The Cooperative Governance and Traditional Affairs Ministry consists of the Department of Cooperative Governance (DCoG) and the Department of Traditional Affairs (DTA).
The Department of Cooperative Governance (DCOG) is mandated to develop and monitor the implementation of national policy and legislation to enable government to fulfil their developmental role; develop, promote and monitor mechanisms, systems and structures to enable integrated service delivery and implementation within government; and promote sustainable development by providing support to and exercising oversight of provincial, local government and its entities.
Chapter 13 of the National Development Plan outlines a vision for building a capable and developmental state through interdepartmental coordination and strengthening local government. This vision is expressed specifically through Priority 4 (spatial integration, human settlements and local government) of government’s 2019-2024 MTSF, with which the work of the DCoG is closely aligned.
Over the medium term, the department will focus on: increasing access to basic services, mitigating against the risk of disasters, and creating income security in areas of high unemployment.
Total expenditure is expected to increase at an average annual rate of 5.9%, from R115 billion in 2022/23 to R136.5 billion in 2025/26. Transfers to provinces and municipalities account for an estimated 95.4% (R370.3 billion) of the department’s total budget over the MTEF period for the local government equitable share and the municipal infrastructure grant. Expenditure on compensation of employees is expected to increase at an average annual rate of 1%, from R366.2 million in 2022/23 to R377.7 million in 2025/26. This low increase reflects the anticipated decrease in the number of personnel from 585 in 2022/23 to 511 in 2025/26 due to natural attrition.
The local government equitable share is an unconditional transfer that supplements the revenue raised by municipalities to perform their functions. It funds the operations and maintenance of free basic services, and subsidises the cost of administration for municipalities with the least potential to cover these costs from their own revenue.
The local government equitable share comprises an estimated 81.8% (R306.9 billion) of the department’s spending over the medium term. These funds are made available in the Intergovernmental Policy and Governance programme, allocations to which are expected to increase at an average annual rate of 7.8%, from R87.7 billion in 2022/23 to R109.8 billion in 2025/26.
To compensate municipalities for the increased cost of bulk electricity and water, an additional R8.1 billion over the MTEF period is allocated to the local government equitable share. The municipal infrastructure grant and the integrated urban development grant supplement municipalities’ capital budgets. The municipal infrastructure grant is aimed at reducing municipal infrastructure backlogs in poor communities by providing access to basic services such as water, sanitation, solid waste removal, roads and community lighting.
The Integrated Urban Development Grant is aimed at supporting investments in public infrastructure in an effort to create functioning urban spaces. To ensure that funds from these grants are spent for their intended purposes, 52 municipalities per year over the period ahead are expected to implement the district development model, which seeks to leverage integrated and collaborative planning among the three spheres of government to facilitate better service delivery. These grants are funded through the Intergovernmental Support programme and account for a combined 15.9% (R58.7 billion) of the department’s total spending over the MTEF period.
Over the medium term, the department planned to continue mitigating against the risk of disasters and build resilience by supporting 30 priority district municipalities that are considered most vulnerable to implement disaster management plans.
These activities are funded through the Disaster Risk Reduction and Capacity Development subprogramme, which is allocated R149.5 million over the medium term. Overall expenditure in the National Disaster Management Centre programme is expected to decrease at an average annual rate of 46.4%, from R4.3 billion in 2022/23 to R659.6 million in 2025/26.
To support government’s employment initiatives, over the period ahead, the department aims to maintain 250 000 participants in the community work programme, especially in areas of high unemployment. Expenditure for these activities is within the Community Work Programme programme’s allocation of R13.5 billion over the medium term.
The mandate of the Department of Cooperative Governance is derived from the following legislation:
Source: South Africa Yearbook 2022/2023
