Madam Deputy Speaker, make no mistake, this government has a crisis of credibility over fracking. Many South Africans believe that the government will allow drilling only so that the ruling party or its cronies can get rich. They fear that the government will be making decisions about whether or not to allow fracking based on what is good for their bank balances and not on what is good for the country. But there is something the government can do to render that line of thinking without foundation.
There is a way to restore credibility: Firstly, make sure that no politicians, former politicians or companies are given any licences or permission to exploit gas reserves. [Applause.] Secondly, use gas as a way of changing the way South Africa goes about empowerment. When companies involved are asked to comply with the BEE requirements of the mining charter, stipulate that the only empowerment that will count will be empowerment schemes that benefit workers for the companies involved and local communities where the gas drilling is taking place. Madam Minister, that's real localisation.
If this is done, not only will government be seen as credible, but you will do something good for the country. You will empower South Africans by giving them a stake in the industry. We can't continue to give more money to the already rich. If you want to know who they are, read the Sunday Times rich list and you will see those who are on the ANC's national executive committee, NEC. Whether this government changes empowerment in the way suggested will determine whether or not it truly wants to empower South Africans.
The credibility crisis has to some extent been addressed by the government's careful approach, the moratorium followed by what appears to be cautious and what we hope to be properly monitored exploration. Nothing is for free and hydraulic fracturing brings with it environmental risks. The process needs water and water is scarce in the Karoo; it produces water similar to acid mine drainage which could pollute aquifers and surface water; it will bring road traffic which will take a toll on roads and could cause dust; it uses chemicals which could pollute water supplies, but all of these are controllable if proper regulation is put in place and if the process is carefully evaluated, monitored and controlled.
Unfortunately, this government does not have a good record of controlling and monitoring mining. Many mining operations have been allowed to proceed while causing unacceptable damage to the environment. This must change. But one thing is for sure, things will never be the same again. The world of energy is undergoing a revolution. Five years ago, the world was thought to have gas reserves of 50 to 60 years. Now that estimate is 200 years and climbing because of new discoveries and new technology.
Gas, either from shale or from offshore deposits of our own or our neighbours' coastlines, will be part of our energy mix in future. This could be an economic game changer for South Africa. It could bring us jobs and clean energy; and it is cheap. But that must not come at the cost of an environment that is destroyed and livelihoods that are ruined. It is in this government's hands whether we win or lose from shale gas. The DA will be watching every step and driving responsible oversight, regulation and enforcement. [Applause.]