Statement by Limpopo Premier Chupu Mathabatha on provincial COVID 19 Procurement
Members of the Executive Council
The Director General
Heads of Department,
The Provincial Head of the Special Investigative Unit, Mr. Kenny Ndou, accompanied by Kaiser Kganyago the National Spokesperson of the SIU,
Members of the Fourth Estate the Media:
Avuxeni
Thobela
Ndi masiari
The Provincial Command Council met this morning, and appreciated the Presidents’ recent pronouncement and lowering of Covid-19 Alert Level to Level 2, including the easing of numerous restrictions.
This pronouncement has been welcomed as the early spring rains for the millions of businessmen and women of Limpopo. We are of the view that, the stimulus packages provided by government will on the other hand relieve the thousands unemployed and distressed Limpopo people. We however wish to caution on the excitement brought by these changes. The scientists still believe the worst is not yet over, only if our people behave, then we can say the spread of COVID-19 is abated.
With a population of more than 6 million, the Limpopo Province currently is at 11 738 cumulative number of COVID positive cases with a recovery of 10 281 cases and a death toll of 165 as per the latest reports. We have relatively done very well in an effort to defeat this scourge that continues to afflict humanity.
Out of 74 806 cumulative tests conducted, only 11 738 were positive with a positivity rate of 15.7%. The case- fatality rate (CFR) remains way below 2%, with the current number of deaths at 165 (CFR = 1.4%).
This province continues to record lower numbers of infected Healthcare workers, which currently stand at a cumulative 831 (both public and private sector), and 733 fully recovered and back at work. There's been only 3 deaths of health workers who were doctors who are in the private sector. We really mourn this loss of such a scarce skill and, once more, send our condolences to the bereaved families. May their Souls rest in peace!
It is in this context that I commend the Department of Health in ensuring that during the most difficult times, all our front- liners and last line of defense had the necessary PPEs. This province never ran out of PPEs. There was never a Health facility that was closed in the public health system during this pandemic. Services were always available to our people.
The admissions in our facilities for COVID related ailments remain very low. There is no doubt that our push back strategy has paid off. It is also worth noting that we remain with a healthy capacity to handle any eventuality. We are ready for any surge, should it come to that.
Ladies and gentlemen, we have noted concerns about allegations of corruption with regard to the procurement of PPEs. I must mention that from the first day we have endeavored to ensure that all procurement is done in an open, competitive and cost effective manner.
However, because we take allegations of corruption seriously, I have brought the Special Investigation Unit, SIU, who have been mandated to investigate the whole procurement regime throughout the country by the President.
When the President proclaimed these investigations, we did not hesitate to consent to the proclamation and we are happy that the process has since begun. In addition to this proclamation by the President, I have also made a special request to the Special Investigation Unit, to pay special attention to the allegations that have been raised in the recent past.
In this regard, the Special Investigation Unit will investigate Covid-19 related procurement in the departments of Health, Education and Coghsta. This investigation will also cover the Talana Transitional Residential Units in Tzaneen.
In terms of overall procurement, on the 19th of March 2020 the National Treasury issued the Instruction Note 3 of 2019/20 which prescribed the procurement instructions for emergency procurement to deal with the COVID-19 pandemic.
The Instruction Note confirmed that the nature of goods that are required to prevent the spread of COVID-19 are not goods ordinarily procured and that high demand of these items by both the public and private sector may lead to uncompetitive and inflated prices.
In April 2020 the National Treasury withdrew and replaced Note 3 of 2020/21 with Note 5 of 2020/21. This Note prescribes processes for the emergency procurement procedures of COVID-19 PPE items and cloth mask for easy of supply by SMMEs. It also created an environment for stimulation of local supply and provide institutions to procure required goods or services by other means such as price quotations or negotiation.
In Limpopo, the provincial departments, including Schedule 3C and 3D Public Entities awarded Covid-19 procurements to the value of R728.4 million for the period March 2020 to June 2020.
The Institution that awarded the highest value was the Department of Health at R548 million (80,28%), followed by the Department of Education at R129, 4 million.(17.76%) with the rest of the Departments and Public Entities awarding procurement to the value of R14. 2million (1.96%). A full table of what has been supplied and by who, has been made available to the National Executive, Treasury and all other relevant structures for consolidation and review.
In terms of procurement, various strategies were implemented in the various stages of the pandemic. This being a novel situation, it found us not ready and no one could claim to know what the future would be.
There has been significant empowerment where local businesses benefited. As a matter of fact, an overwhelming number of businesses that benefitted from this procurement are local businesses. Youth and women owned businesses are amongst the businesses that benefitted from this procurement.
Whilst there are instances where some of the items were sourced outside the province, these were unavoidable as there was no local suppliers for those specifications. The province had to ensure availability of PPEs at all costs.
We do believe our procurement processes have been fair, transparent and according to the prescribed provisions. All goods were procured from companies who are on the CSD data. Nevertheless, where there are doubts, the SIU is here. They will definitely leave no stone unturned in unearthing any form malfeasance so that we take the necessary corrective action.
The Provincial Treasury is also busy reviewing the awards made by various institutions and verifying the information provided by Provincial institutions, to accounting and other information management systems, to authenticate the information and to verify compliance to the various National Treasury Instruction Notes.
It must be noted that the lists of the awards made per Provincial institutions to each supplier have been handed over to the Special Investigative Unit (SIU) for further investigation. In the same vein, the Auditor General's office has extended the current audit scope to include the review of the COVID-19 expenditure during the current audit cycle.
Ladies and gentlemen
I therefore wish to reiterate what the President of the Republic, President Matamela Ramaphosa said when he signed the SIU proclamations a few weeks ago, ‘’ We are therefore determined that there should be no theft, no wastage, and no mismanagement of public funds. The consequences for those who break the law or bypass regulations will be severe”.
It is therefore my privilege to call on anyone who may have proof or evidence of theft or corrupt activities in the procurement of COVID 19 PPEs to report to law enforcement agencies and really assist us to deal with all these allegations.
Lastly, I wish to thank the people of Limpopo for their resilience and patience over the past difficult five months. Once more I implore on you to continue observe protocols during this alert level two and beyond. We have come this far working together, and united in action we do more.
I thank you
Chupu Mathabatha
Premier of Limpopo Province
Media Enquiries :Kenny Mathivha (Premiers Spokesperson) 0769619655
