PRESENTATION TO THE PORTFOLIO COMMITTEE Programme: Free Basic Services and Infrastructure 13 March 2007 Yusuf Patel

CONTENT Purpose of the programme and Core Functions 2006/07 Achievements Budget Overview Budget Allocations Priorities 07/08

PURPOSE OF THE BRANCH Free Basic Services and Infrastructure Provides support to local government to enable it to deliver sustainable infrastructure and increase access to basic services, including free basic services including water and electricity.

OBJECTIVE To strengthen the capacity of municipalities to deliver sustainable infrastructure and increase access to basic services through project management and infrastructure planning, including free basic services to the poor, who are predominantly found in the under-serviced areas of South Africa.

STRATEGIC ROLE OF THE BRANCH Co-ordinate infrastructure development and maintenance. 2. Co-ordinate accelerated delivery of FBS. 3. Deepen local democracy and accountability. 4. Co-ordinate Municipal Service Partnerships.

M IG: ACHIEVEMENTS The allocation for the Municipal Infrastructure Grant (MIG) for the 2005/06 financial year is R 5,436 billion, of this amount 99,6% (R5,415 billion) was spent on projects The allocation for the MIG for the 2006/07 financial year is R6,265 billion, of this amount 54,4% (R3,404 billion) was spent on projects as at the end of January 2007. Additional Capacity has been deployed to 62 municipalities where 43 Senior Engineers, 77 students and 31 graduates 238 Municipalities have been supported to comply with DORA requirements, 168 Municipalities have shown a significant improvement particularly on reporting and spending. The following policy guide have been drafted: Municipal Infrastructure Policy Principles for Sustainable Infrastructure Services Delivery, Municipal Infrastructure Support Strategy and Municipal Infrastructure Asset Management Guidelines

MSP: ACHIEVEMENTS 32 GDS summits held in District and Metropolitan Municipalities Provided support to 39 municipalities on the drafting of contract and management of SLA Presidential Izimbizo facilitated in Chris Hani, OR Tambo and NMMM A model for waste developed and ready for implementation Mobilizing Support from stakeholders to the Izimbizo action plans for the EC. Guidelines on Municipal Services Partnerships (MSP) launched, distributed and conducting training.

PP&E: PROGRESS AND ACHIEVEMENTS Ward Committees established in 80% of Municipalities. 3 459 Community Development Workers have completed learnerships and have been deployed, and 2 100 employed as public servants.

FBS: ACHIEVEMENTS 4 303 330 (78%) indigent/poor households with infrastructure have access to FBW 3 225 738 (58%) indigent/poor households with infrastructure have access to FBE Indigent Implementation Guidelines have been approved by MINMEC A national total of 220 municipalities have indigent registers  Rolled out the first phase of the FBS Communications Strategy

Medium-term estimates MTEF BUDGER REVIEW Free Basic Services and Infrastructure  2006/07 2007/08 2008/09 2009/10   Adjusted Medium-term estimates appro- MTEF Baseline priation Management 2,405 2,154 2,262 2,448 Municipal Infrastructure 26,145 28,743 30,180 32,667 Free Basic Services Co-ordination 3,440 3,958 4,156 4,498 Municipal Service Partnerships 3,710 4,187 4,396 4,759 Public Participation and Empowerment 2,170 3,011 3,162 3,422 Total of subprogrammes 37,870 42,053 44,156 47,794 the dplg

Summary Priorities for 2007/08 Measurable objective:To strengthen the capacity of municipalities to deliver sustainable infrastructure and increase access to basic services through project management and infrastructure planning, including free basic services to the poor. Subprogram Output Target Measure/Indicator Target Municipal infrastructure Improved capacity of local government to deliver infrastructure and maintain access to basic services Hands-on targeted support provided to identified municipalities in allocated provinces Number of infrastructure backlogs reduced Number of municipalities supported to comply with non-financial reporting as required by the Division of Revenue Act Number of municipalities receiving targeted support on programme management and comprehensive infrastructure planning 400 000 households with access to basic sanitation. 550 000 more households with access to basic water 100 municipalities 49 municipalities Free Basic Services Co-ordination Implementation of guidelines on the indigent policy Provision of free basic services monitored Number of municipalities implementing the guidelines Frequency of provincial progress reports All municipalities Quarterly monitoring and reporting Municipal Services Partnership Councillors and officials trained on the implementation of municipal services partnerships (MSP) guidelines Technical support provided to municipalities on MSPs Number of municipalities trained and supported on the processes of establishing and implementing MSP projects by December 2007 All new and existing municipal services partnerships supported All 283 municipalities Public Participation and Empowerment Offices of speakers in municipal councils strengthened Draft public participation framework finalised and distributed to municipalities for implementation Provincial indaba convened with relevant role-players Framework on public participation developed and gazetted September 2007 November 2007 dplg 13 March 2006 11

MIG: PRIORITIES 2007/08 All municipalities to comply with DoRA requirements in respect of expenditure and reporting Ensure project management capacity to manage the implementation of Municipal infrastructure projects Municipal Infrastructure Policy principles, Support Strategy and municipal infrastructure asset management guidelines fully developed

MSP: PRIORITIES 2007/08 4 Municipal Services guidelines rolled out 5 Support Municipalities in the development of SLA and contract management 6 Waste Management model rolled out to selected municipalities

PPE: PRIORITIES 2007/08 Funding model for ward committees fully developed Roll out the implementation of the ward committee resource books Public participation framework fully developed

FBS: PRIORITIES 2007/08 M&E system for continued monitoring of Free Basic Services fully developed Indigent implementation guidelines rollout

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