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The Gauteng Premier’s Coordinating Forum (PCF) met today to strengthen coordination and implementation of strategies to address poverty, unemployment and inequality in the Gauteng City Region.

The PCF comprises of Members of the Executive Council, Mayors, Members of Mayoral Committees, and a provincial representative of the South African Local Government Association. The meeting focussed on the Economy, Infrastructure, Climate Change, Municipal Finances, as well as migration and management of urbanisation.

The State of the Gauteng Economy

The meeting discussed the economic outlook of Gauteng as well as ways to improve its economic performance and job creation. It was noted that overall economic performance of the province is vulnerable, however it is expected to post a growth of 1,3% in the current financial year.  The PCF agreed that one of the most effective ways of re-igniting the Gauteng economy and creating jobs was to strengthen investment in infrastructure.

Public Transport and Roads, which includes the expansion of the Gautrain, the PWV 15 and 14, Bus Rapid Transit Busses, Freight and Logistic, Aerotropolis, Water and Energy Security, ICT and Broadband, Mega Human Settlements, Kopanong Precinct and Inner City Regeneration were identified as areas that could improve and create the much-needed jobs.

Currently, there are 1 500 planned infrastructure projects, across Gauteng totalling R 33 billion per year. However, a large number of these projects are not being implemented, resulting in slower economic growth and job creation. The meeting, therefore, committed all City Region governments to fast track the delivery of infrastructure.

On transport, the meeting received a report on the establishment of a Transport Authority for the Gauteng City Region. The immediate task of the Transport Authority is to establish a single ticket for all public transport modes in Gauteng. This system is now being implemented in the City of Tshwane. The PCF encouraged the rest of the cities to fast track the implementation of this decision.

The Transport Authority will also ensure that municipalities move with speed in the implementation of the remaining phases of the Bus Rapid Transport Systems across the City Region.

Climate Change

The Gauteng Province has been affected by unprecedented levels of flash floods which have affected the residents negatively. The meeting agreed on the need to ensure that there is a coordinated response to these, including coordinated disaster management strategies. In line with the commitment of the Paris Agreement on climate change, Cities and Mayors recommitted to implement the climate change agenda.

This includes investing in the green economy across the Gauteng City Region. The meeting also congratulated Mayor Msimang on being elected to serve in the ICLEI Africa, an international body that deals with the contribution of local governments towards the amelioration of climate change.

Municipal Finances

The meeting also discussed the state of municipal finances. Gauteng Municipalities have a collective budget of R125 billion in the current financial year. The meeting noted with concern, the low expenditure on Capital Expenditure – averaging around 5% especially in the Metros. The combined Capex budget for municipalities is about R20 billion. The Mayors committed to expediting the delivery of infrastructure as this will have a big impact on job creation.

Municipal debt also featured prominently during the discussions. It was reported that the total debt owed to municipalities in Gauteng is R 53 billion, 80% of which is owed by private households. We encourage citizens and the private sector to settle their debt in order for municipalities to be financially viable and in order to provide services to communities.

The meeting also agreed to support distressed towns and cities. This includes working with the mining houses and the chamber of mines to find lasting solutions to job creation. It also noted that the weak economy affects the revenue base of municipalities as well as the ability of households to pay for services. The meeting stressed the need to collect revenue from those who can afford.

It was also agreed to strengthen efforts to fight corruption and build ethical leadership at all levels of governance within the Gauteng City Region.

Issued by Gauteng Provincial Government