Tuesday, 30 September 2014

Letter to Minister Jeff Radebe re the turf war hampering Small Business Development department

Below is the text of the letter I sent to Minister in the Presidency Jeff Radebe requesting him to intervene in the turf war between the Departments of Small Business Development, Trade & Industry and Economic Development.


The Honourable Jeff Radebe MP
Minister in the Presidency
Union Buildings
Private Bag X1000
Pretoria,
0001
    

29th September 2014
 

Dear Minister Radebe 

Problems facing the establishment of the Department of Small Business Development

On Thursday and Friday last week the Portfolio Committee on Small Business Development held a strategic workshop where the Ministry and Department presented their vision and plans and the committee members interrogated them. 

Of concern to me is that there appears to be a turf war developing between this department and the Departments of Trade & Industry and Economic Development over where certain functions should sit. The Acting Director General, Ms Pumla Ncapayi, reported to the Committee that the DED is intent on retaining control of the Small Enterprise Finance Agency, while the DTI is of the same view with regard to the Incubator Support Programme. 

I am sure you will agree with me that these two functions – finance and incubation for small businesses – sit squarely within the remit of Small Business Development. Now that the President has created this department it would be odd to say the least if it were not fully capacitated to do its job. 

There is multi-party agreement that small businesses will create the majority of the 11 million jobs we need by 2030, as outlined in the National Development Plan. Minister Zulu cannot be expected to play her part in facilitating this process of job creation if she is shackled from the start. 

I am therefore appealing to you to intervene and find a settlement between the three ministries so they can get on with the important work ahead without delay. The Portfolio Committee is unanimous on this matter and I am sure the Chairperson, the Honourable Ruth Bhengu MP, will be taking it up through appropriate ANC structures as well. 

I look forward to your response. 

Yours sincerely 

Toby Chance MP
Shadow Minister for Small Business Development

CC
The Honourable Lindiwe Zulu, MP
The Honourable Ruth Bhengu, MP

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