SPEECH OF HONOURABLE DEPUTY MINISTER RADHAKRISHNA "ROY" PADAYACHIE IN SUPPORT OF THE DEPARTMENT OF COMMUNICATIONS’ BUDGET VOTE

Presented to the Extended Public Committee Debate : Budget Vote 27

21 JUNE 2004

 

ICT’s an Empowerment Tool for Transformation in the New Millenium

The Principles and Framework for the Implementation Programme for the Department of Communication

In support of its Budget Vote for the period 2004-2009

 

Introduction

Madam Speaker, Honourable Minister, Colleagues in the Executive, Deputy Ministers, Members of the Portfolio Committee, Honourable Members of

Parliament and Distinguished Guests:

  1. The Strategy and Tactics Document of the ANC (1997), the party that leads Government says that "the central aim of transformation is to improve the conditions of the people, especially the poor."
  2. Poverty is cited as the single greatest burden of South Africa’s people. Attacking poverty and deprivation is therefore the first priority of the democratic Government.

  3. The strategy, as outlined in the Reconstruction and Development Policy Framework Document and which informs our approach in Government rests on four pillars:

At its core the RDP is driven by the principle concerns of meeting basic needs, democratizing the state and society, developing human resources and building and deracializing the economy.

  1. Attacking poverty, therefore and bridging the gap between all South Africans in the two economies, lies at the heart and centre of all of Government’s policies and programmes. Our overriding strategic goal is to ensure that we create a better life for all that will enable people to lead a dignified and fulfilling culturally creative existence that will make us all "Proudly South African."
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    The Call for Speedy Delivery:

  3. Arising from this all sectors of Government are challenged to develop policy and implement programmes that will give appropriate application to this vision. As the Minister has outlined the President in his State of the Nation address has issued a clarion call for all levels of Government to fast track implementation and the delivery of services under its command.
  4. The Minister has also informed you that in preparation for this execution the Department of Communications has undergone a major re-engineering exercise and has come out with a strategic implementation plan that has redefined its mandate, revamped its structures and re-organized its working processes identifying its key performance areas and outputs in a determined push to guarantee accelerated delivery for this sector.
  5. The Strategic Planning Workshop took its lead from various strategic directives as contained in the President’s State of the Nation address, the Cabinet Legotla and the overwhelming electoral mandate given, to redefine the mandate of the DOC
  6. as

    "To create a favorable ICT environment that ensures that South Africa has the capacity to advance its socio economic development goals, to support the renewal of Africa and to create a better world."

  7. In line with this mandate the Workshop revised the vision and mission statements of the DoC as follows:

Vision: "A Global Leader in harnessing Information and

Communication Technologies for Socio-Economic Development".

Mission: "To enhance the well being of the peoples of South Africa,

The African continent and the world through the creation of

sustainable and enabling information and communications

technology environment.

We shall through leveraging our world class knowledge, skills and

experience, deliver on our social contract to the people in a

professional manner reflective of our national value system

informed by the Batho Pele ethos."

8. In addition to this a values framework that embraces the principles of respect, fairness, honesty, discipline, accountability, trust, integrity, excellence, transparency and loyalty have been defined for the team.

  1. The Minister further outlined the programme for the current period covering the International arena and activities domestically in the Telecommunications, Broadcasting and Postal Services arenas. It is clear from her outline that the work for the present fiscal year builds on the foundation and successes of the past 10 years and the lessons learnt from those experiences thereby building a focus of further progression in the sector.
  2. The framework for the programme clearly establishes our focus on ICT Strategies to stimulate economic growth and the role ICT’s can play in supporting poverty alleviation.

In this respect the DOC has accepted its responsibility to have its eyes focused on ways it could through policy and implementation stimulate growth and create jobs and facilitate development and social progress in both the first and second economies.

Our strategic thrusts in our programme therefore relate to:

The Context of Globalization

  1. Our redefined Vision and Mission statements impose on us the responsibility to grasp the importance and role played by ICT’s in the world given the context of the globalization. In a chapter dealing with Globalization: Its nature and impact, The World Commission on the Social Dimension of Globilization, in its report entitled ‘A Fair Globalization: Creating Opportunities for All’ states that
  2. "It is widely accepted that the key characteristic of globalization has been the liberalization of international trade, the expansion of Foreign Direct Investment (FDI) and the emergence of massive cross border financial flows, resulting in increased competition in global markets. It is widely acknowledged that this has come about through the combined effect of two underlying factors: policy decisions to reduce national barriers to international economic transactions and the impact of new technology, especially in the sphere on information and communications."

    ICT’s have reduced the natural barriers of time and space. The cost of moving information, people, goods and capital across the globe has fallen dramatically making global communications cheaper and instantaneous. This has expanded economic transactions across the world. Markets are now global in scope and embrace an expanding range of goods and services, expanding world trade phenomenally.

  3. The report states that the most dramatic element of globalization over the past two decades has been the rapid integration of financial markets. "The world monetary system underwent three revolutions all at once: deregulation, internationalization and innovation. Financial liberalization created the environment for expanded capital mobility. But the increase in capital flows was greatly boosted by the revolution in ICT. This made possible the improved and speedier knowledge of foreign markets and the development of "round the world and round the clock" financial transactions.
  4. The source of this technological revolution was the industrialized countries. This technology made knowledge an important factor of production and the knowledge intensive and hi-tech industries the fastest growing sectors of the global economy.
  5. Making it necessary for countries wanting to be economically successful to enter and compete in these sectors. ICT therefore have played an enormous role in the reorganization of transnational trade and the movement of FDI capital.

  6. Given this important global context the DoC is very conscious of the responsibility it carries to ensure that South Africa remains abreast of the latest developments and thinking in the ICT sector. The DoC has the responsibility to keep at the leading edge of the new wave of technological advancement in the sector.
  7. We are also conscious that as we leapfrog into the future we will do so as part of the greater objective of the African Renaissance.We will contribute our fair share to the establishment of an enabling environment for collaboration and co-operation in harnessing ICT’s for Africa’s development.

    Towards ICT Policies that are Pro-Poor and Pro-Women:

  8. At a recent workshop of International experts in ICT held at the Harvard Forum

Dialogue on ICT’s and Poverty, at Harvard University in Cambridge,

Massachusetts to discuss the connection between the diffusion of ICT technologies and poverty reduction and to consider ways in which ICT policies, management and investments can be more effective in reducing poverty, defined priority areas for action and research that would increase the contribution of ICT’s to poverty reduction. All participants were agreed that given the present context of globalization, ICT’s have both contributed to increasing poverty on the globe yet at the same time offer an amazing opportunity to make an even more effective contribution to its reduction.

Participants were unanimous that ICT Policies that are Pro –Poor must focus on:

people.

accelerate the development of ICT content for the poor

In a comment at the workshop, Mohammed Yunus, a Bangladesh banker and President of the Grameen Bank, who is world renowned for its pro poor banking policies, having loaned up to 500 million dollars to the poor who are in the main (95%) women made the comment:

"the quickest way to get out of poverty right now is to have one mobile telephone"

 

He went on to say that these were social entrepreneurs that never had a telephone in their life. There were now 30 000 telephone ladies providing the service to households that do not have a fixed line telephone service.

In a paper entitled "Telecommunications Policy and Regulation for Women and Development" Alison Gillwald from the Link Centre at the University of Witwatersrand makes the point that rural women in South Africa are the worst affected by poverty. Any strategy that provides universal service on the grounds of the right to information and seeks to harness the potential for social development, must target this most marginalized group.

The challenge we therefore have to accept is to define a policy and implementation framework that bears all of this in mind.

In so doing the following propositions are fundamental to our implementation programme and justifies our expenditure spend in the proposed budget:

1. Fostering and Broadening Economic Growth in the sector

2. Stimulating Economic Competition: Managed Liberalization

3. Widening Access: Closing the Digital Divide

4. Convergence: Gearing for the New Wave

5. Digitization and Digital Migration: Modernisation of the Communications Infrastructure

6. Democratization, Transformation and Reconstruction

Delivering a possibility of Choice

Many Cultures but One Nation: We are one

Social Cohesion: Elements of a Winning Nation

Indigenous Cultural Expression: Putting the New Nation on a Firm

Foundation

Reservoir of Support

Development of a People’s Based Service Network

7. Driving Down the Costs of Services and Doing Business in South Africa

8. Value Engineering: Enhancing Shareholder Equity Value

9. Empowerment: Broadening the Base of Economic Participation

10. Leading an African Vision amongst the Global Best

Framework of Principles Guiding our Implementation:

The following principles will guide the Department in our approach to implementation of

the programme:

1. Sustaining Mass Participation and Contact

2. Guaranteeing Service Delivery and Efficiency

3. Exercising Political Oversight and Accountability to the People

    1. Facilitating a Collaborative Partnership with Stakeholders

5. Spreading Risk: Reducing the Burden on the Fiscus:PPP Financing modeling

    1. Listening to the Plurality of Voices in our Society
    2. Creating Greater Consensus: Implementing a Vision of a Caring and sharing society

Concluding Remarks:

Madam Speaker and Honorable Members of the House the Department is fully cognizant of the enormous responsibility it carries in ensuring that we secure the benefits and advantages of the first world economy and harness this to transform the disadvantage and address the 3rd World inequalities that characterize the second economy.

There can be no doubt that what is needed is a social partnership between the privileged and the poor for the building of a caring and sharing society.

We have to put technology at the centre of a people driven and development centered process if we are to succeed.

The cry of our people is for us to translate 10 years of Freedom into Bread ,Water, Electricity, Houses and Jobs with sustainable and dignified livelihoods.

ICT’s have a very important enabler role to play in this process.

We give our assurance that we will not be distracted from such a commitment nor flinch from our duty.

I thank you.

 

Radhakrishna " Roy" Padayachie

Deputy Minister Communications

21 June 2004