Performance Monitoring & Benchmarking Unit; Alternative Service Delivery Unit: briefing

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Public Enterprises

13 March 2002
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Meeting report

PUBLIC ENTERPRISES PORTFOLIO COMMITTEE

PUBLIC ENTERPRISES PORTFOLIO COMMITTEE
13 March 2002
PERFORMANCE MONITORING & BENCHMARKING UNIT; ALTERNATE SERVICE DELIVERY UNIT: BRIEFING

Committee Chairperson: Mr. B Martins

Documents handed out:
Performance Monitoring and Benchmarking Power Point Presentation
Alternate Service Delivery Power Point Presentation

SUMMARY
Briefings were given on the Department's Performance Monitoring and Benchmarking Unit and its Alternate Service Delivery Unit. Thereafter questions were asked on such issues as the challenges facing the Unit, the number of disabled members in the Unit, Black Economic Empowerment percentages in the Department and the relationship between the two Units.

MINUTES
The Committee was briefed by two Units from the Department of Public Enterprises:
- the Performance Monitoring and Benchmarking Unit led by its Chief Director, Ms Nonkululeko Msomi;
- the Alternate Service Delivery Unit headed by its Director, Ms Nthabiseng Seperepere.

Ms Msomi's presentation, gave what she termed a "helicopter view" of the responsibilities and the future direction of her Unit in the light of the new budget. Whereas Ms Seperepere's, on the other hand, focussed on Department of Public Enterprises' Operational Framework and its preferential system of procurement. [Please refer to their Power Point presentation documents].

Discussion
Mr Hennie Bekker (IFP) asked if the two Units were independent of each other or one entity. He also wanted to know when the Performance Monitoring and Benchmarking Unit was established.

Ms Msomi answered that although there was a strong synergy and overlaps between them, particularly on the issue of Black Economic Empowerment, the two Units were independent. The Performance Monitoring and Benchmarking Unit had been established in 2000.

Mr Bekker asked that if the two units were independent of each of other, who was going to report to the Portfolio Committee regarding the misbehaviour of any entities they were involved with.

Ms Msomi replied that there were various authorities dealing with shareholding. Among others, was the Board of SOEs, which was an accounting authority. It was legally responsible to account in such eventualities. She added that the Department of Public Enterprises through the Units would also have to come and account before the Portfolio Committee if things were not right.

Mr R Mohlala (ANC) asked Ms Seperepere about the procurement targets for Black Economic Empowerment in the light of the procurement system currently in place.

In her reply, Ms Seperepere said that Mohlala's question was difficult to answer because of the fact that procurement had been seen as a technical exercise. In her reply to the same question, Ms Msomi said that they had benefitted many people with the bulk of those being found in positions of power in the state's enterprises. She further explained that a report was being compiled on the status of black economic empowerment in the area of procurement.

In reply to Mr Mohlala asking how often the two Units would report to the Committee, Ms Msomi said twice a year.

Mr Kompela (ANC) commented that the briefing by Ms Msomi on her Unit had created the impression that everything was smooth sailing and that the Unit was faced with no challenges as she had made no mention of challenges to the Unit. He then asked if there were any serious challenges for the Unit.

Ms Msomi admitted that there were a number of challenges facing her Unit. She identified the following: lack of capacity on which they were working; balancing shareholding and interferences; the lack of a fine line between relations of government as a policy maker, legislator and its role of oversight; finding a balance between possible incompatibility between the Company Act and the Public Finance Management Act; and overlaps between the two Units.

Replying to Mr Kompela's query about the number of disabled people in her Unit, Ms Msomi said disability was viewed in a serious light within the Department and that the matter was currently under consideration. She said she could not tell as to when disabled people would be hired. She promised to update the committee members regularly on that.

The meeting was adjourned.

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