The Provincial Adjustments Appropriation Bill provides for the provincial adjustments budget. A provincial adjustments budget is a revision to a province’s budget that can be made during a financial year. It allows for changes to be made in response to unexpected events that impact the province’s spending. The provincial adjustments budget process aligns with the provisions of the Public Finance Management Act and the Constitution of the Republic of South Africa.
The purpose of the provincial adjustments budget includes authorizing the shifting of funds between different programmes within departments; allocating additional funding received after the main budget has been passed; regularizing any unforeseen or unavoidable expenditures that were not included in the original budget; and to correct errors in the original budget.
To cite an example, when the government sets its budget at the start of the year, it’s based on the best information available at that time. But things can change. For example:
- Unexpected events like floods, fires, or health crises (e.g., COVID-19);
- New priorities that weren’t planned earlier;
- Mistakes or miscalculations in the original budget; and
- Unspent money that needs to be reallocated to other projects.
It is against this background that the Finance Portfolio Committee, chaired by Hon. Andiswa Mosai, invites the public and civil society organizations to play a watchdog role to ensure transparency and accountability in budget processes, as envisaged in the constitution, by amongst others:
- Making submissions on the adjustments budget;
- Analyzing budget documents to advocate for social, economic, and environmental priorities; and
- Raising concerns if budget changes negatively affect the community.
Written submissions should be directed to Mr. Mphutlane John Ntsane at jntsane@gpl.gov.za, by Wednesday, 12 February 2024.
