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There is no doubt that there is a widening dichotomy between what the South African National Defence Force (SANDF) is expected to achieve, and the resources provided to fulfil those expectations.

This is according to Defence and Military Veterans Minister Thandi Modise, who believes the SANDF is being spread thin.

On Tuesday, Modise delivered her department's budget vote speech, detailing how the diminishing budget would be divided.

"Our inability to maintain, repair and overhaul our ageing fleets of combat equipment simply adds to our already dire block: the obsolescence of our prime mission equipment. There can be no doubt that there is a widening dichotomy between that which the SANDF is expected to achieve and the resources that are provided to achieve these expectations. [The] SANDF is being spread so thin," she said.

Modise said the decline in South Africa's economy had placed significant pressure on the government and households.

"It is becoming difficult to adequately meet all competing needs. This is fertile ground for instability. The historical downward trend in the defence allocation has not abated. It is likely to continue to the detriment of the SANDF and the demise of the defence industry," Modise said.

"Defence planning has become primarily a budget-driven affair as opposed to a mandate-driven one. This means that our ability to deliver on our constitutional mandate ultimately compromises the successful conducting of military strategic missions in a sustainable manner."

Modise also tabled a R49-billion budget allocated to the Department of Defence, and R666.4-million allocated to the Department of Military Veterans for approval during her speech.

The minister said the SANDF's increasing reliance on foreign manufacturers placed the nation in a strategic quandary. This, Modise said, has serious implications for the nation's sovereignty.

"The current state of equipment and facilities can, in many instances, be ascribed to questionable leadership and poor decision-making. These tarnish the image of the SA National Defence Force.

"Similarly, when attending the Dirco Heads of Mission Conference in April 2022, I received many complaints from our diplomatic fraternity about the performance of our Defence Attaché corps," she said.

Democratic Alliance MP Kobus Marais said he had never been so concerned about the state of the SANDF.

"The Russian invasion of Ukraine is a stark reminder of our vulnerabilities and state of our defence readiness, should our territory be invaded similarly. It's just too serious not to consider the consequences," Marais said.

"Under the current budget, the state of our defence force, its capabilities, priorities and strategies are at an increasing risk. The 2015 Defence Review never received any significant support and commitment from Cabinet and National Treasury to achieve its objectives and the five milestones."

Inkatha Freedom Party MP Narend Singh said the SANDF should do more to prevent the flow of illicit goods across the border.

"An immediate military intervention assisted by military intelligence must be prioritised. Soldiers and civilians who are found to be involved in such matters must be arrested and fully prosecuted," he said.

A state agency employee has been charged with corruption in connection with a multimillion-rand contract that was awarded to communications company Digital Vibes in 2018.

Municipal Infrastructure Support Agent (MISA) employee Lizeka Tonjeni was arrested on Tuesday morning and appeared in the Pretoria Commercial Crimes Court.

She is accused of accepting a bribe of R160 000 from Digital Vibes to further the company's interests. It's alleged that the money was paid to her while she was the project manager of the contract awarded to Digital Vibes in 2018.

MISA falls under the Department of Cooperative Governance and Traditional Affairs (Cogta) and at the time, Zweli Mkhize was the Cogta minister. One of the indirect owners of Digital Vibes, Tahera Mather, was his spokesperson.

According to the Special Investigating Unit (SIU), Mather and Naadhira Mitha were the true owners of Digital Vibes, even though the company was registered in the name of a petrol station manager in Stanger, KwaZulu-Natal.

Digital Vibes has also been the subject of an investigation into a R150-million tender with the national Department of Health.

The SIU found that the contract was irregular and unlawful and that Mkhize and his family benefitted from the tender.

Tonjeni was granted R5 000 bail. The State did not oppose the accused's release on bail.

It's unclear whether more people will be charged in the case.

Government rejected demands from labour unions representing 1.3-million state workers for 10% raises and increased housing allowances and other stipends, instead proposing that it extend the payment of an additional R1 000 monthly cash stipend by a further year.

Acceding to the unions’ proposals will cost R146-billion over three years, which isn’t affordable, the government said in a submission to the public sector bargaining council, which was seen by Bloomberg. It also rejected demands for contract workers to be permanently employed.

Remuneration accounts for almost a third of total government expenditure, and keeping it in check is key to the National Treasury’s plans to rein in the budget deficit and bring runaway state debt under control. The unions have argued that inflation-beating increases are warranted in light of soaring food and energy costs. The annual consumer inflation rate is currently 5.9%.

The February budget provided for total compensation to grow by an annual average of 1.8% for the next three years and made no additional provision for wage increases beyond a R20.5-billion allocation in the 2022-23 fiscal year to cover the cost of an interim pay deal struck last July. That single-year accord provided for civil servants to receive R1 000 monthly payments in addition to their salaries -- a concession the government proposed extending until the end of March 2023.

The government agreed to a union request to negotiate another single-year pay deal on condition that talks are concluded by next month.

The state’s offer amounted to a total increase of 1.5% to 2%, and it still needs to clarify how the money will be allocated and whether the gratuity will be a one-off or be added to workers’ base-line pay, said Claude Naiker, a spokesperson for the Public Servants Association, which represents more than 230 000 state workers.

“Basically all the demands that we had set up in our proposal, none of them have been met by the employer,” he said. “What we have done now is we have taken the proposal to workers and our next meeting will be in the latter part of May” where the state will provide further details of its pay offer, he said.

"The damage is huge," KwaZulu-Natal Premier Sihle Zikalala said on Monday while visiting areas affected by heavy rains and flooding over the weekend.

The premier and members of his executive council, along with eThekwini Mayor Mxolisi Kaunda, visited parts of Durban to determine the extent of the damage caused by the flooding.

They visited the Bluff in the south of Durban, as well as uMdloti, La Mercy, Seatides and Tongaat, where residents had to be evacuated after heavy rains caused damage to homes and infrastructure.

"We are thankful that in these areas no one was reported to have died, though we have received one body which could be ascribed to be caused by these floods at our Phoenix mortuary," Zikalala said.

The premier visited areas to view the extensive damage caused to infrastructure, including roads being washed away.

Among the roads affected is the M4, which had been closed after April flooding damaged a bridge in La Mercy.

The April flooding left more than 400 dead and 40 000 people displaced, with billions of rands worth of damage caused to homes and infrastructure.

"The road is severely damaged between La Mercy and Seatides. It’s impossible to use," said Zikalala.

He added that efforts would be made to have the road reopened in the coming days. However, it could take another month before repair work to the bridge was completed.

Other infrastructure damaged included a water treatment plant in uMdloti.

On Sunday, Kaunda visited the plant to assess the extent of the damage, saying it would affect water services to the area.

At a media briefing on Sunday afternoon, the mayor said the municipality had not yet received a comprehensive report on the impact of the latest heavy rains.

However, several roads had been damaged and had to be closed. Hundreds of people were evacuated and placed in centres across the province, News24 previously reported.

In his weekly letter to the nation on Monday, President Cyril Ramaphosa stated that the time for “half measures” in transformation is over.

Responding to the recent reports of racism at Stellenbosch University, he called out people who were holding on to ideas of white superiority.

However, he added that to end racism the conditions that separate black and white South Africans needed to change, along with attitudes.

He said the sooner that racism was acknowledged as a feature still within societies, the sooner it could change.

“It cannot be that the onus must rest with the formerly oppressed as the main victims of racism to advance reconciliation,” Ramaphosa said.

Meanwhile, he commended young South Africans taking the lead to end racism but expressed concern that such incidents were occurring at schools and places of higher learning, where a number of the people involved were born after the end of apartheid.

“We know that racism, here and around the world, is driven by feelings of superiority on the part of those who perpetuate it. And although racism can be directed against anyone, it is black people who bear the brunt, both in the past and in the present. As the Black Lives Matter movement has so strongly asserted, we need to systematically dismantle and eradicate attitudes of white superiority,” he said.

He compared the new generation of young South Africans to the youth of 1976, as they challenged society to grapple with racism, its causes and its effects.

Ramaphosa said there was a need for frank and honest dialogue between people of different races on the experiences of black people in South Africa 28 years into democracy.

He suggested that discussions be part of the life orientation curriculum in schools and urged the arts and culture community to produce content and programming that fully reflected the diversity of the country and the lived experiences of people of all races.

“It is our wish and expectation that the student population and the broader Stellenbosch University community, both black and white, find each other and rally together to confront racism honestly with courage and truthfulness. They must roundly reject what has happened and express their determination to achieve a learning environment free of bigotry, racism and chauvinism and embrace a non-racial future for Stellenbosch University. By so doing they will set the standard for us all,” Ramaphosa said.

Petrol prices may surge by more than R3.50 a litre in the first week of June, with Gwede Mantashe, Minister of Mineral Resources and Energy, saying that the general fuel levy cut will fall away at the end of May.

The levy was cut by R1.50 a litre for April and May as government sought to relieve the economic stress of surging fuel prices.

But when Fin24 asked Mantashe on Thursday whether the levy cut would be extended beyond May, he said it would not – although his department still needed to consult with National Treasury.

The funds that can be raised from the sale of the strategic reserves are only enough to fund the reduced levy for two months, Mantashe said.

"[At the end of May] we have to meet Treasury to [see] if there can be anything more that we can do," Mantashe said.

Government finances are extremely constrained, which the loss of the income from the levy would worsen.

Over the past financial year, government debt reached R4.3-trillion. On average, 20 cents of every rand collected in government revenue is now being spent on debt repayments, which is crowding out spending on health and basic education.

At the same time, South Africans are facing their own financial strain: food and fuel prices have rocketed over recent months, with more pain to come.

According to the latest data from the Central Energy Fund, petrol prices must be adjusted by more than R2.20 a litre in June to compensate for oil prices and a weaker rand. Combined with the fuel levy of R1.50, this would push the petrol price by more than R3.70 from current levels. Diesel prices could rise by around R2.80 a litre.

These prices must still be adjusted as the rand and oil prices change before month-end. Local fuel prices are determined by international oil prices, as well as the dollar-rand value, as South Africa buys oil in dollars.

If the petrol levy cut isn’t maintained beyond May, inflation may reach 6.8% to 7% in June, says chief economist of Old Mutual Investment Group, Johann Els. This is well above the SA Reserve Bank’s maximum target of 6%.

Inflation hit 5.9% for the third time in five months in April.

With consumer inflation around 7%, and with the combined effect of higher interest rates, workers won’t be happy with salary hikes of 5%, said Johann van Tonder, economist at Momentum Investments.

"If the petrol levy cut is not maintained beyond May, this will fuel even larger wage demands than what are currently seen, leading to more strikes in the end," Van Tonder said.

Government previously said that it wanted to review the composition of the petrol price, and one solution would be to remove the Road Accident Fund levy, he added.

"It doesn’t make any sense to have such a levy as part of the fuel price – you may as well add a health or education levy to petrol, given that you use transport to get to school or hospitals."

The Road Accident Fund – which has liabilities of around R300-billion - will then have to be added to the expenditure side of national budget, says Van Tonder. "This will necessitate government to cut state spending to make room for it, or it may also have to think about new tax revenue to finance the RAF."

Removing the RAF would immediately lower the petrol price by R2.20, he added.

But on Thursday Mantashe said that his department had reconsidered the fuel price formula and that the current proposed revisions wouldn't save more than 13c per litre.

The Electoral Commission of South Africa (IEC) says elections have become so highly contested that intra and inter-party rivalries are increasingly playing out in the electoral process.

On Friday, IEC deputy CEO Masego Sheburi briefed Parliament on the successes and challenges of the November 2021 municipal elections.

At the time, the IEC had to plan the elections amid a surge in Covid-19 infections.

Last year's polls also saw the lowest voter turnout, and several councils across the country were left hung after no single party could obtain an outright majority.

But Sheburi told MPs the level of contestation had drastically increased.

"Recently, elections have become highly contested, with increased intra and inter-party rivalries that play out in the electoral process. The cutthroat nature of contestation increases the risk of contestants not accepting the results and not resorting to established electoral justice mechanisms for recourse."

Sheburi said there had been an increase in instances of disinformation and outright misinformation.

Added to that, he said, electoral events were accompanied by community protests, which at times turned violent.

Sheburi highlighted the low rate of participation in elections, especially by young people.

While voter turnout was relatively low, there was no shortage of politicians vying for positions.

"In the lead up to 2021 elections, a total of 508 political parties were registered on the party register. However, only 323 political parties contested the elections.

"Of the total contesting parties, 175 parties were registered nationally and, thus, could contest any municipality in the country. 148 parties had municipal registration and were, therefore, eligible to contest only in the respective municipality of registration," he added.

Sheburi added that a record number of 95 440 candidates had contested the municipal elections.

"There were 34 321 proportional representation and 59 570 ward candidates, as well as 1 549 independents. This represented an increase of 31 884 candidates (50% increase) when compared with 63 556 candidates that contested the 2016 municipal elections.

"A record of 99 139 candidates initially submitted to contest the 2021 municipal elections. Of those submitted, 3 699 candidates were disqualified for various reasons."

In September last year, the Constitutional Court dismissed the IEC's application to postpone the elections.

The apex court ruled that elections had to take place between 27 October and 1 November 2021 following calls by the IEC to postpone them amid the Covid-19 pandemic.

The majority judgment held that the IEC's constitutional duty was to conduct the elections within the 90-day period, "making them as free and fair as circumstances reasonably permitted and that our courts do not, save in rare and exceptional circumstances, have the power to relieve the commission of this duty".

African National Congress (ANC) head of policy Jeff Radebe said on Friday that organisational renewal is important for the survival of the party as it released its policy discussion papers ahead of the much-awaited policy conference scheduled to take place between July 28 and 31.

The ANC will take discussions to its branches and other forums, which will convene between the end of June and July 23.

Addressing the media at the party’s headquarters in Johannesburg, Radebe acknowledged that the ANC had been discussing renewal for a long time. He said it would continue as it was important in taking the party forward.

The ANC dipped below 50% at the polls in a number of metros and municipalities in the 2021 local government elections.

“This is a huge warning signal for the coming 2024 national elections,” said Radebe.

Radebe said the ANC would continue to ensure that the behaviour of party members and leadership was ethical and that several elements would be removed from the party’s ranks.

He added that recent unsavoury factors such as lower levels of community trust, corruption, poor service delivery and a “distant, out-of-touch, inward-looking ANC” that was unable to be an effective agent of change and connect with communities, had resulted in the ANC losing support including in the local government elections.

ECONOMIC POLICY

On its vision for the country’s economy, the ANC policy document says the party is guided by the Freedom Charter.

The ANC laid out its strategy for economic growth with a focus on:

structural reforms of network industries for expanded investment, particularly in electricity, telecommunications, water, rail and road infrastructure

strengthened industrial policy interventions

better management of expenditure and taxation, and a balanced monetary policy

a mixed economy with the private and public elements to boost job creation

expanded regional trade in Africa.

“The new policy frameworks must be underpinned by a comprehensive social compact of government, business, labour and civil society as the President Cyril Ramaphosa indicated during the State of the Nation Address,” Radebe said.

He acknowledged that, as a precondition, an ethical and capable State with broad support was essential for the programme to succeed.

He warned those involved in corrupt activities that damage to the country’s growth potential and infrastructure was tantamount to economic sabotage adding that it had no place in the ANC.

Radebe said it was important that the criminal justice system and crime intelligence, as well as the South African Police Service, were strengthened.

“The attainment of democracy in 1994 fundamentally shifted the strategic balance of forces in South Africa in favour of the forces of national liberation and social transformation. Indeed, a major concern in the current period pertains to weaknesses and even reversals, especially at municipal level, and the capacity of the State in general,” he said.

He added that the State Capture Commission has been a vital tool in assisting government to eradicate corruption.

Find the documents here

The death toll from the KwaZulu-Natal floods stands at 448 people, with another 88 still missing more than a month after the disaster, Premier Sihle Ziklalala said on Thursday.

Zikalala said a final baseline report confirmed the figures, which included 6 895 homeless people and 50 injured.

He added that 27 069 houses were affected, with 8 584 of these totally destroyed.

"All homeless are in 91 shelters currently, all will be provided with houses."

The cost of the flood damage to public infrastructure was officially estimated at R25-billion, with losses mainly from roads, rail and bridges, housing, water, sanitation, electricity and agriculture and manufacturing.

"We still have the water service system still out of operation in areas such as Tongaat as they were seriously compromised by the floods," the premier said.

Zikalala said the provincial government was working hard at trying to rehouse those in shelters into temporary housing units.

"Yes, they will receive houses in [the] form of temporary residential unit[s]. It is good quality and guaranteed for three to five years. They will be integrated in the forthcoming project for housing, so they get permanent housing."

Billion-rand funding

Addressing the R1-billion funding from the national government, Zikalala said it would come in the form of grants and services.

"The R1-billion comes in separate grants in the form of humanitarian support, emergency services such as water and others. It is based on applications made by municipalities and provincial departments.

"Ours is to consolidate a comprehensive budget based on damage incurred and submitted that to national disaster management - they will take that to Treasury and discuss at a national level," he said.

He said the province was still trying to source funds to direct them toward those in need.

"We are trying to source other funds, but we want that money to go directly to those in need. The gaming industry in KZN, for example, came on board to donate. We said do not give us money, go and fix schools.

"So now the education department will say these are... the schools and then direct the gaming industry to repair those schools."

Minister of Transport Fikile Mbalula said the final pronouncement on the funding model of e-tolls is imminent.

Mbalula tabled his budget vote for the Department of Transport in Parliament on Wednesday afternoon. This comes amid uncertainty around South African National Roads Agency Limited (Sanral) electronic tolling system to pay for the Gauteng Freeway Improvement Project, which has been met with public resistance.

Mbalula said he was working with Minister of Finance Enoch Godongwana to help Cabinet arrive at a final determination on the funding of the Gauteng Freeway Improvement Project.

He said that a decision on the matter was "imminent", although it has taken a long time.

"We are alive to the adverse impact the delay in making the final decision on e-tolls has on the [Sanral] balance sheet and its ability to raise capital for its catalytic projects," said Mbalula.

In his budget vote, Mbalula detailed the billions in financial support that are committed to fund programmes and stabilise Sanral and the Passenger Rail Agency of South Africa (Prasa).

Prasa has been rocked by challenges, including the theft, vandalism and destruction of its rail infrastructure and instability at a leadership level. Former CEO Zolani Matthews has successfully challenged his dismissal, which has been ruled invalid by the courts.

Mbalula said Sanral would continue to get support from the Department of Transport in the medium-term to help it extend its national road development programme.

"An allocation of R76.4-billion goes to the South African National Roads Agency. Transfers to Sanral account for 33.5% of the department's budget over the medium term and 65.5% of the budget of the road transport programme," said Mbalula.

Mbalula said Prase would also receive significant financial support in the medium-term for capital, operational and refurbishing purposes.

"In recognising the centrality of providing affordable, safe and reliable public transport services, capital transfers to the Prasa will increase from R12.6-billion in 2022/23 to R13.5-billion in 2024/25," he said.

Mbalula said the capital transfers would go towards refurbishing coaches, Prasa's rolling stock fleet renewal programme, signalling and other capital projects, which include security of the rail infrastructure.

"Operational transfers to Prasa are expected to increase from R7.2-billion in 2022/23 to R7.8-billion in 2024/25," said Mbalula.

He said R45.3-billion, or 59.3% of the allocation to Sanral, is budgeted to upgrade, strengthen and refurbish the national non-toll roads network, while R2.8-billion is allocated for Moloto Road.

"A budget of R3.7-billion is allocated for the N2 Wild Coast project and R2.1-billion allocated to fund reduced tariffs for the Gauteng freeway improvement project," the minister said.

Mbalula said since January, the department has produced 1 026 674 driving licence cards, with a backlog of 526 841 cards as of 16 May.