ADDRESS BY THE DIRECTOR-GENERAL OF THE DEPARTMENT OF PROVINCIAL

AND LOCAL GOVERNMENT, MS LINDIWE MSENGANA-NDLELA, TO THE SELECT

COMMITTEE ON PROVINCIAL AND LOCAL GOVERNMENT,

National Parliament, Cape Town, 10 November 2004

Chairperson, Mr S Shiceka

Honourable Members of the Select Committee

Colleagues, Ladies and Gentlemen

Today, we rise to present the Intergovernmental Relations Framework Bill to the Select Committee responsible for Provincial and Local Government.

On previous occasions this year, when we addressed this Committee our department confirmed its intention to focus on making its contribution towards improving the performance of the State.

We hope that this Bill will provide mechanisms that will enable all spheres of government to increasingly focus on performance, integration and the monitoring of implementation.

As you will note, the express objective of the Bill is to promote and facilitate the following:

a) Coherent Government:

b) Co-ordination in the implementation of policy and legislation:

c) The effective provision of services:

d) Monitoring and implementation of policy and legislation; and

e) Overall realisation of national priorities.

This Bill therefore provides an institutional framework for co-operative governance as set out in Chapter 3 of the Constitution.

In particular, I would like to refer you to Section 41 (2) of the Constitution, which provides for the scope and content of this legislation.

Chairperson, you will also remember that the study Towards a Ten Year Review outlines amongst other things, progress made with regard to governance. This review that was undertaken by the Policy Co-ordination and Advisory Services Unit in the Presidency, confirmed practical experiences of our unitary state, which amongst others is comprised of the three spheres of government that are distinctive, interdependent and interrelated.

Towards a Ten Year Review also identified the pervasive challenge, arising from our past legacy that government must continue to address: being poverty alleviation and job creation. Therefore, in this Bill we propose that this pervasive challenge can best be addressed if the government's Programme of Action is informed and implemented by all spheres of government, as well as monitored through a predictable, stable system of governance. Such a coherent and co-operative system of government should create pportunities for all three spheres, working in a social contract, with our people to meet government targets for 2014.

Once again, Chairperson we reiterate these targets that we must all seek to achieve:

• Reduction of unemployment by half;

• Reduction of poverty by half:

• Provision of skills that are required by the economy;

• Ensuring that all South Africans are able fully to exercise their constitutional

rights and enjoy the full dignity of freedom:

• Providing a compassionate government service to the people;

• Improving services to achieve a national health profile and reduction of

preventable causes of death, including violent crime and road accidents;

• Significantly reducing the number of serious and priority crimes and cases

awaiting trial; and

• Positioning South Africa strategically as an effective force in global relations.

Chairperson,

We would like now to outline briefly the five chapters of the Intergovernmental Relations Framework Bill.

Chapter One: Interpretation, Application and Object of Act

It is important to note that this Bill only applies to government and organs of state. This means that the Bill is not applicable to the national Parliament, provincial legislatures, Courts and Institutions established in terms of Chapter 9 of the Constitution.

Chapter 2: Intergovernmental Structures

This chapter provides for a broad legal framework for intergovernmental structures, their roles and responsibilities with regard to implementation, co-ordination, monitoring and evaluation of policy.

At a national level, the Bill provides for a President's Co-ordinating Council which shall comprise of the President, Deputy President, the Minister in the Presidency, the Ministers for Provincial and Local Government, Finance, Public Service and Administration, the Premiers of all nine provinces and the Chairperson of the South African Local Government Association.

In view of the importance of predictability in sectoral co-ordination, the Bill also provides for any Cabinet member to establish an intergovernmental body (MinMEC) comprised of members of the Provincial Executive Council (MECs) responsible for that particular function and the Cabinet Minister concerned.

With regard to provincial co-ordination, the Bill provides for the establishment of the Premiers Intergovernmental Forum whose role will be to promote and facilitate intergovernmental relations between provincial and local municipalities.

At a district level, the importance of such an intergovernmental forum in policy implementation and co-ordination is emphasised.

Chairperson,

As our system of governance has progressively evolved over time, we have recognised the need for municipalities to develop a culture of learning and to increase their capacity to share best practice amongst one another.

Whilst there is value from international visits and comparative analysis worldwide, it is also important that our municipalities be given an opportunity to develop homegrown solutions that will address unique South African problems. It is within this context that the Bill makes provision for two or more municipalities to establish an inter-municipal forum. The same applies for provincial intergovernmental forums.

Chapter Three: Conduct of Intergovernmental Relations

The third chapter stipulates how the organs of state should conduct themselves and provides further practical mechanisms for intergovernmental relations. Chairperson, a significantly new innovation that is being introduced in our new governance system through this Bill, is the concept of "implementation protocol".

It is proposed that an implementation protocol must be considered by the organs of state when, amongst others, the implementation of a policy or service has been identified as a national priority. This would be the case for example, when government seeks to accelerate programmes such as the Integrated Sustainable Rural Development Programme and the Urban Renewal Programme.

At the same time, the Bill provides for specific responsibilities and accountability measures for the provincial premier and a municipal mayor within the intergovernmental system.

Chapter Four: Resolution of Intergovernmental disputes

This chapter addresses the need for all organs of state to make every effort to avoid intergovernmental disputes when exercising their statutory powers and functions. In the unfortunate instance, where disputes arise, the Bill provides for mechanisms to resolve disputes without resorting to judicial proceedings. In such instances, a specific role has been identified for the MEC for Local Government in the province, and the national Minister for Provincial and Local Government.

Chapter Five: Miscellaneous - annual report, regulations and guidelines

Chairperson, we believe that it would be important for both houses of Parliament to receive an annual report from the Minister of Provincial and Local Government with regard to provisions of this Bill. In particular, a report that focuses on the following:

• General conduct of intergovernmental relations in the Republic,

• The Incidence and Resolution of Intergovernmental disputes, and

• Any other relevant matters.

We also propose that the Minister may issue regulations and/or guidelines that are consistent with legislation.

In conclusion, we would like to thank the Select Committee for providing us with this opportunity to present the policy context of this Bill. We have engaged in a lengthy and inclusive process of consultations within government and we are at your disposal for further consultation that will be undertaken by Parliament.

Thank you.