The Democratic Alliance (DA) is concerned that service delivery in Mpumalanga is often interrupted and projects not completed because provincial departments are always struggling with insufficient budgets due to accruals.
Departments are often using the current financial year’s budget to pay service providers for services provided in the previous financial years.
Currently, the provincial departments have R816 589 544 worth of accruals from the previous financial year. Unfortunately, other services in the province will be compromised as departments will be using money from their current budgets to pay for services rendered in the previous financial year.
Below is the list of departments with accruals and how it affects their service delivery obligations:
• The Department of Education: R298 000 000 in accruals has resulted a shortfall and not being able to fund Learner Teacher Supply Material (LTSM) or complete the Mkhondo Boarding school.
• Similarly, the Department of Health has the highest accruals at R307 595 000 which will negatively affect the completion of the new Middelburg Hospital, new clinics, and the electronic queuing system.
• Vacant positions and upgrading of roads will also be affected by the deficit in the department of Public Works, Roads and Transport (PWRT) with R136 453 000 accruals.
• The Office of the Premier is R4 000 000 in the red after the recent Presidential Imbizo that was held in Carolina.
• The Department of Community Safety, Security and Liaison have stated that security contracts at government facilities, as well as traffic law enforcement, will be compromised due to their burden of R118 000 000 accruals.
These are “hidden costs” that are not included in the departments’ current budgets. These hidden costs have a potential to become a serious fiscal risk.
The unfortunate reality of the contentious payment of last year’s invoices with this year’s budget will continue to compound the problem and the citizens of Mpumalanga will continue to suffer at the hands of an uncaring and incompetent ANC Government.
These ANC-run departments are knowingly bankrupting themselves and the poor who are unfortunate enough to live under their financial tyranny. Ultimately, if unchecked, they will bankrupt the rest of Mpumalanga province.
It is not a shortage of equitable share that is bringing Mpumalanga departments to their knees. But is simply incompetent and corrupt ANC cadre appointed officials.