28 Jun.
Cosatu in favour of nationalising mines, banks.
The Congress of South African Trade Unions (Cosatu) remains firmly in support of the nationalisation of the mines and the banks.
This is stated in Cosatu secretary general Zwelinzima Vavi’s report to the union federation’s fifth central committee meeting that started on Monday.
Vavi’s report, parts of which have already been leaked to the media, would be formally presented to the meeting in a closed session on Tuesday.
On the question of Cosatu’s policy on nationalisation, the report said it was firmly pro the clause in the Freedom Charter that stated the national wealth of the country shall be restored to the people.
“We are strong proponents of this clause of the Freedom Charter and this places us firmly on the side of the debate that would support nationalisation of mines, the banks and monopoly industry. Nationalisation means transferring ownership to the people as a whole with the State representing the people,” the report stated.
It said the debate was both political and practical.
“Practical as the mines are now mainly in the hands of monopoly capital. Does this support that the State must confiscate all mines through legislation or must we pay compensation to the owners at market prices? (sic),” Vavi’s report said.
Referring to the government’s formation of a state mining company, Vavi said that merely owning a state company to invest in mines was not nationalisation.
Government launched the African Exploration Mining & Finance Corporation in February following an announcement by President Jacob Zuma in his state of the nation address earlier that month.
“Setting up a State company talks more to an active State that plays a direct role in the mining industry with the sole purpose of accessing resources for other State activities, such meeting the basic needs of the people,” it said.
Vavi’s report goes on to say that Cosatu was united in its demand for nationalisation as reflected in the Freedom Charter.
It said the Minerals, Petroleum and Resources Development Act placed ownership of all mineral resources in the people, meaning that mining companies are obliged to apply for and pay fees or licenses to mine mineral resources.
“Nationalisation means that the State, acting on behalf of all citizens, will take over companies and their resources and transfer them to the people. This has not happened. The creation of a government mining company and the Minerals, Petroleum and Resources Development Act whilst representing advances, do not equal nationalisation,” Vavi’s report said.
Source: Times Business LIVE
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