RONNIE KASRILS (MP)

MINISTER FOR INTELLIGENCE SERVICES  

SPEECH ON THE OCCASION OF THE SECRET SERVICES DEBATE  

Cape Town

23 June 2004

SOUTH AFRICAN INTELLIGENCE SERVICES:  

TOWARDS MEETING THE CHALLENGES OF THE 21st CENTURY        

TEN PRIORITIES FOR IMMEDIATE ACTION

 

Madam Speaker, Honourable Members
 

Introduction: Performance!  Delivery!  Accountability!

The President, in his State of the Nation address at the Opening of Parliament on

20 May, in this tenth year of our young democracy, drove home his marching orders to government services compelling us to focus on Performance, Delivery and Accountability.  

It is the duty of all in the Intelligence Services to place the President’s “getting on with business” exhortations at the heart of their work –  from Minister and managers to cryptographers and couriers, from those involved in the collection of information to those who analyze and evaluate, from trainers and technicians to those who run the risks in the shadows.  If we are to succeed in our tasks, then each of us must clearly answer such questions as: What are we here for? What are our priorities? How best to make do with limited resources?
 

Our core business         

 Let us emphasise that this must mean concentrating on and enhancing our core business, what we should regard as the holy trinity of our existence:

  1. the collection of quality information;

  2. its evaluation and analysis;

  3. and timely presentation to the decision makers.  

Parliament and public, through the Joint Standing Committee for Intelligence (JSCI), the Auditor General and Inspector General for Intelligence, must judge us for the unique contribution we are meant to make.  

 

Learning from history

In our increasingly complex world where the enemy, the battlefields and threats are not always clear-cut we must utilize the most modern technologies without downgrading the gathering of information by human beings. To those who think it is all about the high-tech world of James Bond, let us never cease learning from the wisdom of ages.   

That master sage, Sun Tzu, wrote over 2,500 years ago on the quality of intelligence:  

 What is called ‘foreknowledge’ cannot be elicited from spirits, nor from gods, nor by analogy with past events, nor from calculation.  It must be obtained from men [and women] who know the enemy situation.  

Those words remain applicable to this day.  Let us not ignore our own history. That military genius Shaka well knew the importance of spying out the enemy. He formed a specialized unit, the Khangela amaNkengane, whose duty it was to “khangela” - observe the comings and goings of the “amaNkengane”, the British, from the heights above iThekwini (Durban harbour) where to this day there is a place known as Khangela - often mispronounced as Congella.  

Those “amakhangela”- the look-outs – were members of the community who loved their country and are early examples of South Africa’s dedicated spies.  We call them:  Ukukhusela isizwe! Protectors of the nation!  Our people were eager to collect information on the British and Dutch colonizers and were curious about what went on back in Britain and the Netherlands.  

That universal need for domestic security, and what was brewing beyond ones’ mountains and shores, led to the development of both internal and external intelligence services in most countries and gave rise to what is regarded as the world’s “second oldest profession”.  In referring to our heritage we have reference not only to the wars of resistance against foreign conquest, including the Anglo-Boer war, but notably from the experience of the struggle for national liberation and democracy – which gave rise to intelligence services on either side of the barricades.    

After 1994 the successful amalgamation of those structures established our new transformed services and we need to particularly recall the role of former Minister Joe Nhlanhla and others during this process. We continue building on the heritage of our own community of amakhangela and from the best of international experience.  

 

Challenges of today’s world:

The security threats of the new century are very different from those of the old. They pose new challenges, for which a new approach is required. The polarised world order of the Cold War era has given way to more uncertainty and unpredictability. The globalization of the world economy, communications and technology, places us in an ever shrinking world.  At the same time there is relentless pressure on resources such as energy, water, minerals, fertile land and food, leading to increased competition and potential for conflict.  This trend may be exacerbated by deepening ethnic, religious and ideological differences, intolerance and a different kind of polarisation. This is not a passing phase, it is here to stay. It affects everyone, especially a new and diverse nation like South Africa, with a range of domestic challenges and wide international responsibilities, including our obligations within our region and our commitment to the African renaissance, to the African Union and New Partnership for Africa’s Development (NEPAD).

 

Struggle for limited resources

A consequence of the struggle for limited resources such as oil has seen a century of instability in the Middle East, and the cycle of intervention and resistance of which the present upheaval in Iraq is just another tragic chapter.  Already attempts to destabilize West Africa are evident in the scramble by foreign interests for newly discovered oil reserves. With global long-term shortages imminent, scientists are investigating the hydrogen fuel cell as an energy source. President George W Bush talks of the future “hydrogen economy”. Platinum is being advanced as a possible catalyst to convert hydrogen into this new form of energy.  If successful, then we in South Africa, are sitting on 86% of the new energy source of the world. Whatever the developments it is important that we take the necessary security steps to ensure stability and solidarity in our region and continent, and protect our resources for the benefit of our people.

 

Impact of globalisation

Globalisation can bring benefits: sharing of technology and improvements in telecommunications, ease of travel, greater scope for concerted international action to deal with poverty, natural disasters, disease, and environmental changes. But it also opens the way to terrorism, organised crime, trafficking in people and drugs, proliferation  of weapons of mass destruction technology, money laundering - the new global threats. Criminals and terrorists have access to the same new technology as governments, and are often better and faster at putting it to use. They are able to switch their bases of operations, benefiting from ‘soft’ jurisdictions, where laws are lax or ignored, where corruption is rife, where they can operate in secret.  We must not fall behind in surveillance capacity, information technology or operational skills.
 

Global responsibilities and interests

We cannot allow states to fail, economies to collapse and conflict to occur unchecked. This is not just because we have a moral responsibility to help others, but because these are a breeding ground for threats to the wider world, including South Africa and Africa.
 

Importance of good intelligence

In recent years the dominant theme in intelligence circles has been “the failure of intelligence” with reference to the 9/11 catastrophe and terrorist outrages from East Africa to Bali, from Moscow to Madrid; controversy surrounding Iraq’s missing weapons of mass destruction; the Kelly saga in Britain; the blowing up of the Chechnya leader under the noses of his Russian backers; allegations of manipulation of terrorism alert levels for political purposes - all reflect negatively on the intelligence community worldwide.   

The latest revelation from America concerns the 50 precision-guided air strikes against the top Iraqi leadership at the start of the war last year.  It has been revealed that all were unsuccessful owing to the lack of reliable information. *[1]  There is no doubt that if Sun Tzu were alive today he would remind us never to neglect agents on the ground at the expense of the latest technology.  

Our country - which has demonstrated a good record in containing terrorist threats in recent years - is not immune from danger.

We need to develop our intelligence and security capability, to foresee the imminent threats, so we can more effectively deal with them. Good intelligence saves money.  It has been said that one good agent is worth a division of soldiers on the battlefield.  Reliable agents must provide the link in the intelligence cycle with technological advances as the other pillar.  As never before, “Scienta est potentia”- knowledge is power – Ulwazi nga mandla!

 

Partnership, at home and abroad

Good intelligence and security crucially depends on:

·    co-ordination and partnership at home, so that we use the resources we have effectively, minimising wasteful duplication and unnecessary rivalry; and:

·         international partnerships, in which we work with friends and neighbours alike, to pool our efforts where possible and to deal with global threats on a truly cooperative basis.  

 

Using resources better

In a country like ours, where we urgently need better housing, health, schools, the delivery of safe water and electricity, we must ensure the maximum value of our money through well-run Services.  We can achieve so much more by maximising partnerships between our agencies. This applies especially to central databases, communication systems, development of new technologies, and fostering a spirit of co-operation.  We must ensure the sustained coordination of data bases within government’s financial, legal, security, defence and intelligence clusters.

 

Secrecy versus accountability

Effective security and intelligence operations rely on secrecy. Otherwise they will be operating with one hand tied behind their back. But secrecy must not be an end in itself, or a cover for abuses. Our Services operate in the name of our democratic Government and all the people of South Africa. They must therefore be accountable for what they do, how they do it and gain the trust of our people. They must operate within the law. Their spending and actions must be subject to scrutiny. We in South Africa know only too painfully what happens when the secret services operate without proper control and oversight, and become a law unto themselves. The JSCI and Inspector General have a crucial responsibility and we accept that the agreed restriction over operational information requires integrity from all of us.

 

Quality not quantity

The best guarantee of responsible, cost-effective and successful operations is the quality of our own amakhangela to whom we entrust these vital functions. We must ensure they receive the best possible training and skills development and occupy appropriate posts. We must insist on the highest moral and professional standards from the most junior levels all the way to the top. We must hold them to account if they should fail, but also ensure they have our full material and moral support.  Quality, not quantity is what we need: some of the best services in the world are among the smallest and have attained an excellence with relatively meager resources.  We need to avoid a proliferation of unnecessary structures and posts with more persons doing less work.  

 

THE FORCES AND MEANS:

Having outlined our views towards meeting the key challenges we face in the 21st Century let us briefly look at the forces and means at our disposal and how best to utilize our resources.

 

FORCES:

National Intelligence Agency (NIA)

The National Intelligence Agency is the biggest of our Services and is responsible for domestic and counter intelligence.  It has undergone a major transformation including refocusing its mandate to better deal with a wide range of intelligence and security functions.  NIA has had to strengthen its capacity in the provinces, contend with enormous vetting demands which it still has to get to grips with, conduct security investigations and auditing, technical surveillance counter measures and successfully counter espionage and terrorist threats.  NIA’s professionalism is exemplified by the efficient way it has dealt with the security demands for many international events hosted in our country and the national elections, including the Presidential inauguration.

 

South African Secret Service (SASS)

The SASS mandate is the collection of information on the situation outside our borders by means that cannot simply be obtained through diplomatic channels and open sources in pursuit of our national interests abroad.  This does not mean that SASS members regard the foreign environment as necessarily hostile. They collaborate and form partnerships with their counterparts wherever feasible.   The past few years has seen the expansion of our presence abroad, particularly in Africa where SASS and our specialized support unit continue to play a critical role in conflict resolution in the Democratic Republic of Congo, the Great Lakes area and elsewhere.

 

National Intelligence Coordinating Committee (NICOC)

NICOC coordinates and enhances the information and analytical products supplied by our domestic and foreign intelligence services, including the identification of possible threats. It provides intelligence estimates to Cabinet and other government clients and is seeking to attain higher levels of excellence in identifying strategic intelligence tasks in priority areas and in predicting outcomes. NICOC is reconceptualising our National Early Warning Centre to link with a SADC Regional Centre in Gaborone. 

 

National Communications Centre (NCC)

The NCC is our state of the art communications monitoring section and is vital to our country’s security. It is staffed by extremely dedicated and highly skilled personnel. It is involved in establishing the Office of Interceptions Centre and operates in strict compliance with the law under a judge’s authorisation.  The NCC must ensure investment and training in information technology and is helping establish the electronic communications security company, COMSEC (Pty) Ltd. which will cater exclusively for government’s needs.

 

South African National Academy of Intelligence (SANAI)

SANAI, established near Mafeking last year, after the initial Academy in Pretoria was closed down, is tasked with developing training and skills of our amakhangela, as well as engaging in research and curricula development. Its mandate also extends to training personnel from fraternal African states. The Academy has been recording steady progress.

 

Intelligence Services Council (ISC)

The ISC was established last year as an independent oversight structure to attend to human resource issues and service conditions. It has filled an important vacuum in attending to their needs and interests and has swiftly proved its worth. Sadly, the passing away just last week of their Deputy Chairperson, Mr. Richard Knollys has robbed us of an outstanding official who made a great contribution to the transformation and unity of our services.  Our sincere condolences to his family and colleagues.

 

Crime Intelligence and Defence Intelligence

This budget vote does not deal with crime and defence intelligence.  I take the opportunity, however, to express appreciation for their exceptional work and to stress that the Ministers of Defence, Safety and Security and I are committed to strengthening collaboration.

 

THE MEANS:

The Budget

Madam Speaker, Honourable Members,

Let us now consider the financial means at our disposal.  In this financial year the amount allocated for the civilian intelligence services budget is R1,978, 647 billion rands. This is 0, 53% of the total government budget or 0,14% of GDP and represents a R316 million increase over last year.  The allocation has more than doubled over the last four years, growing by 115%.  Whilst this shows government’s recognition of the role of the Services the increase needs to be seen relative to the 1995-2001 period where it scarcely rose. The allocation for 1995 was R818 million and by 2000 had only grown to R840 million – a minimal R22 million increase that failed to keep pace with the inflation rate. 

This meant that until 2001 the intelligence budget was virtually static, yet considerable funds were required for retirement and severance packages brought about by the amalgamation process.  

The dramatic increase from 2001 onwards was necessitated by our growing presence abroad; new construction projects; capital equipment for our National Communications Centre’s expanding role; the transfer of the Academy to Mafeking; establishment of the ISC and Office of the Inspector General; growth of the Ministry and increases in the overall staff compliment of all the Services.  One result is that the salary bill increased to well over 57% of the budget with NIA’s personnel expenditure topping that.  This could not but affect spending patterns to the long-term detriment of operational and capital equipment requirements. Serious adjustments will have to be made in favour of direct operational activity - the rock-face of business - and the need to ensure that the capital equipment and facilities being consumed on an annual basis are systematically renewed so that they are available in the long-term.  We dare not leave a future Minister with the legacy of obsolete equipment and insufficient operational and capital renewal funds.  

I have taken immediate steps to curtail certain construction plans which I regard as non-essential and will reduce the size and budget of my Ministry.  Our fundamental challenge is to bring about a sustainable, balanced ratio between personnel, operational and capital allocation.  This will not be quick or easy to achieve but is imperative if our Services are to meet the challenges of the 21st Century.  

Madam Speaker, Honourable Members:

We must ensure that we give value for money. We must ensure that the funds entrusted to us are spent correctly and prudently and that we avoid wasteful and superfluous expenditure.   At the end of each year we must be accountable and ask:  How well did

we perform? What did we deliver? and “What difference did we make?

 

The way forward

Regarding the way forward I acknowledge the notable efforts of my predecessor Minister Lindiwe Sisulu to promote partnerships with civil society, including the media, academia, business and non-governmental organizations. Their contribution to development of policy in areas such as the classification and declassification of government records and the regulation of the private intelligence and security industry, will be of value in our review of the White Paper on Intelligence.  

I also acknowledge Minister Sisulu’s efforts to place intelligence at the centre of government and will build partnerships with service delivery departments to overcome obstacles that may threaten our country’s progress.  

 

Ten Priorities For Action

As part of the way forward with a focus on improving our capabilities over the next five years, I am instructing my Service Chiefs to provide me with business plans concerning the following ten priorities for immediate action:  

1.      the optimum utilization of  resources,  ensuring sufficient funds are allocated to core business and the necessary adjustment in personnel, operational and capital expenditure; 

2.      the targeted recruitment, training and strategic placement of members;

3.      the improved operational capacity in the provinces and abroad;

4.      deepening synergy with regard to intelligence sharing and coordination between all Services, including crime, defence and finance;

5.      enhancement  of NICOC’s  strategic analytical skills, national intelligence estimates and the National Early Warning Centre;

6.      developing  intelligence cooperation in Africa and with our international partners with a focus on conflict prone areas of our continent;

7.      strengthening security at our ports of entry;

8.      fully implementing the Minimum Information Security Standards (MISS)  within all government departments;

9.       the projected development and costing of the Intelligence Academy, its syllabus and training commitments and its future;

10.  and comprehensive improvements in our vetting capacity.

 

Business plans for these priorities and other tasks I have referred to must be presented to me within three months!  The performance contracts and annual evaluation of management and staff will be related to these objectives.  We are not talking about quick-fix solutions but building and sustaining quality performance for the 21st Century. We are realistic and aware that “a nation’s ability to fashion an elaborate intelligence network is limited by the development of skills which can take decades, indeed centuries to define.”  *2

Our services have been proving their worth, and we mean to create a culture of excellence. Implementing these ten priorities in the short term will build on the achievements of ten years and help us take qualitative strides forward over the next five years. If necessary, we will be considering the merits of a full-scale Intelligence Services Review.

 

My Pledge

South Africa needs effective, vigilant, professional, accountable intelligence and security services. We must foster teamwork at home, and partnership with those who share our interests abroad. We need a well-informed and secure South Africa, with a government better able to carry out its programme of development to provide a better life and opportunity for all our people and able to play an effective and responsible role in Africa and  the wider world.

I pledge myself, and the women and men who work in our intelligence and security agencies, to work for these goals.

 

In Appreciation

Last year we promoted an advert celebrating another normal day in South Africa. Our acknowledgement to the people of South Africa and to those unsung members of the Intelligence Services: serving, retired and deceased. They are neither super-human caricatures of James Bond nor spooks but our own amakhangela who keep watch to ensure we can all work and sleep in safety.  Theba y sechaba!  Shield of the Nation!  

My appreciation to the Director Generals, Vusi Mavimbela of NIA, Tim Dennis of SASS, Jeff Maqetuka of NICOC, Mphakama Mbete of SANAI, Sizakele Sixgashe of the ISC,  and all their dedicated management and staff members.  My acknowledgement to the Inspector General, Zola Ngcakani and to the Chairperson of the JSCI Siyabonga Cwele and the newly sworn-in members of the committee.  Many thanks to the Head of Ministerial Services, Dennis Thokozani Nkosi ka Dlomo, and my personal staff who work extremely long hours and are providing the support I need.

Our Services and country owe a deep debt of gratitude to the first Minister of Intelligence in a democratic South Africa, Joe Nhlanhla.  We congratulate him on being awarded the Order of Luthuli by President Mbeki and wish him improved health. In the spirit of this speech.  I intend introducing annual awards in his name for the best cost effective innovations per Service, Province and individual.

 

Conclusion

On a closing note, a wise man has said:   

 “The ideal intelligence report can be read by the light of a match on a restive horse on a windy night.”  *[i]  

I hope we can spare our President such discomfort, but if we are to succeed, then the product of our labour must be compelling.  

Honourable members I ask you to adopt the budget allocation for the civilian Intelligence Services. I thank you.  

*1.   “Errors in early attacks on Iraqi Leaders”  by Jehl and Schmitt, June 13, 2004.

*2. “Ambivalent Bedfellows: German-American Intelligence Relations” by Johnson & Freyberg

*3. Lt General Sir William Platt (no idea who he is but it’s a fun quote)