EU worried about nationalisation talk

Johannesburg - The nationalisation of mines could not willy-nilly become ANC policy by 2012, secretary-general Gwede Mantashe said in United Kingdom on Friday.

"The idea of nationalisation of the mines as raised by the ANCYL will have to go through the ANC's economic transformation committee, the national general council (to be held later this year) and the policy conference before even reaching the National Conference in 2012," he said.

"Every idea in the African National Congress goes through a rigorous process before it can become policy."

Mantashe was addressing the Progressive Business Forum of the ANC in London, United Kingdom. A copy of his speech was sent to Sapa. The forums seeks to promote contact between international business and the ANC.

Mantashe told the audience he met European Union ambassadors last week, who raised concerns over talks of nationalisation.

The envoys claimed the issue worried investors, Mantashe said.

Earlier in the week, ANC Youth League president Julius Malema told Parliament's mining portfolio committee the ruling party would adopt a policy in 2012 to put all mining rights and resources in state hands.

He also urged an immediate moratorium on issuing mining licences, to prevent private companies from "looting" mines before they were nationalised, which he said was inevitable.

Mantashe told investors on Friday the ruling party had proven it was a "practical and pragmatic" organisation, which was why all its policies were balanced.

"This track record must put investors at ease," he said.

He said the country and the ANC were politically stable.

"We have gone through various tests over the past two-and-a-half years. It is only in South Africa, in our continent that a party can recall a sitting president and two provincial premiers and there be no ruction."

Mantashe said the formation of the Congress of the People by agroup of dissatisfied ANC members left the ANC with 65.9 percent support among voters. The "actual number" of people who supported the ANC increased from 10.8 million to 11.6 million last year, he argued, without mentioning over what period this happened.

He said investors were worried about the succession within the party.

"We explained that electing the leadership in the ANC is not conspiracy or plotting. It is a legitimate political activity that must be allowed and branches of the ANC given space to discuss the question of leadership."

Earlier news agency Reuters quoted Mantashe saying that Malema had to toe the party line or face expulsion.

"If anyone crosses the line he may have his membership summarily suspended... That goes not just for Malema, but for everyone."

- Sapa