NA passes the Division of Revenue Amendment Bill
22 November 2023
The National Assembly today passed the Division of Revenue Amendment Bill.
The Bill was tabled by the Minister of Finance, Mr Enoch Godongwana, in Parliament on 1 November when he presented the Medium-Term Budget Policy (MTBPS) statement.
The Bill was tabled in terms of section 12(4) of the Money Bills Amendment Procedure and Related Matters Act No 9 of 2009 (as amended by the Money Bills Amendment Procedure and Related Matters Amendment Act, No13 of 2018). The Act requires the Minister of Finance to table a Division of Revenue Amendment Bill with a revised fiscal framework if the adjustments budget affects changes to the Division of Revenue Act for the relevant year.
Having deliberated and considered all submissions made by relevant stakeholders, the Standing Committee on Appropriations in its report noted with concern the proposed reduction of R260 million on the schools’ infrastructure backlog grant.
Given the poor state of some public schools, particularly in rural provinces, the committee is concerned that these proposed reductions will further delay the eradication of inappropriate schools’ infrastructure and further disadvantage the poor who depend on public schools for education.
The committee recommended that even though it recognises that expenditure management and fiscal consolidation is important as a temporary intervention to protect the fiscus in the face of lower revenue collection, it was important that all departments across the three spheres of government implement the South African Economic Recovery and Reconstruction Plan without further delay to ensure long term sustainability.
The committee also raised its concerns about infrastructure projects overshooting budget allocations and recommended that government ensures that proper checks and balances are in place for projects to be implemented timeously and within budget.
The Bill will now be sent to the National Council of Provinces (NCOP) for concurrence.
Issued by Moloto Mothapo, Media Officer, Parliament, 22 November 2023
