Memorandum from the Parliamentary Office
NATIONAL ASSEMBLY
FOR WRITTEN REPLY
QUESTION 2614
DATE OF PUBLICATION OF INTERNAL QUESTION PAPER: 09/09/2011
(INTERNAL QUESTION PAPER 28 OF 2011)
Dr J C Kloppers-Lourens (DA) to ask the Minister of Higher Education and
Training:
(1) Whether the Technikon North West received a R6 million transfer from
his department subsequent to the merging of three higher education
institutions which resulted in the establishment of the Tshwane University
of Technology (TUT); if not, what is the position in this regard; if so,
(a) on what date was this money transferred, (b) what are the reasons for
this amount being transferred and (c) considering the merger, what is the
breakdown of how this money was spent;
(2) Whether this amount is a loan and repayable by the Technikon North
West; if not, why not; if so, who is his department holding accountable to
repay this amount following the merger?
NW3030E
REPLY:
1) During the mergers of different institutions the then Department of
Education transferred approximately R3 billion over the period 2003/04 to
2008/09 to the newly established institutions for recapitalization,
direct merger costs and infrastructure projects (for mergers). The
question raised by the Honourable member is not clear as no transfer
would be made to an institution such as the Technikon North West (pre-
merged institution) subsequent to a merger, itâs only the newly
established institution in this case the Tshwane University of Technology
that would receive transfers related to the mergers. Transfers were made
to Tshwane University of Technology from April 2004 (2004/05 financial
Year). The department had a merger unit (which was closed in March 2010),
that managed and monitored the allocation and use of these funds.
Individual universities had to account for the transfers made by
submitting audited reports and copies of invoices. There were no loans
granted by the department to universities for the mergers. Tshwane
University of Technology received R324 million in total (recapitalisation
R87 million, direct merger costs R87 million and merger infrastructure
R150 million) for the merger of the Technikon Pretoria, Technikon North
West and Technikon Northern Gauteng.
2) Records indicate that the Technikon North West received last transfer
from the department on 3 November 2003 amounting to R6,347 million which
was their monthly block grant subsidy that all institutions received.
This was the same amount transferred to the Technikon for the months of
June to October 2003 prior to the merger.