Unpacking the grand development project

16 Feb, 2020 - 00:02 0 Views

The Sunday Mail

Sikhanyisiwe Ncube

The year 2019 saw a major shift in the thrust to ensure inclusive growth while addressing marginalisation following Government’s commitment to allocate $310 million to provincial and local tiers of Government.

This was in line with Chapter 14 of the Constitution, which encourages participatory governance while ensuring equitable access to national resources, wealth and public services by Zimbabweans.

This process marks initial stages in the implementation of the devolution programme, as pronounced in various fora by President Emmerson Mnangagwa.

The devolution and decentralisation programme is a key strategy within the national development agenda aimed at building a foundation that will ensure a prosperous and empowered upper middle-income society by 2030. It also recognises the country as a unitary but diverse state.

Defining Devolution

Devolution involves the transfer of powers and responsibilities from central Government to provincial and metropolitan councils, and local authorities.

The Transitional Stabilisation Programme explains devolution in the context of reconstruction of the State, where systems of governance are community-based and people-centred. Furthermore, the blueprint links devolution to Vision 203, which is anchored on decentralisation of functions to communities in furtherance of their development.

In essence, decision-making and authority in the provision of most basic services will be delegated to provincial and local authorities.

Tiers of Government

The Constitution recognises three tiers of Government, which are: the national Government; provincial and metropolitan councils; and local authorities (both urban and rural).

It provides for a completely new layer of governance between national Government and local government.

At the provincial level, Government is made up of provincial and metropolitan councils.

The powers and responsibilities involved include powers to formulate budgets and implement them, as well as powers to implement provincial developmental projects.

Section 264 of the Constitution spells out the objectives of devolution, with emphasis on efficiency and effectiveness, inclusivity, participatory governance and equitable sharing of local and national resources.

Objectives

The Constitution outlines the following objectives of the devolution of Governmental powers and responsibilities to provincial and metropolitan councils and local authorities:

to give powers of local governance to the people and enhance their participation in the exercise of the powers of the State and in making decisions on issues affecting them;  to promote a democratic, effective, transparent, accountable and coherent Government in Zimbabwe as a whole;

to preserve and foster the national unity and indivisibility of Zimbabwe as a sovereign State;

to recognise the right of communities to manage their own affairs and further their development;  to ensure the equitable sharing of local and national resources; and

to transfer local fiscal responsibilities and resources from the national Government in order to establish a sound financial base for each provincial and metropolitan council and local authority.

Role of provincial and metropolitan councils

Provincial and metropolitan councils, including local authorities, have a constitutional obligation to:

Ensure good governance by being effective, transparent, accountable and institutionally coherent;

Assume only those functions conferred on them by the Constitution or an Act of Parliament;  Exercise their functions in a manner that does not encroach on the geographical, functional or institutional integrity of another tier of Government;

  • Co-operate with one another, in particular by (i) Informing one another of and consulting one another on matters of common interest (ii) Harmonising and co-ordinating their activities

Preserve the peace, national unity and indivisibility of Zimbabwe;

Secure the public welfare; and

Ensure the fair and equitable representation of people within their areas of jurisdiction.

 Operational Guidelines

In order to fully operationalise the devolution machinery, certain components have to be put into consideration.

The following are some of the key areas which are to be considered to ensure broad-based and active involvement of every provincial, district and community entity in economic revival:

 Socio-Economic

The establishment of a sound financial base for each provincial and metropolitan council, including local authority in rural areas through a paradigm shift in the development model which will see growth and development being initiated and implemented by provinces, with central Government playing a facilitator role.

In line with Section 264 and 301 of the Constitution on devolution, central Government will devolve more powers to provincial councils and local authorities that will craft provincial and local authority economic development plans underpinned by resource endowments in the provinces.

The devolution programme is expected to embrace the rural growth poles development model anchored by cascading Special Economic Zones to the respective growth poles, the growth poles will be considered on the basis of comparative advantage of the area. The policy framework to be evolved will enable Government to monitor effective and productive use of delegated powers.

In implementing this endeavour, there will be stringent oversight in the exercise of devolved powers in order to prevent corruption.

Financial conduct of sub-national structures will be guided by a sound public finance management system.

Legislative

Enactment of the appropriate legislation and setting up of provincial and metropolitan council structures to fully operationalise the devolution agenda.

Amendment of the Rural District Councils and Urban Councils Acts to align it with the Constitution.

The central Government machinery running the country will not be disbanded.

A policy framework will be evolved, which will enable Government to monitor effective and productive use of delegated powers.

Compliance with appropriate legal frameworks will be monitored and prompt action will be taken in case of any breaches.

Political

Recipients of delegated political power, fiscal responsibilities and management of local resources will remain subordinate to the central Government.

Government’s political powers will only be devolved to eligible sub-national authorities to the extent defined by relevant laws and policies.

There will be areas in sub-national jurisdictions such as defence, foreign affairs and fiscal matters, which will remain under central Government.

Financial Support

Section 301 of the Constitution provides for the allocation of intergovernmental fiscal transfers (IGFT) from central Government to provincial and local tiers of Government to support the devolution of Governmental powers and responsibilities.

It stipulates that an Act of Parliament must provide for an equitable allocation of capital grants between provincial and metropolitan councils, and local authorities.

Section 301 (3) further stipulates that not less than 5 percent of the national revenues raised in any financial year must be allocated to the provinces and local authorities in a particular financial year.

While the Act which will operationalise provincial councils is currently being developed, Section 301 (2) of the Constitution states that such an Act, in providing for intergovernmental transfers, should take into account the following:

the national interest;  any provision that must be made in respect of the national debt and other national obligations;

the needs and interests of the central Government, determined by objective criteria;

the need to provide basic services, including educational and health facilities, water, roads, social amenities and electricity to marginalised areas;

the fiscal capacity and efficiency of provincial and metropolitan councils and local authorities;

developmental and other needs of provincial and metropolitan councils and local authorities; and

economic disparities within and between provinces.

The 2020 Budget prioritised strong, sustainable and shared development as one key area to achieve economic growth.

It emphasises a people-centred approach underscoring devolution as a model of development embraced through appropriate allocations in line with the Constitution.

The 2020 Budget Statement also indicates that with additional resources at their disposal, provincial and metropolitan councils, and local authorities now need to be more responsive to the needs of their constituencies, as well as provide services to all people in a sustainable and inclusive manner.

In the 2020 financial year, an appropriate allocation equivalent to the 5 percent ($2,9 billion) statutory requirement will be distributed to the lower tiers of Government in line with the agreed formula, targeting projects that have already been identified by local authorities.

The Transitional Stabilisation Programme further puts emphasis that while Zimbabwe remains a unitary state, the implementation of the country’s development programmes will allow devolution to achieve fair and balanced development, spearheaded by provincial and metropolitan councils which will initiate development programmes for their respective provinces, consistent with Section 264 of the Constitution.

Progress to date

Treasury disbursed funds allocated to all the 92 local authorities in the 2019 Budget.

Funds are currently ring-fenced and earmarked for capital projects that benefit the generality of the citizenry in the following service areas:

Schools and clinics,  roads,  plant and equipment ,  water, sewer and solid waste management

Electricity and any other capital activities that may be deemed necessary for service provision.

In total, Government allocated $703 million to local authorities in 2019 under IGFT in compliance with Section 301 of the Constitution.

By year-end, $657 million had been transferred, in varying amounts, to all local authorities.

The process to release the balance — $46 million — is currently underway following release of more funds for IGFTs.

In terms of utilisation, this money is used in terms of provisions of Section 301 of the Constitution in areas of basic service delivery such as education, health, roads, water and sanitation, social amenities, amongst others.

For 2020, Treasury allocated $2,9 billion under IGFTs.

Disbursements to local authorities are imminent, with $100 million already released by Treasury. Local authorities are expected to start receiving this money soon.

Overall, devolution is anchored on the overriding objective of promoting sustainable, representative, accountable, participatory and inclusive governance and socio-economic development in the country.

The policy will deepen our democracy and bring Government services closer to the people.

 

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