Parliament, Saturday, 10 October 2026 – The Portfolio Committee on Health requested detailed records and explanations from the National Department of Health regarding the procurement, management and expenditure associated with communication and events-management services. The committee received a briefing from the Minister of Health, Dr Aaron Motsoaledi, and departmental officials on matters relating to the investigation into the National Health Insurance (NHI) advertising tender.
The briefing followed the decision by the Minister of Health and the Deputy Minister of Health, Dr Joe Phaahla, to refer media reports concerning the tender to the Special Investigating Unit (SIU), the Auditor-General of South Africa (AGSA) and the Public Protector for investigation.
Dr Nicholas Crisp, Deputy Director-General responsible for NHI, informed the committee that the briefing aimed to provide an update on the Department’s health communication activities, including those relating to the NHI; respond to allegations first reported by News24 and subsequently carried by other media outlets and organisations; and outline the measures taken by the Department to establish the facts.
The Department rejected the allegations that funds earmarked for HIV, tuberculosis and general-practitioner contracting programmes had been diverted to fund NHI communication activities. Dr Crisp stated that NHI communication activities were funded through the health systems component of the NHI Indirect Grant in accordance with approved business plans, with allocations of R30 million in 2025/26 and R39 million in 2026/27.
Committee members requested documentary evidence to verify that all procurement processes and any movement of funds complied with the Public Finance Management Act (PFMA) and other applicable legislative and regulatory requirements. Among the documents requested were bid documentation, signed service-level agreements, approved quotations, purchase orders, invoices, expenditure records, proof of delivery and details of the officials responsible for authorising procurement, delivery and payment.
The committee sought clarification on the Department’s decision not to use the Government Communication and Information System (GCIS) for media-buying and advertising services. Members asked whether GCIS had been consulted, whether it had indicated that it lacked the capacity to undertake the work, and whether all required approvals had been obtained before external service providers were appointed.
The committee reiterated that GCIS has a specific mandate for government communication, particularly media-buying and advertising services. It questioned the rationale for departing from this established arrangement and requested correspondence confirming discussions between the Department and GCIS about GCIS’s capacity to undertake the work. Members further noted the importance of government departments supporting GCIS, given its role in providing communication services across government.
The Committee Chairperson, Ms Faith Muthambi, reiterated the committee’s position that funds appropriated for public health services must remain within the public health system and be used solely for their intended purpose. She cautioned that the committee would be concerned by any evidence that funds intended for essential health services had been redirected to other activities.
The Chairperson stressed that millions of South Africans rely on public healthcare facilities and that resources allocated to frontline health services should directly benefit patients, particularly vulnerable communities that depend exclusively on the public health system. She further emphasised that funds appropriated by the National Treasury for specific health priorities must be spent for those purposes and that any deviation that could undermine the effectiveness of public healthcare could not be justified.
Ms Muthambi underscored the importance of ensuring that all public health expenditure is lawful, properly authorised, transparent and demonstrably provides value for money.
In response, the Minister informed the committee that the Department had referred the allegations to the SIU and AGSA to ensure an independent assessment. He undertook to provide any additional procurement and expenditure records requested by the committee and indicated that the Department would cooperate fully with all investigations.
Regarding the use of GCIS, the Minister stated that the Department had been advised that GCIS lacked the capacity to undertake the required work and that communication budgets remained under the control of individual departments. He further noted that the Department’s internal communication unit lacked the capacity to manage large-scale campaigns and events. The committee nevertheless requested written confirmation of GCIS’s position and evidence of compliance with all applicable procurement requirements.
The Minister also rejected allegations that funds had been diverted from critical health programmes to support NHI advertising activities. He maintained that health communication is an integral component of disease prevention, health promotion and broader health-system strengthening, and that the expenditure had been incurred in support of communication activities. The committee reiterated its request for documentary evidence that any movement of funds complied with National Treasury requirements and the PFMA.
Ms Muthambi said the committee would continue to monitor developments closely while the matter remained under investigation. She further expressed the view that, pending the outcome of the external investigations, the Minister should have instituted an internal preliminary investigation to establish the facts and provide assurance of compliance with applicable procurement and financial-management requirements.
The committee resolved to invite the Minister in the Presidency, Ms Khumbudzo Ntshavheni, to appear before it to clarify GCIS’s capacity to provide media-buying and advertising services and to respond to the Department’s assertion that GCIS lacked the capacity to undertake the required work.
ISSUED BY PARLIAMENTARY COMMUNICATION SERVICES ON BEHALF OF THE CHAIRPERSON OF THE PORTFOLIO COMMITTEE ON HEALTH, MS FAITH MUTHAMBI.
For media enquiries or to arrange interviews with the Chairperson, please contact the committee’s Media Officer:
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Email: ylandu@parliament.gov.za
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