Note to Editors: The following speech has been delivered in the North West Provincial Legislature today by DA Spokesperson on Agriculture and Rural Development, Jacqueline Theologo.
Honourable Speaker, it is no surprise that this Department received a qualified audit opinion with its total budget allocation of just over R1.4-billion.
This Department incorrectly derecognised immovable assets of more than R36-million.
They also tried to hide irregular expenditure of R72-million by not disclosing it. This amount was payments made in contravention of the supply chain regulations.
The lack of accountability is also obvious if you take the build-up of irregular expenditure from R583-million in 2016/17 to R708-million in 2017/18 to R773-million plus the undisclosed R72-million totaling R845-million of irregular expenditure in the 2018/19 financial year.
Sad to see how it grew under the Supra Dynasty.
If you take all the issues highlighted by the Auditor-General it almost looks like this Department has no clue what they are doing:
- Financial statements were not prepared in accordance with the prescribed financial reporting framework as required by the PFMA;
- Material misstatements on disclosure items;
- Goods and services with a transaction value below R500 000 were procured without obtaining the required price quotations;
- Goods and services of a transaction value above R500 000 were procured without inviting competitive bids in the procurement processes for the Taung Skull World Heritage Site;
- No evidence that disciplinary steps were taken against officials who had incurred irregular and fruitless and wasteful expenditure;
- No consequence management.
The DA is pleased with the fact that the Directorate for Priority Crime Investigations (Hawks) instituted an investigation into the agreement between the Department and its project implementing agent, Agri-Delight.
The disappointment is only with the fact that the investigation was only instituted after the Democratic Alliance, farmers and various other stakeholders continually brought the matter to the attention of the ANC-led government under the ruthless power of the former Premier of North West, Supra Mahumapelo, as well as the contaminating leadership skills of the former MEC of Rural, Environment and Agricultural Development, Manketsi Thlape.
We hope to see people held accountable even if they are not in the employ of the Department or government. And we hope to see those monies returned to the farmers who were supposed to benefit from this project.
North West still wants its cattle back from Nkandla, illegally gifted to Jacob Zuma!
So much money was poured into this project. Money that could have been better utilised to uplift the burdened agricultural economy of our province. Especially in light of the continuous drought that farmers have to face every day.
Water levels, as well as fodder availability, have reached severely low levels in the past 3 years.
The general condition of pastures increases the risk of veld fires.
Many farmers had to retrench farm workers which resulted in many job losses and increased poverty.
The sight of animals dying of hunger and thirst in these prevailing drought conditions creates a sense of hopelessness and depression which in turn drove many farmers to commit suicide out of sheer desperation.
In the DA-led Western Cape, Minister of Agriculture, Dr. Ivan Meyer, set aside R50 million for drought relief and made R100 000 available for counseling and pastoral support for those who were affected by the severe drought.
But in the North West, these desperate farmers cannot look to the government for help.
Even though the Department received additional Drought Intervention funds to the tune of R31.2-million, they spent only R3.7-million on relieving the fodder shortage in our province.
Let me put this into perspective:
The department distributed 200 bags of fodder weighing 40kg each to 242 farmers. 200 bags of fodder of 40kg each totals 8000kg of fodder for each farmer.
A cow eats roughly 3% of her live-weight per day.
A small cow weighs approximately 400kg. She will, therefore, need 12kg of fodder per day.
This means that 8000kg of fodder will only feed 70 cows weighing 400kg each, for 9 days. That’s it!
9 Days.
What is also of concern is that in the Annual Report, it is reported that R3.7-million was spent on 48 572 bags of fodder. But upon inquiry in the committee meeting, the Department reported that they distributed only 20 bags for each of the 242 farmers. Which begs the question. Are they hiding the truth, or is it that they just don’t know what is going on in this Department?
The misstatements indicated by the Auditor-General is a clear indication of a cover-up and not an error.
The Agri-parks projects are another stellar example of money thrown into a bottomless pit, especially Springbokpan, launched by former Premier Supra Mahumapelo in July 2016, saying that “R75-million grain manufacturing facility, expected to boost the province’s economic growth and tackle youth unemployment in the province.”
Although so much money was spent on Springbokpan Agri-park, the Department still had to refurbish it during the 2018/19 financial year. Waterproofing, concrete rejuvenation and expansion joint repair as well as silo structural and equipment repairs. 4 Houses also had to be renovated as well as the storage facility, office, and water tanks.
Money flowed into this Agri-park year in and year out with no benefit to the North West and its farmers.
Rural safety and farm attacks remain a concern to all who live in North West.
The provincial government of the Western Cape allocated R2m for the promotion of rural safety across the Western Cape.
As Minister Ivan Meyer said, “An attack on the farmer is an attack on food security and also an attack on the economy.”
It is clear that this Department is in shambles. The DA will keep a watchful eye on newly appointed MEC, Desbo Mohono as she has a tremendous task of shaping up to do in this failing Department.