Page 457 - Provincial Treasury Estimates.pdf

Estimates of the Provincial Revenue and Expenditure (EPRE) – 2023/24 Financial Year

reprioritisation to protect core programmes. The baseline reductions were mainly effected against fleet
services, legal costs, computer services and operating leases under machinery and equipment. In
2023/24, there is a steady growth of 4.2 per cent with a budget of R466.971 million mainly attributed to
budget for the filling of posts largely contributed by the 2022/23 ARP carry-over posts. Also contributing,
is the provision made to cater the shortfall for finance lease (contractual obligations for motor vehicles and
cellphones) under Machinery and equipment.

Compensation of employees reflects a slight decreased from R322.172 million in 2019/20 to a revised
estimate of R311.822 million in 2022/23 due to high staff turnover and delays in the recruitment process.
In 2023/24, it increases by 11.4 per cent to R347.301 million to cater for the filling of carry-over posts in
the 2022/23 Annual Recruitment plan.

Goods and services decreased from R120.168 million in 2019/20 to a revised estimate of R112.699 million
in 2022/23 due to reprioritisation. In 2023/24 the budget declines by 19.9 per cent or to R90.237 million,
the expenditure in 2022/23 was high due to accruals for contractual obligations such as building leases,
security services, audit fees, fleet services, computer services and operating leases. In 2023/24,
reprioritisation exercise was undertaken to make a provision for the upgrade of server in the Head Office.

Transfers and subsidies decreases from R25.272 million in 2019/20 to a revised estimate of R15 million
in 2022/23, this relates to staff exit costs which depends on the number of personnel leaving the service
during that particular period. In 2023/24, the budget remains the same.

Payments for capital assets decreases from R20.084 million in 2019/20 to a revised estimate of
R8.687 million in 2022/23, due for the implementation of baseline reduction. In 2023/24 the budget
increases by 66.1 per cent to R14.433 million mainly to cater for servers and shortfall relating to contractual
obligations for cellphones and finance lease for motor vehicles. The MTEF budget also provide for the
replacement of computer equipment.

8.2 Programme 2: Sustainable Resource Use and Management
Objectives: To provide agricultural support services to farmers in order to ensure sustainable
development and management of agricultural resources. It has 4 sub-programmes:

x Agricultural Engineering Services: Provides engineering support (planning, development,
monitoring and evaluation) with regards to irrigation technology, on-farm mechanization, value
adding, farm structures, resource conservation management, operation and maintenance of farm
equipment and machinery, tools and implements solutions;
x Land Care: Promotes the sustainable use and management of natural agricultural resources;
x Land Use Management: To promote the implementation of sustainable use and management of
natural agricultural resources through regulated Land Use (Act 43 of 1983, Act 70 of 1970, and
related legislation); and
x Disaster Risk Reduction: To provide agricultural disaster risk management support services to
clients / farmers.

440