Kholwane fails to show how government plans to create jobs

MBOMBELA – Mpumalanga Finance MEC Mr Eric Kholwane failed to show the people of the province how government plans to grow the economy and create the 900 000 jobs as promised by Premier Mr David Mabuza in his state of the province address (SOPA).

Kholwane delivered his budget speech yesterday during a sitting of the provincial legislature.

People in the province are desperate for jobs, with 39.4 per cent  of people being unemployed still the ANC can present no new plans on how to lift thousands of people out of a state of desperation.

Overall, the MEC made no game-changer announcements that could put this province on the road in creating new economic opportunities for the people of Mpumalanga. The DA would have wanted to hear the MEC presenting new proposals for economic growth and job creation through infrastructure development projects supported through Public Private Partnerships (PPP).

The DA believes that not only will PPP’s improve public infrastructure it will also greatly assist to improve service delivery in the province and ensure greater efficiency in general.

A DA led government would have also prioritised funding for education and skills development to facilitate job creation in the province and establish an environment in the province that is supportive of the emergence of entrepreneurs by cutting red tape, establish incentives for job creation, scrap Mpumalanga Economic Growth Agency (MEGA), establish a new Agency to support the emergence of small and medium enterprises and stimulate economic growth and development specifically in rural communities.

The DA also noted with concern the following:

• The halting of construction of the Agri-hubs so that funding can be allocated towards the completion of the Fresh Produce Market. This process is suspect as the Agri-hubs were envisioned to be the main feeders for produce that will be sold at the Fresh Produce Market.

• The decrease in the allocation towards MTPA. Tourism has the potential to be one of the top industries in the province. It has the potential to create jobs, thereby increase provincial revenue.

• Despite a moratorium being put on the majority of funded post in government departments, parastatals continue to operate freely.

• The extra allocation of funds to both Finance and CoGTA departments for support to municipalities. This process runs the risk of funding the duplication of roles played by the departments in assisting municipalities.

The DA would like to welcome the following proposals:

• The funds allocated towards the construction a Parliamentary village. The DA has long held the view that renting house was not right. A reply to DA questions revealed that in the 2013/14 financial year, government spent R6.1 million on housing members.

• The decrease on reliance on MEGA for economic growth in the province. The shifting of the function of being the implementing agent of the Fresh Produce market from MEGA to the DEDT is a welcomed move.

Furthermore The MEC allocated a total of R41.3 billion to the provincial revenue fund, a decrease of R122,893 million from the previous budget speech. This decrease should have no negative effect on service delivery – as negative effect on service delivery is brought about by the ANC’s insistence on employing officials based on their political affiliation and not their skills and competencies.

The DA remains committed to achieving growth by implementing our Plan for Growth and Jobs. We will continue to strengthen and revitalise our ideas with up to date research on our economy and how to grow it, including constant innovative policy proposals.