R1.1b for drought relief

Wednesday, February 24, 2016

Pretoria - Government has allocated R1.1 billion towards drought relief, according to National Treasury.

“Over the medium term, R1.1 billion has been reprioritised to interventions such as drilling boreholes, distributing animal feed, moving cattle herds and transporting potable water to hard-hit areas,” it said on Wednesday.

This as Finance Minister Pravin Gordhan tabled the 2016 Budget, in Parliament.

According to the Budget Review, resources will be made available to support additional interventions as these are identified.

In addition, changes to the provincial and municipal disaster relief grants will also be proposed.

“Over the longer term, South Africans need to consider how the economy and households can adapt to the challenges of a water-stressed country,” it noted.

Minister Gordhan in his speech said the Regional Bulk Infrastructure Grant programme has been allocated R15 billion over the medium-term for the construction of bulk water and sanitation infrastructure.

This comes as budget allocations for water infrastructure this year take into account the special needs of drought-affected areas and the need to address water losses in critical supply networks.

Already this year, the Department of Water and Sanitation has reprioritised R502 million to deliver water, protect springs and refurbish boreholes in response to drought conditions.

Funds have also been provided for feed and support for livestock farmers and disaster relief measures. Additional drought response allocations will be made, as required, in the Adjustments Appropriation later this year.

The Land Bank has set aside a concessionary loan facility to assist farmers in recovering from the impact of the current drought conditions while over the next three years, R15 billion is allocated for land acquisition, farm improvements and expanding agro-processing opportunities.

According to the 2016 Budget Review, spending on water resources and bulk infrastructure is expected to increase to R36.4 billion over the medium term, at an average annual rate of 16.1%.

The major projects driving this growth include managing acid-mine drainage, raising the Clanwilliam Dam wall and constructing pipelines for the Olifants River water development project.

Water boards will also increase spending in the period ahead by R6 billion, mainly for bulk water infrastructure in the Bushbuckridge area (Rand Water), the Pilanesberg water project (Magalies Water) and the KwaZulu-Natal bulk water-supply masterplan (Umgeni Water).

Agriculture

The budget noted that R2.8 billion has been allocated over the medium term to Fetsa Tlala, a food security initiative.

The Department of Agriculture, Forestry and Fisheries aims to bring 120 000 hectares of land into productive use in the period ahead, benefitting 145 000 subsistence and smallholder producers each year.

Operation Phakisa

In addition, building on the Phakisa oceans economy initiative, a R9 billion investment in rig repair and maintenance facilities at Saldanha Bay, is planned.

According to National Treasury, work has begun on a new gas terminal and oil and ship repair facilities at Durban, KwaZulu-Natal. - SAnews.gov.za