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Honourable Speaker
Members of the Legislature
Ladies and Gentlemen

We are now at the dawn of the first decade of our democracy, which we are all looking forward to, with anticipation, for its celebration next year. Indeed we are standing at the threshold of this watershed period full of pride and praise for milestones reached with the reconstruction and development of the lives of the people of the Free State.

The handing over of the final Truth and Reconciliation Commission report on the Human Rights Day marked a very important step in the transformation of our society. Of course this process of nation building and reconciliation has been a long and sometimes a tricky journey. But we are happy that we took on our responsibility with unsurpassed enthusiasm, dedication and commitment. We have taken our rightful place in the advancement of Africa's cause and continue to make a meaningful contribution towards Africa's political and economic landscape.

Today many of our people who hitherto were at the periphery of development, now own houses for the first time. Our people receive basic services like electricity and water and improved health services. We have broadened the safety net to ensure that our aged, people with disability and children receive government assistance. That is why we are looking forward to this historic era in the lives of the overwhelming majority of this country.

As I have said before, the reversal of the outflow of both natural and human resources from the Free State remains critical to our efforts to reconstruct and develop the lives of the people of the Free State. Historically the Free State was the bastion of apartheid with managerial and skilled jobs predominantly in farming and mining reserved for whites. This discriminatory practice encouraged the migration of our skilled people to other provinces with the then Transvaal the major beneficiary.

We are proud however, Mr Speaker that we have turned that corner. The lives of the people of the Free State are now in the hands of their own people. We are now working together, Government departments, municipalities, civil society, organised business and labour in a people's contract towards building a unified and prosperous Free State.

My Department leads these partnerships through co-ordination and integration of services. These partnerships are encapsulated in our Free State Development Plan. We are now almost halfway with the implementation of this plan and we are openly impressed with progress made so far. We are nearing a critical point where we will assess, on behalf of the people of this province, milestones reached and evaluate the impact of our interventions on the lives of ordinary men and women in the Free State.

This plan, we believe Mr Speaker, is our answer towards the eradication of the legacy of colonialism and apartheid. Through this plan we intend to restore constitutional rights of our people by improving the quality of life of all the citizens and free the potential of each person through a united and prosperous Free State that fulfils the needs of all its people.

The budget allocations made in this House to respective Government Departments few weeks ago is a commitment by this Government to the transformation of the lives of our people. There is no doubt in the minds of the majority of about three million people of this Province that indeed the tight has turned. For this reason there is no room to relent. Our people know what this Government is capable of - it has changed the lives of the millions and it should continue to push back the frontiers of poverty to better the lives of many more.

To execute this mandate, Mr Speaker, the Department of the Premier's strategic intent is to provide the Premier and the Executive council with effective support to achieve Government goals and priorities in line with the needs of the community and to provide strategic leadership and to ensure that activities of different departments are integrated and co-ordinated.

Headed by the Director General, the operations of the Department are organised into State Legal Services, looking after the legal environment within which the Provincial Government operates; Corporate Reform and Support, responsible for the transformation of the public service, among others through, developing provincial guidelines and benchmarks on strategic support services in the FSPG and taking care of the control environment within the department and lastly Co-operative Governance and Strategic Alignment, responsible for cooperative governance with reference to inter-governmental and international relations, monitoring and evaluation of strategic planning and development within the FSPG, special programmes for targeted groups like, women, youth and people with disability and lastly provision of secretariat services to EXCO its cluster committees as well as IDMC and its committees.

The R74.35 million allocations for this financial year represent 25.2% increase compared to the previous year. This increase is attributable to the establishment of the Training Institute as well as improved cluster management with specific emphasis to effective implementation of the Free State Development Plan and management of key strategic projects emanating from the plan. 70.6% of the appropriated amount is allocated to personnel expenditure.

The remaining R21.9 million of this allocation will be spread across different programmes maintained by the Department of the Premier. In providing its strategic leadership, coordinative and facilitative role, this department among others, will maintain the following programmes and/or projects.

Legal Environment

Of critical importance in this area is the alignment of the Provincial Government's decision-making process to legislation and administrative justice. To this end, legal opinion is offered on a range of issues to all provincial departments. We pride ourselves with the quality of opinions we give. In more than one instances, a national department distributed legal opinion from this Province to other Provinces.

The state must respect, protect, promote and fulfil the rights in the Bill of Rights. In furtherance of these duties a number of legislation has been passed both by national and provincial government. Our primary responsibility as a department is therefore to promote equitable application of these new laws. We therefore are obliged to ensure that all public servants, administrative and political heads in the Free State Provincial Government understand the new laws and are able to implement them correctly.

Our endeavours to keep the departments abreast with new developments in legal matters continue with the quarterly review we issue electronically on the government web page. This publication deals with reported and unreported cases, policy, legislation, legal journals and articles. This initiative contributes immensely towards the decision-making environment in the Province. Equally, the Legal Resources centre is providing useful information to departments on interesting court decisions, quarterly legal reviews, and recently promulgated Acts and links to websites containing legal information.

Information Communication Technology (ICT)

The provincial information communication technology strategy has been finalised. In developing this strategy, the Free State Development Plan (FSDP), information technology environmental factors and the current state of ITC in the FSPG were taken into consideration. Among others, the assessment of the ICT environment suggested that the deployment of ICT should focus on the provision of a secure and efficient platform for government operations. The need to further mobilise current ICT talent to implement new ICT architectures was also identified. These include the development of a common provincial data model.

Task teams have since been appointed to investigate and develop a comprehensive information security system policy for the FSPG and to establish a data warehouse during the current financial year. Work has already commenced on these two projects with the first one scheduled to be completed by the end of July this year and the other by the end of the year.

Equally important is the integration of the FSPG Information Technology services to State Information Technology Agency (SITA) in line with the SITA Amendment Act.

The Free State Training Institute

As announced during the opening of the Legislature, the Institute will be launched on 25 April 2003 and will be officially opened during the Public Service day in September. This Institute is our answer in developing a new generation of public servants. Our aim with this institute is to provide integrated and coordinated training to the majority of the 59 000 public servants in the Free State. This institute is at the core of our human resources development strategy to enable us to change the skills profile of the Free State labour market. Our friends in the USA, Canada and Belgium have shown interest in helping us develop this institute in to an icon.

We are certain Mr Speaker, that we will be able to export this idea in the very near future. A delegation from Angola that recently visited our Province showed interest in this institute and this is one of the initial signs that we are in the right track. For us to succeed we need all hands on deck as we build a people's contract towards a better public service.

This institute will offer training in the following fields;

* Project management
* Financial management
* Diversity management
* Customer care
* HIV/AIDS awareness

Performance and Development Management

The continuous and objective management of the performance of public servants offers the Provincial Government with adequate opportunity to streamline and therefore improve service delivery. Performance contracts of all heads of departments and senior managers have recently been assessed where necessary adjustments and corrective action is being taken.

Our Performance and Development Management system for post levels 12 downwards - the first in the Provinces -has been given a stamp of approval. This system has been linked to pay progression (notch increases) and performance awards (cash bonuses) with effect from the 1 April. This is victory for hard working and dedicated public servants. After a long time this Government will be able to recognise and reward good performance and punish non-performance to the benefit of the people we serve.

The Performance and development management System has the following objectives:

* To establish a performance and learning culture in the public service
* To ensure that all job holders know and understand what is expected
* To promote contact and interaction about performance between staff and their supervisors
* To identify and manage staff development needs and meet those where possible
* To evaluate performance fairly and objectively
* To reward good performance
* To address incapacity/non-performance and
* To improve service delivery

Of critical importance to us in this regard will be training of all employees to understand and benefit from this system. Conversion of the system to a more user-friendly method is envisaged. Accordingly, departments will be assisted to build relevant and necessary capacity to implement the system successfully.

Human Resources Policies

Human resources policies in the public service are the cornerstone for effective management and execution of Government policies. The purpose of these policies is to provide a directive in decision making and supporting a culture of diversity by making provision for framework for a shift from personnel administration to human resource management.

The purpose of these policies is to provide a management tool for consistent decision-making and structured provincial approach to human resources management. The public service has adopted a new open and participatory approach to the management of its staff and is moving towards acknowledging the rights of all public servants. Policies must promote representation at all levels in the public service as well as participation at a managerial level.

For this purpose a new set of policies have just been developed by the Department and subsequently approved by the Exco. These are:

* Human resources planning
* Staffing Practices
* Service and working conditions
* Performance Management
* Human Resources Management
* Labour Relations

Free State Integrated Provincial Support Programme (IPSP)

Following the National Cabinet directive in 1999, the Department of Public Service and Administration was mandated to assist selected Provinces with the implementation of the Public Service Regulations, the Public Finance Management Act and Service Delivery Improvement initiatives. Funding for phase 1 ended on 31 March 2003, for IPSP in the Free State was secured by DPSA from the Department for International Development (DFID) in the UK. Among the outputs intended with this programme are;

* Implementation of an electronic monitoring and evaluation Geographic Information System for the Free State Development Plan
* Pilot Project for the transformation of the schools feeding scheme into a community based initiative
* Establishment of a craft industry for Thabo Mofutsanyane area
* Transformation of the central Laundry Service in the Department of Health
* Establishment of Learning Networks towards the maintenance of the spirit of a learning organisation.

Our goal with this programme is to support the Free State Provincial Government to achieve the objectives of the Free State development Plan as well as to enhance ability of Departments to achieve the development indicators or service delivery standards as agreed with communities.

After validation of the proposals by the Department of Public Service and Administration, the implementation Phase II of the IPSP will begin. Limited resources not withstanding, the Free State Provincial Government is expecting from the Department for International Development in the UK and other donors funds amounting to R16.75.

Among additional projects to be handled through this programme are the following;

* Conversion of Performance Management tool into ABET format for officials at post level 1-4 and capacity building for the roll out in Departments
* Review of Batho Pele and service delivery processes and the development of appropriate service delivery improvement plan or turn around strategy.
* Programme management service for mobile units to fast track the registration of qualifying children for chills support grant in Thabo Mofutsanyane and Xhariep districts.

Financial Control Environment

In the best interest of the culture of continuous improvement, we are going to review the department's financial and procurement policies to ensure prudent financial management. We will ensure that these policies will not only allow our managers to manage, but at the same time be more accountable.

Our commitment, as a department, to accomplish our strategic objectives will result in a systematic, disciplined approach to evaluate and improve the effectiveness of risk management, control, and governance processes in our work. Building capacity in the Internal Audit function to ensure objective assurance is therefore our priority.

Similarly, we will undertake a process of identifying and documenting all significant risks that could impact on the department's programs objectives and determine the likelihood and impact of occurrence on the ability to meet stated objectives. We will undertake appropriate risk management activities to bring exposures within acceptable levels, including establishing and maintaining an adequate and effective system of internal controls.

The Department will continue to implement an in-year monitoring system to ensure sound and liquid cash management system.

Foreign Relations

The previous financial year represented yet another major milestone for the Free State Province in the areas of international relations and cooperation with foreign governments. We have been able to increase our scope and magnitude of international interaction. We have as a results succeeded in building partnerships with developed countries in order to promote a better life for all the people of the Free State as espoused in the Free State Development Plan for the development of the province and its people.

To this end, the Provincial Government has entered into numerous partnerships with other co-operating partners to ensure that the Free State Province is able to deal with backlogs of the past. We are currently compiling a publication on our international cooperating partners and all agreements entered into since 1994. This publication will be distributed to all stakeholders in the province and will make it easy for the people of the Free State to access opportunities arising from these international interaction.

We are committed to the New Partnership for Africa's Development (NEPAD) and we are doing our part in popularising this programme in our Province. To ensure that our Province participates fully in the South Africa Government objectives of NEPAD, we intend to establish relations with fellow African countries of the Republic of Angola, the Province of Bie and the Republic of Tanzania. In line with the spirit of the Lesotho/South Africa Bi-National Commission for Co-operation, the Free State will participate fully in the co-operation between our national government and the Government of Lesotho.

Intergovernmental Relations

We will step up our efforts to ensure a high degree of integration and co-ordination of policy in the province. This we will do as we build a people's contract to ensure progress in delivery of services to the people of the Free State.

This will ensure a better co-ordination and more efficient communication between the intergovernmental relations instances in the Province, myself as the Premier, municipalities and between the province and the national government.

Monitoring and Evaluation: Free State Development Plan (FSDP)

A normative framework for the development of a computerised monitoring and evaluation system for the FSDP was completed after in-depth discussions with Provincial Departments, district and local municipalities. The development and roll out of the system will which will enable us to generate various reports instantly on the progress on implementation of the FSDP by respective departments and municipalities, will begin soon. This process will also improve the alignment and integration of provincial strategic and operational plans.

This system will serve as a 'detector' of any deviations from the Free State Development Plan. Signs of deviation will be detected at a very early stage and corrective action be instituted timeously to avoid any setbacks. We strongly believe that this tool will easily measure the impact of the FSDP, in the lives of our people.

Mr Speaker, the Free State Development Plan was shared with a broad spectrum of strategic stakeholders through out the province. The overwhelming majority of the Province received this plan positively. We are now at a stage where we will measure our partners' contribution in this plan. We will provide information packages, including core data for municipality profiles as well as departmental strategic plans, project and budgets to all municipalities. This will enable municipalities to effectively review their integrated development plans and enhance alignment to the free State Development Plan. We are convinced that we have all the right ingredients in building a unified and prosperous Free State.

The Cabinet System

The new management plan for the cabinet system, comprising of the Executive Council and its political clusters, IDMC and its technical clusters introduced in the previous year is bearing fruits. Co-operative governance and integrated planning has never been easier. This process ensures that advice to EXCO is thoroughly processed by committees. This system ensures that Exco resolutions are implemented by relevant departments, that the implementation is properly monitored and departments are accountable to the Executive council.

The system guarantees effective and efficient functioning of the Executive Council and its clusters. Our strategic objective in this regard is the improvement, streamlining of secretariat functions to enhance flow of information and access to information. In this way we will comply fully with the provisions of the Promotion of Access to Information Act 2000.

The Central Procurement Evaluation Committee (CPEC)

This committee, established after the dissolution of the Tender Board is responsible for evaluation of state procurement throughout the Provincial Government. This committee, apart from ensuring that procurement is within budget at all times, put emphasis on procurement of services and products in line with preferential procurement policy. This undoubtedly is our implementation agency of Black Economic Empowerment within the Provincial Government.

Special Programmes

This Government endorsed and adopted a vibrant approach towards programmes that advances and champion the course for the women, people with disability and youth. Whilst much is being done within the Provincial Government on these matters, much, much more should be done. We need to move with increased agility to make the emancipation of women a reality. The protection of people with disability is our responsibility. For this reason we have made huge progress in developing, in consultation with provincial departments the Gender and Disability strategy. We will be able to assess through this strategy and other means, the impact of gender mainstreaming on the public service.

With regard to youth, our Youth Commission will work in partnership with the Departments of Social Development, Health and Umsobomvu Youth Fund on the HIV/AIDS home based care service programme. We will also through the Free state Youth Commission present the Premier's Youth Awards to honour and recognise outstanding achievements of youth in our province.

Premier's Economic Advisory Council (PEAC)

The constitution phase of the Premier's Economic Advisory Council is now completed. A full time Secretariat, made up of the Executive Officer and Administrative Assistant, was established towards the end of 2002. The Secretariat's tasks revolve around carrying out the day-to-day activities of the Council, with its core functions being the commissioning and management of research projects. The PEAC has now begun rolling out its core mandate, which is providing research based economic advice to the Provincial government.

The key focus research areas for 2003 include compiling a comprehensive economic profile of the Free State Province, which will assist the province to better understand its current and future economic position and potential vis-à-vis other Provinces.

The council is also engaged in looking at ways and means of taking mining and minerals beneficiation to a higher level. This will be done through:

* An assessment of the mineral potential of the Free State Province; an overview of the provisions of the Minerals and Petroleum Resources Development Act, the Regulations made in terms of the Act and the Broad-Based Socio-Economic Empowerment Charter for the South African Mining Industry and the impact of the implementation of these.
* The utilisation of redundant mine infrastructure for the benefit of local communities.
* Assessing the potential for small-scale mining in the Free State and the economic, environmental and social impacts thereof.
* Identify potential business opportunities in the provision of goods and services to mines

The council is also looking at a comprehensive agricultural development plan for the Province. This plan, we believe will present agriculture and its diversification as our answer to the gradual decline of Agriculture in the Free State. Similarly, a research project to identify the opportunities, obstacles and action steps for the development and strengthening of SMMEs in the Free State is lined up.

This council has begun the innovative process to identify those sectors that are relatively new nationally and globally, which are economic stimulators, and determine which models could be suitable for the Free State Province. We are confident Mr Speaker, that this process will lend impetus to the Provincial Development Fund (PDF), which is a natural launching pad to determine the current and future manufacturing potential of the Province, and also identify sectors that could be used as stepping-stones to boost manufacturing in the Province.

Community Interaction

Mr Speaker, improving the way Government engages the community in policy and decision-making so that knowledge, wisdom and practical experience of the community sector contribute fully to policy decisions and service delivery remains at the centre of this government's programme of action. What, how and when we communicate with Free State communities is critical to us.

For this reason we have appointed the Government Spokesperson unblock communication bottlenecks to enhance information flow. Our Exco-meet-the-people campaign will be revamped for effectiveness. We want to make sure that we maximise the public benefit of this important Government intervention.

In an effort to sharpen our communication machinery we are commissioning, during this financial year, a communication audit, an exercise that will indicate where we need to put emphasis and most importantly to help us improve the packaging of Government messages. Preparations are also at a very advanced stage with the Free State Media Lekgotla to help us improve the coverage of Free State government activities by mainstream media. We are confidant that we shall overcome these impediments.

It will be remiss of me not to thank the management and the staff of my department with the selfless manner in which they engage their duties. With their continued if not increased dedication, I am certain that the spirit and the commitment to making a difference will take us far.

In conclusion, Mr Speaker, never before have we been this confident that processes and systems put in place will contribute so effectively to creation of an environment conducive to decision-making and the achievement of an integrated approach to service delivery in the Free State.

I thank you

Issued by Free State Provincial Government

10 April 2003