Speaker, since the incorporation of the Tourism Enterprise Partnership, TEP, as a section 21 company on 1 April 2008 to date, 1 842 tourism small enterprises have been assisted. Two thirds of the small enterprises that TEP has assisted since that date - 1 233, that is 66% - have been from historically disadvantaged communities. About 736 - that is, 40% - of the tourism small businesses that TEP assists are from the rural areas.
Historically disadvantaged enterprises were assisted with the following TEP interventions: The Business Development Fund; South African host training mentorship; business skills training; toolkit training; market access; and the craft programme; as well as the cluster programme related to the grouping and linking of products to create bigger and more market- significant products.
Hon Speaker, thank you very much, and thank you very much, hon Minister, for the response. Perhaps, hon Minister, it would be interesting to hear from you as to how many jobs are in rural areas and, in the process, how many sustainable livelihoods have been created, especially in rural areas and especially for the historically disadvantaged groups such as the youth, black people, the disabled and rural people. Thank you very much, hon Minister.
Mr Speaker, in terms of the answer provided I pointed out that 40% of those businesses are from the rural areas, but we can certainly provide the hon member with a more detailed breakdown in terms of jobs created.
I would also like to extend an invitation to the hon member and to the portfolio committee: They are more than welcome to visit these projects. We are closely monitoring the funds that we are investing to ensure that they are not just once-off support, as we really want these enterprises to survive and be sustainable.
Thank you, Speaker, and thank you, Minister, for that answer. I would like you to be a little bit more precise if possible. We note that good intentions have not always led to good implementation of various government plans and programmes. Examples have been reported with respect to the SMMEs assisted by the Tourism Enterprise Programme that are now derelict or dysfunctional.
In the light of this, could the Minister give this House some indication of the sustainability of this project? For example - and this is where I like it to be more precise, Minister - are you aware what percentage of the SMMEs so assisted are still viable three years after being assisted?
Mr Speaker, we certainly can provide that information. Obviously, with any venture of this kind there is a percentage of failure, but we would like the success rate to be as high as possible. I will table in Parliament - I have it available - a more detailed breakdown that will answer that question.
Can I say that the TEP programme in my view is one of the most successful public-private partnerships that we have. Apart from the funding that we provide from the side of government, the business sector - the private sector - also provides funding and we are jointly managing and monitoring the project. But I will table the detailed answer that the hon member required here. Thank you.
Thank you, hon Speaker. Hon Minister, the Tourism Enterprise Partnership has identified a number of the most common constraints faced by small enterprises, for example a lack of access to information, a lack of access to credibility and reputation, a lack of critical size - some being too small to warrant attention by tour operators - and a lack of access to finance being one of the most significant barriers to the growth of small enterprises and, therefore, a barrier to the transformation of the industry.
In your budget speech in June this year you promised to finalise a tourism growth strategy with the provinces and a toolkit to assist local government with tourism development. How relevant will such a toolkit be, hon Minister, to address constraints faced by small enterprises? I thank you.
Speaker, obviously we are doing the best that we can. There are also other funds available for some of those enterprises that the hon member referred to - quite a variety of them. That's a discussion that we in government are having at the moment to see if it's not more proper and more appropriate to start consolidating some of those funds.
But let me just give an indication of the kind of money we are investing, and I am quite sure that the hon member will appreciate that although we can make some useful interventions, it is impossible to help each and every business and person that applies.
In 2004 we started off with R27 million in that financial year. In 2007-08, from the side of government, it went up to R100 million, But these must be enterprises that qualify in terms of the definition of small businesses, and obviously there are some businesses that fall outside of that scope and should rather approach their local governments or their provincial governments.
Thank you, hon Minister. Aspects of my question have been answered, but I also want to know what capacity the programme actually had in terms of following up to ensure that small businesses have the best possibility of succeeding, what the challenges are from the programme's point of view, and what the department is able to do about this. Thank you.
Speaker, that answer I provided to the question of the hon Krumbock. I will table the answer here in Parliament and it will give a detailed breakdown of each of the programmes in terms of success rates, examples of success, problems experienced and where we need to improve. So, I will table a fully comprehensive answer for the benefit of the member.
Programmes and projects to promote implementation of Nepad
268. Mrs F Hajaig (ANC) asked the Minister of Trade and Industry:
What programmes and projects are in place to promote the implementation of the New Partnership for Africa's Development (Nepad) (a) in the Southern African Development Community (SADC) region and (b) on the African continent? NO2593E
Deputy Speaker, at the SADC level, South Africa is closely involved in a number of cross-border infrastructure projects, which are driven mainly through the Africa bilateral Spatial Development Initiative, SDI, programme. The SDI methodology was developed in South Africa in 1996 as an integrated planning tool aimed at promoting investment in regions which are underdeveloped, but which have potential for growth.
The methodology involves a process in which the public sector develops or facilitates conditions conducive to private investment and public-private community partnerships. It is also an integrated process of identifying economic potential in specific geographical areas and the requisite infrastructure necessary to promote trade.
Initiatives currently receiving assistance from the South African SDI support programme are the Maputo Development Corridor, the Limpopo Valley SDI and the Beira Development Corridor SDI that has been suspended, but will pick up again when the political situation in Zimbabwe improves. Other SDIs we are involved in include the Zambezi Valley, the Nacala Development Corridor, the Mtwara Development Corridor, the Central Development Corridor and the Great Lakes - Bas Congo - SDI. They are all at various stages of implementation.
At a continental level, the implementation of Nepad programmes and projects is guided by the African Union-Nepad African Action Plan. The Department of Trade and Industry provides technical support to the Nepad Spatial Development programme through the Nepad Secretariat. The department also works through the Nepad-OECD Africa Investment Initiative to assist African countries' efforts to strengthen their investment environment for growth and development.
In terms of the programmes and projects for the strategy for the implementation of the action plan for Accelerated Industrial Development of Africa, the DTI has participated in developing an implementation strategy that sets out seven clusters of action. The implementation of this strategy is monitored by the Conference of African Ministers of Industry, of which South Africa is the current chair and is providing leadership in the implementation of agreed projects. Thank you.
Thank you, Deputy Speaker. Hon Minister, yesterday a successful binational meeting was held between South Africa and Namibia. What projects were identified by both countries to promote integration between the two countries?
Thank you for that follow-up question. In fact, there were a number of SDI projects which were under discussion. The most important one was the Trans-Kunene project. This would be a communication link basically through central Angola, central Namibia down to the Trans-Kalahari route. This would, if completed, provide the shortest route between the DRC and South Africa by road or rail.
In terms of the framework of the Angola-Namibia-South Africa alliance, which we have been developing, we have commissioned a most gifted technician on these matters who will be doing some scoping work to present to the governments of the three countries. We hope that we can co-operate and push this very important corridor programme further forward. Thank you.
Thank you, Deputy Speaker. Minister, all of us embrace the strategic importance of developing trade and agricultural opportunities and relations in Africa. We are also aware of the current Economic Partnership Agreement, EPA-driven threats to the existence of both Sacu and SADC as economic development zones, which might in the process defeat the objectives of South Africa's involvement in Nepad and SADC.
Could you please qualify and quantify for us the current trade benefits for the South African economy derived from intra-Africa and intra-SADC trade? Also, could you please give specific reference to the business sectors and product categories that are affected? Thank you.
Deputy Speaker, the member will have to put that question in writing so that we can come with the latest statistics. But, I can say to him that our trade with Southern Africa and with the rest of the African continent is very significant and disproportionately so for our manufacturing industries. We export value- added products to neighbouring countries, and a very sizable part of our value-added products go to other countries in Africa.
Generally speaking, there is a trade balance in our favour in our trade with other African countries. This is not a matter which we are happy about. We think there should be a narrowing of the trade gap. That is why we have committed to a process of trying to promote developmental integration, because we do not believe that the barriers lie wholly in the existence of tariffs.
As far as SADC is concerned, there are really no tariffs in application for over 98% of products coming from other SADC countries at this moment in time.
We think that the problems are underdeveloped production structures and inadequate infrastructure. That is why we are working quite heavily on the SDI approach, because we think it is a very important complement in promoting a more balanced and equitable pattern of interregional trade.
Hon Minister, there is an article that reviews Nepad titled "Nepad at the Crossroads". It says: Hailed as the hallmark strategy to revitalise the continent, the New Partnership for Africa's Development still retains much of the optimism that greeted its launch three years ago. But, it faces an emerging crisis of credibility as key supporters question the Nepad Secretariat's strategy and its failure to turn grand intentions into gainful initiatives.
I want to ask the Minister if there is any strategy of trying to take this valuable and very noble project to the lower levels of our society, because it does seem that it is not owned by the ordinary people in rural areas? I thank you.
Deputy Speaker, I think the problems that Nepad faces were the expectations at the beginning that this was going to attract massive funding from the donor community, and unfortunately those expectations have not been realised.
But, I think that the fundamental point about co-operating around infrastructure development remains. We believe that the spatial development initiatives methodology does offer us a way forward, which does not depend on all these projects being funded by donor funding. That is why we are working to try to promote this methodology.
Basically, we started an infrastructure programme and used it as the basis for crowding in a whole series of investments. We think the methodology has been fairly successful in a number of cases. We are trying to identify some of those with potential and those on the West Coast. I think the Trans- Kunene SDI case is of major significance, and that is what we're trying to do. Thank you.
Plans to avert water crisis at Medupi power plant
239. Mr J Schmidt (DA) asked the Minister of Public Enterprises: Whether she has any plans to avert the looming water crises at the Medupi power plant; if not, why not; if so, what are the relevant details? NO2556E
Deputy Speaker, in answer to the question, there is currently no water shortage being experienced at Medupi power station, and that is primarily because Medupi power station is still being developed. The power station is going to be a dry-cooled power station, which means that it will have lower water requirements than normal power stations.
However, perhaps what the member is referring to is that in the Medupi area, it is envisaged that there is going to be a massive build going forward, not only by Eskom but by Sasol as well, and there will be considerable water requirements in order to meet that build. In view of that the Departments of Public Enterprises and Water and Environmental Affairs have engaged intensely on doing various development scenarios about water requirements going forward, looking at what water augmentation possibilities there are for this matter and also at what risk mitigation measures there will be, should it reveal that the potential build is prejudicial to the entire water system.
At this stage, we are not in a position to say what the water augmentation will be, precisely because there is not yet commitment on the actual build in that area, but we do acknowledge that water is a crucial component here, but it is not an immediate issue.
Hon Minister, thank you for the answer. I think you have read me correctly. From internal Eskom documents addressed to the chief executive officer, Mr Jacob Maroga, it is clear that there were serious problems with the whole tender process at Medupi.
To give you a few examples - and I will quote from the document - there were procurement processes that did not adhere to the supplier pack, detailed cost estimation was thin, water capacity is constrained, Eskom committed to detailed boiler specification without coal being succeeded, and so on. I can go on, Madam Minister.
In light of the above, does the Minister consider appointing a commission of inquiry to investigate this whole process, as it seems to be another example of bad management by Eskom?
Madam Deputy Speaker, this is an entirely new question. It is very different from the question that was asked. All I can say is that I have no knowledge, and it would have been preferable if you had posed this question as a separate question. However, if you do have information to this effect, please feel free to forward it. I obviously can't commit to an answer in this context.
Thank you, hon Minister. Just in terms of the possible risks, not only of this particular power station but at other situations like it, what precautions does the department take to ensure that any possible crisis doesn't particularly impact on the surrounding area and the people in the community, and what are the relevant details? Thanks.
As I have said, the so-called risk that one might be potentially exposed to is dependent on what the commitment to the build is going forward, and that has not yet been established.
So, at the moment we have an extensive engagement with Water and Environmental Affairs to look at various developmental scenarios, to look at what ways water can be augmented from other water systems, and to look at what risk mitigation there is. At this stage, yes, we are on top of those issues, but we cannot yet fully comment until there is an actual development scenario that has been committed to.
Minister, I think this opens up a broader issue, because I recently attended a conference on South Africa's looming water crisis, and I must say I was shocked at some of the presentations that I heard there. Of course, there are numerous factors behind this looming water crisis, but one of the ones that was singled out, in fact, was the continued exploitation of our coal resources, whether that be from mining, from power generation or our coal-to-liquid plants.
What I want to know is whether the government has undertaken a strategic assessment of our water resources in the country, and whether that assessment has been used to underpin some of the decisions around Eskom's new build programme, as well as the issuing of mining licences, because, clearly, our water resources cannot sustain all of these activities, and there are some hard choices that need to be made. Thank you.
I am not the Minister of Water Affairs at this stage, so you will forgive me if I'm not able to comment comprehensively on this issue. But, let me say in our engagements with the Ministry of Water and Environmental Affairs, I think intense attention is being given to our future build programme in South Africa and what the consequences for water will be. I agree with you that those are issues that require very intensive attention from government, and I assure you that that is taking place.
Thank you, Madam Deputy Speaker. It is a well-known fact that there is a power struggle at Eskom at the moment and, as such, there are a whole lot of disinformation campaigns and documents going around like the document here.
In the naivety of not recognising these power struggles and the disinformation campaign, the opposition has been fooled and is gullible enough to give a statement which says that the Medupi power station will lead to irreversible environmental damage and that the power plant will suck up all the water in the area and the surrounding areas, including the Hartbeespoort Dam, etc.
It is my understanding that before any project of this nature can be embarked upon, you would need to do an environmental impact assessment. During the assessment you have experts who'll look at this thing and give an expert opinion. You also have public participation during that process. All I want to ask the hon Minister is that before this Medupi power plant was commissioned, was there EIA approval or not? Thank you. [Applause.]
No build on this scale can be done without an EIA and, certainly, yes an EIA was done, and Medupi is being built. [Applause.]
Guidelines on remuneration packages for top officials of parastatals
235. Mr N J J van R Koornhof (Cope) asked the Minister of Public Enterprises:
(1) Whether there are any guidelines on remuneration packages for the top officials of parastatals; if not, why not;
(2) whether she will consider appointing a remuneration committee to set guidelines and to make sure that these remuneration packages are more moderate in future; if not, why not; if so, what are the relevant details? NO1827E
Deputy Speaker, the question is whether there are any guidelines on remuneration packages for the top officials of parastatals. Yes, there are remuneration guidelines. These were approved by Cabinet in 2007 and apply to both the remuneration of senior executive and non-executive members of the board.
The Minister of Public Enterprises is responsible for the appointment of board members and, in turn, the board appoints members of board subcommittees as may be necessary, including the members of the remuneration committee. The board and that remuneration committee must ensure that the remuneration of executive and non-executive directors is in line with those remuneration guidelines.
However, we have moved on in this world since 2007, and the debate about executive remuneration has become an international debate. So, a further comparative benchmark and exercise has been conducted and is in the process of being conducted to update the guidelines since 2007, and the report will be presented to the oversight committee before being submitted to Cabinet for approval.
Thank you very much, Deputy Speaker. Thank you very much, hon Minister, for that reply. In terms of the report by the Commission on Growth and Development, one of the strategies they have named for successful countries that have achieved growth of 7% each year for 25 years, was that they had capable governments that held public agencies to account.
Now, could I ask the Minister whether she would consider when she proposes the new guidelines to Cabinet, not paying any bonuses if there is no performance by these parastatals?
Secondly, could the Minister remind some of these officials that although they, obviously, can be appropriately remunerated, they are performing a public service. Somebody must remind them that they cannot ask for the same bonuses as the private sector.
Deputy Speaker, I think the member is asking important questions that are part of the national discourse at the moment. I cannot comment at the moment on what the recommendations are that we would come up with. But, obviously, performance-based bonuses are based on performance and we would expect that that is adhered to. So, I will await the outcome of those matters.
Whether state-owned enterprises executives should be remunerated on a scale comparable to that of the private sector, is a difficult issue.
We do understand and we do expect that when people run state-owned enterprises they are also doing that as part of their public service to the country. However, we have to be realistic - we are competing for very scarce skills in this country. And if that means that we have to provide at a scale that is similar to that of private enterprises, then we must consider that - if it means that we can't employ the people who have the requisite skills.
But let me say that the issue of remuneration is an important issue. Eskom, for instance, has stopped all bonuses for this year pending the outcome of the interim results, because they feel so strongly about this matter - and I must congratulate them on that.
Thank you, Deputy Speaker. Thank you, hon Minister, for that response. I would like to know if this House could have sight of the approved remuneration guidelines, because as we peruse the annual reports of departments, I think there will be many questions.
Talking about questions, I would like to know, Madam Minister, who decides on these bonuses that are paid? Because I have a document in my hand which is an extract from an SOE - and I will not mention which one it is - where the executive remuneration guaranteed for one official was R4 million for the year, and the bonus for that same year was R2,825 million.
Now, when people earn something like R7 million to R10 million per year, they are either superhuman or really super capable to earn that kind of salary. We would hope that this new package will deal with these issues.
Further, I would like to know if the Minister would make a comment on the number of board members that should serve on state-owned enterprises and the packages that they should get, because, in perusing the annual reports, you find that some of the entities have a number of board members that we don't think are necessary for overseeing the affairs of that organisation. Thank you.
Thank you. I am certain that you can have those executive remuneration guidelines, bearing in mind that they are going to be updated. I cannot comment on that particular remuneration plus bonus, because I don't know which state-owned enterprise it is and whether it falls in my stable, but if you could forward me the details I would be happy to receive them.
The question of how many board members per state-owned enterprise depends on the size of that enterprise and the particular skills mix, and is established in terms of the articles of association. As you know, most articles of association have a range number that you can have from, say, one to 15, and it is up to the Minister's discretion to decide what the appropriate skills mix is.
So, yes, we do pay attention to that when we look at appointments to boards. I think the issue is that of board members that sit on too many boards, which makes them not able to function properly on any board - an issue which we are certainly paying attention to.
Thank you, Deputy Speaker. Given that the remuneration of top officials at parastatals is internationally benchmarked, then it is safe to assume that the standard of service delivery should also be of an international standard. Clearly, this is not the case. Mr Maroga earns four times as much as President Zuma, and yet Eskom is failing dismally in meeting its mandate to provide cheap and reliable electricity to South Africa.
Various internal Eskom documents have shown that Maroga has been thoroughly warned about the problems in the parastatal which he ignored and which ultimately led to the load shedding in 2007 and 2008. The need to triple the price of electricity over the three years is another result of this incompetence. My question is: Could the Minister make sure that the salaries and bonuses of the CEOs ...
Order! Hon member, there is a point of order. What is your point of order?
My point of order, Madam Speaker, is that I think the hon member also serves on the committee on Public Enterprises and it is ... [Interjections.]
What is your point?
If you would be patient you would know. It is unfair to mislead this House and say that we don't provide the cheapest electricity in the world. Everybody knows that Eskom charges the cheapest electricity rates and he knows this. [Interjections.]
Hon Pillay, would you allow the member to ask his question.
Thank you, Madam Deputy Speaker. The need to triple the price of electricity over the next three years is another result of this incompetence. [Interjections.] My question is: Could the Minister make sure that the salaries and bonuses that these CEOs receive are coupled with performance indicators and strict targets and deliverables set by this government? Thank you, Madam Deputy Chair.
I do not think it is wise to simply cast aspersions on state-owned enterprises in blanket terms. Please bear in mind that the issues at Eskom are issues that arise out of a long history of decisions that were made around Eskom, and that Mr Maroga is not the only person that has to take responsibility for that. And I think you are being unfair when you place the entire dilemma of the Eskom build on one individual.
Secondly, if you do have these numerous complaints and whatever, please make them available to me, because I think it is unfair for any individual to be publicly accused in the public domain without having an opportunity to respond to those kinds of accusations. [Applause.]
Let me say, too, on this notion that state-owned enterprises are just the worst-performing in the country, that one can take, for instance, SA Express. Does anyone look at it? It has a woman who is a chairperson; a woman who is the chief executive officer. That state-owned enterprise has consistently delivered, performed financially brilliantly and runs with an incredibly efficient schedule.
Now, you know, just painting state-owned enterprises as these useless things does not help us in the debate. I think we need to be tackling this debate in terms of looking at the particular issues confronting each state- owned enterprise and not just laying it at the door of individuals - it's a long-term issue.
Regarding bonuses at Eskom, you might not have heard that at Eskom all bonuses were suspended pending a review of the interim results. So, they have taken those proactive steps. Thank you. [Applause.]
Chair, I have a point of order. I want a ruling to be given to the House on the following matter. Yesterday, when I arrived at the airport, I saw a board saying: "Welcome to the Republic of Cape Town." Now this confirms that we live in two different worlds as far as the DA is concerned. Could the House be given a ruling on that matter? [Laughter.]
Thank you, Deputy Speaker, and thank you, Minister, for your reply. As far as I understand it, the Department of Public Enterprises is not a policy department but rather a shareholder in various state-owned entities. Maybe the department and we as Parliament should look more broadly than just at the remuneration packages of CEOs of state-owned entities, and rather engage ourselves in the future about the role and functions of SOEs, including the funding models and the entities as going concerns.
We should really determine whether the boards and directors are indeed the best mechanism; and, regarding the oversight role, determine what the best practice is for the shareholder and for Parliament to oversee state-owned entities. That is a broader picture I think we need to engage with in future. And I would like to ask the Minister whether she agrees with that. Thank you.
Deputy Speaker, the issue of shareholder compacts is extremely important, and I thank the member for raising this issue. Mr Van Dalen did raise the issue of key performance objectives. There is, in my view, a need to revise the shareholder compacts that we have as state-owned enterprises at the moment. We have been in the process of looking at several of them in the past couple of months. So, I do believe that shareholder compacts with boards are an extremely important and valuable oversight tool.
Contribution of SumbandilaSat satellite to poverty alleviation and economic growth
272. Mr E N N Ngcobo (ANC) asked the Minister of Science and Technology: How will the SumbandilaSat satellite contribute to (a) the enhancement of poverty alleviation and (b) economic growth in South Africa and the region? NO2597E
Deputy Speaker, the answer to the question is as follows. Remote sensing data is identified as a fundamental data set for planning and sustainable development, and is especially important for Africa and developing countries. Remote sensing satellites acquire and provide data that benefits a very broad user community.
For our satellite, Sumbandila, the information acquired will assist in, but not be limited to, the following areas: agricultural mapping, health promotion, air quality management, urban planning, communications, and water resource management.
The satellite will provide earth observation data for a wide range of applications in our country and in the region broadly, data which will ensure that we minimise the current costs of purchasing data from satellites of other countries.
The successful operation of Sumbandila and of future build missions that South Africa will undertake, will put South Africa in a position which will attract international investments that will stimulate and develop our local space industry.
We believe that revenues, at a minimum, which have a return ratio of around 4:1, will and can be realised in our space industry sector. We will, as a country, work hard to strengthen our existing technological capabilities and our space resources in order to create more opportunities in terms of employment and especially human capital development for the youth of our country. [Applause.]
Hon Minister, in advancing the African continent's agenda on matters of climate change at the international level, how will the department use the Sumbandila satellite to enhance South Africa's participation in relevant international, scientific and technological co- operation programmes such as the World Climate Research Programme, the International Geosphere-Biosphere Programme, the International Human Dimensions Programme, the Global Ocean Observing System, the Array for Real- Time Geostrophic Oceanography, and the International Polar Year? Thank you. [Applause.]
Madam Deputy Speaker, the hon Ngcobo has a very strong involvement in global matters of climate change, hence the interest in this aspect of the data we will be able to secure from the Sumbandila satellite.
We as a country, play a very important role in a number of bodies that are concerned with issues of climate change. The Department of Water and Environmental Affairs and the Department of Agriculture, as well as the Department of Science and Technology have senior officials who serve on a number of international bodies that are concerned with what is called geographic earth observation. These bodies look at a range of aspects relevant to what is now being called global change and, which, in a narrow reference, would be referred to as climate change.
We believe that the data that we will secure from the Sumbandila satellite will assist our officials and the leaders of our country in making very concrete contributions to the geographic earth observation committee discussions, and advancing the work we are doing in Antarctica - which is looking at the oceans and the impact of climate change on the oceans - as well as looking at agricultural and other impacts of climate change.
So, in all, the United Nations, the European Union, the African Union, the Southern African Development Community and other bodies are concerned with matters of climate change. I believe that South Africa and SADC will be well served by the data that they will receive from our latest technological development, which is this satellite.
Each of these bodies will receive contributions from South Africans who are better informed, based on real data that we would have collected from our own instrument. [Applause.]
Deputy Speaker, could the Minister please state what return in investment the taxpayer will get from the R26-million investment in this satellite within the next six months? Would the Minister tell this House by what scientific methods the performance of this satellite's earth science applications will be measured, and which state entities will undertake this evaluation?
We ask the Minister to report back to this House before the end of the first parliamentary session next year - that is, before the Fifa 2010 World Cup kickoff - on what the Sumbandila satellite has achieved for the socioeconomic development of our land, the value of that scientific research, and the taxpayer's return on the investment.
We welcome the Minister's assurances that the satellite will be used only for scientific research, but now we want to see research turned into tangible benefits on the ground. Since 2006, the taxpayer has waited for payback from the Sumbandila satellite. Its launch was delayed mainly, we believe, by a dispute with Russia, the launch nation, over the cancellation of an earlier, shady, multibillion-rand Defence Force deal.
Where have we heard this before - that the citizens' benefits come second to the ANC cadre get-rich-quick agendas? We need a return on this investment in the satellite soon, Madam Minister. I hope you will be able to give it to us by next year. [Time expired.]
Madam Deputy Speaker, the hon member spoilt a very good question by trying to be political against cadres of the ANC. This is often a sad fault of the DA.
We certainly will be ready, I think, to report back in the year 2010, as the hon member has indicated. I think I can commit to that.
As to what instrument, well, there are various parts of the satellite and I can't name all of them now. But I can indicate to the member that we have had a successful launch. Our satellite is in orbit. The instrumentation is currently being set to allow us, in around three weeks' time, to begin to have the first of the images from the satellite. So, we are very exited about that.
In terms of what return, I'm reliably informed that, as a country, we currently spend over R60 million in payments to countries that have satellites, and from which we purchase data for the work that I have referred to in agriculture, health and so on.
I'm hoping that when I come back in 2010, I will be able to give you a definitive report as to the savings that have been made. At this point, we haven't as yet been able to provide any department with data to replace data they are currently securing from other countries' satellites. But I hope that when I return in 2010, I will be able to give the hon member and the House a full report. [Applause.]
Thank you, hon Minister. Hon Minister, how much has been achieved so far in fulfilling the mission of the project, in particular with providing satellite data for application addressing the needs of society? Thank you, hon Minister.
Deputy Speaker, I thought I had answered that question. Let me indicate that a few years ago there was an attempt by the University of Stellenbosch, through a space company, to place a satellite in orbit. The satellite was successfully launched. However, it did not last in orbit and actually, essentially, collapsed.
So we have had several years of reworking the creation, the building of a satellite by South Africa. The company we've used, SunSpace, as well as the facilities at the University of Stellenbosch, have led to where we are today - which is that we've had a successful launch.
We now have a satellite which has been in orbit for five weeks. We have to wait a short period in order for us to retrieve the data, because once the satellite is in orbit, it must remain in orbit. As it orbits, you then begin setting the various instruments in place to work in order to ensure, one, that it remains in orbit; and, two, that it is able to use the cameras set within the satellite and all the various instrumentation that makes it up. So, all of that is manipulated from a remote site here in Stellenbosch.
Once we begin to gather data, given its quality and so on, and the ability to transmit it to other departments and to use it ourselves, we will then have a measure of our success. But the fact that we have a South African- built satellite, launched it successfully, and that it is staying in orbit and is currently looking very promising, is in itself an achievement for this country. [Applause.]
Thank you, Madam Deputy Speaker. Hon Minister, I think it is remarkable that South Africa has been able to achieve such great success in launching this satellite.
I would like to know from the hon Minister whether any thought has been given to how easily accessible the data and satellite imagery is going to be, in terms of cost and availability to government departments and to other users that may want to utilise the information. Thank you.
Thank you, hon Singh. I must say that the effort has been an effort of government, and in particular we have benefited from the Department of Communications with technological support in this particular initiative.
As to how accessible the data will be, well, obviously, the intention has been to improve both data quality and access for South Africa. So, once we begin to get the first images, I think departments will then be able to secure the necessary imagery that they want.
As you know, as the satellite orbits, it is not always orbiting over areas of the earth or South Africa that we may want information on. So, we would have to secure from departments their particular needs and then, based on that, will begin to provide the necessary data.
I am also going to have to examine whether I can make some money from my department, given what departments were spending on data they were securing from other countries. But, once we get the first images, I think we should come back and inform the House of that immediately. And then, as I have said, on the basis of the hon Shinn's question, we should come and give a full report in 2010. [Applause.]
State funds spent on settling land claims in KwaZulu-Natal
258. Mr J H van der Merwe (IFP) asked the Minister of Rural Development and Land Reform:
What amount in state funds was spent on settling land claims in KwaZulu-Natal in the 12 months before the 2009 general election?