KZN social sector departments get largest chunk of budget

The KwaZulu-Natal Departments of Education, Health and Social Development have been allocated the lion’s share of the provincial budget for the 2024/25 financial year.

Presenting the provincial government budget for the 2024/25 financial year at the KZN Legislature in Pietermaritzburg on Thursday, KwaZulu-Natal Finance MEC, Francois Rodgers, announced that the bulk of the provincial budget is allocated to the social sector departments, which received 80% of the provincial budget, while the balance of 20% goes towards funding all the other votes.

“Education receives between R4.1 billion and R4.4 billion per annum over the MTEF [Medium-Term Expenditure Framework], Health receives between R2.6 billion and R2.8 billion per annum over the MTEF, [and] Social Development receives between R134 million and R144 million per annum over the MTEF,” Rodgers said.

Conditional grant allocation increase

Rodgers said the conditional grant allocation has increased by R501.3 million in 2024/25 and reduced by R989.3 million in 2025/26 and R593.5 million in 2026/27.

The budget allocated towards Ilima/Letsema Projects, under the Department of Agriculture and Rural Development, has been cut by R24.7 million in 2024/25.

The MEC said the cut is due to National Treasury reprioritising the funds towards the Presidential Employment Stimulus. 

In aggregate, Rodgers said the province receives R141.4 million through two Expanded Public Works Programme (EPWP) conditional grants aimed at increasing job creation in the province. 

Rodgers said the EPWP Integrated Grant for Provinces and the Social Sector EPWP Incentive Grant for Provinces have been reduced in 2024/25 due to National Treasury reprioritising these funds towards the Presidential Employment Stimulus. 

He said these grants were cut by R42 million and R29 million, respectively, against various Votes. 

The MEC said the Education Infrastructure Grant has increased by R58.1 million in 2024/25. 

Rodgers noted that the grant is incentive based, and the increase is partly due to the incentive allocation where the department scored well, achieving 98% in terms of submitting planning documentation and showing capacity to spend, and thus received an incentive allocation of R89 million. 

“The National School Nutrition Programme grant receives an increase of R19 million in 2024/25 to continue with the provision of nutritious meals. The budget for 2024/25 after the increase is R2.2 billion,” the MEC said. 

The budget for the Health Facility Revitalisation Grant has also increased by R31.1 million in 2024/25. 

Rodgers said the addition to the grant is due to incentive based and the department’s score at 99%, in terms of submitting planning documentation and showing capacity to pend and was allocated R72.9 million. The budget for Health Facility Revitalisation Grant is R1.5 billion in 2024/25.

Significant increase for Provincial Roads Maintenance Grant

The Provincial Roads Maintenance Grant has also seen a significant increase of R691.8 million in 2024/25 for the maintenance and rehabilitation of the provincial road network, as well as repairs to infrastructure damaged by floods.

“The budget for this grant is R3.2 billion after this increase and shows our commitment to improving the provincial road network,” Rodgers said.

The Human Settlements Development Grant has decreased significantly by R268.7 million in 2024/25 to be able to provide funds to the social sector for the 2023 wage agreement carry-through costs.

“The budget for this grant in 2024/25 is R2.5 billion after the budget cut. The Informal Settlements Upgrading Partnership grant also had a large budget cut of R228.6 million in 2024/25, in line with National Treasury’s decision to source funds through reprioritisation to provide funds to the social sector for the 2023 wage agreement carry-through costs.

“This budget cut is carried through over the MTEF and the budget for 2024/25, after the budget cut, is R597.1 million,” Rodgers said.

The Provincial Treasury receives R7.7 million over the MTEF (R2.6 million per annum) towards the costs of upgrading the Biometrics Access Control System to strengthen its security and ransomware features, while Sport, Arts and Culture was allocated R4.1 million for the construction of a monument in honour of the 1860 arrival of the Indian indentured labourers. 

“Transport requested that R3 million be suspended from their Vote in 2024/25 for allocation to Economic Development, Tourism and Environmental Affairs with respect to sourcing an airport emergency fire and rescue vehicle for the Margate Airport. 

“This relates to the ongoing collaboration between these two departments to ensure the successful operation of the provincial regional airports,” Rodgers said. – SAnews.gov.za