I apologise if I did not address the member through you, Chairperson. However, the hon member does not come up with solutions, and I will get to that a bit later. He is sceptical about the National Youth Development Agency and about real economic growth. He will see where we come from. [Interjections.]
Given the economic structure we inherited, it must be said we cannot correct everything that was not addressed in the previous 100 years. The creation of Bantu Native Reserves had no developmental imperatives in its genesis or implementation but ensured comfort and plenty for the ruling elite. This resulted in rural and poor provinces, and our young democracy had to deal with it. That is the reality.
But it is important to see where we come from, financially. In 1994, total revenue was a mere R112,4 billion. Expenditure was R137 billion and debt service cost R24,1 billion. It is evident that in the past 17 years, the ANC-led government has succeeded in rebuilding the economy, which increased the revenue base from a mere R112,4 billion to R924 billion by the end of the Medium-Term Expenditure Framework, MTEF, period. [Applause.] Now, that is progress! Congratulations, hon Minister.
On 1 April this year, Sars collected R2 billion more in revenue. That is a fact. The point is: What do we do with that money? We must spend it wisely on resources that we have. Since 1994, 2,5 million houses have been built; 10 million people have permanent homes - 'n dak oor sy kop [a roof over his head].
A total of 14,5 million people receive social grants, of which 9,5 million are children under the age of 14, and we are going to take it up to the age of 18. But what has also happened since 1994? Then, only 36% of households had access to electricity. Today, 84% do. That is an increase. That is improvement. [Applause.] That is a reality. In 1994, 62% had access to clean water. Today, 93% do. That is improvement. In 1994, 50% had access to better sanitation. Today, the figure is 77%. That is improvement. [Interjections.] You cannot deny it. These are facts.
The division of revenue - and it is also a reality - is informed by the Minister of Finance's Medium-Term Budget Policy Statement, MTBPS, delivered in October, by the January 8 Statement of the President of the ANC and also by the state of the nation address. That forms the basis. That is the departure point.
The division of revenue contains conditional grants and agency payments to provinces and local government, and funds retained for national departments. These refer to infrastructure grant allocations to municipalities in order to meet the target priority programmes of government.
Conditional grant allocations fund the development of infrastructure and job creation. This runs like a golden thread throughout the priorities. The Financial and Fiscal Commission also recommends fiscal consolidation on successful programmes, expanding social grants and reprioritising expenditure towards maintenance and repairs.
An important development in 2011-12 is the transformation of the infrastructure grant to provinces into three sector conditional grants. This will ensure a more aligned approach to the roll-out of infrastructure delivery and reduce persistent backlogs through the health infrastructure grant, education infrastructure grant and provincial roads maintenance grant.
These grants aim to improve and revitalise hospitals, to improve education infrastructure by not allowing children to sit in mud schools, like they do in the Eastern Cape, and to improve school nutrition. We emphasise that early childhood development should be appropriately prioritised as one of the key priorities of government. Sufficient resources should be directed towards this function. The Department of Basic Education should also request such a grant. That is a proposal that we make from our side.
Conditional grants to local government aim to eradicate backlogs and build institutional capacity in local government. I am also referring to the municipal infrastructure grant, MIG, allocations, capacity-building grants and Expanded Public Works Programmes. It is clear that all infrastructure development projects are aimed at job creation and are in support of the New Growth Path.
Total employment grew by 5,6% last month - it was reported this morning. This is the highest in more than two and a half years. This is according to a report published by the staffing and outsourcing group, Adcorp Holdings. Chairperson and hon members, that is improvement. It is a reality. We all agree that the allocated funds and objectives will be reached within the division of revenue when there is decent monitoring.
We need good governance. Government, through its departments, is implementing the 10-point plan in local government. This is a turnaround strategy for both health and education, and a strategy for job creation. However, we need committed and skilled people to implement and administer these programmes and manage the spending of the taxpayer's money. The taxpayer must get value for money.
We have to change the way the Public Service works, otherwise there will be no improvement in service delivery. Looking at the report from National Treasury, dated 3 March, on the spending of conditional grants, and coming to the Western Cape - although the MEC ...
... het die vlag gewaai vanmiddag vir die Wes-Kaap ... [... waved the flag for the Western Cape this afternoon ...]
... what happened? There is underspending in education on the HIV and Aids life skills education grant. Here is the report from Treasury. [Interjections.] I am not sucking it out of my thumb. In housing, there is underspending on the human settlements development grant. That is the report of the National Treasury. [Interjections.] Underspending cannot be condoned, whatever the reason. However, there are also factors that should be taken into consideration, such as whether all alleged spending has actually been done or whether funds have been transferred to implementing agencies.