Cost of copper theft still unacceptably high

In 2010/2011 Telkom lost R382.72 million in repair and replacement costs related to copper cable theft. This information was revealed today in a reply from the Minister of Communications, Dina Pule, to a Democratic Alliance (DA) parliamentary question relating to the annual costs of copper theft (see below). 

Copper theft impacts our economy as a whole, trickling down to affect economic growth, productivity and job creation. Indirect effects also include poor service delivery and productivity, which ultimately hit poor South Africans the hardest.

Today's reply revealed the following figures regarding the annual cost of copper cable theft from Telkom during the relevant financial years:

• 2006-07: R340 million
• 2007-08: R332 million
• 2008-09: R422.35 million
• 2009-10: R424. 39 million
• 2010-11: R382.72 million

These figures suggest that copper theft continues to be a highly coordinated and professional crime, and are particularly troubling given that they do not include the losses in revenue caused by copper theft. Information from the department has shown that in 2008/9 alone, outbound revenue losses amounted to R906.8 million. 

It is also clear that government still does not seem to know how to tackle this problem.

Telkom has tried to deflect blame regarding the protection of copper cables by stating that their guarding and response units are outsourced. This is no excuse. If Telkom is paying for these services it must ensure that it gets its money's worth from the providers. 

The DA will therefore be submitting follow-up parliamentary questions to ascertain the total loss in Telkom's revenue and to obtain more comprehensive information on government's plan to address the problem. 

Within a year of being elected to office in the City of Cape Town, the DA established the "Copperheads" taskforce. Since 2007, this taskforce has arrested between 200 and 300 people a year. In 2007, the value of stolen copper and other metals was estimated at R22 million. In 2009, this figure had dropped to just R500 000.

There is no reason why this success rate cannot be replicated. The DA has been pushing for a Copperheads unit to be established in other metros across the country, and has also put forward a five-step plan to solve South Africa's copper theft crisis. These steps are:

·                     Implementing the Second Hand Goods Law of 2009: This law was passed in 2009 and creates a solid framework for law enforcement to pursue and persecute copper thieves. The law has still not been implemented. Once implemented, it will make it much easier to police copper theft.

·                     Making copper theft a priority crime at the SAPS: This will secure more resources and more experienced personnel for the fight against copper theft, as well as placing more responsibility on SAPS to investigate and resolve copper theft cases.

·                     Giving copper theft its own crime code at the SAPS: At present, the SAPS crime database records copper theft in the category "other crimes". This means that there are no reliable statistics for the incidence of copper theft, hampering the development of a sophisticated strategy to combat it. We therefore propose that copper theft be given its own crime code so that it can be recorded separately.

·                     Setting copper theft reduction targets at parastatals: The Public Enterprises Minister should set targets to reduce copper theft at each major parastatal, accompanied by a comprehensive strategic plan to meet these targets.

·                     Close cooperation with industry experts: There exists a reservoir of goodwill from security and copper theft experts to help municipalities and parastatals improve their security operations. This knowledge should be used more effectively. A good start would be to take the problem more seriously and be open to input from outside experts.

The City of Cape Town has shown that copper theft can be tackled successfully. Government must now show its commitment to achieving the same result nationwide by taking the problem seriously and embarking on the right course of action. The DA will continue to push for the establishment of Copperheads units nationwide and for the adoption of our proposals. Our economy and South Africa's poor should not have to bear the brunt of government's inability to curb copper theft. 

Statement issued by Pieter van Dalen MP, DA Shadow Deputy Minister of Agriculture, Forestry & Fisheries, March 17 2012

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