Page 69 - Provincial Treasury Estimates.pdf

Estimates of Provincial Revenue and Expenditure (EPRE) -2023/24 Financial Year

related to the inadequacy of portfolio and project management skills, implementation capacity of

the provincial implementing agents and contractors as well as the timeous preparation of credible
recovery plans in the Province, which has led to projects not being completed on time, with the

appropriate costs and quality. The province is moving towards the conclusion of a single provincial
economic revitalization plan for infrastructure, as this will be a catalyst to address planning and

implementation challenges.

In respect of continuing to improve in the integration of plans, the infrastructure planning process

is also based on a regionalized approach in the Eastern Cape, which cuts across the various

spheres of government taking into account the comparative advantage of the Province. Using the
DDM regionalized approach, projects are thus to be packaged, per region, with all associated

supporting projects and sectors involved so that the projects are able to deliver as optimally as
possible. The regional approach has already been customized into the Provincial Infrastructure

Delivery Management System (IDMS) and project selection involves a comprehensive planning

checklist, which includes social, environmental, economic and financial aspects and a standard
implementation readiness tool, which links the project data to the project cash flows and

contractor grading capabilities.

In order to ensure that planning is indeed delivered in an integrated manner and that alternative
funding models are explored to counter the challenge of the limited fiscus, the Provincial Treasury

(PT) has continued with the 3 year contract, which has resulted in the appointment of two service

providers. One of these service providers is currently focussed on the improvement of the
alignment and integration of planning of infrastructure projects and programmes between the

various sectors and spheres of government including the mapping of projects such that service
delivery gaps are identified and efficiencies and economies of scale are realised. The remaining

service provider is focussing on the capacity building on the packaging of projects and alternative

sources of funding.

The Infrastructure Reporting Model (IRM) web based system, will continue to be strengthened as

an enabler for infrastructure delivery, as it is regulated for all Infrastructure departments as per
Section 11(4)(c) of the Division of Revenue Act (DORA) of 2022 and it aims to enhance

transparency and uniformity on infrastructure budget analysis and spending reviews across the
spheres of government in the areas of spatial budget analysis, unit costs and funding policies.

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