The National Treasury has revealed in parliament that the Department of Social Development incurred an unauthorised expenditure of R15 billion during the Covid-19 pandemic.
Standing Committee on Public Accounts (Scopa) was receiving reports from the National Treasury on unauthorised expenditure in various departments.
“Unauthorised expenditure of R15.134 billion in 2019/20 due to the President’s declaration of a National State of Disaster due to Covid-19 global pandemic: announcement of a 21-day national lockdown from 26 March to 16 April included announcement by President to pay grants early (26 March as opposed to 1 April 2020) R15.134 billion was paid towards the April (2020/21) social grants for which it was budgeted. Early payment of social grants: April 2020 (2020/21) payments made in March 2020 (2019/20) resulting in over-spending in 2019/20 budget. Resulted in overspending on main division of vote (Programme 2: Social Assistance) and vote. Mitigating actions and steps taken to prevent unauthorised expenditure. Not a function of negligence nor poor planning but emergency response. Funding for grants was allocated in 2020/21. These social grants payments were accounted for in the 2019/20 financial year and financial statements,” read the National Treasury report.
Scopa chairperson Mkhuleko Hlengwa said that departments must be held accountable for the money they spent without authorisation.
Your Gateway to Local Community
