South Africa: Higher Education Committee Concerned by Construction Education and Training Authority (CETA) Failure to Recognise the Impact of Bursary Delays to Students

République d'Afrique du Sud : Le Parlement

The Portfolio Committee on Higher Education has expressed concern that delays by the Construction Education and Training Authority (CETA) in awarding bursaries denied students timely access to education and training opportunities.

The Construction Education and Training Authority and the Services Sector Education and Training Authority (SETA) appeared before the committee to brief it on their Annual Report for the 2025/26 financial year. It also provided an update on progress in restoring stability since both entities were placed under administration.

The Department of Higher Education and Training placed both entities under administration in August 2025, following governance and operational difficulties. The entities remain under administration until 31 January 2027.

The committee expressed concern about CETA’s financial position, particularly the overspending of approximately R914 million against expenditure of R1.25 billion. CETA received a qualified audit opinion. The committee noted as concerning the reported approximately R956 million in irregular expenditure accumulated from prior years and R44 million in fruitless and wasteful expenditure. It also noted a material irregularity involving the purchase of a biometric attendance and stipend-payment system for approximately R13.26 million that was never fully operationalised.

According to the committee, CETA appeared not to fully appreciate the impact of its failure to award bursaries within the relevant academic year to both new and continuing students. It noted that not receiving bursaries was particularly severe for continuing students, whose studies may be disrupted without financial support, putting their academic progression and completion prospects at risk. The committee also noted that prospective students were similarly disadvantaged.

While CETA indicated that the delays were addressed in the subsequent financial year, the committee said the explanation was unacceptable. It said CETA understates the significant adverse effects on students who were unable to access funding when it was needed. Members told CETA that delayed funding cannot compensate for lost academic time, interrupted studies, forgone educational opportunities and the financial hardship affected students experienced.

According to the committee, there seems to be a trend in the sector where entities did not implement the Office of the Auditor-General of South Africa’s audit action plans. It recommended that the department ensure its reporting entities comply.

The Chairperson of the committee, Mr Tebogo Letsie, said CETA’s lack of consequence management was extremely worrying and that it was taking too long to settle and act on wrongdoing, even when it has proof. Mr Letsie said annual reports were a key instrument for assessing whether public institutions have fulfilled their mandates. “For CETA, this means ensuring that the skills development levies paid by employers translate into meaningful training. With South Africa facing a severe unemployment crisis and millions of people not in employment, education or training, the SETAs should be among the state’s primary tools for developing skills and addressing unemployment. That is why the committee looks beyond compliance,” the Chairperson said.

Distribué par APO Group au nom de la République d'Afrique du Sud : Le Parlement.

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