The Honourable Chairperson,
The Deputy Minister of Cooperative Governance and Traditional Affairs,
Ministers and other Deputies present here,
MECs of COGTA, COGHSTA,
Chairperson of the Portfolio Committee and other MPs,
All Mayors present here,
Chairpersons of Associated Institutions,
Senior Leaders of our Public Service: Prof Nwaila, Mr Madonsela and Mr Mahlawe,
Our Royal and Indigenous Leaders,
Our guest, Jamaican Minister Noel Arscott and your delegation,
Senior leaders,
Ladies and gentlemen,
We present this Budget today, fully committed to a more integrated system of Local government, where the three spheres of government recognise their distinctiveness based on their respective mandates, but fully accepting that they owe it to each other for them to realise their objectives of being active agents of the peoples government, in the know that they are interdependent and inter-related.
It is a fact that the more integrated our cooperative governance is the more effective we will be as a State and the greater will be our capacity to deliver services and ensure development.
The Department of Cooperative Governance is allocated an amount of R56, 12 billion including transfers for this Financial Year, and we believe that this will provide the necessary means to facilitate support to municipalities and coordinating governance amongst the three spheres to contribute in the realisation of the objectives of the National Development Plan (NDP).
The Department of Traditional Affairs is allocated an amount of R105 m to continue with its agenda of further transforming the institution of traditional rule whilst continuing to lay one brick on top of the other, as a new department, to be fully configured and functioning in line with all programmes of traditional affairs, including dealing with questions related to marking the centenary of the Land act, effectively managing the impact of the reopening of the lodgement date for the land reform processes.
The Municipal Infrastructure Support Agent (MISA) is allocated an amount of R252 m to continue providing the necessary technical and professional support to enhance the capacity of our municipalities to deliver the services.
The CWP programme is allocated R1.6 billion.
Last year we presented the Budget of the ministry, re-stating our commitment that the Local Government Turn-around Strategy remains the roadmap for effective support to the local sphere.
Hi rona pfhumba leri ra ku cinca matirhelo eka mafambisele ya vamasipala, hi tekile xiboho xa leswaku hi tirha hi ku tivutisa leswi hi faneleke ku enlda swona loko hi ta tshama hi tsakisa vanhu hi nkarhi hikwawo wa vukorhokeri bya hina.
Leswi hi swi endla hi ku tshama hi ri karhi hi tsundzuxiwa hi va-mavonela kule loko va hi luma ndleve va ku: “Le’bya nyarhi leyo, u nga ri: “Ndza yi vona, hikuva u ta ya wela makokweni ya yona”.
Hi ku tirha kun’we, a hi nge tsandzeki.
We stated our understanding that the best mechanism to build confidence between the people and the municipalities is to address the following priority issues:
- Accelerating service delivery
- Promoting good governance
- Enhancing sound financial management
- Rolling out infrastructure development and effective maintenance
- Intensifying the fight against corruption.
Today we want to reflect on some highlights in these five issues and also refer to some practical interventions in dealing with challenges that confront the local sphere from time to time. It suffices to mention, at this stage, that most of the challenges that confront the local sphere are either not the key competencies of the sphere or are influenced by external factors.
Whereas we have to accept that there are some dramatic negative developments in some areas, we should not degenerate into labelling all councillors as rotten apples. It is a complex environment where local government structures find themselves, and we should be ready to engage them.
2. Audit outcomes
The analysis of the reports from the provinces indicates that a number of provinces are pushing hard towards the achievement of the Clean Audit by 2014.
The following municipalities have consistently received CLEAN AUDIT for three conservative years 2009/10, i.e 2010/11 and 2011/12, namely Ehlanzeni District and Steve Tshwete local municipalities. In the same way the West Coast as well Swartland municipalities in the Western Cape and Umtsheni in KwaZulu Natal provinces also received Clean Audits for two conservative years i.e. 2010/11 and 2011/12.
With regards to unqualified audit outcomes,KwaZulu Natal which has a total of 61 municipalities have managed to retain its performance in the improvement of the outcomes with over 70%of its municipalities getting unqualified audits followed by Gauteng with 76%.
Although Gauteng does not have clean audits for 2011/12 financial year, 75% (9 out of 12) of its municipalities received unqualified audits, which is a remarkable performance.
We recently convened a meeting with 167 municipalities that have performed below unqualified, with matters and have since put them on a list of municipalities to be supported, Listening to the issues that these munics raised, it is clear that there is more in the issue than meet the eye.
We are therefore putting a team to reflect on a programme to enhance their financial performance qualities and reflect on policy.
(i) Access to Piped Water
Census data shows that the proportion of household’s access to piped water has significantly increased since 1996.
Access to piped water in the dwelling or yard has increased significantly since 1996 when only 60.7% of households reported access, compared to 73.4% in 2011. During the same time, the percentage of households with no access to piped water decreased from 19.7% in 1996 to 8.8% in 2011.
The provinces with the best access to piped water in the dwelling or yard in 2011 were:
- Gauteng (89.4%);
- Free State (89.1%); and
- Western Cape (88.4%).
Provinces where significant percentages of households do not have access to piped water were Eastern Cape (22.2%), KwaZulu‐Natal (14.1%) and Limpopo (14.0%).
There are only 1.8% households in Gauteng with no access to piped water, followed by Free State and Northern Cape at 2.2% and 2.6% respectively.
(ii) Toilet Facilities
It is encouraging to note that the percentage of households that had no toilet facility, or who had used bucket toilets, has declined over the years.
Households that have flush toilets connected to the sewage system increased to 57.0% in Census 2011, from 50% and 55% in both Census 2001 and Community Survey 2007, respectively.
Those households which have flush toilets with a septic tank were lower in Community Survey 2007 (2.8%) compared to 3% and 3.1% in Census 2001 and Census 2011 respectively.
Households having a pit toilet with ventilation (i.e. VIP) also increased to 8.8% in Census 2011 from 5.6% and 6.6% in Census 2001 and Community Survey 2007, respectively. Access to a pit toilet without ventilation declined from 22.3% in Census 2001 to 19.3% in Census 2011.
Chemical toilets were under‐utilised according to the Community Survey 2007 with only 0.4%, less than 1.9% in Census 2001, and 2.5% in Census 2011. The bucket toilet system was more common in Census 2001 with 3.9%, compared to Community Survey 2007 and Census 2011 that reported 2.2% and 2.1% respectively.
The percentage of households that were without toilets declined significantly to 5.2% in Census 2011, from 13.3% and 8.3% reported in both Census 2001 and Community Survey 2007, respectively.
(iii) Energy
Census data shows that grid electricity has been more common in South Africa as a source of energy for lighting since 1996. Households using electricity for lighting increased from 58.2% in 1996 to 84.7% in 2011, while those using paraffin and candles decreased over the same period from 12.7% to 3.0% and from 28.7% to 11.4% in 1996 and 2011, respectively.
The proportion of households using electricity as a source of energy for lighting by province increased over the period. The highest proportion was recorded in Western Cape (93.4%), while the lowest was recorded in Eastern Cape (75%).
(iv) Refuse removal
Census data further shows that the percentage of households that have their refuse removed by the municipality weekly have increased consistently from 52.1% in 1996 to 62.1% in 2011 while those removed less often declined from 2.2% in 2001 to 1.5% in 2011.
4. Good governance
All municipalities have established Ward Committees and Ward Operational Plans have been developed and are being implemented and monitored.
There are 10 munics under section 139
5. Intensifying the fight against corruption
We are at an advance stage in finalising an agreement between the Local Government Inspectorate and Investigation unit. We are taking serious the need to accelerate the delivery of services, hence we resolved to build on the capacity-building initiatives that have been made at all the spheres, including through SALGA.
We made a call so clear in the Local Government turn-around strategy position that Local Government is everybody’s business, and we are now realising a quick response by people wanting to be part of it and be serious.
Business formations are polishing their offers for a massive engagement to enhance the capacity of our municipalities to deliver the best services, even in areas that have responsibilities devolved to municipalities as unfunded mandates.
We are going to have a major launch of partnerships between the Municipalities and business organisations in August 2013. Some of these partnerships will address the delivery of basic services through “Turn-key’ initiatives for the delivery of such services as water, electricity, sanitation and other areas.
Today, Business Unity South Africa (BUSA) requested to make a public offer on their areas of interest in participation in partnership with municipalities.
Their offer is detailed as follows:
1. Areas of focus
1.1. The initial areas of focus for this agreement will be in six (6) priority areas, as agreed upon by the parties namely:
1.1.1. Local Economic Development (LED): This priority area is intended to maximise the economic potential of municipal localities/local government and the business environment in the various provinces. It aims to enhance the resilience of the macro-economic growth through increased local economic growth, employment creation and developmental initiatives. Private companies will be mobilised to support organised local government as well as prospective municipalities to the above effect.
1.1.2. Energy and Climate Change: integration of climate change response measures at municipal level. Particular reference is made to energy although further opportunities may be explored based on the needs of the parties.
1.1.3. Capacity Building and Institutional Development in Local Government: Enhance skills and organisational systems of municipalities/local government towards improved service delivery.
1.1.4. Public Private Partnerships: Coordination and facilitation of improved and innovative ways of co-operation between municipalities/local government and business in a way that supports the developmental mandate of the municipalities.
1.1.5. Promoting good governance and eradication of corruption. The parties will monitor developments and report on issues requiring joint attention over time and work towards institutionalising a platform dedicated to monitoring and managing this process.
1.1.6. Identify issues that promote business retention and expansion that will contribute to local economic growth and development.
1.2. Parties also agree that priority areas may change with time, or additional priorities may be identified and added in the future, with the agreement of the parties.
We are also proud to announce that the ABSA Bank is on board, saying that they will focus on the following areas:
- Development of effective financial management skills for leaders and managers in Local government
- ‘Governance upliftment through advisory support on effective and transparent procurement
- Leadership development in affordable housing.
In addition, a consortium of three companies is ready for signing a partnership with any municipality on PPP to include ICT and effective Billing Systems, comprising of SAP, Guma and Gijima.
Timhaka leti ta ku antswisa ntokoto wa vamasipala ku korhokela matiko i nyimpi leyi hi nga ta yi lwa hi yima ntsena hi ku twa rhambu ku tshoveka. Hi rhamba mani na mani ku hoxa xanndla eka ku tiyisa timasipala ta hina, a hi siyi munhu. A swi lavi ntsena mali ku tirhisana na vamasipala, hambi hi mavonele swa koteka.
In partnership with the Department of Higher Education and Training, we are soon launching a capacity building programme for our councillors and traditional leaders to take accredited mobile training sessions, details of which will also be unveiled in August 2013.
Our ward system is strengthened to deal with questions of public participation in that what we used to call technical Support Unit has now changed their name into Service Delivery Facilitators who are required to deal with questions of public engagements as well as engaging with government stakeholders.
The role of MISA
- At the end of March 2013 MISA deployed 68 technical consultants and 24 Service providers that support 100 priority municipalities.
- MISA technical consultants during the 2012/13 Financial Year accelerated862 infrastructure projects amounting to R12, 7 billion in value.
- A total number of 36,005 jobs were created through MISA
The Commission on Disputes and Claims for Traditional Leadership has concluded 85% cases of the 1 244 that were outstanding as we presented the budget last year. We established a team to finalise issues related to salaries of Traditional Leaders.
I present the budget.
Inkomu!
