Budget Vote 1 of the Office of the Premier delivered by the Premier of Limpopo Province Mr Cassel Mathale at the Limpopo Provincial Legislature, Lebowakgomo

Honourable Speaker, Honourable Rudolph Phala Honourable
Deputy Speaker, Honourable Joyce Mashamba
Members of the Executive Council
Chairperson of the House of Traditional Leaders, Kgoshi Dikgale
Chairpersons of Portfolio Committees
Honourable Members of the House
The Director-General Mme Rachel Molepo-Modipa
Ladies and Gentlemen

Honourable Speaker

Our budget speech this year is taking place only a few weeks before the commemoration of our country’s first democratic election in 1994. It was 19 years ago that we South Africans of all races stood in bending queues to cast our votes in the first election that was truly representative of the demographics of this country. This historical event can never be taken for granted for it opened the door to a non-racial, non-sexist, united, democratic and prosperous nation.

Therefore, as we approach the 27th of April, we should always appreciate that the work of building a better life for all requires all of us to work together in shaping the future of our province. Since 1994, we have registered great progress in changing the living conditions of our people for the better. We have created a conducive environment for our people to aspire for a better future in a just society. We are giving our people hope by creating opportunities that will make them prosper in their daily endeavours.

We are meeting in this august house at the time when the father of our nation, President Nelson Mandela, is continuing to recover at home. We should always pray for him as he remains the true personification of our struggle for freedom and democracy. Re phelele President Mandela, re phelele!

At this moment in time, we are nearing the end of the 2009/2014 electoral term as well as the end of the second decade of our democracy.

We must summon the courage to confront our current challenges. During our Executive Council Public Participation Programme (EXCO PPP), provisioning of water stands out as the number one need for our communities. We will continue to do everything in our power to ensure that our people have clean running water. There will be a consistent effort to enhance access to water because we cannot boldly claim progress on this subject when many of our people have access to water for only 30 minutes a day and only on certain days.

We should take pride in that we live in a province of abundance. Every corner of our province is endowed with essential resources that will turn our province into an economic hub that will deliver our people out of the shackles of poverty. When we look at coal deposits in Lephalale, the Soutpansberg area covering Phafhuri and Tshipisi and the platinum belt in Sekhukhune and Mogalakwena we become more convinced that soon all roads and all rail will lead to our province. Once we have died and fossilised, future generations will still be benefiting from these resources provided we continue to use them sustainably.

Honourable Speaker

With the better part of our province being rural, we find ourselves with the mammoth task of developing Limpopo. We have thousands of kilometres of our road network to tar, dams to build, electricity to transmit, townships to develop, schools and hospitals to build and refurbish, communications infrastructure to erect and towns to expand.

The magnitude of this task should not intimidate us. In fact we should be excited about it because we have work to do. We do not only have the electoral mandate to deliver service to our people, but we also have a moral obligation to build a province that offers opportunities to all our people.

As we develop our province and extract our minerals, we will continue to develop the requisite skills that will match the needs of our economy. Our Work Skills Plan outlines the skills that this province needs. These include, amongst others, accountants, geologists, engineers and artisans.

We must be confident because we have everything that is necessary to enhance our service delivery initiatives in our quest to make major impacts in health, education, job creation, the fight against crime and corruption as well as rural development and land reform.

The role of the Office of the Premier, as enshrined in Section 125 and 127 of the Constitution of the Republic of South Africa and the Public Service Act (1994) section 3A, is to, amongst others, coordinate the functions of the provincial administration and its departments. In practical terms it means that the Office manages the performance of the Provincial Administration, monitors and evaluates service delivery and governance in the province.

Honourable speaker

We are happy to report to this august house that the province is doing very well in resolving service delivery cases. The report of the national Department of Performance Monitoring and Evaluation in the Presidency indicates that the province has resolved almost 96% of service delivery cases reported to the Presidential hotline. Thus, the province has improved from 64% in the previous financial year which was placing it in the third position to 96% as at end of February 2013. Limpopo is now in second position amongst the nine provinces. Our target as a province is to resolve all reported Presidential Hotline cases.

In the 2011/12 financial year we reported that we have established the Premier’s Hotline and the Office is continuing with its responsibilities of ensuring that all reported service delivery cases are resolved by all Departments and Municipalities. In relation to this Hotline, 93% service delivery cases were resolved, with the Departments at 92% and the Municipalities at 95%.

We continue to improve the lives of our people by resolving the service delivery cases they have reported. This is evidenced by the feedback we received from Ms Mapula Ledwaba from Mahwelereng who lodged a complaint on the bad condition of roads in her area. In her complaint Ms  Ledwaba stated that, “My concern is the bad condition of the roads where I stay. The road condition is so bad that even visitors don’t want to come or drivers of the delivery vehicles complain”. Ten days later after our intervention, we received correspondence from Ms Ledwaba thanking the Office for our prompt response and action to the effect that the condition of the road she was complaining about has since improved.

One of the critical pillars of public service transformation that the Offices of the Premier monitor is equity in the workplace. The National Cabinet has directed that all departments must reach the 50% target in relation to employment equity of female employees at SMS by no later than end of March 2014 and 2% employment of employees with disability by not later than March 2015.

Honourable Speaker

There is an indication that as a Province we will be able to reach this target. The Office appoints Heads of Departments and we are glad to report that we have already reached 50% at this level in that out of the 12 departments six of the posts are occupied by females. The Province has four posts at level 16. Level 16 is the highest level in the Public Service and it is worth mentioning that three out of the four level 16 posts are occupied by females. The performance of the Province in relation to all SMS posts is at 40% with five departments having attained between 45-48%. The Province has maintained the 2% target in relation to the employment of people with disabilities at Senior Management Level (SMS).

Honourable Speaker

We are continuing to improve accessibility of services to people with disabilities and we are striving to make resources available for the people 
in this sector. We should report to this august house that the Lepelle- Nkumpi Municipality in partnership with the Provincial Administration and the Department of Women, Children and People with Disabilities and the Private Sector has enabled the province to have one of the best institution of its kind in the country. Pontsho Disability Care Centre is a state-of-the-art centre for children with disabilities, built in the most rural area of Khureng Village in Zebediela.

Pontsho Disability Care Centre is a true model of integrated service delivery in that it provides specialised services for children with mental disability such as therapeutic services, counselling services, parent empowerment, computer literacy skills and municipal services, all under one roof.

We are calling on all the municiplities to emulate the sterling work of Lepelle-Nkumpi Municipality in restoring the pride and dignity of people with disabilities by supporting their projects.

Honourable Speaker

We would be making a big mistake if we do not mention that this project was started by the late Ms Sinah Chauke who worked tirelessly to ensure that the Pontsho Disability Care Centre develops from a shack to the state of the art centre it is today. Ms Chauke passed on in November 2012 and could therefore not witness the opening of the Centre which took place on the 15th of March 2013. We are consoled by the fact that before she passed on she saw the construction of the new Centre which was almost complete. May her soul rest in peace. We want to appreciate the work done by Ms Chauke who initiated the project even though she did not have a child with any disabilitiy. This kind of passion which assists in transforming the lives of our people for the better should 
be emulated by all of us. Va ndyangu wa ka Chauke ha nkhensa swinene.

Honourable Speaker

We have indicated in the 2012/13 budget speech that, following the establishment of the Department of Performance Monitoring and Evaluation at National level, we have managed to establish Units on Performance Monitoring and Evaluation in all the Departments in the province. This intervention has enabled most departments to produce Annual Performance Plans that have informed and measurable targets. The 2011/12 audit outcomes on predetermined objectives states that there has been a remarkable improvement in the conclusions expressed by the AG in that four of our Departments have improved, with only one regression. The Office of the Premier has improved on performance information from a Disclaimer in the 2009/10 financial year to a Qualified audit opinion in the 2010/11 and to an Unqualified audit opinion in the 2011/12 financial year. We will continue to guide and provide support to Departments to ensure that these gains are sustained and that all other Departments achieve an Unqualified audit opinion on the predetermined objectives.

Honourable Speaker

We would also like to report that the Office has been able to settle all the invoices received within a period of 30 days from the date of receipt, a measure which ensures that the service providers are not hampered by delayed payments. This standard should be emulated by all the Departments. To ensure that this takes place, monthly reporting to the Executive Council by all Departments is enforced. Reasonable progress is being shown by all Departments towards meeting the national standard. The Departments are being supported by the Office and the Provincial Treasury, and as at end of the year 2012/13 two departments were able to meet the standard. The support will be intensified for 2013/14 to ensure full compliance by all the Departments.

Honourable Speaker

We should acknowledge that we have not done well in relation to audit outcomes of 2011/12 in that four of our Departments have regressed and only one has improved. In the process, two of our Departments lost their clean audit status. We are hard at work to turn the situation around in the quest to achieve the objectives of the Operation Clean Audit campaign. We have heeded the call by the AG that there should be consequences for non-compliance by packaging all the Internal Controls into one document. These control measures clearly articulate consequences for non-compliance. This document which is implemented by all the Departments will go a long way in improving governance in the Administration. It is also important to mention that we have developed the Clean Audit Strategy and its implementation is being monitored by the Executive Council monthly.

Honourable Speaker;

As we have stated in the 2013 SOPA we remain committed to fight fraud and corruption. We have appealed to communities to partner with government in the fight against this scourge. We are calling upon those who have evidence of wrongdoing against anyone in the province to make it available to law-enforcement agencies for investigations. The investigation process should be respected by all citizens. The implementation of the anti-fraud and corruption programme in the public service has resulted in the dismissal of 112 officials.

The province continues to resolve anti-fraud and corruption cases reported through the national anti-corruption hotline of the Public Service Commission. We remain committed to running an open administration which deals with fraud and corruption decisively.

Honourable Speaker

Our government has committed itself to continue consulting with communities in the implementation of service delivery programmes. This undertaking is in keeping with Chapter 10 of the Constitution of the Republic of South Africa which enjoins us to take appropriate steps to encourage and facilitate participation by the public in processes of governance particularly on service delivery matters. It is against this backdrop that we maintain that our monthly Executive Council Public Participation Programme (EXCO PPP) is a pertinent platform to entrench democratic values which find adequate pronouncement in the Batho Pele principles.

Honourable Speaker

As we look throughout the province, district by district, we witness the impressive strategic interventions that our government has made to deliver infrastructure to our people in response to the issues raised during various EXCO PPP. The following are just some of the interventions made since 2009:

In Vhembe our people benefited from the reconstruction of both Lutanagwa and Khalaba bridges which were badly affected by the floods. Currently these reconstructed bridges facilitate traffic flow and they heighten economic activities in the area.

In Waterberg, we are widening the R33 road between Modimolle and Lephalale because this project resonates well with mega developments that are earmarked to eventually turn Lephalale into a city.

In Capricorn, the construction of a police station in Botlokwa has brought safety, security and peace of mind to our people. This facility will strengthen the impetus towards the fight against crime.

In Mopani we are rolling out water pipelines from Nandoni Dam to Nsami Dam and it is our firm view that this project will eventually alleviate the plight of water scarcity in that area.

In Sekhukhune we have completed the construction of Phase One on the Input Supplier Park to ensure that communities that were previously excluded from the economy take a meaningful part in the mining business. For all intents and purposes, we have made these achievements working side-by-side with our people through the EXCO PPP.

Honourable Speaker

These achievements reflect the strides made in implementing the Limpopo Employment Growth and Development Plan (LEGDP). We also continue to provide support to Lephalale, Musina, Mogalakwena and Tubatse as our identified growth points. As government we are working together with the private sector for the establishment of the broad-band infrastructure. The broad-brand infrastructure will go a long way in improving connectivity to our rural communities including schools and clinics.

Honourable Speaker

The adoption and implementation of the Limpopo Policy & Research Repository, as a policy research tool, makes ours a transparent government, with the full intention to avail its research outcomes and policy instruments to scholars, students and the general public across the world. This promotion of access to information resonates with our long-held conviction that ours remains a people's government. We intend to launch this repository in this financial year so that we can generate requisite awareness on how it will add value to the delivery of services by all departments and thus improving the lives of our people.

Honourable Speaker

As we have indicated in the 2013 SOPA, the establishment of the Limpopo Economic Development Agency (LEDA) will strengthen the implementation of the LEGDP as LEDA is well positioned to serve as an implementing agency of the LEGDP.

The decision taken by the Executive Council in the electoral cycle of 2004 to 2009 that the State-Owned Enterprises should be amalgamated was one of the progressive decisions that aimed at developing and stimulating the economy of the Province. The Executive Council during this cycle realised the importance of merging the state-owned enterprises into one entity that will drive the economy of the Province.

Honourable Speaker

It is important to remember that the 2006 State of the Province Address presented to this august house stated that “the need to streamline, redefine and focus our provincial public entities is becoming more and more apparent”. Subsequently, in 2007 EXCO took a decision to restructure the parastatals and the decision clearly directed that Trade and Investment Limpopo (TIL) and the Limpopo Business Agency (LIBSA) should fold up their business in terms of their founding Act. The decision further stated that TIL and LIBSA should be incorporated into Limpopo Development Corporation (LIMDEV) and that the functions of TIL and those of LIBSA be transferred to LIMDEV and that the personnel of both TIL and LIBSA be transferred to LIMDEV. The incorporation of the two entities was the first phase of the amalgamation as the decision of EXCO further directed that as a second phase after incorporation, the operations of LIMDEV should be reviewed.

Honourable Speaker

In the same year, EXCO took a decision to restructure the Northern Training Trust (NTT) and the directives were that the NTT be deregistered as a Section 21 company. The decision further directed that personnel and the other assets be transferred to LIBSA through the incorporation process. Added to this, EXCO directed that the incorporation process should be fast-tracked noting the incorporation process of LIBSA into LIMDEV was already underway.

Honourable Speaker

In 2010 EXCO took the process forward by amalgamating the parastatals into a single Economic Development Agency. The MEC for the Economic Development, Environment & Tourism was duly mandated to consult the Boards of TIL, LIMDEV and LIBSA in line with Sections 2, 5 and 7 of the Limpopo Economic Development Enterprise Act of 1994. This consultation process was with regard to effecting a dissolution of the current Boards and the appointment of a new interim Board to focus on the establishment of the new Agency. The Boards were subsequently dissolved and an interim Board was established. The interim Board focused on the amalgamation of the parastatals and a new single development Agency was established. The amalgamation process has been completed and LEDA has been formed. LEDA, as we have stated in the 2013 SOPA, should be industrious and self-sustaining.

Honourable Speaker

The budget for the 2013/14 financial year will enable the Office of the Premier to live up to its mission of providing innovative and strategic leadership and management for service excellence. The budget will enable the Office to implement the programmes outlined in the Annual Performance Plans. Each programme has Sub-Programmes and the budget is further allocated per Sub-Programme.

Programme One is Administration. This programme is entrusted with the responsibility of providing administrative support to the Premier, Executive Council, and the Director General in fulfilling their legislative oversight function and in promoting good corporate governance.

Programme Two is Institutional Development. This programme has been established to ensure that the Provincial Administration has the capacity to deliver on its mandate. This Programme ensures that policies, processes and systems that enable the Provincial Administration to deliver services are in place.

Programme Three is Governance and Policy. This Programme has been established to enable the Office of the Premier to implement the mandate of planning as well as monitoring and evaluation. The programme initiates the development and implementation of policies and strategies to achieve an integrated approach towards sustainable growth and development. The Programme also ensures that the Outcome- Based approach is properly implemented and monitored in all the spheres of government.

Honourable Speaker

The Office of the Premier will continue to provide strategic leadership and ensure that basic services are delivered timeously and speedily to our communities. As the ANC-led government, we will continue to work side-by-side with our communities to ensure that our Province continues to be prosperous in our quest to provide a better life for all.

Honourable Speaker

Our annual report for the year 2012/13 will further outline progress made by the Office in implementing the Annual Performance Plan of the year under review.

The detailed account of how the budget is allocated to support priority programmes of the Office of the Premier for this current financial year is documented in the Annual Performance Plan for 2013/14. It is with great pleasure to present before this house the 2013/14 budget vote for the Office of the Premier for appropriation.

Thank you!

The budget for the Office of the Premier is outlined below :

Programme	Adjusted Appropriation 2012/13	Medium-term estimates
		2013/14	2014/15	2015/16
Administration	18 875	122 671	128 963	132 958
Institutional Development	118 291	123 496	128 002	132 648
Policy and Governance	68 972	76 690	80 860	85 293
Total estimates	306 138	322 857	337 825	350 899

Programme 1: Administration

Sub-programme	Adjusted Appropriation 2012/13	Medium-term estimates
		2013/14	2014/15	2015/16
Premier Support	13 729	14 468	15 209	15 932
Executive Council Support	4 881	5 255	5 535	5 805
Director General	11 651	12 858	13 493	14 118
Financial Management	77 162	77 775	81 566	83 308
Programme Support : Administration	11 452	12 315	13 160	13 795
Total estimates	118 875	122 671	128 963	132 958

Programme 2: Institutional Development

Sub-programme	Adjusted Appropriation 2012/13	Medium-term estimates
		2013/14	2014/15	2015/16
Strategic Human Resource	48 393	51 209	53 829	56 386
Information Communication Technology	29 871	29 568	29 751	30 356
Legal Services	14 505	15 609	15 733	15 861
Communication Services	14 248	14 954	15 680	16 397
Programme Support: Institutional Dev	11 274	12 156	13 009	13 648
Total estimates	118 291	123 496	128 002	132 648