Report of the Portfolio Committee on Environmental Affairs and Tourism on consideration of Budget Vote 27 of the Department of Environmental Affairs and Tourism, dated 6 June 2006:

The Portfolio Committee on Environmental Affairs and Tourism having considered and adopted 2006/07 Budget Vote 27 of the Department of Environmental Affairs and Tourism  in terms of Rule 201 (c) of the National Assembly which states that:

A Portfolio Committee may monitor, investigate, enquire into and make recommendations concerning any such executive organ of the state, constitutional institution or other body or institution, including the legislative programme, budget, rationalization, restructuring, functioning, organization, structure, staff and policies of such organ of state, institution or other body or institution [1], reports to Parliament as follows:

1. Introduction and Overview  

 

On 26 May 2006, Members of the Portfolio Committee on Environmental Affairs and Tourism and the Select Committee on Land and Environmental Affairs were briefed in a joint meeting on Budget Vote 27 the Department of Environmental Affairs and Tourism. The Departmental briefing focused on 2006/07 strategic priorities and budget allocation of programmes dealing with Administration, Environmental Quality and Protection, Marine and Coastal Management, Tourism, Biodiversity and Conservation and, Social Responsibility and Projects.  

In terms of the MTEF allocation for 2006/07, compensation of employees accounts for 13,5%. The Departmental Agencies such as Marine Living Resource South African Tourism, South African Weather Services, South African National Biodiversity Institute, South African National Parks and Greater St Lucia Wetlands Park Authority, accounts for 48,9%, Social Responsibility and Projects accounting for 19,6%. 

The operational budget related to administration, environmental quality and protection, marine and coastal management, biodiversity and conservation and social responsibility projects accounts for 16,2% .The budget allocation per economic classification including compensation of employees, goods and services, transfers to provinces and municipalities, departmental agencies and accounts, households, machinery and equipment and software is R2 018 053, 00. 

The Medium Term Expenditure Estimate for administration will cover sub-programmes such as the Ministry, Deputy Minister, Director General, Chief Operation Officer, Planning and Coordination, Communication, International Cooperation and Resources, International Marine and Biodiversity Cooperation, Human Resource and Transformation and Strategic Performance Management    

For the period 2006/2007, the MTE Expenditure estimate of the environmental quality and protection will cover sub-programmes related to Management, Regulatory Services, Pollution and Waste Management, Environmental Impact Management, Air Quality Management and Climate Change, Buyisa –e-Bag and South African Weather Service. The total amount allocated for 2006/07 is R 216, 559, 00.                         

The MTE Estimate for marine and coastal management will cover sub-programme such as Administrative Support Services, Antarctic Supply Vessel, Antarctic and Island Research and Marine Living Resources Fund. The total amount allocated for 2006/07 is  R 260, 723 .2006/07 MTE Expenditure estimate relates to sub-programme such as Management, tourism Support, Tourism Development and South African Tourism. The total amount allocated is R. 559, 254, 00.           

The Biodiversity and Conservation’s 2006/07 medium term expenditure estimate relates to sub-programme such as Management, Biodiversity and Heritage, Trans-Frontier Conservation and Protected Areas, Greater St Lucia Wetland Park Authority, South African National Parks and, South African National Biodiversity Institute. The total amount allocated to Biodiversity and Conservation programme is R 348, 508. The MTE expenditure estimate of the social responsibility and projects relates to sub-programme such as the Expanded Public Works Programme. The total amount allocated for 2006/07 is R 447,660, 00.

In relation to missing of marine vessels, coordination of Tourism Indaba and progress made in respect of skills development, the members of the portfolio and select committees were then informed that the Department of Environmental Affairs and Tourism (DEAT) are aware that a number of marine vessels have gone missing at sea and that the causes of these incidents are being investigated by the Department of Transport.

The Department of Environmental Affairs and Tourism carries no responsibility for the incidents, as to who is liable will be determined after the Department of Transport concludes its investigation. Compensation for those affected by the tragedies is set out in legislation by the Department of Labour.

The recently held Tourism Indaba in Durban was essentially a trade fair held under the banner of SA Tourism, being led by government. The Indaba is a culmination of events, whereby all interested parties may participate and promote their products and services. The Indaba is not necessarily an event intended to attract only the private sector, but rather promoting South Africa as a tourist destination. The Department is however open to suggestions as to how to improve participation, especially that of the private sector during future Indaba’s.

A strong relationship exists between the Department of Environmental Affairs and Tourism and SA Tourism, as SA Tourism is a public entity marketing South Africa domestically and internationally as a tourist destination. The Department of Environmental Affairs and Tourism has taken cognizance of the recent spate of attacks on tourists and in conjunction with the Department of Safety and Security and the South African Police Service are busy working on a safety strategy to ensure the safety of all those who visit South Africa.

 

The Department is currently busy with a skills development assessment, assessing what type of skills the department requires, offering bursaries as an incentive in order to gain the skills required. The Department is also looking at ways of retaining current skilled employees in the Department, boosting its capacity in service delivery. The issuing of pollution permits, which is supposed to be issued by Local Government, still resides with the National Department, as this transfer process will take approximately 2 – 3 years. However once the transfer process is complete and Local Government assumes the responsibility of issuing permits, they are still governed by the minimum air pollution standards set for the issuing of such permits.

 

The Local Government however, cannot issue permits to themselves, for places such as municipal incinerators, as such permits have to be issue at a provincial level. The current budget allocated of R 435 million allocated to tourism falls short of the R 1 billion that the Department foresees to market South Africa effectively, locally and internationally in preparation for 2010.

 

The Department welcomes any assistance from both Committees in acquiring more funds from Treasury. The Department of Environmental Affairs and Tourism does not fund Local Government to promote tourism, but rather assists Local Government in building capacity. Local Governments do not see the long-term value of tourism, which is why the Department is trying to get Local Government to develop a tourism action plan and incorporate it in their Integrated Development Plan (IDP).

 

The Department does however render financial assistance to SMME’s within Local Governments, with the aim of promoting tourism. The budget of R 35 million allocated for the upgrading of the South African National Parks is not the total amount as this amount is only for the 06/07 financial year, increasing each year thereafter. The Department is therefore confident that the South African National Parks will be ready and graded by 2010.

 

The Department has spent 99.6% of its budget, with a roll over of R 6 million in respect of the construction of the Marion Island basin. The 99.6% expenditure is a reflection of the actual budget spent and not commitments to spend by the Department.  The Department of Environmental Affairs and Tourism together with the Departments of Water & Forestry, Agriculture and Land Affairs are in the process of compiling a policy document addressing the aquaculture issue. As soon as the Draft Policy has been finalized the Department will forward it to both Committees.  

 

2. Conclusion and recommendations

Having been briefed on 2006 Budget Vote 27, the Portfolio Committee on Environmental Affairs and Tourism concludes that it has considered and adopted the budget and further wishes to recommend as follows:

q                   The Department of Environmental Affairs and Tourism should starting from 2006 third term of parliamentary session submit monthly and quarterly reports to Parliament.   

q             The Department should submit a database on Social Responsibility and Projects including locations and beneficiaries in Provinces.

q             The Department should during 2006 the third term parliamentary session come and brief the Committee on progress made in respect of Buyisa-e-Bag campaign.  

 

 


[1]See, Rules of the National Assembly, 4th Edition, January 2004, 53