WCG achieves 100% in audit outcomes
I am particularly pleased to announce that the Western Cape Government has once again returned an excellent set of audit results for the period 2014/2015
The results reflect that all thirteen departments received unqualified audit results with twelve (12) of the thirteen (13) Provincial Departments receiving clean audits.
I want to in particular join the Auditor General of South Africa in praising the Western Cape Department of Education for achieving a clean audit and becoming the first department of education in SA to do so.
The results reflect the Western Cape Government’s consistent year on year improvement in audit results. The percentage of departments which have received clean audits over the last three audit periods have increased from 36% in 2011-12 to 92% in the 2014-15 audit years while the quality of financial statements have improved from 95% to 100% during the same period.
The Western Cape is demonstrating through sound financial governance "how to run a government so that citizens benefit and taxpayers don't go crazy." We call it the science of delivery. Under Zille's leadership the Western Cape Government has placed the focus on the creation of public value and the building public confidence. As Michael Barber puts it: "There is no substitute for sustained, disciplined political leadership.”
The citizens of the Western Cape benefit from good audit outcomes as it indicates that:
- Public money is well spent on delivery of services
- Public money is not wasted or stolen ensuring that more funds reach front line service delivery
- Public representatives are kept accountable for public funds
- Public funds are well spent buy more services like health care, education and infrastructure.
- Public funds that are well spent attract investment, stimulate economic growth and create jobs.
- Good audit outcomes benefit the citizen because it creates stability and inspires confidence in how tax payers’ money is being spent.
Our number one priority in the Western Cape is to grow the economy and to create jobs. Excellent financial governance is one of the cornerstones of the Western Cape economy and its importance is elevated by the daily revelations of financial impropriety within government departments and state owned enterprises. We are determined to make the Western Cape an attractive investment destination and the audit results certainly assist us in doing so. The people of the Western Cape and certainly investors can rest assured that the Western Cape will continue to create an enabling environment for business through effective financial governance.
It is also by now common knowledge that South Africa is facing a potential fiscal crisis. The size of the public wallet is shrinking, demands are growing unabatedly and service delivery is under threat. The Western Cape will therefore have to ensure that it offers potential investors in infrastructure etc. the comfort that their investment in our province will be in safe hands. The 2014-15 Western Cape outcomes therefore provides the basis to do so by instilling confidence in the Western Cape Government as a responsible custodian of public funds and champion of good financial governance.
The audit outcomes for 2014/15 are a clear indication that the WCG is managing its finances in a responsible manner. We will continue to strengthen our internal processes and systems to increase accountability and responsiveness.
Dr Ivan Meyer
Minister of Finance
Western Cape Government