President Cyril Ramaphosa has signed into law legislation that aims to create a single framework that regulates public procurement, including preferential procurement, by all organs of state, with the necessary efficiency, cost-effectiveness and integrity.

The President has assented to the Public Procurement Bill which complies with the stipulation in Section 217 of the Constitution that contracting of goods and services by organs of state in all spheres of government must occur in accordance with a system which is fair, equitable, transparent, competitive and cost-effective; and that national legislation must prescribe a framework within which a procurement policy must be implemented.

As enacted by the President, the Public Procurement Act addresses weaknesses in the procurement of goods and services by organs of state that have in the past enabled various degrees of corruption, including state capture.

The Act also responds to the acknowledgment that legislation regulating procurement by organs of state is fragmented and constrains justified advancement of persons or categories of persons who could provide goods or services.

The Act establishes a single framework that regulates public procurement, including preferential procurement, by all organs of state and promotes the use of technology for efficiency and effectiveness.

The law seeks to enhance transparency and integrity, among others, to combat corruption, ensure efficient, effective and economic use of public resources and advance transformation and broadened economic participation.

The Act foresees that economic development will be stimulated through the procurement of goods that are produced and services that are provided in South Africa, as well as procurement that is developmental in nature.

The Public Procurement Act, which will be administered by the Minister of Finance, applies to departments, constitutional institutions, municipalities, municipal entities, and public entities.

There are also a limited number of clauses which apply to Parliament and provincial legislatures.

The Act applies to all procurement carried out by a procurement institution (including procurement through donor or grant funding), any person who submits a bid or has been awarded a bid; and all procurement carried out by any person on behalf of a procuring institution.

Among its wide-ranging provisions, the Act lists persons who may not submit bids including a public office bearer, employees of Parliament or provincial legislatures, and officials or employees of, among others, public entities, constitutional institutions, municipalities and municipal entities.

Media enquiries: Vincent Magwenya, Spokesperson to the President, on media@enquiries.gov.za

Issued by: The Presidency
Tuynhuys, Cape Town

President Cyril Ramaphosa has assented to the National Small Enterprise Amendment Bill which streamlines the support services government provided to small and medium businesses as part of broadening participation in the economy by a greater number of South Africans.

The National Small Enterprise Amendment Act signed by the President amends the National Small Enterprise Act of 1996 to establish a new entity, the Small Enterprise Development Finance Agency, which will incorporate the Small Enterprise Development Finance Agency (SEFA), the Small Enterprise Development Agency (SEDA) and the Cooperative Banks Development Agency (SEDFA).

SEDA and SEFA are currently located within the Department of Small Business Development.

The new Small Enterprise Development Finance Agency will function as a one-stop-shop for aspiring entrepreneurs and promote the development of the Co-operative Banking Institutions (CBIs).

The Act also establishes the Office of the Small Enterprise Ombud Service which may, as part of dealing with complaints, recommend that the Minister of Small Business Development declare certain practices in relation to small enterprises to be prohibited unfair trading.

Under the new law, the Minister may make regulations setting the criteria to determine the classification of micro, small and medium enterprises as well as any legislation affecting small enterprises.

Media enquiries: Vincent Magwenya, Spokesperson to the President, on media@enquiries.gov.za

Issued by: The Presidency
Tuynhuys, Cape Town

President Cyril Ramaphosa has signed into law the Climate Change Bill which sets out a national climate change response, including mitigation and adaptation actions, which also constitutes South Africa’s fair contribution to the global climate change response. 

The Climate Change Act, as endorsed by the President, enables the alignment of policies that influence South Africa’s climate change response, to ensure that South Africa’s transition to a low carbon and climate resilient economy and society is not constrained by policy contradictions.
 
The law also sets out to enhance South Africa’s ability and capacity over time to reduce greenhouse gas emissions, and build climate resilience, while reducing the risk of job losses, and promoting opportunities for new job opportunities in the emerging green economy.
 
The Act has the aim of strengthening co-ordination between national sector departments and provide policy setting and decision-making to enable South Africa to meet the commitments in Nationally Determined Contribution (NDC) under the Paris Agreement. 

The National Determined Contribution is a set of commitments South Africa has made under the international Paris Agreement to reduce greenhouse greenhouse emissions as part of climate change mitigation. 

South Africa is one of more than 190 members of the United Nations Framework Convention on Climate Change who are parties to the eight-year-old Paris Agreement. 

South Africa’s mitigation measures are a response to climate change impacts that are increasingly experienced across a number of sectors including water resources; agriculture and food production; forestry and fisheries; human health; energy generation; industry; human settlements and migration; disaster management; biodiversity and terrestrial ecosystems. 

These impacts will disproportionately affect poor communities and vulnerable groups and could affect South Africa’s ability to meet its development and economic growth goals, including job creation and poverty reduction.

The Climate Change Act sets out the functions of the Presidential Climate Commission, which includes providing advice on the Republic’s climate change response to ensure the realisation of the vision for effective climate change response and the long-term just transition to a climate-resilient and low-carbon economy and society.
 
The law also stipulates the role provinces and municipalities will play in mitigation efforts.

Media enquiries: Vincent Magwenya, Spokesperson to the President, on media@enquiries.gov.za

Issued by: The Presidency
Tuynhuys, Cape Town

President Cyril Ramaphosa will today, Monday, 22 July 2024, respond to Parliament's Debate on the Opening of Parliament Address the President delivered on Thursday, 18 July, to a joint sitting of the National Assembly and National Council of Provinces (NCOP).

On Tuesday, 23 July, President Ramaphosa will address the National Assembly on the occasion of the tabling of The Presidency Budget Vote.

Like the Opening of Parliament Address, the President’s delivery of the Budget Vote Address will be followed by a debate to which the President will reply on Wednesday, 24 July.

President Parliamentary Diary

President’s reply to Debate on the Opening of Parliament Address (OPA)

Date: Monday 22 July 2024
Time: 10h00 
Venue: 15 Roeland Street, (Opposite Parliament), Cape Town City Centre 

Presidency Budget Vote

Date: Tuesday 23July 2024
Time: 14h00
Venue: 15 Roeland Street, (Opposite Parliament), Cape Town City Centre 

President’s reply to Presidency Budget Vote Speech

Date: Wednesday  24 July 2024
Time: 14h00
Venue: 15 Roeland Street, (Opposite Parliament), Cape Town City Centre  
 
The proceedings will be live streamed on PresidencyZA social media platforms, Government and Parliament social media accounts.

Media enquiries: Vincent Magwenya, Spokesperson to the President, on media@enquiries.gov.za

Issued by: The Presidency
Tuynhuys, Cape Town

The South African delegation led by the Deputy Minister of Health, Dr Joe Phaahla, has today, 21 July 2024, arrived in Munich, Germany, ahead of the 25th International AIDS Conference, scheduled for 22 – 26 July 2024, under the theme – “Put people first”.

This year’s conference theme, underscores a clarion call for all key role players to strengthen efforts in deepening human rights, providing adequate health care facilities and protecting civil rights.  AIDS 2024 Conference, offers a platform to address persistent challenges which impact negatively on countries overall HIV response.

Deputy Minister Phaahla is supported by the SA Patron of the Global Alliance for ending AIDS in children by 2030, Mrs. Humile Mashatile, the SANAC Chief Executive Officer, Dr Thembisile Xulu, Health Department Director General, Dr Sandile Buthelezi, a team of health scientists, civil society activists, social partners, as well as senior government officials. 

This important world’s largest and most influential conference on HIV/AIDS, will feature discussions amongst others; key population-led innovations, artificial intelligence and digital technology in healthcare provision, HIV and climate change, prevention of vertical transformation, and also consider lessons from COVID-19 on misinformation.

In this regard, the SA Global Alliance Patron, Mrs. Humile Mashatile, will participate in panel discussions focused on, “Connecting data, programmes and communities with the view to contribute in defining Global Alliance Roadmap to Ending AIDS in Children by 2030”. Mrs Mashatile will also meet with the Executive Director of UNAIDS, Ms Winnie Byanyima, to outline the strategic plans and programmes developed by key South African role-players, geared towards ending AIDS in Children by 2030. 

The Human Sciences research Council (HSRC) of South Africa, which is Africa’s largest dedicated social science and humanities research agency and policy think tank, will utilise the opportunity at the 25th AIDS Conference, to present a study on South African HIV Prevalence, Incidence and Behavior (SABSSM) survey results. This critical work by HSRC, signifies an important legacy collection of public data that has contributed to the improvement of lives for citizens.

Deputy Minister Phaahla and delegation joins world activists in confronting challenges and identifying opportunities to accelerate progress in HIV science, policy and initiatives, to foster a more resilient, equitable and sustainable international community. 

Media enquiries: Sam Matome Bopape on 082 318 5251 or Nelson Dlamini on 078 731 0313.

Issued by: The Presidency
Pretoria

President Cyril Ramaphosa has assented to the Pension Funds Amendment Bill which amends pension-related legislation to enable the implementation of the recently legislated two-pot retirement system, geared towards bolstering retirement savings.

The new Pension Funds Amendment Act amends the Pension Funds Act of 1956, the Post and Telecommunications-Related Matters Act of 1958, the Transnet Pension Fund Act of 1990 and the Government Employees Pension Law of 1996.

The law provides for the introduction of the savings withdrawal benefit; the appropriate account of a member’s interest in the savings; retirement and vested components, and the deductions that may be made.

The Act requires pension funds to amend their rules, adjust their investment portfolios and prepare administrative systems for pension fund members to apply to access portions of their pension funds from 1 September 2024.

This law complements the Revenues Laws Amendment Act, 2024 (Act No. 12 of 2024), which was signed by the President on 11 June 2024.

Government has proposed a reform to the retirement saving regime, which will see the introduction of the “two-pot” retirement system. From the proposed date of 1 September 2024, one-third of retirement contributions will be split into a savings component and two-thirds into a retirement component.

What is in the “savings component” will be available for withdrawal at any time before retirement. The ability to unconditionally access amounts from the “savings component” will be provided without the member having to cease employment or having to resign. A member will be allowed to make a single withdrawal within a year of assessment.

The minimum withdrawal amount is R2 000. The ability to withdraw from the “savings component” will be applicable on a per fund or per contract basis.

Withdrawals from the “savings component” will be added to the individual’s taxable income and will be taxed at their marginal tax rates.

Retirement funds will on or soon after 1 September 2024, be required to create another component known as the “retirement component”, which will be housed within the current retirement fund.

Individuals will be required to contribute an amount of two-thirds of the total individual retirement fund contributions to the “retirement component”.

The assets in the “retirement component” will be required to be preserved until retirement (i.e. withdrawals from this component can only be accessed by the member upon retirement as per the fund rules).

Once a member has reached retirement age and retires, the “retirement component” is to be paid in the form of an annuity (including a living annuity).

This dispensation gives members of retirement funds access to retirement savings without having to resign or cash out entire pension funds.

Media enquiries: Vincent Magwenya, Spokesperson to the President, on media@enquiries.gov.za

Issued by: The Presidency
Pretoria