The imbalance between supply and demand in so far as Eskom is concerned, has triggered Eskom to embark on the biggest build programme in South Africa, despite all the gloomy, dark stories here today. [Interjections.] While the supply constraints remain, significant progress has been made by the ANC with regard to the implementation of the "return to service" programme and the expansion of transmission capacity.
In efforts to stimulate the local economy, Eskom has placed an average of 76,9% of local content in new-build contracts, which is greater than the target that was set at 52% over the three-year period. Well done, Eskom! [Applause.]
Eskom had a total learner complement of 11 953 learners, of which 5 715 are engineering, technical and artisan learners and 5 159 were in the youth programme in 2011 and 2012. This provides critically important work experience to unemployed youth. The ANC is driving the skills programme in these directions in support of our youth instead of just fighting about the youth wage subsidy. [Interjections.]
Working with the department, the ANC congratulates Eskom for successfully managing the national supply and demand constraints over the last three years. This resulted in no rotational load-shedding since 2008, including keeping the lights on during the Fifa World Cup 2010 and the Africa Cup of Nations hosted in 2013. [Interjections.] The lights went out in Cape Town the other day, rather.
In the state of the nation address, President Jacob Zuma said that we should put South Africa first. All of us have a patriotic duty and responsibility to build and promote our country. He further said to all of us that the National Development Plan provided a perfect vehicle for a united action precisely because it has the support of South Africans across the political and cultural spectrum. Leaders in every avenue should be ready to rise above sectional interests and, with great maturity, pull together to take this country forward.
The National Development Plan reminds us that South Africa has missed a great opportunity when it missed a generation of capital investments in roads, rail, ports, electricity, water and sanitation, public transport and housing. So, too, does the Reconstruction and Development programme of the ANC state that attacking poverty and deprivation must be the first priority of a democratic government, and this includes the SOEs. The ANC requests the Minister and Deputy Minister to align the department and entities with the objectives of the National Development Plan.
What we heard here today is very strange. We heard in this Parliament that all the political parties supported the National Development Plan, but when it came to the state-owned entities, you heard something different. I thought I should just say what the National Development Plan says ... [Interjections.] ... because they are selective in their support when they do so.
Concerning electricity, the NDP says that given these realities, a more pragmatic solution would be to invest in human and physical capital in the 12 largest distribution areas. How can we then oppose what Eskom is saying? The NDP says that Eskom, together with the metropolitans and the cities, could, on a voluntary basis, take over the distribution to smaller, poor- performing entities. How can you oppose the NDP in this instance? [Interjections.]
The NDP also says: Revise the National Electrification Master Plan and ensure 90% coverage by 2020 and 95% coverage by 2030, with the balance met through off-grid technologies.
Cosatu has an absolute right to protect the interest of workers where this is not met in the NDP.
The NDP says the state-owned enterprises have a vital role to play in advancing key national objectives, particularly through providing economic and social infrastructure. It says if this is done in an equitable and cost- effective way, state-owned enterprises can contribute to both economic growth and overcoming spatial inequalities.
Minister, you cannot listen to people who are telling you to sell these entities when we are absolutely clear of the direction they will take. Nowhere in here does it say that you cannot assist the SAA, Transnet, Eskom and all the other entities. It says that SOEs need a stable and straightforward governance structure that allows them to focus on their long-term objectives. They have been given very clear mandates and they must deal with capacity constraints, which include the question of what to do with the financing of these entities.
So, it is extremely strange that we hear so many different viewpoints. When we are on the public platform, we support the NDP, but when it comes to the content of the NDP, we hear a different story.
You were told here today, Minister, that there is confusion when it comes to the governance aspect of these entities. It says here that the governance structure of the SOEs arises from the need to treat these enterprises differently from executive government departments or privately owned commercial enterprises. It says that they exist to serve the public interest, but they are also expected to generate at least some of their own revenue through their business activities. The governance structure needs to reconcile the commercial objectives with the public-interest objectives. That is what we have to follow, Minister, and not allegations that there are "confusions" if you intervene when there are problems in a board. This division of responsibilities can help to create a healthy tension which ensures that adequate attention is paid to both the services provided by the SOEs and their financial sustainability.
It does tell us that what we need to do is to make sure that we have a range of skills - in administration, policy-making and management. We would urge that we must continue to improve in these different areas. It also says that, alongside the reviewing and clarifying of the mandate of individual SOEs, it is essential that there is a skills audit and an assessment of whether the current approaches are adequate for developing the necessary skills and that, where there are gaps, we need to attend to them.
Hon Eric, well done with what you did here today - providing the country and Parliament with the thoughts you expressed. Thank you that you opposed what your own colleague said in parts of her speech. Hon Natasha ... [Interjections.] ... Michael, thank you. As the portfolio committee, we don't believe all the things you said here today. You are an absolute builder in the committee; you are very co-operative. We understand that when you come up here, you have to grandstand. But we don't believe all the things you said, because you are not that the type of person. [Interjections.] You are extremely sweet when you are in the committee, but when you come here it is a completely different story that you have to put to all of us. So, we don't believe any of the things you said. In fact, Minister, we urge you not to listen to any of it. [Interjections.]
It is a pity that the hon member from the IFP had to repeat the same speech that the hon member Oriani-Ambrosini had delivered on this podium last year. [Applause.]
I conclude. The National Development Plan says to all of us that we must ensure accountable governance. This requires leadership. And for institutions to be transformative and capable, they must be well led at all levels. [Interjections.] [Applause.]