Stakeholders plead with Parliament to ensure National Treasury considers critical social issues such as access to early childhood development (ECD), social grants, quality healthcare and basic education infrastructure during the budgeting process. The National Council of Provinces Select Committee on Appropriations yesterday conducted public hearings on the Division of Revenue Amendment Bill in Parliament.
The Minister of Finance tabled the Division of Revenue Amendment Bill during the 2024 Medium Term Budget Policy Statement. The Bill provides for unforeseen and unavoidable expenditure; appropriation of monies already announced during the tabling of the annual budget; and the shifting of funds between and within votes where a function is transferred.
As part of its processes, the committee received comments on the Bill from the Financial and Fiscal Commission, the Parliamentary Budget Office, the National Treasury and the South African Local Government Association.
The committee received substantial submissions from the following organisations, Ilifa Labantwana: Daniel McLaren, amandla.mobi, Equal Education & Equal Education Law Centre, Section 27, COSATU, the Budget Justice Coalition and the Western Cape Commissioner for Children.
Stakeholders lamented the regressive measures taken by government through austerity budgeting during public hearings on the Division of Revenue Amendment Bill (DORA). Section27 represented by Ms Matshidiso Lencoasa said the committee should hold National Treasury responsible for the lack of gender responsive budgeting. Since 2022/23, she said, this lack has marked a setback in addressing gender inequalities, especially in sectors where women are the majority workforce.
Amandla.mobi’s Ms Tlou Seopa said over the past four years, the Amandla.mobi community of over 900,000 people has consistently communicated precise demands to the National Treasury and the committee. Ms Seopa said, “It is disappointing that Finance Minister Godongwana continues on the trajectory of anti-poor budgeting, even though it is clear that the majority in Mzansi is experiencing a devastating poverty crisis, which needs to be urgently resolved”.
The committee welcomed the clear recommendations and solutions suggested by stakeholders on what need to be done. Member of the committee added that they are aware that what is eating away at the food basket is the servicing of government debt.
Mr Dennis Ryder noted that Ilifa Labantwana made a case for more funding in ECD while Amandla.mobi made a case for increase in social grant, adding that these are competing programmes. Mr Ryder added that the committee is aware of the range of circumstances in the ECD sector where the children in well-to-do areas and those living in abject poverty cannot be treated the same. However, their lives are equally important.
Committee Member Mr Paul J Swart said the country needs to be open about how much money it borrows form the markets and how much it cost the country to service those debts.
The Chairperson of the committee, Ms Tidimalo Legwase, said, “Issues that came out strongly in this meeting are the Social Relief of Distress Grant, gender responsive budgeting, the basic income grant, and ECD infrastructure and subsidies. “We take these interactions seriously, as this is the only platform where different sectors in society come together to express their views on government policy proposals," she added.
Jabulani Majozi
22 November 2024
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