Feb 22, 2012
Moves under way to tighten procurement as R1.1tr Budget is unveiledBack
The Budget, which was the first ever to breach the R1-trillion mark, translated into a doubling, in real terms, from expenditure levels ten years earlier, in 2002/3. But the Budget Review notes that, despite consistent growth in public spending, there had not been a commensurate improvement in service-delivery outcomes.
“Over the period ahead, government is taking steps to strengthen efficiency in public spending, to eliminate wastage, to improve the alignment between allocations and policy priorities, and to root out corruption.”
Public-sector financial management failures would receive attention and there might also be changes to regulations to ensure greater transparency and public disclosure and more rigorous tender procedures.
Gordhan also announced some specific steps being taken by National Treasury to improve government’s procurement capability, including the appointment of a chief procurement officer, who will have overall responsibility for monitoring procurement across government.
The competencies and capabilities required by those performing procurement functions would also be reviewed and a national price reference system established to detect deviations from “acceptable prices”.
The tax clearance system would be strengthened to ensure that those who had defrauded the State could no longer do business with government and steps would be taken to improve the ability of departments to set the specifications for tenders.
“The Minister of Public Works and I have agreed to undertake a joint review of the validity and cost effectiveness of all government property leases,” Gordhan announced.
Edited by: Creamer Media Reporter
To subscribe email firstname.lastname@example.org or click here
To advertise email email@example.com or click here
Other Economy News
Recent Research Reports
Automotive 2016: A review of South Africa's automotive sector (PDF Report)
Creamer Media’s Automotive 2016 Report provides an overview of South Africa’s automotive industry over the past 12 months. The report provides insight into local demand and production, vehicle imports and exports, investment and competitiveness in the sector, as well...
Energy Roundup – April 2016 (PDF Report)
The April 2016 roundup covers activities across South Africa for March 2016 and includes details of a North Gauteng High Court Judge’s dismissal of a court application to postpone the 9.4% electricity tariff increase, which the National Energy Regulator of South...
Electricity 2016: A review of South Africa's electricity sector (PDF Report)
Creamer Media’s Electricity 2016 report provides an overview of South Africa’s electricity sector, focusing on State-owned power utility Eskom and independent power producers, electricity planning, transmission, distribution and the theft thereof, besides other issues.
Energy Roundup – March 2016 (PDF Report)
The March 2016 roundup covers activities across South Africa for February 2016 and includes details of the Department of Energy’s plans to announce the preferred bidders for the first tranche of the coal independent power producer procurement programme; the Council...
Steel 2016: A review of South Africa's steel sector (PDF Report)
Creamer Media’s Steel 2016 Report examines South Africa’s steel industry over the past 12 months. The report provides insight into the global steel market and and particularly into South South Africa’s steel sector, including production and consumption, main...
Construction 2016: A review of South Africa's construction industry (PDF Report)
Creamer Media’s Construction 2016 Report examines South Africa’s construction industry over the past 12 months. The report provides insight into the business environment; key participants; local demand; geographic diversification; corporate activity; black economic...
This Week's Magazine
The two spent-fuel pools at Eskom’s 1 800 MW Koeberg nuclear power station, in the Western Cape, will be full by 2018, increasing the urgency on the State-owned utility to begin pursuing alternative storage options. Koeberg has, over the past 32 years, accumulated a...
South Africa lacks the skills necessary to implement the government’s plan to build 9.6 GWe of new nuclear energy capacity, warns nuclear-qualified Quality Strategies International CEO David Crawford. “Apart from the concern about the affordability of the programme,...
Cybersecurity multinational Check Point has released its latest 700-series cybersecurity systems for small businesses, which draw on its international threat intelligence to provide up-to-date cybersecurity, says Check Point South Africa country manager Doros...
Daimler Trucks and Buses Southern Africa (DTBSA) saw a marked slip in new-vehicle sales in 2015 compared with 2014, with sales dropping from 5 897 units to 5 300 units. The decline came as the South African new truck and bus market declined from 31 558 units in 2014...
Group of 20 (G-20) economies threatened to penalise havens that don’t share information on their banking clients after the leak of the Panama Papers provoked a global uproar over tax evasion. The G-20 will consider “defensive measures” against financial centers and...