Mr. JI Sindane Director-General 14 November 2006 THE DWAF’S ANNUAL REPORT 2005/6. INTRODUCTORY REMARKS BY DIRECTOR-GENERAL Mr. JI Sindane Director-General 14 November 2006

OUTLINE OF THE DWAF PRESENTATION IN OUR PRESENTATION TODAY, WE WILL COVER ALL THE FOUR BUDGET PROGRAMMES, NAMELY PROGRAMMES 1 TO 4. WE WILL REPORT ON THE ACTIVITIES OF EACH PROGRAMME, ACHIEVEMENTS AND CHALLENGE WITH SPECIAL EMPHASIS ON WORK DONE IN THE PROVINCES. EACH OF THE DDGs WILL PRESENT THE PART FOR WHICH THEY ARE RESPONSIBLE. IN THIS PRESENTATION, I WILL POINT OUT THE MAIN HIGHLIGHTS OF OUR ANNUAL REPORT AND LEAVE DETAILS TO THE DDGs. I WILL ALSO PRESENT SELECTED UPDATES.

STATE OF OUR FINANCES WE ARE NOT PROUD OF THE DISCLAIMERS & QUALIFIED AUDIT OPINIONS EXPRESSED I.R.O OUR FINANCIAL STATEMENTS, MORE SO THAT IT HAS BEEN SO FOR A NUMBER OF YEARS NOW. WE RECOGNISE THAT IT CANNOT BE BUSINESS AS USUAL IF WE ARE TO DEMONSTRABLY TURN THINGS AROUND.. THE MAIN CAUSES OF THE CURRENT STATE OF OUR FINANCES SEEM TO BE LACK OF TECHNICAL CAPACITY; LACK OF POLICIES AND SYSTEMS AND FAILURE TO APPLY EXISTING POLICY AND REGS.

FINANCIAL TURNAROUND WE ARE DOING A THOROUGH ANALYSIS OF THE AUDITOR-GENERAL’S REPORT TO GET TO THE BOTTOM OF THE CAUSES OF THE QUALIFIED REPORTS, WITH A VIEW TO PUTTING A PROGRAMME OF ACTION IN PLACE. WE ARE WORKING WITH OFFICES OF THE AUDITOR-GENERAL AND ACCOUNTANT-GENERAL AND ARE RECEIVING THEIR SUPPORT TO TURN THINGS AROUND. WE RECOGNISE THAT LOTS OF WORK MUST COME FROM WITHIN TO MAKE AN IMPACT; IN THIS REGARD WE ARE STRENGTHENING OUR PERFORMANCE MANAGEMENT & DEV. SYSTEM.

FINANCIAL TURNAROUND CONTINUED MINISTER HAS COMMITTED THE DEPARTMENT TO CLEAN ADUIT DURING HER TERM OF OFFICE. MY PERFORMANCE AGREEEMENT AND THOSE OF THE DDGs REFLECT THIS COMMITMENT. FURTHER DETAILS OF WHAT WE ARE DOING WILL COME OUT OF THE PRESENTATION BY THE Acting CFO.

CAPACITY/WATER RESOURCES WE HAVE MADE PROGRESS IN TERMS BUILDING CAPACITY OF THE DEPARTMENT TO DELIVER, THROUGH, AMONGST OTHERS, PARTNERSHIPS. COLLABORATION WITH LAND AFFAIRS AND AGRICULUTURE PROCEEDING WELL TO ENABLE US TO IMPLEMENT WATER ALLOCATION REFORM. OUR MONITORING, ASSESSMENT AND INFORMATION SYSTEM SHAPING UP.

OUR PUBLIC ENTITIES WHILST OUR ENTITIES (WATER BOARDS, WATER RESEARCH COMMISSION AND TCTA) HAVE DONE WELL, THERE IS NOT DOUBT THAT DWAF NEEDS TO DO MORE IN PROVIDNG LEADERSHIP TO THEM. GOVERNANCE OF WATER BOARDS CERTAINLY NEEDS URGENT IMPROVEMENT AS SEEN BY PROBLEMS EXPERIENCED W.R.T SOME OF THEM. WE ALSO NEED TO ENSURE THAT OUR INSTITUTIONS ARE ALL STEERED TOWARDS ACHIEVING THE OBJECTIVES OF GOVERNMENT (DWAF), IN DWAF’S STRATEGIC PLAN.

WATER INFRASTRUCTURE WE ARE WELL ON TRACK TO ESTABLISH THE NATIONAL WATER RESOURCES INFRASTRUCTURE AGENCY. WE ARE ON TRACK TO INTRODUCE LEGISLATION NEXT YEAR. BERG WATER PROJECT IN THE WESTERN CAPE PROVINCE PROCEEDING WELL. WE WILL SOON START CONSTRUCTION OF DE HOOP DAM IN LIMPOPO TO SUPPORT ECONOMIC DEVELOPMENT AND TO SUPPLY WATER TO SEKHUKHUNE DISTRICT.

WATER SERVICES OUR ROLE AS SUPPORTER AND LEADER OF THE WATER SECTOR IS EMERGING WELL THROUGH COLLABORATION WITH OTHER SPHERES OF GOVERNMENT. AS WILL BE SEEN FROM THE PRESENTATION OF WATER SERVICES, WE ARE MAKING PROGRESS ON SANITATION AND ACCESS TO WATER. CENTRAL TO OUR SUPPORT ROLE IS THE BUILDING OF CAPACITY OF MUNICIPALITIES TO PLAY THEIR CRITICAL ROLE.

FORESTRY FOREST ENTERPRISE DEVELOPMENT PROCEEDED WELL, WITH SUPPORT OF COMMUNITIES IN TRAINING AND FUNDING. INTEGRATION INTO IDPs AND ADDITIONAL FUNDING REQUIRED. ASSISTANCE GIVEN TO ENSURE SUSTAINABLE MANAGEMENT OF PLANTATIONS (FURTHER DETAILS UNDER FORESTRY PROGRAMME). LACK OF FOREST MANAGEMENT SKILLS A CHALLENGE. PAYMENT OF LEASE RENTALS TO RIGHTFUL LANDOWNERS IS A CHALLENGE

INTERNATIONAL ENGAGEMENTS OUR INTERNATIONAL ENGAGEMENTS IN WATER AND FORESTRY, AIMED AT CONTRIBUTING TOWARDS A BETTER AFRICA AND A BETTER WORLD, PROCEEDED WELL. WE PARTICIPATED IN SHARED WATERCOURSE COMMISSIONS, WORLD WATER FORUM, AMCOW AND CONCLUDED AGREEMENTS WITH CHINA, CUBA, NETHERLANDS, RUSSIA, ALGERIA AND TANZANIA, AND CONTINUED WITH OUR PARTICIPATION IN SADC FOR REGIONAL INTEGRATION. ASSISTANCE: EU, UK, FRANCE, BELGIUM, FRANCE, SWITZERLAND, IRELAND, CHINA & NORWAY.

INTERNATIONAL (FORESTRY) OUR ENGAGEMENT IN FORESTRY IN SADC, AFRICA AND GLOBALLY PROCEEDED WELL. WE SIGNED CO-YOPERTION AGREEMENTS WITH CHINA AND RUSSIA. WE SUPPORTED THE AFRICAN FOREST LAW ENFORCEMENT AND GOVERNANCE INITIATIVE. WE ALSO ASSISTED FAO IN THE DRAFTING OF INTERNATIONAL CODE FOR BEST PRACTICE FOR PLANTED FORESTS.

THANK YOU