BUDGET SPEECH 2005
Happy Joyce Mashamba, MEC
Provincial Treasury
Limpopo Province
Republic of South Africa
03 March 2005
Honourable speaker and comrade Premier, esteemed colleagues
in the executive council, honourable members of the house,
distinguished guests, comrades and compatriots, ladies and
gentlemen, hearty greetings and a warm welcome to this first
ever Budget Speech in the second decade of our freedom and
democracy.
Fifty years ago, on 26 June 1955, two thousand eight hundred
and forty four South Africans gathered at the Congress of the
People, in Kliptown, Johannesburg, adopted with great acclaim a
document called the Freedom Charter.
These South Africans reflected the racial composition of the
population of our country, and the many social strata and
cultural diversities united in the democratic movement for
freedom and democracy, justice and peace, human brotherhood
and sisterhood, the working class, peasants, trades people,
teachers and students, taxi drivers and clerks, christians,
muslims and hindus, communists and non-communists, men and
women, young and old assembled at this historic Congress of the
People to ponder and consider, and chart the way forward to
freedom and democracy.
This Congress of the People of South Africa, adopted the
Freedom Charter which reads in part as follows:
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 all the people;
?? That our people have been robbed of their birthright to
land, liberty and peace by a form of government founded
on injustice and inequality;
?? That our country will never be prosperous or free until all
our people live in brotherhood, enjoying equal rights and
opportunities;
?? That only a democratic state, based on the will of all the
people, can secure to all their birthright without distinction
of colour, race, sex or belief;
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?? And therefore, we, the people of South Africa, black and
white together as equals, country men and brothers, adopt
this Freedom Charter;
?? And we pledge ourselves to strive together, sparing neither
strength nor courage, until the democratic changes here
set out have been won!
And in conclusion, the Freedom Charter reads:
Let all the people who love their people and their country
now say; as we say here today: these freedoms we will
fight for, side by side, throughout our lives, until we have
won our liberty!
Then, Comrade Speaker and the House, the Freedom Charter
goes on to spell out these freedoms thus:
The People Shall Govern!
All National Groups Shall have Equal Rights!
The People Shall Share in the Country’s Wealth.
The Land shall be shared among those who work it!
All shall be equal before the Law.
All shall enjoy Equal Human Rights!
There shall be Work and Security!
The Doors of Learning and Culture shall be open.
There shall be Houses, Security and Comfort
There shall be Peace and Friendship.
And in conclusion, the Freedom Charter reads:
Let all the people who love their people and their country
now say; as we say here today: these freedoms we will
fight for, side by side , throughout our lives, until we have
won our liberty!
And, indeed, Comrade Speaker and Honourable Members, J.B.
Marks, Ida Mntwana, Bram Fishscher, Chief Luthuli, Yusuf
Dadoo, Jack Simons, Yettah Barenblatt, Ray Alexander Simons,
Manyembe, Chris Hani, Govan Mbeki, OR Tambo, Harry Gwala,
Helen Joseph, Walter Sisulu, now Raymond Mhlaba, and many
other dedicated patriots have honoured their pledge to strive
together throughout their lives for the democratic rights and
freedoms set out in the Freedom Charter. In fact, the Freedom
Charter has remained the founding mandate of our freedom and
of the new democratic South Africa.
In 1994 the great cloud of freedom burst open and the political
rain of liberation fell. Big changes took place. First, the Freedom
Charter was unpacked into the reconstruction and development
programme by the ruling party, and then this programme was
adapted and adopted by the new government of National Unity.
A new democratic Constitution embodying the ideals of the
Freedom Charter was also adopted. As the saying goes, “in the
seed there is the potential tree trunk, branches, leaves, flowers
and fruit”. However, whether this potential will be realized
depends on many contingencies.
One such contingency in our case has been the era in which we
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have achieved our freedom, the era of globalization; and another
contingency has been the challenge of creating unity in our
diversity as we reconstruct and develop our country. Regarding
the challenges of globalization, the national macro-economic
strategy, generally known as GEAR, has, in spite of the
controversies that surrounded its adoption, succeeded in
bringing about economic stability and laying a solid foundation
for economic growth.
However, the dynamics of national integration in both the public
and private sectors of our society and economy have been more
challenging. Hence, one might say, our failure, after ten years of
our democracy, to successfully respond to the needs of our
economy and our society, even where the material financial
resources are available. Witness, for example, the yearly rollovers
and under-spending while our people’s needs largely
remain unmet!
Comrade Speaker and Honourable Members, this is not to deny
the obvious fact that in our Province, as in all other provinces in
our country, some great steps have been taken towards meeting
the needs of our people. In our Province for instance, the
sustained economic growth, the infrastructure provisioning,
social grant distribution, housing provision, the tremendous
qualitative improvement in our matriculation results, the
progress made in agriculture and the peace and stability that
prevails, all indicate that we have really progressed. However,
we still have problems of unemployment and poverty; problems
of illiteracy; child and women abuse; and poor service delivery in
some instances. And, all this, in the context of endemic underspending,
year after year.
Comrade Speaker and Honourable Members, it is in the light of
all these developments that the President has called on all of us
to participate in the Peoples Contract, to create a government
that cares for it’s people, to provide service delivery in the spirit
of Batho Pele, and to ensure that the culture of under-spending
in our departments be a thing of the past as we enter the second
decade of our democracy.
Our Budget this year is, therefore, underpinned by a
commitment to build on the foundations laid down in the first
decade of our freedom, and a pledge to participate, side by side
with other South Africans, sparing neither strength nor courage,
in the reconstruction and development of our country until the
democratic changes enshrined in the Freedom Charter have been
attained.
We appeal to all the people of Limpopo, in both the public and
private sectors, as well as in community based formations, to
enter into this partnership for rebuilding our country.
As government, we cannot tolerate a situation where the
administration fails to champion the budgeted programmes and
the resources that have been made available at their request.
We cannot for a moment, Mr. Speaker, subject our people to
endless suffering, because our administration becomes
overwhelmed by the allocation that in actual fact it has
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requested. Under spending or holding funds for no specific
reason should be a punishable offence as is the case with
fruitless expenditure and corruption.
In this regard, the President, Comrade Thabo Mbeki has this to
say: “Those of us working in government, whether we are
members of the ANC or not, must know that our obligation to
meet the commitments we made to the people, as well as the
imperative to respect the overwhelming mandate given to us by
the people, necessitate that those who are not ready and
prepared to serve the people of South Africa should be ready and
prepared to leave government.”
We should however, be appreciative of the fact that the majority
of our civil servants are dedicated, honest and hardworking, and
that they are determined to improve the lives of our people with
probity. We must applaud and encourage them to continue with
their excellent work.
Further, in order to reduce the bottlenecks, tensions and slow
pace of delivery, the Provincial Treasury is championing a Bill
that seeks to repeal the Northern Province Tender Board Act.
The unhealthy competition between the Tender Board and the
Departments was not conducive to effective and efficient delivery
of goods and services. We hope that the Bill will become law
before the end of this month [March].
Above all else, let us all put our shoulders to the wheel and
make our second decade of democracy a decade of hope and
prosperity. Let us work harder to create a better life for all our
people, so that no one can be justified to stand up and mock us
by asking: what democracy exists for the homeless child on the
street, what democracy exists for the starving, the illiterate and
the unemployed, for those who have nothing, whom no one
seems to think of, whom no one respects, whom anyone with
money may treat like a dog? What democracy exists where
alongside the poor, the hungry and the beggars, live the
millionaires and billionaires? What kind of equality exists, what
kind of fraternity and fellowship, where no one helps anyone
else, and one person is an enemy to another person?
Yes, let us create a caring society, let us improve our
government departments and civil service with the spirit of
Batho Pele, of Ubuntu, of human solidarity! Let us embrace the
spiritual building blocks of the moral regeneration programme,
so that the spirit of Masakhane, of Vuk’ uzenzele, of voluntarism,
may come to prevail in both our public and private lives.
To that end we, therefore present to you, Comrade Speaker and
Honourable Members, the 2005/06 People’s Budget as a modest
contribution to the People’s Contract, to create jobs and fight
poverty in Limpopo, hoping that everyone in our province will
come to the party and make the one time poorest province a
success story in our lifetime. Remember, to say that something
SHALL happen, as the Freedom Charter says, is to stress that it
is definitely going to happen--------------What a challenge!!!
Mr. Speaker, the input by Comrade Trevor Manauel that: “our
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social intent embodies our commitment to build a more just,
more equal society, in which steady progress is made in reducing
the gulfs that divide rich and poor, black and white, men and
women, rural and urban”, is our point of departure.
Linkages with National and Provincial Priorities
Guided by the Freedom Charter’s assertion that “all people shall
be entitled to take part in the administration of the country”, we
took the time to consult various stakeholders across the
province. The inputs and advice gained during these
consultations is, to say the least, inspirational. We thank them
all for their participation and invaluable contributions. We wish to
humbly apologise to the communities that we could not reach.
Our plan is to go to as many communities as possible in the new
financial year, because we are serious about our intention to
have a participatory process of budget formulation. We are
committed to work hand-in-hand with our people so that they
can assist us to engineer a budget that is directly informed by
their own needs and aspirations.
Mr. Speaker, the youth of all our districts indicated that the
government should step up the establishment of youth
empowerment programmes. At the centre of their dissatisfaction
is the flow of information. Their request is that more information
centres should be established and special attention must be
given to make these centres and the information accessible to
young people who are physically challenged. Included in the
information packages must be information on bursary schemes
and how they can be accessed.
The most heart-warming issue is that our people across all
sectors have indicated that they appreciate the work that
government is doing. They are fully aware of the fact that
government has limited resources and appreciate the fact that
they also have a role to play in their own development. They did,
however, emphasize that we must do more to eliminate
corruption and all forms of malpractice where it still exists.
We have heard all the inputs and suggestions and we are
committed to respond decisively to bring about visible change,
starting with this Budget.
This People’s Budget, therefore, aims at responding to the issues
raised during consultations and to further strengthen social
service delivery, including:
?? Scaling up of HIV/AIDS treatment programmes through
the roll out of the necessary drugs alongside prevention
measures.
?? The reduction of morbidity and mortality in women and
children, and reduction of malaria and cholera incidences.
?? A renewed focus on employment creation through an
Expanded Public Works Programmes and a series of
intervention to strengthen the skills base and empower
communities.
?? Support for provincial economic development programmes
with high potential for creating employment opportunities
with specific focus on the development of industrial
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clusters and the provision of infrastructure that supports
economic growth.
?? Enhanced spending on education programmes, specifically
relating to the roll-out of the Early Childhood Development
Programme, and other inputs needed to further strengthen
the quality of school education – focusing on mathematics,
science and management sciences – particularly in poor
communities.
?? Consolidate local government, financial management, and
budget reforms as envisaged in the Municipal Finance
Management Act (Act 56 of 2003)
?? Poverty alleviation including social security and support for
municipalities in providing basic services.
?? The reduction of crime
?? Taking core administrative services to citizens, particularly
in rural areas where access is limited.
This budget, therefore, bears a direct linkage with the national
priorities as well as the provincial imperatives.
THE PROVINCIAL ECONOMIC OUTLOOK
The provincial economy is dominated by the commodity driven
mining sector. The increase in the value of the rand and the
decline in prices in the commodity markets do pose a threat to
continued economic success of the province. Fortunately, while
the bullion markets have subdued price performance the
platinum markets are performing well dollar terms creating the
welcomed natural hedge.
Nationally the manufacturing and the construction sectors
continue to register impressive growth rates. These are the very
sectors in which the provincial economy is weak.
Our estimation is that for every R1 million investment in mining
eight jobs are created. The same amount of investment will
create 50 jobs in agriculture, 22 in manufacturing, 19 in the
construction and 17 in wholesale, retail trade, hotels and
restaurant sectors. Mr/Madam Speaker these are the sectors of
the economy that need to be targeted in order to bring about
improved pace of job creation in our provincial economy.
The Provincial Growth and Development Strategy aims to grow
these sectors through the development of industrial clusters.
This budget proposes substantial increase in infrastructure
expenditure in order to improve the pace of industrialisation of
the province and concomitantly increase opportunities for both
Black Economic Empowerment and employment for our people.
The 2005/06 Budget Framework
The total estimated receipts for the province consist of the
following:
Equitable share R18, 376 billion
Conditional grants R 9,205 billion
Own Revenue R 0,377 billion
Total R27, 958 billion
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The baseline figures include the new social security grants
amounting to R7,385 billion for 2005/06, R7,966 billion for
2006/07 and R8,595 billion for 2007/08. These amounts are now
conditional grants that are administered by the province on
behalf of the South African Social Security Agency.
The equitable share constitutes the bulk of the provincial
allocation at 65,7% whilst the conditional grants are 32,9% with
own revenue accounting for 1,4%. Provincial revenue is mainly
from motor vehicle licenses, interest on investments, dividends
and pension fees.
Expenses by Economic classification
The Bill before this House seeks to appropriate R27, 958 billion
for the 2005/06 financial year. The MTEF estimates for allocation
reflect R27, 958 billion for this year; as well as R30, 317 billion
and R32, 730 billion for the outer years.
Current Expenditure account for the largest year on year
allocation and account for R17, 536 billion or 62,7% of the total
expenses proposed for 2005/06.
Five years ago compensation to employees was 62.42% of total
provincial budget. In 2003/4 the ratio dropped to 52.46%. In
this proposed budget allocation, compensation of employees
receives an allocation of R13, 430 billion or 48% of the total
provincial budget. The reduction in personnel expenditure as a
proportion of total budget means that as provincial resources
increase a gradually larger proportion is distributed towards
service delivery.
Transfers and subsidies receive an allocation of R8, 929 billion or
31,9% of the budget. Social Security grants constitute the major
portion of the transfers and account for 26.3% of the provincial
budget. Poverty alleviation through the provision of social
security grants has now reached 322 648 of our senior citizens,
96 523 people with disability, 613 651 children from needy
families and 13 051 foster care beneficiaries. The maximum old
age, disability and care dependency grants will increase by R40
from R740 to R780, and the Child Support grant increases from
R170 to R180. War veterans’ grant increases from R758 to R798
whilst foster care grant increases by R30 from R530 to R560.
During the last two years, payment for capital assets averaged
6% of budget. Current budget proposes capital expenditure of
R2, 723 billion or 9,7% of total proposed budget. This amount
represents an increase of 55,6% from the baseline of 2004/05.
An amount of R875 million is allocated to the Social Cluster for
the building of classrooms and toilets at schools, the
improvement of pay points for the social security grants and the
improvement of hospitals and upgrading of clinics. The
unacceptable situation of children studying under trees must and
will be addressed as a matter of top priority.
The Economic Cluster is allocated a total amount of R1.199
billion mainly to provide for the development of infrastructure in
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support of the Provincial Growth and Development Strategy. In
the first decade of our democracy 712 km of roads were tarred.
In this capital budget we provide for the tarring of no less than
270 km of roads during the coming financial year. This is 38% of
the total kilometres tarred in ten years. At this rate it is possible
to double the kilometres of tarred roads in our province in seven
years. Additionally this capital budget will develop irrigation
systems to boost the agricultural sector in the province, the
maintenance of government buildings and the preparation of the
development of Peter Mokaba Stadium in Polokwane – the
project that will attract a further R250 million investment.
The Governance and Administration Cluster is allocated capital
budget of R649 million to cater for the housing development for
the less fortunate. The balance of R196 million is an
infrastructure reserve fund aimed at leveraging additional capital
for the development of further economic infrastructure. This
latter point is under discussion with National Treasury and the
Development Bank of Southern Africa.
One half of the capital budget contracts will be allocated to Black
Business. This Mr/Madam Speaker amount to capital contracts of
no less than R1.36 billion. The financial institutions, Limpopo
Economic Development Agency and Road Agency Limpopo will
play a major part in assisting the SMME’s to benefit from this
opportunity.
Expense allocation per sector
The provincial budget includes full complement of personnel
related costs of salary increases, overtime, medical aid
contributions, homeowner’s allowances and cost of payprogression.
The total budget of R27, 958 billion is equitably allocated to the
provincial departments according to national and provincial
priorities.
SOCIAL SECTOR
The total social sector budget grows by 15,8% from R19, 522
billion in 2004/05 to R22,607 billion in 2005/06 and accounts for
80,8% of the total budget.
Education budget grows by 6,3% from R9,3 billion to R9,8
billion. Educators pay progression is budgeted for as follows:
R48,107 million in 2005/06, R132,569 million in 2006/07 and
R216,634 million in 2007/08.
The budget will also be used in the recapitalisation of the Further
Education and Training (FET) Colleges estimated at R30 million
for 2005/06, R35 million for 2006/07 and R40 million for
2007/08 as well as Adult Basic Education and Training (ABET)
whose allocation is R53 million in 2005/06, R159 million in
2006/07 and R16 million in 2007/08.The budget will also fund
the norms and standards for public ordinary schools for R563
million in 2005/06, R596 million in 2006/07 and R612 million in
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2007/08.
The Education budget is also to cater for a total number of 1449
classrooms, 3584 toilets and security fencing of 60 schools in
2005/06.
The capital budget for 2005/06 is R482 million and is earmarked
to reduce classroom backlog. It also includes an amount of R115
million specifically allocated to fast track the project of children
attending school under trees. The department has focused its
strategic planning on the reduction of backlogs which was 14
284 at the end of 2003/04 and it is anticipated that 940
classrooms will be completed by the end of 2004/05 financial
year, reducing the backlog to 13,344. The classroom/learner
ratio of the province stood at 1:46 i.e. in 2004. To reach the
average target of 38 learners per classroom the province needs
15,814 additional classrooms. The projected number of learners
who will be provided with stationery in 2005/06 is 1,892,131.
The Health budget grows by 26,9% from R3, 9 billion to R5,0
billion. It caters for R2, 9 billion for compensation of employees
that includes R91 million for filling of critical vacant posts. It also
caters for the purchase of machinery and equipment and goods
and services, scarce skills and rural allowances. The budget also
contains R111 million for the Public Private Partnership in
laundry services at R31,6m and accommodation for staff at
R79,9m.
The department is also required to take over Pathological
Forensic Services from the South African Police Services as from
the 1st of April 2005. An amount of R36 million has therefore
been included in the budget to cater for the provision of
mortuary facilities as a result of the takeover. In addition, an
amount of R68 million over and above the baseline for 2005/06
has also been provided to raise stock levels of drugs to an
acceptable norm.
The budget also provides for primary health care in rural
municipalities to the tune of R11 million, R17 million and R23
million over the MTEF period. The budget of this department will
also be utilised for the reduction of morbidity and mortality in
women and children, widening accessibility of emergency
services at hospitals and clinics.
The budget also caters for the protection against malaria and
cholera and awareness to the risk of these diseases reduce
HIV/AIDS prevalence from the current 15,6% through improved
access to antiretroviral treatment and increased TB cure rate.
Increase 24 hours service in 250 clinics and management of
Emergency medical services in line with national and provincial
policies.
Social Development budget increased by 22,7% from R6, 2
billion to R7, 7 billion. However, R7, 5 billion of the social grants
are run by the South African Social Services Agency (SASSA) on
behalf of the National Department of Social Development. The
SASSA conditional grants cover the following: -
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?? HIV/Aids;
?? Social assistance grants;
?? Social assistance administration; and
?? Integrated social development services.
The balance of R351 million includes R128 million for personnel,
catering also for pay progressions and salary increases for social
workers.
Safety Security and Liaison – the budget increases by 67,2%
from R14, 1 million to R23, 674 million. The budget will be used
for the core functions of combating crime. It also caters for the
maintenance and running of the Manyeleti Youth Academy.
ECONOMIC SECTOR
The total economic sector budget grows by 34,2% from R 2,7
billion to R3, 7 billion and accounts for 13,1% of the total
provincial spending.
Economic Development, Environment & Tourism – the allocation
for the department is R571, 337 million for 2005/06. The budget
caters for 5,5% personnel adjustment in July 2005, 1% pay
progression, housing allowances as well as filling of critical posts.
The budget also caters for co-operatives, and other Public
entities eg: Limpopo Economic Development Enterprise. An
amount of R66,4 million has been provided for the promotion of
Industrial, Mining and Agro Processing Development. R207, 2
million is to cater for enterprise and co-operative development.
An amount of R33, 2 million is to cater for trade regulation viz:
licensing and registration of business and consumer affairs. An
amount of R35, 4 million is provided to cater for regulatory and
environmental impact management. An amount of R102, 3
million is for the promotion of tourism in line with the Provincial
Growth and Development Strategy.
Agriculture receives R906, 719 million. We have heard the needs
of the farming community and it is indeed proper that
government should respond appropriately. In this allocation this
coming year 36 irrigation schemes will be revitalised with a
further 114 in the next five years.
The Comprehensive Agricultural Support Programme (CASP) has
also been funded in order to support the communal farmers in
our province. Focus areas for the programme have been
livestock production as well as irrigation rehabilitation.
Mr/Madam Speaker, I have said that our farming communities
have requested government to develop markets for their
produce. Investigations on developing a fresh produce market in
Polokwane have, as we speak, been prioritised by the Economic
Cluster. It is one of the flagship projects in support of the
Provincial Growth and Development Strategy.
Roads and Transport budget grows by 241% from R495, 372
million to R1, 501,152 billion. This allocation includes the Roads
function that was shifted from Public Works. The budget includes
R264, 359 million R291,786 million and R379,218 million over
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the MTEF period for infrastructure conditional grant. The
allocation for the Transport function is mainly to cater for
negotiated bus contracts. The department is targeting to tar 270
kilometers of roads. The department also intends to rollout the
integrated transport system in line with the Provincial Growth
and Development Strategy.
Public Works – the budget decreases by 55% to R600, 804
million due to the shift of the Roads function to the Department
of Transport. The department disposed 6 flats and sold 220
houses and are currently processing the sale of 70 houses.
During the 2004/05 financial year they purchased 6 office
buildings for provincial departments.
The budget for 2005/06 is earmarked for the completion of the
new clubhouse at the parliamentary village, refurbishment,
upgrading and maintenance of equipment – air condition
equipment at 3 government complexes and the legislature,
refurbishment, upgrading and maintenance of government
offices. Building 10 residential units for parliamentarians at a
cost of R10 million.
Sports, Arts and Culture the budget for the department
increased by 60,3% from R57, 811million to R92, 670 million.
The increase is mainly due to the once off payment of R20
million to assist the Polokwane Municipality to upgrade the Peter
Mokaba stadium for the 2010 soccer World Cup and personnel
related costs.
The increase also seeks to cater for the development of access
channels to the main arts and culture institutions.
GOVERNANCE & ADMINISTRATION SECTOR
The Governance & Administration sector’s budget increases by
50,3%. From R1, 116 billion in 2004/05 to R1,678 in 2005/06.
Office of the Premier - The Premier’s office budget grows by
84,4% from R202, 216 million to R372,912 million. The budget
of the Office of the Premier has been adjusted upwards mainly
due to the function shift of the Traditional Affairs function from
the Department of Local Government and Housing which is
R101, 107m as well as Community Development Workers
function which is R17m. The budget also caters for the
marketing of the province, Learnership training as well as filling
of critical posts.
Provincial Treasury – The department is allocated R451, 819
million that includes R196, 529 million earmarked for
infrastructure development. The budget also caters for 5,5%
salary increases, 1% pay progression, housing allowance as well
as filling of critical posts.
The budget will cater for systems development; preparation of
the Provincial Medium Term Expenditure framework; movement
from cash to accrual accounting; planning and allocation of
budget to provincial departments as well as support departments
in their planning and reporting; implementation of the Municipal
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Finance Management Act; support the budgetary and reporting
process of municipalities.
The budget will also be used to pilot all reforms introduced by
the National Treasury and will also be implementing all Executive
Resolutions which have financial implications.
The Local Government & Housing – budget decreases by 7,4%
from R821, 982 to R761, 170 million. The decrease is as a result
of the function shift of Traditional Affairs to the Office of the
Premier. The department is allocated the amount of R34, 700
million for demarcation of sites in the province. The department
has the following conditional grants: Integrated Housing
programme R397, 650 million and Human Settlement and
Redevelopment grant R1,418 million.
The budget for 2005/06 will be used to increase accommodation
for personnel and rural housing development. The department
will also demarcate 33 000 sites at a cost of R59, 4 million. R2
million is budgeted for the 2005 municipal elections and for
building 2 disaster management centres and for the purchase of
equipment at a cost of R11 million. 18 former -R293 towns will
be transferred to municipalities at a cost of R1, 5 million.
The Provincial Legislature’s budget decreases by 0,2% from R92,
167 million to R92, 023 million. The budget caters for policy
changes/developments within the Legislature such as,
strengthening of public participation, oversight functions and the
implementation of Job Evaluation.
Honourable Speaker, the total capital infrastructure budget has
increased from R1, 750 billion to R2,723 billion which is a growth
of 55,6 % from 2004/05 to 2005/06. One of the priorities of the
Provincial Growth and Development Strategy is the provision of
infrastructure with the aim of employment creation. The budget
we are proposing for the 2005/06 therefore responds directly to
this government policy. Overall the infrastructure budget shows
a growing trend over this period, which is an indication of a
policy shift by Government to direct more resources toward
infrastructure development.
Comrade Speaker, Comrade Premier and Honourable Members,
comrades and friends, this is the first Budget Speech of the
second decade of our freedom,. I therefore extends my sincerest
gratitude to the people of Limpopo, especially the valued
stakeholders who are in attendance this morning for participating
in the formulation of this Budget and whose overwhelming
support we enjoy.
I would like to thank my predecessor and comrade, Honourable
T. A. Mufamadi, for the sterling job that he has done towards the
development of our province for the ten years that he was
responsible for the Department of Finance and Economic
Development. I shall do my utmost best to build on the
foundation that you have laid, Honourable Comrade Mufamadi.
I shall not have completed my task if I fail to appreciate the hard
and sterling work that the Head of the Department, Mr Ben
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Mphahlele and his management team, have so tirelessly
performed. I further wish to acknowledge the contribution and
support of all the employees of the Department of Finance, it is
truly appreciated. Your commitment to the success of the
Department is immeasurable. Please keep it up!
To all the people of the media who tirelessly assist us in
conveying government’s messages to the people, I say thank
you very much for acting as active partners in the struggle for
development. You are our cornerstone in the promotion and
deepening of our democracy through transparent governance.
Accept our sincerest gratitude.
Our Traditional Leadership and other community leaders, you are
the torchbearers of our various communities. Continue to instill
in our people the spirit of Vuk’uzenzele and Letsema so that we
continue to stand united in a people’s contract to create jobs and
fight poverty.
I also wish to acknowledge the contribution of the religious
fraternity in our province. Please continue with your sterling
work in championing the cause of our moral regeneration so that
all of us together may build a winning nation united in each
diversity.
Mr Speaker, I dare not fail to acknowledge the unsolicited and
unending support from my family, whose stood by me during the
best and worst of times. To them I remain forever indebted.
Mr Speaker, Honourable Premier, Honourable Members of the
House, it is my honour to table before this Honourable House
The Appropriation Bill 2005-03-02
Estimates of Receipts and Payments
The Citizen Guide to the Provincial Budget
The Provincial Budget Speech for 2005/06
I sincerely thank you all!
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