FF PLUS REACTION TO SONA

The Freedom Front Plus welcomes the Government's announcement with regards to the infrastructure development projects in all of the provinces. This is a sign of long term planning and thus gives some hope for the future. It is the correct method by which Government can contribute to job creation.

The contradiction in the President's speech was that the ANC-government is not willing to commit to the necessary practical steps that will ensure the successful execution of these projects.

The most competent and efficient service providers (companies) and people should be contracted in order for these projects to be successful. However, the President announced new and more empowerment regulations that will be to the detriment. 

Certainty regarding property rights is needed for the private sector to invest and be willing to get involved. The President announced changes regarding the willing buyer, willing seller principle in terms of the constitution and this will create a sense of môre uncertainty.

No clear anti-corruption interventions or controls concerning tender procedures were announced. Without these the infrastructure projects will easily give rise to another "tenderpreneur's paradise".

The success of the world cup projects entailed the meeting of set deadlines, that unnecessary red tape regulations were limited and that flexibility with regards to legislation was provided for. The President's speech was lacking in this regard.

Statement issued by Dr. Pieter Mulder, FF Plus Leader, February 9 2012

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