EFF discloses donations for the first time, ANC gets R15 million from Shell-linked company

The Independent Electoral Commission (IEC) has confirmed that a total of just over R46 million in donations has been declared by political parties.

“This amount is greater than the R30,008,841.74 declared in the first quarter, but short of the R 56,880,644.47 declared in the second quarter,” the IEC said in a statement on Tuesday.

The commission released its third quarterly report, with 11 political parties disclosing donations over R100,000 as required by the Political Party Funding Act (PPFA).

The PPFA regulates the public and private funding of political parties.

ALSO READ: Stop ANC receiving ‘dirty money’ by changing party funding act, says Zondo

The ANC received the highest amount of donations of all parties, declaring R22 million (R22,803,969) despite having previously complained that they had experienced trouble raising funds.

Batho Batho Trust donated R15 million to the ANC, making it the largest amount a party has received from a single monetary donor in the third quarter.

Shell-linked Batho Batho Trust

Batho Batho Trust has a majority stake in Thebe Investments, the local empowerment partner of Shell SA. The trust could potentially also make millions from shale gas exploitation in the Karoo.

Shell has applied for exploration rights in the area.

The government was recently criticised by the public after supporting Shell’s seismic survey off the Wild Coast in Eastern Cape.

ALSO READ: Shell, Mantashe loses appeal against Wild Coast seismic survey

Mineral resources and energy minister Gwede Mantashe even accused environmental groups of “harassing” Shell and failing to see the investment South Africa needs to curb poverty and solve its energy problems.

“We consider the objections to these developments as apartheid and colonialism of a special type, masqueraded as a great interest for environmental protection,” Mantashe said at the time.

EFF’s first declaration

The Democratic Alliance (DA) is second on the donations list, after receiving just over R12 million (R12,519,623.47), while ActionSA declared R5 million (R5,072 348.50).

The Economic Freedom Fighters (EFF) disclosed its donations for the first time ever, declaring a total of R3.1 million (R3,148 176.00).

Other parties declared the following:

• Inkatha Freedom Party (IFP) – R787,588.00
• Freedom Front Plus (FF+) – R484,438.00
• Patriotic Alliance (PA) – R430,000.00
• GOOD Party– R340,447.00
• African Transformation Movement (ATM) – R 200,000.00
• Abantu Integrity Movement (AIM) – R100,000.00

The IEC noted that the number of political parties making declarations in the third quarter increased compared to the previous quarters.

“In the two preceding quarters, only two and six parties respectively made declarations. It is noteworthy that three parties, namely; ActionSA, ANC, and DA have consistently made declarations over the three quarters,” the commission said.

A total value of R5.6 million (R5,679,086.97) of in-kind donations was declared, with ActionSA receiving the largest amount of R4,922,348.50.

ActionSA and DA received donations from foreign sources to the amount of R530,000.00 and R840,191.47 respectively.

From Oppenheimers to mining magnates – SA political parties’ biggest donors

Funding threshold saga

Earlier this year, it emerged that the ANC is seeking to have the PPFA’s R100,000 threshold increased to R250,000 or R500,000 per year.

The ANC also wants the amount of R15 million that a single individual or entity can donate be increased to between R50 million and R100 million.

The governing party repeatedly blamed the 2018 Act for its ongoing money crisis, with the party being unable to pay its workers their salaries for several months.

READ MORE: ANC could lose more donors if party funding act is amended

Meanwhile, a coalition of civil society organisations – including My Vote Counts which called for the funding threshold to be decreased to R10,000 – have argued that the ANC’s proposed amendments “are not in the interest of the people”.

The organisations said the proposal was “deeply concerning”, especially in light of the Commission of Inquiry into Allegations of State Capture’s report, which was made public in January.

The 874-page state capture report suggested that the ANC benefitted from proceeds of corruption via donations.

The report cited evidence heard at the commission as example, which revealed that Bosasa – among other businesses that scored tenders irregularly from government – made donations to the ANC.

Political Party Funding Act

The 2018 PPFA came into effect on 1 April 2021.

It came after President Cyril Ramaphosa in January 2021 announced his decision to implement the Act following the National Assembly’s adoption of the bill.

The Act, signed into law in January 2019, establishes the mechanism on funds to be provided to political parties represented in Parliament and provincial legislatures to undertake their work.

Political parties that violate certain sections of the Act could receive hefty fines, ranging from R40,000 to R1 million.

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