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Date : 13/02/2004
Source: Ministry of Communications
Title: I Matsepe-Casaburri: Parliamentary Media Briefing, February 2004


PARLIAMENTARY MEDIA BRIEFING BY MINISTER OF COMMUNICATIONS, DR IVY MATSEPE-CASABURRI, 13 February 2004

(Departments of: Minerals & Energy, Arts & Culture, Science & Technology, and Communications)

Contribution to Ten-Year Achievements

Minerals and Energy

A White Paper on Minerals and Mining Policy for South Africa was released in 1988. This policy document provided a framework for the restructuring of the mining and minerals sector. This policy is of great importance because it deals with issues such as small-scale mining, beneficiation and mineral rights.

During the same period we also released a White Paper on Energy Policy. This paper clarifies government policy regarding the supply and consumption of energy. It also addresses matters relating to affordability and sustainability of energy services to disadvantaged groups.

The promulgation of the minerals and Petroleum Resources Development Act and Empowerment Charter was a major step in fulfilling what was espoused in the White Paper on Minerals and Mining Policy. Amongst other things the Act deals with, is the issue of Black Economic Empowerment.

In 1996 we promulgated the Mine Health and Safety Act that serves as an instrument of dealing with the burning issue of health and safety in the industry. Following this promulgation, we have made good progress especially in our tripartite structures.

Science and Technology

During the first decade of our democracy, the Department of Science and Technology set up key enabling policy and strategies in the National System of Innovation (NSI) including the White Paper on Science and Technology, the National Research and Development Strategy (NRDS), the Biotechnology Strategy and other technology development support programmes. The progress in science and technology policy has not yet shown significant returns on investment in the form of increased levels of innovation and Research and Development (R&D) spending. From a low base of 0.7 % of GDP there has been an increase to 0,76% of GDP. Government target remains 1% of GDP in 2005. Our ability to reap the benefits of the knowledge economy is dependent on those investments.

An Innovation Fund was launched in 1998/9 in support of three areas of crime prevention, promotion of an information society and value addition for product and services.

Arts and Culture

A White Paper on Arts, Culture and Heritage was launched. It provided a framework for investing in human capital in the arts and culture.

The National Film and Video Foundation was established by an Act of Parliament in 1997. The Foundation acts as a hub of investment, advocacy and development, and has continued the Department's strong tradition of support for the film sector.

A Language Policy and Plan are in place to foster and develop all 11 official languages.

Communications

A number of policies and legislation were put in place, which radically transformed the whole sector.

The broadcasting policies and various acts as amended, privatised state owned radio stations, integration of former TBVC broadcasting services, created 14 commercial radio stations and expanded services through 90 community radio stations, introduced a regulator and restructured SABC.

In the telecoms sector, the introduction of mobile telephony from 1993/4 - 2001 improved access from few mobile radios to 15 million cellular subscribers. Divestiture of government interest from 100% - 39,7% in Telkom from 1997 - 2003 included first time access for black owners. Under serviced Area Licence and multi media licence to Sentech. Establishment of a universal service agency and fund, and introduction of a converged regulator.

Licence and multi media licence to Sentech. Universal service agency and fund were established and converged regulator was introduced.

The re-engineering of the post office to fit in with the electronic communication environment and expansion of postal services to rural communities and the introduction of a postal regulator have been shaped by postal policy and regulation.

Four Big Ideas

* Framework for encompassing interest - social compact

Minerals and Energy
Between 1994 and 2002, we made 3 822 063 electricity connections. Of these 3 811 054 were households; 8 503 were schools and, 2 506 were clinics.

The Mine Health and Safety Inspectorate continues to support efforts to combat HIV/AIDS through its participation in the Tripartite Committee for HIV/AIDS for the Mining Sector and the work in the regions on the various projects involving mine employees and the community. In 2002/3 the tripartite committee was mainly occupied with preparations for a summit on HIV/AIDS in mining.

The HIV/ Aids Summit was held on the 30th of April 2003 and the Inspectorate is responsible for its coordination.

During 2003, the Department of Minerals and Energy undertook a successful pilot scale "Basa Njengo Magogo" project in Orange Farm and surroundings as a first step in implementing the Strategy. This is a low smoke fire ignition project.

As a means of poverty alleviation, during 2001, Free Basic Electricity (FBE) Policy and Guidelines were developed and implemented. During 2003, a special allocation of R300m to implement free basic electricity was given to municipalities via the Department of Provincial and Local Government. All non-grid concessionaires are implementing FBE albeit to varying degrees due to funding levels. Most distributing municipalities are also implementing.

Government has increased the FBE in regard to electricity from R300 million to R500 million with effect from 1 April 2004. This is intended to address poverty alleviation and government's commitment towards the poorest of the poor.

Science and Technology
The Department of Science and Technology is funding the South African HIV/Aids Vaccine Initiative (SAAVI), led by the Medical Research Council, aimed at developing a vaccine to combat HIV/AIDS. Major advances in the project include the development of a vaccine candidate for clinical trials in 2003.

As part of the department poverty alleviation programme the department is also funding the Medical Research Council and the Agricultural Research Centre to embark on the production of medicinal plants that help reduce the effect of HIV/AIDS in rural communities.

Arts and Culture
The department played a major role in the establishment of CREATE SA, a national training initiative for Arts and Culture. CREATE SA offers opportunities for school leavers, unemployed people and freelancers to develop skills that meet the needs of industry. In 2004, the project will roll out a national training programme through 100 training sites across the country.

In 1998 SA showed the world at the Smithsonian Folklife Festival what our crafters and musicians were capable of and we came back having sold virtually all of our products. Building on this success we made sure to sustain a process of working with the craft sector to ensure export readiness.

The department organised the successful National Craft Imbizo and Beautiful Things Exhibition that were part of the World Summit on Sustainable Development. With a turnover of R2 million for 350 craft projects and enterprises, the Department will continue to build on this initiative.

A Focus on Youth:
The Department will host a Youth Summit in 2004 to produce a youth development framework and a programme of action.

DAC is in the process of developing a BEE strategy for the arts and culture sector

Communications
From 2000 - 2001 we saw the expansion of universal access through:
* A community radio sector was introduced in 1994/5. Thus far over 90 community radio licenses were issued since
* One million people received FM signal in this decade for the first time
* TV signals and access expanded, even to rural areas
* SABC FM and TV signal extension to one million citizens, 48% of rural households have TVs as compared to 27% in 1994 and 88% of the population listen to radio as compared 79% in 1994
As a result of the expansion of the SABC, national population coverage has increased to:
SABC 1 90, 52%
SABC 2 88, 54%
SABC 3 77, 08%
* SABC delivered Editorial Policies to ICASA, applied for Regional TV licenses
* Expansion of SABC TV to Africa
* Increased telephones access to schools, clinics and communities
* Roll - out of 100 PiTs in all the 9 Provinces (10 - 12 in each Province), Telecentres, and Cyberlabs to schools and Citizens Post Offices
* Multi Purpose Community Centres

Improving the Performance of the State

Minerals and Energy
* A Human Resource Development Policy and an Internship Programmes in law technology were developed in the department
* A programme to improve gender equity is in also in place
* A literacy programme coordinated by the Mining Qualifications Authority was launched and is running.

Science and Technology
With the greater focus on science and technology institutions as a result of the establishment of a separate department for science and technology, changes to enhance alignment and delivery are being introduced. Government plans to re-organise the governance system of scientific research councils and other state - owned laboratories in order to establish a more effective innovation system and to ensure greater co-ordination and oversight in research and development.

Arts and Culture
Between 2002 and 2003, the Department's poverty alleviation programme, Investing in Culture, created opportunities for 2 700 people and trained 10 000 more. Employment in the arts and culture sector can be loosely translated into opportunities. These may include opportunities to sell craft at international fairs, opportunities to perform at concerts and festivals, and opportunities to improve tourist revenues. As such, a large number of activities described today provide income-generating opportunities, and packaged with skills programmes and learnerships that promote business skills, support a sustainable arts and culture sector.

The DAC has transformed the Performing Arts Councils into Playhouses and created Heritage Flagship institutions. Nine Legacy Projects have been put in place, including the Robben Island Museum, Nelson Mandela Museum and Freedom Park.

Better regulation and management of the sector has been achieved through creating the SA Heritage Resources Agency, and the Geographical Place Names Council.

Communications

Human Resources Development
* A Human Resource Development Policy and an Internship Programme were developed, students enrolled and graduated in Masters on Software Engineering (31), Remote Sensing/GIS (9), and Engineering Science (45). A programme to improve gender equity is in also in place. A Post Graduate Diploma in Engineering (Satellite Technology) (191)
* There has been a significant transformation in the appointments made to boards, based on gender and race representativity, including strengthening corporate governance.

Black Economic Empowerment (BEE)
* In Telkom from 1999/2000 the increase from 10% and today stands at R 3, 935 billion
* Set aside 19% stake in the stake SNO for BEE
* SAPO increased BEE spend from 6% - 35.4% representing R321 million that is spent on HDI companies.

In 2002 South African Post Office transformed its board and made it more representative. With Telkom, 15 of its 18 top executives are now black.

Addressing the consequences of social transition

Minerals and Energy
Government has accepted a process of managed liberalisation of the regulatory dispensation of the liquid fuels industry. The time horizon for this process will be determined by the achievement of specific milestones as set out in the White Paper on Energy Policy (December 1998). A ten-year timeframe is however envisaged for the liberalisation of the industry, allowing time for the black empowerment companies to consolidate their positions within the industry. As part of this process it is necessary that a regulated dispensation is maintained to ensure stability and certainty for all the role players in the industry, especially during the transition period.

This process has been set in motion by significant amendments to the Petroleum Products Act approved by Parliament. These will bring about the biggest changes to this industry in over 30 years.

Science and Technology
The department has initiated a "Centres of Excellence Programme" in partnership with the National Research Foundation. The programme is intended to strengthen post-graduate production in key areas of relevance and importance to our nation.

Over R1 million was spent in support of the launch of the African Institute for Mathematical Sciences (AIMS), a new state-of-the art educational centre, which was launched in Cape Town last year.

Major progress has been made in the Biotechnology Strategy with all the Biotechnology Regional Innovation Centres established, the National Bio-informatics Networks is operational and the public understanding programme is making strides.

Arts and Culture
DAC is the lead department on social cohesion, which addresses Moral Regeneration.

Communication
Government has worked with the private sector to expand access to ICTs.

* Cell C's "Take a girl child to work today" initiative is aimed at involving business, government and the general public in focused collaborative action to reverse gender stereotyping in South Africa. The aim of the day is for a girl child to see for themselves that there is a wide choice of jobs and, that women have a right to do any job, provided they have the necessary qualifications. The programme is a prime example of how volunteerism can work on a grand scale
* MTN is rolling out multi-media centres in 90 rural schools throughout the country over a three-year period. This is coordinated with Education Ministries in the various Provinces. Dimension Data also contributes in these schools connectivity projects championed by MTN. The project aims to improve the quality of education and increase access to information and communication technology (ICT) in rural schools.

* NEMISA launched language portal in all indigenous languages at www.sedibafountain.org.za and the focus is on history, culture and languages of indigenous people.

Improving the regional environment and implementing NEPAD

Minerals and Energy
The Southern African Power Pool was established and trading increased significantly in the past 2 years (2002 - 2003).

African Mining Ministers established the African Mining Partnership in 2003. This partnership will champion NEPAD's mining initiatives.

Science and Technology
South Africa is Chair of NEPAD Ministerial on Science and Technology. It is also Chair of Commonwealth Science Council.

South Africa played a leadership role in the preparation of an OECD Ministerial declaration on Science and Technology for sustainable development.

The SA Reference Group on Women in Science and Technology will shortly produce its first full survey of the status of women in respect of science and technology. In addition planning in the prestigious lecture series is advanced following the awards programme launched in August 2003.

Arts and Culture
The Department hosted the International Network of Cultural Policy in Cape Town last year. Cultural diversity and maintaining this in the face of globalisation was one of the major topics of the event. South Africa is part of the working group that has developed an international instrument promoting cultural diversity. This will be presented to the United Nations in due course.

Communications
* South Africa has been leading the continent as the Chair of the Ministerial Oversight Committee of African Ministers on ICT, from 1999 until 2003
* Collaboration with NEPAD Task Team and the e-Africa commission to formulate projects to bridge the digital divide, e.g. e-schools project
* NEMISA provided a three months training in radio and television broadcasting for 26 Nigerians
* Sentech has trained nationals across Africa for countries such as Nigeria, Botswana, Madagascar and Lesotho etc
* Vodacom and MTN operating in DRC, Nigeria, Rwanda, Tanzania, Uganda etc.

Immediate issues

Minerals and Energy
The Energy Distribution Industry (EDI) Restructuring Bill will be reissued for comments in 2004, once the intergovernmental process has taken place. The EDI holding Company, formed as a project management company to drive the restructuring process and the formation of the REDS was formed in July 2003. The executive management has recently been appointed, to complete the team that will be responsible for the various aspects of RED formation.

Construction of the Mozambique gas pipeline is complete
* Testing underway
* First Gas delivery is scheduled for 19 February 2004.

This implies that gas sales in South Africa will increase and a new form of energy carrier will be available to develop new industries.

The implementation of Empowerment Charter for Liquid Fuels sector signed in 200 is proceeding well. It is expected that the target of approximately a quarter of all assets will be achieved in 2004/05. The Historically Disadvantaged South Africans (HDSA) shareholding has improved significantly in comparison to previous years.

Science and Technology
The Indigenous Knowledge Systems Policy and Bill will come into effect in the coming Medium Term Expenditure Framework (MTEF). The policy draws together four key elements and builds on initiatives already in place, such as National Language Policy, the promotion and copywriting of indigenous music and art forms now in progress and the Traditional Health Practitioners Bill.

The National Technology Transfer Strategy is now completed and should be implemented as from 2004/5. This strategy is premised by the inevitable role that technology plays in wealth creation and in addressing the challenges of social development.

Arts and Culture
The 2004/2005 financial years will see the delivery of an integrated strategy for human resource development in arts and culture. Other areas include developing programmes on: A programme focussing on Youth: including internships at DAC institutions and in policy making.

DAC will look at funding and financing for development in the arts.

The role of arts and culture in the transformation and development within the second economy.

Our continued presence at the Cannes Film Festival has resulted in an agreement between the organisers and ourselves to make South Africa a focus of the 2004 festival. Through our films and filmmakers the world will share our celebrations of South Africa's Ten Years of Democracy.

The Department's interests are not just local. In 2004, the Department will host the NEPAD Arts and Culture Conference, ensuring that arts and culture are a central part of NEPAD's programme.

Communications
* Convergence
Convergence Bill will need to be completed, tabled to Cabinet again and prepare for its passage in Parliament and its implementation phase.

* Continuation of managed liberalisation through the completed feasibility study as required by the Telecoms Amendment Act -
* Development of broadband strategy that will facilitate availability of the necessary bandwidth
* Extension of community radio stations

Sentech and the Universal Service Agency have partnered to connect telecentres and schools to the Internet.

There are also plans to roll out communications and interconnectivity to over 2,500 schools in the Gauteng province as the Gauteng on-line project.

* Focus attention on 2nd economy particularly in rural areas in ensuring that the necessary infrastructure and services are available.

* Greater awareness of ICT and their use.

* Expansion of ICT s to more areas, i.e. more telecentres and cyberlabs to be launched.

Issued by: Ministry of Communications
13 February 2004

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