Tag Archive | local government

Parliament goes into winter recess

….Flat battery problems

…Parliament, unexpectedly, has become the stage for enquiries into corruption; poor governance; downright theft and for having to call to account a whole clutch of government heads for achieving absolutely nothing on service delivery, the last issue now emerging as a major headache for MPs on the ANC benches for the 2019 elections.

It’s all a bit like pushing a car to make it start.

The Parliament we know and understand has somewhat changed in nature. An overhaul of who does what is needed.  It now needs a stable, successful and vocal Speaker of the House who appears more conscious of the need for change, not only with national government issues but not so divorced from provincial and local needs across at the NCOP, where most of issues of the day seem to be occurring.

Pyramids that work

Parliament is clearly at a stage where good leaders with better communication skills are needed.  Talk is amongst the economics fraternity to consider some sort of constitutional change whereby the message and the money from the top to travels down correctly through the tiers of government below; monitored on how policy on service delivery is acted upon; subsequently audited for its correct application and with report backs on achievements provided in terms of the money’s original purpose. 

An example would be Eskom.  Despite its many problems, as a self-contained entity it is always way ahead in numbers in creating new electricity connections in far flung rural areas, more so than municipalities and larger towns nearer to their communities.  However, when local governments and entities are asked to pay their Eskom bill, the money allocated from the consumer either has been used for something else, or the debt is paid out of money allocated by national government for a service delivery item, say, housing. 

The few

For some reason few Ministers and parliamentarians stand out as good administrators, leaving straight-talking persons such as Minister Pravin Gordhan, Bantu Holomisa of the UDM, Themba Godi on the Standing Committee of Public Accounts, Yunus Carrim of the ANC and Chair of the Finance Standing Committee and Joanna Fubbs on the Portfolio Committee of Trade and Industry as lone voices of reason.

Clearly the country should be training more young Pravin Gordhans who are just as good on spending the money as the Minister was on collecting it and allocating it.

Whilst much of the debate in the National Assembly, which we do not report on because of its political nature, is deteriorating Portfolio Committee work, which we do attend since this is the “engine room” of Parliament, is belatedly being led in many instances by unsteady hands at the helm where “the new dawn” is not being reflected or respected.  

Biding time

Something must happen, since this mixture of indecision, bickering and with angry voters at the door is explosive.  Nobody, it seems, is coming on strong as to what the new direction should be.  Some analysts say that the new President is not biting the bullet. Then one hears in parliamentary corridors that ANC infighting remains intense and the baton remains not properly handed over to the new team.

State salary and wage allocations are sitting at R587 billion, representing some 38% of the annual budget and therefore the largest public service in Africa employing over 2 million people.    However, ANC MPs are struggling to come to terms with the fact that 47 ministers and deputy ministers who lead this massive machine are just not achieving what they say they are setting out to do.

Nothing happening

Whilst the democratic process in theory seems to be working better in Parliament, getting things done seems rather like the task the salmon has when swimming upstream. It’s all hard work.  The parliamentary committee “to do” list is building up, with deadlines on international agreements not being met, matters being continually referred to courts and MPs sitting on their cell phones catching up on the infighting within their own parties.

The price for realignment of committee tasks and the calling of President Zuma’s acolytes to answer for past incoherent and dubious decisions are taking up hours of parliamentary time in enquiries and investigative meetings.   If this were to be costed out on a business basis, it would amount to millions of rands.  The shadow of Zuma, still a force within the ANC, hangs over many parliamentary meetings like a storm cloud.

Not working

However, in our view, being voiced at last in Parliament is probably the real reason for getting nowhere. It’s not just a Zuma problem. It has much to do with the three-tiered government structure that we live by that has become dysfunctional.

National Government, who receive tax payer’s money and allocate it on a policy basis to all nine Provincial Governments, are just not talking to each other properly.  The Minister of Co-operative Governance, put there to co-ordinate by Jacob Zuma, was none other than Des van Rooyen but President Ramaphosa has now appointed Minister Zweli Mkhize to the post wgich may assist.

 Bad showing

In the meanwhile, the outcome of a time-consuming parliamentary process of studying what went wrong in the last ten years, who stole what, who is to blame and who the crooks are, is seriously detracting from the main task of Parliament, that of debate on new legislation and coherent oversight on government departmental performances.

Now, with Parliament about to close for its winter recess, looking back on Cyril Ramaphosa’s first parliamentary session, because of this internal political bickering we have to say this session ended in an atmosphere of overwhelming disappointment.                                                             

Posted in cabinet, Cabinet,Presidential, Finance, economic, Home Page Slider, Justice, constitutional, Trade & Industry0 Comments

Electricity connections not making targets

No hope of meeting Zuma’s promises…

elec poleThe inability of municipalities and local government to bring electricity to the poor and for the department of energy (DOE) to meet its promised target of electricity to all households by 2015 was a subject which dominated the DOE’s annual report to Parliament recently. New Minister of governance and traditional affairs, Pravin Gordhan, will have this issue before him as he tackles local government problems as will new minister of public enterprises, Lynne Brown.

Ms Nelisiwe Magubane, DG of DOE was reporting on the activities of her department for the 2o12/13 period and neither the minister of energy, Ben Martins, or his deputy, was present, much to the chagrin of portfolio  committee energy committee chairperson, Sisi Njikelena, who reported angrily on the subject.      DOE was reporting on its annual report and second quarter achievements.

Success with avoiding Middle East for oil

In noting that the year had been dominated by fluctuating oil prices, Ms Magubane noted that South Africa had succeeded in switching 41% of its oil imports to the African continent.

DG Magubane also reported that the electricity supply situation had improved in the country and the department’s own household electricity connection programme had also improved, mainly thanks to Eskom, but there was a large backlog that still existed due to lack of accountability by municipalities. This was a worrying factor for the country, she said. On this subject, further reports followed.

Other DOE targets met

Dr Barnard

Dr Barnard

On clean energy as far as the year was concerned, she reported that in August financial close had been received from twenty eight of the independent power producer (IPP) bids: the biofuels blending regulations had been drafted; the draft pricing arrangements started; and a nuclear safety report compiled and submitted as a result of lessons learnt from the Fukushima disaster.
 Dr Wolsey Barnard took up the issue of DOE’s poor record on electricity connections and said that bearing in mind the lack of skills and training at local government, it “was a miracle that South Africa had achieved so much”.

Aside from the fact, he said, that the government financial year was different to the municipal year, which made a mockery of funding programmes and targets, he said dealing with municipalities was “extremely difficult”  but nevertheless “for each seventy seconds of each day there was a connection some here in South Africa”.

Treasury must ring fence local funding

On the problematic relationships with local government, Dr Barnard said DOE was doing as much as it could “but you can pull a rope but you can’t push it and that was the trouble in dealing with local government officials”.   He said he looked forward to the day when National Treasury’s promised Bill “ring fencing” funds was promulgated “and then we might get somewhere”, he said.

He noted that each municipality had to sign a contract to get funding in the first place, providing business plan, “but sometimes we get to a place to install for a lot of homes built and there is no sub-station or any hope of connecting to the national grid”.

Cabora Bassa dam debt at R1

nelisiwe magubaneMs Magubane confirmed that in the annual reports a loan to Mozambique for the Cabora Bassa dam had been written down to R1 with the permission of Treasury. This loan was in respect of money loaned in the ‘sixties and it was clear that the Mozambique government could not pay. However, the question of re-payment of this loan would be re-raised, she said.

On queries why there seemed so little interest in gas exploration by government in Mozambique, whereas other countries seemed to have “got their foot in first”, Muzi Mkhize, chief director of hydrocarbons, said that “unlike other countries, we do not subsidize our national oil exploration effort and, in any case, the quest of dealing with countries was a foreign affairs matter and country to country relationships had to come first.”

SA to meet Mozambique on gas exploration

Sisi Njikelana said that this was a totally unsatisfactory answer and called on Mkhize for a better explanation to his committee.  Mkhize admitted that South Africa was “meeting Mozambique on a government to government basis on gas exploration matters in mid-October”.

When asked what had happened to the nuclear safety report, deputy director general of nuclear, DOE, Zizamele Mbambo, said that this was a security document but it had been acted upon.

The Eskom representative was asked to speak on the subject when a question was raised about the Koeberg Nuclear plant by a Cape Town MP, and the Eskom official reported that a “fortnightly nuclear safety committee met in the area with all representatives present” and that the meeting was chaired by a person drawn from the local community.

Refer to articles in this category
http://parlyreportsa.co.za//public-utilities/municipal-free-basic-services-slow-build/
http://parlyreportsa.co.za//energy/dpe-

Posted in BEE, Electricity, Energy, Enviro,Water, Facebook and Twitter, Finance, economic, LinkedIn, Public utilities, Trade & Industry0 Comments


This website is Archival

If you want your publications as they come from Parliament please contact ParlyReportSA directly. All information on this site is posted two weeks after client alert reports sent out.

Upcoming Articles

  1. Carbon Tax debate heats up in Parliament
  2. Copyright Bill goes into final stages
  3. Hate Crimes Bill on way back to Parliament
  4. DTI briefs Parliament on the road ahead
  5. RE-IPP4 alive again with LNG interest
  6. Competition Commission rough on investors

Earlier Editorials

Earlier Stories

  • AARTO licence demerit system studied  …. In what has been a legislative marathon, the update of the Administrative Adjudication of Road Traffic Offences Act (AARTO) has now reached a stage […]

  • SARS role at border posts being clarified …. In adopting the Border Management Authority (BMA) Bill, Parliament’s Portfolio Committee on Home Affairs agreed with a wording that at all future one-stop border […]

  • Modernising SAPO a culture change ….. sent to clients 27 February…. Stage by stage, Mark Barnes, Group Chief Executive Officer of South African Post Office (SAPO), appears to be reforming cultures and […]

  • OECD money task force waiting for SA   ….sent to clients Feb 7…. Chairperson of the Standing Committee on Finance, Yunus Carrim, made it quite clear in terms of parliamentary rules that […]

  • President Zuma vs Parliament on FICA Bill …..editorial……The convoluted thinking that is taking place in South Africa to avoid the consequences of the law has once again become evident in […]