Gauteng budget speech 2012: Full Transcript

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Finance MEC Mandla Nkomfe says struggle for social transformation must be deepened and broadened. Finance MEC Mandla Nkomfe says struggle for social transformation must be deepened and broadened.

The Gauteng provincial government will invest R15 million in infrastructure for smart cities in the new financial year, in a bid to trim unemployment and social transformation.

Madam Speaker
Deputy Speaker
Honourable Premier and Members of the Executive Council
Honourable Leaders of Political Parties
Honourable Mayors
Honourable Members of the Provincial Legislature
Members of the Diplomatic Corps
Distinguished guests
The people of Gauteng

What happens to a dream deferred?

Does it dry up?
Like a raisin in the sun?
Or fester like a sore
And then run?
Does it sink like rotten meat?
Or crust and sugar over
Like a syrupy sweet?
Maybe it just sags
Like a heavy load
Or does it explode?

(A Dream Deferred by: Langston Hughes)

Madam Speaker, once more we are convened here today in this revered house to table one of the most important Bills in our Constitutional framework, the 2012/2013 Appropriation Bill.

The 2012/2013 financial year is a unique one. It is a year in which the glorious people's movement, the African National Congress (ANC) celebrates 100 years of selfless struggle. This was a struggle that was waged by men and women of lofty thoughts and higher purpose, patriots who envisioned and dreamt of a better and inclusive South Africa.

As we celebrate Madam Speaker, basking in the warmth of freedom, we cannot help but ask ourselves these questions, what happened to the dreams that rallied our people behind this gigantic human army for a century? What did they seek to achieve? And did we, acting in our capacity as their representatives, defer their dreams in one way or another?

We ask ourselves these pertinent questions Madam Speaker, lest we find ourselves in the mist of dreams that are on the verge of exploding. The tabling of the 2012/2013 Appropriation Bill seeks in the main to rectify a past that was wrong and inhumane, a past rooted in a system that usurped all essential rights that every man qualifies for by virtue of being human.

Indeed, the dreams of our people were deferred by the system of white minority rule. So what happens to a dream deferred? As the revered African-American poet Langston Hughes would ask, "...does it dry up, like a raisin in the Sun? Or does it explode?"

The dreams of our forebears were deferred, but they never dried up, like a raisin in the sun, neither did they explode..... Rather, they ushered in a Constitutional democracy, a system of majority rule, a rule of law and opened up opportunities and possibilities hitherto unknown to the masses of our people.

Today Madam Speaker, through progressive and developmental budgets that we have tabled in this House since the advent of democracy, the lives of our people have changed for the better. Millions have gained access to Houses, Health, Education, Clean Water and Sanitation.

But this does not mean that we have fully realized the dreams of our forebears. Nor does it imply that we have expanded various forms of freedoms to the masses of our people. But, and as alluded to in the Sunday Independent by one veteran of our struggle Professor Raymond Suttner who said: "unlike most journeys, freedom is never fully realized. It may be deepened and broadened. There may also be setbacks and reversals". So, the struggle for social transformation is an ongoing struggle that must be deepened and broadened.

Madam Speaker, we should use 2012 to map out a glorious future, and place our people at the centre of our priorities.

The 2012/2013 Gauteng Provincial Budget Appropriation is presented amidst the most challenging economic conditions that modern economies have experienced in recent times. The severity and impact of the economic crisis continues to be felt in major economies of the world.

Equally, the global economic situation poses a major challenge for South Africa as our economic growth projections are contingent upon global economic growth. The world economy is expected to grow by 3.3 percent, which was adjusted downwards from an initial projection of 4.5 percent. Developed economies are projected to grow at 1.6 percent in 2011 and 1.2 percent in 2012 respectively. These lower projected economic growth rates will adversely impact South Africa's economic performance.

Finance Minister Pravin Gordhan indicated that ‘We expect South Africa's recovery to achieve a 3.6 per cent economic growth in 2013 and 2014, but these are modest rates of expansion relative to the social and developmental challenges we face and the opportunities that our mineral wealth and human capabilities offer".

Madam Speaker, at the beginning of the term of office for the current Executive, the Provincial Government which is under the leadership of Premier Nomvula Mokonyane adopted the outcomes based performance management system. This strategy informs our planning and budgeting processes, and thus underpins the 2012/2013 Provincial Appropriation Bill as follows:

  • To balance unlimited needs with limited resources available
  • To eliminate wasteful spending and ensure availability of funds for provincial outcomes
  • To direct resources towards effective programmes and improve the livelihoods of residents
  • To allow commitments that can be met with available resources
  • To instil fiscal discipline, improve provincial finances, and restore financial viability in the provincial health department
  • To allocate resources to infrastructure projects that are ready for implementation.

Our developmental focus is on building a modern national infrastructure. This emphasis was eloquently articulated by the President during the State of the Nation Address. It was further reinforced by the Premier in Her State of the Province Address, but also highlighted by the Minister of Finance during the tabling of the 2012/13 National Budget.

The Minister succinctly captured this developmental approach as follows, "our new story, our period of transition, is about building a modern infrastructure network, a vibrant economy, a decent quality of life for all, with reduced poverty, and decent employment opportunities. It is a story that must be written by all of us. Not just by government. Not just by business. Not just by unions. By all of us, South Africans from all corners of this country." This philosophy underlines the 2012/13 Provincial Appropriation Bill.


Madam Speaker, the 2012 Medium Term Expenditure Framework (MTEF) will take the current provincial government to the end of its term. Therefore, the current provincial government will use the 2012 MTEF to consolidate its programmes that support the Programme of Action towards 2014.

Our total receipts reflect aggregate revenues of R73.5 billion, R79.2 billion and R85 billion for the financial years 2012/13, 2013/14 and 2014/15 respectively.

These amounts consist of direct transfers from the National Treasury, and projected provincial collections. During the 2012/13 financial year, National Government transfers will be represented by the equitable share at 73.2 per cent, conditional grants at 21 per cent, and 5.8 per cent by provincial own revenue collections.

The equitable share rises from R50.9 billion in the 2011/12 financial year to R62.9 billion in the 2014/15 financial year, which represents an average growth of 7.3 per cent over the MTEF. On the other hand, conditional grants increase by an average of 14.1 per cent over the same period.

Provincial own receipts will increase from R3. 1 billion in 2011/12 to R3.8 billion in 2014/15, which represents an annual average growth rate of 7.2 percent over the MTEF.

Madam Speaker, the provision of Quality Basic Education remains the central priority of the current administration. In pursuance of this objective, the provincial government will continue to strengthen the foundation, intermediate and senior secondary education phases. Our key focus area will be in ensuring quality teaching and learning in schools, improving professionalism of educators, implementation of the Early Childhood Development strategy, the provision of an enabling environment for learning, and finally, the provision of multi-year infrastructure and scholar transport.

In our quest to ensure that the province continues to provide quality education and improves throughput from the schooling system, a sizeable budget is set aside for the implementation of various programmes, including the following targeted interventions:

  • The Secondary School Improvement Programme which provides grade 10, 11 and 12 with supplementary tuition in specific subjects receives an allocation of R496.8 million over three years. Teachers also benefit from this program by receiving in-service training where poor performance is identified.
  • A cumulative amount of R128.6 million is set aside for the implementation of the parent/family support programme in under-performing primary and secondary schools for three years. The programme includes providing support to learners through After-School Support and Holiday Programmes.
  • Early Childhood Development receives an additional R309.6m over and above the baseline amount. This increase is for the expansion of Grade "R" during the 2013/14 and 2014/15 financial years, and contributes to the Universalisation of Grade "R".
  • Educational support is important to ensure that learners are able to attend classes on time and concentrate during school hours. This will be realized through the provision of scholar transport and healthy meals to those deserving learners in various communities. Over the 2012 MTEF, R547.2 million is made available for scholar transport, while R1.7 billion is set aside for the school nutrition programme. At present, the Department of Education provides transport to 55, 769 public school learners, and 1 million learners from no-fee schools are beneficiaries of the school nutrition programme. Further support is provided to parents in accordance with the No-Fee School Policy, which currently supports 51% of all provincial learners. The total amount allocated for the expansion of this policy is R261.3 million over the MTEF.
  • With regards to in-school sport, we allocated R243.4 million over the medium term. This programme is currently implemented jointly by the Departments of Education and Sports, Arts, Culture and Recreation, and is aimed at promoting physical education, recreation, and extramural activities.
  • To promote school safety in the province, the Department of Education collaborates with the Departments of Community Safety and Social Development, and has been allocated R371.3 million to conduct training in schools, reduce substance abuse, and promote active law enforcement in partnership with strategic stakeholders.
  • The province has also set aside R4.3 billion over the medium term for the construction of new schools, maintenance, and upgrading of existing schools. This infrastructure investment will have a positive impact on job creation, and should contribute to the accommodation of new learners entering the schooling system. Included in this amount is an allocation of R120 million for the construction of the Magaliesberg Boarding School, which is expected to be completed during the 2013/14 financial year.

We have earmarked R20 billion for compensation of both educators and administrators. In our endeavour to ensure that there is effective learning and teaching in our schools, we will ascertain that teachers are in class on time and teaching.  

Madam Speaker, with regard to ensuring that all the People of Gauteng live a long and healthy life, we will focus on reducing mortality rates, whilst increasing life expectancy by implementing measures to detect children's diseases and curb the spread thereof.

Regarding HIV/AIDS, we will extend government programmes relating to mass education, the treatment of pregnant mothers, as well as infected and affected people. Over R8 billion will be spent by the Department of Health on HIV/AIDS programmes over the MTEF.

We have also set aside R1.1 billion for reducing the burden of disease from TB, intensify door-to-door campaigns, improve the TB cure rate, and integrate government strategies of providing TB and HIV services.

In addition, the National Health Insurance conditional grant will contribute R210 million to the provincial Department of Health. These resources will be applied towards funding Health pilot projects. Another R606 million has been availed for the development of family health teams and for re-engineering our Primary Health Care services over the MTEF.

The Department of Health will receive R6.1 billion for the implementation of its infrastructure programmes over the 2012 MTEF. For the 12/13 financial year, R1.4 billion has been availed for the construction of new health facilities, maintenance, and rehabilitation of existing facilities. Of this amount, R850 million will be set aside for maintenance and the remainder will be appropriated as follows:

  • Planning and implementation of renovations to the Garankuwa, SG Lourens, Bona Lesedi and Ann Latsky Nursing Colleges
  • Construction of the new Natalspruit, Zola, and Bertha Gxowa hospitals, and procurement of equipment

Madam Speaker we are well aware of the challenges that confront the Department of Health. As already alluded to by the Premier during the State of the Province address, a task team has been established whose mandate is to stabilize the financial position of this department. We are confident that these and other efforts will contribute towards a swift resolution of all identified challenges.

Between the tabling of the adjustment budget and now, an additional R1.6 billion was made available to the Department of Health to pay for accruals and critical services. This demonstrates our determination to improve the viability and effectiveness of our Department of Health. In the ensuing financial year, we have set aside in excess of R1 billion to settle accrued expenses in this Department. Over and above the additional resources that have been set aside for accruals, their budget allocation increases from R23.3 billion in 2011/12 to R29.3 billion in 2014/15. This represents an annual growth rate of 8 per cent over the MTEF.

Madam Speaker, Crime and Corruption remains the primary deterrence to attracting and creating a conducive investment climate in our province. To ensure that we curb this scourge, the government will intensify its fight against crime and corruption by reducing road fatalities, and integrating the criminal justice system to improve its effectiveness. Our focus areas are violent crimes, implementation of the Rural Safety Plan, deployment of patrollers, and increasing the visibility of the SAPS to communities. Furthermore, the Department of Community Safety will closely monitor the co-created Policing Strategy which focuses on the ten priority crimes.

In this regard and for the 2012/13 financial year R31.3 million has been allocated towards the reduction of crimes against women and children. This outcome will be achieved through the implementation of the school safety programme which was reviewed recently, the social crime prevention strategy, the victim empowerment and support programmes.

Targets for reducing road fatalities will be achieved by implementing and monitoring the Road Safety Plan which involves improving visible patrols on national and provincial road networks, testing vehicle roadworthiness, and removing road hazards.

Madam Speaker, in terms of the new Police Civil Secretariat Act which was recently enacted, all provinces are required to implement it from the 1st April 2012. In ensuring that Gauteng is ready for this implementation, we have set aside an additional R3 million for the 2012/13 financial year.

The Provincial Government is responsible for creating vibrant and sustainable rural communities in Gauteng. As a consequence, the Provincial Government has adopted various policies and strategies to achieve its safety outcomes. The key outputs and programmes identified to support this outcome include:

  • Improving rural services to support livelihoods by providing appropriate farming infrastructure and coordinating this with other departments during the 12/13 financial year, including:
  • R12 million for the implementation of school-related programmes
  • R30 million for designing and maintaining our infrastructure on rural roads
  • Improving support for farmers and cooperatives so that they can participate in the economy through flower, poultry and hydroponic Agri-parks, and increasing their involvement in the Maize Triangle. An amount of R20.7 million and R63.1 million is set aside for the Agri-parks and Maize Triangle respectively for the 12/13 financial year. R3 million has been allocated during the same period for the establishment of the West Rand Agricultural College, and to promote agricultural knowledge and skills.

The Departments of Education and Agriculture will develop 11, 000 homestead food gardens, community food gardens and schools food gardens. R18 million has been provided in the 12/13 financial year for this purpose. In addition, 20, 000 beneficiaries will receive food parcels through Food Banks during the year. 

Madam Speaker, the Provincial Government has provided good leadership in creating integrated human settlements thereby improving the quality of household life. The Government intends to reinforce these efforts by:

  • Accelerating the delivery of housing opportunities 
  • Improving access to basic services 
  • Utilizing government land more efficiently. Over the medium term, we will set aside R173 million for the development of our physical infrastructure in the 20 Prioritized Township Programme.

Alexandra and Evaton are part of the Urban renewal programme, hence R330 million has been made available to implement various projects in these areas over the MTEF. This is to contribute to the stimulation of local economic development through cooperative partnerships, and for the Department to acquire 20 land parcels for developing well located human settlements during the 12/13 financial year.

Madam Speaker, Local Government remains the first contact with government for most of our people. It is imperative therefore, that we continuously improve our efficiency and effectiveness so that Local Government can become responsive to our people's needs and aspirations. To this end, the Department of Local Government has identified the following key outputs:

  • Implement a differential approach to municipal financing and human settlements
  • Improve access to basic services
  • Deepen democracy through a refined Ward Committee model, offer comprehensive administrative and financial capability support to municipalities, and develop a single window of coordination through the provincial inter-governmental relations (IGR) framework.

In an effort to improve access to basic services in our communities, we will work with the Department of Local Government and Human Settlements in the preparation of socio-economic profiles for the remaining 43 poorest wards. This database will help the province to have a better understanding of their needs, and thus improve planning and the provision of services.

The province will also continue to provide support to its municipalities by:

  • Coordinating the deployment of technical experts in targeted municipalities
  • Monitoring and supporting the implementation of Accreditation Plans
  • Providing hands-on-support to improve their audit opinions

Madam Speaker, during this financial year, we commit to collaborate with the Department of Local Government and Housing, the Sedibeng District Municipality and National Government departments to fulfil the Premier's promise regarding the Sedibeng Sewer Scheme. Furthermore, the incorporation of Metsweding into the City of Tshwane has been finalized. All lessons learned from this merger will be replicated in the establishment of a Unicity in the West Rand.

Unemployment in general and Youth Unemployment in particular remain unacceptably high in South Africa and Gauteng in particular. Clearly, this is a course of concern, hence, we urge everyone in government, organised labour, and the private sector to do whatever is legally possible to address the unemployment challenge. The government on its part will intensify its efforts to boost economic growth in the province through:

  • Ongoing development of strategic economic infrastructure in order to stimulate employment-led economic growth
  • Re-industrialisation of identified economic nodes to support the growth of labour-intensive industries
  • Building an innovation and knowledge-based economy to drive entrepreneurship and competitiveness (i.e. ICT-Broadband and Smart City)
  • Supporting green economic interventions to sustain this momentum
  • Development of the tourism sector to promote trade and investment, the creative arts and related industries
  • Strategic procurement to support the creation of decent work

With regard to strategic economic infrastructure, the development of a globally competitive airport city in the OR Tambo International Airport is aligned to the Aerotropolis programme. This programme seeks to grow the Gauteng economy through crowding in foreign and local direct investment in this Industrial Development Zone (IDZ).

These re-industrialisation initiatives seek to train tool-making artisans, steel industry sector developments, develop the automotive sector, and 20 Business Process Outsourcing and Offshoring (BPO-O) enterprises by 2014.

The knowledge based economy is vital for driving the competitiveness and growth in the province. In support of these developments, R15 million will be invested in infrastructure which supports Smart City innovations during the 2012/13 financial year. Furthermore, feasibility investigations of the G-Link Broadband solution have been completed, and technology partners will now be sought for the roll-out phases.

Madam Speaker, global warming compels us to respond decisively to this challenge. During the coming financial year, we will focus on enhancing job opportunities especially where there are possibilities of leveraging green economic options, particularly as they relate to supporting agro-processing, and other environmentally-friendly projects including gas pipeline reticulation.

Specific tourism projects including infrastructure upgrades to Maropeng and Sterkfontein Caves, and the establishment of a Visitor Centre and Nelson Mandela Centre of Memory in the Constitutional Hill precinct by 2014. R4 million is allocated to upgrade the Maropeng infrastructure, and another R7 million annually over the MTEF will be allocated to the Constitutional Hill project.

Madam Speaker, the Roads infrastructure plays a significant role towards economic growth, job creation, and poverty alleviation in the province. An amount of R1 billion is thus set aside over the MTEF for upgrading the Voortrekker Road (R55), Malibongwe Road (K154), William Nicol, Leondale Road (R103), Adcock Road, and the Mamelodi / Hans Strydom intersection. 

Construction of walkways and bicycle lanes do not only contribute to infrastructure development, but improve health and fitness, road safety and environment-friendly transportation. To this end, an amount of R68.8 million is made available for the construction of walkways and bicycle lanes over the MTEF. 

Madam Speaker, in an endeavour to build a Democratic Developmental State, the Provincial Government will implement qualitative services and integrated delivery programmes by improving public access to government services. This will be achieved by implementing the Gauteng Spatial Development Framework, service delivery framework, integrated public transport system, integrated infrastructure development and integrated human settlement plans. R3.5 million is allocated in 2012/13 for this purpose, which progressively increases to R3.9 million in 2014/15.

To promote nation building and national identity, the province will continue to commemorate national days. In this regard, R47.9 million will be availed for these events over the medium term.

In addition to other measures to tackle corruption in the province, a further R2 million in 2012/13 is allocated towards fighting corruption. This amount will fund the Public Liaison Hotline, the rollout of anti-corruption communication campaigns, departmental workshops and ethics training. Additionally, the Minimum Anti-Corruption Capacity requirements of provincial departments, and the revision of the framework on financial disclosure to include employees at levels below senior managers will be provided for in this allocation.

For improved quality of service delivery, R1.5 million will be made available to monitor frontline service delivery over the MTEF. This involves the development of an evaluation framework, and training of frontline officials in the departments of Health and Education.

Madam Speaker, to address capacity challenges in the Office of the Premier, especially the Monitoring and Evaluation Unit, we set aside R15 million for this purpose in this financial year.

The Gauteng Provincial Legislature also plays a critical role in providing oversight and in deepening democracy. One of the tenets of our democracy which is embedded in the Legislature is Public Participation. In order to improve oversight, committee functions should be strengthened through partnerships with institutions supporting democracy, Civil Society, academia, and research institutions. To this end, the baseline budget of the Legislature will be increased by R45 million in 2012/13.

On the other hand, the Gauteng Provincial Government seeks to host some of the African Cup of Nations Games in 2013. This responsibility rests with the Provincial Department of Sports, Arts, Culture and Recreation though, but the Provincial Treasury will provide adequate material support to ensure that this Provincial aspiration is realized.

Madam Speaker, physical infrastructure plays a central role in the provision of goods and services which ultimately create better working and living conditions. It is through the provision of quality infrastructure that businesses flourish, and communities enjoy a better life.

The relationship between the economy and infrastructure is critical to promoting inclusive growth and sustainable development. As such, the importance of infrastructure investment as a catalyst for economic growth is even more compelling. The development of Gauteng as a Global City Region is contingent upon infrastructure development, just as worldwide competitiveness of city regions is built around efficient, safe and reliable infrastructure. This assertion is supported by Africa Infrastructure Country Infrastructure Diagnostic (AICID) studies of the World Bank, which found that infrastructure accounts for a large proportion of Africa's growth performance.

Madam Speaker, the Gauteng Provincial Government has adopted a different approach towards infrastructure investment for 2012/13. This new approach will have the following doctrines:

Firstly, the provincial Treasury will protect infrastructure baseline budgets. To this end, we allocate R30.6 billion towards infrastructure investments over the MTEF. This is a combination of both the provincial equitable share and conditional grant funding.

Secondly, the 2012 fiscal framework provides a necessary platform for the province to manage its fiscal trajectory in a sustainable manner. Gauteng is committed to eliminating wasteful expenditure in infrastructure spending which generally emanates from cost escalations, project scope creep, lack of effective planning, and weak project management. The outcome of our analysis of challenges attributable to these weaknesses resulted in the adoption of different approaches towards funding infrastructure projects going forward. From the 2012/13 budget, funding will be allocated to projects that demonstrate their readiness for implementation. Furthermore, alternative delivery mechanisms were considered in formulating the 2012 infrastructure budget. These methods will be applied during the implementation of future infrastructure projects as well.

Thirdly, incapacity to deliver on infrastructure projects must be addressed in order to ensure that scarce resources are directed towards economic development. The twin evils of incapacity and under-spending in infrastructure projects further deprives communities of essential amenities.

During the 2012/13 State of the Province Address, the Premier emphasised that capacity to manage infrastructure projects in the province will be improved. This includes strengthening in-house technical capacity, building effective project management skills and leveraging from strategic partnerships. It is against this background that we will capacitate all infrastructure delivery departments. The Department of Roads and Transport has been allocated R20 million for recruiting qualified and registered engineers from all disciplines and other technical experts. A further R15 million has been set aside for the Department of Infrastructure in this regard.

Madam Speaker, during the occasion of the tabling of the Provincial Economic Review and Outlook in this House last year, I indicated that major South African companies, especially those in the financial sector held large corporate reserves which were then valued at R470 billion according to NedGroup Investments. This observation was also confirmed by the Minister of Finance in the Budget Speech when he indicated that "South Africa has deep and liquid capital markets, through which long-term capital can be raised at competitive rates by government, state enterprises and the private sector. Our development finance institutions are capable of raising capital and co-financing investments of the private sector, state entities and municipalities. These are considerable strengths which mean that we do not have to rely on expensive external finances or complex structured arrangements".

In giving effect to the Minister's statement, the Gauteng Project Office will continue to mobilize private sector funding for identified Infrastructure projects in the province.

With effect from the 1st April 2012, the Provincial Treasury will become a department on its own. This development is consistent with Section 17 of the PFMA, and is meant to ensure that the Provincial Treasury is adequately capacitated to perform its duties accordingly. One of its critical areas of focus will be to effect improvements in Supply Chain Management (SCM) processes.

Therefore, the capacity of the Supply Chain Management Policy and Monitoring unit in the Provincial Treasury will be strengthened to ensure compliance in both municipalities and provincial departments. Measures will also be taken to improve a culture of compliance with the Supply Chain Management policy framework.

The new preferential procurement regulations and Treasury Instruction Note on enhancing compliance, and the timely reporting of non-compliance to the Provincial Treasury, the Auditor General, and National Treasury will assist us in reducing deviations from normal procurement processes, and thus avoid irregular expenditure. In addition, all supply chain management officials in the Provincial and Local Government sphere will undergo security vetting. This intervention forms part of our efforts to root out fraud and corruption, which manifests itself primarily in procurement processes.

The most important aspect of supply chain management is contract management which suggests that we must continue to improve the manner in which we administer our contracts. During the forthcoming financial year and beyond, payments to service providers will only be made on valid contracts that would have been scrutinized by the Provincial Treasury.

Madam Speaker, we currently await recommendations from the Standing Committee on Public Accounts (SCOPA) in order to regularize unauthorised expenditures which occurred in previous financial years. On receipt of their recommendations, the Provincial Treasury will then proceed to clear these historical balances. Where financial mismanagement can be proven, appropriate disciplinary and other sanctions will be instituted jointly with SCOPA. On the other hand, corrective measures have been implemented to prevent a recurrence of unauthorised expenditure in future financial years. These measures include:

  • Ongoing monitoring of possible unauthorised expenditure, and to effect budget adjustments where necessary.
  • Monitoring cash flows and ensuring that departmental expenditures are in line with their cash allocations
  • Ensuring that conditional grant funding is spent in accordance with the DoRA, and
  • Monitoring departmental spending patterns and accruals to prevent over commitments


Madam Speaker, as a Nation, we must use the 100 year anniversary of the African National Congress to define and regain our National Identity, without which we cannot reassert our humanity.

The task of regaining our humanity is an enduring one. It has been attended to by outstanding patriots of our liberation struggle. On the 30th June 1945, Anton Lembede penned an article which was published in the "Bantu World Newspaper" where He wrote: "Know thyself: These few words pithily synthesise or epitomize the teaching of the ancient Greek philosopher - Socrates - who lived about 400 B.C, "As it is with individuals, so it is with nations. Each nation has its own peculiar character which no other nation in the world possesses or can possess. Each nation thus has its own peculiar talents and potentialities to develop and to realize. Each nation has its own peculiar contribution to make towards the general progress, welfare and happiness of mankind. This eternal law of variations and individual differences among organisms and species was re-discovered and re-emphasized by Charles Darwin about 2, 000 years after Socrates".

In these words, Anton Lembede stated his own and his generation's imagination of themselves as a political community, and they did that successfully.

Pertinent questions then arise, What is our imagination of ourselves as a political community, and what is it that makes our identity as a people and a Nation? Few thoughts come to mind. And they are:

  • National Reconciliation
  • Unity in diversity
  • Democracy, non-racialism, non-sexism and shared prosperity
  • A better life for all
  • Africa's unity and renewal, and
  • A cadre of leadership in all spheres of human endeavour that genuinely honours its compact with the people to act solely and exclusively as servants of the people

The issues that I have just outlined should be the defining elements of our National Identity, and we must use the centenary celebrations of the ANC to cement these elements in all spheres of our lives, to bring back the noble ideals that kept us for a hundred years. We hope that all the residents of Gauteng, and indeed South Africa will rise to the occasion and build a non-racial, non-sexist and prosperous society.

Madam Speaker, the dreams of our forefathers were deferred by the system of White Minority Rule, but they never dried up, nor did they explode, but the honour is on us - the current generation of change agents to realize their dreams by improving the socio-economic conditions of our people for the better.

Madam Speaker, with those words of wisdom, please allow me to present the following documents for consideration by the House:

  • The Appropriation Bill for 2012
  • The Explanatory Memorandum to the Bill
  • Estimates of Provincial Revenue and Expenditure
  • Estimates of Capital Expenditure
  • Provincial Gazette for transfers to municipalities
  • The Socio-Economic Review Outlook and
  • A copy of my Speech

Let me also take this opportunity to thank the Premier and Members of the Executive Council for their support. Similarly, my gratitude is extended to Members of the Portfolio Committee of Finance, and in particular, Honourable Hope Papo the Chairperson. May I also thank Members of the Premier's Budget Committee for their guidance.

I would also like to express my gratitude to all Provincial Accounting Officers and their respective Chief Financial Officers for assisting us in improving the financial position in the province, including all officials in the Department of Finance for their contributions, the HOD Mr. Stewart Lumka, and the Head of Treasury Ms. Nomfundo Tshabalala for their contribution in completing this budget.

Finally, I wish to thank my family for their continued and unwavering support.

I Thank You.


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