DA's Plan for Growth and Jobs - Democratic Alliance

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Engage Africa as a strategic economic partner and marketExpedite the regional integration processRadically simplify import, export and customs clearance proceduresIncrease infrastructure investment to 10% of GDP with a focus on core economicneedsEliminate corruption and wasteful expenditure by politicians and public officialsCore proposals in this section that aim to facilitate the expansion of South Africa’sinternational trade and direct our resources towards growth-enhancing investments include:(i) dramatically simplifying and reducing the number of documents and procedures requiredto import and export goods; (ii) establishing one-stop border posts at each of South Africa’sinternational land borders to expedite regional trade; (iii) opening additional consulates inhigh growth developing countries and enhancing our strategic trade diplomacy (iii) increasinginfrastructure investment to 10% of GDP; (iv) moderating government wage bill increases;and (v) beginning a process of rationalising the country’s portfolio of state-owned enterprises(SOEs) according to an extensive assessment of their strategic significance and commercialviability. See pages 68 to 78.A sustainable future for allWe have an ethical responsibility to ensure that our country’s economy creates jobs andopportunities not only for the current generation but for generations to come. This requiresthat we take proactive measures to ensure that economic growth is sustainable in the longterm. Two resources are fundamental for future growth: energy and water.Both are already in short supply. Poor planning and low levels of investment, coupled withan inefficient state monopoly, have led to a situation where electricity supply issimultaneously insecure and expensive. Pollution and dilapidated infrastructure threaten ourvital water supplies.Achieving inclusive, job-creating economic growth that is sustainable in the long-termrequires that we develop smarter ways to manage our natural resources by planning for thefuture and learning to live within our means. The DA proposals include:Adopting a transversal approach to environmental management through integratingpermitting and planningSeparating Eskom’s different functions to encourage competition and maximiseefficiencyInvesting in water storage and distribution infrastructure upgrades and expansionImplementing climate change adaptation programmesIntroducing measures to assist entrepreneurs and communities to participate in, andbenefit from, environmental programmesSpecific proposals aimed at ensuring that economic growth is sustainable in the long terminclude policies that will: (i) coordinate the management of environmental resources throughan integrated permitting system and the increased application of environmental managementframeworks (EMFs); (ii) fix and upgrade existing water infrastructure and prevent pollution;(iii) decentralise power production by separating Eskom’s different functions and expediteprocurement from independent power producers; (iv) establish a climate change adaptationgrant scheme for farmers; and (v) establish a National Building Retrofit Fund, which willfacilitate the adoption of energy-saving measures in large buildings. See pages 79 to 84.17 | P a g e
INTRODUCTIONBreaking down barriersSouth Africa’s economy is divided into insiders and outsiders. On the one side are those whohave jobs, homes, and the prospect of rising incomes and a better future. On the other sideare the millions of poor South Africans who continue to be excluded from the economicmainstream.This document sets out the DA’s plan to break down these barriers and create an open andinclusive economy in which each person has the skills, the opportunities, and the resources,to become a productive member of a dynamic, integrated and forward-looking society.At its core is the belief that the country promised to us in 1994 can only be achieved ifeveryone is included. No-one can be left out in the cold, no-one forgotten or left behind.It is a plan to break down the barriers that prevent many people, particularly young, poor andlow-skilled South Africans, from getting a job. It seeks to build an inclusive society whereeveryone has a stake; where having a home or starting a business is not the preserve of thefew, but rather a reality that everyone can look forward to.It will require that we challenge established interests. The monopolies and oligopolies in boththe private and public sectors that keep the cost of living high need to tackled head-on.Vested interests that seek to monopolise access to opportunity for the privileged few at theexpense of the majority – whether in the form of closed business networks, patronagepolitics, or protected employment for members of labour union COSATU and its affiliates –needs to be met with bold and decisive action.The high costs and bureaucratic red tape facing entrepreneurs and small businesses needsto be drastically reduced and the scourge of corruption and poor service delivery needs to beeliminated so that we can begin to build an effective state that works to improve the lives ofSouth Africans.For this plan to succeed we need a healthy, growing economy.No country that has tackled the interrelated challenges of poverty and unemploymentsuccessfully has done so in the absence of strong economic growth. This is because growthcreates wealth, and with more wealth, there is more to share: enough, for all, forever.Breaking down barriers – to job creation, to asset ownership, to a better standard of living -and building a high-growth, stakeholder economy, will be the centrepiece of DA economicpolicy as we move forward to 2014.The challengeThe most fundamental challenge facing South Africa today is that too few people areemployed. According to official statistics, 24% of the economically active population is out ofwork, rising to approximately 35% using the expanded definition of unemployment (whichincludes discouraged job seekers).This means that we have among the highest unemployment rates in the world. The situationis worse still for youth unemployment which registers at over 50%.18 | P a g e
Page 1 and 2: The DA’s Plan for Growth and Jobs
Page 4 and 5: Foreword by Helen Zille, Leader of
Page 6 and 7: Foreword by Wilmot James, Federal C
Page 8 and 9: LIST OF ABBREVIATIONS AND ACRONYMSB
Page 10 and 11: PreambleThe 8% Growth Project is th
Page 12 and 13: EXECUTIVE SUMMARYBreaking down barr
Page 14 and 15: A preferable, more nuanced approach
Page 16 and 17: The DA’s policy proposals in this
Page 20 and 21: This high unemployment underpins wi
Page 22 and 23: operative government’. The separa
Page 24 and 25: South Africa growth in GDP, 2000 to
Page 26 and 27: The situation is exacerbated by pol
Page 28 and 29: elieves that, with our rich mineral
Page 30 and 31: Inefficient resource allocation: Re
Page 32 and 33: credit, while the employees of thes
Page 34 and 35: have the intended effect. In develo
Page 36 and 37: FISCAL AND MONETARY POLICY PRIORITI
Page 38 and 39: Presidency and VIP security have in
Page 40 and 41: OPENING JOB OPPORTUNITIES TO ALLThe
Page 42 and 43: LONG-TERM POLICY PROPOSALSPolicy ou
Page 44 and 45: Policy outcome: Flexibility in labo
Page 46 and 47: an accredited V-TAP Certificate. Th
Page 48 and 49: SA’s global education rankingsInd
Page 50 and 51: BREAKING DOWN BARRIERS TO INCLUSION
Page 52 and 53: shareholders, and any employee alre
Page 54 and 55: SA Sports AcademyEstablish a world-
Page 56 and 57: (b) Specify that the annual financi
Page 58 and 59: Small Business Growth: A Key Driver
Page 60 and 61: Breaking down the barriers that kee
Page 62 and 63: and (ii) registering the Title Deed
Page 64 and 65: E-government in Africa (global rank
Page 66 and 67: Internet users in South Africa and
Page 68 and 69:
Policy outcome: Improved state effi
Page 70 and 71:
In the interests of sustaining stro
Page 72 and 73:
LONG-TERM POLICY PROPOSALSPolicy ou
Page 74 and 75:
Simplify import and export procedur
Page 76 and 77:
Assessment Unit, located in the Pre
Page 78 and 79:
The DA in Government: ‘No Frills
Page 80 and 81:
A SUSTAINABLE FUTURE FOR ALLWe have
Page 82 and 83:
LONG-TERM POLICY PROPOSALSPolicy ou
Page 84 and 85:
MEDIUM-TERM POLICY PROPOSALSPolicy
Page 86 and 87:
CONCLUSIONSouth Africa’s economy
Page 88:
than limit, economic opportunities
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DA's Plan for Growth and Jobs - Democratic Alliance

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