Honourable Speaker and Deputy Speaker,
Leadership of the ANC, Alliance and other Political Parties,
Ministers and Deputy Ministers,
Members of the Executive Council,
Members of the Provincial Legislature and Parliament,
and Speakers from our sister Legislatures,
Veterans of our struggle for national liberation and their families,
IiKumkani zethu zonke nooNdlunkulu abakhoyo apha,
The High Commissioner of Lesotho, Mrs Evelyn Malejaka Letoone and her accompanying Consul General,
Executive Mayors, Mayors, Speakers and Councillors,
USihlalo Wendlu Yeenkosi neeNkosi ezikhoyo phakathi kwethu,
Judge President and Members of the Judiciary,
Leaders of Chapter 9 Institutions,
Commissioners of the Eastern Cape Planning Commission,
Vice Chancellors of our Tertiary Institutions,
Provincial Commissioner of SAPS,
Senior Officers and Heads of Security Services,
Members of the Diplomatic and Consular Corps,
Leaders of the Religious Fraternity, Business, and Civil Society,
Director-General,
Senior Government Officials and Heads of State Owned Enterprises,
Comrades,
Ladies and gentlemen.
Thank you for the privilege and honour to stand before you and the people of our beautiful province to present the first State of the Province Address of the fifth Administration.
Let me take this opportunity to congratulate the Honourable Members of this House on their election to serve our people. I look forward to a mutually reinforcing relationship to serve the people of the Eastern Cape.
Honourable Speaker, yesterday we marked 59 years since the Congress of the People adopted the Freedom Charter in Kliptown in 1955, which made the watershed declaration that, “We, the people of South Africa, declare for all our country and the world to know that South Africa belongs to all who live in it, black and white, and that no government can justly claim authority unless it is based on the will of the people”.
This declaration was re-affirmed on the 7th of May 2014, the day of the 5th national and provincial elections in the democratic South Africa, when about 2.2 million of the registered voters of the Eastern Cape set aside their time to exercise their democratic right to vote for a government of their choice.
I take this opportunity to express our sincere gratitude to the people of the province for the confidence they have, once again, demonstrated in re-electing this government. We are humbled by the overwhelming confidence that 70% of the voters in this province placed in the African National Congress (ANC), and we do not take this for granted.
As we were in direct contact with you during the election campaign, we listened to your concerns; we saw the conditions in which you live; and we have considered your suggestions and advice. With this understanding we will work with you in partnership, with a greater sense of urgency and improved accountability to move our province forward. This term begins with all of us having serious concerns about our common destiny.
These concerns include high unemployment, poverty, rising food prices, inadequate access to basic services, and poor performance of the economy. As a government elected by the overwhelming majority of our people, we have an obligation to respond to these challenges in a realistic and practical manner.
Honourable Speaker, consistent with the manifesto of the African National Congress and the National Development Plan, we have decided, over the next five years, to focus on seven strategic priorities, namely, transforming the economy to create jobs; rural development and food security; quality education; better healthcare for all; fighting crime and corruption; integrated human settlements and building cohesive communities; and strengthening the developmental state and good governance.
On transforming the economy to create jobs, we will undertake a number of initiatives aimed at radical socio-economic transformation through stimulating redistributive economic development and reducing income inequality. This is informed by the understanding that the current growth model is producing neither the levels nor the kind of growth required to address the triple challenge of poverty, unemployment and inequality.
The state must, therefore, play a more direct role in stimulating and directing investment, especially in the rural economy and in sectors with potential to create more employment. We will consolidate the success story of our Industrial Development Zones (IDZ) which has previously been extensively reported on.
Currently, the Coega IDZ can be considered to be the largest and most diverse IDZ in the country. In the past financial year the Coega became the first and only IDZ in South Africa to record more than 10 new investors totaling R1.8billion investment in a year.
On the other hand, the East London IDZ’s growing investment pipeline in sectors beyond automotive will diversify and introduce advanced production methods in the local economy. The operation of the multi-surface auto sector treatment plant will see new technologies and skills being introduced in the region and ensure further beneficiation of local resources.
The Special Economic Zones (SEZ) legislation has been finalized. Amongst others, this legislation proposes new funding mechanisms for the SEZs and makes provision for the transformation of the existing IDZs into SEZs. The approval of two new special economic zones in the Province, namely the Wild Coast SEZ and Chris Hani SEZ, is due and these will largely focus on agro-processing.
Honourable Speaker, government’s focus on infrastructure development over the past term has helped us combat the impact of the global recession. Jobs created through this infrastructure roll-out have helped us restore job levels to where they were before the global crisis of 2008/09. With significant investments in economic and social infrastructure planned for the next 5 years, this counter-cyclical strategy will continue.
The strategic logic of our infrastructure programme in the province is four-fold. Firstly, we have prioritised linkages with the minerals producing regions in the country to promote large-scale industrialisation in the province. To this end, we are working on an ore rail between the Port of Ngqura and Hotazel in the Northern Cape. This will be supported by a manganese export terminal in the Port of Ngqura, as well as a manganese smelter in the Coega IDZ.
Secondly, we are positioning the province as the new energy hub of the country. We are already the lead province in wind energy, and are set to benefit from the country’s diversification into both nuclear energy and shale gas. We are currently working with our provincially based universities such as Nelson Mandela Metropolitan University to look at how we can optimize socio-economic benefits and contain potential environmental impact from these projects.
We will continue to champion the Mthombo Refinery on which a National Cabinet decision is due.
Thirdly, we will focus on trade and logistics infrastructure. Significant investments will continue in our three ports, and we have prioritized the maritime sector as a growth industry for the province. The Port of Ngqura will position us exceptionally well in integrating the province into the African and global value chains. An amount of R5,7 billion has been set aside by Transnet to complete this project.
Fourthly, we will focus on infrastructure for rural development. Our key project in this area is the Mzimvubu Multipurpose Project which was launched by the President in April 2014. Clearing of the site has commenced and is continuing, providing employment to 600 local people.
The other key infrastructure projects in the east of the province are the Mthatha Airport and Wild Coast Highway. These projects will provide the logistics and transport infrastructure to enable agro-industrial and tourism development in the region. The upgrades of the Mthatha Airport runway and apron are complete.
The terminal building project is now on track, and is scheduled for completion in March 2015. Work on the ‘brownfield’ component of the N2 Highway Project is near completion and we will now attend to the ‘greenfield’ project between Port St Johns and Port Edward. These projects will also contribute significantly towards the government’s programme on rural development and tourism.
In all these infrastructure projects, we will maximise local procurement opportunities, gear up our local suppliers to benefit, and develop our youth for employability and entrepreneurship. As provincial government, we are committed to ensuring that our budget, over the term, benefits local SMMEs and Cooperatives.
To this end, we will ensure that 50 percent of our procurement budget is spent on goods and services manufactured and supplied by SMMEs and Cooperatives in the Eastern Cape. With this kind of deliberate and strategic support, these enterprises will be able to grow, create more jobs, become sustainable in the long term and provide government with value for money.
It is envisaged that jobs created through these initiatives will contribute to the economic development of women and young people. Provincial Treasury and the Department of Economic Development, Environmental Affairs and Tourism will develop the necessary frameworks and systems to give effect to this injunction.
Provincial government will enforce measures to ensure accountability for the payment of service providers by state institutions within the prescribed 30 days. Henceforth, this will be dealt with as a performance issue for Accounting Officers and Chief Financial Officers who must ensure compliance with this directive.
Honourable Speaker, we are prioritising electricity and a rural road network in the province. In partnership with ESKOM, R10 billion will be invested in a number of electrification projects in the province over this term. Pursuant to the pronouncement in the last SOPA, I have tasked MECs Marawu, Somyo, Xasa and Qoboshiyane to develop, within three months, a plan to address government’s capacity to construct and maintain rural roads.
In partnership with the Department of Rural Development and Land Reform, we will extend the road in Mvezo, which is part of the Nelson Mandela Legacy Bridge, to Elliotdale.
Building on the good working relationships we have with this department, we are exploring the possibility of extending this partnership to cover other rural road upgrades and bridges. Through our collaboration with SANRAL, we will continue to upgrade provincial and national roads within the province.
These projects will include sections of R61 and N2 at a cost of R3,17 billion and R2,4 billion, respectively. On public transport, we have finalised the Provincial Integrated Public Transport Master Plan and, over the next five years, we will implement the plan to improve the mobility of our people.
In addition to the reintroduction of public transport operations between East London, Mdantsane, King William’s Town and Bhisho, PRASA has put more investment in the Motherwell Rail Link in Nelson Mandela Bay and Queenstown Station upgrade. These will cost R1 billion and R57 million, respectively.
Honourable Speaker, skills development is a key instrument to enable the increased participation of the youth in meaningful economic activity. Skills training programmes in strategic sectors of the economy will be supported, and particular focus will be on the management of matchmaking and placement; internships; skills retention and attraction; alignment of industry needs with SETAs; and gearing up institutions of learning for skills supply, including the establishment of a maritime high school in the province.
As human resource development partners, we need to have a better understanding of the skills needed to grow an inclusive economy. To this effect, I have tasked the Provincial Human Resource Development Council to develop, within six months, a comprehensive plan to address all the critical skills required in the provincial economy.
Through collaboration with various Sector Education and Training Authorities, we have initiated learnership, apprenticeship and internship training partnerships. Together with the MerSETA, we are implementing a project to develop the skills of the youth to take up employment opportunities in the manufacturing and engineering sectors. This project will see more than 1,000 unemployed youth placed in apprenticeship programmes, annually.
Over the next 5 years, the province is targeting to enrol at least 2,000 unemployed youth per year for workplace integrated learning. Integral to our partnership with MerSETA is to mobilize industry to increase their intake of young people and graduates for workplace integrated learning.
To this end, partnerships have been established with a number of private sector firms and state-owned entities. A partnership has also been entered into with the University of Bremen in Germany to continually assess the benefits of this programme, especially for the private sector firms who participate in the project.
Honourable Speaker, because we are mindful of the challenges of growing the formal economy, we will continue to implement the short term measures to create opportunities for employment. Amongst these initiatives are our Expanded Public Works and Community Works Programmes, which will create at least 600 000 work opportunities over this term.
We will also prioritise skilling of the participants in these programmes for sustainable self-employment. We will pay particular attention to the enablers of economic development such as environmental impact assessment, rezoning and land use management. All the noble goals set above can only be achieved through strong partnerships between government and the private sector.
Honourable Speaker, on rural development and food security we will work towards creating vibrant, equitable and sustainable rural communities contributing towards food security for all. Over this term, we will strengthen co-ordination and pursue vigorous implementation of the Provincial Anti-Poverty Strategy which prioritises food security, amongst other critical interventions.
As part of strengthening food production, we will provide support to smallholder farmers. In partnership with Departments of Agriculture, Forestry & Fisheries as well as Rural Development and Land Reform, we will, over the next five years, work towards planting 300 000 hectares of land.
In addition to the rural infrastructure alluded to earlier, and the existing milling hubs in Mqanduli and Ncora, new milling hubs will be established in Lady Frere and Mbizana, and a budget of R70 million has been allocated for this purpose.
In addition, smallholder farmers will be supported with agricultural infrastructure and implements to enable and sustain production. We will further bolster the capacity of the Eastern Cape Rural Development Agency to enhance the support to small scale farmers, agricultural co-ops and enterprises.
Mawethu, makhe siphakamise isantya sokwenza izinto: bangafi abantu yindlala umhlaba ungenzi nto.
We are working with relevant national departments and public entities to roll out a massive programme to assist our poorest rural district municipalities to address service backlogs and upgrades and these are OR Tambo, Alfred Nzo, Joe Gqabi, Chris Hani and Amathole. This programme includes sewerage, bulk water and water reticulation, upgrade of water and sanitation infrastructure, building and upgrading electricity distribution network, road construction and maintenance, building schools, clinics and hospitals, as well as ICT infrastructure.
Honourable Speaker, on quality education we seek to develop well-educated and empowered people, who will help us to build a productive, socially cohesive and well-governed Eastern Cape.
In improving the performance of the education system in the province, we will continue to deliver 100% of learner teacher support material before the start of each school year; provide school nutrition programme to children in Quintiles 1-3 primary and secondary schools, as well as targeted Special Schools; and implement the No-Fee School Policy.
We will work on improving our capacity to effectively implement all key education policy imperatives prioritizing Early Childhood Development, school management and governance, teacher development, ABET, school infrastructure, and integrating ICT to teaching and learning.
With these interventions we will continue to better matric results which have now improved to 67% following the supplementary examinations. Working in partnership, with a greater sense of urgency and accountability, amongst all role players in the education sector, we can
achieve more.
We will continue to support deserving higher education students with bursaries in order to broaden access to post-secondary education. This will include access for people with disabilities and promote inclusive education to ensure that the needs of people with disabilities are effectively addressed.
We will also work to improve the coordination of student financial support in the
province.
Honourable Speaker, through the provision of better healthcare for all, we seek to achieve the development of a healthy population as a basis on which we must build a productive Eastern Cape.
The province will work to improve health outcomes and the performance of the public health system by paying attention to the social determinants of health; the provision of well-trained health care professionals in line with the applicable norms and standards; expanding the existing nursing training facilities; increasing access to Primary Health Care; promoting healthy life styles; and accelerating the implementation of health infrastructure programmes in preparation for the roll-out of the National Health Insurance programme.
We will also ensure that a minimum package of health care services is provided across the province. To this end, we are going to strengthen the monitoring of the six core standards in all the provincial health care facilities. This will result, amongst others, in the reduction of waiting times, in cleaner facilities, availability of drugs, improved staff attitude, infection control and prevention, as well as better security.
To increase coverage and response rate, 167 new ambulances and 3 more helicopters will be provided during this financial year. All this will require the strengthening of capacity and a concerted effort on the retention, training and recruitment of health professionals.
We are going to step up the fight against HIV and AIDS through aggressive prevention campaigns; expanded access to treatment and care; strengthening of the Prevention of Mother to Child Transmission; increased TB cure rate; expansion of sites offering VCT; and support for home and community based care. The role of the Eastern Cape AIDS Council, as a strategic partner in the fight against HIV and Aids, will also be strengthened.
At the centre of these interventions will be campaigns to raise awareness on the sexual and reproductive rights of women, road safety, and substance abuse.
Honourable Speaker, as part of the phased implementation of the National Health Insurance, we are making massive investments in the health infrastructure and systems in the OR Tambo district. We shall move with extreme urgency to implement various infrastructure projects within the OR Tambo district.
To this effect, we are investing R1,7 billion during the 2014 MTEF period. In addition, over the term, the Province will roll out infrastructure projects throughout other districts and metros as part of extending the NHI implementation beyond the OR Tambo pilot district. Siyaqhuba!
Honourable Speaker, on fighting crime and corruption in order to build a safe, secure and corruption-free Eastern Cape, with high moral standards and integrity, we are going to pay particular attention to combating violence and crime against women and children; improving our service and support to victims of violent crime and sexual abuse; strengthening crime prevention and enforcement in rural areas and crime hot spots; and implementing diversion programmes in order to channel young offenders away from criminal activities towards more socially positive activities.
These interventions can only be successful if we all work in partnership to confront the scourge of crime. We will also strengthen the oversight of policing and ensure improved collaboration amongst Justice, Crime Prevention and Security Sector departments for improved detection, investigation and prosecution of priority crime cases.
In line with our commitment to clean governance, we will introduce radical new measures to combat fraud and corruption in government institutions. These will include ensuring that all public office bearers and government officials facing serious fraud and corruption charges are relieved of their duties until finalisation of the investigations; strengthening our detection systems; increasing investigative capacity to ensure timely conclusion of investigations; strengthening collaborations between anti-corruption units and law enforcement agencies; and taking decisive action against the perpetrators.
Building on the provincial policy that prohibits public servants from doing remunerative work and business with government without prior approval, during this term, we will initiate anti-corruption legislation. To fight the cancer of corruption we must all work together in partnership and with a greater sense of urgency as well as improved accountability.
Honourable Speaker, through building integrated human settlements and cohesive communities we will provide our people with decent facilities, public services and access to economic opportunities.
Sustainable human settlement planning will be pursued in an integrated manner to de-racialise settlement patterns and tackle asset and infrastructure deficiency. Over the term, we will provide 78 000 housing units and complete 3 300 social and rental housing units. Integration is a critical ingredient of a successful human settlement and, in this term, government shall move away from building houses outside of integrated human settlements.
Honourable Speaker, as part of building social cohesion we will continue to provide and improve social protection programmes for the poorest and most vulnerable in society; expand opportunities for the poor to access the labour market; encourage healthy living through sport; promote active citizenry; and combat xenophobia and related intolerances.
As part of promoting a common national identity, nation building and patriotism, we will lobby for the re-writing of South African history to take cognizance of our struggle for national liberation and economic emancipation; step up awareness programmes on the Constitution and national symbols such as the National Anthem and the National Flag in schools; affirm African languages through enforcing implementation of the provincial language policy in all government institutions;and foregrounding social justice as the central value that binds our society.
Through the work currently being finalised by the Eastern Cape Planning Commission, we are developing a new vision and a set of core shared values that will bind and unite us as a province.
Honourable Speaker, during this term, we will finalise the review of the legislation regulating the issuing of liquor licenses in order to outlaw the establishment of liquor outlets in the vicinity of our schools.
Mayime qelele imizi yotywala ezikolweni.
In addressing transformation and improving the standard of sport, especially in townships and rural areas, we will focus on school sport leagues. The implementation of sport development programmes will also be strengthened, particularly in schools, and in rural and poor communities.
To this end, we will expand the sports academy programmes and increase the provision of sports and recreation facilities. We will continue to honour the heroes and heroines of our province through, amongst others, building of memorials and monuments, geographic name changes and repatriation of the remains of anti-apartheid activists from foreign lands.
As the Home of Legends, we need to champion the initiatives aimed at strengthening the national heritage trail as part of telling our own story of heroic battles fought, and as a way of inculcating a sense of belonging and patriotism amongst the youth.
Honourable Speaker, on strengthening the developmental state and good governance, we seek to build a developmental state which has the capacity to effect socio-economic transformation through effective administration and improved public service delivery. The renewal and reorganisation of the state, based on the new mandate of government and delivery priorities, is critical.
The Provincial Development Plan which is our vehicle towards implementation of the National Development Plan is being finalised. Successful implementation of the Provincial Development Plan will require commitment of everybody, demonstrated by not only words but by urgency and action.
A major threat to the realization of our provincial development plan is the slow pace of execution at all levels. To address this, we are implementing the following measures: centralised planning in the Office of the Premier; strengthened interface between the Planning Commission and the Office of the Premier to improve oversight and monitoring of government priorities including mainstreaming of issues of gender, youth and people with disabilities; and the establishment of a Technical Support Unit to provide implementation support to targeted departments and municipalities.
We will also build programme and project management capability to enhance execution and accountability. Key to instilling a sense of urgency and accountability is the strengthening of performance and consequence management. We therefore need leadership renewal, commitment to serve our people, preparedness to take tough decisions, a resolve to deal with inefficiencies head-on and intolerance to mediocrity.
The leadership renewal will augment our efforts to build a professional, caring and development oriented public service. In order to ensure performance against the set targets, I will sign delivery agreements with the MECs. Performance Agreements of Heads of Departments will also be revisited to give effect to key deliverables of the new administration.
I wish to sound a warning that, in this administration, there is no space for non-performing public office bearers and government officials. Those placed in positions of responsibility have to get their act together and lead their departments or face the consequences.
Honourable Speaker, having observed the inefficiencies in procurement, we have taken a decision to centralise the tender management system and to design a new procurement architecture and system for the province. One of our mandates as the provincial government is the coordination of support to local government.
We agree fully with the President when he says that our people’s experience of local government must be a pleasant one. In this regard, we congratulate Cacadu District Municipality for being named by the President as one of the municipalities that have shown “consistent good performance in audits, expenditure on municipal infrastructure grants and service delivery.”
We have also noted with appreciation, the national support to be provided to municipalities in the Province in areas of infrastructure development and administration capacity. These municipalities are Amathole, OR Tambo, Alfred Nzo, Mbizana, Ntabankulu, Lukhanji and Mbhashe.
Over the next five years, we will strengthen our support to municipalities in an endeavor to improve governance and provision of basic services including provision of bulk water infrastructure and eradication of the bucket system. Working together with the Department of Water Affairs and Sanitation, we will invest more than R6 billion in regional bulk water projects.
These includethe Ndlambe regional bulk water supply project, [R879 million], Xhorha East water project, [R258 million], Mncwasa water project, [R264 million], Mbizana regional bulk water supply, [R278 million], KSD bulk water project, [R400 million], Xhonxa, [R444 million], and the cluster bulk water projects in Chris Hani valued at more than R800 million. Siyaqhuba!
Over this term, we will also pay particular attention to our two metros and the KSD Municipality which have yet to realize their potential to be centres of provincial economic growth. Whilst providing targeted support, we will also develop options to ensure sustainable service delivery in the following municipalities: Ikhwezi, Inkwankca, Tsolwana, Great Kei, Baviaans, Gariep, Sunday’s River Valley, Koukamma and Ngqushwa.
Traditional Leadership is another critical stakeholder in our efforts to move the province forward. In this regard, provincial government will strengthen collaboration with the traditional leaders around nation building, social cohesion, moral regeneration and rural development.
We shall also continue to work together on initiation and in efforts to reduce deaths whilst nurturing young men to become responsible citizens. The Department of Education will strengthen partnership with the House of Traditional Leaders in taking forward Jongilizwe School of Traditional Leadership in Tsolo. This school will help a great deal in building leadership capabilities of traditional leaders to lead their communities.
As the government of the people, we will promote citizen participation and empowerment. To this end, we will strengthen consultation with, and feedback to, communities. The reduction of inequality, poverty and unemployment is at the centre of building social cohesion and an empowered active citizenry that takes responsibility to chart its own destiny.
In the next six months the provincial government will engage with social partners including traditional leaders, faith-based organisations, institutions of higher learning, NGOs, CBOs, organised business and labour with a view to enter into a social compact around the implementation of the provincial priorities.
The following areas will be prioritized during this term: expanding the government-business collaborations to cover all critical economic sectors; establishing social compacts for quality education and health; strengthening the already established partnerships with community based structures to fight crime.
Honourable Speaker, I wish to call upon all our citizens and compatriots to hold hands and work together with their Government to achieve the goals I have set here today. As we conclude our programme of youth month celebrations, let us roll our sleeves and work for the full realisation of the mandate entrusted to us by our people.
Partnerships, urgency and accountability is the way to go!
I thank you!
