Questions & Replies: Questions & Replies No 1751 to 1775

Share this page:
2010-06-14

Search this file by selecting Ctrl + F on your keyboard

[PMG note: Replies are inserted as soon as they are provided by the Minister]

QUESTION NO: 1751

PUBLISHED IN INTERNAL QUESTION PAPER NO 15 OF 28 MAY 2010

Mr K S Mubu (DA) to ask the Minister of International Relations and Cooperation:

What were the start and end dates of tenure in office of every (a) permanent and (b) acting (i) Director-General and (ii) chief financial officer during the period 1 January 2000 to 31 December 2009? NW2017E

REPLY

(a) (i) Permanent Directors-General

· Mr SM Pityana 6 December 1999 – 28 February 2002

· Dr A Ntsaluba 31 August 2003 – to date

(ii) Chief Financial Officers

· Mr TW Moir 1 July 1996 – 31 December 2000

· Mr M Apleni 1 December 2000 – 30 April 2007

· Mr A Moodley 1 September 2007 – to date

(b) (i) Acting Director-General

· Mr AS Minty 1 March 2002 – 31 August 2003

(ii) Acting Chief Financial Officer

· Ms FT Fadane 1 July 2007 – 31 August 2007

PARLIAMENTARY QUESTION NO.: 1752

DATE OF QUESTION: 28 MAY 2010

1752. Mrs N W A Michael (DA) to ask the Minister of Justice and Constitutional Development:

What were the start and end date of tenure in office of every (a) permanent and (b) acting (i) Director-General and (ii) chief financial officer during the period 1 January 2000 to 31 December 2009?

NW2018E

REPLY:-

The information requested by the Honourable Member is detailed below:-

DIRECTOR-GENERAL

NAME

POSITION

START DATE

END DATE

Mr S Jiyane

Acting DG

12.10.2009

31.12.2009

Mr M Simelane

Director-General

01.06.2005

09.10.2009

Mr VP Pikoli

Director-General

01.12.1999

31.01.2005

CHIEF FINANICAL OFFICER

NAME

POSITION

START DATE

END DATE

Mr N Van Harmelen

Acting CFO

03.04.2009

13.04.2009

Mr G Hollamby

Acting CFO

26.03.2008

09.05.2008

Mr J Johnson

Acting CFO

18.12.2007

11.01.2008

Ms S Gomm

Chief Financial Officer

01.02.2007

Current

Mr A Mckenzie

Acting CFO

12.02.2001

31.03.2006

The post of CFO was created on the establishment of the Department of Justice and Constitutional Development with effect from 31 October 2003.

QUESTION NO :1753 ( NW 2019 E )

Mr A Louw (DA) to ask the Minister of Labour:

What were the start and end dates of tenure in office of every (a) permanent and (b) acting (i) Director-General and (ii) chief financial officer during the period 1 January 2000 to 31 December 2009? NW2019E

THE MINISTER OF LABOUR REPLIED:

Duration and acting tenure of Directors- General of Labour from 2000 to 2009

Name From TO

1. Adv ER Ramashia (Permanent)

02 February 2000

15 May 2004

2. Dr VM Mkosana (Acting)

16 May 2004

30 November 2004

3. Dr VM Mkosana (Permanent)

01 December 2004

30 November 2007

4. Mr L Kettledas (Acting)

1December 2007

04 May 2009

5 Mr SB Morotoba (Acting)

04 May 2009

31 August 2009

6. Mr JM Manyi (Permanent)

01 September 2009

To date

Duration and tenure of Chief Financial Officers for the period 2000 to 2009

Name From To

1. Mr C Van der Merwe (Permanent)

1 May 1997

31 March 2008

2. Ms B Matebesi (Acting)

27 February 2008

31 October 2008

3. Mr F Peterson (Acting )

1 November 2008

28 February 2009

4. Mr BE Maduna (Permanent)

1 March 2009

To date

QUESTION NUMBER 1754

DATE OF PUBLICATION IN INTERNAL QUESTION PAPER: 28 May 2010

(INTERNAL QUESTION PAPER NUMBER 15)

1754. Adv. H.C Schmidt (DA) to ask the Minister of Mineral Resources:

What were the start and end dates of tenure in office of every (a) permanent and (b) acting (i) Director-General and (ii) Chief Financial Officer during the period 1 January 2000 to 31 December 2009. NW2020E

Response

(a) Permanent

(i) The Director-General was appointed permanently as the Director-General since the

proclamation of the Department.

(ii) The post of Chief Financial Officer (CFO) has been vacant since June 2009.

(b) Acting

(i) The post of the Director-General is filled.

(ii) The person has been acting in the post of Chief Financial Officer since 01 June 2009 to date.

QUESTION NO 1755

DATE OF PUBLICATION IN INTERNAL QUESTION PAPER: 28 MAY 2010

INTERNAL QUESTION PAPER NO 15- 2010)

Date reply submitted: 14 June 2010

1755. Mrs D A Schäfer (DA) to ask the Minister of Police:

What were the start and end date of tenure in office of every (a) permanent and (b) acting (i) Commissioner and (ii) chief financial officer during the period 1 January 2000 to 31 December 2009?

NW2021E

REPLY:

(a) Permanent

(i) Commissioner

Name

Start date

End date

Cele BH

2009-08-02

Selebi JS

2000-01-01

2009-08-01

(ii) Chief Financial Officer

Name

Start date

End date

Schutte SJP

2004-11-01

Craemer KL

1995-03-03

2004-07-31

(b) Acting

(i) Commissioner

Name

Start date

End date

Williams TC

2008-01-11

2009-07-31

QUESTION NO.:1756

DATE OF PUBLICATION: 28 May 2010

1756. Dr S M van Dyk (DA) to ask the Minister of Public Enterprises:

What were the start and end date of tenure in office of every (a) permanent and (b) acting (i) Director-General and (ii) chief financial officer during the period 1 January 2000 to 31 December 2009? NW2022E

REPLY

(a-b)(i) Table 1 below indicates the tenure of the permanent Director-Generals and Acting Director-General since 2000 to 31 December 2009.

Name

Position

Appointment date

End date/Termination

Gounden SM

DG

1993/09/01

2003/05/31

Mokeyane E

DG

2003/06/01

2005/05/14

Molefe P

DG

2005/08/18

2009/12/31

Acting capacity

Molefe P

Acting DG

2005/05/15

2005/08/17

(ii) Table 2 below indicates the tenure of the permanent Chief Financial Officers and Acting Chief Financial Officers since 2000 to 31 December 2009.

Name

Position

Appointment date

End date/Termination

Nxedlana I

CFO

2003/03/01

2004/06/30

Van Der Walt M

CFO

2004/08/01

2005/05/31

Hutchings S

CFO

2005/09/1

To date

Acting capacity

Ncetani G

Acting CFO

2004/07/01

2004/07/30

Ncetani G

Acting CFO

2005/06/01

2005/08/31

QUESTION 1757

FOR WRITTEN REPLY TUESDAY, 25 MAY 2010

Ms A M Dreyer (DA) to ask the Minister for the Public Service and Administration:

What were the start and end dates of tenure in office of every (a) permanent and (b) acting (i) Director-General and (ii) chief financial officer during the period1January 2000 to 31 December 2009? NW 2023E

REPL Y:

In relation to the start and end dates of tenure in office of every (a) permanent and (b) acting (i) Director-General during the period 1 January 2000 to 31 December 2009, the relevant details are attached:

QUESTION 1758 Written reply 28 MAY 2010

1758 Mr. S J Masango (DA) to ask the Minister of Public Works:

What were the start and end dates of tenure in office of every (a) permanent and (b) acting (i) Director-General and (ii) chief financial officer during the period 1 January 2000 to 31 December 2009? NW2024E

REPLY

DG and CFO from 1 January 2000 to 31 December 2009

Post

Incumbent

From

To

DG

Mr. T Sokutu

1/09/99

8/31/2002

Acting DG

Ms L Bici

1/09/2002

31/12/2002

DG

Mr. TMJ Maseko

1/02/2003

31/01/2006

Acting DG

Dr S Phillips

1/02/2006

30/09/2006

Acting DG

Mr. Z Ntsaluba

1/10/2006

31/3/2007

DG

Mr. M Moroka

1/04/2007

2/04/2009

Acting DG

Mr. S malebye

3/04/2009

31/10/2009

Acting DG

Mr. S Vukela

1/11/2009

31/12/2009

CFO

Mr. Z Ntsaluba

1/11/2001

30/04/2008

Act CFO

Mr.. T Motshoneng

1/05/2008

30/09/2008

Act CFO

Ms S Mosegomi

1/10/2008

30/11/2008

CFO

Ms C Motsisi

1/12/2008

31/12/2009

1758

QUESTION 1759

INTERNAL QUESTION PAPER [No 15-2010]

DATE OF PUBLICATION: 28 May 2010

1759. Mr M M Swathe (DA) to ask the Minister of Rural Development and Land Reform:

What were the start and end date of tenure in office of every (a) permanent and (b) acting (i) Director-General and (ii) chief financial officer during the period 1 January 2000 to 31 December 2009? NW2025E

THE MINISTER OF RURAL DEVELOPMENT AND LAND REFORM:

(a) PERMANENT

(i) Directors-General

NAME

START DATE

END DATE

Mr G M Budlender

1996.05.01

2000.01.31

Dr G P Mayende

2000.05.01

2004.12.31

Mr G S Thomas

2005.05.01

2007.10.31

Mr T T Gwanya

2008.04.01

Currently in office.

(ii) Chief Financial Officers

Mr P J Boonzaaier

1997.01.01

2001.06.30

Ms N S Choane

2001.01.01

2007.09.30

(b) ACTING

(i) Directors-General

NAME

START DATE

END DATE

Mr G S Thomas

2000.01.17

2000.04.30

Mr G S Thomas

2005.01.17

2005.04.30

Mr T T Gwanya

2007.11.01

2008.03.31

(ii) Acting Chief Financial Officers

Ms M D C Motsisi

2007.10.01

2008.11.30

Mr V S Mahlangu

2008.12.01

2010.02.28

QUESTION NO. 1760

"1760. Mr P J C Pretorius (DA) to ask the Minister of Science and Technology:

What were the start and end date of tenure in office of every (a) permanent and (b) acting (i) Director-General and (ii) Chief Financial Officer during the period 1 January 2000 to 31 December 2009?"

NW2026E

REPLY:

(a) (i) Two Directors-General employed on fixed term contracts as follows:

1 January 2000 until 28 February 2006; and

1 April 2006 to date.

(b) (i) One acting Director-General 1 March 2006 until 31 March 2006.

(a) (ii) Two Chief Financial Officers permanently employed:

1 September 2001 until 31 March 2004; and

1 April 2004 to date.

(b) (ii) Not applicable.

QUESTION 1761

FOR WRITTEN REPLY

Date of publication on internal question paper: 28 May 2010

Internal question paper no: 15

Mrs H Lamoela (DA) to ask the Minister of Social Development:

What were the start and end date of tenure in office of every (a) permanent and (b) acting (i) Director-General and (ii) chief financial officer during the period 1 January 2000 to 31 December 2009? NW2027E

REPLY:

(a) (i) The tenure of the former (permanent) Director-General (Mrs A Bester) of the Department of Social Development (DSD) commenced on 1 November 1999 and terminated on 30 September 2002.

(ii) Mr Madonsela has been appointed as Director-General from 15 May 2003 to 14 May 2006, the contract was extended from 15 May 2006 to 14 May 2009. The contract was further extended from 15 May 2009 to 14 May 2012.

(iii) The tenure of the current (permanent) Chief Financial Officer for the DSD commenced on 1 May 2001 and has been uninterrupted. The current post incumbent was appointed in the newly created post of Chief Financial Officer in 2001.

(b) (i) Mr VP Madonsela acted as Director-General for the period 1 October 2002 to14 2003

(ii) As indicated above, the CFO positions were newly created posts in government and the current incumbent was the first appointed official. No acting CFO in this regard/

Having said the above, it is important that Honourable Members note that these contracts and others are annually subjected to the relevant provisions of the Act, as well as Public Service Regulations.

Renewal and extension of term of office

(i) The employer shall in writing confer with the Employee at least two calendar months prior to the expiry of the term whether she /he proposes to retain the Employee in service for any extended period not exceeding five years (60 calendar months)or not. If the Employee is so informed of such intention to retain her/him in service for an extended term, she/he shall in writing inform the Employer, within one calendar month from the date of that communication, of her/his acceptance or not of such extended employment.

(ii) In the event that agreement is reached that the Employee shall enter into a further Contract on termination of completion of her/his Contract, the continued service of the Employee will be recognised under the new Contract so as to avoid any break of service and any accrued of pro rata entitlement will be carried forward into the new Contract.

(iii) Should the Employer not renew the Contract period beyond the initial period as stated in Clause 1 above, the Employee shall be entitled to the pension and other benefits directly linked to the specific section of the Act which is utilised.

Signing, termination of these contracts can also be effected due to the following

(i) On reaching the prescribed (or earlier option) retirement age

(ii) On completing a term or extended term of office

(iii) Premature retirement at own request of Employee

(iv) Discharge in terms of any of the sub-section of Section 17 of the Act

(v) Re-determination of original term or extended term of office by the Employer

(vi) Voluntary resignation and

(vii) Death

QUESTION: NO 1762

(Internal Question Paper No 15 – 2010)

Mr TD Lee (DA) to ask the Minister of Sport and Recreation:

What were the start and end date of tenure in office of every;

(a) Permanent and

(b) Acting

(i) Director-General and

(ii) Chief Financial Officer during the period 1 January 2000 to 31 December 2009?

REPLY:

(i) (a) Permanent

Employee Start End

Mr DJ Hendricks 20 June 2000 30 June 2006

Ms X Sibeko 15 August 2007 26 October 2008

Mr VP Petersen 27 October 2008 to date

(i) (b) Acting

Employee Start End

Dr MJ Phaahla 20 July 2006 31 March 2007

Ms LV Sizani 1 April 2007 14 August 2007

Mr GA Fredericks 1 April 2007 14 August 2007

(ii) (a) Permanent

Employee Start End

Ms EC Cloete 1 March 2001 15 November 2006

Mr DM Matlala 1 January 2007 to date

(ii) (b) Acting

Employee Start End

Mr DM Matlala 16 November 2006 31 December 2006

Question No. 1763

For Written Reply

DATE OF PUBLICATION IN THE INTERNAL QUESTION PAPER:

FRIDAY, 28 MAY 2010

(INTERNAL QUESTION PAPER NO. 15-2010)

1763. Mr T W Coetzee (DA) to ask the Minister of State Security:

What were the start and end date of tenure in office of every (a) permanent and (b) acting (i) Director-General and (ii) chief financial officer during the period 1 January 2000 to 31 December 2009? NW2029E

REPLY:

I kindly refer the Honourable Member to the relevant Annual Reports which are available at the JSCI.

QUESTION NUBER: 1764

DATE FOR PUBLICATION: 28 MAY 2010

DATE REPLY SUBMITTED: 20 JULY 2010

MR I O DAVIDSON (DA) TO ASK THE MINISTER IN THE PRESIDENCY: PERFORMANCE MONITORING AND EVALUATION AS WELL AS ADMINISTRATION:

What were the start and end date of tenure in office of every (a) permanent and (b) acting (i) Director-General and (ii) chief financial officer during the period 1 January 2000 to 31 December 2009?

NW2030E

REPLY:

Director-General:

· Reverand F Chikane appointed DG from 01 August 1999 until 31 October 2008 and thereafter appointed on 5/8th basis from 01 November 2008 until 30 June 2009.

· Mr TG Fowler appointed as Acting DG from 01 November 2008 until 31 May 2009.

· Mr WV Mavimbela appointed as DG from 08 June 2009 to date.

· Mr W Nkuhlu appointed as DG: NEPAD from 01 January 2002 until 28 February 2005 and thereafter on 5/8th basis from 01 April 2005 until 31 January 2009.

· Mr JK Netshitenzhe appointed as DG: Policy Co-Ordination from 27 June 2006 until 31 December 2009.

Chief Financial Officer:

· Mr KLG Terry appointed as CFO from 01 April 2003 until 30 November 2006.

· Ms N Naik acting CFO from 01 December 2006 until 30 April 2007.

· Mr GSP Gouws appointed on contract as CFO from 01 May 2007 until 09 January 2008 and resigned on 09 January 2008.

· Mr GSP Gouws appointed on consultancy basis as CFO from 10 January 2008 until 30 September 2008.

· Ms BB Matebesi appointed as CFO from 01 October 2008 to date.

· Dept of Women: Children and People with Disabilities

The Department is currently being supported by The Presidency.

QUESTION NO. 1765 INTERNAL QUESTION PAPER NO 15

DATE OF PUBLICATION: 28 May 2010

1765. Mr G R Krumbock (DA) to ask the Minister of Tourism:

What were the start and end date of tenure in office of every (a) permanent and (b) acting (i) Director-General and (ii) chief financial officer during the period 1 January 2000 to 31 December 2009? NW2031E

MR G R KRUMBOCK (DA)

SECRETARY TO PARLIAMENT

HANSARD

PAPERS OFFICE

PRESS 1765. THE MINISTER OF TOURISM ANSWERS:

(1) The Department of Tourism was established by an amendment to schedule one of the Public Service Act 1994 on 7 July 2009. A separate vote for the department was only established on 1 April 2010.

(a) Not applicable.

(b) (i) Mr DJ van Schalkwyk acted as Director-General of the Department of Tourism from 1 August 2009.

(ii) Not applicable, Vote of National Department of Tourism only established with effect of 1 April 2010.

Question 1766

Mr S J F Marais (DA) to ask the Minister of Trade and Industry:

What were the start and end date of tenure in office of every (a) permanent and (b) acting (i) Director-General and (ii) chief financial officer during the period 1 January 2000 to 31 December 2009?NW2032E.

Response:

Permanent and acting Directors-General

Tenure

Start Date

End Date

(i)(a) Dr AP Ruiters -

01/01/2000

30/04/2005

(i) (b) Mr T J Matona - Acting

01/05/2005

30/06/2006

(i)(a) Mr T J Matona

01/07/2006

To date

Permanent and acting Chief Financial

Tenure

Officers

Start Date

End Date

(i i)

Post did not exist

01/01/2001

31/07/2001

(ii)(b) Ms A Jooste - Acting

01/08/2001

31/03/2002

(ii)(b) Mr X Ncame - Acting

01/04/2002

30/04/2004

(ii)(a) Mr K Naidoo

01/05/2004

To date

QUESTION NO 1767

DATE REPLY SUBMITTED: WEDNESDAY, 09 JUNE 2010

DATE OF PUBLICATION IN INTERNAL QUESTION PAPER: FRIDAY, 28 MAY 2010 (INTERNAL QUESTION PAPER: NO 15 – 2010)

1767. Mr S B Farrow (DA) to ask the Minister of Transport:

What was the start and end date of tenure in office of every (a) permanent and (b) acting (i) Director-General and (ii) chief financial officer during the period 1 January 2000 to 31 December 2009? NW2033E

REPLY:

The Minister of Transport:

(a) and (b) (i)

Director-General:

NAME

RANK

TENURE IN OFFICE (START DATE AND END DATE)

PERMANENT/ ACTING

Mr H G Harvey

Deputy Director-General

01 January 2000 until 14 January 2000

Acting

Mr S D O Msikinya

Director-General

15 January 2000 until 31 March 2002

Permanent

Prof M R K Rwelamira

Special Advisor to the Minister

01 April 2002 until 14 August 2003

Acting

Ms W D Stander

Director-General

15 August 2003 until 15 March 2005

Permanent

Ms N Z H Mpofu

Director-General

16 March 2005 until 31 October 2009

Permanent

Mr M G Mahlalela

Acting Director-General/Director-General

01 November 2009 to date

Acting – 01 November 2009 until 24 February 2010 and permanent with effect from 25 February 2010 to date

(ii)

Chief Financial Officer (CFO):

NAME

RANK

TENURE IN OFFICE (START DATE & END DATE)

PERMANENT/ ACTING

Vacant

CFO

01 January 2000 until 15 April 2002

-

Mr A D Pretorius

CFO

16 April 2002 to date

Permanent

QUESTION NO 1768

DATE OF PUBLICATION IN INTERNAL QUESTION PAPER: 28 MAY 2010

(INTERNAL QUESTION PAPER NO. 15)

1768. Mr M J Ellis (DA) to ask the Minister of Water and Environmental Affairs:

What were the start and end date of tenure in office of every (a) permanent and (b) acting (i) Director-General and (ii) chief financial officer during the period 1 January 2000 to 31 December 2009? NW2034E

---00O00---

REPLY:

(a) Mr AM Muller 2000/01/01 to 2005/08/31

Mr JI Sindane 2005/09/01 to 2007/08/31

Ms PB Yako 2008/03/01 to date

(b)(i) Ms MP Rampedi 2007/09/01 to 2008/02/29

Ms NJ Ngele 2009/08/01 to date

(b)(ii) Dr MJ Mabala 2000/01/01 to 2006/12/12

Mr TI Balzer 2006/12/13 to 2007/06/30

Mr OO Ayaya 2007/07/01 to date

QUESTION NUMBER 1769

DATE OF PUBLICATION IN THE INTERNAL QUESTION PAPER: 28 May 2010

INTERNAL QUESTION PAPER NO 15 OF 2010

Date reply submitted: 13 August 2010

1769. Mrs S P Kopane (DA) to ask the Minister of Women, Children and People with Disabilities:

What were the start and end date of tenure in office of every (a) permanent and (b) acting (i) Director-General and (ii) chief financial officer during the period 1 January 2000 to 31 December 2009? NW2035E.

REPLY

The new Ministry/ Department for Women, Children and People with Disabilities was established only in 2009.

For the period July to October 2009, the Ms V Nxasana was Acting Director General in the Department.

There was no Chief Financial Officer instead the Department used the services in the Presidency internally (in-house).

PARLIAMENTARY QUESTION NO.: 1770

DATE OF QUESTION: 28 MAY 2010

1770. Ms M Smuts (DA) to ask the Minister of Justice and Constitutional Development:

(1) Whether the occupation specific dispensation has been fully implemented for prosecutors (a) up to level 12 and (b) above level 12; if not, (i) why not and (ii) in what respects did it fall short;

(2) whether the cost of living remuneration due to be paid from 1 January 2010 has been paid (a) up to level 12 and (b) above level 12; if not, why not; if so, what are the relevant details?

NW2036E

REPLY:-

(1) I would like to inform the Honourable Member that the Occupation Specific Dispensation (OSD) has not been fully implemented in the National Prosecuting Authority (NPA). The NPA has been in negotiations with the Department of Public Service and Administration (DPSA) on this matter so as to customise specific provisions of the OSD. The customisation, normally referred to as deviations, has finally been approved by the Minister of Public Service and Administration and the process of obtaining the concurrence of the Minister of Finance is underway. Once the concurrence is obtained from the Minister of Finance, the dispensation will be published and implemented.

(2)(a) The cost of living remuneration due to be paid from 1 January 2010 is not applicable to levels 12 and below.

b) The adjustments for levels 12 and above have not been implemented as the NPA Act (Act No. 32 of 1998) requires that the concurrence of the Minister of Finance be obtained before the Minister of Justice and Constitutional Development determines the salaries. The concurrence of the Minister of Finance has now been obtained and I have now signed the determination for the 1 January 2010 cost of living adjustment which has been referred for printing and implementation will commence after publication.

QUESTION NO: 1771

PUBLISHED IN INTERNAL QUESTION PAPER NO 15 OF 28 May 2010

Mr. P F Smith (IFP) to ask the Minister for Cooperative Governance and Traditional

Affairs:

(1) Whether the performance management system in local government is functioning in accordance with the statutory provisions; if not,

(2) Whether his Department has enforced compliance with all the performance obligations as set out in law designed to ensure that municipalities are functioning properly; if not, why not; if so, what are the relevant details?

NW2037E

Reply

(1) The Department has developed a framework on performance management systems for all municipalities.

(2) All municipalities are currently implementing the framework according to our knowledge.

QUESTION NO: 1772

PUBLISHED IN INTERNAL QUESTION PAPER NO 15 OF 28 May 2010

Mr. P F Smith (IFP) to ask the Minister for Cooperative Governance and Traditional

Affairs:

(a) What is the level of compliance with the deadline for the submission of municipal local government turnaround strategies (LGTASs), (b) how many LGTASs have been assessed for quality and (c) what (i) were the findings of the assessments, (ii)timeframe was given for the full implementation of the LGTASs,

(iii) level and type of support are to be given to municipalities in support of the implementation of the LGTASs and (iv) will be the cost to the fiscus of this project?

NW2038E

Reply

(a) The level of compliance can only be known as of 30 June 2010.

(b) 143 municipalities were assessed

(c) (i) They are within the predetermined framework. (ii) between now and 2014 (ii)

senior officials both from national and provincial including sector departments.

(iv) the cost is currently undetermined as we are still to implement the Turn­Around Strategy.

QUESTION NO: 1773

PUBLISHED IN INTERNAL QUESTION PAPER NO 15 OF 28 May 2010

Mr P F Smith (IFP) to ask the Minister for Cooperative Governance and Traditional Affairs:

What (a) is the extent of the financial skills deficit in municipalities, (b) steps has he taken to remedy the shortfall, (c) has been the effect of such steps and (d) plans are in place to improve the situation in future? NW2039E

Reply

Financial management skills and related matters governed by the Local Government Municipal Finance Management Act, 2003: Municipal Regulations on Minimum Competency Levels. This legislation is administered by the Minister of Finance and not the Minister for Cooperative Governance and Traditional Affairs.

QUESTION NUMBER 1774

DATE OF PUBLICATION: 21 MAY 2010

Mr M G Oriani-Ambrosini (IFP) to ask the Minister of Finance

Whether he has developed any contingency plan to deal with any impending risk of a global financial meltdown (details furnished); if not, why not; if so, what are the relevant details of the plan? NW2040E

REPLY:

Yes. South Africa weathered the global financial meltdown sparked by the collapse of Lehman Brothers in September 2008 reasonably well. Real GDP growth contracted by 1.8% in 2009 as a result of the sharp contraction in global demand, but we did not experience any major disruptions to our banking system like many other countries did, and our fiscal position remains sound despite having to run a higher fiscal deficit. For this reason we have been able to finance our fiscal deficit at reasonable interest rates in domestic and international capital markets. We remain committed to managing risks in a volatile global international environment, fully cognisant of the risks posed by the fiscal crisis in Greece and other European countries.

Our broad strategy to deal with future crises is a commitment to maintaining macroeconomic and financial stability through supportive and responsible fiscal and monetary policy, prudential management of foreign exposure risk, and improved management of capital flows. Our decision to reduce the fiscal deficit over the next five years is an important part of our counter cyclical management of fiscal policy that will provide us with the fiscal space to respond appropriately in the event of future crises. Our inflation targeting framework has proven itself in the past as a valuable signal for credible policy, which provides investors with confidence in times of crisis and flexibility for the Reserve Bank to respond appropriately during a crisis. The flexible exchange rate also acts as a buffer against shocks and helps to reduce the volatility of interest rates.

Joint standing committees between the National Treasury and the Reserve Bank support regular communication and effective coordination between the two institutions, particularly in the areas of macroeconomic performance, financial market risk and the monitoring of financial stability issues. The Financial Sector Contingency Forum was established in 2002 to facilitate contingency planning in the South African financial sector and to improve its resilience to various types of shocks. As part of its activities, a manual has been developed with inputs from various stakeholders.

At the meeting of the Forum in August 2009, its structures and activities were reviewed and rationalised to strengthen its planning capabilities for various kinds of pure financial crises. Existing task teams and sub-committees were streamlined into two main sub-committees focusing on operational risk and financial risk.

Regular meeting between the Minister of Finance and the Governor further enhance oversight and facilitate flexible policy responses to any emerging crisis.

Our banking system weathered the storm well compared to many developed countries. It is strongly capitalised, and remains robustly regulated. Nonetheless, oversight continues to be strengthened as we continue to ensure prudential regulation of domestic savings.

The ongoing build up of foreign reserves acts as a liquidity buffer for the country and helps to reduce external vulnerability. Gross foreign exchange reserves stood at US$41.6 billion at the end of May 2010. In August 2009, the value of reserves was boosted when the International Monetary Fund (IMF) made a general allocation of Special Drawing Rights (SDRs) to member countries worth about US$250 billion, of which South Africa received US$2.166 billion. In the case of extreme disruption to liquidity, South Africa would also be able to source additional financing through the IMF's Flexible Credit Line (FCL) for countries with very strong fundamentals, policies, and track records of policy implementation. Throughout the recent crisis, however, South Africa was able to attract sufficient foreign capital to finance its commitments without having to resort to extraordinary measures.

We recognise however, that the recent crisis has revealed flaws in the architecture of the global financial system which need to be addressed to reduce the probability of future calamities. A large portion of the work being undertaken by the G-20, under the chairmanship of South Korea, is currently focused on developing a new global financial architecture. South Africa isactively participatingin efforts by the G-20 to bolster financial safety nets and to reach agreement on global financial regulatory reforms.

QUESTIONS 1775 FOR WRITTEN REPLY

FRIDAY, 28 MAY 2010

1775. Mr N J J van R Koornhof (Cope) to ask the Minister for the Public Service and Administration:

When will he announce the new revised Handbook for Members of the Executive and Presiding Officers? NW2041E

REPLY

We will finalise and pronounce on the review of the Ministerial Handbook before the end of the calendar year, 2010.