MEC’s Budget Fails To Tackle Gauteng’s Problems

Well-connected political elite continue to prosper at detriment of ordinary citizens

Gauteng Finance MEC, Barbara Creecy’s 2017/18 budget is out of tune with the tough economic climate faced by millions of Gauteng’s residents – and will continue to perpetuate a system where the well-connected political elite will continue to prosper at the detriment of ordinary citizens.

MEC Creecy indicated that Gauteng’s share tax income has diminished due to constraints placed on National Treasury – but instead of working smart with less, no tangible cost containment measures have been put in place to curb exorbitant expenditure on travel, catering, advertising and events, despite the statements in her speech.

The much publicised open tender system has not been rolled out effectively enough to combat tender fraud. Only R9.3billion spread across 38 tenders have undergone the open tender system – the majority remain behind closed doors, and this is nearly three years after the launch!

Administration needs to do more with less

While the ring-fencing of R12.5 billion for infrastructure projects is welcome, it must be noted that there has been a drastic cut to the infrastructure budget for roads. This at a time when the first phase of the Gauteng Freeway Improvement Project has reached the end of its lifespan, and no inclusive transport plans have been made available other than the announcement to expand the Gautrain. The MEC’s silence on e-Tolls is telling after the Premier washed his hands of the issue in his State of the Province Address.

In the previous financial year, the ANC-led administration put aside R100 million rand to bolster its election support through what it labelled “voter education”. Given the recent Life Esidimeni debacle, it is disheartening that the same emphasis could not be placed on ring-fencing funds to assist mentally ill patients.

While the increased funding to Health and Education is most welcome, it arises from the need to pay last year’s bills with this year’s money however this money could have been used to address current challenges. Service providers must be paid on-time, in line with legislation and new schools must be completed to spec, within budget and on time.

MEC Creecy spoke about the increased need for cooperation between the private and public sector, yet she down plays the fact that the ANC, under President Jacob Zuma is slowly eroding private property rights – a point that will deter investment.

This administration needs to do more with less for the people of Gauteng, but until those who operate behind the scenes – who manipulate tenders, inflate costs and collude are brought under control, residents of the province will not benefit from this budget.

 

 

Media Enquiries:

Adriana Randall MPL

DA Gauteng Shadow MEC on Finance

060 556 4342

 

Ashor Sarupen

DA Gauteng Spokesperson on Finance

060 558 8303

[Image source]

Gauteng Service Delivery Dealt A Blow By Slow Release Of Funds

Gauteng Provincial Government – National Treasury

Five major Gauteng Provincial Government (GPG) departments have yet to receive their allotted budget for the second quarter of this financial year due to the slow transfer of funds from National Treasury.

The departments of Roads and Transport, Community Safety, Agriculture and Rural Development, E-Government and Infrastructure Development, which should by now have received 50% or more of their equitable share from National Treasury are all low in the 40% region.

Of notable concern is the department of E-Governance, which to date has only received 40.8% of its allocated funding. This department is the nerve centre of government business in Gauteng. If it fails to fulfil its mandate due to financial constraints, it will have dire consequences for the other GPG departments.

Premier David Makhura’s Transformation, Modernisation and Re-Industrialisation Plan

In an effort to restructure the economy of Gauteng, Premier David Makhura’s Transformation, Modernisation and Re-Industrialisation (TMR) plan hinges on departments like Infrastructure and Agriculture for its success. However, without funding, it will be impossible for these departments to make in-roads to address economic growth and job creation.

As the country’s most populace province, it is imperative that these funds are made available to departments as soon as possible so that residents of Gauteng receive the service they deserve.

It is at this stage unclear as to why these funds have yet to be made available.

Premier David Makhura must engage his counterparts in national government to speed up the payment process as he has done with the issues surrounding monies owed to the Gauteng Department of Health.

Province’s Financial Obligations

If the process is delayed due to departments failing to comply with legislation, swift action must be taken against accounting officers in departments.

The DA will continue to ensure that the province’s financial obligations are met and that service delivery is not hampered.

 

 

Media Enquiries:

Adriana Randall MPL

DA Gauteng Shadow MEC on Finance

060 556 4342