Parliament’s ad hoc\u00a0committee on the funding of political parties has\u00a0approved a bill to regulate funding for political parties.<\/p>\n
The 11-member multiparty committee was charged with inquiring into and making recommendations on the funding of political parties represented in national and provincial legislatures.<\/p>\n
It was to consider a model of public and private funding for political parties and the desirability of regulating private funding in all its forms, including investment entities owned by political parties.<\/p>\n
On Tuesday, the\u00a0Committee recommended that existing legislation be repealed and has developed a new framework to address the weaknesses identified.<\/p>\n
This will include the formation of the\u00a0Represented Political Party Fund and the proposed Multiparty Democracy Fund – both of which will be managed by the Independent Electoral Commission (IEC). It further says that the two funds should be managed by a separate business unit with its own chief executive.<\/p>\n
Big changes<\/strong><\/p>\n Political party funding in South Africa was previously dealt with under the Public Funding of Represented Political Parties Act of 1997.<\/p>\n Under the act,\u00a0political parties were not required to declare sources of their funds or how they use their money. This led to concerns surrounding how much a party was receiving in private donations and whether the donations were all above board.<\/p>\n Under the new bill these donations will now have to be disclosed.<\/p>\n There were also concerns as to how much money each party receives, with 90% of the current R140 million sum going to the ANC, EFF and DA with the other 10% goes to the remaining 12 parties. This is now set to change with the formation of the two new funds, with the “big three” now expected to share a more equal share with smaller parties.<\/p>\n The\u00a0Committee said it would table its report in the National Assembly on Thursday 30 November 2017 for a debate and declarations.<\/p>\n
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