Mr Chairman, I think the most interesting bits of news have come from the chairman of our portfolio committee, the hon Fubbs. The corporate tax in the special economic zones will be 15%. That is to be commended because it is the private sector that will drive these SEZs, and they must be encouraged.
I think the department and also the committee staff should be congratulated for good presentations during this process. The constitutional legal service offices were extremely helpful, and our chairlady worked very hard. We had good presentations by stakeholders.
This Bill is about building and growing South Africa's economy by creating special economic zones. Strangely enough, the world has many special economic zones, but many have been failures. In this country, we have had a history of special economic zones and many of them were failures. With this Bill, in terms of the National Development Plan - you will notice that the chairlady was very careful to talk about the New Growth Path and not the National Development Plan - we need to grow our export promotions; grow our domestic and regional demands; strengthen our industrial base; and promote labour-absorbing industrialisation activities.
We have five existing industrial development zones. Coega has been very unsuccessful, nothing happened at OR Tambo and only Richards Bay and East London have been moderately successful. And Saldanha, which is brand new, looks as though it could be very successful for the oil and gas industries.
These proposals have gone through the National Economic Development and Labour Council, Nedlac, process and various concerns were raised. But, once again, we found that this Bill is not as good as it could be. It has got a shotgun approach. Section 22 will allow almost anybody to apply for a licence for a SEZ, but deliberately excludes private enterprise from applying. It is all centralised government control. Once again, the left dictates to South Africa on how we should run our economy.
Despite the international trend towards private enterprise driving SEZs, the Minister turns his face against it. We cannot expect every municipality to apply for an SEZ. At the same time, coastal towns and places with airports could apply for SEZs. Upington, for example, has a good international airport. They could do a tremendous amount to develop technology and the industry for the solar power industry - the same applies to Limpopo's Polokwane International Airport.
Another issue is on the question of job creation. As I am talking to you, there are 30 000 automobile workers out on strike. Most of them are around the Coega development zone. I do not know whether Vavi or Dlamini is behind it, but maybe hon Wayile will tell us when he makes his speech.
The point that the chairlady of our committee does not understand is that nobody wants cheap labour. We want easy labour. You must be able to hire and fire, and do it easily. If one fires, you must be able to fire fairly but easily. That will make a big difference to the SEZs.
The Minister, again, typically with his ideological background, wants all kinds of controls on these SEZs. I think we should be aware that in Ethiopia, Nigeria, Kenya and even Angola - where you can have a business registered and started within 24 hours, and remember Angola is heavy Marxist Leninist - they have completely changed their attitude towards investment. People will not come to South Africa if they can go to countries where they are free to move their labour, employ labour and invest more effectively. Cope hopes that the SEZs will prove more effectively. Cope will support the Bill. I thank you. [Time expired.]