Transcript Document
Accelerated Infrastructure & Service Delivery (Coverage, Quality, Sustainability) Presentation at Roundtable Discussion between Minister Mufamadi, MECs, Mayors and Coucilors, and Line Departments Gallagher Estate, Midrand 23 March 2007 1 Outline • Background – – – Vision 2014 Infrastructure services backlogs Current governance, socio-economic context • Achievements • Problem Statement • MIG performance and implications • Interventions • Recommendations 2 BACKGROUND 3 OUTCOMES & TARGETS Sustainable Human Settlements, Local Economies & Livelihoods South Africa Vision 2014 • • • • • • • • Eradication of sanitation buckets Access to portable water Access to sanitation Infrastructure for FIFA World Cup Universal access to electricity Halve poverty and unemployment Upgrade all informal settlements Accelerated housing delivery 4 2007 2008 2010 2010 2012 2014 2014 2014 Water Backlogs - April 2006 Province EC FS GP KZN LIMPOPO MP NC NW WC N AT ION AL Popula tion 6,388,295 2,771,534 10,593,023 10,444,074 5,291,458 3,616,138 1,006,468 3,410,280 5,083,373 48,604,643 H ouse holds 1,581,092 787,996 3,319,098 2,422,169 1,242,909 886,876 260,875 916,584 1,384,824 12,802,423 W a te r % Be low Amount to Era dica te Ba cklogs D W AF April R D P W a te r Ba cklogs (ba se d on Hh R 6000 unit cost) 2006 369,781 23.4% R 2,218,686,000.00 59,540 7.6% R 357,240,000.00 683,026 20.6% R 4,098,156,000.00 553,606 22.9% R 3,321,636,000.00 346,114 27.8% R 2,076,684,000.00 171,586 19.3% R 1,029,516,000.00 29,259 11.2% R 175,554,000.00 160,410 17.5% R 962,460,000.00 59,086 4.3% R 354,516,000.00 2,432,408 19.0% R 14,594,448,000.00 Source: Department of Water Affairs and Forestry, April 2006 *Unit cost data is derived from Service Levels Policy Document 5 Sanitation Backlogs – April 2006 Province EC FS GP KZN LIMPOPO MP NC NW WC N AT ION AL Popula tion 6,388,295 2,771,534 10,593,023 10,444,074 5,291,458 3,616,138 1,006,468 3,410,280 5,083,373 48,604,643 H ouse holds 1,581,092 787,996 3,319,098 2,422,169 1,242,909 886,876 260,875 916,584 1,384,824 12,802,423 % Be low Amount to Era dica te Sa nita tion RDP Ba cklogs (ba se d on D W AF April Sa nita tion H h R 3000 unit cost*) 2006 629,385 39.8% R 1,888,155,000.00 281,242 35.7% R 843,726,000.00 1,424,034 42.9% R 4,272,102,000.00 732,046 30.2% R 2,196,138,000.00 757,369 60.9% R 2,272,107,000.00 385,256 43.4% R 1,155,768,000.00 64,472 24.7% R 193,416,000.00 363,673 39.7% R 1,091,019,000.00 98,530 7.1% R 295,590,000.00 4,736,007 37.0% R 14,208,021,000.00 Source: Department of Water Affairs and Forestry, April 2006 *Unit cost data is derived from Service Levels Policy Document 6 Bucket Backlogs – April 2006 P rovince EC FS GP KZN LIMPOPO MP NC NW WC N AT ION AL P opula tion 6,388,295 2,771,534 10,593,023 10,444,074 5,291,458 3,616,138 1,006,468 3,410,280 5,083,373 48,604,643 H ouse holds Sum of Bucket Backlog 2005 1,581,092 70,439 787,996 131,562 3,319,098 7,184 2,422,169 1,508 1,242,909 80 886,876 19,628 260,875 21,697 916,584 36,178 1,384,824 3,612 12,802,423 291,888 Bucke ts a s a t April 2006 (Forma l a nd Informa l se ttle me nts) 61,207 88,630 2,264 881 14,348 12,318 28,296 3,564 211,508 Sum of Historical Buckets in Formal Housing Areas May2006 41,656 102,142 1,325 0 0 0 7,321 26,299 1,869 184,047 Source: Department of Water Affairs and Forestry, 2005 data, April 2006 and May 2006 The "historical" buckets excludes buckets in informal settlements as these first have to be formalized (land rezoning and housing) before permanent services can be installed 7 Electricity Backlogs – March 2006 Amount re quire d to e ra dica te the ba cklogs P rovince EC FS GP KZN LIMPOPO MP NC NW WC N AT ION AL % E le ctricity Backlogs as on March D ME 2006 with H ouse holds ba cklogs 2% growth U rba n R 3100/ H h Ma rch 2006 per year. unit cost 6,388,295 2,771,534 10,593,023 10,444,074 5,291,458 3,616,138 1,006,468 3,410,280 5,083,373 48,604,643 707,459 201,310 649,732 836,551 364,860 232,239 55,974 200,650 166,196 3,414,971 11% 7% 6% 8% 7% 6% 6% 6% 3% 7% R 2,193,122,900.00 R 624,061,000.00 R 2,014,169,200.00 R 2,593,308,100.00 R 1,131,066,000.00 R 719,940,900.00 R 173,519,400.00 R 622,015,000.00 R 515,207,600.00 R 10,586,410,100.00 Source: Department of Minerals and Energy, March 2006 *Unit cost data is derived from Service Levels Policy Document 8 R ura l R 3600/ H h unit cost R 2,546,852,400.00 R 724,716,000.00 R 2,339,035,200.00 R 3,011,583,600.00 R 1,313,496,000.00 R 836,060,400.00 R 201,506,400.00 R 722,340,000.00 R 598,305,600.00 R 12,293,895,600.00 Refuse Removal Backlogs 2001 P rovince Own re fuse dump N o rubbish disposa l EC 14,671.00 8,164.00 FS 193,159.00 70,804.00 GP 314,589.00 96,199.00 KZN 849,597.00 222,807.00 LIMPOPO 801,551.00 186,145.00 MP 418,450.00 84,973.00 NC 42,600.00 6,478.00 NW 464,748.00 69,302.00 WC 78,197.00 6,332.00 N AT ION AL 3,177,562.00 751,204.00 Source: Statistics Census 2001 9 T ota l R e fuse re mova l ba cklog Ce nsus 2001 22,835.00 263,963.00 410,788.00 1,072,404.00 987,696.00 503,423.00 49,078.00 534,050.00 84,529.00 3,928,766.00 Governance Context • Second Decade of Democracy (2004-2014): Consolidation and sustainability of local sphere of government and IGR crucial for: – Medium-Term Strategic Framework (MTSF) – Accelerated and Shared Growth Initiative (ASGI-SA) – National Spatial Development Perspective (NSDP) Project Consolidate Presidential Imbizos IDP Hearings 2005/6 Performance and accountability of individual spheres of government and departments is paramount in the 2nd decade of democracy Spheres and departments ability to act in relation to each other around a shared development vision of the 52 district and metropolitan regions is key 10 Socio-Economic Trends • Increasing demand for decent housing and services driven by combination of: – Population growth – Decrease in household size – Splitting of households between rural and urban areas • Increase in number of people entering the employment market is faster than the rate at which new jobs are created • Youth employment is crucial factor for social stability • 68% of population expected to be urbanized over next decade; urbanization rate 2,8% per year. • Poverty in both urban and rural areas - South African cities generate 80% of the country’s wealth whilst 40% of urban residents live below the poverty line. 11 ACHIEVEMENTS 12 ACHIEVEMENTS Major progress in improving the lives of the poor - 11 million people have access to social grants, and by 2006 we reached the millennium development goal for basic water supply • • Housing Delivered some 2,3 million houses to the poor with secure tenure, water and sanitation since 1994 This is a significant achievement in working towards the achievement of the MDGs and national delivery goals. • • 13 MIG Since inception of MIG in April 2004 over 750 000 households serviced for water, close to 300 000 for sanitation, over 500 000 for municipal roads, 84 000 for storm water, and 193 000 for street/community lighting. This is a significant achievement especially if the achievements of the forerunner to MIG (CMIP) are added to this and the overall contribution of municipalities to local service delivery is taken into account in an environment of massive local government transformation since 1994. PROBLEM STATEMENT 14 Problem Statement • The scale, pace, coverage, quality and sustainability of infrastructure and service delivery is not good enough to address the nature and extent of the needs of our communities. 15 Shared Vision - Current Situation Performance of functions by all three (3) spheres of government in a municipal demarcated space is not mediated by a shared spatial development vision of the area. Inefficient spatial form and land use system R-National R-Provincial Weak direction for integrated infrastructure delivery 16 R-Metro/ District R-Local Municipality Weak localisation of national/provincial economic development targets and programs Where we want to be? Shared vision and joint planning of sustainable human settlements for each of 52 district and metro municipal regions. Robust and inclusive local economies. R-National R-Provincial R-Metro/ District R-Local Municipality IDP •Government owned IDP •Spatial impact maximised •Local responsive government •Service delivery and local economic development enhanced 17 How do we get there? • • • Relate sectoral/functional performance to spatial outcome performance Mutual acceptance of plans (PGDS-IDP) that guide sector plans and actions Integrated funding mechanism (MIG and housing subsidies) R-National R-Provincial R-Metro/ District R-Local Municipality IDP •Government owned IDP Settlement & Capital Infrastructure Plans •Spatial impact maximised •Locally responsive government •Service delivery and local economic development enhanced 18 State of Nation Address 2007 • Harmonize planning across the three spheres of government • Improve statistical database – community survey 2007 • Millennium Development Targets, and eradication of buckets in established settlements by end 2007 • Increase pace of housing delivery • Intensify community outreach activities including izimbizo and extend coverage of multi-purpose community centres 19 State of Nation Address 2007 • Urgently fill vacancies in municipalities • Improve effectiveness of anti-corruption strategy across all three spheres of government • Roll-out Batho Pele campaign at local government level • Maximise benefits of growing economy by intensifying second economy programs including: – – – – micro-finance, cooperatives national youth service, expanded public works, communal land rights effective involvement of the institution of traditional leadership in governance and development processes. 20 State of Nation Address 2007 (South African Women in Dialogue, drawing on experience form Tunisia and Chile) • Define clearly the poverty matrix of our country; • Develop a proper database of households living in poverty; • Identify and implement specific interventions relevant to these households; • Monitor progress in these households as the programmes take effect in graduating them out of poverty; • In this context, address all indigence, especially the high numbers of women so affected; • Co-ordinate and align all anti-poverty programmes to maximise impact and avoid wastage and duplication; and • Accelerate the training of Family Social Workers at professional and auxiliary levels to ensure that identified households are properly supported and monitored. 21 MUNICIPAL INFRASTRUCTURE GRANT (MIG) 22 MIG Spending Trends 2004/05 2004/05 2005/06 2005/06 2006/07 2006/07 March June March June Feb June 78% 97% 73% 96% 64% ? R3,95 (bn) R5,22 (bn) R4,01 (bn) ? R3,45 R4,31 (bn) (bn) 23 MIG Performance – Financial • The MIG formula provides for: – B-Component (Basic Residential Infrastructure - Water & Sanitation, Roads and other (solid waste, refuse removal and street /community lighting). – The formula allocates 75 percent of the total MIG funds to the Bcomponent. This component consists of proportional allocations for water supply and sanitation (72 percent), roads (23%) and 'other' (5 percent). – P-Component (public municipal service - Sport and recreation, parks, multipurpose community Centres, taxi ranks, etc). The formula allocates 15 percent of the total MIG funds to P-component. – E-Component which is an allocation for infrastructure for social institutions and micro-enterprises (cemetery, local amenities, markets and etc) and the formula allocates 5 percent of total MIG funds to this component. – N-Component which is allocated to nodal municipalities (urban and rural nodes) – Allocated 5 percent of total MIG capital 24 MIG Performance – Financial • The actual expenditure per service indicates that R11,2 billion from the allocation of R16 billion has already been spent by municipalities since the start of MIG in 2004/05 to end September 2006 (2004/05, 2005/06, and second quarter of 2006/07) • Of the R11,2 billion spent: – Water received the largest share at R4,5 billion or 40 percent, – Roads, storm water and side walking second largest beneficiary at R2,8 billion or 25 percent. – Sanitation is the third largest beneficiary of MIG funds at R2,6 billion or 23 percent of the funds already spent since 2004/05 financial year. – Municipalities Spent R333 million on solid waste disposal sites and refuse removal – R304 million was spent on Street/community lighting. • The bulk of MIG funds was spent on the B-component (more than 90 25 percent) MIG Performance – Financial • Expenditure on the P-Component where sport and recreation and multi-purpose community centres are located is a major cause for concern. • An amount of R187 million was spent on sport and recreation as well as multi-purpose community centres • The bulk of R187 million spent on sports and recreation (sports centres and fields) is expenditure by metropolitan municipalities and other urban municipalities • An amount of R367 million was spent on other municipal infrastructure such as cemeteries, fencing, and infrastructure to small business, tourism facilities, taxi ranks, fire fighting, facilities for animal, local amenities, municipal health services, municipal abattoirs, disaster management facilities, and project management units. 26 Challenges: MIG • • • • • • • • • • • Lack of project management capacity to manage MIG projects Lack of proper planning: project life cycle Late submission and approval of technical reports and Environmental Impact Assessments Inclement weather conditions Late registration of MIG projects Lengthy procurement process due to implementation of the supply chain management regulations Overlapping financial years? Lack of multi-year capital budget approvals Appointment of service providers who cannot deliver Council decisions take too long to approve projects and budgets Unprocedural selection and changes to projects outside of IDP process 27 Implications of Ineffective Utilisation of Grants • Application of the DORA provisions for withholding, stopping and reallocations of funding • Enforce compliance with DORA • Enforce accountability by municipal accounting officers • Use available funds in the most efficient manner to eradicate backlogs, taking cognisance of sector targets • Incentivise performance 28 Implications of Ineffective Utilisation of Grants • Not meeting the service delivery targets as set out by government • Poor forward planning, inconsistent project identification, and weak communication with communities on infrastructure and service delivery roll-out results in a breakdown of trust. • A more rigorous shared analysis and vision across government is compromised for integrated infrastructure delivery and sustainable human settlements that is responsive to conditions in different municipalities. • There is an urgent need to fill vacancies, constitute effective leadership and management that will lay the basis for closing the infrastructure funding gap and position municipalities for borrowing and public-private partnerships. 29 Interventions Deployments: • 281 experts were deployed in Project Consolidate municipalities. However, indications are that in some cases deployments takes place in a vacuum. • Part of this initiative is the deployment of 45 graduates, and 93 students which were placed by the end of January 2007 • The deployment of engineering capacity to municipalities has made some significant impact on 804 projects in water sanitation, roads and others to the total value of R2 billion. 30 Interventions - Draft Guidelines • Draft Infrastructure Policy Principles for the Sustainable Delivery of Services • Draft Municipal Infrastructure: Roles and Responsibilities of National Sector Departments, Provincial Counterparts and Municipalities • Draft Municipal Infrastructure Support Strategy (Draft documents submitted at the NATIONAL WORKSHOP ON MUNICIPAL INFRASTRUCTURE POLICY PRINCIPLES AND INFRASTRUCTURE SUPPORT STRATEGY 30 & 31 OCT. 2006) 31 Infrastructure Policy Principles for the Sustainable Delivery of Services • Common understanding of the vision of sustainable municipal infrastructure provision and service delivery • Objectives and principles of sustainable municipal infrastructure and service provision • Guide development of various strategies to meet demand in sustainable service provision • Deals with Planning, Asset management, Financing, Infrastructure Implementation, Maintenance and Operations 32 Roles and Responsibilities • National Government – – – – – – – Create overall enabling environment for municipal infrastructure delivery Policy development on municipal infrastructure Macro planning to identify infrastructure and resource requirements (Master Sector Plans) Allocation, transfer and disbursement of government’s contribution towards municipal infrastructure Support all spheres of government in fulfilling their mandated functions on the delivery of municipal infrastructure Monitor and evaluate policy outcomes Communication, public education, outreach 33 Roles and Responsibilities • Provincial Government – – – – – Ensure proper coordination between all municipal infrastructure programmes and sector departments at provincial level Support and monitor the performance of municipalities with regard to infrastructure and service delivery Planning for regional scale infrastructure with line departments and municipalities Ensure that IDPs properly address municipal infrastructure requirements Facilitate alignment between Master Sector Plans and PGDS and IDPs 34 Roles and Responsibilities • Local Government – – Planning and implementing municipal infrastructure Programme based activities • • • – Integrated Development Planning (IDPs) Infrastructure Investment Plans (IIPs) Multi-year budgets (Capital and Operations and Maintenance) Project based activities • • • • • • • • Project idea (rough cost estimate, pre-feasibility) Feasibility (costing and cost/benefit analysis) Business Plan/Registration Project Design Tender Construction Commissioning and operations and maintenance Project evaluation 35 Municipal Infrastructure Support Strategy • Explains developmental objectives of government in delivery of infrastructure and basic services • Explains the roles and responsibilities of sector departments in supporting municipalities during planning and implementation of infrastructure and basic services • Explains multi-dimensional approach and interventions required for supporting municipalities to address infrastructure and basic services – Differentiated support approach • Describes activities required to bring about sustainable and reliable infrastructure and basic service delivery 36 Community participation and communication • Community participation is central to the successful implementation and ownership of infrastructure and basic services delivery. • Sector departments should ensure that communities are informed about different services levels and sectoral standards and norms so that the communities could make informed decisions when participating in the Integrated Development Planning processes. • This approach will enhance community ownership of infrastructure assets to be delivered and payments for services. • Communities should also play a direct role in monitoring the implementation of infrastructure projects and the provision of free basic services. 37 Role of communication in service delivery •Communication is at the core of every social system, it influences all aspects of development work. •Communication is a strategic tool in government to facilitate governance and community input into the organ of delivery •The third sphere is the sphere closest to communities and is at the coal face of service delivery •Communication in local government is critical to highlight key achievements in service delivery, explain challenges, reflect on corrective measures and to mobilise key inputs from communities with respect to infrastructure delivery •The key role of councillors conveying these messages to communities cannot be overlooked Key interventions •Local government communication system provides key support to councillors and ward committees for communication with the citizenry on service delivery •Provincal core teams on local government communication can assist and can be contacted through offices of the Premier, provincial DLGs, Regional GCIS offices and Provincial SALGA offices •Logola Municipal leadership programme makes inputs on capacitation of councillors through communication module in the training •Ultimately the key content driver for local government communication is the 5 year strategic agenda for LG Recommendations General: 1. Recommitment and intensification of joint work by all three spheres of government to achieve vision 2014 and service delivery targets 2. Alignment of Master Sector Plans and PGDS/IDPs National: 3. Intensive and effective participation of sector departments in IDP analysis week (14-18 April 2007) 4. Finalise Master Sector Plans and Sector Support Strategy by May 2007 5. Dedicated support to municipalities to commit 2007/08 MIG allocations – 23 municipalities that have no projects committed – 42 municipalities with less than 50% commitments 6. Upscaling deployment and transfer of skills to municipalities 40 Recommendations Provincial: 7. Utilise provincial grants and funding to achieve sustainable settlements and Upscale own capacity to monitor and support municipalities Municipal: 8. Provide input and feedback on the three (3) draft guidelines/documents presented at the roundtable by 28 March 2007 to be implemented by 1 April 2007 9. Infrastructure Investment plans reflecting clear programme of delivery towards targets for each municipality 10. Tabling of draft IDPs reflecting commitments to communities by 30 March 2007 11. Final IDPs including infrastructure investment plans and budgets adopted by end June 2007 12. Fill vacancies of key managerial and technical areas by June 2007 and implement steps for more conducive environment and institutional stability in order to retain skills 13. 07/08 MIG outstanding commitments to be finalised by end April 2007 14. 08/09 MIG outstanding commitments to be finalised between June and August 2007 – municipalities should contact dplg for dedicated 41 support in this regard. Thank you 42