Limpopo’s R83,11 billion budget targets project implementation  and completion: “These allocations were informed by robust assessment of each department,” says Treasury MEC Seaparo Sekoati  

LIMPOPO treasury embarked on what it called “robust assessment” of each department before allocations of the 2024/2025 provincial budget totalling R83,11 billion were made.

Delivering the budget speech in Polokwane on Tuesday, Treasury MEC, Seaparo Sekoati, said: “…these allocations were informed by robust assessment of each department’s readiness, capacity to absorb, effectively and efficiently spend resources.

“The provincial treasury assessed the business plans and implementation plans of all projects that will be implemented by departments over the 2024 medium term to ascertain readiness, hence only projects that were found ready to commence received funding.”

In the past, some departments had funds allocated for projects which they failed to implement. This resulted in the provincial government applying for roll-overs, or funds being returned to the National Treasury.

Recently, the Democratic Alliance claimed that just over R1,6 billion of unspent funds by several departments was returned to the National Treasury. This, however, was denied by the provincial government which indicated that only R122 million was returned in the 2022/2023 financial year.

In his address, Sekoati said the provincial infrastructure budget will be R7,851 billion to be allocated to all the departments. Of this, the lion share went to the public works, roads and infrastructure department (R3,714 billion), and education (R1,629 billion).

The department of sport, arts and culture was allocated R243,585 million, of which R200 million will be for the construction of a provincial theatre. The department of economic development, environment and tourism received R25 million for the refurbishment of state resorts.

Sekoati said procurement plans have been finalised and the provincial treasury was implementing controls – to be monitored on monthly basis – to prevent unwanted expenditures.

He was upbeat about the financial outlook of the provincial administration and remained optimistic that negative audit outcomes will be eliminated in the near future.

“…as in 2011/2012, the province had 19 disclaimer audit opinions which to date have all been eliminated. It is also notable that we received a number of clean audits over the last couple of years, however, they are not yet sustainable.

“Therefore, through enhancing financial governance, strengthening of audit remedial action and oversight, we endeavour to improve the sustainability of clean audits and elimination of remaining unqualified audits in the foreseeable future,” Sekoati said.