/ 30 March 2006

Sigcau dares opposition not to hide behind immunity

Minister of Public Works Stella Sigcau dared an opposition party member on Wednesday not to hide behind parliamentary privilege in accusing her of unethical conduct.

”That speaker accused me here … depending and hiding [behind] the fact that there is immunity in this house,” she said, referring to Democratic Alliance MP Sydney Opperman.

”Go outside and tell me the same thing,” she said, warning Opperman: ”Don’t put labels [on people].”

During the Department of Public Works’ budget vote, Opperman expressed concern about government graft, and asked Sigcau to explain allegations that she failed to disclose business interests, as the Constitution requires public representatives to do.

An auditor general’s report had found several Cabinet ministers to be guilty of such failure, and Sigcau’s name was among several subsequently listed in the media.

”We need clarity from you concerning this issue,” Opperman said.

He questioned the way in which public money is being spent, asking how much of it is being swindled. It is the richest of the rich who claim to stand up for the rights of the poor while stealing money from them, he claimed. ”The scum is stealing the cream.”

Sigcau hailed her department’s successes in combating fraud and corruption.

Several managers have been suspended pending disciplinary steps for corruption at the department’s Nelspruit regional office, while fraud of R4,2-million was uncovered at the Pretoria regional office, she said in a speech prepared for delivery to the National Assembly.

The Pretoria investigation had prevented further fraudulent transactions to the value of R11-million, Sigcau said.

Criminal prosecutions are pending in both cases, and other regional offices are under investigation for alleged irregularities in the awarding of contracts.

A review of black economic empowerment (BEE) contracts awarded by the department yielded several cases of ”fronting” that were referred for prosecution, the minister said.

”Ethical conduct is key to doing business in South Africa and the department will continue to step up pressure to create a zero-tolerance environment for fraud, corruption and maladministration,” she told the Assembly.

The minister announced that leasing, maintenance, property rates and municipal services budgets will be devolved to client departments from next month. Property rates will be devolved to provinces for all properties registered in their names.

The purpose of this devolution of budgets is to boost transparency and introduce incentives for more efficient use of resources, the minister said.

”Departments will have a much stronger incentive to use office space and water and electricity more efficiently when they have to pay for these resources from their own budgets.”

The department will continue to manage the expenditure of the funds it is devolving, but on an ”agency basis” on behalf of client departments.

Responsibility for the construction and maintenance of police stations will become the responsibility of the South African Police Service from April 1, at its request.

In line with the devolution of budgets, the Department of Public Works’ own budget has declined by R2,8-billion to R3,08-billion in the current financial year.

Sigcau said the department has recruited 54 young graduates as part of a three-year, R30-million project to collect information on the properties it owns.

It has also prioritised the disposal of immovable assets and identified more than 2 000 properties for this purpose.

”The state should only retain properties which are required for service delivery or for prestige or heritage reasons,” she said. ”The state should not be paying rates and services for properties which are not being utilised for service delivery.”

Concerning properties leased from the private sector, stringent targets are to be set to encourage black property owners entering the market.

Discussions are under way with banks regarding financing for emerging black landlords.

The minister said a project is under way to identify skills shortages for the construction industry over the next 15 years as part of the government’s aims for accelerated economic growth.

Regarding the Expanded Public Works Programme (EPWP), the minister said more than 220 000 jobs were created in the first year, at least 40% of which went to women. Another 60 000 jobs were created in the first quarter of the 2005/06 financial year.

Home community-based care and early childhood development were identified as two areas for creating about 231 000 jobs over the next three financial years, for which R4,2-billion has been set aside.

”The EPWP is well on its way to meet its target of one million jobs by 2009,” Sigcau said.

Regarding school building, she told the Assembly that no children will be learning under trees from the beginning of the new financial year. — Sapa