Issued by: Ministry in the Office of the President
OVERWHELMING DEMAND FOR MUNICIPAL SERVICES RESULTS IN MORE RDP FUNDING
An overwhelming demand for municipal services in developing communities throughout South Africa has resulted in the national RDP office committing an additional R700 million to the programme, Minister Without Portfolio Jay Naidoo said today.
Earlier this month, Naidoo announced that R750 million had been allocated to the Constitutional Affairs Department of the upgrading of municipal services in 614 communities.
"We are informed that the applications for funding of municipal services to the provinces has been so large - and justified - and moving so quickly and efficiently that we decided to extend the programme by another R700 million," Naidoo said.
This would be funded from the existing RDP budget, but from money originally earmarked for the Department of Housing and now reallocated to the Department of Constitutional Development.
Constitutional Development Director: Local Government Facilitation Richard Kruger said that applications for funding for municipal services upgrades had "exceeded allocations by far.
"For example, KwaZulu Natal was only allocated R149 million for this programme. But we received applications for R1,5 billion."
Similarly, Kruger said, Gauteng had been allocated R86 million but applications worth R2,5 billion had been received.
"Mpumalanga was allocated R49 million but we had already received applications for R71 million before it was even allocated any money! The Western Cape received applications totaling R600 million but were only allocated R52,8 million to fund the projects," he said.
Even with the new R700 million allocation, South Africa would still need to find billions of rands to fund the backlog of municipal services, Kruger said.
Work on municipal services upgrades had already begun in every province, with the exception of KwaZulu Natal where work was expected to begin shortly.
"It takes time to identify projects, to consult communities on their priorities, to get the project and funding approved before tenders can be put out, approved and work started," he said.
Specialised project management teams will be appointed soon to manage the billion rand programme, Kruger said. The teams will be on site by the beginning of January and would assist in implementing the individual projects in each province.
Naidoo said the R1,45 billion municipal services upgrade programme was expected to bring basic water services, sanitation, new roads and new sporting facilities to more than 1 000 developing communities around the country.
"The lives of some 3,5 million people will be positively affected by this programme," Naidoo said.
He commended provincial governments who, in working with the National Department of Provincial and Local Government Affairs, have been able to translate RDP philosophy and vision into reality and delivery would benefit from the allocation of funding from the national RDP coffers.
"Ultimately, the real beneficiaries are not line departments or the RDP office but the people from disadvantaged communities whose lives are being improved by the projects being funded throughout the GNU's RDP programme," he said.
ISSUED BY: Mandy Jean Woods Director: Communications Ministry in the Office of the President
Pager: (011) 804-2777 code 71799 Phone: (012) 341-5569 Fax: (012) 341-5569 ext 203
FOR FURTHER INFORMATION PLEASE CONTACT MANDY JEAN WOODS IN PRETORIA OR RICHARD KRUGER AT PHONE (021) 421-1454