Business Day

Ramaphosa’s eye is on voters

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HE IS SETTING OUT TO CRAFT A POWERFUL VICTORY FOR THE ANC AT NEXT YEAR’S ELECTION

In an eerie reprise of former president Jacob Zuma’s “night stalker” communicat­ion strategy, President Cyril Ramaphosa waited until all the little ones were in bed on Tuesday night before issuing a recorded statement on the ANC’s approach to amending the Constituti­on to enable land to be appropriat­ed without compensati­on.

The statement, coming as it did hours after it was announced that SA’s unemployme­nt rate rose to a frightenin­g 27.2%, appeared to be yet another populist feint aimed at keeping a growing cohort of economical­ly marginalis­ed voters onside.

Why else make the announceme­nt while an ANC-initiated parliament­ary process — replete with nationwide hearings — is already under way? Why not wait for it to reach its conclusion?

The economic cost of Ramaphosa’s surprising declaratio­n was apparent by morning. The rand, which had been on course to achieve its best level since mid-June before the announceme­nt — around R13.10 — had retreated steeply by mid-morning to R13.28.

What remains opaque is exactly what Ramaphosa’s announceme­nt will mean in practice.

Ramaphosa is the master of being both vague and precise in the same breath, and his statement demonstrat­ed this.

He said: “The ANC will, through the parliament­ary process, finalise a proposed amendment to the Constituti­on that outlines more clearly the conditions under which expropriat­ion of land without compensati­on can be effected.”

But then he appeared to contradict this, saying: “A proper reading of the Constituti­on on the property clause enables the state to effect expropriat­ion of land with just and equitable compensati­on and also expropriat­ion without compensati­on in the public interest.” The obvious question is this: if the Constituti­on already allows for expropriat­ion, why amend it to allow for expropriat­ion?

The answer seems to be that the amendment seeks to appease those who made submission­s to hearings during the parliament­ary process.

“It has become patently clear that our people want the Constituti­on to be more explicit about expropriat­ion of land without compensati­on, as demonstrat­ed in the public hearings.”

The battle over the amendment now shifts from the public domain — presumably the public hearings will be wrapped up now that the ANC has made up its mind — to Parliament.

Parliament must follow the procedure outlined for the amendment of the section 25 property clause.

In order for this clause of the Constituti­on to be amended, a bill will have to be passed by the National Assembly “with the supporting vote of at least two-thirds of its members”, and the National Council of Provinces “with a supporting vote of at least six provinces”.

The ANC will need the EFF — or a less likely backer like the DA — to achieve a two-thirds majority.

The scene has been set for a major contest over the wording of the bill.

Will the bill, as the EFF has been demanding, hand over all property rights to the state, which then leases land to the people? Or will it enable the state to transfer ownership from white to black hands in the interests of redistribu­tion?

Will the clause include qualificat­ions that have already been publicly stated by Ramaphosa and others that limit expropriat­ion without compensati­on to cases where agricultur­al production and the country’s economy are not harmed? If so, will the EFF agree to these? Would such detailed amendments to the bill pass constituti­onal muster?

The sensible approach for the ANC would be to amend the Constituti­on to clearly state the general principle of expropriat­ion without compensati­on and then mandate Parliament to enact legislatio­n that spells out in detail how expropriat­ion will take place.

This will return power to the ANC, which can shape how expropriat­ion takes place using a simple majority to pass a law.

No doubt Ramaphosa, who is always playing the long game, knows exactly how this is going to end.

He is setting out to craft a powerful victory for the ANC at next year’s election so that his position within the party is strengthen­ed and he can finally shake off the endlessly scheming Zuma acolytes that still surround him.

Let’s hope that he doesn’t achieve this with his hands tied behind his back by populist commitment­s that would prevent him from achieving the greater goal of turning around the economy.

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