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Policy Speech of office of Premier
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Speeches and Media Releases
 Premier's Office

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EASTERN CAPE PROVINCIAL GOVERNMENT

POLICY SPEECH OF THE OFFICE OF THE PREMIER

FOR THE 2000/1 FINANCIAL YEAR

13 MARCH 2000

Mr Speaker
 Members of the Executive Council
 Members of the Legislature
 Distinguished Guests
 Ladies and Gentlemen

INTRODUCTION

It is already six years since the ANC Government ascended to power in South Africa and this Province. This should produce a climate of less 
resistance to change by those who manage public affairs than was the case from 1994. As such, government programmes should be fairly 
familiar to many people by now. Continuity should also assure less change in government priorities. We have entered the phase of 
consolidation.

Our Department is required to develop, implement and co-ordinate policy. We are also tasked to co-ordinate the functioning of the 
Provincial Administration and its departments. We do not only see to it that departments implement policies that will enhance the quality 
of service delivery, we also have to make sure that implementation is not too slow or too fast. If it is too quick and not clear it may 
cause fear and resistance. If it is too slow it may cause impatience. For this reason we place a high premium on co-ordination and 
monitoring. This way the Department plays a leadership role.

Our Department is approaching the 2000/01 financial year increasingly confident that it has done the necessary preparatory work and is 
equal to its mammoth task of effectively co-ordinating service delivery in the Provincial Administration. Strategically, the work of the 
Department during the 2000/01 financial year will focus on the following priority areas: internal audit, anti-corruption measures, human 
resource management (particularly capacity building and training), policy planning and implementation, enhancement of legislative capacity, 
special programmes in gender, disabled persons and youth affairs, effective co-ordination of donor-funded activities, improvement of 
administrative systems and the co-ordination of inter-governmental co-operation, especially in planning and service delivery. Having taken 
center stage in co-ordinating the fight against the scourge of corruption in our Province, the Department has undertaken to carry out, as 
well as co-ordinate Provincially, a wide range of tasks in this regard.

These strategic imperatives and key output areas are set out in the Strategic Plan of the Department, which covers the period 1999 to 2004. 
The Strategic Plan also emphasises our co-ordinating role in policy and legislation, as provided for in the Constitution (sections 125(1), 
127, 132(2) and schedules 4 and 5), as well as strategic and visionary leadership. These Constitutional and legal provisions are 
encapsulated by our departmental mission, which is: "To ensure integrated service delivery to the citizens of the Eastern Cape through 
strategic leadership, critical interventions and effective provincial governance". Also as set out in our Strategic Plan, our department’s 
envisions "A Provincial Administration that moves in unison towards the realisation of a high quality of life for the people of the Eastern 
Cape".

As I speak, all Branches and Divisions of our Department are in the process of finalising their respective Action Plans, which will 
collectively make up the Departmental Business Plan. These Action Plans, which are based on the Departmental Strategic Plan, do not only 
spell out the activities planned for the various programmes for the year; they also link these activities to the budget, in the form of 
detailed cash flow projections. The deadline for the finalisation of this exercise is 16 March 2000.

Mr Speaker, when delivering the Policy Speech of our Department for the previous financial year, I said: "I wish to emphasise the point 
that the department is unflinchingly committed to fiscal discipline, and in this regard we want to take our place as leader and pace-setter 
for the Province". Indeed, we are now in a position to report that we have developed a financial planning framework based on the Medium 
Term Revenue and Expenditure Framework (MTREF). I have also made it clear to top management in the Department that it is mandatory and 
imperative that, with effect from 1 April 2000, financial management in the Department must conform to the provisions of the Public Finance 
Management Act, No 1 of 1999. Indeed, this is not a matter of choice, as the Act itself comes into operation as of that date. It is also 
worth noting that section 63 of this Act is very specific about the responsibilities of Executing Authorities of Departments. Steps are 
underway, in conjunction with the Department of Finance and Provincial Expenditure, to ensure that our managers are exposed to the 
knowledge and skills necessary to ensure efficient management of our finances in terms of the provisions of this Act. The 2000/01 financial 
year will see efforts being made towards the integration of our Strategic Plan with our MTREF projections.

The above-mentioned documents - with the exception of the Business Plan which will take some time to compile - will be available to the 
relevant Standing Committees in the Provincial Legislature and to all other interested parties, including the media, on 1 April 2000.

We have also taken concrete steps aimed at ensuring a meaningful increase in the revenue collection capacity of the department, principally 
through the Government Gazette Services function. I will outline the practical measures which are being implemented when I deal with the 
appropriate programme.

The department will also demonstrate its leadership role in the fight against the spread of HIV/AIDS in the Province by making a practical 
contribution in this regard both in terms of resources and projects.

Within the context of the Provincial financial and development priorities outlined by the Honourable MEC for Finance and Provincial 
Expenditure, the budget of the Office of the Premier for the 2000/1 financial year is showing a slight increase from the amount allocated 
for 1999/2000, i.e. from R89,8 million to R92,9 million. This is most welcome, especially as the major beneficiary of this increase will be 
the Internal Audit Division, which is our number one priority for the financial year in question.

Mr Speaker, our Department has, in conformity with current policy, set aside 0,5 per cent of its budget, an amount of R464 935, for the 
purpose of providing training for its staff members. This is a dedicated amount which will be allocated proportionally according to the 
requirements of each Branch or Division. To use a term made famous by my colleague MEC Godongwana, this amount is to be ring-fenced. 
Because Public Administration is concerned with the handling of public matters and the management of public institutions to promote the 
general welfare of the public, civil servants have to be continually trained.

As an ever-present reminder to themselves, the members of staff of our Department have adopted the slogan: "Spearheading Service Delivery!" 
Allow me then, Mr Speaker, Sir, in presenting the budget vote of the Office of the Premier for the 2000/01 financial year, to go into some 
detail to illustrate the practical measures to be undertaken by the Department in contributing towards the realisation of the noble goal of 
service delivery during the coming financial year.

PROGRAMME 1: ADMINISTRATION SERVICES

This programme provides the overall personnel, provisioning and financial management of the department and Premier’s Office. The 
Administration Services Division thus renders support functions to the branches and divisions of the department. The Finance Sub-
Directorate, which is a component of this Division, ensures efficient and effective financial management and that controls on expenditure 
patterns of the Department are effected efficiently. The allocation for this Division for the 2000/01 financial year shows a relatively 
small decline from R32,4 million in the 1999/2000 financial year to R31,5 million for the 2000/1 financial year. The main reason for the 
decline is the transfer of the responsibility for the salary and benefits of the Premier to the Legislature Vote.

Mr Speaker, the Department will be implementing a range of policy initiatives in administration, principally in the areas of fleet and 
asset management, as well as on issues related to personnel management.

These efforts are intended to be of benefit to both the department as well as the entire Provincial Administration. A Departmental Fleet 
Management Plan has been finalised, whilst work towards the finalisation of the Asset Register is continuing.

The following key activities are also to be implemented by this Division during the coming financial year:

* Co-ordination of the finalisation of job descriptions for all staff in the department;

* training of all key staff in the Office of the Premier to implement the newly established procurement and provisioning systems; and

* filling of critical posts, particularly in the personnel and provisioning management sections.

It is also envisaged that some adjustments will be effected to the staff complement within the Finance Sub-Directorate, in order to place 
the capacity and operations of the Department in line with the provisions of the Public Finance Management Act. The necessary steps will, 
however, be guided by the Director-General, the Provincial Treasury, and the availability of additional resources.

The Department has taken the conscious decision of making meaningful provision in respect of bursaries, which will be allocated in a 
democratic manner, mostly to applicants from disadvantaged backgrounds for specific skills and careers. An amount of R400 000 has been set 
aside for this purpose, and the funds will be ring-fenced. Mr Speaker, this step is in line with responsibilities and the obligations of 
the Department towards the population of our Province.

As already mentioned, our efforts in the area of revenue collection will be focused on the Government Gazette Services. A major step 
towards enhancing our capacity in this regard has been made through the appointment of two staff members into this component. Whilst the 
amounts of money that will be involved are modest in comparison to larger line function departments, we nevertheless have a responsibility 
of setting standards and principles in this regard.

PROGRAMME 2: MANAGEMENT ADVISORY SERVICES

The key components that make up this programme are Organisation and Work Study, Performance Auditing and Administrative Evaluation. The 
budget allocation for the 2000/01 financial year also shows a marginal decline, from R5,6 million in 1999/2000 to R5,3 million.

The Work Study function is in the process of being decentralised to all line departments, in conformity with the requirements of the new 
regulatory framework for the public service. This entails the transfer of 17 Work Study Officers from the Department to various 
departments, all of whom have received the necessary training. A corps of 9 Work Study Advisors are to be retained in the department to 
perform a co-ordinating function and to perform the Premier’s function of transferring functions from one department to another, if the 
situation arises. The Job Evaluation function will remain centralised within the Department pending the building of the necessary capacity 
as well as the development of the requisite policies for each department.

The reason for the marginal decline in the budget for this Branch despite the decentralisation process which is underway in some of its 
Divisions, is that 9 posts have been filled under the Directorate: Administrative Evaluation, which remains centralised. The Cabinet 
Secretariat, which has since been relocated to the Office of the Director-General, is also still budgeted for in this Branch.

In the year ahead high priority will be given to evaluating vacant posts in the establishment of the Provincial Administration, with a view 
to determining which of them would need to be filled as a matter of priority to achieve the Government’s service delivery and economic 
development targets.

The 2000/01 financial year will also see greater focus by the Job Analysts and Work Study personnel on monitoring and evaluating 
performance and its impact on service delivery. The suitability of present administrative systems of the Provincial Administration (for 
example as regards the processing of voluntary severance packages, leave, and so on) will also be assessed.

PROGRAMME 3: POLICY RESEARCH, PLANNING AND STRATEGY DEVELOPMENT

Mr Speaker and Honourable Members, I am sure you will agree with me that the need for the enhancement of the policy-making capacity and 
implementation monitoring systems of our Provincial Government cannot be greater. This is more so when considering the fact that a window 
of opportunity has been presented through the active and concrete support given by the President for the implementation of the Integrated 
Rural Development Programme. The fact that our Province is one of the major beneficiaries targeted for the programme renders this task even 
more urgent.

In order to ensure readiness on our part, we will thus be strengthening the Branch: Policy Research and Strategy Development by 
streamlining its post structure and functions. The Department will, through the Director-General, also ensure more effective co-ordination 
of the various Provincial Development Clusters, partly by deploying the resources available in this Branch in the form of an effective 
Secretariat. In order to ensure that there is better co-ordination in the Province and that the available resources are used to the best 
advantage of the Government’s development policies, the 2000/01 financial year will also see further progress in the establishment and 
operation of the Inter-Governmental Forum. This Branch will also work closely with the Director-General by providing a professional 
Secretariat function in this regard. This will ensure both vertical and horizontal (i.e. intra-departmental) co-ordination.

An amount of R13,4 million has been set aside for this Branch in the budget for the 2000/01 financial year, which is a decline of 12 per 
cent from the R15,6 million allocated for the previous year. This decline will be offset by the fact that the Branch will not initiate new 
projects during the 2000/01 financial year, but will facilitate, plan and co-ordinate new projects which are being introduced, such as the 
GTZ-funded Rural Livelihoods Programme and programmes initiated by national government. This project will target historically deprived 
rural areas and will identify strategies for ensuring that local communities are actively involved in utilising both local and external 
resources to improve their living standards. A key focus of this project will be to co-ordinate the identification of strategies that 
create an environment conducive for the establishment of viable Small, Medium and Micro Enterprises (SMMEs) in rural areas. The Departments 
of Agriculture, Economic Affairs, Welfare and the sphere of Local Government will be our areas of focus in the co-ordination of these. 
Youth and female-headed households will receive particular attention in the formulation of these strategies.

In implementing the function of co-ordinating the development of policy in the Provincial Administration, in the 2000/01 financial year 
this Branch will continue to give technical support to Provincial planning initiatives such the Task Team on the Provincial Spatial 
Development Plan.

Another critical area in this regard is the process of co-ordinating planning for the Provincial Integrated Rural Development Plan, where 
the Branch will link up with the Department of Agriculture, District Councils and Local Authorities, as well as donor assisted efforts, 
such as the Rural Livelihoods Programme. The experience gained through the Spatial Planning Task Team, especially in the areas of planning 
principles, will be of immense value in this regard. The institutional structure to drive the rural development as well as sectoral 
planning processes is currently being worked out under the auspices of the Office of the Director-General.

A major function of the Policy Research, Planning and Strategy Development Branch is to parastatal bodies through transfer payments. Two 
parastatals, namely the Eastern Cape Appropriate Technology Unit (ECATU) and the Eastern Cape Socio-Economic Consultative Council (ECSECC) 
benefit from these transfers from the Department. It is worth noting that positive developments have taken place in both institutions. 
ECSSEC on the one hand, is currently engaged in the process of increasing its capacity by making appointments into key posts. This will 
enhance the capacity of this institution to assist the Provincial Administration in areas such as policy research. ECATU, on the other 
hand, has embarked upon a rationalisation programme and has undertaken to streamline its operational activities and sharpen its focus. This 
parastatal is also making efforts aimed at decreasing its dependence on government grants.

PROGRAMME 4: COMMUNICATION AND SPECIAL PROGRAMMES

The budget for this Programme for the 2000/01 financial year has increased by 18 per cent, from R5,8 million in 1999/2000 to R7,0 million. 
This reflects the increasing priority being given within the scope of limited funds to the activities relating to Youth, Gender and 
Disabled Persons Affairs. Most of the additional funds will go into personnel expenditure to cover the costs of the filling of a number of 
critical posts in all three sub-directorates. Special Programmes being overtly policy units must be properly staffed for policies to be 
properly developed, monitored and co-ordinated.

The key activities in respect of Youth Affairs for the year ahead include the implementation of the National Youth Policy 2000 in the 
Province. Another priority is the implementation of key aspects of the draft White Paper on the National Youth Service. The main components 
of the policy are to enhance skills, experience, voluntary work and nation building. Once the youth that have been recruited for the 
programme have received the necessary training, they will be issued with accredited certificates. This will assist them in continuing with 
their studies and pursuing their careers.

The activities of the Office on the Status of Women are of an ongoing nature. The programmes being implemented thus apply in most instances 
to both the past as well as the next financial year. Thus, the Campaign on Violence Against Women will continue, and so will activities 
associated with the fight against the spread of HIV/AIDS. Although the implementation of the HIV/AIDS programme in the Province is the 
responsibility of the Department of Health, our Department has set aside a budget of R300 000 as its contribution in this regard. This is 
over and above the personnel and logistical contribution to programmes. Needless to say, this amount will also be ring-fenced within the 
Departmental budget. The Office on the Status of Women is in the process of formulating projects which will input into the Provincial 
HIV/AIDS programme.

Key activities envisaged for the Disabled Persons Sub-Directorate in the year ahead include:

* formulation of a Provincial strategy to implement the Integrated National Disability Strategy throughout the Province. This entails 
giving direction and guidance to various government and non-government structures in the Province on how to integrate disability into 
mainstream programmes, policies and strategies;

* undertaking a Disability Audit within the Provincial public service. This exercise will indicate to the government departments where 
their strengths and weaknesses lie in respect of disabled persons. Proposals would also be made in this process on what steps could be 
taken by Provincial government departments to educate their staff, raise awareness on the issues related to disability and making provision 
for including disabled persons in their programmes and projects.

* speeding up of the development of infrastructure to facilitate access to public buildings by disabled people. Our Province has been 
identified at national government level to pilot this programme. Since our buildings were built with so many stairs, this is going to be a 
big challenge.
I have noted with great concern the fact that the line departments have shown little seriousness in establishing Special Programme Units as 
required in terms of current policy. Females continue to be totally absent in decision-making levels of our Administration. We mean to 
drastically change this situation during the 2000/01 financial year and in future.

With regard to the communication function, a major area of focus by the Branch for the 2000/01 financial year will be the development of a 
comprehensive marketing strategy for the Province. This will be done in close consultation with external bodies such as the Centre for 
Investment and Marketing in the Eastern Cape (CIMEC) and the Eastern Cape Development Corporation (ECDC). The focus of this strategy will 
be to highlight the investment and tourism potential of the Province.

A detailed communication strategy for the Province will also be finalised. The focus here will be to give impetus to the fight against 
corruption in the public service. The Branch is playing a central role in the implementation of tasks related to communication as set out 
in the Anti-Corruption Summit Report. We shall also work out a co-ordinated way of informing the public as one Government rather than in a 
disjointed and sometimes conflicting manner.

Another area of key strategic focus for the Department during the 2000/01 financial year is international relations, in so far as they 
relate to bilateral and multilateral technical and financial co-operation with foreign governments and development agencies.

We will continue to campaign for more friends and goodwill towards our Province. Up to now the departments of our Provincial 
Administration, local Government structures, NGOs and other interested parties in the Province have not taken maximum advantage out of 
twinning agreements and agreements on technical assistance. The Department has, through this Branch, undertaken to strengthen co-ordination 
of donor activities in the Provincial Administration, as well as ensure that donor assistance is utilised in a meaningful and beneficial 
way.

PROGRAMME 5: LEGAL ADVISORY SERVICES

The budget allocation for this programme also shows a slight decline from R1,48 million in 1999/2000 to R1,44 million for the next 
financial year. This might suggest a low allocation for a programme which is one of the priority areas for the department. However, 
staffing is not so much the real problem as it is lack of some of the necessary skills among most of the staff members of the Division, in 
such areas as legal drafting and research. The Department has nonetheless already started a process of filling two key posts of Senior 
State Law Advisor, utilising savings from the budget of the 1999/2000 financial year. Training will be organised during the 2000/01 
financial year under the Departmental Training Programme for which 0,5 per cent of the budget has been allocated, as alluded to earlier.

The activities of this Division are of an ongoing nature. It provides legal support to all departments of the Provincial Administration. 
High priority will be given in the 2000/01 financial year to ensuring that the Division is capable of effectively co-ordinating the 
processing of legislation in the Provincial Administration. Stepping up of the pace of piloting draft laws through the various stages of 
the prescribed process will be the main area of focus in this regard. This programme will be implemented in tandem with the efforts aimed 
at strengthening the legislative capacity of the Provincial Government which are being co-ordinated under the auspices of the Cabinet 
Committee on Legislation. This Division will also assist both the Budget Committee as well as the Cabinet Committee on Legislation in the 
costing of the intended legislation.

PROGRAMME 6: HUMAN RESOURCE MANAGEMENT

The budget for this Programme shows an increase of 22 per cent, from R6,1 million in 1999/2000 to R7,6 million for the 2000/1 financial 
year. This is explained by increases under the standard items: administrative expenditure and equipment. Expenditure in these items will 
increase substantially in the coming financial year, in line with increased activity in training programmes, activities under the Labour 
Relations Directorate, as well as other human resource development functions.

In the quest to improve human resource management practices, the Provincial Administration has, through the Department, obtained assistance 
from the Swedish International Development Agency (SIDA). The overall objective of the programme is to build capacity in the human resource 
management personnel as well as to assist the transformation process through the implementation of the Public Service Act and the New 
Regulations.

The Provincial Administration will also receive assistance from the Department for International Development (DFID) of the United Kingdom. 
The focus of this assistance will be to strengthen the Office of the Premier in order to enable it to carry out its co-ordinating mandate 
more effectively.

Another key focus for the 2000/01 financial year will be the development of a new performance management system that simplifies the 
collective agreement on disciplinary procedure and incapacity, overtime remuneration, affirmative action, and the management of leave.

Aspects of the following functions are to be decentralised in line with the Public Service Act, to the various Provincial departments 
during the 2000/01 financial year:

* the human resource management information system (i.e. PERSAL), with the Department only retaining the function of user support and co-
ordination;

* training, with the Department retaining the policy and co-ordinating function; and

* the Employee Assistance Programme (EAP), with the Department retaining the co-ordinating function.

Arrangements for managing the decentralisation process have begun in respect of the training function, whilst the other components are 
expected to start the process as from April 2000.

The Office of the Premier is also assisting all Provincial government departments with the development of performance management system.

Policy with regard to personnel who are additional to the authorised establishment is being developed at the national government level. The 
Provincial Administration will shape its programme for dealing with this personnel on the envisaged national policy.

With a view to further developing and maintaining sound labour relations, key activities over the next year will be:

* firstly, to develop and evaluate Provincial Labour Policy in the light of the Labour Relations Act. This will ensure uniformity in 
handling labour matters at Provincial as well as national level;

* secondly, efforts will be made to build capacity in the Provincial Administration among departmental labour relations officers to ensure 
that labour relations matters are handled more efficiently and pro-actively; and

* thirdly, Provincial and departmental bargaining structures will be restructured and/or developed in line with existing collective 
agreements.

With regard to the transformation function, over the next year the Office of the Premier will, through the Inter-Provincial Support 
Programme (IPSP) make a concerted effort to develop a Provincial programme for transformation. This programme will take into cognisance the 
existing Service Delivery Improvement Plans of all Provincial departments compiled during the past year as part of the Integrated 
Implementation Programme (IIP). One of the major projects in this regard will be the acceleration of service delivery through re-
engineering of the administration and management of the Department of Welfare. The Social Needs Cluster will also receive assistance 
through the development of its transformation plan.

PROGRAMME 7: INFORMATION TECHNOLOGY

The budget allocation for this programme has decreased from R20,8 million in 1999/2000 to R18,0 million for the 2000/1 financial year. This 
represents a decrease of 12 per cent from the previous year. In the light of the fact that the budget allocation for this programme has 
been declining since the 1998/99 financial year, the Department has taken steps to curtail expenditure with the intention of avoiding over-
expenditure. The most decisive step undertaken by the Department in this regard is that, as from the beginning of the 2000/01 financial 
year, all departments will be responsible for meeting the costs of such services as cabling, network infrastructure and the installation of 
diginet lines.

The costs of PERSAL processing as well as PERSAL consultants has been taken over by the Department of Finance and Provincial Expenditure. 
These services have been accounting for a substantial proportion of the IT budget. The Department will assist other Provincial departments 
by making available its personnel and other resources, providing administrative support as well as by interacting with external service 
providers. The following functions will remain with the Department: running systems which are located within the Provincial main frame such 
as printing of FMS reports, cheques, PERSAL reports, social security pension cheques, and examination reports. The Department will also be 
responsible for the administration and maintenance of the network, cabling contracts, software licenses, and maintenance of hardware, 
concentrating on the Provincial main frame.

The National Department of Public Service and Administration is facilitating the transfer of the Provincial IT services to the State 
Information Technology Agency (SITA) in terms of an agreement between the Premier and the Minister of Public Service and Administration. 
This agreement paves the way towards full participation of the Province in SITA.

Another key activity in the IT field that will be implemented during the 2000/01 financial year will be the implementation of the new 
Auditor-General’s recommendations on computer controls.

PROGRAMME 8: INTERNAL AUDIT

As mentioned earlier, the operationalization of the Internal Audit function is the number one priority of the Department for the 2000/01 
financial year. It is also a key element in the Provincial Anti-Corruption Strategy whose implementation is being co-ordinated by the 
Department. It is therefore in this spirit that this Division has received the largest increase in its budget for the 2000/01 financial 
year. The increase, which amounts to 35 per cent, takes the budget of this Division from R1,2 million in 1999/2000 to R8,3 million in 
2000/01.

The process of establishing the Eastern Cape Provincial Audit Committee (ECPAC), which is being driven by the Director-General, is at an 
advanced stage. This is a very important independent body, which will report to the Provincial Legislature and will be governed by the 
Provincial Audit Charter. The drafting of this Charter is also at an advanced stage.

High priority will be given to the appointment of key staff over the next year (i.e. 2000/01) within available budget limits. Whilst the 
process of staffing is underway, some of the work of this component will be out-sourced. It is expected that the Division will be able, as 
from the first three months of the new financial year to conduct risk assessment, inspections and investigations, targeting known problem 
areas. Training of staff will also be a priority for the coming year.

Through its newly-appointed Chief Director, the Division will also liaise closely with the Office of the Provincial Auditor on matters 
relating to the external audit of the Provincial Administration.

CONCLUSION

Mr Speaker, Ladies and Gentlemen, we have spelt out a number of key priorities and output areas for the coming financial year. We believe 
that, having conducted a thorough analysis of the financial situation prevailing at this point in time, we have undertaken to distribute 
our share of the Provincial budget in a manner that will make a meaningful contribution towards the improvement of the functioning of our 
administration. At all times we have kept the identified priorities of Government in mind.

We have also endeavoured to keep sight of the focus of our responsibility as a Government, which is to improve the living conditions of our 
people through effective service delivery. We are confident that, in the 2000/01 financial year we will demonstrate our ever-increasing 
capacity to perform our leadership role in the Provincial Administration with diligence and integrity.

I thank you

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