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Staggering R700 million price tag a put-off

Staggering R700 million price tag a put-off

eNCA20 hours ago
JOHANNESBURG - The Thabo Mbeki Foundation has pulled out of the National Dialogue, citing the staggering R700-million price tag as a key reason.
WATCH: Discussion | Concerns convention is symbolic, not substantive
Beyond the hefty cost, the Foundation also raised questions about exactly how the funds would be spent.
With the Convention still set to begin on Friday, there are more questions than answers at this stage. Sam Koma, a governance expert, unpacked this with eNCA.
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Parliament seeks clarity on funding of the National Dialogue
Parliament seeks clarity on funding of the National Dialogue

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Parliament seeks clarity on funding of the National Dialogue

Mmusi Maimane, chairperson of Standing Committee on Appropriations, said the committee has formally written to National Treasury requesting clarity on the budget vote funding the National Dialogue and an impact assessment report on programmes that may be affected by diverted funds. Image: Picture: Timothy Bernard / Independent Newspapers Chairperson of the Appropriations Committee Mmusi Maimane has written to the National Treasury to enquire about the funding for the National Dialogue, which has no direct allocation in the recently approved Budget. Maimane said he was concerned how the National Dialogue will be funded and implemented. 'While the National Dialogue is vital for our democracy, we are deeply troubled by the absence of a concrete funding strategy. There is no dedicated allocation in the national budget and, in an already constrained fiscal environment, we cannot afford to divert resources from other critical priorities,' he said. Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Advertisement Next Stay Close ✕ Ad loading Maimane also said any funding model must be sustainable, accountable and must not place additional burdens on taxpayers. His statement comes as President Cyril Ramaphosa's spokesperson Vincent Magwenya said all budgetary processes regarding the National Convention were consistent with the Public Finance Management Act. The costs of the first two-day convention this weekend will be funded from the budgets of National Economic Development and Labour Council (Nedlac) and the Presidency. Unisa is hosting the first National Convention and will provide associated goods and services free of charge. 'The Inter-Ministerial Committee, which is chaired by Deputy President Paul Mashatile and comprises all relevant government departments to coordinate government's contribution towards the National Dialogue, has been working to mobilise resources for the convention and manage costs,' said Magwenya. He also said all procurement and management of public funds will adhere to the Public Finance Management Act and applicable Treasury Regulations. 'All funds will be accounted for through the normal public finance mechanisms,' he said. Responding to parliamentary questions from DA chief whip George Michalakis, Mashatile said the Inter-Ministerial Committee has tasked the National Treasury, together with other departments such as The Presidency; Justice and Constitutional Development; Employment and Labour; and Sport, Arts and Culture, to review the estimated budget. 'The budget of the National Convention and the National Dialogue has not yet been finalised,' he said. The initial R700m budget for the National Dialogue has been widely criticised. Some reports have suggested that government planned to contribute 60% of the projected R450m cost of the National Dialogue. Maimane said the committee has formally written to National Treasury requesting clarity on the budget vote funding the National Dialogue and an impact assessment report on programmes that may be affected by diverted funds. The committee wants a detailed plan to mitigate any negative consequences on service delivery as well as a comprehensive report on a list of programmes that will be affected by the funding of the National Dialogue. He said South Africans deserved more transparency and fiscal responsibility. 'Without these, the National Dialogue risks becoming another missed opportunity.' Maimane said it was also troubling to learn that important voices were stepping away from the process. 'If the Dialogue proceeds, how can South Africans trust that it will deliver meaningful, inclusive outcomes? We need assurance that all perspectives especially those most affected will be heard.'

COSATU backs national convention despite tensions
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COSATU backs national convention despite tensions

JOHANNESBURG - Trade union federation Congress of South African Trade Unions (COSATU) has expressed satisfaction that the national convention will proceed as scheduled, despite tensions within the National Dialogue's organising team. Last week, legacy foundations, including the Thabo Mbeki and Steve Biko foundations, withdrew from the initiative, citing several concerns. The foundations had asked for a postponement of Thursday's convention to allow additional preparation time, but the president rejected their proposal. COSATU spokesperson Matthew Parks said delaying the event over a handful of concerns would only result in unnecessary setbacks. ALSO READ: • Blame game erupts between govt, legacy foundations over National Dialogue • Postponing upcoming national convention wouldn't have been possible - Ramaphosa "Whilst the federation appreciates legitimate concerns outlined by the Legacy Foundations and other organisations, these can and must be addressed and the Dialogue proceed as intended. If we wait for all issues, be it logistics, organisational or philosophical, to be resolved, we may find that time will simply run out." While limited funding was one of the reasons the foundations withdrew, Parks has urged the organising team to keep the dialogue's costs under control. "Whilst the Presidency is correct to push forward with the convening of the launch of the National Dialogue, it will do well to hear the skepticism of many, including workers, who correctly ask what will the Dialogue achieve and how will we ensure that it does not follow the same route of similar reviews and discussions previously held, including former President Kgalema Mothlanthe's High Level Panel Review that concluded in 2019 and was left to gather dust in Parliament."

Parliament's appropriations committee to query funding of National Dialogue
Parliament's appropriations committee to query funding of National Dialogue

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Parliament's appropriations committee to query funding of National Dialogue

CAPE TOWN - With the total cost of the National Dialogue still unclear and a major point of contention, Parliament's appropriations committee plans to query the expenditure. Chairperson Mmusi Maimane said he was concerned about how the National Dialogue would be funded and implemented. Over the weekend, the Presidency said the full budget was yet to be determined and would depend on donations and other free services. ALSO READ: • Presidency compares upcoming National Dialogue to CODESA • National Dialogue: Legacy foundations say it wasn't a knee-jerk reaction to withdraw • COSATU backs national convention despite tensions • Presidency caught up in battle with civil society groups over direction & cost of National Dialogue On Monday, the organising committee said this week's two-day national convention, which will precede the dialogue, would cost eight million rand. While the Presidency has indicated that it would be funding the first phases of the National Dialogue, along with NEDLAC, there's still no firm price tag for the undertaking. Initial estimated costs of more than R700 million have been criticised by some quarters, given the many competing demands on a constrained fiscus. Chairperson of Parliament's appropriations committee, Mmusi Maimane, said that while the National Dialogue was a critical initiative towards reimagining South Africa's future, he was concerned about the lack of a funding strategy. "There is no dedicated allocation in the national budget and, in an already constrained fiscal environment, we cannot afford to divert resources from other critical priorities. Any funding model must be sustainable, accountable and must not place additional burdens on taxpayers." He's now written to the National Treasury to provide clarity on the budget votes that will be funding the dialogue, and whether any government programmes will be affected by the diversion of funds. Maimane said that Treasury must provide a comprehensive list of the programmes that would be affected by funding the National Dialogue. He added that it was concerning that respected civil society voices were stepping away from the process. On Friday, several foundations, including those linked to former presidents, announced their withdrawal from the convention over disagreements with the Presidency over budget and logistical issues.

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