COMMUNICATIONS PORTFOLIO COMMITTEE

13 August 1999

BRIEFING BY MINISTER

Documents handed out:

Ministry of Communications - presentation by Ms Ivy Matsepe-Casaburri

MINUTES

The meeting was presented by the Minister of Communications, Ms Ivy Matsepe-Casaburri, and chaired by Ned Kekana (ANC). The minister stated that their mission is to establish a networked information community, enhance all aspects of the South African community to make it globally competitive, to improve the quality of life of all people, and make South Africa’s future generations a knowledge-based society.

The minister emphasised the importance of the communications sector in meeting national socio-economic priorities, and building a people-centered society by linking South Africa to the world. Minister Matsepe-Casaburri informed the committee of challenges facing communications, due to the imperatives imposed by rapidly changing technology. These challenges includes: efficient delivery services; combating AIDS\HIV, crime and unemployment; facilitating rural development; developing human resources; adopting interdepartmental planning and implementation methods of work; creating strong partnerships and conditions to attract local and foreign investments; making South African communications globally competitive and contributing towards the achievement of the objectives of the African Renaissance. The minister emphasised that it is important to find alignment between departments, to ensure there is no conflicting legislation. She said that her department is responsible for Telkom, the Post Office, SABC, and that the signal distributor is a national asset.

Minister Matsepe-Casaburri outlined the issues the department will be dealing with for the next 5 years. These issues include:

aligning of policies and legislation;

consolidating adopted policies;

initiating and completing the processes called for by legislation to meet new demands;

increasing the delivery of affordable services and competition in the sector; further restructuring of state assets;

meeting challenges posed by the globalisation of the world economy; and influencing the direction and outcomes of international policy.

The minister added that the government has a programme of reconstructing state assets through privatisation, e.g. The Postbank. There is therefore a need to increase competition that will not cause confusion.

Immediate issues in broadcasting include:

- the restructuring of SABC and SENTECH.

- Parliament has already passed the Broadcasting Bill, which provides for the reconstruction and appointment of the new SABC board before the 30 November 1999.

- the establishment of advisory bodies for digital broadcasting and South African production.

Immediate issues in telecommunication include:

- licensing of a third cellular operator;

- advancement of the electronic commerce policy process;

initiating processes leading to the licensing of Global Mobile Personal Communications by Satellite (GMPCS) services; and

- the divestiture of 10% of government equity from Telkom SA (of this 10%, 5% will go to the national empowerment fund, and the remaining 5% will go to the workers and to the Black Economic Empowerment).

The most immediate issues in postal services include:

- Restructuring and issuing of a license to the Post Office as an operator;

- finalising the Strategic Management Partnership (SMP) contract;

- establishment of the regulator - some people feel there is a delay in this;

- introducing the Public Information Terminals (PIT) which gives ordinary people access to government; and

- the corporatisation of Postbank.

The most immediate issues for the Department are:

- To establish a single body under one council and chairperson, to regulate the communications sector, following the merging of the IBA and SATRA.

(The minister is hoping to pass legislation to regulate the IBA/SATRA.)

- The appointment of key personnel in the Department of Communications, who will prioritise broadcasting in the rural areas.

Urgent issues regarding the continent of Africa include:

- the restructuring of the Pan–African Telecommunications Union (PATU) and hosting its 6th extra-ordinary Plenipotentiary Conference, 6-7 December 1999; implementing the African Connection Projects; and

- the creation of an African Communications Regulators Association, to allow the use of products over a larger area.

Urgent international issues include:

- preparation for the next round of negotiations in the year 2000, at the World Trade Organisation (WTO);

- active participation in the restructuring process of the International Satellite Organisation (Intelsat);

- vice Chairing of the Universal Postal Union (UPU) congress in China from 21 August - 15 September 1999;

- chairing the council and the working group on International Telecommunications Union (ITU), and

- providing the necessary leadership role to allow the ITU to transform significantly.

Minister Matsepe-Casaburri announced the objectives and initiatives with regard to tele-services (involves the creation of a direct electronic linkage between individual users with Internet access / Community Information Centres for the purpose of improving a citizen's access to resources and information), as follows: to enhance competitiveness and efficiency in the economy, as well as meeting the basic needs of the communities by providing specialised services such as tele-medicine, distance learning, and linking rural clinics to urban centers. She added that projects had been undertaken with regard to tele-medicine, tele-education, tele-agriculture, tele-trade, tele-security, as well as online-payments.

Questions asked by committee members

VB Ndlova (IFP): Is there any plan to prosecute thieves with regard to the theft of copper wire and other Telkom materials, especially in rural areas?

Minister: Theft of copper lines is high stakes, big-time theft, and SATRA has asked the President to intervene in the investigation process in order to speed up the process. The Minister of Safety and Security, the Department of Justice, as well as prosecutions is taking care of this. She added that if concrete information was received regarding such theft, then a time period would be set to prosecute, so as to cause certainty in the industry.

Mr C Morkel (NP): Who will represent the department to interact with the management of Telkom regarding their imminent strike while the Minister is away attending a conference in China?

Minister: This strike will have an impact on the economy, as well as investors. Mr Pahad Essop will be in charge while the Minister is away.

An ANC MP: Broadcasting does not reach all sectors of society, as it should, as most programs do not cater for people with disabilities, specifically , the deaf.

Minister: These programs are expensive to produce, and we intend managing our resources more efficiently. Most programs are not produced locally and such programmes do not provide for sign language.

Mr Kekana announced that the next meeting will take place on Monday 16 August 1999, at 12am.