Appropriation Bill – NT’s proposed amendments

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Presentation transcript:

Appropriation Bill – NT’s proposed amendments Presentation to Standing Committee on Finance, National Assembly 16 July 2019 NT’s representatives: Adv Ailwei Mulaudzi and Adv Empie van Schoor

Proposed amendments to Appropriation Bill (1) On 25 June 2019 Minister of Finance wrote to Speaker, NA & Chairperson, NCOP, to revive Appropriation Bill and to proposed amendments relating to- R17,6 billion funding for Eskom approved in April 2019 ito section 16 of Public Finance Management Act (PFMA) Reconfigured national departments proclaimed after elections

Proposed amendments to Appropriation Bill (2) Money Bills Amendment and Related Matters Act (Money Bills Act) provides for two types of amendments to an appropriation bill Proposed technical amendments by Minister (section 14) Other amendments (section 10) Amendments to create votes for reconfigured departments are regarded as technical amendments (section 14) Amendments to authorise R17,6 billion (section 10)

Proposed amendment – section 16 PFMA funding for Eskom (1) On 2 April 2019 Minister of Finance authorised R17,6 billion for Eskom in terms of section 16 of PFMA Section 16(6) of PFMA provides that expenditure authorised in terms of section 16(1) must be included in next adjustments bill or other appropriation legislation tabled in NA within 120 days, whichever is sooner

Proposed amendment – section 16 PFMA funding for Eskom (2) Proposed amendments to Schedule 1 to vote 9 - Public Enterprises total amounts for payment for capital assets and whole budget Proposed amendments are consistent with fiscal framework and Division of Revenue Act (section 10(4) of Money Bills Act) Provision made for R23 billion in 2019/20 for Eskom Proposed amendments to be considered by SCOA ito section 10 of Money Bills Act

Proposed amendments – votes for reconfigured departments Reconfigured departments proclaimed on 26 June 2019 Proposed creation of votes, without funds, for reconfigured departments to enable shifting of funds to these votes (s33 of PFMA) and in Adjustments Appropriation Bill, once these departments are ready (i.e. affected functions, staff & assets are transferred) Old departments to be retained until functions, staff & assets are shifted These amendments are considered technical amendments to be dealt with in terms of section 14 of Money Bills Act No allocation of funds proposed for these votes

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