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SIU to probe tender corruption at AEMFC and Dihlabeng Local Municipality

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SIU to probe tender corruption at AEMFC and Dihlabeng Local Municipality

The Special Investigating Unit (SIU) is expected to conduct investigations into the affairs of the African Exploration Mining and Finance Corporation (AEMFC) and, in a separate probe, that of the Dihlabeng Local Municipality in the Free State.

This after President Cyril Ramaphosa signed two proclamations authorising the corruption busting unit to conduct the investigations.

At the AEMFC, the SIU will probe allegations of serious maladministration related to six tenders.

“The probe will also examine whether the payments for these contracts adhered to national treasury guidelines and ascertain whether the payments were irregular, fruitless, and wasteful expenditures or financial losses for the department or the state. 
“The investigation will probe whether fraudulent conduct occurred, including the causes of such maladministration, any losses, damages, or prejudice actually or potentially suffered by AEMFC or the State, and any irregular, improper, or unlawful conduct by employees or officials of the AEMFC or any other person or entity,” the SIU said.

The unit added that it will also investigate whether there is “unlawful or improper conduct of the AEMFC employees, officials or agents and any other person or entity to corruptly or unduly benefit themselves or others”.

“The Proclamation covers allegations of unlawful and improper conduct that occurred between 1 January 2016 and 01 November 2024, as well as any related activities before 1 January 2016 after the date of the Proclamation that is pertinent to the matters under investigation or involve the same persons, entities, or contracts,” the unit added.

Dihlabeng Local Municipality

The investigation at the Dihlabeng Local Municipality is related to a tender for the supply, delivery and installation of two 40m high-mast lights.

“The SIU probe will examine whether the procurement and contracting were made in a manner that was not fair, competitive, transparent, equitable, or cost-effective or in violation of applicable legislation, guidelines, or instructions from the National or Provincial Treasury.

“This includes the municipality or the state’s unauthorised, irregular, or wasteful expenditure. The probe will also look at any irregular, unlawful, or improper conduct by officials or employees of the Municipality, its suppliers or service providers, or any other person or entity implicated,” the corruption busting unit explained.

This proclamation covers the period from 1 January 2016 to 1 November 2024 “as well as any related activities before 1 January 2016 and after the date of the Proclamation that are pertinent to the matters under investigation or involve the same persons, entities, or contracts”.

“Beyond investigating maladministration, corruption, and fraud, the SIU is committed to identifying systemic failures and recommending measures to prevent future losses.

“In line with the Special Investigating Units and Special Tribunals Act 74 of 1996 (SIU Act), the SIU will refer any evidence of criminal conduct uncovered during its investigation to the National Prosecuting Authority for further action.

“The SIU is also authorised under the SIU Act to initiate a civil action in the High Court or a Special Tribunal in its name to address any wrongdoing identified during its investigation resulting from acts of corruption, fraud, or maladministration,” the SIU said. – SAnews.gov.za

 

NeoB
Mon, 11/04/2024 - 12:45

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Read moreSIU to probe tender corruption at AEMFC and Dihlabeng Local Municipality

Police arrest 225 illegal miners in the North West

Location: News

Police arrest 225 illegal miners in the North West

Acting National Commissioner of the South African Police Service (SAPS), Lieutenant General Shadrack Sibiya has welcomed the arrests of 225 illegal miners in the North West province.

The arrests were made when the illegal miners resurfaced from underground in Orkney, as a result of starvation and dehydration.

“These 225 illegal miners are part of others believed to be hundreds if not a thousand illegal miners who are stuck underground with no food, water and necessities because the Vala Umgodi teams,” said the police.

The teams are led by the SAPS and the South African National Defence Force (SANDF) who are “blocking routes used to deliver food and necessities to these illegal miners.”

“Just earlier this week, SAPS and members of the SANDF blocked communities in and around these abandoned mining shifts in Orkney from delivering food parcels, water and necessities to these illegal miners,” the police said.

The act of stamping the authority of the state eventually forced these illegal miners to resurface.

“This operation is ongoing, and the SAPS and the SANDF are still monitoring these old abandoned mine shafts as more and more illegal miners resurface,” the SAPS said on Saturday.

Sibiya said Operation Vala Umgodi is yielding positive results across the country.

“We are closely monitoring the situation that is unfolding in the North West province, we are not backing down until all those illegal miners resurface and are arrested. Since its inception in December 2023 to date, more than 13 691 suspects have been arrested in the seven provinces that are hotspots for illegal mining. 

"We have seized R5 million in cash and uncut diamonds worth R32 million through Operation Vala Umgodi,” said the Lieutenant General.

The majority of those that have been arrested are inclusive of South Africans, Mozambicans, and Basotho nationals. -SAnews.gov.za
 

nosihle
Sun, 11/03/2024 - 10:23

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Read morePolice arrest 225 illegal miners in the North West

Committee welcomes prevention of R3.47 billion in financial losses  

Location: News

Committee welcomes prevention of R3.47 billion in financial losses  

The Standing Committee on the Auditor-General (AG) has welcomed the recovery and prevention of the R3.47 billion in financial losses by the Office of the Auditor General (AGSA) through the Material Irregularities (MIs) process.

This as the committee received a briefing from the Auditor-General of South Africa (AGSA) on its integrated annual report for the 2023/24 financial year.

“The AG has recovered R1.55 billion in financial losses; R1.14 billion in financial losses in the process of recovery and has prevented the financial loss of R0.78 billion for government departments, municipalities and entities.

“These successes show the importance of the execution of the new powers of the AG obtained through the amended Public Audit Act. In the year under review, the AG identified 626 MIs on non-compliance and suspected fraud,” the Chairperson of the Standing Committee on the Auditor-General Wouter Wynand Wessels said on Friday.

This resulted in 500 MIs on material financial loss, 51 MIs on substantial harm to the general public, 66 MIs on substantial harm to public sector institutions and 9 MIs on misuse on material public resource.

An MI is any non-compliance with legislation, fraud, theft or breach of fiduciary duty that could result in a material financial loss, misuse of public funds or substantial harm to a public sector institution or the public.

The amended Public Audit Act introduced the concept of MIs and expanded the powers of the AG to refer the MIs to relevant bodies for investigation if the accounting officer or authority does not take appropriate action to address them.

“The committee welcomes the AGSA's culture shift strategy. This entails plotting auditees not only according to mere compliance, but also focusing on service delivery performance.  This shows that 23% of government departments and entities and 45% of municipalities are currently doing harm, while 40% of departments and entities and 43% of municipalities are not doing the basics.

“The committee commends the AG for receiving a clean audit opinion for the year under review. A functional office of the AG is important as it results in a positive shift towards accountability and public sector performance,” Wessels said.-SAnews.gov.za

nosihle
Sun, 11/03/2024 - 10:09

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Read moreCommittee welcomes prevention of R3.47 billion in financial losses  

Turkish Cooperation and Coordination Agency (Ti̇Ka) Provides Equipment Support to Stellenbosch University in South Africa

Location: News

Turkish Cooperation and Coordination Agency (TIKA)
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Turkish Cooperation and Coordination Agency (TİKA) has provided equipment to the Medical Plant Biology Laboratory at Stellenbosch University, which continues its educational and research activities in South Africa.

TİKA provided equipment support to the Medical Plant Biology Laboratory at Stellenbosch University in South Africa, ranked among the world's top 200 universities in plant and animal sciences.

Through this project, a centrifuge machine, water purification system, spectrophotometer, plant growth chamber and lyophilizer were provided to support the cultivation of plants under controlled conditions, DNA analysis and the preservation of plants and extracts as required.

South Africa is home to 9,000 endemic plant species

South Africa hosts approximately 9,000 plant species, the majority of which are endemic. These plants, integral to the development of traditional medicine, have been used by local communities for medicinal purposes over centuries.

However, during the apartheid era the Witchcraft Suppression Act 3 of 1957 restricted this usage. Following the repeal of this law in 1994, academic research surged, allowing many native plants to be widely adopted in medicine and cosmetics.

Stellenbosch University is now dedicated to integrating traditional knowledge into academic research. To support this, TİKA provided the university with equipment to study the reactions of local plants to different production conditions, determine optimal cultivation and storage methods and conduct DNA-level analyses.

Handover ceremony organized

The handover ceremony was attended by Yonca Sunel, Consul General of the Republic of Türkiye in Cape Town; Abdulkadir Abukan, TİKA's Coordinator in Pretoria; Vim de Villiers, Rector of Stellenbosch University; Sibusiso Moyo, Vice Rector; as well as academics and students.

During the ceremony, Rector de Villiers expressed gratitude to TİKA for its contributions. Vice Rector Moyo emphasized the significance of international cooperation in enhancing the university's research capacity and provided information about the partnerships with universities in Türkiye.

Consul General Sunel noted that this program marked her first official visit since her appointment and expressed her pleasure in collaborating with the esteemed institutions of South Africa.

Distributed by APO Group on behalf of Turkish Cooperation and Coordination Agency (TIKA).

Read moreTurkish Cooperation and Coordination Agency (Ti̇Ka) Provides Equipment Support to Stellenbosch University in South Africa

Council indaba to zero-in on climate resilient build environment

Location: News

Council indaba to zero-in on climate resilient build environment

The Council for the Built Environment (CBE) is on track to convene its second Built Environment Climate Change Indaba (BECCI) next week.

“The CBE’s 2024 BECCI is centred on building a climate-resilient built environment for South Africa while acknowledging and incorporating the Indigenous Knowledge Systems (IKS) in the entire construction lifecycle, and processes and legislations of national, provincial and local government,” said the council in a statement on Thursday.

The CBE is public entity of the Department of Public Works and Infrastructure and is a regulatory body established under the Council for the Built Environment Act 43 of 2000 (the CBE Act) that coordinates six councils for the built environment professions including architecture and engineering.

The two-day indaba is set to be held in the Mandeni Local Municipality in KwaZulu-Natal next Thursday and Friday. 

This, as KwaZulu-Natal has experienced adverse weather in recent years.

“These natural disasters are worsened by poor drainage and building standards, especially in low-income areas. There was significant damage to over 13 000 homes, disrupted water supply, impassable roads, and destroyed bridges. Additionally, the recent snowfall in KwaZulu-Natal… underscores the growing severity and unpredictability of South Africa's weather patterns. 

“The snow and icy conditions led to the closure of the N3 highway between Gauteng and KZN, stranding numerous travellers, which highlights the vulnerabilities in our infrastructure amid extreme climate events, necessitating urgent policy and planning responses.”

READ | Condolences to family of victim affected by freezing weather conditions

The indaba will be held under the theme: “Co-creation of spaces and places that respond to just transition.”

The council said the indaba will together stakeholders from the engineering and the built environment sector, disaster management and the South African Weather Service (SAWS) to co-create sustainable, resilient, and equitable spaces that address climate change and socio-economic disparities. 

“The Indaba is particularly critical in the context of the CBE’s mandate to transform the built environment, promote sustainable development, and contribute to inclusive socio-economic growth.”

The BECCI will bring together stakeholders from the engineering and the built environment sector under one roof to discuss and enhance climate resilience in South Africa’s built environment “by fostering collaboration to generate new knowledge and insight geared towards reducing and mitigating the impact of climate change in the sector.”

The outcomes and resolutions from the BECCI 2024 are expected to feed into the operations and functions of the CBE’s and its stakeholders on numerous levels. Furthermore, the BECCI will aim at addressing climate change related challenges facing the South African Built Environment and vulnerable communities at large. 

Public Works and Infrastructure Minister Dean Macpherson and Deputy Minister Sihle Zikalala, among others, are expected to attend the indaba. – SAnews.gov.za 

Edwin
Fri, 11/01/2024 - 09:30

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Read moreCouncil indaba to zero-in on climate resilient build environment

President Ramaphosa Appoints Members of Special Tribunal

Location: News

The Presidency of the Republic of South Africa
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President Cyril Ramaphosa has appointed the Tribunal President and Judges of the Special Tribunal which has a statutory mandate to recover public funds syphoned from the fiscus through corruption, fraud and illicit money flows.

President Ramaphosa has made these appointments in terms of the Special Investigating Units and Special Tribunal Act of 1996 and following consultation with Chief Justice Mandisa Maya.

The President has appointed Judge Margaret Victor as Tribunal President with effect from today, Friday, 1 November 2024, for a period of three years.

The President has also appointed the following additional judges for a period of three years starting today, Friday, 1 November 2024:
(i) Judge Thandi Victoria Norman, of the Eastern Cape Divisron of the High Court;
(ii) Judge David Makhoba, of the Gauteng Division of the High Court;
(iii) Judge Brian A Mashile, of the Mpumalanga Division of the High Court;
(iv) Judge Andre Henry Petersen, of the North West Division of the High Court; and
(v) Judge Chantel Moira Jennifer Fortuin, of the Western Cape Division of the High Court

Special tribunals differ from ordinary civil proceedings which are adversarial in nature.

The Special Tribunal adopts a more flexible and expeditious approach to legal actions. Its proceedings are inquisitorial in nature and characterised by extensive pre-trial investigations.

Distributed by APO Group on behalf of The Presidency of the Republic of South Africa.

Read morePresident Ramaphosa Appoints Members of Special Tribunal

Maintenance defaulters’ days are numbered, warns Minister

Location: News

Maintenance defaulters' days are numbered, warns Minister

Justice and Constitutional Development Minister Thembi Simelane says the days of those who have been shirking their responsibilities and not paying maintenance are numbered.

“We are indeed coming for them,” said Simelane, who was speaking at the signing ceremony of the Memorandum of Understanding on the Maintenance Online Listing of Defaulters held in Johannesburg on Friday.

She said the signing was historic, as it heralded a new era in the quest to ensure that maintenance defaulters have no place to hide.

“There is no doubt that the failure to pay maintenance has a negative impact on the best interests of our children and it also undermines the child’s right to be maintained.

“The Constitution protects and provides in section 28(2)... that ‘a child’s best interests are of paramount importance in every matter concerning the child.’

“Section 15(3)(a) of the Maintenance Act creates an obligation on both parents to support their children proportionately in accordance with their financial means.

“However, and notwithstanding this provision, many parents still fail to support their children and this failure negatively impacts on the children’s rights to maintenance, which includes the provision of food, accommodation, education, health and clothes,” the Minister said.

She said a person who fails to make a particular payment, in accordance with a maintenance order, is guilty of a criminal offence and liable, on conviction, to a fine or to imprisonment.

“Parents are therefore fully entitled to lay a criminal charge against a person who is obliged to pay maintenance in terms of a court order if he/she fails to stick to the terms of the order. Although this step will likely result in a person’s arrest, it will not necessarily result in receiving payment.

“Judging by the numbers of the long queues at the maintenance service centres, it is crystal clear that the enforcement of maintenance payments is a highly problematic area. Often, people liable to pay maintenance either refuse or simply neglect to fulfil their obligation.

“South Africa’s commitment to child welfare is embedded in our laws, and our obligations, as a signatory to the Convention on the Rights of the Child, stand as a testament to this. We are duty-bound to take every measure necessary to ensure that the maintenance for children is not only an ideal but a reality,” Simelane said.

The Minister said the signing of the memorandum signalled government’s dedication to protecting and empowering the future generation.

Simelane explained that the Maintenance Online Listing Project, which is the subject of the memorandum of understanding, will create a structured, transparent framework where maintenance obligations are tracked, enforced and integrated within our financial systems.

“The strength of this project lies in the powerful partnership between the public and private sectors. The Department of Justice, the Social Justice Foundation and the Consumer Profile Bureau have come together to drive this initiative forward.

“Each partner brings a unique strength: legal oversight, community engagement, and data-driven solutions, ensuring that this initiative reaches every corner of our nation and stands as a model of efficiency and accountability,” the Minister said.

The Minister further explained that the project was not merely a tool for enforcement, but it was also a commitment to fairness.

“This approach is not just punitive in nature but serves as a fair reminder that support for our children is non-negotiable,” she said. – SAnews.gov.za

Edwin
Fri, 11/01/2024 - 12:02

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Read moreMaintenance defaulters’ days are numbered, warns Minister

dtic calls for comments on draft amended Consumer Protection Act

Location: News

dtic calls for comments on draft amended Consumer Protection Act

The Department of Trade Industry and Competition (the dtic) has called on all stakeholders and interested parties to submit comments on the draft amended Regulations 4 of the Consumer Protection Act (CPA 68 of 2008). 

Regulations 4 of the CPA provides mechanisms to block unwanted direct marketing communication.

Trade, Industry and Competition Minister, Parks Tau, published the amended Regulations in the Government Gazette on 28 October 2024, giving interested parties 45 days to submit their comments.

South African consumers are constantly exposed to intrusive marketing, and this has significantly increased over the years. 

With the Opt-Out Registry, direct marketers must be registered and should ensure that when contacting any consumer for direct marketing that they do not contact any consumer that has registered a pre-emptive block on the Opt-Out Registry.

All interested parties, including direct marketers, legal experts, industry associations, and interested citizens are encouraged to submit their comments by no later than 15 January 2025. 

Written comments should be submitted to the dtic for the attention of Mr Sibusiso Sasayi, Private Bag X 84, Pretoria, 0001, or by email to: SSasayi@thedtic.gov.za. 

The draft amended Regulations can be accessed here: https://www.thedtic.gov.za/wp-content/uploads/NCC-Gazette.pdf  - SAnews.gov.za

Edwin
Fri, 11/01/2024 - 12:12

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Government accelerating land reform and redistribution

Location: News

Government accelerating land reform and redistribution

Accelerating land reform remains the key priority of government, says Deputy President Paul Mashatile.

The Deputy President announced in Parliament on Thursday that in the past five years alone, the Inter-Ministerial Committee (IMC) on Land Reform and Agriculture, through the relevant departments and State organs, redistributed 305 990 hectares of land. 

This includes 127 525 hectares allocated to women, 111 071 hectares to youth, and 2 781 hectares to people with disability between 2019 and 2024. 

Meanwhile, he said about 2.3 million people have benefitted from land restitution, where a total of R25 billion was spent on the restitution of 3 972 331 hectares. 

In addition, R22.5 billion has been spent on financial compensation for those beneficiaries who opted to receive financial compensation instead of the land being transferred.

The Deputy President was responding to a question from a Member of Parliament from the uMkhonto weSizwe Party who had asked about his role in leading government efforts to fast-track land reform and coordinating programmes to accelerate land reform and agricultural support. 

The MP asked whether the Deputy President intended to facilitate the introduction of a Bill by the government to amend Section 25 of the Constitution to give effect to expropriation without compensation instead of expropriation with nil compensation. 

“Regarding the matter of the introduction of a Bill to amend Section 25 of the Constitution, this is a matter that falls within the structures of Parliament. 

“Honourable Members would remember that the sixth Parliament established the Joint Constitutional Review Committee, which conducted public hearings in all the provinces of South Africa to get public inputs on the amendment of Section 25 of the Constitution.” 

The country’s second-in-command said this process culminated in the development of a Bill that was aimed at amending Section 25 of the Constitution to allow for expropriation of land without compensation. 

“However, the National Assembly could not pass this Bill since its support could not meet the required two-thirds majority vote for the 18th Amendment of the Constitution.” 

He told MPs that the current constitutional framework provides for the expropriation of property subject to just and equitable compensation. 

“To this end, Parliament has passed the Expropriation Bill which has been sent to the President for assent. The Bill provides for the expropriation of property for a public purpose or in the public interest and matters connected therewith.”

He assured Parliament that the agenda of accelerating land reform and land restitution will continue. 

“However, we are certain that once the President has completed his consultation process, and assented the Bill into an act, government will be in a better position to accelerate the pace of land reform, land restitution and sustainable development that will benefit all the people of South Africa.” – SAnews.gov.za

Gabisile
Fri, 11/01/2024 - 09:51

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President Ramaphosa assents to Upstream Petroleum Resources Development Bill

Location: News

President Ramaphosa assents to Upstream Petroleum Resources Development Bill

President Cyril Ramaphosa has officially assented to the Upstream Petroleum Resources Development Bill, a key piece of legislation aimed at accelerating petroleum exploration and development with participation by black South Africans, as part of the nation’s social and economic advancement. 

The Presidency said in a statement that the Bill ensures petroleum resources are developed responsibly, provides fair access, and promotes sustainable growth. 

It also allows for active involvement from government and black South Africans in building up the country’s petroleum sector. 

“The legislation acknowledges that South Africa’s petroleum resources belong to the nation and that the state is the custodian of these non-renewable natural resources which must contribute to South Africa’s social and economic development,” The Presidency said. 

As part of advancing industrialisation and manufacturing diversity, the law provides for local content as a development strategy to enable skills development, local recruitment and national participation through supply of goods and services.

The Bill reaffirms the state’s commitment to regulatory certainty and to guaranteeing security of tenure in respect of petroleum rights.

The Bill separates petroleum provisions from minerals provisions as currently provided for in the Mineral and Petroleum Resources Development Act.

“This separation is necessary from a policy and administrative perspective to ensure matters in the petroleum and minerals industries are addressed on the basis of their distinctive features, to bring about stability and security to investors, especially in the upstream petroleum sector,” the Presidency said. 

The law sets out the functions of the South African Agency for Promotion of Petroleum Exploration and Exploitation, which include receiving and evaluating applications for reconnaissance permits, petroleum rights and retention permits, and making recommendations to the Minister of Mineral Resources and Energy.

Reconnaissance refers to any operation carried out for or in connection with the search for petroleum by geological, geophysical and photo geological surveys. – SAnews.gov.za

 

DikelediM
Fri, 11/01/2024 - 11:34

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SIU collects evidence in Makana Local Municipality maladministration allegations

Location: News

SIU collects evidence in Makana Local Municipality maladministration allegations

The Special Investigating Unit (SIU) has searched and collected evidence related to allegations of serious maladministration at the Makana Local Municipality in the Eastern Cape.

This after it obtained a warrant to search the premises of the municipality on Thursday.

“At 9 am on Friday, 01 November, the SIU, assisted by the Directorate for Priority Crimes Investigation, commonly known as the Hawks, entered the municipality's premises to collect evidence that is in line with Proclamation 207 of 2024 authorised the SIU to investigate allegations of serious maladministration,” the unit said in a statement.

The SIU and Hawks collected documentation and equipment required for audit or compliance purposes concerning successful tenders from 1 January 2019 to 18 October 2024, as stipulated in Proclamation 207 of 2024. 

“This includes comprehensive records such as company registration documents, all forms of payment documentation (invoices, purchase orders, remittance advice), and devices—such as laptops, mobile devices, external storage, or media used by relevant committees, officials, or employees. 

“The documentation also extends to any electronic data stored on these devices, including emails and cloud storage, covering current and outdated devices associated with specific personnel and posts.”

The warrant was granted by the Grahamstown Magistrate Court.

The application for a search and seizure followed the signing of Proclamation 207 of 2024 by President Cyril Ramaphosa, which authorised the SIU to investigate allegations of serious maladministration in the affairs of the Makana Local Municipality involving seven tenders, which was gazetted two weeks ago. 

The SIU’s investigation will look into the:

• Makana Bulk Sewer Upgrade Phase 1.
• Professional Engineering services for groundwater development project.
• Implementing agents for water conservation and demand management.
• Re-appointment of MBB Consulting for water conservation and demand management.
• Electrification of the greater Makana and surrounding areas 11KV line project.
• Host municipal emails and provide internet services.
• Operate and manage the Makana burning landfill site for six months.

“The SIU has reason to believe that a normal route of requesting information and documents would not have yielded positive results. Hence, it was deemed necessary to approach the Grahamstown Magistrate Court for a search warrant to seize documents and computers to assist with the ongoing investigation.

"Upon the receipt of the allegations, the SIU engaged the municipality seeking documents that would help assess the merit of the allegations and help prepare a motivation for a proclamation.

“However, the municipality did not cooperate with the SIU’s request. The SIU engaged the Auditor General of South Africa (AGSA), as the office was auditing the municipality at the time. The AGSA indicated that the municipality failed to furnish it with documents.”

The SIU is empowered by the Special Investigating Units and Special Tribunals Act 74 of 1996 (SIU Act) to subpoena bank statements and cell phone records, search and seize evidence, and interrogate witnesses under oath to thoroughly investigate allegations brought before it. 

The SIU is also empowered to institute civil action in the High Court or a Special Tribunal to correct any wrongdoing uncovered during investigations caused by acts of corruption, fraud or maladministration. In line with the SIU Act, the SIU will refer any evidence pointing to criminal conduct it uncovers to the National Prosecuting Authority for further action. -SAnews.gov.za
 

Edwin
Fri, 11/01/2024 - 10:35

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Read moreSIU collects evidence in Makana Local Municipality maladministration allegations

SARS welcomes MTBPS, increases its compliance focus

Location: News

SARS welcomes MTBPS, increases its compliance focus

The South African Revenue Service (SARS) has welcomed the Medium-Term Budget Policy Statement (MTBPS) presented in Parliament by Finance Minister Enoch Godongwana on Wednesday. 

The MTBPS revised the February 2024 Budget net tax revenue forecast from R1.863 trillion to R1.8408 trillion.

SARS said as of 30 September 2024, it has collected gross revenue of R1 070.4 billion, yielding a net revenue of R846.2 billion and R224.3 billion in refund payments. 

The revenue performance was bolstered by stronger collections from CIT Provisional tax and lower-than-expected VAT and PIT refund payments. 

This was offset by lower-than-expected collections from Customs taxes, PAYE, and the General Fuel Levy. 

The areas that were adjusted downward are: 

  • Lower-than-expected previous year salary adjustments, reducing the nominal wage bill estimate from 8.4% in the 2024 Budget to 5.5% in the MTBPS 2024. 
  • Slower growth on capital projects across general government, public corporations and private sector, with gross capital formation anticipated to decline from 9.5% in the 2024 Budget to 5.2%.
  • Downward revision in outlook of nominal exports from 5.2% to 3.5%, as well as nominal imports from 6.0% to 3.8%.
  • At Budget 2024, a 13.8% growth in PAYE, based on the 8.4% growth in the wage bill, was assumed. PAYE collections for year-to-date (September 2024/25) amount to R340.0bn, lower than the PE by R12.0bn (3.4%) and higher than previous year by R30.8bn (10.0%).

SARS highlighted that the deficit in revenue collections was partially offset by strong collections in CIT provisional tax collections (at R150.2 billion) against an expectation of R141.4 billion, yielding a surplus of R8.8 billion, up by 2.7% or R3.9 billion from the previous year. 

The fuel levy has faced challenges this financial year due to a year-on-year decrease in fuel consumption, with 1.333 million litres less fuel used. SARS said that this decline, attributed to factors like reduced load shedding and a shift to alternative energy sources, has directly impacted the Net Fuel Levy, resulting in a 3.9% year-on-year contraction and a R7.2 billion shortfall.

Trade taxes also underperformed, as imports, which were expected to grow by 1.9%, have instead declined by 5.1% year-to-date. Total trade flows have decreased by R39.2 billion (or -2.0%) compared to the same period last year, primarily due to lower import flows of electrical machinery and vehicles.

SARS noted that Provisional Corporate Income Tax (CIT) collections reached R150.2 billion, recording a surplus of R8.8 billion (6.2%) and a year-on-year growth of R3.9 billion (2.7%), driven by the Finance, Electricity, and Manufacturing sectors. 

Collections exceeded the Budget 2024 target rate of -3.3%. However, the Mining sector continues to struggle with volatile commodity prices, particularly in Platinum Group Metals, Coal and Iron Ore, which has negatively impacted profitability and provisional payments. Additionally, the sector faces ongoing transport, logistics, and border crossing issues, leading to delays and higher export costs.

Despite having finalised ± 1.3 million more debt cases, which is almost 290% more than the previous year, SARS said its debt compliance efforts have yielded lower returns year-on-year by R9.3 billion, which equals to a 23.6% year-on-year contraction. 

SARS further recorded significant year-on-year increases in deferred payment arrangements, requests for suspension of payments, and final demands, highlighting the financial hardship taxpayers are experiencing and its impact on their ability to meet tax obligations.

“The SARS Strategic Intent will continue to focus on Voluntary Compliance, ensuring that taxpayers and traders have clarity and certainty regarding their obligations, along with the necessary tools to facilitate easy and straightforward compliance. Conversely, SARS will impose significant legal and administrative costs on taxpayers and traders who deliberately fail to meet their obligations,” the revenue service said.

SARS said that its compliance efforts continue to yield success in dealing with non-compliance in particular segments and tax products. To date, compliance revenue secured R110.1 billion, reflecting a growth of R8.1 billion (8.0%). 

The Revenue Service emphasised that it will continue to intensify its efforts to maintain visibility and reinforce compliance, with plans to invest further on compliance initiatives to close the tax gap by targeting various taxpayer segments. 

SARS Commissioner Edward Kieswetter said that in pursuing the attainment of the 2024/25 tax revenue estimate of R1 840.8 billion, SARS will be unrelenting in its drive to engender voluntary compliance. 

“Critical in this pursuit is to ensure that intermediaries charged by law to collect taxes on behalf of SARS pay it over. Importantly, SARS is ready to act against those who willfully and defiantly ignore their legal obligations by misrepresenting their true economic status. Those who enable this conduct are equally culpable. 

“Taxpayers who abdicate their legal obligations place a disproportionate burden on honest taxpayers. Taxes play a critical role in cushioning the most vulnerable and destitute in our society. In this respect, voluntary compliance is sacrosanct,” Kieswetter said.   

The Commissioner further emphasized that SARS will continue to intensify and deepen its existing administrative efforts. 

“We will continue to use sophisticated data science and artificial intelligence, to maintain the balance between service to taxpayers/traders, whilst managing risks to the fiscus by detecting dishonest taxpayers,” he said. 

SARS will deploy more data science and artificial intelligence (AI) to step up its focus on the following areas of compliance risk:

  • Broadening the tax base via third-party data sources: Leveraging data from both formal and informal sectors to widen the tax base.  
  • Work to register all taxpayers and traders, through predictive modelling, who ought to be on the register and ensure that they honestly file their declarations and pay their dues where necessary. 
  • Build its detection capability using machine learning models and Artificial Intelligence (AI) to significantly improve service and offer a seamless service to honest taxpayers. This will also be used to detect dishonest taxpayers, improve debt collection while expanding the tax base and deal with tax avoidance.
  • Enforcing trade laws against the illicit economy (Customs and Excise): Strengthening tools to detect and prevent illicit activities, including those related to tobacco, fuel, and illicit financial flows.
  • Focusing on dispute prevention and resolution: Prioritising products and strategies that prevent disputes that can be resolved.

“SARS is the nation’s treasure; a well-functioning tax and customs administration is a cornerstone to our vibrant democracy and should never be taken for granted. SARS seeks to ensure revenue sustainability by securing appropriate investment in SARS, and funding certainty. 

“From a human capital perspective, SARS will continue to attract, develop and sustain a workforce that is future ready. We will be building the leadership bench strength of SARS and protect the autonomy of the institution,” the tax revenue said. 

Despite the tough operating environment, SARS said it expects that the start of a cycle of interest rate cuts will spur consumption expenditure. This expansion is expected to drive economic growth and widen the tax base, resulting in buoyant corporate tax, and VAT revenues. 

Additionally, the introduction of the “Two-Pot” system is expected to increase the tax base in the short to medium term. 

“The 12 821 SARS staff, to whom we express sincere appreciation, will continue to work diligently in achieving the revised revenue estimate as presented by the Minister of Finance,” SARS said. – SAnews.gov.za

DikelediM
Thu, 10/31/2024 - 11:03

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Read moreSARS welcomes MTBPS, increases its compliance focus

Team established to deal with BELA Act concerns

Location: News

Team established to deal with BELA Act concerns

The Government of National Unity (GNU) clearing house mechanism has formed a task team to address concerns raised by various parties regarding the Basic Education Laws Amendment (BELA) Act.

This comes after leaders met on Wednesday to discuss the issue of the Act, which has two clauses that have been the centre of concern by some members of the signatories of the statement of intent of the GNU.

According to the Deputy President’s Office, the meeting was attended by most parties that participate in this structure. 

“The meeting noted the need to resolve the matter within the three months that President Cyril Ramaphosa has allocated.

“After an extensive engagement, the clearing house mechanism agreed on the establishment of a small team to work on the concerns as raised by some parties.” 

The team comprises Deputy Minister Andries Nel; Dr Cornelius Mulder from the Freedom Front Plus; Brett Herron from the GOOD Party; Helen Zille from the Democratic Alliance, and Mdumiseni Ntuli from the African National Congress. 

In September, President Cyril Ramaphosa signed the Bill into law but delayed by three months the implementation of clauses 4 and 5, which deal with school admissions and language, to make room for more discussion and deliberations after it received some opposition.

According to the Deputy President’s Office, the team has since been given two weeks to work and report to the clearing house mechanism. 

“The meeting also agreed on the need to put party-political interests aside and find a solution to benefit all South African people.” 

The GNU clearing house mechanism was established by President Ramaphosa last month to address policy disagreements within the 10-member GNU, led by Deputy President Paul Mashatile, regarding policy agreements and other disputes. – SAnews.gov.za
 

Gabisile
Thu, 10/31/2024 - 13:08

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100 days in office: Advancing the strategic priorities of the GNU

Location: News

100 days in office: Advancing the strategic priorities of the GNU

By Deputy Minister Bernice Swarts

The first 100 days as Deputy Minister of Forestry, Fisheries, and the Environment, under the Government of National Unity (GNU), have been a period of significant learning and action. 

It has allowed me to engage closely with stakeholders in the sector, developing a blueprint to drive the implementation of the GNU's strategic priorities which are to fostering inclusive growth and job creation, reducing poverty and addressing the high cost of living, and building a capable, ethical, and developmental state.

The experience has been invaluable, providing me with a deeper understanding of the department’s mandate, core operations, and both domestic and international context.

Alongside Minister Dr Dion George and fellow Deputy Minister Narend Singh, we recently briefed the media on our progress in the department during this period. 

A key highlight of these 100 days has been the opportunity to engage with staff and various stakeholders, including the forestry sector, traditional leaders, firefighting personnel, community forest owners, young beneficiaries of departmental programs, field rangers from entities such as South African National Parks (SANParks), and industry players like the South African Weather Service (SAWS). These engagements have helped shape a shared vision for the department's future.

We kicked off our 100 days in the office by presenting the department's Budget Vote to Parliament on July 15, 2024. We delivered our department’s budget vote in a month where we celebrated our national unifying figure in the form of uTata Madiba – which seemed to tie in well with our mandate of unifying our people through the Government of National Unity.

In the first 100 days, we have initiated efforts to reengineer and repackage the department’s approach to wildland fire management. This involves building firefighting skills, especially in vulnerable rural communities, with a focus on women and youth. We aim to strengthen stakeholder engagement across both state and non-state actors to better deliver on our critical priorities.

As part of this initiative, I hosted stakeholder engagements with on the National Veld and Forest Fires Act, 1998 (Act No. 101 of 1998). These engagements were hosted with various stakeholders within the wildland fire management sector from both the North West and Free State. Some of the stakeholders who attended these engagements included local and provincial government departments, fire protection associations (FPAs) and other key players in the sector. 

Through these stakeholder engagements, I have instructed the officials to address challenges raised in these interactive engagements such as payment delays for FPAs, challenges on the use of government firefighting vehicles, training of FPA members as well as the clarification of the roles of different stakeholders. I am satisfied with the honest discussions and note the commitment of all parties to find practical solutions.

I have recently led the 2024 Forestry Summit at the Freedom Park in Pretoria. The Summit brought all stakeholders within the forestry sector under one roof to discuss pertinent issues within the sector such as the growth and transformation of the sector, forestry sustainability and the contribution of the sector in addressing climate change.

The Summit was interactive as it provided role players with an opportunity to freely engage with us on the challenges they face in the sector. What was even more fascinating was the involvement of traditional leaders who came from various parts of the country to raise issues their communities were facing. I am pleased with the decision that came out of this frank engagement, which includes plans to go to communities to address issues they have raised.

In the month of September, I had the privilege to lead both the launch and closing ceremonies of the 2024 National Arbor Month campaign. The launch was hosted at Freedom Park in Pretoria and the closing ceremony at Fort Cox Agriculture and Forestry Training Institute in Middledrift, Eastern Cape. A total of 6000 trees were planted in both the localities that hosted these ceremonies.

The Arbor Month campaign is aimed at raising awareness among South Africans about the importance of conserving, protecting, and planting trees for the benefit of both the environment and society.

As part of the Arbor Month launch, I planted the first tree to officially initiate the Forest of Freedom at the designated site at Freedom Park in honour of the heroes and heroines who contributed to South Africa's democracy and liberation struggle. The first 30 trees planted at the Forest of Freedom marks the 30 years of Freedom and Democracy in South Africa. World leaders and other luminaries visiting Freedom Park will get an opportunity to plant a tree in the Forest of Freedom, when it is ready. 

During the Arbor Month, I also took a deliberate decision to heighten the Presidential Ten Million Tree Programme, which is a clarion call by President Cyril Ramaphosa to all sectors of society led by DFFE. As the Deputy Minister of Forestry, Fisheries and the Environment, I am currently driving an ambitious campaign to relaunch the Presidential Ten Million Tree Programme by planting 1 million trees in one day, on a day to be announced soon.

I want to call on all South Africans – the three spheres of Government, forestry sector, private sector, labour, academia, civil society and many others to join this ambitious campaign by pledging and committing to providing and planting trees on that specific day and going forward. 

Trees are important for life. I call on all South Africans to plant trees today and build a better future for generations to come!
On July 31, we celebrated World Ranger Day at Kruger National Park, honoring the dedication of rangers who protect our natural heritage. Their commitment inspires our ongoing conservation efforts.

I also participated in the National Consultative Workshop on Early Warnings for All (EW4ALL), a UN initiative aimed at protecting people from hazardous weather events by 2027. We are committed to developing systems that not only safeguard the economy and infrastructure but also protect the lives and well-being of our people.

The first 100 days have been marked by hard work and significant strides towards delivering the priorities of the GNU. 
I look forward to continuing our work, confident that together we will achieve our shared goals for a prosperous, inclusive, and sustainable South Africa.

*Bernice Swarts is the Deputy Minister of Forestry, Fisheries and the Environment

Janine
Thu, 10/31/2024 - 10:24

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Slow compliance with servicing Eskom debt a risk to debt write-offs

Location: News

Slow compliance with servicing Eskom debt a risk to debt write-offs

National Treasury has warned that municipalities' slow compliance with conditions of the debt relief programme on arrears to Eskom risk delaying debt write-offs.

According to the National Treasury’s document on the Medium-Term Budget Policy Statement (MTBPS), success depends on municipalities maintaining a quarterly revenue collection rate of 85 %, which is below the National Treasury collection norm for local government of 95 %.

“Around 70 of the municipalities that had applied for debt relief have been approved. Between March and August 2024, compliance with relief conditions by municipalities improved from 55% to 76 %, aided by the National Treasury, Provincial Treasuries, and the Municipal Finance Improvement Programme,” Minister of Finance Enoch Godongwana said.

The Minister was delivering the MTBPS in Parliament on Wednesday.

National government is supporting municipalities with debt relief for arrears to Eskom to be written off in equal annual tranches over a three-year period provided they comply with the set conditions.

This programme, operating on rolling 12-month cycles, aims to mitigate fiscal risks by improving compliance with financial management and revenue collection. By combining debt relief and revenue enhancement, it aims to change the nonpayment culture for municipal services and support Eskom’s balance sheet.

“Rand West City is the first municipality to benefit from a one-third debt write-off. This follows its substantial achievement of the debt-relief conditions for the first 12-month cycle.  More municipalities stand to benefit from this write-off of debt if they comply with the conditions of the programme. We implore provincial and national departments owing municipalities to pay their dues.

“This will enable municipalities to pay waterboards and Eskom, so that utilities can deliver these services to citizens,” the Minister said.

Despite these efforts, the financial situation of the top 14 Eskom defaulters remains critical, requiring alternative solutions.

The National Treasury, with stakeholder departments and Eskom, is exploring additional strategies in this regard.

Municipalities have been encouraged to offer relief to indebted customers who pay current bills and transition to smart prepaid metering. 

Eskom’s financial condition

According to the National Treasury, Eskom remains highly dependent on government support through the debt-relief arrangement. 

“The utility has begun to strengthen its performance, with no power cuts since the end of March 2024 and improved profitability. Its most recent financial plan also targets profitability from 2026/27 onwards. However, escalating municipal debt arrears continue to negatively affect its financial performance.

“The debt-relief arrangement granted to Eskom is intended to strengthen its balance sheet, enabling it to restructure and undertake the investment and maintenance needed to support stable electricity supply aligned with national needs,” National Treasury said.

Given Eskom’s failure to dispose of the Eskom Finance Company by 31 March 2024, the National Treasury reduced the debt-relief allocation from R78 billion to R76 billion in 2023/24. 

This allocation was fully disbursed and converted to equity following Eskom’s compliance with all the attached conditions. Eskom’s allocation for 2024/25 will be reduced by R2 billion to R64 billion should it fail to dispose of the Eskom Finance Company by 31 March 2025.

“In April 2024, the Eskom Debt Relief Act (2023) was amended to ensure that the loan granted under the debt-relief arrangement is correctly classified and that market-related interest is charged.

“Additionally, in June 2024 the National Treasury disbursed an R8 billion interest-bearing loan as part of the debt-relief allocation for 2024/25. 

“As of 27 September 2024, Eskom had paid R91 million in interest to the National Treasury for the debt-relief loans. The National Treasury is now working with Eskom to finalise government’s takeover of R70 billion of Eskom’s loan portfolio by 2025/26,” National Treasury said. - SAnews.gov.za

nosihle
Wed, 10/30/2024 - 14:15

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KwaZulu-Natal not a haven for criminals, warns Premier

Location: News

KwaZulu-Natal not a haven for criminals, warns Premier

With the festive season approaching, KwaZulu-Natal Premier Thamsanqa Ntuli has sent a strong warning to criminals that the police will intensify efforts to prevent criminal activities from taking place in the province.

“KwaZulu-Natal is not a haven for criminals and police will do all in their power to curb criminality wherever and whenever it rears its ugly head,” Ntuli said.

Ntuli sent the warning during a crime crackdown in the Durban city centre, which led to the arrest of more than 30 people found without legal documentation to be in South Africa.

In a concerted effort to rid the Durban city centre of crime and criminal elements, Ntuli joined law enforcement authorities in a high-impact operation targeting shops employing undocumented foreign nationals on Tuesday.

The joint raid, led by Ntuli and the provincial Police Commissioner, Nhlanhla Mkhwanazi, included an inspection of foreign-owned spaza shops and establishments suspected of selling counterfeit goods.

The raid highlighted the provincial government’s commitment to making Durban a safer place for residents, business owners, and visitors.

With increased vigilance and coordination between provincial authorities and law enforcement agencies, Ntuli said KwaZulu-Natal aims to ensure that criminal elements are rooted out and that communities feel safe in their own neighbourhoods.

Ntuli affirmed that the operation is just one of many measures to ensure a secure environment for citizens and tourists.

The Premier emphasised the police will intensify their efforts to prevent criminal activities from taking root in the province.

“Our message is clear: criminality will not be tolerated, and we will pursue justice wherever and whenever it is needed,” Ntuli said.

The Premier reiterated that the provincial government, alongside local law enforcement, is committed to maintaining peace and security across the region and reinforcing its zero-tolerance stance on crime.

Restoring safety within communities

Meanwhile, during his visit to the families of four people who tragically lost their lives during a brutal attack in Estcourt, Ntuli emphasised the urgent need for justice and the importance of restoring safety within communities.

Ntuli visited the families on Monday following the attack that claimed the lives of four members of the Mazibuko family, aged 45, 57, 60 and 61. Three victims died at the scene, while two others sustained injuries; and one later succumbed to their injuries.

The incident took place during a traditional celebration at a homestead in Nyezane, where six heavily armed suspects stormed the gathering and opened fire on Sunday afternoon.

According to police reports, the suspects, who wore masks, carried out the assault in a violent and calculated manner, leaving the community in shock and mourning.

In the aftermath of the tragedy, law enforcement authorities launched an intelligence-driven investigation, which led to swift apprehension of a 28-year-old suspect.

The arrest marked a crucial step in the pursuit of justice for the Mazibuko family and the affected community.

During his visit, Ntuli expressed his heartfelt condolences to the grieving families, acknowledging the profound pain caused by such senseless violence.

The Premier pledged his administration’s commitment to tackling violent crime in the province.

“This is a tragic loss, not only for the Mazibuko family but for the entire community. We stand in solidarity with those affected and are determined to see that those responsible for this heinous act are held accountable,” Ntuli said.

He said the KwaZulu-Natal Provincial Government, alongside law enforcement agencies, remains dedicated to supporting the bereaved families and working towards a safer, more secure province for all its citizens. – SAnews.gov.za

GabiK
Wed, 10/30/2024 - 11:59

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Youth Employment and Economic Inclusion essential for SA’s future success

Location: News

Youth Employment and Economic Inclusion essential for SA’s future success

Employment and Labour Deputy Minister, Jomo Sibiya, has underscored the importance of youth employment and economic inclusion as essential elements for South Africa's future success.

The Deputy Minister was delivering a keynote address at the Solutions Exchange Conference held at The Forum in Bryanston, Johannesburg.

Sibiya told the leaders from government, business and civil society that the gathering was testament to the fact that they believe in the potential of the youth to contribute meaningfully to their lives, communities and the South African economy.

The Deputy Minister highlighted the need to provide opportunities for the country's youth to thrive, both economically and socially.

“It is both an honour and a privilege to stand before you at this auspicious occasion, dedicated to finding solutions to one of the greatest challenges that South Africa faces. A challenge that I do not doubt can be overcome together.

“Youth employment and economic inclusion are vital to the success of our country. In young people, we see the potential for the South Africa we want. They are the doctors, lawyers, business people, teachers, and artisans that will ensure the growth and development of our country not just in the short term, but for generations to come,” the Deputy Minister said. 

He emphasised that building a future-proof workforce that is able to innovate and solve the country’s most pressing challenges is not something that should be merely done but a must. 

“A working nation is a peaceful nation, and by supporting the youth of South Africa to access the labour market and contribute meaningfully to our growth and development, we are in fact, ensuring that South Africa enjoys the stability required to prosper, untied,” he said. 

Sibiya pointed out the stark challenges youth face in the job market, where about 60% of young people are either unemployed or not in education or training. 

He highlighted that among South Africans aged 20, the unemployment rate is over 70%, while for those with tertiary education, 25% still struggle to find work. Young women face even greater challenges, with unemployment rates nearly 10% higher than their male counterparts.

“As the Department of Employment and Labour, we understand that the challenge of youth unemployment is complex and multifaceted, and that there are a number of factors that we need to be cognisant of when attempting to address youth unemployment at scale.

“We know that age matters: [the] unemployment rate for 20-year-olds is double that of 40-year-olds (70% vs 35%). This means that we have to get employers across the board to shift mindsets and attitudes towards hiring young people, while supporting youth themselves to gain work experience and the right skills required to be absorbed into the labour market,” the Deputy Minister said. 

The Deputy Minister cited the Presidential Youth Employment Initiative (PYEI) as a central effort to combat youth unemployment. Through collaboration between government, the private sector, and civil society, the PYEI seeks to ease young people's transition from learning to earning by providing job opportunities, skills training, and support for young entrepreneurs.

The initiative’s SA Youth platform, Sibiya noted, has registered over 4.1 million young South Africans, offering a range of opportunities matched geographically to reduce transportation costs and improve accessibility.

The PYEI closely integrates with other interventions coordinated by the Presidency, including Operation Vulindlela which is implementing key structural economic reforms that has unlocked growth and jobs and the Presidential Employment Stimulus (PES) which has delivered over two million jobs and opportunities. Of this, over 80% went to young people, the majority of whom applied through SA Youth.

“Imagine a young person in a rural community, much like the one I grew up in. With the right support, she could transition from being a student in an under-resourced school to leading a team at a major tech company. Her success would create a ripple effect, opening doors for others in her community. This is the transformative power of public-private partnerships,” the Deputy Minister said. 

In addition to the PYEI, Sibiya emphasised the department’s commitment to transformative employment legislation, including the Labour Relations Act and Employment Equity Act, aimed at creating fairer working environments and promoting diversity.

Furthermore, Sibiya underscored the department’s strides in skills development through the Skills Development Act, which has established Sector Education and Training Authorities to help bridge the skills gap.

“At the Department of Employment and Labour, we are dedicated to promoting broad-based black economic transformation, youth development and training, and fostering greater collaboration between the public and private sectors. Our efforts are grounded in the belief that these partnerships are the most effective means to create inclusive growth that benefits all South Africans.

“As we face the complex realities of unemployment and economic inequality, it is crucial that we adopt a multi – sectoral approach,” he said. 

The Deputy Minister reiterated that a collective effort was essential to addressing youth unemployment. 

“Success in the area of youth employment will require collaboration and a shared belief system on how deeply corrosive it is for young people to witness economic activity but be barred by some or another external barrier, from participating in it.”

He said this was why initiatives like the Solutions Exchange were crucial for bringing together diverse, like-minded voices and fostering collective ownership of the challenge. 

“It is the brains trust in this room who are creating the conditions for meaningful, long-term change in our country I look forward to working with all gathered here today, as we commit to transforming the South African employment landscape and restoring the dignity of employment amongst our youth, together,” Sibiya said. – SAnews.gov.za

 

DikelediM
Tue, 10/29/2024 - 15:06

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NLC strategy to be implemented over a six-year period

Location: News

NLC strategy to be implemented over a six-year period

The National Lotteries Commission (NLC) says its organisational turnaround strategy is under way and will be fully implemented over a six-year period. 

The strategy includes modernisation and streamlining processes, stronger oversight mechanisms and built-in fraud prevention.

Addressing the media in Pretoria on Tuesday afternoon, NLC Commissioner Jodi Scholtz said they have been working hard on the strategy.

“We have worked diligently to respond to the frustrations of our stakeholders around the long wait for funding, while ensuring that we build fraud-prevention into our processes, increase the efficiency and enhance the impact of our work through the development of a new grant application and management system,” said Scholtz.

Scholtz announced the readiness of the commission’s reparative measures programme to address harm caused to individuals and communities by previous actions of maladministration and to rehabilitate the identified community infrastructure projects to their intended state.

While the interactions with the affected parties would largely be behind closed doors, she said, a commitment was made to share milestones of the reparative measures publicly, with an emphasis that each community infrastructure project would be addressed based on the Special Investigative Unit (SIU) report, community engagement and other relevant reports.

The SIU was, in terms of Proclamation R32 of 2020, authorised by President Cyril Ramaphosa to investigate allegations of corruption and maladministration in the affairs of NLC and the conduct of NLC officials and to recover any financial losses suffered by the State.

The SIU said in February it had made eight criminal referrals to the National Prosecuting Unit and 11 disciplinary referrals to NLC officials.

The unit said the investigation in its totality is worth approximately R1.4 billion, which the State and the NLC have allegedly lost due to corruption at the organisation.

Grant funding processes

Scholtz touched on continuing enhancements to its grant funding processes aimed at increasing efficiencies and improving the service experience of applicants and grantees.

This was alongside continuing engagements with the Department of Trade, Industry and Competition (the dtic) to facilitate the appointment of additional members for the Distributing Agencies in order to increase the pace of adjudications.

With the Call for Applications for 2024/25 intended to open at the tail end of 2024, the NLC announced the revival of Section 2A(3) of the Lotteries Act following the 2022 moratorium on what was then known as Proactive Funding.

Now renamed Research-Based Funding (RBF), and with a strengthened policy that ensures transparency at all stages that will mitigate the internal control deficiencies that existed under Proactive Funding, the RBF is to be launched with two critical programmes aimed at addressing pressing societal needs in South Africa - food security and primary health care. 

The Eastern Cape province will serve as a pilot province.

Scholtz noted that while the Request for Proposals for the appointment of the Fourth National Lottery Operator was the subject of much interest, engagement with the public and media in that regard would only take place once the process had been concluded in its entirety by Trade, Industry and Competition Minister Parks Tau.

“Our journey to restore trust and achieve operational excellence is just that – a journey and it requires agility. We have started from within, and the team’s dedication to our turnaround has been commendable so far. 

“We know that we have much to do, and notwithstanding the challenges we face, we are committed to achieving what we have set out to do.

“The work is gaining momentum, and we fully intend to maintain it. We are delighted at the determination and positive energy of the team at the NLC,” Scholtz said. – SAnews.gov.za

Edwin
Tue, 10/29/2024 - 15:26

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Call to ensure safety of initiates ahead of initiation season

Location: News

Call to ensure safety of initiates ahead of initiation season

To ensure the integrity of the upcoming customary initiation season in December, the safety and well-being of all initiates must be prioritised, as required by the Customary Initiation Act of 2021.

This is according to the Minister of Cooperative Governance and Traditional Affairs (CoGTA), Velenkosini Hlabisa, who made the remark during a media briefing on South Africa’s preparedness for the upcoming summer season and disaster response.

The Customary Initiation Act established the National Initiation Oversight Committee (NIOC) and Provincial Initiation Coordinating Committees (PIOCs). 

These committees work together with traditional leaders, parents and communities to oversee initiation practices, ensuring they adhere to legal and health standards.

“The Act is a vital tool for eliminating abuse and dangerous practices, aiming to safeguard young initiates through clearly defined norms and safety protocols,” he said at Monday’s briefing.

Initiation is a sacred and respected custom practised as a rite of passage to adulthood. In South Africa, it is observed by various traditional communities, especially in the Eastern Cape.

With the forecast of extreme summer heat, Hlabisa urged that all initiates undergo pre-season health checks, stay hydrated and have access to medical care. 

To further protect the youth, he called on initiation schools to secure parental consent, comply with health guidelines, and register at least three months before each initiation season. 

“We call on all South Africans to work with us and play their part by reporting illegal schools to law enforcement to prevent the exploitation and endangerment of young initiates,” Hlabisa said.

He called on all stakeholders to act responsibly and to ensure the initiates experience this tradition with dignity, safety and respect for cultural heritage.

“While the risks posed by the upcoming summer season are significant, we face them with a solid plan, a unified response, and a deep commitment. 

“The path to resilience is paved with collaboration, preparedness and dedication. Together, we will overcome the challenges ahead and emerge more robust as a nation to face and mitigate climate change effects that we are experiencing.” 

Funding for disasters

Meanwhile, the Minister announced that CoGTA and National Treasury are working together to explore new funding mechanisms, as the country experiences more disaster events.

He said a funding request has been submitted to Treasury to support affected groups and organisations with the reconstruction and rehabilitation of damaged infrastructure.

“We acknowledge the challenges faced by the country in funding disaster interventions, mainly due to increased disaster damages, fiscal deficit and competing priorities.

“The Department of Cooperative Governance and Traditional Affairs is currently engaging National Treasury on other funding mechanisms to ensure sustainability,” he said.

Government is also working around the clock to enhance the weather early warning system, which is core to the State’s preparedness for disaster events. 

“We have strengthened our collaboration with the SAWS [South African Weather Service] to ensure accurate, timely weather warnings reach every corner of our country, especially vulnerable communities,” Hlabisa said.

By providing early information about potential hazards like thunderstorms, flash floods, lightning and heat waves, the Minister said citizens can be empowered to take the necessary precautions and protect their lives and properties. 

READ | CoGTA, Treasury work together on disaster relief funding

“Early warnings and early action are the most effective means of saving lives," he stressed. – SAnews.gov.za

Gabisile
Tue, 10/29/2024 - 09:35

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CoGTA, Treasury work together on disaster relief funding

Location: News

CoGTA, Treasury work together on disaster relief funding

The Department of Cooperative Governance and Traditional Affairs (CoGTA) and National Treasury are working together to explore new funding mechanisms, as the country experiences more disaster events.

On Monday, CoGTA Minister Velenkosini Hlabisa announced that a funding request has been submitted to Treasury to support affected groups and organisations with the reconstruction and rehabilitation of damaged infrastructure.

“We acknowledge the challenges faced by the country in funding disaster interventions, mainly due to increased disaster damages, fiscal deficit and competing priorities.

“The Department of Cooperative Governance and Traditional Affairs is currently engaging National Treasury on other funding mechanisms to ensure sustainability,” the Minister said.

He assured those affected and South Africans generally that government remains committed to partnering with local and national entities to strengthen disaster preparedness and response, and rebuilding communities.

Hlabisa was speaking during a media briefing in Pretoria, where he focused on South Africa’s readiness for the upcoming summer season and disaster preparedness.

He said the Finance Minister will announce a substantial allocation to grants to deal with past disasters, at the municipal and provincial levels, when he tables his Medium-Term Budget Policy Statement on Wednesday.

“... After that, we will give details in as far as the funding that will be available, and how it will be allocated,” said Hlabisa.

The Minister highlighted the devastating floods in the Eastern Cape and KwaZulu-Natal recently, which led to significant displacement and loss of life.

He said relief measures are being implemented, including housing for displaced households and food assistance.

The Minister said communities, infrastructure and the economy face significant threats from natural hazards such as floods, heat waves, wildfires and droughts.

“While the pressing realities of climate change have exacerbated some of these risks, others are unfortunately man-made, stemming from unsustainable practices and inadequate planning. We believe that recognising these risks is the first step towards addressing them comprehensively.”

Hlabisa acknowledged that emerging hazards require attention, and that the National Disaster Management Centre is working around the clock to mitigate the effects.

“Given the continued negative impact of these hazards on the lives of South Africans, we understand that it cannot be business as usual. We understand that we must act decisively to safeguard the wellbeing of all citizens and protect our vulnerable communities.”

The implementation of relief measures is underway in all the affected areas, particularly in the Nelson Mandela Bay Municipality, which is one of the most affected.

These relief measures, Hlabisa said, are a collaborative effort by organs of the State, the private sector, and non-governmental organisations. The measures include housing of displaced households in temporary evacuation facilities, providing hot meals, food parcels, blankets and mattresses, as well as psychosocial support to the affected.

In addition, the Minister said assessments are underway to establish the extent of the damage and required interventions.

CoGTA has been working tirelessly with disaster management structures, including the Provincial Disaster Management Centre, to coordinate the response efforts to the recent heavy rains.

“We are also working closely with municipalities, the provincial government and other stakeholders to ensure that affected communities receive the necessary support, including food, shelter, and other essential services. 

"The department will continue to monitor the situation and support affected communities.” – SAnews.gov.za

Gabisile
Mon, 10/28/2024 - 13:55

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