Township economic development must be corruption-proof to succeed
Bill’s implementers and beneficiaries must display ethical conduct for it to succeed
The recent signing into law of the Township Economic Development Bill by Gauteng premier David Makhura is welcome news, but some remain sceptical about this.
South Africans in general have growing levels of mistrust in the government and politicians due to many failed policies.
It is therefore incumbent upon the government of Gauteng to make sure this policy is implemented scandal- and corruption-free to benefit the people it is meant for; the residents.
Many policies brought so much hope but failed, such as the Reconstruction & Development Programme (RDP), Growth, Employment, and Redistribution (Gear), the Accelerated & Shared Growth Initiative for SA (AsgiSA), the New Growth Path (NGP), and the National Development Plan (NDP).
The RDP was introduced as part of the ANC’s election manifesto in 1994. Top of its agenda was to address the inequalities of the past.
It succeeded in the government developing a social welfare system. However, it faced fiscal constraints, could not meet the human capital expertise required to run a state, and could not prioritise the RDP as a socioeconomic policy, failing millions of South Africans and sowing the first seed of mistrust between the citizens and the government.
The government then introduced Gear in 1996 aimed at stimulating faster economic growth.
Though the management of public finances improved, it fell significantly short of meeting social challenges, particularly poverty alleviation and job creation.
In 2005, the government launched AsgiSA with its goals the reduction of poverty by 2010, halving unemployment by 2014, and improving SA’s economic performance and job creation capacity.
Success was visible in the infrastructure programme. Unemployment and poverty became worse.
The NGP emerged in 2010 as a policy that recognised poverty, unemployment, labour issues and inequality. Its primary objective was to speed up economic growth. It was replaced by the National Development Plan in 2012.
After cabinet’s adoption of the NDP as a long-term vision and plan, its focus is on economic growth to address joblessness, poverty, inequality, and redistribution of resources by 2030. The NDP further advocates for a corruption-free society, with strong adherence to ethical conduct. With the recent release of part four of the state capture commission report, the findings expose the severity and deep-rootedness of corruption as well as the total disregard for ethical conduct by some politicians and business leaders. It has now been a decade since the NDP was introduced with little action seen.
Touted as a “gamechanger”, the Township Economic Development Bill aims to help township-based entrepreneurs access government funding to start businesses. The provincial government is also looking at doing business with them and reducing the red tape that often hinders small and micro enterprises’ access to business opportunities with government.
For the bill to succeed it needs to be corruption-proof and for its implementers and beneficiaries to display high ethical conduct. Gauteng should make township businesses thrive by providing infrastructure, education and business support. Municipalities should deliver uninterrupted basic services such as electricity, water, sanitation and waste removal.
Though the intent of the bill is good, it remains to be seen if it will be implemented and, how. The hope is that it will develop township economies for the betterment of society. What is common about all these policies is the drive to address joblessness, poverty, inequality and redistribution of resources. The wish of many is for this new bill not to be counted as another government failure.
Lamola is an independent marketing and communication specialist, an academic contractor at Unisa, and a doctoral student at the University of the Witwatersrand