Hon Chair, my hon Cabinet colleagues - I can see Minister Motshekga, umakhelwane, sibizana ngomakhelwane ngoba iminyango yethu yakhelene [my neighbour - we call each other neighbour because of the closeness of our departments] - the Deputy Minister of Higher Education and Training, the chairperson of the portfolio committee, hon members, distinguished guests, my mother, who turned 84 last Friday ... [Applause.] ... and all the family members here, my dear wife, ladies and gentlemen, hon dignitaries who have been invited here and comrades, exactly 100 years ago the Mines and Works Act, Act 12 of 1911, was passed by the Parliament of the Union of South Africa, establishing the colour bar in employment. It permitted the granting of certificates of competency for a number of skilled mining occupations to whites and coloureds only. Africans and Indians were prohibited from being recognised as skilled artisans in South Africa's mining industry.
In the decades that followed, these restrictions were extended throughout the economy and were made increasingly harsh, especially for Africans. It is thus fitting that we announce all the measures contained in this speech today, given that their primary goal is to expand opportunities, especially for the African youth, to enter technical and other skilled careers.
Our department's goals are firmly located within the overall objectives of prioritising job creation and within the framework of the New Growth Path, Industrial Policy Action Plan 2 and Human Resources Development Strategy.
Access to decent education and training is essential for the completion of the liberation struggle, whose foundation must be economic liberation. Education is the government's apex priority and now accounts for 19,4% of the total national budget for 2011-12.
Vote 17 has received R37,4 billion, of which R9,1 billion is a direct charge against the national revenue fund and goes to our Sector Education and Training Authorities and the National Skills Fund. Universities receive R19,4 billion for the 2011-12 financial year and R4,3 billion is allocated for further education and training, FET, colleges. An amount of R4,1 billion is for our public entities, of which R4 billion is allocated to the National Student Financial Aid Scheme, NSFAS. The remainder is shared by the South African Qualifications Authority, SAQA; the Council on Higher Education; the National Skills Authority; and the Quality Council for Trades and Occupations. This year NSFAS will disburse double what we disbursed last year in loans and bursaries, from R2,7 billion to R5,4 billion.
Since my last Budget Vote, I have organised three summits with stakeholders: one for higher education, one for FET colleges and one for skills in general. These were opportunities to consult with a wide range of stakeholders and map a way forward. All the summits adopted declarations on areas of agreement on major policy issues.
The overarching vision we are developing is that of an expanded, effective, coherent, integrated, differentiated, but highly articulated postschool system and responsive, comprising all the institutional types falling under our department - universities, colleges, adult education centres and the levy-grant institutions like the Sector Education and Training Authorities, Setas, as well as the various regulatory and advisory institutions.
We are developing ways in which the work and resources of these institutions can be brought together to benefit the entire system, with the strengths of each being harnessed for the mutual benefit of all. This vision will be elaborated on in a Green Paper that my department will be publishing soon for public comment.
Hon Chairperson, you must not allow hon Ellis to walk in while I am speaking. [Laughter.]
This vision is taking shape through the National Skills Development Strategy 3, NSDS 3, which we launched in January this year. The NSDS 3 is a strategy aimed at increasing access to training and skills development opportunities and to eliminate unfair discrimination in skills training. The NSDS 3 will make resources available for training programmes in institutions such as co-operatives, small enterprises, nongovernment organisations and trade unions.
The NSDS 3 sets clear goals to the Setas and National Skills Fund on how the levy-grant resources should be spent. Above all, it seeks to improve the quality and effectiveness of training and channel it increasingly to formal training institutions where workers and the unemployed can get full occupational qualifications. Too much of the levy money - estimated at over 80% - has been going to short courses, which provide little lasting benefit and thus only serve to reproduce cheap labour while purporting to develop skills.
Levy money must also be used - and this is non-negotiable - in building the capacity of formal public education institutions. We have invested heavily over the decades in these public education and training institutions. They now must be used by the Setas and the National Skills Fund, NSF, to provide quality occupational and professional training programmes for youth and adults.
Setas are very important and have an in-depth knowledge of the labour market in their sectors, and they must have contact with virtually all employers in the country. They are ideally placed to assist educational institutions to access workplace experience for students. However, this has not been happening. Literally thousands of students in universities of technology and FET colleges have not been able to qualify because they do not access workplace experience to complete their qualifications. Setas will now have to be at the forefront in overcoming these problems.
Our department has reconfigured the Seta landscape, reducing the Setas from 23 to 21. I have also introduced measures to strengthen the governance and management of the Setas to ensure that they become effective. This has led to resistance from some but we are not going to be derailed. We are determined to forge ahead, court cases or no court cases.
The vast majority of the Setas have publicly supported these transformative measures. We have had a very positive response from most stakeholders and would like to thank them for this. Most Setas are determined to turn their organisations into effective components of an integrated and successful postschool system. The measures we have taken are a giant step forward in the transformation of the South African skills development system.
My officials and I have had a number of engagements around skills development with employers in both the private sector and state-owned enterprises. I am pleased that indications are that both private companies and state-owned enterprises, SOEs, are willing to co-operate to expand opportunities for artisan, technician and professional training. Our efforts are already starting to pay off. During 2010, 23 517 apprentices were registered by the Setas, compared to 17 228 in 2009. Also in 2010, 11 778 apprentices were certified, partly because the number of learners who passed their trade tests has been increasing gradually over the past four years.
My apologies, I should have started by congratulating Orlando Pirates on winning the league last week. [Laughter.] I do not want to cause havoc in the ANC caucus. The win is a fact, so let us be generous and congratulate Orlando Pirates. [Interjections.]
Also in 2010, 11 778 apprentices were certified, partly because the number of learners who passed their trade tests has been gradually increasing over the past four years. This is an indication that the target of 10 000 artisans per annum is being met, even before the timeframes set in my performance agreement with the President.
The number of learners entering artisan training are expected to increase further over the next five years due to commitments made or expected from both business and the Setas. In 2010, learnership and other learning programmes registered by the Setas increased to 120 615, up from 109 351 in 2009. I am sure my colleague Minister Patel is pleased about these figures.
The period since my last Budget Vote has been one of intensive policy consultation and development. Hands-on support is being given to FET colleges in the areas of governance and management curriculum and qualifications examinations and assessment planning and funding and the establishment of partnerships and linkages with employers, the Setas and other stakeholders. Our aim is the substantial transformation and improvement of the capacity of colleges over the next few years to offer a range of courses for the production of mid-level skills for the economy. The college system will expand to take in substantially more students to achieve our goal of 1 million by 2014.
Over the 2011 Medium-Term Expenditure Framework, MTEF, period, R14,29 billion has been allocated as subsidies to FET colleges. This is the correct figure, bab'uMahlobo [Mr Mahlobo]. That is why we are looking at that. Of this, R1,42 billion has been earmarked to expand FET college student enrolment, especially to increase the number of artisans. Particular attention will be given to expanding access to students in rural areas.
The department also intends to utilise the National Skills Fund, NSF, to expand skills centres as campuses of FET colleges, prioritising areas where there is no post-school provisioning. We are also developing plans to better use existing post-school institutions and maximise their utilisation. For instance, we can no longer afford a university that functions from 08:00 to 13:00, but from 13:00 till 21:00 no activity takes place there. We need to use every available inch of space to expand access to postschool education and training.
I have appointed a task team to undertake a review of the National Certificate (Vocational) qualifications, the NCV. The review will ensure that these qualifications serve their intended purpose of delivering high- level conceptual knowledge linked to practical training, either as preparation for entry into the job market or for university entry.
I have reversed the decision made three years ago to phase out N programmes as a result of a strong demand from the colleges and employers. However, the N course curricula are in need of updating and we shall indeed do so. Colleges will work with the Setas and employers to provide and expand training tailored to the specific needs of particular industries or particular sectors of our economy.
I am pleased to announce that for 2011 the reach of the FET college bursaries has tripled: R1,2 billion is available to financially needy yet academically capable students. This means that 100% of eligible students from poor and working-class households enrolled in the NCV and N programmes will be totally exempted from college fees, for the first time covering more than 169 000 students. [Applause.]
In line with the intention I stated here last year, we have signed an agreement to bring about parity between the state-paid FET college lecturers and their counterparts in the schooling system and, in a similar agreement, for both college and state-paid support staff.
With regard to my commitment last year that we would look at legislative measures to make FET colleges and adult education an exclusive national function, I will be introducing a Further Education and Training Amendment Bill soon. Its purpose is to shift responsibility for FET colleges and adult education from provinces to our department as a national responsibility.
Furthermore, I expect the Minister of Justice and Constitutional Development to bring a Bill to the House this year, to amend Schedule 4 of the Constitution, making FET colleges and adult education an exclusive national competence. Hon Ellis, even the DA agrees with this constitutional amendment. [Laughter.] Amandla! [Power!]
I should also have started ... [Interjections.]