MPs query criteria in picking parastatal board members

THE criteria for the selection of board members of parastatals came under the spotlight in the National Assembly on Tuesday.

Swapo and opposition parliamentarians were in agreement that the current situation was not optimal. Speaking during debate on amendments to the Namibian Press Agency (Nampa) Act, the DTA’s Johan de Waal said many parastatal board members did not understand their roles and functions.He suggested that they should undergo training when elected so that they understood the business of the board on which they served.De Waal welcomed a proposed amendment to reduce the number of Nampa board members to only five and to specify the roles of the board of directors and the agency’s management.Information and Broadcasting Minister Nangolo Mbumba said many problems had arisen within Nampa because of a lack of clarity regarding the responsibilities and execution of the agency’s respective duties.De Waal said in instances such as Nampa’s, which over the past financial year had registered losses of more than N$1,8 million, boards should be held responsible “for things that go wrong in the company”.”We are not strict enough in these instances,” De Waal told the House.”One gets the impression that they go to these meetings to draw a salary and do not understand the company of which they are a board member,” he claimed.De Waal cited the history of Air Namibia as testimony to cases in which the board had remained silent on key issues related to the running of the company.He claimed that the national air carrier’s former Managing Director, Jaafar bin Ahmed, had single-handedly decided and signed deals – to the airline’s financial detriment.Deputy Minister of Training and Employment Creation Buddy Wentworth asked whether a limitation should not be placed on the number of boards an individual could serve on.”Very often they don’t attend board meetings.When they do attend, they excuse themselves after five minutes,” said Wentworth.Wentworth said he knew of an individual who served on 11 boards, while another served on as many as 14 boards.According to him, these individuals earned N$42 500 and N$50 000 a month purely for their services as board members.De Waal agreed with Wentworth.He said a person should not be allowed to hold a full-time job and serve on more than three or four boards simultaneously.Further, he did not think it was proper for a permanent secretary to serve as a board member and run an efficient office within ministries.The CoD’s Rosa Namises questioned the criteria and the person responsible for appointing the boards of parastatals.”Who is appointing the members of the boards? Is it the comrades or Kapia [Paulus] or what?” she asked.In conclusion, De Waal said he hoped that by making key changes to the roles of Nampa’s management and board, the agency would become less dependent on taxpayers’ money.Debate on the Nampa Bill resumes next Tuesday.Speaking during debate on amendments to the Namibian Press Agency (Nampa) Act, the DTA’s Johan de Waal said many parastatal board members did not understand their roles and functions.He suggested that they should undergo training when elected so that they understood the business of the board on which they served.De Waal welcomed a proposed amendment to reduce the number of Nampa board members to only five and to specify the roles of the board of directors and the agency’s management.Information and Broadcasting Minister Nangolo Mbumba said many problems had arisen within Nampa because of a lack of clarity regarding the responsibilities and execution of the agency’s respective duties.De Waal said in instances such as Nampa’s, which over the past financial year had registered losses of more than N$1,8 million, boards should be held responsible “for things that go wrong in the company”.”We are not strict enough in these instances,” De Waal told the House.”One gets the impression that they go to these meetings to draw a salary and do not understand the company of which they are a board member,” he claimed.De Waal cited the history of Air Namibia as testimony to cases in which the board had remained silent on key issues related to the running of the company.He claimed that the national air carrier’s former Managing Director, Jaafar bin Ahmed, had single-handedly decided and signed deals – to the airline’s financial detriment.Deputy Minister of Training and Employment Creation Buddy Wentworth asked whether a limitation should not be placed on the number of boards an individual could serve on.”Very often they don’t attend board meetings.When they do attend, they excuse themselves after five minutes,” said Wentworth.Wentworth said he knew of an individual who served on 11 boards, while another served on as many as 14 boards.According to him, these individuals earned N$42 500 and N$50 000 a month purely for their services as board members.De Waal agreed with Wentworth.He said a person should not be allowed to hold a full-time job and serve on more than three or four boards simultaneously.Further, he did not think it was proper for a permanent secretary to serve as a board member and run an efficient office within ministries.The CoD’s Rosa Namises questioned the criteria and the person responsible for appointing the boards of parastatals.”Who is appointing the members of the boards? Is it the comrades or Kapia [Paulus] or what?” she asked.In conclusion, De Waal said he hoped that by making key changes to the roles of Nampa’s management and board, the agency would become less dependent on taxpayers’ money.Debate on the Nampa Bill resumes next Tuesday.