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Department: Provincial LegislatureTable 8: Summary of departmental payments and estimates by economic classification: P1 - Administration Outcome Main appropriationAdjusted appropriationRevised estimate Medium-term estimates % change from 2024/25R thousand 2021/22 2022/23 2023/24 2025/26 2026/27 2027/28Current payments 200 954 222 803 224 719 244 731 264 934 264 279 264 232 205 766 203 222 (0.0)Compensation of employ ees 166 438 172 077 172 056 181 354 181 354 180 699 206 329 151 539 147 920 14.2Goods and serv ices 34 516 50 726 52 663 63 377 83 580 83 580 57 903 54 227 55 302 (30.7)Interest and rent on land %u2013 %u2013 %u2013 %u2013 %u2013 %u2013 %u2013 %u2013 %u2013 Transfers and subsidies to: 1 468 1 849 2 689 %u2013 2 900 3 555 %u2013 %u2013 %u2013 (100.0)Prov inces and municipalities %u2013 151 %u2013 %u2013 %u2013 %u2013 %u2013 %u2013 %u2013 Departmental agencies and accounts %u2013 %u2013 %u2013 %u2013 %u2013 %u2013 %u2013 %u2013 %u2013 Higher education institutions %u2013 %u2013 %u2013 %u2013 %u2013 %u2013 %u2013 %u2013 %u2013 Foreign gov ernments and international organisations %u2013 %u2013 %u2013 %u2013 %u2013 %u2013 %u2013 %u2013 %u2013 Public corporations and priv ate enterprises %u2013 %u2013 %u2013 %u2013 %u2013 %u2013 %u2013 %u2013 %u2013Non-profit institutions %u2013 %u2013 %u2013 %u2013 %u2013 %u2013 %u2013 %u2013 %u2013Households 1 468 1 698 2 689 2 900 %u2013 3 555 %u2013 %u2013 (100.0) %u2013Payments for capital assets 10 669 13 711 3 159 9 576 22 636 22 636 28 501 10 461 10 932 25.9Buildings and other fix ed structures %u2013 %u2013 %u2013 %u2013 %u2013 %u2013 %u2013 %u2013 %u2013Machinery and equipment 10 669 5 576 2 764 9 576 22 636 22 636 28 501 10 461 10 932 25.9Heritage Assets %u2013 %u2013 %u2013 %u2013 %u2013 %u2013 %u2013 %u2013 %u2013Specialised military assets %u2013 %u2013 %u2013 %u2013 %u2013 %u2013 %u2013 %u2013 %u2013Biological assets %u2013 %u2013 %u2013 %u2013 %u2013 %u2013 %u2013 %u2013 %u2013Land and sub-soil assets %u2013 %u2013 %u2013 %u2013 %u2013 %u2013 %u2013 %u2013 %u2013Softw are and other intangible assets 8 135 %u2013 395 %u2013 %u2013 %u2013 %u2013 %u2013 %u2013Payments for financial assets %u2013 35 4 %u2013 %u2013 %u2013 %u2013 %u2013 %u2013Total economic classification 213 091 238 398 230 571 254 307 290 470 290 470 292 733 216 227 214 154 0.82024/25 Table 8 above summarises payments and estimates Administration from the 2021/22 to 2027/28 financial years. Further analysis of trends is dissected at an economic classification items below. Expenditure on Compensation of employees increased from R166.438 million in 2021/22 to a revised estimate of R180.699 million in 2024/25 due to the provision for Improvement on Cost Living Services (ICS). In 2025/26, the budget will increase by 14.2 per cent to R206.329 million mainly due to provision for the carry through costs of wage agreement and other staff budgetary pressures. Expenditure on Goods and services increased from R34.516 million in 2021/22 to a revised estimate of R83.580 million in 2024/25 due to provision for operational costs, maintenance, and licencing of ERP system. In 2025/26 financial year, the budget is projected to decrease by 30.7 per cent due to the effect of once off provision of the stated items in the previous year. Expenditure on Transfer and subsidies increased from R1.468 million in 2021/22 to a revised estimate of R3.555 million in 2024/25 due to increase in payment of leave gratuities and exit benefits respect of staff who exited the system. No provision is made over the 2025 MTEF period as there is no anticipated retirements except unpredictable abrupt (not known) resignations. Payments for capital assets increased from R10.669 million in 2021/22 to the revised estimate of R22.636 million in 2024/25 due to provision made for the full implementation of Enterprise Resource Planning system and for the ICT infrastructure upgrade. In the 2025/26, budget for the capital assets increases by 25.9 per cent due to progress made towards finalisation of implementation of ERP system including the provision made for the Phase 1 Chambers Upgrades for the period in question. 152