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Two years later, still no action taken on allegations of irregularities in the township modernisation and revitalisation programme

It has been nearly two years after an investigation was conducted and concluded into allegations of irregularities in the township modernisation and revitalisation programme of the Gauteng Enterprise Propeller and yet the executive authority is still in the process of analysing the report.

This was revealed in the annual report for the Gauteng Enterprise Propeller for 2018/2019. According to the report, the investigation was commissioned by the executive authority.

The township modernisation and revitalisation programme is important because it provides support to small business enterprises, which enables them to create sustainable and profitable enterprises. This in turn helps to create work opportunities for those living in townships, especially the youth.

In addition, it also helps to grow the economy by bringing township business into the broader economy.

The investigation was concluded on 15 November 2017 and the report was handed over to the executive authority.

Two years down the line and the executive authority is still in the process of analysing the outcomes and recommendations of the investigation.

It is unacceptable that it is taking the executive authority this long to analyse and implement consequence management where needed.

Furthermore, it also means that any official that may be implicated in the matter is still working for GEP.

I will be tabling questions to Premier David Makhura to ascertain exactly how long it will take for the report to be analysed and what steps are being taken to remedy the situation.

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Only ¹⁄₆th of Sharpeville Human Rights Day funds spent on local Emfuleni contractors

Despite numerous promises by the ANC-led Gauteng Provincial Government to increase its spend on local contractors for the procurement of goods and services, only R1.2million – or ¹⁄₆th of the R6.2 million spent on the Sharpeville Human Rights Day celebrations made its way to local Emfuleni contractors.

This was revealed in a written reply to the DA by Gauteng Premier David Makhura.

Since taking office in 2014, the Premier has stressed the fact that the Provincial Government will be spending more of its budget on local contractors in an effort to grow township economies.

However, in many instances – such as the Human Rights Day celebrations in Sharpeville, the ANC-led Provincial Government is not living up to the mandate that it has set for itself.

Gauteng Infrastructure MEC, Jacob Mamabolo has gone on the record stating that the reason that this spend is hard to achieve is that the skills and goods that the Provincial Government requires are not readily available in the townships. However, the MEC needs to be more specific as there are many skills available in the townships that could have been utilised in these events.

Despite this, little has been done to incubate small businesses and upskill residents in townships like Emfuleni, which is one of the provinces oldest and most neglected areas, to ensure that these goods and services can become available in the future. The government should hang its head in shame.

If the provincial government was serious about increasing its procurement spend from townships it would invest in creating an environment conducive for it to do business in.
 
Media Enquiries
 
 
Kingsol Chabalala MPL
DA Gauteng Shadow MEC for Sports, Recreation, Arts and Culture
060 558 8299
 
Warren Gwilt
Media Manager
073 601 6144

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DA Debates 2016/17 Gauteng Department Of Economic Development Budget

Speech by: Ina Cilliers MPL

“Economic budget out of sync with economic crisis”

  • The Department of Economic Development’s budget of R1.3 billion is not leveraged in such a way to create a meaningful, large scale economic difference in Gauteng – especially not in township economies.
  • An amount of only R245 million is budgeted for economic infrastructure- this is a very small amount given demands in Gauteng, and only R50 million of this will be spent in townships.
  • The department should re-evaluate their planned spend to focus on modernising the informal economy in the townships because this is where potential is and entrepreneurs there have different needs.
  • The department can use their money to make it easier to do business in Gauteng by cutting red tape, relaxing the regulatory environment and by looking for best practice to emulate.

The full speech can be obtained here.

 

Speech by: Ashor Sarupen MPL

“Cadre deployment holding back real job creation”

  • The AIDC is now paralysed by infighting. Documentation is presently sitting with the Public Protector and the Public Service Commission that shows that staff have been appointed by this CEO even though they did not even score highest in the interviews, in contravention of policy.
  • The reality is that the ANC created agencies in Gauteng not for the purposes of economic growth, but to give high paying jobs to its members, regardless of their position.
  • Honourable Premier – you called for more cadre deployment… The ANC must stop misleading people – what it says in its manifesto are not its real policies.

The full speech can be obtained here.

 

Speech by: Janho Engelbrecht MPL

 “Policy uncertainty cannot weather Gauteng’s economic storm”

  • This government must provide certainty on its vision for the economy, the policy it intends to implement to realize that vision, and its commitment to ensuring that the economy serves ordinary people.
  • The government should recognize the need to broaden participation in the economy and help to make it easier for outsiders, not just the politically connected, to become owners, access capital and actively participate in the economy.
  • Government must work to give more people the education and skills they need to get a job and to support the kinds of research and development that can make South Africa a winning nation in a globalized knowledge economy.

The full speech can be obtained here.

 

Media enquires:

Ina Cilliers

DA Gauteng Spokesperson on Economic Development

060 556 4344

 

Ashor Sarupen

DA Gauteng Spokesperson on Economic Development

060 558 8303

 

Janho Engelbrecht

DA Gauteng Spokesperson on Economic Development

060 556 4343

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70 Cooperatives Lose Out On Economic Growth Opportunities

Gauteng Department of Social Development

The Gauteng Department of Social Development failed to assist 70 cooperatives through workshops aimed at increasing their financial viability and sustainability.

The 3rd quarterly report presented by the department indicates that only 394 out of a targeted 464 cooperatives attended these crucial workshops.

This is a clear indication that this administration lacks the proactivity and leadership necessary to encourage more cooperatives to attend empowerment sessions.

Township Economy

The Social Development Department has a critical role to play in the Gauteng Provincial Government’s 30% procurement target which aims to strengthen the township economy.

This target will remain an abstract vision if the department excludes those it is meant to bring into the fold.

Cooperatives, particularly those within disadvantaged communities, create much needed work opportunities for low skilled workers.

The DA will continue to closely monitor the Department to ensure it meets its objectives and that the economically excluded are brought in to the economy through programmes designed to empower them.

 

Media Enquiries:

Refiloe Nt’sekhe MPL

DA Gauteng Shadow MEC for Social Development

060 558 8297

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Economic MEC’s Township Economy Programme Lacking Substance

Township Economy Revitalisation Programme

Gauteng MEC for Economic Development, Lebogang Maile, has promised to work with township business owners in Tembisa, Ekurhuleni, who have sited municipal rates as the major stumbling block holding back their growth, in an effort to bolster his departments Township Economy Revitalisation Programme (TERP).

However, what the MEC has failed to realise is that while his intervention, while outwardly noble, is far too focused on one location for his TERP to be viable across Gauteng.

Of all three metropolitan municipalities across the province, Ekurhuleni has the lowest rates for water, electricity and other municipal services.

Limited Information, Limited Consultation

While the claims of township business owners in Tembisa are, as the MEC put it – most likely legitimate, Tembisa is not the only township in Ekurhuleni nor the province where business owners have challenges paying municipal rates.

For the TERP to truly distinguish itself and be a viable programme, wider consultation must be held with all stakeholders from all municipalities across Gauteng both local and metro.

What is evident from the limited information offered by both the MEC and the Department is that TERP is more of a talk shop project than one of any real substance and it is highly unlikely that any real significant change will be made to improve the climate of township economies.

Cumbersome Bureaucratic Regulation

One of the ways in which the MEC could assist would be to establish special economic zones in townships, as recommended in the Department of Trade and Industry’s Industrial Policy Action Plan, reducing cumbersome bureaucratic regulation and incentivising SMMEs.

The DA will continue to support township businesses and offer positive solutions to get people working in sustainable ways, not simply attempt to gloss over real issues with empty promises.

Media enquiries
Janet Semple MPL
DA Gauteng Shadow MEC for Economic Development
082 462 8239

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