Questions and Replies

Reply:

1. (a) It takes a minimum of 15 days to respond to appointments requests. The father (Dr Dare) received a response from this office via email.

(b) The office operating hours has been reduced due to covid-pandemic. Due to lack of personnel in this office, phone calls may only be attended to when counter duties to public members are completed for the day

2. The office was informed.

3. The office is not flouting the law. The children must be registered in the country of birth and submit proof of birth (foreign birth certificate) when applying for SA birth certificates.

4. (a) The current operational hours are from 9H00 to 15H00.

(b) Dr Dare was responded to on (i) 11 June 2021 (ii) his appointment date was 29 June 2021 @ 10H00. He attended his appointment on 29 June 2021 and the department is still awaiting the application from DIRCO’ s diplomatic bag.

• END -

Reply:

1. An amount of R210 000.00 financial provision is provided.

2. The quantity of the bulk sample is clearly described in the approved Prospecting work programme and has not been increased. Rehabilitation is described in the approved EMP

3. (a) Yes.

(b) Yes. All the studies were done copies are readily available in our offices in Springbok for collection as they can not be mailed through due to size.

4. This is the competency of the Department of Agriculture, Environment, Rural Development and Land Reform (Kimberley office).

Reply:

Yes.

Schedule 2 of the Electricity Regulation Act will be amended to increase the NERSA licensing threshold for embedded generation projects from 1 MW to 100 MW.

Reply:

1. a) On the 25th of October 2019.

b) Inspection findings;

• No mining activities were taking place onsite at the day of inspection.
• The access gate was locked with security guard onsite.
• Mine infrastructure onsite, include office, access and haul road, opencast pit, overburden stockpile, opened trenches with berms, coal stockpile.

2. a) There is no mining permit issued on the area that was inspected and as such no consultation took place.

b) (i) The court order found Lunathi to be mining; no authorization neither a permit/mining right or prospecting right was issued to Lunathi to mine the area.

(ii) No information could have been shared with the land owner as Lunathi was never authorized to mine the area.

3. The office of the Regional Manager has not received any concern or objection alleging that certain part of the applications constituted of cut and paste material.

4( a) The Department was still investigating the validity of mining permit.

(b) Ms A M M Weber was provided with the copy of the approved Environmental management plan (EMP) of Hlelo.

5(a) There is no mining permit on portion 24 of Boschmanspoort and as such no internal investigations are being conducted. This is being treated as an illegal activity and law enforcement will assist in dealing with the matter.

Reply:

(1) An amount of R1,253,386,427.00

(2) Yes, the mentioned amount is held by the Department.

(3) (a) (i) West coast Resources is still the holder.

(ii) West Coast Resources.

(b) The date cannot be confirmed as the business rescue process is still underway.

Reply:

ANNEXURE A

list of all the (a) mining and (b) prospecting licences granted in the eMalahleni Local Municipality in Mpumalanga in the past three financial years

Seq No.	NAME OF THE COMPANY	REF NUMBER	STATUS	LOCATION	TYPE OF RIGHT	GRANTING/ISSUING DATE	EXPIRY	OPERATION OR NOT
1	Kusile mining (Pty) Ltd	MP30/5/1/2/2/10049MR	GRANTED	ROODEBLOEM 58 IS, ptn 1 and 2	NEW	2019/03/11	2029/03/10	Not operational
2	SIDE MINERALS (PTY) LTD	MP30/5/1/2/2/10072MR	GRANTED	BANKFONTEIN 216 IR, ptn 7 and 11	RENEWAL	2019/11/03	2026/11/02	Operational
3	Eyethu Coal (Pty) Ltd	MP30/5/1/2/2/10148MR	GRANTED	SPEEKFONTEIN 336 JS, ptn 4	RENEWAL	2019/03/18	2024/03/17	Operational
4	UMCEBO MINIING (PTY) LTD	MP30/5/1/2/2/10118MR	GRANTED	RONDEBULT 303 JS, RE and DOORNRUG 302 JS, ptn 11	RENEWAL	2019/03/17	2027/03/16	Operational
5	Eyethu Coal (Pty) Ltd	MP30/5/1/2/2/10166MR	GRANTED	KOSMO 282 JS, BLOEKOMBOS 414 JS, DRIEFONTEIN 297 JS, LEEUWPOORT 283 JS, SUURWATER 366 JS, TWEEDAM 377 JS	RENEWAL	2019/03/17	2024/03/16	Operational
6	JOE SINGH GROUP OF COMPANIES	MP30/5/1/2/2/10197MR	GRANTED	HENMA 291 IR	RENEWAL	2019/03/11	2024/03/10	Operational
7	Ibumba Bricks (Pty) Ltd	MP30/5/1/2/2/10124MR	GRANTED	LEEUWPOORT 283 JS, ptn 9	NEW	2019/03/17	2049/03/16	Not operational
8	Koornfontein Mines (Pty) Ltd	MP30/5/1/2/2/10077MR	GRANTED	VLAKLAAGTE 45 IS	NEW	2020/08/14	2035/0813	Not operational

Prospecting Rights

Seq No.	NAME OF THE COMPANY	REF NUMBER	STATUS	LOCATION	TYPE OF RIGHT	GRANTING/ISSUING DATE	EXPIRY	OPERATION OR NOT
1.	Kusile Mining (Pty) Ltd	MP30/5/1/1/2/14040PR	GRANTED	9, 11, 12 & 15 Rietfontein 100 IS	RENEWAL	2019/05/13	2015/09/04	Operational
2.	CREDOCRON CC	MP30/5/1/1/2/10891PR	GRANTED	25 Elandsfontein 309 JS	New	2018/04/25	2012/08/22	Not operational
3.	Makole Electrical (Pty) Ltd Trading As Makole Electrical (Pty) Ltd	MP30/5/1/1/2/11732PR	GRANTED	26 & 94 Naauwpoort 335 JS	New	2020/03/25	2013/04/25	Not operational
4.	Invincibledrive Pty Ltd Trading As Invincibledrive Pty Ltd	MP30/5/1/1/2/11725PR	GRANTED	5 & 11 Rhenosterfontein 318 JS	New	2019/10/30	2013/04/10	Not operational
5.	125 Makole Investment cc Trading As 125 Makole Investment cc	MP30/5/1/1/2/12195PR	GRANTED	3 Steenkoolspruit 18 IS	New	2020/03/25	2013/07/26	Not operational
6.	NGULULU RESOURCES PTY LTD Trading As	MP30/5/1/1/2/13065PR	GRANTED	4,5,6,8,9,36,39, RE Hartgebeestlaagte 325 JS	New	2018/04/24	2014/06/03	Not operational
7.	J for Joy Development and Entertainment (Pty) Ltd	MP30/5/1/1/2/14497PR	GRANTED	Portion of portion 4 Driefontein 297 JS	New	2018/07/20	2016/10/13	Not operational
8.	XAKWA INVESTMENT (PTY) LTD	MP30/5/1/1/2/12382PR	GRANTED	Waterkyk 304 JS	RENEWAL	2019/05/29	2013/09/26	Operational
9.	Superlane 137 (Pty) Ltd	MP30/5/1/1/2/14001PR	GRANTED	Portion of RE Duvha Kragstasie 337 JS	RENEWAL	2018/11/08	2015/07/24	Operational
10	Umzobanzi Coal and Energy Pty Ltd	MP30/5/1/1/2/14632PR	GRANTED	8, 10, 30 Grootvallei 258 JS	RENEWAL	2019/05/29	2017/01/27	Operational
11	Inkanyezi Mining and Industrial Suppies cc	MP30/5/1/1/2/14670PR	GRANTED	2, 11 Nooitgedacht 300 JS	New	2018/07/04	2017/02/23	Not operational
12	AMULA RESOURCES (PTY) LTD	MP30/5/1/1/2/14181PR	ISSUED	31 Wolvenskrans 17 IS	New	2018/05/30	2016/02/23	Operational
13	Zama Jali Mining CC	MP30/5/1/1/2/14138PR	ISSUED	6, 12, 13 Speekfontein 336 JS, 12 Rhenosterfontein 318 JS	RENEWAL	2018/11/28	2015/12/18	Operational
14	Big Coal (Pty) Ltd	MP30/5/1/1/2/11318PR	ISSUED	1, 13 & 32 Blesboklaagte 296 JS	New	2018/10/03	2013/01/17	Operational
15	MH Kekana and Sons	MP30/5/1/1/2/14870PR	ISSUED	30-60, 63, 64, 65, 68, 69, 70, 71, 72, 73, 74, 75, 76, 77, 78, 79,80, 81, 82, 83, 84, 85, 86, 92, 112, 123, 134, 235 Nooitgadacht 300 JS, 2, 3, 10, 14-18, 23, 24, 26, 29, 30, 32 Hartbeestpruit 281 JS	New	2019/09/19	2017/08/22	Not operational

Reply:

According to the information received from Transnet:

a) Transnet received 84 applications for rental relief in the 2020 -21 financial year.

b) The names of the tenants who applied for rental relief are listed in Annexure A.

c) The rental relief applications that were approved in line with the guidelines, are listed in Annexure A.

d) The Rand value of each approved application is contained in Annexure A.

Remarks: Reply: Approved / Not Approved

Kgathatso Tlhakudi P J Gordhan, MP

Director-General Minister of Public Enterprises

Date: Date:

Reply:

According to the Information received from Eskom

A forensic investigation revealed multiple instances where Ms Mlonzi, the sole director of Econ Oil was party to inappropriate and unethical behaviour, and in particular, in attempts to unduly influence Eskom officials to inappropriately and unlawfully act to the benefit of Econ Oil, either during procurement processes and/or contract execution stages.

On 29 August 2013, Ms Marah, a former Eskom employee, requested Ms Mlonzi/Econ Oil to make a contribution to “Women in Dialogue”. Ms Mlonzi complied and Econ Oil paid R10,000 to the organisation on 4 September 2013.

On January 2014, Econ Oil invited certain Eskom officials to an ANC Gala Dinner, inclusive of Ms Marah, and allegedly paid for such. The price for the cheapest table was R150,000.

On 11 April 2014, Ms Marah requested Ms Mlonzi on behalf of ANC’s Liliesleaf Farm Branch, to make a donation towards the ANC’s 2014 National Elections campaign. Ms Mlonzi complied and paid R100,000 on 23 April 2014.

Ms Marah was suspended in December 2018 and resigned in January 2019.

There is no causal link with the donation made by Ms Mlonzi to the ANC that would enable Eskom to take legal steps to recover the donation.

Remarks: Reply: Approved / Not Approved

Kgathatso Tlhakudi Pravin Gordhan, MP

Director-General Minister of Public Enterprises

Date: Date:

Reply:

(a) As the honourable member might be aware that all Cabinet Ministers serves in their portfolios at the behest of the President.  The acting period remains the prerogative of the President.

(b) I continue to execute and fulfil my responsibilities as Minister for Small Business Development as detailed in my Performance Agreement with the President and both the Strategic and Annual Performance Plans whilst also acting as the Minister in The Presidency.

Thank you

Reply:

According to the information received from Alexkor:

a) Alexkor has always bought these items directly from the main retailers. They are not procured through a third party

Consumables	YTD Spend	Forecast YE Spend
Cleaning products	R12,210	R13,320

According to the information received from Denel:

(1)(a) Denel, due to continued and prolonged liquidity challenges do not procure bulk bottled waters, milk etc. Cleaning material is part of the Cleaning contracts, which is a consequence of the competitive bidding process.

(1)(b) N/A

(2) N/A

According to the information received from Eskom

Background

Eskom’s Procurement and Supply Chain Management Procedure states that all prices paid need to be market related, thereby minimising the total cost of ownership. The cost of ownership may include items such as delivery, which could be included with each payment invoice. Eskom has since introduced various mechanisms, namely Price Check, e-Auction, Cataloguing, etc., which are embedded in the procurement system to ensure that the principle of obtaining market related prices is adhered to across Operating Units.

The data used to calculate the estimate for Eskom’s spend per unit on a basket of recurring consumables such as bottled water, toilet paper, milk, cleaning products and implements was extracted from SAP based on the text descriptions.

Eskom systems capture information at invoice level not per unit price. In order to respond to this question, Eskom undertook a manual exercise in order to remove items that are not related to the question, and obtained feedback at local level i.e. stations, operating units and offices.

1. (a) The outcome of an exercise undertaken to determine a reasonable estimate for Eskom’s spend per unit on a basket of recurring consumables, such as bottled water, toilet paper, milk, cleaning products and implements, is summarised in Table 1 below. The total spend in April 2020 to February 2020 was R15.6 million - 47% less than the 2019/20 financial year spend.

Category	Currency	FY 2019/20	1 April 2020 to 28 February 2021
Milk	ZAR	16 955 622	7 194 810
Toilet paper	ZAR	5 560 989	2 804 401
Bottled water	ZAR	382 566	258 627
Cleaning products and implements	ZAR	6 456 299	5 383 989
Total		29 355 476	15 641 827

Table 1: Total spend on bottled water, toilet paper, milk, cleaning products and implements

81.47% of the transactions for the last financial year were procured using the local purchase order (LPO)

• According to Eskom Procurement Procedure 32-1034, LPO is a procurement mechanism to be used by an accredited LPO-buyer to procure specific confined categories of goods and services in accordance with the prescribed Delegation of Authority Policy thresholds. The LPO is seen to procure specific confined categories of goods and services below the value of R26 000, excluding VAT.

• The spend on these items is considered as ‘low value’, and most spend is not on long term contracts. This is as a result of Eskom’s footprint across multiple sites, across the country. Further these items are procured locally, preferably local to site, in order to support to local business.

• Since LPO is the main procurement mechanism used, the transaction captured on the system could only reflect the total amount paid. This means the unit data is not standardised and could include varying unit sizes e.g. 20litres of milk, a six pack or 1 litre. This applies to cleaning materials.

(b) A total of 1646 transactions were identified for the period 1 April 2020 to 28 February 2021 and 73%, i.e. 1215 transactions, were analysed further.

In terms of wholesale or retail prices, the results of the price comparison are as set out in Table 2.

Eskom notes that the unit prices paid are above market rates. This is being attended to.

Table 2: Price comparison for bottled water, toilet paper, milk, cleaning products and implements

In terms of cleaning products and implements:

• Cleaning services are mostly procured as a combined service including labour, material and equipment, therefore it is not easy to identify cleaning products and implements costs.

• There are other costs included in the transactions such as transport and delivery cost. Therefore the individual items could not be rolled up accurately.

1. Eskom’ spend per unit on a basket of recurring consumables such as bottled water, toilet paper, milk, cleaning products and implements is a very small portion (less than 0.01%) of the total spend. Therefore it should not be extrapolated across the total spend, to make any conclusions on the rest of the Eskom spend.

The analysis presented above has been shared with the business and guidance on LPO usage will be provided to the business, since it is monitored at local level.

Overall, the exercise did not reveal issues that would impact on cash flow and profitability.

According to the information received from SAFCOL :

1 (a) SAFCOL procurement (2019/2020 FY)

Bottled Water 500l	Toilet Paper one ply pack 24	Milk 1Litre	Cleaning Products
Average Unit Price	Average Unit Price	Average Unit Price	Average Unit Price
R12.00	R290.00	R18.00	Handy Andy 750ML=R30.00 Pine Gel 5Litre =R180.00 Bleach 5 Litre =R70.00 Domestos 5 Litre = R150.00
Total Spend for the Financial Year R3 000.00	Total Spend for the Financial Year R120 000.00	Total Spend for the Financial Year R15 000.00	Total Spend for the Financial Year R70 000

1(b) Wholesale prices (2019/2020 FY)

Description	Bottled Water	Toilet Paper	Milk	Cleaning Products
Unit Price	R14.00	R250.00	R14.00	Handy –Andy 750ML =R25 Pine Gel 5L =R150 Bleach 5L =R50 Domestos =R120
Comments	The price varies depending on the brand or the supplier	The price varies depending on the brand or the supplier	The price varies depending on the brand or the supplier	The price varies depending on the brand or the supplier

2. Total spend does not affect cash flow nor profitability.

According to the information received from South African Express:

Not applicable. The SOC is under liquidation.

South African Airways:

The information from this entity is outstanding and will be submitted as soon as it becomes available.

According to the information received from Transnet:

1.(a) &(b): Annexure A provides details of the spend on a basket of recurring consumables.

2. The rate differences per annum for recurring consumables will not have an impact on the profitability or the cash flow of Transnet. Transnet has no long term agreements in place for consumable items and frequent RFQ’s are issued out to the market in order to ensure that the prices paid remain market related. There are certain instances that Transnet pays below the market rate for consumables and this compensates for the items procured above market rate.

Remarks: Reply: Approved / Not Approved

Kgathatso Tlhakudi Pravin Gordhan, MP

Director-General Minister of Public Enterprises

Date: Date:

Reply:

According to the information received from Denel:

To date, Denel has not been able to fully comply with the Court Order instructing it to settle the outstanding payments for the months of May, June and July 2020 as per the 4 August 2020 judgement of the Labour Court. Denel has however made significant progress in complying with the Court Order and is required to report back to the Labour Court in July 2021, with a report on progress made in this regard. This, in line with the Court’s ruling of 28 January 2021.

It is important to record that Denel finds itself in this dire position, as do its employees, because of the extreme and systemic damage done by corruption and state capture.

Denel’s Board and management are liasing with the unions on this matter.

Remarks: Reply: Approved / Not Approved

Kgathatso Tlhakudi P J Gordhan, MP

Director-General Minister of Public Enterprises

Date: Date:

Reply:

Honourable Member, the Housing Development Agency (HDA) hosted the National Human Settlements Command Centre (HSCC). I am informed that there were no costs incurred in the establishment and operations of the HSCC.

Following the findings published in the Auditor-General’s First Special Report on Government’s Financial Management of the COVID-19 crisis, I convened MinMEC on 23 September 2020 to discuss findings in respect of the Temporary Residential Units (TRUs) built in response to the COVID-19 pandemic. This was necessary because housing is a concurrent function between three spheres of government and the National Department of Human Settlements is responsible for policymaking. The meeting was attended by members of the HSCC, Provinces, HDA and Municipalities. At the said meeting and as part of remedial measures, Accounting Officers of these entities were instructed to; 

 

• Take the necessary steps immediately to ensure that the current TRU projects comply with minimum norms & standards.
• Revisit current contracts to ensure value-for-money is derived. 
• Institute Accountability and Consequence management measures - “act or be acted upon”.
• Consult with the NHBRC on specifications for TRU bids and implementation monitoring.

 

Further, the Honourable Member will be aware that the matter is also under investigation by the SIU.

Reply:

According to the information received from Denel

1(a) Denel’s overall operating activities and environment has further declined in the FY2020/21 financial year with revenue (R2.8bn) projected to be in par with the previous financial year and further losses projected to be 23% lower than the previous financial year.

(1)(b) Denel has struggled to meet all its obligations due to low cashflow and limited business operations.

However, the board, management and DPE are in the process of confirming a new business model which takes account the current realities, including the financial constraints, the stealing of Intellectual Property and the need to rebuild Denel’s capability.

Remarks: Reply: Approved / Not Approved

Kgathatso Tlhakudi P J Gordhan, MP

Director-General Minister of Public Enterprises

Date: Date:

Reply:

(1) (a) Honourable Member, the National Human Settlements Command Centre (HSCC) was established as an inter-governmental operational co-ordination platform to support the work of the National and Provincial Departments of Human Settlements, Provinces, as well as the Metropolitan Municipalities in between meetings of Technical MinMec meetings. The meetings of the HSCC were attended by officials employed in public institutions from the three spheres of government.

(b) There was no additional remuneration, incentives and bonuses in respect of the work of the HSCC.

(2)(a)&(b) I am informed that the HSCC met on the following dates:

• 8 April 2020
• 11 April 2020
• 14 April 2020
• 22 April 2020
• 29 April 2020
• 13 May 2020

Reply:

I am not aware of any registered bank in South Africa refusing to provide its services to clients on the basis of being black, or being black-owned. As the Honourable Member may be aware, the relationship between banks and their account holders is governed by the law of contract and hence confidential to any third party. The termination of any banking account is therefore not disclosed to the Minister of Finance or National Treasury, and we are not legally empowered to intervene in a bank-client relationship, as confirmed in case law, for e.g. in the 2017 Minister of Finance vs Oakbay Investments (Pty) Ltd and 2010 Bredenkamp and Others vs Standard Bank of SA. The only time National Treasury or I become aware of any specific closure of any bank account is when an affected customer contacts us (as was the case with Oakbay) or when it is reported in the media.

National Treasury does not have any evidence that implicates any bank in refusing to provide its services to any person or entity because of their race, gender or sexual orientation. Needless to say, any company or person discriminating on such a basis is breaking the laws of our country, and will have to face the Human Rights Commission, and also face criminal and regulatory sanctions in terms of the laws of our country. If the Honourable Member does have credible evidence on such discrimination by any bank, I invite him to provide such evidence to the Financial Sector Conduct Authority, the criminal prosecution authorities and Human Rights Commission. I do want to caution about certain individuals who make it their business to make such (and similar) allegations for personal financial gain, as they then market their services to “help” customers on their interest rates or charges etc – I would warn the public not to fall for such scams.

A bank may refuse to take on a customer, or terminate its services to a client, for many reasons, provided the reasons for such refusal or termination do not violate public policy or constitutional values. Such reasons also include the obligation on banks to reduce risks related to criminal or money laundering - banks face steep sanctions from both domestic and overseas regulators if they do not have effective customer due-diligence measures in place.

In order to ensure that banks do not abuse their power and treat their retail customers fairly at all stages, even when closing their accounts, the Financial Sector Conduct Authority (FSCA) has put in place conduct standards which came into effect on 3 July 2020 in terms of section 57 of the Financial Sector Regulation Act 9 of 2017. Section 9 of Conduct Standard 3 of 2020 (Banks) requires banks to provide reasons to an affected customer when a bank refuses, withdraws or closes any financial product or financial service to any customer, and also has to provide reasonable prior notice. Section 9 (4) of the standard, allows a bank to refuse, withdraw or close a financial product or financial service without providing prior notice or reasons if:

1. compelled to do so by the law;
2. it has reasonable suspicion that the financial product or service is being used for any illegal purpose; and
3. it has made the necessary reports to the appropriate authority.

Treasury is aware that there are also more structural forms of exclusion due to the history of our country, forms of inequality and access to financial services. For such reasons, National Treasury has adopted a multi-pronged approach to transformation that seeks to enhance market conduct, market development and financial inclusion (deepening financial inclusion for individuals and small businesses).

(a) Transformation in the financial sector (including the banking sector) is set out in terms of the BBBEE Act and more specifically, the Financial Sector Code. It is led by the Financial Sector Transformation Council, and governed by the Financial Sector Code that was issued in terms of section 9 (1) of the Broad-based Black Economic Empowerment (BBBEE) Act 53 of 2003.The Financial Sector Code commits all participants to actively promote a transformed, vibrant and globally competitive financial sector that reflects the demographics of South Africa, and which contributes to the establishment of an equitable society by providing accessible financial services to poor and marginalized people and by directing investment into targeted sectors of the economy. Working together with the Financial Sector Transformation Council and its other members, National Treasury will continue working on the strengthening and implementation of the Financial Sector Code so as to enhance the transformation of the financial sector.

National Treasury is also developing legislation that will further seek to enhance the transformation imperatives of the South African financial services sector, with the publication of drafts of the Conduct of Financial Institutions (COFI) Bill for public comment in December 2018 and a second draft in September 2020 as the first steps. The current version of the Bill contains provisions (if enacted) that require financial institutions to develop transformation plans to guide them in meeting their commitments in terms of promoting transformation of the financial sector as envisaged in the BBBEE Act and the Financial Sector Code.

(b) Economic inclusiveness is also embedded in the financial inclusion leg of the multi-pronged approach. Treasury recently published a draft policy document on financial inclusion, titled “An Inclusive Financial Sector for All” for public comment, which is available on the National Treasury website. The link is as follows:

http://www.treasury.gov.za/comm_media/press/2020/Financial%20Inclusion%20Policy%20-%20An%20Inclusive%20Financial%20Sector%20For%20All.pdf

 

Reply:

1. The Honourable Member’s question covers a number of different entities and forums operating in the financial sector regulatory system and established in terms of the Financial Sector Regulation Act 9 of 2017, which took effect on 1 April 2018. It is difficult to provide all the detail requested, as the regulators and the ombuds often deal with market-sensitive and confidential information, and may not have the power to even report such information to the Minister. This has also resulted in the delay in answering this question. Many of the entities are not fully-fledged entities listed as entities in terms of the PFMA, and are more like working committees or oversight committees/forums, and their membership is determined in terms of specific official positions rather than particular individuals. Some of the members of the various committees are determined by the positions held by members, be they the Governor, Deputy Governor of the SARB, or the Director-General or Minister of a specific department. However, all these committees or forums are built around the two core regulatory institutions established under the Financial Sector Regulation Act No. 9 of 2017, which are the Prudential Authority and the Financial Sector Conduct Authority, as well as the ombuds and tribunal system.

2. I am not in a position to answer the detailed information requested by the Honourable Member, which in any case is provided via the statutory reports required from the entities in terms of the PFMA and other laws, like the annual reports which are all tabled in Parliament every year. Hence, I will restrict my responses to easily available information, like the name of the chair or deputy chair of such institutions, and not the entire staff of any entity. The Honourable Member is free to engage with each fully-fledged entity after they have submitted their annual and other reports to Parliament, when the relevant portfolio committee convenes a hearing to consider such reports. I will not answer more granular information like the number of meetings held by any committee or organization, as such detailed operational information is generally not part of the statutory reporting system.

3. The Honourable Member should also note that there has been a transitional period for implementing the FSRA, which has also taken longer than initially anticipated, particularly for the new positions and structures created, like the appointment of the Commissioner and the Deputy Commissioners of the FSCA, or the establishment of the Ombud Council. Some of the committees will only begin to function once the transition period is over, which I expect to be by October 2021.

Financial Sector Conduct Authority

4. I am happy to confirm that the first Commissioner of the FSCA has been appointed. I appointed Mr Unathi Kamlana as the Commissioner of the FSCA, starting on 1 June 2021. Ms Astrid Ludin was also appointed as a Deputy Commissioner of the FSCA, commencing on the same date. I have just received the second report from the Shortlisting Panel recommending two persons for the vacant Deputy Commissioner positions, and hope to make a final decision on such appointments by early July 2021. The appointment of a further Deputy Commissioner will enable the Minister of Finance to disband the Transitional Management Committee and mark the end of the transition process for the FSCA, and put it firmly under the new permanent leadership. In the meantime, from 1 June 2021 until it is phased out, the new Commissioner is the chair of the Transitional Management Committee in line with the provisions of section 66(4)(a) of the FSRA. More details on the FSCA are available in its annual reports, as tabled in 2020.

5. The FSCA Executive Committee is a committee of the FSCA, comprising the Commissioner and Deputy Commissioners of FSCA, established in terms of section 60 of the FSRA. During the transition, whilst there was no Commissioner and Deputy Commissioners appointed, the Transitional Management Committee (TMC) served, in terms of the Financial Sector Regulations, as the Executive Committee. Those who have acted as Chairs of the TMC include Mr Abel Sithole, Adv Dube Tshidi, Mr Olano Makhubela and Ms Katherine Gibson. I have been informed by the FSCA that the Executive Committee (i.e. the TMC) has generally been meeting at least twice monthly.

PRUDENTIAL AUTHORITY

6. With regard to the Prudential Authority (PA), it is an entity that resides within the SA Reserve Bank, and its CEO is one of the Deputy Governors of the SARB in terms of section 36(1) of the FSRA. Deputy Governor Kuben Naidoo has been its CEO from the date it was established on 1 April 2018. The Prudential Authority Oversight Committee, which oversees the PA, is established in terms of section 41 (2) of the FSR Act, and comprises of:

(i) Governor of the South African Reserve Bank, who is the Chairperson;

(ii) CEO of the Prudential Authority, who is one of the Deputy Governors; and

(iii) All the other Deputy Governors of the South African Reserve Bank

7. The current chair of the Prudential Committee is thus Mr Lesetja Kganyago (as the Governor of the SA Reserve Bank), and its other members are the other Deputy Governors (Dr Rashad Cassim, Ms Fundi Tshazibana and Mr Kuben Naidoo). The Prudential Committee informed me that it held its first meeting on 16 April 2018.

OMBUD COUNCIL AND OMBUD COUNCIL BOARD

8 The Ombud Council was established in terms of section 175 of the FSRA. This section took effect on 1 November 2020. In terms of section 179 of the FSRA, the Board of the Ombud Council is comprised of:

1. The Chief Ombud;
2. The Commissioner of the FSCA;
3. 4-6 members appointed by the Minister of Finance.

9. The Minister appointed the Chair and Deputy Chair and 4 other members to the Board for a three-year term, commencing on 1 November 2020, in terms of section 180 of the FSRA, as follows:

1. Ms Deanne Wood (Chair);
2. Ms Dikeledi Chabedi (Deputy Chairperson);
3. Mr Emmanuel Lekgau;
4. Ms Silindile Kubheka;
5. Mr Adam Horowitz; and
6. Ms Charmaine Soobramoney.

10. The Board could only be properly constituted once the Chief Ombud was appointed, which was done on 2 May 2021, when I appointed Ms Eileen Meyer as the Acting Chief Ombud for a term of one year, starting 2 May 2021, in terms of section 188(1) of the FSRA (refer to attached media statement dated 24 May 2021). The Ombud Council Board is thus properly constituted, and held its first meeting on 26 May 2021.

11. The Chief Ombud will establish and operationalise the Office of the Ombud Council. As such, the Ombud Council currently does not have an executive committee, and thus has not held any meetings.

 

FINANCIAL SERVICES TRIBUNAL

12. The Financial Services Tribunal was established in terms of section 219 of the FSRA. It commenced its operations on 1 April 2018. In terms of section 220(1) of the FSRA, the Financial Services Tribunal comprises as many members as the Minister determines. Currently, the Financial Services Tribunal has 20 members. The current Chairperson of the Tribunal is Justice Yvonne Mokgoro, and the current Deputy Chairperson of the Tribunal is Judge Louis Harmse.

13. Whenever there is a case, panels of the Tribunal (usually consisting of 3 members) convene to hear and adjudicate on the case.

14. The rest of the organisations/entities named by the Honourable Member are not self-standing entities regulated or listed in terms of the PFMA, but rather are merely committees or forums, designed to either co-ordinate activities between regulators and/or departments or to exercise oversight.

Structure	(a) Date formed	(b) Names of persons serving on each structure	(c) Dates of meetings of each body since January 2020	(d) Names of Chairperson and Deputy Chairperson
Financial Sector Inter-Ministerial Council	No meetings have been convened as yet, as Section 83 of the Financial Sector Regulation Act is not yet in operation. This structure will only be convened as and when deemed necessary by the Minister of Finance.	Sections 83 and 84 of the FSRA determines that the following Ministers will serve on this Council: (a) Minister of Finance (chair); (b) Minister of Trade and Industry (for consumer protection, consumer credit and economic development); and (c) Minister of Health.	N/A	Minister of Finance, Mr Tito Mboweni Deputy Chairperson - none
Financial System Council of Regulators	13 June 2019	This is an advisory body established in terms section 79 of the FSR Act, and its members are as follows: (i) Chair: Director-General – National Treasury; (ii) Director-General – Department of Trade, Industry and Competition; (iii) Director-General – Department of Health; (iv) CEO – Prudential Authority; (v) Commissioner – Financial Sector Conduct Authority; (vi) CEO – National Credit Regulator; (vii) Registrar and CEO – Council for Medical Schemes; (viii) Director – Financial Intelligence Centre; (ix) Commissioner – National Consumer Commission; (x) Commissioner – National Consumer Commission; (xi) Deputy Governor responsible for financial stability matters – South African Reserve Bank.	22 January 2020	Chairperson – Dondo Mogajane Deputy Chairperson – None
Financial Stability Oversight Committee	9 March 2018	In terms of section 22 (1) of the FSR Act, the Financial Stability Oversight Committee consists of the following members:   (i) Chair: Governor – South African Reserve Bank); (ii) Deputy Governor for Financial Stability matters – South African Reserve Bank); (iii) CEO – Prudential Authority; (iv) Commissioner – Financial Sector Conduct Authority; (v) CEO – National Credit Regulator; (vi) Director-General – National Treasury; (vii) Director – Financial Intelligence Centre; (viii) Head: National Payment System Department – South African Reserve Bank; (ix) Head: Financial Stability Department – South African Reserve Bank; and (x) Head: Financial Surveillance Department.	31 March 2020 and 04 September 2020	Chairperson – Lesetja Kganyago Deputy Chairperson – Rashad Cassim
Financial Sector Contingency Forum	Forum to assist the FSOC, and launched as a statutory forum on 1 April 2018 (as it was originally set up as an advisory structure in 2008, following the global financial crisis)	Section 25 of the FSR Act empowers the Governor of the SARB to establish this forum to assist the Financial Stability Oversight Committee (FSOC). It consists of the following members: (i) the 3 Deputy Governors of the South African Reserve Bank; (ii) a representative of the Financial Sector Conduct Authority; (iii) a representative of the Financial Intelligence Centre; (iv) a representative of the National Treasury; (v) a representative of the Banking Association South Africa; (vi) a representative of the South African Insurance Association; (vii) a representative of the Johannesburg Stock Exchange; (viii) a representative of the Payments Association of South Africa; (viii) a representative of Bankserv; (ix) a representative of Strate Ltd; (x) a representative of the Association for Savings and Investment South Africa; (xi) a representative of the National Disaster Management Centre; (xii) a representative of the South African Bank Risk Information Centre.	This forum meets twice a year	Chairperson – Rashad Cassim Deputy Chairperson – None

15. Where there is a Chair or Deputy Chair for any structure above, they are all appointed in terms of legislation, or by the Minister of Finance or Governor of the SA Reserve Bank, depending on the FSRA. No Chair or Deputy Chair is elected to such position.

16. As noted above, the only structure that has not been established as yet is the Financial Sector Inter-Ministerial Council, which will only be convened as and when deemed necessary, as it is an advisory structure. Further, section 83 has not taken effect as yet. More importantly, the underlying technical structure, the Financial System Council of Regulators, has been established, and has started meeting. Note that the aim of these two structures is to co-ordinate with related regulatory structures like the National Credit Regulator and the Council for Medical Schemes, which also regulate financial products, but report to different Ministers.

17. It should be noted that the agendas of many of these structures tend to be market-sensitive, and care needs to be taken not to make them public until appropriate steps are taken to present more comprehensive reports via public announcements by the regulators. Neither is the Minister involved with many of these structures. The regulators and entities will report to Parliament at least annually, and deal with the key issues, including on their performance.

 

Reply:

1. As Minister of Finance, I generally only make tax announcements on Budget Day, but given the exceptional circumstances after the first Covid-19 lockdown, I made some tax announcements on 29 March and 23 April 2020 to provide tax relief to businesses and individuals during the 2021/21 financial year. Two of these measures applied to corporations, namely delaying the base-broadening measures I had announced in the previous Budget and deferrals for provisional tax payments. These measures have now run their course. The corporate tax regime already contains automatic stabilisers as a tax on profits, and as companies’ profitability recovers so will revenue from corporate income tax. Companies that face financial distress can utilise the existing tax administrative measures to apply for hardship relief. To aid the medium-term recovery, I announced in the 2021 Budget speech the overall intention to restructure the corporate income tax system in a revenue neutral manner, through a combination of a tax rate reduction and base broadening measures. These measures are expected to enhance efficiency, transparency and fairness in the corporate tax system. The design of the corporate income tax system can influence taxpayer behaviour, which impacts the economy. A corporate income tax regime characterised by a broad base (fewer tax incentives and exemptions) and a lower rate is simpler with less loopholes and requires less onerous anti-avoidance legislation. By revising the corporate tax base in this manner, we can afford my proposed one percentage point reduction in the corporate income tax rate from 28 per cent to 27 per cent from April 2022 without a loss of revenue. 27 per cent is still higher than the current global average of around 23 per cent, but South Africa is working with more than 100 other countries on a multilateral solution for a global minimum tax rate of at least 15 per cent. A lower corporate tax rate is expected to make our tax system more attractive to investments: this can boost the post COVID-19 recovery; reduce the incentive for multinational firms to shift their profits to low-tax countries; and reaffirm our commitment to support business in working towards inclusive growth. The announced reduction from 28 to 27 per cent will be done in a revenue neutral manner by broadening the base through reducing the number of tax incentives and implementing the measures that were delayed last year, namely restricting the use of excessive interest deductions and limiting the setoff of accumulated assessed losses against taxable income. The combination of a rate reduction and base broadening measures aims to ensure affordability so that no social spending is affected as a result of these proposals.

2. No, as the tax system is a very blunt tool to achieve non-revenue related objectives, and introducing additional further tax incentives will also work against our objective to broaden our tax base and lower the tax rate for all businesses, and to do so in a revenue neutral manner. Tax incentives narrow the tax base, requiring a higher tax rate to raise a given level of revenue. The provision of tax incentives often undermines the principles of a good tax system, which should be simple, efficient, equitable and easy to administer. Tax incentives provide certain taxpayers/industries with preferential treatment compared to what is generally available to all, creating opportunities for vested interests and lobby groups. The 2021 Budget Review stated that “Government is reducing the number of tax incentives, expenditure deductions and assessed loss offsets…”. National Treasury has already commenced a process to review existing corporate tax incentives with a view to repeal those that are redundant and include sunset dates where there are none. Studies conducted by international organizations, such as the International Monetary Fund (IMF), the Organization for Economic Cooperation and Development (OECD) and the World Bank confirm that investors also value other factors above tax incentives when making investment decisions. These include political and policy certainty, infrastructure, access to markets, access to skilled labour, etc. Reducing the corporate income tax rate and broadening the base is a better means of benefiting all businesses. In turn, employees and consumers can also benefit from higher wages and lower prices.

Reply:

a) What number of productivity champions are employed by Productivity SA?

Productivity SA does not employ and pay the salaries of Productivity Champions.

However, as part of our objective to promote a culture of productivity and accountability thereof, as part of our APP target in the 2020/21 FY, we have identified and trained 429 Productivity Champions. They are trained and capacitated on Productivity Tools and Techniques including that of Kaizen (Continuous Improvement).

(b) what is the total cost of their employment?

N/a - Productivity SA doesn't employ Productivity Champions. The training of the Productivity Champions is conducted by our Productivity Practitioners and funded through the appropriation as well as funding made available by strategic partners (including funding through Limpopo Economic Development, Environmental affairs, and Tourism (LEDET), Seda (Mpumalanga), and Eastern Cape Development Corporation (ECDC).

(c) how are they selected for employment?

A Productivity Champion is an employee of a business entity which we are providing the Enterprise Development and Support Programmes to improve their competitiveness and sustainability through training in the fundamentals of productivity measurement and improvement.

(d) what are their roles and responsibilities

The purpose of training productivity champions is to capacitate the organisation with productivity and competitiveness enhancement tools to help sustain work we have done after we leave the organisation and for the organisation to continue the continuous improvement journey aimed at sustainability and growth.

(e) what is their numerical breakdown in each province?

REGION 1	REGION 2	REGION 3
Gauteng	169	Western Cape	109	KwaZulu-Natal	20
Limpopo	11	Northern Cape	2	Eastern Cape	50
North West	12	Free State	12	Mpumalanga	44
Total	192		123		114

Reply:

According to the information received from Denel:

(a) In October 2020, Denel gave s189 notices to Organized Labour as well as the relevant applications for Commission for Conciliation, Mediation and Arbitration (CCMA) facilitation on the process in two (2) of its divisions and one (1) subsidiary on operational requirements. The CCMA facilitated process has been carried out in line with the provisions of the Labour Relations Act no 66 of 1995.

(b) Denel is fully aware of its obligation to pay severance pay as stipulated in the Labour Relations Act. Section 189(3) of the Labour Relations Act stipulates matters of consultation, which among others include Severance Pay. To the extent that the consultation process has not been concluded, Denel is unable to state if it is able to pay the Severance Packages, which are still the subject of consultations.

Recognizing the liquidity challenges that Denel continues to experience to date, and, in the event the consultation process is concluded, the parties may have to consult and reach consensus on the period within which severance pay may have to be paid.

Remarks: Reply: Approved / Not Approved

Kgathatso Tlhakudi P J Gordhan, MP

Director-General Minister of Public Enterprises

Date: Date:

Reply:

Most of the Departments, if not all, Department of Employment and Labour included are governed by Department of Public Service and Administration (DPSA) ICT Governance Policy Framework which guides on overall ICT Governance and Information Security processes that we should follow and implement as the government entity.

There is a committee at DPSA that deals will cyber security related matters called “Standing Committee on Information Systems Security (SCISS)”, as the department, we are standing member of that committee and this is where all other government departments are represented to discuss matters related to information security and cyber-security.

The SCISS has come up with an initiative of departments sharing resources and transferring skills to one another in matters relating to cybersecurity. The initiative is still at the beginning stage where a database of cybersecurity specialists in the public sector is being developed.

Internal Information Security staff have also subscribed with other global threat security intelligent institutions i.e. Microsoft- Security Slate, Centre for internet Security (CSI) and Hackers Choice, where we regularly receive ICT security related awareness’s, newsletters, information on vulnerabilities, viruses and data privacy related breaches that the department should be aware of.

Reply:

1. I am not aware that there was any letter from BASA dated 10 October 2020, and the attachment submitted by the Honorable Member appears to be a public media statement issued by BASA on 11 October 2020. The Minister of Finance cannot be expected to answer or account for any statement issued by BASA, or for the loan policies of any private registered bank.

I will, however, assist the Honorable Member by commenting and highlighting relevant points from this and other BASA statements, some of which they also sent to the National Treasury. I refer the Honourable Member to the BASA website (www.banking.org.za) for other relevant statements, and also bring to the attention of the Honorable Member my response to a previous parliamentary question PQ 869, published on 29 September 2020.

a) (i) Payment breaks on credit agreements

Yes, I am aware that all the major banks took steps to provide relief to their customers soon after the start of the first COVID-19 lockdown in 26 March 2020, based on the public statements issued by BASA and various individual banks, as well as meetings between BASA and Treasury. According to the BASA statement of 12 November 2020 (https://www.banking.org.za/news/nov-covid-19-relief-update/), most of the major banks restructured loans and credit facilities for their clients and corporate customers in financial distress through their own credit relief process, almost immediately at the start of the first lockdown. In this regard, the credit relief (repayment holiday or payment breaks on credit agreements) was a voluntary initiative by commercial banks, which was offered to individuals and small and medium enterprises (SME) for the six months (April – October 2020). As at 24 October 2020, BASA reports that banks had provided R33,61 billion in payment breaks on credit agreements to South African businesses and individuals who were in financial distress as a result of the Covid-19 pandemic and the national lockdown.

According to BASA, over 83 per cent of individuals and 95 per cent of businesses who requested help, with personal and home loans, vehicle finance, business mortgages and credit facilities, received the required assistance. This cash flow relief for 2 684 271 credit agreements for eligible individuals and 135 540 businesses was critical to the preservation of quality of life, jobs, businesses and the functioning of the economy.

a) (ii) Loan guarantee scheme

According to the last update on the loan guarantee scheme released by BASA as at 19 June 2021, a total 13 324 loan applications were approved for SMEs within the different turnover bands, with a total rand value of R18.39 billion. The majority of approved applications were submitted by SMEs with a turnover greater or equivalent to R1 million but less than R20 million. The relevant statement is available on the BASA website.

2. This information is not available to National Treasury, as it is bank-specific, and covers financial assistance beyond the loan guarantee scheme. But BASA has indicated (as stated above) that at least 83 per cent of individuals and 95 per cent of businesses that requested help, with personal and home loans, vehicle finance, business mortgages and credit facilities, received assistance. This implies that 17 per cent of individuals and 5 per cent of commercial enterprises, respectively, did not receive financial assistance as a result of their respective credit facilities not being up-to-date in terms of repayments credit agreements.

3. As at 19 June 2021, BASA reports that a total of 28 430 covid19 loan guarantee scheme applications were rejected. Applications were rejected since, inter-alia, they did not meet the eligibility criteria for the scheme, as set out by National Treasury and the South African Reserve Bank, or because they did not meet commercial bank’s risk criteria. In some cases, applications were rejected as a result of outstanding financial records or documentation not submitted; or the loan value requested was either too high, being in excess of the R100 million maximum loan amount requirement, or that the reason for the application was not a COVID-19 related matter/distress.

4. The National Treasury, together with the South African Revenue Service (SARS), the Prudential Authority and The Financial Sector Conduct Authority (FSCA), have taken a number of measures to assist all businesses, using tax and regulatory instruments. The tax measures were outlined in announcements made by the Minister of Finance (see Supplementary Budget Review, page 32), and outlined in parliamentary questions PQ 850, 851, 852, 853, 854 and 869 in 2020. Small businesses (with gross income of up to R100 million) were able to defer a portion of up to 35 per cent of their employees’ tax payments and a portion of up to 35 per cent of their provisional tax payments. Businesses of any size could claim the increased Employment Tax Incentive and were exempt from the Skills Development Levy for 4 months. Companies that still face financial distress can utilise the existing tax administrative measures to apply for hardship relief.

FSCA, in consultation with the National Treasury, also provided further support to businesses and individuals by adjusting regulations to support insurance premium relief for policyholders, allowing them to claim while minimising disruptions to the expected income of intermediaries. In addition, the FSCA advised the boards of trustees for retirement funds and financially distressed employers to consider allowing appropriate relief with regard to retirement contributions.

The National Treasury continues to monitor the impact of the COVID-19 pandemic on the economy and jobs, and recognises the challenges facing both small and large businesses, particularly those in the hardest hit sectors. Existing support measures by the South African Reserve Bank and FSCA, as detailed in the 2021 Budget Review (pages 173-174), will continue, subject to conditions and regulatory mandates. National Treasury, working with relevant stakeholders, continues to explore more appropriate support and risk-sharing mechanisms, including proposals related to non-bank financial institutions and development finance institutions, mindful of the fiscal challenges facing South Africa.

Reply:

According to the information received from TRANSNET:

(a) Findings of the investigation

In March 2020, Transnet Port Terminals (TPT) in Cape Town had an incident where an external truck driver was killed when a TPT Rubber Tyred Gantry (RTG) spreader fell, resulting in a container hitting the truck cabin with the driver inside.

A summary of the core findings of the internal investigation undertaken by TPT are set out herein below.

• On the day of the incident, the Operator of the Lifting Equipment (OLE) advised of an unusual sound emanating from the hoist breaks. The artisan attended to the RTG and recorded the sound for further consultation. Upon consulting with a Senior Artisan, and upon receiving advice to stop the machine immediately, the responsible Equipment Coordinator was called to stop the machine. The Equipment Coordinator did not timeously convey the instruction to stop the machine to the OLE operator resulting in operations continuing.

• The RTG25 hoist brake shoe was loose and eventually dislodged as the OLE operator was positioning the equipment. The spreader lowered by itself resulting in the braking system not responding. This resulted in the spreader falling on the truck cabin positioned under the crane waiting to be loaded.

• The OLE operator panicked and attempted to warn the driver by continuously hooting, however the driver did not hear the warning.

• The findings from the investigation suggest that possibly the hoist brake bolts were not correctly tightened to the right settings by the service provider when refurbished in May 2017. As a result, the bolt became lose over time and ultimately dislodged. This is a brake unit with a number of components that is refurbished by the service provider. These refurbished units are maintained as spares and used when required for maintenance purposes.

• The maintenance regime undertaken on the machine at the time did not trigger the need to check the torque settings of the brake pads and ensure that any loose bolts were detected and repaired accordingly.

• It is important to note that since the occurrence Transnet has tracked and ensured implementation of the control measures identified in the internal investigation in order to avoid the re-occurrence.

(b) What was the scope of the investigation?

The scope of the investigation is outlined in the Transnet Integrated Management System (“TIMS”) Occurrence and Non-conformance Management 013 Procedure.

An internal investigation was conducted by Transnet Port Terminals. A Board of Inquiry was not commissioned as the country had just entered COVID-19 Level 5 at the time.

The internal investigation team was required to investigate the fatality to determine the following:

• The root causes/facts/immediate/underlying and contributing causes surrounding and leading up to the occurrence; and

• Develop robust recommendations to avoid the recurrence of similar occurrences in the future.

Further to establishing the facts surrounding the occurrence, the investigation team also focused on:

• The activation, execution and management of the emergency processes and relevant directives;

• The effectiveness and execution of safety procedures at the site;

• The identification of the measurement of control – risk assessments and mitigation processes; and

• Adherence to procedures pertaining to giving and obeying lawful instructions.

The internal investigation report was based on the evidence collected and included for example, the review of governance documentation, interviewing of key witnesses, and the analysis of evidence provided.

The investigation team was requested to formulate their recommendations in such a way that:

• The recommendations are clear, specific and unambiguous as to what is expected by whom;

• The recommendations are measurable, practicable and attainable; and

• The recommendations are results orientated and coupled to specific timeframes.

.

Reply:

a) What is the name of the communication agency appointed?

• Cut to Black Media is the awarded company for the Provision Of Communication and Marketing Services (Covid-19 And Related Communication And Marketing) For SASSA As Part Of The #KeepSouthAfricaHealthy Campaign.

b) Through what process was the company appointed?

SASSA took part in an existing contract of the Government Communication and Information System (GCIS).

c) What are the terms of the appointment contract?

Contract Duration: Start November 2020 end June 2021

Cut to Black Media was awarded the contract to assist SASSA’s communications. This was done through a submission process on the back bone of GCIS Bid number 06-20-COM-HO.

• Date of Letter of Award: 22 October 2020
• Purchase Order Received: 2nd December 2020.
• Contract Period of Award: 06 months (Linked to GCIS contract)

The Contracts Terms of Reference are:

1. Communicate COVID-19 grant campaign messages
2. Build stakeholder engagement, public trust, and advocacy through strategic communications.
3. Create awareness, understanding, and support of Social Development Portfolio work
4. Communicate correct SASSA and social grants information
5. Rebut fake news and wrong information
6. Strengthen SASSA public relations using regional, local and district levels of communication

Scope of Work as per Terms of Reference (condensed):

1. To participate in GCIS panel of service providers for communications
2. Utilise key integrated marking communications aspects to broadly support communication & marketing services on the campaign.
3. Customised multimedia products should be developed for the purposes of SASSA brand activation through the following channels:
4. Public relations with focus on COVID-19 SRD Grant
5. Media Strategy and Direction
6. Promotions
7. Brand management: consistency and alignment of messages
8. Stakeholder Engagement: engagement and collaboration during COVID-19
9. Creative and Production Services
10. Video and Photographic Services
11. Digital Marketing
12. Monitoring and Evaluation

d) Cost implications

1. There are no cost implications of this contract to the Department
2. SASSA appointed Cut to Black Media at a total cost of R19 983 345,30 (including VAT).

Reply:

The “50 Good Deeds” campaign was implemented alongside the District Development Model in the Amajuba District Municipality, as the Deputy Minister is the District Champion for that district.

The “50” was linked to the Deputy Minister’s 50th birthday where she wanted to give back to the communities as part of her birthday celebrations. The correct dates are from the 1st to the 8th of March 2021.

The Department covered all costs as this is part of the District Development Model. The Deputy Minister partnered with different private companies for different programs in addition to the different work that the department is doing.

Reply:

According to the information received from the SAA:

(1)(a) The costs of the flights were in line with the standard costs of flight operations for South African Airways SOC Limited (SAA) cargo of this nature. Due to the commercial sensitivity of cargo pricing structures, personnel payment details and crew salaries for the flights cannot be provided at this time.

(1)(b) Taking into account that the airline operates in a competitive environment and the information requested is commercially sensitive, therefore the breakdown cannot be provided.

(2)(a) The flight number for the outbound flight from OR Tambo to Brussels is SA 4272  

(2)(b) The flight number for the inbound flight from Brussels to OR Tambo is SA6273

(3)(a) The vaccine doses transported on the specific flight were 40 000 doses. Commercial cargo on SA4272 is 3 tons and 16 tones on SA6273 (excluding vaccines)

(3)(b) The cost of the vaccines is information that is part of a contractual agreement between the Department of Health (DoH) and the supplier. DoH is best positioned to respond to this question.

(3)(c) The DoH is best positioned to respond to the question.

(3)(d) The vaccines were maintained at the permitted travelling temperature as specified by approved Centre for Disease Control and Prevention (CDC) guidelines and as agreed with the supplier.

(3)(e) The freight carried on the flight was cargo mix ranging from courier (express cargo), electrical equipment, ship spares, car components and electronic spares.

Remarks: Reply: Approved / Not Approved

Kgathatso Tlhakudi P J Gordhan, MP

Director-General Minister of Public Enterprises

Date: Date:

Reply:

Number	Qualification1	Qualification 2	Qualification 3
	(i)	Matric	B.Sc. Engineering	MBA
	(ii)	Leseding Technical Secondary School	WITS	UCT
	(iii)	057 397 1002	011 717 4208	010 013 0378
	(iv)	1 year	4 years	1 year
a)	(v)	-South Sotho -English Second Language Mathematics Physical Science Technical Drawing Electricians work	Metallurgy and Materials Engineering Physical Metallurgy Option	-Company Analysis -Research Methods and Research Reports -Business Model Innovation lab -Strategy
b)	(i)	01 January1990	3 December 1996	-Social Innovation entrepreneuring -Marketing -Finance -Operation Management -Business, Government & Society
	(ii)	26 July 2020	26 July 2020	26 July 2020

Reply:

According to the information received from Denel:

1(a) Denel is a multi-product entity. The statistics can reasonably be given in financial form as follows:

Year	2015	2016	2017	2018	2019	2020
R’m Revenue	5 852	8 422	7 769	5 848	3 764	2 729

(1)(b) Denel does not split data on profits per country. The gross profitability is shown below:

Year	2015	2016	2017	2018	2019	2020
Overall Group Gross Profits / (loss)*	1137	1672	1219	265	-582	582

* Profit before operational fixed costs

2(a) Denel has manufactured defence equipment for the following:

Asia Pacific

Africa

South Africa

South America

Europe

Middle East

North America

2(b) See 1(b) above.

Reply:

According to the information received from Denel:

1. As things stand Denel has lost a significant amount of scarce skills, primarily due to non-payment or partial payment of salaries. To the extent that Denel continues to face liquidity challenges, it is difficult if not impossible to retain skills. Denel’s current focus is to stabilise and rebuild the organisation to make it attractive again. Once this is achieved, Denel will be able to attract the lost skills back as most employees have had demonstrable loyalty to Denel.

2. (a) The Denel Technical Academy (DTA) is currently not funded. Its reliance over the past few years has been on applications for government funding. However, the DTA Strategy and Delivery Framework is already under review in line with the Re-purposed Denel Strategy and Operating Model.

(b) The current scope of the DTA is aircraft trades and general engineering trades artisan training together with specific aircraft type training for Denel product types. Denel is of the view that the DTA has not been optimised to its Full Potential in the past. The Strategy review process presents numerous opportunities for Denel to Maximize Value out of this facility and this includes its Infrastructure usage and Integrated Learning Solution Delivery.

 

Reply:

According to the information received from Denel:

(a) Denel is in the process of implementing a new Strategy and Operating Model, code-named Denel 5.Y, as approved by the Board and the Minister. Denel 5.Y envisages a much leaner organization with only two operating divisions, i.e. Denel Maintenance & Manufacturing and Denel Engineering. In accordance with this model, the number of CEOs and Executives will reduce significantly. The restructuring process will be conducted in accordance with the relevant legislation.

(b) R11 720m

(c) Liquidity constraints

• • Insufficient working capital;
  • Inability to raise new performance and advance guarantees;
  • Non-payment of full salaries to employees impacting on execution;
  • Aging plant infrastructure and inability to service/maintain ie increased failure leading to increased downtime;
  • Hostile supplier environment due to non-payment of legacy debt. Increased time spend on trying to negotiate with suppliers on payment terms and plans eating into critical delivery times. Also, most suppliers demanding advance payments before order can be executed.
  • Loss of skills and capabilities

Reply:

I am assured by the KwaZulu Natal Provincial Department of Health that the management of the Prince Mshiyeni Memorial Hospital is in good order. All senior management positions at the Hospital have been filled. The current management is capable of handling challenges that emanate from managing this large and busy regional hospital.

END.

Reply:

According to the information received from Transnet

a) An amount of R108 million has been spent to date and the breakdown is as follows:

(i) Robinson Dry Dock: approximately an amount of R8m was spent on infrastructure upgrades and pump system upgrades;

(ii) Sturrock Dry Dock: An amount of about R40m was spent on refurbishment and replacement of sliding caisson, water circulation pumps, electrical infra upgrades, physical infra upgrades and pump system upgrade; and

(iii) Synchro Civil Infrastructure upgrades: A further R60m has been spent on refurbishment of synchro lift, electrical control system, and mechanical infrastructure in the port of Cape Town.

b) This amount has been spent from 2016 to date and the remaining investment is to be spent over the next 5 years.

Reply:

a) The bill has been enacted into law. National Treasury through the Minister of Finance may provide more details on the special appropriation process should that be required.

b) The funds will be paid to SAA as the shareholder and then transferred to the subsidiaries namely Mango, SAAT and Airchefs.

Reply:

The “50 Good Deeds” campaign was implemented alongside the District Development Model in the Amajuba District Municipality, as the Deputy Minister is the District Champion for that district.

The “50” was linked to the Deputy Minister’s 50th birthday where she wanted to give back to the communities as part of her birthday celebrations over and above the DDM functions in the district. The correct dates are from the 1st to the 8th of March 2021. The Good Deeds campaign was from 1 March 2021 to 31 March 2021.

There were no additional costs that the campaign brought to the Department outside of everyday work. What the campaign managed to do is to draw private sector to support Social Development more and better. No Parliamentary officials joined the campaign. The Deputy Minister was accompanied by all the relevant officials in her department as this was a District Development Model outreach.

The Deputy Minister collaborated with different private companies for different programs in addition to the different work that the department was doing.

Reply:

According to the information received from Eskom

Eskom has not concluded any agreement with the City of Johannesburg (CoJ) in respect of the transfer of services provided by Eskom. However, the CoJ has formally approached Eskom in this regard and this matter is being considered by both parties.

Once Eskom has reached a formal agreement with the CoJ, we will endeavour to ensure that this information is shared via the CoJ, to yourselves and all relevant stakeholders.

Reply:

According to the information received from Eskom:

On 17 March 2021, Government requested Eskom to suspend load shedding for the duration of King Goodwill Zwelithini’s memorial service on 18 March 2021 from 10:00 to 14:00. The System Operator evaluated the request and concluded that this was technically possible without putting the power system at risk and would not result in a higher stage of load shedding either before or after the memorial service.

The following was taken onto account:

• The stage of load shedding before and after the memorial service would not be increased from Stage 2 load shedding that was being implemented at the time.

• The load shedding that was being implemented was necessary to ration the remaining fuel at the pumped storage and OCGT power stations, as these resources were running low on diesel and water in the top reservoirs.  The suspension of load shedding would require additional generators at these power stations to be dispatched utilising some additional fuel.
• The duration of the suspension of load shedding was only four hours.
• Load curtailment of industrial customers would not be suspended.
• The suspension of load shedding would take place during the late morning and early afternoon when there was a reduction in demand.
• The event was considered to be in the national interest and is allowed by NRS048-9, the standard that governs load shedding in South Africa.
• A number of generating units were expected to return to service that afternoon and early evening.

In order to supply the additional demand due to the suspension of load shedding, the System Operator dispatched four additional OCGTs from 09:42 until 14:10.  These OCGTs supplied 2 404 MWh (approximately R8.5 million) during this period with a maximum output reaching 610 MW.  Furthermore, pumped storage generation was dispatched and supplied an estimated additional 2 240 MWh with a maximum additional capacity of 626 MW dispatched.  Between 12:00 and 14:00, four coal-fired generators returned to service adding 1 935 MW of capacity to the system, although it takes many hours to ramp these generators to their maximum capacity.

Reply:

Honourable Member, details of the dates, destinations and costs of flights I boarded from 1 March 2020 to 1 January 2021 are indicated on the table below:

A) DATES	B) DESTINATIONS	C) COSTS
04/03/2020	Cpt/Els	R3 832
05/03/2020	Cpt/Jnb	R5 061
05/03/2020	Els/Jnb	R5 854
07/03/2020	Jnb/Els	R3 344
09/03/2020	Els/Cpt	R6 976
09/03/2020	Els/Jnb	R3 344
13/03/2020	Cpt/Els	R6 289
14/03/2020	Els/Jnb	R2 846
16/03/2020	Jnb/Cpt	R5 064
18/03/2020	Cpt/Jnb	R5 111
22/03/2020	Cpt/Jnb	R5 014
24/03/2020	Cpt/Els	R3 145
24/03/2020	Jnb/Cpt	R5 111
25/03/2020	Cpt/Jnb	R5 233
25/03/2020	Els/Cpt	R3 145
09/06/2020	Cpt/Jnb	R5 595
17/06/2020	Jnb/Cpt	R3 622
24/06/2020	Cpt/Jnb	R3 527
25/06/2020	Cpt/Jnb	R3 511
30/06/2020	Jnb/Cpt	R3 511
13/07/2020	Cpt/Jnb	R3 511
14/07/2020	Cpt/Jnb	R4 591
19/07/2020	Jnb/Cpt	R4 586
25/07/2020	Cpt/Jnb	R3 511
27/07/2020	Jnb/Cpt	R4 581
29/07/2020	Cpt/Jnb	R4 588
29/07/2020	Jnb/Cpt	R4 588
05/08/2020	Cpt/Jnb	R4 589
06/08/2020	Jnb/Cpt	R4 589
09/08/2020	Cpt/Jnb	R4 604
11/08/2020	Jnb/Cpt	R4 604
12/08/2020	Cpt/Dur	R3 166
13/08/2020	Dur/Cpt	R3 166
17/08/2020	Cpt/Jnb	R4 608
18/08/2020	Jnb/Cpt	R4 608
02/09/2020	Jnb/Cpt	R4 585
04/09/2020	Cpt/Plz	R3 166
05/09/2020	Plz/Jnb	R3 166
07/09/2020	Jnb/Cpt	R3 511
11/09/2020	Cpt/Jnb	R4 592
14/09/2020	Jnb/Cpt	R4 592
26/09/2020	Cpt/Bfn	R3 109
27/09/2020	Bfn/Cpt	R3 109
30/09/2020	Cpt/Jnb	R4 600
03/10/2020	Cpt/Jnb	R3 511
03/10/2020	Jnb/Cpt	R3 205
05/10/2020	Jnb/Cpt	R4 600
06/10/2020	Jnb/Cpt	R4 587
09/10/2020	Cpt/Plz	R2 522
09/10/2020	Plz/Cpt	R3 166
11/10/2020	Cpt/Jnb	R4 586
12/10/2020	Jnb/Cpt	R4 586
13/10/2020	Cpt/Jnb	R4 583
14/10/2020	Jnb/Cpt	R4 583
15/10/2020	Jnb/Cpt	R4 583
23/10/2020	Cpt/Dur	R3 274
24/10/2020	Cpt/Dur	R3 166
25/10/2020	Dur/Cpt	R6 440
26/10/2020	Cpt/Jnb	R4 577
30/10/2020	Cpt/Jnb	R3 251
30/10/2020	Jnb/Dur	R2 867
31/10/2020	Dur/Jnb	R2 867
31/10/2020	Jnb/Cpt	R4 578
01/11/2020	Cpt/Jnb	R3 511
01/11/2020	Dur/Jnb	R3 033
02/11/2020	Cpt/Jnb	R4 580
02/11/2020	Jnb/Cpt	R3 511
04/11/2020	Cpt/Els	R3 166
04/11/2020	Els/Jnb	R3 201
06/11/2020	Jnb/Els	R2 867
07/11/2020	Els/Cpt	R3 166
08/11/2020	Cpt/Jnb	R4 572
08/11/2020	Jnb/Cpt	R4 572
17/11/2020	Cpt/Jnb	R4 556
19/11/2020	Jnb/Cpt	R4 433
19/11/2020	Jnb/Utt	R3 616
19/11/2020	Utt/Jnb	R3 573
21/11/2020	Cpt/Dur	R3 166
22/11/2020	Dur/Cpt	R6 882
24/11/2020	Cpt/Jnb	R4 017
25/11/2020	Jnb/Cpt	R3 511
27/11/2020	Jnb/Utt	R3 611
27/11/2020	Utt/Jnb	R3 568
28/11/2020	Dur/Jnb	R2 867
28/11/2020	Els/Jnb	R2 956
28/11/2020	Jnb/Dur	R2 210
30/11/2020	Jnb/Cpt	R3 511
02/12/2020	Cpt/Jnb	R4 551
03/12/2020	Cpt/Jnb	R3 511
03/12/2020	Jnb/Dur	R3 286
04/12/2020	Dur/Jnb	R6 624
05/12/2020	Jnb/Cpt	R3 205
08/12/2020	Cpt/Dur	R6 716
09/12/2020	Dur/Cpt	R3 481
09/12/2020	Dur/Jnb	R3 755
10/12/2020	Cpt/Jnb	R5 576
12/12/2020	Jnb/Els	R2 953
19/12/2020	Els/Cpt	R3 166
19/12/2020	Els/Jnb	R3 845
20/12/2020	Jnb/Cpt	R4 539
23/12/2020	Cpt/Jnb	R4 531
31/12/2020	Jnb/Cpt	R4 531
02/01/2021	Jnb/Cpt	R5 535
03/01/2021	Cpt/Jnb	R5 698
08/01/2021	Cpt/Jnb	R4 539
08/01/2021	Jnb/Els	R2 948
10/01/2021	Jnb/Cpt	R4 553
11/01/2021	Jnb/Cpt	R4 553
13/01/2021	Cpt/Jnb	R4 550
13/01/2021	Jnb/Cpt	R4 550
15/01/2021	Cpt/Els	R3 166
16/01/2021	Els/Jnb	R2 867
17/01/2021	Els/Cpt	R 599
23/01/2021	Cpt/Jnb	R4 540
24/01/2021	Cpt/Jnb	R5 557
25/01/2021	Jnb/Cpt	R4 540
30/01/2021	Cpt/Dur	R8 988
31/01/2021	Cpt/Jnb	R8 402
31/01/2021	Dur/Cpt	R5 438
31/01/2021	Jnb/Dur	R3 550
		R500 497.00

Reply:

According to the information received from Denel:

a) Fifteen GV6 Vehicles are in process of repair under the Maintenance and Repair Programme and upgrade as part of Project MUHALI at Denel Land Systems.

b) Three GV6 Vehicles were delivered to Denel Land Systems in September 2018, another eleven were delivered in April 2019. One GV6 was stationed at Denel Land Systems to be ready for parades, shows etc. as required by the SA Army. It is important to note that fifteen GV6 Vehicles are currently in the process of being upgraded with Project MUHALI. The reason for the delays in getting the systems completed is primarily due to Denel challenges to procure the required spares and replacement items required for the MUHALI Upgrades.

c) The current value for approved Work Authorizations (WA) to perform the repairs on the GV6 Vehicles and components is R5.5m. (This exclude the upgrades that are performed by Project MUHALI). The upgrades for project MUHALI are expected to be completed in March 2023.

Reply:

Yes, the Office of the State Attorney in Cape Town has been instructed by the Department of Public Works and Infrastructure, through the Legal Services’ Office in Cape Town, to initiate eviction proceedings as the contractor was appointed to renovate the property in question needed for identified purpose and following complaints from nearby property owners as well as residents.

a) Instructions were received on 19 February 2018, and subsequently thereto as per the client’s instructions, a notice to vacate the premises was served on the unlawful occupants.

b) When the unlawful occupants refused to vacate the property, the State Attorney appointed Counsel to draft necessary papers to move the application for eviction.

c) At this stage, it is not clear when the application for eviction will be moved and all that we can say is that such depends on when the State Attorney will be receiving full and proper instruction from the client department as outlined in the advice of the legal team following consultation with the client, namely: the full and updated details of the people unlawfully occupying the property that they are sought to be evicted from, alternative accommodation and any other special circumstances of the occupants that a court might require explanation on, and lastly the attitude of the municipality regarding alternative accommodation.

Reply:

SASSA has engaged the CEO of the Post Office to determine the impact of these closures.

The confirmation was provided that the closures are being undertaken in terms of a strategy approved by the Post Office in 2016 as a way in which to reduce costs to the Post Office for outlets which are not commercially viable, will take place over time as the existing leases come to an end, and adequate consultation will take place prior to the closures. The commitment was also made that closures will only be considered where there is alternative infrastructure within a 5 kilometre radius for social grant beneficiaries to be able to access their social grants.

The total number of post office outlets closed between 2015 and 2021 is 120. Of these, only 16 were in rural areas, but all were branches where there was another post office outlet within the close vicinity. The remaining 104 branches were in urban and Metro areas where there is no shortage of alternative National Payment infrastructure which can be used by social grant beneficiaries.

In assessing the impact these closures will have on SASSA beneficiaries, it should be noted that only approximately 3% of all the social grant beneficiaries access their social grants through the post office. Social grant beneficiaries who receive their social grants through their SASSA/SAPO cards (a total of 7 612 640 out of 11 500 274 for June 2021) are able to access their funds through multiple channels, namely bank ATM’s, merchant point of sale devices, over the counter at post offices and at the remaining 1 621 cash pay points.

During May 2021, less than 500 000 social grant beneficiaries accessed their social grant over the counter at post offices.

Notwithstanding the above, SASSA will continue to engage with the South African Post Office to ensure that, where post office outlets are identified for permanent closure, there is alternative infrastructure available, which meets the norms and standards set for social grant payment, to minimise the negative impact on the beneficiaries.

Reply:

1. Eastern Cape: Currently there are no shelters for the homeless that are operational. The beneficiaries that were accommodated during lockdown have since been reunified with their families.

2. Free State: The Department is engaging as a primary stakeholder with COGTA and relevant Departments on appropriate interventions for the homeless. The matter of homeless shelters is a standing item on the agenda of the provincial Corona Virus Command Centre.

3. Gauteng: The Department currently has 41 homeless shelters that are still open for those who need accommodation and other services. Furthermore, the Department provided funding for park homes for three (3) NPOs in 2020/21, financial year, 4th quarter, whereby homeless people were housed in tents for protection during the winter season.

4. KwaZulu-Natal: There are 7(seven) shelters for homeless shelters functional in 04 (four) districts as follows

• Metro – 04
• King Cetshwayo – 01
• UThukela – 01
• UMgungundlovu – 01

5. Limpopo: The Department has no shelters for the homeless at the present moment and only rely on the support from municipality as they have many facilities that are not utilised. During level 5 restriction, municipalities played an important role by providing accommodation for beneficiaries.

6. Mpumalanga: The Department does not have any plans for the homeless people. All shelters for homeless people were closed after the homeless were reintegrated with their families. Those that were not reintegrated opted to leave the shelter and go back to the streets.

7. North West: The Department is currently utilising 3 facilities in 3 Districts to provide services for persons who are homeless. These facilities are in Ngaka Modiri Molema, Dr Kenneth Kaunda and Bojanala Districts. The Department is in a process to establish one in Ngaka Modiri Molema district.

8. Northern Cape: There are no shelters for homeless persons in the province. Homeless people have been reunified with their families. The circumstances of those found in the street are assessed and intervention implemented according to the merit.

9. Western Cape: An additional 1000 bed spaces for the homeless in NGO run shelters will be funded by DSD over and above a baseline of 1 500 bed spaces already funded, all shelters also prepare for an overflow of homeless people during the winter times and have therefore already created extra sleeping spaces just for winter within the shelters. This excludes the extra 1000 bed spaces.

REPLY: (2) Nationally there is no budget allocated to provide shelter for homeless. The following depicts unique budgetary circumstances in provinces and compliance to COVID 19 protocols:

1. Eastern Cape: 2 The Department has no budget to set aside for homeless (a) to allow for social distancing and quarantining of the homeless nor (b) any budget to extend the care given to the homeless to include the observation of COVID-19 protocols.

2. Free State: (2) There is no budget allocated for homeless shelters. The shelters therefore remain an unfunded mandate and therefore (b) there is no budget for social distancing and quarantining of the homeless should the need arise and nor (b) any budget to extend the care given to the homeless to include the observation of COVID-19 protocols;

3. Gauteng: 2(a) There is no budget earmarked for social distancing and quarantining but homeless shelters are monitored regularly to ensure compliance to Covid-19 protocols and in the case of Covid-19 homeless people, provision is made within the available facilities for quarantine. (b) The department also funded some of the NPOs in need of PPEs at the end of the 2021/22 financial year to extend the care given to the homeless to which includes the observation of the Covid19 protocols.

4. KZN: 2(a) The current available homeless shelters are community halls and therefore cater for social distancing. Quarantine is however a challenge as there is no budet allocated for this mandate (b) DOH is part of the multi-disciplinary team that is rendering services in homeless shelters. Covid-19 protocols are observed.

5. Limpopo: 2(a) There is no budget allocated for shelters for homeless, however if a need arises, the Department will liaise with relevant stakeholders to ensure that beneficiaries are catered for as according to Disaster Management Act of 2002 and Covid-19 protocols are followed. (b) Should the Department opt to utilise the same facilities as in the first lockdown, compliance with Covid-19 won’t be a challenge as all facilities were allowing social distancing and have isolation rooms.

6. Mpumalanga: 2(a) & (b) There is no budget in place for the homeless people as there are no homeless shelters operating in the province.

7. North West: The Department have not been allocated funds specifically for services to homeless persons. (a) However the department with its pressures reprioritises within the existing allocations to make provision for social distancing, quarantine and compliance to all Covid-19 related needs; and (b) nor there is no budget to extend the care given to the homeless to include the observation of COVID-19 protocols.

8. Northern Cape: 2(a) & (b)There are no shelters that are operational and no budget has been allocated in this regard.

9. Western Cape: 2(a) & (b)The department has assisted the homeless shelters in the province with guidelines and protocols for Covid 19 safety and quarantine and isolation sites are available for all who need them, including the homeless.

Reply:

The Minister of Public Works and Infrastructure:

(1) I have been informed by the Department that the DPWI became aware of an investigation into matters concerning the 1 Military Hospital in Pretoria upon being informed of it by the Department of Defence.

(2) The Department has written to the Department of Defence requesting a copy of the report of the investigation. The Department of Defence, however, has yet to provide the Department with a copy of the final report. For this reason, it is proposed that the question be referred directly to the Department of Defence, as the initiators of the investigation, and since they are best positioned to respond comprehensively to any questions that might be asked.

Reply:

(1)(a) There were no administration fees paid by the department in each province to administer the Early Childhood Development Employment Stimulus Relief Fund (ECD-ESRF) to early childhood development centres since the establishment of the fund. Provision was made in the framework that each province may use a maximum of 2% of their total allocation received under the unemployment risk support for administration which includes capacity to manage this initiative.

1(b)There were no civil society organisations that were used to distribute the funds in each province. However civil society organisations contracted through the support provided by DG Murray Trust assisted with the application and verification process. The list of civil society organisations as per province is attached.

2. Yes, the administration fee was part of the R380 million paid for the ECD-ESRF.

Reply:

It should be noted that both offenders are serving sentences of life imprisonment. They have benefitted from Phaahla judgment handed down by the Constitutional Court on
03 May 2019, since they were sentenced after 01 October 2004 for offences committed before 01 October 2004.

The mentioned offenders have been assessed for placement by the Case Management Committee and Correctional Supervision and Parole Board, their profiles are yet to be considered by the National Council of Correctional Services (NCCS) before being forwarded to the Minister for a decision.

The possible placement of offenders serving life sentences (lifers) are considered by the Minister in line with section 78 of the Correctional Services Act 111 of 1998. Therefore, the Minister will consider each case on its merit and will approve or disapprove parole placement once he is satisfied that offenders are indeed rehabilitated based on the information presented.

END

Reply:

(a). There is currently no expenditure incurred by the South African Police Service (SAPS), on the deployment of private security at the SAPS facilities.
(b) The SAPS does not make use of private security guards.
© No SAPS facility is protected by private security companies. The SAPS National Management Forum took a decision to do away with private security service providers and an insourcing model has been adopted, since 5 December 2012.
(d) There are no further details, with regard to private security at SAPS buildings and facilities, however, alarm systems have been Installed at some SAPS premises to enhance security

Reply:

(a) In October 2016, the 5th administration of South Africa took a decision to withdraw from the Rome Statute of the International Criminal Court (“Rome Statute”). Following this decision, South Africa sent a written notice to withdraw from the Rome Statute to the Secretary General of the United Nations. In January 2017, the African Union (AU) took a decision followed by a resolution issued in February 2017 encouraging member nations to withdraw from the International Criminal Court (ICC). In addition to South Africa, two other AU members, Burundi and Gambia, also indicated their intentions to withdraw from the Rome Statute in 2016. However, Gambia reversed its decision immediately after a newly elected government assumed power in February 2017. Burundi, on the other hand, has become the first country to withdraw its membership from the ICC.

(b) In February 2017, the North Gauteng High Court unanimously ruled that the withdrawal notification sent by South Africa to the United Nations was unconstitutional and invalid without prior parliamentary approval, and ordered the Government to rescind the notice with immediate effect. In line with the court decision, the South African government revoked its notice of withdrawal from the Rome Statute in March 2017.

(c) The International Crimes Bill, introduced in Parliament in 2017, whose purpose was to withdraw South Africa from the ICC by repealing the Implementation of the Rome Statute of the International Criminal Court Act 27 of 2002, is still with the Portfolio Committee in Parliament.

(d) Since that time, numerous developments within the ICC have taken place, including the adoption of the “Understanding with respect to article 97(c) consultations” by the Assembly of State Parties in December 2017. This Understanding, which was adopted as a result of concerns raised by South Africa, provides for a process for States to consult with the ICC in relation to a request for cooperation. In addition, the African Union’s resolve to reform or transform the ICC from within rather than through withdrawals and the failure to provide an African alternative court to the ICC are some of the notable developments.

(e) As a result of these developments, there are ongoing discussion between the Department of Justice and Constitutional Development and the Department of International Relations and Cooperation with a view to develop proposals on South Africa’s membership of the ICC. These proposals will be submitted to Cabinet, and once approved, will provide a way forward on the matter.

(f) In terms of International law, South Africa remains a full member of the ICC with all the rights and obligations that accrue to all members of the Rome Statute. The Implementation of the Rome Statute of the International Criminal Court Act 27 of 2002 remains in full effect.

Reply:

Honourable Member, evicting people in the middle of winter is not desirable and I hope that we will see less of the inhumane evictions conducted by the City of Cape Town previously.

The Honourable Member will recall that I issued media statements in July 2020 wherein I urged the City of Cape Town to adhere to the National State of Disaster Regulations which prohibit the eviction of persons from their homes.

The Honourable Member will be aware that the National Disaster period has been extended and the country is currently under alert level 4. The City of Cape Town, and all other municipalities are reminded to adhere to the regulations that we issued in respect of evictions for the duration of the lockdown period.

The Disaster Management Act: Regulations: Alert level 4 which came into effect on 16 June 2021 stipulate that, “A person may not be evicted from his or her land or home or have his or her place of residence demolished for the duration of the national state of disaster unless a competent court has granted an order authorising the eviction or demolition”.

The Member will recall that although the said regulations were issued, the implementation thereof falls under different authorities. In upholding and affirming the regulations cited above, I made a public appeal to municipalities and private property owners to suspend evictions during the lockdown and instead for all parties to prioritise measures aimed at curbing the spread of the COVID-19 pandemic.

Furthermore, I encourage the Honourable Member to approach courts to seek legal recourse in relation to the conduct of the City of Cape Town.

Reply:

1. The Department of Home Affairs has not signed any Work Exchange and/or Employment related Agreement with the Republic of Cuba at any time. As the skills required in this case was for the Department of Water Affairs and Sanitation, the Department of Water and Sanitation is best placed to provide the required information.

a) The Department of Home Affairs has not employed any Cuban Nationals in any financial year.

(i-ii) The Department of Home Affairs has not taken any decision as yet to employ any Cuban national in the 2021-23 Medium Expenditure Framework period.

b) DHA has not yet develop any plans to recruit Cuban Nationals.

2. Not Applicable as per our answer (1) above.

END

 

Reply:

Makana Local Municipality forms part of the Sarah Baartman District Municipality in the Eastern Cape Province. It is the local municipality which governs the town of (Makhanda) as well as the towns and villages of Alicedale, Seven Fountains, Eluxolweni others. The Municipality has been slacking in the provision of basic service for several years, and this has been aggravated by persistent drought conditions and lack of proper sanitation that has been prevalent for over five years to date. The drought is by far the worst droughts in history, resulting in very low dam levels which led to the town experiencing various water crisis.

There was the identification of the problems’ source first, then interventions were / are being implemented to address the problems, and that is addressing the matter of ensuring the provision of water and sanitation (proper toilets)

This response highlights the interventions that the Municipality undertook, and or is undertaking to provide water and sanitation; the interventions therefore translate to the work in progress in the communities that are stated above.

Alicedale:

Due to the dire situation of drought, the New Year Dam which is a soul supplier of whore water for Alicedale has been low to a point that it has created unreliable water supply. As such the municipality resolved at looking at other raw water supply such as ground water, therefore funding was allocated to explore ground water development.

The tender for the development of ground water was advertised on the 4th June 2021 and closed on closed on 6 July 2021. The project will involve: - i. the exploration of ground water, and the drilling of boreholes ii. the installation of pumps to extract water from the riverbed and connect into the existing pipeline to the Water Treatment Works.

The appointment of the contractor will be concluded by the end of July 2021 with the work to start from 1st August 2021 and concluded end September 2021. Whilst the project is running the Community of Alicedale will be supplied with water via water carting and also there will be a day or two in a week where water will be reticulated to all communities of Alicedale using the existing borehole that supply 260kl on a daily demand of 1000kl.

In Alicedale the municipality has ensured that there are Water Borne toilets in all formal settlements.

Seven Fountains:

The municipality has ensured that there is normal water supply for Seven Fountains community, using the four boreholes that were previously drilled and connected to a package plant that is used to treat the water before it supply to the community. It should be noted that of the four boreholes, two have a very good yield, and the other two have a poor yield. The municipality is looking at drilling new boreholes to augment and secure sufficient water supply to the community of Seven Fountains.

In Seven Fountains, the municipality is looking at alternative sanitation system as the water borne system is not practically feasible due to the lack of reliable water sources.

Eluxoleni:

The Eluxoleni area is one of the formal areas that are fully serviced with water, sanitation and electricity.

Reply:

(a)(i) The total number of households upgraded in informal settlements in the year 2020 under the dedicated informal settlements upgrading partnership grant is 206,893. This number excludes the Provincial Departments of Human Settlements of Eastern Cape and Gauteng. The Eastern Cape and Gauteng Departments of Human Settlements did not spend their allocated Informal Settlements Upgrading Programme Grants in the 2020/21 financial year. All Provinces and Metro Municipalities were supported with the preparation of Upgrading of Informal Settlements Program (UISP) Partnership Grant Business Plans.

293 Informal Settlements Upgrading Plans have been developed by provinces as follows:

Eastern Cape (EC): 42;

Free Sate (FS): 19;

Gauteng Province (GP) 46;

KwaZulu-Natal (KZN): 30;

Limpopo Province (LP): 16;

Mpumalanga province (MP): 24;

North West (NW): 74;

Northern Cape (NC): 30;

Western Cape (WC): 12

(ii) The 206,893 households are in the informal settlements listed in the table below per province and metropolitan municipalities:

Province	Name of Informal Settlement	Combined Number of Households
Eastern Cape – Department of Human Settlements	0	0
Buffalo City	Velwano,	9,502
	Dacawa
	Ilinge
	Chris Hani,
	Daluxolo,
	Francis Mei,
	Mahlangu,
	Mathemba Vuso,
	Sisulu
	Amalinda Co-op
	Duncan Village Competition site
	Duncan Village Proper
	D- Hostel
	C-Section & Triangular site
	Ford Msimang
	N2 Road Reserve
	Braelyn Extension 10
	Reeston Phase 3 stage 2
	Ilitha North
	Tyutyu phase 3
	Potsdam Kanana
	Ginsburg
Nelson Mandela Bay	Duka Str	27,689
	Phambili Str
	Vastrap
	Qunu
	Goba Str
	Summerstrand (Missionvale) / Salt Lake
	Unknown 2
	Unknown 3
	Malabar Ext6 P2
	7de Laan
	Rolihlala
	Salt Lake
	KwaNoxolo
	Westville
	Govan Mbeki
	GG's Grounds
	Cleary Park
	Unknown 5
	Unknown 6
	Unknown 7
	Unknown 8
	Unknown 10
	Unknown 1
	Colchester
	New Rest - SeaView
	Zweledinga - SeaView
	Unknown 11
	Unknown 12
	Fitchet Corner
	Enkanini
	Mandela Village
	Kama Park
	Area 11
	Kiva
	Cushe
	Lorraine
	Vukani
	Asinavalo
	Lingelethu 1
	Lingelethu 2
	Emthini Village
	Hlalani
	Tyinira
	M-well Powerline 2
	Mokaba Street
	M-well Powerline 1
	Ramaphosa West 2 - #1
	Ramaphosa West 2 - #2
	Khayalihle (Ramaphosa)
	New Town
	Nomakanjeni
	Quarry Residence
	Parsons Vlei (Next Malabar)
	Moegesukkel (Uit)
	McCarthy
	Afganistan
	Unknown 16
	Tinktinkie
	Rosedale Ext
	Old Lapland
	Gro Gro
	Unknown 18
	Gqebera
	Airport Valley
	Elephant Park
	Reconcilliation Park (The Have)
	Jachvlakte (think serviced sites)
	Ford Company
	Ntsela
	Kabah Langa Ext. 6
	Msthini Wam
	KwaNdokwenza
	Fishwater Flats
	Ward 20 Fire victims-4 (Temp)
	Ward 54 Serviced sites (temp)
Free State Department of Human Settlements	Abazimeli	535
	1912
	Winnie
	Zuma
Mangaung	Kgotsong	8,572
	Botshabelo Section L
	Kgatelopele
	Grassland
	Botshabelo West
	Botshabelo Section R
	Matlharantlheng
	Turflaagte
Gauteng Department of Human Settlements	0	0
City of Ekurhuleni	Rooikop Station	17,803
	Kaalfontein
	Winnie Mandela 1,2,3,4,5,6&7
	N12 highway park
	Umgababa
	Emandleni
	Wattville Erf 3100
	Weltervreden
	Sakhile
	Angelo Hotel (Tambo)
	Daggafontein
	Gabon
	Garden Park ( Clide Pinnoy)
	Harry Gwala
	Home Seekers
	Langaville 1 Informal/Siyahlala (Overflow)
	Little Maseru / Vlakplaas
	Sophia Town
	Putfontein 103/ Mayfeild 45
City of Jhb	Princess	68,271
	Tshepisong
	Matholesvillle
	Ruby Club
	Zandspruit
	Bottom Compound
	Heavenly Valley
	Lilly's Bioskop
	Naledi 1
	Mofolo North
	St Mary's
	Amarasta
	Kya Sands
	Organic Market
	Triangle
	Alex Ward 107
	Iphutheng
	Sejwetla
	Vukani
	Drieziek Ext 5 taxi rank
	Eikenhoff
	Hospital hills
	Mazibuko Park
	Meriteng
	Patsing/Veggieland/Nana's Farm
	Protea South
	Volta17 / Precast
	Kliptown - Region G
City of Tshwane	Booysen Extension 4	13,426
	Mabopane EXT 12 (Midas)
	Mabopane EXT 1
	Refilwe EXT 7
	Refilwe EXT 10
	Zithobeni Heights
	Zithobeni Extension 8
	Zithobeni Extension 9
	Mamelodi Extension 6 (Erf 34041) Phomolong
	Hammanskraal West EXT 10
	Soshanguve MM
	Andeon EXT 37
	Nelmapius EXT 22 (Erf 12223 and 12224)
	Pienaarspoort EXT 20
	Kopanong (Itsoseng)
	Mooiplaats
	Winterveld
	Itereleng
	Mahube Valley EXT 15
	Mamelodi EXT 11
Kwazulu Natal - Department of Human Settlements	Johnstown, Blaauuboschslaagte and Cavan	4,461
	Goedehoop
	Dannhauser
	Umlazi Infill
	Dannhauser
	Kanku Road
	Ntshaweni
Ethekwini	A1 Mpumalanga	27,853
	Amawoti-Lybia-Palestine
	Amaoti Nageria
	Umlazi EX7 (Ethopia)
	Umlazi EX9/ E16 (Thandanani)
	Redcliffe Oakford Road
	Ntuzuma E1
	Simunye Triangle (Newtown B)
	NX6 (Enkanini)
	U 8 (Ematayiteleni)
	U9 (Zamani)
	Umlazi J X 6
	Sagu (Sandton Phase 3)
	Progress Place
	Lower Molweni Incremental Serv
	K7 Project
	Blackburn Ph2
	Jadhu place/Puntans hills - in
	Umlazi LX7
	Puntans Hill
	Jadu Place
	Blackburn Ph A & B
	Recliffe Cross Road
	Ntuzuma B
	Ntuzuma A
	Umlazi J2
	Umlazi L4
	Bhambayi Phase 3
	Dakota Beach
	Emapheleni - eZimbelini
	Havelock Road
	Ntuzuma C phase 2 Part 2
	Parkington
	Progress Place (3 of 3)
	Quarry Road West
	Umlazi T - Uganda
	Zone 1 Palmiet
	Madiba (Bottlebrush)
	Welbedacht East Phase 1
	Rockdale (Ndengezi Informal) Phase 2
	St Wendolins Ridge - Ntutuko/Mgodi
	Emona Informal Settlement Tongaat
	Drift Rd Canelands - Shintshani Informal
	Hilltop Informal - Canelands
	Vic Buffelsdraai Clinic - Verulam
	Constantine Informal Settlement
	Palmiet L Section
	Demat Road/Luganda Phase 2
	New City
	Woody Glen Overspill - Ebhubeseni
	Annet Drive
	Pemilton/Ekuthuleni
	Umlazi T - Uganda
	Mthiyane Road (Ntuzuma E8 Infill)
	Buyane Lane (Investigate B Extension)
	Simunye Triangle (Newtown B Infill)
	Quarry Road West
	Madiba (Bottlebrush Overspill)
	Siyathuthuka - Damede Phase 1
	Thuthukani
	Infills
Limpopo	Spar park	2,836
	Abor Park
	Phagameng extension 12
	Polokwane extension 133
Mpumalanga	Hlalanikahle Cluster (Section C & L)	9469
	Empumelelweni Cluster (Extensions 7 & 9)
	Noitgedaght Cluster (Plot 85-88 and Plot 107 and 124)
	Mashishing
	Harmony Hill
	Esizameleni
	Siyazenzela
	Kinross 33/34
Northern Cape	Promiseland (5662)	2,653
	Pofadder Bulk
	Danielskuil
	Barkly West (3500)
	Ganspan (531)
	Jacksonville (139)
	Makweta (500)
	Pabalelo NE (980)
	Gariep (135)
	Tsokville (248)
	Opwag (730)
	Grootdrink (370)
	Jurgerskamp (165)
	Pabalelo (581
	Steinkopf
	Smarties (324)
	Britstown (818)
	Goutrou
	Prieska (3500)
	Marydale (1000)
	Breipaal (500)
	Wrenchville
	Boegoeberg (550)
	Groblershoop (1500)
	Wegdraai (360)
	Blaauwskop (500)
	Dakota Road
	Rosedale (400)
	Rosedale (438)
	Rosedale (452)
	Colville (247)
	Niekershoop
	Bongani
	Hopetown
North West	Tshing Ext 9	11,019
	Elandskuil 205 IP, Tshing erf 1357, Tshing erf 3207 - 3222, Doornpan 193 portion 3 IP Area 1, Doornpan 193 portion 3 IP Area 2, Roodepoort 191 portion 25 IP, Roodepoort 474 IP, Elandskuil 206 IP, Toevlug, Ventersdorp erf 199, and Ventersdorp erf 200
	Chris Hani, Tambo 2 (Lindelani) and Tambo 3
	Kanana Ext 15
	Bloemhof Ext 11
	Amalia Ext 5
Western Cape - Department of Human Settlements	Hlalani	238
	Masakhane
	A total number of forty-nine (49) projects were funded in the 2020/21 Business Plan. Seven (7) of the projects were in the implementation stage, delivering permanent sites; four (4) were activated for receiving interim basic services and the rest of the projects were in the packaging stages.
City of Cape Town	Deep Freeze, Macassar	2,566
	Wallacedene 4 in 1, Kraaifontein
	Backstage 1, Khayelitsha
	Backstage 2, Khayelitsha
	Better Life, Mfuleni
	Garden City, Mfuleni
	Imizamo Yethu, Hout Bay
	Bosasa IDA, Mfuleni

(b) According the 2020-21 Operational Plan of the Department of Human Settlements, 22 municipalities were targeted for the provision of technical assistance in order to deliver a target of 100 informal settlement upgrading plans- From the 22 municipalities that were provided with technical assistance, 126 informal settlements upgrading plans were delivered- The target was thus overachieved by 26 informal settlements upgrading plans.

(c) The relevant details of the nature of the assistance provided to municipalities in 2020/21 are as follows:

• Assessment and Categorisation of informal settlements
• Development of informal settlements upgrading plans
• Development of sustainable livelihoods programmes
• Development of municipal wide informal settlements upgrading strategies
• Projects in the packaging stages
• Detail Engineering Designs
• Township Establishments
• Installation of permanent municipal engineering water and sewer reticulation
• Installation of interim basic services
• Communal ablution blocks, road, footpaths and storm-water control due to the terrain the informal settlements are located.

Reply:

(1) Honourable Member, Msunduzi Local Municipality has advised that it advertised the tender referred to in the question on 17 March 2016 with a closing date of 7 April 2016. The tender briefing was held on 31 March 2016.

The Bid Adjudication Committee recommended a name of contractor which I am constrained and prohibited by the document titled “Guide to Parliamentary Questions in the National Assembly” from providing it to the Honourable Member. The document referred to states that:

“Questions are to be framed as concisely as possible. All unnecessary adjectives, references and quotations are omitted. Names of persons, bodies and, for example, newspapers are only used in questions if the facts surrounding the case have been proven. As the mere mention of such names could be construed as publicity for or against them, it should be clear that this practice is highly undesirable. If a question will be unintelligible without mentioning such names, the Departments concerned are notified of the name (-s) and this phrase is used: ".......a certain person (name furnished)”.

The contractor was appointed to undertake the Planning and construction of 216 houses in Woodlands under Operation Sukuma Sakhe (OSS) Programme. We have been informed that the contract was concluded on 17 September 2016 for eight (8) months.

Honourable Member, you would be aware that the National Department of Human Settlements does not build houses. This function is the responsibility of provinces and accredited Municipalities. Therefore, neither the National Department nor the KZN Provincial Department of Human Settlements had appointed the contractor referred to above, the municipality did.