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Zuma neglects ICT

Farzana Rasool
By Farzana Rasool, ITWeb IT in Government Editor.
Johannesburg, 11 Feb 2011

The lack of ICT mention in president Jacob Zuma's state of the nation address last night is “sad”, says an industry commentator.

Zuma's speech highlighted job creation as a main focus for the government, with minister in the Presidency Collins Chabane saying this focus was more broadly on economic transformation.

National chairperson of the Black IT Forum (BITF) Darryl Dennis says previous addresses highlighted ICT as playing a critical role in economic development, but this year this was missing.

Headless industry

“The sad thing is that we don't have ICT mentioned as a tool for economic development. This should be in terms of innovation hubs and research labs similar to what India and Silicon Valley, in the States, have.”

Dennis says the lack of focus on ICT in the speech is not due to ignorance, but a different set of views.

“The ICT focus does exist within government, but the question is which ministry is responsible for it? Who should logically be responsible for ICT? No one, unfortunately, takes overall control over ICT.”

He explains that ICT functions are spread over a few different departments. This includes the ministries of communication, science and technology, and public service and administration.

“An ICT minister should be focused on this issue this year. If nothing else, this would address the objectives of the BITF and other industry bodies in terms of who to engage with. It would help since there is currently no dedicated portfolio that focuses on ICT.”

Special mention

Zuma's minimal mention of ICT projects included the TV migration.

“Jobs will be created in manufacturing, packaging, and installation during this period.”

He also spoke of the country's bid to host the Square Kilometre Array radio telescope.

“The bid has already provided 800 construction job opportunities in the Northern Cape and will create a further 100 jobs this year.

Job focus

“We are concerned that unemployment and poverty persist, despite the economic growth experienced in the past 10 years.”

For this reason, Zuma declared 2011 a year of job creation through meaningful economic transformation and inclusive growth.

The president announced the establishment of a jobs fund of R9 billion over the next three years to finance new job-creation initiatives.

“In addition, the Industrial Development Corporation has set aside R10 billion over the next five years for investment in such economic activities with a high jobs potential.”

Taxless expansion

Zuma also announced R20 billion in tax allowances or tax breaks to promote investments, expansions and upgrades in the sector.

“For a project to qualify, the minimum investment must be R200 million for new projects, and R30 million for expansion and upgrades.

“The programme will provide an allowance of up to R900 million in tax deductible allowances for new investors and R550 million for upgrades and expansions.”

Labour debate

Aside from job creation, the president also stressed policy reforms related to improving the lives of workers.

“Government, with its social partners, is reviewing legislation on labour brokers and the policy framework for the provision of public employment services. This will enable government to maintain a database of job-seekers and job opportunities.”

“Business would have appreciated a clearer commitment by the president on the possible tightening of constraints on the labour market, as this is something that could cast a dark shadow over our future employment prospects,” says Business Unity SA.

It adds that employment-friendly labour legislation is essential to decrease the high level of joblessness that prevails.

ICT expectations

Save for the banning of labour broking, the Congress of South African Trade Unions also had no ICT expectations from the address.

In preparation for the speech, the Democratic Alliance (DA) released 100 ideas that it believes can help to build a better SA.

Labour broking featured on the list of ideas, where the official opposition party called for the labour broking industry to set up a self-regulatory board of labour brokers that would enforce a strict code of conduct, as opposed to a banning of the industry.

The DA also sees the need to create a single, functional e-government Web site that would allow citizens to do things like renew driver's licences online; replace the present system of once-yearly crime statistics releases, with a publicly accessible, real-time crime information system; force certain criminal offenders serving non-custodial sentences to wear electronic monitoring and tracking devices at all times; and build the country's first generation of concentrated solar thermal power plants.

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