DOC falling behind on targets

The Department of Communications (DOC) is falling behind on key targets, although it has made progress in other areas.

According to the Adjusted Estimates of National Expenditure, released today along with the revised budget, the department failed to make any progress with increasing broadband penetration in SA in the first six months of the year.

The DOC aims to increase broadband penetration 7% this year and has set a target of 100% by 2020.

"The lack of achievement in broadband penetration within the first six months of the financial year is due to delays in finalising the national broadband strategy. The department is currently reviewing the broadband policy in consultation with all related industry stakeholders," says the Treasury document.

A total of R100 million has been reprioritised from the department's broadband infrastructure programme into aspects such as small, medium and micro enterprise development, broadcasting costs around the Africa Cup of Nations tournament next year, and the Independent Communications Authority of SA's compliance committee.

A Treasury official explains that the money has been shifted from the broadband infrastructure project to programmes that are ready for implementation. The official says the strategy will be finalised at the end of this financial year.

In the main budget, presented in February, Treasury's documents indicated communications would develop a national broadband strategy and national broadband implementation plan over the medium-term.

The DOC was allocated R450 million over the 2011 medium-term expenditure framework to develop a national broadband strategy. The plan aims to "provide guidance to all role players in the ICT sector, develop a broadband policy for all spheres of government including public entities, and deliver the broadband infrastructure and services to under-serviced and rural areas".

The department also failed to establish e-cooperatives in the first half of the year because of "reprioritisation within the department". The e-cooperatives would have increased the entry of youth-owned small enterprises into the ICT sector.

However, funds have been shifted towards this function. The department aims to create 60 e-cooperatives this year.

Similarly, no ICT small, micro and medium enterprise hubs were created in the provinces, due primarily to human resource capacity constraints. The department's full year target is to hubs. In addition, only 150 jobs were created through ICT-related projects by mid-2012/13, against the annual target of 17 322, as funds were reprioritised away from these projects towards other spending pressures within the department.

However, the DOC surpassed its annual target of having 500 young people taking part in the National Youth Information Society and Development Programme this year. By half-year, 650 youth were participating in the programme thanks to a fruitful partnership with the University of Johannesburg's Centre of Small Enterprise Development.

The University of Johannesburg managed to involve additional young people at no additional cost to the department.