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Opposition parties reject Nkabane’s R142 billion budget amid SETA scandal fallout

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By Johnathan Paoli

Higher Education and Training Minister Nobuhle Nkabane came under fierce criticism during the National Council of Provinces (NCOP) budget vote debate on Tuesday, as the majority of political parties rejected her department’s R142.7 billion budget.

Allegations of corruption, mismanagement, and cronyism dominated the debate, with many MPs demanding her removal from office.

While Nkabane sought to highlight her department’s achievements and pledged renewed investment in vocational training and university funding, opposition parties accused her of misleading Parliament and failing to lead effectively.

Her silence on the controversial Sector Education and Training Authorities (SETAs) scandal further fueled calls for her dismissal.

The Democratic Alliance (DA) set the tone for the debate by announcing it had lodged criminal charges against Nkabane earlier in the day, accusing her of lying to Parliament about the composition and independence of the SETA board appointment panel.

The minister had named Senior Counsel (SC) Terry Motau as panel chair, a claim Motau publicly denied.

“This scandal is not isolated, it is part of a pattern of corruption and reckless governance that must be rooted out,” DA MP Jeanne Adriaanse said.

DA MP Igor Scheurkogel added: “We cannot allow a Minister who lies to Parliament to manage a R142 billion budget. This isn’t just a political issue, it’s about protecting the future of our youth.”

The DA cited poor departmental performance, highlighting that only 51.8% of 2023/24 targets were met despite spending 99.9% of the budget.

They also pointed to the National Student Financial Aid Scheme (NSFAS)’s chaotic administration, including the loss of R128 million to fraud and exorbitant spending on leases and parking.

The party urged President Cyril Ramaphosa to fire Nkabane and restore integrity to the department.

The Economic Freedom Fighters (EFF) were equally scathing.

MP Laetitia Arries rejected the budget, accusing the department of systemic failure and abandoning poor students.

“This is not resilience to be celebrated, it is survival in a broken system,” she said.

Arries condemned the R5 billion in projected NSFAS funding cuts by 2026/27 and noted that delays in disbursements leave students hungry, indebted, and dropping out.

She also criticised infrastructure backlogs and the exploitation of students, particularly young women, who turn to transactional relationships out of financial desperation.

“Minister Nkabane has failed to lead this sector. We need fully funded education, student debt relief, infrastructure development, and support for the ‘missing middle’, not ANC cadre deployment,” Arries said.

uMkhonto weSizwe (MK) party MP Sibongiseni Majola also rejected the budget, stating that it does not serve poor and rural students.

Majola lamented that R104 billion of the budget is locked into NSFAS and university transfers, while TVET and community colleges suffer significant cuts.

“TVET infrastructure funding dropped from R492 million in 2023/24 to just R97.6 million by 2026/27. This budget is not pro-poor, it sidelines provinces with the highest youth unemployment,” he said.

Majola pointed to R50 million in fruitless expenditure in a single year and slammed NSFAS for paying R5 billion to ineligible students.

He called for the restoration of the R27 billion in cuts, rural campus investment, and prioritising artisan development.

The Freedom Front Plus’s Tamarin Breedt echoed calls for reform, highlighting losses of R2.5 billion to fake SETA projects and R1.3 billion in NSFAS IT mismanagement.

“These are institutions meant to equip our youth, not bankroll the politically connected,” Breedt said.

She criticised the skewed funding model that sees over 60% allocated to traditional universities, while TVET and CET colleges receive just 2.2%. Breedt urged a shift toward vocational training aligned with labour market needs.

“We must break the academic bottleneck and invest in technical education to fight youth unemployment,” she said.

The Patriotic Alliance’s Bino Farmer welcomed the budget increase but questioned whether it would make a meaningful impact under current conditions.

“NSFAS is in administrative chaos, we need a forensic audit and prosecutions for wrongdoing,” Farmer said.

He called for funding student mental health, increased artisan training, and decentralising NSFAS support to campuses to reduce overheads.

The PA also supported broader access to vocational education and practical community-based learning.

United Democratic Movement (UDM) MP Mandla Peter proposed shutting down the NSFAS head office in Cape Town and avoiding costly regional offices.

Instead, he urged placing NSFAS staff directly on campuses to support students more effectively.

He also demanded the removal of intermediaries like Noraco, used to distribute allowances.

“Direct engagement with students is the only way to ensure transparency and timely support,” Peter said.

In contrast, the African National Congress (ANC) defended Nkabane and the department’s budget.

Mpumalanga Education MEC Cathy Dlamini as well as ANC Limpopo MP Malesela Mokwele praised the pro-poor focus of the funding and cited the 84.99% matric pass rate in her province as evidence of progress.

“We support this budget because it opens the doors of learning to the poor,” Dlamini said.

She credited the establishment of the University of Mpumalanga, expansion of technical schools, and growth in agricultural and arts education as signs of transformation.

This follows the ANC Youth League condemning the DA’s criminal charges against Nkabane as politically motivated and a coordinated attack on the minister.

“Let’s not allow South African society to be misled by people who want to create a facade on matters with political interests,” ANCYL Secretary-General Mntuwoxolo Ngude said.

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