Latest news with #R440
The Citizen
a day ago
- Business
- The Citizen
SAAF needs R414 million to refurbish Ramaphosa's presidential jet
The interior update will not occur in this contracting period due to a lack of funds. An airplane carrying President Cyril Ramaphosa arrives at Beijing Capital International Airport, ahead of the 2024 Summit of the Forum on China-Africa Cooperation yesterday. Picture: AFP Parliament continues to hear troubling reports about the impact of the South African National Defence Force's (SANDF) budget constraints, with the latest report affecting President Cyril Ramaphosa and his deputy, Paul Mashatile. The Joint Standing Committee on Defence received an update from Armscor on the status of the South African Air Force (SAAF) and South African Navy maintenance and acquisition contracts on Friday, and the outlook appears grim. Selekane Folo from Armscor informed the committee that there is a R7.7 billion shortfall to fund support contracts for the SAAF over a three-year period, amounting to a R2.56 billion shortfall per year. ALSO READ: Defence budget cuts 'impact Reserve Force capability' 'The lack of funding has been ongoing for a long period of time, and it has its consequences,' said Selekane. These include reduced fleet availability, with only the bare minimum of maintenance being done; essential upgrades are postponed; higher maintenance costs are incurred due to supporting obsolete subsystems; and a large recovery cost is required to catch up on maintenance. Maintenance of Ramaphosa's jet This has also affected the VVIP fleet, which has been unable to undergo maintenance due to a lack of funds. The contract for the maintenance and support of Ramaphosa's Boeing 737 Aircraft, contracted to Jet Aviation AG in Switzerland (the design authority for the aircraft's interior), costs R440 million and was placed from July 1, 2023, to June 30, 2026. The contract for local support for maintenance, contracted to Dentec, costs R60 million and was placed on 1 December 2024 and ends 30 June 2026. ALSO READ: Over 2 700 'old' SANDF personnel released, but new recruits will depend on funding 'What we need as a requirement to maintain the Boeing Business Jet (BBJ) is about R500 million, and currently, we are sitting with a shortfall of R414.9 million,' Selekane told the committee. 'There is an upcoming four-year maintenance that happens for about three months, but we can confirm as Armscor that the Air Force and we are trying to source funds to make sure that the check is well-funded. 'The major four-year maintenance is due in October 2025. This requires good planning and a scope of work from SAAF at least six months in advance. The scope of work is still to be finalised.' SAAF: No interior maintenance The interior update will also not occur in this contracting period due to a lack of funds. 'The BBJ is not fully funded as there are insufficient funds to conduct various refurbishments and upgrades in the aircraft, e.g Cabin refurbishment. Funds are only utilised for the C-Check and normal day-to-day maintenance.' The Falcon fleet used by the deputy resident has not been spared either. The contract for the maintenance and support of the Falcon fleet, as well as its associated ground support and test equipment, is with Execujet MRO Services and was in effect from 1 March 2023, to 28 February 2026. The value of the contract is R252.4 million, but the SAAF needs R142.1 million to maintain the fleet. READ NEXT: SANDF budget constraints: Not enough soldiers at the border, reserves getting older
Eyewitness News
07-06-2025
- Health
- Eyewitness News
Gauteng DSD: No jobs in HIV and AIDS programme will be lost despite R108m budget shortfall
JOHANNESBURG - Gauteng's Department of Social Development is facing a R108 million shortfall in its HIV and AIDS programme budget, but officials insist no jobs will be lost. Treasury has slashed funding to R332 million in 2025, down from R440 million, forcing the department to restructure operations while trying to protect services for vulnerable groups. The commitment? To keep social workers, community carers and child and youth care workers employed and to continue funding non-profits supporting those affected by HIV. The department said all psycho-social services — including those offered to orphans, vulnerable children and HIV-positive households — will continue uninterrupted. Those who deliver them — including auxiliary social workers and registered community carers — will remain on payroll. Food relief, however, will now be handled centrally through distribution centres run by the sustainable livelihoods unit as part of a move to streamline resources. The department argues this shift will still prioritise households with no income and is part of a longer-term strategy to capacitate communities instead of relying on ongoing aid. And while incentive grant funding for work opportunities through the Expanded Public Works Programme (EPWP) has dropped dramatically since 2023, social development says job numbers have been maintained, thanks to reallocation from its main budget.
