Sihlalo ongahloniphekanga nje kuphela, kodwa nothandekayo, maLungu ePalamente, Mphathiswa kunye noSekela Mphathiswa beSebe lezaMandla, nabo bonke abakhoyo - iqela lezaMandla liphelele - ndithi iqela lezaMandla liphelele, kuzo zonke iindwendwe zethu, ikakhulu abafundi abasuka e-Bernadino Heights Secondary School e-Kraaifontein nabaseKaya Gas abathengisela iimpula zikalujaca igesi, ndinibulisa kweli khulu leminyaka ye-ANC ngezona zishushu izandla xa ndinika inkxaso le Voti yoHlahlo-lwabiwo-mali yama-29, yezaMandla.(Translation of isiXhosa paragraph follows.)
[Mr S J NJIKELANA: Chairperson, who is not only honourable but also adorable, Members of Parliament, hon Minister and Deputy Minister of Energy, the whole team of the Department of Energy - I mean the whole team of the department, all our distinguished guests, especially the learners from Bernadino Heights Secondary School in Kraaifontein, the team from Khaya Gas, that sells gas to the poorest of the poor, I greet you in the name of 100 years of the ANC with the warmest of regards as I support this 29th Budget Vote of the Department of Energy.]
As a precursor to my input, allow me to share a few crucial issues. Whilst recognising the socioeconomic significance of energy to any society, the political economy of energy, amongst a host of factors, demands that any state, including South Africa, should lead and guide economic transformation in a manner that intervenes in the interests of the people as a whole, a noble effort that will advance the national democratic revolution in our country.
The global prices of crude oil have, according to Professor Michael Greenberger, an expert in the energy sector, been grossly inflated due to what he claims is "... excessive speculation, which is a fancy word for saying that gamblers wearing Wall Street suits have taken these markets over", thus resulting in a ripple effect on fuel prices, as well as price increases in transport, food, medicine and other basics of life. It therefore ought not to surprise anyone, but to concern us, that Deputy Finance Minister Nhlanhla Nene said recently in Parliament that rising global oil prices pose a risk to South Africa's economic growth.
The political rationale for military aggression against Iraq and Afghanistan, military threats against Iran, and the recent conflict between Sudan and South Sudan have a lot in common, which is access to and control of oil, driven by greed and avarice, which are propelled by materialistic values. It therefore goes without saying that solutions informed by values and principles loftier than what capitalism offers should be welcomed, given the repeated crises in the global oil industry. Transformation of the energy sector can only be meaningful to South Africans if, and only if, it brings about a visible impact and changes for the poorest of the poor, as well as micro and small businesses, because energy is also made affordable.
Ngesixhosa sithi makuded' ubumnyama kuvel' ukukhanya ngoba iSebe lezaMandla lisizisela umbane minyaka le. [In isiXhosa we say, let darkness give way to light because the Department of Energy brings light to us every year.]
The transformative character of energy to improve ordinary people's lives is fundamental. Undoubtedly, therefore, as energy is the lifeblood of any societal transformation, be it economic or social, we therefore have to ensure that energy, as a low input cost for economic growth, is uppermost in our minds, especially in the context of the current national development planning. The extent to which energy is commodified must, therefore, be treated with the greatest caution by the government of the day.
As part of redefining energy poverty, we need to include utilisation in a domestic and particularly rural context. Hence the need to advance our campaign from full access to full utilisation of energy. We need to ensure that the definition of accessibility and affordability is now extended to domestic utilisation. This means attention must be paid to household appliances and their availability must be creatively introduced.
Akuncedi nto ukufaka umbane endlini kanti nagaphakathi akukho zitovu, zikhenkcezisi, zihitha nezinye izixhobo zokuziphilisa ezisebenzisa lo mbane ezenza kube mnandi nakuthi. Nangona kunjalo, ayithandabuzeki eyokuba ayiselophupha into yokuba izigidi ngezigidi zabantu zixhamla umbane ngenxa yalo rhulumente ukhokelwa yi-ANC. (Translation of isiXhosa paragraph follows.)
[It is no use electrifying houses when there are no stoves, fridges, heaters and other electrical appliances for our survival and to make our lives better. Be that as it may, there is no doubt that it is not a dream that millions of people have access to electricity because of the ANC-led government.]
The Department of Energy has been steadfast and resolute in driving transformation in the energy sector. Amongst a host of initiatives is renewable energy, which is expected to make up a substantial 42% of all new electricity generation in South Africa over the next 20 years. This is a radical increase from the 30% of the new generation assigned to renewable energy in the Integrated Resource Plan, IRP, earlier. This should be expected anyway from a responsive and caring government.
Transformation is also manifested in the introduction of the cleaner fuel programme which the department has dutifully handled, notwithstanding the looming risk of having refineries that are not yet ready for this programme.
Some of the recommendations made by this committee last year included that energy efficiency projects should gain much-needed momentum and should be clearly visible in the programmes of the department. The department has to be commended on being responsive to such calls, Minister, through you, Chair.
Localisation initiatives, especially the transformative nature of introducing local content, as the Minister has said, with particular reference to renewable energy, are becoming visible, but unfortunately not fast enough. Notwithstanding various challenges currently experienced, the department is forging ahead with the transformation agenda in the energy sector. In fact, let me be unequivocal that some of us are sometimes baffled by the output of the department in the face of being grossly underresourced.
Asiyazi ukuba yenza njani na. Mhlawumbi baneyeza elithile. [We do not know how they do it. Perhaps they have magic or muti that they use.]
Minister Peters, through you, Chair, rest assured that this committee will be steadfast in campaigning for appropriate resourcing for the department, despite the challenges we will be encountering; naw' uyazi [you also know].
Parts of the arsenal to transform the energy sector are the Integrated Resource Plan and the Integrated Energy Plan - two tools that will enhance predictability and confidence for broader planning and improved investment.
Under the approved IRP 2010, nuclear electricity is expected to make up 23% of all new electricity generation, meaning that it will comprise 17% of South Africa's base load of the energy mix by 2030. On that basis, this committee looks forward to receiving progress reports on the implementation of the nuclear build programme, as guided by the nuclear energy policy of the department, in the near future when the time is ripe for it. I also trust and hope that cost uncertainty in the new nuclear build programme will be addressed in future interaction.
Let me share my uneasiness about what is alleged as mixed signals in the nuclear energy market. Toronto and the JSE-listed Uranium One claimed recently that the fundamentals for uranium remain "extremely strong", with Japan almost certain to restart some of its nuclear reactors this summer.
Yile nto isothusayo ke le. [This is what shocks us.]
Such emerging trends are contrasted with a number of countries where there seems to be a decline in the appetite for nuclear energy. This is in some countries, but the Brics group is taking a different direction.
Given the deeply entrenched global interest in the forthcoming procurement in this sector, intensive lobbying has started in earnest. We therefore need to brace ourselves for more sparks to fly all over, notwithstanding the fact that this programme is under the capable leadership of the Deputy President, Comrade Kgalema Motlanthe, an assurance that it will be properly managed to its conclusion.
Government is also processing the Independent System and Market Operator Bill to enable participation of independent power producers, IPPs. Whilst strategically engaging private capital, as can be witnessed in the creation of a conducive environment for IPPs, our government must still be rooted amongst the people and buttressed by a mass-based democratic liberation movement.
Transformation ought to extend to the restructuring of ownership of means of producing renewable energy in particular. Furthermore, as the Minister has said, localisation and manufacturing in renewable energy are crucial.
Ndiyayibethelela loo nto, Mphathiswa. Xa ndiqukumbela, mandenjenje, ... [I am emphasising that, hon Minister. As I conclude, let me say ...]
... whilst anyone will cherish the improvement in working relations between the department and the committee, the structured and collective nature of such relations is equally fundamental. Recently there has been a growing trend of incomprehensible approaches to junior officials in the department by some of us, which is unfortunately unsettling, to put it mildly. Notwithstanding the recognition of formal procedures and the right of MPs to relate to the department, I encourage all and sundry to use the Promotion of Access to Information Act to access information - a move that is more discreet and acceptable.
Camagwini, kuloo ndawo. [Pardon me for that.]
It may be a sign of changes emerging in the energy sector - who knows? Otherwise, why are there such desperate activities, if they are not aimed at undermining the transformation of the energy sector?
While I strongly support the millions that have taken a firm and unflinching stand against corruption - a socioeconomic rinderpest that leaves devastation behind it - we must not delude ourselves with regard to capitalism, which is the seedbed of corrupting individuals, irrespective of race, colour and creed. [Interjections.]
Xa uvalela amanzi etephini awuzihluphi ngokuba asuka njani na kude, kude kube lixesha lokunqaba kwawo. Kuyafana naxa ucinezela incukuthu edongeni, ukhanyisa ekhaya. Nantsi ke inqambuzane, xa umbane umkile, uqala ukhumbule ukuba kanene kukho le nto ingumbane ekufuneka ibekho ngendlela efanelekileyo.
Masimbulele uMphathiswa ngemizamo ayenzayo. Silibulele neqela lezaMandla, sisithi mazenethole. I-ANC iyayixhasa iVoti yoHlahlo-lwabiwo-mali yama-29. (Translation of isiXhosa paragraphs follows.)
[When you turn off the water tap, you do not bother to find out where it comes from till it becomes a scarce commodity. The same applies when you switch on electricity at the switch on the wall to give light in your home. The problem is when there is an electricity failure, you start remembering that, by the way, there is a commodity known as electricity which must be supplied sufficiently.
Let us thank the hon Minister for all her efforts. The same goes for the Department of Energy team; we are very grateful to them. The ANC supports Budget Vote 29.]
I thank you for your attention. Shukran. [Thank you.] Asante Sana. [Thank you very much.] Nandri. [Thank you.] [Applause.]