Honourable Speaker And Deputy Speaker
Honourable Premier, Mr ES Magashule
Honourable Members Of The Executive Council
Honourable Members Of The Legislature
Chairperson of the Portfolio Committee on Public Works
Your Majesties - Marena Le Mafumahadi
Executive Mayors, Mayors, Speakers And Councilors
Director-General,
Heads of Departments, Municipal Managers and Ceos of State Owned Entities
Other Officials
Our guests from Construction Industry Development Board (CIDB), South African Women in Construction (SAWIC), Independent Development Trust (IDT) and the Sector Education and Training Authorities (Setas),
The Business Community
Distinguished guests
Comrades and friends
Honourable Speaker,
We are privileged as a department to table this budget vote speech during this historic time when we are preparing for the African Centenary celebrations. In celebrating the 100 years of the birth of the oldest liberation movement in the continent, the President has called upon all of us through the State of the Nation Address to accelerate service delivery and create jobs.
Speaker, we are also tabling this budget vote speech before the fourth local government elections since the inception of democracy.
The department has also just been reconfigured resulting in the transfer of the Rural Development component to the Department of Agriculture. This gives us an opportunity to focus on our mandate of infrastructure delivery as outlined in the Public Works white paper themed “Towards The 21st Century”. The centrality of infrastructure, both physical and social, in development cannot be over emphasised.
Infrastructure forms the backbone of job creation and the base upon which all government programmes are premised.
Speaker,
Successful and sustainable infrastructure investment requires the active participation of both the public and private sectors, working in an integrated and coordinated manner. Good infrastructure is a prerequisite for investment, it is only through investment that jobs can be created and the lives of our people improved. It therefore becomes imperative that as a department we should drive the provision of infrastructure and broaden its access to ensure sustainable livelihoods for our communities.
Speaker,
In October of previous year, the Minister of Economic Development launched the New Growth Path (NGP) and this policy document which spells out the economic trajectory of government, identifies infrastructure as one of the key drivers for economic growth and job creation. This is important in many respects because through infrastructure the government can play a direct and meaningful role in creating job opportunities and providing of public goods.
Motsamaisi wa dipuisano,
Ha re na qeya-qeyo ke hona hore lefapha la mesebetsi ya setjhaba le bapala karolo e hlokolotsi ponelopeleng ena ya mmuso eleng ya ho fedisa leqeme la mesebetsi. Ho fihlella sena, lefapha le ikemiseditse ho sebedisa diprojeke tsa marangrang ho tsameaho ya setjhaba le mebila bakeng sa ntshetso pele ka kakaretso.
Motsamaisi, re ka tiisa hore e tla ba semphete ke o fete mme tang-tang e tla kgangwa ke lerole e le ha batho ba rona ba kena mesebetsing ka ho fapana.
Honourable Speaker and Members,
The New Growth Path expects the “public investment to create 250 000 jobs a year in energy, transport, water and communications infrastructure as well as in housing, through to 2015”. These jobs are found in the under-mentioned key activities:
- construction of new infrastructure
- operation of the new facilities
- expanded maintenance
- and the manufacture of components for the infrastructure programme.
The above-mentioned, are directly linked to the provision of infrastructure and maintenance thereof, thus placing infrastructure at the heart of job creation.
According to the New Growth Path “the provision of infrastructure also serves to enhance efficiency across the economy, laying the basis for stepped-up growth and employment creation in every industry whilst simultaneously advancing social equity goals and addressing inequalities in the society”.
Honourable Speaker,
Government has prioritised spending on infrastructure that will improve the quality of lives of our people and ensure a better life for all. This must be used as an opportunity to create jobs, skilling individuals and building institutional capacity. The challenge however is to provide infrastructure, through labour intensive methods to maximise job creation and advance skills development.
To perform its infrastructure delivery mandate, the Department has been allocated a total budget of R1.226 210 billion in the 2011/12 financial period for the following programmes:
Administration
Honourable Speaker,
One of the strategic objectives of the department is to create an enabling environment that facilitates and promotes sustainable infrastructure investment in the province. This department is responsible for, amongst others, the planning and management of the provision of infrastructure, the provision of professional advice to management, clients, districts offices, as well as to programme and coordinate the construction and planned maintenance of buildings.
In order to deliver on infrastructure, appropriate professional and technical capacity is required. In a nutshell the human capital needs are addressed through recruitment, absorption of bursary holders and the professional registration with various built environment councils such as Engineering Council of South Africa (ECSA) for engineering professions, South African Council of Quantity Surveyors and South African Council for Construction Project Managers.
Honourable Speaker,
In our endeavour to address the existing shortages in the department, significant strides have been made in addressing entry-level human capital requirements in various essential disciplines. We have given bursaries and appointed professionals in the following fields: candidate mechanical engineers, one candidate electrical engineer, one candidate civil engineer, one candidate architectural technologist, four candidate quantity surveyors, two works inspectors as well as it, finance and general occupation. This represents a total of 15 appointments.
The department continues to recruit and source expertise from professional institutions. Initiatives have already commenced to appoint project managers and other professionals, who will complement the departmental professional and technical skills base.
In this regard we will actively pursue continuous professional development initiatives to retain and develop the professional capacity in the department. To this end, we have established close relationships with professional institutions such as the Central University of Technology, University of the Free State, University of Johannesburg, University of Pretoria, University of Cape Town and the University of Stellenbosch to assist the department to identify candidates in much needed scarce skills.
Furthermore, the department has made appointments in the following fields to fill vacant funded posts where qualified professionals could not be found in the past: Project management, electrical and mechanical engineering as well as architecture.
These three appointees commenced work in the department with effect from 1 March 2011 and a fourth appointee, the project coordinator – infrastructure design and client services, will commence work on 1 April 2011.
These new appointees will assist with the establishment of an efficient Project Management Unit in the department. This will further enhance the quality of work of the department through the life cycle of project planning and execution.
Motsamaisi wa dipuisano, jwalokaha Moprimiri a tobokeditse le ho fana ka taelo mabapi le ho tlatsa dikgeo tsohle tsa mesebetsi tse abetsweng ditekanyetso kahara mafapha puong ya hae ya Profensi, re le lefapha la Mesebetsi Ya Setjhaba re se re ntse re le mala-a- laotswe ho ka phetahatsa hang-hang taelo ena.
Ha ke bua tjena, ditlhophiso tsa tsamaiso kahara lefapha di se di hatetse pele mabapi le ho tlatsa dikgeo tse 50 tsa basebetsi ba tlang ho hlwekisa diofisi le dijarete dibakeng kapa ditsheng tse fapaneng tsa mmuso.
Ke motlotlo ho phatlalatsa Motsamaisi wa Dipuisano hore basebetsi kapa bathaotwa bana batla qala ka mosebetsi pele ho la 1 Motsheanong 2011 ebile tshekamelo ya lefapha e tla lebiswa haholo ho mafumahadi, batjha ekasita le batho ba borona basa itekanelang.
Speaker, as part of government’s endeavours of taking government to the people and of making services accessible to our communities, the department will strengthen Public Works regional offices throughout the province with the necessary human resources in order to make service delivery more effective.
The department will begin with specific focus on decentralisation of certain services such as property management, the all important Expanded Public Works Programme and security management. This will relieve the head office in Bloemfontein from services that can be managed and provided for in the regional offices.
I have, as a matter of fact, directed that Community Liaison Officers from the Expanded Public Works Programme be deployed in each of the districts with effect from 1 April 2011.
Public Works
Honourable Speaker,
During the State of the Nation Address, His Excellency, President Zuma declared 2011 as the year of job creation through meaningful economic transformation. This, as already highlighted earlier, is informed by the New Growth Path which aims to create five million jobs over the next 10 years through expanded investment in six sectors, one of those sectors being the infrastructure sector.
Public Works therefore remains our key strategic function particularly in the context of our mandate deriving from the policy trajectory of infrastructure delivery for a shared economic growth as articulated by the “New Growth Path”. Our preoccupation will have to be on the acceleration of integrated infrastructure delivery for economic and social development.
Honourable Speaker,
Government’s programme of action for this decade is largely dominated by economic activities and thus infrastructure has been identified as a key driver for economic growth and development, to fight poverty and create work. The Department of Public Works serves as a key driver in achieving job creation through meaningful economic transformation.
In fulfilling the latter, the department will have to accelerate its implementation of projects and programmes which will to a larger extent contribute to a positive change in the lives of poor communities in the province.
In the previous financial year, 28 capital projects were implemented and of these nine projects to the value of R222 million were completed on behalf of client departments. Other projects are multi-year extending over the medium term expenditure framework (MTEF) period. The department has in collaboration with the Department of Education completed five projects, namely: Gonyane Primary School,Thaba Nchu Refentse Primary School, Tshiame Kgetha Tsebo Secondary School, Harrismith Tsebong Ulwazini Primary School, and Sasolburg Sakubusha New School.
The work we will do in this financial year includes maintenance, upgrading, design and construction of new buildings for provincial departments, the Legislature and our own capital projects. Public Works will, as the champion of job creation in the province, ensure that these projects are executed using labour intensive methods.
To mention but a few: Harrismith Testing Center, Lebohang Building, the Fourth Raadzaal, Hamilton Regional offices, New Office Building, Phiritona Community Hall, Cradle of African Liberation, KGI Building in Kroonstad, Design of the New Legislature. The department will be engaging client departments regarding projects they can execute on their own, which projects will exclude certain specialised and technical work as that remains the mandate of Public Works.
Speaker, I am pleased to announce that Phillip Sanders project will be completed in the 2010/11 financial year. We have commenced with the construction of two new hospitals at Trompsburg (Kopano) and Ladybrand (Mantsopa) respectively. The new Hospital at Mangaung and the Psychiatry complex in Bloemfontein will commence in the new financial year.
In the period under review, there was a considerable effort by the Department to make procurement opportunities available to Historically Disadvantaged Individuals. So far, we have awarded 41 bids, 29 of which were awarded to Historically Disadvantaged Individuals and 11 woman owned Companies. We acknowledge throughout that more still needs to be done.
Speaker, in line with our tradition of dedicating the month of July to construction work, this year together with the Construction Industry Development Board (CIDB), the Independent Development Trust (IDT), and the South African Women in Construction (SAWIC), the department will host a summit on Women and Youth in Construction. This will be done so that we can celebrate the achievements of women and youth whilst at the same time creating an enabling environment to share ideas and learn from each other.
Property management
Honourable Speaker,
The department in its quest to promote the provisions of the Intergovernmental Relations Act will continue to make timely payment of accounts to the municipalities to ensure that they are economically viable to deliver the much needed quality services to the communities.
The department requested additional funding from Treasury and as a result of our discernible hard work in the above regard, our request was granted. I am proud to report that we have fulfilled our commitment; we have visited all municipalities in the province, assisted them in correcting their billing information and have been able to spend R404 million of our R405, 943 million municipal services budget as at 18 March 2011.
This amount is broken down as follows:
- rates and taxes (R222, 375,872.11 million)
- electricity (R98, 614,041.85 million)
- water (R30, 699,121.09 million)
- sanitation (R48, 058,110.21 million)
- refuse removal (R3, 864,066.69 million).
The department was acknowledged as the best performing in the country in terms of payment of property rates and taxes to municipalities. We also hosted a few provinces that visited us to study our processes in this regard in order to improve on theirs. The department is thus a model for best practice in ensuring 100% disbursement of the grant to municipalities.
Speaker, for the 2011/12 financial year we have made an allocation of R219, 916 million for payment of property rates and taxes to municipalities.
In addition, we will form partnerships with Cooperative Governance and Traditional Affairs (COGTA) and South African Local Government Association (Salga) with a view to develop a more structured and focused mechanism to assist our local municipalities.
Motsamaisi wa Dipuisano, re ile ra boela ra ikana ho tlisa diphetoho ho tsa thuho ya thepa (Ownership of Property) ka hara profensi e le hore re tlise teka-tekano ho tsa thuho ya thepa haholo re shebane le batho ba neng ba qheletswe ka thoko (HDIs) nakong ya kgethollo.
Re a tseba bohle hore molao wa 1913 wa thuo ya Lefatshe (Land Act) o bile le kabelo e kgolo hore boholo ba Maafrika bo hloke taolo yalefatshe dibakeng tsa ditiropo mme kahoo ba iphumane ba bokellane metse-mahaeng.
Motsamaisi wa Dipuisana, ho ditefo tsohle tseo Lefapha le di entseng ho tswa ho ditekanyetso tse lekanang le R139 million ho fihlella mafelo a Hlakola (February) 2011, R27,8 million e lefilwe ka ho qolleha ho Batho ba neng ba tinngwe menyetla nakong e fetileng (Historically Disadvantaged Individuals (HDIs). Re lomahantse meno matsapeng a rona a ho eketsa palo ya Batho ba neng ba tinngwe menyetla nakong e fetileng mabapi le tsa thuho ya thepa.
Honourable Speaker,
Plans are underway to pilot the Property Incubator Programme (PIP) which will see diversification and property industry related skills development. The areas of focus will be in the following disciplines: property ownership, property development, facilities management, property valuation, property research and estate agents/property brokers.
For the 2011/12 financial year, the department will select 100 applicants that will do verification of properties and occupancy as well as minor maintenance work. Larger maintenance work will be done through the Expanded Public Works Programme (EPWP) and works in order to realise job creation.
Speaker,
As part of the transformation of the property industry, the department rents property from the Historically Disadvantaged Individuals in an effort to assist them to enter the fixed property industry which is by far dominated by the previously advantaged individuals. The numbers of properties owned by the historically disadvantaged individuals are increasing steadily. The department will accelerate this programme of transforming the property industry in the province.
Honourable Speaker,
The asset disposal initiative is also a critical part of our programme, which ensures that unutilised property is disposed of or donated and transferred to current occupants. In Qwaqwa, 30 four-roomed houses in Kenzietown were donated to the occupants in 2010. Valuations were conducted on 17 five-roomed houses in preparation for their sale. In Modulaqhowa four of the eight houses have been sold. A total of 141 houses in Charlesville, Jagersfontein have been identified for disposal to the occupants. After a thorough process of verification of those occupants who qualify for the grant, plans are afoot to donate 40 houses.
The department has 29 houses in Wepener that are on Municipal land. Deeds of Donation to the municipality have been signed and the municipality will transfer the houses to the occupants. An additional 58 prefabricated houses in other municipalities will be donated to municipalities for transfer to qualifying occupants. The department does this in order to ensure that we clear our asset register of unnecessary and underutilised properties and properties that are in excess, and to also avoid further vandalising of state assets and their use for criminal purposes.
The department will transfer ownership of the Tourism and Information Centre in Phuthaditjhaba to the Thabo Mofutsanyana District Municipality and work closely with the national department to facilitate the transfer of the Old Parliament building in QwaQwa to the same District Municipality as per their request.
In preparation for the African Centenary to be hosted in the Free State as mentioned by the Premier during the occasion of his State of the Province Address, the department will acquire the Wesleyan Church together with adjoining properties. The following other projects linked to the centenary celebrations will be executed: the ZR Mahabane house in Kroonstad will be completed in the new financial year, the Maphikela Triangle will also be completed in the new financial year. Working closely with the Department of Health, the Batho Clinic will also be completed. The centenary will be an African, South African celebration.
We have reached an agreement with our national Department of Public Works about the construction of the Free State Legislature at the old Ramkraal Prison. In exchange for that land, our department will transfer the Pelonomi Hospital Nurses Home to the national Department for conversion into student accommodation in Bloemfontein.
In the previous financial year, we received a donation of the Pietersdal office block in Clarens from the National Department of Water Affairs; we have put in place plans to turn this building into a Training Centre of Excellence. Consequently, the department will be engaging the Department of the Premier, the Provincial Department of Education, the Construction Education and Training Authority in partnership with the Further Education Training Colleges for future training in the built environment and other relevant fields.
We continue to appeal to people occupying provincial government properties to come forward to legalise their occupancy. We will step-up our efforts and also engage the services of our security structures to accelerate progress on this matter.
Speaker, having observed the decaying state of most of government buildings and property in general, 2011/12 financial year will see a different approach to this critical aspect in the built environment. We will ensure that maintenance is given top priority and that we enforce through mobilisation of resources good relations by working with National Department of Public Works (NDPW) and other stakeholders to realise this objective.
Security administration
The security of our government property is vital to improved service delivery. We will put advanced measures in place to improve our security work. Our security personnel will receive periodic intensive training on pertinent areas of security administration.
Particular attention will be given to the Lebohang Building as the building is classified under the national key point. Its classification imposes certain high standards of security in order to comply with requirements. The department will engage the Department of Police, Roads and Transport as a critical partner in this endeavour.
In order to improve on the training of our personnel, the Department in collaboration with other stakeholders has started security training. The South African National Defence Force (SANDF) and the South African Police Services (SAPS) will be involved in the training to help inculcate a culture of discipline and patriotism in our security personnel.
Expanded Public Works Programme
Honourable Members,
The challenges facing our country and province require of us to work together in partnership with all stakeholders, for as government we cannot solve these on our own. Working together with our people will ensure their sense of belonging and ownership. Of importance to this is a single and integrated economy that benefits all. Expanded Public Works Programme constitutes the backbone of our efforts as government towards alleviating poverty and creating job opportunities. Expanded Public Works Programme Phase two aims to create work opportunities for 4.5 million poor and unemployed people in South Africa, which equates two million Full Time Equivalent (FTE) jobs.
The provincial target for the financial year 2011/12 is 26,979 to be translated into 12,951 Full Time Equivalents jobs.
Motsamaisi wa dipuisano,
Ka leano lena la katoloso ya mesebetsi ya setjhaba, rona jwalo ka mmuso wa Foreisitata re ikemiseditse ho lwantsha bofuma ekasitana le thloko ya mesebetsi. Re shebile haholoholo batjha, bomme le batho basa itekanelang hantle mmeleng. Ho fihlela mothating wa jwale rentse rele motjheng.
Honourable Speaker,
In the current financial year 2010/11 in partnership with role players in the infrastructure, social, non-state as well as the environment and culture sectors, we exceeded our provincial target for work opportunities. The target for the current financial year is 20 018 and we created 32,108 work opportunities and 12,161 Full Time Equivalent (FTE) jobs.
Ten municipalities have qualified for the EPWP incentive grant.The Free State province received a total amount of R4, 972 million in respect of the EPWP Infrastructure Incentive Grant, R2,708 million of which was awarded to municipalities, and R2,264 million to our department.
A further amount of R4,992 million was allocated towards the Social Sector Wage Grant and was divided between the Department of Health (R3,288 million) and Department of Social Development (R1,704 million). The Department of Health has qualified for the Social Sector Incentive Grant of R15.5 million for the 2011/12 financial year for all their EPWP projects.
We will as a province, strive to maximise our claim from the incentive grant. In this regard, a Provincial Coordinating Committee has been established to improve our coordination and reporting and ensure that all government departments and public bodies embrace the EPWP principles. Working closely with the Premier, I will lead all processes geared towards accelerating job creation in the province.
Honourable Speaker,
Three provincial Expanded Public Works Programme projects were nominated for the Kamoso Awards held on the 7 March 2011. These were in the following Categories:
- Social Sector Best Province: Early Childhood Development (Hola le Rona ECD,in QwaQwa, Maluti-a-Phofung)
- Social Sector Best Local Municipality (Ngwathe Local Municipality)
- Non-State Sector Best Province,(Progressive Youth Development Organisation from Botshabelo, Mangaung Municipality). I am pleased to report that the province won the Non State Sector Best Province Category.
Honourable Speaker, 60 households have benefitted for a period of over a year on the Food for Waste project in the Masilonyana Local Municipality. This programme is now being replicated in the Ngwathe and Metsimaholo Local Municipalities, due to its success in the Masilonyana Local Municipality. In the two new municipalities, the programme is targeting 300 households, which translates into 150 households per municipality. 100 of the households from Metsimaholo Local Municipality are from Phiritona.
The department has further received R2 366 million from the Expanded Public Works Programme Incentive Grant and for this, 10 Municipalities are on the EPWP Incentive Grant. Out of a number of 25 municipalities in the province, 24 municipalities have qualified for the incentive grant for the 2011/12 financial year.
Thirty new ventures have been created under the New Venture Creation Learnership implemented in partnership with the Wholesale and Retail Seta, Services Seta and the National Youth Development Agency. We also set aside R18million for training projects in this financial year 2011/12. An additional 251 young people have been selected to participate in the Plumbing, Civil and Building Learnership implemented in partnership with the Construction Education and Training Authority (CETA).
In the forthcoming financial year, the department intends amongst others to implement the Expanded Public Works Programme on maintenance, the rehabilitation of Metsimaholo Municipal Offices in Zamdela - Sasolburg, the completion of the final phase of Jagersfontein/Itumeleng Access Road, construction of the new community halls in Virginia, Botshabelo and in Heilbron, and the construction of the Intabazwe access road in Harrismith. We will deliver these projects utilising labour intensive methodology in order to maximise the creation of work opportunities for the local unskilled workers.
Furthermore, 500 youth across the province will undergo learnership training under the National Youth Service Programme in the built environment.
Speaker, our townships need to be seriously redeveloped. In line with the SOPA pronouncements, our Department in partnership with Cooperative Governance and Traditional Affairs (COGTA) and our local municipalities will be implementing projects in the following 12 towns under the Township Revitalisation Programme:
| Town |
| Batho |
| Odendaalsrus |
| Parys |
| Virginia |
| Marabastad |
| Henneman |
| Vredefort |
| Arlington |
| Jagersfontein |
| Cornelia |
| Bultfontein Airstrip |
| Community Hall (Mandela Section Parys) |
The total allocation for this purpose is R130 million.
In addition to the above-mentioned projects, the department is working closely with local municipalities regarding paving and gravelling of identified access roads in their respective communities.
We are jointly working with the national Department of Public Works on the filling of potholes throughout the province. This work will strictly focus on job creation for the youth of our province and will be labour-intensive as directed by the Honourable Premier on the occasion of the State of the Province Address on 4 March 2011. This development path is in line with government’s goal of job creation and rural development.
As part of Operation Hlasela, 453 workers from Batho, Jacobsdal, Hennenman and Jagersfontein have been contracted by the department as part of the Expanded Public Works Programme (EPWP) Community Works Programme. As we implement Hlasela projects, we will improve our planning, coordination and communication together with our sister departments and municipalities.
Speaker that is why as a Department, we will continue to embrace Operation Hlasela in the implementation of our programmes.
In conclusion
Honourable Speaker,
Let me thank the Premier for his continued good leadership of the provincial government and always being available to provide the necessary support and advice whenever required, albeit under trying demands of his work schedule.
I thank my colleagues in the Executive Council, for their invaluable advice, team-spirit and support.
I also thank the Chairperson Me Mantoa Thoabala and the members of the Portfolio Committee on Public Works for providing the much needed critical inputs to assist the department in achieving its goals and performing their oversight role with diligence.
I wish to thank my family for the unwavering support they continue to give me throughout my life and more so in my new responsibilities.
Lastly, I would like to thank the staff of the department under the sterling leadership of the Head of Department Mme Mokone Nthongoa, without whose leadership the department would not have achieved what it has achieved to date.
Honourable Speaker and Honourable Members, I table before this house the budget vote of the Department of Public Works for the financial year 2011/12. The total allocation of R1 226,210 billion is broken down as follows:
- Administration: R75 791 million
- Public Works: R981 795 million
- EPWP: R168 624 million
Honourable Speaker and Honourable Members of the house, I thank you.
Source: Free State Department of Public Works
