Millions in irregular expenditure at Gauteng e-Government department

Gauteng’s Department of e-Government incurred irregular expenditure of R31.9 million for the 2018/2019 financial year, primarily because it did not follow the required procurement processes.

This irregular expenditure is concerning as it means that the open-tender system was not adhered to, said Adriana Randall, DA shadow MEC for Finance and e-Government.

“An open tender system is important to ensure that all suppliers on the database of the department are given a fair opportunity to provide goods and services to government,” she said.

“The DA will be closely monitoring the progress of the investigation into the non-compliance of the SCM processes and will be tabling questions to ascertain what measures will be put in place to clamp down on irregular expenditure.”

According to the annual report, the following amounts were spent irregularly:

  • Non-compliance to procurement processes Investigations finalised and warning letters issued – R28.48 million
  • Non-compliance to SCM processes Finalisation of the investigation report – R2.8 million
  • Non-compliance to SCM processes- Lease contract Investigation will be initiated in 2019/20 financial year – R660,000

Gauteng’s Department of e-Government was launched in 2015 to improve service delivery, modernise the public service and stimulate the province’s knowledge-based economy.

The department is mandated to implement the e-Government Strategy of the Gauteng City Region, which seeks to, amongst other things, consolidate back-end systems and processes to bring about better front-line service delivery to the people.

The department has been identified by the provincial government as a key growth area, receiving R1.4 billion in March 2019 to fund key projects.

This budget is aimed at funding the Gauteng Broadband  (GBN) and creation of an e-services platform that will allow citizens to connect with government,

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Millions in irregular expenditure at Gauteng e-Government department