DEMOCRATIC ALLIANCE LAUNCHES NEW HOUSING POLICY

UNCLAS CAPE TOWN 000201 SIPDIS E.O. 12958: N/A TAGS: PGOV KDEM SF SUBJECT: DEMOCRATIC ALLIANCE LAUNCHES NEW HOUSING POLICY ¶1. (U) On September 8, Poloff attended the launch of the Democratic Alliance's (DA) new national housing policy. Party leader and Premier of the Western Cape, Helen Zille, DA Shadow Minister for Human Settlements, Butch Steyn and DA Deputy Shadow Minister for Human Settlements, Archibold Figlan presented the plan at the DA's Parliamentary offices in Cape Town. Premier Zille was quick to point out that this housing plan is what the DA intends to do "when" the DA wins the national election. Zille also stated, "in all my years in government nothing is more complex than formulating housing policy." Zille also said she prefers spreading limited resources to a wide group of beneficiaries, and "would rather see a lot of people get a little than a few people get a lot." ¶2. (U) The DA outlined the current housing crises saying that more than seven million South Africans live in desperate circumstances in shacks, backyards, derelict buildings or on the streets. Zille highlighted the failures of government to provide adequate housing for its citizens and said the reality is that the ANC cannot meet this need without empowering people and communities to make key decisions on housing for themselves. She stressed that formal housing remains a core component of the DA housing policy, but rather than offering one lump sum subsidy, the DA will introduce three possible subsidy vouchers which will allow people to choose the alternative which most closely suits their personal circumstances. The three options the DA proposes are: 1) a plot of land with installed basic services, 2) a plot of land with a state provided house already built, or 3) a rental subsidy. ¶3. (U) The DA also laid out its plan for inclusionary housing zones as part of its aim to increase opportunities for the poor. Around the world well-conceived inclusionary housing zones have been shown to create more integrated neighbourhoods without negatively affecting property values. On the question of integrated housing projects, Steyn said that it made no sense to place low-cost housing alongside million rand properties. He added that the DA was not opposed to integrated housing, but that a proper consultation process was needed before integration could take place. He said that no one benefits from a sudden devaluation of property due to low cost housing moving in to the area. He stated that the DA found there has been very little consultation with host communities leading to ill feelings and distrust among the existing neighborhood and the newcomers. Steyn reiterated that the government could not meet its housing obligations unless it empowered its citizens to make their own decisions regarding which housing option is best suited for them. ¶4. (U) Although most of the presentation was geared towards the DA's national housing policy, Zille did give a few examples of housing problems in the Western Cape. She said there are currently 250 informal settlements on unsecured land as a result of land invasion in the Western Cape. The cost of servicing this land would be 30 billion rand, which is more than the province can afford. As an example, the city of Cape Town's budget is only 3 billion rand per year. Zille will be meeting with President Zuma on September 16 to discuss service delivery to the Western Cape.