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UNREVISED HANSARD NATIONAL ASSEMBLY TUESDAY, 14 NOVEMBER 2017 Page: 1 TUESDAY, 14 NOVEMBER 2017 ____ PROCEEDINGS OF THE NATIONAL ASSEMBLY ____ The House met at 14:06. The Speaker took the Chair and requested members to observe a moment of silence for prayer or meditation. The SPEAKER: Hon members, shortly before I came to the House I received a letter from the Chief Whip of the Opposition querying whether the processing of the Division of Revenue Amendment Bill complied with the Rules. We will proceed with the business while seeking legal clarity. If there is any problem with the process we will review the matter. Hon Steenhuisen, I am sure you’ll find that in order. The CHIEF WHIP OF THE OPPOSITION: As it pleases you, Madam Speaker. UNREVISED HANSARD NATIONAL ASSEMBLY TUESDAY, 14 NOVEMBER 2017 Page: 2 The SPEAKER: Thank you very much. NEW MEMBER (Announcement) The SPEAKER: Hon members, I wish to announce that the vacancy which occurred in the National Assembly owing to the resignation of Mr L S Tlhaole had been filled, with effect from 1 November 2017, by the nomination of Mr M Tshwaku. [Applause.] The hon member has made and subscribed the oath in the Office of the Deputy Speaker. I welcome you, hon member. SUSPENSION OF RULE 290(2) (a) (Draft Resolution) The CHIEF WHIP OF THE MAJORITY PARTY: Speaker, I move the motion as printed in my name on the Order Paper, as follows: UNREVISED HANSARD NATIONAL ASSEMBLY TUESDAY, 14 NOVEMBER 2017 Page: 3 That the House suspends Rule 290(2) (a), which provides, inter alia, that the debate on the Second Reading of a Bill may not commence before at least three working days have elapsed since the committee’s report was tabled, for the purpose of conducting a Second Reading debate today on the Division of Revenue Amendment Bill. The CHIEF WHIP OF THE OPPOSITION: Madam Speaker, it’s usually customary that parties are consulted when the three-day Rule is to be waived. This is not the case in this regard and we would like to register our strongest objection. If we are going to waive the three-day Rule there has to be a consensus of the House and not simple the dictate of a single office. We will be opposing this. The SPEAKER: There is an objection and I think it’s one that is an established practice of this House. The CHIEF WHIP OF THE MAJORITY PARTY: Hon Speaker, first of all maybe we need to apologise to all the other parties. Ordinarily, we should have consulted through the Chief Whips’ Forum. It was UNREVISED HANSARD NATIONAL ASSEMBLY TUESDAY, 14 NOVEMBER 2017 Page: 4 an omission on our part. We want to sincerely apologise to all the other parties on this matter. [Applause.] The SPEAKER: I hope the other parties do accept the apologies of the Chief Whip of the Majority Party. Ms H O MKHALIPI: Madam Speaker, we do accept the apology from the Chief Whip of the Majority Party. He is a leader. The SPEAKER: I think that goes for everyone. The objection of the DA will be noted. Agreed to (Democratic Alliance dissenting). PROTECTION, PROMOTION, DEVELOPMENT AND MANAGEMENT OF INDIGENOUS KNOWLEDGE SYSTEMS BILL (Decision of Question on Second Reading) There was no debate. UNREVISED HANSARD NATIONAL ASSEMBLY TUESDAY, 14 NOVEMBER 2017 Page: 5 Question put: That the Bill be read a second time. Division demanded. The House divided. AYES - 190: [TAKE IN FROM MINUTES] NOES - 73: [TAKE IN FROM MINUTES] ABSTAIN - 8: [TAKE IN FROM MINUTES] Question agreed to. Bill accordingly read a second time. (VOTING TAKE IN FROM MINUTES) Question agreed to. Bill accordingly read a second time. DIVISION OF REVENUE AMENDMENT BILL UNREVISED HANSARD NATIONAL ASSEMBLY TUESDAY, 14 NOVEMBER 2017 Page: 6 (Consideration of Report of Standing Committee on Appropriations) There was no debate. The CHIEF WHIP OF THE MAJORITY PARTY: Thank you again Speaker. We move that the Report be adopted. Motion agreed to. Report accordingly adopted. DIVISION OF REVENUE AMENDMENT BILL (Second Reading debate) Ms Y N PHOSA: Hon Speaker, hon Ministers and Deputy Ministers, hon members, compatriots and fellow South Africans, centuries of misrule, oppression and the exploitation of our country by successive racist governments have made South Africa play a catch-up game. Apartheid was even more brazen about this UNREVISED HANSARD NATIONAL ASSEMBLY TUESDAY, 14 NOVEMBER 2017 Page: 7 oppression and suppression of African talent. The Bantu Education Act of 1953 had the most deleterious effect on the ability of our people to use education to extricate themselves from poverty. I know some amongst us do not want us to remind them about these sins which are still reaping their bitter fruits today. Just to make sure that we are singing from the same hymn book, let me remind you of the unfortunate quote from the apartheid architect, Hendrik Verwoerd, when he said: There is no place for the Bantu in the European community above the level of certain forms of labour ... What is the use of teaching the Bantu child Mathematics when it cannot use it in practice. It is critically important for us to remind the people of South Africa that our country is still trying to redress the all-round disarray created by hundreds of years of colonialism which disrupted the lives of the indigenous people of our country. The fact that today we talk about inequality, poverty and high rates UNREVISED HANSARD NATIONAL ASSEMBLY TUESDAY, 14 NOVEMBER 2017 Page: 8 of unemployment is because of the marginalisation and deliberate exclusion of black people in particular from a productive economy. The unemployment rate is highest amongst Africans; poverty is highest amongst Africans; and skills are lowest amongst Africans. The list goes on. Inequality in this country is unsustainable. This inequality will soon lead to instability which will compromise our ability to attract direct foreign investments which are important if we are to go out of this low economic growth trap. It cannot be justified by any argument that in South Africa the top 10% of our population owns 95% of the wealth. Unfortunately, this wealth still follows racial lines. Without us dealing with this injustice, we cannot talk about freedom from apartheid bondage. The deracialisation of our economy and making it inclusive in terms of race, gender, etc is vital for us in the ANC. So for us in the ANC, when we scrutinise and interrogate the Budget, it is with the sole purpose of seeing its ability to correct these man-made catastrophes in the shortest possible time. We do not have the luxury to be armchair critics when we UNREVISED HANSARD NATIONAL ASSEMBLY TUESDAY, 14 NOVEMBER 2017 Page: 9 are confronted by subdued economic growth. We cannot be bystanders when the resources meant to address education, health, social grants and housing are depressed. However, we welcome the additional resources for the community workers programme and the allocation of budget to the value of R19,8 million in Mpumalanga and Limpopo. This is critical to accelerate progress towards malaria elimination. The proposal to direct 40% of the Education Infrastructure Grant towards the maintenance of schools is highly commended. This is also critical in ensuring a conducive environment for learning. All of us, regardless of colour, race or creed, have a responsibility to come up with realistic solutions. That we will do, irrespective of the pain we must go through. We are a resilient people. The Budget presented by the hon Minister of Finance on 25 October has been hailed as the most transparent and honest analysis of the current economic conditions and future UNREVISED HANSARD NATIONAL ASSEMBLY TUESDAY, 14 NOVEMBER 2017 Page: 10 forecasts. He took the whole country into confidence and said should we not change course, things may be worse. As an example, he said if we don't arrest indebtedness of our country in 2021- 22, the debt to gross domestic product, GDP, ratio may reach 60%. Its not there yet; it may reach 60%. So it means we have a responsibility to make sure that it does not reach 60%. It is thus extremely disingenuous for some amongst us to pretend that we are there. We are not there yet. He also tried to focus on the to-do list. He did not end there; he continued to share with us the initiatives of government, both on the expenditure and revenue sides. The Minister reiterated that the Medium-Term Budget Policy Statement, MTBPS, will continue to be pro-poor and developmental. That is why the increase in education, health care and grants is above the inflation rate, on average seven per cent. We also welcome the pro-growth MTBPS. Despite the difficult economic conditions, government will spend over R900 billion in infrastructure in the Medium-Term Expenditure Framework, MTEF, period. I think we need to give the Minister a UNREVISED HANSARD NATIONAL ASSEMBLY TUESDAY, 14 NOVEMBER 2017 Page: 11 round of applause for this allocation. [Applause.] This will allow ... [Interjections.] There was applause. This will allow many companies who would otherwise have no work access to government infrastructure programmes ... This will ensure that, despite subdued investments, construction companies and related industries contribute to much-needed growth. The committee calls upon provinces and municipalities to double their efforts to focus on sustainable infrastructure with effective and efficient spending, avoiding leakages at all costs because they undermine growth and the creation of jobs. We are concerned about low levels of private-sector investments. A low business confidence level is cited as one of the reasons. The 14 confidence boosting ... I repeat ..