R50 million worth of job creating projects squandered 

29 March 2015

At Friday's meeting of the Portfolio Committee on Tourism, I raised the issue that the National Department of Tourism (NDT) had failed to implement R50 million worth of projects associated with the Social Responsibility Implementation (SRI) program. The SRI is an Expanded Public Works Program with the objective of poverty alleviation and job creation through tourism.

According to the schedule of projects submitted to Committee, a substantial number of projects have been placed on hold as a result of poor management from project implementer's, some of whom are under forensic review. What is of even more concern is that some of these projects and investigations into them date as far back as 2011. 

To date, the results of the forensic audit have not been tabled in the Portfolio Committee, to allow Parliament to ascertain if any action has been taken against officials implicated in corrupt practices in relation to the SRI projects. 

I will write to the Chairperson of the Portfolio Committee on Tourism, Beatrice Ngcobo, requesting that she summon the Director-General of the NDT, as the accounting officer, so that he may table the results of the forensic audit into SRI projects and project implementer's.

By not responsibly supporting these projects, the Department has failed to develop tourism infrastructure in rural communities which would see advanced job creation for many unemployed. This failure is essentially a lost opportunity to create jobs for South Africans because if implemented successfully, the nation could have had a further R50 million worth of job creating projects. 

For example, in the Free State, the following SRI projects exist: Barolong Boo Seleka Cultural village in Thaba Nchu and Qwaqwa Guest House while in Kwazulu Natal you have Lilani Hot Spring - none of which are complete and operational. These projects were meant to create jobs for the people in and around the communities. If these projects are not operational it means that the SRI has failed in its core mandate. 

The NDT must act swiftly to prosecute those implicated of any wrong doing and it must implement a turnaround plan to ensure that these outstanding projects are implemented with the aim of creating opportunities, especially in rural communities. 

It is unacceptable that tourism operators are struggling while the funds set aside to benefit them are misused, wasted or stolen. The continued failure by government to deliver on projects within budget and on time will do nothing but stand in the way of our country achieving its goals of economic growth and job creation.

Statement issued by James Vos MP, DA Shadow Minister of Tourism, March 29 2015

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