Speaker, besides making the Western Cape the national benchmark for good governance, we want to make the Western Cape the place in South Africa to do business. Attracting and retaining our capital and skills is essential for growth, which in turn is essential to create sustainable jobs.
This goal is captured in another of our strategic objectives: maximising economic growth, job creation and sustainability.
Provincial governments, and national governments for that matter, do not grow the economy or create jobs. Businesses do that. But
governments can provide an enabling environment, or a disabling environment, which either encourages or discourages growth.
We intend to do the former.There are limits to what provincial governments can do in this regard. We cannot, for example, change the inflexible labour legislation that severely inhibits job creation.
However, there are a number of innovations we can make which will create the kind of enabling environment that allows businesses, entrepreneurs and job-seekers to succeed.
Agriculture, which brings in 40% of all export revenue and employs 200,000 people, is integral to maximizing economic growth and creating jobs in the province.
We will help shield farmers and farm workers from the negative impact of climate change by investigating ways to mitigate its effects. Over the next five years, we aim to increase agricultural production through research and financial support to farmers and assisting farmers to access domestic and international markets. To encourage more people to take up farming, we will continue to offer training and financial support to students who study agriculture. This sector is of cardinal importance to the welfare of our people...
...We are currently reviewing the regulatory environment and the cost of doing business in the province. Our aim is to cut red tape by 20% in the next five years to encourage more companies to do business in the province. Dr Johann Rupert, at his inauguration as chancellor of Stellenbosch University last night, spoke about his experience of
being able to set up a company in less than 3 weeks in some parts of the world. Those are the places we must learn to compete with if we want to attract investment. ..
...Speaker another area where we face severe financial and other constraints is housing. As part of our strategic objective plan to develop integrated human settlements we are looking at a number of innovative ways to provide more people with access to shelter and basic services than ever before.
There are number of constraints to housing delivery in the province. I will list them briefly. One is that demand drastically outstrips supply. The current backlog of 500,000 households is growing year-on-year due to in-migration and barriers to delivery.
Another is that onerous planning legislation is hampering delivery to the point of paralysis in some cases.
We are also constrained by a lack of funding for housing from the national government and a scarcity of well-located housing land in the province.
If we carry on like this, the housing backlog will double in the next thirty years.Since we have been in office, we have cultivated good relations with the City of Cape Town and the national Department of Housing - the lack of which have compromised delivery in the past.
All three spheres of government are working together to re-conceptualise the next phase of the N2 Gateway in a way that avoids the previous policy mistakes we in the City of Cape Town warned about. This co-operation cannot happen if the national government cuts off funding for the project, and seeks to pass on the cost to the ratepayers of the City.
We are also working with the City and the national Housing Development Agency (HDA) on an integrated plan to develop Joe Slovo phase 2 which will not require mass evictions, despite the court order that was obtained for this purpose by the previous government.
But this improvement in intergovernmental relations will only take us so far. The truth is that the current main mode of housing delivery simply cannot address the current and future need for housing in the
province.
Speaker, as I said at the beginning of my address, we believe in expanding opportunities to as many people as possible and allowing them to take responsibility for maximising those opportunities.
This shapes our approach to housing just as it does every other policy area. When resources are as scarce as ours are, it is fairer to do something for many rather than a lot for very few. The latter approach encourages abuse and corruption and leaves most people with nothing.
We will therefore increase our focus on the provision of serviced sites.
We are introducing a municipal database support programme to ensure that accurate data is captured onto the national Housing Subsidy System for verification. This will enable us to develop a standardised, transparent and fair selection process of beneficiaries to be applied across the province.
As I mentioned earlier, besides the financial constraints on housing delivery, there is a scarcity of well-located land for housing. New housing developments tend to be built away from economic opportunities and social amenities, reinforcing the impact of apartheid-era spatial planning.
To tackle this, we are lobbying national departments and state owned enterprises to make land available for human settlement development in our province. We are also developing clear guidelines which set out the minimum densities for low-cost and GAP housing projects.
Speaker, we simply have to build upwards if we are to prevent more urban sprawl and bring people closer to economic opportunities.
By 2014, we aim to triple the average density of housing projects on well-located land to 90 units per hectare. This is also crucial to secure the viability of public transport systems.
There are a number of other components to our strategic plan for housing, which I will leave for the Minister to announce in his budget vote.
I will say one thing about the onerous red tape and planning legislation that can stall housing projects for years. Many of the regulations, such as the Environmental (and other) Impact Assessments, fall under national legislation which is why I have presented them as part of a package to President Zuma requesting their review.
Others, such as the Land Use Planning Ordinance, are provincial laws. We are currently in the process of reviewing all provincial spatial planning legislation with the aim of consolidating all of it into one Act that simplifies and clarifies roles and responsibilities regarding land use planning.
We are also seriously exploring the viability of alternative building materials and methods for house construction. Some of these alternatives are much cheaper than conventional brick and mortar to build and maintain. They are also more environmentally sustainable. (Click this statement to see more)
By 2014, we aim to increase the percentage of units built using energy-efficient methods and materials, from 10% to 40%.
This brings me to another of our ten strategic objectives: optimising resource efficiency and sustainability.
We know that if we are to compete globally, we need to make more efficient use of our resources.
As more and more people migrate to the Western Cape, so our carbon footprint increases. Currently, 95% of the energy generated in the province is generated by burning fossil fuels. If we do nothing, greenhouse gas emissions will increase by 20% in the next decade.
We cannot go on like this. We have to take proactive steps to improve the quality of the air we breathe.
I have already mentioned our commitment to green low cost housing programmes. This will form part of a broader renewable energy programme including the harnessing of wind and solar power as well as generating energy from alternative sources such as sewerage sludge, biogas and agricultural waste.
Climate change and in-migration to the province mean that there is less water for more people. So, as part of our commitment to resource sustainability, we are making water management a special focus area.
We are currently in the development phase of a provincial integrated water resource management plan which will improve catchment management and make the province more water efficient through the recycling and reuse of wastewater.
Speaker, all of the policy programmes and interventions I have mentioned today contribute to the final strategic objective of poverty reduction and alleviation.
This is our single biggest challenge and underpins all we do. Let me summarise our approach.
To alleviate poverty in the short term:We must provide as many people as we can with basic services, access to clean water, sanitation and electricity. We must find a range of ways to deliver sustainable housing opportunities.
We must encourage entrepreneurship and self-sustainable income-generating projects that give people the opportunity to break the cycle of dependency on the state.
We must increase access to quality healthcare and antiretroviral medication.
We must ensure that the funds directed to our social partners are used to improve people's lives.
To reduce poverty in the long term: