Truth
and Prejudice
In its July 25, 2004 edition, the "Sunday Times" told its
readers that it had made the startling discovery that "provinces
(and) municipalities (have been) told to pay for (the expanded) public-works
programme out of (their) own pockets." It reported that this is
what the President said at the last meeting of the Presidential Coordinating
Council (PCC) held earlier in July.
Accordingly, its report appeared under the dramatic
headline - "Mbeki
passes the buck on job creation." The "Sunday Times" thought
that this matter so important that it decided to publish an Editorial
on the issue, under the supposedly clever and sarcastic title - "Shrinking
meaning of 'expanded' ".
So certain was the newspaper of the correctness
of its discovery that in its Editorial it said: "Unless Mbeki
is able to show he is allocating new resources to job creation, the
unemployed will have to live with the fact that they were the useful
idiots of the April election. For the moment, 'expanded' means 'more
of the same'."
In the same Editorial, the newspaper correctly
reported that, "The
ruling party specifically stated the following objective in its election
manifesto: 'Create one million job opportunities through the Expanded
Public Works Programme.' The Editorial went on to say, "This played
no small part in reassuring the poor that they remained on the ruling
party's agenda."
But, clearly, the "Sunday Times" has come to the conclusion
that the Expanded Public Works Programme died even before it was born.
It is convinced that the Programme lived only in the deceitful election
rhetoric of the ANC. As a vigilant "watchdog", it has taken
on the responsibility to convince its readers that the Programme is nothing
more than a very cruel ANC election hoax, aimed at deceiving the poor.
The newspaper is entirely correct in its assessment
that the poor of our country have been reassured - by more than the
Expanded Public Works Programme (EPWP) - that they remain central to
the agenda of the ANC. It is entirely wrong in its discovery that no
additional funds have been set aside for the EPWP, and therefore that
the poor were "the useful
idiots of the April election."
It is quite easy to demonstrate this, which we
will do. Merely setting the record straight would not merit an entire "Letter from the President".
But there are three important issues illustrated by the "Sunday
Times" article and Editorial on which we wish to comment. These
are:
- the newspaper's seemingly complete ignorance of published government
documents, including the 2004/5 Budget and Medium Term Expenditure
Framework (MTEF), already approved by Parliament;
- the newspaper's seemingly
complete ignorance of how our 10-year-old system of government works,
especially with regard to the three spheres of government; and,
- the
conviction that the ANC is capable of massive dishonesty and fraud,
such that it could put a critical transformation programme to the
people, to get votes, knowing that no funds were available to finance
this programme.
In his February Budget Speech, Finance Minister
Trevor Manuel said: "Over
the medium term, provinces and municipalities will prioritise labour-based
infrastructure projects as part of Government's Expanded Public Works
Programme. Over the next five years, R15 billion will be channelled to
this intervention in part through the provincial infrastructure and municipal
infrastructure grants. Together, these grants receive additional allocations
of R3,2 billion over the MTEF, which will be partially earmarked for
labour-based public works. Work opportunities will also be created in
environmental programmes and in social development initiatives."
The 2004 National Budget Review says: "Strong
growth in non-social services expenditure of 8 per cent over the next
three years, will provide a significant boost to Government's efforts
to address unemployment through the labour-based Expanded Public Works
Programme and create economic opportunities across provinces.Payments
for capital assets are budgeted to grow from R10,5 billion in 2003/4
to R11,6 billion in 2004/5 and to R13,8 billion by 2006/7."
The Budget Review also says: "National transfers
to municipalities supplement own revenue to enable them to fulfil their
developmental roles. The key local government priorities are the expansion
and provision of free basic services (etc).(and) the creation of jobs
through the Expanded Public Works Programme.Over the next three years,
municipalities will receive an additional R3,9 billion."
Commenting on the EPWP, the Review said:
"The programme aims to provide employment
opportunities and training to at least one million targeted unemployed
people in its first five years. Work opportunities will be created
in the following ways:
- Increasing the labour intensity of government-funded infrastructure
projects under the leadership of the Department of Public Works;
- Creating
work opportunities in public environmental programmes (e.g. Working
for Water) under the leadership of the Department of Environmental
Affairs and Tourism;
- Creating work opportunities in public
social programmes (e.g. community-based care in health and social welfare
and early childhood development) under the leadership of the Department
of Social Development;
- Developing
small businesses and cooperatives, including utilising general government
expenditure on goods and services to provide the work experience component
of small enterprise learnership/incubation programmes under the leadership
of the Department of Trade and Industry."
It continued:
"Funds for EPWP programmes will be allocated to national departments,
provinces and municipalities through the normal budgeting process.
"SECTOR ALLOCATIONS 2004/5 - 2008/9
"Infrastructure R15 billion.
"Environmental and cultural R 4 billion.
"Social, at least R 600 million.
"Economic, still to be determined."
All this information about additional resources, and not "more
of the same", is contained in published documents. And as we have
said, in addition, Parliament has already approved the 2004/5 Budget.
Similarly, the Provincial Budgets have also been approved by the Provincial
legislatures.
Contrary to and despite all this, the "Sunday Times" article
made the bold statement that, "President Thabo Mbeki has told a
meeting of premiers and mayors that there was no new money to co-finance
the government's ambitious R15-billion Expanded Public Works Programme
(EPWP)."
It is difficult to understand why the "Sunday Times" did
not undertake the simple exercise of determining whether the National
Budget provided the additional resources we had promised, and whether
these had been transferred to the Provinces and Municipalities.
Instead, it invented the fiction that, on behalf
of the national government, we had "told the provincial governments to re-order their existing
budgets to come up with R15-billion for its 'expanded' public works programme." From
this entirely false premise, it concluded that, "For the moment,
'expanded' means 'more of the same'."
It also chose to believe an unnamed "official who (allegedly) attended
the PCC meeting, (who) said while they knew there would be no new money
to finance EPWP, provinces, local governments and voters expected additional
resources for the 'extended' part of the programme. He said municipalities
and provinces were now being asked to fulfil the ANC's election promises." In
fairness, we must presume that this ill-informed "official" actually
exists, and actually spoke to the "Sunday Times".
The 2004 Budget Review also says:
"Since 2001/02, there has been a steady decline in the revenue
share going to national government, with a concomitant increase in the
shares of provincial and local government; this trend continues over
the 2004 MTEF. By 2006/07, transfers to provinces will constitute 58,0
per cent and local government 4,6 per cent of allocated non-interest
expenditure."
In his Budget Speech, Minister Manuel elaborated
further on this, saying: "Provinces
and local government are the primary delivery channels for basic services
and will receive R30,2 billion of the total R44,5 billion allocated over
and above the 2003 budget forward estimates (for basic services)."
Specifically with reference to the EPWP, Public
Works Minister, Stella Sigcau explained in June, during her Departmental
Budget Vote, and before the July meeting of the PCC, that, "The
EPWP is mainstreamed on the budgets of departments, provinces, municipalities
and State Owned Enterprises. The large-scale labour-intensive provincial
and municipal infrastructure programme involves ring-fencing fifteen
billion Rands (R15 billion) of the conditional infrastructure (transfers)
to provinces and municipalities."
The simple fact of the matter is that "provinces and local government
are the primary delivery channels for basic services". For this
reason, "there has been a steady decline in the revenue share going
to national government." For these reasons, the funds for the EPWP
have not been put on the budget of the Department of Public Works, but
on the budgets of "the primary delivery channels for basic services",
the provincial and municipal governments.
Strangely, the "Sunday Times" concludes that when the provincial
and municipal governments are reminded of this reality, this constitutes
telling these governments "to re-order their existing budgets",
since, according to the article in the newspaper, "national government
would not fork out additional money."
Further to this, the Budget Review says: "The
9 provinces and 284 municipalities. are empowered to take resource
allocation decisions within the context of broad medium-term priorities
of government that are agreed through consultative processes in intergovernmental
forums such as the Budget Council, Budget Forum, sectoral MinMECs,
joint MinMECs and extended Cabinet meetings, in which provinces are
represented by Premiers and local government by the chairperson of
the South African Local Government Association."
If the "Sunday Times" had taken the
little and undemanding trouble it needs to understand how government
works, it would have found out that:
- the additional allocations for the EPWP are contained in
the 2004/5 Budget;
- provision has been made for their transfer to the
provinces and municipalities, as reflected in the Schedules attached
to the Division of Revenue Act, 2004;
- with improvements in our system of governance, we have relied
more and more on these spheres of government to act as the primary
delivery channels for basic services; and that,
- because of the consultative intergovernmental process that precedes
the elaboration and presentation of the national Budget, the provincial
and local government participants at the PCC knew that the additional
allocations for the EPWP were, in terms of the Division of Revenue, mainly incorporated
in their budgets.
As the ANC and other parties conducted their 2004 election campaigns,
they were aware of the allocations for the EPWP contained in the 2004/5
Budget, as well as the MTEF projections. This is for the simple reason
that the Budget and the related documents were presented to Parliament
on February 18th, almost two months before the April 14th election date.
Accordingly, what the ANC promised the poor of
our country was based on available funds, provided for in the Budget
whose details the "Sunday
Times" reported when Minister Manuel presented this Budget.
The budgeted availability of these funds meant
and means that the ANC had and has no intention whatsoever that "(provincial and municipal)
money will be taken from Peter to pay Paul", and that "provincial
governments (should) shuffle the budgetary deck chairs.(quashing the)
hope that new money will be allocated to the (EPWP)," as the "Sunday
Times" Editorial alleges.
The very fact that throughout the election campaign,
and since, the opposition parties did not alight upon, and make a big
song and dance about the startling discoveries it has made, should
have warned the "Sunday
Times" that there was something odd and fishy about its discoveries.
The strange and false discoveries of the "Sunday Times" with
regard to the EPWP raise a number of serious concerns.
One of these relates to the quality of journalism
in our country. The sorry tale told by the "Sunday Times" handling
of the EPWP issue points to the reality of a serious national problem.
Questions must necessarily arise about the extent to which we, and
the general public, can rely on the media as a source of objective
information, on which we should base our actions.
Another relates to the extent to which "political correspondents" actually
understand the most basic elements of South African and other political
reality and practice. This must be considered together with the peculiar
notion that seems to be prevalent in some circles, that media independence
must necessarily translate into a consistent effort to find fault with,
and criticise the government and the ruling party, at all costs.
The third of these concerns arises directly from
the obvious certainty on the part of the "Sunday Times" that the ANC ran a fraudulent
election campaign, based on the brazen propagation of a big lie. This
indicates that there are some within a media that proudly proclaims that
it is committed to "objective, truthful, unbiased and balanced" reporting,
whose fundamental assumptions about the ANC are far removed from what
would qualify to be described as objective, truthful, unbiased and balanced.
The "Sunday Times" Editorial says, correctly, "After
achieving a substantial majority, Mbeki said: 'The ANC has a duty.to
do all of the things it has said it will do."
Indeed, the ANC will do all the things it has
said it will do. This includes the provision of the resources required
for the successful implementation of the EPWP. We can only hope and
pray that the "Sunday Times" will
report progress and problems in this regard, and with regard to other
programmes, in an objective, truthful, unbiased and balanced manner,
and make editorial comments based on such objective, truthful, unbiased
and balanced reporting.
In October 2003, "Le Monde Diplomatique" published an article
by Ignacio Ramonet entitled "Set the media free", in which
he discussed the media globally.
He wrote: "As people are now beginning to
realise, news is contaminated. It poisons our minds, pollutes our brains,
manipulates us, intoxicates us, and tries to instil into our subconscious
ideas that are not our own. This is why we now need to establish an
ecology of news, to sort real news from a flood of lies. The enormity
of the situation was apparent in the invasion of Iraq. We need to decontaminate
our news."
Hopefully the situation will not arise in future when, as seems to happen
so regularly with regard to negative social phenomena, somebody will
claim a place for us as the global leader among the purveyors of contaminated
news.

|