Premier David Mabuza: Mpumalanga State of the Province Address 2017

We will also take necessary measures to scale up emerging contractor development programmes to ensure meaningful  participation of  previously disadvantaged groups within the construction  sector.

In this regard, we have adopted a Social Enterprise Model which seeks to unlock opportunities for community-based SMMEs  and  cooperatives  to  manufacture  and  supply  construction  materials for government infrastructure projects such as integrated human settlements, roads, schools, hospitals, paving for access roads and maintenance of public infrastructure.

The main aim is to support  black-owned enterprises in the manufacture of bricks, doors, tiles, trusses, concrete pipes and many other products in the construction environment.

Revitalisation of township and rural economies

Honourable Speaker, as a Province we are now consolidating the implementation of a number of programmes in line with the Nine Point Plan. These are already in the pipeline, including the revitalisation of township and rural economies.

Over the past year, we allocated R80 million to ensure the success of  this  programme.  This amount was intended to stimulate economic activity through financial and technical support to a range of small and medium enterprises.

Amongst MEGA’s interventions was the rehabilitation, of industrial premises  in  former homelands and the establishment of partnerships with financial institutions for further funding initiatives.

Progress in the establishment of the SME Fund has been slower than anticipated but the process is close to finalisation. Once finalised, this will be capitalised at R500 million in joint funding supported by MEGA and Standard Bank.

Through this partnership with Standard Bank, we will enhance our capacity  to  fund  the development of SMMEs and cooperatives in townships and rural areas.

Notwithstanding delays on this front, we have made strides in the disbursements of  funding support to small businesses and cooperatives. To date, the value of loan applications that MEGA received stands at R72.7 million. These are at various stages of evaluation.

Loans totalling an amount of R49.8 million were approved and R6.3million will benefit women R7.4million will support youth owned  enterprises.  R36.9million  is  directed  to  rural  enterprises and township enterprises will benefit from R2.35million.

The anticipated total number of jobs created through this support is 1 428.

As government, we have resolved to use state buying power to procure goods and services produced and supplied by township and rural SMMEs and cooperatives.

The supply of fresh produce for the Government Nutrition Programme to schools, hospitals, ECD centres and the Traffic College will soon be managed and provided by  designated  cooperatives largely owned by women and the youth. The Executive Council has approved the delivery model and set April 2017 as a date for implementation.

Our plan is to empower our people starting from the manufacturers and or producers right up to the end of the value chain.

Equally, we call on the private sector partners to follow suit especially those in the wholesale and retail sector to support cooperatives that are in fresh produce, particularly fruits and vegetables.

We are collecting further data from all our municipalities on any existing small businesses that are either in the agricultural or manufacturing sectors. This data will assist us to understand the capacity of these businesses and prepare targeted interventions where needed.

Honourable Speaker, radical  socio-economic  transformation  requires  that  we  take  bold  and decisive action to deconcentrate patterns of economic ownership and participation through the targeted deployment of state resources in support of black-owned enterprises in manufacturing, agriculture and agro-processing, as well as tourism and services.

In the coming year, we will commence with the implementation of key economic transformation initiatives to drive the development of black-owned businesses.

As government, we will designate a range of products and services and introduce transversal contracts to achieve cost-effectiveness and efficiencies whilst ensuring that state procurement creates opportunities for entrants into the mainstream economy. These products and services will include:

• Cleaning materials and detergents – in this regard, we will focus on setting up facilities for the manufacture of chemicals and cleaning materials to supply government.
• School and office furniture – this is intended to create capacity for the manufacture of wood products, including furniture for schools and government
• Printing of government materials – here we intend to provide support to cooperatives and small printing businesses to undertake printing works for government to ensure the establishment or expansion of black-owned printing companies.
• Meeting and Conferencing facilities – here, we want to support the establishment of high capacity black-owned meeting and conference venues with the  capacity  between  5000  and 7500 seats.
• Travel and accommodation services – in this regard, we will support the establishment or expansion of travel agencies.
• Animal feed supply, – we will begin to support the establishment or expansion of black-owned animal feed production enterprises linked to DARDLEA’s agriculture production support programmes.
• Supply of Fertilisers and seeds – we will explore the feasibility of establishing a black-owned fertiliser manufacturing plant to supply government supported projects as well as the establishment of Nurseries to supply seedlings to government supported fresh produce enterprises.
• School uniform, protective clothing, hospital laundry and patient gowns – in this regard, we intend to identify opportunities for youth and women-owned cooperatives to supply government  requirements.
• 85.  Honourable Speaker, we believe these radical economic transformation initiatives can be achieved if there is a collective will to transform our economic landscape. Until we get down to doing the difficult things and boldly charting a new course, the status quo of skewed economic ownership and participation will remain.

Land Reform and Rural Development

Honourable Speaker, land reform is a fundamental policy of government and is a necessary route to the full realisation of the Freedom Charter through the restoration of dignity to the landless and dispossessed majority.

Our government has to date,  through  the  land  reform  programme,  acquired  and  allocated 461 946 Hectares for land redistribution and  a  further  503  769  Hectares  for  the  settlement  of land claims. In the process, a total of almost R7,5 billion has been spent by government on these acquisitions.

It is of great concern that despite such investment, most of these farms are lying fallow without any agricultural activity. This is not right and cannot be accepted. It undermines our efforts of addressing the land  question. It affects the agenda of growing the agricultural sector to address food security, and of creating much needed jobs for the unemployed.

The situation is further exacerbated by infighting within Communal Property Institutions, which hold ownership of these assets. Instead of people focusing on working the land, much of their time is spent fighting over the limited resources.

The state of dysfunctionality and non-compliance of these Trusts and CPAs is of major concern. They inadvertently threaten peace and stability in some communities as is the case in Mpakeni- Mlegeni.

We are conscious of the challenges faced by farm dwellers and farm workers. Our government is working with the Department of Rural Development and Land Reform, the land owners and the farm dwellers/workers to find negotiated solutions to prevailing problems.

The beneficiaries of land reform have through the Office of the Premier, the Public Protector, the Legislature and the Presidential hotline, reported a number of challenges.

It is for these reasons that as the Provincial Government we are approaching the land reform programme as a critical pillar of our transformation to  bring  about  equity  and  dignity  to  all South Africans.

Our land reform programme must be anchored to our agenda  of  growing  the  agricultural sector for both domestic consumption and exports to international markets. This is important for us as a Province because this sector contributes 3.4% of the Gross Domestic Product, accounting for 630 000 formal jobs.

As Government, we have in the recent past responded to the decline in productivity by engaging stakeholders through various forums, including the National Land Summit in 2005 and the Vulnerable Workers Forum in 2010.

To take this process forward and to comprehensively respond to these  issues,  we  will  in  the course of next month, host a Provincial Land Summit to discuss pertinent policies and  issues affecting the land reform programme.

Honourable Members, alongside our efforts to address land challenges, we need to urgently intervene to improve the socio-economic conditions of farm dwellers to ensure that, like all of us, they live in environments that support their full enjoyment of socio-economic  rights  and dignity.

I am pleased to report that the Commission on the Socio-Economic Conditions of Farm Dwellers completed and presented its report in September last year. The report  raised  critical  issues around security of tenure, the violation of rights, and matters related to poor access to key infrastructure and social services such as education, health, housing and basic services.

In the coming financial year, we will implement an integrated programme of action to address the recommendations contained in the Commission’s  report.  An  institutional  coordinating structure located in the Office of the Premier will mobilise all key stakeholders to work together to deliver programmes that will change the lives of farm dwellers for the better.

Revitalisation of Agriculture and agro-processing

Honourable Speaker, we will continue to focus on agriculture as one the key sectors to drive industrial development and job creation. The establishment of the International Fresh Produce Market remains our critical lever to stimulate increased agricultural  production  to supply domestic and international markets.

Construction of key infrastructure is underway, and we urge all our farmers to unite, organise themselves, and ensure that we are ready for increased demand to supply the Agri-parks and the International Fresh Produce Market.

Government is moving with speed to implement Agri-parks in all three Districts of our Province. Two Farmer Production Support Units have already been developed  by  the Department of Rural Development in Bushbuckridge and Nkomazi municipalities respectively.

The Feedlot in Mzinti is complete while the packhouse in Bushbuckridge is 90% complete at a cost of R20 million.

Honourable Speaker, we are pleased that the Fortune 40 young incubator programme  is making progress by promoting the participation of youth in the agriculture sector. In its fullness, this programme will see the empowerment of 20 youth owned SMMEs and 20 youth owned cooperatives fully integrated into the agricultural sector. We must make agriculture attractive to young people not only as a means of employment but as a business.

To this end, through this programme we have secured 15 farms, with eight of these  being provided with required infrastructure including tractors to enable the farms to start with production. Seven of these farms are in production and are already selling to the market.

Our focus for the year in this programme is the provision of inputs and the development of infrastructure in these farms including irrigation, broilers, mechanization, pack-houses and fencing to the tune of R81,917 million.

Each farm was allocated a full time extension advisor to oversee and mentor these youth throughout the production cycle. We are also subjecting these young people to technical agricultural and farming business management skills.

We will have interactions and enter into agreements with Amakhosi as part of supporting agricultural activity on communal land and this process will identify land that  is  under- utilised to bring it into full production.

We will also continue to upgrade the Nooitgedacht Research Farm to build our research capabilities in order to support farmers across a range of farming activities with sound research.

We have already procured a state of the art soil testing machine for the soil testing laboratory. This will ensure that farming is carried out with scientific rationale and rigor and that all farms we are servicing with inputs, are mapped with up to date soil information.

Other agricultural  projects include the  re-commissioning of the  Bushbuckridge  poultry abattoir as well as the farmer support programme to assist farmers to produce soya and maize to supply the Lekwa Oilseed Crushing Plant in Standerton.

We are also exploring the viability of re-opening of  the  Marapyane  Agricultural  College, which is located in Dr JS Moroka Municipality in Nkangala. We need a College that will operate as a farmer-training centre to cater for famers  to  ensure  continuous  improvement  of  their skills and expertise.

Honourable Speaker, our success in  agriculture calls for collaborative partnerships among key stakeholders, including emerging and commercial farmers, manufacturers of agricultural machinery, the Provincial government, as well as universities and research institutions.

I am privileged to announce our partnership with the Mpumalanga Show to stage one of the biggest, unique and diverse agriculture, forestry,  wildlife  and  tourism  shows  in  the  country. This show will create a platform for innovative collaboration and exchange of ideas among industry  players.

Growing our Tourism industry

Honourable Speaker, the tourism industry in the Province is one of our most strategic sectors and has the potential to grow our economy and contribute to job creation.

Despite the lacklustre global economic growth and the decline in disposable income, foreign and domestic tourists have been steadily visiting our shores. Over 1.3 million international tourists visited Mpumalanga in 2015 with international tourists spending R3 billion in our province.

As government, we took a decision to invest in our tourism infrastructure to  improve  the tourism experience in our facilities.

We can report that construction work at Manyeleti is progressing well despite initial challenges experienced with community facilitation. All priority infrastructure upgrades will be completed by the end of April this year.

We have appointed the transaction adviser to assist with packaging new catalytic projects to attract investment for the development of new tourism products.

The development of the Sky Walk, Cable Car, and the 5-star Bourke’s Luck hotel are priority projects that have already been registered with National Treasury for public-private partnerships.

We are pursuing the nomination of the Barberton Makhonjwa World Heritage Site. The draft nomination dossier was submitted to UNESCO in September 2016. We  are  now  in  the  final stages of the compilation of the nomination dossier and hope for a positive outcome  in  this regard.

As part of promoting Mpumalanga as a destination of choice, we have launched a Convention Bureau to attract and host major international events, conferences and exhibitions. The Convention Bureau will also provide support  to the industry to host signature events in the Province.

We will need to complement this initiative with a clear strategy on International Air Routes, and target specific airlines to fly directly to our Province. The City of Mbombela must pursue with vigour the issue of building an International Convention Centre and attracting at least one top brand hotel.

Another exciting initiative is the partnership with the Ural Association of Tourism in Russia, which will host ten (10) tour operators from Mpumalanga in Yekaterinburg to expose them to the tourism potential of that region.

In return, a similar delegation from Russia’s Sverdlovsk Region will visit our Province in May 2017 to document our tourism sites for promotion among tourists in their region. This exchange will assist in expanding our tourists’ base.

I have since assigned the MEC for Economic Development and Tourism to work on this project, and to ensure that our participation at the International Trade Exhibition to be held in Yekaterinburg in April is a success.

On new investments, I am pleased to announce a new public-private partnership tourism venture, between Graskop Gorge Lift  company  in  Graskop,  Thaba  Chweu  Local  Municipality and the National Empowerment Fund.

An outdoor Panorama lift will be constructed, which will ferry people up and down the cliff into the gorge where various elevated walkways such as tree top walks, escarpment walks and river trails will allow visitors to explore this unique environment.

The objective is to develop the Graskop Gorge into  an  adventure  center that will serve  as  a major tourism node on the Panorama Tourist Route.

Supporting this outdoor lift system will be a newly constructed retail complex that will provide a multitude of tourism products and services including a restaurant, bar, retail outlets and kids play area.

The Second phase of this project will include a 40-bed Boutique Hotel. When completed this venture will cost over R60 million, creating 46 direct jobs and 32 indirect jobs.

There will be more seasonal jobs created in and around this venture. Unemployed women and youth are targeted for these jobs. The Graskop Gorge project is expected to commence as soon as next month.

Honourable Speaker, central to all these initiatives  are  deliberate  actions  towards transformation of the tourism sector to eliminate barriers to entry and broaden ownership and participation by previously disadvantaged individuals.

This will include leveraging state procurement to support the growth and expansion of Black- owned enterprises across the tourism value chain.

Strengthening partnerships with the private sector

Honourable Speaker, the context of limited fiscal resources calls for more innovative and collaborative partnerships with the private sector and State Owned Enterprises to respond to economic growth and unemployment challenges. Our success is dependent on sustainable partnerships between government, business, labour and civil society.

Our partnership with ESKOM has seen a number of initiatives that have contributed to enterprise development and job creation in the Province.  The  construction  of  Kusile  Power Plant over the last few years has catalysed economic activities around Nkangala District, thereby impacting positively on job creation.

As we move forward, we should be cognisant that the  Kusile  Power  Plant  presents downstream opportunities from their Fly-ash and Synthetic Gypsum which are major applications in construction and agriculture. We will collaborate with Eskom and other  role players and come up with concrete multi-year action plans on how to beneficiate these products.

This downstream industrial development will benefit black industrialists and create  new export capabilities for the Province.

We also appreciate the contribution Eskom has made in supporting enterprise  development around each of their power stations. Last year they committed R30m for  Cooperative Development that benefits three (3) cooperatives for each power station. These cooperatives will create a total of 145 direct jobs and 415 indirect jobs.

Honourable Speaker, we also welcome Sasol’s contribution to the economy of the Province.

The company is investing R6 billion in the construction of a Fine Ash Dam 6 (FAD6) in Secunda, which is a significant investment with high impact in terms of enterprise development and job creation.

This project which will span over three decades, is already employing 481 people and has subcontracted 102 small businesses owned by local people at the  pre-first  phase  stage.  We expect that this investment will benefit local contractors.

Sasol will also partner with us to support initiatives like building clinics, community centres and schools.

Furthermore, the company has also agreed to absorb some learners who have been completing artisanships with Hydra Arc in Secunda.

Honourable Speaker, we are also working closely with SAPPI on the development of the Ngodwana Project, which will contribute a total of R13bn to Mpumalanga’s economy over 20 years leading to 300 jobs during construction and a BBBEE  procurement  spend  of  ±R626 million. Of this total, R51 million will be spent on SMMEs thereby creating much needed jobs.

Honourable Speaker, we are strengthening partnerships in the mining sector to address challenges brought about by the closure of a number of mines  leading  to  retrenchments. Mining remains an important sector of our economy contributing 25.9% of our GDP and employing 53 000 people.

The closure of Glencore’s Optimum Colliery and the tragic incident at the Lily Mine is one such area where we have had substantial job losses. Last week, together with the  Minister  of Mineral Resources, we visited this mine and thousands of workers and their dependents are now destitute and living in dehumanising conditions.

As government the government of Mpumalanga we continue to work closely with multiple stakeholders in the sector, to limit the negative consequences of this situation. We have to find innovative ways to revive such mines.

Our approach  will have  to be bold  and innovative. That is what the situation demands. We have directed MEGA to explore the viability of utilising its current mining holdings as a base from which to build a diversified state owned mining company. We cannot have mining assets in this province that are lying idle and unproductive when unemployment is this high.

This initiative will not only create new jobs but will  also  practically  demonstrate  our commitment to the growth and development of a  sector  that  will   remain  a  significant contributor to our GDP for some time to come.

I am excited that despite this negative outlook in the sector, we are partnering with Exxaro on skills development and enterpise development to ensure that we respond to the plight of communities living around their mine. I am also excited that they have decided to invest in the Province to the tune of R3,8 billion in Belfast. This investment will create 1160 new jobs and the GDP impact over the entire life of the mine is R39 billion.

As part of this development, Exxaro will donate 80 Hectares of land to establish an agri-village to accommodate the resettlement of 32 households affected by the establishment of this mine. Exxaro will also invest R50 million as part of the resettlement of these families. As government, we are committed to work with Exxaro as this is a model of sustainable business practice. We also welcome their investment in Leeuwpan Mine to ensure that its life is extended by 10 more years, thus saving 1 200 permanent jobs.

Honourable Speaker, we are buoyed by Highveld Steel’s announcement that its Structural Mill will be restarted during the second quarter of 2017.

Highveld Steel, together with ArcelorMittal South Africa concluded a Contract Manufacturing Agreement that will result in the only medium to heavy Structural Mill in South Africa restarted after Highveld ceased production in 2015.

We are happy that this restart will create much needed jobs in Mpumalanga.

Integrated and Sustainable Human Settlements

Honourable Speaker, our physical wellbeing is as much a factor of our bodily health as it is a factor of the environment within which we live.

For those who have no access to the amenities that many more of us take for granted, their daily life remains a struggle to meet basic needs  rather  than  an  opportunity  to  explore  and define a prosperous future for themselves and their families.

Decent housing, and the backlog created by the dysfunctional and inequitable investment and development patterns of apartheid remains a priority, but so too is the ability of our citizens to access basic services, schools, healthcare, open spaces for recreation, suitable sports grounds and appropriate places of worship.

Our work has evolved away from merely providing much needed housing units to the people towards a holistic approach that considers the broader basket of socio-economic needs and this is evident in our settlements.

We have taken our cue from the United Nations Habitat approach, and our planning and investment now considers a range of cross cutting issues including social inclusion, local economic development, urban prosperity and environmental stability.

Currently, Honourable Speaker,  our approach is to implement  our programmes,  existing and future in the prioritised areas that experience shortages  in  respect  of  basic  services,  or  face rapid population growth. As such, our key human settlement projects are being implemented across the Province.

The more than R1 billion invested in projects in Ehlanzeni will result in the completion of a total of 6 652 housing units in Mashishing, Sabie, Tekwane North and South, Mjindini and Malelane.

We set aside more than R5.8 billion for integrated human settlements projects in the Gert Sibande. These will comprise of 4 000 units in Standerton Ext.8; 3 500 units in Balfour Ridge; 626 units in Wesselton Ext.7; and 5 465 units in Emzinoni.

In Nkangala we are investing R2,47 billion to build 11 450 units in Siyanqoba, 1500 units at Duvha Park, 3 300 units in Siyathuthuka and 2200 units in Rockdale Ext.

The roll-out of these projects has seen the creation of more than 3000 job opportunities.

Access to Basic Services

Honourable Speaker, I am sure that you will agree with me that any human settlement programme without the full spectrum of basic services is little more than a house of cards.

Access to basic services such as water, sanitation, electricity, and  refuse  removal  is  what makes our living spaces liveable.

When the Statistician-General, Mr Pali Lehohla, presented the Statistics South  Africa Community Survey in  2016,  he  commended  Mpumalanga  Province  on  its  sterling performance in the provision of basic services.

Where we have not excelled is reflected in the fact that only 39.4% of our households have access to weekly refuse removal. Whilst we are disappointed with this figure we have chosen to focus on the green economy aspects of waste management as a mechanism to deal with the waste challenge, whilst simultaneously creating economic and employment opportunities.

Honourable Speaker, whilst the number of households in the Province continues to increase year on year, we can report that 90.7% of these households have access to electricity.

Current   electrification   projects   across   the   Province   will   see   a   further   900   households benefitting within this year.

We cannot, however, speak to issues of access to electricity without acknowledging the dire circumstances that some of our municipalities found themselves in January.

eMalahleni, Mkhondo, Mbombela, Lekwa, Msukaligwa, and Chief Albert Luthuli municipalities faced imminent electricity cuts as a result of the exorbitant amounts owed to Eskom. Whilst we managed to avert a crisis at the time, the predicament persists. It is a  complex  systemic problem and we have committed, through our department of Cooperative Governance and Traditional Affairs, and our Provincial Treasury to support our local government to resolve the issues strategically and manage future transactions sustainably.

Honourable Speaker, 88% of our households have access to clean drinking water  and  this reflects an additional 150 933 households since 2011.

It is however inexcusable that only 49% of our households have access to the minimum required standard of sanitation.

During the State of the Province address last year, we reiterated our commitment to spending a large portion of our infrastructure budget on the provision of water and sanitation.

That commitment will remain with us until a critical mass on water and sanitation has been reached.

Testament to this commitment is the fact that, with  the  2016/17  Municipal  Infrastructure Grant (MIG) allocation of R1.8 billion, 265 projects are currently being implemented across the Province.

Water supply and sanitation are the most important basic services funded through MIG for poor communities and as such, 58% of the grant, which amount to R1 billion, is prioritised for 149 water and sanitation projects. The remaining 42% amounting to R768 million is committed to 116 projects that will include electricity, solid waste, roads, and sports facilities.

The following projects are currently underway:

• In Gert Sibande we are implementing 47 water and sanitation projects to the value of R215 million. Of the 47 projects under implementation, 7 are  completed  benefiting  8  124 households in various municipalities and creating 129 job opportunities.
• In Chief Albert Luthuli a water project in Elukwatini B is completed, benefiting 2 410 households with a further 2 sanitation projects in Emanzana and Elukwatini benefiting 5 034 households.
• In Govan Mbeki we drilled 25 boreholes in farm areas, benefiting 230 households.
• In Dr Pixley Ka Isaka Seme a water reticulation project in Daggakraal has been completed benefiting 90 households. A further  2  sanitation  projects  in  Hlanganani  Trust  and  Sinqobile will benefit 360 households in our rural areas.
• In Nkangala we are implementing 39 water and sanitation projects to the  value  of  R301 million.
• Of the 39 projects under implementation, there are 2 water and sanitation projects in Kwazamokuhle Ext.8 that have been completed benefiting 395 households within  the jurisdiction of Steve Tshwete municipality. A total of 40 job opportunities were created through the projects.
• In Ehlanzeni we are implementing 63 water and sanitation projects to the  value  of  R512 million. Of the 63 projects, 14 water projects have been completed in Bushbuckridge and Nkomazi municipalities benefiting 11 369 households.

Municipalities, such as Nkomazi and Bushbuckridge are performing well in respect of project implementation and the National  Treasury  is  considering  giving  them  additional  MIG funding in the coming financial year.

Overall, however, the performance of our municipalities  in  respect  of  basic  service  delivery does not meet our expectations.

Honourable Speaker, we had a frustrating situation in Bushbuckridge where a significant number of villages had internal water reticulation completed but they  could  not  receive water. This was largely due to the lack of bulk water supply that was supposed to connect these villages.

We have completed the bulk water supply systems connecting a number of villages like Hluvukani, Zoeknog, Tsakani and others.

It is evident from the above that our local government institutions are still facing multiple challenges at the coal face of service delivery and we are certain that in this regard, they will continue to require our support and intervention to ensure that our citizens have the access they are entitled to.

Whilst the delivery of basic services remains the competence of our municipalities, it is for us to guide and intercede where we see that the availability and quality of public  services  is faltering due to mismanagement and capacity constraints.

To this end, our department of Cooperative Governance and Traditional Affairs (COGTA) has identified institutional weaknesses in  our  municipalities  and  developed  a  programme  of support to accelerate the delivery of basic services.

This Integrated Municipal Support Plan prioritises municipalities that are institutionally dysfunctional when rated in respect of the five pillars of the “Back to Basics” service delivery approach.

COGTA, the Office of the Premier and our Provincial Treasury will support identified municipalities in respect of good governance, financial management, revenue collection, institutional capacity and administrative capability to ensure that they are better positioned to discharge their service delivery mandate.

Institutionalised  Long-Term  Planning

Honourable Speaker, we have acknowledged the progress to date as well as the setbacks encountered as we establish and service our human settlements. Looking ahead, it is obvious that we can do more to ensure that we effectively address each of the elements that constitute prosperous and sustainable human settlements.

We have made significant  progress in  eradicating  informal   settlements  and  upgrading existing human settlements. However, we will not succeed in building sustainable human settlements that will stand for generations to come, if our processes are not anchored on long- term planning.

When we prepare to build integrated human settlements, we must identify growth points that will catalyse the sustainable development of such settlements. This requires careful planning that takes a long-term view and integrates the sustainable economic activities that make such settlements  viable.

Such plans would have to be cognisant of current and future economic development  nodes, priority corridors and migration patterns so that we are able to utilise our resources to create settlements  proactively.

We need the capacity to predict and plan for the future beyond 2030. This process will have to take into account principles of spatial planning especially issues of access to social services like education and healthcare, as these are critical components of human development.

We have undertaken to establish a Provincial Planning Commission that will take this work forward using human settlements, the ebbs and flows of economic activity, migration patterns, the performance of our productive sectors, transport logistics et cetera as a basis for long-term planning.

This commission will bring together practical, academic and technical expertise and experience  from  across  the  sectors  as  a  means  to  ensure  that  the  upward  socio  economic trajectory of our Province is based on sound evidence and specialist advice.

We are looking forward to laying the groundwork for a brighter future that extends beyond a 50-year  horizon.

Improved quality of education and training

Honourable Speaker, there is no need for me to try to convince this House of the value and importance of education. I do not have to sell the idea that every child is entitled to the life of opportunities and possibilities that come with a decent education.

I do not have to emphasise the importance of nurturing successive generations of capable and committed citizens willing and able to work for the realisation of our collective vision of a positively transformed and prosperous future.

Over the years, our Department of Education has faced its institutional demons and emerged the better for it. There remains, however, much work to be done as we nurture our youngest, keenest minds through their school going years and into their first years as the employers, employees and entrepreneurs of the future.

Let us take a moment to reflect on progress and to distil the future pathways necessary in our ongoing efforts to educate and empower the children of our Province.

Early Childhood Development, according to Dawes (2008) prepares our children for adulthood and provides them with the necessary opportunities for social, cognitive, spiritual, physical and emotional development. These programmes lay the foundation for holistic development, whilst cultivating a love for lifelong learning.

In 2016 we continued to improve access to such ECD programmes in the Province by reaching 179 787 learners. The quality of our ECD programmes was also enhanced  as  1080 schools now have access to Grade R resources and 500 pre-grade R centres have access to ECD resources too.

We have trained 792 Pre Grade R practitioners through our ECD Institute and the remaining 1000 practitioners will complete their training by the end of this month. This is part of streamlining curriculum delivery and providing support to community centres across the ECD sector.

Honourable Speaker, we must confront the unfortunate reality that, due to a number of systemic challenges, the construction of the additional 7 ECD Centres envisaged last year was not completed as planned. We have addressed the site suitability and contractor appointment challenges to ensure that we get back on track in this regard and these critical centres remain a priority in 2017/18.

Furthermore, an existing 55 ECD centres will be renovated in the coming year through a conditional grant amounting to approximately R 5.3 million.

The Education sector is not immune from the persistent budget cuts and we are constantly exploring new and innovative approaches to ensure that we offer our children the best possible teaching and learning opportunities and experiences throughout their primary and secondary school years.

Overall, Honourable Speaker, our Grade 12 performance has stabilised. 77.1% of our learners passed in 2016 and this is above the national performance rate which stands at 72.5%.

Of concern, however, is the fact that some of our top performing areas in terms of pass rates over the last couple of years, such as Steve Tshwete and Nkomazi, have declined with more or less 5 percentage points.

As the Provincial leadership we will act swiftly in this regard and my MECs will be deployed to circuits that are underperforming so that we can offer hands-on support to address this regression.

Academic performance at a secondary school level is a key determinant for future  success, starting with University admission. As a Province we have recognised the critical importance of mathematics and science as subject choices for our future professionals. To this end we have invested strategically in programmes intended to improve the maths and science uptake and success rate of our learners.

To augment the establishment of our MSTA Hub we undertook to ensure that  we  have  a suitably qualified cohort of professional educators with the relevant content knowledge and expertise.

Honourable Speaker, it bears mentioning that the Province is faced with an aging population of teachers, most of who are approaching retirement age. In fact, the percentage of  young teachers aged 20-25 is relatively small, with only 4.9% in secondary and 2.1%  in  primary schools.

We are working on turning this around and already a new pool of young teachers is being supported with training.

Honourable Speaker, in its most basic form, a learning environment could be reduced to the bricks and mortar that constitute a classroom.

Our Province was not exempt from the ravages of apartheid on our education system and we found ourselves inheriting structures that were not  fit  to  be  labelled  classrooms  at  all. In 2010 we undertook to eradicate 253 of these inappropriate and unsafe structures and to date we have replaced 247.

In effect, since 2010 the department of education has invested R4, 9 billion and completed a total of  923 projects. Infrastructure investment  has  grown from R604 million  in  2010/11  to over a R1 billion in 2016/17.

Over the last seven years the department has  managed  maintain,  and  renovated  283 dilapidated and storm damaged schools. Further to this 65 schools were upgraded in order to ensure their optimum functionality as schools.

In line with the  implementation  of  the  norms  and  standards  for  education  infrastructure, the province embarked on a basic services programme. This included provision  of  services (water and electricity) where required.  Thus  far  515  schools  have  been  provided  with sanitation facilities, 140 schools with electricity and 289 with water.

Honourable Speaker, let us pause to welcome the contribution that Eskom has  made  in respect of improving our education facilities in the Province. We thank them once more for the R34million invested in the state of the art Wilge  School  in  Emalahleni  Local  Municipality, which was handed over to the Mpumalanga Department of Education in July 2016.

Every contribution moves us forward, but we are still left with much to do.

Our Provincial school profile indicates that we have a total of  1 074  schools,  including  18 special schools and 5 state funded boarding schools.

It is a bitter pill to swallow, but it must be said that in some of these schools, proper teaching and learning is not taking place. There are higher than acceptable teacher to learner ratios, mixed grade classes and abysmal facilities.

These so called schools require immediate and radical intervention for the sake of their learners.

We have resolved that these schools will be demolished and that the learners will be accommodated in centrally located boarding schools.

In 2010 we adopted this Boarding School Strategy in rural areas in order to close small non- viable farm schools and improve the quality of education for our rural population.

This resulted in the successful construction and operationalization of 5 comprehensive boarding schools and in this coming financial year, we will start with the construction of an additional boarding school in Bohlabela.

Honourable Speaker, the progress in the boarding school programme has prompted us to consider that these schools may further enhance the education sector in the Province by providing existing sites for the establishment of specialised schools.

It is our vision that our learners have the opportunity to specialise in fields of study that are directly aligned with the economic growth and development opportunities of the Province. In 2017/18 we will focus on determining appropriate curricula and strategic technical partnerships for schools specialising in agriculture, sports and sports management and the creative  industries.

Honourable Speaker, as we turn our attention to the transition from school to tertiary education and ultimately a positive and rewarding career path allow me to announce that we are planning to augment the R200 million that we are currently providing for bursaries.

At present we have awarded 1017 bursaries to learners who are currently  studying  at various universities across the country.  In addition,  one  hundred  youths  were  awarded bursaries to study Medicine, Veterinary Science, Education (Maths & Science) and Engineering in Russia in the 2016 academic year.

It is our intention to ensure that our bursary money continues to be well invested in deserving learners pursuing relevant tertiary qualifications and as such, in 2017 we will establish an inter-departmental Bursary Committee, supported by external industry expertise to ensure that appropriate candidates are selected and supported.

Youth  development

Honourable Speaker, in my opinion the success of our education system should not only be measured in respect of numbers of learners, teachers and classrooms functioning at any given time. A true measure of success would be the number of learners who exit Grade 12 with a certificate that unlocks the further studies or employment opportunities that they aspire to.

There must be a positive post-secondary school reality that enables our learners to take their lives in a constructive direction, and I am afraid, Honourable Speaker, that it is at this juncture that we have yet to make a significant progressive impact on the lives of our youth.

As it stands, we have a learner throughput rate of only 59.7%, which means that, in effect, only 40% of the learners who enter the schooling system actually make it through Grade 12. Add to this the fact that of those who do pass in  Grade  12,  only  22.9%  achieve  Bachelor’s Degree  admission.

What happens to those individuals that do not progress through the system with a positive outcome? The system is bleeding and our youths are feeling the pain.

Our unemployed youth currently constitute 71.9% of our total unemployed population. This is the reality that we are faced with, and this a reality that requires a multi-dimensional approach to youth development in the Province.

Honourable Speaker, our young people are agitated – and justifiably so. They have the energy and optimism of youth, and yet they are trapped in the shackles of unemployment and poverty and easily fall prey to the social ills that go hand in hand with deprivation.

Over and above our efforts to improve the education system, we will continue with a programmatic response to youth unemployment and social exclusion that  is premised on targeted skills development programmes to enhance youth  participation  in  productive economic  activities.

A core element of this response is our partnerships with the private sector.

We are pleased to acknowledge that in 2017/18 Eskom will continue to work with its partners in the Nkangala District Municipality to contribute R36 million towards the Siyasebenza Job Creation Initiative which is predicted to create 900 jobs.

This project will also encourage rain water harvesting in households, government and business premises in support of the Presidential water conservation initiatives.

In keeping with the emphasis on Skills Development as a key  sustainable  intervention,  the Eskom Generation Learnership programme has absorbed  644  learners  into  permanent positions to date, 88 are currently undergoing training and Eskom has planned a further intake of 59 learners for 2017.

We are further collaborating with the private sector and SETAs to ensure that young people are exposed to business and employment creation programmes across a number of sectors.

• The New Venture Creation programme is benefitting 322 youth to  enhance  their entrepreneurship skills, thereby equipping them with skills to  start  up,  and  run  new businesses,
• In this coming financial year, our Graduate Placement Programme will  see  1200  recruits placed in various sectors of employment as part of our skills development endeavours,
• Our Artisan Development Programme with MQA will place 120 youth through structured programmes focusing on electrical engineering and diesel mechanics.

Honourable Speaker, our key priority for 2017/18 is the operationalization of the Skills Development Hub in Emalahleni, in partnership with the private sector, to ensure that  we develop a pipeline of skills to support the key sectors of our economy.

This hub will create an institutional platform for better coordination and  investment  in critical skills that respond to industry and development needs.

Honourable Speaker, the partnerships  and  approaches  enumerated  above  have  yielded positive results and have been the primary pillar of our youth development mainstreaming approach to date.

It is not enough.

It addresses a fraction of our challenges. Whilst these initiatives respond  to  the  skills development part of our intervention, it does not cover the entirety of the crisis at hand.

We need a paradigm shift that is holistic, pointed and radical. The Youth Development Directorate in the Office of the Premier has developed a Provincial Youth Development Programme of Action that seeks to respond to these issues.

With the PoA in place, we are able to explore opportunities for our youth along specific sector value chains including agriculture, mining, manufacturing, energy and tourism.

Honourable Speaker, our job seeking youths face additional socio-economic barriers to finding employment, and this is why the social support dimension of our youth development strategy is equally critical.

A recent study by the Centre for Social Development for Africa reported that the average transport and other work seeking costs for young people amount to about R560 per month. This same group has an average per capita household income of R527 per  month,  which renders the costs of finding employment prohibitive.

Our support programmes and partnerships must seek to address these additional constraints if we hope to make a meaningful impact on youth unemployment.

We will be working with  all  departments  and  municipalities  to  determine  the  commitments and resources required to phase in the implementation of the Youth Development PoA.

The fact that the number of youth utilising the services in our 90 Youth Development Centres is almost double the number planned for is a further testament to the dire need for support experienced by our youth.

One of the greatest obstacles to the  attainment  of  sustainable  economic  activity  and independence for our youth is substance abuse.

In 2015 the World Health Organisation reported that an estimated 15% of the South African population, predominantly youth, suffered from drug abuse.

Various studies also put the rate of alcohol abuse among South Africans at 40%.

This gives us some indication of the pervasiveness of this scourge in our communities. Add to this, Honourable Speaker, the fact that, as reported by the South City Institute for Social Justice in November 2016, substance abuse costs South Africa close to R136 billion per year spent on treatment, policing and education, and it is clear that we have a massive problem on our hands. This is budget that could be directed to development programmes.

Substance abuse among our youth is one of the leading causes of crime, interpersonal violence and risky sexual behaviour. It denies our young people the opportunity to fully participate in the socio-economic development of our Province.

This year we managed to reach 72 851 of our children through drug prevention programmes and our rehabilitation and treatment centres in Nkangala and Swartfontein will strengthen our efforts in this regard.

But it is not enough.

To date we have reached 105 666 youth with our services, and the construction of our government run Msogwaba and Daantjie Youth Development Centres will further assist.

An integrated Youth Development Programme of Action  demands  more  and  calls  for  a responsive network of social development services and partnerships with the private sector.

Health system Effectiveness

Honourable Speaker, I would like us to turn our attention to the Provincial  Healthcare System. What constitutes a healthy population?

To be healthy, in its simplest sense, means to be free from illness  or  injury.  It  therefore follows, that healthcare is the organized provision of medical care to individuals or a community. Our healthcare system is pivotal to our vision of a Province populated by strong and capable individuals able to make a positive impact on the livelihoods of their families and communities and the development of the Provincial economy as a whole.

Allow us to be frank – healthcare in the Province of Mpumalanga has long been fraught with allegations of mismanagement, neglect and poor performance.  In  the  past,  this  has negatively impacted on our citizens’ rights to accessing quality healthcare and by extension, has obstructed both their social  and  their  economic  aspirations.  The  burdens  of  TB, HIV/AIDS and maternal and child mortality have, in particular wrought havoc in the day to day lives of our communities.

In the face of these challenges, we have put increased pressure on our Department of Health to ensure that they turn the situation around and when we assess the progress made in respect of the turnaround strategy, we can confidently say that the Department is moving towards a better resourced and more professional institution capable of providing a decent standard of medical care to our citizens.

We have, as planned, appointed additional specialists in both the Gert Sibande and Nkangala Districts.

We continue to develop the capacity of our healthcare professionals, current and future, through our partnerships with Cuba and Russia – this year alone we have provided bursaries for ten first year medical students to study in Cuba.

Honourable Speaker, the Ideal Clinic Initiative commenced in the 2015/16 financial year and is aimed at fast-tracking delivery on the priorities included in the National Development Plan 2030 to improve healthcare service delivery.

Currently, our Department of Health has 42/286 PHC  facilities  that  have  achieved  an  Ideal clinic status and more assessments will be conducted around the Province in March 2017 to determine the additional PHCs now worthy of being rated as “ideal”. Gert Sibande District has 23/75 facilities that have achieved Ideal Clinic Status, nineteen of  which  have  undergone major and minor refurbishment this year to date.

The plan is for all PHC facilities to reach the Ideal Clinic status by 2019/20.

We have also completed refurbishments at three hospitals including Sabie Hospital, Middleburg Hospital (Wards 15) and KwaMhlanga where we have now provided doctors’ accommodation.

Our patients currently rate their experience of care at PHCs at 82% and the satisfaction rate at regional hospitals is recorded as 87%.

Honourable Speaker, we continue to take a generative approach to the maintenance of our healthcare facilities by ensuring that  this  task  also  provides  opportunities  for  employment and income generation in our communities. In the year to date, our Department of Health has thus contracted ten cooperatives to undertake maintenance contracts at selected healthcare facilities.

However, our PHC sites remain underutilised as our community members still prefer to use hospitals for services that are rendered at PHC facilities. This places an  undue  burden  on already overstretched hospital personnel.

Our Ward Based Outreach Teams, on the other hand, are starting to register success. This is evidenced by improvements in some priority indicators including  a  reduction  in  the  TB client lost to follow up rate which is now at 4% and the increased number of antenatal first week visits which is at 65.9%, 10% higher than the target.

Honourable Speaker, the Integrated School Health Policy was signed by the  Ministers  of Health and Basic Education in 2012 to increase access to health services and provide a safety-net for children who never had access to health care services.

Currently we have 43 School Health Teams established throughout the Province, 13 of which were appointed during 2016/17 financial year. Since 2012, the teams have managed to assess 354 296 learners and referred 53  044 for further management, thus reducing  the  health barriers to education for a significant number of learners. We will continue to support these School Health Teams as strategic mechanisms for positive community intervention.

Our District Clinical Specialist Teams established in 2012, as an intervention to fast track the reduction of Maternal and Child mortalities are operational in all three districts and continue to have a positive impact on the lives of our mothers and their  newborn  babies.  In  Gert Sibande  alone,  the  teams  have  contributed  in  the  reduction  of  maternal  mortality  from

322.5 per 100 000 live births in 2010/11 to 91.9 per 100 000 live births in 2015/16.

Due to ongoing infrastructure constraints, our District hospitals are not yet compliant with all extreme and vital measures of the national core standards. This should not be the case and whilst our efforts to cast the healthcare net as wide as possible are commendable, if ambitious, we are forced now to pull our efforts into sharper focus.

Honourable Speaker, the pace of delivery in respect of critical health infrastructure is a persistent challenge. Whilst Mammetlhake Hospital is on course and our four District Clinics in Ehlanzeni and Gert Sibande respectively are progressing as planned, we are plagued by project delays and issues on site that make the pace of delivery in this regard, unacceptable.

Honourable Speaker, in the past, when confronted with such delays, we have been tempted to advocate for more – more capacity, more time, more resources.

I believe it is time to take stock and appreciate that before we attempt to do more, we must do better.

It is time to change our approach. We must admit that in as much as we have improved the lives of many by addressing past barriers to health services access, our efforts have been somewhat  scattered.

We have tried to focus all our efforts and resources  equally  on  infrastructure,  attracting health professionals, access  to  medication,  school  and  ward  based  outreach  teams, preventative and curative approaches, advocacy and communication, etc.

It is time to consolidate. We need to build on our successes and be strategic.

The core measure of healthcare system effectiveness remains the national core standards attained at the sites of healthcare service provision – our provincial and district hospitals and our PHC facilities.

Our assessment of our performance against these standards tells us that despite our concerted efforts and many noteworthy gains, the overall  performance  of  the  Department  ranges between 36% and 76% against the norm of 100% compliance.

This is NOT acceptable.

Infrastructure is a critical pillar of healthcare service delivery – our facilities must be fit for purpose, accessible and well equipped.

• In 2017/18 we will commit in the region of R600 million to ensure that the facilities we set out to build, maintain, upgrade and renovate meet the expectations of our citizens.

At these sites, our standard of service must be of the highest order – this includes the availability of suitably qualified medical professionals, operational and current medical equipment, the availability of medication and of course, medical staff that are committed to putting the “care” back into “healthcare”.

In 2016 we made1 401 appointments to bolster human resources across our health facility network ranging from medical doctors and specialists to nurses, pharmacists, groundsmen and cleaners.

In the coming financial year, our resources will be used to strengthen this foundation at key healthcare delivery sites as a basis for future progressive implementation.

Honourable Speaker, inasmuch as our healthcare service sites must meet all core standards, it is also incumbent upon us to ensure that our sick and injured are able to access these facilities in good time to ensure that they do not have to undergo any additional pain and suffering.

Honourable Speaker, our Province’s healthcare system continues to make gains in  the  fight against HIV and AIDS, but the war is not yet over. The Province has an HIV prevalence rate of 37.5%, which is above the national average of 29.5%. What this tells us is that the scaling up of HIV treatment to eligible clients has prolonged the lives of people living with HIV.

Of course, we must seek to ensure that HIV prevalence is maintained whilst at the same time ensuring that we keep the incidence or new infection rate to a minimum.

In our Province, the total number of clients on Antiretroviral Treatment (ART) is currently at 351 978. In 2017/18 we will increase this number to 439 359.

This will result in more clients living longer and will also reduce their chances/probability of infecting others, thus contributing to reducing new HIV infections.

Moving forward, our primary focus will be to ensure both access and adherence to ARV treatment through multi-agency collaboration between the Departments of Health, Education and Social Development as well as via the Mpumalanga Provincial  Aids  Council  and  the Youth Development Directorate in the Office of the Premier.

Securing communities and fighting crime

Honourable Speaker, ensuring the health of our citizens goes well beyond  the  simple transactional provision of treatment for physical ailments. As government we are also obliged to provide for the psychological, social and economic well-being of our people, in particular, our most vulnerable - older persons, children, and people living with disabilities, our women and our youth.

These sectors of our population continue to carry the greatest share of the poverty, inequality and unemployment burden that is the lingering legacy of the apartheid government.

We have made gains on either side of the age spectrum.

In terms of our youngest citizens, we have ensured that 50 000 children in the 0-4 age cohort are subsidised to access registered Early Childhood Development programmes whilst an additional 4 866 children are accessing sponsored non centre based programmes.

For those who are entering their twilight years, many of whom remain young at heart and agile of mind we have hosted active aging programmes for approximately 4000 of our older persons.

We  have  further  ensured  that  6  167  of  our  senior  citizens  have  been  supported  to  access community based care and support centres.

It gave me pride in July 2016 to participate in a sod turning ceremony marking the first step towards the establishment of a R31 million retirement village at Ogies/Phola which seeks to further preserve the dignity and quality of life for our elders.

Five (5) cooperatives who are going to build the village as part of a Skills Development Programme have already been registered and trained and will be on site in the second quarter of 2017/18.

We  once  more  thank  Eskom  and  their  partners,  in  this  regard,  for  further  cementing  their Corporate Social Investment footprint in the Province.

Honourable Speaker, whilst we acknowledge that we have managed to ensure that many families in the Province are able to put food on the  table  as  a  result  of  government  social grants support, we must repeat our caution that this is not sustainable due to shrinking state revenue base.

We must build a working economy for the people of Mpumalanga so that those who are economically active, are absorbed into gainful activity. The state should support those who by circumstance will always be in need of a social security net.

Honourable  Speaker, it remains a disturbing reality that many of our  people are still the victims of crime.

The shocking statistics around substance abuse mentioned earlier gave us a sobering glimpse of only one dimension of the criminal activities that plague our communities. These so called “social ills” are the by-product of impoverishment and purposelessness.

Whilst we support our citizens to become educated, economically active  and  socially responsible, we must simultaneously root out the criminal elements intent on disrupting the peace and stability of our communities.

Our first priority remains gender based violence and crimes against children.

Our efforts in this regard will be guided by the crime statistics recently released by SAPS – these will enable us to determine which serious crimes need immediate attention and where they are most pervasive. These hotspots are  a  factor  of  mushrooming  informal  settlements, illicit mining activity, the illegal sale of liquor to minors and the like.

By adopting an approach that geographically prioritises the identified crime hotspots such as Emalahleni, Pienaar, Acornhoek  and Tonga we  will be  able  to concentrate our proactive  and reactive programmes where they are likely to have the most impact.

Contributing to this impact is the fact that the SAPS in Mpumalanga has managed to improve its policing resources by procuring an additional vehicle fleet of 218 vehicles, comprising 4x4police vans fit for our terrain, detective vehicles and additional vehicles for police support work.

Tomorrow in Middleburg, the MEC for Community Safety, Security and Liaison will join Minister Nhleko in welcoming 467 newly trained police officers to the Province. These new members will be deployed in various police stations, various police units in this Province as well as in our ports of entry.

These are your children, your brothers and sisters work with them in fighting the scourge of crime. They are the defenders of our communities do not kill them. "Wabulala iphoyisa, ubulala umphakathi"

In addition to the human resources that we welcome, we must add that the new police station in KwaMhlushwa will be completed by the end of March 2017.

These additional resources will surely bolster the SAPS efforts to arrest crime in the Province, but we cannot assume that they can do it all on their own.

Fighting crime and addressing social ills requires a  collaborative  and  appropriately resourced effort. Through the Department of Community Safety, Security and Liaison, we are working with the SAPS and other agencies to ensure that we intervene in a holistic fashion to these  challenges.

Strengthening  international partnerships

Our Province continues to forge strategic relations with our international partners in order to support our agenda for development through investment in our economy, opening of markets for our products and seeking new technologies that would make us  contribute  to making our country a competitive player in the global economy.

These initiatives are bearing fruit. At the regional level, we signed agreements with Cuando Cubango in Angola with a focus on agriculture and forestry, tourism and nature conservation, infrastructure development as well as trade and investment. We will be sending a team of commercial and emerging farmers to that province for a technical assessment on agriculture potential. This is meant to support our food production supply for the International Fresh Produce  Market.

With regards to Oman, our focus is on facilitating investment in support of our International Fresh Produce Market so that we are able to export agricultural commodities. Engagements are proceeding with other departments  at  national  level.  The  Oman’s  Minister  of  Commerce and Industry will be visiting the country next month at the invitation of our Minister of Trade and Industry.

Most importantly, our international agenda must leverage the National Government’s BRICS platform. This is why we are strengthening relations with select provinces in Russia and China in a mutually beneficial manner. Our partnership is not only limited to trade and investment, but also includes educational and cultural exchanges.

We signed agreements with Hebei Province on education, health, agriculture, infrastructure development, business to business cooperation. Last year on  the  16th  September  MEGA organised and convened the People’s Republic of China Business Forum (PRCBF), and was attended by a delegation 19 large Chinese Companies that are not only large by Chinese standards, but by world standards. We are working hard at attracting investment from these partners.

At the end of November last year, I together with few members of my Executive undertook a working visit to the Russian Federation where we met  with  various  stakeholders  in government and private sector to promote Mpumalanga as potential partner in development.

We were able to mobilise our Russian friends to consider investing in our Province but also to import agricultural products like citrus and red meat from us

I am pleased to report that an agreement to  establish  a  tractor  assembly  plant  in Mpumalanga was signed between MEGA and Minsk Tractor Works. The two Parties will by the end of this month finalise a business plan for the assembly production, which will determine the model range and volume (per annum) of tractors that will be assembled in our Province.

This initiative will create employment and further contribute to enhancing our artisanal skills base creating opportunities to develop tractor Mechanics, welders etc.

Our Province also signed a cooperation agreement with Mogilev Region in Belarus, wherein we have agreed to cooperate in trade and industry, agriculture, tourism, education and healthcare. We will be sending students to the  Belarussian  State  Agricultural  Academy  to study in the fields of agro-industry including agronomy, biotechnology and aquaculture.

333. Our partnerships with Russia, China and Italy seek to tap into their technological know-how in order to develop our local skills thereby positioning us for improved global competitiveness. We are determined to turn Mpumalanga into a manufacturing hub for South Africa and the rest of the Continent.
334. Going forward, we will formalise Joint Implementation Committees to ensure coordination between ourselves so that implementation is tightened, monitored and evaluated by Principals

Building a capable state

Honourable Speaker, as we reflect on our progress and our challenges, our inputs, outputs and results, we must also question our own performance.

We must interrogate our systems and structures and ask  our  individual  public  servants, “Have we truly served our citizens to the best of our abilities?” “Have we done enough?”

It is my contention, honourable members of this house, that as we have focused on what we need to do, we may have lost sight of what it is we need to be – a caring, skilled, professional, responsive and responsible public service.

Margaret  Chase  Smith,  a  United  States  Senator  in  the  mid-1900s  captured  the  essence  when she said, “public service must be more than doing a job efficiently and honestly. It  must  be  a complete dedication to the people and the nation.” She also said that, “constructive criticism is not only to be expected, but sought.”

Honourable Speaker, the issues that I speak to now are intended in the spirit of just such “constructive  criticism”.

As the provincial government and all our public entities, we have set ourselves a transformative agenda for accelerated development. For that to be realised, we need a capable state staffed by people who have the appropriate  orientation  and  commitment  to public service.

We must embrace the opportunity to transform and develop not only our society, but ourselves. As public servants of this Province, we need to do better, shake-off the cobwebs of outdated thinking and sedentary administration and get to work.

We must improve our knowledge and skills. We must look beyond the borders of this beautiful Province and absorb all we can learn from the Provinces and Nations that surround us geographically, and those that impact on us globally.

The Office of the Premier has initiated a number of projects to ensure that we improve our service  delivery  footprint  by  directing  resources  away  from  dated,  self-replicating structures towards technologies and configurations that are both effective and cost efficient.

We have undertaken the development of a new model to reconfigure our regional services to improve service delivery and curtail costs.

We are investigating opportunities and partnerships in the ICT  sector  that  will  move  us closer to e-government business processes thus making Mpumalanga a smart province. This initiative will, through the use of technology, afford us real time  communication  with  our people utilising the Vodacom Smart Citizen Solutions. We are already benefitting from the use of smart government solutions in some of our health facilities.

Whilst these technological initiatives will greatly  enhance  our  efficiency  and  effectiveness, they are no substitute for the professionally qualified thought leaders and technical experts we require to take our public service into the future.

In 2017/18 we will commence with consultations to determine the feasibility of establishing a Provincial School of Governance in Mpumalanga.

We would like to see this school anchored at the University of Mpumalanga and we believe that through partnership approach with prominent tertiary institutions in  the  governance arena, we will be able to develop a leading school that generates top cadres of public sector professionals that are worthy of their titles.

Conclusion

Honourable Speaker, I wish to thank you for the opportunity and time you gave us to present to the House and the people of our beautiful Province this State of Province Address.

If we look at what we have managed to achieve over the last year, our efforts of pushing back the frontiers of poverty and underdevelopment are on track. Our investment in public infrastructure has been remarkable, and in the process facilitating the ease of doing business.

However, we all agree that radical shifts and bold action is required to change the course of history and address the prevailing challenge of skewed patterns of economic ownership. We must be bold and move with speed in responding to the reality of our economic situation. We do not have a luxury time.

We need to focus, and be united behind the purpose of building a Province that is prosperous and socially cohesive. A Province that cares for its citizens and where no one is left behind. Together let us build a globally competitive Province!