State property splurge
Millions to spruce up ministers’ houses criticised as ‘frills’
● President Cyril Ramaphosa’s administration will spend nearly R750m to spruce up houses occupied by ministers, and other government-owned buildings.
The upgrades, renovations and maintenance — which one analyst described as “frills” — have been criticised as excessive at a time when South Africans are battling price increases across the board.
The splurge — which includes R5m on carpets for the Union Buildings in Pretoria, R1m for bathroom and kitchen upgrades to a ministerial house, R29m on a guardhouse and R29m on gates and a doghouse — comes as tax-collection revenue dwindles and credit ratings agencies scrutinise public finances.
Public works minister Thulas Nxesi, in a written reply to parliament on Friday, revealed that his department will spend more than R730m from state coffers in the 2019/2020 financial year to spruce up the Union Buildings, houses for MPs and ministers, and their offices within the parliamentary precinct that fall within the government’s “prestige property portfolio”.
This amount — which is likely to rise significantly due to rising costs — flies in the face of calls by parliament’s committee on public accounts for restrained use of public funds on the prestige property portfolio after it emerged last year braai facilities at some ministerial homes cost R500,000 to install. Nxesi revealed that:
● A ministerial house in Rondebosch, Cape Town, is due for a kitchen and bathroom upgrade costing R1m in October;
● Another ministerial house will get a new guardhouse, electric fence and security cameras worth R4.3m;
● MPs’ offices in Marks Building near parliament are getting waterproofing, window replacements and airconditioners to the tune of R10.7m;
● The replacement of lifts and repairs to a PA system at the Union Buildings will cost R12.5m;
● New carpets in the east wing, the offices of minister Nkosazana Dlamini-Zuma, will cost R5.7m; and
● To spare MPs the irritation of load-shedding, R2.9m has been set aside to “investigate provision of additional standby/emergency power supply to the precinct”.
The spending is at odds with austerity measures introduced by the National Treasury to curb wasteful expenditure.
Ralph Mathekga, an independent political analyst and former Treasury official, said the spending on “frills” was unwarranted as “the fiscus is under pressure now because of what needs to be spent on Eskom and so forth”.
He added: “Buying carpets, I call it frills, we can do without that type of thing. That is nonessential expenditure. It’s an indulgence … The budget deficit is growing, there’s pressure to cut the public wage bill.
“How are you going to convince the unions to restrain themselves on their demands if you, as the government, you are buying new carpets, you are spending on things you can do without?”
Treasury spokesperson Jabulani Sikhakhane said yesterday that the institution had not seen Nxesi’s reply and thus could not respond in detail.
“It is important for government to keep its assets in good working order, something referred to as maintenance.
“As to the details of the expenditure you outlined on the phone, I cannot comment as I don’t have the details of the expenditure and have not been given enough time to verify those details.”
The documents tabled by Nxesi show that a big chunk of the prestige property portfolio budget, R273m, is for refurbishing the parliamentary precinct, including the National Council of Provinces (NCOP) building and the offices of several ministers at 120 Plein Street, as well as replacing kitchen equipment at a cost of over R2m.
Another R50m has been put aside to give the NCOP’s building a facelift.
Twenty-five apartments in the sea-facing Cape Town suburb of Mouille Point, for the use of directors-general when they are in Cape Town, are due to be renovated at a cost of R3m.
No expense has been spared in further tightening security at the legislature, where “additional perimeter fencing” and a new “vehicle search park” will cost R3m.
Parliament resolved to heighten security last year after a senior manager, Lennox Garane, managed to sneak a gun into his office. He used it to commit suicide in protest against unpleasant working conditions.
At Bryntirion Estate in Pretoria, where ministers and Deputy President David Mabuza are housed, R65m has been put aside to renovate “existing roads on the western side of the estate and Eastwood Street entrance roads”.
The estate is due to receive a “new command centre” costing R29.7m. Another R132m has been budgeted for “facilities management for the presidency” on a fiveyear contract that began this month.
Construction of “gate 1 and 2 as well as
the dog unit” at Bryntirion will cost the public purse R29.6m.
Said Mathekga: “This is not the way to go if you’re busy renovating, you come up with some bespoke renovation. It actually says Ramaphosa is not serious about getting his executive to restrain itself on how they spend public money.
“This man seems to be struggling to get the departments to restrain themselves.”
DA leader Mmusi Maimane last month said that, if elected to power, his party would sell Bryntirion Estate.
Maimane said it shielded ANC politicians from the realities of life in SA.
DA MP Dennis Ryder, who asked the questions of Nxesi, said on Friday that it was clear from the minister’s reply “that there is no New Dawn and that President Ramaphosa, while paying lip service to the people of SA, will continue to spend our money on the lavish lifestyles of the elite in his cabinet while the average South African battles to make ends meet”.
He described the “massive” expenditure within the prestige property portfolio as a slap in the face of all those who have been crying out for increased financial allocations to address the issue of land reform.
“When one considers the dismal allocations for land reform, these amounts are an insult to the debate that has been front of mind for most South Africans for the past decade.
“This ANC government has lost touch with the people and seems to be deaf to the demands and needs of real South Africans,” he said.
Public works spokespersons yesterday said they were unable to immediately respond.