/ 28 November 2005

New boundaries, new budgets

Faced with an instant population increase of up to 50%, the Northern Cape has set up a number of technical teams and a series of meetings to incorporate three cross-border councils from the North-West.

The anticipated increase of between 220 000 and 450 000 residents could boost the provincial head count from 822 000 to an estimated 1,2-million — requiring a significantly larger budget. Population size is a key factor in the Treasury’s ”equitable share” allocations to provinces.

This could create a huge headache for Treasury, as the budgeting cycle for the 2006 Budget is at an advanced stage. A finance spokesperson said the Treasury would respond when all changes were finalised and gazetted.

Official sources in the Northern Cape said there is particular concern about the budgetary implications, as the newly incorporated areas are very poor.

On Thursday this week, Northern Cape officials met at the Kgalagadi municipality to discuss the incorporation of the three councils which, while already sharing provincial capital Kimberley’s 053 dialling code, are poor and dotted with dorpies like Hartswater.

The province has established a political committee with the North-West administration to oversee the incorporation process. An audit of how many new residents the Northern Cape gains is a priority.

As communities are shifted across provincial boundaries to eliminate the 16 cross-border councils, claims have emerged that the government decided on the move to balance provincial populations.

The North-West has lost Ga Segonyana, Moshaweng and Phokwane to the Northern Cape’s Kgalagadi and Frances Baard district councils. At the same time, more than 200 000 residents of Merafong appear destined to be relocated from Gauteng to North-West.

Officials attending the protests at Khutsong (Carltonville) over the Merafong move told residents it was designed to ”balance populations”.

On November 25, residents are expected to grill a government delegation on the reason for the much-contested relocation. ”There is lack of clarity. Why must Merafong move?” asked Konisile Phendule, South African Communist Party West Rand district secretary. ”Why can they not deliver services to where the people are now?”

Department of Provincial and Local Government senior manager Shami Kholong said provincial demographics were ”one of many considerations”, but service delivery was the overarching aim. ”The ongoing question was, ‘What arrangement will assist the local community to get better and faster delivery of services?’” he said.

Several further steps are needed before the process is finalised. The National Council of Provinces must pass the constitutional amendment Bill after provinces have had their say, after which provincial legislatures must adopt the changes to their borders. Local government ministers must then publish an amended Establishment Notice, outlining the new council areas.

Additional reporting by Rapule Tabane