Fight against organised copper crime syndicate intensifies

CAPE TOWN - Copper cable theft costs the SA economy an estimated R10bn a year. Arguably that is small change in the context of SA’s annual GDP of R2.618bn, but with growth limping along at 3% and the national debt looking set to balloon, this is a problem that can’t go unresolved.

It took the theft of a mere 100m of copper cable to put Gautrain’s Pretoria line out of action last week. "That small amount [of cable] has massive knock-on effects," says Gautrain spokesman Errol Braithwaite. "The cost is not just one for Gautrain to bear, but for every company whose employees are late for work or product shipment is delayed. Copper theft is a scourge that is impacting our economy and cannot be tolerated."

Progress in fighting the crime is bone-grindingly slow. But there is reason to believe that there is a new momentum and high level political will to stamp it out. For a start the SA Police Service (Saps) is moving from a reactive to a proactive policing methodology in an attempt to combat the increasing incidence of this type of theft. Saps’ visible policing unit under Major General Luke is now spearheading the effort.

In addition Saps now chairs the Non Ferrous Crime Combating Committee (NFCCC), which has united the Saps, Business Against Crime (BAC), and parastatals like Eskom and Transnet in the battle.

The NFCCC is currently revamping its strategy. "We are reconsidering what is working and what is not working," says advocate Simi Pillay-van Graan, BAC’s strategy executive. "It has been a long road. This is not a simple crime to address because it is so organised. Better co-ordination and alignment is the only way to address this effectively."

The SA Chamber of Commerce & Industry (SACCI) was also galvanised to get involved by members frustrated by continued power, transport and telecoms outages. At a recent meeting hosted by SACCI and attended by Telkom, Transnet, Eskom, and others it was agreed that high level policy solutions need to be found. “A moratorium on the export of scrap copper is one proposal, alternatively a 40% duty on copper exports,” says Pieter van Dalen, DA member of parliament. “The export side is critical. Our export processes need to be more stringent.” With just one container scanner operational (at Durban harbour), there is much more illegal copper leaving the country than anyone realises.

"Export is a key focus area," stresses Pillay-van Graan. "This is one of the biggest contributing factors to organised crime being able to comfortably deal in stolen copper."

The export strategy has three prongs: the implementation of export taxes on scrap metals across the board. "The DTI is already addressing this matter." Amendment of the International Trade Administration Act to tighten up export/import controls is another. This would enable more effective intervention of law enforcement in these processes. And, criminalising the export of stolen copper. "There is currently no law which makes it a criminal offence. BAC is calling for it to be deemed a criminal offence with a minimum penalty of at least ten-15 years."

Source :  moneyweb.co.za , Sasha Planting - 16 August 2011

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