1. 2014/15 Budget Allocation: Presentation to the Select Committee on Land and Mineral Resources 11 July 2014

2. 2 Per Programme (All Programmes) 2014/2015 R’000Budget Allocation% budget share 1. Administration 1 169 69312.4% Ministerial Services 26 8202.3% Management 161 03813.8% Internal Audit 63 2465.4% Financial Services 235 39820.1% Corporate Services 398 72534.1% Provincial Coordination 284 46624.3% 2. Geo-spatial and Cadastral Services 774 8658.2% National Geomatics Management Services 573 70374.0% Spatial Planning and Land Use Management 201 16226.0% 3. Rural Development 2 011 61921.3% NARYSEC 628 20531.2% RID 783 10338.9% REID 600 31129.8% 4. Restitution 2 680 74228.4% 5. Land Reform 2 818 38629.8% Land Redistribution and Development 2 692 32395.1% Land Tenure and Administration 126 0634.9% Total 9 455 305100.0%

3. 3 Per Economic Classification (All Programmes) 2014/2015 R’000 Final Budget Allocation% budget share Compensation of employees 2 195 83923.2% Goods and services 1 353 76014.3% Provincial and local governments 1630.0% Departmental agencies and accounts 2 068 51721.9% Foreign governments and international organisations 1 4500.0% Public corporations and private entities 10.0% Non-profit institutions 3 0200.0% Households 3 808 50840.3% Machinery and equipment 22 5930.2% Software and intangible assets 1 4540.0% Total 9 455 305100.0%

4. 2014/15 BUDGET ALLOCATION PER PROVINCE (Programmes 3,4,&5) 4

5. 5 Per Programme (3,4&5) 2014/2015 R’000NationalEastern Cape Free State GautengKwazulu Natal LimpopoMpumalangaNorthern Cape North West Western Cape Total 3. Rural Development 282 565287 242139 315177 217277 252205 783169 610130 517159 674182 4442 011 619 NARYSEC 124 92867 07956 56160 85155 28168 64133 01946 42051 46363 962628 205 RID 112 514109 47152 13453 009127 04474 50182 51152 08567 99751 837783 103 REID 45 123110 69230 62063 35794 92762 64154 08032 01240 21466 645600 311 4. Restitution 46 543284 516124 316124 927515 687460 012463 121164 338271 099226 0832 680 742 5. Land Reform 147 750375 529409 565234 188323 502207 356451 360169 980347 436151 7202 818 386 Land Redistribution and Development 33 029373 374407 398233 578314 018205 107449 822168 356346 013150 7392 681 434 Land Tenure and Administration 114 7212 1552 1676109 4842 2491 5381 6241 423981136 952 Total 476 858 947 287 673 196 536 332 1 116 441 873 151 1 084 091 464 835 778 209 560 247 7 510 747

6. 6 Per Economic Classification( Programmes 3,4&5) 2014/2015 R’000National Office Eastern Cape Free State GautengKwazulu Natal LimpopoMpumalangaNorthern Cape North West Western Cape Total Compensation of employees 209 285105 54579 51186 665130 857117 46178 49365 73273 76884 4911 031 808 Goods and services 185 97160 86667 66245 17275 04356 77258 30361 05252 15060 306723 297 Provincial and local governments 22221 00312-14131 041 Departmental agencies and accounts 17 294270 034332 532159 525223 547127 876346 154112 439257 711104 8101 951 922 Public corporations and private entities 1 --------- 1 Households 60 615508 926192 424244 346684 336568 341599 109225 174393 771309 5033 786 545 Machinery and equipment 25220272 Software and intangible assets 3 5381 9141 0656221 6352 6892 0324248081 13415 861 Total 476 958947 287673 196536 3321 116 441873 1511 084 091464 835778 209560 2477 510 747

7. 2014/15 BUDGET ALLOCATION RECAPITILISATION AND DEVELOPMENT PROGRAMME 7

8. 8 Recapitalisation and Development Programme Per Province 2014/2015 R’000Eastern Cape Free State GautengKwazulu Natal LimpopoMpumalangaNorthern Cape North West Western Cape Total Land Reform 66 85833 54150 07344 97946 70970 70623 04363 51020 839420 258 Planning --40013 802-----14 202 Recapitalisation and Development 66 85833 54149 67331 17746 70970 70623 04363 51020 839406 056 Agricultural Land Holding Account 270 034332 532159 525223 547127 876346 154112 439257 711104 8101 934 628 Planning13 50216 6277 9763 8036 39317 30891612 88682080 231 Land Purchases189 023232 772111 668148 14689 514242 30778 707180 39777 7871 350 321 Recapitalisation and Development 67 50983 13339 88171 59831 96986 53932 81664 42826 203504 076 Total 336 892 366 073209 598268 526174 585416 860135 482321 221125 6492 354 886

9. 9 2014/15 Budget Reprioritisation During 2009, the South African Government conceptualized the Comprehensive Rural Development Programme (CRDP).The key thrust of the CRDP framework is an integrated programme of rural development, land reform and agrarian change, with a strategic focus on social cohesion, development and the empowerment of rural communities to be active participants in their own development and to provide strategic investments in rural socioeconomic infrastructure.Comprehensive Rural Development Programme The NDP states that since 1994, the main challenge for rural development has been marginalisation of the poor, with many rural areas and households trapped in a vicious cycle of poverty. Rural areas and communities require greater social, economic and political opportunities to overcome the legacy of marginalization and poverty. The policy context for Rural Development includes the establishment of rural business initiatives, agro-industries, co-operatives, cultural initiatives and vibrant local markets in rural settings and the empowerment of rural people and communities (especially women and youth). To respond to the above concept, the department conducted a CRDP service delivery implementation review. The purpose of this process review was to ensure alignment of the department’s budget structure to the CRDP. This review process conclusively demonstrated that the budget structure at the time, in particular the funding, was not reflecting a proper alignment between the Rural Development and the broader Land Reform mandate, hence the reprioritisation within the base line. As a result of the baseline reprioritisation during Medium Term Expenditure Framework (MTEF) period, an amount of R4.5 billion was reprioritised from restitution (R2.4 billion) and Land Reform (R2.1 billion). Over the medium term, R2.6 billion was shifted to Rural Development Programme to provide funds for basic services infrastructure to households. Furthermore R870 million was allocated to drive Spatial Planning and Land use Management Act. The Department will continue to settle Restitution claims within the allocated budget and do so within the CRDP. A more holistic approach to Restitution is being implemented where principles of the CRDP are implemented in claims that lend themselves to such principles. These principles include enterprise development.

10. KE YA LEBOHA! 10