Government needs to let the private sector step in: CEO
The local performance of South Africa’s municipalities and their ability to deliver basic services is essential to improve the lives of everyday South Africans and the country’s business environment, says Busi Mavuso, the CEO of Business Leadership South Africa (BLSA).
Major shortfalls in service delivery remain across the country; in November 2022, the Auditor General (AG) reported that service delivery portfolios, including basic education, public works, health, transport and state-owned entities, are responsible for more than 30% of the national expenditure budget but have the most concerning audit outcomes annually.
The latest Auditor General Provincial Report for 2021-2022 showed that there was a gradual upward trend in the audits of the provincial and national government; however, the AG remains cautiously optimistic as good performance and financial discipline have not been shown by the relevant departments and portfolios.
According to Mavuso, success in terms of service delivery could occur when businesses and local governments work together.
She said there are many cases where municipal infrastructure is breaking down, and, for example, there is a lack of engineering skills available to fix it; however, among those cases – through partnerships with private entities – infrastructure can be restored to working order.
Over the past three years, BLSA – which represents private entity heavyweights in South Africa – together with the United States Agency for International Development (USAID), has been funding a programme in provincial departments and municipalities.
The programme allows for the deployment of retired engineers and financial and technical experts to help improve service delivery, said Mavuso.
She highlighted an example of a tangible improvement in service delivery as a result of private partnerships in the Eastern Cape.
Here, a school in the region was previously unable to function properly, with children only being at school for an hour or two a day as there were no working toilet facilities. Through the combined efforts of businesses, municipalities and the Eastern Cape Cooperative Governance and Traditional Affairs department, the school has now returned to working order.
Mavuso said that through the capacity programme, retirees not only assist in fixing infrastructure but also ensure that skills are transferred to permanent engineers who will be responsible for long-term maintenance and development.
“This ensures there is a long-term legacy, that we are not intervening ad hoc to fix specific problems, but ensuring that there is permanent capacity creation. The programme works with the expanded public works programme, so workers join business secondees and, in the process, acquire skills. Some have gone on to start their own businesses,” she added.
Talk of bringing retired engineers out of the woodwork was mentioned in December 2022 by Mavuso, where she said that through the private sector, skilled individuals are also being sourced, on an interim basis, to support local governments through the Assistance Mentorship Development (TAMDEV) programme.
Through TAMDEV, retirees are identified and seconded to support municipalities in recovering and develop crucial infrastructure and provide improved services.
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