MEC Helen Sauls-August: Eastern Cape Human Settlements Prov Budget Vote 2017/18

2017/18 Policy and Budget Vote tabled by MEC for Human Settlements - Ms Helen Sauls-August at the Eastern Cape Provincial Legislature, 15 March 2017

Honourable Speaker and Deputy Speaker; Honourable Premier, Mr Phumulo Masualle My colleagues in the Executive Council
Honourable Members of the Provincial Legislature; Honourable Executive Mayors and Mayors
ANC leadership and Alliance Partners; Esteemed Traditional Leaders
Our social partners
Senior officials in government and the private sector; Distinguished guests
Comrades and friends; and Ladies and gentlemen

Introduction

Honourable Speaker,

The birth place of the late O R Tambo bears relevance to a desire for unity. The world that he impacted on marks the 100th year that his name grow in stature as he built unity in action to transform a divided South Africa into a people’s democratic government.

The breath-taking plains of Nkantolo remember the child, the streets of Soweto experienced the lawyer, the buildings of Lusaka echoes the liberation leader and the African National Congress follows his principled teachings.

This year South Africa honors our legend whose name expresses 100 years of leadership from oppression on to the Promised Land.

Do any of you recall the late night teachings on radio freedom as O R transmitted a spirit of hope through resistance? His foresight into the future of the country was far ahead of time as his ideals are expressed in the Constitution and Bill of Rights of which he was a staunch champion.

As the glue that held the liberation movement together during painful and trying times, he worked successfully overseas for economic sanctions against apartheid South African government.

In 1987, he said of the future of the country: “We have a vision of South Africa in which black and white shall live and work together as equals in the conditions of peace and prosperity.” With this having being achieved, our responsibility is to deliver to our people.

The department of human settlements in the Eastern Cape has year on year proven to be able to realise the dream of a people’s government with tangible delivery.

Service delivery environment

Honorable members,

The performance of the department continues to improve year by year. Our projects received national accolades in the categories of Best Enhanced Peoples Housing Process in Needs Camp (Buffalo City Metropolitan Municipality) and runners up in Best Rural Housing Project for Ebenezer rural project (Mbizana Municipality), the Best Student awarded to Makula Precious Abongile, who received 2 distinctions in the BTech Degree for Quantity Surveying.

Fairview Link won the best Social Housing Project in the country.

There is a gradual increase in the number of households living in formal dwellings over time from 65.1% in 1996 to 79.2% in 2016. The percentage of households living in traditional dwellings has also declined sharply from 18.3% in 1996 to 7% in 2016.

The Eastern Cape Province distribution of households whose main dwelling is government subsidized dwelling increased to 386 802 in 2016.

Those living in informal dwellings have decreased slightly from 16.2% in 1996 to 13% in 2016, according to a community survey done by Statistics South Africa in 2016.

Honourable members,

In ensuring security of tenure as pronounced in the 2016/17 Policy Speech, the department has ensured that 8 249 title deeds have been registered which has reduced the backlog.

The department has appointed conveyancers effective in November last year to commence with the lodgement of transfersfor the ultimate issuing of title deeds for post 1994. Besides these appointments, the department has been working with muncipalities to collect and record title deeds.

Moving forward the department has taken it upon itself to appoint and monitor the work of conveyancers.

The department has completed 2 state of the art multi-purpose facilities built in the villages of Thaba- Chicha, and Deberha. These two facilities were handed over to their respective municipalities of Matatiele and Engcobo in July and October last year.

The Deberha facility is named after Zandiswa Kilwa who passed away 3 years ago during sport against crime games. The mother NomaRussia Kilwa, said the family was grateful to government for naming the centre after their daughter.

“We are now happy but it was so sad for us when she died we never thought this will really come through, to name such a building after our daughter who was not famous.

The people of Engcobo will benefit in our daughter’s name.”

During the handover of the Alfred Nzo Multi-Purpose Community Centre, the Nzo family said they were honoured for the recognition of their brother: “I am honoured that my brother’s name is respected as such by this community...this says your strength is through my brother. What you have done as the Department of Human Settlements for this community is commendable. We thank you as the family,” said Nomazotsho Nzo.

Motherwell multi-purpose community centre has also been completed, but has not yet been handed over to the community and the municipality.

Sithi huntshu kumlisela nomthinjana wezingingqi! Honourable members,

In addressing the gap market, the social housing programme has delivered 150 units in the Willowdene Social Housing Project, 238 Individual Subsidies and 141 Finance Linked Individual Subsidies were (FLISP) were approved.

Mr Lwazi Malangeni is a proud recipient of the FLISP subsidy who now owns a property in Scenery Park, East London. Another young 24 year old beneficiary, Ms Esihle Makhithi, has also accessed the subsidy to become a property owner in Southernwood, East London.

Honourable Speaker, Within the classification of Destitute and Vulnerable groups, we are proud to have completed construction of houses for the visually impaired 27 beneficiaries in Dimbaza.

47 Enhanced People’s housing Process Project housing units in Tyriville have been completed and beneficiaries have occupied their houses.

We can confidently state that the overall target of building of 13180 housing units; connection to basic services have been achieved and 2187 defective houses have been rectified. Imisebenzi iyabonakala Asikagqibi, Ons is nogieklaar nie, we are not done yet!

Internally the department is stable and has been able to detect and deal with fraudulent and corrupt practices. The department has referred such cases to law enforcement agencies for Prosecution and can report that some of these cases are before the courts.

The rental housing tribunal has successfully responded and resolved 291 cases. The Tribunal has also established working relations with the magistrate’s courts.

We have also capacitated our employees by awarding bursaries to 55 departmental employees and over 81 youth receive training in various areas of internship, learnership and experiential training.

Review of departmental expenditure

An analysis of the departments’ expenditure as at 28 February 2017 is as follows:

Table 1: Expenditure as at 28 February 2017

 

Budget description

Adjusted Budget Allocation R’000

 

Total Expenditure R’000

 

%

Expenditure

Overall expenditure on the Vote

2,363,222

2,248,628

95.15%

Conditional Grant expenditure

1,998,508

1,922, 242

96.18%

Equitable Share expenditure

364,714

326,386

89,49%

Policy priorities for 2017 /18

Honourable members,

Section 26 of the Constitutions says everyone has the right to have access to adequate housing and the state must take reasonable legislative and other measures, within its available resources, to achieve the progressive realisation of the right to housing.

The department is using its limited resources to cross the confine of housing to becoming innovative in establishing human settlements foot prints that have necessary amenities where people work, play and live.

With the minimal resources we have at our disposal due to the shrinking fiscal allocation, the department will prioritise qualifying beneficiaries who have been occupying temporary shelters due to disasters for many years.

They will receive permanent solution (houses) rolled out over a three (3) year period. Destitute Groups (Elderly, Disabled, military veterans) will continue to be a priority of the department.

The department will work closely with the municipalities through COGTA to ensure that there is an improved integrated spatial planning of all the projects, so as to adhere to the objectives outlined in the Provincial Development Plan 2030.

Government seeks to fastrack the issuing of title deeds to beneficiaries of low cost housing of subsidies and will register 10 000 of title deeds to reduce the backlog.

The department will initiate Public- Private Partnerships for high rise human settlements in urban areas with challenges of suitable land close to cities and towns for residential development.

Regional outlook for 2017/18

Honourable members,

We will continue to lift the poor from the crippling effects of what seems to be irreversible circumstances to peace of mind knowing that they belong to a caring government inspired by the dreams and toils of our heroes.

Oliver Tambo whom we honouring this year believed that the future of children and youth need to be at the centre of any development of a country. He once said:

“The children of any nation are its future. A country or movement that doesn’t value its youth or children doesn’t deserve its future.

As a department we do this through our housing development which ensures that children grow up in decent homes.

Our project enhancements where we provide multi-purpose centres ensures that provision is made for a crèche for toddlers and provides opportunities for the youth to participate in sport and communal activities that seek to promote and nurture the future of our children and the youth.

Some degree of integration has been achieved in our projects in areas such as such as Thembelihle-Manyano  in Mdantsane built in close proximity to the malls, churches, schools, health care facilities, stadiums and the train station; Dukathole Project in Aliwal North is also closer to all amenities like schools, healthcare facilities, playing facilities and police stations.

We reiterate our call for the alignment of plans and budgets by sector departments to achieve integrated human settlements.

We still want more business development around the settlements we have created so that we can be able have sustainable livelihoods.

We are encouraged by the entrepreneurial and community development spirit displayed by the Mthembu family business which is contributing to the sustainable livelihoods within the area where we have built 800 houses in Ntlaza, Libode under Nyandeni Municipality.

Sihlaba ikhwelo kwabanye oosomashishini ukuba bazekemzekweni.

Amathole

There are 27 running projects of which 21 are multi-year projects which include amongst others Fort Beaufort Hillside; Bedford Nyara; Alice Ntselemazi/Hillcrest; Fort Beaufort Newtown; Elliot dale Rural –BNG.

Construction will commence on the 6 new projects in Ndakana, Frankfort, Worteldrift, Kei Road and Mavuso. Projects for destitute are: Masincedane, Nkonkobe and Amatole Destitute. Project for disasters is ADM Disaster 130.

Reads dale Enhanced Peoples Housing Process project is still under planning.

Alfred Nzo

There are 34 running projects, of which 31 are multi-year projects which include amongst others Maritseng; Mvenyane; Thaba Chicha; Nkantolo (Phase 1) Silangwe, Ngqumane.

Construction will commence on the active projects in Izibanzini, Mdeni and Qadu.

Projects for destitute are in Amapisi, Xholobeni /Mgungu, and Mdikisweni. Projects for disasters are Alfred Nzo 536 and Mbizana 486 disasters.

Youth build Programme aimed at capicitating unemployed youth with construction skills will be implemented.

Buffalo City Metro

Honourable Speaker,

There are 25 running projects of which 23 are multi-year projects which include amongst others Orange Groove; KWT Ndevana; Phakamisa South; Mdantsane Infill - Cluster 1 (Masibambane, Masibulele, Ilinge, Dacawa & Velwano); Reeston Phase 3 Stages 2 and 3.

Construction will commence in Lilly vale and Scenery Park projects.

Project for destitute is BCMM destitute. St Lukes Enhanced Peoples Housing Process project will be implemented. Project for disaster is BCM 150 Disaster.

Chris Hani

There are 34 running multi-year projects, and these include amongst others Molteno Airstrip; All Saints rural; Thornhill village as well as Destitute housing projects including military veterans project in Komani. Project for disaster under this region will be Chris Hani Disaster.

Nelson Mandela Metro

There are 12 running multi-year projects and these include amongst others Joe Slovo-Uitenhage; Rosedale, Joe Slovo West; Chatty.

Projects for destitute are Nelson Mandela Bay Destitute 100 and the Chatty military veteran’s project.

Walmer Gqeberha phase 1 Enhanced Peoples Housing Process project will be implemented.

Social Housing Projects will be implemented in Fairview Link Extension, Walmer Cosmo and Steve Biko Building.

Joe Gqabi

There are 20 running multi-year projects which include amongst others Aliwal North Housing Project; Maclear- Katkop; Mount fletcher - Mangoloaneng; Sterkspruit (Senqu Ward 10, 17 & 9).

Construction will commence on the new projects in Mbidlana, Sinxako, and Mqokolweni.

Projects for destitute are in Elundini, Senqu and Gariep. Projects for disasters are Cogta Disaster and Joe Gqabi Disaster (Phase 2 & 3) Burgersdorp sports field will be constructed during the financial year.

O.R Tambo

There are 46 running multi-year projects which include amongst others: Waterfall Consolidation; KSD Project A; Ngangelizwe BNG; OR Tambo - Various Municipalities ; Nyandeni; Nyandeni Local Municipality; Ntafufu; Holy Cross; Mpoza; Tsolo; Qumbu; Ntsundwana; Mbhobheleni; Langeni.

Projects for destitute are King Sabata Dalindyebo1188 and Port St Johns

O.R Tambo military veteran’s project. Project for disaster is OR Tambo 2016.

Sarah Baartman

There are 11 running projects of which 6 are multi-year projects in Addo; Kenton On- Sea; Kruisfontein; Steytlerville82 and Ndlambe Thorn hill

(Phase 2).

Construction will commence on 5 new projects in Umasizakhe, Alicedale, Ocean View and Pellsrus.

Projects for destitute and disaster are in Makana. A multi – purpose community centre will be constructed in Beyer’s Naude Municipality.

Departmental budget overview For 2017/18

The department’s Budget for creation of integrated and sustainable Human Settlements during 2017/18 comprises of the Human Settlements Development (Conditional) Grant, Expanded Public Works Programme (EPWP) and the Equitable Share allocation.

The Budget stands as follows:

Departmental budget overview for 2017/18

Table 3: Budget overview for Department of Human Settlements, 2017/18

 

Budget category

Total allocation

 

R’000

Percentage of overall budget

Human Settlement Development Grant

2,239,316

85.1%

EPWP Grant

2 639

0.1%

Equitable share (provincial)

389,443

14.8%

TOTAL

2,631,398

100%

Table 4: Budget Allocation Split for 2017/18

 

Programme

Total allocation

 

R’000

 

% of overall budget

Administration

148,466

5.64%

Housing     Needs,    Research and  Planning

19,938

0.76%

Housing Development

2,449,379

93.08%

Housing Asset Management

13,615

0.52%

TOTAL

2,631,398

100%

Conclusion

The department has over the years moved from era of under expenditure, poor workmanship into a well-functioning engine producing quality homes.

We live in an interesting world that continually challenges predictable logic that our hero OR Tambo presented as the marching orders to liberation. Many claim an understanding of this political school in an attempt to undermine the translation of ideology to service delivery.

The Mortar that places bricks to specification dilutes the pain of deprivation with the hope of tangible freedom.

Whilst the department has within its available resources built new homes for the poor and ensure that those homes are built in close proximity to health, sport facilities, the apathy of the business sector to invest in these areas undermines government objective of creating sustainable livelihoods which can’t be achieved without the investment of business in these areas.

The conspicuous neglect of these areas for business development is a manifestation of class society where business developments become a preserve for the middle and high income areas.

We will also continue taking our guidance from the Freedom Charter which unambiguously expresses that ‘There shall be Houses, Security and Comfort for all’.

We shall continue to do all in our power in ensuring that the imbalances of the past are addressed by amongst others, the development of Human Settlements fulfilling the vision of the Freedom Charter.

United we stand to change the plight of the poor and marginalised in society. Let poverty not be a condition but a mission for social cohesion and responsibility to action and deliver basic services.

As we continue to transform the landscape of the province with quality homes, so are we changing the social conditions of the poor. We must keep our hands on the spade handle to uncover new methods of delivery and promote social cohesion.

Let me thank the management of the department and all staff of human settlements who will be the foot soldiers to ensure that human settlements delivery reaches the breadth and width of the province.

Sibulela inxaso nentsebenziswano kubakhi bethu ababambisane nathi kulo nyaka mali uphelayo.

I extend a word of gratitude to our contractors who have been most understanding of our challenges and never abandon us during this difficult year. We will continue to keep an open dialogue with our service providers and stakeholders to maintain the year on year achievements.

These are the patriots who chose to walk with us the difficult terrains and saw us through.

Province

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