BILLS

Principles/issues that Bill aim to address

How Bill aim to enhance Department’s policy objectives

When will Bill be presented to parliament

Urgency and reasons for the urgency

ESI Regulatory Bill

• To update the Electricity Act to incorporate renewable energy, regulation of non-grid systems, independent power producers.
  It also aims to deal with issues relating to the introduction of competition in the electricity supply industry

The Bill is a translation of some of the policy objectives contained in the Energy White Paper, which amongst others provides for introduction of competition and Independent Power Producers (IPPs) in the electricity supply industry (ESI).

2^ND QUARTER OF 2003

Urgent in that whilst the industry is being restructured, there is a need for a regulatory framework to be in place

REDs Establishment Bill

• To legislate the establishment of the REDS and matters connected therewith.

The Bill is a tool through which objectives of the Energy White Paper in terms of EDI Restructuring will be realised

2^ND QUARTER OF 2003

Urgent. To ensure the sustainability of the electricity distribution industry. Also to give impetus to the rollout of social infrastructure through the national electrification programme.

Petroleum Pipelines Bill

• To promote the orderly development of the petroleum pipeline industry
  To establish a national petroleum pipeline regulator as the custodian and enforcer of the national regulatory framework

Bill is part of managed liberalisation off the liquid fuels industry

Cabinet approved for submission to Parliament on 9 October 2002. Currently awaiting certification from State Law Advisors

Urgent. Delay will allow continuation of certain non-market tariff elements.

Petroleum Products Amendment Bill

• To update the current Petroleum Products Act to ensure that it makes provision for the latest developments in the industry

It will enable the process of managed liberalisation. It will also enable collection of data.

Cabinet has approved it for submission to Parliament. State Law Advisor advises that a new Bill be drafted, not an Amendment Bill. Currently under discussion with State Law Advisor.

Urgent. The service station rationalisation plan has expired and industry in a regulatory limbo. Sasol has given notice on "Upliftment Agreement" and Competitions Commission has granted till December 2003.

Energy Bill

• To legal framework for the energy work of the Department
  To promote legal framework for energy sector in the country
  To provide for the promotion and implementation of integrated energy planning and integrated resource planning
  To provide for the utilisation of environmentally sound energy sources, conversion and utilisation to ensure a healthy and safe environment.
  To provide for generic matters connected with the safe, optimum and clean supply, conversion and utilisation of energy

The major components of that policy have been implemented through Acts promulgated and Bills currently in preparation. The remainder of the components of the energy policy are addressed in the draft Energy Bill.

First draft completed 31 July 2002.
Further development delayed by the WSSD activities.
Scheduled to reach Parliament during 2^nd quarter of 2003.

Routine. Bill to implement remainder of the policies of the White Paper of 1998 on Energy Policy that have not been addressed through existing and pending legislation.

Minerals and Petroleum Resources Development Act

• To normalise the mining dispensation in the South African mining industry. To also facilitate the promotion of investment, redress and broad transformation of the minerals and mining industry.

It ensures the transformation of the minerals and mining sectors by ensuring equitable access to mineral resources and redress imbalances of the past

Bill signed into law by President on 4 October 2002. Mining Charter finalised. Awaiting Money Bill which is with National Treasury

Urgent. Failure to finalise the Money Bill would delay full implementation of the MPRD Act

Promotion of Minerals Based Beneficiation Industries and Enterprises (formerly known as the Precious Metals and Diamond) Bill

• To address conflict diamonds issues
  To control of trade in diamonds and precious metals
  To promote benecitiation of precious metals and diamonds
  Access of rough diamonds

As custodian of national resources, Bill will ensure the orderly promotion of beneficiation. This would in turn meet other objectives of social and economic development of rural communities

Bill was delayed by the lack of coherent policy to guide the drafting process.
Should reach Parliament during 3^rd quarter of 2003.

Urgent.

Mining Titles Registration Bill

• To register mining rights granted by State to guarantee security of tenure

Create an environment of certainty for investment

Bill delayed by a need to reprioritise. Officials responsible for this Bill were also involved in the drafting of the MPRD Act.
This Bill is expected to reach Parliament during 1^st quarter of 2003.

Urgent. This is the foundation for the Mineral and Petroleum Resources Development Act in that it would regulate the mining rights regime once the Act is promulgated.