VOTE 30: ENVIRONMENTAL AFFAIRS Portfolio Committee Briefing Annual Financial Statements for 2012/ March

Presentation Outline -Expenditure for 2012/13 -Detail on current expenditure -Detail other operating expenditure -Transfers on EPWP -Transfers to Public Entities & non-profit and other institutions -Capital Expenditure -Departmental expenditure trend -Reprioritization to fund Oceans and Coasts shortfall -Public Entities Reporting 2

Expenditure for the 2012/13 Financial Year per Programme ProgrammeFinal appropriation R’000 Expenditure till 15 March 2013 R’000 Expenditure as % of final appropriation R’000 Variance R’ Administration % Environmental quality and protection % Oceans and coasts % Climate change % Biodiversity and conservation % Environmental sector programmes and projects % Total %

Expenditure per Economical Classification Economical classificationFinal appropriation R’000 Expenditure till 15 March 2013 R’000 Variance R’000 Current Payments Compensation of employees - Goods and services - Interest Transfers and Subsidies Households: Expanded Public Works Programme Departmental entities* - Non-profit institutions* - Public Corporations: DBSA: Green Fund Projects -Other transfers:* Global Environmental Fund Households: Social benefits (leave gratification) North West University Vehicle licenses Sub total

Continued Expenditure per Economical Classification Economical classification Final appropriation R’000 Expenditure till 15 March 2013 R’000 Variance R’000 Payment for capital assets* Machinery and equipment -Buildings and other fixed structures (PPP new Departmental Building) -Software and other intangibles Payments for financial assets160 - Sub total TOTAL

Funds to be rolled over/surrendered R’ /13 Green Fund Expenditure Summary 2012/2013 to DBSA Budget Allocation for the 2012/2013 financial year Management Fees& identified projects (9, ,414) Funds available till 31 March 2013 (to be requested for rollover) 300,000 (88,774) 211,226 Rollover from unitary payment allocation for IT Infrastructure for the New Departmental Building (To be occupied in June 2014) Total

Expenditure graph till 15 March Summary Apr-12May-12Jun-12Jul-12Aug-12Sep-12Oct-12Nov-12Dec-12Jan-13Feb-13Mar-13 R'000 Actual (BAS) Expend iture Month Cumulative Approv ed Drawin gs Month Cumulative

Detail Current Expenditure * NotesExpenditure Goods and services2012/13 R’ /12 R’000 Consultants, contractors and agency/ outsourced services (Annexure A -as at 28/02/13)* Travel and subsistence (Annexure B – as at 28/02/13) Other operating expenditure (refer to next slide)* Operating leases (include accommodation, car rentals and Nestle machines rentals; transfer to DAFF) Inventory (Including stores for Antarctica) – Herbicides purchased for eradication of alien invasion species: NRM, computer consumables for tracking oceanographic research items. Computer services (Increase in computer service, Microsoft Enterprise upgrade and licensing) Advertising (promotional items and recruitments costs) Venues and facilities (communication projects and meeting to facilitate the transfer of NRM) Owned and leasehold property expenditure (Include building maintenance and repairs) Training and staff development (NRM Implementing Agencies & pilot youth programmes ; Training to employees) Communication (Installation of data lines, telephone & conference facilities in regions/Cape Town) Audit cost Catering Bursaries employees Administrative fees (increase in personnel agency and travel agency fees) Transport provided as part of the departmental activities Fleet services Management / Handling Fees TOTAL

Detail Current Other Operating Expenditure * NotesExpenditure Other Operating Expenditure * 2012/132011/12 R’000 Air charter services, voyages to Islands& landing rights Harbour, dock fees (Buoy, ocean surveyor & systems) Annual Membership and subscription fees (GEF) Printing & publications services Resettlement costs Courier & Delivery services Freight services transport goods Other: Car valet & wash services/Laundry services/Gifts/Nonlife insurance/Drivers licenses & permits/Achievements and awards/Storage of assets & goods TOTAL

Transfer on Expanded Public Works Projects 2012/13 * InstitutionsR’ /13 R’ /12 Sustainable land base livelihoods Working for waste People and parks Working for the coast Beneficiary training Working for Fire Working for Water Total

Transfer to Public Entities * Institutions2012/13 R’ /12 R’000 South African National Parks South African Biodiversity Institute South African Weather Services iSimangaliso Wetland Park of Authority Total

Transfer to Non-Profit Institutions * 2012/13 R’ /12 R’000 Buyisa-e-Bag Wildlife and Environmental Society of South Africa4 000 African World Heritage Fund National Association for Clean Air1 400 Maloti Drakensberg Total Global Environmental Fund Social Benefit North West University Municipalities (various)145 Total

Payment for Capital Assets * Machinery and equipment2012/13 R’ /12 R’000 Building & Other fixed structures ( PPP New Departmental Building) Ship & marine equipment (SA Agulhas II Vat & Clearing costs)2012/13) Computer hardware & systems Expenditure for capital assets; Good and services Audio visual equipment Office furniture Finance fee lease Office equipment Photographic equipment Motor vehicle Software and other intangible assets Medical and allied equipment Lifting & handling equipment Transport accessories & trailers Radio equipment Security equipment, systems, material: movable Workshop equipment Gardening equipment Kitchen appliances Telecommunication equipment Bags Survey equipment Domestic equipment Emergency / Rescue Equipment Woodwork Machinery and Equipment Total

Departmental Expenditure Trend YearBudget R’000 Actual R’000 % Expenditure 2009/ % 2010/ % 2011/ % 2012/ % 14

Identified Shortfalls for Oceans & Coasts R’000 SA Agulhas 11 insurance SA Agulhas 11 Administration costs Overlapping manning & operational costs (SA Agulhas 1 & 11) ALGOA Drydocking costs Bunkers & Lubes Technical management fee, manning, & insurance Research & Laboratory Equipment Helicopter Services Additional Life Saving Relief Voyage Total * Additional required to fund the shortfall ( – ) =

Reprioritization to fund Oceans & Coasts (within 8% per PFMA Requirements) ProgrammeAmount R’000 Programme 1 Goods and Services Programme 2 (Environmental Quality & Protection) Programme 4 (Climate Change) Programme 5 (Biodiversity & Conservation) Programme 6 (Sector Programmes) (62 239) (10 000) (2 514) (12 000) (30 000) Total( ) 16

Preparedness for year end and audits Projected Unqualified Audit Interim Audit by Auditor General conducted, report to be issued end of March Full reporting on PPP disclosure required in the current financial year. Unauthorized and irregular expenditure: No irregular expenditure has been reported to date Projected Expenditure as at 31 March %-95% 17

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