Government Expenditure: Rental Cars
From January 2012 until 31 March 2013 more or less 10.8 million Rand was used on car rentals by members of our President’s cabinet. The Democratic Alliance revealed recently that 1.3 million Rand has been used by the Public Enterprises as well as Correctional Services and Social Development Ministries on car hire.
The Democratic Alliance Minister of Transport, Mr. Ian Ollis has slammed Ministries for using so much money, explaining that it is sign that government remains to spend on unnecessary costs.
Mr. Ollis made the following statement. “When he came into office in 2009, President Zuma waxed lyrical about ensuring a reduction of wasteful expenditure. In September 2009, he announced that Ministers were thinking about the recession and no longer spending large amounts of money on luxury cars. The continued expenditure indicates that President Zuma’s promise has come to naught.”
Trevor Manuel South Africa’s National Planning Minister-has a 1.2 million Rand car that took the bill for ministerial cars to over 42.6 million Rand.
Trevor Manuel used to urge for a greater sense of responsibility regarding spending habits when he was finance minister, but those statements are completely in contrast with the purchase of his very expensive vehicle. Is no one in our government in any way legit? Does anybody practice what they preach?
Government Expenditure: “Not as bad as it looks”
There are other incidents. The SACP as well as the relevant government departments have made statements saying that is not as bad as it looks. They have defended the purchase of Minister Blade Nzimande’s BMW. The party defended the purchase by saying that it is better to buy once off than to rent a car at high cost. The price tag of 1.1 million Rand is due to the fact that it was a showroom vehicle and it was supposedly obtained at a discount price.
Cosatu congratulated finance minister Pravin Gordhan who bought a very inexpensive Lexus car for 557.673. Minister Nzimande’s car was not acquired at a low enough price according to Cosatu who says that SACP acquired the car presumably for safety. This safety is probably offered by airbags and ABS brakes. Does the car protect against the risk of hijacking?
Should Government Expenditure be monitored?
In a country where jobs are few and money is scarce, one can only wonder how government can afford to live and drive in such luxury. Do we buy them these cars and houses by paying our taxes? Why do they have everything and more while other South Africans are barely making ends meat?
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This article originally posted on: http://www.car-insurance-south-africa.co.za and reposted with permission.