Hon Chairperson, Deputy Minister Comrade Yunus Carrim, members of the House and the committee led by Comrade S L Tsenoli, MECs, mayors, executive mayors, traditional leaders led by Khosi Kutama, distinguished guests, ladies and gentlemen, before I came here, I spoke to the House Chairperson, saying that the parliamentary liaison officer should humbly ask Parliament to at least supply us with a temporary stand. He used a sophisticated English word that I didn't understand - not "podium". He explained that this was a heritage building. I said even so, there should be a temporary stand so that we are comfortable when we speak here, not holding our notes in our hands. I saw some of the Ministers when they were delivering their speeches - their papers were spilling out. But we are told it is an issue.
Having mentioned that, it is indeed a pleasure and an honour for me to be afforded this opportunity to table the Budget Vote for the Department of Co- operative Governance and Traditional Affairs in this House today for the financial year 2010-11. For us this occasion is exciting in many ways.
In this Budget Vote we are presenting an assessment of what we have done in the past year and of course outlining the programmes and projects that will be undertaken in the coming year. These projects and programmes are aimed at contributing to the improvement of the quality of life of our people.
This year is different in its nature and character, because the budgeting process is outcomes-based, and there are also performance agreements that the Ministers will have with the President. The Ministers will then have agreements with their colleagues at national and provincial government level and with all municipalities across the length and breadth of the country. For us, as the ANC-led government, this is an exciting time. The other very important thing is that in order to deal with the issues in South Africa, we conducted an assessment last year. We looked at all municipalities across our country. We focused on five areas: The issue of service delivery, particularly access to basic services; the reversal of apartheid spatial patterns in the townships and suburbs, the urban and rural areas - we have managed to change that to ensure that we build a nonracial, nonsexist and prosperous South Africa; financial viability and the management of the resources we have; partnerships between communities, government, employers and organised labour; and the issue of governance - looking at a particular way of managing things.
The outcome of this assessment overall showed that the system of local governance is functional and things are happening. However, some areas of distress were identified. One thing is for sure, when you wake up in the morning and you press a button on the wall, you get electricity. When you open a tap, you get water, when you walk on the streets, traffic lights are functioning, and waste is managed - except when there is a strike. Therefore, based on that, we can say that the system of local government is functioning. [Laughter.]
We also believe intergovernmental fiscal relations to be one of the most important areas of focus. The baseline on which local government and municipalities allocate resources needs to be changed, because it is based on the assumption that the municipalities raise 95% of their own revenue. They were expected to be able to take care of their own responsibilities.
That is why we have the situation where the number-one revenue generator for municipalities is electricity - and electricity is cross-subsidising other services. The money cannot be reinvested in maintenance and in the broadening of access. This issue is being considered and we will have a discussion with the Minister of Economic Development and the Minister of Energy to look at these questions.
One of the fundamental issues that is important to us is how the money that comes from electricity charges can be utilised in a way that benefits our people. At the same time the budget must not only look at the population statistics, but also at topography and backlogs - at quite a range of issues - when allocating resources. Therefore we are advocating a change in the way resources are allocated in the different spheres of government in South Africa.
In many municipalities, competent officials are employed. However, incompetent people who do not meet the required standard are also employed. We will ensure that in all municipalities there are six posts which are compulsory, namely the municipal manager, chief financial officer, town engineer, town planner, human resource manager and communications manager.
The system of public participation, which involves our people at ward level, has to be reviewed and revamped. We must ensure that the issues that are raised at ward level find expression at municipal level. We must be able to ensure that the council discusses the issues of the wards, so that the system is responsive to the needs of our people on the ground.
We will be working with the National Treasury to deal with the issue of the supply chain management system, because we believe that we must be able to close loopholes where there are elements of corruption. Councillors will be removed from the supply chain so that they cannot be tainted by that system, and then we will be able to deal with corruption.
What we have done so far didn't help. That's why, going forward, we want to review the whole supply chain system, because we want to ensure that money goes where it is supposed to go. The money intended for the poor, the vulnerable and the marginalised must benefit them.
We must also ensure that a partnership and spirit of camaraderie is built between the workers and the leaders of local government. Before the workers became workers, they were - and are - members of the community. And before the leaders of local government became leaders of local government, they were - and are - members of the community. We must at all times rise above sectoral, petty interests and look at bigger interests.
Going forward we must be able to work together on these issues because when we do, we will be serving our people and our nation in the right way. These issues will be taken up to improve the way we govern the communities that we are supposed to serve.
Martin Luther King Jr referred to such concerted actions as the "language of the unheard" - the involvement of our people in terms of what has to happen.
We have identified Salga as the most important strategic partner in the execution and implementation of the Local Government Turnaround Strategy. Salga will officially adopt the Local Government Turnaround Strategy at their national members' assembly which will be taking place next month, in May, in the Northern Cape.
Our point of view is that the Local Government Turnaround Strategy is a road map, a starting point. It has to be followed. It is a document that will ensure that policies that will be developed and laws that will be crafted for many years to come will be based on this strategy. Therefore we are calling upon all our people from all walks of life in our country to ensure that they read and understand the Local Government Turnaround Strategy because it is going to be with us for a long time to come. Within the Local Government Turnaround Strategy we have developed a Ten Point Plan. It focuses on areas that must be taken forward. To summarise one of the key things that are exciting to us, we will be co-ordinating all Ministries and all departments in dealing with the issues of water, electricity, sanitation, refuse removal, disaster management and the municipal roads. The resources that will be unleashed are going to improve the quality of life of our people.
The department has also been given the responsibility of ensuring that it creates jobs. We have been given a Community Works Programme by the Presidency, in terms of which we are expected to ensure that we employ people. We can assure all of you who are in this House that you can expect dramatic announcements next year in terms of what is going to happen. We will ensure that our people are able to deliver all these things, that the issues of co-operative governance are taken up and that co-operatives are unleashed. [Interjections.]