THE South African Communist Party (SACP) is calling on the government to fight the cost-of-living crisis.
The party's general secretary, Solly Mapaila, said this can be achieved by enhancing governance, administrative capacity and technical expertise for municipalities and provinces.
He said this would enable them to deliver and maintain infrastructure as well as other essential services and serve the people thoroughly.
On Wednesday, 1 November, Finance Minister Enoch Godongwana tabled the Medium-Term Budget Policy Statement, adjusting the current financial year's budget, ending on 31 March 2024.
“The statement outlines fiscal policy for the next three financial years, starting on 1 April 2024. We cannot overcome the cost-of-living crisis without tackling the problems with the adjustments and the fiscal policy outlined,” Mapaila said.
He pointed out that budget cuts badly impacted the government’s ability to achieve inclusive growth and large-scale employment creation, bringing down unemployment, poverty and inequality.
Mapaila said the budget cuts also favoured the private sector domination in the post-Covid-19 economic recovery and development.
“We cannot overemphasise the importance of uplifting black people, who endured racial oppression with far-reaching and long-lasting impacts and legacy still affecting one generation after another even after the hard-won democratic victory against the apartheid regime in April 1994,” said Mapaila.
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He said infrastructure network areas such as new power generation, bulk water infrastructure, railways, ports and other logistics networks are currently a major target of the current wave of the microeconomic liberalisation agenda.
He claimed that organisations like Eskom could soon be privatised.
“Where supporting investment by Eskom is mentioned, more often than not, is in transmission and distribution. Hand-in-hand with this is the unbundling of Eskom to convert its transmission section into a standalone entity that will act as a highway for moving clean energy procured from the profit-driven power producers,” he said.
He said this means Eskom will remain with only transmission, mainly, and distribution in municipalities that do not distribute electricity.
“This is one way in which privatised power generation will predominate. It is another form of privatisation,” said Mapaila.