If we had a bold leader, able to take the party in hand and deliver substantial economic reform, we might be able to save the situation, but no such leader exists. President Zuma has checked out. He doesn't care about the economy. [Interjections.] The Deputy President has a lot of capital, but none of it is political. [Interjections.] He can't change a thing. [Applause.] The hon Fubbs talks about monopolising wealth. She quotes Nelson Mandela. I don't know if she has seen the hon Deputy President's Member's Interest Form - it reads like the balance sheet of a small country! [Interjections.]
So, it is inevitable. The ANC today, with this policy, is continuing its deliberate march towards political oblivion. This is not because of corruption or scandal, as many of us may have thought, but because it is destroying jobs.
Now, that South Africa's economy must diversify, that it must be restructured, is common cause in this House and in the DA. That is beyond debate. It's an established empirical fact, as has been said, that countries must have a large and diverse industrial base in order to grow and bring down unemployment.
The question is the form that this takes, and I would like to distinguish between "positive industrial policy" and "punitive industrial policy".
Chair, "punitive industrial policy" sees the economy as a zero-sum game. In order to gain something new on the one hand, someone else must lose on the other. It is an approach premised on control and on the belief that there is no economic problem that cannot be solved with an oversimplified, stylised government dictum.
It makes the rules for others to follow, but often does not follow them itself. It seeks to ban exports here or control prices there. And just this week, we've even heard talk of controlling the exchange rate. Perhaps the Minister would like to clarify whether he is going to peg the rand.
It sees the government as the arbiter of who wins. Most often, those who win are big business, big labour and entrenched interests - certainly not the unemployed; certainly not the poor. It crowds out and crushes entrepreneurs and competition and chases away investment. This, hon members, is the ANC's punitive industrial policy, and it is in this context that we see today's report.
In stark contrast to this is the DA's positive industrial policy, which sees a strong and capable state as the most important role-player in attracting investment, building a culture in which entrepreneurialism is valued and fostered, and investing in research, skills and infrastructure. Beyond that, positive industrial policy sees a critical role for the government in providing positive incentives for manufacturing: significantly increased tax benefits for research and development; incentives for investing in improving competitiveness and new technology; certainty of intellectual property rights; and addressing the market failure of access to finance for new ventures.
Positive industrial policy makes it easier to start a business by cutting red tape. It ensures that businesses that do business with the government are paid on time. Positive industrial policy makes sure there is a reliable and reasonably priced supply of electricity. It is not afraid of leading in the economy, but it leads efforts to reform and to stay competitive - like democratic reforms of the labour market. It gives entrepreneurs free office space in underutilised government buildings, and it understands that economic transformation cannot even pass "Begin!" without a skilled workforce. That is why the DA would create 1 million work internships, funded in the current Budget, to give first-time workers the chance to gain the skills that are required in the manufacturing sector.
That is the positive industrial policy that the DA advocates, and that is why we cannot support this report and the policy it advocates.
Forcing mining companies to sell minerals at a discount price will have a cascading, negative impact on the economy. There will be less investment in mining and fewer workers in marginal mines. Minister, you do not grow South Africa's economy by hurting mining. All you will do is hurt South Africa. It is entirely possible to attract new investment in mining, grow mining employment and secure better conditions for manufacturing at the same time. It is not either/or; it is both, together.
Hon members should mark this day on their calendars - because it will go down in infamy as the day the ANC actively destroyed thousands of jobs in the mining sector in South Africa, and took one, additional, major step towards its own political oblivion. Thank you.
HON MEMBERS: Hear, hear! [Applause.]