The projected over-expenditure in the provincial Department of Health is higher than the R1.5-billion figure reported in the media. It is also the most serious compared with the other eight provinces and the worst in the fiscal history of KwaZulu Natal. 

As a result, the levels of overspending and mismanagement at Health have come perilously close to those at Agriculture which the IFP has long isolated as the worst run government department in KwaZulu Natal. 

"The IFP has estimated the overspent budget at Health at close to R2-billion based on inside information that takes into account the actual cost of emergency maintenance on the department's crumbling infrastructure," said Leader of the Official Opposition and IFP spokesperson on finance in KwaZulu Natal, Dr Lionel Mtshali.  

The over-expenditure at Health is squarely due to the prevailing lack of financial controls and discipline filtering down from the management and political leadership of the department. 

"The allegations of mismanagement, fraud and corruption have indeed reached the highest echelons of the department as the MEC herself is implicated in an investigation by the Scorpions," said Dr Mtshali. 

The department's decline began with the forced departure of its former Head Professor Ronald Green-Thompson and the Chief Financial Officer Hermann Conradie who kept the lid on spending prior to the appointment of the current MEC for Health Peggy Nkonyeni.  

"Although overspending has necessitated the freezing of new posts across the board, this has not stopped the MEC from making fresh promises of new clinics as she campaigns in the rural areas ahead of next year's election," said Dr Mtshali. 

The IFP has long anticipated the current crisis in the provision of public healthcare since the frozen posts include both administrative and professional appointments. The freezing of posts extends to training schemes for the current staff which impacts negatively on the quality of healthcare.  

"The ongoing departmental programmes such as the roll-out of anti-retrovirals are suffering and there can be no question of responding flexibly to a potential outbreak of a new health crisis like the drug-resistant TB," said Dr Mtshali. 

Since no bailout from the provincial Treasury can be expected during the upcoming budget adjustments, the department will be forced to recover missing funds from internal savings. 

"This throws a wet blanket on any ambitious new projects such as the roll-out of new facilities to address the infrastructure backlog that is being touted by the MEC with an eye on the 2009 election," said Dr Mtshali.
 

FOR FURTHER INFORMATION CONTACT:
Dr Lionel Mtshali
083 256 4902