Reply:

1. SASSA works closely with the Department of Home Affairs (DHA) on deceased data validation and conducts monthly checks to confirm the life status of beneficiaries before a payment is generated. Payment is effected to beneficiaries who are confirmed to be alive, as per validation outcomes.

(2) Yes, there are instances where deceased social grant recipients have been wrongly paid. This happens when a grant beneficiary dies after proof of life is confirmed by DHA and when the payment run is released to the beneficiary’s bank account.

(a) The numbers of such social grant recipients in the past three years are as follows:

(i) 2021/2022 = 32920

2022/2023 = 26512

2023/2024 = 15204

(ii) To prevent the withdrawal of social grant monies, SASSA freezes the accounts of the deceased beneficiaries through Post Bank and follows up with a letter to the next of kin to return the money to SASSA. Where a withdrawal has already taken place, a SASSA debt recovery process is followed.

b) The monetary value of such payments in each of the past three years is as follows:

2021/2022 = R59 256 000

2022/2023 = R50 372 000

2023/2024 = R31 928 000

Reply:

1. (a) The Free State Provincial Department of Human Settlements included 96 blocked projects in the current business plan of 2023/24 financial year. Out of the 770 projects that have been reported as blocked, 96 of them have been targeted for implementation in the current financial year. The projects are currently at various stages of implementation. The completion of these projects will differ from one project to another based on the complexities of each one.

(b) This financial year alone, the province targeted to implement 96 out of 770 projects, which constitutes 12 percent of the blocked projects.

2. The list of blocked Projects is attached .

Reply:

(a) A temporary shelter should ideally not be occupied for more than 24 months. The National Department will develop policy guidelines in conjunction with the sector to determine the maximum time a household could be housed in a temporary shelter

(b) With reference to shelter that collapsed in Ntsitho Village, Ward 3 of Instika Yethu Local Municipality, the National Department did a physical verification of the affected household on 06 December 2023. The appointed service provider has been issued with a request to construct a new TRU with concrete foundation for the affected household.

.

NATIONAL ASSEMBLY

INTERNAL QUESTION PAPER

QUESTION NUMBER: 4144

DATE OF PUBLICATION: 01 DECEMBER 2023

K DITSHEGO

ACTING DEPUTY DIRECTOR-GENERAL: INFORMAL SETTLEMENTS UPGRADING AND EMERGENCY HOUSING

DATE:

Recommended/not recommended

N DUMALISILE

ACTING DIRECTOR-GENERAL:

DATE:

____________________________________________________________

Approved/Not approved

M.T KUBAYI, MP

MINISTER OF HUMAN SETTLEMENTS

DATE:

Reply:

The question falls under the Executive Authority of the Member of the Executive Council (MEC) for Kwa Zulu Natal. The Member is kindly requested to refer the question to the MEC for Kwa Zulu Natal as per section 92(3)(b) of the Constitution and Rule 134 (5)(b) of the NA rules. 

Reply:

In 2011, the Department of Basic Education launched the Accelerated School Infrastructure Delivery Initiative (ASIDI-2011). This programme focused on the following:

• Appropriate building for schools made entirely of inappropriate materials.
• Appropriate water supply to schools with no water.
• Appropriate sanitation at schools with no toilets.
• Appropriate electricity supply to schools with no electricity supply.

In 2018, the Department of Basic Education launched the Sanitation Appropriate For Education (SAFE-2018) initiative.  This programme focused on the following:

• Providing appropriate sanitation at schools dependent on basic pit toilets.

Both the ASIDI & SAFE programmes are funded from the School Infrastructure Backlog Grant (SIBG).  The Department submit weekly progress reports on the ASIDI & SAFE programmes to the Minister (DBE-2023).

(1) SIBG budget allocation in the past four financial years are:

(2) Actual expenditure in the past four financial years is:

(3) Construction and/or maintenance

330 of the 338 schools made entirely of inappropriate materials, have been provided with appropriate structures through ASIDI. This is 97.6% progress.

1 298 of the 1 307 schools with no water supply, have been provided with water infrastructure through ASIDI. This is 99.3% progress.

1 087 of the 1 087 schools with no toilets, have been provided with sanitation infrastructure through ASIDI. This is 100% progress.

373 of the 378 schools with no electricity supply, have been provided with electricity through ASIDI. This is 100% progress.

2 975 of the 3 380 schools dependent on basic pit toilets, have been provided with appropriate sanitation infrastructure through SAFE. This is 88% progress.

A list of the constructed schools is attached hereto indicating which are (i) Primary and (ii) High Schools.

ASIDI and SAFE do not do maintenance of schools.

Reply:

The question falls under the Executive Authority of the Member of the Executive Council (MEC) for Kwa Zulu Natal. The Hon Member is kindly requested to refer the question to the MEC for Kwa Zulu Natal as per section 92(3)(b) of the Constitution and Rule 134 (5)(b) of the NA rules. 

Reply:

Yes, the issue was on the agenda of the MINMEC meeting held on 5 December 2023 and was discussed at length with all MECs. The meeting to discuss and find long term solution is scheduled for early next year with the KZN Provincial Department of Social Development. The meeting will address issues that are a challenge for both parties. All the NPOs that have signed the Service Level Agreement (SLA) with the Department have been paid their subsidies as in December 2023.

Reply:

Below is the statistical information on the contactable options for victim of Gender Based Violence:

a) Calls received

Date	Telephone Calls Received
01 November 2022 – 31 October 2023	54 398

b) Please-call-me notifications received

Date	Please-call-me Notifications Received
01 November 2022 – 31 October 2023	0

The Department of Social Development appointed a new service provider for the GBV Command Centre who started 01 November 2023. During that transition phase, certain channels for example SMS, USSD, Skype and Webpage were not fully operational hence, some of the statistical information on these channels for that period are not available.

c) Skype Calls Received and responded to

Date	Skype Calls Received	Skype Responded to
01 November 2022 – 31 October 2023	10	09

In addition, the following email/website requests were received and responded to for the same period:

Date	Email/Website Requests
01 November 2022 – 31 October 2023	572

(a)(i) GBV cases that were referred to Social Workers

The GBVCC Social Service Professionals conducted telephonic referrals to various stakeholders at an estimation of 1059 cases in the past 12 months. The Social Workers also conducted 496 written referrals to Social Workers in the different provinces.

ii) Below are the specified cases that have been resolved successfully

Over 1000 cases were resolved successfully based on follow ups conducted by Social Workers and Supervisors on all referred cases.

(b) The GBV Command Centre assist with GBV cases as they provide psychosocial services and support to victims telephonically in terms containment, emotional support, dealing and management of trauma as well as counselling. The Social Service Professionals are working closely with different stakeholders such as SA Police Service, National Prosecution Authority and the Department of Justice. The GBV Command Centre ensures that victims are promptly connected with relevant stakeholders in cases of emergency. They activate the SA Police Service to dispatch a vehicle to the scene immediately to ensure the victim is assisted in a domestic situation. Furthermore, the GBVCC Social Service Professionals will then make the necessary follow up with SAPS as well as the victim within a period of 30 minutes to ascertain that the victim is indeed receiving the required assistance.

Reply:

(1) The current Director-General (DG) of the department previously worked for Gauteng Provincial Government (GPG) before being appointed at the department. The DG of the department at the time when the current DG was appointed as GPG Head of Department: Community Safety and Liaison was Professor Richard Levin.

(2) The person met the requirements as the person was appointed to act in terms of section 32 of the Public Service Act, which requires that the person so acting must have the knowledge, skills, behaviour and aptitude that the person can apply in the work environment, which indicates a person’s ability to meet the requirements for a specific post, to act in the post.

(3) The performance of the Branch had been suffering from limited capacity, organisational restructuring and a lack of leadership for some time.

This is demonstrated by the challenge to achieve a number of targets including a Jobs Competency Framework which has been due since 2018 and a Recognition of Prior Learning (RPL) Policy for the Public Service which has been outstanding since the White Paper for Post -School Education and Training (WP PSET) was approved by Cabinet on 20 November 2013 which called for the "RPL to be prioritised” as well as the Directive on Mandatory in-service training for the public service which has also been outstanding since 2018. It should be noted that all the three targets that were not met, predated the appointment of the said acting person including the integrated HRM&D strategy and implementation plan which was due since 2019.

The attainment of 25% of Annual Performance Plan (APP) targets and 67% of their Annual Operational Plan (AOP) targets for the 2022/2023 performance cycle should be noted against this backdrop. Following the stabilization of the leadership of the HRMD Branch, as at the 2nd quarter of the 2023/2024 performance cycle, the Branch achieved 75% of the APP targets and 95% of the AOP targets.

(4) The specified person’s appointment was not irregular. The Department is aware that a complaint on the appointment of the specified person was reported to the Public Service Commission and is being investigated.

(5) The Department is not aware of any irregular appointment as no institution has pronounced on any illegality. Consequently, nothing has been reported to the DG: Presidency and no action was required or taken in this regard.

End

Reply:

a) The Department has implemented new funding model with effect from October 2023. The new funding model entails paying NPOs in tranches on a quarterly basis. The tranche will be paid in April, July, September and January each financial year. This will ensure timeous payment of subsidies to NPOs

b) 

1. Subsidies for August 2023 were paid in full on 06 October 2023;
2. Most of NPOs have been paid subsidies for September, October and November 2023. The remaining unpaid NPOs will be paid on 2 November 2023.
3. October is included on the New Funding Model, final payment will be made on 2 November 2023.

c) There were delays in payment of subsidies due to cash blocking resulting from budget cuts. The funds are allocated by Provincial Treasury on monthly basis. The department does not have enough cash to pay for its contractual obligations and operational costs.

The department has requested funds for NPO subsidies to be allocated quarterly in order to pay NPOs in tranches to avoid late payments. The tranche payment to NPOs will be paid in April, July, September and January each year. The first tranche for 2023/24 has been effected in October 2023 and the next one will be in January 2024.

Reply:

Restrictions on exports of certain scrap metal and copper cable products have been put in place since 30 November 2022, following research done on measures to curb widespread theft; and at the request of law enforcement and other entities.

Concerns have been raised by companies in the blast-furnace value chain and by scrap metal exporters. Support has been expressed by companies in the arc-furnace value-chain. The IDC is exposed to investments in both blast-furnace and arc-furnace value-chains. The export restriction is not however an industrial policy measure but is specifically focused on addressing the demand for scrap metal, which has been found to be a factor in incentivizing theft of cable and metal from public infrastructure. The impact of the measures is being considered and no information is ready for public release.

-END-

Reply:

(1.a) The following number of sanitation facilities were provided in each province per financial year through SAFE Programme.

(ii.b) DBE provides wet or dry sanitation based on reliability of water supply by the water service authority where the school is located.

(2) (a) SAFE and ASIDI Programmes are funded through the School Infrastructure Backlog Grant (SIBG).

(b) SIBG Expenditure for 2019/2020 FY to date is as follows.

(c) All SAFE schools have been allocated to implementing Agents and their completion date has been affected by budget cuts.

(d) DBE planned to complete the SAFE programme by end of 2023/24 financial year subject to availability of funding.

Reply:

Appointments made within the dtic-group are based on suitability of candidates for the job. In addition, the dtic-group has taken action to address any instances of corrupt and/or inappropriate financial behaviour, as evidenced by steps taken in respect of the National Lotteries Commission.

The reasons for deindustrialisation can inter alia be traced back to premature and sharp reductions in trade support to industry, following the binding offer made prior to 1994 by the National Party government during the global trade talks in the Uruguay Round of the Generalised Agreement on Tariffs and Trade (GATT). This was compounded by limited supply-side measures to assist firms to strengthen their competitiveness, which is normally applied to assist with a transition from high trade protection, at about the time when China and other Asian exporters expanded their manufacturing output. A number of structural factors that have been highlighted previously, have also served to constrain manufacturing growth.

The focus on sector-specific growth strategies as contained in masterplans, access to large export markets, support for local firms and other elements of the reimagined industrial strategy, are aimed at reversing these trends. Preferential procurement policies have included support for procurement from local manufacturers, which have helped to lean against deindustrialisation pressures.

Government considers lessons from global best-practice and research and insights from policy-thinkers in adjusting policies to address the extraordinary challenges faced from the legacy of our past.

-END-

Reply:

2975 schools dependent on basic pit toilets have been provided with appropriate sanitation infrastructure through SAFE.

The table below provides a number of schools on SAFE provided with appropriate sanitation per province.

Reply:

(1) (a) Nationally, there were 3 898 schools initially identified on the SAFE programme and additional 809 schools were later added. 867 schools did not proceed due to some schools closing, some schools not meeting SAFE criteria, some of the schools are on private land and some have sufficient number of toilets in line with the Norms and Standards. DBE proceeded to intervene at 3 380 schools. 

(b) The following tables provides a breakdown of schools per Province.

(i) Accelerated School Infrastructure Delivery Initiative (ASIDI) focused on providing appropriate sanitation to schools with no toilets. The following schools have been provided with sanitation:

(ii) Sanitation Appropriate for Education (SAFE) initiative focused on providing appropriate sanitation at schools dependent on basic pit toilets. The following number of schools have been provided with sanitation. (iii) The table below includes sanitation provided by both provinvial education departments and Donors.

(2) (a) ASIDI sanitation projects have been completed. Number of SAFE schools completed are provided in (1.ii) above.

(b) The Completion date for the remaining SAFE schools has been affected by budget cuts. DBE had planned to complete the schools by end of 2023/24 financial year.

Reply:

1. The details of the destination, total costs for accommodation, travel and other costs incurred for international of each Minister and Deputy Minister since 1 June 2019 are depicted in the tables below:

International Travel
(aa)		(a)	(b)(i)	(b)(ii)	(b)(iii)
	Date	Destination	Accommodation	Flights	Forex & Insurance
Minister	Oct 2019	BRAZIL		R90 264,43	R225,00
	Oct 2019	ETHIOPIA		R32 700,93	R5 402,00
	Sep 2019	KENYA		R28 213,43	R0,00
	Feb 2020	ETHIOPIA		R66 062,93	R5 132,00
	Feb 2020	UNITED STATES		R155 327,93	R0,00
	Nov 2021	ETHIOPIA		R63 965,75	R0,00
	Mar 2022	UNITED STATES		R108 409,75	R0,00
	Jun 2022	MALAWI		R59 935,80	R225,00
	Nov 2022	UNITED ARAB EMIRATES		R109 106,00	R17 436,00
	Nov 2022	TOGO		R48 584,40	R8 045,00
	Jun 2022	RWANDA		R27 390,40	R5 810,00
	Feb 2023	UNITED STATES		R228 927,45	R36 000,00
Total			R0,00	R1 018 889,20	R78 275,00
International Travel
(bb)		(a)	(b)(i)	(b)(ii)	(b)(iii)
	Date	Destination	Accommodation	Flights	Forex & Insurance
Deputy Minister	Oct 2019	BELGIUM		R83 956,93	R225,00
	Feb 2020	UNITED STATES		R170 091,43	R405,00
Total			R0,00	R254 048,36	R630,00

2. The total cost incurred for domestic air travel for each Minister and Deputy Minister of her Office since 1 June 2019 are depicted in the tables below:

(a)	Period	Total cost Domestic Air Travel
Minister	1 June 2019 to 1 Mar 2023	R578 096,79
(b)	Period	Total cost Domestic Air Travel
Deputy Minister	1 June 2019 to 1 Mar 2023	R327 696,51

________________________

Approved by Minister

Dr NC Dlamini-Zuma, MP

Date:

 

Reply:

a) The partnership with the Republic of Ghana is a bilateral relationship that seeks to;

Establish and formalise exchanges on adequate and affordable housing delivery. The Department of Human Settlements has had ongoing exchanges with the Ministry of Works and Housing of the Republic of Ghana, mostly at international meetings, advancing the creation of sustainable human settlements.

The partnership also becomes a platform to facilitate the establishment of networks between sector actors outside of government to forge public-private collaboration that will enable the delivery of affordable housing. Moreover, the platform was instrumental for bringing together business entities to respond to the growing need for human settlements infrastructure that is required at scale and pace, in response to the trends of rapid urbanisation.

The Minister of Human Settlements undertook to advance the cordial relations between the two countries to deepen exchanges in respect to approaches in the provision of adequate housing and undertook an official visit in this regard during October 2023.

b) Some of the best practice models witnessed in Ghana include, but are not limited to;

• Employer assisted housing, through which public-private partnerships are developed (government and a private companies/ employers) with the view to build houses for a predetermined category of employees who would ordinarily not be able to build houses for themselves.

• Blended finance from government and private sector sources to raise capital in a complimentary manner in order to fund joint business ventures.

• Property practitioner regulations and management, which regulates the affairs of all property practitioners, spells out the obligations of the property practitioners towards housing consumers and strives to maintain professional standards in the property practitioners’ sector.

These areas will be explored through further knowledge exchanges between the two countries.

Reply:

(1) The 10 Point Plan was introduced in the year 2000 and was well encapsulated in the 2000-2005 Strategic Plan of the Department. The Ten Point Plan was published on the DSD homepage and is still there even today. Since these are public documents, the Department of Social Development took a conscious decision to retain archived documents on its home page in line with the Public Access to Information Act for easy access by the public for purposes of research and general information.

In terms DPME Framework for Strategic Planning and Annual Performance Plans, strategic priorities are reviewed on a medium-term basis, every 5 years, in line with the dispensation of the government administration. Therefore, the strategic priorities have been revised in line with the National Development Plan (NDP) and the Medium-Term Strategic Framework (MTSF).

(2) The Ten-Point Plan is still relevant to the work of the Department and have since been institutionalised to inform the Programmes and the structure of the Department. The plan still forms part of our Departmental mandate and still finds expression in the strategic documents such as the APP, and through the key outcomes for the 2019-2024 MTSF. The key outcomes are:

• Outcome 1: Reduced levels of poverty, inequality, vulnerability, and social ills
• Outcome 2: Empowered, resilient individuals, families, and sustainable communities
• Outcome 3: Functional, efficient, and integrated sector

(3) The Recruitment and Retention Strategy for Social Workers, which includes the Social Work Scholarship Programme was introduced in 2007. Since then, the Department recruited, trained and appointed 8 821 social work graduates. Since the 2018/2019 financial year, the Department has been experiencing capacity challenges to absorb all social work graduates due to budgetary constraints.

As a result, our country faces the paradox of social work graduates unemployment co-existing with major social ills in many communities. To address this challenge, the Department is working jointly with other key departments in the sector on Sector Strategy for Employment of Social Service Professionals as guided by the National Development Plan, which puts the figure at 55 000 social service professionals.

Reply:

The question falls under the Executive Authority of the Member of the Executive Council (MEC) for KwaZulu-Natal (KZN). The Member is kindly requested to refer the question to the MEC for KZN as per section 92(3)(b) of the Constitution and Rule 134 (5)(b) of the NA rules. 

Reply:

(1) Yes, the Department monitors the GBV Command Centre on a daily basis through social workers and social work supervisors. The Technical Shift Supervisor performs at least one test per shift per channel to test that the channel is active, monitored and promptly responded to. In addition, the Quality Assurers of the GBV Command Centre provide quality assurance as part of monitoring and improving the times in which these channels are responded to.

(2) Depending on the nature of the call, the callers are referred for various services, including the SA Police Service, Civil Society Organizations including GBV Shelters in cases of domestic violence and rape. They are further referred to both Government and Non-governmental organisation (NGOs) i.e. the Department of Justice for protection orders, Department of Health for injuries and NGOs such as Family and Marriage Society of SA (FAMSA), Lifeline for face-to-face counselling on family preservations. The GBV Command Centre also refers cases to the Local DSD offices through the provincial offices.

(3) The GBV Command Centre is managed by qualified Social Workers and Social Work Supervisors with the support of Technical Shift Supervisors in terms of testing and ensuring that all the channels are fully operational.

(4) (a) Please see below attached annexure A on the three Job Descriptions as per the Occupation Specific Dispensation (Social Auxiliary Worker, Social Worker and Social Work Supervisor).

(4) (b) The qualifications are BA Social Work or Bachelor of Social Science in Social

Work for Social Workers and Social Work Supervisors; and a Certificate in

Social Auxiliary Work for Social Auxiliary Workers.

Reply:

a) The Special Economic Zone (SEZ) tax incentive was introduced into the Income Tax Act to promote investment, growth and job creation in the South African manufacturing sector and the development of designated regions. On 6 July 2018, the Minister of Finance issued Government Gazette 41758, with the following SEZ’s eligible for purposes of the reduced income tax rate:

• COEGA Special Economic Zone

• Dube Trade Port Special Economic Zone

• East London Special Economic Zone

• Maluti-a-Phofung Special Economic Zone

• Richards Bay Special Economic Zone

• Saldanha Bay Special Economic Zone

A qualifying company can only benefit from the tax incentive if it is located within an eligible SEZ and based on financial considerations to the state, as required by section 12E(3) of the Income Tax Act. The potential benefits are:

• A reduced corporate income tax rate of 15%; and
• An accelerated depreciation allowance of 10% on cost of any new and unused buildings or improvement owned by the qualifying company.

In terms of the qualifying criteria, 90% of the companies income must be derived from the carrying on of business or provision of services within that SEZ; and no more than 20% of the deductible expenses incurred or 20% of the income received by or accrued to the company are from transactions with connected persons that are residents or with non-residents and those transactions are attributable to a permanent establishment in the Republic.

With regards to the depreciation allowance, companies do not qualify, if the buildings are owned by the SEZs themselves.

(i) and (ii) According to information provided by the qualifying SEZs for the financial years 2020-21 and 2022-23, 9 companies applied for the reduced income tax rate. Three (3) companies in COEGA and six (6) companies applied in Dube Trade Port for the reduced income tax rate.

b) The disclosure of the total value of the tax discounts for companies is governed in terms of the Tax Administration Act, 2011, administered by SARS. Taxpayer information is subject to the confidentiality provisions, which contained in Chapter 6 (sections 67 to 74) of the Act.

Access to information can be directed through the relevant portfolio committee to SARS.

 

-END-

Reply:

Section 27(3) of the Public Finance Management Act (PFMA) states that an annual budget must be in accordance with a format prescribed by the National Treasury. The Medium-Term Expenditure Framework (MTEF) Technical Guidelines 2024 for provinces were issued in June 2023 to make such prescriptions, provide government departments, as well as provincial public entities, with guidance on how to prepare their medium-term estimates for the 2024 Budget and to promote alignment between the budget and procurement plans.

As part of these guidelines, infrastructure projects and programmes must be undertaken following the Infrastructure Delivery Management System (IDMS) supported by the Framework of Infrastructure Delivery and Procurement Management (FIDPM). Infrastructure (User) Asset Management Plan (IMAP/U-MAP) must be prepared and updated annually outlining the asset activities and resources required. The plan must include a list of programmes and projects for a minimum period of five years. To promote alignment between the budget and procurement plans, the IAMP/UAMP must inform the development of the Infrastructure Programme Management Plan (IPMP) and Infrastructure Procurement Strategy (IPS) which specifies what the department intends to achieve in the next 3 years of implementation of projects/programmes.

In May 2023, the National Treasury also published a Guideline on Budget Submissions for Large Strategic Infrastructure Proposals. This guideline invites submissions from public institutions in respect of large infrastructure projects and/or programmes that require budget support over the 2024 MTEF. To promote alignment between the budget and procurement plans, each proposal should include a procurement strategy that details the selected packaging, contracting, pricing and targeting options for all the required goods and services or a combination thereof as well as the procurement procedure to ensure alignment to Constitutional requirements and other legislative requirements. Furthermore, all proposals that require direct budget support over the 2024 MTEF must be shovel ready – in other words, they should be ready for immediate procurement, contracting and construction.

Reply:

1. Whether lifestyle audits are conducted: Yes

a) How often? Annually, in accordance with the schedule provided by the Public Service Regulations on Financial Interests Disclosure Framework, DPSA Directives and DPSA Guide on Lifestyle audit.

b) When last was lifestyle audit conducted? As the first phase of the audit, lifestyle review was last conducted in the 2022/2023 financial year [financial disclosure forms were submitted by SMS members in April 2022 and by other designated employees from June to July 2022].

c) How many employees were lifestyle audited? In the lifestyle reviews, 135 verifications were conducted for SMS members and 536 other designated employees in 2022.

d) What were the relevant details? There were no referrals for investigations and therefore no finding on lifestyle audit against these employees.

 

 

Reply:

The question falls under the Executive Authority of the Member of the Executive Council (MEC) for Kwa Zulu Natal. The Member is kindly requested to refer the question to the MEC for Kwa Zulu Natal as per section 92(3)(b) of the Constitution and Rule 134 (5)(b) of the NA rules. 

Reply:

1. The question falls under the Executive Authority of the Member of the Executive Council (MEC) for Kwa Zulu Natal. The Member is kindly requested to refer the question to the MEC for Kwa Zulu Natal as per section 92(3)(b) of the Constitution and Rule 134 (5)(b) of the NA rules. 

Reply:

I am advised as follows. On 6 July 2018, the Minister of Finance issued Government Gazette 41758 indicating that companies located in the Saldanha Bay IDZ can be eligible for tax incentives/rebates based on qualifying criteria.

These incentives include:

• • A reduced corporate income tax rate of 15%.
  • An accelerated depreciation allowance of 10% on cost of any new and unused buildings or improvement owned by the qualifying company.
  • Customs Control Area Incentives (CCA).

Currently National Treasury has put a sunset clause for SEZ Tax Incentives/ Rebates ending 2031. In terms of the SEZ Act No. 16 of 2014, the Minister of Trade and Industry and Competition must consult with the Minister of Finance on tax incentives for special economic zones. The Minister of Finance is the authority to extend tax incentives/rebates. Should a clear business case be made out for extension of a tax incentive, the dtic will assist to bring same to the attention of the National Treasury for consideration.

Saldanha Bay Industrial Development Zone (SBIDZ) is a designated as an SEZ which is specifically focused on the maritime, energy, logistics and green hydrogen sectors, it offers a platform for global exports by attracting foreign and local investment in the associated manufacturing and services industries.

 

Value Proposition of the SEZ:

• Strategically located within the deep-water port of Saldanha Bay, which allows for easy access to worldwide shipping routes and road linkages to the Saldanha – Northern Cape Logistics Corridor, Cape Town and beyond, and as such represents a prime logistics location.
• Tenants and qualifying investors have access to various incentives and support, including top structures and CCA benefits.
• 356-hectare footprint of secure and prime serviced industrial land, investor sites are available for occupation.
• Saldanha has also established the Saldanha Bay Innovation Campus to boost skills development in innovation and technology in the Marine and Energy Sectors.

 

-END-

Reply:

1. The question falls under the Executive Authority of the Member of the Executive Council (MEC) for Kwa Zulu Natal. The Member is kindly requested to refer the question to the MEC for Kwa Zulu Natal as per section 92(3)(b) of the Constitution and Rule 134 (5)(b) of the NA rules. 

Reply:

The impact that the budget cuts have on the Aspirant Prosecutor Programme is that the group that is due to complete their training in January 2024, cannot be absorbed into the NPA and appointed into the entry level District Court posts, as has been tradition. However, the NPA is considering another option to be able to keep them within NPA’s employ, through their current contracts.

The Estimated National Expenditure (ENE) reflects further major budget cuts for the next 3 years of the MTEF for the Department of Justice and Constitutional Development, which affects the NPA. The severe budget cuts have a devastating effect for the NPA, to the extent that it will be a struggle to even cover the salaries of existing staff. Under these circumstances, the possibility of a new intake for 2024 is virtually impossible to accommodate.

.

Reply:

(1)(a) Section 14 of the Constitution states that the National and Provincial Departments of Human Settlements have a concurrent function of housing, necessitating strong collaboration between the three sectors in the planning and execution of human settlement development.

Hence, the Department collaborates with the Provinces, Municipalities, and pertinent sector Departments in the planning and development of Smart Cities.

(b) In accordance with the Division of Revenue Act (DORA), the Minister annually allocates funds to Provinces and Metropolitan Municipalities for the execution of National Housing Programs. The grants are allocated to the Provinces and transferred in line with the approved , who are mandated by DORA to submit grant business plans. The Provinces together with the affected municipalities will identify the human settlements projects in Smart Cities that require funding. These projects must be in line with the relevant policy and programme prescripts in the Human Settlements Code, 2009. This is the setting in which investments in smart cities are directed.

(2)(a) The Department monitors the grants it makes to the Province and the Metros in terms of performance. According to the terms of the Division of Revenue Act (DoRA), Public Finance Management Act (PFMA), and Municipal Finance Management Act (MFMA), performance analyses are conducted on a monthly and quarterly basis and submitted to the National Treasury in accordance with the applicable guidelines. The National Department conducts several performance accountability sessions, such as quarterly performance reviews and MinMec meetings, and regularly communicates the performance challenges identified as impacting the Province and the Metros.

There are also structured visits undertaken by the National Department to verify reported performance and in certain circumstances,the verification visits are undertaken as and when the need arises. Letters of non-compliance are routinely addressed to the Province or Municipality that contravened the guidelines, and the Department does step in when either one of them contravenes the provisions of the Division of Revenue Act.

(b) By declaring the Lanseria Smart City area as a region in terms of the Spatial Planning and Land Use Management Act (SPLUMA), 2013 (Act No. 16 of 2013), all three spheres of government are required to develop a Regional Spatial Development Framework (RSDF). This means that, in accordance with Section 19(d) of the Act, all three spheres of government must work together to create a Regional Spatial Development Framework (RSDF) that outlines the intended land use patterns in the area. The City of Tshwane must guarantee spatial integration, especially rural-urban integration, to accomplish this.

(c) The Mogale City is an Intermediate City and is earmarked for housing accreditation. The Provincial Department of Human Settlements will thus ensure the capacitation of the municipality as part of the process of accrediting the Mogale City.

(3) Section 18 of the SPLUMA defines a region as “A circumscribed geographical area characterized by distinctive economic, social, or natural features which may or may not correspond to the administrative boundary of a province or provinces or a municipality or municipalities”. To address the issue of divided jurisdictions and to implement national land use policies or priorities in any geographic area, the Department will collaborate with the Gauteng Province and municipalities to pursue the declaration of the Lanseria Smart Development as a region and the timetable and budget will be determined

Reply:

1. The question relates to the operations of the KwaZulu-Natal Provincial Department of Social Development, which is under the political oversight of the MEC of Social Development. As reported in several meetings of the Portfolio Committee, the National Treasury is implementing budget cuts across all government departments, including provincial departments of Social Development.

Reply:

1. The total number of correctional facilities under construction in each province are as follows:

Name of Province	Number
Gauteng	01
Eastern Cape	01
KwaZulu-Natal	01
North West	03
Free State	01
TOTAL	07

2. The details are as follows:

• Gauteng: Emthonjeni - Baviaanspoort:
• The centre has ramps to access all the sections;
• All single cells do not have disability toilets;
• Hospital cells have bathtubs without rails;
• Hospital cells have ramps for access; but don’t have disability toilets
• Correctional Centre is partially complying and this matter will be addressed under the auspices of the current project.   

• Eastern Cape: Burgersdorp:
• Complying with regards to accessibility for persons living with disabilities.
• The new Correctional Centre, currently under construction will fully comply.

• KwaZulu-Natal: Qalakabusha:
• Major security system refurbishment project underway as well as storm damage repair. The Correctional Centre is equipped with disable ramps and ablution facilities. The Correctional Centre is not fully complying.

• North West: Brits:
• Complying with regards to accessibility for persons living with disabilities (construction is on hold after the termination of the contractor).
• Correctional Centre is partially complying and this matter will be addressed under the auspices of the current project.   

• Potchefstroom:
• Complying with regards to accessibility for persons living with disabilities.
• Correctional Centre is partially complying and this matter will be addressed under the auspices of the current project.

• Klerksdorp
• The is complying with regards to accessibility for persons living with disabilities

• Free State: Parys:
• Parys Centre under upgrading is designed in accordance to the National Building Standards in respect to access for people living with disabilities.
• The new Correctional Centre, currently under construction will fully comply.

END

Reply:

I am advised that the National Empowerment Fund did not pay for the Chief Executive Officer or any other official to travel to France during the stated period. The NEF pays travel and related expenses exclusively for official business trips.

-END-

Reply:

I wish to inform the honorable Member that I have been informed that

The following interventions has been identified for training of Judicial Officers, Prosecutors and Investigators within the Anti-Corruption and Law Enforcement Agencies, to build cybercrime expertise on the following courses:

Cyber Forensic First Responder Course

This course gives a broad view of Cyber equipment and the methods to collect and seize information from devices on a high level. It gives the delegate a broad understanding of the various methodologies which could be used in gathering information, determining the criticality of various information stored in digital media.

It also provide insight into the various Acts which would come into play when collecting digital information with a broad idea of the responsibilities of the first responder. It should be noted that this is not an advance technical course but rather an introduction to the various aspects of collecting information and the responsibilities of the first responder during an investigation. The course provides the first responder with a broad understanding of the various aspects relating to cyber forensic investigation after completion of the course, understanding the various conventions relating to the regulation of electronic evidence, laws, computer science, information security systems, cyber forensics and the management are key outcomes of the course.

Open Source Intelligence Training Course

This training allows the investigators to search the internet to find clues and evidence that could guide their investigations. The roll-out of this training was first for the SIU Trainers,

This is a five day training focusing on the understanding of the network theory, technical searches, IP Addresses, E-Mails, investigations using accounts created on the social networks etc

DARWIN TOOL (Data Analysis Response Windows)

The DARWIN Tool has been developed by the French Cybercrime Department (SDLC) and the French Judiciary Police Dept (DCPJ). This tool is used by the cybercrime investigators to boot a computer and to make technical searches and to fulfill the investigation report.

The course enables the First Responder (FR) to use the DARWIN tool while retrieving data and preserving the chain of custody. The aim is to perform a quick scan from a shutdown computer and realize a forensic copy of the data. It was created under Windows 10 environment and supports a program called LIBERKEY. This Program allows you to embed all the programs in a portable version that will be used for analysis.

Mobile Investigations Training

Building expertise on the use and application of UFED Cellebrite to extract and

analyse evidence

Arrangements has been made with the NPA, Civilian Secretariat Police Service, Campus Protection Services of South Africa (Camprosa) representing 24 universities, to train prosecutors in the case of the NPA and Investigators for others in the above indicated courses starting February 2024 and on a range of Investigation courses at the Anti-Corruption Academy (Justice college).

TRAINING OFFERED 2022/23

Topic	Target Audience	#
Open Source Intelligence	Prosecutors	16

(2) what further measures has he put in place to expand the specified training? NO4749E

Memorandum of Understanding (“MoU”) entered into with PSETA on 17 August 2023

The purpose of this Memorandum of Understanding (“MoU”) is for the Special Investigating Unit (“SIU”) and the Public Service Sector Education and Training Authority (“PSETA”) to record their intention to collaborate and partner in building the skills capabilities within the public service, and to fulfil both Parties’ constitutional and statutory obligations.

• 1. Both committed to maintain accreditation status of courses identified for public servants, Certification of Learners and the achievement of accreditation status of the Anti-Corruption Academy by 4th Quarter of current financial year.
  2. PSETA and the SIU agreed on the training of public servants nationally on accredited courses over two phases
     1. Phase1: Corruption Prevention
     2. Phase 2: Public Education
  3. The SIU Submitted the Corruption Prevention course targeting public servants for accreditation to PSETA during September 2023 which contain the following modules:
  4. Corruption Prevention course scheduled for roll-out during January 2024, a total of 810 public servants targeted for training by 31 March 2024 with an increased number planned for the 2024/25 financial year.
  5. SIU Accredited trainers, Assessors and Moderators are already registered as part of the compliance requirements of the accreditation of the academy.
  6. SIU submitted Anti-Corruption Academy accreditation application to PSETA, accreditation process in final stages, accreditation expected by 30 November 2023.

MoU’s signed with SADC Member States Anti-Corruption Agencies

MoU’s signed with 5 SADC Member States Anti-Corruption Agencies on 01 August 2023, namely; the Zimbabwe Anti-Corruption Commission, Malawi Anti-Corruption Bureau, Zambia Anti-Corruption Commission, Namibia Anti-Corruption Commission, Independent Commission Against Corruption of Mauritius, the Independent Bureau Against Corruption of Madagascar and the Anti-Corruption commission of Seychelles to train their investigators on cyber forensic investigations, open source intelligence training from February 2024.

TRAINING OFFERED UNDER COOPERATION PROTOCOL SIGNED BETWEEN THE RESPECTIVE MINISTERS

Topic	Target Audience	#
Cyber Forensic First responder	Investigators, Public Education Officers and Corruption Prevention Officers from Anti-Corruption Agencies of Mauritius, Seychelles and Madagascar	36
Cyber Forensic First Responder	Investigators scheduled for 04-08 Dec 2023 Commonwealth Africa Anti-Corruption Agencies 19 Africa countries to be trained at the Academy in Pretoria	To be confirmed

(Attached please find a copy of MoU signed with PSETA, and a copy of MoU signed with SADC Member States, Malawi Anti-Corruption Bureau).

These MoUs serve as additional measures taken by the SIU to expand training offered. Training for the Public Servants as per MoU with PSETA and for SADC Member States as per MoU with the SIU to be offered at the Anti-Corruption Academy.

Reply:

The Director of Public Prosecutions, Western Cape reports as follows:

On 12 November 2023 three males were arrested by Metro Police Officers employed by the City of Cape Town. It was alleged that the three males were part of a group of pro-Palestinian supporters. It was further alleged that the group of pro-Palestinian supporters were initially peaceful but refused to move when they were advised that they were standing at an area that was reserved for the protest of another group. The pro-Palestinian group allegedly refused to move, damaged property, attacked the Metro Police Officers and police, and refused to follow their instruction to move from the area. Only three men were arrested.

It is alleged that there is video footage as to what had transpired on the day in question. However, when the matter was presented to the prosecutor, there was no video footage in the docket and that the investigation was incomplete. Some of the statements were also illegible. The prosecutor elected not to enroll the matter until the investigation, which includes the video footage, is filed in the docket. All three accused have fixed addresses and the matter may be enrolled as soon as the outstanding investigation is completed, and a decision is made that there is sufficient evidence to institute a prosecution.

Reply:

1. (a) (i) The employee was transferred to perform the functions of the Deputy Director: Performance Management and Skills Development.

(ii) The information and details of the misconduct which arose at the Department of Human Settlements (DHS) has not been submitted to the DPSA from the DHS.

(b) The Department managed the transfer in terms of section 14 of the Public Service Act which does not preclude the transfer of employees who have been subjected to discipline and/or found guilty.

2. (a) The post of Deputy Director: Performance Management and Skills Development was a vacant and funded post and the dispute by an employee does not preclude the filling of the post.

(b) The employee was subjected to a disciplinary process and the outcome thereof was a demotion from a Chief Director position to Deputy Director.

3. Employees found guilty of corruption should be dismissed. Misconduct is managed in terms of the relevant Disciplinary Code applicable in the public service. The sanctions in respect of guilty findings are determined by relevant chairpersons presiding over the disciplinary process.

End

Reply:

1.(a) Public servants that received grants:

TABLE 1

No	Province	Number public servants identified by AGSA
1	Eastern Cape	1257
2	Free State	103
3	Gauteng	280
4	KwaZulu-Natal	1102
5	Limpopo	468
6	Mpumalanga	296
7	Northwest	1460
8	Northern Cape	566
9	Western Cape	280
10	National
Total	5812

In March 2023 33833 public servants had their grants lapsed and also referred to the Fraud and Compliance Unit for further investigations as they failed to present themselves to a SASSA office to have their grants reviewed. Below is the distribution of the public servants (according to provinces)[1].

TABLE 2

(i) The 5812 Covid related (refer to Table 1) and 33833 normal grants (refer to Table 2) recipients had their grants lapsed upon identification that they had contravened Section 21 of the Social Assistance Act (furnished untrue information when applying or continue to receive social assistance when they standard of living has changed).

(aa) According to SASSA dataset extracted from Covid and SOCPEN systems, distribution is according to province as per Table 1 and 2 above indicating where grant application was submitted and not according to employing department (be it provincial or national).

(bb) SASSA dataset did not distribute civil servants according to employing department, but according to the province where the application was submitted

(ii) The numbers of civil servants contained on Table 1 and 2 may have qualified through misrepresentation which has been uncovered as SASSA systems were improved and enhanced.

(b) 5812 civil servants benefited from the Covid 19 Social Relief of Distress grant within the period of May to October 2020. Distribution of the 33833 was not provided by SASSA.

2. What total number of public servants have been disciplined for receiving grants they do not qualify to receive in each

(a) Provincial departments: 36

(b) National departments: 6

Misconduct cases of Public Servants who benefited from social grants as at 30 September 2023 - cases referred from 2008)
National/ Provincial department	Number of cases	Number of people
Total		44	42
Eastern Cape	Total	2	2
	Social Development	2	2
Free State	Total	1	1
	Human Settlements	1	1
KwaZulu-Natal	Total	18	18
	Health	6	6
	Public Works	12	12
Limpopo	Total	1	1
	Transport and Community Safety	1	1
National	Total	6	6
	Home Affairs	2	2
	Police	4	4
North West	Total	16	14
	Community Safety and Transport Management	14	12
	Social Development	2	2
Data source: PERSAL
Compiled by the DPSA
Excluding Defence and State Security Agency

3. What total number of cases has her department opened against public servants who benefited from grants that they did not qualify to receive?

To date 1815 cases have been referred to the South African Police Service by SASSA for further criminal investigation for the contravention of the Section 21 of the Social Assistance Act, as it is a criminal offence.

4. What total amount has her department recovered to date from public servants who benefited from grants that they did not qualify to receive?

The recovery of loss is being managed where the employee is located through signing of an acknowledgment of debt that SASSA at provincial office will submit to the Office of the Premier. Where employees refuse to sign acknowledgement of debt forms, Section 300 of the Criminal Procedure Act, will be invoked. DPSA and SASSA will coordinate the process.

End

1. See 1 (bb) ↑

Reply:

Applicable to both questions one and two:

Government does not have and has never had a policy of cadre deployment. Employment in the public service operates on a merit-based recruitment and selection system, rendering the concept of cadre deployment inapplicable for filling positions. The Minister for the Public Service and Administration directs and guides departments in formulating norms and standards governing employment practices, ensuring strict adherence to a meritocratic framework and ethical recruitment practices.

The legislative and regulatory structure of the public service encompasses essential governance measures aimed at fostering a professional, ethical, competent, and merit-based state. These measures contain, but are not limited to:

1. The Public Service Regulations (PSR), 2016, particularly sections 65 and 67, delineate the conditions for recruitment and selection in the public service. Under these regulations, the executive authority is obliged to publicly announce all vacancies within their department, setting forth guidelines and standards for recruitment and selection to promote a fair and open competition that attracts qualified candidates.
2. The Public Service Act (PSA), 1994, requires adherence to sections 9 and 11(2) stipulating the necessity of merit-based recruitment.
3. The Department of Public Service and Administration is consulting critical stakeholders on a draft directive to professionalise the public service. This draft directive outlines norms, standards, and ethical considerations in the employment management process.

The collective implementation of these processes and the comprehensive suite of services they represent, are instrumental in shaping a public service that is efficient, transparent and anchored in merit and ethical principles. Such a coordinated approach ensures the establishment of a capable and professional public service, which is crucial for effective governance and delivering high-quality services to the public. This synergy of regulations, standards, and directives reflects a robust commitment to excellence and integrity in appointments and administration across the Public Service.

End

Reply:

1. (a) the provisions of regulation 61(6)(b) of the Public Service Regulations, 2016 relate to the unauthorised release of information and is authorised by section 41 of the Public Service Act, 1994 read with section 17(4) of the same Act.

(b) Privileged information is information that is protected from disclosure due the rights vested in individuals or bodies by the Constitution, other laws and rules of the Republic of South Africa.

(c) Whistleblowing is managed through the Protected Disclosures Act, 2000 and authorises an employee to disclose information to authorities listed in the Practical Guidelines for Employees issued in terms of section 10(4)(a) of the Protected Disclosures Act. In addition, regulation 13(e) of the Public Service Regulations requires and authorises the reporting of fraud, corruption, nepotism, maladministration and any other act which constitutes a contravention of any law (including, but not limited to, a criminal offence) or which is prejudicial to the interest of the public, which comes to the attention of an employee during the course of his or her employment in the public service to relevant authorities.

(i) the authority to report certain protected disclosures to Parliament is contained in the Practical Guidelines for Employees issued in terms of section 10(4)(a) of the Protected Disclosures Act.

(ii) the authority to report certain protected disclosures to the media is contained in the Practical Guidelines for Employees issued in terms of section 10(4)(a) of the Protected Disclosures Act.

2. Yes, the amended Public Service Regulation 61(6)(b) is in line with the Protected Disclosures Act. The Protected Disclosures Act authorises the disclosure of certain information. If so authorised, the employee cannot be found guilty of misconduct relating to unauthorised disclosure of information as per the Public Service Regulations.

3. (a) A disclosure contemplated in section 1 of the Protected Disclosures Act can, in addition to the persons and bodies listed in section 8 of that Act, be made to the Public Administration Ethics, Integrity and Disciplinary Technical Assistance Unit (TAU) of the DPSA. The TAU therefore maintains a database of matters so referred.

(b) Protected disclosures may be made to other bodies provided for under the Protected Disclosures Act.

End

Reply:

(a) and (b) The number of OSD employees in each department and current total costs

Sphere / Province	Name of the Department	a) Number of OSD officials	b) Current total costs
Eastern Cape	Cooperative Governance and Traditional Affairs	38	32 000 277
	Economic Development, Environmental Affairs and Tourism	146	76 439 952
	Education	53 115	20 509 133 643
	Health	28 877	10 615 391 757
	Human Settlements	67	68 151 942
	Office of the Premier	13	15 103 227
	Provincial Treasury	2	1 328 907
	Public works and Infrastructure	240	114 707 706
	Rural Development and Agrarian Reform	172	112 685 385
	Social Development	3 076	1 027 143 894
	Sport, Recreation, Arts and Culture	17	11 772 783
	Transport	162	76 191 501
Free State	Agriculture and Rural Development	50	35 090 604
	Co-operative Governance and Traditional Affairs	14	10 423 284
	Community Safety, Roads, and Transport	83	42 955 533
	Economic, Small Business Development, Tourism & Environmental Affairs	75	40 041 237
	Education	23 156	8 819 080 161
	Health	11 332	4 357 227 426
	Human Settlements	8	5 619 375
	Office of the Premier	5	6 382 212
	Public Works and Infrastructure	128	52 014 009
	Social Development	736	254 000 352
Gauteng	Agriculture and Rural Development	232	143 643 240
	Co-operative Governance and Traditional Affairs	19	16 638 204
	Community Safety	3	2 283 381
	E-Government	2	1 701 510
	Economic Development	2	2 078 754
	Education	75 479	28 547 983 953
	Health	46 336	19 798 096 956
	Human Settlements	84	90 353 199
	Infrastructure Development	691	297 457 170
	Office of the Premier	8	8 685 627
	Provincial Treasury	1	895 137
	Roads and Transport	131	85 466 487
	Social Development	3 359	1 066 815 162
	Sports, Arts, Culture and Recreation	2	1 864 659
KwaZulu-Natal	Agriculture and Rural Development	139	100 856 100
	Co-operative Governance and Traditional Affairs	38	35 570 190
	Community Safety and Liaison	1	351 618
	Economic Development, Tourism and Environmental Affairs	187	102 382 005
	Education	88 999	33 819 171 582
	Health	46 429	18 651 581 223
	Human Settlements	70	41 119 125
	Office of the Premier	5	6 966 771
	Public Works	202	121 996 509
	Social Development	2 405	813 447 888
	Sports, Arts & Culture	2	1 819 698
	Transport	446	194 137 263
Limpopo	Agriculture and Rural Development	155	101 776 944
	Co-operative Governance, Human Settlements and Traditional Affairs	91	90 145 737
	Economic Development, Environment and Tourism	149	109 694 280
	Education	53 220	20 502 681 339
	Health	22 201	8 913 796 371
	Office of the Premier	8	12 697 959
	Public Works, Roads, and Infrastructure	275	117 116 286
	Social Development	2 168	768 332 787
	Transport and Community Safety	22	8 509 869
Mpumalanga	Agriculture, Rural Development, Land and Environmental Affairs	117	83 281 068
	Co-operative Governance and Traditional Affairs	13	9 777 660
	Culture, Sport, and Recreation	2	1 536 432
	Economic Development and Tourism	2	1 241 895
	Education	34 119	13 007 176 482
	Health	14 019	5 463 956 094
	Human Settlements	17	15 940 116
	Provincial Treasury	4	4 117 281
	Public Works, Roads, and Transport	301	131 932 098
	Social Development	1 196	415 166 202
North West	Agriculture and Rural Development	46	30 650 952
	Arts, Culture, Sports, and Recreation	1	531 381
	Community Safety and Transport Management	17	7 156 959
	Cooperative Governance and Traditional Affairs	10	5 447 409
	Economic Development, Environment, Conservation and Tourism	82	50 903 394
	Education	28 749	10 860 139 755
	Health	12 790	4 977 296 637
	Human Settlements	11	6 411 768
	Office of the Premier	5	4 337 892
	Provincial Treasury	1	543 969
	Public Works and Roads	279	103 078 668
	Social Development	1 583	502 267 020
Northern Cape	Agriculture, Environmental Affairs, Rural Development and Land Reform	92	54 943 071
	Co-operative Governance, Human Settlements and Traditional Affairs	6	4 213 749
	Economic Development and Tourism	1	895 137
	Education	10 098	3 819 470 646
	Health	4 535	1 834 593 873
	Office of the Premier	6	7 966 260
	Roads and Public Works	44	30 301 173
	Social Development	661	210 115 851
	Sport, Arts and Culture	3	752 061
	Transport, Safety and Liaison	1	1 081 953
Western Cape	Agriculture	94	56 350 647
	Cultural Affairs and Sport	1	687 879
	Education	36 424	13 786 617 735
	Environmental Affairs and Development Planning	166	117 424 167
	Health and Wellness	21 868	9 574 968 660
	Infrastructure	323	230 986 251
	Local Government	7	6 135 051
	Social Development	1 828	540 649 101
	The Premier	51	53 534 403
National	Agriculture, Land Reform and Rural Development	608	439 097 178
	Basic Education	83	81 963 714
	Cooperative Governance	80	85 110 819
	Correctional Services	34 708	10 776 529 947
	Employment and Labour	222	157 899 498
	Forestry, Fisheries, and the Environment	570	408 740 031
	Health	75	66 344 493
	Higher Education and Training	10 382	3 744 058 359
	Home Affairs	139	47 709 462
	Human Settlements	12	14 850 924
	Independent Police Investigative Directorate	165	73 574 844
	International Relations and Cooperation	11	12 206 517
	Justice and Constitutional Development	5 378	3 859 592 781
	Military Veterans	3	1 590 030
	Mineral Resources and Energy	17	11 688 324
	Office of the Chief Justice	109	49 778 241
	Planning, Monitoring and Evaluation	3	3 794 706
	Police	139 029	42 592 961 358
	Public Service and Administration	6	4 101 528
	Public Works and Infrastructure	497	346 447 563
	Science and Innovation	3	3 651 852
	Small Business Development	5	3 724 875
	Social Development	134	85 216 542
	Sport, Arts and Culture	9	6 471 867
	Statistics South Africa	2	1 587 360
	The Presidency	8	10 489 695
	Tourism	6	5 636 835
	Trade, Industry and Competition	5	5 494 335
	Traditional Affairs	1	1 252 374
	Transport	3	2 099 697
	Water and Sanitation	1 260	804 582 825

In addition, the OSD salary levels range from level 3 to 12. Detailed breakdown of employees’ respective salary levels and the current total cost to the state are attached in Annexure A and B.

(c) With regard to the projected forecasts for future uptake of OSD positions in the upcoming financial years, note should be taken that salaries for Public Servants, including OSD categories would be adjusted in line with PSCBC Resolution 2 of 2023 with effect from 1 April 2024, which would adjust the salaries and the total cost to the state accordingly. Furthermore, the appointments of officials, including those within OSDs fall within the authority of the various Executive Authorities and therefore the uptake in terms of appointments would thus be in line with the relevant processes, including the availability of funding and prioritization by the respective departments. There are currently no new OSDs being considered in line with PSCBC Resolution 3 of 2010.

End

Reply:

1. (a) The authority for the Public Service Regulations is contained in section 41 of the Public Service Act. The review of regulations is usually triggered by gaps or challenges identified, policy changes, strengthening processes or managing interpretational challenges, amongst others.

(b) The requirement to seek the Minister’s determination on secondments that exceed 12 months is to ensure that secondments do not affect service delivery and do not become a mechanism to create long term employment which places undue burden on the seconding department and its employees to carry the tasks of the seconded employee over a protracted period. The Minister therefore assesses the operational requirements taking into account the circumstances and the impact of the secondment in excess of 12 months as motivated by relevant departments. It must be noted that this requirement was not introduced in the recent Public Service Amendment Regulations, 2023.

2. (a) Prior to the Public Service Amendment Regulations, 2023, transfers were regulated by section 14 of the Public Service Act. It became necessary to provide further clarity to ensure proper implementation of transfers by requiring-

1. in respect of a transfer to another department, the executive authorities of the two relevant departments must agree in writing to such a transfer;
2. due regard be had to the inherent requirements of the job and the employee’s competencies to perform the functions of the post to which he or she is being transferred; and
3. that an employee is not transferred into a post in the Office of an executive authority, Deputy President or Deputy Minister.

(b) A challenge on transfers of employees without their consent cannot be sustained as it is authorised by section 14 of the Public Service Act and is not dependent on regulations.

3. We are not aware of a case of Saloojee v Minister of Police 2004 and therefore we are unable to respond on the import thereof in relation to transfers.

4. (a) The Public Service Amendment Regulations, 2023 does not make reference to operation requirements in respect of transfers.

(b) Regulation 7 of the Public Service Regulations, 2016 provides for decision-making in cases of conflict of interest.

End

Reply:

The following information reflects the total number of public servants in the Republic of South Africa. The information is obtained from PERSAL as of 30 September 2023
(3rd quarter 2023/2024).

a) The number of public servants in each National Department and Components are as follows:

TOTAL NUMBER OF PUBLIC SERVANTS IN THE NATIONAL DEPARTMENTS AND COMPONENTS
Agriculture, Land Reform and Rural Development	6 812
Basic Education	809
Civilian Secretariat for the Police Service	172
Communications and Digital Technologies	267
Cooperative Governance	632
Correctional Services	37 650
Employment and Labour	9 288
Environment, Forestry and Fisheries	3 323
Government Communication and Information System	410
Health	823
Higher Education and Training	29 295
Home Affairs	8 101
Human Settlements	467
Independent Police Investigative Directorate	369
International Relations and Cooperation	1 861
Justice and Constitutional Development	21 672
Military Veterans	125
Mineral Resources and Energy	1 445
National School of Government	212
National Treasury	1 932
Office of the Chief Justice	2 009
Office of the Public Service Commission	258
Planning, Monitoring and Evaluation	384
Police	186 143
Public Enterprises	156
Public Service and Administration	384
Public Works and Infrastructure	4 636
Science and Innovation	401
Small Business Development	203
Social Development	645
Sports, Arts and Culture	530
Statistics South Africa	3 260
The Presidency	463
Tourism	461
Trade, Industry and Competition	1 077
Traditional Affairs	101
Transport	687
Water and Sanitation	4 822
Women, Youth and Persons with Disabilities	109
TOTAL	332 394

b) The number of public servants in each Province is as follows:

TOTAL NUMBER OF PUBLIC SERVANTS IN THE PROVINCIAL DEPARTMENTS
Eastern Cape	112 003
Free State	55 501
Gauteng	179 702
KwaZulu-Natal	174 990
Limpopo	93 584
Mpumalanga	69 099
North West	64 076
Northern Cape	20 897
Western Cape	81 428
TOTAL	851 280

End

Reply:

a) A professional public servant in a rapidly changing and evolving governance environment requires the capacity to innovate and manage innovation, especially in a digitised public sector. As such the CPSI is working closely with:

• NSG to introduce relevant capacity building courses such and Managing Innovation in the Public Service, Design Thinking and soon Strategic Foresight.
• DPSA and other Departments such as DCDT and Home Affairs and academic institutions such as Wits School of Governance to engage on, develop and implementing digital transformation initiatives.
• Participated in the PSETA/TUT in the research on future skills for public servants.
• Currently conducting a comprehensive assessment of public sector innovation in partnership with NACI to ensure evidence-informed innovation policy and practices.
• Facilitating a ‘trailblazer’ network (ie a network of system developers) in provinces and departments to develop ‘in-house’ capacity and share code and documentation for replication across government.

b) CPSI has engaged extensively with all stakeholders to ensure a future-fit organisation. This culminated in 2021 in a comprehensive study by Wits School of Governance on the strategic direction, capacity and resource requirements of the CPSI. As such, a new structure was approved by the MPSA. Unfortunately, due to budget constraints and no additional allocation in the MTEF this cannot be operationalised and as such the CPSI would be reliant on reprioritisation within the MPSA portfolio.

End

Reply:

a) (i) and (ii):

The Minister for the Public Service and Administration (MPSA), guided by section 3 (c) of the Public Service Act (PSA), issued a Directive guiding national and provincial departments on Compulsory Capacity Development Mandatory Training Days, and Minimum Entry Requirements, specifically for Senior Management Service (SMS) roles. The Directive sets forth mandatory requirements and standards which define qualification criteria that must be met for recruitment into SMS positions.

Since the Directive was issued the following has been noted:

• The majority of officials that do not meet minimum entry requirements, entered into those positions before the Directive was issued and at a time when they were meeting the requirements. This means that departments are complying with the Directive.
• As South African law does not allow for retrospective application unless specifically ordered by a court of law, the officials are being encouraged to improve their qualifications either through academic study or Recognition of Prior Learning (RPL).
• Most of the Public Servants have since secured improved qualifications, however these are yet to be captured on PERSAL by their departments.
• The DPSA is working with relevant departments to ensure that improved qualifications are correctly updated and captured on PERSAL.

Within the context of the Directive, the Department of Public Service and Administration (DPSA), fulfilling its role, compiles qualification data solely for SMS members in compliance with this Directive. The total number of SMS Members in each national and provincial government department is attached as Annexure A:

b) (i) and (ii):

The total number of SMS members with qualifications not specified on PERSAL as of 30 September 2023 is 1 801.

SMS Members with Qualifications Unspecified on PERSAL

Occupational Classification	Date Appointed In SMS	Total
	Before 1 August 2016	From 1 August 2016
Total	1 259	542	1 801
Administrative Related	91	55	146
Advocates		1	1
Agriculture Related	2		2
Communication And Information Related	4	2	6
Computer Programmers.		1	1
Computer System Designers and Analysts.		1	1
Crime Investigators/ Misdaad Ondersoekers		1	1
Custodian Personnel		1	1
Economists	2		2
Finance And Economics Related	20	6	26
Financial And Related Professionals	18	11	29
Financial Clerks and Credit Controllers	2		2
General Legal Administration & Rel. Professionals	2	1	3
Head Of Department/Chief Executive Officer	20	6	26
Health Sciences Related	3	2	5
Human Resources & Organisational Development & Related Professions	10	4	14
Human Resources Related	11	4	15
Identification Experts	3		3
Information Technology Related	4		4
Legal Related	4	1	5
Natural Sciences Related	2	2	4
Operational Planning		1	1
Other Administration & Related Clerks and Organisers	2	3	5
Other Administrative Policy and Related Officers	2		2
Other Information Technology Personnel.	8		8
Other Occupations	9		9
Police.		1	1
Professional Nurse	1	1	2
Prosecutor		1	1
Risk Management and Security Services	4		4
Saps	1	1	2
Secretaries & Other Keyboard Operating Clerks		3	3
Security Officers	1		1
Senior Managers	1 027	432	1 459
Social Sciences Related	1		1
Social Work and Related Professionals	2		2
Trade/Industry Advisers & Other Related Profession	2		2
Veterinarians	1		1

Table 1: PERSAL Data as of 30 September 2023 Occupation Specific

End

Reply:

(a) and (b)

The Department of Public Service and Administration (DPSA) is guided by Section 41 (1) h (ii) which call for all organs of state to “co-operate with one another in mutual trust and good faith by “assisting and supporting one another”. The following are some of the specific measures that have been initiated to improve the oversight capacity of the department and promote compliance on the norms and standards issued in line with its mandate:

• In January 2022, the DPSA entered into a cooperation agreement with the Auditor General of South Africa (AG-SA) to include in the audit plans of departments norms and standards issued in pursuit of the mandate of the Department. The AG-SA is already implementing this agreement including an agreement on the auditing of performance of the Public Service against the Directive that is being developed to implement the Professionalisation Framework. This agreement allows the DPSA to borrow on the powers of the AG-SA, resulting in more enforcement capability.

• In line with Section 16A (3) of the Public Service Act, 1994 the Minister for the Public Service and Administration (MPSA) prepares regular compliance reports to Cabinet or, through the relevant Premier, to the Executive Council of the relevant province on any non-compliance by an executive authority. These compliance reports are used to ensure that there is accountability at the executive authority level.

• The Minister initiated one-on-one sessions with Executive Authorities of departments including Premier’s of Provinces that have been identified as having challenges with complying with the norms and standards set by the MPSA. These sessions, discuss specific areas of concern, which are then followed by specific technical assistance that is provided by the DPSA to address these challenges.

• The Director General of the DPSA convene quarterly engagements with Heads of Cooperate Services which receives presentations on compliance trends and performances. In these engagements, lessons are shared on best practices towards improving compliance.

To introduce a systematic approach to compliance monitoring and reporting, the DPSA is currently developing an Early Warning System to actively monitor compliance with the provisions of the Public Service Act, 1994 or a regulation, determination and/or directive made in line with its mandate. This Early Warning System will be institutionalised to ensure that governance matters are monitored in an active manner to avoid the collapse of public institutions and services. In line with the Medium Term Strategic Framework (MTSF) tabled in Parliament, it is envisaged that the Early Warning System will become active during the 2024/25 Financial Year.

End

Reply:

Background

In pursuit of a comprehensive understanding of the Information and Communication Technology (ICT) landscape within the public service, the Department of Public Service and Administration (DPSA) utilized the PERSAL system to generate reports concerning ICT personnel within various departments. Regrettably, these reports revealed discrepancies, as many departments had failed to update the field designating personnel involved in IT-related roles, consequently compromising the accuracy of the reports.

Subsequently, the DPSA formulated a data collection instrument, mandating all departments to provide the following particulars regarding their respective ICT personnel:

• Department or Government Component Name

• Sphere of Government (National/Provincial)

• Province

• PERSAL Number

• Full Name

• Branch

• Chief Directorate

• Directorate or Unit

• Job Title

• Salary Level

• A concise summary of the job description

It's noteworthy that this data collection initiative did not aim to ascertain specific ICT skills; nonetheless, through a meticulous analysis of the data received, the DPSA managed to infer a rudimentary skill level based on the roles that were being undertaken. It is imperative to highlight that a more comprehensive collection of skills information will be undertaken as part of the broader public service skills audit initiatives currently in progress.

Of the anticipated 161 departments, 132 provided responses, revealing a salient opportunity for departments to enhance the quality of their human resources data, particularly in relation to personnel information, job descriptions, and job titles.

Response to Question 1

(a) What number of public servants have skills related to information and communications technology (ICT),

As indicated above, pending the completed public service skills audit, the skill levels will be inferred based on the functions being performed.

Furthermore, the majority of public servants that have access to computer technologies would have ICT skills that typically encompass basic competencies required for everyday tasks such as word processing and internet browsing, while specialist ICT personnel deployed in ICT functions would have skills that involve a deeper and specialized knowledge, often focusing on complex system development, cybersecurity, or network administration.

Therefore, the data collected reveals that there are 4548 ICT personnel deployed in departments’ ICT functions.

and (b) how often do the relevant government departments upskill the specified skills.

Upskilling and training of employees is decentralized with departments prioritizing resources based on their specific needs. The DPSA does not currently have a mechanism to track and report on the ICT specific training and upskilling by departments.

Response to Question 2

What number of cyber security specialists are currently employed in the Public Service?

From the 4548, 64 personnel have been identified as having either a job title of job description that involves ICT security / Cyber security. The data does not show the level of expertise and specialization at this point. The broader skills audit programme will provide further clarity upon its completion.

Response to Question 3

What number of ICT and/or e-Government-related courses does the National School of Government currently offer?

Currently the NSG has one programme.

The Digital Transformation for Public Sector Programme targets:

• Chief Information Officers and ICT Practitioners.
• Strategic managers in IT – dealing with service delivery improvement through digitization.

The programme was developed during the 2019/20 financial year in partnership with the curriculum development sub-committee for the Government Information Technology Officers Council (GITOC). The programme content was further peer reviewed in 2022 by colleagues from DPSA, DSI, SSA, SITA and DCDT.

The intention was to create a programme applicable and relevant to Government-wide needs in the digital transformation and ICT spheres and furthermore, to make it impactful in enhancing service delivery through 4IR and other transformative ICT tools.

Programme Overview

The programme is structured into four modules, each of which is divided into a varying number of units, as indicated below:

Module 1 - ICT Leadership in Government Information Communication and Technology

Unit 1: CIO Role

Unit 2: IT Organisation

Unit 3: IT Governance

Unit 4: IT Planning

Unit 5: Overview of Public Sector Procurement

This section focuses on the IT organisation, its leadership and management. It looks at how IT should be governed and the role of business and leadership in the corporate governance of ICT.

Module 2 - Technology Platforms

Unit 1: Service Oriented Architecture and Micro-services

Unit 2: Cloud Computing

Unit 3: The Fourth Industrial Revolution

• • Social Media & Mobile Technology
  • Artificial Intelligence
  • Augmented and Virtual Reality
  • Internet of Things
  • Blockchain

This section covers current technology trends and how they are used to enable business. The information will help learners not only gain a deeper understanding of the technologies available but how they can be used in public sector service delivery and administration.

Module 3 - Public Sector Digitisation

Unit 1: Data Management

Unit 2: Business Process Management

Unit 3: Digital Government

This section covers the fundamentals of digitisation and how these fundamentals can be applied to the public sector.

Module 4 – Cyber Security

Unit 1: Cyber Law

Unit 2: Cyber Security

Unit 3: Cyber Security Governance

Unit 4: Cyber Threats

Unit 5: Cyber Attack Threat Vectors

This section covers the fundamentals of Information Security and the threats or challenges posed by ever increasing digitisation and connected cyber networks. The section will also look at the legal matters related to information security and what IT organisations must do in the public sector to protect the state.

End

Reply:

The implementation of lifestyle audits became compulsory from 1st April 2021 in the public service. The national departments, provincial departments and government components conduct lifestyle audits in their respective institutions and report annually to the Department of Public Service and Administration (DPSA).

The process of conducting lifestyle audits in the public service comprises three phases namely lifestyle review, lifestyle investigation, and lifestyle audit (quantification and evaluation).

a) The 2022/2023 financial year is the second year since the implementation of lifestyle audits in the public service. During the first year (2021/2022) of implementation, the DPSA focused on capacity building to capacitate more than two hundred Ethics Officers in the public service on how to conduct lifestyle reviews, which is the first step when conducting lifestyle audits. Currently, during the 2023/2024 financial year, the DPSA focuses on investigators in the public service to capacitate them on how to conduct lifestyle investigation, since the process of lifestyle audit is a new phenomenon in the public service. As a result of this training, about 200 Senior Management Members reviews were referred for investigation in this financial year.

b) The process of conducting lifestyle audits in the public service is in its second year and is still yet to be evaluated for effectiveness in preventing and detecting fraud and corruption. However, the improvement in the number of national departments from 24 (in 2021/2022) to 36 (in 2022/2023), and provincial departments from 71 (in 2021/2022) to 89 (in 2022/2023) who started to conduct lifestyle audits, indicates that departments are geared to conduct lifestyle investigations.

End

Reply:

I have been advised that:

a) The Department of Small Business Development (DSBD) through the Small Enterprise Finance Agency (sefa) provided support to small businesses during the Covid-19 pandemic. sefa contributed towards the Covid-19 emergency fund (relief programme) which was aimed at providing relief to small businesses during the pandemic. Through the fund, sefa disbursed R316 million to 1 144 small businesses. Of this amount, R28 million was disbursed to businesses in townships and R60 million were to businesses in rural areas.

(a)(i)&(ii)

b) An additional R10 million was disbursed towards business growth and resilience facilities.

R105 million has been approved for SMME payment holidays. The Department further introduced the Economic Recovery Programme to assist small businesses in the South African economy. The economic recovery programme disbursed R1.3 billion to small businesses operating in various provinces as per the table below. The disbursements to small businesses operating in townships amounted to R552 million and R392 million to those in rural areas.

c) Through the Covid-19 relief scheme, a total of 1 161 clients were funded. As at end of September 2023, 450 clients had their loans settled, 407 are still honouring their payment obligations and 304 clients are not paying.

d) The businesses that have settled their loans are no longer under sefa monitoring. 450 clients are still honouring their payments although their term has expired. These businesses are still operational and sefa is considering restructuring these loans. The 304 clients which are not paying sefa and are handed over to pursue collection. An exercise is underway to re-verify their existence.

Reply:

I have been advised that:

(a) The total amount spent on the Minister and her Deputy Minister’s travel costs in the 2022-23 financial year is R2 615 876.16

(b) The number of trips the Minister and her Deputy Minister undertook in the specified financial year: 198 domestic trips and 12 international trips

(c) The amount spent by her department on:

(i) Hotel: R474 660.68

(ii) Residential: R0.00 (The Deputy Minister has been allocated state accommodation in Cape Town and Pretoria and DSBD has not incurred costs on rental or maintenance as it is the Department of Public Works and Infrastructure (DPWI)-Prestige responsibility. The monthly fee is charged from the Deputy Minister’s salary in line with the lease agreement signed by herself (an amount of R1 196.57). The Department of Small Business Development (DSBD) has only spent on relocation costs and related housekeeping services.

(iii) Other accommodation for the Minister and her Deputy Minister: R0.00

(d) The amount of any further costs incurred by her department in relation to such travel: R2 141 215.48, this is the cost of domestic air travel, car hire and international air travel (see table below).

DSBD - Minister and Deputy Minister Travel Expenses for the Period April 2022 to March 2023
Category	Number of transactions	Amount “R”
Domestic Air Travel	195	783 799.39
Accommodation Domestic	98	474 660.68
Car Hire	62	1 234 134.69
International Air Travel	12	123 281.40
Total	367	2 615 876.16

Reply:

I have been advised that:

a) In Encouraging entrepreneurship in township and villages:

The Department of Small Business Development (DSBD) has in place the Township and Rural Entrepreneurship Programme (TREP) which aims to assist informal, micro and small enterprises grow their businesses. The financial package is structured at a maximum value of R1 000 000 that consist of:

• Maximum of R1 000 000.00 towards working capital, cost of equipment, or any other CAPEX (paid directly to the supplier where applicable).
• The financial package will be offered in the form of a blended finance with 50% of the total approved amount being a grant i.e., a maximum grant amount of R 100 000.00.

TREP supports all small enterprises operating in townships and rural areas that meet the qualifying criteria including, but not limited to, the following:

• • Clothing and Textile
  • Bakeries and Confectionaries
  • Tshisanyama and Cooked Food
  • Retail (including restaurants, car washes, general dealers etc.)
  • Automotive
  • Personal Care
  • Artisans

Also, the Small Enterprise Development Agency (Seda) has a big network of offices in the country, with 53 branches and 52 co-location points. Our co-locations are specifically established to extend access to Seda services in underserviced and rural South Africa. It is also realised that there are still several areas where entrepreneurs and SMMEs still must travel far for them to access services. Seda has therefore established 80 service points or access points. Seda will continue to expand service delivery to rural communities through various modalities whilst striking a sound balance between community needs, budget availability and collaboration with ecosystem partners. Furthermore, the organisation has 110 incubators, of which 32 are based in rural areas.

The agency also employs alternative mechanisms for ensuring that services are available, like mobile offices. Information is provided through DSBD, Seda and the Small Enterprise Finance Agency (sefa) websites and contact centers. Where possible, Seda also provides virtual interaction with those clients that can attend, for example online training and webinars. To this end, 801 clients attended virtual sessions during the 2022/23 financial year, and 1 630 during the second semester of the current financial year (2023/24). Support includes, amongst others, Pitch for funding, Access to markets, including Pop-up markets, Digital skills development training, Inventory Management Training, etc.

b) Providing sustainable employment to township dwellers:

While the Township and Rural Entrepreneurship Programme (TREP) described in part (a) is aimed at the individual entrepreneur, the National Informal Business Upliftment Strategy (NIBUS) seeks to uplift informal businesses and micro enterprises through a systemic and institutional response collaborating with and supporting local chambers/business associations and municipal Local Economic Development offices to deliver and facilitate access to upliftment programmes aimed at providing sustainable employment to township and rural dwellers, targeting informal business entrepreneurs from designated groups, i.e., women, youth, and people with disabilities.

• 1. NIBUS has two Instruments under its enterprise development pillar, namely the Shared Economic Infrastructure Facility (SEIF) and the Informal and Micro Enterprise Development Programme (IMEDP).
  2. The Informal and Micro Enterprises Development Programme (IMEDP) is a 100% grant offered to informal and micro enterprises from a minimum grant amount of five hundred rand (R 500.00) up to a maximum of ten thousand rand (R10 000.00) to assist them in improving their competitiveness and sustainability.
  3. The key objective of this financial facility is to provide developmental support to informal and micro businesses that are operating in townships and rural areas of South Africa with an emphasis on support for designated groups, i.e., women, youth and persons with disabilities.
  4. The programme aims to develop and strengthen the capacity of credible informal and or micro enterprises to be sustainable through the provision of access to information, appropriate business development support and business infrastructure (machinery, tools, equipment, and stock) and excludes (working capital, conversions, clothing) for eligible applicants.
  5. Going forward, it is planned that Informal and micro enterprises are to be supported using the DSBD’s Informal and Micro Enterprise Development Programme (IMEDP) capped at R 30 000.00 for informal businesses and the Small Enterprise Development Agency (Seda) to support micro businesses with amounts above the R 30 000.00 threshold.
  6. The funding will be 100% grant for the informal sector and subject to availability of funds.

During the 2022/23 financial year, the Small Enterprise Development Agency (Seda) provided a total of 21 181 skills development and support interventions to township and rural businesses and 10 836 interventions during the second semester of the 2023-24 financial year. These interventions included amongst others Basic Business Skills, Business Start-Up 1, Cybercrimes, South African Revenue Service (SARS) Incentives, Costing & Pricing, Business Planning, Business Model Canvas, Financial Management training, Access to funding, Point of Sale Training, Access to Funding, Business Plans, Mentoring and various others.

Seda also has a dedicated programme, the Basic Entrepreneurship Skills Development (BESD) which was jointly developed by the Agency and German Federal Ministry for Economic Cooperation and Development via Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) since 2012. GIZ left the programme in December 2016 and since then the programme is funded by the National Skills Fund for an amount of R84 million. The BESD approach utilises coaching as an innovative methodology to facilitate and reinforce learning and development support to emerging entrepreneurs. A total of 2 038 Emerging Entrepreneurs were supported through the programme to date. All the project sites across the country were completed in 2019, we are currently utilising remnants of the budget to benefit more SMMEs.

Seda, through its Learning Academy, has also developed different training programmes. These programmes are credit bearing and accredited by the Services Seta. Quality training aims to assist organisations of all types to implement and operate the Quality Management System (QMS) to increase effectiveness, consistency, and customer satisfaction, explain the benefits of implementing QMS and understand the quality, management principles. Whilst Food safety introduces Food Safety, Understand Pre-Requisite programme, HACCP (Hazard Analysis, Critical, Control, Point) system and HACCP principles and Implementing a Food Safety Management System (SANS 22000:2019.).

Seda has also forged the following skills development partnerships namely:

• A 3-year partnership with the National Skills Fund (NSF) to benefit 14 000 beneficiaries for a total budget of R 592 275 000. The aim of the project is to recruit unemployed graduates with Accounting and Business Management qualifications to be trained on New Venture Creation, Coaching, and Mentorship Programme to enhance their skills to provide support to Micro Enterprises. Seda will use coaching as an innovative methodology to facilitate and reinforce learning and development support to Micro Enterprises and the unemployed graduates will be trained on new venture creation as well as business coaching to enable them to transfer skills and knowledge to Micro Enterprise owners.
• Seda and Wholesale and Retail Seta signed an agreement to support one thousand (1 000) Tuckshops, General Dealers to the value of R 9 975 000.
• In 2021, DSBD, Seda and Merseta signed Agreement for Merseta to release a discretionary grant to Seda to the value of R 50million. The funding will be provided in a phased approach over a 3-year period. The purpose is to train Small Enterprise in the Automotive Trade Sector as well as facilitate Artisan Recognition of Prior Learning (ARPL).
• A partnership between Seda, GIBBS and the Cherie Blair Foundation for Women was forged. The Cherie Blair Foundation has an award-winning Mobile App that offers women entrepreneurs essential business training and support on the go. It features a range of learning tracks on topics including launching a business, accessing finance, expanding market access, e-commerce, and mobile money.

During the first two quarters of the 2023/24 financial the Township and Rural Entrepreneurship Programme supported the sustaining and/or creation of 10 884 jobs, whilst 38 059 jobs were supported in the 2022/23 financial year.

Proposed future interventions will utilise a macroeconomic approach that combines the expertise of public and private sector partners to counteract resource and capacity constraints.

Furthermore, provision of sustainable employment to township dwellers the level of the social economy and community empowerment levels include through the Co-operatives Development and Support Programme (CDSP), for new and budding primary co-operatives.

1. There is a start-up grant of up to R1,5 million, up to R2.5 million for growing primary co-operatives and up to R5 million for secondary co-operatives.
2. All co-operatives to be funded are subjected to co-operative governance training so as to ensure that they understand what is expected from them in running a successful organisation.

Reply:

In 1994, the new government inherited a highly unequal and concentrated economy, with very low levels of entrepreneurship, little to no black economic ownership, and an extremely weak and fragmented SMME support eco-system.

This made South Africa an outlier. SMMEs play a major role as a driver of growth and employment in both developed and developing economies.

To realise the growth and jobs potential of SMMEs, Government established the Department of Small Business Development in 2014. The mandate of the Department Small Business Development (DSBD) is defined: “to lead and coordinate an integrated approach to the promotion and development of entrepreneurship, Small, Micro and Medium Enterprises (SMMEs) and Co-operatives, and to ensure an enabling legislative and policy environment to support their growth and sustainability”.

Since its inception, the work of the DSBD has been driven by several key policy frameworks, including the National Development Plan, Vision 2030, which is aimed at harnessing the potential of SMMEs, Co-operatives and the informal sector, and sets specific goals for the small business sector as follows:

• To enhance economic growth through SMMEs and Co-operatives as assessed through an increased contribution by the sector to GDP.
• To enhance economic growth through SMMEs as assessed through an increased contribution by the sector to GDP.
• To create 9 million of South Africa’s 11 million needed jobs by 2030 through the SMME sector.
• To reduce the cost of regulatory compliance and promote ease of doing business for SMMEs and ensure policy coherence through partnerships among for SMMEs and ensure policy coherence through partnerships among key societal players, business and government.

The work of the DSBD has until recently been framed by the Integrated Strategy on the Promotion of Entrepreneurship and Small Enterprises (ISPESE), which was reviewed and a new national SMME and co-operatives strategy developed – the National Integrated Small Enterprise Development Strategic Framework (NISED) – adopted by Cabinet and launched in November 2022.

The ISPESE and NISED have been focused on addressing the core constraints faced by SMMEs and co-operatives, including:

• Red-tape and regulatory burdens.
• Market concentration, and lack of access to markets.
• The lack of access to finance, and
• Weak entrepreneurial and business development skills, and

Progress since 2014 is framed around what has been done to address these constraints and create a more enabling environment for SMMEs and co-operatives.

Red-Tape

To address the issues of reduced cost of doing business and regulatory compliance in South Africa, commonly referred to as red tape, the Department of Small Business Development (DSBD) is the custodian of red tape reduction (RTR) for Small, Medium and Micro Enterprises (SMMEs) and has initiated a number of interventions to reduce red-tape for SMMEs and co-operatives.

This includes reviewing the Businesses Act (1991), which was transferred from the Department of Trade Industry and Competition (the dtic) to the DSBD in the 2020/21 financial year. The DSBD has reviewed the Act and is in the process of finalising the Business Licensing Amendment Bill. Recently Cabinet has approved the National Business Licensing Policy for gazetting for public comments, by the end of the term a policy on Business Licensing will have been finalised.

The other piece of legislation which has been reviewed is the National Small Enterprise Act, 1996 (Act No. 102 of 1996). A National Small Enterprise Amendment Bill, 2023, has been developed and is currently before Parliament, National Assembly has referred this to the NCOP for concurrence and this should be finalised by the end of February by Parliament. The amendments:

• provide for the establishment and registration, in terms of the Companies Act, No. 71 of 2008, of the Small Enterprise Development Finance Agency (SEDFA) and the subsequent incorporation into SEDFA of the sefa, the Co-operative Banks Development Agency (CBDA) and the Seda.
• establish of the Office of the Small Enterprise Ombud Service ("the Office").
• enable the Minister to declare certain practices in relation to small enterprises to be prohibited as unfair trading practices.
• propose an amendment to section 20(2) of the Act to provide clarity on the interpretation of the powers assigned to the Minister in amending the Schedule to the Act as well as the definition for small enterprises, to allow for simplification of the Schedule.

The DSBD has also, in 2023, undertaken a “Rapid Review of ALL legislation that impacts SMMEs and Co-operatives” for “regulatory guillotining”, that is, at the level of National, Provincial and Local Government.

The DESBD has also supported red-tape reduction at municipal level, and has supported 23 Districts, 108 municipalities, and 4 Metros to roll out the Red-Tape Reduction Awareness Programme. Recently, the department has piloted the Pilot Administrative Simplification Programme (PASP) in association with KwaZulu-Natal EDTEA, COGTA and SALGA, targeting key red-tape reduction including access to infrastructure (specifically water as it permeates all municipalities), customer/complaints management, municipal policies, by-laws/regulations; land development and SPLUMA, building plan approval timelines/processes; and informal trading management. The idea is to consolidate this is a Municipal Red Tape Reduction Dashboard.

Market access

To address market access, the Department developed and continues to implement the SMMEs-focused Localisation Policy Framework that was adopted by Cabinet during the course of the 2020/21 financial year. At the end of 2022/23 financial year, 807 products produced by SMMEs, and Co-operatives were linked/introduced to domestic markets through working relationships with large retailers and wholesalers across the country against a five-year target of 1 000 products.

To drive localisation, the Department designed a focused Small Enterprise Manufacturing Support Programme (SEMSP) aimed at building and supporting SMMEs participating in the manufacturing value chain. The purpose of the SEMSP is to build a manufacturing sector for an improved industrial base through a focused import replacement programme and build the industrial base for both the domestic market and external market. The Programme aims to contribute to South Africa’s localisation strategy. As at 30 September 2023, SEMSP approvals concluded amounted to R879.2m to 94 SMMEs, facilitating 5295 jobs.

The DSBD has also partnered with the International Trade Centre to improve market access for women-led enterprises. As of 30 September 2023, the total cumulative number of South African members registered on the ITC SheTradesZA platform is 3004, whilst the ITC'S web developers finalise the system update. The Department is continuing to intensify its effort working towards realising its outcome to increase participation of women, youth and persons with disabilities, SMMMEs and Co-operatives in the domestic and international markets.

To date, 188 SMMEs and Cooperatives were exposed to global market opportunities, between 2022/23 and 2023/24, through international missions, exhibitions, and fairs. Our work in exposing SMME products and services to global markets through the Small Business Exported Development Scheme has seen an extension in driving the African Continental Free Trade Area (AFCFTA) markets during the 2023/24 financial year.

The other area of focus for DSBD has been the opening of corporate supply chains for SMMEs and co-operatives. To this end, an Enterprise Supplier Development (ESD) Community of Practice (COP) has been established with the private sector to overcome fragmentation and strengthen the key element of targeted entrepreneurship development. The ESD COP is complemented with an ESD e-learning platform and a series of masterclasses by Seda along with a website for COP member recruitment and the promotion of capacity building events and activities.

Access to finance

Here the focus has been on supporting SMMEs and co-operatives from under-served communities with access to finance, be it direct lending, blended finance, and micro-finance.

There have been numerous instruments designed and impended since 2014. This includes those for supporting SMMEs, Cooperatives and informal enterprises in townships and rural areas such as the Township and Rural Entrepreneurship programme. There are instruments for youth, such as the Youth Challenge Fund, those targeting people with disabilities such as the Amavulandlela Funding Scheme, as well as those implemented during COVID-19 to support SMMEs and Cooperatives experiencing financial distress such as the Business Viability Programme

Since 1 April 2014 to 31 October 2023, the DSBD, through its implementing agency sefa, approved loans to the value of R12.3 billion, disbursed into the South African economy R14.5 billion[1], and provided financial support to 597 473 SMMEs and Co-operatives. These funded clients in turn helped create and retain 809 148 jobs.

In terms of developmental impact:

• sefa disbursed R11.6 billion to enterprises owned by black entrepreneurs,
• R5.5 billion to women-owned businesses,
• R2.9 billion to businesses owned by youth,
• R109 million to enterprises owned by persons with disabilities,
• R1.9 billion to small businesses operating in the townships, and
• R4.4 billion to enterprises operating in rural towns and villages.

The DSBD has also developed an SMME and Co-operatives Funding Policy to ensure improvement in access to finance for SMMEs and Co-operatives. The Policy is now at NEDLAC.

Business Development Services

Much of DSBD’s entrepreneurship and business development support is implemented through Seda. Since 2014, the following has been achieved:

Number of clients reached through entrepreneurship awareness sessions	201 879
Number of clients supported with various interventions	414 205
Number of clients supported through Incubation Programme	69 840
Number of incubation centres established	110
Number of jobs created by supported clients	38 787
Number of jobs sustained by supported clients	62 118

The 110 Incubation Centers and Digital Hubs are aimed at nurturing new and existing small enterprises by providing them with financial and technical advice pertaining to the running of a business. The breakdown of these 110 that are in various stages of implementation is 73 Technology Business Incubators; 31 centers for Entrepreneurship and Rapid Incubation; and six Township and Digital Hubs that focus on various designated sectors within which small business start-ups are functioning.

The goal of increasing incubation centers and digital hubs to 100 by 2024 has already been achieved, and the new focus is on improving governance, independent sustainability and returns on investments.

Conclusion

As is evident, much has been achieved since the establishment of the DSBD in 2014. But much more needs to be done to place SMMEs at the centre of driving the country’s inclusive growth. The merger of Seda, sefa and the CBDA will provide seamless and customised support to the sector but needs to be effectively capitalised to effectively contribute to addressing the triple challenges of poverty, unemployment and inequality, and leveraging the kinds of partnerships envisaged in the NISED.

1. Due to the nature of sefa’s partnership with the intermediaries, disbursements are always higher because the intermediaries roll sefa’s money several times a year before paying it back. ↑