(AsgiSA) Annual Report 2008 - South African Government Information

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Accelerated and Shared Growth Initiative for South Africa ANNUAL REPORT 2008 5.2.10 The Public Transport Infrastructure and Systems (PTIS) Grant This Grant to municipalities and host cities is administered by the Department of Transport and is allocated to accelerate planning; and to establish, construct and improve new and existing public transport infrastructure and systems, including commuter bus and rail transport. During 2007/08, only 38,1% of budget was spent, due to the early stage of projects and because municipal plans were not aligned with the National Public Transport Strategy 12 . By the end of the second quarter of 2008/09, only 7% of the budget had been spent. Although it is expected that expenditure will accelerate, close monitoring of this programme will be necessary. 5.2.11 Telecommunications infrastructure expansion (Infraco) The policy intention is to use state-owned infrastructure to induce competition in the telecommunications sector and to support the creation of the square kilometre array (SKA). During 2008, Broadband Infraco was created and has wholesaled/leased the fibre-optic network previously owned by Transnet and Eskom to Neotel for the next five years, thereby supporting a second fixed-line operator to compete with Telkom. Infraco is also participating in the African West Coast Fibre Optic Undersea Cable Project, which will increase the band width available to South African users. Implementation of national telecommunications policy and the efforts of the regulator (Icasa) have resulted in a more competitive environment in which a number of cable and other national and local-level infrastructure projects are being implemented. 5.2.12 Expanded Public Works Programme (EPWP) Phase One of the EPWP commenced in 2004, with the objective of assisting national, provincial and municipal government to adopt more labour-intensive methods of project delivery, particularly on the maintenance of low-volume roads, storm-water drains and sidewalks. The programme provides people with income-earning opportunities such as acquiring skills that will improve their chances of getting employment in the future. The EPWP is monitored and supported by a unit within the Department of Public Works. 12 DoT (2008), Briefing to the Joint Budget Committee on the 2008 Medium Term Budget Policy Statement (MTBPS), 28 October 2008 56
Accelerated and Shared Growth Initiative for South Africa ANNUAL REPORT 2008 Budgets for implementing projects using labour-intensive EPWP methods remain the responsibility of provincial departments responsible for those particular projects – in this sense, the EPWP does not have a direct project budget. Phase One, which was implemented between 2004 and 2009, achieved its target of creating more than one million part-time employment opportunities. Table Five reflects full-time equivalent employment opportunities. Table 5: Estimated full-time equivalent employment on public works programmes, 2004/05 – 2007/08 2004/05 2005/06 2006/07 2007/08 Economic 286 222 1 222 1 553 Environment and culture 15 944 23 882 26 658 23 075 Infrastructure 52 891 28 188 34 738 77 816 Social services 1 965 10 838 23 083 43 916 Total 71 086 63 130 85 701 146 360 Source: National Treasury (2008), MTBPS From 2009 to 2012, R4.2 billion has been allocated to Phase Two of the EPWP. This will include a new EPWP grant incentive for municipalities aimed at providing them with incentives to increase the number of employment opportunities on infrastructure projects. During EPWP Phase One, municipalities did not significantly adopt labour-intensive approaches to infrastructure implementation. The extension of this programme targets 400 000 full-time equivalent longer-term jobs in the social and municipal services sectors, home-based and community care, as well as project-based employment in infrastructure and environmental protection, in adult literacy initiatives and in programmes delivered through non-governmental organisations. A new modality for delivery will be the Community Work Programme in which unemployed poor people will be employed for two days a week on communal projects developed and agreed to by poor communities. 57
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(AsgiSA) Annual Report 2008 - South African Government Information

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