Budget cuts hit us – Sisulu

In response to her department’s budget vote on July 25, Minister of Human Settlements Lindiwe Sisulu said grants were allocated to the provinces and metropolitan municipalities based on fair and equitable formulae which took into account, among other factors, population, and the severity of backlogs.

“I must highlight that the department of human settlements has been affected by the expenditure cuts, totalling R85 billion, over the medium-term expenditure framework period.

“R53 billion of this has been cut at national level,” Sisulu said.

She announced total budget of R33.8 billion allocated to her department would be used for:

R18.7 billion as grants to the nine provinces for the creation of sustainable human settlements that enable improved quality of household life and access to basic services. Linked to this, funds will be reprioritised for the priorities set out in the 2019-2024 framework for human settlements.

R12 billion as grants to the eight largest metropolitan municipalities to co-fund bulk infrastructure, water, sanitation, refuse removal, roads and storm water, as well as fire stations, libraries and community halls. It further funds acquisition of land and buildings for inner-city improvement precincts and densification.

R149.1 million as a grant to municipalities in respect of emergency housing, while R276.9 million will go to provinces for emergency housing.

The title deeds restoration grant has been allocated an amount of R547.7 million.

Meanwhile, Democratic Alliance (DA) Gauteng shadow MEC for cooperative governance, traditional affairs and human settlements, Kate Lorimer, said Gauteng had failed to meet all of its housing targets.

It fell short on its targets for service stands, in Cosmo City, Savanna, John Dube, 3D Tswaing Soutpan and 3D Sebokeng Extension 28.