Western Cape mid-term budget fatally flawed and lacks evidence of redress, says ANC

Western Cape Finance and Economic Opportunities MEC David Maynier. Picture: Thobile Mathonsi/African News Agency (ANA) Archives

Western Cape Finance and Economic Opportunities MEC David Maynier. Picture: Thobile Mathonsi/African News Agency (ANA) Archives

Published Nov 26, 2020

Share

Cape Town - Following Western Cape Premier Alan Winde’s pledge to focus on “jobs, safety and well-being”, the provincial government’s medium term budget policy statement stated it was pumping money into small business, education and health.

Tabling the province's medium-term budget policy statement (MTBPS) Finance and Economic Opportunities MEC David Maynier said: “We have mobilised a combined R1.4 billion support package for jobs, safety and well-being in this financial year, so that we can bounce back in the Western Cape.”

He said: “We expect to spend R71.3 billion in 2021/22, R72.5 billion in 2022/23 and R73 billion in 2023/24 over the medium term in the province.

“We have made R227 million available on the health department’s budget; R200 million to the transport and public works department’s budget; and have R864 million available in the provincial reserves.

“We have also received welcome national government funding which includes an additional R814.2 million to employ education assistants and general assistants at schools and an additional R53 million to supplement the salaries of employees at early childhood development centres.”

Leader of the provincial opposition, the ANC’s Cameron Dugmore, said: “MEC Maynier’s second adjustment appropriation budget is fatally flawed as the province by its own admission has not completed its provincial recovery plan. They have said this will only be ready in February next year.”

“This budget does not show evidence of redress and does not demonstrate that infrastructure spending is being consciously directed to the poor,” said Dugmore.

Budget committee member Brett Herron from the Good party, said the budget adjustments exposed the “dire financial circumstances” that prevailed in South Africa.

“The Western Cape is at risk since our government doesn't have a real plan to navigate this province through the turbulent times that lie ahead. We need the provincial government to look deep into their administration and eliminate waste and excess so that public funding is making maximum impact by providing services, addressing infrastructure backlogs and is directed at improving the lives of those who call the Western Cape home,” he said.

FF Plus MPL Peter Marais said: “South Africa's downgrading to two points into junk status, coupled with the ill advised bailout of SAA, which should instead have been declared a junk enterprise, has dumped SA into a debt crisis of alarming proportions.

“The uncertainty of a successful national wage freeze agreement makes any final budget projections a wish list and contributing 20% of the provincial reserves to balance our fiscus fills me with deep concern. It might not even be enough,” he said.

EFF provincial chairperson Melikhaya Xego said the bulk of the MEC’s speech consisted of complaints about budget cuts by national government to the province.

“On the issue of safety, the province is really failing and the speech was also uninspiring. The MEC is of the opinion that spending millions on fencing schools will automatically reduce crime and keep pupils safe. Their safety plan is quickly failing as a result of poor planning and an ineffective law enforcement department,” he said.

Cape Argus