State firms mooted
THE ANC is pushing for the establishment of more state-owned enterprises covering diverse areas such as publishing, banking, medicines, manufacturing and mining.
NEW COURSE: ANC political school head Tony Yengeni is flanked by spokesman Jackson Mthembu and secretary-general Gwede Mantashe at a political education meeting for the party's NEC members outside Pretoria yesterday. PHOTO: SIBUSISO MSIBI
The state-owned companies will do business directly with the government and most likely compete with the private sector.
In its policy discussion papers the ANC has provided more details about its plans to use Post Bank as state bank and also establish a publishing enterprise and a pharmaceutical company, with the government as a controlling shareholder. A state-owned mining company has been established.
The discussion papers, due for release on Monday, state that the postal infrastructure and Post Bank are needed by government to deliver services to the people.
"As such, ownership of the post office and the Post Bank by government should be linked to efforts to ensure that the two institutions are sustainable."
The party says in its papers that a state bank should not only be defined in terms of ownership, but in terms of the services that are delivered by Post Bank.
"To achieve this the government should introduce policy guidelines to direct opportunities to the Post Bank as a bank of first choice of government and a primary platform for government and citizens' transaction," the paper states.
If implemented, the proposal could see major banks losing the accounts of government entities.
The ANC also wants to establish a state-owned publishing enterprise which will help with production and distribution of books to ensure their availability in all learning places.
The documents raise concerns that methods and practice of acquisition from the private sector plus distribution in government were neither cost-effective nor efficient.
The documents give more details about the plans to establish a pharmaceutical manufacturing plant that will see government producing medicine.
The ANC, however, acknowledges its plans can be sabotaged by a lack of skilled employes in the government.
"Good implementation will require that we build state capacity, establishing high standards of employment in the public service, raise levels of professionalism, discipline and a commitment to serve," the party said.
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ApelMankotsana
Talking of nationalisation in a diplomatic and sugar-coated manner..the fact of the matter is that government will retain ownership...is'nt that nationlaisation.Report Abuse
Tasto
@ApelMankotsana - strue and Juju has spoken its just Gwede wants to steal the limelite expect the Communist to oppose Nationalistion as usual to score brown points!!Report Abuse
BELO
Just more places where the ANC can steal fromThey just don't give up finding ways to STEAL more !!!
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DisEnchanted
@BELO****************************
I agree with you 100%
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Blackstone.lebs
why not get the existing ones functioning on self-sustaining level first before cretaing additional ones? or we just wanna create more "cookie jars"Report Abuse
Fred55
Forgive me if I am wrong but Alexcor (state mining co) is losing money. Post office just had 24 million stolen from it because IT security systems were not secure, Escom is a disaster and so is transnet.Now the ANC wants to open more state owned companies when they can't organise a p1ss up in a brewery!
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Blackstone.lebs
@Fred55: spot on.They seem to be obsessed with the phrase "state owned enterprise" which has only led to "state destroyed enterprises".
Political school lesson 1: How to bankrupt a state legally.
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Patra
Shining on Juju's shine. naf saidReport Abuse
JDMajona
Juju had spoken.. nw they r tryin to steal his ideasReport Abuse
Papage
Go in peace Juju, your cries are heard, you were fired for the right reasons, now they are implementing what you preached, come to my Church and Preach the word of God, Maybe ANC will convert from their sinful behavier.Report Abuse
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