changes
to their police stations and were experienced in policing.

All police stations visited had functional CPF’s.

All stations had a board of the Batho Pele principles at the entrances.

All the stations had CJA and DVA beautiful charts that were shortened versions of the Acts.

The Provincial Commissioner and her management accompanied the Committee on all the
oversight visits. This was highly appreciated by the Committee.
The Committee, during its oversight visit, came into contact with a number of exceptional members of
the SAPS, who were performing their functions beyond the call of duty.
Mafikeng: The police station was in the verge of collapsing.
Itsoseng: This is a police station that is well kept but needs support from the National Office.
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Stella: The police station is well kept and properly managed.
Potchefstroom: This is a police station with challenges that can be solved.
Orkney: This is a police station with few challenges that could easily be addressed, The station is
properly managed.
5.
OUTSTANDING MATTERS
The province provided the Committee with its own report of the visit on 06 April 2012. (The report
is attached).
Report to be considered.
Appendix 1: Acronyms and Terms used in the Report
Acronyms:
AFIS-
Automated Fingerprint Identification System
AVL-
Automated Vehicle Location system
CPF-
Community Police Forum
CSC-
Community Service Centre
FCS-
Family Violence, Child Protection and Sexual Offences Unit
SAPS-
South African Police Service
Terms used:
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Designated Police Official- This refers to the person responsible at station level for dealing with
licencing and other requirements in terms of the Firearm Control Act.
SAPS 13 Store-
This refers to the stores and safes that hold exhibits including firearm
exhibits.
Firearm Safe-
This refers to the safe(s) that hold State (official firearms) for use by
SAPS members
2. Report of the Portfolio Committee on Police on its oversight visit from 23-27 January and 02
February 2012 to the following Police Stations in Limpopo Province:

Ohrigstad Police Station

Sekhukhune Police Station

Burgersfort Police Station

Mankweng Police Station

Polokwane Police Station
TABLE OF CONTENTS
PAGE
1.
Structure of the report
1-2
2.
Introduction
2
3.
Key observations, specific recommendations and additional
4
information requested
3.1 Ohrigstad Police Station (23 January 2012)
4-8
3.2 Sekhukhune Police Station (24 January 2012)
9-14
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3.3 Burgersfort Police (25 January 2012)
14-19
3.4 Mankweng Police Station (26 January 2012)
19-23
3.5 Polokwane Police Station (02 February 2012)
23-27
4.
General Concerns and Recommendations
28-29
5.
Outstanding matters
30
The Portfolio Committee on Police having conducted an oversight visit to Ohruigstad, Sekhukhune,
Burgersfort, Mankweng and Polokwane Police Stations from 23-27 January and 02 February 2012
reports as follows:
1.
STRUCTURE OF THE REPORT
This Report is divided into five sections.
Section One: outlines the structure of the Report.
Section Two: Introduction- outlines the objectives of the visits, the stations visited, and the members
of the delegation; and explains the methodology used during the visits.
Section Three: Key Observations, Specific Recommendations and Additional Information requested records in some detail the observations of the members of the Portfolio Committee on Police with
respect to each of the police stations.
The observations in this section are organised according to station to provide a detailed overview of
the issues, problems and successes noted by the members at each of the stations.
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In addition, under each station, there is a section on additional information requested. Timeframes
were given for receipt of this information and it is recorded in the report as to whether this information
was received or not, within the stipulated time period.
Lastly, under each station, there is a sub-section on Specific Concerns and Recommendations which
identifies a number of specific concerns and recommendations that have been made by the Committee
with respect to the individual police station concerned.
Section Four: General Concerns and Recommendations - highlights general concerns of the
Committee emanating from the oversight visit as a whole and includes a number of general
recommendations to the Department of Police arising from these concerns. It should be noted that
these recommendations are directed to both the National Department of Police, and the Limpopo
Provincial Commissioner’s office, and will also be taken up by the Committee in its interaction with
the Department during the budget and other oversight processes of Parliament. The Department will be
expected to respond to these concerns and recommendations.
Section Five: Outstanding issues – highlights information requested by the Committee that is still
outstanding from the Provincial office or the stations concerned.
2.
INTRODUCTION
The Portfolio Committee on Police undertook an oversight visit to the five police stations in Limpopo
province in the periods 23-27 January and 02 February 2012.
Objectives of the visit
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The objectives of the oversight visit to the police stations in Limpopo were to assess:

service delivery at station level;

the implementation, at station level, of the budget approved by Parliament;

the implementation, at station level, of policies and legislations passed by Parliament; and

whether or not stations are abiding by the performance plan and code of conduct of the SAPS.
Delegation
Parliament
Ms LS Chikunga (ANC), Chairperson and leader of the delegation
Mr G Lekgetho (ANC)
Ms PA Mocumi (ANC)
Ms MA Molebatsi (ANC)
Mr GD Schneemann (ANC)
Ms A Van Wyk (ANC)
Ms D Kohler Barnard (DA)
Mr M Swathe (DA)
Mr L Ramatlakane (COPE)
Ms Z Vice (Committee Secretary)
Mr K Lobi (Committee Assistant)
Ms N Van Zyl-Gous (Researcher)
The delegation was accompanied by the following officials:
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South African Police Service
LT General Mpembe
- Provincial Commissioner
Major General Ntlemeza
- Deputy Provincial Commissioner
Provincial Heads
Major General Mbhalati
- Legal Services
Brig TS Kgoadi
- Technology Management Services
Brigadier E R Uys
- Finance and Administration
Brig P Morkel
- Detectives
Brig F M Huma
- Inspectorate
Brig L J Mashilo
- Organisational Development
Brig Marais
- Supply Chain Management
Brig Seabi
- Human Resources Utilization
Brig Tlhapane
- Human Resources Development
Brig Morakaladi
- Personnel Management
Brig Mulaudzi H
- Communication Services
Brig Mulaudzi A R
- Visible policing
Col Kruger
- Crime Intelligence
Lt Col Du Preeze
- Criminal record and crime scene
management
Directorate for Priority Crime Investigations
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Major General Molapo
PAGE: 158 of 209
- Deputy Provincial Commissioner, Crime
Detection
Maj-Gen Molatjana
Maj-Gen Moloko
- Provincial Head: Human Management
Maj-Gen Dladla
- Physical Resources Management
Independent Complaints Directorate
Ms Malekhopo Sepata
- Principal Investigator
Secretariat of Police
Mr S Mahote
- Parliamentary Liaison Officer
The delegation met with the station management team at each of the police stations and relevant
cluster management teams.
The Committee would like to appreciate the Provincial Commissioner and his officials for availing
themselves and accompanying the Committee throughout the oversight visit.
Methodology
In its visit to police stations, the Committee utilises the Station Monitoring Tool (SMT) to assist in
ensuring comprehensive gathering and interrogation of information. The SMT is designed to ensure
that members cover a wide range of issues during the visit - ranging from information on management
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of the stations, capacity of detectives, human and physical resources, and implementation of prioritised
legislation, including the Domestic Violence Act No. 116 of 1998, the Firearms Control Act, No. 60 of
2000 and the Child Justice Act, No. 75 of 2008. The Committee also meets with interest groups,
including members of the Community Police Forum (CPF) and the unions. The Committee is divided
into groups during the visit and each group is responsible for monitoring, observing and gathering
information on specific areas. The Committee thereafter meets together with the management of the
station to discuss these observations and findings in detail.
3.
KEY OBSERVATIONS, SPECIFIC RECOMMENDATIONS AND ADDITIONAL
INFORMATION REQUESTED
3.1
OHRIGSTAD POLICE STATION (23 January 2012)
Rating: For the third quarter of 2011/12, the Ohrigstad police station had a rating of B (75.19%) with
a grading of four stars. It was ranked 25th in the Limpopo Province out of 92 stations. In 2009 the
efficiency rate of the station was 75.02% and was graded B.
According to the Station Commander, Colonel Mashigo, the following were the key challenges faced
by the station:

The station serves an area of 896km² and a population of 3 500.

The human and physical resources were limited.

The unavailability of the VEP centre was a challenge.

The station was not an accounting station.

The accounting station was Motubatsi Police Station and they had a good relationship with it.
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3.1.1 KEY OBSERVATIONS
Management: The Station Commander is a Captain and had been at the station for 22 months. She
had not signed the performance agreement and the copy of it was not available. The station serves a
population of about 3500 and it consists of formal residential and rural areas.
There was one cleaner at the station, and the Provincial Commissioner indicated that the issue of
cleaning staff was a national challenge which needed to be addressed.
The station had not had student constables in the past five years.
Community Service Centre (CSC): The station was clearly marked and was accessible by
wheelchair. The CSC was clean and the manager was doing good work, but circulars from the Head
Office were not properly filed/arranged. Some contained old information and needed to be removed
from the notice board. Documents were properly kept, but management signed documents without
checking whether the information was correct. There was no follow up done on problems that were
identified in the documents during checking by managers.
The national hotline was not displayed.
Firearm Safes: The safe was very disorganised and dirty. A firearm, which according to the Register
was meant to be in the safe, was missing and management mentioned that a SAPS member responsible
for returning it had been disciplined and was now working in another police station. It was clear that
SAPS members were taking out firearms but not necessarily signing these out or back in.
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Designated Police Officer (DPO): Firearm licences and competency certificates that people had
applied for and which had been issued were lying around, and the excuse given was that it was
difficult to contact the applicants as most of them had changed their contact numbers.
Discipline: The Committee noticed that SAPS members did not stand up on arrival of the SAPS
Provincial Leadership together with Portfolio Committee members. The Committee emphasized that
that was unacceptable and was a clear indication of lack of discipline amongst SAPS members.
There was a high rate of absenteeism at the station. Members were abusing sick leave and rest days.
The Station Commander mentioned that station orders regarding absenteeism had been drafted in order
to manage the problem. Members would have to report to her if they were sick and not to the CSC
anymore.
Community Police Forum (CPF): There is a good relationship between the CPF and the station.
There was a contradiction in information given relating to the frequency of meetings. The CPF said
meetings were held on a quarterly basis and the Station Commander said they were held every two
months. This was also a case with the AGM - the Station Commander said the last one was held in
2009 and the CPF said it was held in 2008.
The CPF mentioned that they had not attended any form of training, but the Station Commander said
that they had. It was mentioned that there was a racial issue regarding the activities of the CPF. The
CPF relied on the support of the station and a local farmer. There was no neighbourhood watch.
There were no complaints from the community. There was a challenge with using phones, as the area
sometimes lost the network.
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Unions: The Station Commander said that there was a good relationship between the station and the
two unions – Sapu and Popcru. The Committee only managed to interview a Sapu representative,
because the Popcru one was in court. The union complained that a certain Warrant Officer had been
promoted to a lieutenant position without a proper procedure being followed.
The following information (highlighted) was provided to the Committee on 23 April 2012:
(The warrant officer referred to was promoted together with other warrant officers in the SAPS
country wide in a mass promotion (Warrant Officer to Lieutenant) after having realised that they
met the promotion requirements a set out nationally and he did not have any pending criminal or
departmental trials. His promotion is therefore in order and proper).
Vehicles: The vehicles that were inspected were very dirty inside. There was a vehicle that had
reached 300 000 kilometres. The typist indicated that there were enough vehicles at the station. The
AVL system was managed at a provincial level. The Station Commander did not have authority to
drive state vehicles. The station was going to receive four vehicles – two for detectives (a sedan and a
4X4), one high performance vehicle and one Nissan 4X4.
There was one vehicle that had been involved in an accident and was at the garage, and one was going
to be boarded.
The following information (highlighted) was provided to the Committee on 23 April 2012:
(The Station received four vehicles)
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1 x sedan for detectives
1 x 4x4 double cab for detectives
1 x sedan for uniform
1 x 4x4 for uniform
Detectives: The Branch Commander had served at the station in this capacity for a period of two
years. There were four detectives at the station, excluding civilian personnel.
There was no private
room to take statements, instead detectives use their offices for interviews. The Committee emphasised
that this was wrong.
One of the detectives’ offices had a burglar-proof door that did not have a key. There was a set of
drawers that was locked and could not open. Detectives said that it had not been opened for the past
three months and there was nothing inside. But once it was opened, evidence and unprocessed
fingerprint forms were discovered.
The Committee was of the view that the Branch Commander, who is a Warrant Officer, was not in
control of the detectives. This was difficult for the Committee to understand as the station had only
four detectives.
Only one detective had attended the basic detective training course. Training of detectives needs
attention and is paramount to attaining good detection rates. Each detective had a maximum of 25
dockets, which was far below the national standard.
Some of the detective’s documents were stored next to the holding cells. This was a concern.
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The e-docket system had been installed in 2009. When the Committee asked for a scanned docket, it
did not show the details of the detective who was working with it. New developments on the docket
had not been updated on the system.
Members were concerned about the relatively low conviction rates at the station. The Committee was
of the view that detection and conviction rates were not correlating.
On inspection, the members walked into an unlocked and unoccupied office and found dockets strewn
on the desks, easily accessible for anyone to take. On opening the cabinets, it was clear than none of
the three SAPS detectives occupying that office were filing properly and dockets were lying
haphazardly on the shelves. There was no strongroom and windows did not have burglar guards.
Family Violence, Child Protection and Sexual Offences (FCS) Unit: The station does not have a
FCS unit, but a particular mining company had donated a park home that was going to be delivered the
following day if it did not rain. Only two FCS members had been trained in DVA. The Committee
was concerned with the fact that not all shifts had a woman on duty. It was said that if rape victims
were to come to the station, the typist would be called. It was reported that there had been no rape
cases in the area, and the Committee felt that there was a room to be cautiously optimistic.
Cells: There are four holding cells at the station with a capacity to keep 10 detainees. At the time of
the visit, there were no detainees, and the reason given was that they had been taken to Leboweng
because there was no running water in the cells.
Leboweng was about 90 km from Ohrigstad.
This had happened three weeks before, and
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There was no officer dedicated to look after the cells. There were two normal cells and two double
cells. In one cell the toilet was not flushing, and another one had no water tap. The Committee was
told that a plumber had been called the previous day but did not come.
The Committee was told that the station hardly had female detainees and did not keep minors in the
cells.
The cell register reflected that the last arrest had taken place on 29 December 2011, which was more
than three weeks before the visit. There had been eight arrests up to 29 December 2011 and no further
arrest until 09 January 2012. The long outstanding cases had been sent to Nelspruit.
Archives: The Station did not have archives but used the registry office to store the dockets. The
docket the Committee asked for could not be located. The Committee was told that the station had an
e-docket register, but that was not the case. There was no control of the computers containing the edocket system - everybody had access. The Committee wanted to compare the information on the edocket with the original one, but the docket had not been properly scanned and a few pages were
missing. Another docket could not be scanned because it was written in red pen. Such a docket could
be lost without trace.
SAPS 13 Store: The SAPS 13 Store was in a good condition and very neat. The personnel knew
where everything was stored. There were no rape kits lying around. There was a separate register for
firearms. Exhibit firearms were kept with SAPS ones, this should not be the case, but the Committee
was satisfied that they were kept in a safe area. There were 22 exhibit firearms and there were no
amnesty ones. There were no drugs, and the Committee was told that the station sends them to the
forensic laboratory as soon as they receive them. There was cash in the store. The last auction had
been held in October 2011.
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Sector policing: Sector policing was established but was not functional, and this was attributed to fact
that some stations in the province did not understand how the sector policing operated.
3.1.2 ADDITIONAL INFORMATION REQUESTED
Additional information that was requested from the station management was received before the visit
was concluded:
3.1.3 SPECIFIC FINDINGS AND RECOMMENDATIONS
The following are the key positive findings of the Committee:

The Community commended the Station Commander for building a good relationship between
the station and the community.

There is a positive relationship between the CPF and the station.

The cells were in a good condition, although there were no detainees at the time of the visit.

Section 13 stores were in good condition.
The following members were commended by the Committee for doing good work:

Ms Irene Monashani (typist) for knowledge of Human Resources at the station.

Ms Alowani Mudou (Councillor) for services rendered to the station.

Ms Beedge for organization of Section 13 Store.
The following are the key concerns of the Committee:
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
PAGE: 167 of 209
The Committee was very concerned about the distance of the police station from the residential
areas. It was of the view that that contributed to under-reporting of crime.

The Committee noted the need for interviewing rooms.
The following are the key recommendations of the Committee:
It is recommended that the National Commissioner should ensure that:

the Provincial Commissioner addresses the problem of lack of discipline among the SAPS
members;

sector policing be established as a matter of urgency, as it was not possible to police a 896
square kilometre area without sectors; and

the issue of cleaners be attended to as it was wrong to expect police members to clean the
station.

3.2
To ensure that detectives had interviewing rooms.
SEKHUKHUNE POLICE STATION (24 JANUARY 2012)
Rating: For the third quarter of 2011/12 Sekhukhune police station had a rating of 72.99% (Grade B) with a grading of four stars. It was ranked 34th in the Limpopo Province out of 92 stations and ranked
254 nationally. In 2009 the efficiency rate of the station was 75.02% and graded B.
The Station Commander, Lt. Colonel Seroka noted the following:

The station served an area of about 2000 square kilometres and a population of about 97 000.
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
It policed 57 villages.

The station was not an accounting station.

The accounting station was Lebowakgomo Police Station and they had a good relationship.

There was a shortage of offices and a need for renovation of the station.
3.2.1 KEY OBSERVATIONS
Management: The Station Commander had been at the station for nine months. The station had seven
student constables. The station had established an aerobics team and road-running was done once a
month.
The average reaction time was 27 minutes. Full management meetings were held every two months.
The Station Commander met twice a week with detectives, and once a month with the rest of the
members. A station Crime Combating Forum had been established. The station did not have enough
4X4’s despite the fact that the terrain of the area required these.
Community Service Centre: The closest sign showing the direction of the police station was at a
distance of five kilometres. The station was close to a taxi rank.
The CSC was overpopulated - more space was needed. The computers and a printer were not working.
There were no crime-intelligence personnel at the station.
The notice board had valuable information.
There was no bail conditions register.
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There was a serious lack of management in terms of checking whether the information on the
documentation and/or registers was correct, and no action was taken when irregularities were found.
Firearms safe: The firearms-safe was clean and there were few firearms kept at the police station.
However, the registers were not kept properly and entries of firearms in the Firearms Register were
inconsistent. Some were registered as if they had been booked out although they were available, and
vice versa. Anyone seemed to have access to the safe keys and could make an entry if they so desired.
The key to the safe was readily available. No action was taken against persons who did not record
properly, and the register was not checked daily by a senior person. The Committee was concerned
about this.
Designated Police Officer (DPO): There was a DPO at the station but he could not satisfy the
Committee as to what he did after finishing processing the firearm applications he had received on a
daily basis. The DPO did not have his own vehicle, but the station said that it had been ordered and
was ready for collection.
The Committee was of the view that the DPO’s job description needed to be reviewed.
The following information (highlighted) was provided to the Committee on 23 April 2012:
(A vehicle was eventually allocated to the DPO. His job description was reviewed and his duties and
performance is monitored daily by the Vispol Commander)
Discipline: There was a general problem with absenteeism at the station. Most reported absenteeism
was during month-end and night shifts. The highest absenteeism was reflected in June and July. The
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explanation provided by the Province was that, during these months, members took leave because, if
they did not do so, they would forfeit the previous year’s leave days. Sick leave was found to be
severely abused.
Only three disciplinary cases were under investigation. One of misconduct was still pending.
Training:
Out of 93 police officers, only fourteen had attended shooting courses/practice, and
management did not give answers promptly in this regard. The shooting course was attended once in
five years. The station had applied for an indoor shooting range.
There were still a lot of courses that management needed to ensure were attended.
Family Violence, Child Protection and Sexual Offences (FCS) Unit: The station had a very good
and clean VEP.
It had started operating in 2006 and was established through SAPS’ tea club.
Sometimes it received donations from the United Nations through a service plan.
The staff
complement consisted of a manager, a co-ordinator, a finance officer and seven carers. People
working there were all volunteers who did not get a stipend. The volunteers assist an average of two
victims per day.
DVA
The DVA register was a mess, and the Province was asked to rectify it before the Committee
completed the visit.
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Vehicles: Vehicle management was generally good and information in the log books was properly
filled in. Four police officers did not have drivers’ licences. There was a general abuse of vehicles for
private use, and the AVL system was not properly implemented at the station.
There was a shortage of handcuffs and no reason was given for this.
Unions: Both POPCRU and SAPU mentioned that the relationship with the station was good.
Community Policing Forum: The CPF had a good relationship with the management of the station.
It further mentioned that there were a lot of complaints about police assaulting people.
The
community complained about people being arrested and released. The CPF mentioned that a stipend
for the CPF members should be considered.
SAPS 13 Store: The SAPS 13 Store was properly kept. The number of firearms corresponded with
the number that was given to the Committee. There was a problem of money being kept at the station
for too long. There was no proof of money received from the auction.
Archives: The Archives were also very well run and the officer in charge was trying hard.
Cells: The cells at the station were in a horrible state. There were 37 detainees in the cells and some
had been there for more than ten months. The Committee found ropes inside the cells. It was clear
that the cells were not monitored. The court register was not properly signed and controlled.
Detainees were badly treated by officers. One had been assaulted by other detainees, and had a
bleeding ear, but was not taken to a clinic or given medication. On observation, the Committee found
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out that the detainee was mentally retarded. Some detainees were under the influence of drugs. Two
detainees had been assaulted by police and the Committee recommended that the ICD should
investigate those cases on that particular day. There was a very old man in the cells charged with
malicious damage to property. A 17 year old had also been detained at the station and the Committee
emphasized that that was very wrong, as the detainee was still a minor and was not supposed to be at
the police station. Another detainee had been told to clean the floors before he could be allowed to
make a phone call.
A loaf of bread and coca-cola were found in the cells. The Committee was very concerned about this,
as bread could be used to smuggle drugs.
The Committee felt that the police station should be closed down because of conditions in the cells.
The only positive thing about the cells was that all the locks were working. Other than that, everything
was in a very bad state.
The following information (highlighted) was provided to the Committee on 23 April 2012:
(The detainee that had a bleeding ear was taken to Jane Furse Hospital for medical treatment, OB
3367/01/2012, SAPS 70 No. 2826976. At the time there was no bed available at Thabamopho
Mental Hospital for mental assessment. The ICD recommended that no criminal or disciplinary
steps should be taken due to conflicting statements received from the complainant and fellow
inmates.
The cells were searched on the same day, however, no drugs were found.
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ICD investigated the allegations of assault of the detainees and again recommended that no
criminal or disciplinary steps should be taken due to conflicting statements received from
complainants and fellow inmates.
Mr Ezekiel Kgomo is a 17 year old that was found in the cells, he had committed malicious damage
to property and was released from custody by the court. He could not be granted bail due to the
amount of damage (R10 000) he had caused. He was kept in the police cells because he was
awaiting a probation officer who was going to assess him. The probation officer came a day after
the Committee’s visit and he was released in terms of Child Justice Act after assessment by the
probation officer).
Detectives: The detectives’ register had not been inspected by the police station nor the province. The
oldest detective was 47 years old and the youngest was 27 years old. The station needed four more
detectives. The detectives had two opportunities per annum to attend courses.
The station did not have a strongroom to keep dockets. Members had to share cabinets to file
documents. In total, the detectives were working on 1172 dockets. The minimum dockets per
detective were 70. Rape cases were investigated at the CSC and this was a concern for the Committee.
The conviction rate for rape was 0%, although the area had a high prevalence of rape and 39% of rape
cases were unresolved. This was totally unacceptable to the Committee. The conviction rate for
murder was 10%. All the old dockets were of rape cases and the oldest was for a 2008 case.
A member of a task team had taken home 37 dockets that were subsequently burned by the members’
wife in an alleged domestic dispute. Only the wife was charged in this incident. The Committee
indicated that they suspected foul play and recommended that a possible criminal case ought to be
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investigated against the member. The Province committed to ensure that action was taken against the
member.
The following information (highlighted) was provided to the Committee on 23 April 2012:
(The CSC members were instructed to stop investigating rape cases but to secure crime scenes
where necessary. The cases are now investigated by FCS at Lebowakgomo and CSC members effect
arrests of suspects).
MEETING WITH THE COMMUNITY
The following issues were raised by the Community:

Stock theft was prevalent in the area and police were not assisting the Community in dealing
with this matter. Some community members were tempted to take the law into their own
hands.

Vehicles were stolen and sent to other provinces, especially Gauteng.

The station took long to respond on cases reported by the CPF.

As the area was mountainous, the type of vehicles provided to the station was not suitable for
the area.

The station should be provided with high-powered vehicles to assist during robberies.

The police station building was old and needed to be renovated.

The station should be provided with a VEP budget, so that the volunteers could be paid a
stipend.

The detectives’ offices were too small.
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
A security company should be employed to guard the entrance of the police station.

Some community members tried to curb crime by forming a soccer club, but this did not
succeed because the ground that was used belonged to SASSA and was subsequently taken
away.

Police in the area drank in taverns with criminals and released information to criminals before
they could be arrested.

Police lacked discipline and used state vehicles to fetch their girlfriends.

A canteen needed to be built at the police station, so that police would not socialise with
criminals.

A tavern owned by a police officer had operated all hours during festive season, whereas the
community’s tavern’s operating hours were restricted.

Police brutality was prevalent in the area.

Many cases dating back to 2006 had not been resolved by the police – case numbers were
provided.

Police at the station should be rotated as they had been at the station for too long and were now
befriending criminals.

Police were slow in responding to reported cases.

Most police officers at the station had business interests such as liquor outlets and accepted
bribes.

If a community member complained about his or her case taking too long to be resolved she or
he would be told to go to the provincial office which would then assign the Hawks. The
community felt that this was unacceptable, as police at the station were responsible for the
community.

Nothing was done about under-aged children who were committing crime.
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3.2.2 ADDITIONAL INFORMATION REQUESTED
The provincial office was asked:

to give feedback to the community on all the issues that were raised during the Committee’s
interaction with the community, before the end of January;
The following information (highlighted) was provided to the Committee on 23 April 2012:
(In regard to issues raised with the community, this office would like to reflect the following:Follow up meeting was arranged and conducted by the Provincial management as directed.
The renovation of the station was done however the building of the new police station is not done
Nine vehicles were allocated to the station and these include 5 x 4x4, 1 truck for prisoners, 2 x 4x2
and 1 x sedan
Investigation into the allegation of police officials owning liquor outlets was conducted and it was
established that no police officer is owning a liquor outlet. The suspicion aroused due to the fact
that one police official is drinking liquor at one of the liquor outlets and they suspected that he is
the owner.
Stock theft complaints were attended to and feedback was given to the complainants and stock
owners, thereafter a stock theft forum was established
A register was opened to ensure that all reports relating to suspected stolen vehicles can be recorded
and attended to immediately.
Roads in the area were re-graded by the municipality however the municipality could not de-bush
an area next to the dongas or construct a bridge for school-going children due to financial
constraints on their part).
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
PAGE: 177 of 209
to provide all the names of police officers who owned taverns in the area.
(Investigation was conducted, no police officer owns a tavern)
3.2.3 SPECIFIC RECOMMENDATIONS
The following are the key positive findings of the Committee:

The victim-support centre was in a good condition and the counsellors were well-informed.
The following were commended by the Committee for doing good work at the VEP:
Sekele CM
Chewe NA
Kgoga ME
Seepe LM
Metsana MO
Mmotla TE
Mawela MC
Ratau MV
Hanyane PT
Maota ML
Mankge NM
Mokgwadi NR
Constable Timo – for managing the vehicles well.
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Section 13 stores were well kept by Mr L T Modiba.
Archives were well kept by Ms K K Mohlala.
The following are the key concerns of the Committee:

The lack of distribution of firearm-licence cards at the station.

The Committee was very concerned about the Branch Commander who was withholding
information on the issue of the 37 burnt dockets.

Police officers who owned taverns.
The following are the key recommendations of the Committee:
The Minister should ensure that:

detectives undergo the relevant and necessary training, as this would help to improve the
conviction rate;

the Province should meet with the prosecutors to raise the issue of their taking too long to
decide on cases, as raised by the station management;

the Province should meet with their counterparts at Correctional Services to discuss the issue of
convicted prisoners being sent back to police cells.
3.3
BURGERSFORT POLICE STATION (25 JANUARY 2012)
(UNANNOUNCED VISIT)
This was unannounced visit; therefore, no formal presentation was prepared by the station.
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The Station Commander, Lt Colonel Mosena highlighted the following:

The station covered a population of about 45 000.

The station had 91 personnel which consisted of 18 Public Service Act employees, 58
functional members, 13 detectives, one cleaner and one foreman.

It covered 19 villages and 17 townships. Two malls were being built.

The station had a high crime rate.

There was a huge influx of foreign nationals into the area, owing to nine mines that were
operating in the area. Most households were renting out their houses.

The station was always busy with crowd control due to strikes that took place in the mines.

Townships were full of illegal shacks.

The station used Lydenburg (60 kms away) and Sekhukhune (69 kms away) courts, and it was
costly to travel to and from these areas.

The only prison was in Barberton, which was about 178 kilometres from the station.

There was a network problem with regard to cell phones and computers.

Water was scarce in the area and a borehole was drilled for the station.

The station building needed to be renovated because it had too many cracks.

There was a shortage of office space and the station hall had been converted to offices.

The station had 18 reservists, but only 13 were active, and they were used to do crime
prevention.

The community fought over land ownership and the station had to intervene.
3.3.1 KEY OBSERVATIONS
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Management: The Station Commander had been at the station for two years and he knew the area
very well. He did not, however, know the crime profile of the area. He mentioned that there was a
lack of a filing system at the station; hence, the documents were not in order. The Committee felt that
the station commander needed administrative assistance even though his rank did not allow for such.
Community Service Centre: The police station was clearly marked and there was a board showing
the direction of the station. It was accessible to persons with disabilities. A constable, who was
responsible for the CSC, had colour coded the crime patterns, but other officers working there did not
know what this meant.
The Committee found money and suspects’ clothes at the CSC.
Satellite Police Station: The contact point was about 47 kms from the police station. There was no
sign indicating the direction of the contact point. It was in a bad condition – the roof was leaking and
the Committee was told that this was a problem during the rainy season. Filing was done in pigeonholes that were soiled in water. The caravan was privately owned.
Barracks: The station had barracks, but they were in a horrible condition. They were prefabs and had
many holes. The rooms were extremely hot and there was no security. The place was used by males
only and they were paying R250.00 per month in rent. Walls were stained and showers were filthy.
This needed urgent attention. The Committee was concerned about the use of the money while the
condition of the barracks was that bad.
(Quotations were obtained for the renovation of the barracks and the R250pm rental fee is paid in
accordance with the policy for accommodation, water and electricity).
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Unions: There was a good relationship between management and the unions. Popcru mentioned that
the station needed 20 extra personnel because the crime rate was increasing. Most police officers were
not from the area and had to rent the places where they stay. This posed a security risk.
Community Police Forum: The CPF was functional; although it had not been functional five years
previously. There was a good relationship between the CPF and the station. The meetings were
conducted once a month and were well attended.
Firearms Safe: The safe was full of offenders’ clothing that was packed in old envelopes having only
names but no case numbers. There was a lot of money for bail that was paid at the CSC. The key was
not properly controlled. The trainee constables were booking firearms in and out for themselves
without supervision. The way the firearms were handled was very chaotic.
Designated Police Official: The station had an active DPO, but he did not have a designated vehicle.
A total of 44 applications for new firearm licences had been received and the average waiting-time was
three to six months. A total of 172 firearm licences had not been delivered, including 58 competency
certificates. The nearest shooting range was in Nelspruit and Upington, which was about 300 kms
from the station.
Vehicles: The Committee was told that the station had 45 vehicles, but the RAG could not be
confirmed. Ten vehicles were inspected and only one was clean; the rest were filthy. Dirty plates,
cool-drink cans and papers were found inside vehicles. Most of the vehicles had cracked windscreens,
including the one that was at the contact point. Fresh blood had been spilled inside a vehicle with a
registration number BRT 534 L. Another vehicle did not have a key for the petrol tank. The Station
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Commander did not know how to operate the AVL system and only a senior admin clerk could. He,
however, was on leave and would only be back on 06 February 2012.
A total of 59 out of 77 members had authority to drive state vehicles. As the area was mountainous,
members walked to reach some areas. There were allegations that there were members who had bought
their driver’ licences and could not even put keys inside the ignition. Some vehicles had expired
licence discs. When the Committee asked some police members to show their drivers’ licences, they
disappeared.
Sector policing: The area had five sectors and only four were reported to be functional.
Discipline: A contributing problem to high level of absenteeism might be the fact that morale of
members at the station was low. Members at the station did not have respect for their seniors. The
Committee attributed this to the complaints that certain people were promoted although they did not
deserve promotions. There was a member who had only a standard eight as a qualification, but he was
promoted, while a black woman member who had a masters’ degree was reporting to him. There was
also a member who was being counselled for absenteeism, and the Committee expressed its dismay at
this.
There were three cases of police being involved in the theft of diesel from the mines. There was a case
of an admin. clerk who wrote out a cheque of R2 000 for herself using the station’s cheque book.
There was also a case of two members who stole crates of fruit.
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The Committee was appalled to hear that none of the officers who were involved in the abovementioned cases had been expelled; some were only fined. The Station Commander was also under
investigation for the misuse of a state vehicle, and his case was dealt with by the Province.
There was a serious abuse of sick leave at the station, and the Committee had noticed that there were
four members who were always sick. The Committee also noticed the trend that there were two
doctors who always issued sick-leave certificates to the members of the station.
A typist had lodged a grievance in 2008/9, and this was not properly attended to. The grievance related
to an acting allowance and promotion to the head of the human resources management.
The following information (highlighted) was provided to the Committee on 31 May 2012:
OUTCOME OF CRIMINAL AND DEPARTMENTAL HEARINGS OF BURGERSFORT
MEMBERS
1.
With reference to the above, members were charged both criminally and departmentally and
the results are as follows:-
1.1
No. 7033949-1 Admin Clerk Dikana Lebowakgomo Cas 547/03/2009 fraud was reported on
the 30/03/2009, The investigation is finalized and case docket was sent to DPP for decision.
1.2
No. 0639253-9 W/O P C Phelane Burgersfort Cas 69/12/2008 possession of stolen property
was reported on 06/12/2008 member was found not guilty and discharged on the 11/08/2009,
he was issued with a written warning on 08/07/2010 .
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1.3
PAGE: 184 of 209
No.620753-7 W/O Magabane MD Burgersfort Cas 131/09/2010 theft of Diesel was reported
on the 12/09/2010, the case is still under investigation by the Hawks W/O Simango, the
disciplinary case against the member was withdrawn because the witness could not be traced,
the information is that he went back to Zimbambwe.
Cells: The station had ten cells, but four had not been used for years. The gate at the entrance to the
cells could not lock from the inside. This meant that when one of the officers visited the cells, the gate
was left opened. The cameras in front of the cells were not working. The Committee visited the station
on a Wednesday and the OB book reflected that the cells had last been visited the previous Saturday
morning and at 17h00 when food was brought to the detainees. No names were written on the OB
book to indicate who had visited the cells.
The cells were very dirty and needed to be painted. The Committee was told that the last time they
were painted had been in 2007. A lot of liquor was stored in one of the cells. One cell was so dirty
that grass and weeds grew inside it. Shoe-laces were found inside the cells. In some of the cells,
showers were leaking and doors were not working. Most detainees had been in the cells for longer
than was required. A lot of medication and shoe-laces were found in the cells.
Mr Thabo Ngobeni had been in the cells for 16 months. Mr John Mnise had been detained since
August 2011 and was very sick, vomiting blood; yet had not been taken to hospital. A detainee, who
was a foreign national, had been brutally assaulted by police. Some had been denied opportunities to
make phone calls. The ICD was called in to take statements and to ensure that the sick and assaulted
detainees were taken to hospital.
The fire extinguisher had last been inspected in 2010.
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Detectives: The detectives did not have sufficient interview rooms and used another police station for
that purpose. The station had ten detectives and two were used for cluster-related cases. The station
needed four more detectives in order to operate maximally. The average number of years of
experience of the detectives at the station was 15. The Branch Commander indicated that she was not
happy with the experience levels of detectives at the station.
The youngest detective was 26 years old and the eldest was 50 years old. Only four detectives had
completed the full detective training course. Six had not been trained even in basic training. The
station offered only one training opportunity per year. Ten dockets had been lost but were recovered.
It was not clear what was done to those who had been implicated in the loss of dockets.
Members noted that there were a large amount of dockets on detectives’ desks and commented that no
person can work on thirty or more dockets at once. Thus, concern was raised towards the improper
storage of case dockets and that the threat that someone might walk past and swipe one or more of the
dockets existed. The caseload of dockets at the time of the visit was 850. The smallest caseload per
detective was 53, and the highest was 143. The oldest docket that was still open, was for theft of a
motor vehicle in 2003. The detection rate on rape was 66.67%, murder 36.86%, house robberies
72.73%, business robberies 76.92% and assault GBH was 85.71%. The station could not provide the
conviction rate. The station had experienced problems with incorrectly formulated charges and poor
statement-taking. The problems were being addressed through workshops that were taking place at the
time of the visit.
The station had lock-up filing cabinets, although they were not enough. There was no strongroom and
burglar-proofing on doors. The court register had not been properly signed. The Branch Commander
said that she inspected the dockets once a month. The unit had two vehicles.
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Relationship with other role-players in the CJS: The station was in the process of organising a
forum where regular meetings would be conducted on a monthly basis.
FCS: The station did not have a VEP centre and used an office to counsel victims. There were trained
SAPS members to deal with abuse and rape victims, and there was a female member on duty at all
times. There was a DVA register, but it needed to be properly completed. The station only recorded
the domestic violence cases where a protection order was issued. This needed to be rectified, as it
affected the statistics on domestic violence. A member that was asked about the contents of the DVA
did not know it.
SAPS 13 Stores:

Firearms
Firearms were kept together with other exhibits.
After counting the firearms the Committee
discovered that there were five extra firearms that were in the store.

Other exhibits
The general stores were found in a terrible state. Exhibits did not have evidence tags. There was no
report on the auction that the Committee was told had taken place. There was a lot of liquor, and it
was scattered all over the place. The exhibit that the Committee asked for could not be found. The
Committee learnt that the member who was responsible for the stores had recently been promoted.
This was questioned because of the state that the stores were in.
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Archives: The archives were in total chaos. There was no archive register.
3.3.2 ADDITIONAL INFORMATION REQUESTED
The following additional information was requested from the provincial management during the visit:

A full report on all promotions at the station in the past five years

Disciplinary steps taken against all the members who had been involved in the cases that are
mentioned above.

A report on whether the police station had been correctly graded.
3.3.3 SPECIFIC CONCERNS AND RECOMMENDATIONS
The following are the key positive findings of the Committee:

The DVA Register file was clean and well kept.
The following are the key concerns of the Committee:

The station had completely collapsed.

The station commander said there was a functional CPF, but the Committee later learnt that the
CPF had collapsed five years previously, as members of the station had felt that it was
irrelevant.
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
PAGE: 188 of 209
The Committee was shocked to hear that police officers who were supposed to protect the
community’s property were the ones who were stealing from them.

There was no register for public complaints.

There was no crime intelligence officer at the station.

Most training courses were attended but only by few officers.

Non-performing members and members without relevant qualifications had been promoted.
The following are the key recommendations of the Committee:
The Committee recommends that the National Commissioner should ensure that:

the province and the cluster should be held responsible for the fact that the police station was
completely dysfunctional;

the station commander should be removed and a care-taker manager be appointed to manage
the station;

a proper plan of performance assessment should be drawn up in order to remove nonperformers;

disciplinary steps are taken against the members who have been involved in theft and
corruption, and also against those who have been involved in the loss dockets; and

members of the station are trained in the use of records.

members who were responsible for promoting non-performing members must be made to
account.
3.4 MANKWENG POLICE STATION (26 JANUARY 2012)
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Rating: For the third quarter of 2011/12, Mankweng police station had a rating of 68.51%, Grade C+,
with a grading of four stars. It was ranked 59th in the Limpopo Province out of 92 stations and ranked
470 nationally.
3.4.1 KEY OBSERVATIONS
Management: The station had been operating from park homes since its inception in 1985. It was on
the list of stations that were going to be built, but the Station Commander was not sure when that
would take place. The station had an Acting Station Commander, Brigadier Seopa. He had been
acting for the past six months, because the Station Commander was under investigation. He had
completed the station-management learning programme. There was a shortage of office space at the
station. There were two cleaners at the station and 98 reservists. The RAG of personnel at the station
was 301, but the actual number was 269. The station was not an accounting station.
It had four
contact points.
All officers at the station had been taken for trauma counselling when there was a shooting at the
station.
Community Service Centre: The police station was clearly marked and there was a board
showing the direction to the station. The station was clean and in good condition. There was a
bail-conditions register and bail receipt book. The admission of guilt file was not consistent.
Only 10 out of 215 police officers had done the DVA five-day course. Only one member had
been trained on DVA in the previous year, and only 21 members had received training in the past
year.
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The OB clerk was a police officer who was appointed on a daily basis to make entries in the OB
book. Members who were responsible for those occurrences were not signing the OB book. The
Committee mentioned that that should be corrected.
Two constables at the CSC did not know the station orders on DVA nor the meaning of
economic abuse.
Firearm Safe: The safe was clean and the firearms were handled well. The officers responsible for it
could account for firearms that were booked out. One officer at the station did not know the Firearms
Control Act. A student constable, who was not issued a firearm, was the person receiving them, and
the committee felt that this was wrong.
Designated Police Official: The station had a designated police official who had no access to the
DVA register. About 172 firearm licences had not been delivered. The DPO had a designated vehicle.
Community Police Forum: The station had a functional CPF. The CPF mentioned that they were
faced with the challenge of being viewed negatively by some police officers. At some stage, they had
received threatening phone calls from SAPS members. They did not receive feedback on reported
cases. They said that the relationship with the station had improved since the new station commander
and branch commander had assumed duty.
They complained about not having transport to attend sector meetings. They also needed reflector
jackets. When there were problems within the community, the police officers just come to their houses
to fetch them without phoning beforehand. The last AGM had been held in November 2010.
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FCS: The station had a VEP that was operated by volunteers and trained SAPS members. There was
a DVA register at the station. The last entry in the register was on 17 January 2012. There was a copy
of the DVA, national instructions, regulations, station orders and the list of organisations and services.
There was a copy of the Child Justice Act and the National Instructions.
The station had registered all the domestic violence cases but indicated that most people went to court
first and returned to the station with protection orders. The DVA register was clearly recorded, but the
station waited for protection orders before filling in all the necessary information. The Provincial
Commissioner promised that a workshop dealing with the DVA and the issues around the protection
orders would be organised. The ICD and prosecutors would be invited to the workshop.
Unions:
The station had a good relationship with the unions. Both SAPU and POPCRU complained
about the type of vehicles used at the station were not suitable for the terrain. The unions mentioned
that the members were disillusioned owing to the flawed promotion policy. There was a ‘free’
promotion policy for certain people. They mentioned that there was a certain captain who came from
Polokwane for a position as a lieutenant, and, after a few months, he went back to Polokwane. They
said that that was not acceptable, because a person had to spend at least two years at a station where he
had received a promotion.
The following information (highlighted) was provided to the Committee on 23 April 2012:
(In relation to the officer who was moved from Mankweng to Polokwane, It is reported that the
officer was transferred back to Mankweng and this was also confirmed by the station).
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Discipline:
PAGE: 192 of 209
There was a general problem with absenteeism at the station. The month of June
reflected the highest absenteeism rate. There was also a problem with the way the station captured its
crime statistics. Members were instructed to record three cases of assault per day; if there were more
cases than that, they were told to report them on the following day.
There were 25 cases of misconduct that had been initiated during the past financial year and two of
fraud/corruption. Some police officers at the station were accused of extorting liquor and letting the
detainee walk free.
Sector policing: The area had five sectors. In sector five, there was a problem of a fight within the
community over chieftainship. Sector meetings were held on a monthly basis. The area was planning
to increase the sectors to eight.
Training: There were two field-training officers at the station. Their ranks were captain and warrant
officer. There were twelve student constables at the station and they had their own firearms when they
commenced duty. It was reported that student constables were no longer bringing their portfolios and
were not allocated to detective services.
Vehicles: There was a shortage of vehicles at the station, and the vehicles that were currently in use
were not suitable for the terrain surrounding the station. The station had been allocated 54 vehicles
according to the RAG, but the actual total at the station was 59. Twelve vehicles were inspected and
four had exceeded 200 000 kms. The log books were well kept, although the vehicles were very dirty.
There were tyres inside the cars. Two licence discs had expired and new ones were not displayed on
the windscreens.
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A total of 91 operational members did not possess state authority to drive police vehicles.
Relationship with other CJS roleplayers: The relationship with prosecutors was tense. This was
due to the fact that they withdrew most of the drunken-driving cases. They also sent dockets to
regional court without informing the detectives. A meeting had been held with magistrates and a
follow up was in the pipeline.
The following information (highlighted) was provided to the Committee on 23 April 2012:
(Case flow meetings are now held on monthly basis to discuss problematic cases. There is an
improvement on prosecutor’s decisions on outstanding and current cases. Convicted prisoners and
awaiting trial detainees are now being held at Polokwane prison after intervention by the Provincial
Management).
Cells: The station had ten cells. The cells were clean but needed to be painted. The OB book was
inspected every two hours. All the detainees were supposed to be in Polokwane prison and not in the
station cells. The one who had been there the longest, had been there from January 2010. The reason
given was that the prison was full. The Committee emphasised that that was not SAPS’ problem. It
was illegal to keep convicted or awaiting trial prisoners in police cells.
Plastic bags and medication were found inside the cells, and members were asked to remove them.
There had been one escape from the station. Two cells were overcrowded and there was no provision
for female detainees. Thirteen detainees were kept in a cell that was supposed to house three to six
detainees.
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Detainees respected officers. Some of the locks were not working properly, and the Committee was
told that this had been reported to the SCM four months previously. All inner doors in the cells were
not working.
SAPS 13 Stores:

Firearms
The DPO was responsible for SAP 13 firearms. Firearms were properly tagged and numbered. Most
of them had not been sent for ballistics tests. The doors had small locks and this posed a serious
problem.

Other exhibits
The store was in a mess and there was no backup system. Seven park homes were used as SAP 13
stores. None of the park homes was safe. Evidence was not marked. There was no transfer register.
The Committee was told that liquor was destroyed, but there was no proof of this.
Warrant Officer Malema misled the Committee saying that the doors could be locked, although this
was not the case.
Archives: The archives were well kept. The dockets asked for were easily found. When they became
full, some items were moved to the SAP 13 stores, which caused a mess there.
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Detectives: There were 34 detectives at the station. Of these, 22 were officers and the rest were noncommissioned officers. The station needed ten more detectives. Cases that were closed unresolved
were 1 280. There had been 17 missing dockets in the past three years, of which 12 were lost at court
and five in the detectives’ offices. No members had been charged or disciplined as a result of missing
dockets.
There was a shortage of vehicles at the unit and six more were required. Two detectives were
allocated to a vehicle. Detectives were working on 2 892 cases and there was an average of 60 cases
per detective. The smallest caseload consisted of 14 cases. These were serious cases, and a captain
had been assigned to deal with them. The highest caseload was 121 cases and consisted of assault
GBH and theft. The oldest docket in the system was of murder and had case no. 123/10/2010. The
station had 25 registered informers.
Detectives did not know the fingerprinting legislation.
3.4.3 SPECIFIC CONCERNS AND RECOMMENDATIONS
The following are positive findings of the Committee:

The station had school visits during holidays, and the Committee commended that.

Colonel Botha was commended for his knowledge of the fleet of vehicles he was looking after.

Colonel Maleka was commended for holding crime-prevention operations in the area.
Teachers also helped during operations.

The DPO who was responsible for SAP 13 firearms was commended for doing good work.
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The following are the key concerns of the Committee:

The station did not have a security guard at the gate. The SAPS was guarding the gate during
the day and it was locked at night.

The Committee was very concerned about the attitude of Warrant Officer Malema towards a
certain captain and colonel. He called them by their surnames. He had been in the position for
the past ten years and every time a senior officer tried to discipline him that officer would be
removed.
The following are the key recommendations of the Committee:
The Committee recommends that the Minister should ensure that:

the control of the firearms safe keys should be improved;

the station should consider having a designated person to deal with the domestic violence
register;

the roofs of the two park homes that were used as barracks should be fixed;

senior managers at the station should take disciplinary actions against ill disciplined members
including Warrant Officer Malema.
3.5
POLOKWANE POLICE STATION (02 FEBRUARY 2012)
Rating: For the third quarter of 2011/12, Polokwane police station had a rating of 49.33%, Grade D+,
with a grading of two stars. It was ranked 88th in the Limpopo Province out of 92 stations and ranked
936 nationally.
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3.5.1 KEY OBSERVATIONS
The Station Commander, Brigadier Mashele, mentioned the following:

The station policed a population of about 82 845.

The area policed was 3038 square metres.

The area had 33 suburbs and nine sectors.

There were 18 high schools, 20 primary schools, five higher educational institutions and five
Malls in the area.

Industrial sites, semi-urban area, farms and formal and informal settlements surrounded the
station.

Roads in the area were 50% gravel farm roads.

According to RAG, there were 339 personnel and the actual was 420. The station needed 200
more members.

There were 29 student constables at the station.

The station had 112 reservists.
Management: The Station Commander has been a SAPS member since she was nineteen. She was
previously a provincial head of Vispol. She had been in the station for five months.
She had
completed all the relevant station commander courses. The station was an accounting station. Cluster
meetings were held every Monday. There was a good relationship amongst the cluster members.
There were three field-training officers and members had been trained in the field-training course.
There were plans to renovate the station. There was no private security contract.
The following information (highlighted) was provided to the Committee on 23 April 2012:
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(The station is not renovated and is not on the SAPS Strategic Plan. However a second police
station has been opened in Polokwane as per the investigation referred to during our meeting and is
called Westernburg Police Station).
There were instances in which there would be no water at the station. There was a separate room for
certification of documents and the queue was very long.
Community Service Centre: The station was clearly marked and was accessible by wheelchair. The
area was generally clean except for the kitchenette. The noticeboard had informative information.
There was a suggestion box and its contents were discussed in management meetings. There was a
bail register with bail conditions in it, although it was very chaotic. The admission of guilt register was
very full and was difficult to read.
Satellite police stations: The station had three satellite police stations that were operating 24 hours a
day. There were four contact points.
Community Police Forum: There was a functional CPF at the station. The meetings took place twice
a month and were well attended by the station management, except for the head of detectives (but he
had been at the station for only two months). The CPF sometimes received complaints about police
members. The last AGM had been held in 2010.
The CPF mentioned that the area needed more satellite police stations and training of police officers on
languages spoken by the community.
Unions: The station had a good relationship with the unions. This had not been the case under the
previous Station Commander. Staff complained about unfair treatment when it came to promotions.
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They said the station needed more personnel and vehicles for crime prevention. They complained
about not being compensated for working overtime. They said that the caseload for detectives was
high.
It was the unions who had reported the issue of the manipulation of statistics.
FCS: The station had a VEP centre which was clean, but it was not equipped with beds. Victims were
sent to places of safety around town. There was always a female officer on duty. Volunteers did
receive a stipend. A total number of 56 SAPS members were trained on DVA, 16 were trained on
Sexual Offences Act. There was a DVA register at the station, its regulations and National Instruction.
The station had a draft copy of station orders. There was a Child Justice Act but no regulations.
Firearms: The firearms register was neat, although it did not have all the required information. There
was no proper control of the safe keys. The nearest accredited firearm training institution was 5 kms
away.
Designated Police Official: There was a DPO at the station and he had access to the DVA register.
He had his own vehicle and worked with five subordinates. A total of 2615 applications for firearmlicence renewals had been received and they were all successful and all of them had been distributed.
The period for the completion of the process was seven months, and eight months for new licence
applications.
The DPO, Captain M J Phasha, knew and had passion for, his work.
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Discipline: There was a general problem with absenteeism at the station. The most absenteeism was
reported during the night shift and during the month of January. There were 16 cases of grievances. Of
these, 15 had been resolved and one was still outstanding. The grievances related to unfair treatment
and promotions.
A firearm had been stolen from a cubby hole of a crime-intelligence officer’s vehicle. Disciplinary
steps were being taken on the matter. The station was investigating a case of firearms that had been
signed for by a certain colonel and had subsequently disappeared.
Vehicles: The RAG and the actual number of vehicles did not correlate. The Committee was told that
the RAG indicated a number of 68 vehicles, while the actual was 112 vehicles, three buses and one
truck. The Committee was not satisfied with this information. It took three days for the garage to
repair minor dents and 38 days for bigger jobs.
The inspected vehicles were clean and had spare wheels, although some of these were flat.
Detectives: There were insufficient meeting rooms for use by detectives. The average years of
experience of detectives was 18 years, and the average age was 38 years. A total of 79 out of 88
detectives had completed the full detective training course, and four had completed the specialised
training course. Detectives received four training opportunities per year. The station needed 20 more
detectives.
There was a shortage of vehicles at the unit, and two and half detectives were allocated per vehicle.
The detectives needed eight to ten more vehicles. Five of their vehicles had reached 200 000 kms and
were going to be boarded.
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The caseload at the unit was currently 5 400 cases. The average number of cases assigned to each
detective was 80 - the smallest being 36 and the highest 170. The offices were not locked and dockets
were lying around on the tables.
The dockets were inspected once a month, and the Committee mentioned that that was not acceptable
as this should be done on a weekly basis. No docket had been lost in the past three years. The oldest
docket that was still open in the system was 97/07/96. The e-docket system was fully operational at
the station.
Some exhibits were found in one of the detective’s offices.
Cells: On the day of the visit, the captain who was responsible for the cells mentioned that he was a
sector manager and had just been called that day to look after the cells, because the lieutenant who was
normally responsible was off sick.
There were eight cells at the station and they were all in operation. The cells were designed to hold 55
detainees, but, during the visit, there were 63 detainees inside the cells. The register showed that on
21 January 2012 there were no cell inspections. There had been more than 12 hours of non-visitations.
There was a woman with a small baby inside the cells. There was a detainee who had been there since
September 2011, because he did not have money for bail. There was no drinking water in some of the
cells. The toilet was not flushing in one of the cells. There were foreign nationals who were allegedly
wrongly arrested. There was a detainee who was very sick with chest pains and was not allowed to go
to hospital.
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One detainee had been brought back from prison because he was sick. Shoe laces, tracksuit strings
and plastic bags were found inside the cells. The inside doors of the cells were not working.
SAPS 13 Stores:

Firearms
The firearms were neatly packed. Those that had already been taken for ballistics tests were kept in
separate plastic bags.

Other exhibits
The store was very big and well kept. The exhibits were properly labelled. The exhibit the Committee
asked for was easily found. There were drugs that dated back to 2009 that had not been sent to
forensics. The register showed that some exhibits (drugs) had been destroyed, although that was not
the case. There was a lot of cash in the store. The transfer register was not well kept.
Archives: The archives were very neat and properly packed. The docket that the Committee asked for
was easily found.
The Committee commended the good work done by Captain M P Nchaupe, W/O K S Mashiane and
W/O M J Molele.
3.6.2 ADDITIONAL INFORMATION REQUESTED
The Provincial Commissioner was requested to:
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
PAGE: 203 of 209
provide the Committee with a report on the outcome of the investigation into the manipulation
of crime statistics.
The following information (highlighted) was provided to the Committee on 03 June 2012:
(The members involved were from Polokwane and Mankweng Police Stations – the departmental
hearings took place on 16-18 May 2012. Further hearings will take place on 18-20 July 2012.)
3.6.3 SPECIFIC CONCERNS AND RECOMMENDATIONS
The following are the positive findings of the Committee:

The Station Commander works overtime without compensation.

The CSC Commander was working hard and needed to be supported.

The station was one of the few stations that had properly kept SAP 13 stores.

The station was good but needed to be managed more effectively.
The following are the key concerns of the Committee:

The Committee strongly condemned the fact that police officers who were involved in the
manipulation of crime statistics had been sent to the provincial office and formed part of the
provincial delegation. The Committee viewed this as the promotion of officers who had been
involved in wrongdoing.
The following are the key recommendations of the Committee:
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The National Commissioner should ensure that:

4.
the SAPS should train the CSC officers on how to keep the DVA registers.
GENERAL CONCERNS AND RECOMMENDATIONS
The following are the overarching general positive findings of the Committee:

All the Station Commanders that the Committee interacted with had brought positive changes
to their police stations and were experienced in policing; except the Station Commander from
Burgersfort who was under investigation for the misuse of a state vehicle.

The Committee appreciated the hospitality offered by Brigadier Uys during the entire visit.

All police stations visited had functional CPF’s.

The Provincial Commissioner accompanied the Committee for all of its oversight visit, except
for one day when he had to attend a pre-planned management meeting at Head Office. This
was highly appreciated by the Committee.
The Committee, during its oversight visit, came into contact with a number of exceptional members of
the SAPS, who were performing their functions beyond the call of duty.
The following overarching general concerns noted and recommendations made by the
Committee include:
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Management: Management at many of the stations visited was weak. The National Commissioner
should ensure that ineffective managers should be redeployed into positions in which they would be
more useful. Managers should also be made to recognise the value of the administrative aspects of
their work, which would also result in more effective crime reduction and crime combating.
Firearms: Poor control of both SAPS firearms and exhibit firearms was apparent at many of the
stations. This poses a very real danger to persons and the community at large. The National
Commissioner should ensure that all firearms at police stations should be audited and IBIS tested.
Management of firearms should also be improved urgently. Staff with sufficient authority should be
put in control of these firearms. The CSC commander should be responsible for the SAPS firearms
register and keys.
Archives: The poor state of the archives, with the exception of the archives at Polokwane police
station, was alarming.
SAPS 13 stores: Some drugs found in the SAPS 13 stores were not being dealt with in the same
manner as other drugs.
Detectives: Lack of proper management of the detectives was noted at many of the stations, resulting
in poor detection and conviction rates and the withdrawal of cases by the courts.
Absenteeism: The abuse of sick leave is an ongoing problem in the SAPS.
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The National Commissioner should ensure that sick-leave patterns and the reasons for the abuse of
sick leave should be analysed. This should play a big role during promotions. It cannot be correct that
people who abuse sick leave are promoted to senior positions.
Discipline: Lack of discipline continues to be a problem at stations. Action taken has not been
effective in ensuring behavioural changes.
The National Commissioner should ensure that every action or instance of misconduct should have
immediate consequences.
Cells: The conditions of the cells and treatment of detainees at many of the stations were appalling.
The Committee was very shocked that police were brutally assaulting detainees.
Sector policing: It became apparent during the visit that the province did not know how sector
policing operated. The Provincial Commissioner promised to improve the situation.
Vehicles: The lack of monitoring and effective use of the Automated Vehicle Location (AVL) system
is a concern. The Minister should ensure that the AVL system is properly monitored.
The National Commissioner should also note the following: There is a need for improved control over
vehicles’ logbooks and there should be consequences for the abuse of vehicles. All SAPS vehicles’
licences must be renewed in good time. Management of available resources must be improved.
Consideration should be given to sending new recruits to advanced driving courses.
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Corruption: Allegations of corruption by the SAPS members and involvement of the police in acts of
criminality in the areas was a serious concern to the Committee.
Relationship with the Community: In a few instances, the poor relationship between the police and
the community was apparent.
Recommendations of oversight bodies: The Committee noted many instances where the
recommendations of oversight bodies, including the Inspectorate and the Independent Complaints
Directorate (ICD), had been ignored by the police station.
Implementation of legislation: Ongoing lack of proper implementation of the various Acts passed by
Parliament, including the Domestic Violence Act, the Child Justice Act, the Firearms Control Act and
the Criminal Law (Forensic Procedure) Amendment Act was noted.
Promotions:
The allegations that the Provincial Human Resources Department was promoting
members on the basis of ethnicity. The fact that SAPS members who were non-performing were
promoted and some had no qualifications needed urgent intervention and investigation.
The
Committee recommends that the Public Service Commission should be requested to investigate all
promotions in the province.
The National Commissioner should ensure that steps should be taken at station, Cluster and Provincial
level to address this situation in each of the stations. Training should be provided for all members to
ensure that they know the contents of the legislation and how to apply them.
Ohrigstad: This is a police station that was functional but had challenges.
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Sekhukhune: This police station that was moving with speed towards being dysfunctional.
Burgersfort: The police station was completely dysfunctional.
Mankweng: This is a police station that was functional but with challenges that could be attended to.
Polokwane: This is a police station that was functional but needs to be properly managed.
5.
OUTSTANDING MATTERS

It is noted that the Province provided the Committee with most of the information that was
asked for. The bulk of the information was provided to the Committee a day before the
Committee completed its visit.
Report to be considered.
Appendix 1: Acronyms and Terms used in the Report
Acronyms:
AFIS-
Automated Fingerprint Identification System
AVL-
Automated Vehicle Location system
CPF-
Community Police Forum
CSC-
Community Service Centre
FCS-
Family Violence, Child Protection and Sexual Offences Unit
SAPS-
South African Police Service
DPO-
Designated Police Officer
VEP-
Victim Support Centre
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DVA-
Domestic Violence Act
CJA-
Child Justice Act
CJS-
Criminal Justice System
Terms used:
Designated Police Official- This refers to the person responsible at station level for dealing with
licencing and other requirements in terms of the Firearm Control Act.
SAPS 13 Store-
This refers to the stores and safes that hold exhibits including firearm
exhibits.
Firearm Safe-
This refers to the safe(s) that hold State (official firearms) for use by
SAPS members.