CITY OF CAPE TOWN
5 YEAR PLAN FOR CAPE TOWN
Integrated Development Plan (IDP) 2007/8 – 2011/12
EXECUTIVE SUMMARY 2009 / 2010
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4
Message from the Executive Mayor
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Introduction by the City Manager
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Introduction
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12
State of the city: A brief summary of IDP strategic focus areas
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16
1: Shared economic growth and development
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19
2: Sustainable urban infrastructure and services
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3: Energy for a sustainable city
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4: Public transport systems
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5: Integrated human settlements
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6: Safety and security
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30
7: Health, social and community development
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8: Good governance and regulatory reform
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34
Governance Framework and Functionality
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36
Medium-Term Revenue and Expenditure Framework (MTREF)
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38
Corporate scorecard 2007-2012
Integrated Development Plan [IDP] 2007/8 - 2011/12
Contents
3
By getting the basics right, we aim to build confidence in Cape Town,
make this city more globally competitive, and drive development.
Introduction by the
Mayor of Cape Town
For the 5 year plan of Cape Town
Integrated Development Plan 2009/10 Review
Our Integrated Development Plan (IDP) is a plan for how
the City of Cape Town will spend its money until 2012. The
exact detail of how we will raise this money (through rates
and service charges), and where and when we will spend
this money (with timelines, specific amounts and on which
specific projects or departments) is then worked out in
our Annual Budget and our Service Delivery and Budget
Implementation Plans.
We need to make difficult choices in this process. For example, we
have to match the amount of rates and tariffs we charge with the
level of services needed in Cape Town, taking into account that
the city’s population has grown from 800 000 to 3,4 million over
the past 50 years, and is still growing by around 80 000 people per
year. As a result of this rapid growth, municipal infrastructure
is badly in need of maintenance and upgrades.
Integrated Development Plan [IDP] 2007/8 - 2011/12
Our IDP is also guided by the South African Constitution, which
gives specific powers and responsibilities to local government. We
are responsible for providing roads, electricity distribution, water
and sewerage systems, wastewater treatment, public health, traffic
safety, urban planning, by-law enforcement, and sites and services
for housing.
4
This division of responsibilities between different spheres of
government is important to understand. Local government does
not run schools, hospitals, or the South African Police Services,
to give just three examples. These are under the control of the
Provincial Government.
After doing careful studies of the main challenges in Cape Town,
and after consulting widely with the public, we decided that our
main focus area for our IDP should be infrastructure-led economic
growth. The number one priority to emerge from our public
consultation process was a need for more jobs to be created in the
region, especially for the poor.
We have therefore focused our efforts on creating a solid platform
of urban infrastructure and services that will help existing investors
If we don’t invest now in better services in infrastructure,
investment and new developments will be constrained, and new
opportunities, especially jobs, will not materialise. For this reason,
our IDP also focuses on making our local government a more
efficient organisation, with well-managed human resources and
enough staff capacity to deliver services in greater quantity and of
better quality than ever before.
To make sure that we continue on the right path toward our main
objective of infrastructure-led economic growth, we must review
our IDP each year and make adjustments after consulting with
residents. Our IDP must be able to take into account shifts in the
global and local economy over the past year and any practical
challenges that arise.
•
•
•
•
Firstly, the global economy is facing a major downward
cycle, which is also making its impact felt in South Africa.
Secondly, the shortage of technical skills across South
Africa is becoming an increasing challenge for economic
growth and for government service delivery.
Thirdly, rapid urbanisation in Cape Town means that for
every family now receiving a house, 350 are still waiting.
A number of incidents over the past year, including violent
protests and invasions of houses, have also shown that this
situation can create social upheaval.
Fourthly, a number of studies have raised concern about
the sustainability of water and energy resources in the
Cape Metropole, and have also highlighted the risks
associated with climate change and rising sea levels.
And finally, we are entering the last financial year ahead of the
2010 Soccer World Cup, and our investment of substantial
funding from National and Provincial Government in new
infrastructure is in full swing. We look forward to welcoming
thousands of visitors to Cape Town for the event, and our
residents will benefit from lasting improvements to services and
infrastructure, including a R2 billion upgrade to the airport, a
R1.3 billion upgrade to public transport, over R1 billion worth
of upgrades to major roads, around R1 billion in upgrades to
electricity infrastructure, a R400 million upgrade to the central
station, R1,2 billion for new trains, over R3 billion for a new
world class stadium, and hundreds of millions of rands’ worth
of upgrades to other public spaces and facilities, like the Phillippi
Stadium, the Athlone Stadium, Green Point Common and the
Grand Parade in the CBD. These investments will change the
face of Cape Town for the better, and help us to promote further
economic growth and job creation as we head toward 2020.
Our revised IDP for 2009/2010 continues to emphasise most of
the strategic focus areas that were introduced over the previous
two years. However, in response to the developments of 2008
mentioned above, we have also added the following specific
areas of emphasis:
• With the continued global economic downturn, we are further
•
•
•
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increasing our infrastructure investments to promote
investor confidence in Cape Town and offer the most
competitive urban environment possible for economic activity.
National Treasury has announced that it will embark on a
similar investment programme in this year’s budget cycle.
The City has introduced a new Strategic Focus Area to this
year’s reviewed IDP, relating to sustainable energy use in Cape
Town. This strategy aims to promote environmental
accountability across city line functions, with the specific
objectives of reducing energy consumption in the Cape
Metropolitan Area, monitoring the implementation of the City
energy and climate change strategy, increasing measures to
ensure our energy security, and increasing communication and
education initiatives around climate change and sustainable
uses of energy.
In terms of safety and security, the City will increase its focus
on the combating of minor crimes and by-law offences.
We are adopting the broken window policy that has been
applied successfully in cities around the world. By creating a
cleaner and more orderly public environment, we aim to
encourage respect for the law and create a more attractive
urban environment. To support this we will strengthen our
CCTV surveillance network, increase capacity and efficiency
in our law enforcement and traffic departments and continue
to develop our specialised units to address specific types of
criminal activity, like substance abuse and vandalism of service
infrastructure in informal settlements.
The City is determined to improve the living condition of
residents of informal settlements. A concerted effort is
being made to ensure that an acceptable level of
infrastructure, access to basic engineering and other
services the City provides, such as emergency services, is
made available to residents of informal settlements. The
City’s fire and flooding risk with informal settlements is
high and apart from improved services and programmes
such as the Winter Readiness Programme, the City
needs to also improve its capacity for emergency response.
Consequently the City will be overhauling its disaster
risk reduction and response plans and expanding the City’s
Emergency Call Centre Capacity.
Strategic Focus Area 8, relating to the City’s human resources,
has a number of new dimensions aimed at further increasing
the efficiency of our organisation following the introduction of
the Organisational Realignment Process and the first phase
of pay parity. The focus in the year ahead will be on fine tuning
our staff management strategies to match our service delivery
priorities, and to monitor the success of this process on an
ongoing basis. By so doing, we aim to establish how well
our organisation measures up to international and national
best practice benchmarks. And we will work to ensure that
our information and communication technology are used to
the maximum benefit of service delivery.
I believe these initiatives will help us meet our key objective of
infrastructure-led economic growth. You have the opportunity to
comment on the revised IDP, including the above proposals, and
we very much want to hear your views.
Dan Plato
Executive Mayor
Integrated Development Plan [IDP] 2007/8 - 2011/12
become more productive, attract new investors and skilled workers
to our city, grow the overall economy, and so create more jobs.
5
Introduction by the City Manager
The City of Cape Town’s Integrated Development Plan (IDP)
is a joint blueprint of the local government and its key
stakeholders, such as residents, commerce and industry. The
IDP determines the priorities on which the available budget
should be spent across the metro area.
Resources are allocated according to the IDP’s Strategic Focus
Areas (SFAs). The overall plan and the SFAs are adjusted as
needs, circumstances and priorities change. Shared goals and
objectives must be underpinned by realistic strategies, action
plans and budgets.
There are specific areas of emphasis in this review document. For
the City to be able to deliver services to residents, it needs to have
its own house in order. It recently concluded a complex process to
integrate more than 22 000 staff members from seven previous
municipalities, all of them with different salaries, conditions of
service and organisational cultures, in one cohesive organisation
with proper reporting lines and a clear service delivery focus.
Integrated Development Plan [IDP] 2007/8 - 2011/12
The overall thrust of infrastructure-led economic development
continues. Valuable infrastructure must be maintained, and
new resource and service demands for future expansion have to
be responsibly planned and provided. In order to preserve our
natural beauty and biodiversity, the City will have a multi-pronged
approach in providing housing solutions, community spaces,
6
Caption
An integrated
to go here.
plan will upgrade the 230 informal settlements.
services, public transport, economic development, and safety and
security. The City has a constitutional mandate for only some of
these areas, while in others it continues to work with Provincial
and National Government and other agencies.
It is a multidisciplinary, overarching blueprint of development and
resource guidelines that will guide planning, decision making,
budgets as well as the IDP, which has a five-year range. As with
the IDP, key stakeholders will be involved in this process.
The City is working on the roll-out of an integrated rapid transit
(IRT) system, which will see the different modes of transport
being linked to encourage people across the metro to use public
transport instead of private cars on congested roads. It will involve
dedicated lanes in our road network system, with buses that
can carry large passenger volumes. This is an inclusive approach
involving all transport role players, and is not meant to exclude any
service provider.
The focus for the 2010 FIFA World Cup™ extends far beyond
the year 2010, Green Point Stadium, soccer and the event itself.
The infrastructure and service gains, especially in terms of public
transport, are needed anyway, and are the biggest legacy gains.
This momentum is concentrating public and private sector
spending with a sense of urgency and purpose to fast-track
development.
In terms of an integrated plan involving several City line
departments, the some 230 informal settlements with more
than 500 000 residents will be upgraded. This is not just an
engineering solution to provide services such as electricity, water
and refuse removal, but also deals with socioeconomic priorities
that determine a community’s wellbeing. Without community
ownership of such upgrades, incidents of vandalism and theft will
continue to impede progress.
The City is developing a long-term City Development Strategy (CDS).
This is intended to provide a 30-year view of the kind of city we
would like to live in and would like to leave to the next generation.
The City regards its duty to make responsible and cost-effective
use of the public money entrusted to it, in a very serious
light, and therefore insists on a zero tolerance approach to
irregularities, and open and transparent processes. The City has
made definite gains, but can never be complacent about the
continuing challenges accompanying the privilege to serve 3,5
million residents with diverse needs.
Achmat Ebrahim
City Manager
The IDP needs to place the management, enhancement and development of our
natural assets high on the agenda of the City’s development plan. Currently a key
asset of the City (arguably it’s life insurance) appears to be ignored at the cost of
the City’s future health and well-being.
Nasima Badsha - CAPE HIGHER EDUCATION CONSORTIUM
Integrated Development Plan [IDP] 2007/8 - 2011/12
Caption to our
Preserving
go here.
natural beauty for future generations.
7
Introduction
On 1 July 2007, the City of Cape Town (the City) started
implementing a new five-year Integrated Development
Plan (IDP) as its principal strategic plan for management
and development for the period July 2007 to June 2012,
in accordance with the Municipal Systems Act (MSA). This
document is the second annual review of the IDP.
Strategic focus areas (SFAs)
The City has opted to focus on eight strategic areas, subdivided into
a number of core objectives, to overcome these challenges, and
achieve its strategic goals. These SFAs not only form the framework
of the IDP, but function as internal strategic catalysts for institutional
growth, development and efficiency. (See figure 1.1)
The City’s governance and management structures are currently
confronted by several challenges and opportunities. The failure of
international financial institutions, the impact of high oil prices,
as well as a worldwide economic downturn during 2008, are
all major challenges. Furthermore, Cape Town’s participation
in the hosting of the 2010 FIFA World Cup™ is concentrating
unprecedented investment in the city.
Cape Town within the region
Cape Town is South Africa’s third-largest city and an important
gateway to regional, provincial and national development. The city
is home to 66% of the Western Cape’s population, and generates
76% of the regional and 11% of the national gross domestic
product (GDP). Cape Town is the region’s major centre for health
care, education and shopping, providing employment to and
attracting people from within the region and beyond. It is therefore
vital that Cape Town is seen within its regional context, and that
planning for the city is done in conjunction with regional planning.
However, the City also faces real infrastructure, service delivery
and funding challenges. Its ability to provide the key infrastructure to
achieve sustainable economic growth is therefore at the heart of the IDP.
Integrated Development Plan [IDP] 2007/8 - 2011/12
GOALS
a. A prosperous city
b. Effective and equitable service delivery
c. A well-governed and effectively run administration
8
The V&A Waterfront is a dominant feature in Cape Town’s economy.
STRATEGIC FOCUS AREAS
a. Shared economic growth and development
b. Sustainable urban infrastructure and services
c. Energy efficiency for a sustainable future
d. Public transport systems
e. Integrated human settlements
f. Safety and security
g. Health, social and community development
h. Good governance and regulatory reform
URBAN EFFICIENCY
Figure I.1: Strategic framework
INSTITUTIONAL
EFFECTIVENESS
This is the basis of the ongoing cooperation between the City
and the Provincial Government (Province), working towards a
development strategy for the City’s functional region, with all
spheres of government attempting to develop a practical system
to align their planning and budgeting processes.
Alignment with National Government and Province
Cape Town’s development planning is in alignment of all three tiers
of government to ensure optimal impact from the combined efforts
of government. In this regard, there are six critical elements:
• The Accelerated and Shared Growth Initiative-South Africa (ASGI-SA): The core objective is to halve poverty and unemployment by 2014.
• The National Spatial Development Perspective (NSDP):
It advocates capital investment in areas of growth potential, with an emphasis on providing basic services, access to social services, and human resource development in areas
of need.
• The National Industrial Policy Framework (NIPF): It aims to provide strategic direction to the economy with respect to industrial development.
•
•
•
The Provincial Growth and Development Strategy (PGDS): Named iKapa Elihlumayo (A Home for All), this strategy aims to set growth and development targets for 2014.
The Provincial Spatial Development Framework (PSDF): It aims to address urbanisation pressures on natural resources, and economic and social divisions within the provinces.
The Intergovernmental Development Agenda for Cape Town
All of these inform and influence the City’s IDP. The following
diagram illustrates the way in which the different strategy and
policy instruments are aligned. (See figure 1.5)
For the past few years, the City’s economy has been driven by the
construction, tourism, retail and property sectors. However, both
Province’s and the City’s growth strategies extend beyond these
sectors. The City is continuously monitoring the actions that are
required of other spheres of government to ensure the growth
of City target sectors, such as spending on education, crime
prevention, energy policies, protection of the environment and
transport. Each of these sectoral strategies will be developed to
support and complement the IDP as well as national, provincial and
regional strategies.
Cape Town as a global city
Cape Town plays an important and ever-increasing role within the
South and Southern African context. It is a valued contributor to
the national economy, and together with the Gauteng Global City
Region and Ethekweni Municipality, anchors the SADC regional
economy. As a globally relevant city, Cape Town therefore has a
huge responsibility to fulfil in the growth and development of the
African continent.
At the same time, to ensure economic growth in an increasingly
global economy, Cape Town must market itself for investment,
competing with other cities internationally. At the beginning of the
20th century, port capacity and manufacturing capability were the
Integrated Development Plan [IDP] 2007/8 - 2011/12
Cape Town’s economy has been driven by the construction,
tourism, retail and property sector.
9
Cape Town’s needs to address development challenges
coherenty.
benchmarks for success amongst global cities. Now, intellectual
capital, transportation assets, business costs, technology IQ,
innovation, and ease of doing business (eliminating red tape) are
seen as essential for growth and development.
Accelerated and Shared Growth
Initiative - South Africa
National Spatial
Development Perspective
National
Province
Provincial Growth and
Development Strategy
Functional Region
Cape Town Functional Region
Development Strategy
An argument for
future Cape Town
Integrated
Transport Plan
Human Settlement
Strategy
Integrated Development Plan [IDP] 2007/8 - 2011/12
Environmental
Management Plan
10
City
Provincial Spatial
Development Strategy
Economic and Human
Development Framework
Cape Town City Strategy
(Including Spatial Development
Framework)
Five-year plan for the City
(IDP)
Cape Town Local
Areas/District Plans
(District IDPs)
Figure I.5: Alignment of government strategies
The City’s strategy
The IDP must be framed within a medium to long-term Spatial
Development Framework (SDF) that translates the IDP into
what it aims to achieve. The City approved and adopted a
Metropolitan Spatial Development Framework (MSDF) in
the 1990s. Since then, Cape Town has experienced a great deal
of change and development, which the MSDF does not reflect.
A review of the MSDF and the Future Cape Town initiative
established the basis for the SDF, which will guide Cape Town’s
long-term development.
For Cape Town to position itself strategically at a national and
international level, and to meet the needs of all its residents, it is
necessary to address the city’s development challenges in a coherent
manner. This requires a City Development Strategy (CDS)
to guide focused infrastructure investment and the sustainable
utilisation and protection of natural resources.
The IDP within a long-term strategy
It is important for the IDP to be framed within a longer-term vision
for Cape Town, as the benefits of decisions made now are often
only realised beyond the five-year period to which the IDP applies.
It is also important that decisions made over consecutive five-year
periods work towards the same strategic objectives, so that Cape
Town progressively moves towards a prosperous and sustainable
future built on a solid foundation.
Integrated District Spatial Development Plans (SDPs) and
Environmental Management Frameworks (EMFs) are currently
being prepared for Cape Town’s eight functional planning districts,
in line with the citywide SDF. These plans are intended to replace
outdated existing regional plans, and are due for completion by the
end of 2009. On completion, both the citywide SDF and the district
plans will become key elements of the annual IDP review and the
compilation of new IDPs.
For this reason, the City has embarked on a process to prepare
its CDS, scheduled for completion in 2009. Importantly, the CDS
is not just the City’s long-term administration plan, but should
be a collective plan for all stakeholders in the future growth and
development of Cape Town. This means that the IDP as well as
the development plans of major stakeholders will all need to be
incorporated into the CDS.
The long-term growth potential of the city’s economy requires a
more equitable distribution of income and economic activities, so
that the benefits of the CDS can be shared by all residents. If poor
people are given access to land, housing, water, energy, sanitation,
transport and credit, as well as education and healthcare, they
obtain the means to participate in economic activity, and are
therefore better positioned to benefit from economic growth.
A shared growth strategy is therefore simultaneously pro-growth
and pro-poor.
Full council.
An analysis of the budgets and project priorities of the various
sectors in Cape Town reveals that in the short to medium term,
the vast majority of public funds will have to be used to maintain
existing infrastructure and deal with service backlogs. Major
infrastructure decisions that either promote or prevent further urban
expansion, will therefore shape the development potential of the city
over the next five years.
Figure I.8: Five year spatial development
The principles informing the SDF are based on the premise that Cape
Town should work better for its citizens, while also accepting its
inevitable growth as more people make the city their home. Behind
this lies the realisation that the City needs to protect and improve
the existing natural and urban environment that makes Cape Town a
unique and desirable place to live, work, visit and invest in.
Integrated Development Plan [IDP] 2007/8 - 2011/12
Table Mountain, Adderley Street.
11
Infrastructure and services
Urban growth in the past 20 years in Cape Town has not been
effectively controlled, especially in terms of informal development
along the city’s periphery. This has created a need for infrastructure
extensions, mostly reactive and uncoordinated, which has placed
immense strain on the City’s finances.
In recent years, Cape Town has benefited from significant
economic growth (a 4% annual increase in GDP over the past
decade, with highs averaging 6% during the past four years),
which has gone hand in hand with improvements in the
provision of basic services and rising tourist numbers to make
the city an attractive place to live and invest in. Such a healthy,
growing economy, which benefits all the people of Cape
Town, is one of the prerequisites for achieving the objectives
of a more sustainable city.
Integrated Development Plan [IDP] 2007/8 - 2011/12
Cape Town generates approximately 78% of the Western Cape’s
GDP, and contributes approximately 11% of the national economy.
The city has a relatively diverse economy, with approximately 93%
of its businesses being small, although they contribute 50% of total
output, and 40% of total formal employment. However, in line
with international trends, the city is increasingly shifting towards the
services sector, with the largest areas of growth in finance, business
services, trade, catering, accommodation, tourism, transport and
communication.
12
The finance and business services sectors dominate the city’s
economy, accounting for 32% of total economic activity.
Manufacturing, which accounts for 16% of employment, has
declined in relative terms in recent years, but remains an important
source of work. Cape Town-based manufacturing accounted for
17% of the city’s total economic activity, and 77% of the Western
Cape’s manufacturing activity. The construction sector was once
again the fastest growing sector in 2007, followed by finance
and business services, wholesale and retail trade, catering and
accommodation.
However, with this newfound economic and service delivery
buoyancy, the city has also experienced rising development
challenges. During the past decade, poverty has increased, the
housing backlog has doubled, drug-related crime has tripled, and
human immunodeficiency virus (HIV) prevalence has increased
tenfold. Also, in 2007, unemployment increased markedly, and there
is a pressing need to create productive employment opportunities.
Environment
Cape Town is home to some of the most beautiful and unique natural
environments in the world – arguably the city’s strongest economic
asset – but is also an urban area with high rates of economic and
population growth, and growing patterns of consumption and
pollution that threaten this highly vulnerable environment.
The city is located in the heart of the Cape Floristic Region (CFR),
one of the world’s six plant kingdoms. It has one of the highest
proportions of endemic plant species (more than 70% of the
existing 9 600 are found nowhere else in the world), and also
has 43 different vegetation types, 18 of which are unique to the
city, and 21 considered critically endangered. Although the City
owns and operates 23 nature reserves, over two thirds of these
species, mostly occurring outside of formal reserves, are classified
as endangered or critically endangered. Distressingly, Cape Town
therefore also has the highest density and number of threatened
plants of any metropolitan area in the world.
Within this context, the CFR has officially been identified as a
global biodiversity hotspot, being one of 34 biologically rich areas
Table S.2:
Figure S.2: Environmental and open space resources
around the world that have lost at least 70% of their original
habitat. The remaining natural habitat in these hotspots amounts
to just 2,3% of the land surface of the planet, yet supports
more than half of the world’s plants, birds, mammals, reptiles,
amphibians and freshwater fish.
Cape Town also has over 300 km of coastline, constituting a rich
marine environment, and featuring some of the world’s most
sought-after beaches. Coastal water quality has improved to almost
Infrastructure service levels6
CITY
1996
2001
2007
Number of households
653 176
777 396
902 278
Population
2 565 018
2 893 246
3 497 097
% of households without weekly refuse removal
11,40
5,82
5,80
Number of households without weekly refuse removal
74 467
45 217
52 337
Demography
Refuse removal
Water supply
% of households without piped water on site
10,49
15,59
4,97
Number of households without piped water on site
68 530
121 177
44 836
% of households without flush toilet
10,73
12,68
7,23
Number of households without flush toilet
70 080
98 604
65 262
% of households without electricity supply
13,20
11,23
5,62
Number of households without electricity supply
86 226
87 294
50 704
Toilet facilities
Electricity supply
Integrated Development Plan [IDP] 2007/8 - 2011/12
State of the City
Investment in infrastructure such as public transport has lagged
behind advances made in the extension of basic services.
The replacement, rehabilitation and maintenance of existing
infrastructure has suffered as a result of the persistent focus on
the (often reactive) extension of infrastructure, and has also been
limited by budget shifts to cover other priorities. There is therefore
an urgent need to increase investment in the repair, upgrade and
replacement of the City’s ageing municipal services infrastructure,
particularly with regard to wastewater and sewerage.
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90% of nationally required standards along the Atlantic coast, but
has dropped from 98% to 50% in False Bay.
The city’s freshwater ecosystems are also in a state of decline, with
more than two thirds of all sites assessed in 2008 showing high
bacterial levels and significant loss of species. On a more positive
note, water use has levelled off at approximately 225 litres per
person per day, down from a high of 270 litres per person per day
in 2000. The sharpest decreases in water use occurred in 2001 and
2004 due to water restrictions, illustrating the success of the City’s
water demand management strategy.
been considered for this stabilisation, including better prevention
programmes, positive changes in sexual behaviour, and more HIV/
Aids fatalities than new infections.
Infant mortality rate - Cape Town
30%
25%
25,16%
23,74%
22,28%
21,40%
20%
19,16%
15%
10%
14
2006
2007
Graph S.7: Infant mortality rate for Cape Town11
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Perception surveys
The City also completed community satisfaction surveys of 3 000
residents and 500 businesses in Cape Town between October 2007
and February 2008. (See graph S.10)
The overall perceptions emanating from the household
interviews included the following:
• Most respondents were satisfied with essential water, electricity, sewerage, refuse removal and stormwater services.
• High-scoring community services were libraries, community centres and civic halls.
• Housing and health care are critical issues of under-delivery, although these require a response involving Province and National Government.
61%
39%
32%
21%
Graph S.9: Public needs
Social
facilities
Safety &
security
14%
Job creation
16%
Streetlights
26%
Percentage of respondents
45%
66%
28%
A safer city: More visible policing and crime prevention initiatives, as well as improved training of officers to deal with sensitive situations in communities.
Safer neighbourhoods: Maintenance of streetlights as part of crime prevention.
There seems to be general satisfaction with primary healthcare
services, but more staff and facilities as well as support for homebased carers were requested. (See graph S.9)
Public needs - 2009/10 IDP input analysis
39%
Cape Town is a major global competitor for trade investment and tourism.
38%
40%
35%
29%
30%
25%
20%
20%
15%
10%
10%
5%
2%
0%
Poor (1)
Fair (2)
Good (3)
Very good (4)
Performance rating (out of five)
Graph S.10: Citywide performance rating
Excellent (5)
•
Concerns were raised about the perceived deterioration in service delivery, including community safety; maintenance of roads, parks and public spaces; and maintenance of areas surrounding roads.
60%
48%
50%
40%
30%
23%
20%
10%
17%
8%
4%
0%
Poor (1)
Fair (2)
Good (3)
Very good (4)
Excellent (5)
Performance rating (out of five)
Graph S.15: Overall perception of business
The overall perceptions emanating from the interviews with
business included the following:
• On service delivery, businesses rate the City much higher than residents do. Businesses believe the City delivers a better service than other government bodies.
• The same priority services received positive ratings from both business and household responses.
• Communication regarding load-shedding and service interruption is critical.
• The business community has concerns over safe public transport and visible policing.
What is clear from these surveys, is that service delivery ratings are
largely driven by people’s relative expectations. Where these have
been high in the past, there may be a poor rating now due to a
relative decline in services; in historically under-serviced areas, where
there have been improvements, service is likely to be rated fairly high,
even if service levels fall well below those in more established areas.
Integrated Development Plan [IDP] 2007/8 - 2011/12
Public needs
The 2009/10 IDP review public engagement process produced
encouraging results, thanks to significantly increased input from
the city’s residents. Communities generally asked for the upgrade
and maintenance of community facilities as well as play parks, for
well-located multipurpose centres and swimming pools, and the
electrification of certain areas. Other identified needs included the
following:
• The creation of employment opportunities: Training and development with regard to business planning skills, and general support to small, medium and micro-sized enterprises (SMMEs).
• Concerns about the city’s transport system: Upgrade, maintenance and/or repair of the roads, verges, road signs and potholes; the need for more public transport lanes; as well as the need for traffic-calming measures and ways to improve traffic flow.
• The provision of stormwater services: Improved stormwater drainage to avoid drain blockages and consequent flooding during the rainy season.
• Housing: Upgrade of Council-owned housing and informal settlements, and more housing opportunities.
The 2007 community satisfaction survey highlighted
housing as a critical issue.
Percentage of respondents
Approval of planning applications
The City has implemented various measures to reduce red tape,
and improve the turnaround time for the approval of planning
applications.
Housing
The infant mortality rate and HIV infection rate are useful poverty
and health indicators, as they are closely related to housing and
living conditions. The available information suggests that the
City is reducing the infant mortality rate across most of its health
subdistricts, and HIV prevalence appears to have stabilised in line
with the national trend, where a decline from 30,2% in 2005,
to 28% in 2007 was reported. A number of explanations have
2005
Health
Poverty and health
Decades of unmanaged development in the city have resulted in
skewed distribution of income and wealth. There is a trend towards
rising poverty – from 25% of households living below or marginally
above the household poverty line in 1996, to 38% in 2005.
2004
Transport
Integrated Development Plan [IDP] 2007/8 - 2011/12
Safety and security
To become globally competitive and attract investment, the City
must provide a safe environment for businesses and residents,
which in turn requires an improvement in the social conditions
of the poor and unemployed. Levels of crime in some categories,
such as murder, have remained stable over the past few years,
but remain extremely high. Of particular concern is the fact that
drug-related crime has almost tripled in the past five years. Propertyrelated crime, especially residential burglaries, has also increased
over this period, possibly reflecting a link between drugs and
property crime.
2003
Roads/
pavements
Housing
Housing, population growth and associated infrastructure backlogs
can be ascribed to the increasing influx of people into the city. Rapid
growth has placed tremendous strain on current infrastructure
(which is most acutely felt in water, waste removal, electricity,
roads and stormwater services), and has necessitated the provision
of new infrastructure. The number of people living in informal
settlements is growing, and overcrowding is increasing. These
factors exacerbate the already urgent housing need, and significant
funding is required to address the problem. (See figure S.2)
0%
Sanitation/
cleaning
Climate change and a projected sea level rise are likely to have a
serious effect on the city and its people in the near future, including
the reduction of water resources and agricultural potential, and
an increase in storm and flood damage. A dedicated City climate
change programme is therefore being implemented. (See figure S.2)
5%
Basic
services
Cape Town’s environment remains under pressure, and continues to
decline. Consumption of natural resources is increasing, while the
environment’s ability to absorb urban waste is decreasing. Urban
sprawl is a further threat to Cape Town’s biodiversity, especially
in the low-income, high-density areas of the Cape Flats, which is
where the city’s most threatened ecosystems are located.
15
Shared economic growth and development
Competitiveness and innovation are key factors in the City’s
Economic Development Strategy (EDS), which determines the key
strategic thrusts for shared economic growth and development.
Steps to achieve this include a special focus on local economic
development (LED), particularly SMME development and support,
especially with regard to the 2010 FIFA World Cup™ and beyond.
Other initiatives include using the Expanded Public Works
Programme (EPWP) to create jobs; promoting Cape Town as a
desirable tourism destination, a ‘green city’ and an events hub;
installing citywide broadband infrastructure; removing unnecessary
red tape to make business easier; and working with Province and
neighbouring municipalities to develop regional synergy.
The City faces a number of economic development challenges,
including poverty reduction, and therefore a large element of
development and corporate investment is focused on community
upliftment programmes.
Tourism initiatives
The City’s vision is that by 2020, Cape Town will be one of the top
ten iconic year-round tourism destinations in the world, with a
skilled tourism industry working closely with all stakeholders to drive
the economic growth of the city. The achievement of this vision is
the responsibility of a wide partnership of organisations, including
Cape Town Tourism, Cape Town Routes Unlimited, Cape Town
Partnership, CTICC, the Cape Film Commission and the tourism
sector. The Tourism Events Programme, Local Tourism Programme
and Destination Development Programme are all designed to work
towards this vision, including working to create job opportunities,
and increase income for the city’s residents.
Local economic development (LED)
The City has prioritised skills development to support continued
economic growth. The LED Programme will encourage the
establishment of business support infrastructure, e.g. job centres;
will promote small business development; and will cater for the
needs of small businesses through initiatives such as the Enterprise
Support Programme, Business Support Programmes and SMME
Programmes (small, medium and micro-sized enterprises). The
Urban Agriculture Programme will support urban farming, with an
emphasis on fast-growing, high-yield vegetables, and niche produce
such as herbs, traditional medicine plants and organic food.
Integrated Development Plan [IDP] 2007/8 - 2011/12
CREATE AN ENVIRONMENT FOR ECONOMIC
GROWTH
16
Investment in Cape Town
Urban Development Zones (UDZs) have been identified for greater
investment, starting with the central city CBD and its surrounding
suburbs, and the Bellville CBD. Part of this programme is a tax incentive
to attract investment to these areas. The City is also looking to provide
more industrial and commercial land throughout the city to address
the critical shortage and huge cost of such land, and provide a faster,
streamlined service to prospective investors and businesses through
its Development Facilitation Programme. Meanwhile, the Urban
Renewal Programme (URP) is focusing on the economic growth and
development of poverty-stricken areas, and the Public Transport
Programme is working to improve the mobility of people and goods.
A key component of this is the Integrated Rapid Transit (IRT) system,
with additional bus ways currently being constructed. Also, with
telecommunications playing a vital role in economic growth and service
delivery, the City has initiated a broadband project that will boost the
economy, while at the same time dramatically increasing residents’
access to the Internet.
Figure 1.4: Green Point precinct planning
Skills development
The City believes that higher learning institutions (HLIs) can
make a positive contribution to Cape Town’s development and
growth. Therefore, the City will continue to support promising
students through the HLI Programme, and will work closely with
HLIs through the Cape Higher Education Consortium (CHEC) to
establish Cape Town as a global research and development hub.
Furthermore, the City supports Students in Free Enterprise (SIFE)
– an international organisation that strives to prepare students to
be entrepreneurs – as well as co-funds the Africa Cities Research
Project, which is designed to meet the needs of cities confronted
with serious urban management challenges.
Processing of building plans
The Red Tape Review Programme has introduced initiatives in key
departments to speed up the processing of planning approvals and
property transactions, which in turn enables economic growth.
Other planned initiatives include fast-tracking the Cost of Doing
Business Project to improve service delivery, manage business costs,
and promote investment in the city, as well as a drive to identify
constraints within the City processes that may hamper small
business development.
Skills development
Various skills development programmes have been introduced
in strategic sectors, including information and communication
technology (ICT), business process outsourcing (BPO), film, oil and
gas. Further programmes specifically aligned with the 2010 FIFA
World Cup™ will focus on skills development in the services and
hospitality industries as well as the film sector.
2010 FIFA World Cup™
The new stadium in Green Point, and other facilities and operations
plans for the World Cup, form an important part of the City’s
strategy, but are also seen as mere stepping stones to achieve
longer-term social and economic targets. The City will capitalise on
this opportunity to derive long-term public benefit by upgrading
public transport and other ageing or inadequate infrastructure, as
well as greening or beautifying key areas of the city to leave a green
legacy for future generations. The Soccer Events Strategy includes
Integrated Development Plan [IDP] 2007/8 - 2011/12
1
Partnership programmes
Partnerships between the City and its stakeholders that will enhance
Cape Town’s global competitiveness and profile, include Wesgro
(which aims to attract R1 billion in business investments to the city),
Cape Town Partnership, the City Improvement Districts (CIDs) and
Cape Town Tourism (who are all working to turn the city into an
economic, social and cultural hub), and the Cape Town Convention
Centre Company (Pty) Ltd (Convenco), which is rapidly turning
Cape Town into the African city of choice for meetings, conferences
and exhibitions, using the world-class Cape Town International
Convention Centre (CTICC). Another partnership is the Khayelitsha
Community Trust, established to develop commercial, residential
and communal facilities in Khayelitsha. Furthermore, the Business
Development Programme is proactively supporting the formal
business environment.
17
2
Sustainable urban infrastructure and services
Improving public transport systems in preparation for the 2010 FIFA World CupTM.
partnership programmes with local Premier Soccer League clubs
(Project 5000) to bring more spectators to matches, and focus on
youth tournaments, while volunteer programmes will recruit and
train volunteers. (See figure 1:1)
Integrated Development Plan [IDP] 2007/8 - 2011/12
Cape Town Partnership
Cape Town Partnership is a collaboration between public and
private sectors to develop, promote and manage the central city as
a clean and safe centre for commercial, retail, residential, cultural,
tourism, education, entertainment and leisure activities. The Central
City Development Strategy (CCDS) therefore places great emphasis
on the upgrade, maintenance and use of public space to improve
citizens’ and visitors’ access to the central city. Other notable
initiatives are the Creative Cape Town Programme, which aims
to support the more than 800 creative and cultural practitioners
based in the city centre, from architects to artists, and the Energy
Efficiency Initiative (EEI), which is the first South African city-level
public-private partnership created to reduce energy consumption in
commercial buildings, and has in turn become a huge contributor
to the bigger Green City Programme.
18
Figure 1.6: Investments by parastatals and other
spheres of government
Transport centre upgrades
With a huge increase in air and passenger traffic expected up to
2010 and beyond, Cape Town International Airport will continue to
undergo major improvements as part of the R5,2 billion investment
by Airports Company South Africa (ACSA) in the infrastructural
development of its airports. The South African Rail Commuter
Corporation (SARCC) has planned a number of upgrades to the
city’s train stations and railways, including Cape Town Station. The
National Ports Authority has allocated R5 billion for the upgrade
of Cape Town Harbour over the next five years, which will almost
double the capacity of this facility.
Job creation projects and skills development training are needed for our communities.
Lester Abrahams - Philippi
In order to promote economic growth in Cape Town, and
provide essential services to its residents, the City will initiate
programmes that focus on water, sanitation and wastewater
treatment services; solid waste services; electricity services;
and roads and stormwater services. This will be done against
the backdrop of reducing the city’s impact on the natural
environment.
PROVIDE UNIVERSAL ACCESS TO BASIC SERVICES
Reduce service backlogs
The unplanned growth of informal settlements is adding to the City’s
service delivery backlogs, while inadequate resources and staffing
further impede its ability to meet increasing service delivery needs.
The goal is therefore to ensure that the City meets minimum service
requirements, and avoids service interruptions. In pursuit of this
goal, the City has implemented programmes like the Wastewater
Treatment Works Backlogs Programme and the New Roads and
Infrastructure Construction Programme, and plans to eliminate the
sanitation backlog by 2013. The Berg Water Project (BWP) will hugely
increase the Western Cape’s water supply, while the Water Source
Diversification Programme aims to reduce the demand on overused
water sources. However, special medium-term requirements due to
the City’s commitment to host the 2010 FIFA World Cup™ further
increase funding needs.
CONSERVE NATURAL RESOURCES
Conserving the environment
Cape Town’s natural environment is slowly eroding due to the City’s
current reactive policy for dealing with environmental issues.
Therefore, to ensure the protection and future of the city’s rare
ecosystems and unique cultural heritage, and to build its resilience
to natural and people-induced disasters, the City has reviewed its
Integrated Metropolitan Environmental Policy (IMEP). This policy
comprises a number of key programmes, including the Coastal
Management Programme, Invasive Species Programme and the
Wastewater Programme, all of which focus on the sustainable use of
the city’s natural resources, or the reduction of damage and waste.
Integrated Development Plan [IDP] 2007/8 - 2011/12
Supporting infrastructure for the 2010 FIFA World Cup™
stadium.
19
There is a sanitary backlog due to increasing density.
The City’s coastline is vulnerable to climate change.
Demand management
The City will reduce water demand by implementing water
conservation and water demand management (WC/WDM)
initiatives, including the Integrated Water Leaks Repair and Fixit
Leaks projects. This will ensure a sustainable supply of water for
the future, and could also produce significant long-term financial
savings for the City and the public by reducing water losses and
treatment costs, and postponing the procurement of large capitalintensive infrastructure.
Table 2.4:
Water demand distribution in Cape Town
TYPE OF USAGE
OPERATING
BUDGET (R m)
CAPITAL
BUDGET (R m)
Domestic
56,9%
58,5%
Domestic cluster
7,0%
7,7%
Municipal
4,9%
4,6%
Commercial
18,3%
17,8%
Other
12,9%
11,4%
Reduce the impact of flooding
The City’s stormwater infrastructure network requires considerable
investment to address existing inadequacies. Given the adverse
socioeconomic impacts of flooding, programmes focusing on
vulnerable communities have been prioritised, such as the Winter
Readiness Programme and policies to control development on
floodplains.
Safeguard the city’s water
The City is developing a plan to improve its management of
the city’s water bodies to combat the harmful impacts of urban
development on rivers, vleis and coastal waters.
EFFECTIVELY MANAGE THE CITY’S
INFRASTRUCTURE AND RESOURCES
safer urban environment. It holds its partners to their service-level
agreements, and is likewise accountable to the ratepayers, who pay
for these top-up services via a CID levy.
Infrastructure asset management
Preventative maintenance and timely upgrades or replacement
will save costs in the long term, minimise downtime, and improve
service delivery. When maintenance is neglected, infrastructure
such as roads, pipes, pumps and substations end up in need of
full replacement. The City wants to avoid this, and is therefore
developing and implementing an Infrastructure Asset Management
Programme (IAMP) in the Transport, Roads, Stormwater, Electricity,
Waste, and Water and Sanitation Departments. For example, the
City has allocated significant additional resources to alleviate the
critical staff shortage in the Water and Sanitation Department, and
the Urban Renewal Programme (URP) is working towards providing
access to basic services for all local communities. Other key projects
include the commissioning of additional landfill sites, and the rollout of mini-material recovery facilities in preparation for the 2010
FIFA World Cup™.
Cape Town Partnership
The Partnership champions and facilitates a number of programmes
aimed at improving infrastructure and service delivery in the central
city area. Through its management of the Central City Improvement
District (CCID), the Partnership directly contributes to a cleaner,
Integrated Development Plan [IDP] 2007/8 - 2011/12
Management of the City’s beaches
The City aims to establish a geographical spread of Blue Flag
beaches on the Atlantic and False Bay coast by seeking additional
full Blue Flag status for the beaches at Muizenberg, False Bay
and Big Bay. All other beaches will be maintained according to
set minimum maintenance standards, while resorts such as
Soetwater, Monwabisi and Kogel Bay will be upgraded.
Providing running water for informal settlements.
Integrated Development Plan [IDP] 2007/8 - 2011/12
These initiatives are already yielding positive results, with annual
water consumption showing a downward trend. The City has
also implemented programmes to ensure that its previously
understaffed and underskilled water and sanitation services are
efficient, while remaining affordable and accessible
to the poor.
Flooding has adverse socioeconomic impact on
communities
20
21
3
Strategic focus area 3:
Energy efficiency for a
Energy efficiency for
a sustainablefuture
future
sustainable
City governments will have to lead the way in reducing
carbon emissions.
The City formally adopted Integrated Metropolitan Environmental Policy
(IMEP) in 2001 as an overarching environmental policy, which placed
sustainable development, an integrated environmental plan, and the
wellbeing of people and the natural resources on which they depend, at
the very top of the agenda. During 2008, the City reviewed IMEP, and is
currently recommitting itself to a sustainable future.
energy efficiency and environmentally friendly energy use need to
be vigorously promoted, while energy consumption should start
playing a lesser role in determining economic growth.
Energy and Climate Change Strategy
This is the overarching plan that informs all City energy activities,
and sets out the City’s energy vision, objectives, targets, measures
and projects. The City also takes into account targets set by Province
and National Government, e.g. the national requirement to reduce
electricity consumption by 10% off the 2007 baseline.
Energy security and carbon mitigation
The City will develop and implement plans to reduce electricity
consumption by 10%+; diversify supply by developing renewable
and cleaner energy sources; reduce transport energy consumption
by developing public and non-motorised transport and promoting
cleaner energy-efficient fuels; ensure energy efficiency throughout
the city; and support the development of a low-carbon economy.
The City seeks to move towards an economy where growth
Lighting
10%
Refrigeration
10%
Integrated Development Plan [IDP] 2007/8 - 2011/12
DEVELOP, ADOPT AND IMPLEMENT A
COMPREHENSIVE RESPONSE TO ENERGY AND
CLIMATE CHANGE CHALLENGES
22
Reduction in energy consumption
Already, the City has a comprehensive Energy and Climate Change
Strategy and a Framework for Adaptation to Climate Change. There has
however been very little implementation of these two policy documents
to date, and the City therefore has to take on the role of managing
and actively pursuing a sustainable energy future. Some of the focus
areas in this regard are energy security through energy efficiency
and diversification of supply, a low-carbon economy, adaptation to
the impacts of climate change, and climate-proofing of vulnerable
communities. The City aims to manage its energy resources in a way
that ensures access to clean, safe and affordable energy for all residents,
while simultaneously promoting economic development. To achieve this,
Water
heating
27%
Cooking
52%
Space
heating
1%
Figure 3.7: Residential energy consumption by activity
and energy consumption are no longer interdependent – this
will be achieved through the mass rollout of solar water heating
technology to mid to high-income households, and by promoting
energy efficiency through the City’s Green Building Guidelines and
Green Procurement Policy.
Building community resilience to climate change
As a coastal city, Cape Town is particularly vulnerable to the effects
of climate change, specifically in terms of sea level rise and an
increase in extreme weather patterns and storms. Climate change is
a significant threat not only to the City’s basic resources, including
water, land and infrastructure, but also its people. The impact of
climate change is likely to be hardest felt by the poorest of the poor,
who have the least capacity to adapt to these impacts. It is therefore
clear that climate change adaptation is an area of critical concern.
Therefore, the City’s long-term City Adaptation Plan of Action
(CAPA) will seek to minimise the likely impact of climate change.
Environmental awareness
Communication, raising awareness, and education are critical to
the long-term success of the City’s energy, climate change and
adaptation interventions. Behavioural change is fundamental to
achieving and maintaining reductions in energy use. Therefore, to
get its new energy vision for Cape Town across, the City is currently
developing a comprehensive integrated communication and
education plan.
Cape Town Partnership
The Partnership’s Energy Efficiency Initiative (EEI), established jointly
with the Sustainability Institute (linked to Stellenbosch University),
is a unique public-private partnership at city-level, created to
reduce energy consumption in commercial buildings. The EEI has
generated valuable knowledge and stakeholder relations to the
extent that it has now culminated in a soon-to-be-established
broader Green City Programme. This will include additional
elements aimed at sustainable energy use, such as water efficiency,
solid waste reuse and recycling, densification with greater mixeduse and residential opportunities, and improved public and
non-motorised transport.
Integrated Development Plan [IDP] 2007/8 - 2011/12
Cape Town acknowledges the central role that energy plays in a
city’s economic development, social welfare and environmental
sustainability. It also recognises that the global and local energy
crises, clearly marked by rapidly increasing oil prices worldwide,
and electricity supply shortages locally, have ushered in a new
era that requires the City to take a central role in managing its
energy future. In addition, the threat of climate change means
that industrialised countries in the developing world, such as
South Africa, will in the near future be required to meet carbon
reduction targets. As most energy is consumed in cities, the City
bears the responsibility of leading the way in reducing carbon
emissions. Lastly, the City needs to take proactive action to protect
its economy, infrastructure and vulnerable communities from
climate change impacts through the development of adaptation
and climate-proofing strategies.
Solar water heating will reduce the carbon footprint.
23
4
Public transport systems
As a FIFA World Cup™ host city, Cape Town has key
transport responsibilities to fulfil.
Through a focused transport intervention programme, the
Integrated Transport Plan, the City aims to create maximum
opportunities for all residents and visitors to enjoy Cape Town to
the full. This requires the transformation of the public transport
system to attract new users, and to enhance existing benefits for
those who are already using the system. The key to achieving this
is to move away from the traditional commuter system, where
services are designed for peak periods only, to a more regular,
consistent public transport system.
•
•
Public transport stations, ranks and depots will be prioritised as
economic development hubs, thereby making transport a key
contributor to economic growth. The City will therefore embark on a
programme of large-scale investment in public transport infrastructure,
including the construction of a Transport Management Centre in
support of the 2010 FIFA World Cup™.
Dedicated public transport lanes
The City will plan and implement a rapid transit system to enhance
road-based public transport. This system, which uses dedicated
public transport lanes, is fast, secure, comfortable, cost-effective
and customer-centred.
Integrated Development Plan [IDP] 2007/8 - 2011/12
IMPROVE PUBLIC TRANSPORT SYSTEM AND SERVICES
Single transport authority
The responsibility for managing public transport services is currently
extremely fragmented, and therefore a single, integrated metropolitan
transport authority is needed and being pursued. However, before the
establishment of such a authority can be approved, the City will engage
and consult all affected stakeholders.
Investment in transport infrastructure
The City seeks a public transport system that meets the access and
mobility needs of citizens and visitors by putting public transport, people
and quality of life first. As such, the City is driving a focused investment
programme, using the 2010 soccer event to accelerate a number of
projects on the transport programme. These include the following:
• Road-based Public Transport Programme – Using an integrated rapid transit (IRT) system and public transfer facilities to reduce the need for private vehicle use. (See figure 4.1)
Rail Transport Programme – Promoting and supporting passenger rail where it is the most appropriate mode of transport, and where it can offer the required level of service as part of an integrated transport system.
Demand Response Public Transport Service Programme – Introducing the Dial-a-Ride service for special needs
passengers to enable them to access the opportunities that Cape Town offers.
Reduced average peak period travel time
Whilst it is important for the City’s transport plan to cope with
current travel demand, and to address existing transport challenges,
it is equally important to influence travel behaviour to become more
sustainable. This is generally known as travel demand management
(TDM), which promotes a range of sustainable travel options that
seek to reduce the number of trips needed, minimise travel time,
and optimise travel costs – especially during peak times. TDM
further creates an awareness of the broader environmental impacts
of private vehicle use. Programmes to support TDM include parkand-ride schemes to reduce travel in private vehicles, and promote
the use of public transport; partnership programmes between
the City and large employers in Cape Town to structure their
employees’ travel arrangements to reduce congestion; and the
development of public transport links between jobs, denser housing
developments and other urban activities. (See figure 4.1)
Non-motorised transport
Pedestrians and cyclists are often seen as obstructions to traffic
flow, making them highly vulnerable – it is no surprise then that
they account for close to 60% of all road fatalities. The City has
developed a Non-motorised Transport Plan to increase the numbers
of people who cycle, and to improve their safety and security. The
Figure 4.1: Movement and mobility
plan highlights areas where pedestrian routes and cycle paths
and storage facilities should be considered. These include public
transport interchanges, bus and rail stations, and key access routes
to schools, tertiary education institutions, CBD areas, shopping/
service districts, community centres and facilities, tourism and
heritage sites, conservation areas and recreational areas.
Central city initiatives
In addition to the Public Space for Public Life programme, which
focuses on the provision and maintenance of clean and safe public
open spaces in the central city, Cape Town Partnership is very active
in the public and private sectors to promote safe and reliable public
transport systems. Two of their most notable initiatives are the IRT
system and the promotion of non-motorised transport.
Integrated Development Plan [IDP] 2007/8 - 2011/12
In addition to the World Cup Green Goal transport programme, the
City has designed the overall transport programme to enhance public
and non-motorised transport as energy-efficient alternatives, which also
address Capetonians’ travel needs.
24
Gordon’s Bay Harbour development.
25
5
Integrated human settlements
At present, there are an estimated 400 000 families in Cape
Town who do not have adequate access to essential services and
shelter. The housing backlog is also growing by 18 000 families
per year as a result of rural-urban migration (mainly from the
Eastern Cape). The City has thus changed its focus from the mere
provision of shelter (especially the so-called Reconstruction and
Development Programme houses) to improving and developing
integrated human settlements, and thereby strives to strike a
balance between quantity (i.e. reducing the backlog) and quality
(i.e. better housing standards and an improved overall living
environment for communities).
IMPROVE AND DEVELOP INTEGRATED HUMAN
SETTLEMENTS
Quality public spaces
The Quality Public Spaces Programme seeks to deliver new or improved
public spaces in different parts of the city to bring dignity to neglected
public environments, and to celebrate the natural and cultural heritage
of Cape Town and its people.
CITY Spatial Development Framework (SDF)
Through its Integrated Housing Development Business Plan, the City will
ensure that housing plans are aligned with budget and infrastructure
Funded by Council, municipal
infrastructure grant (MIG) & other grants
Funded by Council,
MIG & subsidy (UISP)
26
Level of service
Integrated Development Plan [IDP] 2007/8 - 2011/12
Top structure
Full services
Relocate
Basic
Tenure
Incremental Upgrade Programme
Essential
Temporary
R3 500,00
R7 500,00
R14 800,00
Cost
Max
(balance of subsidy)
Figure 5.2: Upgrading of Informal Settlements Programme (UISP)
Incremental housing programme
The City’s Incremental Housing Programme will implement all
housing projects through a phased development process to speed
up housing delivery. Elements of this programme include the
Upgrade of Informal Settlements Programme (UISP), emergency
housing assistance and the People’s Housing Process (PHP), which
aims to help subsidised beneficiaries build their own houses.
DELIVER HOUSING OPPORTUNITIES
New housing opportunities
The City can currently deliver an average of 7 500–10 000 housing
opportunities per year for the next five years, based on National
Government’s housing subsidy.
Rental stock
The City is finalising Phase 6 of the Hostels Redevelopment
Programme; Phase 7 will fall under the Community Residential
Units (CRU) Programme. This will entail moving away from the
mere development of hostels, to include a focus on long-term
maintenance as well. The Social and Rental Housing Programme
supports urban restructuring, with the primary focus on the
residential densification of the city’s urban core. Finally in this
regard, an integrated housing database is being developed to
coordinate housing allocation, and improve the match between
housing supply and demand.
Land restitution
The identification and acquisition of well-located land for affordable
housing will be guided by a citywide SDF, with the emphasis on
acquiring big tracts of land for present and future (land banking)
development, as well as infill sites in existing residential areas. To
achieve the delivery targets of the five-year Land Acquisition Plan,
the City will need to acquire 450 ha of land by 2012. The City is
also assisting the Land Claims Commission with the processing of
land claims, and the identification of land that could be offered to
people who are unable to reclaim their original site.
Social (gap) housing and informal housing improvement
Through an agreement with its three social housing partners, the
City is continuing its Social Housing Programme, which provides
rental and cooperative housing opportunities to beneficiaries
earning between R2 500 and R7 000 per month. However, as
Cape Town also has a total of 223 informal settlements with
approximately 137 000 informal structures, the City is strengthening
its focus on this housing sector as well. The UISP aims to upgrade
25% of Cape Town’s existing informal settlements by 2012, with
the main goal of providing them with essential services, while the
City’s Backyard Assistance Programme is also working towards
improving the living conditions of the city’s informal residents
PROVIDE EQUITABLE COMMUNITY FACILITIES
AND SERVICES
Community facility investment
The City will evaluate the provision, location and clustering of
current community facilities and services, and will then determine a
future roll-out programme for new, upgraded or relocated facilities
based on supply and demand guidelines. The City also needs
to meet the demand for more burial facilities. Where necessary,
land will be acquired for new cemetery development, cemetery
recycling will be considered, and alternative burial methods will be
investigated.
Improve service delivery standards
Community facilities and services are being developed and
assessed against set minimum standards. Once these standards
are adequately met across the city, the level of service delivery at
selected facilities will be further raised to comply with international
norms over the medium to long term.
Table 5.4:
New housing delivery targets 2007–2012
New subsidy/project linked projects (greenfield and top structure)
5 000
Social housing
300
Hostels redevelopment
300
Upgrading of Informal Settlements + Emergency Housing
2 000
Restitution
200
GAP (Affordable) housing
500
CRU (upgrading of rental stock)
1 000
The Urban Renewal Programme (URP)
The URP consolidates the development efforts of all three spheres
of government to alleviate poverty and address underdevelopment.
The intention is to speed up service delivery, and improve the quality
of life of selected communities. In particular, the City has identified
Mitchells Plain and Khayelitsha as priority anchor projects of the
URP, and is focusing on issues ranging from safety and security,
housing delivery and commercial development, to the development
of public places, a magistrate’s court and a hospital.
Violence Prevention through Urban Upgrade (VPUU)
programme:
The City has entered into a bilateral agreement with the German
government to cooperate on the implementation of the VPUU
programme in Khayelitsha. The programme has identified four safe
node areas that have the potential to function as urban subcentres
providing a variety of social and commercial services, including
recreational activities, to the community in a safe, secure and
accessible environment.
Integrated Development Plan [IDP] 2007/8 - 2011/12
services. Land use and public investment will also be guided by
the City’s SDF, in conjunction with its eight integrated district
spatial development plans (SDPs) and environmental management
frameworks (EMFs).
27
6
Safety and security
The focus of the City’s safety and security strategy is to unite
government, business and public efforts in an integrated
whole that will support and strengthen the activities of
law enforcement agencies, the criminal justice system, and
emergency and disaster risk management services. This will
reduce the current high levels of crime and vulnerability, and
will improve safety and security. Importantly, community
participation will be promoted to engender a sense of shared
responsibility in the fight against crime, and protection against
disaster.
Safety and security is without doubt one of the most important
strategic challenges – if not the most important – facing the City. Crime
impacts negatively on the quality of life of citizens and visitors, on the
economy, and on attracting investment and tourism. It also poses a
potential risk to the 2010 FIFA World Cup™ event.
FOSTER A SAFE AND SECURE ENVIRONMENT
Integrated Development Plan [IDP] 2007/8 - 2011/12
Community and youth development
A City crime prevention strategy has been developed, which focuses
on the root cause of crime, while the Traffic And Pedestrian Safety
Programme focuses on learner education with regard to road safety
issues. Other initiatives to strengthen stakeholder collaboration
include increased participation in Community Police Forums (CPFs),
a Neighbourhood Watch Support Programme, and the soon-to-belaunched community safety coordinator concept.
28
Improvement of urban design
Crime Prevention Through Environmental Design (CPTED) is widely
regarded as one of the most effective strategies in the fight against
crime. It entails the application of CPTED principles to the building of
new structures, and the remodelling of existing ones. CPTED principles
are already employed in the City’s VPUU Programme in Khayelitsha.
Closed-circuit television (CCTV) network
The City has established an ad hoc Multidisciplinary Advisory and
Technical Team (MAT) to oversee the development of a new, integrated
CCTV Network Plan. This network of security cameras will be managed
Visible law enforcement will increasse safety and security.
and developed in accordance with MAT recommendations, and
will bring about better utilisation of current resources, and gradual
coverage of key economic and transport locations, as well as crime
and disorder hotspots.
Visible law enforcement
Metro Police and Law Enforcement will focus on vigorously
combating by-law offences and minor crimes, while Traffic Services
will adopt a zero tolerance approach to the general disregard for
traffic rules and regulations, with stricter speed limit enforcement,
more visible patrolling, and more regular roadblocks. Key initiatives
to address the high levels of crime and disorder include the
Integrated Spatially Enabled Response Management System
(ISERMS), which will enable Metro Police, Traffic Services, By-law
Enforcement and Emergency Services to improve the use and
coordination of their combined resources. A specialised Substance
Abuse Unit has been established under the Drug and Alcohol
Combating Programme; additional funds have been made available
for the creation of a significant number of new positions in the
Traffic, Law Enforcement and Specialised Services Departments to
increase their efficiency; and the Training Academy has now been
established to fulfil all the various departments’ training needs.
Fast and efficient emergency responses
The City will increase the number of fire stations and their levels of
staffing and equipment to provide adequate protection against the
city’s ever-increasing fire risk. Key initiatives include procurement
of vehicles and equipment, public education and awareness, staff
training and development, and improving response times.
Disaster risk assessment
The City will undertake a comprehensive disaster risk assessment,
will develop specific disaster risk reduction initiatives, and
coordinate activities of the Advisory Forum and other risk reduction
forums/structures. Furthermore, there will be ongoing public
awareness and preparedness programmes to reduce disaster risk,
while a Disaster Operations Centre will also be completed.
Emergency Services call centre
The City will implement a programme to promote a single
telephone number for all public safety services. Key initiatives
will include public education and awareness, staff training and
development, and systems integration of a centralised call centre.
Integrated Development Plan [IDP] 2007/8 - 2011/12
A disaster risk assessment will be developed.
29
7
Health, social and community development
A healthy city made up of healthy individuals and communities
is an essential ingredient of economic growth and good
governance. The City will therefore continue to invest in health,
social and community development by facilitating the delivery
of health care at local level, so that even the most marginalised
communities can benefit from these initiatives. The City will also
provide and maintain community facilities as focal points for
youth development.
FACILITATE A HEALTHY AND SOCIALLY INCLUSIVE
SOCIETY
Integrated Development Plan [IDP] 2007/8 - 2011/12
Early Childhood Development (ECD) facilities
The early years are vitally important in the development of young
children, and therefore the City plays a supporting role in promoting
ECD by establishing child care facilities and ECD centres, services
and programmes, as well as through training of ECD educators and
caregivers, establishing toy libraries and associated activities, facilitating
training in effective parenting skills, caring for children who are affected
by or infected with HIV/Aids, and creating ECD Forums.
30
Developmental programmes
Various skills development programmes have been implemented. The
City Youth Entrepreneurship and Leadership Programmes provide youth
with alternatives to crime, substance abuse and unemployment; the
Life Skills Programme addresses HIV/Aids, substance abuse, domestic
violence, teenage pregnancy and gender-related issues; while the Social
Development Support Programmes address the plight of vulnerable
groups.
Promotion of healthy communities
Community development programmes are held in many of the City’s
facilities, including its sports fields, community and multipurpose
centres, libraries and community halls. These are supplemented by
the use of non-Council-owned facilities where necessary, and often
involve collaboration and partnerships with churches, community
organisations, non-governmental organisations (NGOs) and
government departments.
Public events will create HIV/Aids awareness.
Street people
The Street People Programme provides the destitute living on the
streets of Cape Town with access to physical and mental health
care, alcohol and drug rehabilitation services, accommodation, skills
development and employment. The programme aims to reintegrate
street people with the community as productive citizens. Key
elements of this programme are Networks of Care, the Western
Cape Street Soccer League, and the Adult Street People Diversion
Programme to rehabilitate habitual offenders.
Primary healthcare services
The City will continue to deliver clinic services in partnership with
the Provincial Health Department at all its health care facilities. A
comprehensive health care service is delivered at the Community
Health Centres, and a maternal and child health service is available
at the clinics. This has seen Cape Town’s infant mortality rate
improve over the past five years. The City is continuing to implement
its citywide HIV/Aids Get Tested campaign, and to work with
Province to deliver an effective public Antiretroviral Treatment (ART)
Programme, as well as various initiatives to prevent the spread of TB.
Substance abuse plan
The City has made dealing with substance abuse an Executive
Mayoral Special Project. Substance abuse is a major problem in
Cape Town, particularly the marked increase in methamphetamine
(tik) abuse (2,3% of people using treatment services in 2003 had tik
as their primary drug of abuse; in 2006, this had increased to 42%).
A key component of the Operational Drug and Alcohol Strategy is
to establish more substance abuse treatment centres, and has led
to the launch of Local Government Drug Action Committees and a
specialised Substance Abuse Unit, which has achieved much success
in its work with the South African Police Service (SAPS).
Environmental health services
The Environmental Health Department covers a wide range of
programmes and projects to protect public health in the city.
Water quality monitoring is done continuously; all food premises
are inspected regularly; food quality is monitored; solid waste is
removed; waste management is promoted; vector control of rats
is done; chemical safety is promoted; and environmental health
inspections are done at business premises. Furthermore, the
City is taking steps to prevent communicable disease outbreaks;
undertaking pollution control programmes and projects to ensure a
healthy, pollution-free environment; and ensuring the safe disposal
of dead bodies.
Central city improvement
The Central City Improvement District (CCID) provides safety and
security, urban management, social development and marketing
and communication services to the City. CCID security officers
work closely with SAPS and other law enforcement agencies to
ensure that the central city is safe and secure. This has seen the
crime rate drop significantly. Furthermore, the CCID provides a topup cleansing service to ensure that the streets and public spaces
of the central city are kept clean, while the CCID Social Welfare/
Development Department assists homeless people as well as
alleviating poverty.
Integrated Development Plan [IDP] 2007/8 - 2011/12
A sport and recreational strategy for the City is being
developed.
31
8
Good governance and regulatory reform
This focus area has three primary goals: the Organisational
Development & Transformation (OD&T) Plan, the management
of key financial and governance areas, and effective community
engagement. The OD&T Plan seeks to ensure enhanced service
delivery with efficient institutional arrangements, while the
management of key financial and governance areas will
be achieved by focusing on improving the administrative
environment, and continuing to exercise sound financial
management. Effective community engagement will be
facilitated through subcouncils and ward forums as well as
community satisfaction surveys.
Integrated Development Plan [IDP] 2007/8 - 2011/12
ENHANCE SERVICE DELIVERY WITH EFFICIENT
INSTITUTIONAL ARRANGEMENTS
32
Improved service delivery and business systems
To meet this objective, the OD&T Plan contains the following
three programmes:
• Operations Integration Model (OIM) Framework, which will include the eight-district model, integrated service centres, customer relations management (CRM) roll-out, subcouncil participatory mechanisms, and Executive Management Team (EMT) subcommittees.
• Information and Communications Technology (ICT) Programme, which aims to improve administrative efficiency and service to citizens and business, and enable social and economic development.
• Organisational Development and Design Framework.
Improvement of staff morale and performance
The City’s most valuable asset, when optimally utilised and motivated,
is its people. The City’s human resource strategy is therefore aimed at
delivering the right people with the right skills. To meet this objective,
the OD&T Plan contains a Human Capital Management Programme,
which will create competency frameworks and personal development
plans, as well as an e-HR Programme, which will focus on improving
time management.
A Smart Cape walk-in centre, making access to information possible.
Service culture and workplace ethics
The OD&T Plan contains a Business Improvement and Quality
Management (QM) Programme, which will monitor the City’s
operations to ensure they are efficient, effective and economical,
as well as the Organisational Performance Management Systems
(OPMS) Programme, which will institutionalise and formalise
performance management at political, organisational and
community level.
Anticorruption initiatives
The City has adopted a zero tolerance approach to corporate crime
that may affect service delivery. Forensic Services was therefore
established as an independent department within the City’s
governance structures to detect and investigate corporate crime in
the City and all municipal entities. Council has also adopted a
Whistle-blowing Policy, Fraud Prevention Policy and a Fraud
Response Plan.
Organisational and regulatory improvement
The City is continuing the process of reviewing and consolidating
its by-laws and policies, as inherited from the seven previous
municipalities now forming part of the City administration.
Furthermore, in compliance with the Municipal Systems Act (MSA),
the City has developed its Municipal Code, which is a record of all its
applicable by-laws, and has been made available to the public.
ESTABLISH EFFECTIVE COMMUNITY
ENGAGEMENT CHANNELS
MANAGE KEY FINANCIAL AND GOVERNANCE
AREAS
Management of key financial and governance areas
The City will strive to extend its unbroken record of five successive
years of unqualified external audit reports through sound financial
management. In terms of risk management, the City has approved
an Integrated Risk Management (IRM) Programme to identify threats
to its strategic objectives. This has seen the establishment of a
Disaster Risk Management Centre and a Disaster Risk Management
Plan, while a citywide disaster risk assessment is being undertaken,
also with a view to the 2010 FIFA World Cup™.
Ward participatory mechanisms
As part of its governance structure, the City has instituted 23
subcouncils to assess service delivery; IDP; budget and business
planning; street naming; business licensing; land use, planning and
environmental matters; and public participation. Ward Forums have
also been established in all 105 wards to assist ward councillors
in articulating community needs to Council, as well as to monitor
service delivery.
Improvement of community satisfaction
The City has commissioned a second Community Satisfaction Survey
to assess satisfaction levels with the various municipal services,
and to identify priority service improvement needs. In addition,
the Ombudsman is an impartial office set up to investigate and
facilitate the resolution of public complaints pertaining to alleged
maladministration, injustice, and poor service or gross negligence by
any City employee.
Integrated Development Plan [IDP] 2007/8 - 2011/12
The City is extremely reliant on its IT systems.
33
COUNCIL
Executive Mayor
Section 79 committees
Schedule 1
SPEAKER
Disiciplinary Committee
Governance Framework
and Functioning
Subcouncils
•
•
•
•
SPELUM
(Spatial Planning,
Environment and Land Use
Management Committee)
SCOPA
Rules
Homeless Agency
Ward participatory mechanisms
MFMA section 166
• Audit committee
Integrated Development Plan [IDP] 2007/8 - 2011/12
Executive Management Team (EMT): The EMT leads the City’s drive
to achieve its strategic objectives, as outlined in the IDP adopted each
year. The macro-organisational design of the administration is indicated
overleaf: (See figure G.2)
34
City/Province intergovernmental cooperation
In the run-up to the drafting of the 2008/9 IDP review, the City had
a number of engagements with Province to encourage improved
planning and budgeting synergy between the two spheres of
government. This interaction was successful in that stated objectives
were achieved, and a number of short-term issues and in-principle
agreements were finalised. It was agreed that the most urgent projects
require collaboration between the City and Province, as both operate
in the same geographic area. The City/Province engagements were
structured into the following three categories:
•
•
•
•
•
•
Economic development; agriculture; transport and public works; and environmental affairs and development planning, with the following focus areas:
Bulk infrastructure
Poverty
Economic development
Public transport
Intergovernmental relations (IGR)
Section 80 Committees
• Budget
• Energy
Ad hoc committees, working groups
and task teams
• Fire Investigation • IDP (incl. annual report)
• Delegations Task Team
Figure G.1: The governance structure
•
•
•
•
•
•
•
•
•
•
•
Community safety; social development; cultural affairs and sport; and housing, with the following focus areas:
Human settlements
Community safety
Emergency services
Libraries and sports facilities
Health and education, with the following focus areas:
Province and City’s Health Departments
Nutrition and HIV/Aids projects
National drug master plan
No-fee schools
Safe schools
City Manager
Ombudsman
Internal Audit
Forensics
Executive Support
Governance and Interface
Community Development
Safety and Security
Health
Strategy and Planning
Corporate Services
Utility Services
Service Delivery Integration
Economic, Social
Development and Tourism
Transport, Roads
and Stormwater
Finance
Housing
Figure G.2: Executive Management Team (EMT) Structure
Internal Audit
The City’s Internal Audit Directorate reports functionally to the
Audit Committee, and administratively to the City Manager.
It is strategically positioned in the organisation to provide
independent, objective input to improve the City’s operations by
critically evaluating the efficiency and effectiveness of controls, risk
management and governance processes.
Based on the IDP and the risk assessment of the City, Internal
Audit compiles an audit plan, which determines where auditing
efforts will be focused, so that resources are optimally utilised.
The work performed by Internal Audit empowers the City’s Audit
Committee to fulfil its oversight responsibilities in terms of its
legislative mandate. In addition, Internal Audit supports the Standing
Committee on Public Accounts (SCOPA), which aims to enhance the
City’s accountability and transparency.
Internal Audit provides independent reviews on the
following areas:
• Internal control: Evaluate and recommend improvements to internal controls to ensure effective and efficient operations, reliable reporting, and compliance with laws and regulations.
• Risk management: Monitor the effectiveness of management processes with regard to risks that could potentially affect the City’s ability to realise its objectives.
• Corporate governance: Internal auditing is one of the four pillars of corporate governance that inform, direct, manage and monitor the City’s resources, strategies and policies.
• Performance management: Legislation requires the regular assessment of the City ‘s performance management system, as well as full compliance.
Integrated Development Plan [IDP] 2007/8 - 2011/12
Office of the Speaker: The responsibilities of the Office of the
Speaker range from coordination of all processes flowing from
subcouncil delegations, matters relating to disciplinary investigations
in terms of the Code of Conduct for Councillors, and the Code of
Conduct for Municipal Employees, rules of meetings of political
structures, as well as the Planning and General Appeals Committee.
Utility Services
Corporate Services and Human Resources
Finance
Safety and Security
Community Services
Health
Housing
Economic, Social Development and Tourism
Planning and Environment
Transport, Roads and Stormwater
• Civilian Oversight
Committee
Planning & general
Governance structure
The City’s political structures are linked as follows: (See figure G.1)
•
•
•
•
•
•
•
•
•
•
Executive Mayoral Committee
SAPS act
Section 62
This section provides a framework of the institutional structures
through which the City implements its strategies with the
appropriate resources.
Section 79 portfolio committees
35
funded expenditure. Proposed EFF-quanta for the following three
financial years were set at R2,716 billion (2009/10), R1,961 billion
(2010/11) and R2,141 billion (2011/12) respectively.
Regional Services Council (RSC) levies / national grants
RSC levies were abolished on 1 July 2006. Since the abolishment,
National Treasury has provided a Replacement Grant as an interim
measure, while investigating replacement alternatives.
The City’s Medium-term Revenue and Expenditure Framework
(MTREF) is reviewed annually to determine the affordable level
at which the municipality can operate optimally. As part of the
review process for the 2009/10 financial year, the City established
a Budget Committee to guide its budget drafts.
The Budget Committee represents all spheres of the City administration,
and strengthens the link between the IDP strategic focus areas and the
budget objectives, as all critical municipal issues are being considered and
budgeted for.
To ensure a well-run city, higher tariff increases are inevitable.
The following major increases were factored into the MTREF:
• Rates: 8,5%
• Refuse removal: 10%
• Electricity: 33,3% (based on the 27% Eskom tariff increase
for municipalities)
• Water: 10%
• Sanitation: 7%
These increases are estimated to realise the following revenue:
Integrated Development Plan [IDP] 2007/8 - 2011/12
REVENUE
CATEGORY
2008/9
BUDGET,
INCLUDING
GROWTH
R’000
PROPOSED
REVENUE
PARAMETER
INCREASE
(INCLUDING
GROWTH)
2009/10
BUDGETED
REVENUE
R’000
Rates
3 715 832
9,5%
4 068 836
Refuse
489 800
12%
548 576
Electricity
4 121 546
33,3%
5 494 020
Water
1 308 045
12,7%
1 514 1501
Sanitation
729 007
9,7%
819 721
In terms of the 2009 DORA and based on the above Replacement
Grant formula, the allocation to the City is as follows:
2009/10 – R1,296 billion
2010/11 – R1,387 billion (provisional indicative amounts projected by NT)
2011/12 – R1,447 billion (provisional indicative amounts projected by NT)
Equitable share provisions in terms of DORA are as follows:
2009/10 – R631 million
2010/11 – R818 million
2011/12 – R911 million
The above allocations represent substantial decreases from current
allocation levels.
Description
2009/10 Medium term Revenue & Expenditure Framework
Budget Year 2009/10
Budget Year +1 2010/11
Budget Year +2 2011/12
Revenue By Source
(R thousand)
(R thousand)
(R thousand)
Rates
3,804,865
4,232,084
4,669,865
User Charges
8,826,422
10,525,477
12,575,438
Rental of facilities and equipment
268,298
281,713
295,798
Interest earned
493,095
493,095
493,095
Fines
185,458
211,707
223,986
Licences and permits
24,276
25,660
27,148
Agency services
115,993
115,993
115,993
Transfers recognised
2,515,492
2,783,035
2,938,432
Other revenue
172,831
181,587
191,709
Gains on disposal of PPE
49,817
49,817
49,817
Total Revenue
16,456,548
18,900,167
21,581,282
Expenditure By Type
Employee related costs
5,288,283
6,194,979
6,796,883
Remuneration of councillors
86,260
92,065
98,326
Debt impairment
597,747
607,790
721,204
Depreciation & asset impairment
992,603
1,049,181
1,110,034
Finance charges
539,766
633,768
772,469
Bulk purchases
3,949,228
5,005,178
6,362,950
Contracted services
722,711
741,080
824,306
Grants and subsidies
94,812
100,217
106,029
Other expenditure
4,448,745
4,613,778
4,827,229
Total Expenditure
16,720,155
19,038,035
21,619,431
Integrated Development Plan [IDP] 2007/8 - 2011/12
Medium-term Revenue
and Expenditure Framework
The 2009 Division of Revenue Act proposes the introduction of
a new Replacement Grant, to be funded from a portion of the
general fuel levy. The Replacement Grant calculation is based on a
combination of the current RSC levy allocation and a percentage
of fuel sales for the six Metros. The proposal is to phase it in over
a three-year period. For the 2009/10 financial year, all Metros are
guaranteed a minimum growth rate of 4% from 2008/9 allocation,
should the fuel sales calculation be less than the RSC levy grant
share. In the event of fuel sales being higher than the RSC levy
grant, additional funds will be provided as a top-up. For the 2010/11
financial year, a 60% RSC levy replacement share and 40% fuel
sales will be applied and in 2011/12, a 25% RSC levy replacement
share and 75% fuel sales will be applied. In the 2012/13 financial
year the phase-in would be completed and the grant calculation will
be 100% based on fuel sales of the metro area.
Figure M.1: Service revenue
Capital expenditure (External Financing Fund/EFF component)
Affordability is the primary concern when determining the level of EFF1 A further R40 million and R20 million for water and sanitation respectively for the 2009/10 financial year
36
37
Proposed
Provision
2009/10
Proposed
Provision
2010/11
Proposed
Provision
2011/12
Capital Grants
and Donations
(CGD)
r1,904,171,207
R1,567,805,299
R1,590,283,942
Capital
Replacement
Reserve (CRR)
R788,934,338
R629,063,723
R359,385,000
External
Financing Fund
(EFF)
R2,716,496,058
R1,961,378,754
R2,140,938,086
Revenue
R104,692,447
R42,557,031
R75,996,406
TOTAL
R5,514,294,050
R4,200,804,807
R4,166,603,434
CAPITAL BUDGET SUMMARY
R
The City has the best water quality in the country.
R
R
Funding sources
09/10
10/11
11/12
Internally generated funds
893,627
671,621
435,381
Borrowings
2,716,496
1,961,379
2,140,938
Public contributions and donations
58,984
57,049
58,200
Capital transfers recognized
1,845,187
1,510,757
1,532,084
OPERATING BUDGET –
EXPENDITURE
R
R
R
Expenditure category
09/10
10/11
11/12
Employee related
5,288,283
6,194,979
6,796,883
Bulk Purchases
3,949,228
5,005,178
6,362,950
Other expenditure
4,448,745
4,613,778
4,827,229
Depreciation & asset impairment
992,603
1,049,181
1,110,034
Finance charges
539,766
633,768
772,469
Contracted services
722,711
741,080
824,306
Department impairment
597,747
607,790
721,204
Grants and subsidies
94,812
100,217
106,029
Remuneration of councillors
86,260
92,065
98,326
TOP 4 CORPORATE INDICATORS 2009/10
Indicators
Baseline 30.06.2008
Target 30.06.2010
2.4
2.6
25%
31%
25 days = actual as at
26.03.09
12% reduction in time
(22 days)
Unqualified audit
received from AG
Unqualified audit
received from AG
38
Community satisfaction Level (Scored on a scale of 1-5)
Employee Morale
% improvement in the positive employee climate (As per annual Culture Climate Survey)
Operational Efficiency
% improvement in the time taken to resolve complaints
Unqualified Audit
Unqualified Audit from Auditor General (AG)
Integrated Development Plan [IDP] 2007/8 - 2011/12
Integrated Development Plan [IDP] 2007/8 - 2011/12
Customer Satisfaction
39