N Nkonyeni: Black Economic Empowerment hospital project launch

Press briefing session by the KwaZulu-Natal MEC for Health,
Neliswa Nkonyeni, on the occasion of the launch of a multi-million rand
Hospital catering empowerment project

21 November 2006

In the true spirit of the Age of Hope, today we are unveiling one of our
most ambitious empowerment exercises ever as a Department of Health.

The KwaZulu-Natal Department of Health is the biggest buyer with more than
R3,8 billion spent on procurement alone, which includes buying items like
curtains, sheets, gowns and other services like cleaning and minor renovations.
This type of market was inaccessible to people in our community but this has
since changed, as in May last year, the department established a new unit known
as the Targeted Enterprises Development Unit.

It is through this unit that we have decided to ensure that R228 million
budgeted for catering services for the next three years, be shared with new
KwaZulu-Natal role players. We consider this cake too big not to be shared if
we truly take a cue from the tenets of our Freedom Charter.

It will come as a surprise to many that only eight conglomerates are
providing catering services to a total forty-seven of our hospitals. These
eight having been contracted pre amalgamation of the ex-KwaZulu and ex Natal
Provincial Administration (NPA) health administrations. Fortunately all the
contracts have now expired and are being run on month-to-month basis. The
Department is thus free to go the empowerment route as the current practice is
undoubtedly stagnating transformation.

We are very confident in the wealth of experience and zeal among our people
that given a chance they can stand-up to the task of providing catering
services in our institutions, judging by the large sumptuous meals decked out
in various gatherings like weddings and funerals.

Bids have been canvassed and the tenders close at the end of this month. So
far, we are still happy with the whole process having concluded the tender
briefing exercise as scheduled in all our eleven Health Districts between 6 and
11 November.

The adjudication process is to be duly finalised during the second week of
December and the awarding of contracts to happen early next year. I must point
out that by taking this initiative; the Department seeks to achieve the
following:
* advance Black Economic Empowerment (BEE)
* improve the aesthetics of hospital meals
* ensure food safety.

I must point out that as a Department of Health we expect the prospective
caterers to abide by all State policies, standards and procedures related to
catering services including:
* nutrition and dietary policy and standards
* clinical guidelines on management and control of infectious food-borne
diseases in South Africa
* Health and Safety Act
* Hygiene Regulations R918 as published in the Government Gazette
* infection prevention and control guidelines
* any other quality initiative as prescribed by the Department of Health.

We have also prescribed that vegetables, meat and poultry be procured from
local communities, i.e. co-ops, emerging small farmers and targeted
enterprises. In this regard the Department reserves a right to request the
contractor to submit proof of purchase from targeted groups, particularly the
co-ops which all KwaZulu-Natal Government departments are initiating and
supporting. We want to remain true to our election promises of fighting poverty
and creating jobs.

We are mindful of the pitfalls ahead but we take a cue from Mao Zedong's
reasoning that a journey of a thousand miles begins with the first step.

I thank you.

Issued by: Department of Health, KwaZulu-Natal Provincial Government
21 November 2006

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