Minister of Higher Education and Training Budget speech & responses by ANC, DA & IFP

Briefing

21 Apr 2016

Minister of Higher Education and Training, Mr Blade Nzimande gave his Budget Vote Speech on 21 April 2016.

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Honourable Speaker,
Cabinet Colleagues and Deputies
Deputy Minister Mduduzi Manana,
Chairperson of the Portfolio Committee on Higher Education and Training,
MPs,
Director General and Staff of the Department
Heads of our Post-School Organisations and Institutions
My Wife, Phumelele, and my daughter Nontobeko,
Honoured Guests, including particularly my special guests, Mzala Nxumalo CEO Dr Bhekithemba Mngomezulu, and the top performing pupils from my old primary and high schools, Nkululeko Ngubane of Georgetown High, and Nosifiso Mbele of Mthethomusha Primary,
Ladies and Gentlemen,
Comrades,
 
I rise to address this house as our higher education and training system is grappling with significant challenges and is under intense public scrutiny.
 
But I rise, Speaker, confident that despite the challenges we face as a developing country with a history and legacy of national oppression and super-exploitation, we have made enormous strides in building post-school education and training the likes of which have never before been seen in South Africa.
 
Our system provides diverse and very real opportunities for our people to empower themselves for the future. And we have a clear and powerful vision of how to continue to build this system to serve the needs of individuals, the economy, and society. Many challenges however still lie ahead. That is why we are currently developing a 15 year plan for the entire system, based on the vision captured in the White Paper on Post-School Education and Training I released in early 2014, and on the National Development Plan.
 
Let us not, in the context of recent challenges in the universities, forget three things:
•       firstly, the vast majority of students raising their voices on issues close to their hearts and pockets were from previously disadvantaged backgrounds, showing clearly that we have made great strides and are well on the way to transforming access to higher education
•       secondly, 99.9% of those who took their very real and genuine issues into the streets last year are back at their books and in their laboratories, working hard for qualifications to take them further
•       and thirdly, let’s not forget that the protests confirm that we remain a country of robust, open, and free discussion and debate, a country whose government – as the fees outcome showed – listens and is responsive.
 
Technical and Vocational Education and Training
A key part of our system is technical and vocational education and training, known as TVET. Expanding this historically very small system has been our priority, as we have moved TVET and adult education to the national Department from the provinces. In the meantime, we have successfully expanded the TVET numbers, shifting from a 1 to 4 to close to a 1 to 1 ratio of college to university students.
 
Now, our focus is on consolidation and improving teaching and learning in the sector. To this end, the University of the Western Cape is ready to deliver its first postgraduate programme for TVET lecturers. It is the trailblazer for several more universities developing similar programmes.
 
We have also recognised and responded to the need for foundation learning programmes for TVET students requiring additional support in mathematics and English.
 
TVET growth continues. Waterberg College in January enrolled 333 students for the new Thabazimbi campus. It has taken over Kumba Iron Ore’s skills centre. Two other new TVET campuses are scheduled for completion in July.
 
It is clear, Speaker, that the money voted by Parliament for Higher Education and Training is going where it should – towards empowering our young people with the skills and knowledge to build a future for themselves.
 
MPs will be pleased that an audit is underway to link infrastructure expansion and maintenance more stringently to budgeting processes. This will ensure that college infrastructure upgrading and maintenance is planned and budgeted for systematically and sustainably.
 
But despite the successes we can point to, Government cannot provide technical and vocational education alone. Allow me to direct a few words to employers, both public and private. Your involvement in ensuring a continuing pipeline of well-trained and skilled people across all sectors is critical to our economy. And doing so is arguably of even greater significance to the future of your businesses, whether in manufacturing, repairing, retailing, or services.
 
We thank those who see post-school skills and vocational training as core to their businesses. And we appeal to those who are still hesitant to join in and contribute fully to upskilling.
 
To support closer cooperation, the Human Resource Development Council recently launched the “Adopt a TVET college” initiative. This creates working partnerships between colleges and business to ensure an adequate supply of TVET graduates with skills where they are needed most.
 
Artisan development is a key TVET component. We are recapitalising and modernising the Institute for the National Development of Learnerships, Employment Skills and Labour Assessments, “Indlela”. This financial year we aim to produce over 21 000 skilled artisans. This is a significant step towards the NDP target of 30 000 annually by 2030.
 
Community Colleges
Colleagues,
about 18 million adults want to learn outside of universities and TVET colleges. We are building a Community Education and Training sector to improve and expand post-school education and training. With nongovernmental and community based organisations, we will grow this into a flourishing sector.
 
We are doing so, by the way, at least partly in response to issues most recently raised by the Statistician General. He confirms what we are aware of, and working on.
 
That is why last year, I committed to establishing a DHET Branch for Community Education and Training. It is in place. I committed to piloting the Community College concept. This has happened in partnership with the Catholic Institute for Education. We are now securing additional sites and resources for further Colleges.
 
The increased efforts we are putting into vocational and community colleges are important measures to expand a diversified post school education and training sector.
 
 
Universities
Colleagues,
I turn to the university sector. Of all our areas of work, the universities have in recent months been under the strongest spotlight.
 
For all of the protests and despite the wanton destruction by a small minority this year, the vast majority of students have returned to their studies and our universities continue to produce graduates and research that makes our nation proud and contributes to our economy and the wellbeing of our country.
 
We should, fellow MPs, for a moment cast aside our party differences and thank our universities, including staff and students, for their continued efforts in ensuring that South Africa remains at the forefront of teaching, learning, and research on our continent.
 
Colleagues,
we have made additional funds available to our universities despite the difficult fiscal environment, and we continue to increase access to university education for South Africans who just a few years ago would have had no hope of achieving their true potential this way. That is remarkable, and we should not forget it, whatever the challenges.
 
Key to our strategy of expanded university access are our new institutions. Sol Plaatje University and the University of Mpumalanga in February admitted their third intake, with enrolments up from 130 and 140 in 2014 to 710 and 1329 respectively. R1.6-billion was invested and seventeen new buildings built, enabling this expansion. New infrastructure for further expansion in 2017 valued at R1.26-billion is under construction. The Sefako Makgatho Health Sciences University entered its second year of operation with an intake of 1 300 students.
 
South Africa's ninth medical school, at the University of Limpopo, opened its doors in January to its first 60 students. This is linked to the Limpopo academic hospital Presidential Project.
 
We are addressing the shortage of student accommodation. I will this year launch the Student Housing Infrastructure Programme. At a Student Housing Symposium in June, we will lay out a long-term, sustainable programme using new funding models and innovative building technologies to provide secure and affordable residences.
 
In the meantime we are also working together with the Minister of Public Works, Thulas Nxesi, to identify government buildings that are either under-utilised or unused to convert them into affordable and comfortable student housing for both universities and TVET colleges.
 
Colleagues,
While access to university education is important, it is time to focus on success. Part of dealing with the high first year drop out rate is to support underprepared students with our focussed programs.
 
Colleagues,
university transformation remains a critical task. We need to intensify the struggle to build transformed and non-racial universities. I continue engaging on accelerating transformation agreed by the second Higher Education Summit, and we have told the institutions we expect their implementation plans for the summit resolutions by the end of June. The Higher Education Bill now in Parliament tasks university councils with driving transformation much more vigorously.
 
Last year I announced two programs to accelerate academic transformation. The Staffing South Africa’s Universities Framework, and its New Generation of Academics Programme, or nGAP, have to date filled 102 posts with black South Africans, 55 of them women. A further 100 new nGAP academics will be appointed in the coming months.
But although these  numbers are good, they are not good enough. I will soon announce a Ministerial Task Team to look into and propose solutions to the obstacles to the production of South African black academics.
 
We are committed to improving teaching and learning across all education sectors, and with R200-million from the European Union, my Department is implementing the Teaching and Learning Development Capacity Improvement Programme to strengthen universities in developing teachers in the Early Childhood, special needs, primary, technical and vocational, and community education sectors.
 
Speaker,
The African National Congress is focused on providing quality, accessible, affordable, and diverse post-school education. We are committed to ensuring that academically capable and financially needy South Africans can access post-school education and training.
 
 
That is why, after the agreement on no fee increase for 2016, we are redoubling efforts to ensure support going forward for those who cannot afford to pay fees. We have provided R1.9-billion of the R2.3-billion shortfall resulting from the agreement.
 
We have reprioritised over R5.7-billion over  the 2016/17 to 2018/19 MTEF period to universities to ensure that the fee freeze in 2016 does not lead to unmanageable fee increases in the future. 
Another R4.57-billion is allocated to the National Student Financial Aid Scheme, NSFAS, in 2016/17 made up of R2.54-billion to ensure that 71 753 students who were not or insufficiently funded in 2013 to 2015 can pay their debts, and  R2.03-billion to ensure that these students and poor students entering universities for the first time can study.
 
Colleagues,
This amounts to a whopping 47.3% increase in baseline funding for NSFAS in 2016. This, together with the other NSFAS funds, will this year put 205 000 through university, and another 200 000 through TVET colleges. That is a total of 405 000 students receiving government support, a massive achievement by anybody’s standards.
 
We also have a plan for the “missing middle”— students whose family income lies above the NSFAS threshold, but who still can’t afford university. We aim to test our new model in 2017 and fully implement it in 2018.  Let me thank NSFAS Chairperson Sizwe Nxasana for the effort he is putting into reforming and improving the system.
 
The Presidential Commission is investigating the feasibility of fee-free education for university and TVET students. Let me appeal, colleagues, to everyone in the house and the student movement to support the Commission with inputs and ideas.
 
 
Let me be clear, Madam Speaker,
we value the energy and criticism of our young people very highly. We admire their courage and determination and their activism in putting crucial issues facing higher education squarely on the agenda.
 
Nobody, however, gains from destruction. Nobody is empowered by burning laboratories or libraries. Burnt paintings educate nobody.
 
Those who have engaged in this destruction must ask themselves who they are hurting, and why? They must ask themselves whether their violence and destruction builds and transforms society. They should recognise the vast majority of students are hard at work, determined to get their qualifications and empower themselves, their families, and their communities.
 
Our universities must be transformed and not destroyed!
 
Colleagues,
It is a tragedy that universities are being forced by a minority to spend millions on additional security because this tiny group rejects the power of words, debate, and dialogue, the cornerstones of our democracy.
 
Skills planning
Speaker,
substantial progress has been made on skills planning. This includes a labour market skills intelligence system, a career development system, and the integration of the post-school education and training information systems. Together, these will allow efficient distribution of skills development resources.
 
A new career guidance system is before Cabinet. For financial 2016/17, the Department has, through an “Occupations in Demand,” list, identified priority occupations, including civil engineers, construction project managers, quantity surveyors, and 13 trades, including bricklayers, millwrights, boilermakers, and riggers. Increasing the numbers with these skills is important in realising the NDP’s goals, growing and transforming the economy, creating jobs, and attracting investment.
 
The Department is identifying universities and TVET colleges to upscale training in these areas.
 
We are engaging stakeholders on strengthening the SETAs, and an improved system will be adopted this financial year. As legislative changes are required, I have extended the current system to March 31st, 2018 to allow for consultation, legislative changes, and change management so that a new system can get to work in April 2018.
 
The National Skills Fund continues to play a catalytic development role.  Among its many successes, let me highlight:
•       the cutting edge medical and veterinary facilities opened this year, allowing the University of Pretoria to considerably increase its student intake in these fields
•       the new work integrated learning facilities for engineers at the University of Johannesburg opened in November 2015
•       and the new renewable energy training facilities at the Cape Peninsula University of Technology to train wind turbine technicians
 
The NSF has budgeted over R16.5-billion towards skills development and infrastructure over the medium term, with over R6.1-billion for financial 2016/17. The funds will benefit 43 000 per year and allow the construction of new TVET campuses.
 
The NSF this year allocated R800-million for NSFAS scarce and critical skills bursaries, and R245-million to the National Research Foundation. This benefits over 13 500 undergraduate and over 1 200 postgraduate students.
 
But colleagues,
post-school education is not simply about meeting hard skills needs. Our new National Institute for the Humanities and Social Sciences has awarded doctoral fellowships to 455 students, and grants to researchers, giving our universities the muscle to explore the burning issues of our time via the social sciences and the humanities.
 
Speaker,
Colleagues,
The DHET is among a very few able to celebrate a real budget increase, current constraints notwithstanding. On behalf of all of the beneficiaries, allow me to express our profound gratitude to the President, the Finance Minister, Treasury, and my Cabinet colleagues.
 
For the current Medium Term Expenditure Framework, the Department’s budget increases at an annual average 9.8%, from R42-billion in 2015/16 to R55.3-billion in 2018/19. The R49.2-billion for 2016/17 is an increase of R7.3-billion, 18.0% more than last year.
 
These numbers make it clear that the ANC government takes this sector very seriously and has made enormous efforts to ensure not only that extra resources are made available, but that they are used efficiently and effectively where they are needed most.
 
We do so because we recognise that the future of our country is inextricably linked to our ability to empower our people – particularly our young people – with the skills and knowledge to allow them to participate actively in building and transforming Africa’s most advanced industrial economy. We have been an industrial country for a century and a half, and we plan to stay that way.
 
Allow me in conclusion to thank the staff of our institutions and public entities, to thank every employer who is opening their workplace to young people for training.
 
I am grateful to my deputy, Mduduzi Manana, the very dedicated staff of the DHET led by DG Gwebs Qonde, to my personal staff and advisors.  Finally, my sincere gratitude goes to the President and my Cabinet colleagues for their support. Allow me also to thank my wife and family for their continuous support.
 
Together we will move South Africa forward, through the provision of quality and affordable post-school education and training!

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Responses
 

Vote 15: Higher Education and Training: Debate Speech by Honourable F Nkadimeng (ANC), Community Education and Training

21 April 2016

Honourable Chairperson, two days ago Statistics South Africa released a report titled Vulnerable Groups Series 1: The Social Profile of the Youth, 2009-2014. This Report contains shocking findings about the state of our youth in South Africa, in particular, black youth which include Africans and Coloureds. The report revealed that the youth population grew from 18.5 million to 19,6 million between 2009 and 2014. The report also alludes that youth unemployment amongst the young people have increased and that the share of unemployed young people with less than matric is still at 57 percent, and of the 3,7 million unemployed youth in 2014, only 1,6 million had work experience.

This is because our country's education system has not been able to cater to the millions adults and youth who are unemployed, poorly educated and not studying. Not every student who passes matric is able to enter higher education or technical education and training college. Our system does not have the capacity to cater for them. Those who fail matric and do not make it even through supplementary examinations find themselves at crossroads. Lack of sufficient opportunities for those who do not qualify to enter universities and TVET colleges has contributed in the main to the high unemployment rate and poverty of our youths.

Community Colleges

In 2015, the Department established a new institutional type called Community Colleges. Nine of such colleges were established, one in each province. These are multi-campus institutions which cluster the public adult learning centres. They are permitted to enter into partnerships with community-owned or private institutions in order to enhance their capacity to meet the education and training and needs of the youth and adults. As noted in the StatsSA report that there is a high number of unemployed youth without matric, the colleges will continue to offer the General Education and Training and Training Certificate programmes and the National Senior Certificate for Adults (NASCA) and skills or occupational programmes funded by the SETAs and the National Skills Fund. We are hoping that through the variety of offerings at the colleges many youths will take advantage of opportunities created by our government to improve their lives.

Migration of Adult Education and Training employees

In April 2015, the Department of Higher Education and Training successfully took over 19 290 posts from the Provincial Departments of Education competency. This includes 18 938 staff working in the Adult Education and Training Centres as well as 352 staff working in the Provincial Education Departments offices performing Adult Education and Training function. This process was not without challenges. The Department took over employees from the Provinces with different conditions of service, where others were paid on persal, others on claim forms and one province unilaterally increased the salaries of adult educators without budget consideration and inadequate disclosures of liabilities, while other province transferred funds directly to the adult learning centres which was against the legislative prescripts.

The interventions put in place by the Department, introduction of bulk payment processes to process claims, appointment of additional staff, standardising the conditions of service and its cost implication investigations to mention but a few, are commendable.

While administrative part of ensuring that the Community Education and Training sector is effective and efficient are underway, the focus should be placed on improving the quality of provision in the sector. Throughput and certification rates in the Adult Education and Training qualifications have not been satisfactory.

We note that the Department planned to develop a National Curriculum Policy for Community Colleges, to have an annual plan for education, training and development improvement plan for community Education and Training. We are hoping these plans will go a long way in improving quality education. The Community will also conduct oversight visits to these community colleges and adult learning centres.

Infrastructure

Infrastructure development for the sector is also critical. Honourable Chairperson, the sector has been dependent on the schools infrastructure to perform its functions and classes could only be conducted in the afternoon or evening after. Given that the mandate of the sector is now expanding, as it is required to offer skills needed by the communities in the areas such as community health care; parenting and child care, early childhood development; care for the aged, skills for self-employment; small -scale manufacture, arts and crafts, etc. The school infrastructure may not be able to cater for such needs. It is important for the Department to work with the Department of Public Works to source infrastructure that is currently not utilised or under-utilised for expanding skills development opportunities. Such infrastructure can be accessible to community members anytime of the day.

Qualified educators

Quality education depend on quality of personnel employed to teach. The sector needs qualified and competent lecturers in different fields. This will include both theory and industry work experience. Most if not all adult education and training educators have been trained to teaching primary and high school learners. Some have one year diploma from the universities. These educators have to be upskilled to be able to teach the new programme that will be introduced and to cater for diverse skills needs.

Establishment of a new Branch

The ANC government is committed to reduce poverty, unemployment and inequality. Minister Nzimande announced in his 2015 budget speech that he will reconfigure the Vocational Education and Training Branch to create two branches responsible for TVET sector and Community Education and Training sector. In this financial year, the Minister has indeed established two branches by splitting the VCET branch into Technical and Vocational Education and Training Programme and Community Education and Training Branch. This move is a guarantee that government takes its work very seriously. There will be a dedicated focus in the Department towards community education and training. As the Committee we will monitor developments through quarterly reports. Indeed the National Development Plan has correctly pointed to the fact that Community Education and Training Centres are important elements of the post-school system that provide diverse learning opportunities. The colleges will offer a second chance to those who still need to complete their education. Planned headcount enrolment for the current financial year is 310 000.

Budget

The Programme was allocated R2.0 billion for 2016/17, which represents 4.0 per cent of the total Higher Education and Training budget. The budget will increase to R2.4 billion in 2018/19. The budget has increased by 4.39 percent in real terms. The budget is shared among the four Sub-programmes, and the bulk of the budget R1.8 billion goes to Sub-programme 2: Community Education and Training Colleges System, which is responsible for supporting management and councils; monitors and evaluates the community education and training system performance against set indicators; develops regulatory framework for the system; manages and monitors the procurement and distribution of learning and teaching support materials; provide leadership for the community education and training colleges to enter into partnership for the use of infrastructure for college site hosting centres and funding these partnerships; maps cut out an institutional landscape for the roll out of the community education and training system; and is responsible for community education and training infrastructure planning and development.

We are hoping that with these allocated budget, the Department will be able to achieve both the direct and indirect predetermined targets.

I thank you

Vote 15: Higher Education and Training: Debate Speech by Hon. S. Mchunu (ANC) Skills Development, Towards Raising the Skills Base of South African Citizens

21 April 2016

Chairperson,
Honourable Ministers,
Deputy- Ministers present,
Honorable Members, the dept, the academia,
Ladies and gentlemen, I greet you.

We as the ANC support the budget as tabled.

South Africa has had a history of high unemployment rate since the apartheid era, in particular, amongst the youth. This challenge is further compounded by the fact that some sectors of the economy are shedding jobs as a result of economic difficulties. It is against this background that the ANC in its SONA and 2016 Election Manifesto has also prioritised job creation and the promotion of job placement, especially for the youth.

The Deputy-President in his address at the 2nd Human Resource Development Council Summit, had this to say:

"No country can achieve economic growth without paying attention to the skills development of its people. Skills grow the economy, they create jobs, and skills raise standards of living and reduce inequality".

Honorable Members, our country has good policies in place for education and training as well as for skill development system.

Members, we are making inroads in building bridges between the world of work and training. In December 2015, DHET released a list of Occupations in High Demand to support planning processes. We urge the SETAs to take note of the list and start training our youth in the identified occupations.

Budget overview

The Government's Skills Development Act and the Skills Levies Act has made it possible to fund the national skills development system. Despite the fiscal constraints, the direct charges against the NSF and the SETAs have increased from R14.6 billion in 2015/16 to R17.6 billion in 2016/17. Out of the R17.6 billion investments, R14.1 billion is allocated to the SETAs and the R3.5 billion is for the NSF.

The Skills Development Unit received an allocation of R225.3 million, which represent 0.46 percent of the Higher Education total budget. The budget has increased by R18.0 million or 8.72 per cent in nominal terms. The bulk of the money (84.9 %) is spent on Sub-programme 2: SETA Coordination.

We also welcome the improved performance of the many of the SETAs in developing their performance indicators and targets as reported by the Auditor-General South Africa. Members, in our previous engagement with SETAs, they all expressed underfunding constraints.

The NDP has set a target of 30 000 artisans per annum, increasing workplace placements and that SETAs should meet the required standards of governance. As the Committee we have noted that the Department has been doing very well in this regard and has exceeded the target. We also appreciate the role played by SETAs on learnerships and bursaries

Workplace based learning programme regulations will be approved in this current financial year. This is critical in ensuring that candidates placed in the workplaces are there to learn.

Honorable Members, NSF continued to play a catalytic role in skills development for the country and the following has been achieved so far:

1. New medical and veterinary facilities built in the University of Pretoria; work-integrated facility for engineers in the University of Johannesburg; and the new renewable energy training facility in Cape Peninsula University, the first of its kind in Southern africa.
2. 164.7 million invested in students studying towards becoming Chatered Accountants
3. 169 Projects were funded ; 62 617 learners have benefitted in NSF funded projects from universities, TVETs and in the workplace based training sector from all provinces including Western Cape.
4. Funding of Transnet School of Engineering by 175 million.

CHALLENGES,

The sector Chairperson is not without challenges, Some of the challenges identified include learner dropout, and governance. The NSA and the envisaged new SETA landscape will help to overcome these challenges.

Honorable Members, entrepreneurship is encouraged, where graduates of the skills programmes will create employment for others.

In conclusion Chair, let me commend the Ministry for sending 21 young people to Sao Paulo in Brazil to take part in World Skills International Competition. This gives assurance that artisan skills are held in high esteem in South Africa and across the world. Such initiatives must be supported to motivate our young people "that it is cool to be an artisan".

We believe that with this budget, a win against skills shortages is within reach.

Once again, the ANC supports the budget.

To all fellow South Africans "Vote ANC" 2016 LGE #uThambuthembenina

I thank you.

Debate presented by Siwela E.K. (ANC) on Budget Vote 15: Department of Higher Education and Training

21 April 2016

Hon. Chairperson, Minister and Deputy Minister of DHET
Honourable members, distinguished guests' good afternoon.

Chairperson, this budget debate takes place barely three months before the Local Government elections take place and it is important that we report to the society at large what the ANC led government has done and achieved so far. There are loud voices in the opposition benches that seeks to bedevil the ANC led government and that will not go unchallenged.

Let me begin by complimenting the Ministry of Higher Education and Training for the successful migration of the FET Colleges from Provincial management to National management. The migration of these functions was a massive undertaking, and now we truly have a national strategy for technical and vocational education and training that integrates education and training. The Minister has separated TVET and Community Education and Training Colleges into two branches each led by a DDG. TVET colleges will be indispensable in boosting South Africa's competitiveness and in turn our economy. Technical and Vocational Education and Training is essential for improving the productivity of our people and promotes entrepreneurship, again a bonus to our economy.

The announcement by the President of the building of 12 new campuses and refurbishment of 4 existing campuses, all in rural areas in KwaZulu Natal, Limpopo and Eastern Cape bears testimony to the expansion of skills in our country.

Three of these campuses namely, Thabazimbi, Nkandla A and Bambanani, are to be completed later this year. This again demonstrates our resolve to ensure that skills development contributes to inclusive economic growth. The TVET management posts that have been inherited as vacant for a considerable time are being speedily filled by the Department. The NDP and the White Paper on Post School Education and Training sets impressive targets for growing the TVET sector. While the Department's budget increases in double digit growth, the growth is mainly in University the programme at about 20% in nominal terms and the TVET budget grows only by 4.1% in nominal terms. While we understand the big increase in the University budget the negative real growth in the TVET budget is of grave concern. TVET colleges are notorious for the low throughput rate particularly in the NCV programmes and this should be of concern to all of us.

The funds invested in TVET may go down the drain with nothing to show. This investment should not be wasted as it will waste our economy and we will not have the capable workforce that is skilled and productive. In our engagement with the Department concerns were raised about the insufficient investment for the student numbers enrolled and that the projected NDP and APP targets may not be reached, this should not deter us from investing in the TVET sector so that the set targets can be achieved.

Honourable members, in August, 2015 there was a backlog of 236821 certificates outstanding for 129 526 qualifying learners, this problem had accumulated over a number of years. The Portfolio Committee was concerned about this situation as it denied our young people who had qualified their certificates. The problem was related to the inability of the State Information Agency (SITA) to process the results leading to Umalusi not being able to certify. The Portfolio Committee called the Department, Umalusi and the SITA to a meeting and requested that an emergency plan be put in place. I am happy to report that as of 6th April 2016 the backlog of certificate over a number of years has been significantly reduced to 66025 affecting 52 148 learners. This means that in these few months the certificate backlogs has been reduced by 258% and that of learners affected by 148%. The CEO of the SITA, Umalusi and the Department must be commended for this sterling performance.

Chairperson, we note that the Department has identified systemic issues in the TVET sector and their strategies aims to improve learning and teaching, management, governance, leadership, financial management, human resource management and development, partnerships between colleges, employers, SETA's and Universities and articulation of qualifications.

Honourable members, the TVET programme will also focus on the following initiatives in the 2016 MTEF:

Expansion of access and improvement in success,
Development of new and revision of existing steering mechanisms, implementation of and reporting on the new M&E framework,
expansion of and reporting on the maintenance of the College infrastructure,
implementation of performance evaluation of College Councils, and
monitoring and evaluation and support of national examinations centres for full compliance with national policy on assessment practise.
Finally I believe that we need a radical plan and budget to ensure that we are able to provide student accommodation to thousands of young people so that they can focus on their learning in conducive circumstances. Many of our learners lack work based exposure and learning and we make a call upon business to open the doors of their workplaces for our young people to gain from their workplace experiences.

I thank you, the ANC support the budget.
 

Low expectations for Higher Education budget

   Yusuf Cassim (DA) Chairperson of the Democratic Alliance Youth
 

Hon. Chairperson, the budget before us today is an insult to the tens of thousands of students who rose up in October last year, black and white, rich and poor with one call, free quality education for the poor.

Yet today we are asked to consider a budget which isn’t worth the paper it is written on, a budget that solves nothing, a budget that ANC MPs will sit here and pass nonetheless just like they sat here and de-fended Zuma.

This budget, Hon. Chairperson is nothing more than a band aid over a rubber bullet wound. It does nothing to prevent estimated double digit fee increases for next year. State subsidies to Universities continue to decline in real terms, NSFAS remains grossly underfunded and incapable of covering the full cost of study and TVET Colleges will receive infrastructure grants to the value of exactly R0.

Seemingly you enjoyed #FeesMustFall to want to pass this budget. You have the majority so you have the prerogative to do so. Know and understand that you will be doing so at your own peril. The #FeesMustFall uprising that will confront you will eclipse your worst nightmares and this time round it will begin in July as a precursor to you falling in a further three Metros.

This budget, Hon. Chairperson is a product of an undedicated Minister. On the few rare occasions Hon. Nzimande has actually attended the Portfolio Committee, his detachment is only eclipsed by his disingenuousness. He comes to us saying, “We need your assistance as Parliament to get more funds”. How-ever, when you wanted to defend Zuma it was easy to instruct you MPs to do so but to fund our universities, TVET Colleges and students it’s suddenly impossible. It is only a maladroit Minister that has no relevance in his own party that cannot muster the political capital to get his government to make the necessary funds available in the budget. Perhaps if his focus was not on fattening his cronies in the SACP, he wouldn’t be the disappointment that he is to students across this country.

Everything he does, sets up poor black students to fail. When state subsidies decline leading to cuts in student services and fee increases, you set up poor black students to fail. When students go into examinations without receiving textbooks or meal allowances, you set up poor black students to fail. When you take away R341 million from historically disadvantages institutions, you set up poor black students to fail. When you leave the missing-middle out in the cold, you set up poor black students to fail. When you only fund transport for less than 15% of TVET college NSFAS beneficiaries eligible for transport allowances, you set up poor black students to fail. When you celebrate an insufficient intervention of registering unfund-ed NSFAS qualifying students at universities with no other funding to assist them, you set up poor black students to fail.

I wonder, does it even bother you that up to 60% of NSFAS beneficiaries never graduate yet end up riddled with debt that will follow them until they die.

I know this Minister is going to come to this podium now after I speak with some irrelevant response as he has done from the first budget debate in the 5th Parliament. Don’t even bother, we will see you in July.

The DA’s holistic approach needed for Higher Education
Belinda Bozzoli (DA) Shadow Minister of Higher Education and Traininng

After R300 million worth of damage to universities, the destruction of precious cultural artefacts, the further development of a culture of violence, sexual bullying and impunity on campuses, marches on Parliament and the Union Buildings and a sense of horror on the part of the President that he himself might actually be politically damaged by these things – heaven forbid –, we finally see an increase in the Higher Education budget.

After insisting that it could never be done, Treasury has found an additional above-inflation R7.2 billion funding for the sector.

But this will not resolve the fundamental crisis in Higher Education. The increase is mainly for past backlogs in student funding rather than anything forward-looking. And a deformed budget is now emerging because of ANC short-termism.

In fact under ANC rule we are witnessing the beginning of a dangerous decline in the higher education sector as a whole.  As one Vice-Chancellor has said to me: “’If things carry on like this for another year, our best people are going to start leaving this University”.

Minister Nzimande, this moment will be remembered, in ten years’ time, as the moment when universities stood on the brink of decay but you and your catastrophic government failed to step in and rescue them.

We all acknowledge that since 1994, the number of students in universities has doubled. But it was this government:

  • That reduced the real amount universities had to spend on each student by 20%;
  • That failed to think through how half a million new students would be paid for;
  • That removed the subsidy for infrastructure;
  • That let the numbers of students per lecturer grow from 38 to 55, while knowing that the academic needs of students had increased exponentially;
  • That made it impossible for universities to grow their staff numbers and employ a new young cohort of lecturers from diverse backgrounds to staff the universities for the 21st century.

The system is reeling as a result.

In the light of these 20 years of neglect, the budget increase we see today is nothing more than an ad hoc, partial, expensive fix to a much bigger educational and political disaster.

  • It will not prevent further above-inflation fee increases.
  • It will not help those students who will receive support, but far below the true cost of study, let alone those who are not being supported at all.
  • It will not help universities pay for the language clinics, bridging courses and tutors needed to assist the 60% of NSFAS students who otherwise will fail or drop out.
  • And it will not provide funds for staff numbers to grow so that young academic staff begin to see a future for themselves in academe.

So we have a short-term, shallow, defensive fix for a long-term, deep seated problem which requires vision and imagination. These qualities appear to be in short supply in the ANC.

And unless something drastically different is done, we will see #FeesMustFall2017later this year.

We know now that the ANC is prepared to steal, lie and violate the Constitution. But what we don’t often talk about is that it has an additional problem – a colossal blind spot.

The ANC doesn’t understand the broader needs of key institutions in society.

Institutions are the building blocks of development. Without strong institutions you can forget growth, stability and steady investment. But not to the ANC.  Not only does the ANC capture and corrupt institutions. It also recklessly destroys them through neglect.

All they see are short-term demands of their supporters, particularly before an election. The long term needs of proper development are not high on their list. So:

  • If it’s electricity – they will rightly expand access, but without any concern for whether or not Eskom has the capacity to deliver it.
  • If it’s housing, they will rightly build more homes, but without any concern for the actual quality of the building, or the corruption in the lists.
  • And if it’s Higher Education, they will rightly make it available to larger numbers of people. But without any concern for how it will be paid for, or the effects of this expansion upon the institutions that have to manage the bigger numbers.

The ANC government is irresponsible.

It may take fifty years to develop a resilient educational institution and herculean efforts to keep it going at a level of excellence. I know, as I have been in a senior management position in a university myself.  But the ANC takes this all for granted. They seem to have no clue about what makes and breaks an institution. They assume institutions can withstand infinite new demands without additional resources, or care and attention.

The ANC is notorious for doing this, steadily, over decades, until the institutions collapse under the strain. The Post Office – collapsed; Eskom – perpetually on the brink of collapse; numerous Municipalities – collapsed. PRASA – collapsed. We know these institutions collapse because of corruption or capture.  But they also collapse because the people who care about them are driven out by despair, underfunding or hostility. They are no longer looked after. This is what is happening to universities today.

The DA in power could never allow this to happen. We would not allow a situation where poor students are unable to pay for their studies; where staff numbers stagnate; where infrastructure decays; where libraries can no longer be maintained; where fees have to be increased to make up for lost funding; where academics leave; where research declines because teaching demands are so huge.  And where being a Vice-Chancellor is so unpleasant that only the mediocre will take on the job.

Our policies commit to reversing this process.  Over a five to ten-year period

  • We will fundamentally revamp NSFAS.
  • We will use its core R12 billion to leverage extensive additional funds through a public-private partnership.
  • We will expand its loan capacity to include the missing middle.
  • We will gradually increase the annual amount given or loaned to each student so that their full costs of study are covered.
  • We will start a process of restoring university subsidies to their 1994 levels so that staff numbers can again increase, quality will improve, diversifying the profile of staff can begin in earnest, and the best minds can be attracted to teach at our institutions.
  • We will make sure that Universities are funded well enough so that fee increases can be kept at inflation levels.
  • And we will ensure that University infrastructure is maintained and developed as a matter of course.

We believe in a total, holistic approach to Higher Education, not a partial, self-interested approach. We want the sector as a whole to improve. We care about our students and the institutions which educate them.

We want to bring the kind of quality and stability our country needs for true development to take place.

We have powers to amend this budget. We are going to use our powers to propose two immediate amendments. One will provide new, forward-looking funding to NSFAS so that students who receive loans are able to cover far more of their costs. The other will restore the funds intended for historically disadvantaged universities that were raided to help pay for the no fee increase last year; and to support poor students in earning their degrees.

We can find the money. And we will find the money for a more holistic approach to Higher Education.

The DA rejects this budget as it stands.
 

Budget Vote 15: Higher Education And Training

By Hon Professor Msimang, MP Inkatha Freedom Party
National Assembly

Honourable Chairperson
Honourable Minister

I doubt that this department has a good story to tell after the 2015 academic year saw massive number of students embarking on what they proclaim is their right following the ANC government‘s failure to fulfil its promises made to the people of this country, still two decades later. The FeesMustFall protest forced this department and government to act after students had resorted to disruptions and violence, which brought higher education and training to a standstill last year. But, yet again in 2016 the fees have not fallen. The NSFAS is not a bursary but a loan.

This kind of action threatens the National Development Plan. Now, one is left thinking when will the National Treasury and the Department of Higher Education and Training be concluding its work of finding funds so that we can all see the light at the end of the tunnel and to prevent more panic and chaos amongst, mostly the needy and deserving students? With little commitment on this burning issue, the reduction of drop-outs students as outlined in the NDP will be just a wish.

Honourable Chairperson

We would like to say to the government the university education is forbiddingly expensive. However as far as South Africa is concerned the government is largely responsible for the spiralling university costs. Back in 1994 this country had 115 colleges of education. These were ideal for teacher training because teaching is a practical profession not geared towards university training which is more theoretical and research inclined. The same could be said of nursing which by its very nature needs to be near a hospital because the ward is your research laboratory.

Despite this practical nature of these professions the ANC led government decided to close down all these facilities and left the university to be the only channel to follow for all post-school qualifications. Most of the 115 teacher training colleges charged their students less than half of what is charged by universities. With regard to student nurses, rather than pay any fees, they were the ones who were paid a monthly stipend by the nursing colleges. In fact South Africa is the only country in the world which made the university the only avenue for post-school education and training.

What the country needs are more artisans than graduates. Why is it necessary for a plumber or electrician to have a university degree? As things stand, many of the graduates are told by prospective employers that they are over qualified for their purpose.

I would even argue that the current Minister, Hon Nzimande acknowledges some of these facts. For instance you have reconfigured many of the so called community colleges also known as FET colleges into TVET colleges (i.e. technical and vocational colleges)

But Hon Minister what about ‘zero fees increase’ going forward? Will the university sector be invaded by angry protestors again next year? Presently nobody knows for sure what is in store for students and universities come 2017.

I thank you
Prof CT Msimang

 

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