# summary

- Link: https://dearsouthafrica.co.za/green-paper/summary/
- Published: 2021-08-19T19:19:51+02:00
- Author: dearSA

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[ What is a Green Paper?](https://dearsouthafrica.co.za/green-paper/summary/#)

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### What is a Green Paper?

 _Info kindly provided by [PMG](https://pmg.org.za/)_

**A. Green and White Papers**
 The process of making a law sometimes begins with
a discussion document, called a Green Paper. This is drafted in the Ministry or 
department dealing with the particular issue in order to show the way that it is
thinking on a particular policy. It is then published so that anyone who is interested
can give comments, suggestions and ideas.

The Green Paper is sometimes followed by a more refined discussion document, called
a White Paper, which is a broad statement of government policy. This is drafted 
by the relevant department or a task team designated by the Minister of that department.
Comments may again be invited from interested parties. The relevant parliamentary
Committees may propose amendments or other proposals and then send the policy paper
back to the Ministry for further discussion and final decisions.

**B. Bills**
 A Bill is the draft version of a law or Act. It may be proposing either
an entirely new Act, or an amendment to an existing Act, or it can simply repeal
an existing Act.

This section outlines some of the processes and requirements that can take place
before a Bill becomes a law. It deals with the various types of Bills and who may
initiate a Bill. The following section tracks how a Bill becomes a law. The Constitution
provides the full details which are not included here.

**a) Bills before Parliament**
 There are four main types of Bills that come before
Parliament:

 1. Ordinary Bills that do not affect the provinces (section 75 of the Constitution);
 2. Ordinary Bills that affect the provinces (section 76 of the Constitution);
 3. Money Bills (section 77 of the Constitution); and
 4. Bills amending the Constitution (section 74 of the Constitution)

(Bills are often loosely referred to by the section of the Constitution which describes
their procedure. For example “Section 75 Bills” refers to the ordinary Bills that
do not affect the provinces etc..)

The process of classifying a Bill into one of the four categories above is called“
tagging” and will determine the procedures the Bill must follow to become law. If
a Bill does not clearly fit into one category, or if it fits into more than one 
category, it is usually redrafted or split into more than one Bill. Bills are tagged
by the Joint Tagging Mechanism (JTM), a Committee consisting of the Speaker and 
the Deputy Speaker of the National Assembly and the Chairperson and Permanent Deputy
Chairperson of the National Council of Provinces. They are advised by the Parliamentary
Law Adviser. The JTM decides on the classification of the Bill by consensus.

(For more detail on the functions and procedure of the JTM, please refer to the 
Joint Rules of Parliament, as amended on 24 March 1999.)

**1. Ordinary Bills that do not affect the provinces (Section 75 Bills)**
 An ordinary
Bill that does not affect the provinces can only be introduced in the National Assembly(
NA). Once it has been passed by the NA, it must be sent to the National Council 
of Provinces (NCOP).

In this case, delegates in the NCOP vote individually and the Bill must be passed
by a majority of delegates present. If the NCOP rejects a Bill or proposes its own
amendments, the Bill is returned to the NA which will pass the Bill with or without
taking into account the NCOP amendments or it may decide not to proceed with the
Bill. The NCOP’s role in Bills that do not affect the provinces is therefore a limited
one. It can delay a Section 75 Bill, but it cannot prevent it from being passed.

**2. Ordinary Bills that affect the provinces (Section 76 Bills)**
 A Bill that 
affects the provinces may be introduced in either the NA or the NCOP, but must be
considered in both Houses.

Members of the NCOP do not vote as individuals on Section 76 Bills but rather as
provincial delegations. Each provincial delegation has one vote so there are nine
possible votes regarding Bills that affect the provinces.

These Bills must also be discussed by each provincial legislature so that each legislature
can give its NCOP delegation a voting mandate. This makes it necessary to have six-
week legislative cycles so that a number of Bills can go to each province at one
time.

Bills are usually considered by a provincial Committee, which may hold public hearings
on the Bill to receive comments and suggestions. These Committees make recommendations
to their legislatures, which then decide on their position on each Bill and mandate
their NCOP delegation accordingly.

The four special delegates to the NCOP (who are supposed to be chosen according 
to their expertise and knowledge of the Bills being debated) go to Cape Town to 
join the six permanent delegates. The full delegation of ten people participate 
in the national debate on the Bills, thus enabling the provinces to contribute to
national legislation that affects them. The delegation then casts its one vote on
behalf of its province and in accordance with the provincial legislature’s mandate.

The NCOP must pass, amend or reject a section 76 Bill. If the Bill was introduced
in the NA, however, the NA can override the NCOP decision with a two thirds majority
of its Members.

**3. Money Bills (Section 77 Bills)**
 Money Bills allocate public money for a particular
purpose or impose taxes, levies or duties. They can only be introduced by the Minister
of Finance and they must be introduced in the National Assembly. They follow the
same procedure as that for Bills that do not affect the provinces (Section 75 Bills).
At present Money Bills may only be debated and not amended as, according to the 
Constitution, Parliament must still devise legislation for a procedure to amend 
Money Bills.

**4. Constitutional Amendments (Section 74 Bills)**
 As the highest law in the land,
the Constitution is the foundation for a democratic society and protects the rights
of all people. There are special requirements and procedures, therefore, in order
to amend the Constitution. All of them require special majorities so that changes
cannot be made by a minority. For example, amending the Bill of Rights requires 
a vote of two-thirds of the membership of the National Assembly and the support 
of six provinces in the NCOP.

All constitutional amendments that affect the provinces must be passed by both Houses.
Amendments which affect only certain provinces, must be passed by those provinces.
Other amendments do not need to be passed by the NCOP but all amendments, whether
or not they must be passed by the NCOP, must be submitted to the NCOP for public
debate.

In addition, minimum times are laid down for different stages of the legislative
process. All constitutional amendments must be published in the Government Gazette
with a call for public comment at least 30 days before being introduced in Parliament.
After the Bill which proposes amendments to the Constitution is tabled, 30 days 
must pass before it can be put to a vote in the National Assembly.

**b) Bills before the Provincial Legislature**
 There are two different types of
Bills that come before provincial legislatures:

 1. Bills other than Money Bills;
 2. Money Bills;

The procedure for processing these three types of Bills differs slightly.

**1. Bills other than Money Bills**

 1. An ordinary Bill is introduced in the provincial legislature and is referred to
    the relevant Standing Committee.
 2. Either public hearings may be held to hear the public’s views regarding the Bill
    or a Standing Committee may invite interested parties to make written submissions
    to the Committee.
 3. The Committee then considers the Bill and may propose amendments to it.
 4. After consideration by the Committee, a report with recommendations on the Bill
    is submitted to the House.
 5. A debate takes place on the objectives and principles of the Bill in the House 
    and the MPLs vote.
 6. If there is a majority of votes in favour of the Bill, the Bill is passed. If there
    is no majority, the Bill is rejected.

**2. Money Bills**
 A Bill that appropriates money or imposes taxes, levies or duties
is called a Money Bill. Only the MEC responsible for Finance is able to introduce
a Money Bill in the House.

 1. Money Bills are referred to the Committee of Finance for discussion for a maximum
    of seven working days.
 2. After discussion, the Committee submits a report to the House.
 3. The Committee is not allowed to propose any amendments to the Bill, as there is
    not yet legislation that allows this.

**C. How a Bill becomes a Law**
 _**The initiation of Bills**_ A Bill can be initiated
and written by a number of bodies.

 * **By a Minister or an MEC**
    Most national and provincial Bills are drawn up 
   by a Minister at national level or an MEC at provincial level. A draft Bill follows
   a number of steps before introduction. There is interaction between the Department
   and the Chief State Law Adviser (OCSLA), before and after Cabinet approval. This
   can take a month, or a few years, depending on factors such as the complexity
   of the Bill, its controversial nature and the level of public consultation. After
   Cabinet approval, and after the Department and the OCSLA have addressed all outstanding
   issues properly, the Bill is certified by a State Law Adviser and submitted to
   Parliament’s Bills Office.
 * **By an MP or an MPL**
    Bills drawn up by individual Members are called Private
   Members Bills. The Constitution expressly gives both individual MPs and MPLs,
   and committees the power to initiate legislation (in sections 73 and 119). Private
   member’s bills usually concern very specific matters of interest to specific 
   constituencies. The drafting and certification of Private Members Bills are done
   by a Parliamentary Legal Adviser (not a State Law Adviser), and Cabinet has no
   role.

Input is required from a department or an organ of the state which could be affected
by a proposed Private Members Bill. The relevant parliamentary committee would have
to discuss those inputs. When a Member initiating the Bill briefs the Committee,
they must inform the Committee of the date on which they published the Bill and 
the explanatory memorandum attached to it. The Member must also state if they received
any public inputs, which must be presented to the Committee. These inputs would 
inform the Members’ discussion.

This process would lead up to a motion of desirability in Rule 286(4)(I). This states
that the Committee, after due deliberation, must consider a motion of desirability
on the Bill. If rejected, the Bill must be immediately reported on. If the motion
of desirability is adopted, then the Committee can proceed to deliberate on the 
details of registration. Proceeding to Rule 286(6), explains ‘due deliberation is
the process of enquiring into the Bill, the Committee must where applicable and 
as far as possible apply the following stages:

    - An informal discussion on the principle and subject of the Bill, including
      a briefing by the Member.
    - Consideration of the public comments received.
    - The adoption of a motion of desirability if the principles and needs of the
      Bill are accepted.
 * **By a Committee**
    Parliament has recently drafted rules and procedures enabling
   a Committee to initiate a Bill. A Bill initiated and introduced by an Assembly
   committee does not have a First Reading but upon introduction must be placed 
   directly on the Order Paper for Second Reading unless the Bill is referred to
   a joint committee.

**Procedure for Committee Bills:**

 1.  a. Section 73 (2) of the Constitution and National Assembly 268 provide that Committees
        may introduce legislation in the Assembly with the permission of the House
     b. In terms of Rule 273, a Committee intending to introduce a Bill, for the purposes
        of obtaining the permission of the House, must table a memorandum setting out 
        the particulars of the proposed Bill.  There have been cases where the Assembly
        has instructed a Committee to introduce a Bill, i.e. granting the Committee permission
        in terms of this rule.
     c. Rule 274 prescribes that, if the House gives permission to a Committee to introduce
        a Bill, the Committee must prepare a draft Bill and a memorandum, consult the 
        JTM for advice on the classification of the Bill and comply with the Rules 276
        and 279.
     d. Rule 275 and 276 states that a Bill may only be introduced in the Assembly if 
        prior notice of its introduction has been given in the Government Gazette with
        an invitation to interested persons to submit written representations.In terms
        of Rule 275, the Committee, before introduction, must give interested persons 
        at least three weeks to make submissions, confer with the relevant State Department,
        consult the JTM and may, in view of any comments, adjust the draft Bill before
        introduction.  This essentially fulfils the requirement of public participation.
     e. In accordance with Rule 279, a Committee introduces a Bill in the Assembly by 
        submitting both a copy of the Bill and a memorandum to the Speaker. The memorandum
        must, inter alia explain the objects of the Bill; give account of the expected
        financial implications for the State; contain a list of all persons consulted;
        and a legal opinion and certification by a parliamentary legal advisor on the 
        proposed classification of the Bill and its compliance with the Constitution and
        drafting conventions respectively. Once introduced the Bill is formally classified
        by the JTM.
     f. In terms of Rule 283, a Bill initiated by a Committee does not have a First Reading
        but, upon introduction, must be placed directly on the Order Paper for Second 
        Reading.

**a) Bills tabled in Parliament**
 Most Bills tabled in Parliament are introduced
by the Executive and are either

 1.  a. ordinary Bills that do not affect the provinces (Section 75 Bills); or
     b. ordinary Bills that affect the provinces (Section 76 Bills).

**1. Bills that do not affect the provinces (section 75 Bills)**

 1. A draft Bill, which has been drafted by a government department, is submitted by
    the relevant Minister to the Cabinet for approval.
 2. The state law advisers must refine and approve the draft Bill.
 3. The Bill is then introduced and tabled in the National Assembly for what is known
    as the First Reading. The Bill is also published in the Government Gazette.
 4. The Bill is then referred to the relevant Committee in the National Assembly which
    considers the Bill and may agree to it, propose amendments or reject the Bill, 
    generally after a process of public consultation.
 5. The Second Reading then takes place where the Bill is debated and voted on at a
    sitting of the National Assembly.
 6. If there is a majority of votes in favour, the Bill is passed and the Bill is then
    referred to the NCOP for consideration.
 7. The NCOP can accept or reject the Bill or propose amendments to it:

 * If the NCOP passes the Bill without amendments, it goes to the President for 
   his assent and signature and the Bill then becomes law. The Act appears in the
   Government Gazette and comes into effect on a date determined by the President.
 * If the NCOP proposes amendments to or rejects the Bill, it must go back to the
   National Assembly for reconsideration. The National Assembly can pass the Bill
   with or without the NCOP amendments, or it can reject the Bill.

_Note_: While both Houses must consider Bills that do not affect the provinces, 
the NA may actually override the NCOP and pass the Bill despite opposition by the
NCOP. It then submits the Bill, either in its original form or with amendments, 
to the National Assembly with a report.

**2. Bills that affect the provinces (Section 76 Bills)**
 Schedule 4 of the Constitution
lists the matters that affect the provinces and which therefore have to be dealt
with in Section 76 Bills.

These include casinos; racing; gambling; cultural matters; disaster management; 
education excluding tertiary education; environment; health services; housing; population
development; public transport; tourism; trade; traditional leadership; welfare services;
and child care facilities.

Bills that affect the provinces may be introduced in either the National Assembly
or the NCOP. Once introduced in Parliament, Bills are also sent to the provincial
legislatures so that they can begin considering them.

If the Bill is tabled in the National Assembly:

 1. The Bill is introduced by a Cabinet Member or a Deputy Minister, or a Member or
    Committee of the National Assembly.
 2. The Bill will be referred to a National Assembly Committee for consideration. Sometimes
    public hearings will be held.
 3. The National Assembly would then either pass, amend or reject the Bill. If it passes
    the Bill or amends it, the Bill (with any amendments) is referred to the NCOP.

If the Bill is tabled in the National Council of Provinces:

 1. The Bill can only be introduced by a Member or Committee of the NCOP.
 2. The Bill will be sent to an NCOP Committee, which will receive a briefing on the
    Bill so that the NCOP Members can tell their respective provincial legislatures
    about the Bill.
 3. It is then considered by each of the nine provincial legislatures. The NCOP Members
    will go back to their provinces so that they can participate in the debate in their
    own provincial legislatures.
 4. Each provincial legislature will refer the Bill to a Committee, which will consider
    the Bill and may hold provincial public hearings on the Bill. The NCOP Members 
    get a voting mandate from their provincial legislatures. Each provincial delegation
    has one vote on each Bill.
 5. The NCOP delegates then return to Cape Town with a negotiating mandate. The NCOP
    Committee considers the Bill and negotiation takes place among the nine provincial
    delegations.

 * If the NCOP passes the Bill, it goes to the President for his assent and signature.
 * If the NCOP rejects or amends the Bill it goes back to the National Assembly 
   for reconsideration.
 * If the National Assembly accepts the amended Bill, it goes to the President for
   his assent.
 * If the National Assembly rejects the NCOP amendments, the Bill goes to a Mediation
   Committee comprising of Members from the National Assembly and Members of the
   NCOP.

6. If the Mediation Committee is unable to agree within 30 days of the Bill’s referral
to it, the Bill lapses.

A Mediation Committee may agree on

 * the Bill as passed by the National Assembly;
 * the amended Bill as passed by the NCOP;
 * another version of the Bill
    for details concerning the outcome of these three
   options, refer to Section 76 of the Constitution.)

Note: While the NCOP has more power to change section 76 Bills than section 75 Bills,
if a Bill has been introduced in the NA, the NA is once again able to disregard 
the NCOP and pass Section 76 legislation with a two thirds majority vote. If a section
76 Bill is introduced in the NCOP, the Bill lapses if agreement cannot be reached
between the two Houses.

Before a new Act comes into force, it has to be “enacted”. This involves the President
declaring the Act’s commencement date in the Government Gazette. Acts are only enacted
once the responsible department has indicated that it is ready and has the capacity
to implement the new law.

**b) Bills tabled in the Provincial Legislature**
 Schedule 5 of the Constitution
of South Africa lists the areas over which the provinces have exclusive legislative
control. These areas include ambulance services; libraries other than national libraries;
provincial cultural matters; provincial sport; beaches and recreation facilities;
cemeteries; funeral parlours and crematoria, cleansing, markets; municipal parks
and recreation.

 1. A Bill may be drawn up by a Member of Executive Council (MEC), a Member of Provincial
    Legislature (MPL) or a Committee.
 2. The draft Bill is presented to and approved by the Executive Council.
 3. The Bill is published in the Provincial Gazette, and notices are placed in various
    newspapers which bring the Bill to the attention of the public. After this, the
    public has at least 14 days to comment on the Bill.
 4. The Speaker introduces the Bill to the House and decides which is the best Committee
    to deal with the Bill.
 5. The MPLs in the Committee debate the Bill and propose amendments, generally after
    a process of public consultation.
 6. The House votes and, if there is a majority of votes, the Bill is passed.
 7. It then goes to the Premier of the province for signature and becomes a provincial
    Act. The provincial Act must be published promptly and takes effect when published
    or on a date determined in terms of the Act.
 8. If there is no majority, the Bill is rejected.

**Sources**:

 * _IDASA’s Political Information & Monitoring Service (1998), Down Government Avenue_
 * _Gauteng Legislature (1996) A People’s Guide to the Gauteng Legislature_
 * _Constitution of South Africa, Annotated Version_
 * _Taylor, Mandy (1998) How a Bill becomes Law (paper presented at a Parliamantary
   Monitoring Group training workshop, 1998)_
 * _Public Education Department, Parliament of RSA, Parliament, Making Democracy
   Work_
 * _Legislative Training Programme, School of Government, University of the Western
   Cape Draft Information Handbook for Members of Legislatures_
 * _Northern Cape Legislature Northern Cape Legislature Manual_
 * _Section 76 Diagram compiled by Alison Tilley, Black Sash Trust – National Advocacy
   Monitor_
 * _Department of Public Law, University of Cape Town, Law-making_

### Mandatory government pension fund

The green paper proposes creating a mandatory pension and insurance system called
the National Social Security Fund (NSSF) that will be funded with payroll contributions
ranging between 8% and 12% of earnings, with the following thresholds in place:

 * Workers earning more than the ceiling of R276,000 per annum, or R23,000 per month,
   will not be obligated to contribute on income above that level.
 * Workers earning less than R20,000 per year should not be obliged to contribute
   to the NSSF, though they will continue contributing to the UIF.

### Universal Basic Income Grant

To fund the lowest level of its proposed universal basic income grant, the Department
of Social Development said a 10-percentage point increase on income taxes would 
be needed to raise R200 billion.

The paper says that government should strive to achieve a basic income for all South
Africans of at least R7,500 per month using a combination of the grant and labour.

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### STATEMENTS FROM OTHER ORGANISATIONS

Click on a logo to view.
 Want to display your organisation’s statement? [Click here. ](https://dearsouthafrica.co.za/green-paper/summary/ referendum@dearsouthafrica.co.za?subject=org info for referendum info page)

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### Cape Independence Advocacy Group

### Dear Speaker,

I am writing to you on behalf of the Cape Independence Advocacy Group (CIAG) and
the seventy thousand South Africans who actively follow our work.

We wish to comment on the ‘Electoral Commissions Amendment Act, 2021’, which is 
proposed by the Democratic Alliance (DA) and was published in the Government Gazette
on 21 June 2021.

Given our mandate, our comments are made in the context of the Western Cape, although
we appreciate and respect that the constitutional rights enacted through this bill
will rightfully apply to all provinces.

This bill is essential to restoring some degree of functional democracy to the voters
of the Western Cape and we therefore unreservedly and wholeheartedly endorse it.

Through their voting behaviour, Western Cape voters have made it abundantly clear
that they do not endorse many of the policy and ideological positions of the South
African national government, but are left utterly powerless to resist them because
the voters in other South African provinces, who greatly outnumber them, hold starkly
different ideological and political opinions.

In terms of seeing their democratic will enacted, for the majority of Western Cape
voters, the democratic era has not offered much of an improvement over the apartheid
era. It is a statistical fact that, since 1994, the majority of Western Cape voters
have never been governed by the political party they voted for, and they have no
foreseeable prospect of ever being governed by the party they vote for. As such,
they cannot be said to have functional democracy.

One of the few glimmers of democratic hope Western Cape voters do have, is the provision
of Clause 127(2)(f) of the national constitution, and 37(2)(f) of the Western Cape
constitution, which allows them, at the discretion of the premier who they elected,
to have their voices heard on matters which are important to them, without being
drowned out by a national majority who fundamentally hold different views.

To deny Western Cape voters this constitutional right would be a very serious infringement
of their political rights and freedoms, and would be a clear indication that parliament
and the national government are not interested in the constitutional rights and 
democratic wishes of Western Cape voters.

We therefore call upon parliament to pass this bill at the earliest opportunity,
and without objection.

Yours Faithfully

**Phil Craig
 
(On behalf of the Cape Independence Advocacy Group)

### LISTEN

ChaiFM – [New Blue Review with Benji Schulman (Rob Hutchinson as guest)](https://www.chaifm.com/podcast/2021-08-23-green-paper-on-a-mandatory-pension-fund-and-basic-income-grant-rob-hutchinson-md-of-dear-south-africa/)

### IN THE MEDIA

 * MyBroadband – [Big tax hike to fund universal basic income in South Africa — and a mandatory pension system](https://mybroadband.co.za/news/business/410392-big-tax-hike-to-fund-universal-basic-income-in-south-africa-and-a-mandatory-pension-system.html)
 * Businesstech – [7 reasons why government should scrap its proposed ‘social security fund’](https://businesstech.co.za/news/finance/514416/7-reasons-why-government-should-scrap-its-proposed-social-security-fund/)
 * Businesstech – [Proposed ‘social security fund’ would cost South Africans an extra R2,750 a month in tax](https://businesstech.co.za/news/wealth/514622/proposed-social-security-fund-would-cost-south-africans-an-extra-r2750-a-month-in-tax/)