The nine provincial authorities of South Africa have been assigned specific responsibilities by the Constitutional Act. Especially the provision of socio-economic services to previously disadvantaged communities and the promotion of overall socio-economic development feature prominently. To do this, provincial and other developmental authorities need to set distinct goals and priorities. This in turn requires proper planning, monitoring and evaluation of the related development initiatives. However, limited relevant and useful economic information at provincial level were available, to support such analysis. Therefore, in 2004, the need for SAMs at provincial level was expressed by the provincial authorities, to support the provision of information for analysis purposes.
The DBSA, the DPLG, now the Department of Cooperative Governance (DCOG), as well as representatives from the nine provincial authorities, formed a partnership in 2004 and managed the process of compiling a national as well as nine provincial Social Accounting Matrices (SAMs). These representatives provided the necessary funding to compile the SAMs. A National Steering Committee (SC) was constituted, comprising Statistics South Africa (Stats SA), the South African Reserve Bank (SARB), National Treasury, DPLG and the DBSA, which were responsible to oversee and provide technical guidance in the process of compiling the SAMs. Conningarth Economists was appointed to compile the SAMs under the guidance of the national SC and DBSA was allocated the responsibility of coordinating the project.
To obtain all the data that was needed to compile provincial SAMs, various data sources were used. It is recognised that some sources may not always be as reliable as published national figures, but were used as they were the only available source of the required information at the time. Examples of these sources include:
· Population census of 2001 (Stats SA)
· Household Expenditure Surveys (Stats SA and Bureau of Market Research)
· Labour Force Surveys (Stats SA)
· Geographic Information Systems (GIS)
· Industrial censuses and other sectoral censuses
· Information gathered by provincial governments during the execution of their executive functions
· Individual research projects conducted in a province
Once completed, the nine provincial SAMs were benchmarked with the national SAM. The compilation of these provincial SAMs can be regarded as a greenfields project and it is expected that that future updates of the provincial SAMs will improve in quality as it is expected that the underlying data will improve over time.