The Democratic Alliance (DA) is deeply concerned that the Gauteng Department of Human Settlements is failing to support and empower businesses owned by women, youth and people with disabilities.
This was revealed in the department’s First Quarter Report for the 2019/20 financial year.
According to this report the department failed to meet its targets in terms of procurements from businesses owned by women, youth and people with disabilities.
The table below indicates the department’s first quarter planned targets and the outcomes:
Department procurement budget targeted at businesses owned by: | 1st Quarter planned target | Outcomes |
Women | 30% | 8,46% |
Youth | 20% | 2.91% |
People with Disabilities | 5% | 0,32% |
Total | 35% | 11,69% |
It is worrying that the department only achieved 11,69% of its procurement target with regards to businesses owned by women, youth and people with disabilities out of 35% which has resulted in a shortfall of 23,31%. Not even a half of the targeted businesses benefited from the department’s procurement spend.
This clearly indicates that the department does not value the need to grow small businesses for the benefit of our economy.
The department’s underperformance and incompetence in the procurement sector is crippling small businesses that have the potential to contribute to the national GDP and create employment opportunities.
We call on the Gauteng MEC for Human Settlements, Lebogang Maile to consider giving preference to companies owned by women, youth and people with disabilities across the different projects in his department.