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You are here: Home / Archives for Video

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31 October 2024

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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Read more100 days in office: Advancing the strategic priorities of the GNU
31 October 2024

DPWI to accelerate EPWP work opportunities

Location: News

DPWI to accelerate EPWP work opportunities

The Department of Public Works and Infrastructure says it will accelerate the implementation of the Expanded Public Works Programme (EPWP) to meet the set target of millions of work opportunities.

This was said by Deputy Minister Sihle Zikalala during a Portfolio Committee meeting on Wednesday.

The implementation of the EPWP Phase V will focus on key service delivery interventions such as the restoration of the dignity of the indigent through vocational and Further Education and Training skills development and certification.

The department said the programme would be intensified to create job opportunities for the youth, women and rural poor communities, who bear the brunt of low economic growth and unemployment.

The department launched Phase V of the EPWP in April this year. Phase V covers the period from 2024 to 2029 and aims to create five million job opportunities. The department is enhancing the EPWP to make an impact and ensure effective exit plan. 

President Cyril Ramaphosa officiated over the celebration of 20 years of the programme in the Eastern Cape in April.

At the time, the Presidency said the EPWP was a nationwide government programme to create work opportunities and income support to poor and unemployed people through the delivery of public and community assets and services, thereby contributing towards development.

READ | President Ramaphosa sets sights on five million EPWP jobs in next five years

The improvement of data collection, verification, and recording of employment opportunities per EPWP sector will be important, said the Deputy Minister.

“Hence some of the sectors of focus in phase V will be waste management with recycling being the focal point, road paving, potholes patching and maintenance of public facilities," Zikalala said.

He emphasised the need to ensure collaboration between all spheres of government and the private sector. 

“The private sector can add value through their social corporate investment to augment a programme and projects like waste removal into recycling, which could in turn ensure environmental preservation,” he said.

In his closing remarks, Zikalala indicated that EPWP is needed in the country as a key job creation driver as it plays an important role in poverty alleviation, skills development, clearing of service backlog and the reduction of high unemployment rates. – SAnews.gov.za

Edwin
Thu, 10/31/2024 - 09:18

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31 October 2024

Treasury optimistic about economic outlook

Location: News

Treasury optimistic about economic outlook

National Treasury expects improved growth prospects for the South African economy, despite slowing projected growth of some 1.1% in 2024 – down from the projected 1.3% earlier this year.

Real Gross Domestic Product (GDP) growth is projected to improve at some 1.1% in 2024, up from the 0.7% in 2023.

In its Medium-Term Budget Policy Statement (MTBPS), National Treasury said economic growth was being “weighed down by stop-start economic growth and stubborn inflation in the first half of the year”.

“The economy has since strengthened in response to the suspension of power cuts since March 2024, improved confidence following the formation of the Government of National Unity in June, better than expected inflation outcomes in recent months and reduced borrowing costs. All these factors are expected to continue supporting the economy over the period ahead.

“The pace of [GDP] growth is still being limited by persistent – though gradually easing – constraints, particularly in logistics infrastructure. Faster growth depends largely on maintaining macroeconomic stability, the continued implementation of structural economic reforms, improving State capabilities and supporting higher infrastructure investment,” the MTBPS stated.

Treasury explained that although risks persist, global risks are “weighted to the downside, while risks to the domestic outlook appear more balanced compared with the 2024 Budget Review assessment”.

“Global growth may weaken due to financial market volatility, tightening conditions for developing economies, slower disinflation from rising commodity prices and a prolonged contraction in China’s property sector. On the domestic front, food prices are vulnerable to weather-related shocks and logistical challenges. 

“Positive domestic risks include the possibility of a quicker pace of disinflation and interest rate reductions than assumed in the baseline forecast, which would boost demand. Stable electricity supply and faster progress on reforms could boost business and consumer confidence,” Treasury said.

The department warned, however, that fiscal risks “remain significant though somewhat more balanced than a year ago” and that the materialisation of these risks could be a threat to “fiscal projections, with negative consequences for investment and economic growth”.

“Despite the downward revision to growth for the current year, there is cautious optimism for the medium-term outlook as the early benefits of reform implementation continue to materialise. 

“The stabilisation of electricity supply has improved the overall investment climate. This positive momentum will be sustained by a new phase of Operation Vulindlela, which aims to accelerate structural reforms implementation. 

“To support these efforts, it will be essential to maintain clear and stable macroeconomic policies while strengthening state capability and supporting investment in growth-enhancing public infrastructure,” the MTBPS stated.

Global outlook

On the international front, global growth is projected to slow marginally from 3.3% in 2023 to 3.2% in 2024 and 2025.

“Slowing inflation has opened the way for major central banks to ease monetary policy. Lower interest rates and strong investment in technology, particularly in emerging Asia, are expected to support growth,” Treasury said.

The department added that overall risks to growth are “to the downside”.

“Fiscal policy has begun to contract in some countries, in part to manage the rapid increase in sovereign debt levels since the COVID-19 pandemic, and some countries are in debt distress.

“Persistent geopolitical tensions continue to flare, with potentially far-reaching effects on global trade, and the threat of escalating conflict in the Middle East remains a concern. The years-long downturn in China’s property sector, notwithstanding new stimulus support, could continue to weaken Chinese growth,” the MTBPS stated.

Economic growth in advanced economies is forecast to reach some 1.8% in the same period with growth in emerging and developing economies – including South Africa’s BRICS partners – projected at 4.2%.

In Sub-Saharan Africa, this is projected at 3.6% in 2024 and 4.2% in 2025.

“Global equity prices have risen as inflation decelerates, accompanied by interest rate cuts that are expected to continue into 2025. Further declines in bond yields are consequently anticipated, creating a favourable environment for emerging market assets. 

“Declining production and shipping of commodities, particularly oil, has dampened the outlook for some emerging and developing economies, including in Sub-Saharan Africa. Oil prices are anticipated to fall slightly in 2024, given weak global demand, despite production cuts agreed by major producers. 

“Global food prices are also projected to fall, supported by record-high grain production, reducing inflationary pressures,” the MTBPS explained. – SAnews.gov.za

Matona
Thu, 10/31/2024 - 05:44

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Read moreTreasury optimistic about economic outlook
30 October 2024

Government assigns funding for G20 Summit

Location: News

Government assigns funding for G20 Summit

With South Africa assuming the G20 Presidency later this year, government will assign additional funding to those departments that will be involved in the preparations.

“This is a rare opportunity that only comes around every 20 years. We intend to use our voice to promote a truly Africa-focused agenda,” Finance Minister Enoch Godongwana said on Wednesday in Parliament when tabling the Medium-Term Budget Policy Statement (MTBPS).

South Africa will hold the G20 Presidency from 1 December 2024 to 30 November 2025.

The G20 brings together the countries with the largest economies in the world. The Member States meet annually to discuss economic, political and social initiatives.

“Various government departments and institutions will be involved, with National Treasury and the Reserve Bank leading the finance track, and the Department of International Relations and Cooperation leading the Sherpa track.

“Examples of key topics already selected include accelerating human capital development in the context of artificial intelligence, migration, technology, education and skills gaps; strengthening multilateral development banks to support the development of poorer countries, and financing climate-resilient infrastructure. 

"These and other priorities will anchor South Africa’s contribution to the global policy agenda,” the National Treasury’s document on the 2024 MTBPS said.

South Africa will assume the presidency of the G20 from Brazil. It will be held under the theme: “Solidarity, Equality and Sustainable Development”.

“Our presidency is the fourth consecutive one where an emerging economy will lead the forum that influences global economic issues,” the Minister said. - SAnews.gov.za

nosihle
Wed, 10/30/2024 - 13:28

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30 October 2024

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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Read moreSlow compliance with servicing Eskom debt a risk to debt write-offs
30 October 2024

Government looks into insurance for climate-related disaster events

Location: News

Government looks into insurance for climate-related disaster events

Government is exploring options for purchasing insurance for certain climate-related disaster events, where such a practice would not undermine budget sustainability.

Tabling the 2024 Medium-Term Budget Policy Statement (MTBPS) in Parliament, Finance Minister Enoch Godongwana said climate-related disasters have intensified, damaging infrastructure and disrupting life.

“The increasing frequency and intensity of climate disasters is costly, and we must proactively work to reduce their impact on the fiscus and on society,” the Minister said on Wednesday.

National Treasury’s document on the 2024 MTBPS indicated that methods previously developed by the public and private sectors to manage disaster response and recovery are becoming unrealistic in terms of their costs.

“National Treasury is undertaking a detailed analysis of the experience of local governments regarding their access to emergency financing and their ability to disburse it.

“This analysis will help us better understand their capacity to manage a multi-layered, disaster risk finance approach.

“It will look into the willingness of municipalities to independently manage their financial response to disasters, existing incentives to invest in readiness, and their ability to set aside sufficient funds for their response,” the Minister said.

He said the recommendations of the disaster risk financing strategy will be implemented from 2025 to improve readiness and response time.

Rebuilding and rehabilitation of infrastructure damaged by floods

The 2024 Adjustments Budget includes unforeseeable and unavoidable adjustments dedicated to support the rebuilding and rehabilitation of infrastructure damaged by floods across multiple municipalities and provinces.

“Provincial allocations include an additional R948 million for infrastructure reconstruction in the Western Cape due to flood damage, with funds allocated to the provincial roads’ maintenance grant, the health facility revitalisation grant, the comprehensive agricultural support programme grant and the education infrastructure grant. 

“Additionally, R35.7 million is rolled over for the school infrastructure backlogs grant in the Eastern Cape, and R251 million is added in the education infrastructure grant for the Western Cape Rapid School Build Programme through the Budget Facility for Infrastructure,” National Treasury said.

Local government allocations include R684 million for the municipal disaster recovery grant to repair flood-damaged infrastructure across several provinces, with specific amounts allocated to Eastern Cape, Free State, KwaZulu-Natal, Limpopo and Mpumalanga municipalities. - SAnews.gov.za
 

nosihle
Wed, 10/30/2024 - 14:19

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Read moreGovernment looks into insurance for climate-related disaster events
30 October 2024

Government to establish unit to deal with money laundering

Location: News

Government to establish unit to deal with money laundering

As part of efforts to exit the Financial Action Task Force (FATF) grey list, government will establish a shared forensic capability within the Financial Intelligence Centre to strengthen efforts to exit the grey list.

“From the 2025 Medium‐Term Expenditure Framework (MTEF) period onwards, funding will be reprioritised within the function to departments and entities to establish a shared forensic capability within the Financial Intelligence Centre,” National Treasury’s document on the 2024 Medium Term Budget Policy Statement (MTBPS) said.

This will strengthen efforts to combat money laundering and the financing of terrorism and secure South Africa’s removal from the grey list.

Tabling the MTBPS in Parliament on Wednesday, Minister of Finance Enoch Godongwana noted that South Africa recently received a positive review from the FATF.

South Africa is now deemed to have largely addressed 16 of the 22 action items in its Action Plan to exit the grey list.

“This is a remarkable achievement, brought about by the unprecedented cooperation between state departments, as well as with civil society.

“FATF lauded South Africa for improving how it dealt with issues of Anti-Money Laundering and Countering the Financing of Terrorism. This leaves us with only six outstanding action items to be addressed for the last scheduled reporting cycle in February 2025,” the Minister said.

The FATF is the international standard-setting body that oversees global compliance with anti-money laundering rules.

READ | SA records progress in exiting grey list

The FATF grey list refers to the FATF’s practice of publicly identifying countries with strategic AML/CFT deficiencies. The FATF maintains two such lists with one being jurisdictions under “increased monitoring” that are actively working with the FATF to address strategic deficiencies in their regimes” and secondly “high-risk jurisdictions subject to a call for action” that are not actively engaging with the FATF to address these deficiencies. -SAnews.gov.za
 

 

nosihle
Wed, 10/30/2024 - 14:24

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Read moreGovernment to establish unit to deal with money laundering
30 October 2024

Government anchors economic growth strategy on four key areas

Location: News

Government anchors economic growth strategy on four key areas

Over the medium term, government will anchor its economic growth strategy on four key areas in order to support inclusive growth.

This as Finance Minister Enoch Godongwana announced in the Medium Term Budget Policy Statement (MTBPS) speech that economic growth projections have been revised down from 1.3% to 1.1%.

Godongwana delivered the MTBPS speech in Parliament on Wednesday.

“[Our] fiscal strategy sets to out to achieve the fiscal sustainability needed to support inclusive economic growth.

“It carefully weighs competing demands, making the necessary trade-offs between what is most urgent and what must wait given the fiscal constraints. The strategy also supports critical social services and addresses the significant fiscal and economic risks that lie ahead,” he said.

The four key pillars are:

  • Maintaining macroeconomic stability
  • Implementing structural reforms
  • Building state capability
  • Supporting growth-enhancing public infrastructure investment.

“Pillar one is about a stable, transparent and predictable macroeconomic framework that creates a conducive environment for businesses and households to save, spend, invest and grow.

“The National Treasury has the responsibility for oversight and implementation of the macroeconomic policy framework. Anchoring inflation expectations is important for our macroeconomic policy framework, and this what the Reserve Bank is responsible for.

“To strengthen this framework, we continue to work on assessing the suitability of monetary policy targets, and to improve the levers of macroeconomic policy coordination,” Minister Godongwana said.

The second pillar is aimed at the implementation of structural reforms and accelerating Operation Vulindlela.

“These will continue to strengthen the economy to be more productive and internationally competitive, accelerate inclusive economic growth and foster much-needed job creation.

“The first phase of Operation Vulindlela provides tangible evidence that structural reforms can reduce economic bottlenecks. It also demonstrates that government can collaborate effectively with business for the collective good,” he said.

In terms of supporting growth-enhancing infrastructure, Godongwana said this is about “effective infrastructure investment, to boost economic activity and enable higher growth over the medium term”.

“In this regard, we are implementing reforms that will create conditions to attract greater private sector participation. The reforms include mobilising significant private sector financing and technical expertise to augment the limited public sector capacity and capability.

“We are amending the PPP [Public Private Partnership] regulations to simplify requirements for undertaking these projects. The amended Treasury Regulation 16 will be published before the end of November for implementation in 2025/26. The Municipal PPP Regulations 309 will be finalised by June next year.

“We are establishing dedicated capacity to plan, prepare and design programmes that will generate a credible pipeline of projects that can be taken to the market,” he said.

Pillar four, according to the Minister, seeks to “build a capable state that delivers a reasonable and reliable standard of public service that will foster the necessary environment for more growth and jobs”.

“For this reason, additional funding is proposed for Parliament and the Office of the Chief Justice, mostly to enhance operational capacity in the running of these important institutions. With the Local Government Elections due in 2026, funds have been set for the Independent Electoral Commission to conduct smooth elections. 

“Additional funding for the South African Revenue Service is proposed. This is to help the organisation build on its successes by driving programmes to enhance the efficiency of revenue collection, whilst enhancing compliance and facilitating legitimate trade,” he said. – SAnews.gov.za

NeoB
Wed, 10/30/2024 - 14:41

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Read moreGovernment anchors economic growth strategy on four key areas
30 October 2024

Government to launch next phase of Operation Vulindlela

Location: News

Government to launch next phase of Operation Vulindlela

Government is expected to launch the next phase of Operation Vulindlela, which is aimed at accelerating the implementation of structural reforms.

This is according to the Medium-Term Budget Policy Statement (MTBPS) released by National Treasury on Wednesday.

Treasury explained that the country’s economic growth prospects are closely tied to Operation Vulindlela and structural reforms to “improve competitiveness and productivity and boost investment”.

“In its first phase, this initiative implemented 35 reform actions in five network industries, including reducing power cuts, improving the performance of the logistics system, lowering data costs, improving water supply and enabling the country to attract critical skills.

“The next phase of reforms will support higher medium-term growth, which is required to significantly expand employment. New initiatives aim to reverse local government decline, tackle spatial inequality and advance digital government to improve large-scale service delivery,” National Treasury said.

Operation Vulindlela is a joint initiative of the Presidency and National Treasury to accelerate the implementation of structural reforms and support economic recovery.

Government has set its focus on Eskom’s restructuring as a priority and to establish a bustling energy market, with adequate supply for a growing economy.

“The cumulative effects of reforms include improved power station performance and no ‘load shedding’ since 26 March 2024. The Electricity Regulation Amendment Bill was signed into law in August of this year. 

“This, together with the creation of the National Transmission Company of South Africa, which began operating on 1 July 2024, is establishing rules and procedures for a competitive electricity market. 

“The ongoing Energy Action Plan has boosted efforts to restore energy availability and procure new generation. By end-August 2024, project registrations with South Africa’s energy regulator exceeded 8500 megawatts,” the MTBPS stated.

The critical sector of freight rail logistics is also receiving attention.

“Transport reforms that open the freight rail network to private operators will reduce inefficiencies and costs, helping firms offer lower prices and boosting economic growth. To this end, the Economic Regulation of Transport Bill – enabling private-sector use of the rail network – was signed into law in June 2024. 

“Transnet freight volumes grew from 149.5 million tonnes at the end of the previous financial year to approximately 151.7 million tonnes by end-March 2024, supported by the implementation of a recovery plan from October 2023 and reversing a years-long decline. Port cargo handled has stabilised relative to 2023 levels,” National Treasury stated.

Treasury emphasised that reforms in the water sector are critical for economic growth and water security.

“The National Water Resources Infrastructure Agency Bill, signed on 27 August 2024, creates an independent agency to oversee bulk water resources. The Water Services Amendment Bill, allowing for intervention in failing municipalities, has received public comment and will soon be submitted to Cabinet for approval,” Treasury said.

Reforms in that sector target supply and infrastructure challenges.

“Water sector reforms being prioritised by Operation Vulindlela include independent regulation, strengthening local water services by licensing water service providers, legal proceedings on non-compliance by municipalities and trading services reforms. 

“Trading services reforms refer to governance, institutional, management and financial reforms to improve essential services, enabled by a new performance-based grant. The National Treasury is also working closely with the Water Partnerships Office to identify opportunities for private sector participation, such as non-revenue water projects. Non-revenue water refers to the revenue lost from leaking water infrastructure.

Elsewhere, the visa system has been reformed by the Department of Home Affairs to attract skills and boost tourism while the rollout of 5G infrastructure has tapered data costs, expanded connectivity and improved access to network services. – SAnews.gov.za

NeoB
Wed, 10/30/2024 - 14:46

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30 October 2024

SA must manage debt better, says Godongwana

Location: News

SA must manage debt better, says Godongwana

Finance Minister Enoch Godongwana has told Parliament that in order for government to achieve its goals of, amongst others, inclusive growth and reducing unemployment, the country must better manage its debt.

He was delivering the Medium-Term Budget Policy Statement (MTBPS), in which he revealed that government debt is anticipated to exceed R6.05 trillion, or 75.5 % of gross domestic product (GDP), in 2025/26.

“Debt has risen too fast and is too high. We know that our debt is unsustainable, because debt-service costs have become the largest component of our spending, and it is rising faster than economic growth. Debt-service costs will reach R388.9 billion in the current financial year.

“Put differently, this means for every one Rand of revenue that government raises this year, 22 cents of this is paid in debt-service costs,” he said.

Godongwana said to deal with this, government has taken “difficult steps to reduce the budget deficit”.

Over the medium term, the main budget deficit is expected to fall from 4.7% of GDP in 2024/25 to some 3.4% in 2027/28.

The primary budget surplus is expected to rise to 1.8% of GDP.

“We have restrained spending and maintained stable tax collection. As a result of our measures, government achieved a primary budget surplus in 2023/24, for the first time in 15 years. As I said earlier, the surplus is needed for us to stabilise debt.

“The primary surplus is not a pot of money. Rather, it is the difference between what government spends, excluding debt-service costs and what government collects in revenue.

“The primary surplus will be sufficient for debt to stabilise at 75.5 % in 2025/26. Debt will then decline over the rest of this decade. The key impact of this is that debt service costs will also stabilise and begin to decline over the next few years,” Godongwana said. – SAnews.gov.za

NeoB
Wed, 10/30/2024 - 19:03

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30 October 2024

Government non-interest expenditure expected to increase

Location: News

Government non-interest expenditure expected to increase

Finance Minister Enoch Godongwana says government non-interest expenditure is expected to increase in 2024/25. 

He was delivering the Medium-Term Budget Policy (MTBPS) statement speech in Parliament on Wednesday.

The increase is mainly attributed to:

  • Rollovers from the previous financial year, to the value of R2.1 billion.
  • R2.7 billion expenditure that was announced at the time of the main budget, mainly for the COVID-19 Social Relief of Distress Grant.
  • Unforeseeable and unavoidable expenditure of R2.1 billion, mainly for disaster relief.
  • A special appropriation bill that mostly covers the South African National Roads Agency SOC Ltd (SANRAL) obligations related to phase 1 of the Gauteng Freeway Improvement Programme (GFIP). A large part of this appropriation is made possible by the Gauteng Provincial Government honouring its R3.8 billion contribution to the debt this year.

“Our most immediate spending pressures will be addressed, despite the weaker revenue,” Godongwana said.

In the expanded MTBPS, National Treasury said the increases are partially offset by “declared unspent funds, projected underspending, contingency reserve drawdowns and provisional allocations not assigned to votes”.

“Relative to the 2024 Budget, debt-service costs are revised up by R6.7 billion,” said Treasury.

Looking further ahead, over the next two years, the main budget non-interest expenditure is expected to grow by a net of R32.4 billion, including the proposed increases:

  • R11 billion to implement early retirement measures over 2025/26 and 2026/27 to manage the public service wage bill.
  • R3.2 billion for the contribution from national government to the repayment of SANRAL GFIP debt in 2025/26.
  • R10.1 billion for the provincial portion of SANRAL debt repayment relating to the GFIP and the maintenance backlog, which will be transferred to SANRAL. This amount will be paid to National Revenue Fund by Gauteng Province.
  • R3.5 billion for carry-through costs for the deployment of South African National Defence Force (SANDF) troops in the Democratic Republic of the Congo.

“Compared with the 2024 Budget, the expenditure ceiling has increased by R16.8 billion per year in 2025/26 and 2026/27. Most of this increase is due to a repayment of SANRAL debt relating to the GFIP and early retirement costs,” Treasury said.

Relating to the public sector wage bill, government is expected to propose a reignition of its early retirement programme.

This, as National Treasury attempts to further reel in the wage bill.

“Over the past decade, the wage bill has decreased as a share of consolidated spending, falling from 35.7% in 2013/14 to 32.1% in 2023/24. By 2027/28, the wage bill is projected to decrease to 31.4% of consolidated spending.

“To further contain public service wage costs, government is proposing to reactivate early retirement without penalties. To support this initiative, an additional R11 billion will be allocated over the next two fiscal years. Details will be set out in the 2025 Budget,” the MTBPS said.

Furthermore, National Treasury said negotiations for the 2025/26 wage agreement have commenced and are “expected to conclude by the time of the 2025 Budget”.

“Government is committed to a fair and respectful collective bargaining and negotiation process in determining remuneration levels and conditions of service, while meeting its constitutional obligation to respect the budget process and deliver responsible and affordable fiscal policy,” National Treasury said. – SAnews.gov.za

NeoB
Wed, 10/30/2024 - 14:47

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30 October 2024

Reforms to attract infrastructure investment

Location: News

Reforms to attract infrastructure investment

Minister of Finance Enoch Godongwana has announced reforms that will create conditions to attract greater infrastructure investment by private sector participation.

“Collectively, the infrastructure reforms will strengthen planning, appraisal, contracting, financing, and monitoring and evaluation. The outcome will be faster delivery of infrastructure that supports economic growth, the expansion of access to basic services and boosting job creation,” Godongwana said on Wednesday.

Tabling the 2024 Medium Term Budget Policy Statement (MTBPS) in Parliament, the Minister said one of the strategies aimed at lifting the economy to higher and towards a more inclusive growth path is supporting growth enhancing infrastructure.

“Pillar three is about effective infrastructure investment, to boost economic activity and enable higher growth over the medium term. In this regard, we are implementing reforms that will create conditions to attract greater private sector participation,” Godongwana said.

The reforms include:
• Mobilising significant private sector financing and technical expertise to augment the limited public sector capacity and capability.
• We are amending the PPP regulations to simplify requirements for undertaking these projects.
• The amended Treasury Regulation 16 will be published before the end of November for implementation in 2025/26. The Municipal PPP Regulations 309 will be finalised by June next year.

“We are establishing dedicated capacity to plan, prepare and design programmes that will generate a credible pipeline of projects that can be taken to the market.

“The Department of Water and Sanitation’s Water Partnerships Office has two priority programmes for non-revenue water and recycling wastewater that require private investments.

“Similarly, the Department of Transport, Transnet and the Passenger Rail Agency of South Africa are finalising a list of priority projects that will be issued to the market in 2025/26,” the Minister said.

The resolution of the Gauteng Freeway Improvement Project has unlocked a project pipeline to the value of R85 billion for the non-toll network over the next three years.

The Minister said government is improving the capital budgeting process.

The Budget Facility for Infrastructure is being reconfigured into a centralized gateway for all large infrastructure projects that require fiscal support to advance.

From 2025, the facility will have a continuous evaluation process instead of one window per annum. The National Treasury will, in January 2025, publish a circular to guide the submission of proposals.

“Lastly, government is making a concerted effort to increase the pool of funders to diversify public infrastructure financing through new mechanisms and instruments,” the Minister said.

These include build-operate-transfer (BOT) structures and other concessions.

“We are developing a blended finance risk-sharing platform that includes a credit guarantee vehicle that will help de-risk public-sector projects while reducing government’s contingent liabilities. Fiscal support is proposed for the projects evaluated in the 2024 BFI window,” the Minister said.

This includes, but is not limited to: two hospital projects, including a district hospital in Limpopo; landside capacity expansions at the Cape Town Container Terminal; capacity upgrades on the rail network from Watloo to Gqeberha; rehabilitation of water infrastructure in eThekwini; and Student housing accommodation at six higher education institutions.

“A request for proposals will be issued this year for funders who are interested in supporting these projects, as well as projects for urban rail revitalisation, disaster relief and metropolitan trading services. Funding for these will be separated from broader sovereign borrowing and be accounted for separately,” the Minister said. - SAnews.gov.za

nosihle
Wed, 10/30/2024 - 14:49

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30 October 2024

Revenue from tax collection to be lower than expected

Location: News

Revenue from tax collection to be lower than expected

Revenue from tax collection in 2024/25 is expected to be down by R22.3 billion from National Treasury’s estimations made in February this year.

This according to Finance Minister Enoch Godongwana who delivered the Medium Term Budget Policy Statement (MTBPS) speech in Parliament on Wednesday.

“Over the next two years, the main budget revenue estimate has also been lowered by R31.2 billion. In the absence of faster growth and in the face of external risks, tax revenue will remain under pressure, forcing us to make difficult decisions on where to spend.

“Lower revenue also means that we cannot, within the envelope, accommodate all of the demands on the fiscus. Difficult trade-offs, in all spheres of government, will have to be made.

“By sticking to our debt-reducing strategy and confronting these trade-offs, we can create the necessary conditions for a fast-growing economy that facilitates employment,” he said.

In the expanded MTBPS, National Treasury said it projects that SARS will collect some R2.3 trillion in tax by 2027/28.

“The tax-to-GDP [gross domestic product] ratio remains resilient and tax collections are expected to remain buoyant over the medium term. Tax revenues are projected to increase to R2.3 trillion, or 24.8% of GDP by 2027/28. Tax buoyancy increases to average 1.08 over the medium term, up from 0.95 in the current year,” the MTBPs stated.

Despite this, revenue collection is expected to decrease over the next few years.

“However, compared with the estimates set out in the 2024 Budget Review, which reflected a high level of energy imports, gross revenue collection is projected to fall short by R41.4 billion in 2025/26 and 2026/27. Improved tax revenues will require more sustainable economic growth and further gains in tax compliance and tax administration,” Treasury said.

Due to improved profitability outlook, the department said it expects corporate tax collections to rise over the next few years.

“However, slower renewable energy related imports associated with stabilising power supply have weakened import growth, resulting in lower import VAT collections. 

“Together with continued strong growth in VAT refund payments, net VAT collections are projected to fall short of 2024 Budget estimates. Under-collections in fuel levy receipts relative to 2024 Budget estimates flow through to the outer years,” the MTBPS said. – SAnews.gov.za

NeoB
Wed, 10/30/2024 - 14:49

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30 October 2024

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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30 October 2024

SANDF and Russian Aerospace Forces strengthen ties

Location: News

SANDF and Russian Aerospace Forces strengthen ties

South Africa is hosting Russia’s Aerospace Forces to strengthen ties between the two nations.

“The South African National Defence Force through the South African Air Force welcomes the Aerospace Forces of the Russian Federation on their goodwill visit to the Republic of South Africa,” the South African National Defence Force (SANDF) said in a statement on Tuesday.

The Russian air arsenal arrived at the Air Force Base Waterkloof in Pretoria on Tuesday and will remain in the country until Friday, 01 November 2024.

This visit is part of a demonstration of defence cooperation aimed at strengthening military-to-military relations, particularly with the South African Air Force (SAAF).

The two countries are also expected to host bilateral seminars of both technical staff where officials deliberate on combat planning and the planning philosophy as well as search and rescue matters.

The SANDF stated that the visit aims to reaffirm the diplomatic ties between the two countries’ military organisations and is founded on strong historical connections that date back to 1992.

This led to the Ministries of Defence of both countries penning an agreement in 1995 that the joint unit of Russia’s Aerospace Forces will from time-to-time visit South Africa.

“The SANDF will emerge as big heirs of this visit which sets a platform for the SAAF to gain knowledge and exposure to the large military air assets including the IL-62, AN-124, and Tupolev Tu-160 ‘Blackjack’ bombers which are the first to ever land on the African continent.

“This is part of the South African National Defence Force’s broader military-to-military partnership framework with several other defence forces across the globe,” the SANDF explained. – SAnews.gov.za
 

Gabisile
Wed, 10/30/2024 - 10:04

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30 October 2024

Minister of Finance to table MTBPS

Location: News

Minister of Finance to table MTBPS

Minister of Finance Enoch Godongwana will today present the 2024 Medium Term Budget Policy Statement (“2024 MTBPS”) to Parliament.

“The MTBPS is a critical element in the overall budget process, as it sets out the policy framework for the budget presented every February. It also provides the country and its elected representatives with an update on the National Treasury’s economic forecasts, adjusts the budgets of government departments, and makes emergency changes to spending,” Parliament said in a statement.

The MTBPS allows Parliament and the public to interact with the government’s budget through committee oversight over government departments when committees review the effective and efficient use of available resources. 

The MTBPS is preceded by the Budget Review and Recommendations Reports, which must be tabled in the National Assembly before the MTBPS reports are adopted. 

“At the same National Assembly (NA) sitting, the Minister is also scheduled to table the Adjustments Appropriation Bill, the Rates and Monetary Amounts and Amendment of Revenue Laws Bill, the Taxation Laws Amendment Bill, the Division of Revenue Amendment Bill, and the Tax Administration Laws Amendment Bill,” Parliament said.

Members of the public may get involved and follow parliamentary sittings live on Parliament TV (DSTV Channel 408) or on Parliament’s YouTube channel and on Parliament’s X-page (https://twitter.com/ParliamentofRSA).

The Minister will table the MTBPS in the NA at 14h00. -SAnews.gov.za

nosihle
Tue, 10/29/2024 - 15:11

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30 October 2024

Pledge to improve working conditions in the construction sector

Location: News

Pledge to improve working conditions in the construction sector

A nationwide pledge aimed at creating safer, healthier working environments for those working in the construction sector is set to be signed this week.

The Department of Employment and Labour said the Decent Work in Construction Pledge will be signed at roadshows in Cape Town on Wednesday and in George on Friday.

Wednesday’s roadshow will take place at the Aspired Country Manor in Philippi and Friday’s roadshow will take place at the Protea Hotel King George.

“Each roadshow stop will feature informative presentations, interactive sessions, and the opportunity to sign the Decent Work in Construction Pledge.”

The department and its partners, including the International Labour Organization (ILO), the Federated Employers Mutual Assurance Company (FEM) and the Compensation Fund (CF), have united to support labour rights and ethical business practices in the construction sector.

The partnership focuses on advancing labour rights, eliminating exploitative practices and enhancing productivity in a sector that is vital to the country's economic growth. The recently signed Construction Health and Safety Accord plays a vital role in advancing the decent work agenda in the sector. 

This agreement between government, organised labour and organised business aims to create safer, healthier working environments. 

It also promotes collaboration among all parties to prioritise workers' safety while enhancing business efficiency.

“The construction sector is one of the largest employers in South Africa, generating thousands of jobs annually. However, it is also an industry where decent work challenges, such as safety risks, informal labour practices and wage exploitation, are prevalent,” the department said.

“The objective of this initiative is to change this narrative by promoting fair, compliant, and fulfilling work conditions for construction workers, while simultaneously boosting productivity for businesses.

“Decent Work advocates for employment that respects the dignity, safety, and rights of all workers. It defines decent work in the construction sector as employment that is fulfilling, compliant with regulations, and free from exploitation,” the department explained.

Establishing a foundation for meaningful transformation within the construction sector, the Decent Work in Construction campaign promotes:

  • Advocacy efforts aimed at raising awareness among employers, workers, and the public about the importance of decent work. This includes ensuring all stakeholders understand their rights and responsibilities in creating fair and productive workplaces.
  • Regular workplace inspections to ensure compliance with labour standards and health and safety regulations. There will be an increase in inspections within the industry to ensure companies adhere to legal requirements, safeguarding workers' rights and well-being.
  • Strict enforcement of labour laws, with DEL and its social partners holding violators accountable and ensuring corrective actions are swiftly implemented. This will deter exploitative practices and encourage ethical business conduct.
  • Capacity building through regular training programmes, workshops, and other resources to empower both employers and workers. Businesses will improve compliance and productivity, while workers will gain skills for personal development and job security. 

“By signing, businesses and individuals commit to promoting fair, safe, and compliant working conditions. Workers and the public are also urged to report any instances of exploitation, non-compliance, or unsafe conditions to their nearest labour centre,” the department said. 

These reports will help identify and address unfair practices, ensuring workers' rights are upheld.

The department said the benefits of decent work extend beyond individual workers, helping businesses thrive, reducing turnover, and enhancing overall industry productivity. – SAnews.gov.za

 

 

Edwin
Tue, 10/29/2024 - 10:07

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29 October 2024

Ukraine visa agreement still undergoing diplomatic processes

Location: News

Ukraine visa agreement still undergoing diplomatic processes

International Relations and Cooperation Minister, Ronald Lamola, has confirmed that the long-awaited visa waiver for Ukrainian holders of diplomatic and official passports will move forward through diplomatic channels, with the agreement to be signed upon the completion of the necessary procedures.

“Once those processes have been concluded, the agreement will then be concluded, which will enable our diplomats and services and official passports to be able to travel between the two countries seamlessly,” the Minister said on Monday. 

Lamola made the remarks in Pretoria while hosting his Ukrainian counterpart, Andrii Sybiha, the Minister of Foreign Affairs.

“The agreement has not been signed and once all the diplomatic processes have been concluded, the agreement will be signed. The officials between the two departments, including the Department of Home Affairs, have agreed in terms of the text of this agreement, which represents progress because it’s a process that was started by my predecessor.”

Lamola noted that the process was “ripe” for conclusion and stated that his team was dedicated to completing the project.

Lamola said he has noted the Ukraine’s request for reciprocity concerning ordinary citizens. 

“As we are aware, we service our citizens and the citizens of Ukraine through Warsaw in Poland, which complicates our work. We will process this matter through our own internal mechanisms, and we’ll be able to give you feedback through the diplomatic channels. 

“Regarding this request, we deliberated on constraints to fragile international security, including, but not limited, to the current wars.” 

Lamola told Sybiha and his delegates that he was pleased to learn that the Ukraine wants peace, and that they are willing and ready to engage with Russia, as suggested by South Africa. 

“We believe that in this conflict, it’s important that all the warring factions are on the table, and they [are] able to engage.

“They cannot only meet on the battlefield, because any peaceful resolution will come through diplomatic engagements and peaceful negotiations of the conflict that is currently ongoing.”

Lamola believes that it is important to find long-lasting peace in this ongoing conflict that has affected the global supply of grain and food prices across the globe. 

“It is in the interest of us and the people of the world that we see a peaceful resolution to this conflict, and we look forward to that engagement through the peace formula that will involve all the parties.”

Lamola said he was looking forward to continuing the engagement between the two parties, with regard to the Africa Initiative led by President Cyril Ramaphosa and other African leaders. 

This initiative aims to persuade the parties to a negotiation platform, Lamola explained, adding that South Africa is also part of the China-Brazil initiative, which is also pushing to bring the parties to any engagement. Lamola said he is hopeful that one day this will be realised.

Lamola told the delegation that South Africa, which has also engaged in peace efforts in Africa, particularly in the Sahel region and Sudan, was “very concerned” about the current humanitarian crisis. 

This includes the maiming of innocent children and women in Sudan, while the Red Cross, the largest humanitarian organisation, has declared the Sahel region as one of the biggest humanitarian disasters the world has ever seen.

Shifting his focus back to the political consultations, Lamola said South Africa is looking forward to allowing diplomatic processes that will enable the strengthening of bilateral trade between South Africa and the Ukraine. 

This involves the areas of trade, digital transformation, agriculture and many other fields, including the skills gap that exists in both nations.

Meanwhile, Lamola said his department will process the invite they received to visit the Ukraine. 

“We will be able to give feedback in terms of what is possible after we have followed all the diplomatic processes,” he said. 

He also stressed South Africa’s non-alignment stance and the country’s participation in various initiatives aimed at finding a solution to this ongoing conflict.  

“There must be a channel of communication that is open, that enables them to engage on some issues, including finding a ceasefire in that conflict. This is very important for the people of the group, in line with the UN [United Nations] Charter.” – SAnews.gov.za 

Gabisile
Tue, 10/29/2024 - 13:05

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29 October 2024

Mental health and people with disabilities

Location: News

Mental health and people with disabilities

By Morapedi Sibeko

Social Development Month and Mental Health Awareness Month are two significant twin observances that fall in October. The aim of these observances is to promote all-encompassing strategies that tackle social concerns as well as mental health requirements, ultimately resulting in communities that are healthier and more resilient.

This linking shows how closely social support networks and mental health are interrelated, particularly for people with disabilities (PWD).

The World Health Organization (WHO), which defines health as a state of complete physical, mental and social well-being and not merely the absence of disease or infirmity, reports that people with disabilities have twice the likelihood of experiencing mental health issues. They also list increasing global awareness of mental health issues and organising mental health-promoting activities as two of October's other main goals.

Mental wellbeing for people with disabilities frequently remains an unattainable objective, secondary to the stigma linked to both their physical condition and mental health difficulties. This dual stigma is responsible for lowering the quality of life and preventing people with disabilities from getting the necessary mental health care.  

People with disabilities regularly have to deal with negative expectations and false beliefs about their skills. The burden of judgment increases when mental health issues are involved. It is a common misconception in society that people with disabilities are either "used to" hardship or lack the emotional strength needed to preserve mental health. Due to this twin stigma, people with disabilities are perceived as weak or reliant in terms of both their mental and physical health, which fosters a poisonous environment.

As per WHO, a person's place on the mental health continuum may change as a result of a combination of psychological, societal, and structural factors that either support or compromise mental health throughout life. Often people with disabilities live with an emotional toll that comes from experiencing a world that was supposedly not created with them in mind. 

A negative consequence of social stigma is one's internalisation of the unfavourable attitude. A person's incapacity to deal with the hand they've been dealt may lead to them believing their mental health issues are personal failures.

People with disabilities tend to enjoy fewer benefits or have less access to training and development, and they frequently feel alienated at work. They run the danger of social marginalisation, poor health, and diminished productivity at work as a result of this physical and psychological discomfort.

Employers frequently lack the knowledge and readiness to offer the support and accommodations that people with disabilities require. People with disabilities who are employed suffer in silence, feel misunderstood, and lack assistance.

A study by researchers (Trani et.al., 2024) highlights that the lack of opportunities, isolation, prejudice, and accessibility problems that people with disabilities experience can result in mental health conditions including post-traumatic stress disorder (PTSD), sadness, depression, or anxiety. This research highlights the value of social development programs that fight stigma and contribute to the creation of a more accepting and inclusive atmosphere for people with disabilities.

The need of inclusive social policies in promoting mental wellness for everyone, especially people with disabilities, is brought home to us in October. We, as community members, can establish settings where each person feels appreciated, encouraged, and capable of thriving by tackling the structural obstacles and stigmas people with disabilities encounter.

*Morapedi Sibeko is the Event Manager at the Department of Social Development
 

Janine
Tue, 10/29/2024 - 14:42

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29 October 2024

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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29 October 2024

100 days in office: Labour Minister focuses on job creation, improved services

Location: News

100 days in office: Labour Minister focuses on job creation, improved services

Employment and Labour Minister Nomakhosazana Meth says her first 100 days in office signify not an "endpoint" but rather the beginning of numerous initiatives aimed at better serving clients and the country as a whole.

In addition, Meth said her department was consumed by fulfilling the mandate of job creation and protection of vulnerable workers.

The Minister was speaking at the Cape Town Labour Centre, where she was unpacking the first 100 days in office following the establishment of the Government of National Unity (GNU). 

“We are seized with the mammoth task of changing the trajectory of our economy into one that resonates with the resolve of the GNU to nudge actions that will advance the three priorities.” 

These, she said, include driving inclusive economic growth and job creation, reducing poverty and tackling the high cost of living, and building a capable, ethical and developmental State. 

Meth said they hit the ground running with the Deputy Ministers getting acquainted with the department, and strengthening cooperation with organised labour, organised business, social partners and civil society.

The leaders have also been participating in parliamentary processes, and ensuring accountability to the Portfolio Committee, Cabinet and Cluster Committee meetings. 

The last three months have also been characterised by the Strategic Plan 2025/2030 of the department, which sets out the GNU strategic priorities and principles espoused by the statement of intent of the GNU.

Inspections and enforcement activities

Meth took the time to delve into the role of inspection and enforcement, saying these were critical to safeguarding workers' rights, ensuring compliance with labour laws and upholding fair practices. 

According to the Minister, the department has jointly conducted more successful inspections, leading to 81 arrests of employers and undocumented immigrants.

The high-impact inspections and compliance raids targeted the hospitality, road and freight, textile, car manufacturing, and farming sectors, as these have high non-compliance with labour laws. 

“During these inspections, we addressed non-standard employment practices that render workers vulnerable. We contributed to job preservation by ensuring that employed individuals enjoy the protection of their rights, which in turn enhances productivity and economic growth,” Meth said.

She announced that 17 662 national inspections were conducted during this period. 

Out of the 17 662 inspections, 12 195 workplaces were compliant, while 5 494 workplaces were found to be non-compliant, with enforcement notices issued as a result.

TERS budget

Meth said during this period, there was an increase in the budget for the Temporary Employer-Employee Relief Scheme (TERS), from R400 million to R2.4 billion for the current financial year. 

“This significant boost aims to shelter companies in distress and prevent employee layoffs amid unstable economic conditions.”

Meth was of the view that the increase in the TERS budget was a proactive response to volatile economic trends that threaten the livelihoods of impoverished workers and the sustainability of businesses. 

“Our goal is to preserve jobs and support companies facing financial difficulties. Furthermore, increasing the scheme's capacity aims to reduce the risk of further retrenchments and support economic stability.”

During the COVID-19 pandemic, R65 billion was made available for TERS.

Meanwhile, Meth said Phase 3 of the “Follow the Money” project started in October 2024.  
The project aims to verify the payment of R65 billion to 215 companies under the COVID-19 relief scheme.

To date, Meth said the project has recovered R1.2 billion since inception. 

“Initially, the aim was to verify 50% of the amount paid, and now we want to verify the entire amount. Consequently, 27 audit firms have been appointed, and Phase 3 commenced in October 2024."

Ninety-six fraud cases were identified, 40 were presented to the court, and all were finalised. The highest conviction was 20 years of direct imprisonment. – SAnews.gov.za

 

Gabisile
Tue, 10/29/2024 - 15:17

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Read more100 days in office: Labour Minister focuses on job creation, improved services
29 October 2024

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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Read moreNLC strategy to be implemented over a six-year period
29 October 2024

Governance and compliance essential for community media sustainability

Location: News

Governance and compliance essential for community media sustainability

A study on community media has highlighted the importance of addressing governance and compliance challenges, to strengthen the foundation and enhance public trust in community media and small commercial media.

The Research and Development of a Sustainability Model for Community and Small Commercial Media (CSCM), conducted by the Media Development and Diversity Agency (MDDA), has shown that the majority of CSCM organisations - 74% - are partially sustainable.

The study highlighted that while they have access to some of the necessary skills, including resources and financial capacity to be self-sustainable, some CSCM are currently facing challenges, including a lack of financial resources, effective governance structures, an enabling environment and skills, being among the main challenges facing the media organisations.

According to the study which was launched in Johannesburg on Tuesday, a lack of finances was as a result of various factors including difficulty in attracting advertisers, which the study raised as a concern, given that most organisations within the CSMC sector rely on advertising revenue.

“It was found that private sector advertisers are reluctant to advertise with CSCM organisations due to the perception that the organisations are unstable and unprofessional, in addition to these organisations having limited audience reach which is seen to limit the potential exposure of the advertiser’s product to target audiences.

“The challenge in attracting advertisers also extended to government advertising, with representatives from CSCM organisations, as well as representatives from the MDDA, noting that local government appeared to be reluctant to advertise with CSCM platforms,” the study found.

Responding to the findings, MDDA Board Member, Hoosain Karjiekar, emphasised that governance was essential for community media to be sustainable, as it provides the structure and processes that ensure accountability, transparency and ethical management.

However, Karjiekar noted that many community media outlets are often operating with limited resources, struggle with governance due to skill gaps, unclear policies, or competing responsibilities.

Karjiekar emphasised the importance for community media sector bodies and leadership of the media institutions to commit to promoting strong governance practices and streamlining compliance requirements.

“Training for board members and community media leaders in ethical leadership, strategic decision-making, and resource management can go a long way. Strong governance not only improves operations but builds trust with the community, which is essential for long-term support.

“Many community media outlets are also constrained by complex compliance standards that can seem overwhelming. Regulatory frameworks must adapt to the realities of community media, acknowledging their smaller operational capacities while still promoting transparency. Simplified compliance pathways can help these organisations adhere to important standards without stifling their work,” Karjiekar said.

Enhancing revenue generation for financial sustainability

On financial sustainability, which was one of the biggest hurdles facing the community media, Karjiekar said that to fulfil their mission in the longterm CSCM need diversified revenue streams beyond traditional advertising, “which may not always be viable”.

“As the Community Media Sustainability Research Report proposes; community media must explore some of the strategies [including] building partnerships and community sponsorships, leveraging grant funding and crowdfunding, implementing membership programs, [and] hosting community events and workshops,” he said.

He reiterated that ensuring community media sustainability meant fortifying the communities, supporting democracy, and safeguarding voices that might otherwise go unheard.

“Through improved governance, adaptive compliance, and creative revenue strategies, community media can not only survive but thrive, continuing to champion the stories, struggles and successes of the communities they serve,” Karjiekar said.

The study launch coincided with the month that marks the anniversary of Black Wednesday on 19 October 1977, when the apartheid regime silenced critical voices for the marginalised by banning influential newspapers The World and Weekend World. – SAnews.gov.za

GabiK
Tue, 10/29/2024 - 13:36

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Read moreGovernance and compliance essential for community media sustainability
29 October 2024

Trusted Tour Operator Scheme to boost tourism from China, India

Location: News

Trusted Tour Operator Scheme to boost tourism from China, India

In a ground-breaking move to enhance the job creation that flows from increased tourism, the Department of Home Affairs has announced the gazetting of the Trusted Tour Operator Scheme (TTOS), just two months after work began on this scheme. 

The scheme was conceptualised by the Minister of Home Affairs, Dr Leon Schreiber, following consultations with the tourism sector and the Minister of Tourism about the way in which visa inefficiency and red tape throttles South Africa’s ability to attract more tourists from these two burgeoning source markets.

The department said research indicates that boosting tourism by only 10% per year can increase annual economic growth by 0.6% and create thousands of new jobs for South Africans.

“To resolve bottlenecks and reposition Home Affairs as an economic enabler, the department has [on Monday] gazetted a call for expression of interest by established tour operators from South Africa and abroad, who wish to sign up to the scheme to bring more tourists from China and India to our country. 

“Chinese tourists made over 100 million outbound trips in 2023, with South Africa receiving only 93 000 of these arrivals. In comparison, a country like Australia attracted over 1.4 million visitors from China in 2023. 

“At the moment, Indian tourists account for only 3.9% of all international visitors to South Africa, and China for only 1.8%,” said the department.

The TTOS is designed to overcome concrete problems, including challenges with processing group visa applications from these countries, capacity constraints at foreign missions, and language barriers. 

“Approved tour operators will benefit from reduced red tape and enhanced turnaround times on visa applications they submit for large tour groups. 

“All TTOS applications will be handled by a dedicated team of adjudicators to ensure swift and reliable processing. In turn, operators will be held liable for any legal transgressions committed by tourists travelling under their banner,” said the department.

The qualifications criteria for the scheme were drawn up through public consultation with the tourism sector and other key stakeholders.

All applications to TTOS will be fairly and transparently adjudicated according to a points-based system that allocates points on the basis of a company’s legal compliance, operating experience, proof of operational capacity, and cross-country collaboration. 

A minimum of 12 months’ operational experience will be a prerequisite for an applicant to be considered.

The call for expression of interest will be open for a period of 30 days, whereafter Home Affairs will, in collaboration with other departments, assess and security vet applications, with the aim of enrolling the first group of tour operators.

South Africa’s target remains to welcome the first tourists, brought to South Africa through TTOS, in January 2025. Home Affairs will consider further intakes for the scheme in the future, depending on internal capacity and the success of the rollout.

To build awareness around this scheme, the department has launched a distinctive TTOS logo that communicates its commitment to growing tourism to South Africa in a secure and efficient manner. 

As a contribution towards the apex priority of digital transformation, Home Affairs has digitised the application process for TTOS.

Instead of e-mail applications that result in drawn-out manual and paper-based decision-making processes, a user-friendly online portal will enhance transparency and improve turnaround times.

Companies that wish to express an interest in the scheme simply need to visit https://touroperator.dha.gov.za:8443 or access the portal via the TTOS banner on www.dha.gov.za.

“I salute the officials who have been working overtime to bring this pathbreaking scheme to life. The speed at which Home Affairs has moved from conceptualisation to execution on TTOS demonstrates our deeply-held commitment to supporting our colleagues in the Department of Tourism and in the tourism sector, in order to create thousands of new jobs for the people of South Africa,” said Schreiber.

He thanked the Minister in the Presidency and the Minister of Tourism for their support and collaboration on this work. 

“Our country should be one of the premier tourism destinations on earth, and we at #TeamHomeAffairs are playing our part to turn this vision into reality.

“The introduction of TTOS is part of the significant interim reforms we are putting in place to enhance the efficiency of Home Affairs while we work towards our five-year vision of delivering Home Affairs @ home through digital transformation.

“I am confident that this scheme will make an immediate contribution towards growing tourism and job creation, and I look forward to welcoming the first tour groups facilitated through TTOS as early as January 2025,” Schreiber said.

The gazette can be accessed at https://www.dha.gov.za/images/PDFs/Gazette51437_20241028.pdf. - SAnews.gov.za

Edwin
Tue, 10/29/2024 - 10:42

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