Statement on Cabinet Meeting of 5 December 2007

Cabinet held its ordinary meeting in Pretoria yesterday morning, 5 December 2007.

Cabinet approved both the Biofuels Industrial Strategy and the Electricity Master Plan. The Minister of Minerals and Energy will elaborate on these two initiatives during the course of this media briefing. The Minister's statement will be posted on the government website (http://www.info.gov.za) for further information.

Cabinet noted that the Africa Peer Review Mechanism (APRM) report has now been published by the APRM Secretariat. The report identified eighteen best practices that were worth emulating in other countries, including innovations such as the Mzansi Account; Multipurpose Community Centres (renamed Thusong service centres) and the Black Economic Empowerment (BEE) Charters. Further, the report highlights a number of strengths which characterise the South African society, including: having one of the most progressive constitutions in the world; having the largest and strongest economy in the continent; a political environment conducive to political debate; first world economic and physical infrastructure; a strong public financial management system; strong technological capability; good corporate governance; a robust legal system, and a strong framework for the protection of human rights.

However, the report also highlights a number of challenges including racism and xenophobia; under-representation of women in the private sector; high levels of gender-based violence; the rise in education expenditure that is not mirrored in the outcomes of the education system; insufficient contact between ordinary South Africans and the political representatives; the pervasive legacy and distortions of the apartheid system; high HIV infection rate and high levels of violent crimes.

The Government response to the report is included in appendix two of the report. In raising some concerns about certain aspects of the report, Government was of the view that the APRM process would be strengthened if the identified weaknesses were addressed. In this regard, a workshop was held in Algeria to review the process and methodology issues. Government is satisfied that its concerns have received the necessary attention at the Algeria workshop. The South African Government thanks the panel for their hard work and dedication to the task of reviewing our complex country.

The next step is the implementation of the programme of action to address the challenges raised in the report. South Africa will be reporting progress to the Secretariat every six months and will table an annual report to the APRM Heads of State and Government forum in July. Cabinet noted that the APRM's proposed programme overlaps with the government programme of action and that greater alignment between the two programmes will be attained in 2008 when government finalises its programme for the year.

All stakeholders, led by the government, are urged to work together to ensure the implementation of the recommendations of the APRM country report.

The report is now available and can be accessed from http://www.nepad.org/aprm.

At its meeting of 7 November 2007, Cabinet had resolved that the forensic report on the financial affairs of the Land Bank was to be referred to the South African Police Service and the prosecution authorities for further investigations and possible prosecutions. Cabinet resolved yesterday that this decision will be rescinded pending further internal investigations by the Ministry of Agriculture and Land Affairs.

Cabinet noted that the second European Union - Africa Summit would take place on 8 and 9 December in Lisbon, Portugal. The Summit will strengthen relations between the two continents and will help to consolidate the African agenda. The South African delegation will be led by President Thabo Mbeki and the Minister of Foreign Affairs, Dr Nkosazana Dlamini Zuma.

The meeting noted that the World AIDS Day was celebrated in many parts of the country on 1 December 2007. A number of activities were held in many parts of the country which served to mobilise society to act together to heighten the implementation of the national strategic plan. To this end, Cabinet welcomed the progress that is being made in the fight against HIV and AIDS. The highlights of the progress include the following: the mother to child transmission programme has the largest coverage in the Sub-Saharan region, reaching between 50 and 60% of the targeted population; more than 370 000 people had been initiated on the antiretroviral therapy by September 2007; the prevalence level among teenagers had decreased from 15,9 to 13,7%; and that the South African National AIDS Council (SANAC) had succeeded to strengthen the partnership between government and all stakeholders in the fight against the pandemic.

Cabinet welcomed the 2007 Report Card of the United Nations Children's Fund (Unicef) on the Prevention of Mother to Child Transmission of HIV (PMTCT) and Paediatric HIV Care and Treatment in Low and Middle Income countries. The Report Card lists South Africa among 17 countries that are on track towards meeting the United Nations 2010 target in the provision of antiretroviral treatment for PMTCT. Efforts are being made to strengthen the PMTCT programme, including impact assessment and the improvement of the treatment protocols to introduce dual therapy.

The meeting was briefed on the eight (8) cases of klebsiella reported at Prince Mshiyeni Memorial Hospital in Umlazi, KwaZulu-Natal. Cabinet expressed its deepest condolences to the mothers and families of the five babies that unfortunately passed away. The three other babies were in a stable condition and have since been cleared of the infection. While further investigations may be necessary to establish the actual source of the infection, Cabinet welcomed the fact that no new cases of klebsiella have been reported and that the situation is now under control following the intervention by the health authorities to contain the situation.

Cabinet noted that the 2nd of December marked the 40th anniversary of the world's first transplant operation which was conducted by a South African, Prof Christian Barnard, in 1967. The meeting urged the country's health professionals to continue to demonstrate excellence in various fields of health science.

The observance of the International Day of Disabled Persons on 3 December was noted. Cabinet affirmed its commitment to ensure that at least 2% of government's payroll consists of disabled persons by 2010.

The meeting received and noted the Senior Management Service (SMS) Remuneration Panel Report which proposed that the salary structure of senior managers in the public service be reviewed. The meeting resolved that a Task Team be established consisting of the Ministers of Public Service and Administration, National Treasury, Health, Education and the Presidency. This Team will review the report and consider the salary structure of the SMS, including the introduction of differentiation in the salaries of Directors-General and the Deputy Directors-General, in view of the different scope, complexities and impact of the various functions. The matter will be finalised by April 2008.

Cabinet approved the formalisation of the existing human settlement at the Dukuduku forest with limited relocation of some households from the sensitive Umfolozi Floodplain and St Lucia estuary in order to protect and conserve the Futululu section of the Dukuduku state forest. The formalisation of the settlement will limit the ongoing illegal settlement within the Dukuduku forest which has resulted in the destruction of approximately 5 000 hectares of the indigenous forest, and poses a threat to the World heritage Status of the Wetland Park. All affected departments will commit the required resources to implement the formalisation of this decision. A Project Steering Committee will be established consisting of all role-players to finalise the implementation plan. The details of the plan will be unveiled by the Minister of Water affairs and Forestry at a meeting with all stakeholders.

The revised Strategic Framework for the Development of Human Resources in the public service was approved. Copies of the Framework can be obtained from the Department of Public Service and Administration.

The report on the implementation of the Financial Services Charter was received. The meeting noted that there were a number of issues still being considered by the sector, including the need to align the charter with the Broad-based Black Economic Empowerment Codes. The report was noted as work in progress.

The Rural Transport Development Strategy was approved. The strategy will be published by the Minister of Transport shortly.

The South African Mint Company's commemorative coin designs for 2008 were approved and will be gazetted shortly.

The following appointments were approved:

• The employment contract of Mr P Lehohla, the Statistician-General, was extended for three years
• Ms Z Ntuli was appointed as Deputy Director-General (DDG) in the Department of Trade and Industry
• Mr A Carim was appointed Chief Financial Officer (DDG level) in the Department of Provincial and Local Government
• Mr JW Mckay was Deputy Director-General in the Department of Home Affairs
• Mr S Tsengiwe was appointed as the Chief Commissioner at the International Trade Administration Commission (ITAC) and Mr I Masege was appointed as Deputy Chief Commissioner of ITAC
• The following were appointed as members of the Board of the Construction Industry Development Board (CIDB): Ms NC Makhubele; Mr MC Noyana; Mr N Gudlhuza; Mr CA Rose; Mr L Kona; Mr IMS Govender; Mr GP Strydom; Mr S Ngebulana; Ms ST Bogosing; Mr R Nkando; Mr N Allie; Mr GB Steele and Ms L Mchunu.

The following Bills were approved:

• National Space Agency Bill will be gazetted for public comment
• The Consumer Protection Bill for submission to Parliament
• Draft Intellectual Property Laws Amendment Bill and the draft Policy on Protection of Traditional Knowledge system was noted and will be published for comment by the Minister of Trade and Industry The Prevention of and Treatment for Substance Abuse Bill for submission to Parliament

Enquiries: Themba Maseko (Government Spokesperson)

Cell: 083 645 0810

Issued by: Government Communications (GCIS)
6 December 2007