DPW Inputs into the Select Committee on Finance Public Hearings on FFC Recommendations 2010/2011 6 August 2009. Overview. The department has noted the comments from FFC with regard to the EPWP Incentive scheme. For phase two the grant is aligned to the EPWP guidelines as recommended by FFC.
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DPW Inputs into the Select Committee on Finance
Public Hearings on FFC Recommendations 2010/2011
6 August 2009
The EPWP incentive is based on paying all public bodies that create work above a minimum threshold for the EPWP target group an incentive of R50 person day of work created. ( Rural Municipalities have no minimum threshold).
Eligible public bodies that want to participate in the incentive will enter into an agreement with DPW
While indicative performance targets and incentive amounts are set for each eligible public body, they will only be able to claim the incentive upon proving that work has been created
Basis for measuring EPWP performance
Number of FTE’s per million Rand of infrastructure budget, taking into account the different portfolios of infrastructure and the rate at which each can contribute to employment creation
Each public body ( apart from rural municipalities) must meet a minimum eligibility threshold before they can start accessing the incentive
The incentive is not paid out for work created below the eligibility threshold, but is paid for all work created above this threshold
2.0 EPWP Fiscal Incentive cont’d
portfolios ( e.g. Roads, Public Works, Education, Health) was considered in calculating the incentive amounts.
X 230 X 50.
4.0 Fiscal incentive to Municipalities
22 Aug 2009
22 Sept 2009
23 Oct 2009
23 Feb 2009
23 June 2009
23 July 2009;
22 September 2009
22 October 2009)
As part of the lessons learnt, the payment schedule was revised for 2009/10 to enable Provinces to pay the rates and to avoid the interest charges.