Preliminary Outcome of Conditional Grants

1
Preliminary Outcome of Conditional Grants
Capital Expenditure as at 31 March 2007(2006/07
Financial Year)Section 32 of PFMA

• Select Committee on Finance
• National Council of Provinces
• Presented by
• Intergovernmental Relations
• National Treasury
• 23 May 2007

2
Payments for Capital Assets
3
Payments for Capital Assets

• Capital spending at R15,6bn or 97,3 of almost
  R16,1bn adjusted capital budgets
• Significant increase of R2,8bn or 22,2 compared
  to spending last year notable improvement
  partly result of IDIP
• Wide y-on-y growth fluctuations by provinces
• Preliminary underspending of R434,7 million
• Less than previous years due to significant
  improvement in the spending capacity compared to
  the audited outcomes in the previous financial
  year
• FS the only province to overspend its capital
  budget by R266,5m
• Mainly due to roads infrastructure spending
• Low rate of capital spending in EC (90,7) and
  MP (90,8)
• FS (132,1) and LP (99,5) reflects the highest
  rate of capital spending
• The biggest capital budgets in provinces are in
  public works, roads and transport departments at
  34,3 or R5,5bn of total capital budget of
  R16,1bn
• Spending at R5,8bn or 104,6 compared to R4,9bn
  spent last year (18,7 increase)

4
Education Capital
5
Payments for Capital Assets (Education)

• Education capital spending at R3,7bn or 96,5
• Significant increase of R1,0bn or 38,9 compared
  to spending last year
• Wide fluctuations compared to last year audited
  outcome
• Low rate of education capital spending in EC
  (78,9) and MP (85,5)
• GP (112,6) and KZN (108,4) reflects the highest
  rate of capital spending in education

6
Payments for Capital Assets (Public Works, Roads
Transport)

• The biggest capital budgets in provinces are in
  public works, roads and transport departments at
  34,3 or R5,5bn of total adjusted capital budget
  of R16,1bn
• Spending is at 104,6 or R5,8bn
• Overspending of R255,3m
• FS at R225,8m mainly due to roads
  infrastructure
• Spending is 18,7 or R911,2m more than the R4,9bn
  spent last year over the same period
• The lowest rate of spending is recorded in LP
  (86,9) and MP (94,7)
• FS and NC recorded the highest rates of spending
  at 173,1 and 104,8 respectively

7
Public Works, Roads Transport Capital
8
Monthly Expenditure Payments for Capital Assets

9
Monthly Expenditure Payments for Capital Assets

10
Conditional Grants
11
Conditional Grants

• Spending on the Further Education and Training
  College Sector Recapitalisation grant is at
  100,0  or R470,0 million and reflects actual
  transfers from the provincial education
  departments to the FET colleges
• FET colleges expenditure is at 89,0  or
  R418,4 million of the R470,0 million transferred
  from the provincial education departments
• Expenditure by college published again
• Information provided by national Department of
  Education

12
Conditional Grants (2)
13
Conditional Grants Spending Rates
14
Detail on Conditional Grants by Grant Type
15
Education GrantsFurther Education and Training
College Sector Recapitalisation Grant

• Objectives (Schedule 5 Grant)
• To recapitalise the 50 public FET Colleges to
  improve their capacity to contribute to skills
  development training in the country
• 4th Quarter Expenditure
• FET College Sector Recap grant reflects transfers
  to colleges
• Provincial education transferred R470m or 100,0
  to the FET Colleges of the available R470,0m
  allocation
• Spending of FET colleges published in Section 32
  R418,4m
• Service Delivery Outcome
• Department / Sector to respond

16
Education GrantsHIV and Aids Grant (Life Skills
Education)

• Objectives (Schedule 5 Grant)
• To coordinate and support the structured
  integration of life skills and HIV and Aids
  programmes across all learning areas in the
  school curriculum
• To ensure access to an appropriate and effective,
  integrated system of prevention, care and support
  for children infected and affected by HIV and
  Aids
• To deliver life skills, sexuality and HIV and
  Aids education programmes in primary and
  secondary schools
• 4th Quarter Expenditure
• Education spent R139,4m or 95,4 of the R146,2m
  adjusted allocation (includes provincial
  roll-overs)
• Transfers received amounted to 100,0 of national
  allocation
• Highest spending MP (106,3) and KZN (104,6)
• Lowest spending LP (61,9) and NC (83,5)
• Service Delivery Outcome
• Department / Sector to respond

17
Education GrantsNational School Nutrition
Programme Grant

• Objective (Schedule 5 Grant)
• To contribute to enhanced learning capacity
  through school feeding
• 4th Quarter Expenditure
• Education spent R1,1bn or 87,1 of the R1,2bn
  adjusted allocation (includes provincial
  roll-overs)
• Transfers received amounted to 100,0 of national
  allocation
• Highest spending LP (105,1) and both FS and NW
  (100,0)
• Lowest spending EC (62,6) and KZN (80,7)
• Service Delivery Outcome
• Department / Sector to respond