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Articles in category: Public Sector
Government departments and state entities have come under fire from the Auditor-General for poor performance and failing to jack up their systems to comply with the law in the issuing of tenders.
This was after Auditor-General Kimi Makwetu found that only 25 percent of departments and entities received clean audits during 2013/14.
Makwetu, who was releasing the report on the performance of departments at national level and provinces in Parliament on Wednesday, said it was perturbing that 72 percent of the departments and entities did not comply with the law when it came to supply-chain management.
REMGRO executive chairman Johann Rupert launched a downbeat diatribe against the government at the company’s annual general meeting on Tuesday.
Mr Rupert also criticised the government at last year’s meeting, telling his audience that he wondered how people did business in SA where red tape and corruption were "pervasive".(Read Full Article)
WOULD Transnet Freight Rail CEO Siyabonga Gama have joined the state-owned rail company if he had known how tough the job would be?
These days, as Transnet posts massive profits and tonnages continue to rise, it would be easy to say yes.
It has not always been this way, however. Transnet and its bloated, inefficient forebears have long been easy targets for being more about sheltered employment than providing a freight transport service that customers wanted(Read Full Article)
THE importance of public-private partnerships is a prevalent theme of the National Development Plan. Such a partnership is already taking place at the very highest level between business and government with dedicated task teams working behind the scenes to tackle difficult issues of the NDP, says Leslie Maasdorp, CEO of education group Advtech who is extensively involved in the process.
Progress is slow, concedes Cas Cavoodia in a presentation in August. Cavoodia, as acting head of Business Unity SA (Busa), is co-ordinating business’ engagement with government.(Read Full Article)
Trade and Industry Minister Dr Rob Davies reiterated on Tuesday that the procurement of goods that conform to local content requirements was not just a recommendation for State entities but a legal requirement.
During a Portfolio Committee on Trade and Industry briefing, he noted that all organs of State were obligated to procure goods that were on the designated list and that conformed to local content requirements.(Read Full Article)
South Africa plans to spend $2.2-billion over two years to buy HIV/AIDS drugs for public hospitals, a government minister said on Monday, as a study shows the prevalence of the virus is rising.
Speaking at a manufacturing plant of drugmaker Aspen Pharmacare, Trade and Industry Minister Rob Davies said the government aims to buy three quarters of the drugs from local manufacturers.(Read Full Article)
The Gauteng Provincial Government has announced that the upgrade of Cedar Road in Fourways, Johannesburg with an estimated value of R50 million is the pilot project for the new open tender process.
The pilot project was officially unveiled by Gauteng MEC for Finance, Barbara Creecy, and MEC for Roads and Transport, Ismail Vadi on Monday to restore public confidence in the provincial government’s tender processes.
The two provincial departments are piloting new steps to improve transparency of the process and compliance with supply chain management provisions of the Public Finance Management Act.
Central to this is the decision to ...
Governments, academics and tech gurus over the last couple of years have been transfixed with the prospect that better and bigger data can help us solve the world’s more entrenched problems – including corruption and poverty. The United Nations has also caught on to this trend and yesterday released a report, compiled by experts, which […](Read Full Article)
LACK of oversight and compliance and the high cost of local goods are some of the hurdles hampering government’s local procurement drive, says Leslie Sedibe, CEO of Proudly SA, a "Buy Local" marketing initiative.
Speaking at a local procurement conference, held in partnership with the Congress of South African Trade Unions (Cosatu) in the Western Cape on Tuesday, Mr Sedibe said that some local, provincial and national departments were effectively breaking the law by not adhering to the local procurement policies put in place by government.(Read Full Article)
The internal strife at SAA is attributed by insiders to battles over procurement and contracts.
SOUTH African Airways (SAA) chairwoman Dudu Myeni on Monday defied Public Enterprises Minister Lynne Brown’s instruction to immediately reinstate CE Monwabisi Kalawe, whom Ms Myeni suspended suddenly last week.
Ms Myeni’s refusal to co-operate with Ms Brown is the latest development in a boardroom battle at the airline in which Ms Myeni has found herself pitted against most of her former board colleagues, as well as Mr Kalawe. On Monday, a spokesman for Ms Brown, Colin Cruywagen, said she had requested written reasons ...(Read Full Article)
Public service innovators gathered at Emperor's Palace, in Kempton Park, on Friday evening to be honoured for their innovations.
The 12th Public Sector Innovation Awards featured among others innovations that improve service delivery, use Information Communication and Technology (ICT) for effective service delivery and innovations that enhance internal systems of government.
Minister of Public Service and Administration, Collins Chabane, told innovators gathered at the awards ceremony that their innovations dispel the myth that public servants are lazy and incompetent people who can't come up with creations to improve service delivery.(Read Full Article)
The Department of Small Business Development is working towards reversing the high failure rate of new small businesses.
Government has proposed a new framework for funding state-owned companies, which will include closer monitoring of such entities.
In the Medium Term Budget Policy Statement (MTBPS) tabled in Parliament on Wednesday, National Treasury has said that state-owned companies and public entities play important roles in realising government’s economic and social mandate.
These entities need to be financially sound and operationally effective, contributing to development without draining the fiscus.
“Government is proposing a new framework for funding state-owned companies that will distinguish purely commercial activities from the costs of exercising their developmental mandate,” said National Treasury in the MTBPS.
Knock-on effects include inability to repay loans and to obtain tax clearance certificates for tendering purposes(Read Full Article)
Starting tomorrow a group of government officials and experts belonging to the world’s leading anti-money laundering organisation – the Financial Action Task Force (FATF) – will be meeting in Paris. On the agenda is the adoption of a document on an issue that has major implications for the fight against crime, corruption and tax evasion around the world.
It’s a shame nobody outside of this small circle of experts from governments and international organisations has had a chance to see the document before it comes out.
According to the FATF website, at its upcoming plenary meeting the organisation will adopt ...(Read Full Article)
The South African economy is stuck in first gear. Slow economic growth, high levels of unemployment and high inflation is likely to continue for some time.
With South Africa facing such difficult economic circumstances, it is expected that in his Medium Term Budget Policy Statement on Wednesday, the Minister of Finance, Nhlanhla Nene, is going to face significantly reduced revenue in his budget. There is therefore every possibility of cuts to the budget, or a dramatically increased budget deficit.
We would never have been in our current fiscal situation if government was able to curb wasteful expenditure. The SIU estimates ...(Read Full Article)
Opposition political parties believe the government must provide financial assistance to the South African Post Office (Sapo), a sharp departure from their usual stance that there should be no further bail-outs for state-owned companies.Both the Democratic Alliance (DA) and the Freedom Front Plus (FF+) say that the withdrawal of the government subsidy for Sapo for it to fulfil its universal service obligations — particularly in unprofitable rural areas — has contributed to its financial malaise. But they stressed that mismanagement and corruption have also played a part and had to be dealt with(Read Full Article)
ROSATOM, the state-owned Russian nuclear company, spent on Thursday afternoon trying to disown its earlier claim of having been awarded a contract to build SA’s proposed fleet of power stations.
The company blamed a poor translation for its late September statement in which, quoting South African government officials, it said it had been granted the right to build a fleet of nuclear power stations for SA.
The news that Russia would build nuclear power stations came as a surprise as no announcement had been made by the government that it had begun any tender process to procure the 9 ...(Read Full Article)
Entrepreneur forced to sell up and move in with his grandmother in Soweto because government failed to pay him on time.
Although the government is big on promoting small businesses and creating jobs, it kills small businesses and loses jobs because of slack paying.(Read Full Article)
UK government to introduce common principles for infrastructure procurement to promote best practice
The UK government is introducing new infrastructure procurement principles, for projects such as the Thames Tideway Tunnel, to address industry concerns about inconsistency.(Read Full Article)
A review has uncovered R34.9 billion (£1.9 billion) of “irregular expenditure” around public works in South Africa.
Issues that have been uncovered by the review included tenders not being advertised properly, a minimum number of quotations not received, emergency procurement used for non-emergency situations, lowest quotes not being selected, incomplete documentation and incorrect approvals.Issues that have been uncovered by the review included tenders not being advertised properly, a minimum number of quotations not received, emergency procurement used for non-emergency situations, lowest quotes not being selected, incomplete documentation and incorrect approvals. - See more at: http://www.supplymanagement.com ...(Read Full Article)
African governance standards are gradually improving but there are warning signs of backsliding.
The Ibrahim Index of African Governance ranked Somalia lowest, coming bottom in all four categories: safety and rule of law, participation and human rights, sustainable economic opportunity and human development.
Mo Ibrahim, the Sudanese telecoms tycoon who founded the index, welcomed the fact that 13 of the 52 countries had improved in overall governance as well as political, social and economic governance over the past five years.
"Africa is rising but it’s rising slowly," he said.(Read Full Article)