1. Madam Speaker, I am thankful to all the institutional prerogatives that have placed me on this pedestal which today enables me to respond to some responses made by Honourable Members to His Excellency’s State of the Nation Address on 5th November, 2012. Given that in 15 days, some 53 Honourable Members have made their contributions to His Excellency’s Address; and given that my Colleagues Honourable Ministers have specifically responded to issues within their portfolio responsibilities I shall be poignantly selective in my response to the extent possible.
2. I take this opportunity, like many before me, to welcome and congratulate Honourable Bolele Bernard Bolele, Member of Parliament for Mahalapye West. On 3rd November, 2012 the people of Mahalapye West quietly said, “there is still no alternative”. We need the likes of Honourable Bolele in the BDP fold in order to mould a team to which the mantle of power must be handed; whilst others are busy in terms of our democratic dispensation, busy “in waiting” and busy manufacturing umbrellas.
3. The State of the Nation Address is, in my view an annual update of and on progress and challenges duly chosen for a purpose. The address is not a book on all important national issues. To exclude any issues doesn’t mean such issues are ignored. In any case, in the given time, there is finite material to be handled.
4. The State of the Nation Address by His Excellency, President Lieutenant General Seretse Khama Ian Khama reflects and epitomizes a dynamic and strategic array of policies, programmes and projects woven together to improve the lives of Batswana at all levels. His tenacity of purpose is impeccable and unwavering. The tenor and pitch of His Excellency’s message are captured in his own words and I quote, “to …inform the nation on where we are in our journey to continuously improve the lives of Batswana… yet in measuring our path, we are aware that even though we have come far we still have farther to go“ unquote. Whatever shape or form the Address were to take there are, inevitably and ostensibly, those who will pre-judge it as “sterile” even before it is drafted in order to accommodate their own wishful thinking and prophecy of doom. This attitude is nothing new. Similarly the President’s consultative and interactive Kgotla meetings are rubbished in derogatory terms as “go ora molelo” because such meetings get too close to the people; and that particularly pains to the marrow many of our political opponents.
5. Many have hailed the address as comprehensive, dynamic, down-to-earth, focused… balanced … robust! We of the BDP second that sentiment.
6. On the 22nd November 28, 2012 the representatives of the people of the North East District Council not only praised His Excellency as an “icon” but equally embraced poverty eradication programmes and alternative packages, agricultural initiatives, Ipelegeng and others as indicating the hallmark of a transformative leader in His Excellency.
7. The former Honourable Leader of the Opposition, LOO for short, has reacted to the Speech with cynicism, pessimism, sarcasm, innuendo that verges on vulgarity. He saw nothing good. Heard nothing good. He rubbishes the Speech as sterile. Under Botswana’s democratic dispensation it was former Leader of the Opposition’s opportunity to display the sterility of his own drama in responding to the Speech.
8. Granted, short of a mind contorted by prejudice otherwise no one could have missed the many announcements which also denoted a sense of direction which Hon. Saleshando claims the speech lacked. The only announcement he sarcastically acknowledges is the renaming of the ministry of the Ministry of Local Government and Rural Development. The speech is full of announcements which also give direction. A sample: The empowerment of Remote Area communities through 10 year Affirmative Action Framework to promote equity and inclusiveness; exploration of additional affirmative action measures to mainstream People Living with Disabilities; Back-to-School initiative to retool beneficiaries in order to increase their chances of employment, e.g. Brigades, CITF, Technical Colleges, BCA, the over P1 billion Tshele hill oil tank form project for strategic petroleum products of 60 days storage, the strategic oil routes, i.e. West and North West from Namibia 8%, Northern Botswana 35% from Mozambique/Zimbabwe, the South 57% from RSA, the P115 million Ghanzi depot to service Hana Mining and Discovery Metals Copper/Silver projects, and the North West ratification of the Zamcom Agreement which enables the drawing of 495 million cubic metres of water for the Panda Agro Commercial project for serious irrigation and planned connection to the North South Carrier, Thune and Lotsane dams for serious irrigation of 600 hactares, potential sanitation projects for the rural areas, water recycling for towns, major centres and clusters of villages and support for backyard gardens and livestock, Adopt a School initiative, migration of diamond sales from London to Gaborone by December 2013, establishment of Coal Development Unit, establishment of Mineral Investment Company, Okavango Diamond Trading Company, Botswana Oil Company; advanced plans to develop coal fired power stations of 600 MW capacity before the end of the decade; completed dams and connecting pipelines started. On health issues of national concern - response to incidence of cervical cancer in collaboration with the US Centre for Disease Control and the University of Pennsylvania; HIV/AIDS initiative to increase the CD4 threshold therapy from 250 to 350; Seven post graduate programmes in medical studies e.g. Internal Medicine, Pathology, Paediatrics, Anaesthesia and Critical Care etc; this will be supported by a new teaching hospital being constructed at P1.3 billion to be ready by 2014. The then Leader of the Opposition is so arrogantly dismissive and says the speech is sterile. He has paid a price. The Umbrella has dismissed him. He has changed seats. O ineeletse!
9. I wish to start with the topical issue of poverty eradication, especially Backyard Gardens and alternative packages. Many in the opposition benches deliberately distort the programme and others rubbish it as an ill conceived idea that cannot deliver anyone from poverty. Many BDP colleagues have articulated the basic aim of the programme and the target groups. I shall therefore mainly confine my remarks to the reasons why the opposition is uneasy and uncomfortable. They are aware that both Backyard Garden and Ipelegeng programmes are widely accepted and appreciated throughout the country. Our goal is to eradicate abject poverty as quickly as possible and then shift focus to the other categories. The Poverty Eradication Programme is premised on the need to ensure that the minimum conditions of dignity for every citizen are met. There are currently 23 packages which have been developed that the beneficiaries can choose from and more will be developed through time. A package is being developed for those who would be building houses for destitute people using the Kgalagadi Sand Brick, an innovation of Botswana Technology Centre. The first house of its kind will be constructed in Struizendam, and brick making for the project has started. We are confident that the cost of building such houses will be drastically reduced by using the Kgalagadi Sand Brick, as its major ingredient, Kgalagadi sand, is abundant in the country. Approximately 8 000 backyard gardens will be rolled out by the end of this financial year. To date 862 backyard gardens projects have been completed, 431 are under construction. Efforts are under way to fast track rollout of the remaining projects by removing the following primary impediments:
a. Nineteen 10-tonne trucks have been made available to fast track delivery of materials;
b. Handymen will be increased from 264 to 1000 within four weeks to improve output; and
c. Training of extension service staff will be undertaken to improve operational processes and efficiencies.
Overall, rollout is ongoing for 4 653 beneficiaries under alternative packages of the Poverty Eradication Programme. Efforts are underway to fast track the rollout and implementation of the projects by addressing procurement processes bottlenecks. By end of this financial year there will be 80 hectares of land in backyard gardens under shade netting and drip irrigation, but more importantly, owned, managed by the erstwhile poor people all over Botswana. The opposition benches are uncomfortable because the programmes are down-to-earth and address the lives of the people directly. All villages and settlements – to the remotest of the remote. The impact is visible and the people themselves so testify. And poverty eradication is not only about Backyard Gardens. There are numerous alternative packages like bakeries, beekeeping, livestock, hair salons, rent a tent. One beneficiary at Sehunou with whom I had a conversation recently boasted that she now had 13 small stock of her own after herding someone else’s livestock for 14 years. 12 goats le phoko. Phoko as in male goat. Not pork as in bacon and eggs. Kana some of our opponents’ background is confined to Gaborone.
10. The moral behind this lady’s circumstance goes far beyond 13 goats. Her self-worth has changed. Her mindset has changed. She now has her own assets. Her fellow villagers of Sehunou now regard her differently. Those who looked down upon her have now changed their attitude. Those of her fellow villagers who are possessed of positive envy will want to do better than her – meaning their mindset is changing or has changed. Their attitude is changing, and so will be their mindset. I earlier on talked about transformative leadership. I earlier on talked about Domkrag. I earlier on said Batswana say that there is still no alternative.
11. It will be apparent that Domkrag’s practical and philosophical approach to poverty eradication is strategic. Strategic in many ways. Strategic in that it appreciates the various levels or strata of society. It appreciates backgrounds. The strategy appreciates environmental variations. For example the Sehunou lady appreciates 13 goats. She wouldn’t appreciate a kiosk, a rent-a-tent or home catering or the Youth in Construction programme that sets aside 15% for maintenance work whose allocation Hon. Swartz has already reported on as P20 million this year; with an accumulation of P69 million since inception in 2009.
12. The implications of this strategic approach on poverty eradication are far reaching. Far reaching on training and skills transfer. Far reaching on income inequalities, disparity and asset distribution and therefore ultimately a bearing on the line of perfect fit envisaged by the Gini-coeficient proposition the aim of which is to measure inequalities. Such measurements were done in 1985/86, 1993/94 and 2002/03. The Government’s multi-pronged initiatives and targeting of various levels of society is informed by these measures.
13. But the Opposition ranks attitude is part of their history. During the Botswana University Campus Appeal, BUCA for short, the BNF said Batswana were too poor to contribute. Batswana contributed cattle, goats, chickens, chicken eggs, money, labour etc. Domkrag forged ahead with Batswana and built the University of Botswana which sprawls in physical expansion and student numbers. Some of the former students are now members of this House into which they forcibly broke in 1994 under the BNF/BCP ticket.
14. The BNF and its offshoot BCP history is documented including the wonton destruction of Palapye Community Hall. They rejected the ARV diritibatsi approach to HIV/AIDS because they said the solution for HIV/AIDS was a good nutrition which they said the people couldn’t afford because Domkrag had failed to develop Agriculture. Now when Domkrag introduces Backyard Gardens as a food provision and poverty eradication measure the programme is rubbished as ill-conceived, populist, sterile approach and a waste of public funds that wont graduate anyone from poverty. It was, however, heartening to hear Hon. Philip Khwae of Kgalagadi North, expressing the view, or was it under the pressure of Phuduhudu workshop. Honorouble Khwae expressed the view that poverty eradication programmes were serious national interventions which should not be lowered to the partisan political game of marbles. I also wish to commend the Mayor of Gaborone, Councillor Haskins Nkaigwa, for his recent very positive and embracive remarks regarding Backyard Gardens and alternative packages.
15. Poverty eradication has alternative and complementary packages. The Remote Area Development Programme aims at sustainable social and economic development of remote area communities. The assistance packages to the qualifying members of the remote area communities include allocation of 5 cattle or 15 goats per family, income generating activities like bakeries, tanneries, etc, community projects like multi-purpose cooperative shops, sewing, cattle ranches to name but a few. Other Government assistance programmes, for example, LIMID, ISPAAD, backyard gardens and alternative packages are available.
Some of the success stories of the programme:
• In Kgalagadi District a beneficiary who was given 5 heifers in 2004 grew his herd to 37 cattle. He sold some to pay for driving school lessons, now has a driver’s licence and intends to establish a driving school at his settlement. He has also bought a Toyota Corolla car which he will use for the intended driving school.
• In Ghanzi District a beneficiary who is visually impaired was allocated 5 heifers in 2005 and grew the number to 24 cattle and managed to build a two bedroomed house, connected water to his yard and bought a donkey cart. He is currently moulding bricks and supplying the Ghanzi District Council with bricks for the construction of some projects in East Hanahai.
• In Ghanzi District a beneficiary was assisted to establish a carpentry project and makes coffins, wardrobes and sideboards. He supplies the community and the District Council for destitute person’s burials.
• Another beneficiary in Kgalagadi District was given 5 heifers in 2004; grew his herd to 80 and sold some to build a four bed-roomed and 2½ roomed houses. He is also planning to pay bogadi and get married to his long time friend. This is graduation from poverty under the Domkrag banner. Our detractors say our poverty eradication programmes merely entrap Batswana in poverty. Batswana say there is still no alternative to Domkrag. Many stories of success can be cited throughout this Republic.
16. HOUSING ALLOCATION FOR REMOTE AREA SETTLEMENTS DURING 2012/13. The Remote Area Settlements have been allocated 222 houses during this financial year and are distributed as follows; Central District 73, Gantsi District 40, North West District 31, Kgalagadi District 30, Kweneng District 28, Southern District 18 and Kgatleng District 2.
17. Somehow the President’s Housing Appeal is also a source of goose pimples for the opposition benches especially the immediate former Leader of the Opposition. His Excellency the President is not just calling a few business people to donate housing to some poor individual in society. The call is to everyone. All those who have positively responded to the call deserve national thanks. Many have responded. Ntlo ya Dikgosi, individual Batswana and residents, Churches and church groups, public officers in various Ministries through community service, various companies in the corporate world and some have been doing this even before the President’s Housing Appeal. I was recently invited by students of Moeng College who have built a house for a poor person in Ratholo village. The President’s Housing Appeal is in line with Vision 2016’s clarion call for a Caring and Compassionate Nation. Hon. Dumelang Saleshando disagrees violently and says, quote, “the trend … of calling a few business people to donate housing to some poor individuals … is unsustainable and dangerously populist and haphazard approach to a complex problem of poverty” unquote. This is exactly what was also said in the early 70s when Domkrag made an Appeal to build the University of Botswana through the spirit of Boipelego. I have said that to the Opposition ranks any act by Domkrag which closely assists Batswana and touches the improvement of their lives must be detested because it is likely to delay further and keep in the cold room the aspirations of the so called “Government in waiting”, waiting for “regime change”. This is the nub. That is the rub.
18. I suppose in the same vein Domkrag’s cooperation with Merc and Bill and Melinda Gates to fight HIV/AIDS, and cooperation with some international private organisations, including the University of Pennsylvania to fight cancer, will be viewed by Hon. Saleshando as dangerously populist.
19. I now wish to address the issues of inequality, unemployment, an inclusive economy that is growing sustainably; and a plan on important development issues; and the effects of economic recession and Domkrag’s mitigation measures.
Effects of the Economic Recession
20. The world economic recession affected the Botswana economy through its negative impact in the mineral sector. Botswana’s exports are heavily concentrated on minerals, particularly diamonds, this sector was the worst affected, posing serious challenges to development initiatives. In real terms, growth in the mining sector decreased by 10.1 % in the fourth quarter of 2008, and further decreased by 68.6 % in the first quarter of 2009. The mining sector was also characterised by output/production cuts, staff retrenchment and lengthy plant shutdowns. For example, Letlhakane and Orapa No.1 mines were closed till April 2009, and the Damtshaa mine remained closed for the rest of 2009. To the Honourable former Opposition Leader, this stark reality he dismisses as a “scapegoat” for failure.
21. Loss of jobs in this sector means loss of household income or purchasing power and limited economic activity. About 1856 people were retrenched from different industries, during the same period. Such retrenchments that occurred in various sectors of the economy, will have contributed to loss of income. Data shows that poverty rates have been declining for the past 16 years. The recent Botswana Core Welfare Indicator Survey noted a decline in the proportion of the population living below poverty datum line from 47% in 1994 to 30.6 in 2003 and further to 20.7% in 2009. The decline can largely be credited to intensified government efforts to eradicate extreme poverty and hunger through a number of prioritised initiatives and social protection schemes, regardless of the economic slowdown. Therefore, our mineral revenue continued to have a direct and intense impact on the lives of Batswana.
22. But the challenges are being met head-on by Government e.g. Ministry of Trade and Industry.
1. Creation of Sustainable Industries and Entrepreneurship Development
• 1 676 business start-ups between 2010/2011 and 2012/13 with a survival rate of over 70%.
• SMME continue to be trained on business management.
2. Employment Creation
• A total of 13 271 jobs created between 2010/2011 and September 2012.
3. Export Development and Investment
• Export earning between 2010/11 and 2012/13 stand at P2.166 billion.
• Investment (FDI, expansions and domestic) for the period is P6.196 billion.
4. Economic Diversification Drive
• EDD purchases increased from P590.3 million in 2010/11 to P1.3 billion last year, while purchases for 2012/13 stand at P945.1 million.
• Leather Sector Development Strategy was approved in September and those for Dairy Sector as well as Textiles and Apparel/Clothing will be finalized by end of this year.
• Outward (offshore) Investment has been approved as another initiative under EDD and will be led by BDC.
5. Doing Business Environment
• Botswana has not done well in doing business and competitiveness rankings hence Government has put a number of interventions in place.
• National Doing Business
• Committee (comprises Government Officials Private Sector Representatives) set up in 2011.
• Cabinet Sub-Committee of Ministers established in 2012.
23. Global Competitiveness Report Summary
• The 20-2013 Global Competitiveness Report was launched on the 5th September 2012 and shows that Botswana has improved its competitiveness ranking from position 80 to 79 out of 144 countries.
• The improved ranking is mainly on account of our strength on the Institutions Pillar where we are ranked 33 as compared to 77 in the last report.
• The country is also competitive on Goods Market efficiency (78) and labour market efficiency (60) pillars.
• The top four (4) problematic factors for doing business are: poor work ethic in the national labour force; access to finance; inadequately educated workforce; and inefficient government bureaucracy.
• It is against this background that the Botswana National Productivity Centre organized a Competitiveness Pitso on the 24th September 2012.
• During the Pitso, the Ministry provided an update on ease of doing business and competitiveness reforms.
• Action items emanating from the Pitso will be followed up through the National Doing Business Committee.
24. Youth Empowerment Initiatives - Since the programme started in 2009 till 2012 maintenance tenders worth P69, 139, 880.00 have been awarded countrywide to 146 youth-owned contractors. This is a cumulative amount from 2009-2012.
• 2009-2010 26 youth companies engaged in maintenance worth P27 728 464.51
• 2010-2011 18 youth companies engaged in maintenance worth P2 339 166.33
• 2011-2012 42 youth companies engaged in maintenance worth P18 757 767.40
• 2012-2013 32 youth companies so far engaged in maintenance worth P20 314 482.35
Progress Achieved
• Government continues to maintain a database of Youth Construction Companies, currently 102 youth owned construction companies have been registered and it is ongoing. From 1st April to date thirty-two (32) youth owned construction companies were engaged in facility rehabilitation projects amounting to P20 314 482.35.
• Other Ministries, Parastatals and the Private Sector continue to engage youth owned companies, for example, subcontracted youth owned companies at Airport Junction Mall Centre, while another company subcontracted youth owned companies on Turn-Key projects at the following villages: Oodi, Modipane, Mmopane and Pilane.
• In addition, sixteen (16) individual youths with vocational skills in construction were engaged in maintenance projects amounting to P87,750.00. The total number of youth with vocational construction industry skills currently stands at 912, and the registration is ongoing.
• Directors of thirty (30) Youth Construction Companies started training at Construction Industry Trust Fund (CITF), Gaborone. Eighty (80) youths with vocational skills in construction are currently enrolled in a four months (20th September 2012-18th January 2013) block training at various CITF locations countrywide e.g. Palapye, Maun and Francistown. The Ministry engaged youth owned Security and Cleaning companies to provide services at the Ministry Headquarters from 1st August 2012 for two years at a cost of P436, 907.52 and P450 998.39 respectively.
• The Centre for Entrepreneurial Training (CET) at RIIC trained 150 beneficiaries in different vocational skills, and out of this, 62 were youth trainees. The training was held from April to September 2012 and the trainees are as follows: Bakery (29); Sewing (7); Leatherwork (3); Blacksmith (23).
• All the beneficiaries were sponsored as follows: Government through the Poverty Eradication Programme (81); self-sponsored (58); Lutheran Diakonia of Botswana (10); and BOFWA (1). The trainees enrolled in the training programmes for various reasons among which was to qualify for financial assistance from funding agencies, to upgrade their skill level to meet new challenges of the market and to set up new businesses with the right skill set.
Intervention by MIST
• Facilitate training of youths in Project Management addressing the issues raised above.
• The first training was conducted on the 27th November, 2012. Others will follow on 11 and 12 December 2012 respectively, for the remaining youth groups.
Government Response to Economic Crisis and Recession
25. The Botswana Government took several steps to minimise the impact of the economic crisis. These included among others, interest rate reductions (in terms of reducing bank rate by Bank of Botswana which subsequently reduced prime lending rate by commercial banks), fiscal stimulus package, targeted employment programmes and fiscal restraint. Restrictions were imposed on travel budgets, vehicle purchases, creation of new posts, and public services salaries (to avoid retrenchments). Similarly Government intervened and saved about 348 workers of BCL mine from being retrenched. Lerala Mine was saved liquidation and so were the jobs. In addition to the above measures, a task force was formed to monitor the financial crisis and advise Government on strategies to respond to the crisis. More advanced countries fared badly; and the fester continues in the euro zone.
26. In February 2009, Government announced a broad stimulus budget that included taking a deliberate decision to maintain and increase its spending as well as running a budget deficit in order to steer domestic economic activities during the global financial and economic crisis. Hence, the total budget for 2009/10 financial year amounted to P37.79 billion, which represents a 7.6 % increase over total expenditure in 2008/09 financial year. The expenditures include labour intensive public works, maintenance of existing infrastructure as well as investment in major electric power generation, road, telecommunications and water (e.g. dams) projects. These projects were expected to have a significant growth impact in the short, medium and long term as well as create employment. As a result of such expenditure, Government ran a P9.5 billion (i.e., 12.2 % of GDP), budget deficit for the 2009/10 financial year.
27. A decision had to be made whether to finance this deficit from borrowing (internally or externally), drawing down on Government’s reserves and/or a combination of these. At the end, a combination of borrowing and running down reserves was opted for. As a result, Government secured a loan of about P10 billion from ADB. By drawing down on reserves, Government balances at the Bank of Botswana fell from P31.8 billion at the end of 2008 to P14.9 billion at the end of 2010. Similarly external debt to GDP ratio increased substantially from 12.5% at the end of 2009/10 financial year to 15.5 percent in 2011/12 and domestic debt stood at 6.6% of GDP. Borrowing thus increased the country’s liabilities, and drawing down on reserves reduced the country’s asset base but was then a necessary and deliberate decision to take. This combination of financing also affected the foreign exchange reserves which fell from P72.4 billion at the end of November 2008 to P50.8 billion at the end of December 2010.
28. In order to enhance private sector investment and for them to venture into sustainable and yet competitive production of goods and services, Botswana’s monetary authorities reduced the bank rate. Hence the bank rate which was 15 % at the end of December 2008 was reduced to 10 % in December 2009 and eventually 9.5 % in December 2010.
29. The above accounts point to the fact that given the circumstances, the Botswana Government did what was necessary during the crisis in order to maintain economic prudence, avoid retrenchments and sustain credit worthiness without jeopardising future growth and development.
There are many other reforms that impact closely on improving the lives of Batswana.
1.0 Tax Policy Reforms
1.1 The company tax rate reduced to 22% for resident companies and the two tier system has been abolished.
1.2 The income tax threshold for resident individuals was increased from P30 000 to P36 000 per annum while for nonresident individuals it will be increased from P60 000 to P72 000 per annum.
1.3 Withholding tax on dividends was reduced from 15% to 7.5%
1.4 The limit for exemption of interest from income tax was increased from P6 000 per annum to P7 800 per annum and 10% will be levied as final tax.
1.5 The Income Tax Act and Value Added Tax Act were harmonized to ensure that any unpaid taxes incur interest at the rate of 1.5 per cent per month compounded monthly.
1.6 All appeals on tax matters will be submitted directly to the Board of Adjudicators rather than through the Botswana Unified Revenue Service as is currently the case.
1.7 Thresholds for registration for VAT were increased from P250 000 to P500 000
1.8 VAT Act was amended to exempt farming implements. The following farming implements are exempted:
➢ Ploughs;
➢ Disc harrows;
➢ Seeders, planters and transplanters;
➢ Manure spreaders;
➢ Rotavators & rippers
➢ Harrows, scarifies, cultivators, weeders & hoes.
2.0 Citizen Economic Empowerment
2.1 The Ministry developed Citizen Economic Empowerment (CEE) Policy, which was approved by Parliament on the 8th August 2012. The Ministry of Finance and Development Planning is in the process of handing over the Policy to the Ministry of Trade and Industry for implementation.
2.2 The CEE policy gives reservation and price preference schemes to citizen owned consultancy companies such as:
• building construction consultancy services,
• civil works consultancy,
• electrical and mechanical consultancy services,
• water engineering services,
• water exploration services,
• information technology consultancy services,
• information technology suppliers of hardware/software,
• accountancy related services and economic and marking related consultancies.
3.0 Payment Systems
3.1 Most effective and efficient payment systems for meeting the requirement of the public and other stakeholders have been adopted.
3.2 Use of Electronic Fund Transfers for timely payment. All types of payment in respect of salary advances leave payments, off campus allowance, travel concessions and other benefits payable to the public are paid timely by transfer into beneficiary’s accounts.
3.3 Use of Point of Sale machines at revenue collection points to reduce cash handling by the public wishing to make payments to Government.
4.0 Decentralization of Procurement
4.1 The Department has decentralized the procurement of goods and warehousing to line ministries as a measure to ensure that ministries to assume the full accountability of both the procurement and custody of government supplies, improving efficiency.
5.0 Facilities
5.1 The service has been taken closer to the people, to
this end, two new Revenue offices have been opened at Tonota and Moshupa.
6.0 On Water and Electricity
6.1 5000 litres (or 25 x 200 litre drum) was not subjected to the recent 10% tariff increase.
6.2 5000 litres VAT zero rated.
6.3 The first 200 kilolitre are charged 15% instead of 30%.
Progress made in achieving Millennium Development Goals – a United Nations menu of meaningful meaningful criteria
30. The country produced progress reports on the Millennium Development Goals in 2004 and 2010. The reports noted that the country has made notable progress in her drive towards achieving the Millennium Development Goals, such as poverty eradication measures mentioned above.
31. Primary school enrolment has remained above 90% since 2000, though there was a slight decline in 2008 to 85.8%. The challenge of ensuring that children in the very remote areas are enrolled at primary schools still remains. Another important challenge is to continually improve the quality of education while maintaining the high net enrolments at primary schools. An encouraging phenomenon, however, is the transition from primary to secondary schools, where almost 100% of students proceed to secondary school.
32. Gender disparity in education has almost been eliminated in Botswana. An equal number of boys and girls enroll in primary schools. In the employment sector, women continue to ascend to senior positions of responsibility both in the public and private sector. However, their participation in the political field is still a challenge with only 6.5% of Members of Parliament being females in the current Parliament, down from 11% in 2004.
33. Despite the low and erratic rainfalls and persistent drought conditions, Domkrag continues to ensure that majority of the people have access to safe drinking water and improved methods of waste disposal, despite the tight budget. In 2009, 97% of the population had sustainable access to improved water source, while 80% had access to improved sanitation, however there is need to address urban and rural disparities in accessing these important services.
34. Even during the global economic crisis, Botswana further improved health services; by improving maternal health, reducing child mortality and combating the spread of HIV and AIDS.
35. The introduction of the Prevention of Mother to Child Transmission (PMTCT) which has resulted with only 2% of children born to mothers with the virus being infected. The major causes of these deaths still need to be investigated. We all agree that such child mortality rates are not acceptable, and consequently we place a high priority on achieving a better outcome.
36. The prevalence rates for HIV and AIDS is still high, with 17.6 % of the population reportedly living with the HIV virus in 2009, while the country is making significant inroads in the fight against the pandemic. Already, prevalence rates among the youth aged 15-24 have shown signs of decline and new infections have also continued to decline. However, the persistent stigma associated with the HIV status makes the fight against the virus a challenge. In addition, the emergence of multiple pregnancies among HIV positive mother underscores the need to intensify behaviour change and communications around the HIV and AIDS. In this connection, the government has intensified efforts to promote measures to minimize chances of new infection. The measures include, discouraging multiple concurrent partnership and promoting safe male circumcision.
37. Botswana has forged strong economic partnerships with other countries. The country benefits from the South African Customs Union and is a member of SADC and a signatory of the SADC free trade protocol to promote easy access of the country’s exports to regional markets.
38. While it is true that Botswana has not fully attained economic diversification, over years there has been signs that the structure of the economy has transformed from one based on agriculture in the 1960s to minerals in the 80s but currently includes other sectors such as construction, finance, services, manufacturing and tourism. Diversification is a long term process and involves transformation both from within and between sectors. The agricultural sector for example, has evolved from largely livestock based to arable, horticulture, bee keeping and small stock. Similarly within the mining sector, other than producing just rough diamonds alone, currently there is also diamond polishing and beneficiation, and the imminent relocation of the Diamond Trading Centre to Botswana bears testimony to seriousness by Government to diversify the diamond sector. Tourism sector has also increased its scope from merely wildlife national parks to heritage sites and agro-tourism.
39. One indicator of economic diversification is that Botswana has become significantly less dependent on imports. As a small economy with a small population, imports remain extremely vital. Nevertheless, the ratio of imports of goods and services to GDP has fallen very substantially. In the 1970s, it was just under 70%. In 2009, with the recession reducing GDP it was just over 50%, while over the last two years, the ratio has averaged 45%, indicating a remarkable structural change. It also shows that the private sector in Botswana has been regionally competitive, in that producers of most tradable goods (with the important exception of agricultural goods) must compete without protection with imports from the rest of the Southern African Customs Union. Other indicators of economic diversification include non-traditional merchandise exports (defined as total merchandise exports excluding diamonds, copper-nickel and beef) which have largely maintained their share of a total exports in the long term, despite the extraordinarily rapid growth of diamond exports.
40. In the short to medium term, a portion of Government expenditure will no doubt, continue to be funded from proceeds of the diamond industry. However, in recent years Government has put more emphasis on alternative sources of revenue that include widening the tax base and increasing efficiency in tax collection. Government further underscores the need to invest these resources in self-liquidating high-return projects with backwards and forward linkages such as those in the energy, road and water sectors. Such initiatives are meant to reduce dependency on diamond revenues in the long-run as well as stimulate economic growth and development that is inclusive and sustainable. For the latter to be realised, it is the responsibility of all to ensure that there is increased productivity as well as development of the up- and down-stream industries to take advantage of the import substitution drive.
41. If expenditure by Government leads to growth in the non-mining sector such as the service sectors, as has been the case, then it is critical that this be continued as this will lead to increased employment creation and economic diversification. This is because by nature, the mining sector (especially diamond-mining) employs relatively few people while the non-mining sector is much more employment-intensive, in providing both formal sector jobs and opportunities for self-employment. Employment, broadly defined, is the most important way in which the benefits of revenue from diamond mining reach large numbers of people. It is therefore the most important way of reducing "income poverty" and enhancing inclusive and sustainable growth and development.
42. BOTSWANA INNOVATION HUB (BIH)
• The Botswana Innovation Hub (BIH) is one of strategic initiatives. It is being implemented during the 10th National Development Plan which culminates in 2016.
• The BIH is one of the key measures being taken to reduce the dependency on diamonds and assist on in economic diversification and employment creation.
• The establishment of this Science and Technology Park is a new and enterprising concept which has been successfully implemented in the region and globally. To this end the BIH has affiliated to the International Association of Science Parks which is a worldwide network meant to enhance the competiveness of companies and entrepreneurs.
• Areas of operation are in creating or attracting into the country technology transfer and the related businesses across a range of priority sectors, including Information and Communications Technology, technologies related to Health and Agriculture, Mineral Technologies as well those related to Energy and the Environment.
• When complete, it will help businesses gain access to global technology networks, as well as assist businesses in finding international partnerships, and host international technology forums and exhibitions.
• Furthermore, the Hub will also provide business training and entrepreneurship skills to qualifying start-up companies, facilitate finance searches, and create client and partner networks. It will also initiate research projects in collaboration with international academic institutions
• The initial phase of the construction of the Park near SSKI Airport was completed earlier this year which involved servicing the whole 57 Hectare site at a cost of P172.4 million.
• In the current phase the central building on the Park is expected to go to construction during the second quarter of 2013, to accommodate flexible office spaces and shared laboratories for local and international clients as well as public areas such as restaurants and other common facilities.
• Major private sector companies and institutions are being identified that will invest in suitable developments that advance the overall Hub objectives. These developments will be located in other plots on the site.
• Thus far, global brands including Microsoft, Orange, Gemological Institute of America, Richold and Chanel have indicated interest in operating as part of the Hub.
• Strategic partnerships are underway supported by the Finnish and Swedish governments in the areas of innovation capacity building and ‘green’ technologies respectively.
• It is envisaged that BIH will in time play a central role in strengthening our national capacity for innovation and assisting us in acquiring technologies relevant to markets in the regional economy and to our own key priorities and pressing challenges.
43. The difference between Honorouble Modubule and Honorouble Saleshando on the Domkrag onslaught is that Hon. Modubule acknowledges that Domkrag has done some good work but claims Domkrag has come to the end of its tether of ideas. But what I have just outlined is part of the menu of Domkrag roadmap, sense of direction, framework of the way of the advancing world towards ICT, Science and Research through the Innovation Hub. This is a robust approach towards a frontal impact on employment creation and meaningful economic diversification. To Hon. Saleshando tis is all “dull”, “donkey” and “sterile” stuff. This then confirms Batswana and Domkrag’s considered view that there is still no alternative to Domkrag.
44. I wish to take a moment to deal with Indices and rankings of countries. Honourable Dumelang Saleshando has discovered what is called Happy Planet Index. He celebrated with glee and relish the notion that Botswana was ranked 151 out of 151 countries. But he deliberately and selectively failed to explain the details. Talk of deceit and the Biblical selabe se se mo itlhong la mokaulengwe wa ga go..!! I am going to take time to deal with more serious Indices. On the celebrated Happy Planet Index, how can Haiti rank higher than USA whether before or after a devastating earthquake that rendered the country desolate and dreary. This good Domkrag Government gave relief donations to Haiti on behalf of Batswana. Really, can anybody in their right mind believe that Lybians, whom the Honourable Saleshando quoted, are happier than Batswana. That Somalis are happier than Batswana. That Syrians are happier than Batswana. Honourable Venson-Moitoi and Honourable Kgathi have ably dealt with this issue, reducing Honourable Saleshando happiness and mirth to fragments and smithereens. Madam Speaker, critics of the Happiness Index (HPI) maintain that ‘happiness’ is the most subjective feeling there is. They note that happiness is a subjective concept that differs for each individual and varies according to circumstances and attitudes towards life. Happiness comes from within and on the basis of the aforementioned, they write-off the Happiness Planet Index as not worth the paper it is written on. Dean Nelson, the UK Telegraph’s South Asia Editor, writing about Bhutan, one of the leading Gross National Happiness Index countries, noted that the country's National Statistics Bureau revealed high acceptance levels of domestic violence. Around 70 per cent of women felt they deserved to be beaten ha ba gana ka dikobo. They are happy with this state of affair, and undoubtedly if it were in Botswana, the results would be different. Using the happiness index to compare countries therefore lacks express reliability and validity since it is, as I have said, very subjective.
It is for this reason that Botswana would prefer much more reliable and credible indices that use objective and scientific measures.
Happy Planet Index indicates Experienced well-being times Life expectancy divided by Ecological footprint. Disaggregated, life expectancy, Botswana is ranked 137 out of 151; on ecological footprint ranked 87 out of 151; on experienced well-being ranked 149 out of 151. HIV/AIDS has clearly had a toll on life expectancy; this is why inspite of financial difficulties expenditure of HIV/AIDS is a priority, this financial year, for example, provision is over P1 billion. Road traffic accidents have their toll.
Madam Speaker, I now turn to serious Indices.
1. On World Economic Forum Institution Index, Botswana is ranked 33 out of 144 countries.
2. Global Competitiveness Botswana is ranked 79 out of 144 countries
3. On economic freedom score we are 33 out of 179 countries.
4. The Fraser Institute Annual Survey of Mining of 2011/12.
Policy potential index: A “report card” to governments on the attractiveness of their mining policies.
The Policy Potential Index is a composite index that measures the effects on exploration of government policies including uncertainty concerning the administration, interpretation, and enforcement of existing regulations; environmental regulations; regulatory duplication and in consistencies; taxation; uncertainty concerning native land claims and protected areas; infrastructure; socio economic agreements; political stability; labor issues; geological data base; and security.
a) Botswana’s overall score increased from 74% in 2010/11 to 76.9% in 2011/12 and Botswana is still ranked first in Africa.
b) Botswana is ranked first in the world compared to seventh in 2010/11 on the score card of “Current Mineral Potential assuming current regulations and land use restrictions”.
c) Botswana is ranked third in the world compared to fourth in 2010/11 on the score card of “Uncertainty concerning the administration, interpretation, and enforcement of existing regulations”.
d) Botswana is ranked first in the world compared to second in 2010/11 on the score card of “Uncertainty concerning Environmental regulations”.
e) Botswana is ranked first in the world compared to first in 2010/11 on the score card of “Regulatory duplication and in consistencies”.
f) Botswana is ranked first in the world compared to first in 2010/11 on the score card of “Taxation regime”.
g) Botswana is ranked fifth in the world compared to eight in 2010/11 on the score card of “Uncertainty concerning disputed land claims”.
h) Botswana is ranked second in the world compared to ninth in 2010/11 on the score card of “Uncertainty concerning which areas will be protected as wilderness areas, parks or archaeological sites”.
i) Botswana is ranked thirty three in the world compared to thirty nine in 2010/11 on the score card of “Infrastructure (includes access to roads, power availability, etc)”.
j) Botswana is ranked fourth in the world compared to second in 2010/11 on the score card of “Growing (or lessening) uncertainty in mining policy and implementation”
k) Corruption. This year a new question on corruption, was added and the strongest growing economies in Latin America (Chile) and Africa (Botswana) are perceived to have the lowest level of corruption among developing nations. Even more interestingly, they are perceived to have less corruption than four Canadian provinces (Quebec, Manitoba, British Columbia, and Alberta), and two US states (Montana and Washington). Botswana is ranked No 33 in the world.
5. Moody’s Release on Botswana’s 2012 Sovereign Credit Rating - I received a letter dated 28th November, 2012 from the Governor of the Bank of Botswana reporting that Moody’s Investors Service (Moody’s) had released Botswana’s 2012 sovereign credit rating, retaining the A2 rating for both foreign and domestic bonds together with the stable outlook. The A2 rating is based on an assessment that balances potential weaknesses arising from the country’s middle-income status and the small size of the economy against strengths such as the sound policy framework and effectiveness of government. In making this assessment, Moody’s emphasized the strong financial position of the government, resulting from prudent fiscal policies that compare favourably with other resource-rich, developing economies. The assessment further noted that despite the major challenges arising in the past four years, the authorities’ response to the global financial crisis has been consistently effective. Given the healthy financial position and in an environment of political and financial stability, risks that could put renewed pressure on the ratings are judged to be low. Consequently, Botswana’s sovereign credit rating has been maintained at A2.
Healthy financial position doesn’t mean that we are awash with money. It means that inspite of all the global financial turbulence, the pilot i.e. Domkrag is in control and not about to mortgage the country in panic. Yet the former immediate Leader of the Opposition claimed on 7th November that the country was on autopilot. That there is a vacant seat of the Leader of the Opposition right now means that their aircraft has no fuel, let alone an autopilot.
6. Botswana Core Welfare Indicator Survey of 2009/2010, our national unemployment stands at about 17.8%. We have analysed by disaggregated age groups and cohorts. The analysis informs Domkrag’s approaches through poverty eradication and alternative packages; the renaming and structuring of the Ministry of Local Government; the introduction of the Youth Development Fund, Youth Enterprise Scheme; LIMID; Internship Programme; Back-to-School (an expanded form of Mature Entry to Pius College in Lesotho, UBLS and UB).
7. Global Peace Index - The Global Peace Index (GPI) is an attempt to measure the relative position of nations' and regions' peacefulness. It is the product of Institute for Economics and Peace (IEP) and developed in consultation with an international panel of peace experts from peace institutes and think tanks with data collected and collated by the Economics Intelligence Unit.
8. Mo Ibrahim Foundation: Established in 2007, the Ibrahim Index is the most comprehensive collection of quantitative data that provides an annual assessment of governance in every African country. Compiled in partnership with experts from a number of African institutions, the Ibrahim Index provides a framework for citizens, public authorities and partners to assess the effective delivery of public goods and services. The Index provides a tool for current and future leadership and for all stakeholders to robustly assess policy outcomes. It uses the following indicators, Safety and rule of law, Participation and Human Rights, Sustainable Economic Opportunity and Human Development.
In these and many other scientific indices, Botswana has been doing well in the world and extremely well in Africa counted within the top 3.
9. Skilling the Nation – Tackling Youth Unemployment. Detailed information is available. Regarding Back-to-School, Honourable Gilson Saleshando is confused and bamboozelled. On the one hand he says Domkrag is acting out of panic i.e. re tshogile. On the other he wants detailed information because he thinks the idea is a good one. He must panic because Domkrag is going to reclaim Phikwe West.
Given the length of my Statement I have attached the details of the above paragraph on Skilling the Nation–Tackling Youth Unemployment as Annexure I.
45. On the allegation that the mineral wealth of the country has not had any direct and profound impact on the lives of many Batswana. Madam Speaker, mineral revenues have significantly contributed to the country’s GDP. Many of the projects and programmes such as the social services provided to Batswana are heavily subsidized as a result of mineral revenues. For example, education, health, agriculture and many or all Social Safety Network Programmes.
1. Many allegations have been made. For example that the education system of the country is in a state of crisis with declining quality of results and that last year only one secondary school at Form 5 level had a pass rate of over 50%.
The education system of this country is not in a state of crisis. The government is aware of declining quality of results in some schools. We must however acknowledge that last year only one secondary school at Form 5 level had a pass rate of over 50%. The Ministry of Education and Skills Development (MoESD) has identified the root causes of the declining quality of results as follows:
• Minimal parental involvement in the learning of their children
• Lack of motivation among learners and teachers
Research has proved that these two factors are inversely proportional to the results.
The MoESD has developed interventions to redress the situation:
• A continuous dialogue with all stakeholders in Education.
• The ministry quality assures the teaching and learning processes and subsequently provides support to schools.
• The institution of an upper structure of PTA to oversee school PTAs.
• The use of retired teachers to provide mentorship in the education system
2. On the assertion that the growing number of youth and children involved in anti – social behavior are products of failed education system.
Madam Speaker, while the government of Botswana is duty bound to create an environment in which children can grow into responsible and well cultured members of the society, we must as a society recognize that child-raising is a collective responsibility. The social environment plays a critical role in shaping the behavior of children and it would be unfair to apportion all the blame on Government with regard to a rise in cases of children involved in anti-social behavior. One needs to look at the behavior of the society in general and then understand that children’s behavior is a mirror image of the society’s behaviour.
Our schools are doing everything they can to curb anti-social behavior. For instance the school pastoral system has been put in place to mould our children and the system is paying dividends. In addition the Anti-Drug and Alcohol programme has been introduced to prevent abuse of substance and refer indentified victims for professional counseling so that they could be rehabilitated.
3. Madam Speaker, the Back-to-School programme is a fallacy, is not premised on any informed rationale and has not been subjected to any debate with key stakeholders such as Parliament. Annexure I details that the programme entails.
Madam Speaker, Government recognizes the right of every child to education and all efforts are being made to expand access to education. It is against this backdrop that Government is coming up with a number of initiatives, which include ‘Back-to-School’ to render an opportunity for children who had the unfortunate experience of terminating their studies prematurely. The back to school initiative is real and alive. It is a noble project giving children a second chance to return to school. Like any other new project, Government through the Ministry of Education and Skills Development is embarking on a process of disseminating information on the project as widely as possible and Parliament as stakeholders will not be left out.
4. The BCP espouses a system where there is a national inspectorate autonomous from the ministry that will audit the education system annually and report to Parliament.
The importance of a national inspectorate on education, autonomous from the ministry cannot be over emphasized.
The Ministry of Education and Skills Development has established the Inspectorate Unit starting in April 2012 to pave way for an autonomous Inspectorate. By April 2013, the ministry would have established the Department of Inspection. The establishment of the department would be a transitional measure. During this transitional period, the ministry would train and develop the human resource in preparation for such an autonomous body.
It should be noted that the Ministry of Education and Skills Development had long recognized the need to establish an autonomous inspectorate. This is outlined in the ministry’s Organization and Method of 2008. The ministry has since set timelines for the establishment of the same. The plan is to set an autonomous Inspectorate Services, which would inspect schools and evaluate the quality of education, by 2014. In addition the ministry is finalizing the establishment of the Botswana Qualifications Authority which shall be responsible for amongst others, defining and monitoring standards for the delivery of education.
5. Madam Speaker on the allegation that failure rates in some schools are aggravated by the language barrier where students who are admitted to schools in localities where the dominant language is neither English nor Setswana become early candidates for dropping out.
There has once more been a display of a high level of lack of appreciation of matters of National interest which Parliament has deliberated on before. Government is implementing the Revised National Policy on Education of 1994 which the Honourable Member used as reference in his speech but chose to ignore what the same policy articulated in terms of use of mother tongue in instruction.
6. Madam Speaker, again the allegation of reports of corruption in public institutions are on the increase while political leadership has remained indifferent.
Madam Speaker, this Government has put in place very robust and efficient institutions to deal with all the challenges including corruption, and we continue to resource them accordingly. It is not the intention of the political leadership of this country to influence these quasi independent institutions.
7. On what the opposition refers to as a Botswana labour crisis. They bemoan the fact that their regime change tactic failed dismally.
Madam Speaker, it is indeed true that after the 2011 strike Government and unions relations were affected mainly due in part to the involvement or meddling in union affairs by opposition parties who for the most part took part during the strike by making political statements which were not meant to build relations but rather creating serious divisions between employees and their employer. This incident cannot be equated to the country being in a labour crisis. His Excellency the President has the right to inform citizens on whatever government programmes during Kgotla meetings, and regarding this particular incident he never mentioned any amount so his pronouncement did not prejudice any negotiations.
The Botswana public service must be commended for understanding the precarious global financial crisis and its implications. Hardship endured on account of Government’s inability to award normal salary increases has always been appreciated by Government.
Realising that at scales A3 to C4 the 3% would add for instance P35 for the A3 bottom notch, Government decided to add a Temporary Recession Relief Allowance of between 230 to 150 for A3 to C4 scales to help those at the lower cadres, the reality which unfortunately the Honourable former Leader of Opposition has decided to ignore.
8. Madam Speaker, regarding the minimum wage, Section 135 of the Employment Act, CAP 47:01 empowers the Minister of Labour to fix minimum wage rate across sectors in the economy. Wage adjustment or abolition of the minimum wage in respect of any category of employees in any trade, section of a trade, industry or section of industry specified in the Fourth Schedule, by reason of changes in the cost of living or by reason of any other relevant changes are referred to the Minimum Wages Advisory Board for investigation and advice.
In February 2012, the Minimum Wages Advisory Board recommended that the minimum wages be adjusted by 9 percent across the board for the period 2012/13 and approval was granted. In addition, Government directed that a comprehensive review of the minimum wage rates be undertaken to take into account the ever changing requirements of the economy. Pursuant to this decision, the Ministry has commenced work towards the review of the minimum wage rates.
9. Madam Speaker the Point Based System for Work and Residence Permits is topical. The system (PBS) was introduced as a tool that is transparent, flexible, comprehensive and would objectively in a standardized manner assist in assessment of the eligibility of immigrants as employees or investors in the country. As the system was newly implemented, it has always been Government’s intention to review the PBS on areas that might be compromising its intention.
However, since the implementation of the system in April 2012, on average 83% of Work and Residence Permit applications were approved while 17% were rejected. The system provides for appeals. However, improvements will continue to be made on areas that are considered a concern to ensure ultimate objectivity.
On the allegation that it takes a minimum of five months for the screening process to be completed for a work permit and that the problem is not helped by the involvement of the DIS.
Madam Speaker, contrary to the reports that the screening process for Work & Residence Permits takes a minimum of 5 months, the Ministry of Labour and Home Affairs is currently issuing Work & Residents Permits within 36 calendar days on average. This process includes registration, screening, assessment, preparation and response to the applicants. The Ministry continues to put in place measures to improve the turnaround time to achieve the set service standard of 14 days.
10. Under Lands and Housing demolitions have been queried. This is a sensitive issue. Squatting and self allocations are illegal, which this Government has taken a decision not to allow. The eviction process is a lengthy one and involves the following stages:
i) Approaching the squatter,
ii) Profiling the squatter, i.e. who are they and what could have caused them to self allocate,
iii) Reminding the squatter that it is illegal to self allocate,
iv) Taking the legal route which sometimes takes up to 3 years to finalise.
On the assertion that the waiting period for allocating land is as long as 28 years, the period varies from one area to another ranging from 3 months to 26 years. Any form of delay is determined by population pressure in any particular locality, with urban centres experiencing the most pressure, as well as the availability or unavailability of serviced land. This Government therefore is exploring possibility of public private sector partnership in land servicing to expedite land delivery.
Anti-corruption committees have been set up in all Departments and Lands Boards to weed out corruption, though it is difficult to deal with perception.
11. On the observation that the land problems in Botswana emanate from the classification of land into freehold, state owned and tribal land where most of Batswana have been pushed into tribal reserves.
Madam Speaker, the three land tenure systems in Botswana, i.e. customary, state land and freehold have served the country well and modifications are made when necessary through review of policies and legislation to address the needs of the changing society. Customary land has progressively increased overtime from 49% to over 70% through conversion of state land and freehold land. State land constitutes 25% while freehold land constitutes 4%. I think the details of how the land tenure system works should at least be interrogated by national dipitso before any dismantling is contemplated.
The then Leader of the Opposition is taking a rather simplistic view of land shortage in Botswana and the same applies to access to affordable housing to Batswana. Some measures have been taken and being taken. Housing issues are sensitive and complex and solutions to them cannot be proffered in response to a Parliamentary debate. A more deliberate analysis is necessary to determine the way forward.
12. Madam Speaker, the Afrobarometer study that the then Leader of Opposition has referred to shows that His Excellency’s job approval amongst Batswana stands at 77%. This is not only high, but very high by international standards. The same Afrobarometer study shows that if elections were to be held tomorrow, 50% voters would re-elect the ruling BDP, 13% BCP and 11% BNF. Probably this is some cause for celebration by the BCP as it appears they would have eclipsed their competitors the BNF; but now there is an umbrella, Domkrag is a cut above the rest and if they can be honest to the electorate, we the BDP are not within their sights and target.
13. Madam Speaker, there is no single perfect electoral system. Most people prefer a simple system to which they can relate. The electoral reforms that the former Leader of Opposition is calling for, are premised on his belief that elections are not fair. The much touted and hyped Afrobarometer results do provide answers that indeed elections in Botswana are fair. Asked how free they are to choose who to vote for without feeling pressured, a resounding 92% Batswana felt completely free, whilst 5% felt somewhat free. What more evidence does anyone want? Furthermore, and still by the same Afrobarometer study, asked on the whole, how they would rate the freeness and fairness of the last national election, held in 2009, 82% of Batswana felt the elections were free and fair. As we are not sworn enemies, let me proffer free advice. Indications are that the funding models worldwide, funding is calculated on the basis of the popular vote of a Party, and my guess is as good as yours as to which political Party would benefit more. Motlogolo wame Hon. Rammidi poignantly made this point at one of the Matlho – a – Phage TV debates. He was more dramatic by saying that while other political parties would be enabled to buy bicycles, change would enable Domkrag, with a “D”, to buy an aircraft. I do appreciate that of issue here is the principle. Discussion and full appreciation of the implications would be in order. But allegations about questionable sponsors of the BDP remain allegations. We held a BDP fund-raising dinner at Mmadinare some weeks back and raised P60 000.00.
14. On corruption as stated earlier, the government has robust systems and processes to deal with issues outlaid above. The said systems have been found to be working effectively and they are given the space without interference to carry out their mandates. It was only last week that the Hon. Minister for Presidential Affairs and Public Administration reiterated Government’s position and measures.
15. Madam Speaker, there is literally nothing new that the former Leader of Opposition is offering on the issues raised, except for the regulation of private funding of political parties. Insider trading, freedom of information, disclosure of assets/interest and liabilities are issues that are on the table.
16. Madam Speaker, under the Judiciary, the Constitution is quite clear. These matter are not necessarily cast in stone. These matters are open for national debate.
17. Madam Speaker, need I further reiterate that which is public knowledge, but that which seems to elude some. The role and mandate of the Government Media has always been:
➢ To interpret the policy and actions of Government to the people:
➢ To develop and utilise media, which will assist Ministries and Departments in performing their routine and extension duties and,
➢ To publicise Botswana outside of its borders.
18. Madam Speaker, on deportations we must all be conscious to the fact that as a developing country, Botswana continues to attract foreign nationals who come here as investors, employees, tourists, economic refugees, questionable characters etc. However, it is in the best interest of the country to attract and retain within the country, those foreign nationals who abide by the laws of this country and are not considered a security threat to the country and its people. More often the country and its people are faced with challenges that make both Botswana and its people insecure. Therefore, it is the obligation of the Government to take appropriate action to ensure the security of the nation, lest we be accused by the same Opposition block for failure to protect the country and its citizens. Therefore deportation of such foreign nationals from Botswana is considered an appropriate measure to secure the safety of Batswana.
Declaration of prohibited immigrants is a security measure that is the ultimate decision on a foreign national and whether reasons for such decisions are necessary is highly debatable. A Pitso on such matters could bring to light the serious pros and cons.
19. Madam Speaker, I would like to refer to examples of promises made in the past State of the Nation Addresses but have not been fulfilled.
Madam Speaker, on the Botswana Contributory Agricultural Scheme, the study has been conducted and indicated that the private sector should initiate the insurance. Following this study, the Botswana Insurance Company (BIC) introduced a livestock insurance but unfortunately the uptake was not good as farmers considered premiums high. Other companies have expressed interest in establishing agricultural insurance and are still doing their necessary assessments.
20. Madam Speaker, regarding the Health Hub and the identification of programmes that will make Botswana a Centre of Excellence, since September 2009 the Central Medical Stores has been undergoing a transformation process. This project has involved re-structuring, improving processes and the implementation of a full quality management system in accordance with ISO 9001 standards. The objective of this process has been to improve commodity availability, reduce expiries and improve the overall quality of service provided by CMS to its customers.
There have been clear, positive results against these objectives in the last three years. Significant effort was made in the early stages of the transformation project to improve the procurement strategy and processes. These efforts have led to marked increases in key indicators at CMS, indicators which include; availability of vital drugs at CMS increasing from 58% at the end of the 2009/10 financial year to 80% in the current financial year, and CMS’ order fulfillment rate increasing from just under 40% to 78% in the same period across all product categories. Key product groups such as drugs for HIV/AIDS, diabetes and hypertension have consistently performed higher than this average in the last two years. Meanwhile, it is important to note that the value of product expiries at CMS has dropped from almost 8% of the procurement budget in the financial year 2010/11 to just 1% in the current financial year. CMS has also made significant improvements to its distribution service. At the current time CMS is fully up to date with its own order processing and delivery schedule. To further strengthen this warehousing and delivery service CMS is in the process of outsourcing these functions.
Out of the P116 million expired stock referred to by the Hon. former LOO, P61 million worth of stock had expired before this transformation began. Of the remaining P55 million, the vast majority (more than P48 million) was as a result of over-purchases made before the transformation process began. In a complex purchasing system such as the one managed by CMS, some level of expiry is inevitable.
21. Madam Speaker, on organ transplants, prior to 2008 Government did not support organ transplant as a matter of policy. Since 2008, however, there has been a policy shift whereby Government through the Ministry of Health has adopted selection criteria to be used to identify the most appropriate candidates for Government support. These criteria include age, co-morbidities, and matching donor availability. Ministry of Health currently maintains a priority list of candidates for organ transplant.
To date four (4) candidates have been found to be eligible for support and have been so offered funding.
22. Regarding the Teaching Council, drafting instructions have already been submitted to Attorney General and the process has started.
23. On decentralization policy Madam Speaker, I must concede that the development of the decentralization policy has delayed. However, steps are underway to finalise it. However centralization of certain services within Government was inevitable. The transfer of some services from the Ministry of Local Government and Rural Development to other Ministries was informed by the need to streamline service provision across Government. This was meant to ensure that similar services are administered by one authority for purposes of effective service delivery to customers and better accountability. Water reforms were initiated by the 1991 Water Master Plan which was reviewed in 2006. Intensive consultations were undertaken in and with all District Councils, most Dikgotla and Parliament.
24. Madam Speaker on payment of appearance fees and monthly allowances, it is true that the Government had intended to support different codes of sport by paying Appearance fees for official national team games and monthly allowances for local athletes in the premier league, first division (north and south) and other sport codes.
However Madam Speaker, the initiative could not be implemented at the originally envisaged magnitude due to financial constraints brought about by the economic recession. Priority was therefore given to National Teams athletes and an incentive package specifically for them was approved.
25. Madam Speaker, regarding the new Installment Purchase Scheme, the scheme was approved by Government in principle in 2009. This in itself shows commitment on the part of Government, on condition that funds for the scheme would be availed to BHC as soon as the economy has improved. As we are aware the recession is still gripping the world including Botswana hence this Government has not yet been able to secure funding to commence the Scheme. The scheme should commence as soon as financial resources are available.
26. Madam Speaker the whistle blowing legislation is being developed by the relevant Ministry.
27. Billing and SAP Implementation – Water Utilities Corporation
Progress Achieved
➢ Out of the 450 villages taken over so far, 346 have been migrated to SAP. All areas that have been taken over from Phase 1 up to Phase 4 have been migrated save for 34 villages in the Tsabong Management Centre. These villages will be migrated in December 2012. All major villages across the country have been migrated into SAP. Migration of areas to SAP will ensure that customers are able to pay their water accounts in any of our revenue offices country wide.
➢ Manual data collection is on-going for areas that were taken over in Phase 5 and are scheduled to be migrated in the months of December2012 and January 2013.Where data has been collected manual billing for these areas is on-going.
Interventions
➢ Weekly monitoring and reporting on the WUC billing status and introduce new strategies where needed.
➢ Data Clean - Up Project has resumed which will ensure that customer data is correct hence bills can be sent to the correct contact details. The project has been categorised in to Phase 1 and 2. Phase 1 being updating of customer information is scheduled to complete in January 2013. Phase 2 which will concentrate on Data Migration Exceptions and System Clean-Up will conclude in March 2013. These phases will be taking place concurrently.
➢ Data Audit to be performed prior to any take-over so as to ensure that all customer data is handed over on time and in a complete state