J O B U R G A D V O C A C Y G R O UP (JAG)

Working for best practice governance in the City of Johannesburg

What the ANCYL hasnt told you about nationalisation A transcript from Twitter
19 June 2011

JoburgAdvocacyJoburgAdvocacyGroup #jgov What the #ANCYL hasn't told you about nationalisation ... JoburgAdvocacyJoburgAdvocacyGroup #jgov 1. Nationalisation doesn't usually benefit the poor and disenfranchised, it enriches the state. #ANCYL

JoburgAdvocacyJoburgAdvocacyGroup #jgov 2. Nationalisation is really state capitalism, it's not a meaningful expression of democratic socialism.

JoburgAdvocacyJoburgAdvocacyGroup #jgov 3. Re: mines. Gold probably already at peak - production likely to fall significantly in next 10 yrs. #ANCYL

JoburgAdvocacyJoburgAdvocacyGroup #jgov 4. Re: mines. Cost/benefit ratio of all mining under pressure. #ANCYL

JoburgAdvocacyJoburgAdvocacyGroup #jgov 5. Nationalisation will make acid mine drainage exclusively a state responsibility. #ANCYL

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JoburgA

ocacyJoburgA

ocacyGroup ill ave to be Y

jgov 6. ost of AMD

anagement is a cost in perpetuity i.e. AMD

managed indefinitely. A

JoburgAdvocacyJoburgAdvocacyGroup jgov 7. Under t ese circumstances, many mine owners are probably queuing up to ave mines nationalised. A Y

JoburgAdvocacyJoburgAdvocacyGroup jgov 8. Failed empowerment projects li e Aurora will also escape liability t rough nationalisation. A Y

JoburgAdvocacyJoburgAdvocacyGroup jgov . Mining and mineral rights are two different things. A Y

JoburgAdvocacyJoburgAdvocacyGroup jgov . The state already owns all mineral rights, which is why mines ha ve to apply Y

for mining licences. A

JoburgAdvocacyJoburgAdvocacyGroup jgov More on mining rights here: http://bit.ly/mhwMb2 (Statement issued by the Presidency). A Y

JoburgAdvocacyJoburgAdvocacyGroup jgov . The process of extracting and processing gold etc. requires capital Y investment . A

JoburgAdvocacyJoburgAdvocacyGroup jgov 2. arge capital intensive projects in today's globalised world usually require foreign direct investment. A Y .

JoburgAdvocacyJoburgAdvocacyGroup jgov I . If there's no benefit to the investor, they're not going to invest. Even hina won't bite ... A Y
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2 f5

JoburgAdvocacyJoburgAdvocacyGroup jgov . e:mines. One final cautionary word: Aurora.

JoburgAdvocacyJoburgAdvocacyGroup jgov year. A . Only Y municipalities (of 28 ) received clean audits in the 2009 financial

JoburgAdvocacyJoburgAdvocacyGroup jgov 6. Only 7% of the country's sewage plants comply with national and international standards. (TimesLive 29/04/ 0). A YL

JoburgAdvocacyJoburgAdvocacyGroup jgov 7. If the state can't run municipalities and sewage plants, how is it going to runs mines, farms and banks? A YL#realpolitik

JoburgAdvocacyJoburgAdvocacyGroup #jgov 8. e:land. The state already owns 2% of all land in SA. and % in the . #A YL % in Gauteng

JoburgAdvocacyJoburgAdvocacyGroup #jgov 9. Breakdown of state ownership of land ( 0 May 2011): http://bit.ly/lAAyjI

JoburgAdvocacyJoburgAdvocacyGroup #jgov 20. #A YL fails to mention shared ownership schemes many already

working successfully in SA. JoburgAdvocacyJoburgAdvocacyGroup #jgov 21. So why nationalisation and not shared ownership? Is this about empowering the people or enriching the state? #A YL

JoburgAdvocacyJoburgAdvocacyGroup #jgov 22. There has to be land reform SA, but is nationalisation the way to go? #A YL

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JoburgAdvocacyJoburgAdvocacyGroup #jgov 23. A sudden mass displacement of existing commercial farmers could impact severely on food security. #A YL

JoburgAdvocacyJoburgAdvocacyGroup #jgov 24. A sudden shortage of food would definitely result in widespread unrest esp. in urban areas. #A YL

JoburgAdvocacyJoburgAdvocacyGroup #jgov 25. e: residential property. Most residential property in SA is bonded. future owners take over this debt or abandon it? #A JoburgAdvocacyJoburgAdvocacyGroup JoburgAdvocacyJoburgAdvocacyGroup #jgov 26. Large-scale defaults on mortgages = collapse of commercial banks (cautionary reminder: global financial crisis). #A YL YL ill

JoburgAdvocacyJoburgAdvocacyGroup #jgov BT , those would be the same banks the #A YL intends to nationalise ...

JoburgAdvocacyJoburgAdvocacyGroup #jgov 27. e: banks. Large international sh areholders likely to pull out before nationalisation legislation can even be passed. #A YL

JoburgAdvocacyJoburgAdvocacyGroup #jgov 28. Ditto for mines - asset stripping and investor pull -outs will happen before legislation can even be passed. #A YL

JoburgAdvocacyJoburgAdvocacyGroup #jgov 29. e: investment banks. hose money are they investing? Mainly public YL

sector and union pension funds. #A

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JoburgAdvocacyJoburgAdvocacyGroup #jgov 30. Question: will all hancellor House investment holdings be nationalised too? #A YL

End.

eleased by the Joburg Advocacy Group

jag-sa@telkomsa.net

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