Virtual Oversight: Germany; Senegal; Botswana, Saudi Arabia missions

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International Relations

02 June 2021
Chairperson: Ms T Mahambehlala (ANC)
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Meeting Summary

In this virtual meeting, the Committee conducted virtual oversight of four foreign missions. South African Embassies in Germany, Senegal, Botswana and Saudi Arabia gave a briefing of each of their Embassies. Their briefing provided an organisational overview of their Embassies, staff component and their assets registry.

Maintenance challenges were outlined in Bonn, Germany and Ambassador showed the Committee footage of the dilapidated building. The building is 50 years old and a recommendation was made to sell the building. The other properties in Germany are well maintained. The Department of International Relations and Cooperation (DIRCO) did not own any underdeveloped land in Germany.

The Senegal, Botswana and Saudi Arabia Embassies were renting property and they owned undeveloped land. The properties occupied by the Embassies were all in good condition and are regularly maintained. The property in Botswana and Senegal were classified as prime property due to their location.

Members raised concern about the Bonn property as they felt it was unacceptable that the building had been left to decay like this. Through the two days of virtual oversight of 15 embassies, there was a common theme of neglect and buildings being left to decay. Members said if property management funds were misappropriated, those responsible must be brought to book. Members flagged DIRCO for the lack of accountability and said this needs to change. Consequence management had been raised repeatedly but still no action from the Department. Members said the DIRCO Property Management Unit should appear before the Committee. The Committee requested the Department prepare a property management report on what plans were in place for all properties it had oversight of so far. It called on DIRCO to better prepare for these virtual oversight visits and to inform all missions that they might have oversight soon.

Meeting report

The Chairperson asked the Department to ensure all Missions were ready to present. 

Ms Noncebo Losi, DIRCO Acting Director General, made a brief introduction and handed over to the Ambassador in Germany.

Germany oversight presentation
South African Ambassador to Germany, Stone Sizani, explained that DIRCO does not have underdeveloped land and has four properties in Germany, two in Berlin and two in Bonn. He will focus only on the Bonn properties since they are the only ones that are in bad condition as the Berlin properties are in good condition and are regularly maintained. The Bonn properties were built in 1970. DIRCO has the title deed for these properties. Due to the age of these buildings it was hard to do maintenance  work on them because it is expensive and there are no funds. Further details of the properties in Bonn were presented.

Video footage of the chancery and official residence was shown.

Mr Sizani said there were 14 officials in Bonn and only one of them is staying at the official Bonn residence and the rest are renting with DIRCO carrying those costs. He has made a suggestion to DIRCO to sell the official residence and buy three properties to house the officials. There are a few German businessmen interested in buying the property.

Discussion
Ms T Msane (EFF) asked if the 50-year-old building is the office and how old the residence is.

Mr X Nqola (ANC) said as the Committee continues these virtual oversight visits, the most common concern that the Committee should take seriously is the bad state these properties are in. This has been seen in all the oversight visits so far. These are properties of value that were left to decay and he asked why this is continuously happening under DIRCO’s watch. Is there a plan in place to solve this problem? Leaving properties to decay without proper maintenance makes them expensive to fix and DIRCO is already operating on a limited budget. DIRCO needs to take better care of its assets.

Mr D Bergman (DA) agreed saying the DIRCO head of property management resigned without facing the music. Mr Bergman had been to Bonn properties and when he was there, they were still in good condition. It breaks his heart to see these buildings like this. These were beautiful buildings and it is amazing what neglect can do to buildings. These buildings look like they are in a war-torn country. People need to be brought to book and the Special Investigating Unit (SIU) needs to be involved in this. He asked the DG what has been done about this. There are restrictions currently in place at DIRCO; important decisions are being made and the Committee is not being informed

Mr B Nkosi (ANC) asked if Germany was part of the road show DIRCO had. Was Germany included in the report compiled by the previous head of property management for the attention of the Department? If so, were these concerns highlighted and selling the properties raised? What has been done about this report?

Mr M Chetty (DA) said this all comes back to what has been discussed about previous oversight, there is a lack of accountability in DIRCO. What was the Department doing while these building were falling apart? The Committee knows the Department has a team that does oversight on DIRCO properties. What were these people doing when they visited these buildings? Those in charge of DIRCO property management think this is their own fiefdom where they can do as they please. He asked who will be held accountable since the head of property has resigned. Criminal charges must be brought against people who misappropriated maintenance funds. Oversight and accountability is not a priority within DIRCO and this needs to stop. The Committee needs to stop being a talk shop and take action against DIRCO.

Mr W Faber (DA) said property will always be a top investment and DIRCO has lost sight of this. The Committee must look at how to fix these properties and potentially lease them. This could generate much needed funds for DIRCO.

DIRCO response
Ambassador Sizani replied that both properties were the same age; they were just occupied at different times. They had made a proposal to DIRCO about selling these properties and cannot answer for the Department on that matter. Some of the matters raised he cannot answer as these are the responsibility of the Department.

Ms Losi replied that a DIRCO team visited Germany and there was a report recommending the sale of the Bonn properties. These properties were then put on the list of properties that would be sold. A concurrence letter was sent to the Minister of Public Works with a list of these properties that should be sold. DIRCO needs permission to sell state land from Public Works since it is the custodian of all state-owned properties. The concurrence letter was sent last month.

Ms Losi replied that nothing was done on the report compiled. The Minister is consulting with the security cluster to start criminal proceedings against people who have misappropriated funds. There is a restructuring process happening at DIRCO and the Committee would be informed of all decisions taken in due time. Consequence management was not in place in the past, but people will start facing the music. There are a number of officials who have been suspended and investigations are under way to bring people to book.

Ms Hlengiwe Bhengu, DIRCO Acting Chief Financial Officer, explained that Public Works previously denied the Department the opportunity to sell these properties. The DIRCO Minister has recently written a report to Public Works and a request for concurrence. In 2018 when the Bonn property had a valuation, it was valued at R27 million.

The Chairperson asked if there was a professional assessment of the two buildings and a recommendation on what must happen to each building. She asked what informed the Department stance of selling the residence building.

Mr Nkosi said it is difficult to understand the inaction as there has been the 2018 report and the assessment from 2014 prompted by the Committee. Reports have been with DIRCO for years and it is only when the Committee complains that action is taken. The property unit is clearly not doing its job and the Acting DG must take action. Writing a letter to Public Works does not absolve DIRCO from this inaction. DIRCO’s property management unit must present to the Committee.

Ms Losi said there was a professional valuation. The recommendation was based on the decision that Chancery move to Berlin. DIRCO does not have the capacity to lease out properties. The previous Ambassador recommended it would be cheaper to rent than own. The property unit will present to the Committee. She cannot comment why there was inaction on these reports since she became Acting DG only a few months ago. However, she is doing everything in her power to implement these reports, and although it has been slow, there has been action.

Senegal oversight presentation
Ms Levina Govender, First Secretary: Political, South African Embassy in Dakar, Senegal, led the briefing. She presented an organisational overview of the embassy and said the position of Ambassador is currently vacant. She gave details of the assets owned by the embassy. South Africa owns undeveloped land and the process to start building has not started.

Video footage of the Embassy was shown.

Mr Govender noted it is difficult to get three quotes in Dakar and that makes it challenging when repairs need to happen. Further details were given about the Embassy.

Discussion
Mr Bergman said he agreed with Ms Govender that it is a prime piece of land. He has visited Dakar and saw the land is situated in a very high-class area surrounded by business and central to many important landmarks. DIRCO needs to develop that land and start influencing the businessmen in that area to invest in South Africa.  He asked how much has been spent on the land

Ms Govender replied that no money has been spent.  She noted that in Gambia, South Africa owns the building, but the Gambian government owns the land.

Ms Losi said they intend to sell the house in Gambia. A detailed report will be sent to the Committee about what has been done about all properties and land owned by  DIRCO. There are financial constraints but there are negotiations with National Treasury, and it depends on how much funding is made available to the Department for these properties and land.

Botswana oversight presentation
Ms Rosemary Mashaba,  South African High Commissioner to Botswana, introduced her team and gave a organisational overview of the Embassy in Gaborone, Botswana. She took Members through the presentation and highlighted that South Africa owns the Embassy property. The property is adjacent to the Presidential Palace, residence of the President of Botswana. The property is well maintained. Ms Mashaba took Members through the asset registry.

Video footage of the Embassy was shown.

Further details of the Embassy were presented.

Discussion
Ms Msane asked DIRCO what was planned for the properties in Botswana. What were the findings and how will the Department move forward?

Ms Losi replied that DIRCO has no funds at the moment to build. No additional funds have been allocated and until funds became available, they cannot move forward on renovations and building plans. There is a plan to build in Botswana.

Saudi Arabia oversight presentation
South African Ambassador to Saudi Arabia, Mr Themba Rubushe, introduced his team and gave an overview of the Riyadh Embassy. They presented the asset registry and said that South Africa owns vacant land in Riyadh. There were no running expenses for the land. The South African Mission is renting within the diplomatic village where access is controlled by the Saudi Arabia government. All embassies are located within these premises.

Video footage was shown of the Embassy.

Discussion
Mr Nkosi observed the staff at this embassy is predominantly male.

Ms Losi replied that it is true and this is because of how things function in Saudi Arabia.

Mr Nkosi said the answer is not adequate.

Ms Msane asked what the plan is for this land.

Ms Losi replied that as noted earlier there are budget restraints and Riyadh is not on the DIRCO list of land that will be developed over the next three years. It might be added to the list for development after three years or when funds become available.

The Chairperson thanked DIRCO and said she hopes the Department is better prepared for the next round of oversight visits. She thanked the Ambassadors for availing themselves.

Meeting adjourned.
 

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