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MINISTRY FOR PROVINCIAL AND LOCAL GOVERNMENT

REPUBLIC OF SOUTH AFRICA

Private Bag X802, Pretoria, 0001 Tel: (012) 334 0705, Fax: (012) 326 4478

cnr Hamilton and Proes Street, Arcadia, Pretoria









PRESS STATEMENT ON THE OCCASION OF THE LAUNCH OF PROJECT

CONSOLIDATE, A HANDS-ON PROGRAMME OF SUPPORT FOR LOCAL

GOVERNMENT.



29 October 2004



Earlier this year, the Ministry and Department of Provincial and Local

Government made a commitment that before the end of 2004, we would

announce measures aimed at revitalizing local government. We made this

commitment because the local sphere of government is best positioned to make

a positive impact on the lives of our people.



In the last 10 years government made enormous strides in tackling poverty and

providing basic services to our people. Notwithstanding this progress service

delivery backlogs still exist in key areas that affect the daily lives of our people.

For example, there are municipalities with a substantial number that do not have

access to electricity, adequate sanitation or clean drinkable water.



There is an urgent need to find innovative ways to optimise the impact of our

local government system, to improve and strengthen the coordinated actions of

national, provincial and local government in key areas of delivery together with

key partners.



The feedback were received during the election campaign and during Imbizo

point to the need for faster implementation of our service delivery programmes.



Informed by these lessons and our analysis of local government we developed a

support initiative for local government known as Project Consolidate. Cabinet

endorsed Project Consolidate in May 2004. Since then the Ministry and

Department have consulted extensively with Provincial Governments and

organized local government (the South African Local Government Association)









1

on this initiative. Through the President’s Coordinating Council (PCC), Premiers

of all provinces were also formally briefed.



The Ministry and the Department of Provincial and Local Government has

undertaken a thorough profiling and analytical exercise of all 284 municipalities.

This profiling looked at critical service delivery indicators and provided a clear

diagnosis of the main problems and bottlenecks in our municipalities.



Today the 29th of October 2004, the Ministry and the Department of Provincial

and Local Government is unveiling a hands-on engagement and support

programme on local government to address the main challenges, by focusing on

capacity building and support to priority municipalities.



The principal purpose of this initiative is to deepen the thrust and impact of

existing policies and programmes directed at local government. This two-year

engagement programme is going to allow national and provincial government,

together with key partners in the private sector, to find new, creative, practical

and impact orientated modes of engaging, supporting and working with local

government.



The primary focus of the targeted, hands-on engagement programme will be on

areas requiring immediate and direct action. Teams will be deployed to work at

municipal level to assist in addressing practical issues of service delivery and

local governance. Specific areas will include:



 Public participation, ward committees and Community Development

Workers

 Indigent policy, free basic services, billing systems and municipal debt

 Expanded Public Works Programme, Municipal Infrastructure Grant

and Local Economic Development

 Performance management framework, indices and communication.



Another element of Project Consolidate will focus on addressing the billing

problems in key municipalities. An innovative proposal has been developed

which will bring together appropriate established and prospective service

providers / companies working in this area on billing in order to provide targeted

assistance to 12 municipalities (Annexure E) throughout the country. We have

had intensive consultations with these existing and potential service providers

(Annexure D) and have their full support for this initiative.



Municipal billing systems have come to occupy a unique position in our new

system of developmental local governance. They are, in an important sense, the

cement that holds together the compact between residents and their local

government.









2

Important institutional oversight and management arrangements have been put

in place to support Project Consolidate. In all of these arrangements, national

government will work closely with provinces, organized local government and key

stakeholders and partners. These institutional arrangements include the

following:



a) Inter-Ministerial Committee (Annexure A): A national Inter-Ministerial

Committee on Project Consolidate has been established. The IMC will

exercise oversight and give guidance on the implementation of the

initiative.



b) Advisory Working Group (Annexure B): An Advisory Working Group

(AWG) has been constituted. Its main purpose will be to offer ongoing and

periodic advice and guidance to the Minister for Provincial and Local

Government on the implementation of Project Consolidate over a period of

2 years.



c) Project Management Unit (PMU): A national PMU will be established in

dplg. Its primary functions are to support the deployment teams with

project management services and also to undertake ongoing monitoring of

the support initiatives.



d) Delivery Facilitation Team: Project Consolidate is innovative in the

sense that it will deploy professionals and experts to priority municipalities

to address local governance and service delivery challenges. These

professionals will act as Local Service Delivery Facilitators in the priority

municipalities.



The names of priority municipalities (Annexure C) that will be receiving

additional support will be made available. They are found in all provinces, and

represent Metropolitan, District and Local municipalities, and both urban and

rural municipalities.



Government will, through this intervention, ensure a more proficient use of

resources derived from nationally raised revenue, to benefit the indigent and to

operationalise government policy on the provision of basic services. We seek to

make local government more dependable as an enabler for the realization of the

goals of sustainable service delivery.



ISSUED BY MINISTER FOR PROVINCIAL AND LOCAL GOVERNMENT F.S

MUFAMADI



For more information please contact Xolani Xundu, Media Liaison Officer at (012)

334 0680 or 082 777 8070









3

PROJECT CONSOLIDATE



Priority Municipalities

Province Municipality

North West

Bojanala District Municipality:

1. Madibeng Local Municipality

2. Moses Kotane Local Municipality

3. Moretele Local Municipality

4. Rustenburg Local Municipality

Bophirima District Municipality

5. Greater Taung Local Municipality

6. Kagisano Local Municipality

7. Molopo Local Municipality

8. Mamusa Local Municipality

9. Lekwa Teemane Local Municipality

Central District Municipality

10. Ditsobotla Local Municipality

11. Tswaing Local Municipality

12. Zeerust Local Municipality

13. Ratlou Local Municipality

14. Mafikeng Local Municipality

Southern District Municipality

15. Ventersdorp Local Municipality



Mpumalanga

Gert Sibande District Municipality

16. Albert Luthuli Local Municipality

17. Msukaligwa Local Municipality

18. Govan Mbeki Local Municipality

19. Pixley KaSeme Local Municipality

20. Mkhondo Local Municipality

Nkangala District Municipality

21. Delmas Local Municipality

22. Steve Tshwete Local Municipality

23. Highlands Local Municipality

24. Thembisile Local Municipality

25. Dr JS Moroka Local Municipality

Ehlanzeni District Municipality

26. Thaba Chweu Local Municipality

27. Nkomazi Local Municipality

28. Umjindi Local Municipality

29. Mbombela Local Municipality









4

Province Municipality

Greater Sekhukhune District Municipality

30. Greater Tubatse Local Municipality

31. Greater Marble Hall Local Municipality

32. Greater Groblersdal Local Municipality

Bohlabela District Municipality

33. Bushbuckridge Local Municipality



Limpopo

Bohlabela District Municipality

34. Bushbuckridge Local Municipality

35. Maruleng Local Municipality

Greater Sekhukhune District Municipality

36. Greater Tubatse Local Municipality

37. Fetakgomo Local Municipality

38. Makhuduthamaga

Mopani District Municipality

39. Greater Giyani Local Municipality

40. Greater Letaba Local Municipality

Vhembe District Municipality

41. Mutale Local Municipality

42. Makhado Local Municipality

43. Thulamela Local Municipality

Capricorn District Municipality

44. Aganang Local Municipality

45. Blouberg Local Municipality

46. Lepelle–Nkumpi Local Municipality

Waterberg District Municipality

47. Thabazimbi Local Municipality



Western Cape

48. City of Cape Town (Khayelistsha and Mitchells Plain)

West Coast District Municipality

49. Cederberg Local Municipality

50. Matzikama Local Municipality

Boland (Cape Winelands) District Municipality

51. Witzenberg Local Municipality

Overberg District Municipality

52. Theewaterskloof Local Municipality

Eden District Municipality

53. Kannaland Local Municipality

Central Karoo District Municipality

54. Prince Albert Local Municipality

55. Beaufort West Local Municipality

56. Laingsburg Local Municipality





5

Province Municipality

57. DMA – Murraysburg Local Municipality



Free State

Xhariep District Municipality

58. Kopanong Local Municipality

59. Mohokare Local Municipality

Motheo District Municipality

60. Naledi Local Municipality

Lejweleputswa District Municipality

61. Tswelopele Local Municipality

62. Tokologo Local Municipality

63. Nala Local Municipality

64. Matjhabeng Local Municipality

Thabo Mofutsanyana District Municipality

65. Setsotso Local Municipality

66. Maluti-a-Phofung Local Municipality

67. Phumelela Local Municipality

Northern Free State District Municipality

68. Moqhaka Local Municipality







Northern Cape

Siyanda District Municipality

69. Tsantsabane Local Municipality

70. !Kheis Local Municipality

71. Kamiesberg Local Municipality

72. !Kai! Local municipality

73. Mier Local Municipality

Kgalagadi District Municipality

74. Ga-Segonyana Local Municipality

Karoo District Municipality

75. Siyanquma Local Municipality

76. Kareeberg Local Municipality

77. Ubuntu Local Municipality

78. Thembelihle local Municipality

79. Renosterberg

Namakwa District Municipality

80. Karoo Hoogland local Municipality

81. Hantam Local Municipality

Frances Baard District Municipality

82.. Phokwane Local Municipality

83 Dikgatlong Local Municipality

Alfred Nzo District Municipality

84. Umsombovu Local Municipality







6

Eastern Cape

85. Nelson Mandela Metropolitan Municipality

Amatole District Municipality

86. Buffalo City Local Municipality

87. Mbashe Local Municipality

88Mnquma Local Municipality

Ukhahlamba District Municipality

89. Elundini Local Municipality

Chris Hani District Municipality

90.Emalahleni Local Municipality

91. Engcobo Local Municipality

92. Intsika Local Municipality

93.. Sakhisizwe Local Municipalities

94. Qaukeni Local Municipality

O R Tambo District Municipality

95 King Sabata Dalindyebo Local Municipality

96.Mbizana Local Municipality

97.Mhlontlo Local Municipality

98.Ntabankulu Local Municipality

99.Nyandeni Local Municipality

100.Port St Johns Local Municipality

Alfred Nzo District Municipality

101.Umzimkhulu Local Municipality

102.Umzimvubu Local Municipality



Gauteng

103.City of Johannesburg Metropolitan Municipality

Sedibeng District Municipality

104. Emfuleni Local Municipality

Metsweding District Municipality

105.Kungwini Local Municipality

West Rand District Municipality

106.Mogale City Local Municipality

107.Merafong City Local Municipality



KwaZulu-Natal

Sisonke District Municipality

108. Greater Kokstad Local Municipality

109.ngwe Local Municipality

110. Kwa Sani Local Municipality

111. Ubuhlebezwe Local Municipality

Umgungundlovu District Municipality

112. UMngeni Local Municipality





7

113. Mkhambathini Local Municipality

114. Richmond Local Municipality

115. Umshwathi Local Municipality

Zululand District Municipality

116. Abaqulusi Local Municipality

117.Nongoma Local Municipality

118.Ulundi Local Municipality

Umkhanyakude District Municipality

119.Hlabisa Local Municipality

120.Jozini Local Municipality

121.Umhlabuyalingana Local Municipality

Uthukela District Municipality

122. Indaka Local Municipality

123. Okhahlamba Local Municipality

Ilembe District municipality

124. Maphumulo Local Municipality

125. Ndwedwe Local Municipality

Uthungulu District Municipality

126. Mbonambi Local Municipality

127.Mthonjaneni Local Municipality

128. Nkandla Local Municipality

129.Ntambanana Local Municipality

130.Umlalazi Local Municipality

Umzinyathi District Municipality

131.Msinga Local Municipality

132.Nqutu Local Municipality

Ugu District Municipality

133. Umzumbe Local Municipality

134. Vulamehlo Local Municipality

Amajuba District Municipality

135. Utrecht Local Municipality

136. The Big 5 False Bay Local Municipality









8

ANNEXURE A





INTER-MINISTERIAL COMMITTEE (IMC) ON PROJECT CONSOLIDATE





The IMC Project Consolidate is comprised of the following Ministries:





1. Minister of Provincial and Local Government

2. Minister of Housing

3. Minister of Arts and Culture

4. Ministry of Education

5. Minister of Finance

6. Minister of Health

7. Minister of Land Affairs

8. Minister of Minerals and Energy

9. Minister of Public Enterprises

10. Minister of Public Works

11. Minister of Transport

12. Minister of Sport and Recreation

13. Minister of Water Affairs and Forestry









9

ANNEXURE B



NATIONAL ADVISORY WORKING GROUP





NO. NAME POSITION ORGANIZATION

STATE OWNED ENTERPRISES

1. Mr Jay Naidoo Chairperson Development Bank of Southern Africa

(Chair of Working Group) (DBSA)

2. Ms Zodwa Manase Chairperson State Information Technology Agency

(SITA)

3. Mr Thulani Gcabashe Chief Executive Officer Eskom

4. Ms Raisibe Morathi Acting Chief Executive Industrial Development Corporation

Officer (IDC)

5. Mr Sizwe Nxasana Chief Executive Officer Telkom

6. Ms Thembi Nwedamutswu Chief Executive Officer Independent Development Trust (IDT)

BUSINESS

7. Mr Mzolisi Diliza Chief Executive Chamber of Mines South Africa

8. Mr Lazarus Zim Deputy Chief Executive Anglo American Corporation of SA

Officer Ltd.

9. Mr Bob Tucker Chief Executive Officer Banking Council

10. Dr Iraj Abedian Chief Executive Officer Pan-African Advisory Services

11. Dr Lulu Gwagwa Chief Executive Officer Lulu Gwagwa Development

(Deputy Chair of Working Consultancy

Group)

12. Ms Nolitha Njoli-Fakude Chairperson Black Management Forum (BMF)

13. Mr Japie Steenkamp President Afrikaanse Handelsinstituut (AHI)

14. Mr Noel Jelliman Infrastructure Finance Corporation

Chief Executive Officer

(INCA) Capacity Building Fund

OTHER INSTITUTIONS AND NON-GOVERNMENTAL ORGANIZATIONS

15. Mr Amos Masondo Chairperson South African Local Government

Association (SALGA)

16. Bishop Malusi Mpumlwana Director - Africa WG Kellogg Foundation

17. Mr Zwo Nevhutalu Chairperson Kagiso Trust Consultancy









10

ANNEXURE D





PRIVATE SECTOR PARTNERS WHO HAVE PLEDGED THEIR SUPPORT TO

PROJECT CONSOLIDATE AND WILL BE DEPLOYING EXPERTISE TO

SUPPORT IDENTIFIED MUNICIPALITIES WITH REGARD TO BILLING

SYSTEMS

1. Accenture



2. Business Connexions



3. Bytes Specialized Services (Ikwezi SAMRAS)



4. Commercial and Industrial Computer Services



5. COMMSCO SA



6. Debt Pay



7. EDS



8. Fujitsu Services SA



9. Ingwe Technical Services



10. Magnificus Technologies



11. PSU International



12. RentWorks Africa



13. SAP



14. Sebata Municipal Solutions



15. SkyStorm Electronics



16. Tlhakano



17. UCS Software Holdings



18. Utility Risk Management









11

ANNEXURE E





MUNICIPALITIES THAT BE SUPPORTED IN IMPROVING BILLING SYSTEMS





Proposed Municipalities Population # of Households

1. Mafikeng Local Municipality (NW) 259,478 64,674

2. Makhuduthamaga Local Municipality 262,903 53,156

(LP)

3. Matjhabeng Local Municipality (FS) 408,170 120,288

4. City of Johannesburg (GP) 3,225,812 1,006,931

5. Tsantsabane Local Municipality (NC) 31,013 7,227

6. Greater Kokstad Local Municipality 56,528 19,625

(KZN)

7. UMngeni Local Municipality (KZN) 73,896 20,488

8. Dr. J S Moroka Local Municipality 243,313 53,582

(MP)

9. Cederberg Local Municipality (WC) 39,326 10,366

10. Nelson Mandela Metropolitan 1,005,778 260,799

Municipality (EC)

11. Buffalo City Local Municipality (EC) 701,890 191,046

12. Moretele Local Municipality (NW) 177,905 43,008



TOTAL 6, 486, 012 1,851,190









12


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