Cape Town - Talk that the president, his deputy, cabinet and deputy ministers should use locally made cars, which "still can be painted black to intimidate other road users", sparked gasps and giggles at Wednesday’s public hearings into the medium-term budget policy statement.
There's little wiggle room for a little lightness when it comes to matters budgetary in a tough low-growth environment, but one was a Wits University professor's suggestion that members of the executive could be transported "quite comfortably" in the back of a C-Class Mercedes-Benz, 3 Series BMW or a Toyota Fortuner, all made in South Africa.
When Wits School of Economic and Business Science head Professor Jannie Rossouw suggested "these vehicles can still be painted black to intimidate other road users", even louder guffaws and head shaking erupted in Parliament's Good Hope Chambers.
Finance committee chairman Yunus Carrim stepped in, saying the professor's "tone will provoke" - "you ignited it" - but also assured Rossouw he was being listened to.
Government use of luxury cars, or the blue light brigade, has long been a red flag for opposition parties, but in 2013, cutbacks on luxury cars were introduced as part of the "haircut", officially known as cost-containment measures, to curb government spending.
Going local for official transportation was one suggestion among many on how to find dearly needed cash, not only for higher education, but other government priorities heard during yesterday's MTBPS public hearings.
‘TAX THE RICH’
While a wealth tax was opposed, higher taxes for the wealthy, or the around 150 000 South Africans earning more than R1 million a year, was one proposal.
Increasing the tax rate by four percentage points to 45 percent on those individuals earning between R1 million and R2 million, and increasing tax to 50 percent for those earning more than R2 million would net the national coffers some R6.8 billion.
Labour federation Cosatu supported a tax on luxury goods, and a wealth tax, but rejected the possibility of VAT increases and a repeat of general tax increases, as happened in February's Budget.
Cosatu parliamentary liaison official Matthew Parks told parliamentarians the federation had been "deeply distressed" by the tax hikes earlier this year as it hit the pockets of the already squeezed working and middle class. Increases in VAT would be even worse as these would also hit the poor.
And he tackled the elephant in the room - the public service wage bill boosted by an above inflation salary increase, which Finance Minister Nhlanhla Nene said had gobbled up the whole R5 billion contingency fund.
"It's a bit unfair to make teachers and nurses the scapegoats for our problem," Parks said.
Instead, there must be an end to "bling expenditures" like mayors of cash-strapped municipalities putting full-colour photographs of themselves in local newspapers, Parks added.
The Star