Hon Chairperson, long gone are the days of cheap, available and bounteous energy resources. Decisions must be taken as a matter of urgency to develop the technology and infrastructure necessary to transition to alternative energy sources. We need to embrace the new future of energy, a future that does not rely solely on finite scarce resources.
In this vein, the IFP believes that the department should make a substantial investment into the research and development of clean alternative energy production. Our current reality dictates that coal will be used in order to meet the necessary energy demands required in our country. In the short term, we have no other viable alternative.
We are therefore duty-bound to investigate the most environmentally friendly manner in which we convert our coal supplies to energy. I am pleased that you, Minister, have mentioned this in your speech, because it is important to be an environmentally friendly country.
Regarding alternative energy-production methods such as the nuclear path, the department should embark on educational programmes which allay public fears regarding its production, containment and waste disposal as this is one of the viable alternatives for South Africa in the future.
We expended large amounts of money in research and development on the pebble bed modular reactor programme. This programme has been brought to an abrupt halt. What about the time and money spent by Necsa, the SA Nuclear Energy Corporation, up to this point? We need to make decisions on energy production systems and, once taken, follow them through to completion. Failure to do so can result in third parties buying our developments and ideas and then reselling them back to us at greater prices in the future when we deem them fashionable once again.
We also task the department with not paying mere lip service to wind, solar and water energy as possible future methods in the production of this country's energy requirements. Clean energy should be our ultimate goal and it should be pursued intensely with something a little more substantial than 7% of the budget.
The current cost of electricity is nothing short of ludicrous. It impacts negatively on our entire society in that it not only is a direct burden on our citizens in that they pay more for household electricity, but that it also has the indirect effect of pushing up the prices of goods and services within the country, which ultimately the consumer has to pay for once again. It is problematic that we are able to import electricity far more cheaply from our neighbour Mozambique.
Likewise, the cost of fuel, which also appears to be on the increase, will have a severe impact on the lives of the poorest members of our society, driving them deeper into the depths of poverty. Whilst we do understand that the price of crude oil is determined beyond our borders, we also believe that the department can still do something to protect end users. Internal fuel levies and taxes can and should be adjusted in order to protect the ordinary man in the street from steep price hikes.
On the more positive side of things, we commend the decision to establish a separate department, which will enable greater attention to be focused on energy supply. This is a step in the right direction and the IFP feels that more such initiatives should be identified and undertaken.
Minister, we are currently in an energy crisis of massive proportions and uncertain times may call for unconventional measures, so explore alternatives and go out on a limb. There is a viable solution out there. We must also accelerate the solar water heating project. It is long overdue. The IFP will be keeping a watchful eye on all developments. We support the Budget Vote. I thank you. [Applause.]