Cape Town - The troubled National Skills Fund (NSF) is failing to meet most of its basic mandates, according to its annual report.
Out of 29 targets, the NSF, an entity of the Department of Higher Education, Science and Innovation, achieved only seven.
On skills development funding, the NSF achieved none of its 15 output indicators. On administration, it achieved only one target out of six possible achievements; and on post-school education and training system improvement funding’s eight targets, only three were achieved.
The annual report was discussed in the higher education, science and innovation portfolio committee on Friday against the backdrop of Directorate for Priority Crime Investigation (Hawks) head advocate Godfrey Lebeya’s saying they were probing how R2.5 billion went missing from the NSF.
MPs recently rapped Higher Education, Science and Innovation Minister Blade Nzimande over the knuckles for attempting to keep under wraps a forensic report into the NSF.
Higher Education, Science and Innovation director-general Nkosinathi Sishi said the forensic report was being handled to minimise the risk of litigation and was not ready to be handed to police as it didn’t have annexures.
NSF chief executive David Mabusela laid bare some of the problems besetting the fund.
“I’m actually going to disclose up front to say that this page (overview of NSF performance) is not a very nice picture with respect to our overall performance. It’s a huge disappointment, I must actually indicate that,” Mabusela said.
The NSF managed to fund 81532 beneficiaries in rural and urban areas, with the Western Cape’s numbers obscured in the presentation, while Gauteng has 30 848 beneficiaries, followed by KwaZulu-Natal’s 11 904 and the Eastern Cape’s 10277.
In auditor-general Tsakani Maluleke’s audit outcomes, the NSF moved from a disclaimer with findings to qualified with findings in 2021, largely due to niggling issues the NSF has to deal with in the skills development programme, which failed to have adequate systems in place and statements not recorded correctly.
Sishi said there is a holistic approach to turn around what he called an “important asset”, the NSF.
He said in the case of NSF, there are “multiple-layered issues” that need resolving and require a business continuity plan in the stead of a risk management plan.
ANC MP Walter Letsie said the NSF’s performance was littered with red flags and unacceptable.
“This NSF report gives me stress,” he said.