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SADC
Summit resolutions; Parliament update - Bill Watch 39/2012
Veritas
August 20, 2012
Both Houses
of Parliament
have adjourned until Tuesday 4th September
SADC
Summit Resolutions on Zimbabwe
President Zuma
presented his report on the Zimbabwe situation to the Troika of
the SADC Organ on Politics, Defence and Security Cooperation when
it met on the afternoon of Thursday 16th August. Although President
Zuma had to return to South Africa the following day in the wake
of the bloody confrontation between South African police and striking
mineworkers, the Heads of State Summit, meeting on Friday and Saturday
17th and 18th, received his report through the Organ Troika and
endorsed it. Although the official Organ Troika report is not made
available, it was said to have recommended that Zimbabwe set up
a Cabinet mechanism to implement facilitated GPA
agreements. The end of Summit Communiqué included the following
on Zimbabwe:
"Summit
adopted the Report of the SADC Facilitator in Zimbabwe, H.E. Jacob
Zuma, the President of the Republic of South Africa.
Summit noted
the progress in the implementation of the Global Political Agreement
(GPA) and urged the stakeholders to work together in particular,
on the Constitution
Making Process in Zimbabwe which is about to be concluded.
Summit urged
signatories to the GPA to develop a Roadmap with timelines that
are guided by the requirements of the process necessary for adoption
of the constitution and the creation of conditions for free and
fair elections to be held.
Summit resolved
that if there are any difficulties with regard to the Constitution
and implementation of agreements, the Facilitator should be called
upon to engage with the parties and assist them resolve such issues,
bearing in mind the timeframes and the necessity to hold free and
fair elections.
Summit urged
the parties to the GPA to continue the implementation of the GPA.
Summit noted
the partial lifting of sanctions against Zimbabwe and urged the
European Union and the rest of the international community to lift
all the sanctions unconditionally.
Summit commended
H.E. President Zuma and his team for the progress made towards normalising
the Zimbabwe situation."
Parliament
Approves Chinese Loan Agreements at Last Sittings
When the members
of the House of Assembly and the Senate assembled on Tuesday 7th
August, it was to find that the "urgent business" for which
they had been recalled from their adjournment [see Bill
Watch 37/2012 of 6th August] was the approval of three Chinese
loan agreements in terms of section 111B of the Constitution:
- $150 million
for the Victoria Falls Airport project
- $141.3 million
for the rehabilitation and upgrading of water and sewage infrastructure
in Harare
- $ 89.9 million
for a medical equipment and supplies project.
Some members
of both Houses protested at not having had enough time to study
the loan agreements and at being expected to rubber-stamp agreements
to fund projects already commenced in advance of funding. But all
seemed satisfied with the Acting Finance Minister's reasons
for approving what he described as cheap concessional loans for
worthy projects, and the agreements were approved without opposition,
by the House of Assembly on 7th August and the Senate the following
day. Since then the Victoria Falls Airport loan agreement has attracted
adverse comment because it has a provision for payment of interest
and instalments out of a special escrow account into which Zimbabwe
will pay all revenue received from the Harare and Victoria Falls
airports.
Why approving
the loans was "urgent business" Acting Minister of Finance
Gorden Moyo explained to the House that if the agreements were not
approved Zimbabwe stood to lose the funds. This was because "the
Chinese Government will, in September, be sitting to evaluate all
their programmes and projects worldwide and would withdraw funding
for projects not already under implementation". On the Victoria
Falls Airport project he stressed the need to complete it in time
for United Nations Tourism Convention in August 2013.
Why were they
not brought to Parliament earlier? Not answered was why the Ministry
of Finance did not bring the agreements to Parliament before the
Houses adjourned in late July in preparation for the end of the
session. After all, the agreements were signed on 21st March and
5th April. Sitting days from April to July were not fully utilised,
so there was plenty of Parliamentary time available that could have
been devoted to dealing with these agreements properly. And that
would have avoided the additional expense and inconvenience of the
special recall.
Other
Business
House
of Assembly
Portfolio Committee
Report on Operations of State Procurement Board
While waiting
for the Acting Minister of Finance to arrive from a prolonged Cabinet
meeting, the House heard Hon Madzimure's presentation of the
report of the Portfolio Committee on Budget, Finance and Investment
Promotion on the operations of the State Procurement Board [SPB]
and contributions to the debate on the report from members of the
Committee. The report outlines shortcomings in the present system,
including unnecessary delays caused by current procedures and the
SPB's lack of capacity and expertise to evaluate large technical
tenders. It recommends an urgent review of the State Procurement
Act and its attendant regulations. [Copy of report available from
veritas@mango.zw]
All other business
on the Order Paper was left unfinished when the House adjourned
until 4th September after approving the Chinese loans. This included
the presentation of the Privileges Committee's report on the
contempt of Parliament charges against SMM administrator Mr Arafas
Gwaradzimba, which will now have to wait until the next session.
Senate
The sitting
on 7th August was adjourned after a few minutes because no Ministers
were available when Senators assembled at 2.30 pm. Senators did
not take the opportunity to make progress on unfinished business
still on the Order Paper, the most urgent being the accumulation
of adverse reports on statutory instruments from the Parliamentary
Legal Committee [see Bill Watch 37/2012 of 6th August]. It is hoped
that these will be revived and dealt with in the next Session. Delaying
on PLC reports which the Senate has done before is creating regrettable
precedents which will erode Parliaments effectiveness and public
confidence. In letting them slide they are in effect "rubber
stamping" Ministry regulations.
On 8th August
the entire sitting was devoted to the Chinese loan agreements. The
Senate then adjourned until 4th September.
Securities
Amendment Bill Gazetted
The Securities
Amendment Bill was gazetted in the Government Gazette dated 10th
August. The Bill provides for extensive amendments to the Securities
Act of 2004, and related changes to the Collective Investment Schemes
Act and the Asset Management Act. Its objective is to increase the
effectiveness of the Securities Commission, to provide further protection
for investors, and to respond to developments in the financial sector
since the principal Act was passed in 2004. Changes include making
the Commissioners non-executive, with executive powers vested in
its CEO; requiring all securities exchanges [e.g. the Zimbabwe Stock
Exchange] to be companies rather than mutual associations; establishing
a single Investor Protection Fund; and bringing asset managers and
collective investment scheme managers under the control of the Commission
rather than, as at present, the Reserve Bank. The title of the principal
Act will be changed to "Securities and Exchange Act"
and the Commission's new name will be "Securities and
Exchange Commission of Zimbabwe". [Bill available from veritas@mango.zw]
By-Elections
Deadline Approaches
Friday 31st
August is the deadline given by the Supreme Court for the gazetting
of a Presidential proclamation calling the three Matabeleland by-elections
in terms of by the Supreme Court's order of 12th July.
Status
of Bills
[Bills available
from veritas@mango.zw
unless otherwise stated]
Passed Bills
being prepared for Presidential assent before gazetting as Acts
Bill gazetted
and awaiting presentation in Parliament
- Securities
Amendment Bill [Gazetted 10th August 2012. See above.]
Bill being printed
for gazetting before presentation [not yet available]
Bill approved
by Cabinet, but not yet in the Parliamentary Pipeline
- Income Tax
Bill – mentioned by the Minister of Finance in his Mid-Year
Fiscal Policy Review
[not yet available]
Government
Gazette of 10th and 17th August
[copies not
available]
Bill
- Securities
Amendment Bill gazetted 10th August [see above]
Statutory
Instruments
Collective bargaining
agreements 2012 remuneration packages for cigarette and tobacco
manufacturing industry [SI 131/2012] and tobacco miscellaneous industry
[SI 133/2012]; comprehensive new conditions of service for employees
in grades 5 to 16 in the Harare Municipal Undertaking [SI 135/2012].
Local authority
by-laws Bindura Municipality cycle by-laws [SI 132/2012] requiring
licensing of all cycles kept in the council area, and replacing
1968 by-laws.
Radiation protection
SI 134/2012 enacts a new schedule of licensing and registration
fees for the Radiation Protection (Safety and Security of Radiation
Sources) Regulations of 2011.
General
Notices
Land acquisition
- GN 338/2012 notifies Government's compulsory acquisition
of pieces of land for urban development in Harare and Zvishavane.
Specifications
under Prevention of Corruption Act By GN 339/2012 the Co-Ministers
of Home Affairs declare Mabonde Agricultural Enterprises and two
individuals to be specified persons under the Act and assign an
investigator. [A specified cannot dispose of property, incur debts,
operate bank accounts, etc without the investigator's approval.]
Veritas
makes every effort to ensure reliable information, but cannot take
legal responsibility for information supplied
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