2022/23 COVER Annual Report DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT VOTE NO. 32 ANNUAL REPORT 2022/23 1 DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 2022/23 ANNUAL REPORT ANNUAL REPORT 2022/23 i First publication by the Department of Forestry, Fisheries and the Environment (DFFE) in 2013 Copyright © 2020 DFFE Design and layout by the Department of Forestry, Fisheries and the Environment Chief Directorate: Communication DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT ii TABLE OF CONTENTS PART A: GENERAL INFORMATION 1. DEPARTMENT’S GENERAL INFORMATION 2 2. LIST OF ABBREVIATIONS AND ACRONYMS 3 3. FOREWORD BY THE MINISTER 5 4. STATEMENT BY THE DEPUTY MINISTER 8 5. REPORT OF THE ACCOUNTING OFFICER 10 6. STATEMENT OF RESPONSIBILITY AND CONFIRMATION OF ACCURACY OF THE ANNUAL REPORT 21 7. STRATEGIC OVERVIEW 21 7.1 Vision 21 7.2 Mission 21 7.3 Departmental Values 21 8. LEGISLATIVE AND OTHER MANDATES 21 9. ORGANISATIONAL STRUCTURE 25 10. PUBLIC ENTITIES REPORTING TO THE MINISTER 26 PART B: PERFORMANCE INFORMATION 27 1. AUDITOR-GENERAL’S REPORT ON PREDETERMINED OBJECTIVES 28 2. OVERVIEW OF DEPARTMENTAL PERFORMANCE 28 2.1 Service Delivery Environment 28 2.2 Service Delivery Improvement Plan 28 2.3 Organisational Environment 31 2.4 Key Policy Development and Legislative Changes 32 3. ACHIEVEMENT OF INSTITUTIONAL IMPACTS AND OUTCOMES 33 4. INSTITUTIONAL PROGRAMME PERFORMANCE INFORMATION 49 4.1 Programme 1: Administration 49 4.2 Programme 2: Regulatory Compliance and Sector Monitoring 56 ANNUAL REPORT 2022/23 iii 4.3 Programme 3: Oceans and Coasts 61 4.4 Programme 4: Climate Change, Air Quality and Sustainable Development 67 4.5 Programme 5: Biodiversity and Conservation 75 4.6 Programme 6: Environmental Programmes 83 4.7 Programme 7: Chemicals and Waste Management 92 4.8 Programme 8: Forestry Management 103 4.9 Programme 9: Fisheries Management 109 5. TRANSFER PAYMENTS 114 6. CONDITIONAL GRANTS 116 7. DONOR FUNDS 116 8. CAPITAL INVESTMENT 119 PART C: GOVERNANCE 121 1. INTRODUCTION 122 2. RISK MANAGEMENT 122 3. FRAUD AND CORRUPTION 122 4. MINIMISING CONFLICT OF INTEREST 122 5. CODE OF CONDUCT 123 6. HEALTH SAFETY AND ENVIRONMENTAL ISSUES 123 7. PORTFOLIO COMMITTEES 124 8. SCOPA RESOLUTIONS 124 9. PRIOR MODIFICATIONS TO AUDIT REPORTS 125 10. INTERNAL CONTROL UNIT 127 11. INTERNAL AUDIT AND AUDIT COMMITTEES 127 12. AUDIT COMMITTEE REPORT 128 13. B-BBEE COMPLIANCE PERFORMANCE INFORMATION 131 DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT iv PART D: HUMAN RESOURCES MANAGEMENT 133 1. INTRODUCTION 134 2. OVERVIEW OF HUMAN RESOURCES 134 3. HUMAN RESOURCES OVERSIGHT STATISTICS 134 3.1 Personnel Related Expenditure 134 3.2 Employment and Vacancies 136 3.3 Filling of SMS Posts 139 3.4 Job Evaluation 141 3.5 Employment Changes 145 3.6 Employment Equity 151 3.7 Performance Management 155 3.8 Performance Rewards 155 3.9 Foreign Workers 156 3.10 Leave Utilisation 157 3.11 HIV/AIDS and Health Promotion Programmes 159 3.12 Labour Relations 160 3.13 Skills Development 162 3.14 Injury on Duty 164 3.15 Utilisation of Consultants 164 3.16 Severance Package 176 PART E: COMPLIANCE REPORT 177 1. INFORMATION ON IRREGULAR, FRUITLESS AND WASTEFUL, UNAUTHORISED EXPENDITURE AND MATERIAL LOSSES 178 2. INFORMATION ON LATE AND/OR NON-PAYMENT OF SUPPLIERS 183 3. INFORMATION ON SUPPLY CHAIN MANAGEMENT 184 ANNUAL REPORT 2022/23 v PART F: FINANCIAL INFORMATION 187 1. REPORT OF THE AUDITOR-GENERAL 188 2. ANNUAL FINANCIAL STATEMENTS 197 DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT vi PART A GENERAL INFORMATION ANNUAL REPORT 2022/23 1 1. DEPARTMENT’S GENERAL INFORMATION Physical address: Department of Forestry, Fisheries and the Environment 473 Steve Biko Arcadia Pretoria 0083 Postal address: Private Bag X447 Pretoria 0001 South Africa Telephone numbers: Tel: +27 12 399 9000 Call Centre: +27 86 111 2468 Fax +27 12 359 3625 Email address: callcentre@dffe.gov.za Website address: www.dffe.gov.za DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 2 2. LIST OF ABBREVIATIONS AND ACRONYMS ACRONYMS DESCRIPTION ACRONYMS DESCRIPTION AFS Annual Financial Statement EAPASA Environmental Assessment Practitioners Association of South Africa AGSA Auditor-General of South Africa EC Eastern Cape APP Annual Performance Plan EDMS Electronic Document Management System ARC Audit and Risk Committee EEZ Exclusive Economic Zone BABS Bioprospecting, Access and Benefit Sharing EFP Ethics and Fraud Prevention BBBEE Broad Based Black Economic Empowerment EGI Electricity Grid Infrastructure BEE Black Economic Empowerment EIA Environmental Impact Assessment BMP Biodiversity Management Plan EMI Environmental Management Inspectors CAPS Curriculum and Assessment Policy Statement EMP Estuary Management Plan CAF Consultative Advisory Forum EMPr Environmental Management Programme CB Carbon Budget EPR Extended Producer Responsibility CBD Convention on Biological Diversity EPWP Expanded Public Works Programme CBIT Capacity Building Initiative for Transparency ESEID Economic Sectors, Employment and Infrastructure Development CC Climate Change FEL Front-End Loader CFA Community Forestry Agreements FRAP Fishing Rights Allocation Process CFO Chief Financial Officer FTE Full Time Equivalent CITES Convention on International Trade in Endangered Species GEF Global Environment Facility COP Conference of the Parties GHG Greenhouse Gas CSA Climate Smart Agriculture HCFC Hydrochlorofluorocarbon CSIR Centre for Scientific and Industrial Research HDI Historically Disadvantaged Individual CWDP Coastal Waters Discharge Permit HLP High-Level Panel CWE Chemicals and Waste Economy HOD Head of Department DAFF Department of Agriculture, Forestry and Fisheries HR Human Resources DBSA Development Bank of South Africa HRD Human Resource Development DEA Department of Environmental Affairs ICT Information and Communication Technologies DFFE Department of Forestry, Fisheries and the Environment IDF International Day of Forests DIRCO Department of International Relations and Cooperation IDPs Integrated Development Plans DLDD Desertification Land Degradation and Drought IPBES Intergovernmental Science-Policy Platform on Biodiversity and Ecosystem Services DPSA Department of Public Service and Administration IPCC Intergovernmental Panel on Climate Change ANNUAL REPORT 2022/23 3 ACRONYMS DESCRIPTION KZN KwaZulu-Natal PPP Public Private Partnerships M&E Monitoring and Evaluation RMEC Risk Management and Ethics Committee MCS Modified Cash Standards SA South Africa MEC Member of the Executive Council SAAQIS South African Air Quality Information System METT Management Effectiveness Tracking Tool SAEO South Africa Environment Outlook MIG Municipal Infrastructure Grant SANAE South African National Antarctic Expedition MINMEC Ministers and Members of Executive Councils SANAP South African National Antarctic Program MLRA Marine Living Resources Act SANBI South African National Biodiversity Institute MLRF Marine Living Resources Fund SANPARKs South African National Parks MOP Meeting of the Parties SAWS South African Weather Service MP Member of Parliament SCM Supply Chain Management MPA Marine Protected Area SDIP Service Delivery Improvement Plan MPSA Minister of Public Service and Administration SEA Strategic Environmental Assessment NAP National Action Plan SET Sectoral Emission Target NAQI National Air Quality Indicator SETA Sector Education and Training Authority NBF National Biodiversity Framework SITA State Information Technology Agency NCOP National Council of Provinces SJRPs Sector Jobs Resilience Plans NDC Nationally Determined Contribution SMME Small, Medium and Micro Enterprise NECES National Environmental Compliance and Enforcement Strategy SMS Senior Management Service NEM:AQA National Environment Management: Air Quality Act SWSA Strategic Water Source Area NEMA National Environmental Management Act,1998, (Act No. 107 of 1998) TFCAs Transfrontier Conservation Areas NEMWA National Environmental Management: Waste Act, 2008 TLB Tractor Loader Backhoe NFA National Forests Act, 1998 (Act No. 84 of 1998) TOPS Threatened or Protected Species NPA National Prosecuting Authority TOR Terms of Reference NPOA National Plan of Action UAT User Acceptance Testing NRF National Research Foundation UNEP United Nations Environment Programme NVFFA National Veld and Forest Fires Amendment UNFCCC United Nations Framework Convention on Climate Change OHS Occupational Health and Safety WHC World Heritage Convention ORV Off-Road Vehicle Permits WIL Work Integrated Learning PDI Previously Disadvantaged Individual WML Waste Management Licence PFMA Public Finance Management Act, 1999 (Act No. 1 of 1999) (as amended by Act No. 29 of 1999) WWD World Wildlife Day POP Persistent Organic Pollutant DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 4 3. FOREWORD BY THE MINISTER Ms Barbara Creecy, MP Minister of Forestry, Fisheries and the Environment Prevailing economic challenges and the resulting fiscal constraints faced by government On the adaptation front, the Department has, in the year under review, continued the roll out have required greater efficiency and innovation from the Department as it delivers on its of its local government support programme. In addition to assisting 44 district municipalities Constitutional mandate to ensure an environment that is not harmful to the health and well- to develop their climate change plans, provinces are being assisted with the review of their being of all citizens. existing climate change plans and the alignment thereof with the draft Climate Change Bill that Parliament is currently finalising. The 2022/23 Annual Report shows satisfactory progress towards a number of the Department’s planned outcomes for the year under review. This includes work to achieve The Annual Report shows that the National Air Quality indicator is slightly above target (0.14) a Just Transition to a low carbon economy and climate resilient society; the conservation, meaning certain areas in the country continue to experience poor air quality due to, among management and sustainable use of ecosystems to address biodiversity loss and efforts to others, industrial activities, domestic fuel burning and traffic pollution. address environmental pollution. The South African Weather Service is in the process of automating and modernising its The 6th Assessment Report of the Intergovernmental Panel on Climate Change published in observations infrastructure. This includes upgrades to mitigate the effect loadshedding is 2022 confirmed the world has already warmed at an unprecedented rate and that Africa is having on data collection process. Increased collection and accuracy of data will ensure that already experiencing widespread losses and damage due to climate change. South Africa’s the public can be warned in good time of extreme weather events, thus saving lives and mitigation and adaptation architecture are at an advanced stage. The Sectoral Emission Targets livelihoods. that outline emission reduction goals for key sectors of the economy have been developed and the Department is engaging with line departments to determine the fair allocations of targets. Work has been done in the past financial year to finalise the regulations for implementing and enforcing priority area air quality management plans. These have been published for public With respect to Carbon Budget allocation, Cabinet has approved a methodological framework to comment. determine emissions allocation to industrial sectors for the 2023-2027 mandatory commitment period. Parallel to this, the Department has also developed Carbon Budget regulations to address the submission and processing of climate change mitigation plans to be submitted Another key Constitutional Right is the sustainable use of the country’s natural resources by industry. without causing the destruction or extinction of species for future generations. Present biodiversity loss is being caused by, amongst others, climate change, alien and invasive species and other human activities. To limit these, the Department has introduced a number of programmes, including Expanded Public Works Programme (EPWP) initiatives to, for example, clear alien and invasive species, restore wetlands, and clean the coastline and riparian zones along rivers. ANNUAL REPORT 2022/23 5 In December 2022, South Africa was among parties that adopted the Kunming-Montreal Global In the year under review, Middelpunt Nature Reserve in Mpumalanga, was designated as a Biodiversity Framework at the Convention on Biological Diversity. This “new deal for people Ramsar Site, becoming South Africa’s 29th wetland of international importance. Wetlands are and nature” has three components: the recognition of the science which suggests that human highly productive systems that provide numerous essential services that communities rely on. and ecosystem sustainability requires what is known as the 30x30 target where 30% of the These include water quality maintenance, climate regulation, flood control and water storage. land and 30% of the sea is placed under protection by 2030; that local communities must share in the benefits of conservation and that the intellectual property of indigenous people must be recognised. There was also agreement that developed countries must assist developing Another matter that has received attention in the past year has been wildlife crime. Among countries in achieving global conservation targets. special interventions being made to address concerns has been the establishment of an anti-poaching operations centre in KwaZulu-Natal in collaboration with a number of partners. The Department is also investing R40 million to improve the boundary fencing through which In March 2023, Government adopted the White Paper on Conservation and Sustainable Use poachers are reportedly entering the Hluhluwe/iMfolozi game reserve, as part of the assistance. of South Africa’s Biodiversity which is intended to ensure that this significant global agreement is domesticated. Through the support of the Global Environmental Facility the Department has received an early action grant which is being used to develop the implementation plan for Among South Africa’s significant waste management challenges are poor landfill practices the White Paper. and sporadic household waste collection, as well as unacceptable levels of illegal dumping. To support municipalities, the Department will, in the new financial year, work to improve cleanliness in Mafikeng, Mangaung, Bhisho, and the other provincial capital towns as part of To attract financing to the biodiversity sector, a digital Biodiversity Investment Portal has been the re-invigorated Presidential Good Green Deeds programme. created to profile pipeline projects within the biodiversity economy space to potential domestic and international investors. The aim is to ensure that previously disadvantaged communities are able to use this platform to highlight their projects in the biodiversity value chain. In the past two financial years, the Department spent over R168 million to assist 58 municipalities to purchase the yellow waste collection fleet. The Department’s Recycling Enterprise Support Programme has, in the past six years, supported 56 start-ups and emerging SMMEs and The approved National Protected Areas Expansion Strategy provides an informed systematic cooperatives operating within the waste sector providing more than R300 million in financial approach on the expansion of the conservation estate with the rate of 0.5% increase annually. support and creating 1 558 jobs. In line with this annual increase, South Africa will achieve a rate of 28% for its terrestrial space by 2036, and 10% in the same year for its marine space. It is envisaged that through this process we are likely to achieve the global 30x30 target by the early 2040’s. As at the end of The Extended Producer Responsibility (EPR) schemes for paper and packaging, electronic the financial year, South Africa’s land under conservation had increased by 382 517,130 ha, and lighting sectors have begun the important work of diverting waste from landfill sites. The adding to the land now under formal conservation. Department is also strengthening compliance and enforcement measures especially against those that undermine our collective efforts to address waste management challenges. In the past year several tonnes of waste have been diverted from landfill, including almost 196 tons Implementation of the recommendations of the High Level Panel into the management of lion, of lighting waste, 36 354.76 tons of waste tyres, 41 147 tons of e-waste and more than 1.6 leopard, rhino and elephant is progressing well. Besides the adoption of the White Paper, million tons of paper and packaging. a Ministerial Task Team was also appointed in December 2022 to advise on voluntary exit from the captive lion breeding industry. Following engagement with all stakeholders in the captive lion industry including vulnerable workers, a public call has been gazetted inviting Their efforts have been complimented by the 32 waste enterprises being supported to increase registration by participants who wish to voluntarily exit from the captive lion industry to register recycling of construction and demolition waste, plastic, packaging, and other waste streams. their interest to do so. In order to improve the conservation of the oceans, 10 Marine Sector Plans have been adopted To ensure full and meaningful participation of previously disadvantaged people in the for implementation to govern issues ranging from biodiversity, tourism, transport and ports to biodiversity economy value chain, a transformation programme has been initiated within the marine science and innovation, aquaculture, wild fisheries and the oil and gas sector. In biodiversity sector with specific focus on traditional authorities, previously disadvantaged addition, eight draft Marine Protected Area management plans have been adopted, while a individuals, Small Medium and Micro Enterprises (SMMEs), traditional health practitioners and draft Shark Management Plan and draft African Penguin Biodiversity Management Plan have various black associations. been approved. The achievement of the national assessment report on the linkages between migration and The fishing sector remains one of the most important contributors to the economy, especially Desertification, Land Degradation and Drought (DLDD) in the 2022/23 financial year responds in coastal communities. Despite several drawbacks, work to complete the 2021/22 Fishing to the three current strategic government priorities of making communities safer, building Rights Allocation Process gained momentum in the past year, and is now nearing its end. The better lives and job creation. Through the implementation of projects and programmes to be Department received 2 473 applications for the allocation of commercial fishing rights across identified, jobs are to be created for especially women, youth and persons with disabilities who nine fishing sectors. The appeals directorate, which is responsible for the administration live in degraded areas. and processing of the appeal process, received 1 213 appeals against the decisions of the delegated authorities in the nine fishing sectors. DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 6 After rerunning the process to allocate small-scale fishing rights for the Western Cape, the Department received over 4 000 registration and verification forms from small-scale fishers in December 2022. More than 84% of applicants are now recognised as small-scale fishers in line with the Marine Living Resources Act. More than 30% of successful and declared small- scale fishers are woman, while 68% of the fishers are coloured, 25% are black fishers and three percent are white. The Department is processing appeals by unsuccessful applicants and is in the process of assisting all the declared small-scale fishing communities to register co-operatives that will be eligible to be allocated 15-year fishing rights before October 2023. During the 2022/23 financial year, the Department achieved its expenditure target of 98% spending of the appropriated budget, compared to the previous financial year’s expenditure of 82% spending. This was a result of additional efforts to improve the expenditure outcome linked to the successful implementation of the Department Forestry, Fisheries and the Environment’s approved Service Delivery Improvement Plan. Management has also focussed on developing and implementing corrective measures to improve internal controls. The 2022/23 Annual Report complies with all statutory reporting requirements, particularly section 40(1) of the Public Finance Management Act, 1999 (Act No. 1 of 1999) (PFMA), and paragraph 18 of the National Treasury Regulations. MS BARBARA CREECY, MP MINISTER OF FORESTRY, FISHERIES AND THE ENVIRONMENT DATE: 31 AUGUST 2023 ANNUAL REPORT 2022/23 7 4. STATEMENT BY THE DEPUTY MINISTER Ms Makhotso Sotyu, MP Deputy Minister of Forestry, Fisheries and the Environment Belt tightening and more careful and efficient spending have characterised many of the projects Among the prioritised programmes implemented during the year under review has been the undertaken by government in the 2022/23 financial year. District Development Model. As a District Development Model National Champion, I have led a number of campaigns in communities in the North West and Free State provinces to not only discuss service delivery challenges that exist, particularly waste services, but also to look at The Department was not spared the prevailing economic challenges and the impact of the issues such as procurement and job creation to promote and support local businesses and to resulting fiscal constraints on the funding of its operations. As a result, the Department involve local communities.  has become more efficient and had found a number of innovative ways to deliver on its Constitutional mandate and approved plans. During each visit, we have participated in clean-up and greening campaigns to raise awareness about litter, waste collection and landfill management. The impact of these economic challenges has resulted in National Treasury significantly reducing the personnel budget allocation over the past years and with no increase expected in coming years. That is why the Department is prioritising critical human resources capacity Local government is at the coalface of delivery in South Africa. As emphasised by the required for the execution of its core mandate and ensuring that we operate with the required President, it is also an area of dysfunction and distress due to poor governance and financial capacity for support and general administrative functions. and administrative management alongside poor service delivery.  As the DFFE, it is our duty in terms of the Bill of Rights to provide everyone with an environment that is not harmful to their health and wellbeing. It is with pride that I can state that almost half, or 47%, of the Department’s senior management positions are held by women – an achievement that contributes to government’s priorities on women empowerment, gender equality and of ensuring that persons with disabilities are active Among these is addressing the many waste management challenges at local government players in building the environment sector. Our all-women leadership not only includes the level, including the lack of adequate staffing for waste management, development of integrated Director-General, but also the Deputy Directors-General who head 8 branches. Of the 231 waste management plans, waste collection, management of waste disposal facilities, interns appointed in the past financial year, 140 (61%) were women and 4% were people living lack of programmes for waste diversion and inadequate funding of waste function. That is with disabilities. why the department has, in the past year, continued its support of municipalities to include environmental priorities in local economic development plans, disaster management plans and integrated development plans. Project specific interventions have included assistance with Although climate change and its effects on our natural world, the destruction of forests and the upgrade and refurbishment of landfill sites and issuing of landfill site licenses, applications waste management remained among the department’s priorities in the 2022/23 financial year, by municipalities to Municipal Infrastructure Grant (MIG) for waste fleet funding, as well as we are also faced with other issues of concern in South Africa. These are being addressed assisting with funding and resources for waste cooperatives and waste pickers. through our job creation, poverty alleviation and economic growth initiatives. DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 8 To date, more than 10 000 work opportunities have been created in partnership with To improve air quality, air pollution from all sources must be reduced through bankable municipalities to clean and green our towns and cities. Through the waste management yellow commitments. While concerted efforts have been made to bring the priority areas to compliance, fleet support initiative, the department has assisted municipalities that have been struggling emissions of certain pollutants continue to result in persistent poor air quality. with increasing household access to waste collection services, illegal dumping and proper management of landfill sites. DFFE purchased yellow fleet on behalf of the municipalities to assist municipalities to increase household access to waste collection service, clearing of The health of the planet is also reliant on land. Through our department’s Environmental illegal dumping site and improvement in the management of landfill sites / waste disposal sites. Programmes work is being done to restore ecosystems and contribute to green economic A total of 34 district municipalities have benefited with 59 municipalities having received either development and reduce poverty through job creation. During the year under review, a Compactor Truck, Skip Loader, Tractor Loader Backhoe (TLB) or Front-End Loader (FEL). 20 209 full-time equivalent jobs were created, and 58 858 work opportunities, including 30 784 for women. A total of 35 372 youth benefited from the implementation of Environmental Programmes. The department exceeded its youth employment targets by achieving 60% In addition, 302 municipal councillors and other officials have been trained as part of our effort instead of the 55% target. The work opportunities created during the financial year include to capacitate local government to effectively manage its environmental function. various municipal cleaning projects across the country. Through these projects, the department has developed and implemented an innovative in-house implementation model implemented through a tangible partnership with the municipalities. The work opportunities also catered for In a changing climate our forests play a more important role, particularly because they are our previously unemployed graduates and their participation is critical to achieve the long-term main source of oxygen and because they absorb harmful carbon dioxide. In the year under human capital development priority for the sector. review, two targets contributed to ensuring that there was proper management and regulation of indigenous forests. These included the rehabilitation of degraded forests to improve the biodiversity status of the country. In terms of ensuring that there is sustainable production of While 47 120,346 ha received initial clearing of invasive plant species, 416 115,803 ha state forests, silvicultural practices were conducted in 4 910, 98 hectares. This achievement underwent follow-up clearing of alien invasive plants. A total of 125 wetlands were rehabilitated has not only contributed to the improvement of the maintenance of the plantations, but also and more than 2 000 km of coastline was cleaned. In prioritising follow-up clearing, the to the creation of EPWP jobs. This included the appointment of 10 workers at the Wolseley department was able to protect its earlier investments on initial clearing of areas invaded by nursery to collect seeds and do general maintenance, and 10 workers at the Rusplaas nursery invasive alien plants. Through its Working on Fire Programme, the department was able to to do general maintenance work. In QwaQwa, construction of the grey water pond commenced contain all wildland fires called out to, preventing them from escalating into disasters. with assistance from the Department of Public Works and Infrastructure. A total of 40 EPWP workers were appointed (30 for tree production and 10 for maintenance) and this led to 35 443 trees produced. I would like to thank Minister Barbara Creecy and our Director-General, Ms Nomfundo Tshabalala for the leadership they have continued to provide during this period under review. I present to you the 2022/23 Annual Report for the Department of Forestry, Fisheries and the In addressing transformation within the sector in line with the Commercial Forestry Masterplan, Environment. the department transferred the management of Makhoba, Lehana and Fort Usher plantations to beneficiary communities. As part of the Million Trees campaign, 103 729 trees were planted outside forests footprint in the year under review. On the legislative front, the National Forests Amendment Act has been finalised and the National Veld and Forests Fires Amendment Bill has been passed by the National Assembly. The Amendment Bill is presently before the National Council of Provinces for processing. Linked to healthy forests and trees is our air quality. That is why the annual Air Quality Lekgotla which in 2022 focused on strengthening air quality management systems is so important. MS MAKHOTSO SOTYU, MP DEPUTY MINISTER OF FORESTRY, FISHERIES AND THE ENVIRONMENT As air pollution affects human health, biodiversity, land and water systems has been shown DATE: 31 AUGUST 2023 to decrease agricultural yields, the national challenge of air quality is receiving attention. However, loadshedding and power interruptions in the past year resulted in low data recovery, affecting performance of monitoring stations. As a result, only four priority area ambient air quality monitoring stations reported to the South African Ambient Air Quality Information System (SAAQIS) and met the data recovery standard of 75%. The South African Weather Service is in the process of procuring power back-up systems to reduce data loss and equipment damage due to loadshedding. ANNUAL REPORT 2022/23 9 5. REPORT OF THE ACCOUNTING OFFICER Ms Nomfundo Tshabalala DIRECTOR-GENERAL OVERVIEW OF THE OPERATIONS OF THE DEPARTMENT The long-term vision of the Department is to have “a prosperous and equitable society living in harmony with our natural resources” as outlined in Department five-year strategic plan. The legal mandate and core business of the DFFE is to manage, protect and conserve South Africa’s environment and natural resources. The mandate is derived from section 24 of the The Department is structured into nine programmes as outlined in the performance progress Constitution of South Africa, which affords everyone the right to (a) an environment that is not included in Part B of this annual report. The nine different programmes and their outlined harmful to their health or well-being; and (b) to have the environment protected, for the benefit purposes are reflective of the different focus areas and subsectors of environmental of present and future generations, through reasonable legislative and other measures. management. The objective of the current programme structure is to ensure that specific attention is given to each focus area of the Department’s mandate whilst acknowledging the interrelationship and ensuring an integrated approach. To give effect to these Constitutional environmental rights and the need for sound environmental management and sustainable development, the Department has over a period of time developed an extensive environmental management legislative/regulatory framework. Brief overview of the performance of the Department against pre-determined objectives The regulatory framework consists of acts of Parliament (environmental laws), regulations, and the challenges policies, norms and standards and other regulatory tools which are aimed at promoting sound environmental management practices in order to protect and conserve the environment for the benefit of current and future generations. The annual report provides the performance of the Department against the indicators and targets outlined in the 2022/23 APP. The approved APP of the Department for the 2022/23 financial year included a total of 78 annual targets across nine programmes. The Department In addition to the development, implementation and continuous review of a progressive achieved 57 (73%) of the planned 78 annual targets and did not achieve 21 (27%). This is an regulatory framework for sound environmental management, other critical environmental improvement of 12% as compared to the achievement of 61% planned targets in the 2021/22 management interventions by the Department includes implementation of awareness financial year. Management has reflected on the performance for the period under review campaigns and programme on key environmental management issues. This work is aimed and provided the reasons for deviation from the planned targets that were not achieved. The at promoting a culture of environmental activism among ordinary citizens, building capacity corrective measures that will be implemented to fast track the progress on the non-achieved within the sector and establishing and strengthening national, regional and global partnerships targets have also been highlighted. Management will continue to ensure that the lessons to address common environmental challenges. learned in the implementation of our programmes, are used to develop effective corrective DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 10 management interventions and to significantly improve organisational performance through Scientific research tells us that all the critical ecosystems that sustain life on earth are under a proper diagnosis of challenges, identification of internal control deficiencies and finding pressure from our unsustainable use of natural resources, and the irresponsible disposal of innovative ways of doing business. waste. A recent study by the United Nations Environment Programme (UNEP) found that air pollution, much of it from the burning of fossil fuels, causes around seven million premature deaths around the world each year. Nutrients from farming, sediment from soil erosion and Significant projects and events for the 2022/23 financial year discarded plastic waste are polluting our rivers and coastal waters. The emphasis is clear: time is running out to ensure we protect critical eco-system services and ensure that our The department hosted the following national events to celebrate/commemorate key current use of natural resources does not threaten the safety and survival of our children and international environment days, raise environmental awareness and engage stakeholders grandchildren. The South African government has significant programmes to combat climate within the environment sector. change; prevent bio-diversity loss; reduce pollution; manage waste more sustainably and restore ecosystem services. As a signatory to all three Rio Conventions, our government has undertaken to reduce our carbon footprint from 2025. By working with seven sectors of our CELEBRATION OF INTERNATIONAL ENVIRONMENT DAYS: economy we aim to achieve a low carbon economy and a climate resilient society by mid- century. International Day of Biological Diversity Our interventions include improving household waste collection; supporting the development The Minister of Forestry, Fisheries and the Environment, Ms Barbara Creecy launched the of compliant landfills; ensuring municipalities have adequate waste collection fleets and Thohoyandou National Botanical Gardens on 22 May 2022. The aim was to demonstrate the supporting the extended producer responsibility schemes to promote diversion of waste from benefits of establishing such a garden to the Mphaphuli community neighbouring the National landfills.  Changing the way we do things to ensure that we can all continue to live sustainably Botanical Gardens. The existing botanical garden is well known among the surrounding on earth, is the responsibility of each and every one of us. We can educate ourselves and communities and is part of the community’s culture and, as such, it is highly valued, with many our families about climate change, biodiversity loss and pollution and we can support policy community members having grown up visiting the garden in their youth and who continue to changes that will reduce damage to the environment. visit the garden. 397 attendees were present to celebrate the launch of the gardens. World Oceans Day The Thohoyandou National Botanical Garden falls under the Vhembe Biosphere Reserve, within the Vhembe District Municipality and Thulamela Local Municipality. It includes a The Minister of Forestry, Fisheries and the Environment, Ms Barbara Creecy delivered the representative portion of the Soutpansberg Mountain Bushveld, a vulnerable vegetation type opening address at the Marine Science Syposium at the University of KwaZulu-Natal in with only 2.2% under protection. The addition of the garden will contribute to the representivity Durban, KwaZulu-Natal. Scientists and stakeholders from the KwaZulu-Natal Sharks Board of the major biomes and vegetation types of South Africa into the national botanical garden as well as the Local Organising and Steering Committees attended the event to celebrate system, is the first in the Limpopo Province, and supplement the national network of botanical World Oceans Day which was celebrated on 8 June 2023 under the theme of “Revitalising gardens. The Garden serves as a biodiversity centre for the province showcasing traditional Collective Action for the Ocean”.  The Minister emphasised the Department will continue to botanical garden infrastructure and, biodiversity research facilities, which will be of benefit to support marine science programmes, together with our sister Department of Higher Education, the province. Serving as an additional nature-based, cultural and scientific tourism attraction, Science and Innovation and a range of universities’ partnerships. Engagements are much the garden will contribute to the area’s socio-economic development, and enhance tourism needed gathering at a time when high quality scientific research  is needed now more than by linking with local and regional tourism initiatives. The developments to the garden are ever to guide the sustainable use of our oceans and the protection of the important ecosystem expected to increase its educational value, financial viability and the interest and support of services they provide. visitors, tourists and the local community. The DFFE celebrated World Oceans Day visiting various communities and schools to name a World Environment Day view, Intakemazlo Combined School in Hammersdale, Fundakahle Primary School in Umlazi and Kusakusa Primary School in Isipingo in KwaZulu-Natal on 8 June 2022. The theme of World Environment Day 2022 focused on promoting sustainable living in harmony with nature “Revitalisation: Collective Action for the Ocean” was highlighted and attendance of 3 032 and was celebrated on 5 June 2022 at the Blue Lagoon North Beach in Durban, KwaZulu- learners and community members were present. The importance of our oceans and the need Natal with an attendance of 352 people. The theme was: “count us in” to protect and improve to contribute towards their protection was shared. the quality and safety of our environment. “Count us in” shows ownership of action and pledge to participate in mitigation of climate change effects such as the triple planetary emergency The marine environment of South Africa is an asset of great importance and a major focal point namely climate change, biodiversity loss and pollution. for human habitation and socio-economic activities. Our ocean sustains numerous industries such as tourism, conservation, fisheries, aquaculture, and telecommunication which are part of the country’s critical economic backbone. The ocean is also linked to the country’s cultural heritage, and therefore significant for the wellbeing of South Africans and the safeguarding of traditions. ANNUAL REPORT 2022/23 11 National Arbor Month International Coastal Clean-up Day The Launch of National Arbor Month and City Awards were hosted on 1 September 2022 International Coastal Clean-up Day was hosted on 17 September 2022. 30 learners from in Ehlanzeni District Municipality in Mbombela, Mpumalanga with an attendance of 350 Wolwedans Primary and 127 community members participated in beach clean-ups at the people. The theme was: “Forests and Sustainable Production and Consumption” and aimed to Suiderkruis Beach at Grootbrak River, Reebok Beach at Garden Route and Tergniet Beach highlight key areas of forestry and tree planting in terms of their role in creating and sustaining at Kelinbrak in the Western Cape. Awareness was raised on keeping the oceans and marine healthy and resilient communities, through health benefits that are derived from forests that areas clean by not littering, continuous removal of debris and dead animals, to avoid sea include nutritious foods, medicine, fresh air, clean water and place for recreation. In addition, pollution, encourage fisherman to fish responsibly and beach goers to reduce waste and to the theme referred to communities and users of forests living in harmony with the resources promote a clean city to attract tourism. around them, and those natural forests need to be protected in line with the provisions of the National Forests Act, 1998, (Act 98 of 1998). The launch was focussed on awarding of prizes to the winning municipalities in the Arbor City Awards Competition aimed at rewarding those Marine Week municipalities that are going an extra mile to implement the Two Million Trees Programme. Each of the four Local municipalities which forms part of the Ehlanzeni District Municipality National Marine Week was celebrated from 10-14 October 2022 at Mossel Bay in the Western committed to plant approximately 7 000 trees in rehabilitation of degraded areas. Cape. The week was used to raise awareness about the conservation and sustainable uses of the oceans, seas and marine resources for sustainable development, sources of income The Arbor Closing event was hosted on 30 September 2022 in the Western Cape at the emanating from the ocean and human impact on the ocean, especially marine litter etc and to Bergsig Dutch Reform Church in Claitzdorp and was attended by 380 people. The closing of encourage learners and local communities to conserve the ocean which in turn can provide for Arbor Month Campaign herald a message to plant two million trees per annum as announced their livelihoods and provide them with ecosystem goods and services. As part of the campaign, by the Presidency in 2020. The 2022 campaign involved giving prominence to tree planting the department held activities with 180 learners and 20 educations. Various schools were and greening to meet the target of planting at least two million trees. The event focused on tree participating, namely, Newtom Primary School from Kimberly in Northern Cape, Oudsthoorn planting, implementation of the Two Million Trees Programme and work around rehabilitation of Primary School and De Rust Primary School from Oudtshoorn and De Rust in Western Cape, degraded areas. The Calitzdorp community contributed and participated in planting 500 trees Girls Group from Oranje North in Upington in the Northern Cape and Boys Group from Oranje in and around Calitzdorp at Bergsig Rugby Stadium, Besige Beitjie Pre-school and informal North in Upington in the Northern Cape. The activities included marine ecology and snorkelling settlements. at the rocky shores at the Point and clean-up activities of the Olifants River in De Rust. International Mandela Day National Marine Month Closing was hosted in collaboration with the Department of Culture, Arts and Sport on 27 October 2022 at the Dias Museum Complex, Maritime Museum in Mosselbay in the Western Cape. Awareness raising was shared with 127 learners, community members Mandela Day Ministerial event: The Minister of Forestry, Fisheries and the Environment visited and various stakeholders regarding the importance of protecting and conserving the ocean various schools in the Western Cape to celebrate and honour Mandela Day on 8 August 2022. and marine environment. Every year on 18 July South Africans together with the international community honour our former president and international icon Nelson Mandela in celebration of Mr Nelson Mandela International Day. This day has since its launch in 2009 inspired individuals to take action to 27th Conference of Parties (COP27) help change the world for the better, and in doing so build a global movement for doing good to others. South Africa through the DFFE, participated in the 27th Conference of the Parties (COP27) to the United Nations Framework Convention Climate Change Conference (UNFCCC) from 6-20 Various schools were visited, namely, Kleinmond School in Kleinmond, Qhayiya Secondary November 2022 in Sharm el-Sheik under the Presidency of the Arab Republic of Egypt. school in Hermanus, Hawston Secondary School in Hawston, Swartberg Secondary School in Caledon, Albert Myburg Secondary School in Bredasdorp, Hermanus High School in Hermanus The final COP27 outcome reflects the urgency of the climate crisis, and the need to keep the and the Gansbaai Academia. A total attendance of 250 learners, educators, governing bodies 1.5-degree temperature target alive during what the International Panel on Climate Change and parents were present. Minister Creecy participated in various clean-up activities with (IPCC) calls the “Critical Decade”, including by providing a clear programme to advance learners, tree planting and rehabilitating the food garden. The Minister handed over school the mitigation agenda from now to 2026. COP27 also marked the 5th South African Pavilion desks, chess tables, refuse bins, wooden educational toys and shoes to the principals of (partnership between the DFFE and National Business Initiative), which showcased the Kleinmond Primary school in Kleinmond and Hawston Senior Secondary School in Hawston. collaboration between government and business in the fight against climate change. The South The department facilitated marine and oceans careers awareness raising talks and exhibition Africa Pavilion provided an excellent platform for business and government to showcase the stands with education material. country’s efforts towards co-creating and implementing a Just Transition to net zero emissions by 2050. More than 50 events were hosted at the Pavilion during COP27. DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 12 World Wildlife Day HOSTING OF CONFERENCE / STRATEGIC MULTI STAKEHOLDER ENGAGEMENTS: The launch of the roll out of the National Biodiversity Permitting Systems for Cites-Listed National Air Quality Indaba Conference Species as part of the celebration of World Wildlife Day (WWD) and 50th Anniversary of Cities on 3 March 2023 formed part of commemorating WWD. WWD was celebrated on the 3rd of March 2023 under the theme “Recovering key species for ecosystem restoration”, to draw The Deputy Minister of Forestry, Fisheries and the Environment, Ms Makhotso Sotyu delivered attention to the conservation status of some of the most critically endangered species of wild a key address at the 16th Air Quality Governance Lekgotla and the Air Quality Governance fauna and flora, and to drive discussions towards imagining and implementing solutions to Week was hosted from 3 – 5 October 2022. The Lekgotla took place at the Premier Hotel, OR conserve them. WWD is an opportunity to celebrate the many beautiful and varied forms of Tambo, Ekurhuleni Metro in Gauteng and followed a hybrid approach which allowed participants wild fauna and flora and to raise awareness of the multitude of benefits that their conservation who could not be able to physically attend the event to join the discussion remotely. The first provides to people. At the same time, the day reminded us of the urgent need to step up day was a closed session for government officials, followed by an open session for multi- the fight against wildlife crime and human-induced reduction of species, which have wide- stakeholders on the second and third day and a Cocktail Networking Session was planned for 4 ranging economic, environmental, and social impacts. The Department hosted the event at the October 2022. The Lekgotla closed off with a panel discussion on Just Transition and linkages Kruger Gate Hotel in Skukuza, Mpumalanga with various partners, the private sector, traders, with air quality management which involved high school learners in the Air Quality Priority zoological institutions, scientists and the media that amounted to 150 attendees. The launch Areas i.e., the Vaal and Highveld in Mpumalanga and Limpopo. The learners on the panel and roll out of the national electronic e-permitting system for Convention on International Trade were accompanied by their fellow school mates and educators and got the opportunity to go in Endangered Species (CITES)-listed species and all other Biodiversity and Conservation through the different exhibitions and interacted with various stakeholders within the air quality (B&C) permit systems e.g. Threatened or Protected Species (TOPS) and Bioprospecting, space. The Lekgotla was followed by a 2-day conference of the National Association of Clean Access and Benefit Sharing (BABS) as well as to create awareness about South Africa’s move Air (NACA). The total number of attendees were 549 and were represented by government, from paper permit systems towards an electronic permit system for CITES-listed species. scientists, policy makers and practitioners that deliberated on topical air quality management issues, share innovations and demonstrated best practice. The theme was “strengthening air quality management system” and opportunities to strengthen regulatory tools towards International Day of Forests Day improved air quality management. The International Day of Forests (IDF) was established by a resolution of the United Nations Compliance and Enforcement Lekgotla General Assembly that took place in 2012. The international date set for IDF is 21 March each year, and various events are hosted to celebrate and raise awareness on the importance of all types of forests and trees outside forests, for the benefit of current and future generations. The Deputy Minister of Forestry, Fisheries, and the Environment, Ms Makhotso Sotyu delivered a key message at the Compliance and Enforcement Lekgotla hosted from 14-17 November 2022 at Avianto, Muildersdrift, Krugersdorp, Gauteng. The theme was “Facing uncharted The 2023 International Day of Forests was celebrated by the Deputy Minister Ms Makhotso waters: new challenges and solutions for the Green Scorpions”. This year represents a Sotyu at the Overberg District, Harold Porter National Botanical Garden and Betty’s Bay in the significant milestone for environmental compliance and enforcement in South Africa. It Western Cape on 24 March 2023. IDF event was hosted in partnership with the South African marks 17 years since an amendment to National Environmental Management Act created National Biodiversity Institute, Overstrand Local Municipality and the Institute for Environment the Environmental Management Inspectorate, commonly known as the Green Scorpions, in and Recreational Management (IERM). The Collaborative Partnership on Forests proposed our statute books. This legislative development pulled together existing efforts in the green, the theme to be: “Forests and health”. A growing body of research indicates that forests are brown and blue subsectors into a single, cohesive and effective compliance and enforcement critical for physical and mental wellbeing of people. From the provision of cleaner air, natural framework. cooling and freshwater, forests support the health of communities in ways that may not be visible. The primary focus of the campaign was to raise awareness on the importance and benefits of trees, the need for every South African to get involved in tree planting activities The environmental risks perceived to be the five most critical long-term threats are, with through the Ten Million Trees Programme. These included mitigation against climate change “climate action failure”, “extreme weather”, and “biodiversity loss” ranking as the top three most effects, promotion of biodiversity, provision of clean air and water, and provision of medicinal severe risks. Their projected effects are extensive, and include intensified rates of involuntary plants and associated health products. A memorial plaque was erected and unveiled on the migration, natural resource crises, pollution harms to health, geopolitical resource contestation, day in memory of the South African Biodiversity Institute employees who passed on due to the social security collapse and livelihood and debt crises. South Africa has, over the past two Covid-19 pandemic. years, already begun to feel the devastating impacts of these risks.  For example, heavy downpours in KwaZulu-Natal over only a two-day period in April 2022 caused South Africa’s worst and most deadly natural disaster to date: a flash flood so rare and devastating it has a one in 300-year probability of recurring. The dire situation in this province was exacerbated by the extensive environmental damage caused by the hazardous chemical spill resulting from social unrest at the United Phosphorus Limited facility as well as widespread pollution resulting from non-functional waste-water treatment infrastructure. ANNUAL REPORT 2022/23 13 In addition to the apparent adverse health impacts of the Covid-19 pandemic, it has also Operating at national, provincial and local levels, the Green Scorpions execute compliance had significant impact on the state of the environment, with a decrease in certain types of and enforcement activities in responses to non-compliances in the brown, green and blue environmental non-compliances, balanced by a significant increase in others, including unlawful environmental sub-sectors. The DFFE seeks to coordinate and support the efforts of all land occupation in and around protected areas/state forests. Despite these challenges, the spheres of government involved in environmental compliance and enforcement; and facilitate Green Scorpions are still expected to give effect to Section 24 of the Constitution by protecting collaboration with other regulatory authorities and key stakeholders. Brown issues relate to the environment in a manner that it is not detrimental to the health and well-being of the air, waste and pollution, Environmental Impact Assessment (EIA), emergency situations, country’s citizens. This will require a level of adaptability from the Inspectorate to meet these incidents, and developments. Blue issues are linked to the management and protection of the unexpected challenges and still execute its Constitutional imperative. coastal environment and; the Green issues are those related to the protection and sustainable utilisation of biodiversity, biosecurity and the management of protected areas. OVERVIEW OF THE FINANCIAL RESULTS OF THE DEPARTMENT Departmental receipts During the 2022/23 financial year, departmental revenue collected amounted to R86,861,000, a decrease of R12,857 million when compared to the R99,718 million in 2021/2022 financial year. The decrease is mainly due to a decrease in funds received from sales in plantation products, softwood saw timber, poles (treated / untreated), weedicides, plants, stegs and seedlings. The decrease in fines, penalties and forfeits is due to lesser fines issued and payments received. The decrease in interest, dividends and rent on land revenue is due to decrease in funds held by implementing agents under the Expanded Public Works Programme for payment of funds and interest at closure of projects. The decrease in sale of capital assets is due to changes in the departmental asset management policy and changes on the sale of redundant assets to the staff members. The marginal decrease in revenue from financial transactions in assets and liabilities is due to a decrease in refunds received from implementing agents from closed out projects on balance after closure. 2022/2023 2021/2022 ACTUAL AMOUNT (OVER) / UNDER ACTUAL AMOUNT (OVER) / UNDER DEPARTMENTAL RECEIPTS ESTIMATE ESTIMATE ACTUAL COLLECTED COLLECTION COLLECTED COLLECTION R’000 R’000 R’000 R’000 R’000 R’000 Sale of goods and services other than capital assets 43 151 33 639 9 512 43 090 38 451 4 639 Fines, penalties and forfeits 800 550 250 800 2 265 (1 465) Interest, dividends and rent on land 4 500 2 355 2 145 4 500 7 727 (3 227) Sale of capital assets 175 98 77 175 27 148 Financial transactions in the assets and liabilities 40 000 50 219 (10 219) 39 000 51 248 (12 248) Total 88 626 86 861 1 765 87 565 99 718 (12 153) DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 14 TARIFF POLICY Atmospheric Emission Tariffs Control of use of vehicles in the coastal area Regulations 1. Fees for Processing of Atmospheric Emission Licence Applications in terms of Regulations prescribing the atmospheric emission licence processing fee (Regulation No. 250 of 11 March 2016) Regulations were published in terms of sections 83(1)(g), (n), (p) and (r) of the National Environmental Management: Integrated Management Act, 2008 (Act No. 24 of 2008) in GRN 2. Administrative Fines: Imposed on facilities that have undertaken a listed activity without an 37761 on 27 June 2014. Permits are issued in term of these regulations. Atmospheric Emission Licence in terms of Section 22A of the Air Quality Act. Regulations for the procedure and criteria to be followed in the determination of an administrative fine in terms of Section 22A of the Air Quality Act (Regulation No 322 of 18 March 2016). Dumping at Sea Regulations EIA Environmental Authorisations Regulations were published in terms of sections 83(1)(g), (h), (k) and (r) of the National Environmental Management: Integrated Management Act, 2008 (Act No. 24 of 2008) in GRN 40996 on 21 July 2017. Permits are issued in term of these regulations. Fees for consideration and processing of environmental authorisations and amendments under section 24 (5)(c)(i), 24(5)(j) and 44(1)(a) and (b) of the National Environmental Management Act, 1998 (act No. 107 of 1998). Coastal Waters Discharge Permit Regulations The proponent is excluded from the requirement to pay the prescribed fee where the application: Regulations were published in terms of sections 83(1)(g), (h), (k) and (r) of the National Environmental Management: Integrated Management Act, 2008 (Act No. 24 of 2008) in GRN 42304 on 15 March 2019. Permits are issued in term of these regulations. • Is for a community-based project funded by a government grant; or • Is made by an organ of state. Commercial Scuba Diving Involving listed marine species, Boat-Based Whale Watching (BBWW) and White-Shark Cage Diving (WSCD) Waste Management Licences, Transfer and Renewal Tariffs The Threatened and Protected Species Regulations in terms of the National Environmental National Environmental Management Waste Act, 2008. GN 37383 of 28 February 2014 “Fee Management: Biodiversity Act 2004 (act No.10 of 2004) were promulgated on 30 May Structure for consideration and processing of Applications for Waste Management Licenses 2017. Fees have been set in terms of these regulations and are collected in terms thereof, transfers and renewal thereof. commencing in 2017/18. Tariffs, Rates and Scales for services, goods and supplies: Agriculture and Forestry Commercial SCUBA Diving business operations within Marine Protected Area are managed in terms of the Marine Living Resources Act and since transfer of the Marine Protected Areas to the NEMPAA legislation, the fees are now collected in terms of NEMPAA. The tariffs utilised for selling of Forestry products as per Book of Tariffs 2020/2021 as implemented on 1 April 2020. The tariff structure was still in place for the 2022/2023 financial year. Alien Invasive Species Management Application Fees for permits for the transport or being in possession of Alien Invasive Species are set and collected in terms of the Alien Invasive Species Regulations promulgated in terms of the National Environmental management Biodiversity Act, 2004 (Act No. 10 of 2004). ANNUAL REPORT 2022/23 15 Programme expenditure The department’s spending as at 31 March 2023 was 98,1%, or R8,8 billion of its allocated budget of R9 billion. The distribution of the budget of R9 billion is as follows: Compensation of Employees 22,4%; Goods and Services 39,4%; Interest and rent on land 1,0%; Transfers and Subsidies 34,6%; Payment for Capital Assets 2,6% and Payment for Financial Assets 0,0%. The spending of 98,1% is mainly driven by the Expanded Public Works Programme which represents 33% of the total spend, followed by Compensation of Employees at 23% and payment to the Department’s Public Entities for operational and capital expenditure, 20%. The remainder of the expenditure, 23% is made up of all other environmental and forestry programmes and operations within the department, namely administrative expenditure (rental of office accommodation, information systems, communication, human capital, financial management services, facilities management), legal costs, compliance and enforcement activities, air quality management, waste bureau operations, waste management, biodiversity and conservation, oceans and coasts (manning and operation of the SA Agulhas Polar Vessel and Algoa Research Vessel), climate change and forestry operations. 2022/2023 2021/2022 FINAL ACTUAL (OVER) / UNDER FINAL ACTUAL (OVER) / UNDER PROGRAMME NAME APPROPRIATION EXPENDITURE EXPENDITURE APPROPRIATION EXPENDITURE EXPENDITURE R’000 R’000 R’000 R’000 R’000 R’000 Administration 1 218 904 1 208 150 10 754 1 060 003 1 032 114 27 889 Regulatory Compliance and Sector Monitoring 243 476 243 476 - 223 872 223 872 - Oceans and Coasts 519 859 504 678 15 181 505 190 419 125 86 065 Climate Change, Air Quality and Sustainable 678 762 662 308 16 454 613 730 586 633 27 097 Development Biodiversity and Conservation 1 225 116 1 206 089 19 027 1 137 865 1 058 631 79 234 Environmental Programmes 3 216 587 3 166 263 50 324 3 633 806 2 586 346 1 047 460 Chemicals and Waste Management 626 966 617 329 9 637 598 965 488 121 110 844 Forestry Management 632 550 585 905 46 645 706 960 477 110 229 850 Fisheries Management 632 619 632 619 - 619 346 618 061 1 285 Total 8 994 839 8 826 817 168 022 9 099 737 7 490 013 1 609 724 DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 16 Programme 1: Administration Programme 7: Chemicals and Waste Management The expenditure of programme increased from R1,032 billion in 2021/2022 to R1,208 billion The expenditure for the programme increased from R488,121 million in 2021/2022 to R617,329 in 2022/2023 with R176,036 million. The increase is mainly attributable to the high increase million in 2022/2023 with R129,208 million or 26,5%. The increase is due to the Recycling in costs of rental of office accommodation, security services, information systems, facilities Enterprise Support Programme implementing Phase 2 of the programme during 2022/2023. management and financial management services at 17% increase. The increase is further due to the procurement of waste removal vehicles purchased to assist the municipalities with waste removal. Programme 2: Regulatory Compliance and Sector Monitoring Programme 8: Forestry Management During the period under review, the programme’s expenditure increased from R223,872 million in 2021/2022 to R243,476 million with R19,604 million or 9%. The increase is mainly due The expenditure for the programme increased from R477,110 million in 2021/2022 to R585,905 to increased legal expenditure to state attorney for finalisation of cases in enforcement and million in 2022/2023 with R108,795 million or 22,8%. The increase is due to procurement compliance, computer services licences and increased compensation of employee cost. processes improvement realised that enabled operational processes to recover in the plantations operations. Programme 3: Oceans and Coasts Programme 9: Fisheries Management The expenditure of this programme decreased slightly from R505,190 million to R504,678 million with R512,000. The decreased is mainly to Marine Protected Areas Management The expenditure for the programme increased from R618,061 million in 2021/2022 to payments not received in time for payment by 31 March 2023. R632,619 million with R14,558 million or 2%. The main reason is for the increased allocation for transfer payment to the Marine Living Resources Fund as well as increased compensation of employees cost to the Department. Programme 4: Climate Change, Air Quality and Sustainable Development The expenditure increased from R586,633 million in 2021/2022 to R662,308 million in 2022/2023 with R75,675 million or 12,9%. The increase is mainly due to the increased allocation towards the South African Weather Service on operating transfers to cover for the loss in revenue from fees due to covid impact on the previous financial year. An additional allocation for capital investment of R8,9 million was also approved during the 2022/2023 financial year. Programme 5: Biodiversity and Conservation The programmes expenditure increased from R1,059 billion in 2021/2022 to R1,206 billion in 2022/2023 with R147,458 million or 13,9%. The increase is mainly due to increased allocations towards the Public Entities of the Department. An additional allocation of R10 million was approved for payment to SANParks for the Kruger National Park land claim facilitation fee. Programme 6: Environmental Programme The expenditure of the programme increased from R2,586 billion in 2021/2022 to R3,166 billion in 2022/2023 billion with R579,917 million or 22%. The increase is mainly due to the Expanded Public Works Programme projects agreements finalised and projects implementation increased as the programme recover after the impact of the COVID-19 on the programme. ANNUAL REPORT 2022/23 17 Virements AMOUNT % PROGRAMME FROM PROGRAMME TO REASON FOR VIREMENT R’000 VIREMENT 1.Administration 2. Regulatory Compliance and Sector (11 273) 0,87% Funding Legal Costs on Litigation Matters of the Department Monitoring 5.Biodiversity and Conservation (6 865) 0,55% 5.Biodiversity and Conservation 3. Oceans and Coasts (3 690) 0,30% Funding Fuel for SA Agulhas II higher than anticipated due to increased fuel prices 8. Forestry Management 4.Climate Change, Air Quality and Sustainable (8 900) 1,34% Approval for increased infrastructure allocation to South Development African Weather Services for Green House Gasses monitoring instruments and solar radiation calibration 8. Forestry Management 9.Fisheries Management (1 459) 0,22% Funding expenditure with regards to Travel and Subsistence, Households and Thefts and Losses not budgeted for due to misallocation between Programme 8 and Programme 9 since transfer of functions from DAFF 5.Biodiversity and Conservation 5.Biodiversity and Conservation (10 000) 0% Virement from Goods and Services to Departmental Agencies and Accounts for approved increased allocation to South African National Parks to fund the Kruger National Park Land Claim Facilitation Fee 7.Chemicals and Waste Management 7.Chemicals and Waste Management (44 900) 0% Virement from Goods and Services to Public Corporations to fund the Recycling Enterprise Support Programme within Programme 7 All virements were applied within the 8% limitations of the PFMA. Unauthorised, Fruitless and Wasteful Expenditure and Irregular Expenditure The AGSA audit report observed that the evaluation criteria used during the scoring of bids were considered not objective and therefore, not in line with PFMA Treasury Regulation Unauthorised expenditure paragraph 16A3.2 which states: The department did not incur any unauthorised expenditure in the 2021/22 financial year. “a supply chain management referred to in paragraph 16A3.1 must (a) be fair, equitable, transpatent, competitive and cost effective; Fruitless expenditure (b) be consistent with the Preferential Procurement Policy Framework Act, 2002”. The department has improved the control measures to identify and report fruitless and wasteful The Preferential Procurement Regulation, 2017 paragraph 5(2) and (3) further state that expenditure. New Fruitless and wasteful expenditure disclosed during the 2022/2023 financial The evaluation criteria for measuring functionality must be objective. The tender documents year amounts to R1,008 million compared to the R62,936 million disclosed in the 2021/2022 must specify- financial year. (a) evaluation criteria for measuring funcionality; Irregular expenditure (b) the points for each criteria and, if any, each sub-criterion; and (c) minimum qualifying score for functionality,” The department reported R550,623 million irregular expenditure incurred during the 2022/2023 The Supply Chain Management processes implemented by the Department to award bids were financial year compared to R912,530 million incurred during 2021/2022. The R550,623 million incurred is mainly on irregular expenditure incurred on contracts continuing into future years considered not objective as it did not clearly state, in the terms of reference, the interpretation where no condonement was approved yet. of each rating criteria and how bidders would qualify for these ratings. Ratings used by management were as follows: 0=Non-compliance; 1=Poor; 2=Fair; 3=Average; 4=Good; DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 18 5=Excellent. No objective criteria were set to indicate what level of technical competence Supply chain management would achieve a rating of 1 to 5. Inconsistencies in BEC member’s scoring clearly indicate the impact of subjectivity to the bidding process. This resulted in the Department incurring irregular The prescribed transversal system Logistical Information System (LOGIS) is utilised for the expenditure on identified tenders. provisioning of goods and services, record-keeping and reporting thereof. The department also makes use of the Central Supplier Database, which was implemented by the National Treasury. Apart from the system controls, several additional internal control measures have The Department applied the Instruction no.4 of 2022/2023 - PFMA Compliance and Reporting been implemented to detect and prevent irregular expenditure. Framework to assess, peform determination test and further requested condonation from National Treasury, The condocation request was denied and the irregular expenditure amounting R 2, 8 billion was removed by the Accounting Officer in terms of section 5.7 and List of unsolicited bid proposals concluded for the year under review 5.8 of PFMA Compliance and Reporting Framework after recomendation by independent assurance. No unsolicited bid proposals concluded for the year under review The strategic focus over the short- and medium-term period Supply chain management processes and systems in place to prevent irregular expenditure • Implementation of key management interventions to improve Department performance on annual performance plan and five year MTSF commitments. It was identified in the prior years that the department’s process and systems with regards to • Improving budget expenditure procurement had certain deficiencies which resulted in the irregular expenditure as reported • Development of corrective actions to address internal and external audit findings in order to in the financial statements. Management took steps to remedy the control weaknesses as achieve an unqualified external audit outcome, with no material findings on the performance identified. This included the following: information of the Department. • Implementation of the approved organizational structure of the Department and filling • The Department introduced a new control measure of having the bid specifications critical vacant positions. approved by the Adjudication Committee to ensure that objectivity is implemented and monitored to avoid irregular expenditure experienced in the past. Public Private Partnerships • Existing SCM processes, policies and financial delegations were reviewed and where applicable improved. Practice notes and relevant prescripts are monitored and implemented as and when they are received by the Department. The DFFE entered into a PPP agreement for the financing, design, construction, operation, and • The Expanded Public Works Programme advances payment contracting model are being maintenance of office accommodation for the Department. Construction commenced on 02 July phased out and new contracts with Private Implementing Agents for such projects are 2012 and was completed on 15 July 2014. The Independent Certifier issued the completion processed on the LOGIS system. certificate on 15 July 2014. Relocation of the Department to the campus commenced on 16 July 2014 and was completed on 31 July 2014. The head office of the Department is located • Invoices received are verified against a checklist to establish possible irregular, wasteful at Environment House with effect from 1 August 2014. During the 2022/2023 financial year a and unauthorised expenditure. total unitary payment of R179,274 million was paid as per clause 2.3 of the PPP agreement • When irregular expenditure is discovered, it is recorded and reported to the relevant compared to R169,698 million during 2021/2022. The fixed component or instalment amounts authority for formal responses as per the National Treasury practice notes. R50,353 million per year, while the indexed component presents the interest on the loan and the management and operations of the Environment House Campus that varies yearly. Challenges experiences in supply chain management and how they were resolved R128,921 million in 2022/2023 and R119,345 million in 2021/2022. • Challenge: Market research not done regularly, resulting in deviations from the normal Discontinued key activities / activities to be discontinued procurement processes, e.g., Single Source / Sole Providers / Emergency procurement. • Solution: All requests for deviations are scrutinised by the Bid Adjudication Committee During the period under review no activities were discontinued and no activities are planned to before a final approval is granted. be discontinued in the next reporting period. • Challenge: Delays in initiation of projects due to Supply Chain Management challenges. • Solution: Projects are approved in line with the Procurement Plan submissions made per New or proposed key activities Branch for proper implementation purposes. • Challenge: Project managers not submitting close out reports and the renewal of contracts on time regarding expired contracts. During the period under review there were no new or proposed activities implemented or introduced. ANNUAL REPORT 2022/23 19 • Solution: Contract Management System has been developed, to track the status of all Acknowledgements and conclusion contracts prior to expiry for the necessary action. • Challenge: Inadequate capacity in Supply Chain Management to support to meet the I wish to express my appreciation to the Minister and Deputy-Minister for their support and needs of the Department. leadership. I am grateful to all our employees of the Department for their hard work and • Solution: Approval has been granted to capacitate Supply Chain Management, recruitment ongoing commitment which enables the organisation to make significant progress and achieve process to be finalised in the new financial year. our objectives and planned targets. Gifts and donations received in kind from non-related parties I am also grateful for the support and contribution of the many partners and stakeholders in the public service and in the different sectors of our society with whom we work together. No gifts and donations received in kind from non-related parties to be disclosed. In the current economic climate, partnerships and collaborations are very critical elements in enabling all of us to share knowledge and maximise the use of resources to achieve our common objectives and long-term goals of protecting our environment, forestry and fisheries Exemptions/extension and deviations received from National Treasury sectors and preserving our natural assets and heritage. The Forestry function was transferred from the Department of Agricultural Land Reform and Rural Development (DALRRD) to the DFFE and the measurement period was determined to end by 31 March 2022. The measurement period means the period granted to the Departments to obtain relevant information about biological assets amount to be recorded in the assets register for DFFE. The Department was granted an extension of measurement period for biological assets for financial year 2022/2023 and 2023/2024. The extension was granted by National Treasury in accordance with section 79 of the PFMA and section 19.27 of Modified MS NOMFUNDO TSHABALALA Cash Standards (MCS) DIRECTOR-GENERAL Date: 31 AUGUST 2023 Events after the reporting date Veld fire at the depot: Biesiesvlei area in the North West Province: • On the 20 July 2023 a veld fire broke out at Biesiesvlei area under Ngaka Modiri Molema District Municipality in the North West Province. Due to strong winds the veld fire spread several kilometres to reach the Biesiesvlei Waste Bureau tyre depot wherein about 70% of the waste tyres were destroyed by the fire. • The officials from DFFE and the depot operator managed to remove all assets to safety before the fire can reach the deport and as such no assets were destroyed by the fire. The department is unable to estimate any financial implications directly attributed the department as the depot operator has an insurance cover in place for occurrence of fire damages. Other None. DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 20 6. STATEMENT OF RESPONSIBILITY AND CONFIRMATION OF ACCURACY FOR THE 7. STRATEGIC OVERVIEW ANNUAL REPORT 7.1 Vision To the best of my knowledge and belief, I confirm the following: A prosperous and equitable society living in harmony with our natural resources. All information and amounts disclosed throughout the Annual Report are consistent. 7.2 Mission The Annual Report is complete, accurate and is free from any omissions. Providing leadership in environmental management, conservation and protection towards The Annual Report has been prepared in accordance with the guidelines on the Annual Report sustainability for the benefit of South Africans and the global community. as issued by the National Treasury. 7.3 Departmental Values The Annual Financial Statements (Part F) have been prepared in accordance with the modifified cash standard and the relevant frameworks and guidelines issued by the National Treasury. We are driven by our Passion as custodians and ambassadors of the environment, we have to be Proactive and foster Innovative thinking and solutions to environmental management The Accounting Offificer is responsible for the preparation of the Annual Financial Statements premised on a People-centric approach that recognises the centrality of Batho-Pele, for it is and for the judgments made in this information. when we put our people first that we will serve with Integrity, an important ingredient for a high Performance-driven organisation such as ours. The Accounting Offificer is responsible for establishing and implementing a system of internal control that has been designed to provide reasonable assurance as to the integrity and 8. LEGISLATIVE AND OTHER MANDATES reliability of the performance information, the human resources information and the Annual Financial Statements. The mandate and core business of the DFFE is underpinned by the Constitution of the Republic of South Africa and all other relevant legislation and policies applicable to the government, The external auditors are engaged to express an independent opinion on the Annual Financial including the Batho Pele White Paper. In addressing the mandate for sound environmental Statements. management, the following policies, legislation and regulations have been enacted to give effect to the constitutional environmental rights of all South Africans in section 24, which provides a specific definition of the term sustainable development, namely that- In my opinion, the annual report fairly reflects the operations, the performance information, the human resources information and the financial affairs of the Department for the financial year ended 31 March 2023. Everyone has the right to an environment that is not harmful to their health or well-being; and to have the environment protected, for the benefit of present and future generations, through reasonable legislative and other measures that- Yours faithfully i. Prevent pollution and ecological degradation; ii. Promote conservation; and iii. Secure ecologically sustainable development and use of natural resources while promoting justifiable economic and social development. MS NOMFUNDO TSHABALALA DIRECTOR-GENERAL Date: 31 AUGUST 2023 ANNUAL REPORT 2022/23 21 INTEGRATED ENVIRONMENTAL MANAGEMENT BIODIVERSITY AND HERITAGE RESOURCES Policies Policies • White Paper on Environmental Management, 1998. • White Paper on Conservation and Sustainable Use of Biodiversity, 1997. • National Framework Strategy for Sustainable Development, 2009. • National Strategy for Sustainable Development 1, 2011. Acts of Parliament Acts of Parliament The World Heritage Convention Act, 1999 (Act No. 49 of 1999), which provides for the cultural and environmental protection and sustainable development of, and related activities The National Environmental Management Act (NEMA), 1998, (Act No. 107 of 1998) in a world heritage site. establishes the concepts of participatory, cooperative and developmental governance in environmental management. It establishes principles for environmental management and provides for structures to facilitate these. The National Environmental Management: Protected Areas Amendment Act, 2009 (Act 15 of 2009), which provides for the assignment of national parks, special parks and heritage sites to South African National Parks; makes provision for flight corridors and permission of the The National Environmental Management Amendment Act, 2003 (Act No. 46 of 2003) management authority to fly over a special national park, national park or heritage site; and deals with compliance and enforcement, and provides for Environmental Management provides for the winding up and dissolution of South African National Parks. Inspectors (EMIs). The National Environmental Management Amendment Act, 2004 (Act No. 8 of 2004) streamlines the process of regulating and administering the impact assessment process. Chapter 5 of the Act lays down procedures with which the Minister or Member of The National Environmental Management: Biodiversity Act, 2004 (Act No. 10 of Executive Council (MEC), as the case may be, must comply before listing or delisting an 2004), which significantly reforms South Africa’s laws regulating biodiversity. It sets out the activity. mechanisms for managing and conserving South Africa’s biodiversity and its components; protecting species and ecosystems that warrant national protection; the sustainable use The National Environment Laws Amendment Act, 2008 (Act No. 44 of 2008) amends of indigenous biological resources; the fair and equitable sharing of benefits arising from NEMA to clarify any uncertainty in the Act; authorises the Minister of Water Affairs and bioprospecting, including indigenous biological resources; and the establishment of the South Forestry to designate persons as EMIs; provides for EMIs to be regarded as peace officers, African National Biodiversity Institute. as contemplated in the Criminal Procedure Act, 1977 (Act No. 51 of 1977); and amends the National Environmental Management: Air Quality Act, 2004 (Act No. 39 of 2004) (NEM:AQA) in order to substitute Schedule 1 of that Act. National Environmental Management: Protected Areas Act, 2003 (Act No. 57 of 2003), which provides for the protection and conservation of ecologically viable areas. It further The National Environmental Management Amendment Act, 2008 (Act No. 62 of 2008) provides for the establishment of a national register of protected areas and the proclamation empowers the Minister of Mineral Resources and Energy to implement environmental matters and management of these areas. in terms of NEMA, in so far as it relates to prospecting, mining, exploration or related activities; aligns environmental requirements in the Mineral and Petroleum Resources Development Act, 2002 (Act No. 28 of 2002) (MPRDA) with NEMA by providing for the use of one environmental The National Environmental Management: Protected Areas Amendment Act, 2004 (Act system and for Environmental Management Programmes (EMPrs); and further regulates No. 31 of 2004), which provides for a national system of protected areas in South Africa as environmental authorisations. part of a strategy to manage and conserve the country’s biodiversity. A significant part of this act is that the state is appointed as the trustee of protected areas in the country. The National Environment Laws Amendment Act, 2009 (Act No. 14 of 2009) amends the Atmospheric Pollution Prevention Act, 1965 (Act No. 45 of 1965) to adjust the penalties provided for in the Act; the Environment Conservation Act, 1989 (Act No. 73 of 1989) to adjust the penalties provided for in the Act; NEM:AQA to provide for a processing fee to review a licence; and to include directors or senior managers in a juristic person for the criteria for a fit and proper person. DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 22 OCEANS AND COASTAL ENVIRONMENTAL MANAGEMENT Prince Edward Islands Act, 1948 (Act No. 43 of 1948), which provides for the confirmation of the annexation to the Union of South Africa of the Prince Edward Islands, and for the administration, government and control of the said islands. Policies CLIMATE CHANGE AND AIR QUALITY MANAGEMENT White Paper for Sustainable Coastal Development in South Africa, 2000. Policies Acts of Parliament White Paper on National Climate Change Response, 2011. The National Environmental Management: Integrated Coastal Management Act, 2008 (Act No. 24 of 2008), which establishes a system of integrated coastal and estuarine management in the Republic; ensures that development and the use of natural resources within the coastal Acts of Parliament zone is socially and economically justifiable and ecologically sustainable; determines the responsibilities of organs of state in relation to coastal areas; controls dumping at sea and NEM:AQA, reforms the law regulating air quality to protect the environment by providing pollution in the coastal zone; and gives effect to South Africa’s international obligations in reasonable measures for the prevention of pollution and ecological degradation, and for relation to coastal matters. securing ecologically sustainable development; and provides for national norms and standards regulating air quality monitoring. Sea Shores Act, 1935, (Act No. 21 of 1935), which declares the President to be the owner of the seashore and the sea within South Africa’s territorial water and regulate the granting of rights and alienation thereof. The South African Weather Service Act, 2001 (Act No. 8 of 2001) (SAWS) Act established SAWS and determined its objects, functions and method of work, and the manner in which it is to be managed. It governs and regulates its staff matters and financial affairs. Sea Birds and Seals Protection Act, 1973 (Act No. 46 of 1973), which provides for control over certain islands and rocks for the protection and conservation of seabirds and seals. CHEMICALS AND WASTE MANAGEMENT Dumping at Sea Control Act, 1980 (Act No. 73 of 1980), which regulates the control of dumping substances at sea. Policies Sea Fishery Act, 1988 (Act No. 12 of 1988), most of the powers in terms of this Act were White Paper on Integrated Pollution and Waste Management, 2000. transferred to the Minister of Agriculture, Forestry and Fisheries. The Minister only retains powers in terms of section 38 of the Act. Acts of Parliament Antartic Treaties Act, 1996 (Act No. 60 of 1996), which provides for the implementation of NEM:WA reforms the law regulating waste management in order to protect health and the certain treaties relating to Antarctica. The treaty is primarily concerned with the regulation of environment by providing reasonable measures for the prevention of pollution; provides activities in Antarctica, including territorial claims, research and strict environmental protection for national norms and standards to regulate the management of waste by all spheres of in general and the protection of certain identified species such as seals. government; and provides for the licensing and control of waste management activities. Marine Living Resources Act, 1998 (Act No. 18 of 1998), which deals with the long-term sustainable utilisation of marine living resources. Most of the powers and functions in terms of this Act were transferred to the Minister of Agriculture Forestry and Fisheries. The Minister of Water and Environmental Affairs only retained functions pertaining to the Marine Protected Areas, regulatory powers that relates to the protection of the marine environment. ANNUAL REPORT 2022/23 23 FORESTRY MANAGEMENT: ACTS OF PARLIAMENT Acts of Parliament National Forests Act, 1998 (Act No. 84 of 1998), promotes the sustainable management and development of forests for the benefit of all and creates the conditions necessary to restructure forestry in state forests in relation to protection and sustainable use. National Veld and Forest Fire Act, 1998 (Act No. 101 of 1998), makes provisions for the prevention and management of veld, forest and mountain fires throughout the Republic of South Africa. DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 24 9. ORGANISATIONAL STRUCTURE MINISTER FORESTRY, FISHERIES AND THE ENVIRONMENT Ms B Creecy (MP) DEPUTY MINISTER FORESTRY, FISHERIES AND THE ENVIRONMENT Ms M Sotyu (MP) INTERNAL AUDIT Mr W Oelofse DIRECTOR-GENERAL Ms N Tshabalala RISK AND ETHICS Ms K Gutshwa BRANCH: FINANCIAL MANAGEMENT SERVICES (CHIEF FINANCIAL OFFICER) Ms A Oyama Jass BRANCH: BRANCH: BRANCH: BRANCH: BRANCH: BRANCH: BRANCH: BRANCH: BRANCH: REGULATORY OCEANS CLIMATE CHANGE, CORPORATE BIODIVERSITY CHEMICAL AND FORESTRY FISHERIES COMPLIANCE AND SECTOR AND AIR QUALITY AND ENVIRONMENTAL MANAGEMENT MONITORING AND WASTE MANAGEMENT MANAGEMENT SERVICES COASTS SUSTAINABLE DEVELOPMENT CONSERVATION PROGRAMMES DEPUTY DIRECTOR-GENERAL: MANAGEMENT DEPUTY DIRECTOR-GENERAL: DEPUTY DIRECTOR-GENERAL: DEPUTY DIRECTOR-GENERAL: DEPUTY DIRECTOR-GENERAL: DEPUTY DIRECTOR-GENERAL: DEPUTY DIRECTOR-GENERAL: Ms V Bendeman DEPUTY DIRECTOR-GENERAL: DEPUTY DIRECTOR-GENERAL: Ms P Nodada Ms S Middleton Ms M Mashala Dr L Fikizolo Mr M Kekana Ms F Mokgohloa Dr N Mkhize Ms M Musekene ANNUAL REPORT 2022/23 25 10. PUBLIC ENTITIES REPORTING TO THE MINISTER FINANCIAL NAME OF ENTITY LOGOS LEGISLATIVE MANDATE NATURE OF OPERATIONS RELATIONSHIP South African SANBI was established in terms Transfer payment The mandate of SANBI is to play a leading role in South Africa’s national commitment to National of the National Environmental biodiversity management. In partnership with the DFFE and the biodiversity sector, SANBI Biodiversity Institute Management: Biodiversity Act, is tasked to lead the biodiversity research agenda; provide knowledge and information; (SANBI) 2004 (Act No. 10 of 2004) give policy support and advice; manage gardens as windows to our biodiversity for leisure, enjoyment, spiritual upliftment and education; and engage in ecosystem restoration and rehabilitation programmes and best-practice models to manage biodiversity better iSimangaliso iSimangaliso Wetland Park (“Park”) Transfer payment The iSimangaliso Wetland Park Authority in recognition of its exceptional natural beauty Wetland Park was inscribed as South Africa’s first and unique global values, is responsible for managing the affairs of the isiMangaliso Authority world heritage site in December Wetland Park. The 332 000 ha park contains three major lake systems, eight interlinking 1999 as an area of exceptional ecosystems, 700-year-old fishing traditions, most of South Africa’s remaining swamp and outstanding universal heritage forests, Africa’s largest estuarine system, 526 bird species and 25 000 year-old coastal significance dunes – among the highest in the world. iSimangaliso also contains four wetlands of international importance under the Ramsar Convention South African SAWS was established in terms of Transfer payment The mandate of SAWS is to provide useful and innovative weather, climate and related Weather Service the South African Weather Service products and services for all South Africans and the African continent through the (SAWS) Act, 2001 (Act No. 8 of 2001) following, namely enhancing observational data and communications networks; effectively developing and managing talent in the sector; enhancing collaborative partnerships and effectively disseminating weather services products to users; utilising cutting edge technology to convert data into meaningful products and services for risk mitigation; advancing the science of meteorology, research and relevant applications; and enhancing fiscal discipline and resource mobilisation to ensure sustainability South African SANParks was established Transfer payment The mandate of SANParks is to oversee the conservation of South Africa’s biodiversity, National Parks in terms of the National landscapes and associated heritage assets through a system of national parks. The core (SANParks) Environmental Management: areas that provide a fundamental basis of the mandate of SANParks are conservation Protected Areas Act, 2003 (Act No. management through the national parks system, constituency building and people 57 of 2003) focused eco-tourism management Marine Living Marine Living Resources Fund was Grant funding The mandate and core business of the fund is to manage the development and Resources Fund established in terms of the Marine sustainable use of South Africa’s marine and coastal resources, as well as protecting the None (MLRF) Living Resources Act of 1998 (Act integrity and quality of the country’s marine and coastal ecosystem No. 18 of 1998). DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 26 PART B PERFORMANCE INFORMATION ANNUAL REPORT 2022/23 27 1. AUDITOR-GENERAL’S REPORT ON PREDETERMINED OBJECTIVES The Auditor-General of South Africa (AGSA) currently performs certain audit procedures on the performance information to provide reasonable assurance in the form of an audit conclusion. The audit conclusion on the performance against predetermined objectives is included in the report to management, with material findings being reported under the Predetermined Objectives heading in the Report on other legal and regulatory requirements section of the auditor’s report. Refer to page 188 to 196 of the Report of the Auditor-General, published as Part F: Financial Information. 2. OVERVIEW OF DEPARTMENTAL PERFORMANCE 2.1 Service Delivery Environment The department managed to prioritise certain services that ensures the Batho Pele principles are adhered to, such as processing and paying legitimate invoices from suppliers within 30 working days, responding to Presidential Hotline queries within 3 working days, attending to complaints and incidents within 20 working days, processing of national environmental impact management applications within gazetted Strategic Environmental Assessment Corridors: 57 and 107 working days. The department processed applications related to operations on oceans and coasts, air quality, operations on CITES, TOPS permits and waste licences within time frame. The main constraint to providing services in an efficient and effective is due to the lack of adequate human resources. To address this, the department is exploring alternative ways of ensuring that services that relate to public are prioritised despite the limited capacity. As part of mitigating the current capacity challenge, the department will conduct a work study. Government’s fiscal position has also put a strain as the provision of services require financial resources. 2.2 Service Delivery Improvement Plan As required in accordance with Part III.C.1-2 of the Public Service Regulations, the DFFE has an approved Service Delivery Improvement Plan in place. Compliance with the approved service standards is monitored internally on a quarterly basis and reported to Parliament and the general public in the annual report of the DFFE. DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 28 Main Services and Standards MAIN SERVICES BENEFICIARIES CURRENT/ACTUAL DESIRED STANDARD ACTUAL ACHIEVEMENT STANDARD OF SERVICE OF SERVICE PROGRAMME 1: ADMINISTRATION Legitimate invoices from suppliers paid within 30 Members of the public 97% legitimate invoices from suppliers paid 100% 99,7% (34 729/34 832) of legitimate invoices from working days with 30 days suppliers paid within 30 working days Presidential Hotline queries responded to within 3 Querier 100% queries received, and all responded to 90% 93% (14/15) Presidential Hotline queries responded working days on time to within 3 working days PROGRAMME 2: REGULATORY COMPLIANCE AND SECTOR MONITORING Complaints and incidents responded to through a Members of the public 96% DFFE environmental complaints and 95% 98% (185/189) complaints and incidents responded compliance and/or enforcement action within 20 incidents responded to within 20 working days to through a compliance and/or enforcement action working days set in the referral protocol within 20 working days Environmental impact management applications Applicants 99% environmental impact management 100% No environmental impact management applications for priority projects finalised within 45 working days applications for priority projects finalised within for priority projects received during the period under (Strategic Integrated Projects, Invest South Africa, 45 working days review Green Economy and post Covid recovery initiatives) National environmental impact management • Developers 99% Environmental Impact Assessment (EIA) 100% 99% (229/231) national environmental impact applications finalised within the set time • Environmental applications finalised within time frames management applications finalised within gazetted frames (applications within gazetted Strategic assessment practitioners SEA Corridors: 57 working days; other applications Environmental Assessment (SEA) Corridors: 57 • Industry within 107 working days working days; other applications within 107 working • Interested and affected days) parties PROGRAMME 3: OCEANS AND COASTS Applications for marine research permits finalised Industry/Government Entities 100% marine research permits issued within 100% 100% (55/55) applications for marine research within 90 working days 90 working days permits finalised within 90 working days Applications for off-road vehicle permits finalised Researchers working on 100% off-road vehicle permits issued 90 100% 98% (64/65) off-road vehicle permits finalised within within 90 working days protected species and within working days 90 working days Marine Protected Areas (MPAs) Applications for dumping permits finalised within 90 Applicants 100% dumping permits issued within 90 100% 89% (8/9) dumping permits finalised within 90 working days working days working days Applications for permits for activities within MPAs Applicants 92% permits issued within 30 working days 95% 99% (162/164) applications for permits for activities finalised within 30 working days within MPAs finalised within 30 working days PROGRAMME 4: CLIMATE CHANGE, AIR QUALITY AND SUSTAINABLE DEVELOPMENT Atmospheric Emission Licenses applications issued Applicants 100% Atmospheric Emission Licenses with 100% 100% (12/12) Atmospheric Emission Licenses within 60 working days complete applications processed and issued applications issued within 60 working days within 60 working days ANNUAL REPORT 2022/23 29 MAIN SERVICES BENEFICIARIES CURRENT/ACTUAL DESIRED STANDARD ACTUAL ACHIEVEMENT STANDARD OF SERVICE OF SERVICE PROGRAMME 5: BIODIVERSITY AND CONSERVATION Applications for Convention on International Trade • Traders 100% received CITES applications assessed 100% 100% (29/29) applications for CITES permits in Endangered Species of Wild Fauna and Flora • Exporters or importers of and decision issued within 25 working days assessed and decision issued within 25 working (CITES) permits assessed and decision issued CITES listed species days within 25 working days • Scientific Institutions • Government departments and parastatals Applications for Threatened or protected species • Traders 100% received TOPS applications assessed 100% 100% (56/56) applications for TOPS permits (TOPS) permits assessed and decision issued • Exporters or importers of and decision issued within 25 working days assessed and decision issued within 25 working within 25 working days TOPS listed species days • Scientific Institutions • Government Departments and Parastatals PROGRAMME 7: CHEMICALS AND WASTE MANAGEMENT Waste licence applications finalised within 107 Applicants 93% waste management licences were issued 95% 100% (21/21) waste licence applications finalised working days within 107 working days within 107 working days Remediation orders finalised within 90 working days Applicants 100% remediation orders issued within 90 95% 100% (11/11) remediation orders finalised within 90 working days working days PROGRAMME 8: FORESTRY MANAGEMENT Licenses applications (in terms of section 7, 15 and Applicants 94% licenses (in terms of section 7, 15 and 23 100% 1 179 license applications (in terms of section 7, 15 23 of the National Forest Act (NFA) processed within of the NFA) issued within 90 working days and 23 of the NFA) issued 90 working days Batho Pele arrangements with beneficiaries CURRENT/ACTUAL ARRANGEMENTS DESIRED ARRANGEMENTS ACTUAL ACHIEVEMENTS Regular stakeholder consultation events on work of DFFE Maintain current arrangements 19 events facilitated Media relations programme 114 media statements and speeches issued Facilitation of public education and awareness campaigns 4 public education and awareness campaigns implemented DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 30 Service delivery information tool CURRENT/ACTUAL DESIRED INFORMATION TOOLS ACTUAL ACHIEVEMENTS INFORMATION TOOLS DFFE website (www.environment.gov.za) Maintain use of current tools • 114 media statements and speeches issued • 7 opinion pieces issued DFFE Call Centre (086 111 2468) • 19 events facilitated including Ministerial events • 5 stakeholder publications produced and published Information Centre (walk-in centre) (Environment Quarterly) • 90% media queries finalised. 440 media queries Use of regional and national media received, of which 397 completed while 43 incomplete (print media, radio and television) • Total number of visitors to the Information Centre was 82 762 Capacity to respond to media queries Complaints mechanism CURRENT/ACTUAL DESIRED COMPLAINTS ACTUAL ACHIEVEMENTS ARRANGEMENT MECHANISM ARRANGEMENTS Regular stakeholder consultation Maintain current • 19 events facilitated including Ministerial events events on work of DFFE mechanisms • Public education and awareness campaigns implemented • 93% (14/15) Presidential Hotline queries resolved as per service delivery standards Facilitation of regular • Total number of visitors to Information Centre was 82 762 environmental campaigns • 99.1% of matters received and responded to through the Call Centre resolved within set service standard of 48 hours • 1 637 requests received in the Call Centre which consists of 158 calls, 1 249 emails, 196 Facebook and 34 twitter queries 2.3 Organisational Environment The department continues to fulfil its mandate through the recruitment, placement, retention and development of its employees. This is achieved through the human resource strategy and affirmative action programme. As such, the departmental staff comprises 47% of women in Senior Management Service (SMS) and 1,8% of people with disabilities. In addition, there are young unemployed graduates recruited in the internship programme of the DFFE for 24 months. These are important annual interventions aimed at sustaining the talent base. The prevailing economic challenges and the resulting fiscal constraints that government continues to experience has an ongoing impact on the funding of departmental operations. These challenges require the department to be more efficient and find innovative ways to deliver on its constitutional mandate and approved plans. The impact of these economic challenges has resulted in National Treasury significantly reducing the personnel budget allocation over the past years and with no increase expected in coming years. The department is prioritising critical human resources capacity required for the execution of its core mandate and ensuring that the department operates with the required capacity for support and general administrative functions. The department is also working on building and strengthening partnerships with different sectors of society and key stakeholders, including international donor organisations. These collaborations and partnerships are aimed at ensuring other funding sources are explored and optimised. ANNUAL REPORT 2022/23 31 2.4 Key Policy Development And Legislative Changes NO. POLICY AND LEGISLATIVE DEVELOPMENTS 1. The National Environmental Management (NEM) Laws Amendment Act, 2022 (Act No. 2 of 2022) was finalised during the 2022/2023 period. This Amendment Act amends various environmental legislation including the National Environmental Management Act, 1998 and a number of specific environmental management Acts such as the NEM: Waste Act, the NEM: Air Quality Act and the NEM: Biodiversity Act. The Proclamation bringing the bulk of the provisions of this Amendment Act into effect has been routed for approval and should be finalised within the next few months 2. The National Forests Amendment Act, 2022 (Act No. 1 of 2022) was finalised during the 2022/23 period. Amendment Regulations to implement the Amendment Act were gazetted for public comments in March 2023 and are being processed for tabling in Parliament. A proclamation to bring the provisions of the Amendment Act will be prepared after Parliament approves the Amendment Regulations 3. The Climate Change Bill was introduced for tabling in Parliament in February 2022. The Portfolio Committee is currently conducting public hearings on the Bill in the Provinces. The public hearings are scheduled to be concluded by the end of June 2023. The Portfolio Committee will thereafter refer the Bill to the National Council of Provinces (NCOP) for further processing 4. The National Veld and Forests Fires Amendment Bill was passed by the National Assembly in February 2023 and referred to the NCOP for concurrence. On 14 March 2023 the Department briefed the NCOP Select Committee on the provisions of the Bill. Following this briefing, the NCOP Select Committee is currently processing the Bill through the Provincial Legislatures 5. The White Paper for Conservation and Sustainable Use of South Africa’s Biodiversity was taken through the public consultation processes in 2022 and approved by Cabinet for implementation in March 2023. The Department is developing an Implementation Plan in consultation with industry stakeholders 6. The Draft section 29 Industry Waste Management Plan for Tyres (Waste Tyre Plan) was finalised by the Centre for Scientific and Industrial Research (CSIR) and submitted to Minister for consultation and gazetting for implementation. The Department has finalised consultations on the Waste Tyre Plan and is processing it for publication for implementation 7. National Environmental Management: Waste Act, 2008 (Act No.59 of 2008) NEMWA: Extended Producer Responsibility Schemes for the Portable Batteries Sector, Lubricant Oil Sector and Pesticides Sector were finalised and published in the Gazette for implementation in March 2023 8. On 27 July 2022, the Minister adopted the Standard for the development and expansion of power lines and substations within identified geographical areas and excluded this infrastructure from the requirement to obtain environmental authorisation, subject to certain conditions. This was done to ensure developments and expansions covered by this Notice could move ahead faster, while retaining necessary environmental controls in place 9. The Minister also extended the period of appointment of the Environmental Assessment Practitioners Association of South Africa (EAPASA) on 6 February 2023. This extension is for an additional period of 12 months and EAPASA is appointed as a single registration authority for environmental assessment practitioners (EAPs) 10. General Discharge Authorisation - published on 15 June 2022 A first of its kind in the environmental management sphere - Section 69(2) of the National Environmental Management: Integrated Coastal Management Act, 2008 (Act No. 24 of 2008) (“ICM Act”) empowers the Minister to issue a GDA that would authorise persons in general, or a category of persons, to discharge effluent into coastal waters If there is no GDA in place, anyone who wishes to discharge effluent into coastal waters must apply to the Minister for an individual Coastal Waters Discharge Permit (“CWDP”) The primary purpose and significance of the GDA is to assist small businesses by allowing for low impact and low risk discharges to be discharged without undertaking an application for a CWDP, which involves a comprehensive application process The GDA therefore enables a coastal authorisation regime which does not impose a large administrative burden on the Department or operators (with the Department largely only undertaking compliance monitoring) 11. Draft Marine Sector Plans - published on 10 March 2023 for public comment. Published in terms of sections 7(1)(c) and 8 of the Marine Spatial Planning Act, 2018 (Act No. 16 of 2018) - draft MSP Sector Plans were prepared by numerous sector national government departments to support the development of the eventual Marine Area Plans as part of the Marine Spatial Planning process Marine Sector Plans specify the overall developmental objectives and priorities of each sector from a national point of view and the extent of its spatial presence and interests. They specify and outline the spatial claims and interests of each sector in the South African marine environment DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 32 3. ACHIEVEMENT OF INSTITUTIONAL IMPACTS AND OUTCOMES The impact which the Department seeks to achieve through the implementation of the 2019-24 Strategic Plan is to work towards the realisation of “A prosperous and equitable society living in harmony with our natural resources”. Achieving the planned annual outputs on a constant basis across all the nine programmes is a critical success factor as it assists the Department to be on track in pursuing the 5-year outcomes. Achieving the planned 5-year outcomes is a critical measure for the realisation of a desired long-term impact. There is satisfactory progress towards a number of the planned outcomes for the five-year term on a number of planned outcomes including the following: A just transition to a low carbon economy and climate resilient society; Ecosystems conserved, managed and sustainably used; More decent jobs were created and sustained, with youth, women and persons with disabilities prioritised; Threats on environmental quality and human health mitigated; Effective and enabling Regulatory Framework for the Management and Development of Marine and Freshwater Living Resources (Oceans, Coasts, Rivers, And Dams). A number of key planned annual outputs on climate change, biodiversity and conservation, fisheries management and employment creation related outcomes are on track. There are however a number of other planned 5-year outcomes on which progress achieved to date is of concern. The planned annual outputs related to these outcomes since 2019 have experienced significant delays on a consistent basis. The ongoing non-achievement of planned annual outputs is of concern as systematic delays puts the achievement of the 5-year outcomes at greater risk. The delayed outcome includes the following: Ecosystems rehabilitated and managed; Sustainable production of state forests; A Transformed Forestry Sector. The department has identified the factors causing performance delays and is in the process of developing performance improvement plans which will be implemented and monitored on a regular basis. Progress against the 5-year targets in the Strategic Plan is provided below. ANNUAL REPORT 2022/23 33 PROGRAMME 1: ADMINISTRATION OUTCOME OUTCOME INDICATOR 5-YEAR TARGET PROGRESS TO DATE TOWARDS ACHIEVEMENT OF THE 5-YEAR TARGET Good governance, compliance with External audit opinion obtained Unqualified external audit opinion Qualified external audit opinion for 2021/22 legislative requirements and effective without any matter financial management Percentage expenditure of the 98% 98% (R8 829 002/R8 994 839) expenditure of the Departmental budget Department budget Improved contribution of the Percentage of procurement 90% of overall expenditure from 45% (R484 398 687/R1 066 355 460) of overall expenditure from BBBEE compliant department to socio-economic expenditure on Broad Based Black BBBEE compliant companies companies (B-BBEE Levels 1- 8) transformation and empowerment Economic Empowerment (BBBEE), of previously disadvantaged black and women-owned enterprises 75% of expenditure from 13% (R142 064 464/R1 066 355 460) of expenditure from companies that are at least community companies that are at least 51% owned by women 51% owned by blacks and 50% women An adequately capacitated and a Percentage vacancy rate 5% 8% transformed workforce which is Percentage compliance with the 50% women in SMS 47% (86/184) women in SMS representative of South Africa’s race Employment Equity targets and gender demographics 2% people with disabilities 1.8% (61/3 327) people with disabilities Effective information communication Information Communication and Coordinated and Integrated Permitting 2 Permit Modules (TOPS & CITES) operational: and technology systems which are Technology Systems developed System (CIPS) Modules operational supportive of the organizations’ core and implemented and maintained (10 permits) • 1 Permit Module (Bioprospecting, Access and Benefit Sharing (BABS)) business and mandate under development • 1 Permit Module’s (EIA) Testing in progress Improved levels of environmental Number of events including Ministerial 59 community events hosted 39 community events hosted management education and Public Participation Programme (PPP) awareness within communities which hosted drives positive behavioural change Number of public education and 4 public education awareness 4 public education awareness campaigns implemented: awareness campaigns implemented campaigns implemented: • Climate change and biodiversity conservation • Climate change and • Environmental protection and waste biodiversity conservation • management • Environmental protection and waste management • Fishing rights allocation process (FRAP 2021) • Fishing rights allocation • Ocean Phakisa, marine protection and sustainability process (FRAP) 2021 • Oceans Phakisa, marine protection and sustainability Number of schools in which 7 500 schools 0 schools environmental education and awareness programmes conducted Number of stakeholder engagements 66 stakeholder engagements 32 stakeholder engagements convened convened convened DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 34 OUTCOME OUTCOME INDICATOR 5-YEAR TARGET PROGRESS TO DATE TOWARDS ACHIEVEMENT OF THE 5-YEAR TARGET Improved human resources capacity Number of beneficiaries provided with 3 894 beneficiaries provided with Beneficiaries provided with skills development opportunities: of the sector skills development and training on skills development opportunities: environmental management • 587 graduates recruited the department Internship programme • 424 graduates recruited on • 393 bursaries issued the department Internship programme • 775 students placed in Work Integrated Learning Programme • 470 bursaries issued • 0 teachers trained in CAPS • 1 000 students placed in Work programme Integrated Learning Programme • 2 000 teachers trained in Curriculum and Assessment Policy Statement (CAPS) programme Number of officials trained in 2 790 3 655 environmental compliance and enforcement ANNUAL REPORT 2022/23 35 PROGRAMME 2: REGULATORY COMPLIANCE AND SECTOR MONITORING OUTCOME OUTCOME INDICATOR 5-YEAR TARGET PROGRESS TO DATE TOWARDS ACHIEVEMENT OF THE 5-YEAR TARGET Improved compliance with Number of environmental 775 565 environmental legislation and authorisations inspected for environmental threats mitigated compliance Number of Environmental 125 Environmental Performance 73 Environmental Performance Assessments conducted Performance Assessments conducted Assessments conducted in waste facilities Number of criminal cases finalised 214 205 and dockets handed over to the National Prosecuting Authority (NPA) for prosecution Number of administrative enforcement 1 100 1033 notices issued for non-compliance with environmental legislation Integrated compliance and Revised integrated compliance National Environmental Compliance and Enforcement Strategy (NECES) and enforcement strategy reviewed and and enforcement strategy and implementation plan developed but not finalised approved implementation plan approved (inclusive of terrestrial and ocean protection) Approved integrated compliance and Contract with service provider had to be cancelled and tender re-advertised. Despite re- enforcement strategy implemented advertising the tender no proposals were submitted to undertake this work (as per plan) Increase in rhino population Reduction in poaching incidence and Not achieved and the work is not performed anymore numbers as a result of reduction of increase in rhino population poaching incidents through effective implementation of Integrated Rhino Management Strategy Aligned environmental management Number of National Environmental 1 Environmental Financial provisioning regulations not published for implementation. Comments and regulatory frameworks, systems, tools Management Act (NEMA) legislative Management tool Response Report document has been prepared and initial amendments made and instruments tools developed and approved developed: The issues raised through the consultation process are of a substantial nature and this necessitated the re-gazette of the regulations for public comments Financial Provisioning Regulations for the mining sector finalised and implemented DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 36 OUTCOME OUTCOME INDICATOR 5-YEAR TARGET PROGRESS TO DATE TOWARDS ACHIEVEMENT OF THE 5-YEAR TARGET Aligned environmental management Number of interventions for 2 interventions: Minimum requirements for the submission of EIAs for shale gas installations not gazetted regulatory frameworks, systems, tools streamlining environmental for public comments due to delayed consultations by stakeholders and instruments authorisation/management developed Minimum requirements for the submission of EIAs for Shale Gas installations gazetted for implementation Generic Environmental Management Generic EMPrs for Working for Programmes gazetted for implementation in 2020/21 Programmes (EMPrs) for the exclusion of activities related to the “working for programmes” Number of Strategic Environmental 2 Strategic Environment Amended Electricity Grid Infrastructure (EGI) standard gazetted for public comments in Assessments developed Assessments (SEA) developed: April 2022 and for Implementation in July 2022 SEA to locate strategic gas and electricity corridors finalised and implemented SEA to identify Renewable Energy Renewable energy development zones in previously mined areas gazetted for Development Zones for solar energy implementation in 2020/21 developments in previously mined areas finalised and implemented ANNUAL REPORT 2022/23 37 PROGRAMME 3: OCEANS AND COASTS OUTCOME OUTCOME INDICATOR 5-YEAR TARGET PROGRESS TO DATE TOWARDS ACHIEVEMENT OF THE 5-YEAR TARGET Growing ocean economy in the Number of jobs created through 3 950 0 jobs created through implementation of Ocean Economy Operation Phakisa programme context of sustainable development implementation of Ocean Economy Operation Phakisa programme Threats to environmental integrity Improved water with reduction of Improved water quality with reduced Water Quality programme implemented, and report compiled for 30 priority areas in 4 managed and ecosystem conserved contaminants from heavy industry, the contaminates from baseline levels coastal provinces agriculture sector and maritime transport Marine spatial planning (MSP) and 1st MSP sub-regional plan approved Following 10 Marine Sector Plans submitted to the DG for approval: governance system developed and implemented • Draft Marine Biodiversity Sector Plan • Draft Coastal and Marine Tourism Sector Plan • Draft Marine Transport and Ports Sector Plan • Draft Maritime and Underwater Cultural Heritage Sector Plan • Draft Marine Defence (Navy) Sector Plan • Draft Marine Science and Innovation Sector Plan • Draft Aquaculture Sector Plan • Draft Oil and Gas Sector Plan • Draft Underwater Infrastructure Sector Plan • Draft Wild Fisheries DG approved 10 Marine Sector Plans and were subsequently gazetted by the Minister for public comments in March 2023 Number of Management Plans for 8 MPA Draft Management Plans Port Elizabeth Corals and Agulhas Front MPAs Draft Management Plans finalised and declared Marine Protected Areas developed submission enroute to Minister for approval for public comments developed and implemented Number of Biodiversity Management Two Biodiversity Management Draft Shark Biodiversity Management Plan submitted to Minister for approval for public Plans developed Plans published for implementation: comments in March 2023 Sharks species Draft Plan approved by Minister in March 2023 for gazetting for public comments African Penguins Draft African Penguin Biodiversity Management Plan developed and undergoing consultation Improved ecological health status of 4 national estuaries assessed and Estuarine Management Annual Action Plans for following 4 estuaries monitored and report degraded estuaries showing improved management of compiled in March 2023: ecological health risks • Buffalo Estuary • Durban Bay • Richards Bay • Orange River DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 38 OUTCOME OUTCOME INDICATOR 5-YEAR TARGET PROGRESS TO DATE TOWARDS ACHIEVEMENT OF THE 5-YEAR TARGET Antarctic Strategy developed and Antarctic Strategy implemented to Antarctic Strategy outreach programme approved in March 2023 implemented achieve the following: • Strengthened institutional coordination • Expanded research scope • Geographical advantage optimised • Improved public awareness • Enhanced international relations Strengthened knowledge, science and Percentage increase of the Exclusive Final research report on possible Draft research report on additional 5% of ocean and coastal protection, including policy interface Economic Zone (EEZ) under additional 5% of oceans and coastal guidelines on expansion approved in March 2023 marine protected areas area protection compiled Number of peer-reviewed scientific 92 peer-reviewed scientific 78 peer-reviewed scientific publications published publications (including theses and publications published research policy reports) Number of relief and science voyages 3 relief voyages to SANAE, Gough 3 relief and science voyages to remote stations undertaken to Marion Islands (May 2022), to remote stations undertaken to and Marion Islands were undertaken Gough (September 2022) and SANAE (February 2023) South African National Antarctic (per annum) Expedition (SANAE), Gough and Marion Islands Annual report card on key essential 5 South African Ocean and Coasts 4 South African Ocean and Coasts Environment Data reports published ocean and coasts variables published Environment Data reports published ANNUAL REPORT 2022/23 39 PROGRAMME 4: CLIMATE CHANGE, AIR QUALITY AND SUSTAINABLE DEVELOPMENT OUTCOME OUTCOME INDICATOR 5-YEAR TARGET PROGRESS TO DATE TOWARDS ACHIEVEMENT OF THE 5-YEAR TARGET A just transition to a low carbon Climate change mitigation Climate change interventions Report on GHG emission reductions compiled. (For 2017, the country has a Peak, economy and climate resilient society interventions undertaken to facilitate implemented to achieve GHG Plateaue and Decline target of 568 Mt. The updated GHG inventory indicates that GHG the implementation of South Africa’s emission reduction and maintained emissions stand at an estimated 512 Mt which is below the 2017 target by 56 Mt and Low Emission Development Strategy kept within the 398 and 614 Mt CO2- within the 398-614 Mt PPD emissions target range) and reduce Greenhouse gas (GHG) eq Peak, Plateau and Decline (PPD) emissions range: Carbon Budget allocation methodology piloted with industry sectors that are voluntarily participating in carbon budget regime in October 2022 and these are as follows: • Carbon Budgets (CBs) allocation methodology approved by Electricity production; crude oil production and/refining; petroleum refining; CTL/GTL; iron Cabinet and implemented and steel production; ferroalloys production; primary aluminium production; chemicals production (ammonia, nitric acid and carbon black); pulp and paper production; hydrogen production (fossil-based); cement production; glass production and food, and beverage production (FMCG) – sugar • Framework for development and Proposed 5 Environmental SETs allocations presented to MINMEC and approved on 25 allocation of Sectoral Emission November 2022 Targets (SETs) for Environment Sector developed and under implementation • Framework for development Proposed SETs Allocations submitted to key socio-economic sector departments (Energy, and allocation of SETs for other Mineral Resource, Transport, Agriculture, Trade and Industry, Human Settlement) through sectors developed (Energy, engagements held in February and March 2023 Transport, Industry, Human Settlement) Percentage of municipalities with 50% of municipalities with capacity No progress capacity to fund and implement to fund and implement climate climate change adaptation change adaptation programmes and programmes and measures measures Threats to environmental quality and National Air Quality Indicator NAQI: Equals to or less than 1 NAQI is 1.14 human health mitigated Air Quality Management Plans Priority Area Working Group No progress (AQMPs) for priority areas developed established (relevant DGs and and implemented Business Executives) Number of air quality monitoring 80 monitoring stations reporting to 4-priority area ambient air quality monitoring stations reporting to SAAQIS and meeting stations reporting to South African Air the SAAQIS meeting data recovery data recovery standard of 75% Quality Information System (SAAQIS) standard of 75% meeting minimum data recovery standard of 75% Strengthened knowledge, science and Sector monitoring and evaluation State of Environment Impact 2021 state of environment information policy interface studies and reports/publications Assessment report published approved published International cooperation supportive of Financial value of resources US$ 250 million US$1 549 870 350 raised South Africa (SA) Environmental raised from international donors to / sustainable development priorities support SA and African environment programmes DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 40 OUTCOME OUTCOME INDICATOR 5-YEAR TARGET PROGRESS TO DATE TOWARDS ACHIEVEMENT OF THE 5-YEAR TARGET An adequately capacitated local Number of local government support 2 Local Government Support IDP analysis report and summary of recommendations consolidated and submitted to sphere of government which is able to interventions implemented in line with Interventions implemented in 44 relevant municipalities effectively execute the District Delivery Model district municipalities: its environmental management function Environmental priorities incorporated in Integrated Development Plans (IDPs) of 44 district municipalities 1 250 (Councilors and Municipal 1 003 (Councilors and Municipal officials) trained officials) trained ANNUAL REPORT 2022/23 41 PROGRAMME 5: BIODIVERSITY AND CONSERVATION OUTCOME OUTCOME INDICATOR 5-YEAR TARGET PROGRESS TO DATE TOWARDS ACHIEVEMENT OF THE 5-YEAR TARGET Ecosystems conserved, managed and Percentage of land under 17.7 (21 652 699/ 121,991,200 ha) in 39 208 263.59 ha under conservation sustainably used conservation total under conservation Number of new national parks 2 new national parks declared 1 Meerkat National Park declared in March 2020 declared Another National Park to be identified in the Eastern Cape. Intention to declare the area not yet published Percentage of area of state managed 87% (6 364 346 / 7 296 641 ha of Draft Status report on implementation of improvement plan was developed for the South protected areas assessed with a area of state-managed protected African National Parks in March 2023 Management Effectiveness Tracking areas assessed with a METT score Tool (METT) score above 67% above 67% Institutional review of the management Recommended rationalisation Not achieved and the work is not performed anymore of protected areas finalised and options implemented (as per the implemented annual plan) Number of interventions to ensure 3 interventions: 3 interventions: the conservation of strategic water sources and wetlands developed and National Wetlands Management National Wetlands Management Framework finalised implemented Policy developed 5 wetlands of international significance 3 Ramsar sites designated (Ramsar sites) designated 11 of 22 strategic water source areas Stakeholder consultations for securing 5 strategic water sources conducted in April, July secured and August 2022 Biodiversity conservation resource Biodiversity conservation resource Not achieved and the work is not performed anymore mobilisation framework developed and mobilisation and revenue generation implemented institutionalised (Sustainable funding for biodiversity conservation sector in place) Biodiversity threats mitigated Number of regulatory tools to ensure 3 tools: 3 tools: conservation and sustainable use of biodiversity developed and National Environmental Management The draft NEMBA Bill had to be put in abeyance in order to allow for the incorporation of implemented Biodiversity Act (NEMBA) Bill the High-Level Panel recommendations promulgated Draft White Paper on Conservation White Paper on Conservation and Sustainable Use of Biological Diversity submitted and and Sustainable Use submitted to approved by Cabinet in March 2023 Parliament National Biodiversity Framework Revised NBF submitted to Cabinet for approval in March 2022 (NBF) approved and implemented DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 42 OUTCOME OUTCOME INDICATOR 5-YEAR TARGET PROGRESS TO DATE TOWARDS ACHIEVEMENT OF THE 5-YEAR TARGET Biodiversity threats mitigated Number of regulatory tools to ensure 8 National Action Plan (NAP) priorities National assessment report on the linkages between migration and DLDD approved by conservation and sustainable use implemented: Ministers and members of Executive Council (MINMEC) in March 2023 of biodiversity developed and implemented • Desertification, Land Degradation and Drought (DLDD) advocacy and awareness-raising strategy • DLDD land productivity research conducted • National Drought Plan • Global Environment Facility (GEF) 7 Programming United Nations Convention to Combat Desertification (UNCCD) National report prepared NAP Funding strategy Land Degradation Neutrality (LDN) Transformative projects and proposal National assessment report on migration and DLDD Number of Biodiversity Management 8 BMPs approved 8 BPMs approved Plans (BMPs) for species developed High-Level Panel (HLP) HLP prioritised recommendations Implementation plan of HLP approved. 2021/22 Annual actions implemented recommendations and interventions implemented on biodiversity conservation implemented Improved access, fair and equitable Increased capacity and participation of 4 biodiversity economy initiatives 4 biodiversity economy initiatives implemented: sharing of benefits Previously Disadvantaged Individuals implemented: (PDI’s) and communities in the Monitoring reports on cultivation of 2 500 hectares of land for indigenous species Biodiversity Economy Programme 2 500 hectares of land for indigenous compiled species cultivated 2 000 biodiversity beneficiaries trained 1 230 biodiversity entrepreneurs trained 20 000 heads of game to PDI’s and No heads of game to PDI’s and communities donated communities donated Interventions for 15 Biodiversity Interventions for 15 Biodiversity Economy Nodes implemented: Economy Nodes implemented: • Champions for 9 Nodes appointed (Kruger; Zoar and Augrabies nodes) • Champions for Nodes appointed • Socio-economy impact studies for 3 Nodes conducted • Socio-economy impact studies • Operational Plans for 3 Nodes developed for Nodes conducted • Operational plans for Nodes implemented Number of jobs created in the sector 4 000 2 419 through implementation of biodiversity economy initiative (non-EPWP) Number of benefit-sharing agreements 23 benefit-sharing agreements 19 benefit-sharing agreements approved approved ANNUAL REPORT 2022/23 43 PROGRAMME 6: ENVIRONMENTAL PROGRAMMES OUTCOME OUTCOME INDICATOR 5-YEAR TARGET PROGRESS TO DATE TOWARDS ACHIEVEMENT OF THE 5-YEAR TARGET More decent jobs were created and Number of Full-Time Equivalents Total: 140 454 88 529 FTEs sustained, with youth, women and (FTEs) created persons with disabilities prioritised EP: 32 601 (139 120) EP: 88 291 Fisheries: 1 334 Fisheries: 238 Number of work opportunities created 68 051 (308 241) 223 344 Number of young people benefiting 169 533 (55% of Work Opportunities) 119 047 from the implementation of environmental programmes Number of participants in accredited 76 258 36 194 training programmes declared competent Ecosystems rehabilitated and Number of hectares receiving initial 727 226 288 638,959 managed clearing of invasive plant species Number of hectares receiving follow- 2 296 645 1 434 639,73 up clearing of invasive plant species Number of wetlands under 541 485 rehabilitation Number of emerging invasive species 1 138 656 or discrete populations targeted for early detection/rapid response Number of kilometres of accessible 2 116 km (per annum) 2 116 km cleaned coastline cleaned Integrated fire management Percentage of wildfires suppressed 90% 100% (6 674/6 674) Infrastructure, adaptation and disaster Number of Biodiversity Economy 85 55 risk reduction infrastructure facilities constructed Number of overnight visitor and 134 88 staff accommodation units and administrative buildings constructed/ renovated Number of coastal infrastructure 35 0 facilities constructed or renovated DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 44 PROGRAMME 7: CHEMICALS AND WASTE MANAGEMENT OUTCOME OUTCOME INDICATOR 5-YEAR TARGET PROGRESS TO DATE TOWARDS ACHIEVEMENT OF THE 5-YEAR TARGET Threats on environmental quality and Hazardous chemicals managed and Mercury Management Plan finalised National Implementation Plan for Minamata Convention has been finalised human health mitigated phased-out to mitigate threats on and 4 Mercury products phased out: environmental quality and human health • Thermometers • Compact flourescsent lamps (CFLs) • Batteries • Mercury in cosmetics 14 industrial persistent organic 6 Industrial persistent organic pollutants (POPS) phased out through publication of pollutants products phased out prohibiting regulations in May 2021 Percentage decrease in HCFC consumption decreased by HCFC % Reduced = Quantity Reduction /Baseline x 100 = 3 462,2326 T/ 5140.20 T x hydrochlorofluorocarbon (HCFC) 50% (2 570.10 tonnes) 100 = 67,4% consumption Percentage of waste diverted from 30% waste diverted from landfill sites 1 658 345,2 tons diverted (paper and packaging) landfill sites (prioritised waste streams Paper and packaging: 64% (2 519 tonnes of 3 877 tonnes) of waste Number of waste tonnes diverted E-waste: 21% (77 000 of 360 000) of 41 147 tons diverted (E-waste) from landfill sites (prioritised waste waste streams) Lighting: 10% (27 181 tonnes of 271 195.8 tons diverted (Lighting waste) 810) of waste Waste tyre: 50% (85 133 of 170 266) 36 354,76 tonnages of waste tyres processed of waste Socio-economic conditions improved Waste Economy Master Plan Waste Economy Master Plan Sectoral status quo analysis report developed (through the circular economy and developed and implemented approved waste recycling) Master plan implemented across 3 work streams (Bulk Industrial Waste, Municipal Waste and Product design and Waste Minimisation) Number of jobs created in the waste 5 500 jobs created (Chemicals and 416 jobs created management sector Waste Economy Phakisa) ANNUAL REPORT 2022/23 45 PROGRAMME 8: FORESTRY MANAGEMENT OUTCOME OUTCOME INDICATOR 5-YEAR TARGET PROGRESS TO DATE TOWARDS ACHIEVEMENT OF THE 5-YEAR TARGET Sustainable production of state forests Number of hectares of temporary 5 400 ha 1 124,74 ha unplanted areas (TUPs) planted Number of hectares under silvicultural 8 400 ha 8 867.38 ha practice (i.e. weeding, pruning, coppice reduction, thinning) Number of nurseries refurbished 15 nurseries refurbished 0 nurseries refurbished A transformed forestry sector Number of hectares approved for 15 000 ha Scoping and identification of land to be developed done. Final approved list of afforestation afforestation projects from KwaZulu-Natal and Eastern Cape to undergo Environmental Impact Assessment studies compiled Number of job created in the forestry 12 000 4 298 sector Number of plantations handed over to 15 plantations 3 communities Post-settlement support Strategy Post Settlement support strategy Post settlement support strategy approved in 2021/22 developed and implemented developed and implemented Indigenous forests sustainably Number of State indigenous forest 15 indigenous forest management 10 indigenous forest management units mapped managed and regulated management units mapped units mapped Number of hectares in State forests 1 100 ha 900,50 ha rehabilitated (clearing of alien invasive) National forests legislation amended National Forests Act, 1998 (NFA) National Forest Act (NFA) Amendment Bill not yet approved and regulations developed amendment bill approved and regulations developed National Veld and Forest Fires National Veld and Forest Fires Act, National Veld and Forest Fires Act, 1998 (NVFFA) Amendment Bill tabled in Parliament legislation amended 1998 (NVFFA) Amendment Bill in 2021/22 approved Sustainable Management and Business models for plantation Business model for 3 plantations Business models for plantation development not yet approved and implemented Development of Forestry Resources development approved and developed and managed in line with implemented best practices Threats on environmental quality and Number of trees planted outside 1 950 million trees planted (fruit trees, 210 544 trees planted human health mitigated forests footprint aesthetic trees) Strengthened Knowledge, Science State of the Forest Report (SoF) 2 State of Forest reports published 2 State of Forest reports not yet published and Policy Interface developed and published Annual list of protected trees published Annual list of protected trees published 5 Annual list of protected trees published in the Government Gazette Notice No 46094 in March 2022 DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 46 PROGRAMME 9: FISHERIES MANAGEMENT OUTCOME OUTCOME INDICATOR 5-YEAR TARGET PROGRESS TO DATE TOWARDS ACHIEVEMENT OF THE 5-YEAR TARGET Effective and enabling Regulatory Marine Living Resources Act (MLRA) MLRA and Regulations amended and No progress Framework for the Management and regulations reviewed and promulgated and Development of Marine and amended Freshwater Living Resources (oceans, coasts, rivers and dams) Aquaculture regulatory framework Aquaculture Development Act Aquaculture Development Bill submitted to the Office of the Chief State Law Advisor for developed and finalised promulgated and Regulations drafted pre-certification in March 2023 Fisheries Management policies Policies reviewed and approved: General Policy on Allocation of Commercial Fishing Rights approved by the Minister in developed and approved March 2022 • General Policy on Allocation of Commercial Fishing Rights • Sector Specific Fisheries Policies 9 Sector Specific Fisheries Policies on allocation of Fishing Rights (policies were further on allocation of Fishing Rights translated into three dominant languages (Afrikaans, isiXhosa and isiZulu) in coastal Provinces • Policy on the Transfer of Draft Policy on the Transfer of Commercial Fishing Rights developed Commercial Fishing Rights Policy • FRAP application fees, levies, • FRAP application fees, levies, Harbour fees and Grant of Right fees reviewed in Harbour fees and Grant of Right March 2022 fees reviewed New Fisheries policy approved No progress National Freshwater (inland) Wild Inland Fisheries Management Policy National Freshwater (Inland) Wild Capture Fisheries Implementation Plan approved by Capture Fisheries Policy approved approved by Cabinet the Director-General in March 2023 Marine Living Resources Fund New MLRF revenue streams/fees Draft gazette for new MLRF revenue streams/fees prepared and is on route for approval (MLRF) revenue model developed and approved approved Commercial fishing rights policies FRAP 2021 finalised (Fishing rights Commercial fishing rights allocated in the 9 fisheries sectors and General Published reviewed and fishing rights allocated in 12 commercial fishing Reasons published onto the Departmental website allocated sectors) Originally 12 fishing sectors that were due for re-allocation under FRAP, 3 of the 12 sectors were reclassified from commercial to small-scale and therefore will not form the commercial these are (oysters, white mussels, and hake handline). In agreement with the Presidency, it was therefore not necessary to conduct a SEIAS for those 3 fisheries. NB: Certification on the 9 fisheries were received A well-managed fisheries and Number of aquaculture research 16 5 research study conducted aquaculture sector that sustains and studies conducted to improve improves economic growth competitiveness and sustainability of and development the aquaculture sector Number of Operation Phakisa 16 3 Operation Phakisa registered aquaculture projects in production phase registered aquaculture projects in production phase Number of inspections conducted (in 5 500 inspections conducted per 22 917 inspections conducted the 6 priority fisheries: hake, abalone, annum rock lobster, line fish, squid and pelagic Number of investigations of right 290 investigations per annum 205 investigations holders conducted ANNUAL REPORT 2022/23 47 OUTCOME OUTCOME INDICATOR 5-YEAR TARGET PROGRESS TO DATE TOWARDS ACHIEVEMENT OF THE 5-YEAR TARGET Socio-economic conditions for fishing Small-scale aquaculture support 10 individuals/entities benefiting from 4 individuals/entities benefiting from small-scale aquaculture support programme communities improved programme developed and the small-scale aquaculture support implemented programme Number of small-scale fishing 147 small-scale fishing cooperatives Small-scale fishers in Western Cape not allocated fishing rights cooperatives allocated fishing allocated fishing rights rights Preparations are currently underway. This includes budgeting and planning to ensure that once the court outcome is communicated, the process of registration and verification will commence without delay Integrated Development Support 147 small-scale fishing cooperatives Integrated Development Support projects piloted in 33 small-scale fishing cooperatives programme for small-scale fishers benefiting from an Integrated developed and implemented Development Support Programme Alternative Livelihood Strategy for 12 fishing communities benefiting from Alternative Livelihood Strategy finalised and a validation workshop conducted fishing communities developed and Alternative Livelihood interventions implemented Tender was cancelled after an advice was provided and consideration of the supply chain management processes. Tender will be re-advertised in the 2022 -23 financial year DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 48 4. INSTITUTIONAL PROGRAMME PERFORMANCE INFORMATION 4.1 Programme 1: Administration Purpose: Provide strategic leadership, management and support services to the department. Sub-programmes: • Ministry • Departmental Management • Corporate Management Services • Financial Management Services • Office Accommodation • Internal Audit. Outcomes: • Good governance and compliance with legislative requirements and effective financial management. • Improved contribution on socio-economic transformation and empowerment of previously disadvantaged community. • An adequately skilled and capacitated workforce which is transformed and representative of South Africa’ race and gender demographics. • Improved human resources capacity of the sector. ANNUAL REPORT 2022/23 49 4.1.1 Outcomes, Outputs, Output Indicators, Targets and Actual Achievements 4.1.1(a): Report Against the Originally Tabled Annual Performance Plan Until Date of Re-tabling in November 2022 PROGRAMME 1: ADMINISTRATION ACTUAL DEVIATION FROM REASONS FOR AUDITED ACTUAL AUDITED ACTUAL ACHIEVEMENT PLANNED TARGET REVISIONS TO THE OUTPUT PLANNED ANNUAL REASONS FOR OUTCOME OUTPUT PERFORMANCE PERFORMANCE 2022/2023 TO ACTUAL OUTPUTS/ OUTPUT INDICATOR TARGET 2022/2023 DEVIATIONS 2020/2021 2021/2022 (until date of re- ACHIEVEMENT INDICATORS/ tabling) 2022/2023 ANNUAL TARGETS Good governance Unqualified External audit Qualified external Qualified external Unqualified Qualified external Qualified audit Department Management and compliance external audit opinion audit opinion on audit opinion on external audit audit opinion on opinion issued by qualified focusing on with legislative opinion the Department’s the Department’s opinion the departmental AGSA on Irregular developing and requirements and 2019/20 financial 2020/21 financial 2021/22 financial Expenditure and implementing effective financial Statements and Statements Statements Capital Work-In corrective management material findings and material and material Progress measures to on annual findings on annual findings on annual address AGSA performance performance performance audit findings to information information information issued improve internal by the Auditor- controls and avoid General of South a recurrence of Africa (AGSA) in auditing findings in August 2022 future audits. This intervention aimed at achieving and maintaining desired outcome of unqualified audit opinions over time. There are however systematic and historic compliance issues which requires time to resolve. Review of the indicator aimed at refocusing the output measure on the critical management intervention required to achieve the desired output and outcome of clean audit opinion DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 50 PROGRAMME 1: ADMINISTRATION ACTUAL DEVIATION FROM REASONS FOR AUDITED ACTUAL AUDITED ACTUAL ACHIEVEMENT PLANNED TARGET REVISIONS TO THE OUTPUT PLANNED ANNUAL REASONS FOR OUTCOME OUTPUT PERFORMANCE PERFORMANCE 2022/2023 TO ACTUAL OUTPUTS/ OUTPUT INDICATOR TARGET 2022/2023 DEVIATIONS 2020/2021 2021/2022 (until date of re- ACHIEVEMENT INDICATORS/ tabling) 2022/2023 ANNUAL TARGETS Improved Expenditure from Percentage of 88% 52% 65% of overall 45% 20% N/A Target set in contribution on Broad Based procurement (R2 604 883 388// (R970 551 411/R1 expenditure (R484 398 687/ 2019 on the socio-economic Black Economic expenditure on R2 956 939 281) 883 889 058) from BBBEE R1 066 355 DFFE 5-year transformation Empowerment BBBEE and compliant 460) of overall Strategic Plan and empowerment (BBBEE) women owned companies expenditure from when National of previously compliant enterprises (B-BBEE Levels BBBEE compliant Treasury’s disadvantaged companies 1-8) companies Preferential community (B-BBEE Levels Procurement 1- 8) Policy Framework Regulations of Expenditure from 88% (R2 598 51% Black 30% of 13% (R142 064 -17% N/A 2017 was still companies that 699 100/R2 ownership: 64% expenditure 464/R1 066 in effect. There owned by women 956 939 281) (R191 071 170/ from companies 355 460) of is currently no procurement R299 431 742) that are at least expenditure from legislative basis expenditure on 51% owned by companies that for the target BBBEE and 50% women women are at least 51% and the law is women owned ownership: owned by women against unfair enterprises Women: 17% discrimination (R299 431 742/ of companies. R1 883 889 058) Achievement of BBBEEE targets is also hampered by the Department has long term contracts with companies that are not wholly owned by black people i.e., Working on Fire, WESA, etc. and which a significant portion of procurement budget is spend. There are also high amounts of payments made to state entities such as State Information Technology Agency (SITA), ANNUAL REPORT 2022/23 51 PROGRAMME 1: ADMINISTRATION ACTUAL DEVIATION FROM REASONS FOR AUDITED ACTUAL AUDITED ACTUAL ACHIEVEMENT PLANNED TARGET REVISIONS TO THE OUTPUT PLANNED ANNUAL REASONS FOR OUTCOME OUTPUT PERFORMANCE PERFORMANCE 2022/2023 TO ACTUAL OUTPUTS/ OUTPUT INDICATOR TARGET 2022/2023 DEVIATIONS 2020/2021 2021/2022 (until date of re- ACHIEVEMENT INDICATORS/ tabling) 2022/2023 ANNUAL TARGETS Improved DFFE entities contribution on and others, socio-economic which makes transformation it impossible and empowerment to reach the of previously target. These disadvantaged areas of work community will be managed and monitored in the 2022/23 Branch Annual Operational Plan. Planned annual targets will be revised accordingly to take into account all the relevant fact whilst management continues to monitor the national policy and legislative development in these areas DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 52 4.1.1(b): Report Against the Final Re-tabled Annual Performance Plan in February 2023 PROGRAMME 1: ADMINISTRATION DEVIATION FROM AUDITED ACTUAL AUDITED ACTUAL PLANNED ANNUAL ACTUAL PLANNED TARGET REASONS FOR OUTCOME OUTPUT OUTPUT INDICATOR PERFORMANCE PERFORMANCE TARGET ACHIEVEMENT TO ACTUAL DEVIATIONS 2020/2021 2021/2022 2022/2023 2022/2023 ACHIEVEMENT 2022/2023 Good governance Unqualified external Percentage of DFFE Qualified external Qualified external 90% 96% (109/114) Target exceeded Regular meetings and compliance audit opinion Audit Action Plan audit opinion on audit opinion on the implemented by 6% held with AGSA with legislative implemented to the Department’s Department’s in resolving the requirements and address prior-year 2019/20 financial 2020/21 financial 4% (5/114) work in disagreement in effective financial Auditor-General of Statements and Statements progress other findings management South Africa (AGSA) material findings on and material audit findings annual performance findings on annual 0% (0/114) Weekly meetings information performance outstanding attended with information business units to discuss remedial actions supported with relevant and verifiable portfolio of evidence Budget spent Percentage 96% spend without 82% 98% 98% N/A N/A expenditure of DFFE the additional (R7 491 286 655/R9 (R8 829 002/R8 994 budget allocation funds allocated for 099 737 000) 839) expenditure of the Presidential budget allocation Economic Stimulus (PES) and 84% spend inclusive of the PES (R8 300 073/ R9 937 801) An adequately Women appointed in Percentage of 45% (84/187) 46% (86/187) 47% women 47% (86/184) N/A N/A skilled and Senior Management women appointed in women in SMS women in SMS appointed in senior women appointed in capacitated positions senior management positions positions management senior management workforce which is positions positions positions transformed and People with Percentage 1.7% (62/3 556) 1.9% (65/3 441) 1.8% people with 1.8% (61/3 327) N/A N/A representative disabilities appointed of people with people with disabilities people with of South Africa’s disabilities disabilities disabilities race and gender demographics ANNUAL REPORT 2022/23 53 PROGRAMME 1: ADMINISTRATION DEVIATION FROM AUDITED ACTUAL AUDITED ACTUAL PLANNED ANNUAL ACTUAL PLANNED TARGET REASONS FOR OUTCOME OUTPUT OUTPUT INDICATOR PERFORMANCE PERFORMANCE TARGET ACHIEVEMENT TO ACTUAL DEVIATIONS 2020/2021 2021/2022 2022/2023 2022/2023 ACHIEVEMENT 2022/2023 An adequately Interns appointed Number of 230 graduates 212 Interns 212 interns 231 interns Target exceeded Demand from skilled and beneficiaries recruited on the appointed in appointed: appointed: by 19: branches and capacitated participating on Department’s 2020/21 since adjusted budget on workforce which is the Department’s internship the internship • 50% women • 61% (140/231) • Women the programme transformed and skills development programme. programmme • 1.8% women exceeded by representative programmes lasts for two people with • 4% (10/231) 11% Initial number for of South Africa’s years disabilities people with • People with recruitment based race and gender disabilities disabilities on 5% of staff demographics exceeded by establishment (212) 2,2% Bursaries issued 40 full-time 128 bursaries 100 bursaries 125 bursaries Target exceeded More bursaries bursaries issued awarded: 88 part issued issued by 25 issued than planned time and 40 full time (40 Full time and (40 for full time (Part time students) target due to bursaries approved 60-part time) students and 85 for high number of and awarded to part time) applications received applicants and approved; and availability of budget to fund additional approved bursaries Summary of Programme Performance DFFE is a knowledge-based organisation requiring an appropriate mix of professional skills and attitudes to function effectively. The aim is to ensure that DFFE is staffed by people who are inspired by the opportunity and challenge to contribute to nation-building and to improve professionalism, ensure continuous performance improvement and retain critical personnel. The DFFE’s mandate is fulfilled through the recruitment, placement, retention and development of staff. Attention is on achieving employment equity targets, staff wellbeing and the development of professionals in the Forestry, Fisheries and Environment sector. The programme appointed 47% of women in SMS positions and 1,8% of people with disabilities during the 2022/23 financial year. These achievements contributed towards the government priorities on women empowerment, gender equality and ensuring that persons with disabilities are active players in building the sector. During the 2022/23 financial year, the department through its skills development programmes appointed 231 interns of which 61% were women and 4% were people with disability. The internship programme provides a platform for unemployed graduates to acquire workplace experience for a period of 24 months. This contributes towards government priorities of addressing poverty and unemployment of youth. A total of 125 bursaries were awarded (40 for full time students and 85 for part time). The internship programme is the department’s response in addressing and closing the critical skills gap and implementing both the National Skills Development Strategy and Human Development Strategy. Successful applicants will be expected to serve as interns in the department for 24 months based on the terms and conditions of the bursary contract. The expenditure target of 98% spending of the appropriated budget was achieved, compared to the previous financial year’s expenditure at 83% spending. This was as a result of additional efforts made to improve the expenditure outcome. In an endeavour to ensure that the desired audit opinion is achieved, an audit action plan was developed timeously. Follow ups were made on a weekly basis and this resulted in the achievement of the implementation of the action plan target. DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 54 4.1.2 Linking Performance with Budgets 2022/23 2021/22 SUB-PROGRAMME NAME (OVER)/UNDER (OVER)/UNDER ACTUAL EXPENDITURE FINAL APPROPRIATION ACTUAL EXPENDITURE FINAL APPROPRIATION EXPENDITURE EXPENDITURE R’000 R’000 R’000 R’000 R’000 R’000 Management 83 380 - 83 380 74 432 - 74 432 Corporate Management Services 576 148 28 576 176 472 348 21 320 493 668 Financial Management services 176 672 - 176 672 122 666 - 122 666 Office Accommodation 371 950 10 726 382 676 362 668 6 569 369 237 Total 1 208 150 10 754 1 218 904 1 032 114 27 889 1 060 003 Support function in Facilities Management (travel arrangements, office accommodation, IT servers and infrastructure, human resource management, communication), Financial Management (procurement and payment of goods and services, budget allocations) supported the Line Functions in executing their respective responsibilities and achieving their performance targets. 4.1.3 Strategy to Overcome Areas of Under Performance Not applicable. 4.1.4 Performance in Relation to Standardised Outputs and Output Indicators for Sectors with Concurrent Functions Performance in relation to the standardised outputs and output indicators is not reflected in the Annual Report as the indicators were not included in the 2022/23 Annual Performance Plan. This is due to the inconsistencies in implementing and reporting on standardised indicators by the provinces. The department is working with all provinces to ensure that there is a common understanding on implementing and reporting on the standardised indicators. ANNUAL REPORT 2022/23 55 4.2 Programme 2: Regulatory Compliance and Sector Monitoring Programme purpose: Promote the development of an enabling legal regime and licensing authorisation system that will promote enforcement and compliance and ensure the coordination of sector performance. Sub-programmes: Sub-Programme Purpose Regulatory Compliance and Sector Monitoring Management Provides for the administration and functioning of the programme by carrying out its planning and performance management functions Compliance Promotes compliance with environmental legislation by undertaking inspections on all authorisations issued by the department Integrated Environmental Authorisations Implements integrated environmental authorisation systems and administers appeals processes Enforcement Coordinates the national environment programme and provides strategic support to the environmental management inspectorate Litigation and Legal Support Provides legal support for litigation, alternative dispute resolution, and departmental debts and losses Law Reform and Appeal Ensures the provision of effective and efficient support to the department’s law reform programme so that appeals are effectively dealt with Outcomes: • Improved compliance with environmental legislation and environmental threats mitigated. • Aligned environmental management regulatory frameworks, systems, tools and instruments. • Improved human resources capacity of the sector. DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 56 4.2.1 Outcomes, Outputs, Output Indicators, Targets and Actual Achievements 4.2.1(a): Report against the final re-tabled Annual Performance Plan in February 2023 PROGRAMME 2: REGULATORY COMPLIANCE AND SECTOR MONITORING DEVIATION FROM AUDITED ACTUAL AUDITED ACTUAL PLANNED ANNUAL ACTUAL PLANNED TARGET REASONS FOR OUTCOME OUTPUT OUTPUT INDICATOR PERFORMANCE PERFORMANCE TARGET ACHIEVEMENT TO ACTUAL DEVIATIONS 2020/2021 2021/2022 2022/2023 2022/2023 ACHIEVEMENT 2022/2023 Improved Environmental Number of 151 authorisations 197 authorisations 165 217 Target exceeded During inspection, compliance with authorisations environmental were inspected were inspected by 52 certain facilities environmental inspected authorisations had more than legislation and inspected for one authorisation, environmental compliance resulting in additional threats mitigated authorisations being inspected at those facilities Finalised criminal Number of criminal 39 criminal cases 62 criminal cases 46 48 Target exceeded Unexpected arrests cases handed over cases finalised and finalised and dockets finalised and dockets by 2 made to the National dockets handed handed over to the handed over to the Prosecutions over to the NPA NPA for prosecution NPA for prosecution Authority (NPA) for a prosecutorial for a prosecutorial decision decision Administrative Number of 254 administrative 247 administrative 260 298 Target exceeded Work undertaken enforcement notices administrative enforcement notices enforcement notices by 38 by Green Scorpions issued enforcement issued to companies issued in latter part of notices issued for and individuals financial year to non-compliance who were found to support National with environmental have transgressed Joint Operational legislation environmental laws and Intelligence Structure Priority Committee on Energy Security to tackle illegal coal stockyards in Mpumalanga that were found to be in contravention of environmental legislation ANNUAL REPORT 2022/23 57 PROGRAMME 2: REGULATORY COMPLIANCE AND SECTOR MONITORING DEVIATION FROM AUDITED ACTUAL AUDITED ACTUAL PLANNED ANNUAL ACTUAL PLANNED TARGET REASONS FOR OUTCOME OUTPUT OUTPUT INDICATOR PERFORMANCE PERFORMANCE TARGET ACHIEVEMENT TO ACTUAL DEVIATIONS 2020/2021 2021/2022 2022/2023 2022/2023 ACHIEVEMENT 2022/2023 Compliance Number of N/A 71 inspections Compliance 88 inspections Target exceeded Some concession inspections inspections conducted inspections: conducted for by 23 areas and private conducted conducted for for rhino horn verification of the game farms have verification of rhino verification 65 inspections rhino horns and different owners horns and elephant and elephant tusks conducted for elephant tusks who own rhino horn tusks stockpiles stockpiles verification of the stockpiles stockpiles; therefore, rhino horns and verification done elephant tusks separately as they stockpiles have individual possession permits Government state entities have backlog of stockpiles that needed verification resulting in increased inspections Aligned Electricity Grid Intervention for Strategic gas and Amended Electricity Amended EGI Amended EGI N/A N/A environmental Infrastructure (EGI) streamlining electricity corridors Grid Infrastructure standard gazetted standard gazetted management Gazette environmental gazetted for Standard gazetted for public for public comments regulatory authorisation/ implementation for public comments comments in April 2022 and for frameworks, management on 7 April 2022 implementation in systems, tools and developed July 2022 instruments Improved human Trained officials Number of 910 officials trained 1 050 officials 450 925 Target exceeded by Ad hoc resources capacity in environmental officials trained trained in 475 Environmental of the sector compliance and in environmental environmental Management enforcement compliance and compliance Inspectors training enforcement and enforcement needs arise during the year over and above the planned courses Training needs from certain external stakeholders only communicated during the year DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 58 Summary of Programme Performance There was significant achievement in its targets on the training of officials in environmental compliance and enforcement as well as the number of administrative enforcement notices issued for non-compliance with environmental legislation. The training of officials both within the environment and conservation sector but also within different partner departments and entities such as South African Revenue Services (SARS), South African National Defence Force (SANDF), Department of Water and Sanitation (DWS), and Department of Mineral Resources and Energy (DMRE) enables a more integrated and co-ordinated approach to tackling environmental crime whilst contributing to government’s strategic priorities of building a capable state that serves the people as well as contributing to safer communities in those areas impacted by environmental crime. The over-achievement in relation to the targets on administrative enforcement notices resulted from the intensive work undertaken by the Green Scorpions in the latter part of the financial year to support the National Joint Operational and Intelligence Structure Priority Committee on Energy Security to tackle the illegal coal stockyards in Mpumalanga that were found to be in contravention of environmental legislation. This work resulted in a significant decrease in illegal activities related to this sector. The Electricity Grid Infrastructure Standard was gazetted for implementation in July 2022. In compliance with the Standard, electricity grid infrastructure in geographical areas confirmed to be of low or medium environmental sensitivity, are excluded from being required to obtain environmental authorisation prior commencement of construction. This reduces the time taken to consider the project from 300 days to approximately 60 to 90 days. Achieving this target provided a more simplified process and reduced red tape to ease the cost and complexity of doing business in the country. 217 Authorisations were inspected for compliance with environmental legislation. Over 70% of the authorisations inspected were compliant with the environmental legislation. The authorisations not compliant with environmental legislation were handed over for enforcement actions. The achievement has contributed to the improvement of compliance with environmental legislation and to the mitigation of environmental treats. The achievement also contributed positively to the protection of the environment and improved the mitigation of treats to environment. 4.2.2 Linking Performance with Budgets 2022/23 2021/22 SUB-PROGRAMME NAME (OVER)/UNDER (OVER)/UNDER ACTUAL EXPENDITURE FINAL APPROPRIATION ACTUAL EXPENDITURE FINAL APPROPRIATION EXPENDITURE EXPENDITURE R’000 R’000 R’000 R’000 R’000 R’000 Regulatory Compliance and Sector Monitoring 14 263 - 14 263 11 298 - 11 298 Management Compliance 50 800 - 50 800 51 142 - 51 142 Integrated Environmental Authorisations 54 947 - 54 947 47 404 - 47 404 Enforcement 68 140 - 68 140 69 196 - 69 196 Litigation and Legal Support 40 628 - 40 628 28 053 - 28 053 Law Reform and Appeals 14 698 - 14 698 16 779 - 16 779 Total 243 476 - 243 476 223 872 - 223 872 Expenditure supports the execution of responsibilities in compliance monitoring, integrated environmental authorisations, enforcement and legal support in litigation and appeals. 4.2.3 Strategy to Overcome Areas of Under Performance Not applicable. ANNUAL REPORT 2022/23 59 4.2.4 Performance in Relation to Standardised Outputs and Output Indicators for Sectors with Concurrent Functions Performance in relation to the standardised outputs and output indicators is not reflected in the Annual Report as the indicators were not included in the 2022/23 Annual Performance Plan. This is due to the inconsistencies in implementing and reporting on standardised indicators by the provinces. The department is working with all provinces to ensure that there is a common understanding on implementing and reporting on the standardised indicators. DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 60 4.3 Programme 3: Oceans and Coasts Programme purpose: Promote, manage and provide strategic leadership on oceans and coastal conservation. Sub-programmes: Sub-programme Purpose Oceans and Coasts Management Provides for the management and administration of activities in the programme Integrated Coastal Management and Coastal Conservation Provides national strategic direction, leadership, management and support within applicable legislation and policy on integrated coastal management Oceans and Coastal Research Provides national strategic direction, leadership, management and support to ocean and coastal research Oceans Economy and Project Management Manages, coordinates, facilitates, analyses and reports on the implementation of initiatives within the oceans economy Specialist Monitoring Services Provides specialist oceans and coastal monitoring, reporting and evaluation Outcomes: • Threats to environmental integrity managed and ecosystem conserved. • Strengthened knowledge, science and policy interface. ANNUAL REPORT 2022/23 61 4.3.1 Outcomes, Outputs, Output Indicators, Targets and Actual Achievements 4.3.1(a): Report Against the Final Re-tabled Annual Performance Plan in February 2023 PROGRAMME 3: OCEANS AND COASTS DEVIATION FROM AUDITED ACTUAL AUDITED ACTUAL PLANNED ANNUAL ACTUAL PLANNED TARGET REASONS FOR OUTCOME OUTPUT OUTPUT INDICATOR PERFORMANCE PERFORMANCE TARGET ACHIEVEMENT TO ACTUAL DEVIATIONS 2020/2021 2021/2022 2022/2023 2022/2023 ACHIEVEMENT 2022/2023 Threats to Water Quality Trends National Oceans Consolidated Water Quality Trends Water Quality Water Quality N/A N/A environmental Reports and Coasts Water National Quality Report compiled for programme programme integrity managed Quality Monitoring Status and Trends 39 priority areas in 4 implemented and implemented and and ecosystem programme report compiled for report compiled for Report for the Coastal Provinces: conserved implemented 30 priority areas in 30 priority areas in 4 seasons starting 4 coastal provinces coastal provinces from 2014-2019 • Western Cape. • Eastern Cape. has been produced, • KwaZulu-Natal; covering all 4 and Coastal Provinces • Northern Cape (Western Cape, KwaZulu-Natal, Northern Cape and Eastern Cape) 2nd Marine Sector Marine spatial MSP Sector Marine Sector Plans 7 Marine Sector Following 10 Marine Target exceeded Increased Plans (MSP) sub planning and Plans have been finalised Plans submitted to Sector Plans by 3 participation and regional plan governance system developed by Director-General submitted to the commitment by developed the sectors and • Aquaculture (DG) for approval Director-General for Marine Spatial includes maps and Sector Plan approval: Planning Working proposed zones • Marine Group with sector priorities. Biodiversity • Draft Marine Draft Sector Plans Sector Plan Biodiversity were processed for • Marine Transport Sector Plan approval. The and • Draft Coastal and following MSP Ports Sector Plan Marine Tourism Sector Plans were • Defence Sector Sector Plan developed: Plan • Draft Marine • Environmental Transport and • Marine Transport Research and Ports Sector Plan and Ports Monitoring • Draft Maritime • Marine and Sector Plan and Underwater Coastal Tourism • Marine Heritage Cultural Heritage • Naval Defence Sector Plan Sector Plan • Marine Research • Coastal and • Draft Marine • Aquaculture Marine Tourism Defence (Navy) Sector Plan Sector Plan DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 62 PROGRAMME 3: OCEANS AND COASTS DEVIATION FROM AUDITED ACTUAL AUDITED ACTUAL PLANNED ANNUAL ACTUAL PLANNED TARGET REASONS FOR OUTCOME OUTPUT OUTPUT INDICATOR PERFORMANCE PERFORMANCE TARGET ACHIEVEMENT TO ACTUAL DEVIATIONS 2020/2021 2021/2022 2022/2023 2022/2023 ACHIEVEMENT 2022/2023 Threats to • Marine and • Draft Marine environmental Coastal Science and integrity managed Biodiversity Innovation Sector and ecosystem • Marine heritage Plan conserved • Draft Aquaculture Sector Plan • Draft Oil and Gas Sector Plan • Draft Underwater Infrastructure Sector Plan • Draft Wild Fisheries DG approved 10 Marine Sector Plans and were subsequently gazetted by the Minister for public comments in March 2023 Management plans Number of 2 Draft Management 2 draft management 2 MPA Draft Port Elizabeth Target not achieved Vetting of the MPAs for declared Phakisa Management Plans Plans for declared Plans for Childs Management Plans Corals and Agulhas Draft Management Marine Protected for declared MPAs Phakisa MPAs Bank and Orange submitted to Front MPAs Draft Plans took longer Areas (MPAs) developed developed (Amatole Shelf Edge MPAs Minister Management than anticipated and Aliwal Shoal) available for approval for Plans finalised and public submission enroute comments (Port to Minister for Elizabeth Corals approval for public and Agulhas Front comments MPAs) Draft Shark Number of 2 Draft Management Planned target not Draft Shark Draft Shark N/A N/A Biodiversity Biodiversity Plans for declared achieved Biodiversity Biodiversity Management Plan Management Plans Phakisa MPAs Management Management Plan developed developed (Amatole Plan submitted submitted to Minister and Aliwal Shoal) to Minister for for approval for approval for public public comments in comments March 2023 Draft Plan approved by Minister in March 2023 for gazetting for public comments ANNUAL REPORT 2022/23 63 PROGRAMME 3: OCEANS AND COASTS DEVIATION FROM AUDITED ACTUAL AUDITED ACTUAL PLANNED ANNUAL ACTUAL PLANNED TARGET REASONS FOR OUTCOME OUTPUT OUTPUT INDICATOR PERFORMANCE PERFORMANCE TARGET ACHIEVEMENT TO ACTUAL DEVIATIONS 2020/2021 2021/2022 2022/2023 2022/2023 ACHIEVEMENT 2022/2023 Threats to Monitoring reports Implementation National estuaries: Annual Action Estuarine Estuarine N/A N/A environmental on implementation of Estuarine Plan for Estuarine Management Management Annual integrity managed of estuaries management • Richard Bay: Management Plans Annual Action Action Plans for and ecosystem management plans strategy monitored Annual project for 4 estuaries Plans for 4 following 4 estuaries conserved plan developed implemented: estuaries monitored and report • Orange River monitored and compiled in March Mouth- Annual • Buffalo River report compiled: 2023: Project Plan Mouth estuary: partially Coordinated • Buffalo Estuary • Buffalo Estuary implemented. monitoring • Durban Bay • Durban Bay • Buffalo River programme • Richards Bay • Richards Bay Mouth- Annual developed • Orange River • Orange River Project Plan • Durban Bay: partially Final integrated implemented. response plan • Durban Bay: developed Annual Project • Orange Plan partially River Mouth: implemented Coordinated monitoring programme developed • Richards Bay: Final Coordinated monitoring programme Antarctic Strategy Antarctic Strategy Antarctic and Antarctic strategy Antarctic Antarctic Strategy N/A N/A outreach programme implemented Southern Ocean implemented Strategy outreach outreach programme Strategy gazetted for (Annual programme approved in March implementation Implementation plan approved 2023 implemented and report compiled) Strengthened Draft research report Research study to Research study Research study on Draft research Draft research report N/A N/A knowledge, science identify potential on the additional 5% the additional 5% of report on additional on additional 5% of and policy interface additional oceans of oceans and oceans and coastal 5% of ocean and ocean and coastal and coastal area coastal area area protection coastal protection, protection, including for protection protection conducted completed including guidelines on undertaken guidelines on expansion approved expansion in March 2023 DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 64 PROGRAMME 3: OCEANS AND COASTS DEVIATION FROM AUDITED ACTUAL AUDITED ACTUAL PLANNED ANNUAL ACTUAL PLANNED TARGET REASONS FOR OUTCOME OUTPUT OUTPUT INDICATOR PERFORMANCE PERFORMANCE TARGET ACHIEVEMENT TO ACTUAL DEVIATIONS 2020/2021 2021/2022 2022/2023 2022/2023 ACHIEVEMENT 2022/2023 Strengthened Peer-reviewed Number of peer- 21 peer-reviewed 21 peer-reviewed 20 peer-reviewed 20 peer-reviewed N/A N/A knowledge, science scientific reviewed scientific scientific scientific scientific scientific publications and policy interface publications publications publications publications publications published accepted for compiled compiled accepted for publication or publication or published (including published theses and research policy reports) Relief and science Number of relief and 3 relief voyages 3 relief and science 3 relief and science 3 relief and science N/A N/A voyages science voyages to SANAE, Gough voyages to remote voyages to remote voyages to remote to remote stations and Marion Islands stations (SANAE, stations (SANAE, stations undertaken undertaken to South undertaken Gough and Marion Gough and Marion to Marion Islands African National Islands) Islands) (May 2022), Antarctic Expedition Gough (September (SANAE), Gough 2022) and SANAE and Marion Islands (February 2023) Annual Science Annual Science Annual Report Card Annual report card 2021/22 Annual 2021/22 Annual N/A N/A Report Card Report Card on key on key Essential on key essential Science Report Science Report Card essential ocean and Ocean and Coasts ocean and coasts Card on key on key essential coasts variables variables/ indicators variables published essential ocean ocean and coasts published compiled and coasts variables published variables published in June 2022 Summary of Programme Performance The water quality reports that identify current and potential threats that may affect environmental threats especially around estuaries and the adjacent beaches were compiled. The reports outlined recommendations that need to be implemented to address the identified impacts and/or potential threats. Young unemployed graduates were appointed on a contractual basis as part of job creation with focus on youth and women. The estuarine management annual action plans for the four national estuaries were implemented during the 2022/23 financial year. The focus on the Orange River Mouth estuary targeted the rehabilitation of the saltmarsh, coordinated monitoring programme, development of tourism infrastructure plans, updating the Ramsar Information sheet and the Ramsar Boundary. The Durban Bay Estuary Management Plan (EMP) action plan targeted the prevailing pollution issues due to sewage spills and inputs from the catchment, the monitoring of water and sediment, plastic pollution clean-up, dredging monitoring. The study of effects hull cleaning in the Port. Richards Bay EMP plan focused at producing a hydrological system analysis report, initiating the drafting of a forest management plan for the harvesting of mangroves, producing a draft oil spill contingency plan for the Port and ensuring progress in the rehabilitation of Hillendale Slime dams. For Buffalo Port, engagements were held with the Buffalo City Metropolitan Municipality planning unit to ensure that recommendations of the EMP are included in the Integrated Development Plan and Spatial Development Framework. Designs for the upgrade of Latimers landing were produced, signage was included in the Ports procurement plan and there was ongoing monitoring and environmental education. ANNUAL REPORT 2022/23 65 The development of the Antarctic outreach program is an action identified in the Antarctic and Southern Oceans Strategy which is under implementation. With all the resource invested in the South African National Antarctic Program (SANAP), a coordinated approach for education, awareness and outreach activities is a priority. The target was met through comprehensive stakeholder engagements with various SANAP communities that were already conducting outreach activities to maximise the efforts and strengthen collaborations and partnerships. Draft research report on additional 5% of ocean and coastal protection, including guidelines on expansion approved in March 2023 is indicative of the progress made towards achieving the 30x30 objectives for global marine conservation. This report sets the scene for stakeholder engagements and ultimate area identification in the South African Exclusive Economic Zone. The publication of 20 peer-reviewed scientific publications in international peer reviewed journals, policy briefs and related management and conservation reports indicate the major role South African scientists play in the African context and in the global field of marine sciences. Science is the foundation for making informed decisions on environmental management, sustainable use and conservation in the marine space. As such, South Africans acknowledge the importance of informed decision making and sustainable utilisation of our natural environment. The Southern Oceans and Antarctic Support has successfully undertaken the 3 voyages at Marion, Gough and Antarctica. The voyage reports were submitted with inputs from the stakeholders who participated on the voyage. The Departmental Coordinating Officers have highlighted the challenges encountered and these will be taken into consideration on the forth coming voyages. Publication of the 2021/22 Annual Science Report Card on key essential ocean and coasts variables highlight the research activities that DFFE is involved with. This research is the result of relevant management issues that the country deals with in the marine space and therefore links with sustainable utilisation of our marine resources. 4.3.2 Linking Performance with Budgets 2022/23 2021/22 SUB-PROGRAMME NAME (OVER)/UNDER (OVER)/UNDER ACTUAL EXPENDITURE FINAL APPROPRIATION ACTUAL EXPENDITURE FINAL APPROPRIATION EXPENDITURE EXPENDITURE R’000 R’000 R’000 R’000 R’000 R’000 Oceans and Coasts Management 12 118 6 477 18 595 17 638 1 256 18 894 Integrated Coastal Management and Coastal 34 543 183 34 726 31 190 11 772 42 962 Conservation Oceans and Coastal Research 149 729 1 339 151 068 121 028 23 720 144 748 Oceans Economy and Project Management 23 376 2 255 25 631 25 846 11 694 37 540 Specialist Monitoring Services 284 912 4 927 289 839 223 423 37 623 261 046 Total 504 678 15 181 519 859 419 125 86 065 505 190 Expenditure supports the management and operation of the SA Agulhas II Antarctic Research Vessel and SA Algoa Research in executing 3 relief voyages to Antarctica, Marion Island and Gough island and research activities around the coast of South Africa, coastal management, management of marine protected areas and projects in oceans and coastal management . 4.3.3 Strategy to Overcome Areas of Under Performance Pre-vetting of Marine Protected Areas Draft Management Plans to take place during the 2023/24 financial year to ensure the speedy processing of the Plans. 4.3.4 Performance in Relation to Standardised Outputs and Output Indicators for Sectors with Concurrent Functions Performance in relation to the standardised outputs and output indicators is not reflected in the Annual Report as the indicators were not included in the 2022/23 Annual Performance Plan. This is due to the inconsistencies in implementing and reporting on standardised indicators by the provinces. The department is working with all provinces to ensure that there is a common understanding on implementing and reporting on the standardised indicators. DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 66 4.4 Programme 4: Climate Change, Air Quality and Sustainable Development Programme purpose: Lead, promote, facilitate, inform, monitor and review the mainstreaming of environmental sustainability, low carbon emissions, climate resilience and air quality in South Africa’s transition to sustainable development. Sub-programmes: Sub-programme Purpose Climate Change, Air Quality and Sustainable Development Provides for the management and administration of activities in the programme Management Climate Change Mitigation Leads, coordinates, supports and informs responses to the mitigation of climate change Climate Change Adaptation Leads and/or supports, informs, monitors and reports efficient and effective national, provincial and local adaptive responses to climate change Air Quality Management Ensures that reasonable legislative and other measures are developed, implemented and maintained to protect and defend the right of all to air that is of sufficient atmospheric quality and is not harmful to health and wellbeing South African Weather Service Transfers funds to the South African Weather Service for the management of meteorological services International Climate Change Relations and Reporting Prepares for, negotiates and informs the implementation of mini-lateral, bilateral and multilateral climate change agreements and reporting Climate Change Monitoring and Evaluation Monitors and evaluates national responses to climate change to ensure informed decision-making International Governance and Resource Mobilisation Oversees, facilitates and coordinates the department’s international relations, engagements and cooperation agreements Knowledge and Information Management Oversees the provision of information and advocacy for sustainable development through the development, implementation and management of knowledge and information management systems Environmental Sector Performance Manages environmental sector performance, and facilitates the development and implementation of strategic and operational plans for the sector Outcomes: • A just transition to a low carbon economy and climate resilient society. • Threats on environmental quality and human health mitigated. • International cooperation supportive of SA Environmental / sustainable development priorities. ANNUAL REPORT 2022/23 67 4.4.1 Outcomes, Outputs, Output Indicators, Targets and Actual Achievements 4.4.1(a): Report Against the Originally Tabled Annual Performance Plan until date of re-tabling in November 2022 PROGRAMME 4: CLIMATE CHANGE, AIR QUALITY AND SUSTAINABLE DEVELOPMENT ACTUAL DEVIATION FROM REASONS FOR AUDITED ACTUAL AUDITED ACTUAL ACHIEVEMENT PLANNED TARGET REVISIONS TO THE OUTPUT PLANNED ANNUAL REASONS FOR OUTCOME OUTPUT PERFORMANCE PERFORMANCE 2022/2023 TO ACTUAL OUTPUTS/ OUTPUT INDICATOR TARGET 2022/2023 DEVIATIONS 2020/2021 2021/2022 (until date of re- ACHIEVEMENT INDICATORS/ tabling) 2022/2023 ANNUAL TARGETS A just transition Climate Number of N/A N/A uMzinyathi: Terms of Reference N/A N/A Annual target to a Adaptation interventions Automated for appointment of removed from low carbon Interventions undertaken to weather stations service provider to 2022/23 Annual economy implemented facilitate to monitor install automated Performance Plan and climate implementation lightning and weather stations to due to extensive resilient of South Africa’s heavy rain monitor lightning delays in finalising society Climate Change installed and heavy rain procurement Adaptation in uMzinyathi process through Strategy developed State Information Technology Agency DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 68 4.4.1(b) Report against the final re-tabled Annual Performance Plan in February 2023 PROGRAMME 4: CLIMATE CHANGE, AIR QUALITY AND SUSTAINABLE DEVELOPMENT DEVIATION FROM AUDITED ACTUAL AUDITED ACTUAL ACTUAL PLANNED TARGET PLANNED ANNUAL REASONS FOR OUTCOME OUTPUT OUTPUT INDICATOR PERFORMANCE PERFORMANCE ACHIEVEMENT TO ACTUAL TARGET 2022/2023 DEVIATIONS 2020/2021 2021/2022 2022/2023 ACHIEVEMENT 2022/2023 A just transition to a Carbon Budgets Number of climate N/A Carbon Budgets 3 interventions: 3 interventions: N/A N/A low carbon economy allocation change mitigation allocation and climate resilient methodology interventions methodology was Carbon Budget Carbon Budget society piloted undertaken approved by Cabinet allocation allocation to facilitate on 24 November methodology methodology piloted implementation 2021 piloted with with industry sectors of South Africa’s industry sectors that are voluntarily Low Emission that are voluntarily participating in Development participating in carbon budget Strategy carbon budget regime in March regime 2023 as follows: Electricity production; crude oil production and/ refining; petroleum refining; CTL/ GTL; iron and steel production; ferroalloys production; primary aluminium production; chemicals production (ammonia, nitric acid and carbon black); pulp and paper production; hydrogen production (fossil-based); cement production; glass production and food, and beverage production (FMCG) – sugar ANNUAL REPORT 2022/23 69 PROGRAMME 4: CLIMATE CHANGE, AIR QUALITY AND SUSTAINABLE DEVELOPMENT DEVIATION FROM AUDITED ACTUAL AUDITED ACTUAL ACTUAL PLANNED TARGET PLANNED ANNUAL REASONS FOR OUTCOME OUTPUT OUTPUT INDICATOR PERFORMANCE PERFORMANCE ACHIEVEMENT TO ACTUAL TARGET 2022/2023 DEVIATIONS 2020/2021 2021/2022 2022/2023 ACHIEVEMENT 2022/2023 A just transition to a Framework for Number of climate N/A Framework for Proposed 5 Proposed 5 N/A N/A low carbon economy development change mitigation development and Environmental Environmental and climate resilient and allocation of interventions allocation of SETs SETs allocations SETs allocations society Sectoral Emission undertaken was approved by presented to presented to Targets (SETs) to facilitate Cabinet on 24 Ministers and MINMEC and for Environment implementation November 2021 Members of approved in Sector of South Africa’s Executive Councils November 2022 Low Emission (MINMEC) Development N/A Framework for Proposed SETs Proposed SETs N/A N/A Strategy development Allocations Allocations and allocation of submitted to key submitted to key Sectoral Emission socio-economic socio-economic Targets (SETs) was sector departments sector departments approved by Cabinet (Energy, Mineral (Energy, Mineral on 24 November Resource, Resource, Transport, 2021 Transport, Agriculture, Trade Agriculture, Trade and Industry, Human and Industry, Settlement) through Human Settlement) engagements held in February and March 2023 Climate Number of Draft Assessment 5 Climate Adaptation 1 Climate Garden Route: Target not achieved Bids received above Adaptation interventions Report developed Sector plans Adaptation Early warning fire budget Interventions undertaken implemented as Intervention detection alert Implemented to facilitate follows: The policy implemented: system was not implementation analysis on climate installed of South Africa’s smart agriculture Garden Route: Climate Change (CSA) developed Early fire detection Adaptation Strategy and management System installed DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 70 PROGRAMME 4: CLIMATE CHANGE, AIR QUALITY AND SUSTAINABLE DEVELOPMENT DEVIATION FROM AUDITED ACTUAL AUDITED ACTUAL ACTUAL PLANNED TARGET PLANNED ANNUAL REASONS FOR OUTCOME OUTPUT OUTPUT INDICATOR PERFORMANCE PERFORMANCE ACHIEVEMENT TO ACTUAL TARGET 2022/2023 DEVIATIONS 2020/2021 2021/2022 2022/2023 ACHIEVEMENT 2022/2023 A just transition to a National Number of N/A Climate Risk and Climate Adaptation National Climate N/A N/A low carbon economy Climate Risk and interventions Vulnerability Sector Plan Risk and and climate resilient Vulnerability undertaken Assessment implemented: Vulnerability society Assessment to facilitate Reports for five (5) Assessments were for 5 Human implementation sites in the Tourism Human conducted in March Settlement of South Africa’s sector have been Settlements: 2023 for following 5 Priority Areas Climate Change developed: Human Settlements Conducted Adaptation Strategy National Climate Priority Areas: • UKhahlamba Risk and Drakensburg Park Vulnerability • KwaZulu-Natal • Kruger National Assessment for 5 Province: Park Human Settlement • Robben Island Priority Areas (1) Vulindlela • Table Mountain conducted (2) Richards Bay National Park • Isimangaliso • Gauteng Wetland Park Province: (3) Ekurhuleni North (4) Olievenhoutbosch (5) Vanderbijlpark – Vereeniging Everton – Sebokeng ANNUAL REPORT 2022/23 71 PROGRAMME 4: CLIMATE CHANGE, AIR QUALITY AND SUSTAINABLE DEVELOPMENT DEVIATION FROM AUDITED ACTUAL AUDITED ACTUAL ACTUAL PLANNED TARGET PLANNED ANNUAL REASONS FOR OUTCOME OUTPUT OUTPUT INDICATOR PERFORMANCE PERFORMANCE ACHIEVEMENT TO ACTUAL TARGET 2022/2023 DEVIATIONS 2020/2021 2021/2022 2022/2023 ACHIEVEMENT 2022/2023 Threats on National Air Quality National Air Quality National Air Quality NAQI: 1.12 NAQI: Equals to or NAQI is 1.14 Target missed by Certain areas in the environmental Indicator (NAQI): Indicator Indicator: 1.3 less than 1 0.14 country experience quality and human Equals to poor air quality health mitigated or less than 1 due to among others, industrial activities, domestic fuel burning, traffic pollution, resulting in air quality above ambient air quality standards, especially in priority areas Air quality monitoring Number of air quality 34 monitoring 41 air quality 15-priority area 4-priority area Target missed by 11 Low data recovery stations reporting monitoring stations stations reporting to monitoring ambient air ambient air quality due to power to the South reporting to SAAQIS SAAQIS are meeting stations reporting quality monitoring monitoring stations interruptions African Air Quality meeting minimum data recovery to SAAQIS meeting stations reporting reporting to SAAQIS during load Information System data recovery standard of 75% data recovery to SAAQIS and and meeting data shedding, affecting (SAAQIS) meeting standard of 75% standard of 75% (31 meeting data recovery standard performance of minimum data March 2022) recovery standard of 75% monitoring stations recovery of 75% standard of 75% International Funds raised Financial value of Total resources US$ 135,790,060 US$ 60 million US$ 678 738 570 Target exceeded by Additional donor cooperation from international resources raised mobilized: US$ raised raised US$ 618 738 570 funded projects supportive of SA donors to support from international 715 341 720 materialised during environmental South Africa and donors to support the financial year /sustainable African South Africa and development environment African environment priorities programmes Programmes Summary of Programme Performance The Environmental Sector led largely by the DFFE was the first to develop SETs for greenhouse gas emissions. This is considered an achievement given that it is for the first time that South Africa has established a process for allocating targets to sectors since the promulgation of the National Climate Change Response Policy (NCCRP) in 2011. Government through the NCCRP and the National Development Plan has set itself an ambitious target of becoming a low carbon and climate resilient society and economy. This achievement is a key milestone in realising this long-term objective of government. In terms of mainstreaming climate change into the municipal instruments, nine (9) district municipalities were capacitated (Mopani, Vhembe, Capricorn, Sekhukhune, Waterberg, Garden Route, Overberg, Cape Winelands and the West Coast). Five (5) districts were assessed for disaster management inclusion (Bojananla, West Rand, iLembe, Chris Hani and Sedibeng). In addition, four (4) coastal districts were trained on ocean vulnerability index (Nelson Mandela Metropolitan Municipality, Sarah Baartman District Municipality, Buffalo City Metropolitan Municipality and Amathole District Municipality). DFFE supported four (4) provinces to revise their climate change plans to include mitigation component (Limpopo, North West, Northern Cape and KwaZulu-Natal). Currently, DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 72 the DFFE is revising the plans for Free State and Mpumalanga. In the donor support programme, the department achieved the target of mobilising US$60 million for projects which are local, provincial, national and regional. The department continued to work closely with project proponents and then assisting in securing funding for their projects such as the finance for coal transition for Eskom. Youth development and job creation are an important consideration in the formulation of climate projects. The Global Environmental Facility (GEF) Small Grants Programme for example, for capacity building of youth with an enterprise development focus, has allowed the youth to establish small businesses. In 2021, the Driving Force for Change II Youth Challenge was launched which aimed at assisting South Africa’s young green entrepreneurs and SMMEs to advance green business enterprise development. The Adaptation Fund finances projects and programmes that help vulnerable communities in developing countries adapt to climate change. Initiatives that are based on the country’s needs, views and priorities. To date, South Africa has accessed USD 9,93 million from the Adaptation Fund with two projects that have been approved in the water and multi sector focal areas. These projects are being implemented in KwaZulu–Natal, Northern Cape and Limpopo. 4.4.2 Linking Performance with Budgets 2022/23 2021/22 SUB-PROGRAMME NAME (OVER)/UNDER (OVER)/UNDER ACTUAL EXPENDITURE FINAL APPROPRIATION ACTUAL EXPENDITURE FINAL APPROPRIATION EXPENDITURE EXPENDITURE R’000 R’000 R’000 R’000 R’000 R’000 Climate Change, Air Quality and Sustainable 4 498 501 4 999 6 139 - 6 139 Development Management Climate Change Adaptation 8 873 150 9 023 9 139 - 9 139 Air Quality Management 52 896 1 185 54 081 58 674 45 58 719 South African Weather Service 411 973 - 411 973 332 036 - 332 036 International Climate Change Relations and 15 807 2 753 18 560 13 341 - 13 341 Reporting Climate Change Monitoring and Evaluation 14 236 193 14 429 14 953 - 14 953 International Governance and Resource 45 738 5 284 51 022 44 493 27 052 71 545 Mobilisation Knowledge and Information Management 25 612 1 487 27 099 23 520 - 23 520 Environmental Sector Performance 82 675 4 901 87 576 84 338 - 84 338 Total 662 308 16 454 678 762 586 633 27 097 613 730 Expenditure supports the operation of the South African Weather Service in providing weather forecasts to the citizens of South Africa, air quality monitoring, climate change adaptation, international relations and agreements, ANNUAL REPORT 2022/23 73 4.4.3 Strategy to Overcome Areas of Under Performance For the early warning fire detection alert system, a market study will be undertaken to establish the cost of installing the system and the Terms of Reference will be revised to call for new bids. NAQI: was more than 1 as a result of poor air quality due to persistent air pollution from a range of activities including industrial, domestic fuel and veld fire burning, and traffic pollution. The indicator shows that air quality is above ambient air quality standards especially in the priority areas. The department is finalising priority area regulations that will compel polluters to develop emission reductions plans towards reducing air pollution and ultimately reducing the NAQI. Of the 15-priority area ambient air quality monitoring stations reporting to the SAAQIS, only four (4) stations could meet data requirements because of loadshedding power interruptions. The South African Weather Service is in the process of procuring power back-up systems to reduce data loss and equipment damage due to loadshedding. 4.4.4 Performance in Relation to Standardised Outputs and Output Indicators for Sectors with Concurrent Functions Performance in relation to the standardised outputs and output indicators is not reflected in the Annual Report as the indicators were not included in the 2022/23 Annual Performance Plan. This is due to the inconsistencies in implementing and reporting on standardised indicators by the provinces. The department is working with all provinces to ensure that there is a common understanding on implementing and reporting on the standardised indicators. DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 74 4.5 Programme 5: Biodiversity and Conservation Programme purpose: Ensure the regulation and management of biodiversity, heritage and conservation matters in a manner that facilitates sustainable economic growth and development. Sub-programme: Sub-programme Purpose Biodiversity and Conservation Management Provides for the management and administration of activities in the programme Biodiversity Management and Permitting Plans, manages, protects and conserves South Africa’s biological resources and ecosystems for human wellbeing and sustainable development Protected Areas Systems Management Oversees the establishment, management and maintenance of ecologically representative national and cross-border systems of protected areas to advance the heritage of humankind, and contributes to the objectives of the convention on biological diversity and the sustainable development goals iSimangaliso Wetland Park Authority Transfers funds to the iSimangaliso Wetland Park Authority to cover its personnel and operational expenditure. South African National Parks Transfers funds to South African National Parks to cover its personnel and operational expenditure Biodiversity Monitoring Specialist Services: Provides support services for intergovernmental and legislative biodiversity and science policy; and monitors, evaluates, analyses, negotiates and advises on national and international biodiversity conservation statuses and trends. This subprogramme also catalyses national and international negotiations through the provision of the best available scientific and policy information Biodiversity Economy and Sustainable Use Provides support services for intergovernmental and legislative biodiversity and science policy; and monitors, evaluates, analyses, negotiates and advises on national and international biodiversity conservation statuses and trends. This subprogramme also catalyses national and international negotiations through the provision of the best available scientific and policy information Biodiversity Economy and Sustainable Use Transforms the biodiversity economy through inclusive economic growth, and fair and equitable access to resources Outcomes: • Ecosystems conserved, managed and sustainably used. • Biodiversity threats mitigated. • Improved access, fair and equitable sharing of benefits. ANNUAL REPORT 2022/23 75 4.5.1 Outcomes, Outputs, Output Indicators, Targets and Actual Achievements 4.5.1(a) Report Against the Originally Tabled Annual Performance Plan Until Date of Re-tabling in November 2022 PROGRAMME 5: BIODIVERSITY AND CONSERVATION DEVIATION FROM REASONS FOR ACTUAL AUDITED ACTUAL AUDITED ACTUAL PLANNED TARGET REVISIONS TO THE OUTPUT PLANNED ANNUAL ACHIEVEMENT REASONS FOR OUTCOME OUTPUT PERFORMANCE PERFORMANCE TO ACTUAL OUTPUTS/OUTPUT INDICATOR TARGET 2022/2023 2022/2023 until date DEVIATIONS 2020/2021 2021/2022 ACHIEVEMENT INDICATORS/ of re-tabling 2022/2023 ANNUAL TARGETS Biodiversity White Paper on High Level N/A Implementation White Paper on Following N/A N/A Annual target threats mitigated Conservation Panel (HLP) plan of High-Level Conservation intergovernmental revised to reflect and Sustainable recommendations Panel approved. and Sustainable consultation adoption of the Use of Biological and interventions 2021/22 Annual Use of Biological conducted to White Paper by Diversity on biodiversity actions partially Diversity provide progress Cabinet and not conservation implemented adopted by update on the by Parliament implemented Parliament draft White Paper: • Working Group – July 2022 • MINTECH – August 2022 • MINMEC – August 2022 Improved access, Donated Heads of Number of Annual target No heads of 3 000 heads of Game donation N/A N/A Game donation fair and equitable Game biodiversity not achieved. game donated game donated quarterly meeting programme part sharing of benefits economy Progress to Previously to PDI’s and conducted in of the Biodiversity initiatives towards full Disadvantaged communities August 2022 and Economy Phakisa implemented implementation of Individuals (PDI’s) September 2022 interventions the Game Meat and communities aimed at Processing and transforming Packaging the sector and learnership is based on programme has contribution of been delayed multi stakeholders including provinces, Management Authorities and Industry DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 76 PROGRAMME 5: BIODIVERSITY AND CONSERVATION DEVIATION FROM REASONS FOR ACTUAL AUDITED ACTUAL AUDITED ACTUAL PLANNED TARGET REVISIONS TO THE OUTPUT PLANNED ANNUAL ACHIEVEMENT REASONS FOR OUTCOME OUTPUT PERFORMANCE PERFORMANCE TO ACTUAL OUTPUTS/OUTPUT INDICATOR TARGET 2022/2023 2022/2023 until date DEVIATIONS 2020/2021 2021/2022 ACHIEVEMENT INDICATORS/ of re-tabling 2022/2023 ANNUAL TARGETS Department will instead of aiming to do actual game donation in lower numbers, re- focus its attention on improving coordination of the work to create enabling environment and conditions which enable provinces, Management Authorities and Industry to facilitate game donation to targeted individuals and communities at a larger scale in order to achieve the Medium- Term Strategic Framework target. This coordination measures includes interventions to finalise signing of a memorandum of understanding with the Department of Defence which allow access to more numbers of game for donation ANNUAL REPORT 2022/23 77 4.5.1(b) Report Against the Final Re-tabled Annual Performance Plan in February 2023 PROGRAMME 5: BIODIVERSITY AND CONSERVATION DEVIATION FROM AUDITED ACTUAL AUDITED ACTUAL PLANNED ANNUAL ACTUAL PLANNED TARGET REASONS FOR OUTCOME OUTPUT OUTPUT INDICATOR PERFORMANCE PERFORMANCE TARGET ACHIEVEMENT TO ACTUAL DEVIATIONS 2020/2021 2021/2022 2022/2023 2022/2023 ACHIEVEMENT 2022/2023 Ecosystems Land under Number of hectares 16, 08% (19 615 680 532 ha added to 610 674 ha of 382 517,130 Target missed by Identified land conserved, managed conservation of land added to the 823, 46 ha/ 121 991 the conservation estate land added to ha added to the 228 156,870 parcels have and sustainably conservation estate 200 ha) hectors of conservation conservation estate pending land used per annum land is under formal estate claims conservation. 405 900, 36 ha of land was added to the national register of land under conservation in 2020/21 Status report on Protected Areas The 2020 National 2021 National METT Status report on Draft status report Target not achieved Status report implementation of Management METT assessment assessment score not implementation on implementation not compiled Protected Areas Improvement Plans score has not calculated/ compiled of committed of improvement for remaining Management of Management been calculated improvement plans plan developed for Management Improvement Plans Authorities for reporting. compiled the South African Authorities as monitored and Management National Parks in baseline data annual status report Authorities submitted March 2023 to determine compiled their METT which authorities assessment need to develop reports on the new and implement on-line METT improvement System plans to be which was being collected implemented for the first time in the 2020/21 and a draft report was compiled Designated Ramsar Number of 1 wetland (Ingula 1 Ramsar site 2 interventions: 2 interventions: N/A N/A sites interventions to Nature designated: ensure conservation Reserve) of (Berg Estuary 1 Ramsar site 1 Ramsar site of strategic international designated as the 28th designated designated in March water sources significance (Ramsar Ramsar site on the 2nd 2023 and wetlands site) designated of February 2022) (Middelpunt Nature implemented Reserve) Delineated 22 strategic water Measures to secure 5 strategic water Stakeholder Target missed by Securing strategic strategic water sources delineated 11 delineated strategic sources secured consultations for 5 strategic water water sources sources water sources defined securing 5 strategic sources is dependent water sources on multiple conducted in April, stakeholders and July and August DFFE facilitates 2022 the process DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 78 PROGRAMME 5: BIODIVERSITY AND CONSERVATION DEVIATION FROM AUDITED ACTUAL AUDITED ACTUAL PLANNED ANNUAL ACTUAL PLANNED TARGET REASONS FOR OUTCOME OUTPUT OUTPUT INDICATOR PERFORMANCE PERFORMANCE TARGET ACHIEVEMENT TO ACTUAL DEVIATIONS 2020/2021 2021/2022 2022/2023 2022/2023 ACHIEVEMENT 2022/2023 Biodiversity threats National Regulatory tool to Not applicable Land Degradation National National assessment N/A N/A mitigated assessment report ensure conservation Neutrality assessment report report on the and sustainable transformative on the linkages linkages between use of biodiversity project proposals between migration migration and developed and developed and Desertification, DLDD approved by implemented Land Degradation MINMEC in March and Drought 2023 (DLDD) approved by MINMEC White Paper on High Level Panel Not applicable Implementation plan White Paper on White Paper on N/A N/A Conservation and (HLP) of High-Level Panel Conservation and Conservation and Sustainable Use of recommendations approved. 2021/22 Sustainable Use of Sustainable Use of Biological Diversity and interventions on Annual actions partially Biological Diversity Biological Diversity biodiversity implemented submitted to submitted and conservation Cabinet approved by Cabinet implemented in March 2023 Revised National Not applicable Not applicable National National Biodiversity N/A N/A Biodiversity Biodiversity Economy Strategy Economy Strategy Economy Strategy revised in March revised 2023 Improved access, Jobs created Number of Not applicable 1 619 jobs created 2 biodiversity No (0) jobs created Target missed by Delays in fair and equitable biodiversity economy initiatives 800 procurement sharing of benefits economy initiatives implemented: process of implemented appointing Project 800 jobs created Manager Trained biodiversity 175 biodiversity 452 beneficiaries 200 biodiversity 203 Biodiversity Target exceeded Training plan entrepreneurs entrepreneurs provided with beneficiaries beneficiaries trained by 3 made provision trained accredited training trained (accredited training) to train extra 5 (accredited beneficiaries as training) contingency plan ANNUAL REPORT 2022/23 79 PROGRAMME 5: BIODIVERSITY AND CONSERVATION DEVIATION FROM AUDITED ACTUAL AUDITED ACTUAL PLANNED ANNUAL ACTUAL PLANNED TARGET REASONS FOR OUTCOME OUTPUT OUTPUT INDICATOR PERFORMANCE PERFORMANCE TARGET ACHIEVEMENT TO ACTUAL DEVIATIONS 2020/2021 2021/2022 2022/2023 2022/2023 ACHIEVEMENT 2022/2023 Improved access, Approved Number of benefit 4 Benefit Sharing 5 Benefit Sharing 5 Benefit Sharing Following 14 Benefit Target exceeded 1 permit fair and equitable Benefit Sharing sharing agreements Agreements Agreements approved: Agreements Sharing Agreements by 9 applicant working sharing of benefits Agreements approved approved approved approved: with several • Amabele communities Traditional • Ecoproducts in Limpopo Council CC and submitted 12 • Amabhele Benefit Sharing Traditional 1. Bileni Agreements Council 2. Dambale concluded • Amahlubi 3. Domboni with various Traditional 4. Matatani communities, Council 5. Mukhovha wa based on the • Imingcanngathelo Bale provision of Community 6. Muswodi Dipeni access to the Development 7. Tshikuyu use of particular Trust 8. Tshipise indigenous • Rharhabe 9. Tshirunzini biological Kingdom 10. Tshivaloni resources 11. Tshoko Tshoko 12. Zwigodini 13. San Council of South Africa and Green Engineering Solutions (PTY) LTD 14. South African San Council and Klein Karoo Medicinals Summary of Programme Performance The department has been able to empower PDI’s and SMMEs in the biodiversity sector through accredited courses. This will enhance the transformation agenda in the biodiversity sector. The training and skills empowerment was targeted at women, youth and PDI’s. The White Paper on Conservation and Sustainable Use of Biological Diversity was approved by Cabinet in March 2023 which coincides with the adoption of the Kunming-Montreal Global Biodiversity Framework. In South Africa, the Global Biodiversity Framework will be implemented within the context of the four pillars of the white paper namely, Conservation, Sustainable Use, Equitable Access, and Benefit Sharing and Transformation. This is an important milestone in biodiversity as this policy provides an overarching guiding framework for implementation. The achievement of the National assessment report on the linkages between migration and DLDD is responding to the three current strategic government priorities, i.e., making communities safer, building better lives and job creation. South Africa’s population is exposed to DLDD and live in degraded areas. DLDD affects women, youth and people living with disabilities as they are most vulnerable groups. The outcomes of this report will prioritise those communities who are most affected by DLDD and there will be projects and programmes to address the findings and DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 80 recommendations subject to the availability of funds. The creation of jobs through the projects and programmes will also prioritise women, youth and people living with disabilities. Middelpunt Nature Reserve, situated in Mpumalanga, was designated as Ramsar Site in March 2023, which contributes to the conservation of wetlands. Wetlands are highly productive systems that provides a wide range of essential services upon which surrounding and downstream communities rely, such as water quality maintenance, climate regulation, flood control, and water storage and as such, contribute to making communities safer and building better lives. The Strategic Water Source Areas (SWSA) are those areas which provide 50% of the countries water and support 64% of the country’s economy, 70% of the country’s irrigated agriculture and 50% of the population. 22 SWSA have been identified in South Africa. Securing these areas, including the 5 priority SWSA for the 2022/23 financial year, entails the implementation of several measures that aim to enhance the ability of SWSAs to deliver the maximum quantity of good quality water for people, economic activities and ecosystems, both within and downstream of the SWSA. The conservation and securing of Strategic Water Source Areas, contribute towards making communities safer, building better lives and growing the economy. 4.5.2 Linking Perormance with Budgets 2022/23 2021/22 SUB-PROGRAMME NAME (OVER)/UNDER (OVER)/UNDER ACTUAL EXPENDITURE FINAL APPROPRIATION ACTUAL EXPENDITURE FINAL APPROPRIATION EXPENDITURE EXPENDITURE R’000 R’000 R’000 R’000 R’000 R’000 Biodiversity and Conservation Management 12 418 4 664 17 082 10 247 3 449 13 696 Biodiversity Management and Permitting 39 073 - 39 073 31 658 1 093 32 751 Protected Areas Systems Management 32 336 6 763 39 099 31 610 7 782 39 392 iSimangaliso Wetland Park Authority 137 161 - 137 161 83 499 - 83 499 South African National Parks 444 487 - 444 487 418 024 - 418 024 South African National Biodiversity Institute 493 053 - 493 053 421 112 - 421 112 Biodiversity Monitoring Specialist Services 15 648 7 026 22 674 12 907 - 12 907 Biodiversity Economy and Sustainable Use 31 913 574 32 487 49 574 66 910 116 484 Total 1 206 089 19 027 1 225 116 1 058 631 79 234 1 137 865 Expenditure supported South African National Parks, South African National Biodiversity Institute and the iSimangaliso Wetland Park Authority in the management of ecosystems in the wetland, national parks and biological gardens, management of the Zoological Garden; supported the management of the protected areas of South Africa, issuing of permits, monitoring biodiversity and implement biodiversity economy projects. ANNUAL REPORT 2022/23 81 4.5.3 Strategy to Overcome Areas of Under Performance For target on land added to the conservation estate, publication of new declarations will continue during the 2023/24 financial year as well as upscaling the expansion options beyond the formal process to consider but not limited to the following: Other Effective Conservation Mechanisms – Communal Land, Land owned by the South African National Defence Force, agricultural land, strategic water sources, municipal open spaces, conservancies, indigenous forest areas, biodiversity stewardship and sustainability certified game ranches. The number of Management Authorities for which the status reports will be compiled has been specified in the 2023/24 Annual Performance Plan and the baseline data will be collected timeously. In terms of the number of jobs created, the project will immediately go through the procurement process again, with implementation expected to be executed with support from the South African National Biodiversity Institute, given their endowment with indigenous plant species seedlings and other related capacities. 4.5.4 Performance in Relation to Standardised Outputs and Output Indicators for Sectors with Concurrent Functions Performance in relation to the standardised outputs and output indicators is not reflected in the Annual Report as the indicators were not included in the 2022/23 Annual Performance Plan. This is due to the inconsistencies in implementing and reporting on standardised indicators by the provinces. The department is working with all provinces to ensure that there is a common understanding on implementing and reporting on the standardised indicators. DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 82 4.6 Programme 6: Environmental Programmes Programme purpose: Implement the expanded public works programme and green economy projects in the environmental sector. Sub-programmes: Sub-programme Purpose Environmental Protection and Infrastructure Programme Manages the planning and implementation of the environmental protection and infrastructure programmes of the expanded public works programme (War on Waste, Working for the Coast, Working for Wetlands, People and Parks, and open space management) across South Africa using labour-intensive methods that target the unemployed, women, young people, people with disabilities, and small, medium and micro enterprises Natural Resource Management Provides management, operational oversight and supervision for the optimal functioning and development of the natural resources management programmes of the expanded public works programme (Working for Water, Working for Land, Working for Energy: Biomass, Working on Fire, Working for Forests, value-added industries, and partnerships for eradicating invasive alien non-plant species and protecting wetlands) Green Fund Invests in projects to protect the environment by working with the donor community and the private sector Environmental Programmes Management Provides strategic leadership and overall management services to the programme Information Management and Sector Coordination Ensures effective knowledge and information management support services for branch activities and manages the coordination of socioeconomic interventions for the sector Outcomes: • More decent jobs created and sustained, with youth, women and persons with disabilities prioritised. • Ecosystems rehabilitated and managed. • Integrated fire management. • Infrastructure, adaptation and disaster risk reduction. • Improved human resources capacity of the sector. ANNUAL REPORT 2022/23 83 4.6.1 Outcomes, Outputs, Output Indicators, Targets and Actual Achievements 4.6.1(a): Report Against the Originally Tabled Annual Performance Plan Until Date of Re-tabling in November 2022 PROGRAMME 6: ENVIRONMENTAL PROGRAMMES DEVIATION FROM REASONS FOR ACTUAL AUDITED ACTUAL AUDITED ACTUAL PLANNED TARGET REVISIONS TO THE OUTPUT PLANNED ANNUAL ACHIEVEMENT REASONS FOR OUTCOME OUTPUT PERFORMANCE PERFORMANCE TO ACTUAL OUTPUTS/OUTPUT INDICATOR TARGET 2022/2023 2022/2023 until date DEVIATIONS 2020/2021 2021/2022 ACHIEVEMENT INDICATORS/ of re-tabling 2022/2023 ANNUAL TARGETS More decent Full Time Number of FTEs Total FTEs 18 208 FTEs 31 957 6 809 Full Time Target missed by N/A Approved jobs created and Equivalents created created: 19 613 created Equivalents 25 148 planned annual sustained, with (FTEs) created created target based on youth, women Programme: 15 assumption that and persons 095 FTEs (Q1 = 989 + Q2= vehicles delivered with disabilities 5 820) by April 2022. prioritised Presidential Delays in delivery Employment of vehicles Stimulus: 4 518 affected the FTEs implementation of planned work. Delivery of vehicles only started in September 2022 which means workers start in October 2022, already halfway the financial year. Achievement of target is also dependent on the delivery of seedlings. Management made efforts to procure seedlings before the beginning of the 2022/23 financial year. Procurement process not yet finalised. Suppliers/growers require 6 months for seedlings to be ready for planting DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 84 PROGRAMME 6: ENVIRONMENTAL PROGRAMMES DEVIATION FROM REASONS FOR ACTUAL AUDITED ACTUAL AUDITED ACTUAL PLANNED TARGET REVISIONS TO THE OUTPUT PLANNED ANNUAL ACHIEVEMENT REASONS FOR OUTCOME OUTPUT PERFORMANCE PERFORMANCE TO ACTUAL OUTPUTS/OUTPUT INDICATOR TARGET 2022/2023 2022/2023 until date DEVIATIONS 2020/2021 2021/2022 ACHIEVEMENT INDICATORS/ of re-tabling 2022/2023 ANNUAL TARGETS Ecosystems Hectares of Number of 58 908,53 37 162.13 127 127 11 486,33 Target missed N/A Approved annual rehabilitated and invasive plant hectares receiving hectares hectares hectares receiving by 115 640,67 target set with managed species cleared initial clearing of initial clearing of hectares understanding invasive plant invasive plant that Department species species was going to enter into new 3-year contracts from the tender that cancelled. Cancelation of tender resulted in need to significantly downscale initial hectare target for 2022/23 ANNUAL REPORT 2022/23 85 4.6.1(b): Report Against the Second Re-tabled Annual Performance Plan until date of re-tabling in February 2023 PROGRAMME 6: ENVIRONMENTAL PROGRAMMES REASONS FOR DEVIATION FROM PLANNED ACTUAL REVISIONS TO AUDITED ACTUAL AUDITED ACTUAL PLANNED TARGET OUTPUT ANNUAL ACHIEVEMENT REASONS FOR THE OUTPUTS/ OUTCOME OUTPUT PERFORMANCE PERFORMANCE TO ACTUAL INDICATOR TARGET 2022/2023 until date DEVIATIONS OUTPUT 2020/2021 2021/2022 ACHIEVEMENT 2022/2023 of re-tabling INDICATORS/ 2022/2023 ANNUAL TARGETS More decent FTEs created Number of FTEs Total FTEs created: 18 208 FTEs 1 500 FTEs 5 388 FTEs created Target exceeded by N/A Approved jobs created created in the 19 613 created created 3 888 planned annual and sustained, forestry sector target based on with youth, Programme: 15 095 assumption that women and FTEs vehicles delivered persons with by April 2022. disabilities Presidential Delays in delivery prioritised Employment of vehicles Stimulus: 4 518 affected the FTE’s implementation of planned work. Delivery of vehicles only started in September 2022 which means workers start in October 2022, already halfway the financial year. Achievement of target is also dependent on the delivery of seedlings. Management made efforts to procure seedlings before the beginning of the 2022/23 financial year. Procurement process not yet finalised. Suppliers/growers require 6 months for seedlings to be ready for planting DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 86 4.6.1(c) Report Against the final Re-tabled Annual Performance Plan in February 2023 PROGRAMME 6: ENVIRONMENTAL PROGRAMMES DEVIATION FROM AUDITED ACTUAL AUDITED ACTUAL PLANNED ANNUAL ACTUAL PLANNED TARGET REASONS FOR OUTCOME OUTPUT OUTPUT INDICATOR PERFORMANCE PERFORMANCE TARGET ACHIEVEMENT TO ACTUAL DEVIATIONS 2020/2021 2021/2022 2022/2023 2022/2023 ACHIEVEMENT 2022/2023 More decent FTEs created Number of FTEs Total FTEs created: 18 208 FTEs created 30 507 20 209 FTEs created Target missed by Delays in obtaining jobs created and 19 613 10 298 variation orders and sustained, with orders for single youth, women Programme: 15 095 source projects and persons with FTEs in place resulted disabilities prioritised in work planned Presidential to commence in Employment August 2022 only Stimulus: 4 518 commencing in FTEs November 2022 Work opportunities Number of work Total work 43 911 Work 67 002 58 858 Work Target missed by Lack of new created opportunities opportunities: 58 652 opportunities opportunities created 8 144 projects other created created (66%) • 60% Women than single source Programme budget: Women: 52% (22 • 55% youth • Women = (52%) • Target missed projects meant that 34 709 798/43 911) 30 784/58 858 by 8% for implementation • Youth = (60%) 35 women of projects only Work opportunities 372/58 858 • Target commenced in Presidential exceeded by November 2022 Employment 5% for youth Stimulus: 23 943 Trained participants Number of 7 584 participants on 970 participants on 16 872 13 604 participants Target missed by Delays due to participants accredited training accredited training who completed 3 268 procurement who completed programmes were programmes declared accredited training processes accredited training declared competent competent programmes programmes ANNUAL REPORT 2022/23 87 PROGRAMME 6: ENVIRONMENTAL PROGRAMMES DEVIATION FROM AUDITED ACTUAL AUDITED ACTUAL PLANNED ANNUAL ACTUAL PLANNED TARGET REASONS FOR OUTCOME OUTPUT OUTPUT INDICATOR PERFORMANCE PERFORMANCE TARGET ACHIEVEMENT TO ACTUAL DEVIATIONS 2020/2021 2021/2022 2022/2023 2022/2023 ACHIEVEMENT 2022/2023 Ecosystems Hectares of invasive Number of hectares 58 908,53 hectares 37 162.13 hectares 98 126 47 120,346 hectares Target missed by Floods in the rehabilitated and plant species receiving initial receiving initial 51 005,654 South African managed cleared clearing of invasive clearing of invasive National Parks plant species plant species (Kruger National Park) in February Number of hectares 209 813,90 hectares 312 566.57 hectares 457 607 416 115,803 Target missed by 2023 resulted in receiving follow-up hectares receiving 41  491,197 inaccessibility of an clearing of invasive follow-up clearing estimated 10 000 plant species of invasive plant hectares species Delays in obtaining variation orders and orders for single source projects in place resulted in work planned to commence in August 2022 only commencing in November 2022   Lack of new projects other than single source projects meant that implementation of projects only commenced in November 2022 Wetlands Number of wetlands 115 wetlands under 80 wetlands under 100 125 wetlands under Target exceeded Speedy procurement rehabilitated under rehabilitation rehabilitation rehabilitation rehabilitation by 25 processes resulted in additional wetlands being rehabilitated Kilometers of Number of 1 806 km kilometres 2 046 kilometres of 2 116 km 2 116 kilometres of N/A N/A accessible coastline kilometres of of accessible accessible coastline accessible coastline cleaned accessible coastline coastline cleaned cleaned cleaned cleaned Integrated fire Wildfires suppressed Percentage of 100% (1 791/1 791) 100% (1 651/1 651) 90% 100% (1 380/1 380) Target exceeded Working on Fire do management wildfires suppressed wildfires suppressed wildfires suppressed wildfires suppressed by 10% not put teams and resources down until fire is contained DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 88 PROGRAMME 6: ENVIRONMENTAL PROGRAMMES DEVIATION FROM AUDITED ACTUAL AUDITED ACTUAL PLANNED ANNUAL ACTUAL PLANNED TARGET REASONS FOR OUTCOME OUTPUT OUTPUT INDICATOR PERFORMANCE PERFORMANCE TARGET ACHIEVEMENT TO ACTUAL DEVIATIONS 2020/2021 2021/2022 2022/2023 2022/2023 ACHIEVEMENT 2022/2023 Infrastructure, Biodiversity Number of 12 business 21 Biodiversity 22 22 Target exceeded Projects planned to adaptation and Infrastructure Biodiversity plans approved Economy infrastructure (10 constructed (21 constructed and by 11 for provide renovated disaster risk buildings and Infrastructure for construction facilities constructed and 12 renovated) 1 renovated) construction facilities not reduction accommodation buildings and of Biodiversity executed, as awaited units constructed or accommodation Economy Target missed by for Construction renovated units constructed or infrastructure 11 for renovations Industry renovated facilities Development Board Contractors to be contracted (process with Supply Chain Management) Overnight visitor and Number of overnight 11 units established 17 overnight 20 21 overnight Target exceeded 1 staff staff accommodation visitor and staff and renovated: visitor and staff visitor and staff by 1 accommodation (LP units, and accommodation 1 staff accommodation units accommodation Masebe) completed administrative units constructed accommodation and administrative units constructed earlier than planned buildings unit established, buildings constructed/ due to availability of constructed 1 administrative renovated resources building and 9 staff -10 visitor’s accommodation accommodation renovated units constructed in LP- Tshivhase Nature Reserve -6 visitor’s accommodation units upgraded in NW- Bloemhof Nature Reserve -1 Admin building constructed in LP- Tshivhase Nature Reserve The Programme has overachieved its target with two units this is due to the fact that the two units for NW- Bloemhof were supposed to be completed the previous financial year but were not handed over due to poor quality. Remedial work was done this year and handed over ANNUAL REPORT 2022/23 89 PROGRAMME 6: ENVIRONMENTAL PROGRAMMES DEVIATION FROM AUDITED ACTUAL AUDITED ACTUAL PLANNED ANNUAL ACTUAL PLANNED TARGET REASONS FOR OUTCOME OUTPUT OUTPUT INDICATOR PERFORMANCE PERFORMANCE TARGET ACHIEVEMENT TO ACTUAL DEVIATIONS 2020/2021 2021/2022 2022/2023 2022/2023 ACHIEVEMENT 2022/2023 Infrastructure, Buy-back centers Number of buy-back N/A 2 waste buy-back 4 1 buy-back centre Target missed Delays in adaptation and and transfer stations centres and transfer centres constructed (3 constructed and transfer station by 3 procurement disaster risk constructed and stations constructed and or refurbished and 1 constructed (Murray process reduction renovated and renovated) Landfill Site Project) Target missed by renovated 2 for constructed Target missed by 1 for renovated Improved human Students placed Number of A database of N/A 400 WIL students 424 WIL students Target exceeded Students who opted resources capacity in Work Integrated beneficiaries 250 selected placed with host placed with host by 24 to undertake shorter of the sector Learning (WIL) participating on students has been employers to employers to or the prescribed Programme the Department’s created for complete complete their WIL contract to fulfil skills development placement on the their environmental environmental only their academic programmes work integrated qualifications qualifications requirements and learning programme. thereby making more In addition, a total available spaces of twenty (20) to accommodate employers have additional students registered on the database to host the selected students. Summary of Programme Performance The department exceeded its youth employment targets by achieving 60% instead of the 55% target. The work opportunities created during the financial year include various municipal cleaning projects across the country. Through these projects, the department has developed and implemented an innovative in-house implementation model implemented through a tangible partnership with the municipalities. The work opportunities also catered for previously unemployed graduates and their participation is critical to achieve the long-term human capital development priority for the sector. In prioritising follow-up clearing, the department was able to protect its earlier investments on initial clearing of areas invaded by invasive alien plants. The department was able to achieve its target of cleaning and maintaining the 2116km of coastline, which has implication on local economic development, e.g., supporting tourism in coastal provinces. Through its Working on Fire Programme, the department was able to contain wildland fires, preventing them from escalating into disasters. The achievement and exceeding of the wetland rehabilitation target implies that the department contributed to the protection and conservation of wetlands and optimise their ability and potential to provide the ecosystem services. DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 90 4.6.2 Linking Performance with Budgets 2022/23 2021/22 SUB-PROGRAMME NAME (OVER)/UNDER (OVER)/UNDER ACTUAL EXPENDITURE FINAL APPROPRIATION ACTUAL EXPENDITURE FINAL APPROPRIATION EXPENDITURE EXPENDITURE R’000 R’000 R’000 R’000 R’000 R’000 Environmental Protection and Infrastructure 1 057 094 4 295 1 061 389 943 013 588 961 1 531 974 Programme Natural Resource Management 2 041 250 41 438 2 082 688 1 582 627 458 499 2 041 126 Environmental Programme Management 6 058 210 6 268 8 265 - 8 265 Information Management and Sector 61 861 4 381 66 242 52 441 - 52 441 Coordination Total 3 166 263 50 324 3 216 587 2 586 346 1 047 460 3 633 806 Expenditure supports the implementation of the Expanded Public Works Programme in the environment sector by creating jobs and opportunities and support the eradication of alien invasive plants, execution of the fire support programme. 4.6.3 Strategy to Overcome Areas of Under Performance The department will ensure that procurement processes are in place to accelerate appointment of service providers. Furthermore, an in-house model in partnership with local government (alignment to sector Local Government Support Strategy) has been implemented to ensure the achievement of Full Time Equivalents, work opportunities, participants who completed accredited training programmes, hectares receiving initial clearing of invasive plant species, hectares receiving follow-up clearing of invasive plant species, Biodiversity Infrastructure buildings and accommodation units constructed or renovated, and of buy-back centres and transfer stations constructed and renovated. 4.6.4 Performance in Relation to Standardised Outputs and Output Indicators for Sectors with Concurrent Functions Performance in relation to the standardised outputs and output indicators is not reflected in the Annual Report as the indicators were not included in the 2022/23 Annual Performance Plan. This is due to the inconsistencies in implementing and reporting on standardised indicators by the provinces. The department is working with all provinces to ensure that there is a common understanding on implementing and reporting on the standardised indicators. ANNUAL REPORT 2022/23 91 4.7 Programme 7: Chemicals and Waste Management Programme purpose: Manage and ensure that chemicals and waste management policies and legislation are implemented and enforced in compliance with chemicals and waste management authorisations, directives and agreements. Sub-programmes: Sub-programme Purpose Chemicals and Waste Management Provides strategic leadership and overall management services to the programme Hazardous Waste Management and Licensing Develops and implements processes and systems for the efficient and effective administration of the department’s authorisation of waste management activities. This subprogramme also ensures that less hazardous waste streams are released into the environment and that contaminated land is rehabilitated Integrated Waste Management and Strategic Support Ensures the development of national policies, strategies, legislation, norms and standards; builds capacity in government, industry and civil society to respond to the challenges of pollution resulting from poor general waste management; and contributes to the provision of basic waste services to all citizens of South Africa Chemicals and Waste Policy, Evaluation and Monitoring Ensures the development of national policies, strategies, legislation, norms and standards; and monitors and evaluates the impact of chemicals and waste management policies Chemicals Management Manages, facilitates, plans and coordinates the department and South Africa’s engagement and cooperation in multilateral chemicals and waste agreements, and related international cooperation and national programmes Waste Bureau Promotes and facilitates the minimisation, reuse, recycling and recovery of waste by providing specialist advice and support for the development of integrated waste management plans for industry and municipalities Outcomes: • Threats on environmental quality and human health mitigated. • An adequately capacitated local sphere of government which is able to effective execute its environmental management function. DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 92 4.7.1 Outcomes, Outputs, Output Indicators, Targets and Actual Achievements 4.7.1(a): Report Against the Originally Tabled Annual Performance Plan Until date of Re-Tabling in November 2022 PROGRAMME 7: CHEMICALS AND WASTE MANAGEMENT DEVIATION FROM REASONS FOR ACTUAL AUDITED ACTUAL AUDITED ACTUAL PLANNED TARGET REVISIONS TO THE OUTPUT PLANNED ANNUAL ACHIEVEMENT REASONS FOR OUTCOME OUTPUT PERFORMANCE PERFORMANCE TO ACTUAL OUTPUTS/OUTPUT INDICATOR TARGET 2022/2023 2022/2023 until date DEVIATIONS 2020/2021 2021/2022 ACHIEVEMENT INDICATORS/ of re-tabling 2022/2023 ANNUAL TARGETS Threats on Regulations to Number of Mercury Mercury Regulations to Comments N/A N/A Evaluation of environmental ban 4 mercury chemicals Management Management ban 2 mercury incorporated into market readiness quality and human products management National National containing draft Mercury for alternatives health mitigated legislative and Implementation Implementation products Regulations mercury regulatory Plan for the Plan for the (thermometers containing instruments Minamata Minamata and batteries) products developed and Convention Convention published for require further implemented revised adopted by implementation engagement Cabinet with Dental Association. Related technical complexity requires unforeseen extended time to address extensive comments received with the 1st draft published for public comments Section 29 plan Number of waste Draft Section Section 29 National Notice of intention N/A N/A Monopoly management 29 plan on IndWMP Environmental to approve nature of single legislative and Management published for Management: Section 29 plan implementer regulatory of waste tyres comments with a Waste Act not yet published model require instruments developed closing of 07 April for public revision to developed and 2022. Industry Section 29 comments mitigate the implemented Consultation industry waste associated risk of session for tyre management operational failure. comments held on plan 25 March 2022 published for implementation ANNUAL REPORT 2022/23 93 PROGRAMME 7: CHEMICALS AND WASTE MANAGEMENT DEVIATION FROM REASONS FOR ACTUAL AUDITED ACTUAL AUDITED ACTUAL PLANNED TARGET REVISIONS TO THE OUTPUT PLANNED ANNUAL ACHIEVEMENT REASONS FOR OUTCOME OUTPUT PERFORMANCE PERFORMANCE TO ACTUAL OUTPUTS/OUTPUT INDICATOR TARGET 2022/2023 2022/2023 until date DEVIATIONS 2020/2021 2021/2022 ACHIEVEMENT INDICATORS/ of re-tabling 2022/2023 ANNUAL TARGETS Threats on Waste diverted Percentage of Notices in terms 12,52% (21 Paper and Mid-year report for N/A N/A Revised model environmental from landfill sites waste diverted of Section 18 324,63 tonnes packaging: 60% diversion of paper required more quality and human from landfill sites for management of waste tyres and packaging research and health mitigated (prioritized waste of paper & diverted against waste compiled stakeholder streams) packaging, an estimated 170 using unverified consultation. e-waste and 266 tonnes of waste diversion Department met lighting waste waste tyres arising tonnages figures with industry in published for annually) as reported by August 2022 to public comments industry and discuss multiple Paper and municipalities implementer packaging: 60% model which E-waste: 10% Mid-year report for N/A N/A (2 326 tonnes of resulted in need the diversion of 3 877 tonnes) for revision of plan E-Waste compiled diverted E-waste: before publication using unverified 10% (36 000 of due to challenges waste diversion 360 000) diverted with interim tonnages figures Lighting waste: performance as reported by 5% (13 591 reports from industry and tonnes of 271 Producer municipalities 810) diverted Responsibility Lighting: 12% Mid-year report for N/A N/A Organisations the diversion of (PROs) on paper Lighting compiled and packaging using unverified waste diversion, waste diversion target changed tonnages figures to tonnages as reported by as opposed to industry and being a variable municipalities of tonnages put onto the market (percentage) Denominator was total new products (tonnages) put onto the South African market including imports. This denominator is variable DFFE have struggled to put acceptable level of assurance linked to verification process DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 94 PROGRAMME 7: CHEMICALS AND WASTE MANAGEMENT DEVIATION FROM REASONS FOR ACTUAL AUDITED ACTUAL AUDITED ACTUAL PLANNED TARGET REVISIONS TO THE OUTPUT PLANNED ANNUAL ACHIEVEMENT REASONS FOR OUTCOME OUTPUT PERFORMANCE PERFORMANCE TO ACTUAL OUTPUTS/OUTPUT INDICATOR TARGET 2022/2023 2022/2023 until date DEVIATIONS 2020/2021 2021/2022 ACHIEVEMENT INDICATORS/ of re-tabling 2022/2023 ANNUAL TARGETS Threats on Waste diverted Percentage of Notices in terms 12,52% (21 Given that waste environmental from landfill sites waste diverted of Section 18 324,63 tonnes facilities are quality and human from landfill sites for management of waste tyres compelled by the health mitigated (prioritized waste of paper & diverted against waste information streams) packaging, an estimated 170 Regulations e-waste and 266 tonnes of to report on lighting waste waste tyres arising tonnages of published for annually) waste they have public comments processed then Paper and the Department packaging: 60% will be able to (2 326 tonnes of use information 3 877 tonnes) that reported on diverted E-waste: the South African 10% (36 000 of Waste Information 360 000) diverted System (SAWIS) Lighting waste: to confirm the 5% (13 591 “claims” linked tonnes of 271 to the waste 810) diverted diversion claimed by Producer Responsibility Organisations Revision is to change the expression of annual diversion target from percentage to weight ANNUAL REPORT 2022/23 95 4.7.1(b): Report against the second re-tabled Annual Performance Plan until date of re-tabling in February 2023 PROGRAMME 7: CHEMICALS AND WASTE MANAGEMENT DEVIATION FROM REASONS FOR ACTUAL AUDITED ACTUAL AUDITED ACTUAL PLANNED TARGET REVISIONS TO THE OUTPUT PLANNED ANNUAL ACHIEVEMENT REASONS FOR OUTCOME OUTPUT PERFORMANCE PERFORMANCE TO ACTUAL OUTPUTS/OUTPUT INDICATOR TARGET 2022/2023 2022/2023 until date DEVIATIONS 2020/2021 2021/2022 ACHIEVEMENT INDICATORS/ of re-tabling 2022/2023 ANNUAL TARGETS Threats on Waste diverted Number of waste Notices in terms 12,52% (21 2 326 tons Mid-year report N/A N/A Due to challenges environmental from landfill sites tonnes diverted of Section 18 324,63 tonnes diverted for the diversion with interim quality and human from landfill sites for management of waste tyres (Paper and of paper and performance health mitigated (prioritized waste of paper & diverted against packaging) packaging reports from streams) packaging, an estimated 170 waste compiled Producer e-waste and 266 tonnes of using unverified Responsibility lighting waste waste tyres arising waste diversion Organisations published for annually) tonnages figures (PROs) on paper public comments as reported by and packaging Paper and industry and waste diversion, packaging: 60% municipalities target changed (2 326 tonnes of to tonnages 3 877 tonnes) as opposed to diverted E-waste: being a variable 10% (36 000 of of tonnages put 360 000) diverted onto the market Lighting waste: (percentage) 5% (13 591 tonnes of 271 Denominator was 810) diverted total new products (tonnages) put onto the South African market including imports. This denominator is variable DFFE have struggled to put acceptable level of assurance linked to verification process. Given that waste facilities are compelled by the waste information Regulations to report on tonnages of waste they have processed then DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 96 PROGRAMME 7: CHEMICALS AND WASTE MANAGEMENT DEVIATION FROM REASONS FOR ACTUAL AUDITED ACTUAL AUDITED ACTUAL PLANNED TARGET REVISIONS TO THE OUTPUT PLANNED ANNUAL ACHIEVEMENT REASONS FOR OUTCOME OUTPUT PERFORMANCE PERFORMANCE TO ACTUAL OUTPUTS/OUTPUT INDICATOR TARGET 2022/2023 2022/2023 until date DEVIATIONS 2020/2021 2021/2022 ACHIEVEMENT INDICATORS/ of re-tabling 2022/2023 ANNUAL TARGETS the Department will be able to use information that reported on SAWIS to confirm the “claims” linked to the waste diversion claimed by Producer Responsibility Organisations Revision is to change the expression of annual diversion target from percentage to weight ANNUAL REPORT 2022/23 97 4.7.1(c) Report Against the Final Re-Tabled Annual Performance Plan in February 2023 PROGRAMME 7: CHEMICALS AND WASTE MANAGEMENT DEVIATION FROM AUDITED ACTUAL AUDITED ACTUAL PLANNED ANNUAL ACTUAL PLANNED TARGET REASONS FOR OUTCOME OUTPUT OUTPUT INDICATOR PERFORMANCE PERFORMANCE TARGET ACHIEVEMENT TO ACTUAL DEVIATIONS 2020/2021 2021/2022 2022/2023 2022/2023 ACHIEVEMENT 2022/2023 Threats on Regulations to ban 4 Number of chemicals Mercury Mercury Regulations to Regulations to N/A N/A environmental mercury products management Management Management phase out mercury phase out mercury quality and human legislative and National National containing containing products health mitigated regulatory Implementation Plan Implementation Plan products published published for public instruments for the Minamata for the Minamata for public comments in March developed and Convention revised Convention adopted comments 2023 implemented by Cabinet Prior Informed Consent N/A 6 Industrial Prior Informed Prior Informed N/A N/A Amendment regulations persistent organic Consent Consent Amendment pollutants phased Amendment regulations out through regulations published for publication published for implementation in of prohibiting implementation February 2023 regulations in May 2021 Decreased Percentage 47% percentage 60.4% HCFC HCFC consumption 54 Ozone Depleting Target exceeded by Import quarter hydrochlorofluorocarbon decrease of HCFC of HCFC decrease Quantity reduced by 45% - Substances (ODS) 22.4% allocation was (HCFC) consumption consumption (Quarter 1 – 4). 2 Reduction: 2 313.09 tons from applications were controlled 432.79 tonnes / 5 baseline of 5 processed with to remain in 140.20 tonnes x 100 =Baseline – 140.20 tons (not cumulative (Q1 - Q4) the allowable (Quantity reduction / Accumulated exceed allowable 2 HCFC % Reduced consumption of Baseline x 100)) Quantity 827.11 tons) = QR/BL x 100 = 3 2 827,11 tons Consumption 462,2326 T/ 5140.20 = 5 140,2 Tonne–s - T x 100 = 67,4% 2 037,4431 = 3 102,76/ 5 140,20*100 = 60.4% Notices of intention in Number of waste N/A Notices gazetted for 2 legal 2 legal instruments: N/A N/A terms of Section 18 for management Extended Producer instruments: management of portable legislative and Responsibility (EPR) Notices of intention batteries, Oils and regulatory in terms of s18 Notices of intention in terms of Section pesticides waste instruments of NEMWA for 3 in terms of Section 18 for management developed and identified sectors: 18 for management of lubricant oils, implemented of lubricant oils, pesticides and • Pesticides pesticides and batteries published • Oils batteries published for implementation in • Batteries for implementation March 2023 DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 98 PROGRAMME 7: CHEMICALS AND WASTE MANAGEMENT DEVIATION FROM AUDITED ACTUAL AUDITED ACTUAL PLANNED ANNUAL ACTUAL PLANNED TARGET REASONS FOR OUTCOME OUTPUT OUTPUT INDICATOR PERFORMANCE PERFORMANCE TARGET ACHIEVEMENT TO ACTUAL DEVIATIONS 2020/2021 2021/2022 2022/2023 2022/2023 ACHIEVEMENT 2022/2023 Section 29 plan Number of waste Draft Section 29 plan Section 29 IndWMP Notice of intent to Notice of intent to N/A N/A management on Management published for approve Section 29 approve Section legislative and of waste tyres comments with a published 29 published in regulatory developed closing of 07 April December 2022 instruments 2022. Industry developed and consultation session implemented for comments held on 25 March 2022 Waste diverted from Number of waste Notices in terms 12,52% (21 324,63 2 326 000 tons 1 658 345,2 tons Target missed by Waste landfill sites tonnes diverted of Section 18 for tonnes of waste diverted diverted (paper and 667 654,8 management from landfill sites management of tyres diverted (Paper and packaging) facilities that (prioritized waste paper & packaging, against an estimated packaging) contribute to streams) e-waste and lighting 170 266 tonnes of diversion (i.e., waste published for waste tyres arising recycling and public comments annually) energy recovery) reporting to Paper and PROs may not packaging: 60% (2 all be reporting 326 tonnes of 3 877 to SAWIS as tonnes) diverted per National E-waste: 10% (36 Environmental 000 of 360 000) Management diverted Lighting Waste Act waste: 5% (13 591 (NEMWA) and tonnes of 271 810) its Regulations diverted due to thresholds controls Lack of timeous reporting of free riders Non-payment of waste picker collection service fee led to low collection of recyclables 36 000 tons 41 147 tons diverted Target exceeded by More E-waste diverted (E-waste) 5 147 diverted than (E-waste) planned ANNUAL REPORT 2022/23 99 PROGRAMME 7: CHEMICALS AND WASTE MANAGEMENT DEVIATION FROM AUDITED ACTUAL AUDITED ACTUAL PLANNED ANNUAL ACTUAL PLANNED TARGET REASONS FOR OUTCOME OUTPUT OUTPUT INDICATOR PERFORMANCE PERFORMANCE TARGET ACHIEVEMENT TO ACTUAL DEVIATIONS 2020/2021 2021/2022 2022/2023 2022/2023 ACHIEVEMENT 2022/2023 9 847 tons diverted 195.8 tons diverted Target missed by Delays in (Lighting waste) (Lighting waste) 9 651,2 concurrence for Extended Producer Responsibility (EPR) fees led to late start from some PROs   Free riders contributed to the failure to achieve the diversion. 1 PRO did not submit a report on diversion. 1 PRO report indicated that no diversion achieved Number of tonnages N/A 12,52% (21 27 243 36 354,76 tonnages Target exceeded by Increase in of waste tyres 324,63/170 266)*100 of waste tyres 9 111,76 processing processed tonnages of waste processed capacity due to tyres processed new companies registered for supply of waste tyres DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 100 PROGRAMME 7: CHEMICALS AND WASTE MANAGEMENT DEVIATION FROM AUDITED ACTUAL AUDITED ACTUAL PLANNED ANNUAL ACTUAL PLANNED TARGET REASONS FOR OUTCOME OUTPUT OUTPUT INDICATOR PERFORMANCE PERFORMANCE TARGET ACHIEVEMENT TO ACTUAL DEVIATIONS 2020/2021 2021/2022 2022/2023 2022/2023 ACHIEVEMENT 2022/2023 An adequately Trained municipal Number of Municipal 157 Municipal 339 beneficiaries 300 Municipal 302 Municipal Target exceeded Higher capacitated Councillors and officials Councillors and Councillors and/or trained (6 Municipal Councillors and/or Councillors and/or by 2 participation than local sphere officials trained on officials trained councillors and 333 officials trained officials trained planned due to of government waste management municipal officials) more interest which is able to demonstrated by effective execute participants its environmental Municipal cleaning Number of municipal N/A N/A Cleaning Cleaning campaigns Target exceeded Clean-up management campaigns cleaning campaigns campaigns conducted in 20 by 4 campaigns function conducted conducted in 16 municipalities included municipalities ministerial campaigns which were not planned for during the financial year Summary of Programme Performance Through the Waste Management yellow fleet support initiative, the department was able to assist municipalities that have been struggling with increasing household access to waste collection services, illegal dumping and proper management of landfill sites. DFFE purchased yellow fleet on behalf of the municipalities to assist municipalities to increase household access to waste collection service, clearing of illegal dumping site and improvement in the management of landfill sites / waste disposal sites. 34 district municipalities have benefited with 59 municipalities having received either a Compactor Truck, Skip Loader, Tractor Loader Backhoe (TLB) or Front-End Loader (FEL). The department has established a Recycling Enterprise Support Programme (RESP) which is being implemented nation-wide, with the objective to support SMMEs with funding for diverting waste away from landfill, through recycling, job creation and economic growth in municipalities and provinces where these enterprises operate. ANNUAL REPORT 2022/23 101 4.7.2 Linking Performance with Budget 2022/23 2021/22 SUB-PROGRAMME NAME (OVER)/UNDER (OVER)/UNDER ACTUAL EXPENDITURE FINAL APPROPRIATION ACTUAL EXPENDITURE FINAL APPROPRIATION EXPENDITURE EXPENDITURE R’000 R’000 R’000 R’000 R’000 R’000 Chemicals and Waste Management 26 342 (5 631) 20 711 22 421 (1 189) 21 232 Hazardous Waste Management and Licensing 27 130 - 27 130 29 781 - 29 781 Integrated Waste Management and Strategic 112 960 - 112 960 46 528 - 46 528 Support Chemicals and Waste Policy, Evaluation and 120 670 41 120 711 60 901 - 60 901 Monitoring Chemicals Management 16 722 1 233 17 955 15 848 - 15 848 Waste Bureau 313 505 13 994 327 499 312 642 112 033 424 675 Total 617 329 9 637 626 966 488 121 110 844 598 965 Expenditure supported the operations of the Waste Bureau, support to Municipalities in procurement of vehicles for waste management, implementation of the Recycling Enterprise Support Programme, hazardous waste management, policy creation, evaluation and monitoring. 4.7.3 Strategy to Overcome Areas of Under Performance Regarding the tons diverted for paper and packing, and lighting waste, the department is utilising the Protection of Personal Information Act and Promotion of Access to Information Act to reconcile the tonnages reported by PROs versus those on SAWIS. Furthermore, efforts are made in improving collaboration of PROs with municipalities and influencing the development of infrastructure and incentivisation of separate collection of waste including payment of collection service fee for waste pickers. The department prioritised compliance and enforcement actions to address non- compliance with EPR regulations. Capacity building session will be held with other successful PROs based in developing countries. 4.7.4 Performance in Relation to Standardised Outputs and Output Indicators for Sectors with Concurrent Functions Performance in relation to the standardised outputs and output indicators is not reflected in the Annual Report as the indicators were not included in the 2022/23 Annual Performance Plan. This is due to the inconsistencies in implementing and reporting on standardised indicators by the provinces. The department is working with all provinces to ensure that there is a common understanding on implementing and reporting on the standardised indicators. DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 102 4.8 Programme 8: Forestry Management Programme purpose: Develop and facilitate the implementation of policies and targeted programmes to ensure the management of forests, the sustainable use and protection of land and water, and the management of agricultural risks and disasters. Sub-programmes: Sub-programme Purpose Forestry Management Provides strategic leadership and overall management services to the programme Forestry Operations Ensures the sustainable management of forestry operation Forestry Development and Regulation Ensures the effective development of policies for forestry regulation and oversight Outcomes: • Sustainable production of state forests. • A transformed forestry sector in line with the Master Plan. • Indigenous forests sustainably managed and regulated. • Threats on environmental quality and human health mitigated. ANNUAL REPORT 2022/23 103 4.8.1 Outcomes, Outputs, Output Indicators, Targets and Actual Achievements 4.8.1(a): Report Against the Originally Tabled Annual Performance Plan until date of re-tabling in November 2022 PROGRAMME 8: FORESTRY MANAGEMENT DEVIATION FROM REASONS FOR ACTUAL AUDITED ACTUAL AUDITED ACTUAL PLANNED TARGET REVISIONS TO THE OUTPUT PLANNED ANNUAL ACHIEVEMENT REASONS FOR OUTCOME OUTPUT PERFORMANCE PERFORMANCE TO ACTUAL OUTPUTS/OUTPUT INDICATOR TARGET 2022/2023 2022/2023 until date DEVIATIONS 2020/2021 2021/2022 ACHIEVEMENT INDICATORS/ of re-tabling 2022/2023 ANNUAL TARGETS A transformed Plantations Number of Appropriate model Community 4 Eastern Cape: N/A N/A Chamama forestry sector handed over to plantations approved Forestry (Willow, Willow, Ntlangaza plantation in line with the communities handed over to Agreements (CFA) Ntlangaza, and Chamana replaced by Master Plan communities for 2 plantations: Chamana and communities Kei Mouth due Lehana and Fort Rammbuda) mobilised for the to community Usher Plantations process of land conflicts in in the Eastern rights holders’ Chamama that Cape approved resolutions in July disrupted adoption and signed by 2022. In August of community the Executive 2022, land rights resolutions and Authority holders’ resolution are still rife meetings were facilitated by the Department of Agriculture, Land Reform and Rural Development (DALLRD) in all 3 plantations in Eastern Cape Limpopo: DALRRD and Rammbuda Traditional Council engaged regarding the Dzamba community/ village’s refusal to adopt a resolution DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 104 4.8.1(b) Report Against the Final Re-tabled Annual Performance Plan in February 2023 PROGRAMME 8: FORESTRY MANAGEMENT DEVIATION FROM AUDITED ACTUAL AUDITED ACTUAL PLANNED ANNUAL ACTUAL PLANNED TARGET REASONS FOR OUTCOME OUTPUT OUTPUT INDICATOR PERFORMANCE PERFORMANCE TARGET ACHIEVEMENT TO ACTUAL DEVIATIONS 2020/2021 2021/2022 2022/2023 2022/2023 ACHIEVEMENT 2022/2023 Sustainable Hectares planted Number of hectares N/A N/A 1 800 ha 1 124,74 ha of TUPs Target missed by Eastern Cape: production of of Temporary planted 675,26 ha Seedlings delivered state forests Unplanted Areas in February 2023 (TUPs) planted and therefore had less than 2 months to plant KZN Region: Service delivery protests near Qhudeni plantation as staff prevented from accessing plantation for almost 4 weeks resulting in delays for planting MP: Plantations not conducive for forestry activities due to security issues and lack of infrastructure Hectares of land Number of hectares 1 669,49 ha under 2 287 hectares 2 100 ha 4 910,98 ha under Target exceeded by Additional Expanded under silvicultural under silvicultural silvicultural practice under silvicultural silvicultural practice 2 810,98 Public Works practice practice (i.e., practice Programme (EPWP) weeding, pruning, workers allocated coppice reduction, for planting used for thinning) silvicultural practice ANNUAL REPORT 2022/23 105 PROGRAMME 8: FORESTRY MANAGEMENT DEVIATION FROM AUDITED ACTUAL AUDITED ACTUAL PLANNED ANNUAL ACTUAL PLANNED TARGET REASONS FOR OUTCOME OUTPUT OUTPUT INDICATOR PERFORMANCE PERFORMANCE TARGET ACHIEVEMENT TO ACTUAL DEVIATIONS 2020/2021 2021/2022 2022/2023 2022/2023 ACHIEVEMENT 2022/2023 Threats on Refurbished Number of nurseries 3 Refurbishment 3 Nurseries has 3 nurseries Wolseley: Security Target missed by 3 In majority of environmental nurseries refurbished Plans have been partially refurbished: and 10 EPWP nurseries, water and quality and human been developed implemented for workers appointed. equipment were health mitigated and approved. Wolseley, Bloemhof, EPWP workers challenge • Wolseley Implementation has and Rusplaas. ensured seeds not been done yet No progress on 1 • Rusplaas collected and Non-responsiveness nursery • Qwaqwa general maintenance of bid delayed full of nursery refurbishment of nurseries Rusplaas: 10 EPWP workers appointed who ensured general maintenance of nursery Qwaqwa: Construction of grey water pond commenced with the assistance from Department of Public Works Infrastructure (DPWI). 40 EPWP workers appointed (30 for tree production and 10 for maintenance) and this led to 35 443 trees produced. Maintenance of old fence whilst awaiting installation of new fence DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 106 PROGRAMME 8: FORESTRY MANAGEMENT DEVIATION FROM AUDITED ACTUAL AUDITED ACTUAL PLANNED ANNUAL ACTUAL PLANNED TARGET REASONS FOR OUTCOME OUTPUT OUTPUT INDICATOR PERFORMANCE PERFORMANCE TARGET ACHIEVEMENT TO ACTUAL DEVIATIONS 2020/2021 2021/2022 2022/2023 2022/2023 ACHIEVEMENT 2022/2023 A transformed Plantations handed Number of Appropriate model Community Forestry 4 3 plantations handed Target missed by 1 Following signing forestry sector in line over to communities plantations handed approved Agreements (CFA) (Willow, Ntlangaza, over to communities of community with the Master Plan over to communities for 2 plantations: Rammbuda and Kei (Willow, Ntlangaza resolutions, vetted Lehana and Fort Mouth) and Kei Mouth) Rammbuda CFA Usher Plantations presented to in the Eastern Cape communities. approved and signed Communities by the Executive withdrew interest Authority. in management of plantation due to concerns on lack of capacity to properly manage plantation as well as disagreements regarding revenue collection matters Approved post Post settlement N/A Post settlement Post settlement Post settlement N/A N/A settlement support support strategy support Strategy support strategy support strategy strategy implemented approved implementation implementation plan implementation plan approved approved in March plan 2023 Indigenous forests Mapped state Number of State N/A 5 indigenous forest 5 indigenous forest 5 indigenous forest N/A N/A sustainably indigenous forest indigenous forest management units management units management units managed and management units management units mapped mapped mapped regulated mapped Rehabilitated Number of hectares 200.45 ha of state 200. 5 ha state 200 ha rehabilitated 200 ha of State N/A N/A hectares of State in State forests indigenous forests indigenous forests forests rehabilitated forests rehabilitated rehabilitated rehabilitated (clearing of alien invasive) Threats on Trees planted Number of trees 40 398 trees planted 66 788 trees planted 120 000 trees 103 729 trees Target missed by Delays in environmental planted outside outside outside forests planted planted outside 16 271 procurement quality and human forests footprint forests footprint footprint forests footprint process for trees in health mitigated previous quarters ANNUAL REPORT 2022/23 107 Summary of Programme Performance Two targets contribute towards ensuring that there is proper management and regulation of indigenous forests. This includes rehabilitation of the degraded forests which contribute to the improving the biodiversity status of the country. In terms of the ensuring that there is sustainable production of state forests, silvicultural practices were conducted in 4910, 98 hectares. This achievement does not only contribute to the improvement on the maintenance of the plantations, but also contributed to creation of EPWP jobs. This forms part of the departmental contribution to broader economic transformation and job creation priority of government. In addressing transformation within the sector in line with the Commercial Forestry Masterplan, the department managed to transfer three (3) plantations to communities. This is also in line with the principles of the National Forest Act, 1998 which promotes the participation of previously disadvantaged individuals in the management of forests. To ensure that the communities are provided with the support that they need, the implementation plan for the Post Settlement Support Strategy was successfully developed. 4.8.2 Linking Performance with Budgets 2022/23 2021/22 SUB-PROGRAMME NAME (OVER)/UNDER (OVER)/UNDER ACTUAL EXPENDITURE FINAL APPROPRIATION ACTUAL EXPENDITURE FINAL APPROPRIATION EXPENDITURE EXPENDITURE R’000 R’000 R’000 R’000 R’000 R’000 Forestry Management 3 198 893 4 091 872 5 145 6 017 Forestry Operations 521 452 11 013 532 465 436 554 194 595 631 149 Forestry Development and Regulation 61 255 34 739 95 994 39 684 30 110 69 794 Total 585 905 46 645 632 550 477 110 229 850 706 960 Expenditure supported the management and operations of the plantations. 4.8.3 Strategy to Overcome Areas of Under Performance The department appointed a service provider to procure seedlings and recruited EPWP workers for the implementation of hectares of temporary unplanted areas planted. A holistic approach is being undertaken in the refurbishment of State nurseries and plans of the 3 nurseries are being reviewed and specifications to be concluded by 31 May 2023. An engagement was held between the DFFE, communities, and the Department of Agriculture, Land Reform and Rural Development to resolve the Rammbuda plantation dispute. All orders to supply trees for a period of two years have been issued to ensure that by the beginning of the planting season in the various provinces, trees will be available to achieve the target. A new proposal has been developed to increase sponsorship between the department and Total Energies with particular reference to greening. The Memorandum of Understanding between the department and Department of Human Settlements has been initiated to ensure greening of low-cost houses in the different municipalities. 4.8.4 Performance in Relation to Standardised Outputs and Output Indicators for Sectors with Concurrent Functions Performance in relation to the standardised outputs and output indicators is not reflected in the Annual Report as the indicators were not included in the 2022/23 Annual Performance Plan. This is due to the inconsistencies in implementing and reporting on standardised indicators by the provinces. The department is working with all provinces to ensure that there is a common understanding on implementing and reporting on the standardised indicators. DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 108 4.9 Programme 9: Fisheries Management Programme purpose: Ensure the sustainable use of and orderly access to marine living resources through improved management and regulation. Sub-programmes: Sub-programme Purpose Fisheries Management Provides strategic leadership and overall management services to the programme Aquaculture and Economic Development Ensures the sustainable use of, and equitable and orderly access to, marine living resources through improved management and regulations Monitoring, Control and Surveillance Ensures the protection and promotion of the sustainable use of marine living resources by intensifying enforcement and compliance with the relevant legislation and regulations Marine Resources Management Ensures the sustainable use of, and equitable and orderly access to, marine living resources through improved management and regulations Fisheries Research and Development Ensures the promotion of the sustainable development of fisheries resources and ecosystems by conducting and supporting appropriate research Marine Living Resources Fund Transfers funds to the Marine Living Resources Fund to cover its personnel and operational expenditure Outcomes: • Effective and enabling regulatory framework for the management and development of marine and freshwater living resources (oceans, coasts, rivers, and dams). • A well-managed fisheries and aquaculture sector that sustains and improves economic growth and development. • Socio-economic conditions for fishing communities improved. ANNUAL REPORT 2022/23 109 4.9.1 Outcomes, Outputs, Output Indicators, Targets and Actual Achievements 4.9.1(a) Report Against the Originally Tabled Annual Performance Plan until date of re-tabling in November 2022 PROGRAMME 9: FISHERIES MANAGEMENT DEVIATION FROM REASONS FOR ACTUAL AUDITED ACTUAL AUDITED ACTUAL PLANNED TARGET REVISIONS TO THE OUTPUT PLANNED ANNUAL ACHIEVEMENT REASONS FOR OUTCOME OUTPUT PERFORMANCE PERFORMANCE TO ACTUAL OUTPUTS/OUTPUT INDICATOR TARGET 2022/2023 2022/2023 until date DEVIATIONS 2020/2021 2021/2022 ACHIEVEMENT INDICATORS/ of re-tabling 2022/2023 ANNUAL TARGETS Effective Aquaculture Aquaculture N/A N/A Aquaculture Internal and N/A N/A Industry and enabling Development Bill regulatory Development external stakeholder regulatory framework Bill submitted to consultations are consultative framework developed and Parliament underway process for the finalised extended beyond management planned period. and development Stakeholders of marine and requested more freshwater time to deliberate living resources on the Bill, (oceans, coasts, hold bilateral rivers, and dams) engagements with the Department and consult their constituents and legal representatives in some cases before submitting written comments. Extension delayed drafting process but proved fruitful. This delay affected planned quarterly and annual targets Socio-economic Allocated small- Number of small- Small scale Small-scale Small-scale No declaration of N/A N/A Process for conditions scale fishing scale fishing fishing rights not fishers in the fishing rights small-scale fishing allocation of small- for fishing rights cooperatives allocated Western Cape not allocated to communities and scale fishing rights communities allocated fishing allocated 100% of small- small-scale fishers to cooperatives improved rights fishing rights scale fishing in Western Cape in Western Cape co-operatives in halted pending declared small- outcome of court scale fishing judgment in communities in Western Cape Western Cape High Court DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 110 4.9.1(b) Report Against the Final re-tabled Annual Performance Plan in February 2023 PROGRAMME 9: FISHERIES MANAGEMENT DEVIATION FROM AUDITED ACTUAL AUDITED ACTUAL ACTUAL PLANNED TARGET PLANNED ANNUAL REASONS FOR OUTCOME OUTPUT OUTPUT INDICATOR PERFORMANCE PERFORMANCE ACHIEVEMENT TO ACTUAL TARGET 2022/2023 DEVIATIONS 2020/2021 2021/2022 2022/2023 ACHIEVEMENT 2022/2023 Effective and Aquaculture Aquaculture N/A N/A Aquaculture Aquaculture N/A N/A enabling regulatory Development Bill regulatory Development Bill Development Bill framework for framework submitted to the submitted to the the management developed and Office of Chief Office of the Chief and development finalised State Law Advisor State Law Advisor of marine and for pre-certification for pre-certification in freshwater living March 2023 resources (oceans, Approved National National Freshwater NEDLAC National Freshwater National National Freshwater N/A N/A coasts, rivers, and Freshwater (inland) Wild consultation on (inland) Wild Freshwater (Inland) Wild dams) (Inland) Wild Capture Fisheries National Freshwater Capture Fisheries (Inland) Wild Capture Fisheries Capture Fisheries Policy developed (inland) Wild Policy was approved Capture Fisheries Implementation Plan Implementation Plan and implemented Capture Fisheries by Cabinet Implementation approved by the DG Policy finalised Plan approved in March 2023 A well-managed Inspection reports Number of 5 886 inspections 5 860 inspections 5 500 inspections 6 407 inspections Target exceeded by Additional fisheries and on the number inspections conducted in the 6 conducted conducted conducted 907 inspections aquaculture sector of inspections conducted in the priority fisheries conducted where that sustains and conducted 6 priority fisheries right holders were improves economic (hake; abalone; rock found to be non- growth and lobster; line fish, compliant development squid and pelagic) Inspections Number of 295 verifications of 318 verifications 290 verifications 331 verifications Target exceeded Additional conducted on verifications of right right holders were conducted of right holders by 41 complaints received verifications of holders conducted conducted conducted and followed up right holders in terms of right and verifications holder’s verifications documents Approved National Revised National N/A Further external National Plan of National Plan of N/A N/A Plan of Action Plan of Action for consultations Action for Sharks Action for Sharks Sharks developed held with industry Implementation Implementation and implemented bodies and Plan approved Plan approved in interested parties. February 2023 Revised National Plan of Action was developed ANNUAL REPORT 2022/23 111 PROGRAMME 9: FISHERIES MANAGEMENT DEVIATION FROM AUDITED ACTUAL AUDITED ACTUAL ACTUAL PLANNED TARGET PLANNED ANNUAL REASONS FOR OUTCOME OUTPUT OUTPUT INDICATOR PERFORMANCE PERFORMANCE ACHIEVEMENT TO ACTUAL TARGET 2022/2023 DEVIATIONS 2020/2021 2021/2022 2022/2023 ACHIEVEMENT 2022/2023 A well-managed Draft West Coast West Coast rock N/A N/A West Coast rock West Coast Rock N/A N/A fisheries and rock lobster anti- lobster anti-poaching lobster anti- Lobster Anti- aquaculture sector poaching strategy strategy developed poaching strategy Poaching Strategy that sustains and and implemented submitted for submitted to improves economic approval DDG Fisheries growth and Management in development March 2023 for approval Socio-economic Integrated Integrated Integrated Integrated Integrated Integrated Target exceeded More local conditions for Development Development Development Development Development Development by 13 municipalities fishing communities Support Strategy Support Programme Support Strategy Support Strategy for Support projects Support projects showed interest to Improved for small-scale Approved small-scale fishers piloted in 20 small- piloted in 33 be part of small- fishers developed approved scale fishing small-scale fishing scale support and implemented cooperatives cooperatives programme Summary of Programme Performance The draft Aquaculture Development Bill was submitted to the Office of the State Law Advisory. The finalisation of the Aquaculture Bill and passing it into law will assist the department to better manage and regulate the Aquaculture Sector.  The same applies to Cabinet’s approval of the National Freshwater (Inland) Wild Capture Fisheries Policy as the fresh water and inland fisheries space is currently unregulated and there is a lack of consistency between the provinces and municipalities. The annual targets for the number of inspections conducted and the number of joint operations carries out in partnership with other law enforcement agencies as well as the number of verifications conducted against rightholders were met, which enabled the department to ensure better management of six (6) of the key priority fisheries, namely Hake, Abalone, Rock Lobster, Linefish, Squid and Pelagics. The approval of the National Plan of Action for Sharks will enhance the department’s ability to ensure that the shark population is not overfished and that rightholders comply with their permit conditions.  Furthermore, the development of the West Coast Anti-Poaching Strategy will assist in reducing illegal harvesting of this threatened resource. DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 112 4.9.2 Linking Performance with Budgets 2022/23 2021/22 SUB-PROGRAMME NAME (OVER)/UNDER (OVER)/UNDER ACTUAL EXPENDITURE FINAL APPROPRIATION ACTUAL EXPENDITURE FINAL APPROPRIATION EXPENDITURE EXPENDITURE R’000 R’000 R’000 R’000 R’000 R’000 Fisheries Management 60 338 - 60 338 62 869 - 62 869 Aquaculture and Economic Development 43 994 - 43 994 43 987 - 43 987 Monitoring, Control and Surveillance 104 360 - 104 360 102 726 1 285 104 011 Marine Resources Management 32 655 - 32 655 31 117 - 31 117 Fisheries Research and Development 74 647 - 74 647 72 084 - 72 084 Marine Living Resources Fund 316 625 - 316 625 305 278 - 305 278 Total 632 619 - 632 619 618 061 1 285 619 346 Expenditure supported the operations of the Marine Living Resources Fund in providing staff and funds for the conservation of marine ecosystems, management of sustainable utilisation of marine living resources, aquaculture development and issuing of fishing permits. 4.9.3 Strategy to Overcome Areas of Under Performance Not applicable. 4.9.4 Performance in Relation to Standardised Outputs and Output Indicators for Sectors with Concurrent Functions Performance in relation to the standardised outputs and output indicators is not reflected in the Annual Report as the indicators were not included in the 2022/23 Annual Performance Plan. This is due to the inconsistencies in implementing and reporting on standardised indicators by the provinces. The department is working with all provinces to ensure that there is a common understanding on implementing and reporting on the standardised indicators. ANNUAL REPORT 2022/23 113 5. TRANSFER PAYMENTS Transfer Payments to Public Entities AMOUNT TRANSFERRED TO AMOUNT SPENT BY NAME OF PUBLIC ENTITY KEY OUTPUTS OF THE PUBLIC ENTITY ACHIEVEMENTS OF THE PUBLIC ENTITY THE PUBLIC ENTITY THE PUBLIC ENTITY R’000 South African Weather Service (SAWS) Weather services, climate and related 411 973 411 973 Weather forecasts, equipment upgrade products (disseminating weather services product) iSimangaliso Wetland Park Authority Heritage Site Management and 441 301 441 301 Management of the iSimangaliso Wetland Conservation Management ecosystems, job creation through EPWP projects, clearing alien invasive plants South African National Parks (SANParks) Conservation management through the 1 103 063 1 103 063 Management of National Parks and conservation of national parks system ecosystems, job creation through EPWP projects, clearing alien invasive plants South African National Biodiversity Institute Biodiversity Management 624 716 624 716 Management of Biological Gardens, Biosecurity, Management of the National Zoological Garden, clearing alien invasive plants, job creation through EPWP projects Marine Living Resources Fund (MLRF) Protecting marine and coastal ecosystems 316 625 316 625 Conservation of marine ecosystems, management of sustainable utilisation of marine living resources, aquaculture development Transfer Payments to All Organisations other than Public Entities Transfer payments made for the period 1 April 2022 to 31 March 2023 DID THE DEPT. AMOUNT REASONS FOR AMOUNT TYPE OF PURPOSE FOR WHICH THE FUNDS WERE TO COMPLY WITH SPENT BY THE THE FUNDS NAME OF TRANSFEREE TRANSFERRED ORGANISATION BE USED S 38 (1) (J) OF ENTITY UNSPENT BY (R’000) THE PFMA (R’000) THE ENTITY National Regulator for Compulsory Departmental Agency Financial Contribution Yes 13 411 13 411 N/A Specifications South African Broadcasting Corporation Departmental Agency Television Licence renewal for broadcasting N/A 7 7 N/A matters Global Environmental Fund Foreign Government International membership Exempted 24 600 24 600 N/A Various International Bodies Foreign Government International membership fees Exempted 7 265 7 265 N/A National Association for Clean Air Non-profit organisation Financial Contribution Yes 1 000 1 000 N/A KwaZulu-Natal Conservation Board Non-profit organisation Financial Contribution Yes 1 645 1 645 N/A African World Heritage Fund Non-profit organisation Financial Contribution Yes 1 000 1 000 N/A DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 114 DID THE DEPT. AMOUNT REASONS FOR AMOUNT TYPE OF PURPOSE FOR WHICH THE FUNDS WERE TO COMPLY WITH SPENT BY THE THE FUNDS NAME OF TRANSFEREE TRANSFERRED ORGANISATION BE USED S 38 (1) (J) OF ENTITY UNSPENT BY (R’000) THE PFMA (R’000) THE ENTITY Environmental Assessment Practitioner Non-profit organisation Financial Contribution Yes 5 000 5 000 N/A Association of South Africa Social benefits Households Leave gratuity and severance packages N/A 25 281 25 281 N/A Other transfers Households Bursaries non-employees, claims against the N/A 3 527 3 527 N/A state and donations City of Cape Town Municipalities Vehicle Licence Renewals N/A 102 102 N/A City of Tshwane Municipalities Vehicle Licence Renewals N/A 217 217 N/A Steve Tshwete Local Municipality Municipalities Arbor City Awards winning category in greening N/A 150 150 N/A and development of townships and new settlements areas Bushbuckridge Local Municipality Municipalities Arbor City Awards winning category in greening N/A 250 250 N/A and development of townships and new settlements areas Inxuba Yethemba Municipality Municipalities Arbor City Awards winning category in greening N/A 300 300 N/A and development of townships and new settlements areas Walter Sisulu University University Contribution towards the Marine Pollutions N/A 13 518 13 518 N/A Laboratory Various Private Enterprises Public Corporations Projects under the Recycling Enterprise Yes 92 824 92 824 N/A and Private Enterprises Support Programme identified to promote recycling projects to bring small entrepreneurs in the informal economy into viable commercial activities with improved working conditions Forestry Sector Charter Council Public Corporations Government Financial Contribution Yes 3 820 3 820 N/A and Public Enterprises Transfer payments which were budgeted for in the period 1 April 2022 to 31 March 2023, but no transfer payments were made. None. ANNUAL REPORT 2022/23 115 6. CONDITIONAL GRANTS None. 7. DONOR FUNDS Donor Funds Received Donor Fund: Germany: Climate Support Programme NAME OF DONOR GERMANY (GIZ) Full amount of the funding EU 318 025,91 Period of the commitment 1 April 2017 – 29 March 2019 (extended till 31 June 2021) Purpose of the funding Finance the near-term priority flagship programme and an IT-expert for the implementation of the climate change web-based monitoring and evaluation systems Expected outputs Implementation of climate change web-based monitoring and evaluation system Actual outputs achieved Climate change web-based monitoring and evaluation system implemented Amount received (R’000) R0,00 Amount spent by the department (R’000) R0,00 Reasons for the funds unspent Project finalised, the Department in process to close the account. R5,915 million to be received from National Treasury to close the account Monitoring mechanism by the donor Not applicable. Project closed Donor Fund: Germany: Strengthening Ecosystem Based Adaptation Project NAME OF DONOR GERMANY (GIZ) Full amount of the funding R1 300 000,00 Period of the commitment 7 November 2017 – 31 March 2020 (extended till 30 April 2021) Purpose of the funding Provide support to the coordination and implementation of the South African Ecosystem- based Adaptation Strategy Expected outputs Strengthening Ecosystem Based Adaptation Actual outputs achieved Implementation South African Ecosystem-based Adaptation Strategy Amount received (R’000) R0,00 Amount spent by the department (R’000) R0,00 Reasons for the funds unspent Project in progress to finalise the project account. R522 000 to be received from RDP account National Treasury to close the account) Monitoring mechanism by the donor Not applicable. Project closed DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 116 Donor Fund: United Nations: Synergies Workshop among Basel, Stockholm and Rotterdam Conventions NAME OF DONOR UNITED NATIONS (UNEP) Full amount of the funding EU 35 048,00 Period of the commitment 2009 Purpose of the funding Regional Awareness Raising Workshop on enhancing cooperation and coordination for the implementation of the Basel, Rotterdam and Stockholm Conventions Expected outputs Regional Awareness Raising Workshop Actual outputs achieved Regional Awareness Raising Workshop held 28 – 30 October 2009 Amount received (R’000) R0,00 (R346 000 to be received from RDP account National Treasury to finalise the project) Amount spent by the department (R’000) R0,00 (Project finalised) Reasons for the funds unspent Project finalised. Account in process of closure Monitoring mechanism by the donor Not applicable. Project closed Donor Fund: United Nations Development Programme: Capacity Building Initiative for Transparency (CBIT) Project Support Programme NAME OF DONOR UNITED NATIONS DEVELOPMENT PROGRAMME (UNEP) Full amount of the funding USD 1 100 000 Period of the commitment 4 March 2019 – 31 January 2023 ( Extended till 31 August 2024) Purpose of the funding Building Capacity Initiative for Transparency (CBIT) Project Expected outputs Capacity Building Initiative for Transparency (CBIT) Project Actual outputs achieved Project in progress Amount received (R’000) R0,00 Amount spent by the department (R’000) R807 000,00 Reasons for the funds unspent Project in progress Monitoring mechanism by the donor Regular Reporting to the Donor ANNUAL REPORT 2022/23 117 Donor Fund: Flanders: Adaptive Capacity Facility NAME OF DONOR FLANDERS Full amount of the funding EU 318 025,91 Period of the commitment 1 April 2017 – 29 March 2019 (Extended till Purpose of the funding Implementation of the Departments Adaptive Capacity Facility Expected outputs Implemented Adaptive Capacity facility Actual outputs achieved Project in progress Amount received (R’000) R3 200 000,00 Amount spent by the department (R’000) R3 124 000,00 Reasons for the funds unspent Project in progress Monitoring mechanism by the donor Regular reporting to Donor Donor Fund: European Union: iThemba Phakama People PPP Model for Human Development and Inclusive Environmental Economic Growth NAME OF DONOR EUROPEAN UNION (EU) Full amount of the funding R23 274 000,00 Period of the commitment 2019/2020 – 2021/2022 (extended till 2023) Purpose of the funding To facilitate empowering youth and women living in historically disadvantages communities to contribute towards the environmental protection, conservation, and sustainability by providing skills development, sustainable livelihoods and capacity for sustainable income generating activities and improving their lives through the environmental economy. Expected outputs Enhanced environmental education, empowerment, and job creation to transition to an environmentally sustainable future. Actual outputs achieved Project in progress Amount received (R’000) R0,00 Amount spent by the department (R’000) R7 015 000,00 Reasons for the funds unspent Project in progress Monitoring mechanism by the donor Regular reporting to Donor DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 118 Donor Fund: Global Environmental Facility: Strengthening Institutions Information Management and Monitoring to Reduce the Rate of Illegal Wildlife Trade in South Africa NAME OF DONOR GLOBAL ENVIRONMENTAL FACILITY Full amount of the funding USD 4 886 009 Period of the commitment Till 31 August 2024 Purpose of the funding Strengthening Institutions Information Management and Monitoring to Reduce the Rate of Illegal Wildlife Trade in South Africa Expected outputs Supporting Institutions with Strengthened Information Management and Monitoring to Reduce the Rate of Illegal Wildlife Trade in South Africa Actual outputs achieved Project in progress Amount received (R’000) R15 513 000,00 Amount spent by the department (R’000) R16 289 000,00 Reasons for the funds unspent Project in progress Monitoring mechanism by the donor Regular reporting to Donor Donor Fund: United Nations Environmental Programme: Catalysing Financing and capacity for the Biodiversity Economy around Protected Areas: Pillar 1 NAME OF DONOR UNITED NATIONS ENVIRONMENTAL PROGRAMME (UNEP) Full amount of the funding USD 4 437 156 Period of the commitment April 2021 – March 2025 Purpose of the funding Mainstream biodiversity across sectors as well as landscapes and seascapes through global wildlife program to prevent extinction of known threatened species Expected outputs Preventing the extinction of known threatened species Actual outputs achieved Project in progress Amount received (R’000) R0,00 Amount spent by the department (R’000) R5 255 000,00 Reasons for the funds unspent Project in progress Monitoring mechanism by the donor Regular reporting to Donor 6. CAPITAL INVESTMENT None. ANNUAL REPORT 2022/23 119 DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 120 PART C GOVERNANCE ANNUAL REPORT 2022/23 121 1. INTRODUCTION The DFFE Risk and Ethics Management Chief Directorate consist of three key functions, namely Risk Management, Business Continuity Management and Ethics and Fraud Prevention. The main purpose of the Chief Directorate is to make risk management more explicit in decision-making processes, improved business continuity resilience and ensure proper administration and coordination of anti-corruption activities which is guided by policies and frameworks adopted the Department. 2. RISK MANAGEMENT Risk Management is responsible for facilitating the process of risk identification, reviews and monitoring of risk using adopted policy and strategy. The process entails performing risk identification and assessment at both strategic and operational levels. The outputs of the process are DFFE risk profile, divisional and operational risk registers which includes mitigation strategies which are monitored quarterly. In 2022/23 financial year, the DFFE continue to enhance its practise and application of risk management principles by working hand in hand with Business Performance and Strategic Management in the formation of annual performance plan and integration risk management processes. The Risks are monitored quarterly and reported to Oversight Committees and during monitoring, risks movements are measured against performance of the organisation and emerging risks identified and updated as and when necessary. Risk Management and Ethics Committee (RMEC) is the structure responsible to provide the Accounting Officer assurance by looking at Risk and Ethics Management policies, systems and process adopted, and the mitigation of risks thereof .The RMEC is led by an independent and non-executive member as the Chairperson, who is also a standing member of Audit and Risk Committee (ARC) whereby she tables the RMEC report to the ARC to ensure that the ARC provides an independent opinion regarding the state of Risk Management. 3. FRAUD AND CORRUPTION The DFFE adopts a zero-tolerance stance to fraud and corruption and there is an approved Fraud prevention and response plan. Furthermore, the Department has established a directorate that is assigned to implement systems and processes in order to prevent, detect and investigate any matters related to fraud and unethical behaviour. DFFE also adopted a gifts and hospitality policy to ensure proper management of gift declarations. The Ethics and Fraud Prevention (EFP) Directorate has introduced reporting mechanisms which includes a dedicated whistleblowing e-mail and the National Anti-Corruption Hotline to specifically deal with allegations/complaints of fraud, corruption and any unethical behavior. Furthermore, investigations are also conducted to address referrals received from Management, Internal and External Audit. The EFP refers the outcome of investigations to various units within the Department for implementation of consequence management and also refers where there may be a criminal element to law enforcement agencies. Ethics and Fraud Prevention awareness initiatives are conducted to ensure that all officials in the department are aware of reporting mechanisms and the impact of fraud, corruption and any other unethical behaviour. 4. MINIMISING CONFLICT OF INTEREST As part of Human Resource Management practice during the recruitment and selection process, members of the selection panel are also required to declare their relationship or any potential conflict of interest, which may arise from knowing or previous association with candidates being assessed. Furthermore, the department uses the e-disclosure system which is linked to the Companies And Intellectual Property Commission (CIPC) to verify the submitted financial declarations by employees. Submission of Financial Disclosure by DFFE Officials SMS Members Deputy Director and OSD Supply Chain Management and Finance Section Assistant Directors 191 237 0 223 DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 122 Supply Chain Management (SCM) process implemented to minimise conflict of interest are as follows: • SCM practitioners and all role players sign code of conduct on an annual basis, records are kept in this regard. • Bid Committees sign disclosure of interest during bid specifications/evaluations and adjudication meetings. Segregation of duties is maintained for the bid specification, evaluation and adjudication committees. • SCM practitioners and senior managers are to declare any business, commercial and financial interests and or activities undertaken for financial gain that may raise a possible conflict of interest. • SCM practitioners and Bid Committee members are required to recuse themselves from the SCM process where they are conflicted. • All employees are to declare offered gifts or hospitality or any other acts in cash or in kind, on a quarterly basis. • All bidders / service providers are required to declare/disclose if any of their directors / trustees / shareholders / members / partners or any person having a controlling interest in the enterprise, is employed by the state, or if any person connected with the bidder, have a relationship with any person who is employed by the procuring institution. Information contained in the central supplier database is also utilised to check if there are any state employees having a controlling interest in the enterprise. The Department also utilises the DPSA website to verify state employee status where central supplier database have shortfalls. 5. CODE OF CONDUCT The Department has for purposes of interpretation and (or) application adopted in line with appropriate framework, the Public Service Code of Conduct for implementation. Newly recruited employees in the Department orientated through the Code during induction sessions with the aim of enhancing awareness and compliance thereof. Periodic information sharing sessions are conducted throughout for senior manager, middle managers and lower level employees. Normal disciplinary measures and procedures are followed in accordance with the disciplinary code to address any contravention of the Code of Conduct including any other policies. 6. HEALTH SAFETY AND ENVIRONMENTAL ISSUES The Occupational Health and Safety (OHS) Policy has been reviewed to ensure that the policy is up to date and compliant with the latest legislation and gives the employer additional tools to identify hazards and remedial actions to mitigate them. Additional OHS Statutory appointments have been made to support, the trained Health and Safety Representatives, Fire Marshals, and First Aiders in the Head Office as well and Regional Offices. Continuous training is being provided to the statutory appointees in this regard. Guidelines and standard operating procedures have been mapped, to standardise the way that the employees implement Occupational Health and Safety requirements in all departmental sites. Regional Occupational Health and Safety Committees are being established to assist regional offices to control health and safety risks, thus ensuring a safety culture throughout the department. Compliance Inspections are conducted in the workplaces to identify and minimise hazards, to check on the effectiveness of implemented control measures and to prevent occupational injuries and diseases. Continuous testing of the systems is conducted to ensure their effectiveness during evacuations. Emergency evacuation drills were conducted to ensure that all employees are aware of the primary and secondary escape routes and to maintain a high level of preparedness amongst the employees, in case of emergencies that will warrant the department to evacuate all occupants. Supplementary capacity has been put in place to enforce and to monitor the implementation of the OHS Management System in the workplace. Occupational incidents and injuries are investigated. Contributing factors and corrective actions are determined and implement to reduce the likely hood of the recurrence of the reported incidents. ANNUAL REPORT 2022/23 123 7. PORTFOLIO COMMITTEES The Portfolio Committee exercises oversight over the service delivery performance of departments. Dates of meetings scheduled with Portfolio Committee on Forestry, Fisheries, and the Environment in 2022/23 are as follows: A total of all 31 meetings were honoured. 1 (One) oversight visit completed. FIRST TERM SECOND TERM THIRD TERM FOURTH TERM April 19, 21 August 18, 23, 30 October 11, 18, 25, 28, January 24, 27, 31 May 3, 6, 10, 13,17, 20 September 6, 7, 13, 20 November 1, 22, 29, 30 February 7, 21, 28 March 7, 14, 24, 28 The department has a management system which ensures that all matters raised by the Portfolio Committee are attended to and addressed within the agreed timeframe. All matters raised by the committee during the financial year under review were addressed. The department addresses matters raised in a number of ways depending on the nature of the issues. The Intervention by Management Includes the Following: • Providing clarity on issues raised during briefings or providing feedback/progress during the next meeting with the committee e.g. Department and Entities Annual and Quarterly Reports, Operation Phakisa, Waste Management, small-scale and commercial fisheries programme, and Fishing Rights Allocation Process (FRAP-2020) • Submission of progress reports to address matters raised during committee briefings e.g. on report by the Panel of Experts appointed by the Minister relating to the opening of the St Lucia Estuary; 8. SCOPA RESOLUTIONS None. DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 124 9. PRIOR MODIFICATIONS TO AUDIT REPORTS PRIOR MODIFICATIONS TO AUDIT REPORTS Nature of qualification, disclaimer, adverse opinion and matters of non-compliance Financial year in Progress made in clearing/resolving the matter* which it first arose Irregular expenditure 2017/18 Subsequent to the finding, NT issued a new AFS reporting format for the departments and the AFS The department did not account for irregular expenditure in the notes to the financial were adjusted accordingly; the department has further highlighted the narrative and descriptive statements, as required by section 40(3)(i) of the PFMA. The department did not implement disclosure information from previous reporting periods which was included in the current reporting adequate internal control systems to identify and record all instances of irregular expenditure period in accordance with the prescribed MCS disclose requirements.  incurred in both the current and prior years. This resulted in the irregular expenditure The opening and closing balances are reflected accordingly in the reconciling notes of the irregular disclosure being understated. The full extent of the misstatement identified could not be expenditure in the annual report quantified and I was unable to confirm the amount of irregular expenditure, stated at R5,4 billion (2020-21: R4,8 billion) in note 24 to the financial statements, by alternative means Capital work-in progress 2020/21 Advance projects have been fair valued by the Office of the Valuer General SA (OVG). The OVG The department did not adequately account for the project-related costs as required by MCS was appointed to assist with the valuation of the infrastructure projects as part of their mandate to chapter 11, Capital Assets. The department did not consider whether expenditure incurred assist with property valuations. The department has since reported the fair values during the construction of immovable tangible capital assets was directly attributable to in accordance with the prescribed MCS disclose requirements. the construction of the assets. As a result, the department inaccurately accounted for direct and indirect costs that resulted in the misstatement of capital work in progress. I was unable to determine the full extent of the misstatement of capital work in progress, stated at R226,1 million (2020-21: R156,9 million) in note 33.2 to the financial statements as it was impracticable to do so. Consequentially, the impact on capital commitments stated at R222,7 million (2020:21: R265,1 million) in note 19 and the prior period errors stated at R272,9 million in note 33.2 to financial statements could not be determined ANNUAL REPORT 2022/23 125 Non-compliance Expenditure management 2017/18 The functionality criteria have been amended to ensure that it is both objective and transparent. Effective and appropriate steps were not taken to prevent irregular expenditure, as required BEC reports are checked to ensure that scoring is in line with the criteria by section 38(1)(c)(ii) of the PFMA and treasury regulation 9.1.1. As reported in the basis as advertised for qualified opinion, the R888,2 million in note 24 to the financial statements does not reflect the full extent of the irregular expenditure incurred. The majority of the irregular Subsequent to the finding, NT issued a new AFS reporting format for the departments and the AFS expenditure disclosed in the financial statements was caused by the incorrect application of were adjusted accordingly. The department has further highlighted the narrative and descriptive the objective assessment against predetermined functionality criteria as prescribed by the disclosure information from previous reporting periods which was included in the current reporting Preferential Procurement Policy Framework Act 5 of 2000 (PPPFA) when evaluating bids period in accordance with the prescribed MCS disclose requirements  Effective steps were not taken to prevent fruitless and wasteful expenditure amounting to The opening and closing balances are reflected accordingly in the reconciling notes of the fruitless R9,02 million, as disclosed in note 25 to the annual financial statements, as required by and wasteful expenditure in the annual report section 38(1)(c)(ii) of the PFMA and treasury regulation 9.1.1. The majority of the fruitless and wasteful expenditure disclosed in the financial statements was caused by funds allocated to implementing agents not being used for intended purposes Procurement and contract management 2020/21 The threshold for local production and content were communicated to the line function and training Some of the bid documentation for procurement of commodities designated for local content provided accordingly and production did not stipulate the minimum threshold for local production and content, as required by 2017 preferential procurement regulation 8(2). Similar non-compliance was also reported in the prior year Some of the contracts were extended without the approval of a properly delegated official, as required by section 44 of the PFMA and treasury regulations 8.2.1 and 8.2.2 Strategic planning and performance management 2018/19 The Department developed an action plan to address all audit findings and recommendations. Specific information systems were not implemented to enable the monitoring of progress All the planned corrective measures related to performance indicators and targets in the annual made towards achieving targets, core objectives and service delivery as required by public performance plan were effected in the 2022/23 APP. Management continues to work with the service regulation 25(1)(e)(i) and (iii). AGSA Team to ensure that the identified corrective measures are sufficient and adequately address the relevant audit findings. Performance Monitoring systems on areas of work that had audit findings have been enhanced Consequence management 2018/19 Ongoing forensic investigation instituted on tenders. Consequence management effected Insufficient appropriate audit evidence that disciplinary steps were taken against officials who had incurred irregular, fruitless and wasteful expenditure as required by section 38(1) Adhoc determination committee was established to perform, assessment, determination and (h)(iii) of the PFMA. investigation by conducting a test to identify possible irregularities in transactions processed and to confirm the allegations of irregular expenditure; conducting an informal assessment to examine or analyse the particulars of noncompliance in order to establish the facts and to determine the loss(es) related to the transaction; analysing the particulars of non-compliance in order to establish the facts about the transaction and to determine whether any fraudulent, corrupt or criminal act/s has taken place; Where investigations reveal that there are officials liable, necessary steps were taken to discipline or counsel them. In some instances where necessary, cases were subjected to forensic investigation and opening of cases with SAPS. Supporting documents to that effect were kept. More cases are however still undergoing investigations and as a result, consequence management will be effected upon conclusion DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 126 10. INTERNAL CONTROL UNIT 11. INTERNAL AUDIT AND AUDIT COMMITTEES The Work Performed by Internal Control Unit during the 2022/23 Financial Year The Internal Audit Department is established in terms of Section 38 of the Public Finance Management Act (PFMA) which is under the control and direction of the Audit and Risk Committee which complies and operates in accordance with regulations and instructions as The Internal Control unit was established during November 2022 and is responsible for prescribed by Section 76 and 77 of the PFMA. monitoring the potential failure to comply with the internal control measures implemented to prevent or detect the occurrence of risks in a timely manner. Internal Audit (IA) focuses on the governance, risk, compliance and control processes of the Department and is responsible for expressing an opinion on the adequacy and effectiveness of The key function of the Internal Control unit is to assist management through monitoring the internal controls within those processes. Internal Audit is not responsible for implementation and conducting an on-going evaluation to ascertain adequate and effective internal control of related controls of any of the branches however, DFFE management is responsible for systems are in place and that the department complies with the financial management and the achievement of the business objectives, which includes the design, implementation and SCM prescripts in its pursuit to achieve the strategic objectives. monitoring of adequate and effective internal controls. Internal Audit evaluates processes with the of providing assurance that the internal controls are operating as intended which assists in The Following Responsibilities were Performed: the achievement of the strategic objectives of the Department. Internal Audit further ensures that any identified weaknesses in controls, governance processes and risks are adequately • Played a vital role in facilitation of audits conducted by the Auditor-General. Served as and timeously resolved. The Audit and Risk Committee monitors the work of Internal Audit and a point of entry for all Requests for Information and Audit Findings from the Office of the Auditor General (AGSA). the Auditor General. All responses by the Department were also channelled through the Internal Control Unit for submission to the Office of the Auditor General. The Audit and Risk Committee plays an important role in ensuring that the Department functions • Co-ordinated the development of audit implementation action plans to address the audit according to good governance, accounting and audit standards. It also monitors the adoption findings internal control deficiencies identified in respect of the Auditor General Audit of appropriate risk management arrangements. The Audit and Risk Committee is responsible report and Management letter. for oversight of the Department’s control, governance and risk management. The Audit and • Monitored progress on the implementation of the audit action plans and further report Risk Committee executes its responsibilities through close liaison and communication with progress to the branch managers to ensure that corrective actions are taken. Management, the IA and AGSA. • In addition, areas of disputes between the AGSA and the Department with regards to findings were followed up, discussed and cleared. • Fulfilled its secretariat role to the Determination Committee. • Executed its responsibility of managing and maintaining the fruitless and wasteful expenditure register and irregular expenditure register, as well as reporting on progress. • Conducted assessment test on the fruitless and wasteful expenditure and irregular expenditure cases. • Responsible for reviewing all creditor payments for compliance with relevant prescript. ANNUAL REPORT 2022/23 127 12. AUDIT COMMITTEE REPORT The Report of the Audit and Risk Committee   We are pleased to present our report for the financial year ended 31 March 2023. The Audit and Risk Committee consists of four (4) external and two (2) ex-officio members listed hereunder. During the financial year, six (6) Audit and Risk Committee meetings were held which included two (2) special meetings. Attendance were as follows: NAME OF MEMBER INTERNAL OR EXTERNAL MEMBERS POSITION IN THE DEPARTMENT NUMBER OF MEETINGS ATTENDED Prof DP vd Nest External - 6 Dr P Hanekom External - 6 Ms S Padayachy External - 5 Ms F Tshikhudo External - 6 Ms N Tshabalala Internal Director-General 3 Ms A Jass Internal Chief Financial Officer 6 The Auditor-General of South Africa, National Treasury, Internal Audit and the Accounting Officer were also invited to the meetings. Audit and Risk Committee Responsibility The Audit and Risk Committee reports that it has discharged its responsibilities arising from section 38(1) (a) of the PFMA and Treasury Regulations 3.1. The Audit and Risk Committee has adopted an appropriate formal terms of reference as its Audit and Risk Committee Charter, has regulated its affairs in compliance with this Charter and has discharged all of its responsibilities as contained therein. The Effectiveness of Internal Control As per the reports from assurance providers to the audit committee, controls have been operating as intended in some of the areas in the Department. Some areas exist where the internal control system is adequate but not effective, as identified during the internal audits conducted. The control environment in the department has improved substantially but the Auditor-General stil identified a number of control deficiencies/non-adherence to controls during their audit. During the financial year the Audit and Risk Committee met with management on a quarterly basis to track their progress in resolving outstanding internal control issues previously raised by the Auditor-General and Internal Audit. What was key, is the approval of the standard operating procedure for Environmental Programmes management.   The Audit and Risk Committee has considered and evaluated the Internal Audit reports and is satisfied with management’s responses and action plans to address the internal control matters identified through Internal Audit. DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 128 The Quality of in-year Management and Monthly/Quarterly Reports Submitted in Terms of the PFMA The Audit and Risk Committee has received quarterly reports prepared and issued by the Department during the year under review. There has been an improvement in the quality of reports and interim financials. However, it is clear from the results of the audit by the Auditor-General that there is still further room for improvement in terms of reporting on performance information. Evaluation of Annual Financial Statements The Audit and Risk Committee has: • Reviewed and discussed the annual financial statements to be included in the annual report, with management and post-audit, with the Auditor-General South Africa, • Reviewed the Department’s compliance with legal and regulatory provisions and noted a number of cases of non-compliance; • Reviewed the information on pre-determined objectives to be included in the annual report and has noted with concern the findings from the audit of performance information by the Auditor- General; and • Reviewed the quality and timeliness of the financial information availed to the Audit and Risk Committee for oversight purposes during the year. The Department’s performance in terms of finances and pre-determined objectives has been reported at each Audit and Risk Committee meeting. The annual financial statements were submitted timeously to the Auditor-General. There has been improvement in the disclosure of environmental projects, management managed to improve the financial statements and received a unqualified opinion from AGSA compared with the qualified audit opinion received in prior years. The Audit Committee will continue to monitor the improvement in the disclosure of expenditure on environmental projects according to MCS. Internal Audit The Internal Audit Directorate conducts its affairs in terms of an approved Internal Audit Charter and Methodology. During the year under review, a reasonable amount of internal audit work was performed in the Department. A risk-based internal audit plan was developed and implemented by the Internal Audit Function for 2022/23. Progress on the execution of the plan was monitored and reported at each Audit and Risk Committee meeting. Our review of the findings of the internal audit work revealed certain weaknesses which were then raised with management. A system to track the implementation of internal audit recommendations is in place to ensure that the internal control environment is reviewed and enhanced to improve executing processes. The Audit and Risk Committee is therefore satisfied that the Internal Audit Directorate is operating effectively and that it has provided reasonable assurance on controls around the risks pertinent to the Department in its final audit reports.   Risk Strategy The Audit and Risk Committee confirmed that the department has a Risk Management and Ethics Committee which serves as the Risk committee for the department. The department has a risk management strategy and fraud prevention plan that is implemented and reported to the Audit and Risk Committee at each meeting. Risk assessments in the Department are conducted annually and strategies are formulated to mitigate the identified risks, which are also reported to the Audit and Risk Committee. The department is in the process of developing a combined assurance framework and plan to assist in the monitoring of the mitigation of key strategic and operational risks. ANNUAL REPORT 2022/23 129 Auditor-General of South Africa There has been a notable improvement in the audit outcome as a result of the improvement plan implemented by management, the Audit and Risk Committee noted the Auditor-General’s report and opinion. The major findings were as a result of the reported performance information, asset management, consequence management and supply chain management processes. Conclusion The Auditor-General’s opinion has improved to unqualified. Management is in the process of further adapting systems and processes to be able to maintain and further improve the audit opinion of  the Auditor-General. The Audit and Risk Committee is involved in the process and is monitoring the progress made in this regard. Additional internal audit effort will have to be directed assist with the quality of performance information. The department will develop a sound action plan to address the remaining internal control weaknesses identiefied by the AGSA. The audit committee wishes to congratulate the DG, CFO and senior management with the improved audit outcome. The audit committee wishes to thank the Auditor General for the value added as an assurance provider and the role it plays in improved good governance.       PROF. D.P. VAN DER NEST CHAIRPERSON OF THE AUDIT AND RISK COMMITTEE DATE: 07 AUGUST 2023 DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 130 13. B-BBEE COMPLIANCE PERFORMANCE INFORMATION HAS THE DEPARTMENT / PUBLIC ENTITY APPLIED ANY RELEVANT CODE OF GOOD PRACTICE (B-BBEE CERTIFICATE LEVELS 1 – 8) WITH REGARDS TO THE FOLLOWING: RESPONSE DISCUSSION CRITERIA YES / NO (INCLUDE A DISCUSSION ON YOUR RESPONSE AND INDICATE WHAT MEASURES HAVE BEEN TAKEN TO COMPLY) Determining qualification criteria for the issuing of  No  None licences, concessions or other authorisations in respect of economic activity in terms of any law? Developing and implementing a preferential Yes Preferential Procurement Policy is incorporated in the SCM policy and it is in compliance to the Preferential procurement policy? Procurement Regulations 2022 Determining qualification criteria for the sale of state- Yes Disposal of DFFE assets is governed by the DFFE Asset Management and SCM Policy. Should assets be disposed owned enterprises? through sale, the preferential procurement policy as incorporated in the 2022 SCM Policy would apply Developing criteria for entering into partnerships with Yes Private partnerships that are established through procurement processes are subjected to the DFFE SCM Policy the private sector? that contain preferential procurement Determining criteria for the awarding of incentives,  Yes The preferential procurement is embedded in the Department of Forestry, Fisheries and the Environment Supply grants and investment schemes in support of Broad Chain Management/Procurement Policy and Recycling Enterprise Support Programme (RESP) Grant Implementation Based Black Economic Empowerment? Guidelines. The compliance to it is enforced for all transactions with quotation, tender and award thresholds. The awarding of the RESP grants is properly adjudicated for the advancement of B-BBEE compliant enterprises ANNUAL REPORT 2022/23 131 DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 132 PART D HUMAN RESOURCE MANAGEMENT ANNUAL REPORT 2022/23 133 1. INTRODUCTION The information contained in this part of the annual report has been prescribed by the Minister for the Public Service and Administration for all departments in the public service. 2. OVERVIEW OF HUMAN RESOURCES The need to attract and retain the best human resource talent in the labour market is an important element in enabling DFFE to achieve its strategic goals and long-term vision of a prosperous and equitable society living in harmony with the natural environment. The Department is committed to implementing effective human resources management strategies and interventions to position itself as an employer of choice. The Department implements several key programmes to build capacity and enhances skills development, with a particular focus on the youth. In 2022/23 the deserving youth students received funding for full-time bursaries to study at universities in various fields of environmental management, and young unemployed graduates were recruited in the Department’s annual internship programme for a period of 24 months. These are important annual interventions aimed at sustaining our talent base. The Department has a comprehensive Human Resource Plan which is implemented on an ongoing basis and reviewed regularly to ensure alignment with the overall strategy of the organisation and changes in the environment. The key human resource management interventions also include implementation of a Performance Management and Development System (PMDS) which is aimed at managing employee performance by clarifying expectations and standard, identifying gaps and providing required interventions and resources to enable performance enhancement and improvement. The Department has an Employee Wellness Programme which offers on-going support to employees in effectively dealing with the demands of the work environment and other personal/societal factors which may have an impact on employee health and performance 3. HUMAN RESOURCE OVERSIGHT STATISTICS 3.1 Personnel Related Expenditure Table 3.1.1 Personnel expenditure by programme for the period 1 April 2022 and 31 March 2023 EMPLOYMENT PROFESSIONAL AND PERSONNEL AVERAGE TOTAL PERSONNEL TRAINING (INCLUDING SPECIAL SERVICES EXPENDITURE PERSONNEL COST PROGRAMME EXPENDITURE EXPENDITURE EXPENDITURE PERIODICAL - EXPENDITURE AS A % OF TOTAL PER EMPLOYEE (R'000) (R'000) (R'000) AND ABNORMAL (R'000) EXPENDITURE (R'000) APPOINTMENTS) 1. ADMINISTRATION 1 208 150 404 203 2 807 28 775 33,5 451 896 2. REGAL COMPLIANCE & SECTOR MON 243 476 164 361 712 4 052 67,5 1 008 163 3. OCEANS AND COASTS 504 678 146 832 164 257 765 29,1 723 203 4. CLIMATE CHNG,AIR QTY&SUS DEV 662 308 168 656 5 13 190 25,5 2 008 84 5. BIODIVERSITY & CONSERVATION 1 206 089 81 267 400 7 130 6,7 789 103 6. ENVIRONMENTAL PROGRAMMES 3 166 263 260 360 780 1 458 275 8,2 1 021 255 7. CHEMICALS & WASTE MANAGEMENT 617 329 108 380 190 230 904 17,6 840 129 8. FORESTRY MANAGEMENT 585 905 397 628 355 83 387 67,9 997 399 9. FISHERIES MANAGEMENT 632 619 314 535 - - 49,7 403 780 TOTAL 8 826 817 2 046 222 5 413 2 083 479 23,2 679 3 012 DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 134 Table 3.1.2 - Personnel costs by salary band for the period 1 April 2022 and 31 March 2023 TOTAL PERSONNEL PERSONNEL % OF TOTAL PERSONNEL AVERAGE PERSONNEL COST FOR DEPARTMENT SALARY BAND EXPENDITURE INCLUDING NUMBER OF EMPLOYEES COST COST PER EMPLOYEE (R) INCLUDING GOODS AND TRANSFERS (R'000) SERVICES (R'000) 01 Lower skilled (Levels 1-2) 44 968,00 2,10 205 333 2 109 816 219 02 Skilled (Levels 3-5) 220 119,00 10,40 275 838 2 109 816 798 03 Highly skilled production (Levels 6-8) 531 063,00 25,20 472 056 2 109 816 1 125 04 Highly skilled supervision (Levels 9-12) 828 762,00 39,30 822 185 2 109 816 1 008 05 Senior management (Levels >= 13) 244 670,00 11,60 1 344 341 2 109 816 182 10 Contract (Levels 1-2) 96,00 0,00 96 000 2 109 816 1 11 Contract (Levels 3-5) 28 784,00 1,40 226 646 2 109 816 127 12 Contract (Levels 6-8) 49 901,00 2,40 130 974 2 109 816 381 13 Contract (Levels 9-12) 37 463,00 1,80 814 413 2 109 816 46 14 Contract (Levels >= 13) 27 362,00 1,30 1 609 529 2 109 816 17 18 Contract Other 33 034,00 1,60 750 773 2 109 816 44 TOTAL 2 046 222,00 97,00 518 293 2 109 816 3 948 Table 3.1.3 Salaries, Overtime, Home Owners Allowance and Medical Aid by programme for the period 1 April 2022 and 31 March 2023 TOTAL OVERTIME MEDICAL AID HOA AS A % OF PERSONNEL SALARIES OVERTIME AS A % OF MEDICAL AID AS A % OF PROGRAMME HOA (R'000) PERSONNEL COST PER (R'000) (R'000) PERSONNEL (R'000) PERSONNEL COSTS PROGRAMME COSTS COSTS (R'000) 1. ADMINISTRATION 352 764 11 601 375,70 9 489 307,30 18 653 604,00 3 088 2. REGAL COMPLIANCE & SECTOR MON 144 308 458 0,30 3 004 1,90 6 019 3,90 154 361 3. OCEANS AND COASTS 132 798 4 413 3,10 1 885 1,30 3 809 2,70 143 573 4. CLIMATE CHNG,AIR QTY&SUS DEV 149 496 1 0,00 2 775 4,00 5 412 7,80 69 126 5. BIODIVERSITY & CONSERVATION 70 466 23 0,00 1 257 1,50 2 604 3,10 84 108 6. ENVIRONMENTAL PROGRAMMES 224 877 154 0,10 5 401 2,00 11 373 4,10 274 829 7. CHEMICALS & WASTE MANAGEMENT 96 068 134 0,10 1 949 1,80 3 020 2,70 111 202 8. FORESTRY MANAGEMENT 332 956 917 41,80 21 828 995,80 30 343 1 384,30 2 192 9. FISHERIES MANAGEMENT 274 209 23 863 4,90 6 970 1,40 15 406 3,20 485 975 TOTAL 1 777 942 41 565 3,10 54 558 4,10 96 639 7,30 1 328 454 ANNUAL REPORT 2022/23 135 Table 3.1.4 Salaries, Overtime, Home Owners Allowance and Medical Aid by salary band for the period 1 April 2022 and 31 March 2023 TOTAL SALARIES OVERTIME HOA AS MEDICAL AID PERSONNEL SALARIES AS A % OF OVERTIME AS A % OF A % OF MEDICAL AID AS A % OF SALARY BAND HOA (R'000) COST PER (R'000) PERSONNEL (R'000) PERSONNEL PERSONNEL (R'000) PERSONNEL SALARY COSTS COSTS COSTS COSTS BAND (R'000) 01 Lower skilled (Levels 1-2) 31 141 69,10 91 0,20 4 068 9,00 6 154 13,70 45 066 02 Skilled (Levels 3-5) 160 201 224,80 2 191 3,10 15 147 21,30 19 338 27,10 71 269 03 Highly skilled production (Levels 6-8) 398 400 119,30 26 570 8,00 18 614 5,60 38 236 11,50 333 869 04 Highly skilled supervision (Levels 9-12) 806 018 154,30 9 457 1,80 13 277 2,50 29 702 5,70 522 516 05 Senior management (Levels >= 13) 216 441 123,20 37 0,00 3 028 1,70 2 883 1,60 175 660 10 Contract (Levels 1-2) 96 94,10 - 0,00 - 0,00 - 0,00 102 11 Contract (Levels 3-5) 27 071 90,90 1 401 4,70 - 0,00 - 0,00 29 783 12 Contract (Levels 6-8) 47 383 92,20 1 518 3,00 5 0,00 39 0,10 51 368 13 Contract (Levels 9-12) 36 087 95,80 192 0,50 3 0,00 91 0,20 37 686 14 Contract (Levels >= 13) 25 613 92,40 - 0,00 206 0,70 55 0,20 27 707 18 Contract Other 29 491 88,20 108 0,30 210 0,60 141 0,40 33 428 TOTAL 1 777 942 133,80 41 565 3,10 54 558 4,10 96 639 7,30 1 328 454 3.2 Employment and Vacancies Table 3.2.1 Employment and vacancies by programme as on 31 March 2023 NUMBER OF NUMBER OF VACANT POSTS VACANCY RATE EMPLOYEES POSTS ON NUMBER OF VACANT FROZEN VACANCY RATE PROGRAMME (EXCLUDE (EXCLUDES ADDITIONAL APPROVED POSTS FILLED POSTS (FROZEN POSTS) FROZEN POSTS) FROZEN POSTS) TO THE ESTABLISHMENT ESTABLISHMENT 1. ADMINISTRATION 846 694 95 11,23 57 6,74 335 2. REGAL COMPLIANCE & SECTOR MON 296 245 25 8,45 26 10,61 301 3. OCEANS AND COASTS 166 141 20 12,05 5 3,55 69 4. CLIMATE CHNG,AIR QTY&SUS DEV 93 80 13 13,98 0 0,00 9 5. BIODIVERSITY & CONSERVATION 401 347 21 5,24 33 9,51 9 6. ENVIRONMENTAL PROGRAMMES 468 426 24 5,13 18 4,23 11 7. CHEMICALS & WASTE MANAGEMENT 94 86 6 6,38 2 2,33 50 8. FORESTRY MANAGEMENT 1 258 864 77 6,12 317 36,69 0 9. FISHERIES MANAGEMENT 526 471 41 7,79 14 2,97 33 TOTAL 4 148,00 3 354,00 322 8,00 472 11,38 817 DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 136 Table 3.2.2 - Employment and vacancies by salary band as on 31 March 2023 NUMBER OF NUMBER OF POSTS VACANT POSTS VACANCY RATE NUMBER OF POSTS VACANT FROZEN VACANCY RATE EMPLOYEES SALARY BAND ON APPROVED (EXCLUDE FROZEN (EXCLUDES FROZEN FILLED POSTS (FROZEN POSTS) ADDITIONAL TO THE ESTABLISHMENT POSTS) POSTS) ESTABLISHMENT 01 Lower Skilled (Levels 1-2), 742 547 10 1,35 185 24,93 3 Permanent 02 Skilled (Levels 3-5), 749 506 26 3,47 217 28,97 39 Permanent 03 Highly Skilled Production 1 279 1 113 110 8,60 56 4,38 596 (Levels 6-8), Permanent 04 Highly Skilled Supervision 1 147 1 003 132 11,51 12 1,05 75 (Levels 9-12), Permanent 05 Senior Management 231 185 44 19,05 2 0,87 25 (Levels >= 13), Permanent TOTAL 4 148 3 354 322 8,00 472 11,38 738 Table 3.2.3 - Employment and vacancies by critical occupations as on 31 March 2023 NUMBER OF NUMBER OF POSTS VACANT POST VACANCY RATE NUMBER OF POSTS VACANT FROZEN VACANCY RATE EMPLOYEES CRITICAL OCCUPATION ON APPROVED (EXCLUDE FROZEN (EXCLUDES FROZEN FILLED POSTS (FROZEN POSTS) ADDITIONAL TO THE ESTABLISHMENT POSTS) POSTS) ESTABLISHMENT ADMINISTRATIVE RELATED, 321 275 46 14,33 0 0,00 46 Permanent AGRICUL ANIMAL 150 139 11 7,33 0 0,00 11 OCEANOGRAPHY FORESTRY & OTHER SCIEN, Permanent AGRICULTURE RELATED, 128 128 0 0,00 0 0,00 0 Permanent ALL ARTISANS IN THE 12 7 5 41,67 0 0,00 5 BUILDING METAL MACHINERY ETC., Permanent ARCHITECTS TOWN AND 3 3 0 0,00 0 0,00 0 TRAFFIC PLANNERS, Permanent AUXILIARY AND RELATED 54 53 1 1,85 0 0,00 1 WORKERS, Permanent BUILDING AND OTHER 29 29 0 0,00 0 0,00 0 PROPERTY CARETAKERS, Permanent CHEMISTS, Permanent 2 2 0 0,00 0 0,00 0 ANNUAL REPORT 2022/23 137 NUMBER OF NUMBER OF POSTS VACANT POST VACANCY RATE NUMBER OF POSTS VACANT FROZEN VACANCY RATE EMPLOYEES CRITICAL OCCUPATION ON APPROVED (EXCLUDE FROZEN (EXCLUDES FROZEN FILLED POSTS (FROZEN POSTS) ADDITIONAL TO THE ESTABLISHMENT POSTS) POSTS) ESTABLISHMENT COMMUNICATION AND 2 2 0 0,00 0 0,00 0 INFORMATION RELATED, Permanent COMMUNITY DEVELOPMENT 22 22 0 0,00 0 0,00 0 WORKERS, Permanent COMPUTER SYSTEM 4 4 0 0,00 0 0,00 0 DESIGNERS AND ANALYSTS., Permanent ECONOMISTS, Permanent 2 2 0 0,00 0 0,00 0 ENGINEERING SCIENCES 1 1 0 0,00 0 0,00 0 RELATED, Permanent ENGINEERS AND RELATED 7 6 1 14,29 0 0,00 1 PROFESSIONALS, Permanent FARMING FORESTRY 60 56 4 6,67 0 0,00 4 ADVISORS AND FARM MANAGERS, Permanent FINANCE AND ECONOMICS 27 25 2 7,41 0 0,00 2 RELATED, Permanent FINANCIAL AND RELATED 23 23 0 0,00 0 0,00 0 PROFESSIONALS, Permanent FISHING MATE/MASTERS, 7 7 0 0,00 0 0,00 0 Permanent GENERAL LEGAL 21 19 2 9,52 0 0,00 2 ADMINISTRATION & REL. PROFESSIONALS, Permanent HORTICULTURISTS 26 26 0 0,00 0 0,00 0 FORESTERS AGRICUL.& FORESTRY TECHN, Permanent HUMAN RESOURCES & 72 69 3 4,17 0 0,00 3 ORGANISAT DEVELOPM & RELATE PROF, Permanent HUMAN RESOURCES 8 8 0 0,00 0 0,00 0 RELATED, Permanent LANGUAGE PRACTITIONERS 39 38 1 2,56 0 0,00 1 INTERPRETERS & OTHER COMMUN, Permanent LEGAL RELATED, Permanent 4 4 0 0,00 0 0,00 0 DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 138 NUMBER OF NUMBER OF POSTS VACANT POST VACANCY RATE NUMBER OF POSTS VACANT FROZEN VACANCY RATE EMPLOYEES CRITICAL OCCUPATION ON APPROVED (EXCLUDE FROZEN (EXCLUDES FROZEN FILLED POSTS (FROZEN POSTS) ADDITIONAL TO THE ESTABLISHMENT POSTS) POSTS) ESTABLISHMENT MECHANICAL ENGINEERING 9 1 8 88,89 0 0,00 8 THECHNICIANS, Permanent NATURAL SCIENCES 371 367 4 1,08 0 0,00 4 RELATED, Permanent PHYSICISTS, Permanent 1 1 0 0,00 0 0,00 0 QUANTITY SURVEYORS 3 3 0 0,00 0 0,00 0 & RELA PROF NOT CLASS ELSEWHERE, Permanent REGULATORY INSPECTORS, 187 169 18 9,63 0 0,00 18 Permanent SENIOR MANAGERS, 197 177 20 10,15 0 0,00 20 Permanent TOTAL 1 792 1 666 126 7,03 0 0,00 126 3.3 Filling of SMS Posts Table 3.3.1 SMS post information as on 31 March 2023 TOTAL TOTAL TOTAL NUMBER OF NUMBER OF NUMBER OF % OF SMS % OF SMS POSTS SMS LEVEL SMS POSTS FUNDED SMS SMS POSTS POSTS FILLED VACANT VACANT POSTS FILLED Minister and Deputy Minister 2 2 0 0 0 Director-General 1 1 100 0 0 Salary Level 16 0 0 0 0 0 Salary Level 15 10 9 90 1 10 Salary Level 14 48 36 75 12 25 Salary Level 13 170 137 80,59 33 19,41 Total 231 185 80,09 46 19,91 ANNUAL REPORT 2022/23 139 Table 3.3.2 SMS post information as on 30 September 2022 TOTAL TOTAL TOTAL NUMBER OF NUMBER OF NUMBER OF % OF SMS % OF SMS POSTS SMS LEVEL SMS POSTS FUNDED SMS SMS POSTS POSTS FILLED VACANT VACANT POSTS FILLED Minister and Deputy Minister 2 2 0 0 0 Director-General 1 1 100 0 0 Salary Level 16 0 0 0 0 0 Salary Level 15 10 8 80 2 20 Salary Level 14 46 36 78,26 10 21,74 Salary Level 13 172 138 80,23 34 19,77 Total 231 185 80,09 46 19,91 Table 3.3.3 Advertising and filling of SMS posts for the period 1 April 2022 to 31 March 2023 ADVERTISING FILLING OF POSTS SMS LEVEL NUMBER OF VACANCIES PER NUMBER OF VACANCIES PER NUMBER OF VACANCIES PER LEVEL ADVERTISED IN 6 MONTH LEVEL FILLED IN 6 MONTHS OF LEVELNOT FILLED IN 6 MONTHS OF BECMING VACANT BECOMING VACANT BUT FILLED IN 12 MONTHS Minister and Deputy Minister 0 0 0 Salary Level 16 0 0 0 Salary Level 15 1 0 1 Salary Level 14 4 0 5 Salary Level 13 2 0 15 Total 7 0 21 DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 140 Table 3.3.4 Reasons for not having complied with the filling of funded vacant SMS - Advertised within 6 months and filled within 12 months after becoming vacant for the period 1 April 2022 and 31 March 2023 REASONS FOR VACANCIES NOT ADVERTISED WITHIN SIX MONTHS Redesign of positions and restructuring in the Department REASONS FOR VACANCIES NOT ADVERTISED WITHIN TWELVE MONTHS Redesign of positions and restructuring in the Department Table 3.3.5 Disciplinary steps taken for not complying with the prescribed timeframes for filling SMS posts within 12 months for the period 1 April 2022 and 31 March 2023 REASONS FOR VACANCIES NOT FILLED WITHIN SIX MONTHS Redesign of positions and restructuring in the Department REASONS FOR VACANCIES NOT FILLED WITHIN TWELVE MONTHS Redesign of positions and restructuring in the Department 3.4 Job Evaluation Table 3.4.1 - Job Evaluation by Salary band for the period 1 April 2022 and 31 March 2023 NUMBER OF % OF NUMBER % OF POSTS NUMBER % OF UPGRADED NUMBER POSTS ON DOWNGRADED SALARY BAND OF JOBS EVALUATED BY OF POSTS POSTS OF POSTS APPROVED POSTS EVALUATED SALARY BANDS UPGRADED EVALUATED DOWNGRADED ESTABLISHMENT EVALUATED 01 Lower Skilled (Levels 1-2), Permanent 742 671 6.11 0 0 0 0 02 Skilled (Levels 3-5), Permanent 749 720 12.8 0 0 0 0 03 Highly Skilled Production (Levels 6-8), 1279 1270 14.68 1 1 0 0 Permanent 04 Highly Skilled Supervision (Levels 9-12), 1147 1147 27.63 0 0 0 0 Permanent 05 Senior Management (Levels >= 13), 231 231 4.01 0 0 0 0 Permanent TOTAL 4 148 4 039 97,40 1,00 0 0,00 0,00 ANNUAL REPORT 2022/23 141 Table 3.4.2 - Profile of employees whose positions were upgraded due to their posts being upgraded for the period 1 April 2022 and 31 March 2023 GENDER AFRICAN ASIAN COLOURED WHITE TOTAL Female 3 0 0 0 3 Male 2 0 2 0 4 TOTAL 5 0 2 0 7 Employees with a Disability 0 0 0 0 0 Table 3.4.3 - Employees with salary levels higher than those determined by job evaluation by occupation for the period 1 April 2022 and 31 March 2023 NUMBER OF JOB EVALUATION REMUNERATION NO OF EMPLOYEES OCCUPATION REASON FOR DEVIATION EMPLOYEES LEVEL LEVEL IN DEPARTMENT FOOD SERVICES AID II L2 3 2 4 JOB EVALUATION 3 FORESTRY SERVICE AID 270 2 3 GRADE PROGRESSION 271 GENERAL STORES ASSISTANT 2 2 3 GRADE PROGRESSION 2 GROUNDSMAN 6 2 2 GRADE PROGRESSION 6 HOUSEKEEPING EXECUTIVE 1 2 2 GRADE PROGRESSION 1 LABOURER 1 2 3 GRADE PROGRESSION 1 MESSENGER 1 2 3 GRADE PROGRESSION 1 TRADEMAN AID 1 2 3 GRADE PROGRESSION 1 AUXILARY CLERK 3 4 5 GRADE PROGRESSION 3 DRIVER (EXTRA HEAVY MOTOR VEHICLE) I L4 1 4 5 GRADE PROGRESSION 1 DRIVER MESSENGER 1 4 5 GRADE PROGRESSION 1 DRIVER OPERATOR 1 4 5 GRADE PROGRESSION 0 FOOD SERVICES AID II L2 2 2 5 GRADE PROGRESSION 0 FORESTRY FOREMAN 16 4 5 GRADE PROGRESSION 16 LOGISTICAL CLERK 2 4 5 GRADE PROGRESSION 0 MESSENGER DRIVER 1 3 5 GRADE PROGRESSION 0 PRINCIPAL OPERATOR 11 4 5 GRADE PROGRESSION 0 PROVISIONING ADMINISTRATIVE CLERK 2 4 5 GRADE PROGRESSION 2 SECURITY OFFICER 2 3 4 GRADE PROGRESSION 2 ADMINISTRATIVE ASSISTANT 2 4 5 GRADE PROGRESSION 2 TRADEMAN AID 2 2 5 GRADE PROGRESSION 0 ACCOUNTING CLERK 1 6 7 GRADE PROGRESSION 0 ADMINISTRATIVE CLERK 14 5 6 GRADE PROGRESSION 0 DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 142 NUMBER OF JOB EVALUATION REMUNERATION NO OF EMPLOYEES OCCUPATION REASON FOR DEVIATION EMPLOYEES LEVEL LEVEL IN DEPARTMENT ADMINISTRATIVE CLERK 1 5 6 PROMOTION 0 DATABASE CLERK 1 5 6 TRANSFER 0 FORESTRY FOREMAN 3 5 6 GRADE PROGRESSION 0 HUMAN RESOURCE OFFICER 1 5 6 GRADE PROGRESSION 0 MARINE RESEARCH ASSISTANT 1 5 6 GRADE PROGRESSION 0 SENIOR MARINE CONSERVATION INSPECTOR 1 5 6 GRADE PROGRESSION 0 SENIOR SUPPLY CHAIN MANAGEMENT CLERK 8 6 7 GRADE PROGRESSION 8 ACCOUNTING CLERK 8 6 7 GRADE PROGRESSION 8 ADMINISTRATIVE CLERK 1 6 7 GRADE PROGRESSION 1 ARTISAN GROUP-A: SENIOR L6 1 6 7 PROMOTION 1 GENERAL FOREMAN: SENIOR L6 1 6 7 GRADE PROGRESSION 0 OFFICE ADMINISTRATOR L6 1 6 7 GRADE PROGRESSION 0 PROVISIONING ADMINISTRATIVE CLERK 1 6 7 GRADE PROGRESSION 0 RECORDS CLERK 1 6 7 GRADE PROGRESSION 0 SECURITY OFFICER II: SENIOR L6 4 6 7 GRADE PROGRESSION 0 SENIOR ADMINISTRATIVE CLERK 24 6 7 GRADE PROGRESSION 24 SENIOR HUMAN RESOURCE OFFICER 6 6 7 GRADE PROGRESSION 0 SENIOR LIBRARY ASSISTANT L6 1 6 7 GRADE PROGRESSION 0 SOCIAL DEVELOPMENT/TRAINING OFFICER L6 1 6 7 GRADE PROGRESSION 1 ADMINISTRATIVE OFFICER L7 5 7 8 GRADE PROGRESSION 5 ARTISAN FOREMAN L7 1 7 8 GRADE PROGRESSION 1 CHIEF ACCOUNTING CLERK L7 1 7 8 GRADE PROGRESSION 1 CHIEF ADMINISTRATIVE CLERK L7 3 7 8 GRADE PROGRESSION 0 CHIEF SUPPLY CHAIN MANAGEMENT 1 7 8 GRADE PROGRESSION 1 ENVIRONMENTAL OFFICER PRODUCTION GRADE A 1 7 9 TRANSFER 0 HUMAN RESOURCE PRACTITIONER L7 3 7 8 GRADE PROGRESSION 0 OFFICE ADMINISTRATOR L7 2 7 8 GRADE PROGRESSION 0 SENIOR COMMUNICATION OFFICER L7 2 7 8 GRADE PROGRESSION 0 SENIOR MARINE CONSERVATION INSPECTOR. 36 7 8 GRADE PROGRESSION 36 SENIOR MARINE RESEARCH ASSISTANT L7 12 7 8 GRADE PROGRESSION 12 STATE ACCOUNTANT 1 7 8 GRADE PROGRESSION 1 SENIOR FORESTRY DEVELOPMENT OFFICER L8 1 8 9 JOB EVALUATION 0 ANNUAL REPORT 2022/23 143 NUMBER OF JOB EVALUATION REMUNERATION NO OF EMPLOYEES OCCUPATION REASON FOR DEVIATION EMPLOYEES LEVEL LEVEL IN DEPARTMENT SENIOR FORESTRY SCIENTIST L8 2 8 11 NORSA STUDENTS 0 SENIOR FORESTRY DEVELOPMENT OFFICER L8 1 8 9 GRADE PROGRESSION 0 SENIOR FORESTER L8 1 8 9 GRADE PROGRESSION 0 ASSISTANT DIRECTOR: ADMINISTRATION L9 1 9 10 GRADE PROGRESSION 0 ASSISTANT DIRECTOR: INFORMATION 1 9 10 GRADE PROGRESSION 0 MANAGEMENTÄL9 ASSISTANT DIRECTOR: NURSERY MANAGEMENT L9 1 9 10 GRADE PROGRESSION 0 ASSISTANT DIRECTOR: PLANNING AND AUDITING 1 9 10 JOB EVALUATION 0 CHIEF FORESTER 2 9 10 GRADE PROGRESSION 0 CONTROL MARINE CONSERVATION INSPECTOR. 2 9 10 GRADE PROGRESSION 0 ESTATE MANAGER L9 7 9 10 GRADE PROGRESSION 0 PERSONAL ASSISTANT L9 (ADMIN SEC) 1 9 10 GRADE PROGRESSION 0 PRINCIPAL BUSINESS ECONOMIST 1 9 10 GRADE PROGRESSION 0 PRINCIPAL FORESTRY SCIENTIST 1 9 10 GRADE PROGRESSION 0 SENIOR FORESTRY REGULATION OFFICER 2 9 10 GRADE PROGRESSION 0 CHIEF FORESTER 1 9 10 PROMOTION 0 BIODIVERSITY OFFICER SPECIALISED PRODUCTION 2 10 11 PAY PROGRESSION 0 ASSISTANT DIRECTOR: TECHNICAL AND INFO SERV 1 10 11 CASE UNDER REVIEW 0 L10 DD:BUDGET FINANCE PLANNING & CONTROL MNGT. 1 11 12 RES 1 2012 0 L11 EDMS ADMINISTRATOR L11 1 11 12 RES 1 2012 0 IT PROJECT MANAGER L11 1 11 12 RETENTION 0 DEPUTY DIRECTOR: ADMIN AND COORDINATION L11 1 11 12 RES 1 2012 0 DEPUTY DIRECTOR: ADMINISTRATION L11 1 11 12 RES 1 2012 0 DEPUTY DIRECTOR: ADMINISTRATION L11 1 11 12 GRADE PROGRESSION 0 DEPUTY DIRECTOR: ADMINISTRATION L11 1 11 12 RES 1 2012 0 DD: INTERNATIONAL MARINE COOPERATION. 1 11 12 GRADE PROGRESSION 0 DEPUTY DIRECTOR: CUSTOMER SERVICE 1 11 12 GRADE PROGRESSION 0 ADMINISTRATION. TOTAL 518 Percentage of Total Employment 15,08 DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 144 Table 3.4.4 - Profile of employees who have salary levels higher than those determined by job evaluation for the period 1 April 2022 and 31 March 2023 SALARY BAND AFRICAN INDIAN COLOURED WHITE TOTAL Female 231 1 7 17 256 Male 222 1 20 19 262 TOTAL 453 2 27 36 518 Employees with a Disability 0 0 0 0 0 3.5 Employment Changes Table 3.5.1 - Annual turnover rates by salary band for the period 1 April 2022 and 31 March 2023 NUMBER OF EMPLOYEES AT SALARY BAND APPOINTMENTS TERMINATIONS TURNOVER RATE BEGINNING OF PERIOD 01 Lower Skilled (Levels 1-2) Permanent 607 1 1 0,20 02 Skilled (Levels 3-5) Permanent 529 16 98 18,50 03 Highly Skilled Production (Levels 6-8) Permanent 1119 54 64 5,70 04 Highly Skilled Supervision (Levels 9-12) Permanent 999 37 56 5,60 05 Senior Management Service Band A Permanent (Level 13) 141 6 17 12,10 06 Senior Management Service Band B Permanent (Level 14) 36 2 3 8,30 07 Senior Management Service Band C Permanent (Level 15) 7 0 2 28,60 08 Senior Management Service Band D Permanent (Level 16) 1 0 0 0,00 Minister and Deputy Minister 2 0 0 0,00 TOTAL 3441 116 241 7,00 ANNUAL REPORT 2022/23 145 Table 3.5.2 - Annual Turnover Rates by Critical Occupation for the period 1 April 2022 and 31 March 2023 NUMBER OF EMPLOYEES AT CRITICAL OCCUPATION APPOINTMENTS TERMINATIONS TURNOVER RATE BEGINNING OF PERIOD ADMINISTRATIVE RELATED Permanent 298 20 15 5,00 AGRICUL ANIMAL OCEANOGRAPHY FORESTRY & OTHER 151 0 3 2,00 SCIEN Permanent AGRICULTURE RELATED Permanent 153 15 4 2,60 ALL ARTISANS IN THE BUILDING METAL MACHINERY ETC. 9 1 2 22,20 Permanent ARCHITECTS TOWN AND TRAFFIC PLANNERS Permanent 3 0 0 0,00 AUXILIARY AND RELATED WORKERS Permanent 62 0 0 0,00 BUILDING AND OTHER PROPERTY CARETAKERS 29 0 6 20,70 Permanent CHEMISTS Permanent 2 0 0 0,00 COMMUNICATION AND INFORMATION RELATED 2 1 0 0,00 Permanent COMMUNITY DEVELOPMENT WORKERS Permanent 24 0 0 0,00 COMPUTER SYSTEM DESIGNERS AND ANALYSTS. 6 0 0 0,00 Permanent ECONOMISTS Permanent 2 2 0 0,00 ENGINEERING SCIENCES RELATED Permanent 3 0 0 0,00 ENGINEERS AND RELATED PROFESSIONALS Permanent 7 0 0 0,00 FARMING FORESTRY ADVISORS AND FARM MANAGERS 94 0 3 3,20 Permanent FINANCE AND ECONOMICS RELATED Permanent 29 0 1 3,40 FINANCIAL AND RELATED PROFESSIONALS Permanent 24 0 1 4,20 FISHING MATE/MASTERS Permanent 10 0 1 10,00 GENERAL LEGAL ADMINISTRATION & REL. 29 7 0 0,00 PROFESSIONALS Permanent HORTICULTURISTS FORESTERS AGRICUL.& FORESTRY 30 0 1 3,30 TECHN Permanent HUMAN RESOURCES & ORGANISAT DEVELOPM & 84 9 5 6,00 RELATE PROF Permanent HUMAN RESOURCES RELATED Permanent 6 0 0 0,00 LANGUAGE PRACTITIONERS INTERPRETERS & OTHER 40 0 1 2,50 COMMUN Permanent DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 146 NUMBER OF EMPLOYEES AT CRITICAL OCCUPATION APPOINTMENTS TERMINATIONS TURNOVER RATE BEGINNING OF PERIOD LEGAL RELATED Permanent 2 0 0 0,00 MECHANICAL ENGINEERING THECHNICIANS Permanent 1 0 0 0,00 NATURAL SCIENCES RELATED Permanent 406 14 11 2,70 PHYSICISTS Permanent 0 0 0 0,00 QUANTITY SURVEYORS & RELA PROF NOT CLASS 4 0 0 0,00 ELSEWHERE Permanent REGULATORY INSPECTORS Permanent 184 13 16 8,70 SENIOR MANAGERS Permanent 220 8 15 6,80 TOTAL 1914 90 85 4,40 Table 3.5.3 - Reasons why staff are leaving the department for the period 1 April 2022 and 31 March 2023 % OF TOTAL % OF TOTAL TERMINATION TYPE NUMBER TOTAL TOTAL EMPLOYMENT RESIGNATIONS EMPLOYMENT 01 Death, Permanent 14 5,80 0,30 241 4148 02 Resignation, Permanent 93 38,60 2,20 241 4148 07 Dismissal-misconduct, Permanent 6 2,50 0,10 241 4148 09 Retirement, Permanent 114 47,30 2,70 241 4148 Ill - Health 4 1,70 0,10 241 4148 Transfer to Statutory Institution / Defence Force 10 4,10 0,20 241 4148 TOTAL 241 100,00 5,80 241 4148 ANNUAL REPORT 2022/23 147 Table 3.5.4 - Promotions by Critical Occupation for the period 1 April 2022 and 31 March 2023 SALARY LEVEL PROGRESSIONS TO NUMBER OF PROMOTIONS TO NOTCH PROGRESSION PROMOTIONS AS A % ANOTHER NOTCH OCCUPATION EMPLOYEES AT ANOTHER SALARY AS A % OF EMPLOYEES OF EMPLOYEES BY WITHIN A SALARY BEGINNING OF PERIOD LEVEL BY OCCUPATION OCCUPATION LEVEL ADMINISTRATIVE RELATED, Permanent 313 18 5,80 18 5,80 AGRICUL ANIMAL OCEANOGRAPHY FORESTRY & 152 7 4,60 7 4,60 OTHER SCIEN, Permanent AGRICULTURE RELATED, Permanent 107 26 24,30 26 24,30 ALL ARTISANS IN THE BUILDING METAL MACHINERY 14 0 0,00 0 0,00 ETC., Permanent ARCHITECTS TOWN AND TRAFFIC PLANNERS, 3 1 33,30 1 33,30 Permanent AUXILIARY AND RELATED WORKERS, Permanent 63 18 28,60 18 28,60 BUILDING AND OTHER PROPERTY CARETAKERS, 39 0 0,00 0 0,00 Permanent CHEMISTS, Permanent 2 0 0,00 0 0,00 COMMUNICATION AND INFORMATION RELATED, 2 0 0,00 0 0,00 Permanent COMMUNITY DEVELOPMENT WORKERS, Permanent 22 1 4,50 1 4,50 COMPUTER SYSTEM DESIGNERS AND ANALYSTS., 6 0 0,00 0 0,00 Permanent ECONOMISTS, Permanent 2 0 0,00 0 0,00 ENGINEERING SCIENCES RELATED, Permanent 1 0 0,00 0 0,00 ENGINEERS AND RELATED PROFESSIONALS, 7 0 0,00 0 0,00 Permanent FARMING FORESTRY ADVISORS AND FARM 56 8 14,30 8 14,30 MANAGERS, Permanent FINANCE AND ECONOMICS RELATED, Permanent 28 0 0,00 0 0,00 FINANCIAL AND RELATED PROFESSIONALS, 23 1 4,30 1 4,30 Permanent FISHING MATE/MASTERS, Permanent 9 0 0,00 0 0,00 GENERAL LEGAL ADMINISTRATION & REL. 22 1 4,50 1 4,50 PROFESSIONALS, Permanent HORTICULTURISTS FORESTERS AGRICUL.& 29 7 24,10 7 24,10 FORESTRY TECHN, Permanent DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 148 SALARY LEVEL PROGRESSIONS TO NUMBER OF PROMOTIONS TO NOTCH PROGRESSION PROMOTIONS AS A % ANOTHER NOTCH OCCUPATION EMPLOYEES AT ANOTHER SALARY AS A % OF EMPLOYEES OF EMPLOYEES BY WITHIN A SALARY BEGINNING OF PERIOD LEVEL BY OCCUPATION OCCUPATION LEVEL HUMAN RESOURCES & ORGANISAT DEVELOPM & 70 8 11,40 8 11,40 RELATE PROF, Permanent HUMAN RESOURCES RELATED, Permanent 3 2 66,70 0 0,00 LANGUAGE PRACTITIONERS INTERPRETERS & 41 1 2,40 1 2,40 OTHER COMMUN, Permanent LEGAL RELATED, Permanent 1 0 0,00 0 0,00 MECHANICAL ENGINEERING THECHNICIANS, 6 0 0,00 0 0,00 Permanent NATURAL SCIENCES RELATED, Permanent 366 11 3,00 11 3,00 PHYSICISTS, Permanent 1 0 0,00 0 0,00 QUANTITY SURVEYORS & RELA PROF NOT CLASS 3 0 0,00 0 0,00 ELSEWHERE, Permanent REGULATORY INSPECTORS, Permanent 199 41 20,60 41 20,60 SENIOR MANAGERS, Permanent 215 12 5,60 12 5,60 TOTAL 1805 163 9,00 161 8,90 ANNUAL REPORT 2022/23 149 Table 3.5.6 - Promotions by Salary Band for the period 1 April 2022 and 31 March 2023 SALARY LEVEL PROGRESSIONS TO NUMBER OF PROMOTIONS TO NOTCH PROGRESSION PROMOTIONS AS A % ANOTHER NOTCH SALARY BAND EMPLOYEES AT ANOTHER SALARY AS A % OF EMPLOYEES OF EMPLOYEES BY WITHIN A SALARY BEGINNING OF PERIOD LEVEL BY SALARY BAND SALARY BAND LEVEL 01 Lower Skilled (Levels 1-2) Permanent 607 0 0,00 226 37,20 02 Skilled (Levels 3-5) Permanent 529 18 3,40 904 170,90 03 Highly Skilled Production (Levels 6-8) Permanent 1119 99 8,80 1150 102,80 04 Highly Skilled Supervision (Levels 9-12) Permanent 999 73 7,30 1018 101,90 05 Senior Management Service Band A Permanent 141 7 5,00 1 0,70 (Level13) 06 Senior Management Service Band B Permanent 36 4 11,10 48 133,30 (Level 14) 07 Senior Management Service Band C Permanent 7 2 28,60 32 457,10 (Level 15) 08 Senior Management Service Band D Permanent 1 0 0,00 271 27 100,00 (Level 16) Minister and Deputy Minister 2 0 0,00 0 0,00 TOTAL 3441 203 5,90 42 1,20 DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 150 3.6 Employment Equity Table 3.6.1 - Total number of employees (including employees with disabilities) in each of the following occupational categories as on 31 March 2023 MALE, FEMALE, MALE, MALE, MALE, MALE, FEMALE, FEMALE, FEMALE, FEMALE, OCCUPATIONAL CATEGORY TOTAL TOTAL TOTAL AFRICAN COLOURED INDIAN WHITE AFRICAN COLOURED INDIAN WHITE BLACKS BLACKS 01 - SENIOR OFFICIALS AND 69 10 7 86 8 56 4 10 70,00 13,00 177,00 MANAGERS 02 - PROFESSIONALS 208 25 8 241 32 221 25 8 254,00 25,00 552,00 03 - TECHNICIANS AND ASSOCIATE 329 42 9 380 34 410 33 12 455,00 37,00 906,00 PROFESSIONALS 04 - CLERKS 164 16 3 183 7 378 36 6 420,00 17,00 627,00 05 - SERVICE SHOP AND MARKET 225 26 2 253 25 100 7 0 107,00 1,00 386,00 SALES WORKERS 07 - CRAFT AND RELATED TRADE 4 2 0 6 0 0 1 0 1,00 0,00 7,00 WORKERS 08 - PLANT AND MACHINE OPERATORS 47 6 0 53 1 3 0 0 3,00 0,00 57,00 AND ASSEMBLERS 09 - LABOURERS AND RELATED 320 8 0 328 0 305 6 0 311,00 1,00 640,00 WORKERS 99 - UNKNOWN 0 0 0 0 0 1 0 0 1,00 1,00 2,00 Total 1366 135 29 1530 107 1474 112 36 1 622,00 95,00 3 354,00 Employees with disabilities 16 1 1 18 7 25 2 0 27,00 10,00 62,00 ANNUAL REPORT 2022/23 151 Table 3.6.2 - Total number of Employees (including employees with disabilities) in each of the following occupational bands as on 31 March 2023 MALE, FEMALE, MALE, MALE, MALE, MALE, FEMALE, FEMALE, FEMALE, FEMALE, OCCUPATIONAL BAND TOTAL TOTAL TOTAL AFRICAN COLOURED INDIAN WHITE AFRICAN COLOURED INDIAN WHITE BLACKS BLACKS 01 Top Management, Permanent 1 0 0 1 0 8 0 1 9,00 2 12 02 Senior Management, Permanent 71 11 7 89 9 49 4 8 61,00 14 173 03 Profesionally qualified and experienced 101 17 4 122 26 117 18 7 142 17 307 specialists and mid-management, Permanent 04 Skilled technical and academically 280 15 11 306 29 301 17 11 329 32,00 696 qualified workers, junior management, supervisors, foremen, Permanent 05 Semi-skilled and discretionary decision 348 77 7 432 43 543 58 8 609 29 1 113 making, Permanent 06 Unskilled and defined decision making, 565 15 0 580 0 456 15 1 472 1 1 053 Permanent Total 1 366 135 29 1 530 107 1 474 112 36 1 622 95 3 354 Table 3.6.3 - Recruitment MALE, FEMALE, MALE, MALE, MALE, MALE, FEMALE, FEMALE, FEMALE, FEMALE, OCCUPATIONAL BAND TOTAL TOTAL TOTAL AFRICAN COLOURED INDIAN WHITE AFRICAN COLOURED INADIAN WHITE BLACKS BLACKS 01 Lower Skilled (Levels 1-2) Permanent 0 0 0 0 0 1 0 1 0 1 02 Skilled (Levels 3-5) Permanent 7 0 0 7 0 9 0 0 9 0 16 03 Highly Skilled Production (Levels 6-8) 28 0 0 2 0 26 0 0 26 0 54 Permanent 04 Highly Skilled Supervision (Levels 9-12) 20 0 0 20 0 16 0 0 16 1 37 Permanent 05 Senior Management Service Band A 4 1 0 5 0 1 0 0 1 0 6 Permanent (13) 06 Senior Management Service Band B 0 0 0 0 0 2 0 0 2 0 2 Permanent (14) 07 Senior Management Service Band C 0 0 0 0 0 0 0 0 0 0 0 Permanent (15) 08 Senior Management Service Band D 0 0 0 0 0 0 0 0 0 0 Permanent (16) Total 59 1 0 60 0 55 0 0 55 1 116 Employees with disabilities 0 0 0 0 2 0 0 0 0 0 2 DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 152 Table 3.6.4 Promotions for the period 1 April 2022 to 31 March 2023 MALE, FEMALE, MALE, MALE, MALE, MALE, FEMALE, FEMALE, FEMALE, FEMALE, OCCUPATIONAL BAND TOTAL TOTAL TOTAL AFRICAN COLOURED INDIAN WHITE AFRICAN COLOURED INDIAN WHITE BLACKS BLACKS 01 Lower Skilled (Levels 1-2) Permanent 0 0 0 0 0 0 0 0 0 0 0 02 Skilled (Levels 3-5) Permanent 6 3 0 9 0 9 0 0 9 0 18 03 Highly Skilled Production (Levels 6-8) 29 18 0 47 12 38 1 0 39 1 99 Permanent 04 Highly Skilled Supervision (Levels 9-12) 46 3 2 5 1 13 3 4 20 1 73 Permanent 05 Senior Management Service Band A 5 0 0 5 0 2 0 0 2 0 7 Permanent (13) 06 Senior Management Service Band B 1 1 0 2 0 0 0 1 1 1 4 Permanent (14) 07 Senior Management Service Band C 1 0 0 1 0 1 0 0 1 0 2 Permanent (15) 08 Senior Management Service Band D 0 0 0 0 0 0 0 0 0 0 0 Permanent (16) Total 88 25 2 115 13 63 4 5 72 3 203 Employees with disabilities 0 0 0 0 2 0 0 0 0 2 Table 3.6.5 Terminations for the period 1 April 2022 to 31 March 2023 MALE, FEMALE, MALE, MALE, MALE, MALE, FEMALE, FEMALE, FEMALE, FEMALE, OCCUPATIONAL BAND TOTAL TOTAL TOTAL AFRICAN COLOURED INDIAN WHITE AFRICAN COLOURED INADIAN WHITE BLACKS BLACKS 01 Top Management, Permanent 0 1 1 2 0 0 0 0 0 0 2 02 Senior Management, Permanent 9 2 2 13 0 6 0 1 7 0 20 03 Profesionally qualified and experienced 26 3 0 29 5 18 1 2 21 2 57 specialists and mid-management, Permanent 04 Skilled technical and academically 24 5 0 29 2 27 2 0 29 4 64 qualified workers, junior management, supervisors, foremen, Permanent 05 Semi-skilled and discretionary decision 4 0 0 42 0 0 0 0 55 0 97 making, Permanent 06 Unskilled and defined decision making, 1 11 3 15 0 0 0 0 0 0 15 Permanent Total 102 11 3 116 7 106 3 3 112 6 241 Employees with disabilities 0 0 0 0 0 0 0 0 0 0 0 ANNUAL REPORT 2022/23 153 Table 3.6.6 Disciplinary action for the period 1 April 2022 to 31 March 2023 MALE, FEMALE, MALE, MALE, MALE, MALE, FEMALE, FEMALE, FEMALE, FEMALE, DISCIPLINARY ACTION TOTAL TOTAL TOTAL AFRICAN COLOURED INDIAN WHITE AFRICAN COLOURED INADIAN WHITE BLACKS BLACKS Correctional counselling 0 0 0 0 0 0 0 0 0 0 0 Verbal warning 1 1 2 0 0 0 0 0 0 2 Written warning 5 0 0 5 0 0 0 0 0 1 6 Final written warning 4 1 0 5 0 0 0 0 0 5 Suspended without pay 4 0 0 2 1 0 0 0 0 0 4 No basis 1 0 0 1 1 0 0 0 0 0 2 Demotion 0 0 0 0 0 0 0 0 0 0 0 Dismissal 2 0 0 2 0 0 0 0 0 0 2 Not guilty 1 0 0 1 1 0 0 0 0 0 2 Case withdrawn 0 0 0 0 0 1 0 0 1 0 2 Resignation 0 0 0 0 0 0 0 0 0 0 0 Total 18 2 0 18 3 1 0 0 1 1 23 Table 3.6.7 Skills development for the period 1 April 2022 to 31 March 2023 MALE, FEMALE, MALE, MALE, MALE, MALE, FEMALE, FEMALE, FEMALE, FEMALE, OCCUPATIONAL CATEGORY TOTAL TOTAL TOTAL AFRICAN COLOURED INDIAN WHITE AFRICAN COLOURED INDIAN WHITE BLACKS BLACKS Legislators, Senior Officials and Managers 46 1 4 51 3 39 1 4 44 4 102 Professionals 17 1 2 18 0 23 0 0 23 0 4 Technicians and Associate Professionals 36 3 1 40 0 67 0 0 70 6 118 Clerks 38 0 0 38 0 76 0 0 76 0 114 Service and Sales Workers 3 1 0 4 0 5 0 0 5 0 9 Skilled Agriculture and Fishery Workers 0 0 0 0 0 0 0 0 0 0 0 Craft and related Trades Workers 0 0 0 0 0 0 0 0 0 0 0 Plant and Machine Operators and 0 0 0 0 0 0 0 0 0 0 0 Assemblers Elementary Occupations 2 0 0 2 0 1 0 0 1 0,00 3,00 Employees with disabilities 3 0 0 3 0 3 0 0 3 0,00 6 Total 142 6 7 153 5 211 2 6 219 10 387 DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 154 3.7 Performance Management Table 3.7.1 Signing of Performance Agreements by SMS members as on 31 May 2022 SIGNED PERFORMANCE TOTAL NUMBER OF TOTAL NUMBER OF TOTAL NUMBER OF SMS AGREEMENTS AS % OF SMS LEVEL SIGNED PERFORMANCE FUNDED SMS POSTS MEMBERS TOTAL NUMBER OF SMS AGREEMENTS MEMBERS Director-General 1 1 1 100% Salary Level 16 0 0 0 0 Salary Level 15 10 8 8 100% Salary Level 14 45 45 43 96% Salary Level 13 165 153 149 97% Total 221 207 201 97% Table 3.7.2 Reasons for not having concluded Performance agreements for all SMS members as on 31 May 2022 REASONS Grace period, Labour Relations matters, Incapacity leave, Sick leave, maternity leave and supervisors not signing on time. Table 3.7.3 Disciplinary steps taken against SMS members for not having concluded Performance agreements as on 31 May 2022 REASONS Yes, disciplinary steps were taken for SMS members who failed to provide valid reasons for non-compliance. 3.8 Performance Rewards The Department did not pay performance rewards or bonuses this year. 3.8.1 Performance Rewards by race, gender and disability for the period 1 April 2022 to 31 March 2023 None. 3.8.2 Performance Rewards by salary band for personnel below Senior Management Service for the period 1 April 2022 to 31 March 2023 None. ANNUAL REPORT 2022/23 155 3.8.3 Performance Rewards by critical occupation for the period 1 April 2022 to 31 March 2023 None. 3.8.4 Performance related rewards (cash bonus), by salary band for Senior Management Service for the period 1 April 2022 to 31 March 2 None. 3.9 Foreign Workers Table 3.9.1 - Foreign Workers by Salary Band for the period 1 April 2022 and 31 March 2023 PERCENTAGE PERCENTAGE TOTAL TOTAL EMPLOYMENT EMPLOYMENT TOTAL OF TOTAL AT OF TOTAL CHANGE IN PERCENTAGE EMPLOYMENT EMPLOYMENT SALARY BAND AT BEGINNING AT END OF CHANGE IN BEGINNING AT END OF EMPLOYMENT OF TOTAL AT BEGINNING AT END OF OF PERIOD PERIOD EMPLOYMENT OF PERIOD PERIOD OF PERIOD PERIOD Skilled (Levels 3-5) 1 100,00 1 0,00 0,0 0,00 1 0,00 - 1,00 Highly skilled production 0 0,00 0 0,00 0,0 0,00 0 0,00 0,00 (Levels 6-8) Highly skilled supervision 10 100,00 10 0,00 0,0 0,00 10 0,00 - 10,00 (Levels 9-12) Senior management 3 100,00 3 0,00 0,0 0,00 3 0,00 - 3,00 (Levels13-16) Total 14 100,00 14 0,00 0,0 0,00 14 0,00 - 14,00 Table 3.9.2 - Foreign Workers by Major Occupation for the period 1 April 2022 and 31 March 2023 TOTAL EMPLOYMENT PERCENTAGE PERCENTAGE TOTAL EMPLOYMENT EMPLOYMENT TOTAL AT OF TOTAL AT OF TOTAL CHANGE IN PERCENTAGE EMPLOYMENT MAJOR OCCUPATION AT END OF AT CHANGE IN BEGINNING BEGINNING AT END OF EMPLOYMENT OF TOTAL AT END OF PERIOD BEGINNING EMPLOYMENT OF PERIOD OF PERIOD PERIOD PERIOD OF PERIOD Administrative office workers 1 100,00 1 100,00 0 0,00 1 1 1 Professionals and managers 13 100,00 14 100,00 1 100,00 13 14 12 Technicians and associated 0 0,00 0 0,00 0 0,00 0 0 0 professionals Total 14 100,00 15 100,00 1 100,00 14 15 13 DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 156 3.10 Leave Utilisation Table 3.10.1 - Sick Leave for the period 1 January 2022 to 31 December 2022 NUMBER OF % OF TOTAL TOTAL NUMBER TOTAL NUMBER % DAYS WITH EMPLOYEES EMPLOYEES AVERAGE DAYS ESTIMATED OF EMPLOYEES OF DAYS WITH SALARY BAND TOTAL DAYS MEDICAL USING SICK USING SICK PER EMPLOYEE COST (R'000) USING SICK MEDICAL CERTIFICATION LEAVE LEAVE LEAVE CERTIFICATION Other 97 87,62 14 0,39 692 288 14 85 Skilled (Levels 1-2) 1041 95,39 124 3,44 840 638 124 993 Skilled (Levels 3-5) 2826 95,19 304 8,44 930 2343 304 2690 Highly skilled production (Levels 6-8) 3036 82,71 421 11,67 721 4697 421 2511 Highly skilled supervision (Levels 1256 84,16 198 5,5 634 3583 198 1057 9-12) Senior management (Levels 13-16) 207 89,37 24 0,67 862 986 24 185 Total 8463 89,07 1085 30,11 780 12535 1085 7521 Table 3.10.2 - Disability Leave (Temporary and Permanent) for the period 1 January 2022 to 31 December 2022 NUMBER OF % OF TOTAL TOTAL NUMBER TOTAL NUMBER % DAYS WITH EMPLOYEES EMPLOYEES OF EMPLOYEES AVERAGE DAYS ESTIMATED OF DAYS WITH SALARY BAND TOTAL DAYS MEDICAL USING USING USING PER EMPLOYEE COST (R'000) MEDICAL CERTIFICATION DISABILITY DISABILITY DISABILITY CERTIFICATION LEAVE LEAVE LEAVE Skilled (Levels 3-5) 103 9,43 2 0,06 5 150 75 103 2 Highly skilled production (Levels 6-8) 607 55,59 8 0,22 7 587 1 024 607 8 Highly skilled supervision (Levels 314 28,75 4 0,11 785 1 175 324 4 9-12) Senior Management (Level 13-16) 68 6,23 3 0,08 2266 340 68 3 Total 1 092 100 17 0,47 6 423 2 614 1 102 17 ANNUAL REPORT 2022/23 157 Table 310.3 - Annual Leave for the period 1 January 2022 to 31 December 2022 NUMBER OF EMPLOYEES USING SALARY BAND TOTAL DAYS TAKEN AVERAGE PER EMPLOYEE ANNUAL LEAVE Other 733 1 466 50 Lower skilled (Levels 1-2) 3 872 1 736 223 Skilled (Levels 3-5) 18 466 1 346 1 372 Highly skilled production (Levels 6-8) 26 129 1 614 1 619 Highly skilled supervision (Levels 9-12) 22 075 1 921 1 149 Senior management (Levels 13-16) 4 766 2 128 224 Total 76 041 1 640 4 637 Table 3.10.4 - Capped Leave for the period 1 January 2022 to 31 December 2022 AVERAGE TOTAL AVERAGE NUMBER OF NUMBER OF TOTAL DAYS OF CAPPED LEAVE NUMBER OF NUMBER OF EMPLOYEES EMPLOYEES SALARY BAND CAPPED LEAVE PER EMPLOYEE CAPPED LEAVE DAYS TAKEN USING CAPPED AS AT END OF TAKEN AS AT END OF AVAILABLE AT PER EMPLOYEE LEAVE PERIOD PERIOD END OF PERIOD Lower skilled (Levels 1-2) 0 0 0 0 0 0 Skilled (Levels 3-5) 66 3 88 21 50 275 56 Highly skilled production (Levels 6-8) 20 10 71 2 13 501 191 Highly skilled supervision (Levels 9-12) 33 3 64 11 9 114 143 Senior management (Levels 13-16) 10 10 31 1 1 253 41 Total 129 4 78 35 74 144 945 Table 3.10.5 - Leave Payouts for the period 1 April 2022 and 31 March 2023 REASON TOTAL ESTIMATED AMOUNT (R'000) NUMBER OF EMPLOYEES ESTIMATED AVERAGE PER EMPLOYEE (R) Leave payout for 2022/23 due to non-utilisation of leave for the previous 0 0 0 cycle Capped leave payouts on termination of service for 2022/23 5 867 74 79 284 Current leave payout on termination of service for 2022/23 7 060 326 72 835 Total 12 927 400 152 119 DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 158 3.11 HIV/AIDS and Health Promotion Programmes Table 3.11.1 Steps taken to reduce the risk of occupational exposure None. Table 3.11.2 Details of Health Promotion and HIV/AIDS Programmes (tick the applicable boxes and provide the required information) Question Yes No Details, if yes 1. Has the department designated a member of the SMS to implement the provisions Yes Mr Sandy Nyathi Director: Transformation Employee Health and Wellness contained in Part VI E of Chapter 1 of the Public Service Regulations, 2001? If so, provide her/his name and position 2. Does the department have a dedicated unit or have you designated specific staff Yes 8 dedicated staff members dedicated to EHW in the department and R1280 866 members to promote health and well being of your employees? If so, indicate the number budget alocated for 2023-24 of employees who are involved in this task and the annual budget that is available 3. Has the department introduced an Employee Assistance or Health Promotion Yes Wellness Management, HIV and TB Management; Health and productivity Programme for your employees? If so, indicate the key elements/services of the management and SHERQ programmes programme 4. Has the department established (a) committee(s) as contemplated in Part VI E.5 (e) of Yes OHS committee and Wellness Champions Chapter 1 of the Public Service Regulations, 2001? If so, please provide the names of the members of the committee and the stakeholder(s) that they represent 5. Has the department reviewed the employment policies and practices of your department Yes THE Department has 3 approved Wellness policies Namely: HIV and TB to ensure that these do not unfairly discriminate against employees on the basis of their Management Policy; Health and Productivity Management Policy and Wellness HIV status? If so, list the employment policies/practices so reviewed Management Policy. The reviewed OHS policy was approved. 6. Has the department introduced measures to protect HIV-positive employees or those Yes Care and support services for HIV infected and affected employees are perceived to be HIV-positive from discrimination? If so, list the key elements of these available. Counselling services are in place , and condoms are distributed on measures regular bases 7. Does the department encourage its employees to undergo Voluntary Counselling and Yes HIV Counselling and Testing is implemented in the Department on quartery Testing? If so, list the results that you have achieved bases through GEMS and 643 employees tested for HIV and know their HIV status 8. Has the department developed measures/indicators to monitor & evaluate the impact of Yes Monthly and quartely EHW implementation reports submited to management; your health promotion programme? If so, list these measures/indicators. EHW system Monitoring Tool submitted to DPSA on annual bases ;Quarterly integrated EHW report submitted to DPSA and Annual EHW operational plans submitted to DPSA ANNUAL REPORT 2022/23 159 3.12 Labour Relations Table 3.12.1 Collective agreements for the period 1 April 2022 and 31 March 2023 Total number of Collective agreements None Table 3.12.2 Misconduct and disciplinary hearings finalised for the period 1 April 2022 and 31 March 2023 OUTCOMES OF DISCIPLINARY HEARINGS NUMBER % OF TOTAL Correctional counselling 0 0% Verbal warning 2 8,70 Written warning 6 26,09 Final written warning 5 21,74 Suspended without pay 4 17,39 No basis 1 4,35 Demotion 0 0% Dismissal 3 13,04 Not guilty 1 4,35 Case withdrawn 1 4,35 Resignation 0 0% Total 23 100,00 Table 3.12.3 Types of misconduct addressed at disciplinary hearings for the period 1 April 2022 and 31 March 2023 TYPE OF MISCONDUCT NUMBER % OF TOTAL Absenteesim 4 25,00 Irregular payments 3 18,75 Dereliction of duty 1 6,25 Misuse of Petrol Card 1 6,25 Misuse of GG 3 18,75 Improper conduct 4 25,00 Total 16 100,00 DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 160 Table 3.12.4 Grievances logged for the period 1 April 2022 and 31 March 2023 GRIEVANCES NUMBER % OF TOTAL Number of grievances resolved 4 21,05 Number of grievances not resolved 15 78,95 Total number of grievances lodged 19 100,00 Table 3.12.5 Disputes logged with Councils for the period 1 April 2022 and 31 March 2023 DISPUTES NUMBER % OF TOTAL Number of disputes upheld 0 0 Number of disputes dismissed 2 100, 00 Total 2 100, 00 Table 3.12.6 Strike actions for the period 1 April 2022 and 31 March 2023 None. Table 3.12.7 Precautionary suspensions for the period 1 April 2022 and 31 March 2023 Number of people suspended 3 Number of people who’s suspension exceeded 30 days 3 Average number of days suspended 19 months Cost of suspension (R’000) 1 120 ANNUAL REPORT 2022/23 161 3.13 Skills Development Table 3.13.1 Training needs identified for the period 1 April 2022 and 31 March 2023 Number of Employees Training needs identified at start of the reporting period Occupational Category Gender at Beginning of Skills Programmes & Other forms of Period Learnerships Total other short courses training Legislators, senior officials and managers Female 92 0 19 0 19 Legislators, senior officials and managers Male 12 0 12 0 12 Professionals Female 280 0 69 0 69 Professionals Male 277 0 49 0 49 Technicians and associate professionals Female 514 0 124 0 124 Technicians and associate professionals Male 463 0 108 0 108 Clerks Female 693 0 82 0 82 Clerks Male 346 0 43 0 43 Service and sales workers Female 127 0 37 0 37 Service and sales workers Male 303 0 72 0 72 Skilled agriculture and fishery workers Female 0 0 0 0 0 Skilled agriculture and fishery workers Male 0 0 0 0 0 Craft and related trades workers Female 1 0 0 0 0 Craft and related trades workers Male 10 0 2 0 2 Plant and machine operators and assemblers Female 3 0 0 0 0 Plant and machine operators and assemblers Male 75 0 28 0 28 Elementary occupations Female 363 0 93 0 93 Elementary occupations Male 346 0 99 0 99 Gender sub totals Female 2 073 0 0 0 0 Gender sub totals Male 1 940 0 0 0 0 Total 4 013 0 837 0 837 DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 162 Table 3.13.2 - Training Provided for the period 1 April 2022 and 31 March 2023 Number of Employees Training needs identified at start of the reporting period Occupational Category Gender at Beginning of Skills Programmes & Other forms of Period Learnerships Total other short courses training Legislators, senior officials and managers Male 12 0 54 0 54 Professionals Female 280 0 23 0 23 Professionals Male 277 0 18 0 18 Technicians and associate professionals Female 514 0 76 0 76 Technicians and associate professionals Male 463 0 42 0 42 Clerks Female 693 0 76 0 76 Clerks Male 346 0 38 0 38 Service and sales workers Female 127 0 5 0 5 Service and sales workers Male 303 0 4 0 4 Skilled agriculture and fishery workers Female 0 0 0 0 0 Skilled agriculture and fishery workers Male 0 0 0 0 0 Craft and related trades workers Female 1 0 0 0 0 Craft and related trades workers Male 10 0 0 0 0 Plant and machine operators and assemblers Female 3 0 0 0 0 Plant and machine operators and assemblers Male 75 0 0 0 0 Elementary occupations Female 363 0 1 0 1 Elementary occupations Male 346 0 2 0 2 Gender sub totals Female 2 073 0 229 0 229 Gender sub totals Male 1 940 0 158 0 158 Total 4 013 0 774 0 774 ANNUAL REPORT 2022/23 163 3.14 Injury on Duty Table3.14.1 Injury on Duty for the period 1 April 2022 and 31 March 2023 Nature of injury on duty Number % of total Required basic medical attention only 19 0,53 Temporary Total Disablement 19 0,53 Permanent Disablement 0 0 Fatal 1 0,02 Total 20 0,55 3.15 Utilisation of Consultants Table 3.15.1 Report on consultant appointments using appropriated funds for the period 1 April 2022 and 31 March 2023 TOTAL NUMBER OF CONTRACT VALUE IN PROJECT TITLE CONSULTANTS THAT DURATION (WORK DAYS) RAND WORKED ON PROJECT R'000 E1600: appointment of a project management service providers to manage the implementation of 1 (one) 24 Months R3 040 expanded public works programme (EPWP) Driver Development Programme In Various District Municipalities Towards Obtaining Learners Licences And Driving Licence For Code EC And Code C1 For Kwazulu Natal Province Only E1602: Appointment Of A Project Management Service Provider To Manage The Implementation Of 1 (one) 24 Months R2 111 Expanded Public Works Programme (EPWP) Driver Development Programme In Various District Municipalities Towards Obtaining Learners Licences And Driving Licence For Code Ec And Code C1 For Mpumalanga Province Only. E1598: Appointment Of A Project Management Service Provides To Manage The Implementation 1 (one) 24 Months R2 988 Of Expanded Public Works Programme (EPWP) Driver Development Programme In Various District Municipalities Towards Obtaining Learners Licences And Driving Licence For Code EC And Code C1 For Northern Cape Province Only E1603: Appointment Of A Project Management Service Provides To Manage The Implementation 1 (one) 24 (Twenty four) Months R3 251 Of Expanded Public Works Programme (Epwp) Driver Development Programme In Various District Municipalities Towards Obtaining Learners Licences And Driving Licence For Code EC and Code C1 For Northern Cape Province Only DFFE – T060 (21/22) Appointment Of A Service Provider To Undertake A Study On The Assessment 1 (one) 24 (Twenty-four) Months R4 372 Of The Environmental, Health, And Socio-Economic Effects Of Mercury Exposure In Affected Communities For A Period Of 24 Months DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 164 TOTAL NUMBER OF CONTRACT VALUE IN PROJECT TITLE CONSULTANTS THAT DURATION (WORK DAYS) RAND WORKED ON PROJECT R'000 DFFE – T058 (21/22) Appointment Of A Service Provider For A Period Of 8 Months To Review And 1 (One) 8 (Eight) Months R1 281 Revise The Guideline Document For The Evaluation Of The Quantum Of Closure Related Financial Provision By A Mine As Well As The Related Spreadsheet And Master Rates And To Develop A Rehabilitation Plan Template, A Risk Model And Prepare Recommendations DFFE T002 (21/22): Appointment Of A Project Management Service Providers To Manage The 1 (One) 24 (Twenty-four) Months R2 421 Implementation Of Expanded Public Works Programme (EPWP) Driver Development Programme In Various District Municipalities Towards Obtaining Learners Licences And Driving Licence For Code Ec And Code C1 For Limpopo Province Only RFQ021 (21/22) Appointment Of A Service Provider To Conduct A Financial Statement Review For A 1 (One) 6 (Six) Months R462 Period Of Six (6) Months In Preparation Of The Year-End Financial Statements RFQ 004 (21/22) Appointment Of A Service Provider To Supply, Deliver, Install And Maintain Eight 1 (One) 24 (Twenty-four) Month R2 203 (08) Energy Dispersive X-Ray Fluorescence (ED-XRF) Spectrometers For Monitoring Compliance With Lead In Paint Legislation At Priority Points Of Entry In South Africa RFQ004 (21/22) Appointment Of A Service Provider To Provide A Co-Sourced Internal Audit Service 1 (One) 3 (Three) years To The Department Of Forestry, Fisheries, And The Environment For A Period Of Three (3) Years. Rates DFFE – T050 (21/22) Appointment Of A Service Provider To Design And Implement The An 1 (One) 18 (Eighteen) Months R2 406 Expanded Industrial Symbiosis Initiative (Isi) Involving Trade In Waste For Implementatiton Over A Period Of 18 Months In The Region Of Northern Cape, Western Cape, And Eastern Cape DFFE – T062 (21/22) Appointment Of A Service Provider To Render Physical Security Services 1 (One) 36 (Thirty-Six) Months R2 855 At Environmental House, Arcadia, Pretoria In The Department Of Forestry, Fisheries, And The Environment For A Period Of Thirty-Six (36) Months DFFE – T051 (21/22) Terms Of Reference For The Supply Of Fruit And Indigenous Ornamental Trees 1 (One) 24 (Twenty-Four) Rates For Use In The Two Million Trees Per Annum Programme Of The Department For The Period Of 24 months Months. (Gauteng/ Northwest/Northern Cape) DFFE – T056 (21/22) To Appoint A Suitable Service Provider To Render Project Management 1 (One) 24 (Twenty-Four) R5 829 Services For The Procurement Of Equipment For The Thaba[1]Nchu Buy-Back Centre And months Botshabelo Buy–Back Centre; And To Train And Support The Existing Two (2) Waste Cooperatives And/Or Non-Profit Organisations To Be Able To Operate And Manage The Thaba-Nchu And Botshabelo Buy-Back Centres In Mangaung Metropolitan Municipality Over A Period Of Twenty-Four (24) Months DFFE – T065 (21/22) Appointment Of The Service Provider To Conduct An Impact Evaluation Of The 1 (One) 12 (Twelve) Months R497 Training Interventions Within The Branch Environmental Programmes DFFE – RFQ001 (22/23) The Appointment Of An Independent Expert To Advise The Minister 1 (One) 12 (Twelve) Months R897 On Appeals Lodged In Terms Of The National Environmental Management Act, Or Specific Environmental Management Act, For The Duration Of Twelve (12) Months DFFE – T048 (21/22) Appointment Of Accredited Training Providers To Implement Expanded Public 1 (One) 3 (Three) Months R2 388 Works Programme (EPWP) Training Projects In Various Provinces Towards Participants Obtaining National Certificates On Different Qualifications ANNUAL REPORT 2022/23 165 TOTAL NUMBER OF CONTRACT VALUE IN PROJECT TITLE CONSULTANTS THAT DURATION (WORK DAYS) RAND WORKED ON PROJECT R'000 DFFE – T071 (21/22) The Appointment Of A Service Provider To Conduct A Comprehensive And 1 (One) 18 (Eighteen) Months R2 024 Strategic Review Of All National Policy Instruments And Legislation Related To Waste Management DFFE – T007 (21/22) Appointment Of A Service Provider To Design, Develop And Implement A 1 (One) 5 (Five) years R15 178 Nationwide Comprehensive Non-Industrial Air Emission Inventories For Air Quality Management For The Republic Of South Africa Over A Period Of Five Years DFFE – T016 (21/22) To Appoint Public Entities, Institutions Of Higher Learning, Environmental 1 (One) 36 (Thirty-six) months R1 300 Management, And/Or Nature Conservation Non-Governmental Organizations For The Implementation Of Youth Environmental Service (YES) Project In The Gauteng Province Funded By The Department Through The Environmental Protection And Infrastructure Programme (Epip) For A Period Of Thirty-Six (36) Months DFFE-T017 (21/22): To Appoint Public Entities, Institutions Of Higher Learning, Environmental 1 (One) 36 (Thirty-six) months R3 000 Management, And/Or Nature Conservation Non-Governmental Organizations For The Implementation Of Youth Environmental Service (YES) Project In The Western Cape Province Funded By The Department Through The Environmental Protection And Infrastructure Programme (EPIP) For A Period Of Thirty-Six (36) Months. DFFE – T019 (2/22) To Appoint Public Entities, Institutions Of Higher Learning, Environmental 01 (One) 36 (THIRTY-SIX) R1 300 Management, And/Or Nature Conservation Non-Governmental Organizations For The MONTHS Implementation Of Youth Environmental Service (YES) Project In The Limpopo Province Funded By The Department Through The Environmental Protection And Infrastructure Programme (EPIP) For A Period Of Thirty-Six (36) Months DFFE – T020 (21/22) To Appoint Public Entities, Institutions Of Higher Learning, Environmental 01 (One) 36 (THIRTY-SIX) R1 300 Management, And/Or Nature Conservation Non-Governmental Organizations For The MONTHS Implementation Of Youth Environmental Service (YES) Project In The Mpumalanga Province Funded By The Department Through The Environmental Protection And Infrastructure Programme (EPIP) For A Period Of Thirty-Six (36) Months DFFE – T021 (21/22) To Appoint Public Entities, Institutions Of Higher Learning, Environmental 01 (One) 36 (THIRTY-SIX) R1 300 Management, And/Or Nature Conservation Non-Governmental Organizations For The MONTHS Implementation Of Youth Environmental Service (YES) Project In The Eastern Cape Province Funded By The Department Through The Environmental Protection And Infrastructure Programme (EPIP) For A Period Of Thirty-Six (36) Months DFFE – T022 (21/22) To Appoint Public Entities, Institutions Of Higher Learning, Environmental 01 (One) 36 (THIRTY-SIX) R1 300 Management, And/Or Nature Conservation Non-Governmental Organizations For The MONTHS Implementation Of Youth Environmental Service (YES) Project In The Northwest Province Funded By The Department Through The Environmental Protection And Infrastructure Programme (EPIP) For A Period Of Thirty-Six (36) Months DFFE – T023 (21/22) To Appoint Public Entities, Institutions Of Higher Learning, Environmental 1 (One) 36 (Thirty-six) Months R1 300 Management, And/Or Nature Conservation Non-Governmental Organizations For The Implementation Of Youth Environmental Service (YES) Project In The Free State Province Funded By The Department Through The Environmental Protection And Infrastructure Programme (EPIP) For A Period Of Thirty-Six (36) Months. DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 166 TOTAL NUMBER OF CONTRACT VALUE IN PROJECT TITLE CONSULTANTS THAT DURATION (WORK DAYS) RAND WORKED ON PROJECT R'000 DFFE – T024 (21/22) To Appoint Public Entities, Institutions Of Higher Learning, Environmental 1 (One) 36 (Thirty-six) Months R1 300 Management And/Or Nature Conservation Non-Governmental Organizations For The Implementation Of Youth Environmental Service (YES) Project In The Northern Cape Province Funded By The Department Through The Environmental Protection And Infrastructure Programme (EPIP) For A Period Of Thirty-Six (36) Months. DFFE – T025 (21/22) To Appoint Public Entities, Institutions Of Higher Learning, Environmental 1 (One) 36 (Thirty-six) Months R2 900 Management And/Or Nature Conservation Non-Governmental Organizations For The Implementation Of Youth Environmental Service (YES) Project In The Northern Cape Province Funded By The Department Through The Environmental Protection And Infrastructure Programme (EPIP) For A Period Of Thirty-Six (36) Months. DFFE – T048 (21/22) Appointment Of Accredited Training Providers To Implement Expanded Public 1 (One) 12 (Twelve) Months R2 412 Works Programme (EPWP) Training Projects In Various Provinces Towards Participants Obtaining National Certificates On Different Qualifications DFFE – RFQ013 (21/22) The Appointment Of A Service Provider To Facilitate A Two (2) Day 01 (One) 2 days R99 Transfrontier Conservation Areas National Coordinating Committee Workshop DFFE – RFQ002 (22/23) Appointment Of A Service Provider For The Development, Facilitation, And 01 (One) 6 (Six months) R540 Implementation Of The Change Management Strategy In The Department Of Forestry, Fisheries And The Environment For A Period Of Six (06) Months DFFE – T052 (21/22) The Appointment Of The Service Provider To Produce Three Annual Reports 01 (One) 4 (Four) Years R1 771 On Commercial Timber Resources And Primary Roundwood Processing In South Africa For The Periods 2019/20, 2020/21 And 2021/22 Within A Four-Year Period DFFE – T023 (22/23) The Appointment Of A Service Provider To Design And Implement An 01 (One) 18 (Eighteen months) R4 721 Expanded Industrial Symbiosis Initiative (ISI) Involving Trade In Waste For Implementation Over A Period Of 18 Months In Region B Covering Free State, Kwazulu-Natal, And Mpumalanga. DFFE – T006 (21/22) Appointment Of A Service Provider To Supply And Deliver Food Items To The 01 (One) 4 (Four) years R8 000 Directorate: Southern Oceans And Antarctic Support For Marion Island, Gough Island And Sanae (Antarctica) For A Period Of Four Years DFFE – E107 Appointment Of Depot Operators To Manage Waste Tyre Depots For The Waste 30 (Thirty) 18 (Eighteen) Months R161 674 Bureau DFFE – E108 Appoitment Of The Service Provider For The Transportation Of Waste Tyre Across The 30 (Thirty) 18 (Eighteen) Months R328 851 Country DFFE – E104 Appointment Of Suppliers For The Procurement Of Baling Equipment 1 (One) 4 (Four) Years R14 995 DFFE – T003 (22/23) Appointment Of The Suitable Project Manangement Companies To Render 3 (Three) 06 (Six) Month R23 108 Project Management Services To The Department Of Forestry, Fisheries And The Environment For The Municipal Cleaning Programme Within The Nine (09) Provinces In South Africa For A Period Of Six (06) Months. ANNUAL REPORT 2022/23 167 TOTAL NUMBER OF CONTRACT VALUE IN PROJECT TITLE CONSULTANTS THAT DURATION (WORK DAYS) RAND WORKED ON PROJECT R'000 DFFE – T003 (22/23) Appointment Of The Suitable Project Manangement Companies To Render 1 06 (Six months) R5 896 Project Management Services To The Department Of Forestry, Fisheries And The Environment For The Municipal Cleaning Programme Within The Nine (09) Provinces In South Africa For A Period Of Six (06) Months. DFFE – T003 (22/23) Appointment Of The Suitable Project Manangement Companies To Render 1 06 (Six months) R9 215 Project Management Services To The Department Of Forestry, Fisheries And The Environment For The Municipal Cleaning Programme Within The Nine (09) Provinces In South Africa For A Period Of Six (06) Months. DFFE – RFQ020 (21/22) Terms Of Reference For The Appointment Of The Service Provider To 1 06 (Six months) R399 Conduct Stakeholder Consultation On The Assessment Of The Socio-Economic Impacts Of The Implementation Of The Waste Classification And Management Regulations And The Associated Waste Norms And Standards For A Period Of Six (06) Months. DFFE – RFQ023 (21/22) The Appointment Of The Service Provider To Facilitate A 3-Days 9th People 1 3 DAYS R371 And Parks National Conference, Manage The Content And Provide Secretariat Services During The Conference DFFE – T021 (22/23) Appointment Of A Service Provider For The Supply And Delivery Of Seedlings 1 24 (Twenty-Four) R7 304,00 In Kwazulu Natal, Eastern Cape, Limpopo, And Mpumalanga Provinces For The Department Of months Forestry, Fisheries And The Environment For A Period Of Twenty-Four (24) Months DFFE – T015 (22/23) Appointment Of Accredited Training Service Providers For The Implementation 4 12 (Twelve) Months R22 984 Of Expanded Public Works Programme (EPWP)Training And Skills Development Programmes In Western Cape Province, An Initiative Towards Your Youth Empowerment And Development. (WC: SP002), (WC: SP003), (WC: QL001) AND (WC: QL002) DFFE – T019 (22/23) The Appointment Of An Independent Service Provider To Determine The 1 12 (Twelve) weeks R407 Baseline Data And Indicators Linked To The Monitoring And Evaluation Framework For The Undp/Gef6 Project Entitled, “Development Of Value Chains Derived From Genetic Resources In Compliance With The Nagoya Protocol On Access And Benefit-Sharing (ABS), And The Draft National Biodiversity Economy Strategy (NBES)”. The Baseline Assessment Will Inform Baseline Indicators Required For Project Targets Per Component, Environmental And Social Risk Management Targets, Knowledge Management Targets, Gender Mainstreaming Targets And Relevant Sustainable Development Goals (SDG) Targets, For A Twelve (12) Weeks Period. DFFE – T026 (22/23) Appointment Of A Panel Of Freelance Language Practitioners (Service 1 36 (Thirty-six) Months English to other Provider(S) Namely Language Agencies Or Companies) For The Rendering Of Translation Services Languages R 1,10 per For A Period Of Thirty-Six (36) Months word Afrikaans to other Languages R 1,20 per word DFFE – T051 (22/23) Appointment Of A Service Provider To Design And Implement An Expanded 1 18 (Eighteen) Months R3 054 Industrial Symbiosis Initiative (ISI) Involving Trade In Waste For Implementation Over A Period Of 18 Months In Region C Covering Gauteng, Northwest, And Limpopo DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 168 TOTAL NUMBER OF CONTRACT VALUE IN PROJECT TITLE CONSULTANTS THAT DURATION (WORK DAYS) RAND WORKED ON PROJECT R'000 DFFE – T007 (22/23) Appointment Of Accredited Training Service Providers For The Implementation 5 24 (Twenty-Four) R15 827 Of Expanded Public Works Programme (EPWP) Training And Skills Development Programmes In months Eastern Cape Province 2, An Initiative Towards Youth Empowerment And Development DFFE – SITA 005 (22/23) The Appointment Of A Service Provider To Migrate The Opentext 1 3 (Three) Months R2 823 Document Management System Including All Deployed Modules And Oracle Database Within The Department Osf Forestry, Fisheries, And The Environment To The Cloud For High Availability For A Period Of Three (3) Months DFFE – T007 (22/23) Appointment Of A Service Provider To Upgrade Edms And Oracle Database 1 3 (Three) Months R3 115 From Content Server Suite 16 To The Latest Version For A Period Of Three (3) Months DFFE – SITA 010 (22/23) Appointment Of A Service Provider To Implement Phase 2 Of The Opentext 1 12 (Twelve) Months R3 179 Electronic Signatures Within The Department Of Forestry, Fisheries And The Environment For A Period Of Twelve (12) MONTHS DFFE – T048 (22/23) The Appointment Of A Service Provider To Assist The Department Of Forestry, 1 15 (Fifteen) Months R1 725 Fisheries, And The Environment (DFFE) With The Development Of A National Framework For Open Space Management In South Africa For A Period Of Fifteen (15) Months DFFE – T008 (22/23) Appointment Of An Accredited Training Service Providers For The 1 24 (Twenty-four) Months R3 054 Implementation Of Expanded Public Works Programme (EPWP) Training And Skills Development Programmes In Kwa-Zulu Natal (1) Province, An Initiative Towards Youth Empowerment And Development(Sp003) DFFE – T009 (22/23) Appointment Of An Accredited Training Service Providers For The 5 24 (Twenty-four) Months R9 215 Implementation Of Expanded Public Works Programme (EPWP) Training And Skills Development Programmes In Kwa-Zulu Natal Province, An Initiative Towards Youth Empowerment And Development (SP008) DFFE – T014 (22/23) Appointment Of Accredited Service Providers For The Implementation Of 4 12 (Twelve) Months R3 968 Expanded Public Works Programme (EPWP) Training And Skills Development Programme In Gauteng Province, An Initiative Towards Youth Empowerment And Development (SP004) DFFE – T016 (22/23) Appointment Of An Accredited Training Service Providers For The 5 12 (Twelve) Months R14 361 Implementation Of Expanded Public Works Programme (EPWP) Training And Skills Development Programmes In North-West Province, An Initiative Towards Youth Empowerment And Development (SP004) DFFE – T012 (22/23) Appointment Of Accredited Training Service Providers For The Implementation 5 12 (Twelve) Months R11 265 Of Expanded Public Works Programme (EPWP) Training And Skills Development Programmes In Mpumalanga Province, An Initiative Towards Youth Empowerment And Development SP003 DFFE – T070 (22/23) The Appointment Of A Service Provider To Develop The Business Plan For The 1 6 (Six) Months R486 Bethulie Dam Community Project, Within A Period Of Six (6) Months. DFFE – T041 (22/23) Appointment Of A Service Provider On A Five (5) Year Contract To Assist 1 5 (Five) years R4 186 063 The Department Of Forestry, Fisheries And The Environment In Plan, Executing, Controlling And Managing The Working On Fire Programme ANNUAL REPORT 2022/23 169 Table 3.15.2 Analysis of consultant appointments using appropriated funds, in terms of Historically Disadvantaged Individuals (HDIs) for the period 1 April 2022 and 31 March 2023 PERCENTAGE PERCENTAGE NUMBER OF CONSULTANTS PROJECT TITLE OWNERSHIP BY HDI MANAGEMENT BY HDI FROM HDI GROUPS THAT GROUPS GROUPS WORK ON THE PROJECT E1600: Appointment Of A Project Management Service Providers To Manage The Implementation 100.00 100.00 1 Of Expanded Public Works Programme (EPWP) Driver Development Programme In Various District Municipalities Towards Obtaining Learners Licences And Driving Licence For Code Ec And Code C1 For Kwazulu Natal Province Only E1602: Appointment Of A Project Management Service Provider To Manage The Implementation Of 100.00 100.00 1 Expanded Public Works Programme (EPWP) Driver Development Programme In Various District Municipalities Towards Obtaining Learners Licences And Driving Licence For Code EC And Code C1 For Mpumalanga Province Only. E1598: Appointment Of A Project Management Service Provides To Manage The Implementation 100.00 100.00 1 Of Expanded Public Works Programme (EPWP) Driver Development Programme In Various District Municipalities Towards Obtaining Learners Licences And Driving Licence For Code EC And Code C1 For Northern Cape Province Only E1603: Appointment Of A Project Management Service Provides To Manage The Implementation 100.00 100.00 1 Of Expanded Public Works Programme (EPWP) Driver Development Programme In Various District Municipalities Towards Obtaining Learners Licences And Driving Licence For Code EC And Code C1 For Northern Cape Province Only DFFE – T060 (21/22) Appointment Of A Service Provider To Undertake A Study On The Assessment Of 100.00 100.00 1 The Environmental, Health, And Socio-Economic Effects Of Mercury Exposure In Affected Communities For A Period Of 24 Months DFFE – T058 (21/22) Appointment Of A Service Provider For A Period Of 8 Months To Review And 100.00 100.00 1 Revise The Guideline Document For The Evaluation Of The Quantum Of Closure Related Financial Provision By A Mine As Well As The Related Spreadsheet And Master Rates And To Develop A Rehabilitation Plan Template, A Risk Model And Prepare Recommendations DFFE T002 (21/22): Appointment Of A Project Management Service Providers To Manage The 100.00 100.00 1 Implementation Of Expanded Public Works Programme (EPWP) Driver Development Programme In Various District Municipalities Towards Obtaining Learners Licences And Driving Licence For Code EC And Code C1 For Limpopo Province Only RFQ021 (21/22) Appointment Of A Service Provider To Conduct A Financial Statement Review For A 100.00 100.00 1 Period Of Six (6) Months In Preparation Of The Year-End Financial Statements RFQ 004 (21/22) Appointment Of A Service Provider To Supply, Deliver, Install And Maintain Eight (08) 100.00 100.00 1 Energy Dispersive X-Ray Fluorescence (ED-XRF) Spectrometers For Monitoring Compliance With Lead In Paint Legislation At Priority Points Of Entry In South Africa RFQ 004 (21/22) Appointment Of A Service Provider To Provide A Co-Sourced Internal Audit Service To 100.00 100.00 1 The Department Of Forestry, Fisheries, And The Environment For A Period Of Three (3) Years. DFFE – T050 (21/22) Appointment Of A Service Provider To Design And Implement The An Expanded 100.00 100.00 1 Industrial Symbiosis Initiative (ISI) Involving Trade In Waste For Implementation Over A Period Of 18 Months In The Region Of Northern Cape, Western Cape, And Eastern Cape DFFE – T061 (21/22) The Appointment Of The Service Provider To Undertake A Detailed Feasibility 100.00 100.00 1 Study For Banning Disposable Cylinders For Ozone Depleting And Global Warming Refrigerants And Develop A Business Case For Local Manufacturing Of Refillable Cylinders. DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 170 PERCENTAGE PERCENTAGE NUMBER OF CONSULTANTS PROJECT TITLE OWNERSHIP BY HDI MANAGEMENT BY HDI FROM HDI GROUPS THAT GROUPS GROUPS WORK ON THE PROJECT DFFE – T062 (21/22) Appointment Of A Service Provider To Render Physical Security Services At 100.00 100.00 1 Environmental House, Arcadia, Pretoria In The Department Of Forestry, Fisheries, And The Environment For A Period Of Thirty-Six (36) Months DFFE – T051 (21/22) Terms Of Reference For The Supply Of Fruit And Indigenous Ornamental Trees 100.00 100.00 1 For Use In The Two Million Trees Per Annum Programme Of The Department For The Period Of 24 Months. (Gauteng/ Northwest/Northern Cape) DFFE – T056 (21/22) 100.00 100.00 1 To Appoint A Suitable Service Provider To Render Project Management Services For The Procurement Of Equipment For The Thaba[1]Nchu Buy-Back Centre And Botshabelo Buy–Back Centre; And To Train And Support The Existing Two (2) Waste Cooperatives And/Or Non-Profit Organisations To Be Able To Operate And Manage The Thaba-Nchu And Botshabelo Buy-Back Centres In Mangaung Metropolitan Municipality Over A Period Of Twenty-Four (24) Months DFFE – T065 (21/22) Appointment Of The Service Provider To Conduct An Impact Evaluation Of The 100.00 100.00 1 Training Interventions Within The Branch Environmental Programmes DFFE – RFQ 001 (22/23) The Appointment Of An Independent Expert To Advise The Minister On 100.00 100.00 1 Appeals Lodged In Terms Of The National Environmental Management Act, Or Specific Environmental Management Act, For The Duration Of Twelve (12) Months DFFE – T048 (21/22) Appointment Of Accredited Training Providers To Implement Expanded Public 100.00 100.00 1 Works Programme (Epwp) Training Projects In Various Provinces Towards Participants Obtaining National Certificates On Different Qualifications DFFE – T071 (21/22) The Appointment Of A Service Provider To Conduct A Comprehensive And 100.00 100.00 1 Strategic Review Of All National Policy Instruments And Legislation Related To Waste Management DFFE – T007 (21/22) Appointment Of A Service Provider To Design, Develop And Implement A 100.00 100.00 1 Nationwide Comprehensive Non-Industrial Air Emission Inventories For Air Quality Management For The Republic Of South Africa Over A Period Of Five Years DFFE – T016 (21/22) To Appoint Public Entities, Institutions Of Higher Learning, Environmental 100.00 100.00 1 Management, And/Or Nature Conservation Non-Governmental Organizations For The Implementation Of Youth Environmental Service (YES) Project In The Gauteng Province Funded By The Department Through The Environmental Protection And Infrastructure Programme (EPIP) For A Period Of Thirty-Six (36) Months DFFE -T017 (21/22): To Appoint Public Entities, Institutions Of Higher Learning, Environmental 100.00 100.00 1 Management, And/Or Nature Conservation Non-Governmental Organizations For The Implementation Of Youth Environmental Service (Y ES) Project In The Western Cape Province Funded By The Department Through The Environmental Protection And Infrastructure Programme (EPIP) For A Period Of Thirty-Six (36) Months. DFFE – T018 (21/22) To Appoint Public Entities, Institutions Of Higher Learning, Environmental 100.00 100.00 1 Management, And/Or Nature Conservation Non-Governmental Organizations For The Implementation Of The Youth Environmental Service (YES) Project In The Kwazulu-Natal Province Funded By The Department Through The Environmental Protection And Infrastructure Programme (EPIP) For A Period Of Thirty-Six (36) Months ANNUAL REPORT 2022/23 171 PERCENTAGE PERCENTAGE NUMBER OF CONSULTANTS PROJECT TITLE OWNERSHIP BY HDI MANAGEMENT BY HDI FROM HDI GROUPS THAT GROUPS GROUPS WORK ON THE PROJECT DFFE – T019 (2/22) To Appoint Public Entities, Institutions Of Higher Learning, Environmental 100.00 100.00 1 Management, And/Or Nature Conservation Non-Governmental Organizations For The Implementation Of Youth Environmental Service (YES) Project In The Limpopo Province Funded By The Department Through The Environmental Protection And Infrastructure Programme (EPIP) For A Period Of Thirty-Six (36) Months DFFE – T020 (21/22) To Appoint Public Entities, Institutions Of Higher Learning, Environmental 100.00 100.00 1 Management, And/Or Nature Conservation Non-Governmental Organizations For The Implementation Of Youth Environmental Service (YES) Project In The Mpumalanga Province Funded By The Department Through The Environmental Protection And Infrastructure Programme (EPIP) For A Period Of Thirty-Six (36) Months DFFE – T021 (21/22) To Appoint Public Entities, Institutions Of Higher Learning, Environmental 100.00 100.00 1 Management, And/Or Nature Conservation Non-Governmental Organizations For The Implementation Of Youth Environmental Service (YES) Project In The Eastern Cape Province Funded By The Department Through The Environmental Protection And Infrastructure Programme (EPIP) For A Period Of Thirty-Six (36) Months DFFE – T022 (21/22) To Appoint Public Entities, Institutions Of Higher Learning, Environmental 100.00 100.00 1 Management, And/Or Nature Conservation Non-Governmental Organizations For The Implementation Of Youth Environmental Service (YES) Project In The Northwest Province Funded By The Department Through The Environmental Protection And Infrastructure Programme (EPIP) For A Period Of Thirty-Six (36) Months DFFE – T023 (21/22) To Appoint Public Entities, Institutions Of Higher Learning, 100.00 100.00 1 Environmental Management, And/Or Nature Conservation Non-Governmental Organizations For The Implementation Of Youth Environmental Service (YES) Project In The Free State Province Funded By The Department Through The Environmental Protection And Infrastructure Programme (EPIP) For A Period Of Thirty-Six (36) Months. DFFE – T024 (21/22) To Appoint Public Entities, Institutions Of Higher Learning, Environmental 100.00 100.00 1 Management And/Or Nature Conservation Non-Governmental Organizations For The Implementation Of Youth Environmental Service (YES) Project In The Northern Cape Province Funded By The Department Through The Environmental Protection And Infrastructure Programme (EPIP) For A Period Of Thirty-Six (36) Months. DFFE – T025 (21/22) To Appoint Public Entities, Institutions Of Higher Learning, Environmental 100.00 100.00 1 Management And/Or Nature Conservation Non-Governmental Organizations For The Implementation Of Youth Environmental Service (YES) Project In The Northern Cape Province Funded By The Department Through The Environmental Protection And Infrastructure Programme (EPIP) For A Period Of Thirty-Six (36) Months. DFFE – T048 (21/22) Appointment Of Accredited Training Providers To Implement Expanded Public 100.00 100.00 1 Works Programme (EPWP) Training Projects In Various Provinces Towards Participants Obtaining National Certificates On Different Qualifications DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 172 PERCENTAGE PERCENTAGE NUMBER OF CONSULTANTS PROJECT TITLE OWNERSHIP BY HDI MANAGEMENT BY HDI FROM HDI GROUPS THAT GROUPS GROUPS WORK ON THE PROJECT DFFE – T033 (21/22) The Appointment Of Service Provider To Assess The Environmental 100.00 100.00 1 Programmes Branch (EP) OHS Management System, Projects Implementation, Compliances With ISO 45001 System Requirements And Occupational Health And Safety Act (OHS Act) Requirements, In The Two Implementing Chief Directorate: Environmental Protection Infrastructure Programme (EPIP) And Natural Resource Management (NRM) Projects. DFFE – RFQ013 (21/22) The Appointment Of A Service Provider To Facilitate A Two (2) Day 100.00 100.00 1 Transfrontier Conservation Areas National Coordinating Committee Workshop DFFE – RFQ002 (22/23) Appointment Of A Service Provider For The Development, Facilitation, And 100.00 100.00 1 Implementation Of The Change Management Strategy In The Department Of Forestry, Fisheries And The Environment For A Period Of Six (06) Months DFFE – T052 (21/22) The Appointment Of The Service Provider To Produce Three Annual Reports On 100.00 100.00 1 Commercial Timber Resources And Primary Roundwood Processing In South Africa For The Periods 2019/20, 2020/21 And 2021/22 Within A Four-Year Period DFFE – T023 (22/23) The Appointment Of A Service Provider To Design And Implement An Expanded 100.00 100.00 1 Industrial Symbiosis Initiative (ISI) Involving Trade In Waste For Implementation Over A Period Of 18 Months In Region B Covering Free State, Kwazulu-Natal, And Mpumalanga. DFFE – T006 (21/22) Appointment Of A Service Provider To Supply And Deliver Food Items To The 100.00 100.00 1 Directorate: Southern Oceans And Antarctic Support For Marion Island, Gough Island And Sanae (Antarctica) For A Period Of Four Years DFFE – E107 Appointment Of Depot Operators To Manage Waste Tyre Depots For The Waste Bureau 100.00 100.00 1 DFFE – E108 Appointment Of The Service Provider For The Transportation Of Waste Tyre Across The 100.00 100.00 1 Country DFFE – E104 Appointment Of Suppliers For The Procurement Of Baling Equipment 100.00 100.00 1 DFFE – T003 (22/23) Appointment Of The Suitable Project Management Companies To Render 100.00 100.00 1 Project Management Services To The Department Of Forestry, Fisheries And The Environment For The Municipal Cleaning Programme Within The Nine (09) Provinces In South Africa For A Period Of Six (06) Months. DFFE – T003 (22/23) Appointment Of The Suitable Project Management Companies To Render 100.00 100.00 1 Project Management Services To The Department Of Forestry, Fisheries And The Environment For The Municipal Cleaning Programme Within The Nine (09) Provinces In South Africa For A Period Of Six (06) Months. DFFE – T003 (22/23) Appointment Of The Suitable Project Management Companies To Render 100.00 100.00 1 Project Management Services To The Department Of Forestry, Fisheries And The Environment For The Municipal Cleaning Programme Within The Nine (09) Provinces In South Africa For A Period Of Six (06) Months. DFFE – Rfq020 (21/22) Terms Of Reference For The Appointment Of The Service Provider To Conduct 100.00 100.00 1 Stakeholder Consultation On The Assessment Of The Socio-Economic Impacts Of The Implementation Of The Waste Classification And Management Regulations And The Associated Waste Norms And Standards For A Period Of Six (06) Months. ANNUAL REPORT 2022/23 173 PERCENTAGE PERCENTAGE NUMBER OF CONSULTANTS PROJECT TITLE OWNERSHIP BY HDI MANAGEMENT BY HDI FROM HDI GROUPS THAT GROUPS GROUPS WORK ON THE PROJECT DFFE – T027 (22/23) Appointment Of Seven (7) Experts In Various Fields To Form A Panel, To Provide 100.00 100.00 1 Advisory Services To The Department On The Implementation Of The Extended Producer Responsibility Regulations (EPR), For A Period Of Thirty-Six (36) Months Dffe – Rfq023 (21/22) The Appointment Of The Service Provider To Facilitate A 3-Days 9th People 100.00 100.00 1 And Parks National Conference, Manage The Content And Provide Secretariat Services During The Conference DFFE – T021 (22/23) Appointment Of A Service Provider For The Supply And Delivery Of Seedlings In 100.00 100.00 1 Kwazulu Natal, Eastern Cape, Limpopo, And Mpumalanga Provinces For The Department Of Forestry, Fisheries And The Environment For A Period Of Twenty-Four (24) Months DFFE – T015 (22/23) Appointment Of Accredited Training Service Providers For The Implementation Of Expanded Public Works Programme (Epwp)Training And Skills Development Programmes In Western Cape Province, An Initiative Towards Your Youth Empowerment And Development. (WC: SP002), (WC: SP003), (WC: QL001) AND (WC: QL002) DFFE – T019 (22/23) The Appointment Of An Independent Service Provider To Determine The Baseline 100.00 100.00 1 Data And Indicators Linked To The Monitoring And Evaluation Framework For The UNDP/GEF6 Project Entitled, “Development Of Value Chains Derived From Genetic Resources In Compliance With The Nagoya Protocol On Access And Benefit-Sharing (ABS), And The Draft National Biodiversity Economy Strategy (NBES)”. The Baseline Assessment Will Inform Baseline Indicators Required For Project Targets Per Component, Environmental And Social Risk Management Targets, Knowledge Management Targets, Gender Mainstreaming Targets And Relevant Sustainable Development Goals (SDG) Targets, For A Twelve (12) Weeks Period. DFFE – T026 (22/23) Appointment Of A Panel Of Freelance Language Practitioners (Service Provider(s) 100.00 100.00 1 Namely Language Agencies Or Companies) For The Rendering Of Translation Services For A Period Of Thirty-Six (36) Months DFFE – T051 (22/23) Appointment Of A Service Provider To Design And Implement An Expanded 100.00 100.00 1 Industrial Symbiosis Initiative (Isi) Involving Trade In Waste For Implementation Over A Period Of 18 Months In Region C Covering Gauteng, Northwest, And Limpopo DFFE – T007 (22/23) Appointment Of Accredited Training Service Providers For The Implementation Of 100.00 100.00 1 Expanded Public Works Programme (EPWP) Training And Skills Development Programmes In Eastern Cape Province 2, An Initiative Towards Youth Empowerment And Development DFFE – SITA 005 (22/23) The Appointment Of A Service Provider To Migrate The Opentext Document 100.00 100.00 1 Management System Including All Deployed Modules And Oracle Database Within The Department Osf Forestry, Fisheries, And The Environment To The Cloud For High Availability For A Period Of Three (3) Months DFFE – T007 (22/23) Appointment Of A Service Provider To Upgrade EDMS And Oracle Database From 100.00 100.00 1 Content Server Suite 16 To The Latest Version For A Period Of Three (3) Months DFFE – T006 (22/23) Appointment Of Accredited Service Providers For The Implementation Of 100.00 100.00 1 Expanded Public Works Programme (EPWP) Training And Skills Development Programme In Eastern Cape Province, An Initiative Towards Youth Empowerment And Development (Sp005) DFFE – SITA 010 (22/23) Appointment Of A Service Provider To Implement Phase 2 Of The Opentext 100.00 100.00 1 Electronic Signatures Within The Department Of Forestry, Fisheries And The Environment For A Period Of Twelve (12) Months DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 174 PERCENTAGE PERCENTAGE NUMBER OF CONSULTANTS PROJECT TITLE OWNERSHIP BY HDI MANAGEMENT BY HDI FROM HDI GROUPS THAT GROUPS GROUPS WORK ON THE PROJECT DFFE – T048 (22/23) The Appointment Of A Service Provider To Assist The Department Of Forestry, 100.00 100.00 1 Fisheries, And The Environment (DFFE) With The Development Of A National Framework For Open Space Management In South Africa For A Period Of Fifteen (15) Months DFFE – T008 (22/23) Appointment Of An Accredited Training Service Providers For The Implementation 100.00 100.00 1 Of Expanded Public Works Programme (EPWP) Training And Skills Development Programmes In Kwa- Zulu Natal (1) Province, An Initiative Towards Youth Empowerment And Development(SP003) DFFE – T009 (22/23) Appointment Of An Accredited Training Service Providers For The Implementation 100.00 100.00 1 Of Expanded Public Works Programme (EPWP) Training And Skills Development Programmes In Kwa- Zulu Natal Province, An Initiative Towards Youth Empowerment And Development (SP008 DFFE – T014 (22/23) Appointment Of Accredited Service Providers For The Implementation Of 100.00 100.00 1 Expanded Public Works Programme (EPWP) Training And Skills Development Programme In Gauteng Province, An Initiative Towards Youth Empowerment And Development (SP004) DFFE – T016 (22/23) Appointment Of An Accredited Training Service Providers For The Implementation 100.00 100.00 1 Of Expanded Public Works Programme (EPWP) Training And Skills Development Programmes In North- West Province, An Initiative Towards Youth Empowerment And Development (SP004) DFFE – T012 (22/23) Appointment Of Accredited Training Service Providers For The Implementation 100.00 100.00 1 Of Expanded Public Works Programme (EPWP) Training And Skills Development Programmes In Mpumalanga Province, An Initiative Towards Youth Empowerment And Development SP003 DFFE – T070 (22/23) The Appointment Of A Service Provider To Develop The Business Plan For The 100.00 100.00 1 Bethulie Dam Community Project, Within A Period Of Six (6) Months. DFFE – RFQ007 (22/23) Appointment Of The Service Provider To Develop A Comprehensive Feasibility 100.00 100.00 1 Study To Identify Economic Opportunities And Optimal Benefits That Communities Can Derive From Barberton Makhonjwa Mountains World Heritage Site Biodiversity Economy Node Located Within Ehlanzeni District In The Mpumalanga Province, Subsequently Develop Two Project-Based Comprehensive Business Plans To Be Tested To The Market, Over A Period Of Seven (7) Months DFFE – T041 (22/23) Appointment Of A Service Provider On A Five (5) Year Contract To Assist The 100.00 100.00 1 Department Of Forestry, Fisheries And The Environment In Plan, Executing, Controlling And Managing The Working On Fire Programme ANNUAL REPORT 2022/23 175 3.15.3 Report on consultant appointments using Donor funds for the period 1 April 2022 and 31 March 2023 None. 3.15.4 Analysis of consultant appointments using Donor funds, in terms of Historically Disadvantaged Individuals (HDIs) for the period 1 April 2022 and 31 March 2023 None. 3.16 Severance Packages 3.16.1 Granting of employee initiated severance packages for the period 1 April 2022 and 31 March 2023 None. DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 176 PART E PFMA Compliance Report ANNUAL REPORT 2022/23 177 1. INFORMATION ON IRREGULAR, FRUITLESS AND WASTEFUL, UNAUTHORISED EXPENDITURE AND MATERIAL LOSSES Irregular Expenditure a) Reconciliation of irregular expenditure DESCRIPTION 2022/2023 2021/2022 R’000 R’000 Opening balance 5 379 040 4 829 581 Prior year error - (55 339) Opening balance restated 5 379 040 4 774 242 Add: Irregular expenditure confirmed 550 623 912 530 Less: Irregular expenditure condoned - - Less: Irregular expenditure not condoned and removed - (307 732) Less: Irregular expenditure recoverable - - Less: Irregular expenditure not recovered and written off - - Closing balance 5 929 663 5 379 040 During the audit of the financial statement for the year ended 31st of March 2019, the Auditor-General of South Africa (AGSA) identified some of the tenders awarded to non-complaint with the PFMA and PPPFA resulting in the Department incurring irregular expenditure. The AGSA audit report observed that the evaluation criteria used during the scoring of bids were considered not objective and therefore, not in line with PFMA Treasury Regulation paragraph 16A3.2 which states: “a supply chain management referred to in paragraph 16A3.1 must (a) be fair, equitable, transpatent, competitive and cost effective; (b) be consistent with the Preferential Procurement Policy Framework Act, 2002”. The Preferential Procurement Regulation, 2017 paragraph 5(2) and (3) further state that The evaluation criteria for measuring functionality must be objective. The tender documents must specify- (a) evaluation criteria for measuring funcionality; (b) the points for each criteria and, if any, each sub-criterion; and (c) minimum qualifying score for functionality,” The Supply Chain Management processes implemented by the Department to award bids were considered not objective as it did not clearly state, in the terms of reference, the interpretation of each rating criteria and how bidders would qualify for these ratings. Ratings used by management were as follows: 0=Non-compliance; 1=Poor; 2=Fair; 3=Average; 4=Good; 5=Excellent. No objective criteria were set to indicate what level of technical competence would achieve a rating of 1 to 5. Inconsistencies in BEC member’s scoring clearly indicate the impact of subjectivity to the bidding process. This resulted in the Department incurring irregular expenditure on identified tenders. DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 178 The Department applied the Instruction no.4 of 2022/2023 - PFMA Compliance and Reporting Framework to assess, peform determination test and further requested condonation from National Treasury, The condocation request was denied and the irregular expenditure amounting R 2, 8 billion was removed by the Accounting Officer in terms of section 5.7 and 5.8 of PFMA Compliance and Reporting Framework after recomendation by independent assurance. Reconciling Notes DESCRIPTION 2022/2023 2021/2022 R’000 R’000 Irregular expenditure that was under assessment in 2021/22 - 12 643 Irregular expenditure that relates to 2021/22 and identified in 2022/23 - 11 633 Irregular expenditure for the current year 550 623 888 254 Total 550 623 912 530 b) Details of current and previous year irregular expenditure (under assessment, determination, and investigation) DESCRIPTION 2022/2023 2021/2022 R’000 R’000 Irregular expenditure under assessment 175 783 12 643 Irregular expenditure under determination 2 868 196 - Irregular expenditure under investigation - - Total 3 043 979 12 643 During the audit of financial statements a possible irregular expenditure amounting to R 175 million and R 772 thousand was discovered by the auditors and management respectively. The possible irregular expenditure will be subjected to assessment and determination test as per chapter 4 of the PFMA Compliance and Reporting Framework.


 During the financial year under review the Department made three applications to National Treasury requesting condonation in accordance with section 5.5 of PMFA Compliance and Reporting Framework. The department is in the process to remove the Irregular Expenditure amounting to 2.8 billion included under Irregular expenditure under determination. c) Details of current and previous year irregular expenditure condoned DESCRIPTION 2022/2023 2021/2022 R’000 R’000 Irregular expenditure condoned - 307 732 Total - 307 732 ANNUAL REPORT 2022/23 179 d) Details of current and previous year irregular expenditure removed - (not condoned) None. e) Details of current and previous year irregular expenditure recovered None. f) Details of current and previous year irregular expenditure written off (irrecoverable) None. g) Details of non-compliance cases where an institution is involved in an inter-institutional arrangement (where such institution is not responsible for the non-compliance None. h) Details of non-compliance cases where an institution is involved in an inter-institutional arrangement (where such institution is responsible for the non-compliance) None. i) Details of current and previous year disciplinary or criminal steps taken as a result of irregular expenditure Disciplinary steps taken The Department has established a Determination Committee which is responsible to perform determination test on each case of irregular expenditure. Disciplinary actions are applied inline with the recommendation of the investigation report and furthermore where they was a need to capacitate employees, consequence management was implemetented inline with PSCBC Resolution 1 of 2003. The Department has provided training to 206 officials responsible for the irregular expenditure. DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 180 Fruitless and Wasteful Expenditure a) Reconciliation of fruitless and wasteful expenditure DESCRIPTION 2022/2023 2021/2022 R’000 R’000 Opening balance 226 553 230 343 Prior year error - (66 355) Opening balance restated 226 553 163 988 Add: Fruitless and wasteful expenditure confirmed 1 008 62 936 Less: Fruitless and wasteful expenditure written off - - Less: Fruitless and wasteful expenditure recoverable (3 152) (370) Closing balance 224 409 226 554 The fruitless and wasteful expenditure emanate from Environmental Protection and Infrastructure Programme wherein advance payment were made to implementing agents who subsequently failed to complete the projects. The department has engage legal processess to recover the monies. The Department has since changed the project implementation model wherein advance payment are no longer permited Reconciling Notes DESCRIPTION 2022/2023 2021/2022 R’000 R’000 Fruitless and wasteful expenditure that was under assessment in 2021/22 - 32 253 Fruitless and wasteful expenditure that relates to 2021/22 and identified in 2022/23 - 21 667 Fruitless and wasteful expenditure for the current year 1 008 9 016 Total 1 008 62 936 b) Details of current and previous year fruitless and wasteful expenditure (under assessment, determination, and investigation) DESCRIPTION 2022/2023 2021/2022 R’000 R’000 Fruitless and wasteful expenditure under assessment 118 414 41 Fruitless and wasteful expenditure under determination - 672 Fruitless and wasteful expenditure under investigation 73 748 8 303 Total 192 162 9 016 ANNUAL REPORT 2022/23 181 c) Details of current and previous year fruitless and wasteful expenditure recovered DESCRIPTION 2022/2023 2021/2022 R’000 R’000 Fruitless and wasteful expenditure recovered 3 152 370 Total 3 152 370 d) Details of current and previous year fruitless and wasteful expenditure not recovered and written off None. e) Details of current and previous year disciplinary or criminal steps taken as a result of fruitless and wasteful expenditure None. Unauthorised expenditure a) Reconciliation of unauthorised expenditure None. b) Details of current and previous year unauthorised expenditure (under assessment, determination, and investigation) None. c) Details of current and previous year material losses through criminal conduct None. d) Details of other material losses None. DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 182 e) Other material losses recovered None. f) Other material losses written off None. 2. INFORMATION ON LATE AND/OR NON-PAYMENT OF SUPPLIERS Consolidated Value Description Number of invoices R'000 Valid invoices received 27 272 7 648 220 Invoices paid within 30 days or agreed period 27 195 7 254 633 Invoices paid after 30 days or agreed period 77 393 587 Invoices older than 30 days or agreed period (unpaid and without dispute) - - Invoices older than 30 days or agreed period (unpaid and in dispute) 81 9 455 Reasons: • SCoA related system issues • Unresolved invoice discrepancies • Delay in submission of invoices for processing • Unresolved SCM related queries ANNUAL REPORT 2022/23 183 3. INFORMATION ON SUPPLY CHAIN MANAGEMENT Procurement By Other Means TYPE OF VALUE OF CONTRACT PROJECT DESCRIPTION NAME OF SUPPLIER PROCUREMENT BY CONTRACT NUMBER OTHER MEANS R’000 Request To Approve A Deviation In Order To Appoint The Government Technical Advisory GTAC Single Source EDMS 216594 2 926 Centre (“GTAC”) In Order To Develop A New Multi Term Strategy To Inform The Future Work Of The Environmental Management Inspectorate And To Undertake An Organisational Review Of The Compliance And Enforcement Structures Across The Mandate Of The Department "Appointment Of Service Provider To Manage The Invasive Species, Degraded Agricultural Research Single Source EDMS217602 27 823 Council Land, And Wetlands Within Environmental Programmes: Natural Resource Eco Rhythm Single Source EDMS217602 3 449 Management(Pty) Ltd Management (NRM) On A Single Source During The 2022/23 Financial Year" Isibani Environmental Single Source EDMS217602 9 345 "Appointment Of Service Provider To Manage The Invasive Species, Degraded King Louis Property Single Source EDMS217602 558 Rentals Cc Land, And Wetlands Within Environmental Programmes: Natural Resource Kishugu Training Single Source EDMS217602 1 675 Management (NRM) On A Single Source During The 2022/23 Financial Year" Kwevhos Business Single Source EDMS217602 Enterprise 554 "Appointment Of Service Provider To Manage The Invasive Species, Degraded Modise Khanye Investment Single Source EDMS217602 1 718 Industries (Pty) Ltd Management (NRM) On A Single Source During The 2022/23 Financial Year" Rhodes University(Tsita Single Source EDMS217602 5 404 Project) "Appointment Of Service Provider To Manage The Invasive Species, Degraded Rhodes University(BCRI) Single Source EDMS217602 41 616 Land, And Wetlands Within Environmental Programmes: Natural Resource Richmond Fire Protection Single Source EDMS217602 5 213 Association Management (NRM) On A Single Source During The 2022/23 Financial Year" Savannah Regeneration Single Source EDMS217602 3 708 "Appointment Of Service Provider To Manage The Invasive Species, Degraded Savannah Single Source EDMS217602 4 393 Regeneration(Pongola) Land, And Wetlands Within Environmental Programmes: Natural Resource Tswelopele Ya Rena Single Source EDMS217602 Trading And Projects(Pty) 543 Ltd Management (NRM) On A Single Source During The 2022/23 Financial Year" Zonderendrivier Single Source EDMS217602 1 471 Watergebruikersvereniging "Appointment Of Service Provider To Manage The Invasive Species, Degraded Ngenene General Trading Single Source EDMS217602 4 468 Land, And Wetlands Within Environmental Programmes: Natural Resource Oasis De La Nature Single Source EDMS217602 1 156 Pty(Ltd) DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 184 TYPE OF VALUE OF CONTRACT PROJECT DESCRIPTION NAME OF SUPPLIER PROCUREMENT BY CONTRACT NUMBER OTHER MEANS R’000 Management ( NRM ) On A Single Source During The 2022/23 Financial Year" G And M Environmental Single Source EDMS217602 10 939 Management Solutions "Appointment Of Service Provider To Manage The Invasive Species, Degraded Gaulanga Trading Single Source EDMS217602 1 725 Enterprise Land, And Wetlands Within Environmental Programmes: Natural Resource Thangasi Environmental Single Source EDMS217602 1 821 Projects Cc Management (NRM) On A Single Source During The 2022/23 Financial Year" Office Of Valuer General Single Source SCM217946 17 090 (OVG) Request For Approval To Deviate From The Competitive Bidding Process And Appoint CSIR Single Source SCM218735 6 500 The Council For Scientific And Industrial Research (CSIR) As A Single Source Supplier To Undertake Phase Three Of The Strategic Environmental Assessment For The Wind And Solar Renewable Energy Development Zones (REDZS) Short Course In Environmental Law Enterprise University Of Single Source Q0019F 13 Pretoria Request For Approval To Deviate From Competitive Procurement Processes For The Microforest Single Source DIV 222/23 DV013 756 Appointment Of A Single Source Provider Microforest (Pty) Ltd To Provide Forestry Software As A Service On The Comprehensive Spatial Land Use An Alpha Numerialphanumericstem For The Department's Commercial Forestry Plantations For A Period Of 12 (Twelve) Months Request For Approval To Deviate From Competitive Procurement Processes For The CSIR Single Source SCM217321 11 304 Appointment Of Service Provider For The Implementation Of The CMORE Situational Awareness Platform. Approval For The Department To Procure Routine Rhino Horn Deoxyribonucleic Acid (DNA) VGL Sole Source SCM217654 900 Kits From A Sole Source Service Provider Namely The Veterinary Genetics Laboratory Of The University Of Pretoria Approaval For Deviation To Appoint The South African Qualifications Authority (SAQA) Within SAQA Sole Source DIV 22/23 D009 222 The Directorate: Human Resource Management As A Sole Source Appointment For A Period Of Three(03) Years. Total 183 911 ANNUAL REPORT 2022/23 185 Contract Variations and Expansions VALUE OF PREVIOUS VALUE OF CONTRACT ORIGINAL CONTRACT CURRENT MODIFICATION CONTRACT EXPANSION/S CONTRACT CONTRACT PROJECT DESCRIPTION NAME OF SUPPLIER TYPE VALUE OR EXPANSION OR NUMBER (EXPANSION VARIATION/S (IF VARIATION OR VARIATION) APPLICABLE) R’000 R’000 R’000 Advise Minister On The Various Appeals Lodged, In Terms Of The National Environmental EIMS Variation LSA207024 R234 R40 Management Act, 1998(Act No 107 Of 1998) Against The Refusal Of Environmental - Authorisations For The Proposed Gas To Power Via Powership Projects As The Ports Of Ngqura, Saldanha And Richards Bay In Eastern Cape, Western Cape And Kwazulu-Natal Provinces Natual Resource Management (NRM)-Request For Variation Of The Budget And Time Rupita Trading Variation SCM217356 R8 650 R996 Extension For 35 Service Provider Contracts For Tenders E1406 And E1428 Enterprice - Natual Resource Management (NRM)-Request For Variation Of The Budget And Time Vultures Environmental Variation SCM217356 R9 107 R1 049 Extension For 35 Service Provider Contracts For Tenders E1406 And E1429 Services - Natual Resource Management (NRM)-Request For Variation Of The Budget And Time Tshego-Wa-Rona Variation SCM217356 R6 357 R732 Extension For 35 Service Provider Contracts For Tenders E1406 And E1430 Cleaning And - Maintance Natual Resource Management (NRM)-Request For Variation Of The Budget And Time Lucas Eradicators Variation SCM217356 R7 730 R890 Extension For 35 Service Provider Contracts For Tenders E1406 And E1431 Environmental Services - Natual Resource Management (NRM)-Request For Variation Of The Budget And Time Matsila Community Variation SCM217356 R23 469 R2 702 Extension For 35 Service Provider Contracts For Tenders E1406 And E1432 Development Trust - Natual Resource Management (NRM)-Request For Variation Of The Budget And Time Eastern Wetland Variation SCM217356 R46 354 R15 451 Extension For 35 Service Provider Contracts For Tenders E1406 And E1433 Rehabilitation - Environmental Programmes: Natural Resource Management Programmes: Request For Working On Fire (Pty) Variation SCM R5 225 725 R131 714 Variation To Increase The Value Of The Budget Of The 12-Month Extension Between Ltd 219710 - Department Of Forestry, Fisheries And The Environment (DFFE) And Working On Fire (Pty) Ltd Environmental Programmes: Natural Resource Management (NRM) – Request Approval For WESSA Variation SCM222096 R0 R74 684 R16 378 The Combined Variation Of The Budget And Time Extension For Wildlife And Environemt Society Of South Africa (WESSA) Service Provider, Contract For Tender E1406 Request For Approval To Pay The Value Added Tax In The Amount Of R35 103.00, To EIMS Variation SCM220918 R0 R274 R35 Environmental Impact Management Services For Their Services Rendered In Respect Of The Karpowership Appeals To Request That You Approve A Contract Variation Order In Relation To The Travel Cost Of Ubuntu Business SCM R0 R24 162 R67 The Service Provider To Provide Quality Assurance And Governance Support Within Bid Advisory 226518 Administration Processes Of The Department. The Appointment Of A Service Provider With Technical And Legal Expertise In The Tembador 194/Potlako SCM R0 R4 098 R615 Regulation Of Aviation And Maritime Technical And Legal Support To The Regulating Consulting 225637 Committee For Meteorological Services (RCMS) In The National Department Of Environmental Affairs(DEFF) For A Period Of 3(Three) Years Total R172 218 DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 186 PART F FINANCIAL INFORMATION ANNUAL REPORT 2022/23 187 1. REPORT OF THE AUDITOR-GENERAL Non-adjusting events after reporting date This is the auditor’s report as issued by the AGSA. 7. I draw attention to note 29 in the financial statements, which deals with non-adjusting events after reporting date as follows: Opinion 8. The possible impact of a veld fire that broke out at a depot, destroying approximately 70% of the waste tyres, on Department’s future prospects, performance and cash flows. 1. I have audited the financial statements of the Department of Forestry, Fisheries and the Management is unable to estimate any financial implications directly attributed to the Environment set out on pages 197 to 276, which comprise the appropriation statement, Department as the depot operator has an insurance cover in place for occurrence of fire statement of financial position as at 31 March 2023, statement of financial performance, damages. statement of changes in net assets, and cash flow statement for the year then ended, as well as notes to the financial statements, including a summary of significant accounting policies. 9. The possible impact of the extension of measurement period for biological assets for the financial year 2022/2023 and 2023/2024 on the Department’s future disclosure notes. National Treasury granted the extension in accordance with section 79 of the PFMA and 2. In my opinion, the financial statements present fairly, in all material respects, the financial section 19.27 of Modified Cash Standards (MCS). position of the Department of Forestry, Fisheries and the Environment as at 31 March 2023, and its financial performance and cash flows for the year then ended in accordance with the Modified Cash Standard (MCS) as prescribed by the National Treasury and the Other matters requirements of the Public Finance Management Act 1 of 1999 (PFMA) and the Division of Revenue Act 9 of 2021 (Dora). 10. I draw attention to the matters below. My opinion is not modified in respect of these matters. Basis for opinion Unaudited supplementary schedules 3. I conducted my audit in accordance with the International Standards on Auditing (ISAs). My responsibilities under those standards are further described in the responsibilities of 11. The supplementary information set out on pages 277 to 291 does not form part of the the auditor-general for the audit of the financial statements section of my report. financial statements and is presented as additional information. I have not audited these schedules and, accordingly, I do not express an opinion on them. 4. I am independent of the Department of Forestry, Fisheries and the Environment in accordance with the International Ethics Standards Board for Accountants’ International code of ethics for professional accountants (including International Independence Standards) (IESBA code) as well as other ethical requirements that are relevant to my audit in South Africa. I have fulfilled my other ethical responsibilities in accordance with these requirements and the IESBA code. 5. I believe that the audit evidence I have obtained is sufficient and appropriate to provide a basis for my opinion. Emphasis of matters 6. I draw attention to the matters below. My opinion is not modified in respect of these matters. DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 188 Unaudited irregular expenditure and fruitless and wasteful expenditure (UIFW expenditure) 16. A further description of my responsibilities for the audit of the financial statements is included in the annexure to this auditor’s report. 12. On 23 December 2022 National Treasury issued Instruction Note No. 4: PFMA Compliance and Reporting Framework of 2022-23 in terms of section 76(1)(b), (e) and (f), 2(e) and (4) Report on the audit of the annual performance report (a) and (c) of the PFMA, which came into effect on 3 January 2023. The PFMA Compliance and Reporting Framework also addresses the disclosure of unauthorised expenditure, 17. In accordance with the Public Audit Act 25 of 2004 (PAA) and the general notice issued irregular expenditure and fruitless and wasteful expenditure. Among the effects of this in terms thereof, I must audit and report on the usefulness and reliability of the reported framework is that irregular, fruitless and wasteful expenditure incurred in previous financial performance against predetermined objectives for selected programmes presented in the years and not addressed is no longer disclosed in the disclosure notes of the annual annual performance report. The accounting officer is responsible for the preparation of the financial statements, only the current year and prior year figures are disclosed in note 24 to annual performance report. the financial statements. The movements in respect of irregular expenditure and fruitless and wasteful expenditure are no longer disclosed in the notes to the annual financial statements of Department of Forestry, Fisheries and the Environment. The disclosure of 18. I selected the following programmes presented in the annual performance report for these movements (e.g. condoned, recoverable, removed, written off, under assessment, the year ended 31 March 2023 for auditing. I selected programmes that measures the under determination and under investigation) are now required to be included as part of Department’s performance on its primary mandated functions and that are of significant other information in the annual report of the Department. I do not express an opinion on national, community or public interest. the disclosure of irregular expenditure and fruitless and wasteful expenditure in the annual report. Programme Page numbers Purpose Programme 2: Regulatory 56 - 60 Promote the development of Responsibilities of the accounting officer for the financial statements compliance and sector an enabling legal regime and Monitoring licensing authorisation system 13. The accounting officer is responsible for the preparation and fair presentation of the financial that will promote enforcement statements in accordance with the MCS and the requirements of the PFMA and Dora, and for and compliance and ensure the such internal control as the accounting officer determines is necessary to enable the preparation coordination of sector performance of financial statements that are free from material misstatement, whether due to fraud or error. Programme 5: Biodiversity and 75 - 82 Ensure the regulation and conservation management of biodiversity, 14. In preparing the financial statements, the accounting officer is responsible for assessing heritage and conservation matters the Department’s ability to continue as a going concern; disclosing, as applicable, matters in a manner that facilitates relating to going concern; and using the going concern basis of accounting unless the sustainable economic growth and appropriate governance structure either intends to liquidate the Department or to cease development operations, or has no realistic alternative but to do so. Responsibilities of the auditor-general for the audit of the financial statements 19. I evaluated the reported performance information for the selected programmes against the criteria developed from the performance management and reporting framework, as defined in the general notice. When an annual performance report is prepared using 15. My objectives are to obtain reasonable assurance about whether the financial statements these criteria, it provides the users with useful and reliable information and insights on the as a whole are free from material misstatement, whether due to fraud or error; and to Department’s planning and delivery on its mandate and objectives. issue an auditor’s report that includes my opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with the ISAs will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. ANNUAL REPORT 2022/23 189 20. I performed procedures to test whether: Achievement of planned targets • the indicators used for planning and reporting on performance can be linked directly to 27. The annual performance report includes information on reported achievements against the Department’s mandate and the achievement of its planned objectives planned targets and provides explanations for over- and under achievement. This • the indicators are well defined and verifiable to ensure that they are easy to understand information should be considered in the context of the material findings on the reported and apply consistently and that I can confirm the methods and processes to be used performance information. for measuring achievements • the targets can be linked directly to the achievement of the indicators and are specific, Material misstatements time bound and measurable to ensure that it is easy to understand what should be delivered and by when, the required level of performance as well as how performance 28. I identified material misstatements in the annual performance report submitted for will be evaluated auditing. These material misstatements were in the reported performance information • the indicators and targets reported on in the annual performance report are the same of Programme 5: biodiversity and conservation. Management did not correct all the as were committed to in the approved initial or revised planning documents misstatements and I reported material findings in this regard. • the reported performance information is presented in the annual performance report in the prescribed manner Report on compliance with legislation • there is adequate supporting evidence for the achievements reported and for the reasons provided for any over- or underachievement of targets. 29. In accordance with the PAA and the general notice issued in terms thereof, I must audit and report on compliance with applicable legislation relating to financial matters, financial 21. I performed the procedures for the purpose of reporting material findings only; and not to management and other related matters. The accounting officer is responsible for the express an assurance opinion. Department’s compliance with legislation. 22. I did not identify any material findings on the reported performance information of 30. I performed procedures to test compliance with selected requirements in key legislation in Programme 2: Regulatory compliance and sector Monitoring accordance with the findings engagement methodology of the Auditor-General of South Africa (AGSA). This engagement is not an assurance engagement. Accordingly, I do not 23. The material findings on the performance information of the selected programmes are as express an assurance opinion or conclusion. follows: Programme 5: Biodiversity and conservation Percentage of applications for TOPS permits assessed and decision issued within prescribed timeframe 31. Through an established AGSA process, I selected requirements in key legislation for compliance testing that are relevant to the financial and performance management of 24. An achievement of 100% was reported against a target of 100%. However, the audit the Department, clear to allow for consistent measurement and evaluation, while also evidence did not support this achievement. I could not determine the actual achievement, sufficiently detailed and readily available to report in an understandable manner. The but I estimated it to be materially less than reported. Consequently, it is likely that the target selected legislative requirements are included in the annexure to this auditor’s report. was not achieved.Protected areas management improvement plans of management authorities monitored and annual status report compiled 32. The material findings on compliance with the selected legislative requirements, presented 25. An achievement of draft status report on implementation of improvement plan developed per compliance theme, are as follows: for the South African National Parks in March 2023 was reported against a target of status report on implementation of committed improvement plans compiled. However, the audit Asset management evidence did not support this achievement. I could not determine the actual achievement, but I estimated it to be materially less than reported. Consequently, it is likely that the 33. The Department did not determine whether any state institution involved in education target was not achieved. required computer equipment before disposal of such equipment, as required by treasury regulation 16A.7.7. Other matters 26. I draw attention to the matters below. DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 190 Consequences management 41. The Department did not implement proper record keeping in a timely manner to ensure that complete, relevant and accurate information is accessible and available to support performance reporting. 34. I was unable to obtain sufficient appropriate audit evidence that disciplinary steps were taken against officials who had incurred irregular expenditure as required by section 38(1) (h) (iii) of the PFMA. This was because a significant number of the transactions where 42. The Department did not monitor compliance with laws and regulations, which led to irregular expenditure was incurred had not been investigated.   material non-compliance reported in this report. Other information in the annual report 43. Determination tests were not always performed timeously as a result of delays in the compilation of the information required for assessment and determination as per requirements of the PFMA compliance and reporting framework 35. The accounting officer is responsible for the other information included in the annual report, which includes the audit committee’s report The other information referred to does not include the financial statements, the auditor’s report and those selected programmes presented in Material irregularities the annual performance report that have been specifically reported on in this auditor’s report. 44. In accordance with the PAA and the Material Irregularity Regulations, I have a 36. My opinion on the financial statements, the report on the audit of the annual performance responsibility to report on material irregularities identified during the audit. report and the report on compliance with legislation, do not cover the other information included in the annual report and I do not express an audit opinion or any form of assurance Material irregularities identified during the audit conclusion on it. 45. The material irregularities identified are as follows: 37. My responsibility is to read this other information and, in doing so, consider whether it is materially inconsistent with the financial statements and the selected programmes presented in the annual performance report, or my knowledge obtained in the audit, or Payments made for waste disposal project deliverables not received otherwise appears to be materially misstated. 46. The Public Finance Management Act No.1 of 1999 (PFMA) section 45(b) states that 38. I did not receive the other information prior to the date of this auditor’s report. When I do “an official in a Department, trading entity or constitutional institution is responsible for receive and read this information, and if I conclude that, there is a material misstatement the effective, efficient, economical and transparent use of financial and other resources therein, I am required to communicate the matter to those charged with governance and within that official’s area of responsibility.” request that the other information be corrected. If the other information is not corrected, I may have to retract this auditor’s report and re-issue an amended report as appropriate. 47. The Department entered into an agreement with a service provider on 25 February 2010 However, if it is corrected, this will not be necessary. to implement the waste disposal project at the cost of R16 150 000. The project would focus on the establishment of the new landfill site for a municipality which was required Internal control deficiencies to have an administration building, a landfill cell, leachate pond, an access road from N2, guard house, heavy duty multi deck weigh bridge and a concrete palisade fencing. 39. I considered internal control relevant to my audit of the financial statements, annual performance report and compliance with applicable legislation; however, my objective 48. Delays were experienced during the implementation of the project which led to was not to express any form of assurance on it. subsequent revision of completion time and the project budget amount. The budget was thereafter revised to R37 432 500 with a completion date of 31 July 2021. 40. The matters reported below are limited to the significant internal control deficiencies that resulted in the basis for the opinion, the material findings on the annual performance 49. The Department’s payment model was an advanced payment method, where service report and the material findings on compliance with legislation included in this report. providers had been receiving project payments in advance. As at 15 March 2022, a total of R37 207 905 (99,4%) of the budgeted costs were paid. ANNUAL REPORT 2022/23 191 50. As per the Department’s project management procedures the project manager had been 57. The non-compliance resulted in a material financial loss R4 035 438. confirming that the project is on track even though there was an indication that some deliverables are delayed. It was only indicated on 31 July 2021, that some deliverables 58. The accounting officer was notified of the material irregularity on 06 December 2022 and to the value of R8 290 558 were not completed, and that the deliverables were however invited to make a written submission on the actions taken and those that will be taken to near completion. address the matter.  The accounting officer responded to the notification on 02 February 2023 and indicated the following actions that had been taken and planned actions: 51. The non-compliance resulted in a material financial loss of R8 290 558 for the • The agreement with the service provider was terminated on 06 May 2022. Department of Forestry, Fisheries and the Environment. • An investigation was concluded on 19 April 2023 and the matter has been referred to the State Attorney for possible recovery of funds from the service provider. The matter 52. The accounting officer was notified of the material irregularity on 06 December 2022 and is still in progress. invited to make a written submission on the actions taken and those that will be taken to • The Department amended the bid specifications for future land lease bids and address the matter.  The accounting officer responded to the notification on 02 February included the requirement to include proof of written municipal approval for the use of 2023 and indicated the following actions that had been taken and planned actions: the site for waste tyre storage and processing. • A letter of demand was issued to the service provider on 05 December 2022, and the service provider signed an acknowledgement of debt form dated 25 January 2023. 59. I concluded that appropriate actions are being taken to address the matter. I will follow • The payment model was changed from advance payment method to invoice based up on the progress of these actions and the implementation of the planned actions payments and to prevent any potential future losses. during my next audit.   • An investigation was instituted into the matter. The accounting officer plans to take action against the officials found responsible based on the outcome of the investigation. Payments made to perform remedial work on vandalism of deliverables that were already completed 53. I concluded that appropriate actions are being taken to address the matter.  I will follow up on the progress of these actions and the implementation of the planned actions 60. The Public Finance Management Act No.1 of 1999 (PFMA) section 45(b) states that during my next audit.   “an official in a Department, trading entity or constitutional institution is responsible for the effective, efficient, economical and transparent use of financial and other resources Lease payments made for no value for leasing of land required for tyre storage and within that official’s area of responsibility.” processing 61. The Department awarded a contract to a service provider on 02 August 2011 for the 54. The Public Finance Management Act No.1 of 1999 (PFMA) section 45(b) states that “an construction of a landfill site for an amount of R15 000 000. The planned completion official in a Department, trading entity or constitutional institution is responsible for the date of the project was 30 March 2014. A variation order amounting to R6 692 456 was effective, efficient, economical and transparent use of financial and other resources within approved with a new completion date of the 31 May 2017, increasing the project budget that official’s area of responsibility.” to R21 692 456. 55. The Department appointed a service provider, who was a landowner, was appointed 62. During the financial year ended 31 March 2018, when the project was 85% complete through a tender process for the provision of waste tyre management (leasing of facilities, the service provider left the site because of lack of co-operation and willingness of the transporters, micro-collectors and depot operators). The contract was for a period of five owning entity to take ownership of the project. A portion of the completed landfill site was years commencing on the 1 May 2018 with the total value of R10 413 366. thereafter vandalised and necessitated remedial works to be performed for the project to be completed. 56. A site visit to the depot, which took place on 14 May 2021, operating on the land owned by the service provider, revealed that the depot was not fully suited for the purposes it was 63. An alternative service provider was appointed to perform the remedial works and intended, as the land did not meet certain requirements of the by-laws. The Department completed the project on 4 August 2020. The total cost to perform the remedial works had been paying lease payments for this depot since inception of the contract resulting in amounted to R2 359 461. a material financial loss of R4 035 438 for the Department, as disclosed in note 25 of their financial statements for the period ended 31 March 2022. 64. The non-compliance resulted in a material financial loss of R2 359 461 for the Department due to the remedial works performed. DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 192 65. The accounting officer was notified of the material irregularity on 12 December 2022 and Annexure A to the auditor’s report invited to make a written submission on the actions taken and those that will be taken to address the matter.  The accounting officer responded to the notification on 02 February The annexure includes: 2023 and indicated that an investigation was instituted into the matter. The accounting officer plans to take action against the officials found to be liable for the loss based on the outcome of the investigation. • the auditor-general’s responsibility for the audit • the selected legislative requirements for compliance testing. 66. I concluded that appropriate actions are being taken to address the matter. I will follow up on the progress of these actions and the implementation of the planned actions Auditor-general’s responsibility for the audit during my next audit.   Professional judgement and professional scepticism Material irregularities in progress As part of an audit in accordance with the ISAs, I exercise professional judgement and maintain professional scepticism throughout my audit of the financial statements and the 67. I identified another material irregularity during the audit and notified the accounting procedures performed on reported performance information for selected programmes and on officer of these, as required by material irregularity regulation 3(2). By the date of the Department’s compliance with selected requirements in key legislation. this auditor’s report, I had not yet completed the process of evaluating the responses from the accounting officer. These material irregularities will be included in next year’s Financial statements auditor’s report. In addition to my responsibility for the audit of the financial statements as described in this Other reports auditor’s report, I also: 68. I draw attention to the following engagements conducted by various parties. These reports did not form part of my opinion on the financial statements or my findings on the reported performance information or compliance with legislation. • identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error; design and perform audit procedures responsive to those risks; and obtain audit evidence that is sufficient and appropriate to provide a basis for my opinion. 69. An independent consultant was investigating an allegation of misappropriation of the The risk of not detecting a material misstatement resulting from fraud is higher than for Department’s assets at the request of the Department, covering the period 2019 to one resulting from error, as fraud may involve collusion, forgery, intentional omissions, 2020. The investigation were in progress at the date of this auditor’s report. misrepresentations or the override of internal control   • obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Department’s internal control • evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made Pretoria • conclude on the appropriateness of the use of the going concern basis of accounting in 30 July 2023 the preparation of the financial statements. I also conclude, based on the audit evidence obtained, whether a material uncertainty exists relating to events or conditions that may cast significant doubt on the ability of the Department to continue as a going concern. If I conclude that a material uncertainty exists, I am required to draw attention in my auditor’s report to the related disclosures in the financial statements about the material uncertainty or, if such disclosures are inadequate, to modify my opinion on the financial statements. My conclusions are based on the information available to me at the date of this auditor’s report. However, future events or conditions may cause a Department to cease operating as a going concern • evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and determine whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation ANNUAL REPORT 2022/23 193 Communication with those charged with governance I communicate with the accounting officer regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that I identify during my audit. I also provide the accounting officer with a statement that I have complied with relevant ethical requirements regarding independence and communicate with them all relationships and other matters that may reasonably be thought to bear on my independence and, where applicable, actions taken to eliminate threats or safeguards applied. Compliance with legislation – selected legislative requirements The selected legislative requirements are as follows: Legislation Sections or regulations Public Finance Management Act No.1 of 1999 Section 1 (PFMA) Section 38(1)(a)(iv); 38(1)(b); PFMA 38(1)(c); 38(1)(c)(ii); 38(1)(d); 38(1)(h)(iii); Section 39(1)(a); 39(2)(a); Section 41 Section 40(1)(a); 40(1)(b); 40(1)(c)(i) Section 43(4);  Section 44; 45(b); 45(d)   Treasury Regulations for Departments, trading Treasury Regulation  4.1.1; 4.1.3 entities, constitutional institutions and public Treasury Regulation 5.1.1; 5.2.1; 5.2.3(a); 5.2.3(d); 5.3.1 entities (TR) Treasury Regulation   6.3.1(a); 6.3.1(b); 6.3.1(c'); 6.3.1(d); 6.4.1(b) Treasury Regulation 8.1.1; 8.2.1; 8.2.2; 8.2.3; 8.4.1 Treasury Regulation 9.1.1; 9.1.4 Treasury Regulation 10.1.1(a); 10.1.2 Treasury Regulation 12.5.1 Treasury Regulation 15.10.1.2(c') Treasury Regulation 16A3.1 ; 16A 3.2; 16A 3.2(a); 16A 6.1; 16A6.2(a) ,(b) & (e) ; 16A 6.3(a); 16A 6.3(a)(i);16A 6.3(b); 16A 6.3(c);16A6.3(d) ; 16A 6.3(e); 16A 6.4; 16A 6.5; 16A 6.6; 16A7.1; 16A.7.3; 16A.7.6; 16A.7.7;TR 16A8.2 (1) and (2); 16A 8.3 16A8.3 (d); 16A 8.4; 16A 9; 16A 9.1; 16A9.1(b)(ii);16A9.1 (c); 16A 9.1(d); 16A 9.1(e); 116A9.2; 16A9.2(a)(ii)  &(iii); 16A9.1(f). Public service regulation Public service regulation 13(c );18; 18 (1) and (2); 25(1)(e)(i); 25(1)(e)(iii) Prevention and Combating of Corrupt Section 29 Activities Act No.12 of 2004 (PRECCA) Section 34(1) Construction Industry Development Board Act Section 18(1) No.38 of 2000 (CIDB) DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 194 Legislation Sections or regulations Construction Industry Development Board CIDB regulation 17; 25(1); 25 (5) & 25(7A) Regulations PPPFA Section 1(i); 2.1(a); 2.1(b); 2.1(f) PPR 2017 Paragraph 4.1; 4.2 Paragraph 5.1; 5.3; 5.6; 5.7 Paragraph 6.1; 6.2; 6.3; 6.5; 6.6; 6.8 Paragraph 7.1; 7.2; 7.3; 7.5; 7.6; 7.8 Paragraph 8.2; 8.5 Paragraph 9.1; 9.2 Paragraph 10.1; 10.2 Paragraph 11.1; 11.2 Paragraph 12.1 and 12.2 PPR 2022 Paragraph  3.1 Paragraph 4.1; 4.2; 4.3; 4.4 Paragraph 5.1; 5.2; 5.3; 5.4 SITA ACT Section 7(3) Section 7(6)(b) Section 20(1)(a)(I) SITA regulations Regulation 8.1.1 (b); 8.1.4; 8.1.7 Regulation 9.6; 9.4 Regulation 12.3 Regulation 13.1 (a) Regulation 14.1; 14.2 PFMA SCM Instruction no. 09 of 2022/2023 Paragraph 3.1; 3.3 (b); 3.3 (c ); 3.3 (e ); 3.6 National Treasury Instruction No.1 of 2015/16 Paragraph 3.1; 4.1; 4.2 NT SCM Instruction Note 03 2021/22 Paragraph 4.1; 4.2 (b); 4.3; 4.4; 4.4(a); 4.4(c) -(d); 4.6 Paragraph 5.4 Paragraph 7.2; 7.6 NT SCM Instruction 4A of 2016/17 Paragraph 6 NT SCM Instruction Note 03 2019/20 Par 5.5.1(vi); Paragraph 5.5.1(x); NT SCM Instruction Note 11 2020/21 Paragraph 3.1; 3.4 (a) and (b); 3.9; 6.1;6.2;6.7 ANNUAL REPORT 2022/23 195 Legislation Sections or regulations NT SCM Instruction note 2 of 2021/22 Paragraph 3.2.1; 3.2.2; 3.2.4(a) and (b) ; 3.3.1; 3.2.2 Paragraph 4.1 PFMA SCM Instruction 04 of 2022/23 Paragraph 4(1); 4(2); 4(4) Practice Note 5 of 2009/10 Paragraph 3.3 PFMA SCM instruction 08 of 2022/23 Paragraph 3.2
Paragraph 4.3.2 and 4.3.3 Competition Act Section 4(1)(b)(ii) NT instruction note 4 of 2015/16 Paragraph 3.4 NT instruction 3 of 2019/20 - Annexure A Section 5.5.1 (iv) and (x) Second amendment of NTI 05 of 2020/21 Paragraph   4.8; 4.9 ; 5.1 ; 5.3 Erratum NTI 5 of 202/21 Paragraph  1 Erratum NTI 5 of 202/21 Paragraph  2 Practice note 7 of 2009/10 Paragraph 4.1.2 Practice note 11 of 2008/9 Paragraph  3.1
Paragraph  3.1 (b) NT instruction note 1 of 2021/22 Paragraph  4.1 Public Service Act Section 30 (1)     DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 196 2. ANNUAL FINANCIAL STATEMENTS for the year ended 31 March 2023 ANNUAL REPORT 2022/23 197 APPROPRIATION STATEMENT for the year ended 31 March 2023 Appropriation per programme 2022/23 2021/22 Adjusted Shifting of Funds Virement Final Actual Variance Expenditure Final Actual Appropriation Appropriation Expenditure as % of Appropriation Expenditure Programme final appropriation R'000 R'000 R'000 R'000 R'000 R'000 % R'000 R'000 1. Administration 1 285 050 (54 873) (11 273) 1 218 904 1 208 150 10 754 99,1% 1 060 003 1 032 114 2. Regulatory Compliance and Sector 226 816 (1 478) 18 138 243 476 243 476 - 100,0% 223 872 223 872 Monitoring 3. Oceans and Coasts 502 494 13 675 3 690 519 859 504 678 15 181 97,1% 505 190 419 125 4. Climate Change, Air Quality and 658 443 11 419 8 900 678 762 662 308 16 454 97,6% 613 730 586 633 Sustainable Development 5. Biodiversity and Conservation 1 237 942 (2 271) (10 555) 1 225 116 1 206 089 19 027 98,4% 1 137 865 1 058 631 6. Environmental Programmes 3 245 042 (28 455) - 3 216 587 3 166 263 50 324 98,4% 3 633 806 2 586 346 7. Chemicals and Waste 620 419 6 547 - 626 966 617 329 9 637 98,5% 598 965 488 121 Management 8. Forestry Management 663 954 (21 045) (10 359) 632 550 585 905 46 645 92,6% 706 960 477 110 9. Fisheries Management 554 679 76 481 1 459 632 619 632 619 - 100,0% 619 346 618 061 Subtotal 8 994 839 - - 8 994 839 8 826 817 168 022 98,1% 9 099 737 7 490 013 DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 198 2022/23 2021/22 Final Actual Final Actual Appropriation Expenditure Appropriation Expenditure TOTAL (brought forward) Reconciliation with statement of financial performance ADD Departmental receipts 86 861 99 718 NRF Receipts - - Aid assistance 18 713 18 343 Actual amounts per statement of financial performance (total revenue) 9 100 413 9 217 798 ADD Aid assistance 32 490 6 936 Prior year unauthorised expenditure approved without funding - - Actual amounts per statement of financial performance (total expenditure) 8 859 307 7 496 949 ANNUAL REPORT 2022/23 199 Appropriation per economic classification 2022/23 2021/22 Expenditure Adjusted Final Actual Final Actual Economic classification Shifting of Funds Virement Variance as % of final Appropriation Appropriation Expenditure Appropriation expenditure appropriation R'000 R'000 R'000 R'000 R'000 R'000 % R'000 R'000 Current payments 6 587 378 (878 341) (64 787) 5 644 250 5 529 302 114 948 98,0% 6 293 730 4 832 511 Compensation of employees 2 010 471 - - 2 010 471 2 046 222 (35 751) 101,8% 1 956 308 2 043 670 Salaries and wages 1 707 380 37 477 - 1 744 857 1 777 942 (33 085) 101,9% 1 700 787 1 780 383 Social contributions 303 091 (37 477) - 265 614 268 280 (2 666) 101,0% 255 521 263 287 Goods and services 4 534 903 (923 870) (64 787) 3 546 246 3 395 547 150 699 95,8% 4 251 502 2 702 921 Administrative fees 4 631 156 609 - 161 240 161 240 - 100,0% 142 015 135 952 Advertising 43 707 (18 877) - 24 830 23 930 900 96,4% 16 661 14 550 Minor assets 9 924 (8 336) - 1 588 1 588 - 100,0% 2 691 1 293 Audit costs: External 24 297 (1 680) - 22 617 22 617 - 100,0% 16 673 16 673 Bursaries: Employees 8 168 (4 899) - 3 269 3 269 - 100,0% 4 457 3 422 Catering: Departmental activities 8 571 (2 673) - 5 898 5 898 - 100,0% 2 263 2 263 Communication (G&S) 41 433 6 814 13 48 260 48 260 - 100,0% 55 907 50 182 Computer services 159 408 (4 110) (10 965) 144 333 142 996 1 337 99,1% 113 910 112 465 Consultants: Business and advisory 771 990 (485 635) (31 222) 255 133 204 041 51 092 80,0% 275 963 154 174 services Infrastructure and planning services - - - - - - - 535 - Laboratory services 8 859 (3 681) - 5 178 5 178 - 100,0% 6 749 6 718 Legal services 27 258 (1 322) 18 138 44 074 44 074 - 100,0% 24 821 24 170 Contractors 190 537 49 678 - 240 215 236 400 3 815 98,4% 234 016 234 016 Agency and support / outsourced 2 402 999 (629 523) (44 900) 1 728 576 1 643 037 85 539 95,1% 2 473 856 1 235 465 services Entertainment 146 (115) - 31 31 - 100,0% 13 13 Fleet services (including government 22 339 6 313 - 28 652 28 652 - 100,0% 26 099 14 272 motor transport) Inventory: Clothing material and 4 278 (2 688) - 1 590 1 590 - 100,0% 20 910 11 910 accessories Inventory: Farming supplies - 9 945 - 9 945 9 945 - 100,0% 5 000 - Inventory: Fuel, oil and gas 15 362 (5 270) - 10 092 10 092 - 100,0% 9 924 7 924 Inventory: Other supplies 271 7 407 - 7 678 7 678 - 100,0% 4 900 4 900 Consumable supplies 59 575 (6 992) 3 690 56 273 56 273 - 100,0% 77 108 72 223 Consumable: Stationery, printing and 17 393 (8 301) - 9 092 9 072 20 99,8% 11 705 7 206 office supplies DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 200 Operating leases 188 102 (20 562) - 167 540 167 540 - 100,0% 182 497 169 463 Property payments 164 064 56 583 - 220 647 220 647 - 100,0% 186 117 162 981 Transport provided: Departmental 1 700 692 - 2 392 2 392 - 100,0% (148) 586 activity Travel and subsistence 162 441 30 657 459 193 557 193 386 171 99,9% 135 004 100 219 Training and development 119 070 (28 772) - 90 298 89 488 810 99,1% 133 298 115 554 Operating payments 43 361 (4 994) - 38 367 31 605 6 762 82,4% 75 827 36 028 Venues and facilities 26 195 (7 596) - 18 599 18 346 253 98,6% 10 411 5 979 Rental and hiring 8 824 (2 542) - 6 282 6 282 - 100,0% 2 320 2 320 Interest and rent on land 42 004 45 529 - 87 533 87 533 - 100,0% 85 920 85 920 Interest (Incl. interest on unitary - 43 147 - 43 147 43 147 - 100,0% 43 932 43 932 payments (PPP)) Rent on land 42 004 2 382 - 44 386 44 386 - 100,0% 41 988 41 988 Transfers and subsidies 2 044 675 1 000 268 64 780 3 109 723 3 091 588 18 135 99,4% 2 607 273 2 528 739 Provinces and municipalities 956 236 - 1 192 1 019 173 85,5% 1 748 996 Municipalities 956 236 - 1 192 1 019 173 85,5% 1 748 996 Municipal bank accounts 446 (346) - 100 - 100 - 500 - Municipal agencies and funds 510 582 - 1 092 1 019 73 93,3% 1 248 996 Departmental agencies and accounts 1 896 146 996 078 18 900 2 911 124 2 911 096 28 100,0% 2 459 761 2 459 761 Departmental agencies 1 896 146 996 078 18 900 2 911 124 2 911 096 28 100,0% 2 459 761 2 459 761 Higher education institutions 16 000 - - 16 000 13 518 2 482 84,5% - - Foreign governments and 45 032 405 - 45 437 31 865 13 572 70,1% 37 076 37 064 international organisations Public corporations and private 51 785 - 44 900 96 685 96 637 48 100,0% 77 592 - enterprises Public corporations 3 820 - - 3 820 3 813 7 99,8% 5 274 - Other transfers to public corporations 3 820 - - 3 820 3 813 7 99,8% 5 274 - Private enterprises 47 965 - 44 900 92 865 92 824 41 100,0% 72 318 - Other transfers to private enterprises 47 965 - 44 900 92 865 92 824 41 100,0% 72 318 - Non-profit institutions 9 407 - - 9 407 8 645 762 91,9% 6 604 6 426 Households 25 349 3 549 980 29 878 28 808 1 070 96,4% 24 492 24 492 Social benefits 20 599 4 772 980 26 351 25 281 1 070 95,9% 21 116 21 116 Other transfers to households 4 750 (1 223) - 3 527 3 527 - 100,0% 3 376 3 376 Payments for capital assets 362 196 (123 625) - 238 571 203 632 34 939 85,4% 196 841 126 870 Buildings and other fixed structures 205 000 (145 051) - 59 949 49 223 10 726 82,1% 67 289 40 232 Buildings 190 000 (171 027) - 18 973 8 247 10 726 43,5% 12 989 6 420 Other fixed structures 15 000 25 976 - 40 976 40 976 - 100,0% 54 300 33 812 Machinery and equipment 153 341 13 361 - 166 702 146 294 20 408 87,8% 115 589 81 283 ANNUAL REPORT 2022/23 201 Transport equipment 38 520 83 164 - 121 684 120 144 1 540 98,7% 82 858 48 552 Other machinery and equipment 114 821 (69 803) - 45 018 26 150 18 868 58,1% 32 731 32 731 Biological assets - - - - - - - 26 - Software and other intangible assets 3 855 8 065 - 11 920 8 115 3 805 68,1% 13 937 5 355 Payment for financial assets 590 1 698 7 2 295 2 295 - 100,0% 1 893 1 893 Total 8 994 839 - - 8 994 839 8 826 817 168 022 98,1% 9 099 737 7 490 013 DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 202 PROGRAMME 1: ADMINISTRATION 2022/23 2021/22 Adjusted Shifting of Virement Final Actual Variance Expenditure Final Actual Sub programme Appropriation Funds Appropriation Expenditure as % of final Appropriation expenditure appropriation R'000 R'000 R'000 R'000 R'000 R'000 % R'000 R'000 1. MANAGEMENT 91 600 (8 220) - 83 380 83 380 - 100,0% 74 432 74 432 2. CORPORATE MANAGEMENT 617 967 (30 518) (11 273) 576 176 576 148 28 100,0% 493 668 472 348 SERVICES 3. FINANCIAL MANAGEMENT 169 849 6 823 - 176 672 176 672 - 100,0% 122 666 122 666 SERVICES 4. OFFICE ACCOMMODATION 405 634 (22 958) - 382 676 371 950 10 726 97,2% 369 237 362 668 Total for sub programmes 1 285 050 (54 873) (11 273) 1 218 904 1 208 150 10 754 99,1% 1 060 003 1 032 114 Economic classification Current payments 1 075 847 107 467 (11 273) 1 172 041 1 172 041 - 100,0% 1 012 071 990 751 Compensation of employees 457 983 (53 780) - 404 203 404 203 - 100,0% 335 506 389 906 Salaries and wages 410 842 (58 078) - 352 764 352 764 - 100,0% 297 931 346 747 Social contributions 47 141 4 298 - 51 439 51 439 - 100,0% 37 575 43 159 Goods and services 617 864 118 100 (11 273) 724 691 724 691 - 100,0% 632 633 556 913 Administrative fees 844 4 813 - 5 657 5 657 - 100,0% 7 957 4 542 Advertising 32 280 (15 971) - 16 309 16 309 - 100,0% 10 109 10 109 Minor assets 3 085 (2 680) - 405 405 - 100,0% 735 735 Audit costs: External 24 297 (1 680) - 22 617 22 617 - 100,0% 16 673 16 673 Bursaries: Employees 3 690 (505) - 3 185 3 185 - 100,0% 2 937 2 937 Catering: Departmental activities 3 118 (346) - 2 772 2 772 - 100,0% 1 451 1 451 Communication (G&S) 28 327 13 551 - 41 878 41 878 - 100,0% 41 544 41 544 Computer services 133 685 18 (10 965) 122 738 122 738 - 100,0% 87 809 87 809 Consultants: Business and advisory 24 179 (3 282) (308) 20 589 20 589 - 100,0% 34 220 10 252 services Laboratory services - - - - - - - 31 - Legal services 4 650 (1 920) - 2 730 2 730 - 100,0% 2 004 1 353 Contractors 3 064 4 619 - 7 683 7 683 - 100,0% 1 824 1 824 Agency and support / outsourced 1 400 (899) - 501 501 - 100,0% 24 895 14 services Entertainment 40 (27) - 13 13 - 100,0% 4 4 Fleet services (including government 9 834 16 800 - 26 634 26 634 - 100,0% 11 592 11 592 motor transport) Inventory: Clothing material and 3 503 (3 503) - - - - - - - accessories ANNUAL REPORT 2022/23 203 Inventory: Other supplies - 117 - 117 117 - 100,0% 1 270 1 270 Consumable supplies 10 706 (5 434) - 5 272 5 272 - 100,0% 4 146 4 146 Consumable: Stationery, printing and 5 030 (990) - 4 040 4 040 - 100,0% 3 794 3 794 office supplies Operating leases 179 261 (13 487) - 165 774 165 774 - 100,0% 173 181 165 679 Property payments 82 112 133 060 - 215 172 215 172 - 100,0% 156 026 156 026 Transport provided: Departmental 480 1 079 - 1 559 1 559 - 100,0% 570 570 activity Travel and subsistence 35 970 4 354 - 40 324 40 324 - 100,0% 23 568 23 568 Training and development 7 811 (5 006) - 2 805 2 805 - 100,0% 13 850 2 106 Operating payments 10 572 (3 116) - 7 456 7 456 - 100,0% 6 267 6 267 Venues and facilities 8 701 (3 746) - 4 955 4 955 - 100,0% 4 609 1 081 Rental and hiring 1 225 2 281 - 3 506 3 506 - 100,0% 1 567 1 567 Interest and rent on land - 43 147 - 43 147 43 147 - 100,0% 43 932 43 932 Interest (Incl. interest on unitary - 43 147 - 43 147 43 147 - 100,0% 43 932 43 932 payments (PPP)) Transfers and subsidies 7 215 1 622 - 8 837 8 809 28 99,7% 4 831 4 831 Provinces and municipalities 40 216 - 256 256 - 100,0% 204 204 Municipalities 40 216 - 256 256 - 100,0% 204 204 Municipal bank accounts 40 (40) - - - - - - - Municipal agencies and funds - 256 - 256 256 - 100,0% 204 204 Departmental agencies and accounts 36 (1) - 35 7 28 20,0% 44 44 Departmental agencies 36 (1) - 35 7 28 20,0% 44 44 Households 7 139 1 407 - 8 546 8 546 - 100,0% 4 583 4 583 Social benefits 3 059 2 921 - 5 980 5 980 - 100,0% 2 307 2 307 Other transfers to households 4 080 (1 514) - 2 566 2 566 - 100,0% 2 276 2 276 Payments for capital assets 201 928 (164 754) - 37 174 26 448 10 726 71,1% 42 578 36 009 Buildings and other fixed structures 190 000 (172 068) - 17 932 7 206 10 726 40,2% 12 989 6 420 Buildings 190 000 (172 068) - 17 932 7 206 10 726 40,2% 12 989 6 420 Machinery and equipment 11 878 6 931 - 18 809 18 809 - 100,0% 29 589 29 589 Transport equipment - 13 659 - 13 659 13 659 - 100,0% 2 101 2 101 Other machinery and equipment 11 878 (6 728) - 5 150 5 150 - 100,0% 27 488 27 488 Software and other intangible assets 50 383 - 433 433 - 100,0% - - Payment for financial assets 60 792 - 852 852 - 100,0% 523 523 Total 1 285 050 (54 873) (11 273) 1 218 904 1 208 150 10 754 99,1% 1 060 003 1 032 114 DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 204 PROGRAMME 2: REGULATORY COMPLIANCE AND SECTOR MONITORING 2022/23 2021/22 Expenditure Adjusted Final Actual Final Actual Shifting of Funds Virement Variance as % of final Appropriation Appropriation Expenditure Appropriation expenditure appropriation R'000 R'000 R'000 R'000 R'000 R'000 % R'000 R'000 Sub programme 1. REGULATORY COMPLIANCE 13 771 492 - 14 263 14 263 - 100,0% 11 298 11 298 AND SECTOR MONITORING MANAGEMENT 2. COMPLIANCE 39 489 11 311 - 50 800 50 800 - 100,0% 51 142 51 142 3. INTEGRATED ENVIRONMENTAL 64 922 (9 975) - 54 947 54 947 - 100,0% 47 404 47 404 AUTHORISATIONS 4. ENFORCEMENT 65 276 2 864 - 68 140 68 140 - 100,0% 69 196 69 196 5. LITIGATION AND LEGAL 19 198 3 292 18 138 40 628 40 628 - 100,0% 28 053 28 053 SUPPORT 6. LAW REFORM AND APPEALS 24 160 (9 462) - 14 698 14 698 - 100,0% 16 779 16 779 Total for sub programmes 226 816 (1 478) 18 138 243 476 243 476 - 100,0% 223 872 223 872 Economic classification Current payments 220 786 (6 987) 18 138 231 937 231 937 - 100,0% 217 548 217 548 Compensation of employees 165 842 (1 481) - 164 361 164 361 - 100,0% 163 912 163 912 Salaries and wages 144 032 276 - 144 308 144 308 - 100,0% 143 074 143 074 Social contributions 21 810 (1 757) - 20 053 20 053 - 100,0% 20 838 20 838 Goods and services 54 944 (5 506) 18 138 67 576 67 576 - 100,0% 53 636 53 636 Administrative fees 570 (566) - 4 4 - 100,0% 478 478 Advertising 1 275 213 - 1 488 1 488 - 100,0% 518 518 Minor assets 940 (906) - 34 34 - 100,0% 26 26 Bursaries: Employees 120 (120) - - - - - 157 157 Catering: Departmental activities 959 (787) - 172 172 - 100,0% 86 86 Communication (G&S) 935 (673) - 262 262 - 100,0% 322 322 Computer services 9 376 (6 084) - 3 292 3 292 - 100,0% 11 564 11 564 Consultants: Business and advisory 2 662 123 - 2 785 2 785 - 100,0% 2 997 2 997 services Laboratory services 8 859 (3 681) - 5 178 5 178 - 100,0% 6 253 6 253 Legal services 12 836 (1 005) 18 138 29 969 29 969 - 100,0% 14 621 14 621 Contractors 412 855 - 1 267 1 267 - 100,0% 8 8 Agency and support / outsourced 2 000 (2 000) - - - - - - - services Entertainment 8 (4) - 4 4 - 100,0% 5 5 ANNUAL REPORT 2022/23 205 Fleet services (including government 963 (808) - 155 155 - 100,0% 54 54 motor transport) Consumable supplies 1 549 267 - 1 816 1 816 - 100,0% 1 589 1 589 Consumable: Stationery, printing and 1 264 (906) - 358 358 - 100,0% 1 287 1 287 office supplies Operating leases 680 (157) - 523 523 - 100,0% 980 980 Travel and subsistence 6 446 9 578 - 16 024 16 024 - 100,0% 10 131 10 131 Training and development 835 (123) - 712 712 - 100,0% 425 425 Operating payments 1 070 453 - 1 523 1 523 - 100,0% 655 655 Venues and facilities 1 185 816 - 2 001 2 001 - 100,0% 1 472 1 472 Rental and hiring - 9 - 9 9 - 100,0% 8 8 Transfers and subsidies 6 000 313 - 6 313 6 313 - 100,0% 2 831 2 831 Provinces and municipalities - 9 - 9 9 - 100,0% 9 9 Municipalities - 9 - 9 9 - 100,0% 9 9 Municipal agencies and funds - 9 - 9 9 - 100,0% 9 9 Non-profit institutions 5 000 - - 5 000 5 000 - 100,0% 2 668 2 668 Households 1 000 304 - 1 304 1 304 - 100,0% 154 154 Social benefits 1 000 (54) - 946 946 - 100,0% 154 154 Other transfers to households - 358 - 358 358 - 100,0% - - Payments for capital assets - 5 120 - 5 120 5 120 - 100,0% 3 433 3 433 Machinery and equipment - 5 120 - 5 120 5 120 - 100,0% 994 994 Transport equipment - 686 - 686 686 - 100,0% 156 156 Other machinery and equipment - 4 434 - 4 434 4 434 - 100,0% 838 838 Software and other intangible assets - - - - - - - 2 439 2 439 Payment for financial assets 30 76 - 106 106 - 100,0% 60 60 Total 226 816 (1 478) 18 138 243 476 243 476 - 100,0% 223 872 223 872 DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 206 Programme 3: OCEANS AND COASTS 2022/23 2021/22 Expenditure Adjusted Shifting of Final Actual Final Actual Virement Variance as % of final Appropriation Funds Appropriation Expenditure Appropriation expenditure appropriation R'000 R'000 R'000 R'000 R'000 R'000 % R'000 R'000 Sub programme 1. OCEANS AND COASTS 20 131 (1 536) - 18 595 12 118 6 477 65,2% 18 894 17 638 MANAGEMENT 2. INTEGRATED COASTAL 45 390 (10 664) - 34 726 34 543 183 99,5% 42 962 31 190 MANAGEMENT AND COASTAL CONSERVATION 3. OCEANS AND COASTAL 144 727 6 341 - 151 068 149 729 1 339 99,1% 144 748 121 028 RESEARCH 4. OCEANS ECONOMY AND 21 632 3 999 - 25 631 23 376 2 255 91,2% 37 540 25 846 PROJECT MANAGEMENT 5. SPECIALIST MONITORING 270 614 15 535 3 690 289 839 284 912 4 927 98,3% 261 046 223 423 SERVICES Total for sub programmes 502 494 13 675 3 690 519 859 504 678 15 181 97,1% 505 190 419 125 Economic classification Current payments 456 222 13 033 3 690 472 945 472 945 - 100,0% 485 763 408 280 Compensation of employees 133 157 13 675 - 146 832 146 832 - 100,0% 145 807 145 807 Salaries and wages 119 831 12 967 - 132 798 132 798 - 100,0% 132 317 132 317 Social contributions 13 326 708 - 14 034 14 034 - 100,0% 13 490 13 490 Goods and services 323 065 (642) 3 690 326 113 326 113 - 100,0% 339 956 262 473 Administrative fees 389 (246) - 143 143 - 100,0% 6 6 Advertising 1 082 (412) - 670 670 - 100,0% 97 97 Minor assets 1 638 (1 635) - 3 3 - 100,0% 200 200 Bursaries: Employees 1 401 (1 379) - 22 22 - 100,0% 80 80 Catering: Departmental activities 385 857 - 1 242 1 242 - 100,0% 41 41 Communication (G&S) 3 174 (2 164) - 1 010 1 010 - 100,0% 2 679 2 679 Computer services 90 1 900 - 1 990 1 990 - 100,0% 1 382 1 382 Consultants: Business and advisory 68 577 (40 913) - 27 664 27 664 - 100,0% 30 677 19 222 services Laboratory services - - - - - - - 465 465 Legal services 300 1 240 - 1 540 1 540 - 100,0% 1 144 1 144 Contractors 6 420 (3 664) - 2 756 2 756 - 100,0% 2 624 2 624 Agency and support / outsourced 133 442 93 903 - 227 345 227 345 - 100,0% 230 704 182 564 services ANNUAL REPORT 2022/23 207 Entertainment 2 (2) - - - - - - - Fleet services (including government 111 76 - 187 187 - 100,0% 516 516 motor transport) Inventory: Clothing material and 775 815 - 1 590 1 590 - 100,0% 1 496 1 496 accessories Inventory: Fuel, oil and gas 112 (112) - - - - - - - Consumable supplies 10 493 12 708 3 690 26 891 26 891 - 100,0% 21 080 21 080 Consumable: Stationery, printing and 914 (569) - 345 345 - 100,0% 481 481 office supplies Operating leases 170 (27) - 143 143 - 100,0% 217 217 Property payments 63 982 (63 982) - - - - - - - Transport provided: Departmental 1 200 (420) - 780 780 - 100,0% (734) - activity Travel and subsistence 11 735 5 724 - 17 459 17 459 - 100,0% 18 499 11 170 Training and development 3 520 (3 161) - 359 359 - 100,0% 2 911 2 911 Operating payments 12 509 640 - 13 149 13 149 - 100,0% 23 910 13 521 Venues and facilities 454 (84) - 370 370 - 100,0% 1 443 539 Rental and hiring 190 265 - 455 455 - 100,0% 38 38 Transfers and subsidies 37 106 573 - 37 679 28 720 8 959 76,2% 8 966 8 966 Provinces and municipalities 6 10 - 16 16 - 100,0% 16 16 Municipalities 6 10 - 16 16 - 100,0% 16 16 Municipal bank accounts 6 (6) - - - - - - - Municipal agencies and funds - 16 - 16 16 - 100,0% 16 16 Departmental agencies and accounts 10 000 - - 10 000 10 000 - 100,0% - - Departmental agencies 10 000 - - 10 000 10 000 - 100,0% - - Higher education institutions 16 000 - - 16 000 13 518 2 482 84,5% - - Foreign governments and international 10 500 - - 10 500 4 023 6 477 38,3% 7 675 7 675 organisations Households 600 563 - 1 163 1 163 - 100,0% 1 275 1 275 Social benefits 600 563 - 1 163 1 163 - 100,0% 1 275 1 275 Payments for capital assets 9 106 - - 9 106 2 884 6 222 31,7% 10 416 1 834 Machinery and equipment 9 071 - - 9 071 2 884 6 187 31,8% 1 834 1 834 Transport equipment 1 720 - - 1 720 180 1 540 10,5% - - Other machinery and equipment 7 351 - - 7 351 2 704 4 647 36,8% 1 834 1 834 Software and other intangible assets 35 - - 35 - 35 - 8 582 - Payment for financial assets 60 69 - 129 129 - 100,0% 45 45 Total 502 494 13 675 3 690 519 859 504 678 15 181 97,1% 505 190 419 125 DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 208 PROGRAMME 4: CLIMATE CHANGE, AIR QUALITY AND SUSTAINABLE DEVELOPMENT 2022/23 2021/22 Expenditure Adjusted Shifting of Final Actual Final Actual Virement Variance as % of final Sub programme Appropriation Funds Appropriation Expenditure Appropriation expenditure appropriation R'000 R'000 R'000 R'000 R'000 R'000 % R'000 R'000 1. CLIMATE CHANGE, AIR QUALITY 9 069 (4 070) - 4 999 4 498 501 90,0% 6 139 6 139 AND SUSTAINABLE DEVELOPMENT MANAGEMENT 2. CLIMATE CHANGE ADAPTATION 9 636 (613) - 9 023 8 873 150 98,3% 9 139 9 139 3. AIR QUALITY MANAGEMENT 49 003 5 078 - 54 081 52 896 1 185 97,8% 58 719 58 674 4. SOUTH AFRICAN WEATHER SERVICE 403 073 - 8 900 411 973 411 973 - 100,0% 332 036 332 036 5. INTERNATIONAL CLIMATE CHANGE 13 720 4 840 - 18 560 15 807 2 753 85,2% 13 341 13 341 RELATIONS AND REPORTING 6. CLIMATE CHANGE MONITORING AND 17 168 (2 739) - 14 429 14 236 193 98,7% 14 953 14 953 EVALUATION 7. INTERNATIONAL GOVERNANCE AND 62 928 (11 906) - 51 022 45 738 5 284 89,6% 71 545 44 493 RESOURCE MOBILISATION 8. KNOWLEDGE AND INFORMATION 28 774 (1 675) - 27 099 25 612 1 487 94,5% 23 520 23 520 MANAGEMENT 9. ENVIRONMENTAL SECTOR 65 072 22 504 - 87 576 82 675 4 901 94,4% 84 338 84 338 PERFORMANCE Total for sub programmes 658 443 11 419 8 900 678 762 662 308 16 454 97,6% 613 730 586 633 Economic classification Current payments 225 153 10 463 - 235 616 222 669 12 947 94,5% 252 094 225 042 Compensation of employees 157 238 11 418 - 168 656 168 656 - 100,0% 175 421 175 421 Salaries and wages 142 611 6 885 - 149 496 149 496 - 100,0% 153 701 153 701 Social contributions 14 627 4 533 - 19 160 19 160 - 100,0% 21 720 21 720 Goods and services 67 915 (955) - 66 960 54 013 12 947 80,7% 76 673 49 621 Administrative fees 90 (78) - 12 12 - 100,0% 1 1 Advertising 1 668 (297) - 1 371 471 900 34,4% 1 072 1 072 Minor assets 398 (396) - 2 2 - 100,0% - - Bursaries: Employees 150 (150) - - - - - 25 25 Catering: Departmental activities 366 (272) - 94 94 - 100,0% 11 11 Communication (G&S) 813 (621) - 192 192 - 100,0% 239 239 Computer services 9 711 (605) - 9 106 7 769 1 337 85,3% 7 400 7 400 Consultants: Business and advisory services 17 448 (900) - 16 548 12 547 4 001 75,8% 52 500 25 448 Legal services 243 2 592 - 2 835 2 835 - 100,0% 1 529 1 529 ANNUAL REPORT 2022/23 209 Contractors 70 (68) - 2 2 - 100,0% - - Agency and support / outsourced services 500 143 - 643 643 - 100,0% 585 585 Entertainment 52 (48) - 4 4 - 100,0% 2 2 Fleet services (including government motor 29 (29) - - - - - - - transport) Consumable supplies 2 222 (1 146) - 1 076 1 076 - 100,0% 574 574 Consumable: Stationery, printing and office 1 174 (903) - 271 271 - 100,0% 285 285 supplies Operating leases 640 (616) - 24 24 - 100,0% 131 131 Property payments - - - - - - - 42 42 Travel and subsistence 20 078 3 236 - 23 314 23 314 - 100,0% 10 312 10 312 Training and development 1 539 (1 375) - 164 164 - 100,0% 103 103 Operating payments 6 993 446 - 7 439 730 6 709 9,8% 308 308 Venues and facilities 3 241 (1 244) - 1 997 1 997 - 100,0% 1 048 1 048 Rental and hiring 490 1 376 - 1 866 1 866 - 100,0% 506 506 Transfers and subsidies 431 365 407 8 900 440 672 438 935 1 737 99,6% 361 455 361 410 Departmental agencies and accounts 403 073 - 8 900 411 973 411 973 - 100,0% 332 036 332 036 Social security funds - - - - - - - - - Departmental agencies 403 073 - 8 900 411 973 411 973 - 100,0% 332 036 332 036 Foreign governments and international 26 368 - - 26 368 25 115 1 253 95,2% 25 461 25 461 organisations Non-profit institutions 1 484 - - 1 484 1 000 484 67,4% 1 445 1 400 Households 440 407 - 847 847 - 100,0% 2 513 2 513 Social benefits 440 407 - 847 847 - 100,0% 1 513 1 513 Other transfers to households - - - - - - - 1 000 1 000 Payments for capital assets 1 895 - - 1 895 125 1 770 6,6% 38 38 Machinery and equipment 1 895 (125) - 1 770 - 1 770 - 38 38 Other machinery and equipment 1 895 (125) - 1 770 - 1 770 - 38 38 Software and other intangible assets - 125 - 125 125 - 100,0% - - Payment for financial assets 30 549 - 579 579 - 100,0% 143 143 Total 658 443 11 419 8 900 678 762 662 308 16 454 97,6% 613 730 586 633 DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 210 PROGRAMME 5: BIODIVERSITY AND CONSERVATION 2022/23 2021/22 Expenditure Adjusted Shifting of Final Actual Final Actual Sub programme Virement Variance as % of final Appropriation Funds Appropriation Expenditure Appropriation expenditure appropriation R'000 R'000 R'000 R'000 R'000 R'000 % R'000 R'000 1. BIODIVERSITY AND CONSERVATION 22 153 (5 071) - 17 082 12 418 4 664 72,7% 13 696 10 247 MANAGEMENT 2. BIODIVERSITY MANAGEMENT AND 36 764 2 309 - 39 073 39 073 - 100,0% 32 751 31 658 PERMITTING 3. PROTECTED AREAS SYSTEMS 46 986 (2 887) (5 000) 39 099 32 336 6 763 82,7% 39 392 31 610 MANAGEMENT 4. ISIMANGALISO WETLAND PARK 137 161 - - 137 161 137 161 - 100,0% 83 499 83 499 AUTHORITY 5. SOUTH AFRICAN NATIONAL PARKS 434 487 - 10 000 444 487 444 487 - 100,0% 418 024 418 024 6. SOUTH AFRICAN NATIONAL BIODIVERSITY 493 053 - - 493 053 493 053 - 100,0% 421 112 421 112 INSTITUTE 7. BIODIVERSITY MONITORING SPECIALIST 23 493 (819) - 22 674 15 648 7 026 69,0% 12 907 12 907 SERVICES 8. BIODIVERSITY ECONOMY AND 43 845 4 197 (15 555) 32 487 31 913 574 98,2% 116 484 49 574 SUSTAINABLE USE Total for sub programmes 1 237 942 (2 271) (10 555) 1 225 116 1 206 089 19 027 98,4% 1 137 865 1 058 631 Economic classification Current payments 164 138 (3 135) (20 555) 140 448 126 494 13 954 90,1% 209 010 129 909 Compensation of employees 78 996 2 271 - 81 267 81 267 - 100,0% 78 402 78 402 Salaries and wages 68 981 1 485 - 70 466 70 466 - 100,0% 68 215 68 215 Social contributions 10 015 786 - 10 801 10 801 - 100,0% 10 187 10 187 Goods and services 85 142 (5 406) (20 555) 59 181 45 227 13 954 76,4% 130 608 51 507 Administrative fees 121 (107) - 14 14 - 100,0% 1 1 Advertising 1 660 594 - 2 254 2 254 - 100,0% 1 210 1 210 Minor assets 700 (698) - 2 2 - 100,0% - - Bursaries: Employees 294 (294) - - - - - - - Catering: Departmental activities 1 421 (776) - 645 645 - 100,0% 127 127 Communication (G&S) 420 (377) - 43 43 - 100,0% 264 264 Computer services 25 (25) - - - - - - - Consultants: Business and advisory services 54 203 (12 951) (20 555) 20 697 6 743 13 954 32,6% 14 125 14 125 Legal services 100 430 - 530 530 - 100,0% 2 017 2 017 Contractors 26 (23) - 3 3 - 100,0% 1 1 ANNUAL REPORT 2022/23 211 Agency and support / outsourced services 93 290 - 383 383 - 100,0% 83 357 16 447 Entertainment 4 (4) - - - - - 1 1 Fleet services (including government motor 46 (46) - - - - - - - transport) Inventory: Other supplies 17 477 - 494 494 - 100,0% 146 146 Consumable supplies 3 123 (3 019) - 104 104 - 100,0% 1 894 1 894 Consumable: Stationery, printing and office 940 (403) - 537 537 - 100,0% 125 125 supplies Operating leases 290 (286) - 4 4 - 100,0% 70 70 Property payments 180 (180) - - - - - - - Transport provided: Departmental activity - 53 - 53 53 - 100,0% 16 16 Travel and subsistence 13 254 10 332 - 23 586 23 586 - 100,0% 19 735 7 544 Training and development 1 480 (333) - 1 147 1 147 - 100,0% 1 110 1 110 Operating payments 800 2 218 - 3 018 3 018 - 100,0% 4 954 4 954 Venues and facilities 5 845 (622) - 5 223 5 223 - 100,0% 1 443 1 443 Rental and hiring 100 344 - 444 444 - 100,0% 12 12 Interest and rent on land - - - - - - - - - Transfers and subsidies 1 073 774 424 10 000 1 084 198 1 079 145 5 053 99,5% 928 443 928 310 Provinces and municipalities - 1 - 1 1 - 100,0% - - Municipalities - 1 - 1 1 - 100,0% - - Municipal agencies and funds - 1 - 1 1 - 100,0% - - Departmental agencies and accounts 1 064 701 - 10 000 1 074 701 1 074 701 - 100,0% 922 635 922 635 Departmental agencies 1 064 701 - 10 000 1 074 701 1 074 701 - 100,0% 922 635 922 635 Foreign governments and international 5 650 405 - 6 055 1 446 4 609 23,9% 2 899 2 899 organisations Non-profit institutions 2 923 - - 2 923 2 645 278 90,5% 2 491 2 358 Households 500 18 - 518 352 166 68,0% 418 418 Social benefits 500 18 - 518 352 166 68,0% 418 418 Payments for capital assets 20 401 - 421 401 20 95,2% - - Buildings and other fixed structures - 401 - 401 401 - 100,0% - - Other fixed structures - 401 - 401 401 - 100,0% - - Software and other intangible assets 20 - - 20 - 20 - - - Payment for financial assets 10 39 - 49 49 - 100,0% 412 412 Total 1 237 942 (2 271) (10 555) 1 225 116 1 206 089 19 027 98,4% 1 137 865 1 058 631 DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 212 PROGRAMME 6: ENVIRONMENTAL PROGRAMMES 2022/23 2021/22 Adjusted Shifting of Virement Final Actual Variance Expenditure Final Actual Sub programme Appropriation Funds Appropriation Expenditure as % of final Appropriation expenditure appropriation R'000 R'000 R'000 R'000 R'000 R'000 % R'000 R'000 1. ENVIRONMENTAL PROTECTION AND 1 084 135 (22 746) - 1 061 389 1 057 094 4 295 99,6% 1 531 974 943 013 INFRASTRUCTURE PROGRAMME 2. NATURAL RESOURCE MANAGEMENT 2 086 138 (3 450) - 2 082 688 2 041 250 41 438 98,0% 2 041 126 1 582 627 3. ENVIRONMENTAL PROGRAMMES 9 127 (2 859) - 6 268 6 058 210 96,6% 8 265 8 265 MANAGEMENT 4. INFORMATION MANAGEMENT AND 65 642 600 - 66 242 61 861 4 381 93,4% 52 441 52 441 SECTOR COORDINATION Total for sub programmes 3 245 042 (28 455) - 3 216 587 3 166 263 50 324 98,4% 3 633 806 2 586 346 Economic classification Current payments 3 127 444 (1 049 003) - 2 078 441 2 037 016 41 425 98,0% 2 686 344 1 659 372 Compensation of employees 288 815 (28 455) - 260 360 260 360 - 100,0% 260 795 260 795 Salaries and wages 251 505 (26 628) - 224 877 224 877 - 100,0% 225 120 225 120 Social contributions 37 310 (1 827) - 35 483 35 483 - 100,0% 35 675 35 675 Goods and services 2 838 629 (1 020 548) - 1 818 081 1 776 656 41 425 97,7% 2 425 549 1 398 577 Administrative fees 266 155 002 - 155 268 155 268 - 100,0% 130 859 130 859 Advertising 2 234 (2 216) - 18 18 - 100,0% - - Minor assets 887 (685) - 202 202 - 100,0% 311 311 Bursaries: Employees 1 180 (1 180) - - - - - 13 13 Catering: Departmental activities 1 465 (1 084) - 381 381 - 100,0% 113 113 Communication (G&S) 3 027 1 259 - 4 286 4 286 - 100,0% 4 638 4 638 Computer services 5 581 961 - 6 542 6 542 - 100,0% 3 865 3 865 Consultants: Business and advisory services 534 274 (415 644) - 118 630 118 630 - 100,0% 68 020 68 020 Legal services - 1 852 - 1 852 1 852 - 100,0% 328 328 Contractors 980 (944) - 36 36 - 100,0% 854 854 Agency and support / outsourced services 2 118 555 (737 521) - 1 381 034 1 339 609 41 425 97,0% 2 034 390 1 007 418 Entertainment 12 (11) - 1 1 - 100,0% - - Fleet services (including government motor 973 476 - 1 449 1 449 - 100,0% 1 937 1 937 transport) Inventory: Clothing material and accessories - - - - - - - 10 414 10 414 Inventory: Farming supplies - 9 672 - 9 672 9 672 - 100,0% - - Inventory: Fuel, oil and gas 13 700 (3 690) - 10 010 10 010 - 100,0% 7 924 7 924 ANNUAL REPORT 2022/23 213 Inventory: Other supplies - 62 - 62 62 - 100,0% - - Consumable supplies 3 376 2 058 - 5 434 5 434 - 100,0% 27 504 27 504 Consumable: Stationery, printing and office 2 587 (1 107) - 1 480 1 480 - 100,0% 484 484 supplies Operating leases 3 676 (3 188) - 488 488 - 100,0% 748 748 Property payments 10 (8) - 2 2 - 100,0% 49 49 Transport provided: Departmental activity 20 (20) - - - - - - - Travel and subsistence 41 116 (5 930) - 35 186 35 186 - 100,0% 18 651 18 651 Training and development 97 700 (13 946) - 83 754 83 754 - 100,0% 108 836 108 836 Operating payments 3 462 (3 071) - 391 391 - 100,0% 5 405 5 405 Venues and facilities 3 533 (1 630) - 1 903 1 903 - 100,0% 18 18 Rental and hiring 15 (15) - - - - - 188 188 Transfers and subsidies 90 350 996 079 - 1 086 429 1 085 843 586 99,9% 889 051 889 051 Provinces and municipalities 50 - - 50 37 13 74,0% 65 65 Municipalities 50 - - 50 37 13 74,0% 65 65 Municipal agencies and funds 50 - - 50 37 13 74,0% 65 65 Departmental agencies and accounts 88 300 996 079 - 1 084 379 1 084 379 - 100,0% 886 702 886 702 Departmental agencies 88 300 996 079 - 1 084 379 1 084 379 - 100,0% 886 702 886 702 Households 2 000 - - 2 000 1 427 573 71,4% 2 284 2 284 Social benefits 2 000 (50) - 1 950 1 377 573 70,6% 2 184 2 184 Other transfers to households - 50 - 50 50 - 100,0% 100 100 Payments for capital assets 26 948 24 403 - 51 351 43 038 8 313 83,8% 57 743 37 255 Buildings and other fixed structures 15 000 26 616 - 41 616 41 616 - 100,0% 54 300 33 812 Buildings - 1 041 - 1 041 1 041 - 100,0% - - Other fixed structures 15 000 25 575 - 40 575 40 575 - 100,0% 54 300 33 812 Machinery and equipment 8 198 (2 213) - 5 985 1 422 4 563 23,8% 1 521 1 521 Other machinery and equipment 8 198 (2 213) - 5 985 1 422 4 563 23,8% 1 521 1 521 Software and other intangible assets 3 750 - - 3 750 - 3 750 - 1 922 1 922 Payment for financial assets 300 66 - 366 366 - 100,0% 668 668 Total 3 245 042 (28 455) - 3 216 587 3 166 263 50 324 98,4% 3 633 806 2 586 346 DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 214 Programme 7: CHEMICALS AND WASTE MANAGEMENT 2022/23 2021/22 Expenditure Adjusted Shifting of Final Actual Final Actual Sub programme Virement Variance as % of final Appropriation Funds Appropriation Expenditure Appropriation expenditure appropriation R'000 R'000 R'000 R'000 R'000 R'000 % R'000 R'000 1. CHEMICALS AND WASTE MANAGEMENT 28 053 (7 342) - 20 711 26 342 (5 631) 127,2% 21 232 22 421 2. HAZARDOUS WASTE MANAGEMENT AND 27 626 (496) - 27 130 27 130 - 100,0% 29 781 29 781 LICENSING 3. INTEGRATED WASTE MANAGEMENT AND 112 250 710 - 112 960 112 960 - 100,0% 46 528 46 528 STRATEGIC SUPPORT 4. CHEMICALS AND WASTE POLICY, 65 155 10 656 44 900 120 711 120 670 41 100,0% 60 901 60 901 EVALUATION AND MONITORING 5. CHEMICALS MANAGEMENT 23 999 (6 044) - 17 955 16 722 1 233 93,1% 15 848 15 848 6. WASTE BUREAU 363 336 9 063 (44 900) 327 499 313 505 13 994 95,7% 424 675 312 642 Total for sub programmes 620 419 6 547 - 626 966 617 329 9 637 98,5% 598 965 488 121 Economic classification Current payments 464 610 (5 035) (44 900) 414 675 406 312 8 363 98,0% 464 592 426 066 Compensation of employees 71 713 916 - 72 629 108 380 (35 751) 149,2% 76 254 109 216 Salaries and wages 62 283 700 - 62 983 96 068 (33 085) 152,5% 66 305 97 085 Social contributions 9 430 216 - 9 646 12 312 (2 666) 127,6% 9 949 12 131 Goods and services 356 610 (14 050) (44 900) 297 660 253 546 44 114 85,2% 346 699 275 211 Administrative fees 349 (318) - 31 31 - 100,0% 63 63 Advertising 802 842 - 1 644 1 644 - 100,0% 922 922 Minor assets 65 425 - 490 490 - 100,0% 4 4 Bursaries: Employees 250 (250) - - - - - - - Catering: Departmental activities 432 54 - 486 486 - 100,0% 374 374 Communication (G&S) 605 (456) - 149 149 - 100,0% 196 196 Computer services - 161 - 161 161 - 100,0% - - Consultants: Business and advisory services 21 136 (12 068) - 9 068 9 068 - 100,0% 13 746 13 746 Legal services 7 535 (4 035) - 3 500 3 500 - 100,0% 1 849 1 849 Contractors 165 165 56 671 - 221 836 221 836 - 100,0% 223 195 223 195 Agency and support / outsourced services 137 608 (48 594) (44 900) 44 114 - 44 114 - 87 436 15 948 Entertainment 8 (2) - 6 6 - 100,0% - - Fleet services (including government motor 62 165 - 227 227 - 100,0% - - transport) Inventory: Other supplies 254 (254) - - - - - 488 488 ANNUAL REPORT 2022/23 215 Consumable supplies 1 905 (988) - 917 917 - 100,0% 11 541 11 541 Consumable: Stationery, printing and office 1 810 (1 596) - 214 214 - 100,0% 102 102 supplies Operating leases 300 (296) - 4 4 - 100,0% 63 63 Travel and subsistence 12 646 (7) - 12 639 12 639 - 100,0% 5 612 5 612 Training and development 1 173 (982) - 191 191 - 100,0% 50 50 Operating payments 1 844 (721) - 1 123 1 123 - 100,0% 810 810 Venues and facilities 2 361 (1 503) - 858 858 - 100,0% 247 247 Rental and hiring 300 (298) - 2 2 - 100,0% 1 1 Interest and rent on land 36 287 8 099 - 44 386 44 386 - 100,0% 41 639 41 639 Rent on land 36 287 8 099 - 44 386 44 386 - 100,0% 41 639 41 639 Transfers and subsidies 64 890 364 44 900 110 154 108 880 1 274 98,8% 86 840 14 522 Provinces and municipalities - - - - - - - 102 102 Municipalities - - - - - - - 102 102 Municipal agencies and funds - - - - - - - 102 102 Departmental agencies and accounts 13 411 - - 13 411 13 411 - 100,0% 13 066 13 066 Departmental agencies 13 411 - - 13 411 13 411 - 100,0% 13 066 13 066 Foreign governments and international 2 514 - - 2 514 1 281 1 233 51,0% 1 029 1 029 organisations Public corporations and private enterprises 47 965 - 44 900 92 865 92 824 41 100,0% 72 318 - Private enterprises 47 965 - 44 900 92 865 92 824 41 100,0% 72 318 - Other transfers to private enterprises 47 965 - 44 900 92 865 92 824 41 100,0% 72 318 - Households 1 000 364 - 1 364 1 364 - 100,0% 325 325 Social benefits 1 000 364 - 1 364 1 364 - 100,0% 325 325 Payments for capital assets 90 919 11 205 - 102 124 102 124 - 100,0% 47 493 47 493 Machinery and equipment 90 919 3 662 - 94 581 94 581 - 100,0% 46 499 46 499 Transport equipment 16 000 66 522 - 82 522 82 522 - 100,0% 46 295 46 295 Other machinery and equipment 74 919 (62 860) - 12 059 12 059 - 100,0% 204 204 Software and other intangible assets - 7 543 - 7 543 7 543 - 100,0% 994 994 Payment for financial assets - 13 - 13 13 - 100,0% 40 40 Total 620 419 6 547 - 626 966 617 329 9 637 98,5% 598 965 488 121 DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 216 PROGRAMME 8: FORESTRY MANAGEMENT 2022/23 2021/22 Expenditure Adjusted Shifting of Final Actual Final Actual Virement Variance as % of final Sub programme Appropriation Funds Appropriation Expenditure Appropriation expenditure appropriation R'000 R'000 R'000 R'000 R'000 R'000 % R'000 R'000 1. FORESTRY MANAGEMENT 6 862 (2 771) - 4 091 3 198 893 78,2% 6 017 872 2. FORESTRY OPERATIONS 528 814 3 651 - 532 465 521 452 11 013 97,9% 631 149 436 554 3. FORESTRY DEVELOPMENT AND 128 278 (21 925) (10 359) 95 994 61 255 34 739 63,8% 69 794 39 684 REGULATION Total for sub programmes 663 954 (21 045) (10 359) 632 550 585 905 46 645 92,6% 706 960 477 110 Economic classification Current payments 615 124 (21 625) (10 359) 583 140 544 881 38 259 93,4% 654 008 464 528 Compensation of employees 418 673 (21 045) - 397 628 397 628 - 100,0% 410 172 410 172 Salaries and wages 330 158 2 798 - 332 956 332 956 - 100,0% 344 470 344 470 Social contributions 88 515 (23 843) - 64 672 64 672 - 100,0% 65 702 65 702 Goods and services 190 734 5 137 (10 359) 185 512 147 253 38 259 79,4% 243 487 54 007 Administrative fees 2 002 (1 891) - 111 111 - 100,0% 2 650 2 Advertising 2 706 (1 630) - 1 076 1 076 - 100,0% 2 733 622 Minor assets 2 211 (1 761) - 450 450 - 100,0% 1 415 17 Bursaries: Employees 1 083 (1 021) - 62 62 - 100,0% 1 245 210 Catering: Departmental activities 425 (319) - 106 106 - 100,0% 60 60 Communication (G&S) 4 132 (3 705) - 427 427 - 100,0% 6 025 300 Computer services 940 (436) - 504 504 - 100,0% 1 890 445 Consultants: Business and advisory services 49 511 - (10 359) 39 152 6 015 33 137 15,4% 59 678 364 Infrastructure and planning services - - - - - - - 535 - Legal services 1 594 (476) - 1 118 1 118 - 100,0% 779 779 Contractors 14 400 (7 768) - 6 632 2 817 3 815 42,5% 5 510 5 510 Agency and support / outsourced services 9 401 65 155 - 74 556 74 556 - 100,0% 12 489 12 489 Entertainment 20 (17) - 3 3 - 100,0% 1 1 Fleet services (including government motor 10 321 (10 321) - - - - - 12 000 173 transport) Inventory: Clothing material and accessories - - - - - - - 9 000 - Inventory: Farming supplies - 273 - 273 273 - 100,0% 5 000 - Inventory: Fuel, oil and gas 1 550 (1 468) - 82 82 - 100,0% 2 000 - Inventory: Other supplies - 7 005 - 7 005 7 005 - 100,0% 2 996 2 996 ANNUAL REPORT 2022/23 217 Consumable supplies 26 201 (11 438) - 14 763 14 763 - 100,0% 8 780 3 895 Consumable: Stationery, printing and office 3 674 (1 827) - 1 847 1 827 20 98,9% 5 147 648 supplies Operating leases 3 085 (2 505) - 580 580 - 100,0% 7 107 1 575 Property payments 17 780 (12 307) - 5 473 5 473 - 100,0% 30 000 6 864 Travel and subsistence 21 196 3 370 - 24 566 24 395 171 99,3% 26 785 12 805 Training and development 5 012 (3 846) - 1 166 356 810 30,5% 6 013 13 Operating payments 6 111 (1 843) - 4 268 4 215 53 98,8% 33 518 4 108 Venues and facilities 875 417 - 1 292 1 039 253 80,4% 131 131 Rental and hiring 6 504 (6 504) - - - - - - - Interest and rent on land 5 717 (5 717) - - - - - 349 349 Rent on land 5 717 (5 717) - - - - - 349 349 Transfers and subsidies 17 350 486 - 17 836 17 338 498 97,2% 17 810 11 772 Provinces and municipalities 860 - - 860 700 160 81,4% 1 352 600 Municipalities 860 - - 860 700 160 81,4% 1 352 600 Municipal bank accounts 400 (300) - 100 - 100 - 500 - Municipal agencies and funds 460 300 - 760 700 60 92,1% 852 600 Foreign governments and international - - - - - - - 12 - organisations Public corporations and private enterprises 3 820 - - 3 820 3 813 7 99,8% 5 274 - Public corporations 3 820 - - 3 820 3 813 7 99,8% 5 274 - Other transfers to public corporations 3 820 - - 3 820 3 813 7 99,8% 5 274 - Households 12 670 486 - 13 156 12 825 331 97,5% 11 172 11 172 Social benefits 12 000 603 - 12 603 12 272 331 97,4% 11 172 11 172 Other transfers to households 670 (117) - 553 553 - 100,0% - - Payments for capital assets 31 380 - - 31 380 23 492 7 888 74,9% 35 140 808 Machinery and equipment 31 380 (14) - 31 366 23 478 7 888 74,9% 35 114 808 Transport equipment 20 800 2 297 - 23 097 23 097 - 100,0% 34 306 - Other machinery and equipment 10 580 (2 311) - 8 269 381 7 888 4,6% 808 808 Biological assets - - - - - - - 26 - Software and other intangible assets - 14 - 14 14 - 100,0% - - Payment for financial assets 100 94 - 194 194 - 100,0% 2 2 Total 663 954 (21 045) (10 359) 632 550 585 905 46 645 92,6% 706 960 477 110 DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 218 PROGRAMME 9: FISHERIES MANAGEMENT 2022/23 2021/22 Expenditure Adjusted Shifting of Final Actual Final Actual Virement Variance as % of final Sub programme Appropriation Funds Appropriation Expenditure Appropriation expenditure appropriation R'000 R'000 R'000 R'000 R'000 R'000 % R'000 R'000 1. FISHERIES MANAGEMENT 34 262 25 653 423 60 338 60 338 - 100,0% 62 869 62 869 2. AQUACULTURE AND ECONOMIC 34 534 9 331 129 43 994 43 994 - 100,0% 43 987 43 987 DEVELOPMENT 3. MONITORING, CONTROL AND 91 055 12 546 759 104 360 104 360 - 100,0% 104 011 102 726 SURVEILLANCE 4. MARINE RESOURCES MANAGEMENT 28 848 3 683 124 32 655 32 655 - 100,0% 31 117 31 117 5. FISHERIES RESEARCH AND 49 355 25 268 24 74 647 74 647 - 100,0% 72 084 72 084 DEVELOPMENT 6. MARINE LIVING RESOURCES FUND 316 625 - - 316 625 316 625 - 100,0% 305 278 305 278 Total for sub programmes 554 679 76 481 1 459 632 619 632 619 - 100,0% 619 346 618 061 Economic classification Current payments 238 054 76 481 472 315 007 315 007 - 100,0% 312 300 311 015 Compensation of employees 238 054 76 481 - 314 535 314 535 - 100,0% 310 039 310 039 Salaries and wages 177 137 97 072 - 274 209 274 209 - 100,0% 269 654 269 654 Social contributions 60 917 (20 591) - 40 326 40 326 - 100,0% 40 385 40 385 Goods and services - - 472 472 472 - 100,0% 2 261 976 Communication (G&S) - - 13 13 13 - 100,0% - - Legal services - - - - - - - 550 550 Travel and subsistence - - 459 459 459 - 100,0% 1 711 426 Transfers and subsidies 316 625 - 980 317 605 317 605 - 100,0% 307 046 307 046 Departmental agencies and accounts 316 625 - - 316 625 316 625 - 100,0% 305 278 305 278 Departmental agencies 316 625 - - 316 625 316 625 - 100,0% 305 278 305 278 Households - - 980 980 980 - 100,0% 1 768 1 768 Social benefits - - 980 980 980 - 100,0% 1 768 1 768 Payment for financial assets - - 7 7 7 - 100,0% - - Total 554 679 76 481 1 459 632 619 632 619 - 100,0% 619 346 618 061 ANNUAL REPORT 2022/23 219 NOTES TO THE APPROPRIATION STATEMENT for the year ended 31 March 2023 1. Detail of transfers and subsidies as per Appropriation Act (after Virement): Detail of these transactions can be viewed in the note on Transfers and subsidies, disclosure notes and Annexure 1 (A-H) to the Annual Financial Statements. 2. Detail of specifically and exclusively appropriated amounts voted (after Virement): Detail of these transactions can be viewed in note 1 (Annual Appropriation) to the Annual Financial Statements. 3. Detail on payments for financial assets Detail of these transactions per programme can be viewed in the note on Payments for financial assets to the Annual Financial Statements. 4. Explanations of material variances from Amounts Voted (after Virement): Variance as a % of Final Per programme Final Appropriation Actual Expenditure Variance R’000 Appropriation 1.Administration 1 218 904 1 208 150 10 754 1% 2.Regulatory Compliance and Sector Monitoring 243 476 243 476 - - 3.Oceans and Coasts 519 859 504 678 15 181 3% 4.Climate Change, Air Quality and Sustainable Development 678 762 662 308 16 454 2% 5.Biodiversity and Conservation 1 225 116 1 206 089 19 027 2% 6.Environmental Programmes 3 216 587 3 166 263 50 324 2% 7.Chemicals and Waste Management 626 966 617 329 9 637 2% 8.Forestry Management 632 550 585 905 46 645 7% 9.Fisheries Management 632 619 632 619 - 0% TOTAL 8 994 839 8 826 817 168 022 2% DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 220 4.1 Variance as a % of Final Per programme Final Appropriation Actual Expenditure Variance R’000 Appropriation Administration 1 218 904 1 208 150 10 754 1% Spending in programme 1 progressed as anticipated. The underspending is due to the budget allocation for unitary payment for environment house being more than actual calculated payments for the year. Regulatory Compliance and Sector Monitoring 243 476 243 476 - 0% Spending in Programme 2 progressed as anticipated and financial targets met as planned Oceans and Coasts 519 859 504 678 15 181 3% Spending in programme 3 progressed as anticipated. The underspending is due to invoices not received in time for payment before 31 March 2023. Climate Change, Air Quality and Sustainable Development 678 762 662 308 16 454 2% Spending in progressed as anticipated. The underspending is due to international travel and expenditure not paid as at 31 March 2023. Biodiversity and Conservation 1 225 116 1 206 089 19 027 2% Spending in programme 5 progressed as anticipated except for the underspending as a result the prolonged process to proclaim Protected areas which took longer that anticipated. Environmental Programmes 3 216 587 3 166 263 50 324 2% Underspending due to EPWP projects slower than anticipated and invoices not received in time for payment before 31 March 2023. Chemicals and Waste Management 626 966 617 329 9 637 2% Underspending due to Waste Bureau projects invoices not received in time for payment before 31 March 2023 and projects slower than anticipated. Forestry Management 632 550 585 905 46 645 7% Underspending due to processes to procure operational goods and services for the plantations and nurseries longer than anticipated and could not be finalised before 31 March 2023. Savings due to processes to procure operational goods and services for the plantations and nurseries longer than anticipated and could not be finalised before 31 March 2023. ANNUAL REPORT 2022/23 221 Fisheries Management 632 619 632 619 - 0% Spending in programme 9 progressed as anticipated and the main expenditure on compensation of Employees and transfer of the operational funds to the Marine Living Resources Fund accomplished. 4.2 Variance as a % of Final Final Appropriation Actual Expenditure Variance Per economic classification Appropriation R’000 R’000 R’000 R’000 Current payments Compensation of employees 2 010 471 2 046 222 (35 751) (2)% Goods and services 3 547 161 3 396 462 150 699 4% Interest and rent on land 87 533 87 533 0 0% Transfers and subsidies Provinces and municipalities 1 192 1 019 173 15% Departmental agencies and accounts 2 911 124 2 911 096 28 0% Higher education institutions 16 000 13 518 2 482 16% Public corporations and private 96 685 96 637 48 0% enterprises Foreign governments and 45 437 31 865 13 572 30% international organisations Non-profit institutions 9 407 8 645 762 8% Households 29 878 28 808 1 070 4% Payments for capital assets Buildings and other fixed structures 59 949 49 223 10 726 18% Machinery and equipment 165 787 145 379 20 408 12% Heritage assets 0 0 0 0% Specialised military assets 0 0 0 0% Biological assets 0 0 0 0% Land and subsoil assets 0 0 0 0% Software and other Intangible assets 11 920 8 115 3 805 32% Payments for financial assets 2 295 2 295 0 0% Total 8 994 839 8 826 817 168 022 2% DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 222 The Department spent 98,1% of the appropriated funds: Compensation of employees The overspending on compensation of employees is due to the Waste Bureau officials paid but not part of the departmental establishment. Goods and services Underspending on goods and services is due to slower progress in projects and invoices not received on time for processing before 31 March 2023. Provinces and Municipalities Underspending under Provinces and Municipalities is due to Arbor Rewards funds allocated not awarded in total as anticipated. Higher Education Institutions Underspending under Higher Education Institutions is due to the contribution for the Marine Pollutions laboratory at the Walter Sisulu University lower than anticipated. Foreign Governments and International Organisations Underspending on Foreign governments and international organisations is due to annual international membership fees being lower than anticipated. Non-profit institutions Underspending under Non-profit Institutions is due to budget allocation being more than the agreed amounts payable to non-profit institutions. Households Underspending under Households is due to budget allocation on leave gratuities being more than the actual expenditure. Buildings and other fixed structures Underspending under Buildings and other fixed structures is due to budget allocation for unitary payments for Environmental House being more than the actual payments for 2022/23. Machinery and Equipment Underspending under Machinery and Equipment is due to delay in the procurement process. Software and other intangible assets Underspending under Software and other Intangible assets is due to delay in the procurement process. ANNUAL REPORT 2022/23 223 STATEMENT OF FINANCIAL PERFORMANCE for the year ended 31 March 2023 Note 2022/23 2021/22 R'000 R'000 REVENUE Annual appropriation 1 8 994 839 9 099 737 Departmental revenue 2 86 861 99 718 Aid assistance 3 18 713 18 343 TOTAL REVENUE 9 100 413 9 217 798 EXPENDITURE Current expenditure Compensation of employees 4 2 046 222 2 043 670 Goods and services 5 3 395 547 2 702 921 Interest and rent on land 6 87 533 85 920 Aid assistance 3 32 490 6 936 Total current expenditure 5 561 792 4 839 447 Transfers and subsidies Transfers and subsidies 8 3 091 588 2 528 739 Total transfers and subsidies 3 091 588 2 528 739 Expenditure for capital assets Tangible assets 9 195 517 121 515 Intangible assets 9 8 115 5 355 Total expenditure for capital assets 203 632 126 870 Payments for financial assets 7 2 295 1 893 TOTAL EXPENDITURE 8 859 307 7 496 949 SURPLUS FOR THE YEAR 241 106 1 720 849 Reconciliation of Net Surplus for the year Voted funds 168 022 1 609 724 Annual appropriation 168 022 1 609 724 Departmental revenue and NRF Receipts 14 86 861 99 718 Aid assistance 3 (13 777) 11 407 SURPLUS FOR THE YEAR 241 106 1 720 849 DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 224 STATEMENT OF FINANCIAL POSITION for the year ended 31 March 2023 Note 2022/23 2021/22 R'000 R'000 ASSETS Current assets 192 500 1 635 218 Cash and cash equivalents 10 134 916 1 607 824 Prepayments and advances 11 182 270 Receivables 12 28 819 12 318 Aid assistance receivable 3 28 583 14 806 Non-current assets 42 800 50 689 Receivables 12 42 800 50 689 TOTAL ASSETS 235 300 1 685 907 LIABILITIES Current liabilities 219 578 1 706 742 Voted funds to be surrendered to the Revenue Fund 13 168 022 1 609 724 Departmental revenue and NRF Receipts to be surrendered to the Revenue Fund 14 1 356 1 904 Payables 15 50 200 95 114 TOTAL LIABILITIES 219 578 1 706 742 NET ASSETS 15 722 (20 835) Represented by: Recoverable revenue 15 722 (20 835) TOTAL 15 722 (20 835) ANNUAL REPORT 2022/23 225 STATEMENT OF CHANGES IN NET ASSETS for the year ended 31 March 2023 Note 2022/23 2021/22 R'000 R'000 Recoverable revenue Opening balance (20 835) 20 551 Transfers: 36 557 (41 386) Irrecoverable amounts written off 7.2 (149) (272) Debts recovered (included in departmental receipts) (175) (50 879) Debts raised 36 881 9 765 TOTAL 15 722 (20 835) DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 226 CASH FLOW STATEMENT for the year ended 31 March 2023 Note 2022/23 2021/22 R'000 R’000 CASH FLOWS FROM OPERATING ACTIVITIES Receipts 9 100 315 9 217 771 Annual appropriated funds received 1.1 8 994 839 9 099 737 Departmental revenue received 2 84 408 91 964 Interest received 2.3 2 355 7 727 Aid assistance received 3 18 713 18 343 Net (increase)/decrease in working capital (61 327) 20 336 Surrendered to Revenue Fund (1 697 133) (1 740 832) Surrendered to RDP Fund/Donor - (12 046) Current payments (5 518 645) (4 795 515) Interest paid 6 (43 147) (43 932) Payments for financial assets (2 295) (1 893) Transfers and subsidies paid (3 091 588) (2 528 739) Net cash flow available from operating activities 16 (1 313 820) 115 150 CASH FLOWS FROM INVESTING ACTIVITIES Payments for capital assets 9 (203 632) (126 870) Proceeds from sale of capital assets 2.4 98 27 (Increase)/decrease in non-current receivables 12 7 889 (13 440) Net cash flows from investing activities (195 645) (140 283) CASH FLOWS FROM FINANCING ACTIVITIES Increase/(decrease) in net assets 36 557 (41 386) Net cash flows from financing activities 36 557 (41 386) Net increase/(decrease) in cash and cash equivalents (1 472 908) (66 519) Cash and cash equivalents at beginning of period 1 607 824 1 674 343 Cash and cash equivalents at end of period 10 134 916 1 607 824 ANNUAL REPORT 2022/23 227 POLICIES TO THE ANNUAL FINANCIAL STATEMENTS for the year ended 31 March 2023 Summary of significant accounting policies The financial statements have been prepared in accordance with the following policies, which have been applied consistently in all material aspects, unless otherwise indicated. Management has concluded that the financial statements present fairly the department’s primary and secondary information. The historical cost convention has been used, except where otherwise indicated. Management has used assessments and estimates in preparing the annual financial statements. These are based on the best information available at the time of preparation. Where appropriate and meaningful, additional information has been disclosed to enhance the usefulness of the financial statements and to comply with the statutory requirements of the Public Finance Management Act (PFMA), Act 1 of 1999 (as amended by Act 29 of 1999), and the Treasury Regulations issued in terms of the PFMA and the annual Division of Revenue Act. Basis of preparation 1 The financial statements have been prepared in accordance with the Modified Cash Standard. Going concern 2 The financial statements have been prepared on a going concern basis. Presentation currency 3 Amounts have been presented in the currency of the South African Rand (R) which is also the functional currency of the department. Rounding 4 Unless otherwise stated financial figures have been rounded to the nearest one thousand Rand (R’000). Unless otherwise stated, percentages have been rounded to the nearest decimal where applicable. Foreign currency translation 5 Cash flows arising from foreign currency transactions are translated into South African Rands using the exchange rates prevailing at the date of payment or receipt. 6 Comparative information Prior period comparative information 6.1 Prior period comparative information has been presented in the current year’s financial statements. Where necessary figures included in the prior period financial statements have been reclassified to ensure that the format in which the information is presented is consistent with the format of the current year’s financial statements. Current year comparison with budget 6.2 A comparison between the approved, final budget and actual amounts for each programme and economic classification is included in the appropriation statement. 7 Revenue Appropriated funds Appropriated funds comprise of departmental allocations as well as direct charges against the revenue fund (i.e. statutory appropriation). 7.1 Appropriated funds are recognised in the statement of financial performance on the date the appropriation becomes effective. Adjustments made in terms of the adjustments budget process are recognised in the statement of financial performance on the date the adjustments become effective. The net amount of any appropriated funds due to / from the relevant revenue fund at the reporting date is recognised as a payable / receivable in the statement of financial position. DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 228 Departmental revenue 7.2 Departmental revenue is recognised in the statement of financial performance when received and is subsequently paid into the relevant revenue fund, unless stated otherwise. Any amount owing to the relevant revenue fund at the reporting date is recognised as a payable in the statement of financial position. Accrued departmental revenue Accruals in respect of departmental revenue (excluding tax revenue) are recorded in the notes to the financial statements when: • it is probable that the economic benefits or service potential associated with the transaction will flow to the department; and 7.3 • the amount of revenue can be measured reliably. The accrued revenue is measured at the fair value of the consideration receivable. Accrued tax revenue (and related interest and / penalties) is measured at amounts receivable from collecting agents. Write-offs are made according to the department’s debt write-off policy. 8 Expenditure 8.1 Compensation of employees Salaries and wages 8.1.1 Salaries and wages are recognised in the statement of financial performance on the date of payment. Social contributions 8.1.2 Social contributions made by the department in respect of current employees are recognised in the statement of financial performance on the date of payment. Social contributions made by the department in respect of former employees are classified as transfers to households in the statement of financial performance on the date of payment. Other expenditure 8.2 Other expenditure (such as goods and services, transfers and subsidies and payments for capital assets) is recognised in the statement of financial performance on the date of payment. The expense is classified as a capital expense if the total consideration paid is more than the capitalisation threshold. Accruals and payables not recognised. 8.3 Accruals and payables not recognised are recorded in the notes to the financial statements at cost at the reporting date. 8.4 Leases Operating leases Operating lease payments made during the reporting period are recognised as current expenditure in the statement of financial performance on the date of payment. Operating lease 8.4.1 payments received are recognised as departmental revenue. The operating lease commitments are recorded in the notes to the financial statements. Finance leases Finance lease payments made during the reporting period are recognised as capital expenditure in the statement of financial performance on the date of payment. Finance lease payments received are recognised as departmental revenue. 8.4.2 The finance lease commitments are recorded in the notes to the financial statements and are not apportioned between the capital and interest portions. Finance lease assets acquired at the end of the lease term are recorded and measured at the lower of: • cost, being the fair value of the asset; or • the sum of the minimum lease payments made, including any payments made to acquire ownership at the end of the lease term, excluding interest. ANNUAL REPORT 2022/23 229 9 Aid Assistance Aid assistance received. Aid assistance received in cash is recognised in the statement of financial performance when received. In-kind aid assistance is recorded in the notes to the financial statements on the 9.1 date of receipt and is measured at fair value. Aid assistance not spent for the intended purpose and any unutilised funds from aid assistance that are required to be refunded to the donor are recognised as a payable in the statement of financial position. Aid assistance paid 9.2 Aid assistance paid is recognised in the statement of financial performance on the date of payment. Aid assistance payments made prior to the receipt of funds are recognised as a receivable in the statement of financial position. Cash and cash equivalents Cash and cash equivalents are stated at cost in the statement of financial position. 10 Bank overdrafts are shown separately on the face of the statement of financial position as a current liability. For the purposes of the cash flow statement, cash and cash equivalents comprise cash on hand, deposits held, other short-term highly liquid investments and bank overdrafts. Prepayments and advances 11 Prepayments and advances are recognised in the statement of financial position when the department receives or disburses the cash. Prepayments and advances are initially and subsequently measured at cost. Loans and receivables Loans and receivables are recognised in the statement of financial position at cost plus accrued interest, where interest is charged, less amounts already settled or written-off. Write-offs 12 are made according to the department’s write-off policy. Investments 13 Investments are recognised in the statement of financial position at cost. 14 Financial assets Financial assets (not covered elsewhere) A financial asset is recognised initially at its cost plus transaction costs that are directly attributable to the acquisition or issue of the financial asset. 14.1 At the reporting date, a department shall measure its financial assets at cost, less amounts already settled or written-off, except for recognised loans and receivables, which are measured at cost plus accrued interest, where interest is charged, less amounts already settled or written-off. Impairment of financial assets 14.2 Where there is an indication of impairment of a financial asset, an estimation of the reduction in the recorded carrying value, to reflect the best estimate of the amount of the future economic benefits expected to be received from that asset, is recorded in the notes to the financial statements. Payables 15 Payables recognised in the statement of financial position are recognised at cost. 16 Capital Assets DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 230 Immovable capital assets Immovable assets reflected in the asset register of the department are recorded in the notes to the financial statements at cost or fair value where the cost cannot be determined reliably. Immovable assets acquired in a non-exchange transaction are recorded at fair value at the date of acquisition. Immovable assets are subsequently carried in the asset register at cost 16.1 and are not currently subject to depreciation or impairment. Subsequent expenditure of a capital nature forms part of the cost of the existing asset when ready for use. Additional information on immovable assets not reflected in the assets register is provided in the notes to financial statements. Movable capital assets Movable capital assets are initially recorded in the notes to the financial statements at cost. Movable capital assets acquired through a non-exchange transaction is measured at fair value as at the date of acquisition. Where the cost of movable capital assets cannot be determined reliably, the movable capital assets are measured at fair value and where fair value cannot be determined; the movable 16.2 assets are measured at R1. All assets acquired prior to 1 April 2002 (or a later date as approved by the OAG) may be recorded at R1. Movable capital assets are subsequently carried at cost and are not subject to depreciation or impairment. Biological assets are subsequently carried at fair value. Subsequent expenditure that is of a capital nature forms part of the cost of the existing asset when ready for use. Intangible assets Intangible assets are initially recorded in the notes to the financial statements at cost. Intangible assets acquired through a non-exchange transaction are measured at fair value as at the date of acquisition. Internally generated intangible assets are recorded in the notes to the financial statements when the department commences the development phase of the project. 16.3 Where the cost of intangible assets cannot be determined reliably, the intangible capital assets are measured at fair value and where fair value cannot be determined; the intangible assets are measured at R1. All assets acquired prior to 1 April 2002 (or a later date as approved by the OAG) may be recorded at R1. Intangible assets are subsequently carried at cost and are not subject to depreciation or impairment. Subsequent expenditure of a capital nature forms part of the cost of the existing asset when ready for use. Project Costs: Work-in-progress Expenditure of a capital nature is initially recognised in the statement of financial performance at cost when paid. 16.4 Amounts paid towards capital projects are separated from the amounts recognised and accumulated in work-in-progress until the underlying asset is ready for use. Once ready for use, the total accumulated payments are recorded in an asset register. Subsequent payments to complete the project are added to the capital asset in the asset register. Where the department is not the custodian of the completed project asset, the asset is transferred to the custodian subsequent to completion. 17 Provisions and Contingents Provisions 17.1 Provisions are recorded in the notes to the financial statements when there is a present legal or constructive obligation to forfeit economic benefits as a result of events in the past and it is probable that an outflow of resources embodying economic benefits or service potential will be required to settle the obligation and a reliable estimate of the obligation can be made. The provision is measured as the best estimate of the funds required to settle the present obligation at the reporting date. Contingent liabilities 17.2 Contingent liabilities are recorded in the notes to the financial statements when there is a possible obligation that arises from past events, and whose existence will be confirmed only by the occurrence or non-occurrence of one or more uncertain future events not within the control of the department or when there is a present obligation that is not recognised because it is not probable that an outflow of resources will be required to settle the obligation or the amount of the obligation cannot be measured reliably. ANNUAL REPORT 2022/23 231 Contingent assets 17.3 Contingent assets are recorded in the notes to the financial statements when a possible asset arises from past events, and whose existence will be confirmed by the occurrence or non- occurrence of one or more uncertain future events not within the control of the department. Capital commitments. 17.4 Capital commitments are recorded at cost in the notes to the financial statements. Unauthorised expenditure Unauthorised expenditure is recognised in the statement of financial position until such time as the expenditure is either: • approved by Parliament or the Provincial Legislature with funding and the related funds are received; or 18 • approved by Parliament or the Provincial Legislature without funding and is written off against the appropriation in the statement of financial performance; or • transferred to receivables for recovery. Unauthorised expenditure is measured at the amount of the confirmed unauthorised expenditure. Fruitless and wasteful expenditure Fruitless and wasteful expenditure is recorded in the notes to the financial statements when confirmed. The amount recorded is equal to the total value of the fruitless and or wasteful expenditure incurred. 19 Fruitless and wasteful expenditure is removed from the notes to the financial statements when it is resolved or transferred to receivables or written off. Fruitless and wasteful expenditure receivables are measured at the amount that is expected to be recoverable and are de-recognised when settled or subsequently written-off as irrecoverable. Irregular expenditure Irregular expenditure is recorded in the notes to the financial statements when confirmed after its assessment. The amount recorded is equal to the value of the irregular expenditure 20 incurred unless it is impracticable to determine, in which case reasons therefor are provided in the note. Irregular expenditure is reduced from the note when it is either condoned by the relevant authority, transferred to receivables for recovery, not condoned and removed or written-off. Irregular expenditure receivables are measured at the amount that is expected to be recoverable and are de-recognised when settled or subsequently written-off as irrecoverable. Changes in accounting estimates and errors Changes in accounting estimates are applied prospectively in accordance with MCS requirements. 21 Correction of errors is applied retrospectively in the period in which the error has occurred in accordance with MCS requirements, except to the extent that it is impracticable to determine the period-specific effects or the cumulative effect of the error. In such cases the department shall restate the opening balances of assets, liabilities and net assets for the earliest period for which retrospective restatement is practicable. Events after the reporting date 22 Events after the reporting date that are classified as adjusting events have been accounted for in the financial statements. The events after the reporting date that are classified as non- adjusting events after the reporting date have been disclosed in the notes to the financial statements. Principal-Agent arrangements 23 The department is party to a principal-agent arrangement for [include details here]. In terms of the arrangement the department is the [principal / agent] and is responsible for [include details here]. All related revenues, expenditures, assets and liabilities have been recognised or recorded in terms of the relevant policies listed herein. Additional disclosures have been provided in the notes to the financial statements where appropriate. DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 232 Departures from the MCS requirements 24 Management has concluded that the financial statements present fairly the department’s primary and secondary information; that the department complied with the Standard and there was no departure from any requirements to achieve fair presentation. Capitalisation reserve 25 The capitalisation reserve comprises of financial assets and/or liabilities originating in a prior reporting period, but which are recognised in the statement of financial position for the first time in the current reporting period. Amounts are recognised in the capitalisation reserves when identified in the current period and are transferred to the National/Provincial Revenue Fund when the underlying asset is disposed, and the related funds are received. Recoverable revenue 26 Amounts are recognised as recoverable revenue when a payment made in a previous financial year becomes recoverable from a debtor in the current financial year. Amounts are either transferred to the National/Provincial Revenue Fund when recovered or are transferred to the statement of financial performance when written-off. Related party transactions 27 Related party transactions within the Minister/MEC’s portfolio are recorded in the notes to the financial statements when the transaction is not at arm’s length. The number of individuals and the full compensation of key management personnel is recorded in the notes to the financial statements. Inventories At the date of acquisition, inventories are recognised at cost in the statement of financial performance. Where inventories are acquired as part of a non-exchange transaction, the inventories are measured at fair value as at the date of acquisition. 28 Inventories are subsequently measured at the lower of cost and net realisable value or where intended for distribution (or consumed in the production of goods for distribution) at no or a nominal charge, the lower of cost and current replacement value. The cost of inventories is assigned by using the weighted average cost basis. Public-Private Partnerships Public Private Partnerships are accounted for based on the nature and or the substance of the partnership. The transaction is accounted for in accordance with the relevant accounting 29 policies. A summary of the significant terms of the PPP agreement, the parties to the agreement, and the date of commencement thereof together with the description and nature of the concession fees received, the unitary fees paid, rights and obligations of the department are recorded in the notes to the financial statements. Employee benefits 30 The value of each major class of employee benefit obligation (accruals, payables not recognised and provisions) is disclosed in the Employee benefits note. Transfer of functions 31 Transfer of functions are accounted for by the acquirer by recognising or recording assets acquired and liabilities assumed at their carrying amounts at the date of transfer. Transfer of functions are accounted for by the transferor by derecognising or removing assets and liabilities at their carrying amounts at the date of transfer. Mergers 32 Mergers are accounted for by the combined department by recognising or recording assets acquired and liabilities assumed at their carrying amounts at the date of the merger. Mergers are accounted for by the combining departments by derecognising or removing assets and liabilities at their carrying amounts at the date of the merger. ANNUAL REPORT 2022/23 233 NOTES TO THE ANNUAL FINANCIAL STATEMENTS for the year ended 31 March 2023 1. Annual Appropriation 1.1 Annual Appropriation 2022/23 2021/22 Funds not Funds not Final Actual Funds Final Appropriation Programmes requested/not requested /not Appropriation Received Appropriation received received received R’000 R’000 R’000 R’000 R’000 R’000 1. Administration 1 218 904 1 218 904 - 1 060 003 1 060 003 - 2. Regulatory Compliance and Sector Monitoring 243 476 243 476 - 223 872 223 872 - 3. Oceans and Coasts 519 859 519 859 - 505 190 505 190 - 4. Climate Change, Air Quality and Sustainable 678 762 678 762 - 613 730 613 730 - Development 5. Biodiversity and Conservation 1 225 116 1 225 116 - 1 137 865 1 137 865 - 6. Environmental Programmes 3 216 587 3 216 587 - 3 633 806 3 633 806 - 7. Chemicals and Waste Management 626 966 626 966 - 598 965 598 965 - 8. Forestry Management 632 550 632 550 - 706 960 706 960 - 9. Fisheries Management 632 619 632 619 - 619 346 619 346 - Total 8 994 839 8 994 839 - 9 099 737 9 099 737 - All funds allocated were requested from the National Revenue Fund as per National Treasury approval for both the 2022/23 and 2021/2022 financial years. Final Appropriation for 2022/23 includes the Approved Adjusted Estimates of National Expenditure (AENE) of R8, 937 919 billion plus additional allocation after Approved AENE of R56,920 million with regards to Cost-of-Living Salary Adjustments. The total Final Appropriation amounts to R8,994 839 billion. The additional allocation with regards to the Cost-of-Living Salary Adjustment was allocated to the following Programmes: Regulatory Compliance and Sector Monitoring: R2,969 million; Oceans and Coasts: R12,075 million; Climate Change, Air Quality and Sustainable Development: R6,546 million; Biodiversity and Conservation: R3,135 million; Chemicals and Waste Management: R2,660 million and Fisheries Management: R29,535 million. 2. Departmental revenue Note 2022/23 2021/22 R’000 R’000 Sales of goods and services other than capital assets 2.1 33 639 38 451 Fines, penalties and forfeits 2.2 550 2 265 Interest, dividends and rent on land 2.3 2 355 7 727 Sales of capital assets 2.4 98 27 Transactions in financial assets and liabilities 2.5 50 219 51 248 Total revenue collected 86 861 99 718 DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 234 2.1 Sales of goods and services other than capital assets Note 2022/23 2021/22 2 R’000 R’000 Sales of goods and services produced by the department 33 637 38 451 Sales by market establishment 888 943 Administrative fees 3 756 3 484 Other sales 28 993 34 024 Sales of scrap, waste and other used current goods 2 - Total 33 639 38 451 Administrative fees received consist mainly of environmental and waste management authorisation license fees, fauna and flora licences, game licences, marine recreational fees and permits, hiking trails and Trading licence fees. Other sales consist mainly of Agricultural products (mainly sales of softwood saw timber amounting to R20, 244m and sale of poles untreated amounting to R6, 325 m and wood products R783 thousand) 2.2 Fines, penalties and forfeits Note 2022/23 2021/22 2 R’000 R’000 Fines 550 2 265 Total 550 2 265 Included in 2021/22 is additional fine in respect of Atmospheric Emission Licence in terms of section 22a of the national environmental management: air quality act, 2004 (act 39 of 2004): 2.3 Interest, dividends and rent on land Note 2022/23 2021/22 2 R’000 R’000 Interest 2 355 7 727 Total 2 355 7 727 Interest received during 2021/22 is predominantly made up of amounts paid by implementing agents on funds held by implementers prior to spending (EPIP amounting to R4,337m, NRM R2,915m) and local bank account (ABSA) amounting to R56 thousand and Other R41 thousand. Interest received for 2022/23 consists mainly of interest from the bank accounts amounting to R2, 329m and other interest receivable amounting to R26thousand. ANNUAL REPORT 2022/23 235 2.4 Sale of capital assets Note 2022/23 2021/22 2 R’000 R’000 Tangible assets 98 27 Machinery and equipment 30 98 27 Total 98 27 2.5 Transactions in financial assets and liabilities Note 2022/23 2021/22 3 R’000 R’000 Receivables 405 505 Other Receipts including Recoverable Revenue 49 814 50 743 Total 50 219 51 248 Included in the current and previous financial year is mainly unspent funds of closed out projects being undertaken by implementing agents of the department 3. Aid assistance Note 2022/23 2021/22 R’000 R’000 Opening Balance (14 806) (14 167) Transferred from statement of financial performance (13 777) 11 407 Paid during the year - (12 046) Closing Balance (28 583) (14 806) The figure transferred from the Statement of Financial Performance is a net figure comprised to revenue for aid assistance of R18, 713m and the related expenditure of R32, 490m 3.1 Analysis of balance by source Note 2022/23 2021/22 R’000 R’000 Aid assistance from RDP 3 (28 583) (14 806) Closing balance (28 583) (14 806) DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 236 3.2 Analysis of balance Note 2022/23 2021/22 R’000 R’000 Aid assistance receivable 3 (28 583) (14 806) Closing balance (28 583) (14 806) 3.3 Aid assistance expenditure per economic classification Note 2022/23 2021/22 R’000 R’000 Current 32 490 6 936 Total aid assistance expenditure 32 490 6 936 4. Compensation of Employees 4.1 Salaries and Wages Note 2022/23 2021/22 R’000 R’000 Basic salary 1 378 867 1 372 034 Performance award 402 12 598 Service Based 3 279 3 175 Compensative/circumstantial 50 492 38 794 Other non-pensionable allowances 344 902 353 782 Total 1 777 942 1 780 383 4.2 Social contributions Note 2022/23 2021/22 R’000 R’000 Employer contributions Pension 170 322 169 348 Medical 96 640 92 641 Bargaining council 414 426 Insurance 904 872 Total 268 280 263 287 Total compensation of employees 2 046 222 2 043 670 Average number of employees 3 946 3 893 ANNUAL REPORT 2022/23 237 5. Goods and services Note 2022/23 2021/22 R’000 R’000 Administrative fees 161 240 135 952 Advertising 23 930 14 550 Minor assets 5.1 1 588 1 293 Bursaries (employees) 3 269 3 422 Catering 5 898 2 263 Communication 48 260 50 182 Computer services 5.2 142 996 112 465 Consultants: Business and advisory services 5.9 204 041 154 174 Laboratory services 5 178 6 718 Legal services 44 074 24 170 Contractors 236 400 234 016 Agency and support / outsourced services 1 643 037 1 235 465 Entertainment 31 13 Audit cost – external 5.3 22 617 16 673 Fleet services 28 652 14 272 Inventory 5.4 29 305 24 734 Consumables 5.5 65 345 79 429 Operating leases 167 540 169 463 Property payments 5.6 220 647 162 981 Rental and hiring 6 282 2 320 Transport provided as part of the departmental activities 2 392 586 Travel and subsistence 5.7 193 386 100 219 Venues and facilities 18 346 5 979 Training and development 89 488 115 554 Other operating expenditure 5.8 31 605 36 028 Total 3 395 547 2 702 921 DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 238 - Agency and support / outsourced services includes an amount of R82, 256m for Eco Furniture project, including amounts incurred by implementing entities to clear alien invasive plants. - Advertising expenses consist mainly of Marketing amounting to R11, 813m mainly for overarching and targeted advertising campaigns i.e Waste management, anti-rhino, operation Phakisa Ocean Economy, climate change, Biodiversity Economy, Good Green Deeds etc. , promotional items amounting to R5, 562m mainly for implementing the education and awareness campaign in schools about the importance of conserving and management of the country's natural resources such as Environment, Forestry and Fisheries, promote environment careers, purchase promotional items for National Environmental Compliance and Enforcement Lekgotla (ECEL) and awareness material for UN Climate Change Conference for Parties (COP 27) (UNFCCC) and Public Notices cost amounting to R6, 240m mainly for publishing extraordinary Govt. Gazette for consultation, advertising Govt. Gazette on newspaper and radio. - Fleet services consist mainly of fuel, oil & grease amounting to R16, 161m (R7, 133m for 2021/22FY), maintenance and repairs amounting to R8, 435m (R4, 436m) and tyres and tubes amounting to R1, 300m (R884 thousand). - Legal services mainly consist of court proceedings and other legal claim against the department. - Venues and facilities amounting to R18, 346m (R5, 979m for 2021/22FY) relating to conference facilities for departmental activities (eg. Environmental compliance and enforcement lekgotla and National People and parks conference in NC etc.) - Venues and facilities amounting to 14,4m relating to conference facilities for departmental activities (eg. Environmental compliance and enforcement lekgotla and National People and parks conference in NC etc.) 5.1 Minor assets Note 2022/23 2021/22 5 R’000 R’000 Tangible capital assets 1 586 1 293 Machinery and equipment 1 586 1 293 Intangible capital assets 2 - Software 2 - Total 1 588 1 293 5.2 Computer services Note 2022/23 2021/22 5 R’000 R’000 SITA computer services 51 045 47 358 External computer service providers 91 951 65 107 Total 142 996 112 465 5.3 Audit cost – External Note 2022/23 2021/22 5 R’000 R’000 Regularity audits 16 771 15 446 Investigations 5 846 1 227 Total 22 617 16 673 ANNUAL REPORT 2022/23 239 5.4 Inventory Note 2022/23 2021/22 5 R’000 R’000 Clothing material and accessories 1 590 11 910 Chemicals, Fuel, oil and gas 20 037 7 924 Other supplies 5.4.1 7 678 4 900 Total 29 305 24 734 Clothing material and accessories: Included in the previous year balance is an amount of R11m for the procurement of Southern Oceans and Antarctic Support PPE for three voyages as well as other replenishment of clothing store. In the current year PPE was procured for each voyage on a need’s basis. Chemicals, Fuel, oil and gas: In the prior year the spending was slow due covid-19 restrictions which resulted in restricted operational activities. The current year spending increased due to the relaxation of the covid-19 restrictions which enabled increased operational activities and procurement of chemicals. 5.4.1 Other supplies Note 2022/23 2021/22 5.4 R’000 R’000 Assets for distribution 556 4 900 Machinery and equipment 556 146 Other assets for distribution 7 122 4 754 Total 7 678 4 900 Other assets for distribution consists of an amount of R7, 005m and R117 thousand for biological assets distribution, assets distribution for municipality dust bins and skips respectively. DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 240 5.5 Consumables Note 2022/23 2021/22 5 R’000 R’000 Consumable supplies 56 272 72 223 Uniform and clothing 21 336 43 988 Household supplies 8 289 6 189 Building material and supplies 224 26 Communication accessories - 3 IT consumables 240 3 379 Other consumables 26 183 18 638 Stationery, printing and office supplies 9 073 7 206 Total 65 345 79 429 Uniform and clothing consist mainly expenses related to goods and services including tools of trade and Personal Protective Equipment (PPE) for Municipal cleaning and greening programme as part of economic Stimulus package towards COVID-19 response. Other consumables comprise largely of expenses in respect of fuel supplies R16m (R11,1m; 2021/22), gardening and farming supplies R5,3m (R1,228m) and Groceries R4,4m (R4m). 5.6 Property payments Note 2022/23 2021/22 5 R’000 R’000 Municipal services 32 427 29 711 Property management fees 130 205 121 007 Property maintenance and repairs 22 649 Other 57 993 11 614 Total 220 647 162 981 Other consists mainly of safeguards and security amounting to R54,8m (2021/22; R8,5m) for the regional offices, cleaning services amounting to R2,8m (2021/22; R1,9m). Property management fees include an amount of R132, 488m for PPP property-related expenses. ANNUAL REPORT 2022/23 241 5.7 Travel and subsistence Note 2022/23 2021/22 5 R’000 R’000 Local 162 505 92 466 Foreign 30 881 7 753 Total 193 386 100 219 5.8 Other operating expenditure Note 2022/23 2021/22 5 R’000 R’000 Professional bodies, membership and subscription fees 7 362 12 044 Resettlement costs 1 332 474 Other 22 911 23 510 Total 31 605 36 028 Professional bodies, membership, and subscription fees for 2021/22 includes mainly membership fees for International Union for Conservation of Nature and Natural Resources and annual membership contribution: Benguela Current Convention Secretariat as a State Member to gain access to a network/get information in return for subscribing to the international organisation. Other consists mainly of charter services and landing rights R11,8 (R14,9m; 2021/22), printing and publications services R7,4m (R6,7m; 2021/22) and courier and delivery services R1,7m (R1,7m; 2021/22). 5.9 Remuneration of members of a commission or committee (Included in Consultants: Business and advisory services) Note 2022/23 2021/22 5 R’000 R’000 Name of Commission / Committee No. of members Presidential Climate Commission 23 88 55 Independent Scientific Experts Panel - Lake St Lucia 4 136 700 High level Panel (Extended Panel) 27 - 831 SO2 Panel of Experts 9 - 176 Total 224 1 762 DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 242 6. Interest and rent on land Note 2022/23 2021/22 R’000 R’000 Interest paid 43 147 43 932 Rent on land 44 386 41 988 Total 87 533 85 920 Interest paid is in respect of interest portion for the finance lease building (PPP) The rent on land is in respect of leases for depots for the storage and pre-processing of waste tyres under the Waste Management Bureau waste tyre initiative and forestry leases. 7. Payments for financial assets Note 2022/23 2021/22 R’000 R’000 Other material losses written off 7.1 2 146 1 621 Debts written off 7.2 149 272 Total 2 295 1 893 Other material losses written off includes an amount of R2, 1m in respect of damaged vehicles written off. 7.1 Other material losses written off Note 2022/23 2021/22 7 R’000 R’000 Nature of losses Damaged Vehicle 2 146 1 621 Total 2 146 1 621 7.2 Debts written off Note 2022/23 2021/22 7 R’000 R’000 Other debt written off Debtors 149 272 Total debt written off 149 272 ANNUAL REPORT 2022/23 243 8. Transfers and subsidies Note 2022/23 2021/22 R’000 R’000 Provinces and municipalities 35 1 019 996 Departmental agencies and accounts Annexure 1A 2 911 096 2 459 761 Higher education institutions Annexure 1B 13 518 - Foreign governments and international organisations Annexure 1D 31 865 37 064 Public corporations and private enterprises Annexure 1C 96 637 - Non-profit institutions Annexure 1E 8 645 6 426 Households Annexure 1F 28 808 24 492 Total 3 091 588 2 528 739 9. Expenditure for capital assets Note 2022/23 2021/22 R’000 R’000 Tangible assets 195 517 121 515 Buildings and other fixed structures 31 49 223 40 232 Machinery and equipment 30 146 294 81 283 Intangible assets 8 115 5 355 Software 31 8 115 5 355 Total 203 632 126 870 Buildings and other fixed structures comprise the Expanded Public Works Programme (EPWP) infrastructure projects. These are classified as capital work-in-progress during construction and will be transferred to the project beneficiaries when the construction is complete subject to the requisite processes and documentation in terms of legislation. Unitary payments in respect of Finance Lease Building; The Department entered into a Public Private Partnership with Imvelo Concession Company (Pty) Ltd (RF) to erect a Green Building. - Machinery and equipment consist mainly of construction and maintenance equipment amounting to R10, 177m for heavy commercial vehicles for waste collection and land fill management fleet, trucks amounting to R87,593m (R46,295m;2021/22) mainly for waste collection and land fill management fleet and yellow fleet, landfill compactors for various municipalities, and motor vehicles amounting to R32, 218m (R2,101m; 2021/22) mainly for the official use by the Branch: Forestry Management to ensure continuity in the operations of the branch. - Intangible capital assets include cost relating to design, development, and implementation of the systems. DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 244 9.1 Analysis of funds utilised to acquire capital assets – 2022/23 Voted funds Aid assistance Total R’000 R’000 R’000 Tangible assets 195 517 - 195 517 Buildings and other fixed structures 49 223 - 49 223 Machinery and equipment 146 394 - 146 294 Intangible assets 8 115 - 8 115 Software 8 115 - 8 115 Total 203 632 - 203 632 9.2 Analysis of funds utilised to acquire capital assets – 2021/22 Voted funds Aid assistance Total R’000 R’000 R’000 Tangible capital assets 121 515 - 121 515 Buildings and other fixed structures 40 232 - 40 232 Machinery and equipment 81 283 - 81 283 Intangible capital assets 5 355 - 5 355 Software 5 355 - 5 355 Total 126 870 - 126 870 9.3 Finance lease expenditure included in Expenditure for capital assets Note 2022/23 2021/22 R’000 R’000 Tangible capital assets Buildings and other fixed structures 7 206 6 420 Total 7 206 6 420 ANNUAL REPORT 2022/23 245 10. Cash and cash equivalents Note 2022/23 2021/22 R’000 R’000 Consolidated Paymaster General Account 128 483 1 540 668 Disbursements 185 - Cash on hand 269 269 Cash with commercial banks (Local) 5 979 66 887 Total 134 916 1 607 824 Consolidated Paymaster general consists of a favourable bank balance of R187, 373m (2021/22; R1, 672 916b) and other items balancing to R58, 890m (2021/22; R132, 248m). - Investment domestic refers to cash with local commercial bank (ABSA) amounting to R5,9m (R66,8m ) 11. Prepayments and advances Note 2022/23 2021/22 R’000 R’000 Travel and subsistence 11.1 182 270 Total 182 270 Analysis of Total Prepayments and advances Current Prepayments and advances 182 270 Total 182 11.1 Advances paid (Not expensed) Balance as at 1 April Less: Amount expensed Add: Current Year Balance as at 31 March Note Add or Less: Other 2022 in current year advances 2023 11 R’000 R’000 R’000 R’000 R’000 National departments - (5 500) - 5 500 - Total - (5 500) - 5 500 - The advances paid comprise payments to DIRCO for international travel-related bookings. Balance as at 1 April Less: Amount expensed Add: Current Year Balance as at 31 March Note Add or Less: Other 2021 in current year advances 2022 R’000 R’000 R’000 R’000 R’000 National departments 11 - (4 884) - 4 884 - Total - (4 884) - 4 884 - DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 246 11.2 Prepayments (Expensed) Amount as at 1 April Less: Received in the Add: Current Year Amount as at 31 March Note Add or Less: Other 2022 current year prepayments 2023 R’000 R’000 R’000 R’000 R’000 Goods and services 40 179 (329 428) (4 511) 386 447 92 687 Capital assets 18 603 (10 420) 1 11 075 19 259 Total 58 782 (339 848) (4 510) 397 522 111 946 Amount as at 1 April Less: Received in the Add: Current Year Amount as at 31 March Note Add or Less: Other 2021 current year prepayments 2022 R’000 R’000 R’000 R’000 R’000 Goods and services 44 288 (295 091) (4 076) 295 058 40 179 Capital assets 31 786 (21 760) 775 7 802 18 603 Total 76 074 (316 851) (3 301) 302 860 58 782 11.3 Advances paid (Expensed) Amount as at 1 April Less: Received in the Add: Current Year Amount as at 31 March Note Add or Less: Other 2022 current year advances 2023 R’000 R’000 R’000 R’000 R’000 National departments 5 458 (8 574) (171) 10 000 6 713 Public entities 465 260 (641 495) 12 153 618 650 454 568 Total 470 718 (650 069) 11 982 628 650 461 281 Amount as at 1 April Less: Received in the Add: Current Year Amount as at 31 March Note Add or Less: Other 2021 current year advances 2022 R’000 R’000 R’000 R’000 R’000 National departments 6 414 (5 921) (35) 5 000 5 458 Public entities 615 297 (346 379) (8 659) 205 001 465 260 Total 621 711 (352 300) (8 694) 210 001 470 718 ANNUAL REPORT 2022/23 247 12. Receivables 2022/23 2021/22 Current Non-current Total Current Non-current Total Note R’000 R’000 R’000 R’000 R’000 R’000 Claims recoverable 12.1 22 679 20 772 43 451 10 079 19 939 30 018 Trade receivables 12.2 - 13 797 13 797 - 13 148 13 148 Recoverable expenditure 12.3 5 536 5 917 11 453 1 320 6 599 7 919 Staff debt 12.4 285 2 314 2 599 772 2 022 2 794 Other receivables 12.5 319 - 319 147 8 981 9 128 Total 28 819 42 800 71 619 12 318 50 689 63 007 12.1 Claims recoverable Note 2022/23 2021/22 12 R’000 R’000 National departments 2 027 6 017 Provincial departments - 246 Foreign governments 524 470 Public entities 35 721 18 106 Local governments 5 179 5 179 Total 43 451 30 018 The figure for National departments includes an amount of R1,9m (R6m; 2021/22) largely for the former Department of Agriculture Forestry and Fisheries in respect of court order settlement claim and R37 thousand for salary claim (transfer) from Dept. of Social Development. The figure for public entities includes an amount of R9,6m (R18,1m;2020/21) for the National Research Foundation (NRF) in respect of scientists’ salaries for the South African Antarctica Programme (SANAP), Marine Living Resources Fund for Marine Anti-Poaching as well as other expenditure relating claims amounting to R26m and SITA for IT related cost amounting to R25 thousand. The local governments figure includes an amount of R5,1m for funds collected by PCO during COP17/CITES 2016. DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 248 12.2 Trade receivables Note 2022/23 2021/22 12 R’000 R’000 Implementing Agents 13 442 12 793 Recycling Projects 190 190 Working-on-Fire 165 165 Total 13 797 13 148 Implementing Agents represent debt handed over for collection by legal section. 12.3 Recoverable expenditure Note 2022/23 2021/22 12 R’000 R’000 Departmental Suspense Account 11 439 7 919 Control Account 14 - Total 11 453 7 919 The Department Suspense Account includes an amount of R6,8m (R7,9m; 2021/22) in respect of damaged vehicles. 12.4 Staff debt Note 2022/23 2021/22 12 R’000 R’000 Debt Accounts 2 597 2 786 Salary Tax Debt 2 8 Total 2 599 2 794 Debt account consists mainly of Leave without payment, Salary overpayment, Bursary debt and Other. 12.5 Other receivables Note 2022/23 2021/22 12 R’000 R’000 Fruitless and wasteful expenditure 319 8 971 Salary related - 157 Total 319 9 128 ANNUAL REPORT 2022/23 249 12.6 Impairment of receivables Note 2022/23 2021/22 R’000 R’000 Estimate of impairment of receivables 22 800 21 464 Total 22 800 21 464 Included in 2022/23 is an amount of R13,887m (R13,222m; 2021/22) for departmental debts impairments mainly for bursary debt, salary overpayment and leave without payment and R5,1m for claims recoverable (City of Johannesburg) for both financial years and damaged vehicles R3, 735m; 2022/23 (R3, 063m; 2021/22 ). 13. Voted funds to be surrendered to the Revenue Fund Note 2022/23 2021/22 R’000 R’000 Opening balance 1 609 724 1 637 785 Transfer from statement of financial performance 168 022 1 609 724 Voted funds not requested/not received 1.1 - - Paid during the year (1 609 724) (1 637 785) Closing balance 168 022 1 609 724 14. Departmental revenue and NRF Receipts to be surrendered to the Revenue Fund Note 2022/23 2021/22 R’000 R’000 Opening balance 1 904 5 233 Transfer from Statement of Financial Performance 86 861 99 718 Paid during the year (87 409) (103 047) Closing balance 1 356 1 904 15. Payables – current Note 2022/23 2021/22 R’000 R’000 Other payables 15.2 50 200 95 114 Total 50 200 95 114 DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 250 15.1 Other payables Note 2022/23 2021/22 15 R’000 R’000 Salary Related Payables 775 476 Departmental Suspense Account 36 858 94 550 Control Account 12 567 88 Total 50 200 95 114 Included in Departmental suspense is an amount of R5,9m (R66,9m; 2021/22) cash with the local bank, interface took place in April 2023 and the revenue allocated to relevant cost centre in 2023/24 financial year and the remaining balance of R30,879m consists of payable advances to Public Entities, Public Corporations and Private Entities. Control account includes mainly R12 558m disallowance account. Salary related Payables mainly consists of Salary: Income Tax and GEHS refund amounting to R334 thousand and R436 thousand respectively. 16. Net cash flow available from operating activities Note 2022/23 2021/22 R’000 R’000 Net surplus/(deficit) as per Statement of Financial Performance 241 106 1 720 849 Add back non cash/cash movements not deemed operating activities (1 554 926) (1 605 699) (Increase)/decrease in receivables (16 501) 5 655 (Increase)/decrease in prepayments and advances 88 (191) Increase/(decrease) in payables – current (44 914) 14 872 Proceeds from sale of capital assets (98) (27) Expenditure on capital assets 203 632 126 870 Surrenders to Revenue Fund (1 697 133) (1 740 832) Surrenders to RDP Fund/Donor - (12 046) Voted funds not requested/not received - - Net cash flow generated by operating activities (1 313 820) 115 150 ANNUAL REPORT 2022/23 251 17. Reconciliation of cash and cash equivalents for cash flow purposes Note 2022/23 2021/22 R’000 R’000 Consolidated Paymaster General account 128 483 1 540 668 Disbursements 185 - Cash on hand 269 269 Cash with commercial banks (Local) 5 979 66 887 Total 134 916 1 607 824 18. Contingent liabilities and contingent assets 18.1 Contingent liabilities Note 2022/23 2021/22 R’000 R’000 Liable to Claims against the department Annex 3A 1 073 534 1 086 046 Intergovernmental payables (unconfirmed balances) Annex 5 1 144 122 773 Total 1 074 678 1 208 819 Claims against the department consist of liabilities incurred during the year amounting to R23 794m and intergovernmental payable consists of unconfirmed balance amounting to R601 thousand and R543 thousand for Department of Justice and Constitutional Development and SITA respectively. 18.2 Contingent assets Note 2022/23 2021/22 R’000 R’000 Nature of contingent asset Section 24G and Section 22A Administration fines 2 700 2 700 Claims against a service provider/employee 104 120 100 800 Total 106 820 103 500 2022/23 financial year includes claims against a service provider mainly consisting of amounts paid but the service providers did not meet their contractual obligations amounting to R3 319m. 2021/22 financial year includes Section 24G Administration fines and the Atmospheric Emission Licence fine in terms of Section 22A reflecting rectification fines issued in terms the NEMA for the unlawful commencement of activities requiring an environmental authorisation amounting to R2,700m, claims against a service provider and employee mainly consist of amounts paid but the service providers did not meet their contractual obligations amounting to R100 800m DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 252 19. Capital commitments Note 2022/23 2021/22 R’000 R’000 Buildings and other fixed structures 170 856 222 778 Machinery and equipment 26 975 86 730 Intangible assets 2 255 9 528 Total 200 086 319 036 Most of the capital commitments relate to the infrastructure projects related to the Expanded Public Works Programme comprising of R170, 8m (R223, 9m; 2020/2022) classified as dwellings, non- residential buildings and other fixed structures. Software comprises of commitments in respect of Design, develop and implement systems amounting R2,3m (R9, 5m; 2021/2022) for the South African Waste Information System (SAWIC), South African National Space Agency (SANSA) for access to the secure watch platform. Other machinery and equipment commitments comprise mainly of R9m in respect of Transport assets and R15m for Other machinery and equipment and R2m for Computer equipment. 20. Accruals and payables not recognised 20.1 Accruals 2022/23 2021/22 R’000 R’000 Listed by economic classification 30 Days 30+ Days Total Total Goods and services 73 289 14 028 87 317 71 863 Capital assets - - - 105 Other 266 - 266 1 320 Total 73 555 14 028 87 583 73 288 ANNUAL REPORT 2022/23 253 Note 2022/23 2021/22 R’000 R’000 Listed by programme level Administration 29 528 21 654 Regulatory Compliance and Sector Monitoring 14 200 14 846 Oceans and Coasts 6 772 1 834 Climate Change, Air Quality and Sustainable Development 471 270 Biodiversity and Conservation 414 622 Environmental Programmes 6181 16 877 Chemicals and Waste Management 26 808 11 308 Forestry Management 1 971 3 957 Fisheries Management 972 601 Other (Assets & Liabilities) 266 1 319 Total 87 583 73 288 Administration: The current and previous year accruals comprise mainly of an amount of R15m (R14m) for the leasing of the PPP building (unitary payments) and R1,3m (R2m) for Auditor-General of South Africa i.r.o regularity audit for the 2021/22 financial year and R3,9m for SITA for IT related expenditure. Regulatory Compliance and Sector Monitoring: The current year mainly includes claims from Department of Justice and Constitutional Development for state attorney’s legal fees. Chemicals and Waste Management: Comprise mainly the Waste Management Bureau tyre initiative programme excluding invoices under investigation with regards to services rendered/goods received. Environmental Programmes: Mainly for EPWP project in respect of Youth Employment Programme and NRM for the implementation of wetland rehabilitation projects. 20.2 Payables not recognised 2022/23 2021/22 R’000 R’000 Listed by economic classification 30 Days 30+ Days Total Total Goods and services 10 894 5 121 16 015 32 099 Capital assets - - - 149 Other - - - 1 Total 10 894 5 121 16 015 32 249 DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 254 Note 2022/23 2021/22 R’000 R’000 Listed by programme level Administration 1 409 268 Regulatory Compliance and Sector Monitoring 712 - Oceans and Coasts 565 1 855 Climate Change, Air Quality and Sustainable Development 421 1 Biodiversity and Conservation 1 350 1 Environmental Programmes 1 244 6 522 Chemicals and Waste Management 9 506 22 418 Forestry Management 760 687 Fisheries Management 48 496 Other (Assets & Liabilities) - 1 Total 16 015 32 249 Chemicals and Waste Management: Comprise mainly the Waste Management Bureau tyre initiative programme excluding invoices under investigation with regards to services rendered/goods received. Environmental Programmes: Mainly for EPWP project in respect of Youth Employment Programme and NRM for the implementation of wetland rehabilitation projects. Note 2022/23 2021/22 Included in the above totals are the following: R’000 R’000 Confirmed balances with other departments Annex 5 1 652 253 Confirmed balances with other government entities Annex 5 7 688 - Total 9 340 253 Confirmed balance with departments excluded an amount of R307 thousand for salaries related inter-departmental payables and an amount of R1,3m for cash in transit (paid by 31 March 2023) for Department of Government Printing Works and Department of Justice and Constitutional Development. ANNUAL REPORT 2022/23 255 21. Employee benefits Note 2022/23 2021/22 R’000 R’000 Leave entitlement 135 810 144 485 Service bonus 52 002 50 986 Capped leave 66 731 74 380 Other 3 291 3 117 Total 257 834 272 968 Other represents the portion of long service awards and long service recognition as follows: 1. 50 employees qualified for 20 years continued service cash award of R10 899 each (R545 thousand). 2. 86 employees qualified for 30 years continued service cash award of R21 797 each (R1, 875m). 3. 30 employees qualified for 40 years continued service cash award of R29 064 each (R872 thousand). Negative leave credits amounting to R408 thousand were offset against leave entitlement. The amount was a result of pro-rata calculation of leave taken by employees as of 31 March 2023 over and above their entitlement. 22. Lease commitments 22.1 Operating leases Specialised military Buildings and other fixed Land Machinery and equipment Total 2022/23 equipment structures R’000 R’000 R’000 R’000 R’000 Not later than 1 year - 22 600 145 435 7 822 175 857 Later than 1 year and not later - 7 327 240 213 8 268 255 808 than 5 years Total lease commitments - 29 927 385 648 16 090 431 665 Specialised military Buildings and other fixed Land Machinery and equipment Total 2021/22 equipment structures R’000 R’000 R’000 R’000 R’000 Not later than 1 year - 36 358 142 998 8 073 187 429 Later than 1 year and not later - 25 209 326 477 14 289 365 975 than 5 years Total lease commitments - 61 567 469 475 22 362 553 404 DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 256 The escalation clauses of the buildings leased by the department range from 5.5% to 10% and 5% to 11% for Temporary Storage and Pre-processing of Waste Tyre Facilities and departmental accommodation. -The department continues on a month-to-month basis for 13 Temporary Storage and Pre-processing of Waste Tyre Facilities, however, the contract will not be renewed. The potential commitment amounts to R14 007m per annum. 23. Accrued departmental revenue Note 2022/23 2021/22 R’000 R’000 Fines, penalties and forfeits 50 50 Interest, dividends and rent on land 21 014 25 476 Total 21 064 25 526 23.1 Analysis of accrued departmental revenue Note 2022/23 2021/22 R’000 R’000 Opening balance 25 526 24 610 Less: amounts received 11 506 14 850 Add: amounts recorded 7 044 15 766 Closing balance 21 064 25 526 Accrued departmental revenue comprises of amounts owed by implementing entities for interest earned on Departmental funds, interest earned on the Nedbank account. 24. Unauthorised, Irregular and Fruitless and wasteful expenditure Note 2022/23 2021/22 R’000 R’000 Irregular expenditure 550 623 912 530 Fruitless and wasteful expenditure 1 008 62 936 Total 551 631 975 466 Reported in the 2022/23 FY figures is the expenditure relating the current year, due to changes in MCS. During the audit of financial statements a possible irregular expenditure amounting to R175 million was discovered by the auditors. The possible irregular expenditure will be subjected to assessment and determination test as per Chapter 4 of the PFMA Compliance and Reporting Framework. ANNUAL REPORT 2022/23 257 25. Related party transactions Note 2022/23 2021/22 Payments made R’000 R’000 Compensation of employees 314 536 310 040 Goods and services 91 945 62 416 Transfers and subsidies 979 204 Total 407 460 372 660 The Department of Forestry, Fisheries and the Environment’s portfolio consists of 5 public entities, although transfers, grants and goods and services transactions occur between the entities, only those transactions at less than market value should be disclosed in terms of MCS as described below: Schedule 3A: South African Biodiversity Institute (SANBI) – Hiring of conference facilities & accommodation at discounted rates. Schedule 3A: MLRF – Rental of building, Rates & taxes paid by the department on behalf of Fisheries, in-kind services (compensation of employees) and leave gratuity payment (transfers; social contributions) and IT services expenditure utilized by MLRF and paid by the Department. The Director-General of the department is the Accounting Authority of this Entity. Schedule 3A: South African National Parks (SANParks) – None. Schedule 3A: South African Weather Service (SAWS) – None. Schedule 3A: iSimangaliso Wetland Park Authority – None. 26. Key management personnel No. of Individuals 2022/23 2021/22 R’000 R’000 Political office bearers (provide detail below) 2 4 602 4 423 Officials: Level 15 & 16 14 23 898 24 102 Level 14 63 72 087 75 962 Total 79 100 587 104 487 Key management personnel include the Ministers and Deputy Ministers responsible for the department, as well as the Director-General, the Deputy Director-Generals, the Chief Financial Officer (CFO) and all other officials who have the authority and responsibility for planning, directing and controlling the activities of the department from salary level 14 upwards. DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 258 27. Public Private Partnership Note 2022/23 2021/22 R’000 R’000 Unitary fee paid 179 274 169 698 Fixed component 50 353 50 353 Indexed component 128 921 119 345 Analysis of indexed component 128 921 119 345 Goods and services (excluding lease payments) 128 921 119 345 With effect from the Service Commencement Date and in respect of each Service Month, the Department pays the Unitary Payment for each financial year, in monthly instalments calculated as per the PPP agreement directive. The Base Case Financial Model that was approved and signed by the Department, the Private Party and the Lenders at the Effective Date of 26 June 2012 forms the base of the calculations. The Unitary Payment is indexed at CPI. The fixed component is calculated using the principal debt at commencement date compounded using the all-in rate of 11,58%. On 25 June 2012, Imvelo entered into an International Swaps and Derivatives Association, Inc. 2002 Master Agreement (ISDA Master Agreement) with Absa Bank Limited (Absa).  At the same time Imvelo concluded Interest Rate Swap transactions with Absa, Contract 21494966, that formed part of the ISDA Master Agreement. Under this arrangement, Imvelo is a fixed rate payer at a fixed rate of 8.48% and Absa is the floating rate payer of a ZAR- JIBAR-SAFEX 3 months maturity which was at 7.575% on 31 March 2023. The Interest Swap reset, and settlement dates are semi-annually, March and September each year. The termination date for the above contract is 30 March 2032. Below are the current pricing on the senior debt and hedge facility.   Senior Debt Facility Hedge Facility Margin 1,20% 1,20% Liquidity Premium 1,65% 1,65% Regulatory Cost 0,25% 0,25% 3m Jibar/Hedge rate @ 31 March 2023 7,58% 8,48% All-in Rate (cost of debt) 10,68% 11,58% When evaluating the total debt related exposure of the company, during the operations phase, the hedge facility also needs to be factored into the calculation, the debt All in rate then becomes 11.58%; being the Hedge fixed rate of 8.48% plus the margins imposed by the lender totalling 3.10%. The indexed component is calculated as the unitary payment less the fixed component. ANNUAL REPORT 2022/23 259 27.1 Analysis of the Indexed Component of the contract fees paid The indexed component consists of the following: Note 2022/23 2021/22 R’000 R’000 Analysis of indexed component 128 921 119 345 Goods and Services (excluding lease payments) 128 921 119 345 Total indexed component 128 921 119 345 The unitary payment is indexed to CPI as contemplated under clause 4 of the PPP Agreement. In terms of clause 4, indexed to CPI is made with reference to the most recent publication of the CPI. Statistics South Africa normally release the CPI for March during April each year. This is subject to adjustments for any rebasing or recalculation thereof in accordance with the formula contained in Schedule 7 of the PPP Agreement. 27.2 Significant terms of the PPP arrangement, including parties to the agreement and date of commencement. The Department entered into a Public Private Partnership with Imvelo Concession Company (Pty) Ltd (RF) for the financing, design, construction, operation and maintenance of office accommodation for the Department. Construction commenced on 02 July 2012 and was completed on 15 July 2014. The Independent Certifier issued the completion certificate on 15 July 2014. Relocation of the Department to the campus commenced on 16 July 2014 and was completed on 31 July 2014. The Imvelo Concession Company issued the Availability Certificate to the Department on 31 July 2014. As a result of the consequence of a relief event granted by the Department to Imvelo, the Service Commencement Date became 01 August 2014, the date from which the Department was entitled to exercise its right to use the asset. The expiry date has the same meaning as ascribed under the PPPA, being 1 August 2039. The Imvelo Concession Company (Pty) Ltd consists of the following shareholders: Aveng Africa Proprietary Limited: 30%, Old Mutual Life Assurance Company (South Africa) Limited: 30%, WIP International Investments Proprietary Limited: 20%, Tiso Project No 1 Proprietary Limited: 20%. 27.3 PPP Commitments 2022/23 2021/22 Buildings and other fixed structures R’000 R’000 Not later than 1 year 193 052 180 211 Later than 1 year and not later than 5 years 1 140 051 1 033 296 Later than five years 3 616 862 3 413 055 Total commitments 4 949 965 4 626 562 DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 260 The agreement entered into concerning the planning, construction, management of Office Accommodation with Green Building status for the Department is regarded as a financial lease agreement. The following reasons for disclosure as a financial lease: (a) the lease transfers ownership of the asset to the lessee by the end of the lease term; (b) the asset is transferred to the Department at any time of termination of the agreement or expiry of the Project Term. (c) the lease term is for the major part of the economic life of the asset and in this case for a period of 25 years until the agreement expire on which date the asset is transferred to the department; (d) the leased asset in the form of a declared Green Building for the Environmental Department is of a specialised nature to fit within the mandate of the specific Government Department; and (e) the leased assets cannot easily be replaced by another asset. An assumption at 5.6% CPI escalation for the 2025 Financial Year until the end of the Concession was applied. The 5.6% CPI is based on the forecast CPI rate that was applied in the Financial Close Base Case Model of 26 June 2012, which forms part of the Project Documents. Imvelo Concession Company (Pty) Ltd as per indication provided the information. 27.4 Nature and extent of the PPP Agreement Rights to use specified assets: Assets are managed and maintained by Imvelo Concession Company (Pty) Ltd for the duration of the contract period. On termination of the PPP Agreement the Private Party will deliver to the Department the Project Site, Project Assets and the Facilities in the state required. On termination of the PPP Agreement all intellectual property developed exclusively for the project must be handed over to the department. Intellectual Property Rights: All rights in data, reports, models, specifications and/or other material produced by or on behalf of the Department shall vest in and be the property of the State and Imvelo Concession Company (Pty) Ltd is granted an irrevocable and royalty-free license to use such material for the purpose of the agreement. Obligations to provide or rights to expect provisions of services: Imvelo Concession Company (Pty) Ltd responsible for the following: • Maintenance and operation of Environment for the contract period till 31 July 2039 • Providing a Service Desk • Cleaning and Hygiene in the building • Pest Control • Waste Management and Recycling • Landscape, Gardens and Ground Maintenance • In-house plants and care • Conference Room, Meeting Rooms and Auditorium Management • Parking Management • Car Wash and valet Services • Physical Security Services • Value Added Services • Building and other Project related insurance Department responsible for the following: • Payment to Imvelo Concession Company (Pty) Ltd on a monthly basis • Manage the agreement on a monthly basis ANNUAL REPORT 2022/23 261 Obligations to deliver or rights to receive specified assets at the end of the concession period: All assets including equipment become the property of the State after expiry of the agreement period. Other rights and obligations: All maintenance obligations are the responsibility of Imvelo Concession Company (Pty) Ltd for the entire agreement period. Commitments: The Department is committed to pay the indexed fee for the remainder of the PPP agreement. The indexed fee is committed until 31 July 2039. 28. Provisions Note 2022/23 2021/22 R’000 R’000 Claims 18 397 18 397 EPIP Retentions 37 748 35 743 Total 56 145 54 140 28.1 Reconciliation of movement in provisions – 2022/23 Naledi Office Auth Bhyat Motors PH Kuhn, VAI & Arcelormittal Implementing Agents Total provisions SA R’000 R’000 R’000 R’000 R’000 Opening balance 53 40 18 304 35 743 54 140 Increase/decrease in provision - - 2 005 2 005 Closing balance 53 40 18 304 37 748 56 145 Reconciliation of movement in provisions – 2021/22 PH Kuhn, VAI & Arcelormittal Naledi Office Aut Bhyat Motors Implementing Agents Total provisions SA R’000 R’000 R’000 R’000 R’000 Opening balance 53 40 18 304 34 446 52 843 Increase in provision - - - 1 297 1 297 Closing balance 53 40 18 304 35 743 54 140 DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 262 "Naledi Office Automation: A claim for outstanding rental on various Photostat machines (Letter of Demand). The Department has agreed to pay an amount of R52 928 in full and final settlement of the claim. The plaintiff has accepted. The plaintiff was requested to revise certain invoices. However, no response has been received from the claimant. Bhyat Motors: Claim for outstanding rental. Plaintiff’s Attorney acknowledged receipt of the settlement offer; however, no response has been forthcoming regarding either acceptance or rejection of offer. Matter has been dormant with no new developments and a provision has been raised. H Kuhn: Claim for damages resulting from motor vehicle accident between a plaintiff and Government official. A consultation with the official was held and her written statement furnished. A memo is being prepared for settlement offer. ArcelorMittal SA: a review application relating to the dismissal of an appeal by the Minister lodged by the application against the directive issued to ArcelorMittal SA in terms of Section 28(4) of NEMA, as well as the decision to dismiss its objection to the compliance notice issued by the department in terms of Section 31L. Both decisions were reviewed and set aside, and the department was ordered to pay the legal costs. Value Added Industries (VAI): The Close-out of the VAI project necessitated the allocation of a contingent reserve in the amount of R16,3 million to safeguard the assets. Implementing Entities: Project retentions in respect of Implementation Agents for Expanded Public Works Programme (EPWP) infrastructure projects, amounts are settled once the project is signed off as completed and accounted for as Payments for Capital Expenditure when settled." 29. Non-adjusting events after reporting date 2022/23 Nature of event R’000 Veld fire at the depot: Biesiesvlei area in the North West Province - Extension of biological asset measurement period for financial year 2022/2023 and 2023/2024 Total - • On the 20 July 2023 a veld fire broke out at Biesiesvlei area under Ngaka Modiri Molema District Municipality in the North West Province. Due to strong winds the veld fire spread several kilometres to reach the Biesiesvlei Waste Bureau tyre depot wherein about 70% of the waste tyres were destroyed by the fire. • The officials from DFFE and the depot operator managed to remove all assets to safety before the fire can reach the deport and as such no assets were destroyed by the fire. The department is unable to estimate any financial implications directly attributed the department as the depot operator has an insurance cover in place for occurrence of fire damages. • The Forestry function was transferred from the Department of Agricultural Land Reform and Rural Development (DALRRD) to the DFFE and the measurement period was determined to end by 31 March 2022. The measurement period means the period granted to the Departments to obtain relevant information about biological assets amount to be recorded in the assets register for DFFE. The Department was granted an extension of measurement period for biological assets for financial year 2022/2023 and 2023/2024. The extension was granted by National Treasury in accordance with section 79 of the PFMA and section 19.27 of Modified Cash Standards (MCS) ANNUAL REPORT 2022/23 263 30. Movable Tangible Capital Assets MOVEMENT IN MOVABLE TANGIBLE CAPITAL ASSETS PER ASSET REGISTER FOR THE YEAR ENDED 31 MARCH 2023 Opening balance Value adjustments Additions Disposals Closing Balance R’000 R’000 R’000 R’000 R’000 HERITAGE ASSETS 275 - - - 275 Heritage assets 275 - - - 275 MACHINERY AND EQUIPMENT 2 465 569 - 152 443 114 774 2 503 238 Transport assets 1 909 586 - 120 295 109 820 1 920 060 Computer equipment 146 893 - 826 2 900 144 819 Furniture and office equipment 29 797 - 429 5 30 220 Other machinery and equipment 379 294 - 30 893 2 049 408 137 BIOLOGICAL ASSETS 615 459 - 9 213 7 095 617 577 Biological assets 615 459 9 213 7 095 617 577 TOTAL 3 081 303 - 161 656 121 869 3 121 090 Disposals consists mainly of transfer of of heavy commercial vehicles for waste collection and land fill management fleet, trucks for waste collection and land fill management fleet and yellow fleet, landfill compactors to various municipalities and the opening balance includes an amount of R4 789m for disposals under investigations. The Forestry function was transferred from the Department of Agricultural Land Reform and Rural Development (DALRRD) to the DFFE and the measurement period was determined to end by 31 March 2022. The measurement period means the period granted to the Departments to obtain relevant information about biological assets amount to be recorded in the assets register for DFFE. The Department was granted an extension of measurement period for biological assets for financial year 2022/2023 and 2023/2024. The extension was granted by National Treasury in accordance with section 79 of the PFMA and section 19.27 of Modified Cash Standards (MCS) 30.1 Movement for 2021/22 MOVEMENT IN TANGIBLE CAPITAL ASSETS PER ASSET REGISTER FOR THE YEAR ENDED 31 MARCH 2022 Opening balance Prior period error Additions Disposals Closing Balance R’000 R’000 R’000 R’000 R’000 HERITAGE ASSETS 275 - - - 275 Heritage assets 275 - - - 275 MACHINERY AND EQUIPMENT 2 345 184 (3 861) 130 915 (6 669) 2 465 569 Transport assets 1 837 797 - 71 842 (53) 1 909 586 Computer equipment 116 743 - 35 222 (5 072) 146 893 Furniture and office equipment 25 320 - 4 839 (362) 29 797 Other machinery and equipment 365 324 (3 861) 19 012 (1 181) 379 294 BIOLOGICAL ASSETS 688 359 (75 464) 2 564 - 615 459 Biological assets 688 359 (75 464) 2 564 - 615 459 TOTAL 3 033 818 (75 325) 133 479 (6 669) 3 081 303 DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 264 30.1.1 Prior period error Note 2021/22 R’000 Relating to 2021/22 (79 325) Overstatement of Biological Assets (75 567) Overstatement of Machinery and Equipment (3 861) Understatement of Indigenous plants 103 Total prior period errors (79 325) The prior period error results from an overstatement in the opening balance of the biological assets valuation and machinery and equipment as well as understatement of indigenous plants. 30.1.2 Minor assets MOVEMENT IN MINOR ASSETS PER THE ASSET REGISTER FOR THE YEAR ENDED AS AT 31 MARCH 2023 Specialised military Machinery and Intangible assets Heritage assets Biological assets Total assets equipment R’000 R’000 R’000 R’000 R’000 R’000 Opening balance - 182 - 38 546 - 38 728 Additions - - - 488 - 488 Disposals 80 - 80 TOTAL - 182 - 38 954 - 39 136 Specialised military Intangible assets Heritage assets Machinery and Biological assets Total assets equipment Number of R1 minor - - 8 010 - 8 010 assets Number of minor assets 98 1 17 539 - 17 638 at cost TOTAL 98 1 25 549 - 25 648 ANNUAL REPORT 2022/23 265 Minor assets MOVEMENT IN MINOR CAPITAL ASSETS PER THE ASSET REGISTER FOR THE YEAR ENDED 31 MARCH 2022 Specialised Machinery and Intangible assets Heritage assets Biological assets Total military assets equipment Opening balance - 182 - 33 407 - 33 589 Prior period error - - - - - - Additions - - - 5 259 - 5 259 Disposals - - - 120 - 120 TOTAL MINOR CAPITAL ASSETS - 182 - 38 546 - 38 728 Specialised Machinery and Intangible assets Heritage assets Biological assets Total military assets equipment Number of R1 minor assets 16 - - 7 935 - 7 951 Number of minor assets at cost - 91 1 17 359 - 17 451 TOTAL NUMBER OF MINOR CAPITAL 16 91 1 25 294 - 25 402 ASSETS 31. Intangible Capital Assets MOVEMENT IN INTANGIBLE CAPITAL ASSETS PER ASSET REGISTER FOR THE YEAR ENDED 31 MARCH 2023 Opening balance Additions Disposals Closing Balance R’000 R’000 R’000 R’000 SOFTWARE 227 165 572 - 227 737 PATENTS, LICENCES, COPYRIGHT, BRAND 123 - - 123 NAMES, TRADEMARKS TOTAL INTANGIBLE CAPITAL ASSETS 227 288 572 - 227 860 31.1 Movement for 2021/22 MOVEMENT IN INTANGIBLE CAPITAL ASSETS PER ASSET REGISTER FOR THE YEAR ENDED 31 MARCH 2022 Opening balance Prior period error Additions Disposals Closing Balance R’000 R’000 R’000 R’000 R’000 SOFTWARE 186 316 (5 247) 46 101 5 227 165 PATENTS, LICENCES, COPYRIGHT, BRAND 123 - - - 123 NAMES, TRADEMARKS TOTAL INTANGIBLE CAPITAL ASSETS 186 439 (5 247) 46 101 5 227 288 DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 266 31.1.1 Prior period error Note 2021/22 R’000 Nature of prior period error Relating to 2021/22 (5 277) Total (5 277) The prior period error results from the overstatement of software. 31.2 Intangible capital assets: Capital Work-in-progress CAPITAL WORK-IN-PROGRESS FOR THE YEAR ENDED 31 MARCH 2023 Ready for use (Assets Opening balance Closing balance Note Current Year WIP to the AR) / Contracts 1 April 2022 31 March 2023 terminated Annexure 7 R’000 R’000 R’000 R’000 Intangible assets 993 7 543 - - 8 536 Total 993 7 543 - - 8 536 Capital Work-in-progress CAPITAL WORK-IN-PROGRESS AS AT 31 MARCH 2022 Ready for use (Assets to the Closing balance Note Opening balance Prior period error Current Year WIP AR) / Contracts 31 March 2022 terminated Annexure 7 R’000 R’000 R’000 R’000 R’000 Intangible assets 993 - - - 993 Total 993 - - - 993 ANNUAL REPORT 2022/23 267 32. Immovable Tangible Capital Assets MOVEMENT IN IMMOVABLE TANGIBLE CAPITAL ASSETS PER ASSET REGISTER FOR THE YEAR ENDED 31 MARCH 2023 Opening balance Additions Disposals Closing Balance R’000 R’000 R’000 R’000 BUILDINGS AND OTHER FIXED 55 231 1 240 - 56 471 STRUCTURES Dwellings 20 241 - - 20 241 Non-residential buildings - - - - Other fixed structures 34 990 1 240 - 36 230 TOTAL IMMOVABLE TANGIBLE CAPITAL 55 231 1 240 - 56 471 ASSETS ADDITIONS TO IMMOVABLE TANGIBLE CAPITAL ASSETS PER ASSET REGISTER FOR THE YEAR ENDED 31 MARCH 2023 (Capital work-in-progress Received current, not paid Cash Non-cash current costs and finance (Paid current year, received Total lease payments) prior year R’000 R’000 R’000 R’000 R’000 Buildings and other fixed 10 694 1 240 (10 694) - 1 240 structures Dwellings - - - - Non-residential buildings - - - - Other fixed structures 10 694 1 240 (10 694) - 1 240 Immovable Assets (Infrastructure projects) includes 56 completed and 18 cancelled projects. All these projects have been fair valued by the Office of the Valuer General SA (OVG). The OVG was appointed to assist with the valuation of the infrastructure projects as part of their mandate to assist with property valuations. All completed assets consists of old infrastructure assets under the advance payment method. DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 268 32.1 Movement for 2021/22 MOVEMENT IN IMMOVABLE TANGIBLE CAPITAL ASSETS PER ASSET REGISTER FOR THE YEAR ENDED 31 MARCH 2022 Opening balance Prior period error Additions Disposals Closing Balance R’000 R’000 R’000 R’000 R’000 Buildings and other fixed 32 074 55 224 2 208 34 275 55 231 structures Dwellings 32 074 20 234 2 208 34 275 20 241 Non-residential buildings - - - - - Other fixed structures - 34 990 - - 34 990 TOTAL 32 074 55 224 2 208 34 275 55 231 The prior period adjustment of R55, 224m is because of the revaluations done on the old infrastructure assets. As a result, the opening balance, additions as well as disposal asset amounts have been restated. Amount per PY AFS Restated amount Difference R’000 R’000 R’000 Opening balance 32 074 269 857 237 783 Additions 2 208 31 174 28 966 Disposal (34 275) (245 800) (211 525) Totals 55 224 32.1.1 Prior period error Note 2021/22 R’000 Nature of prior period error Relating to 2021/22 55 224 Fair valued projects 55 224 Total 55 224 The prior period error results from projects having been fair valued by the Office of the Valuer General SA (OVG). The OVG was appointed to assist with the valuation of the infrastructure projects as part of their mandate to assist with property valuations. Immovable tangible capital assets: Capital Work-in-progress ANNUAL REPORT 2022/23 269 32.2 CAPITAL WORK-IN-PROGRESS AS AT 31 MARCH 2023 Ready for use (Assets to the Closing balance Note Opening balance Current Year WIP AR) ) / Contracts terminated 31 March 2023 R’000 R’000 R’000 R’000 Buildings and other fixed structures Annexure 7 135 863 10 694 (1 240) 145 317 Total 135 863 10 694 (1 240) 145 317 CWIP Assets consist of 36 old infrastructure assets under the advance payment method and 54 infrastructure assets under the invoice payment method. The 36 assets have been fair valued by the Office of the Valuer General SA (OVG) and the 54 assets has been valued using invoices. CAPITAL WORK-IN-PROGRESS AS AT 31 MARCH 2022 Ready for use Closing balance Note Opening balance Prior period error Current Year WIP (Assets to the AR) ) / 31 March 2022 Contracts terminated R’000 R’000 R’000 R’000 R’000 Buildings and other fixed structures Annexure 7 156 987 (90 328) 69 204 - 135 863 TOTAL 156 987 (90 328) 69 204 - 135 863 The prior period adjustment of (R90, 328m) is because of the revaluations done on the old infrastructure assets. As a result, the opening balance, current year CWIP as well as ready for use asset amounts have been restated. Amount per PY AFS Restated amount Difference R’000 R’000 R’000 Opening balance 156 987 140 838 (16 149) Current year CWIP 69 204 26 199 (43 005) Ready for use - (31 174) (31 174) Totals (90 328) DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 270 33. Principal-agent arrangements 33.1 Department acting as the principal 2022/23 2021/22 R’000 R’000 Nedbank 185 351 Total 185 351 Nedbank: The Department appointed Nedbank as the financial institution that disburses funds to EPWP participants for a period of 5 years in a form of wage allowance. In consideration for services rendered by Nedbank the Department pays Nedbank R1,50 per transaction as commission (Charges). The Department also pays Nedbank a fixed charge per account opened in the name of the Department (Charges). Currently, there is the main account where funds are directly deposited by the Department for the payment of stipends. Once funds are deposited into the main account, the funds are transferred into sub-accounts (User accounts, such as EPIP – Account; Waste Bureau – Account; Waste-pickers – Account and Biodiversity - Account) for the payment of stipends. Each sub-account is linked to a charges account where the commission is accrued. 34. Prior period errors 34.1 Correction of prior period errors Restated Note Amount before error correction Prior period error Amount 2021/22 2021/22 2021/22 R’000 R’000 R’000 Expenditure: Good and Service 2 583 575 119 346 2 702 921 Tangible capital assets 290 148 (163 278) 126 870 Interest Paid 41 988 43 932 85 920 Net effect 2 915 711 - 2 915 711 Assets: Movable Tangible Asset 3 160 628 (79 325) 3 081 303 Prepayments 63 571 (4 789) 58 782 Advances 488 559 (17 841) 470 718 Immovable Tangible capital assets 7 55 224 55 231 WIP - Immovable Tangible capital assets 226 191 (90 328) 135 863 Intangible Capital Assets 232 535 (5 247) 227 288 Contingent Assets 75 654 27 846 103 500 Net effect 4 247 145 (114 460) 4 132 685 ANNUAL REPORT 2022/23 271 Expenditure: Goods and services, Tangible capital assets and interest Paid - The restatement is due to split of unitary payments (Finance lease: PPP) between Property management fee, lease and interest paid, which is now split between the fixed and indexed component. As a result total unitary payments is reflected as R169, 698m in line with the contractual terms. The difference between R169, 698m and R181, 706m (R12, 008m) relates to pass through costs and has been removed from the PPP note as it does not form part of the unitary payments. Assets: Prepayments and advances - The restatement is due to the population reassessment for completeness and accuracy. Immovable and WIP tangible capital assets - the prior period results from projects having been fair valued by the Office of the Valuer General SA (OVG). The OVG was appointed to assist with the valuation of the infrastructure projects as part of their mandate to assist with property valuations. Movable Tangible Asset - the prior period error results from an overstatement in the opening balance of the biological assets valuation and machinery and equipment as well as understatement of indigenous plants. Intangible Capital Assets - the prior period error results from an overstatement in the opening balance Contingent Assets - the prior period error results from an understatement in the opening balance of the claims against service providers Amount before error Restated Note Prior period error correction Amount R’000 R’000 R’000 Liabilities: Contingent Liabilities 1 085 817 229 1 086 046 Net effect 1 085 817 229 1 086 046 The prior period results from an mount being amended due to amendment made to summons (Amatole Forestry Company) and correction of understatement on the Brolink Obo C Vermeulen claim. Amount before error Restated Note Prior period error correction Amount R’000 R’000 R’000 Other: Irregular expenditure 900 897 11 633 912 530 Net effect 900 897 11 633 912 530 Irregular expenditure was restated accordingly to reflect the amount incurred in the previous financial year 2022/2021 and identified in the 2022/2023 financial year. DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 272 35. Transfer of functions and mergers 35.1 Transfer of functions Provide a brief description of the functions transferred or acquired and the reason for undertaking the transaction or event. “Funds received from Department of Agriculture, Forestry and Fisheries (DAFF): In 2019, the President announced the reorganisation of Departments. A proclamation specifying the reorganisation was issued in June 2019. In terms of the reorganisation, Forestry and Fisheries functions were to be transferred from the Department of Agriculture, Forestry and Fisheries (DAFF) to Department of Environmental Affairs to form the Department of Forestry, Fisheries, and the Environment (DFFE). The actual transfer date was 1 April 2020. In March 2021, the Accounting Officer of the Department of Agriculture, Land Reform and Rural Development (DALRRD) signed the Section 42 Certificate for the transfer of assets relating to the transfer of the forestry function to DFFE. This certificate with substantiating records containing 20 884 assets and biological assets (with a value of R 775 694 044.48) was submitted to the Accounting Officer of DFFE. As a result of this, the department took a decision to re-verify the existence of these assets to ensure validity, accuracy and completeness prior to facilitating sign off of the transfer certificate by the DFFE DG. In terms of MCS Chapter 19 acknowledges the challenges that the acquirer may encounter when measuring acquired assets. The measurement period relief is included to allow the acquirer to make the classifications or designations of the assets (and liabilities) on the basis of the terms of the binding arrangement, economic conditions, its operating or accounting policies and other relevant conditions that exist at the transfer date. Therefore, the measurement period shall not exceed two years from the transfer date. Thus, for this transfer of the forestry function, the measurement period ends on 31 March 2022. The Acquirer/DFFE can use the measurement period to resolve any identified value discrepancies. Now that the measurement period ended, the department has revised the accounting for a transfer of functions to correct any errors in accordance with the Chapter 4 on Accounting Policies, Estimates and Errors. The Accounting Officer signed off Section 42 Certificate on movable assets on 4 March 2022 after the completion of verification and reconciliation process finalised. As a result of the above, the transfer of functions is complete for movable, immovable, and intangible assets and the amounts recognised/recorded in the financial statements for the transfer of functions, to the value of R45,727 million (consisting of R41, 381 million major assets and R4, 346million minor assts) in line with paragraph 47 of Chapter 19: Transfer of functions. During the 2020/2021 financial year, the undisclosed amount of R3,023,170 was adjusted as a Prior Period Error and disclosed in the DFFE Financial Statements. Therefore, the correct Opening Balance received from the former DAFF was R R775 694 044, 48. Funds transferred to the Development Bank of South Africa (DBSA): The Department and the DBSA have concluded an agreement to transfer the assets and liabilities of the Green Fund programme with effect from 1 April 2020. The DBSA took accountability and responsibility for the balances and transactions as well as the recoverability of the loans made to beneficiaries. The DBSA will be responsible to attract funding for the Green Economy with the guidance of the Department.” ANNUAL REPORT 2022/23 273 35.1.1 Statement of Financial Position Balance before transfer Balance Note Functions transferred Functions received date after transfer date DBSA DAFF R’000 R’000 R’000 R’000 ASSETS Current Assets 661 173 (396 018) 309 265 464 Cash and cash equivalents 149 049 - - 149 049 Prepayments and advances 475 - - 475 Receivables 478 548 (396 018) 309 82 839 Aid assistance receivable 33 101 - - 33 101 Non-Current Assets 239 656 (205 731) - 33 925 Receivables 33 925 - - 33 925 Loans 205 731 (205 731) - - TOTAL ASSETS 900 829 (601 749) 309 299 389 LIABILITIES Current Liabilities 208 860 - - 208 860 Voted funds to be surrendered to the Revenue Fund 126 225 - - 126 225 Departmental revenue and NRF Receipts to be 5 659 - - 5 659 surrendered to the Revenue Fund Payables 76 976 - - 76 976 TOTAL LIABILITIES 208 860 - - 208 860 NET ASSETS 691 969 (601 749) 309 90 529 DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 274 35.1.2 Notes Balance before Balance Note Functions transferred Functions received transfer date after transfer date DBSA DAFF R’000 R’000 R’000 R’000 Contingent liabilities 68 845 - 6 516 75 361 Contingent assets 12 842 - - 12 842 Capital commitments 172 720 - 197 172 917 Accruals 110 815 - 4 876 115 691 Payables not recognised 33 996 - 5 650 39 646 Employee benefits 126 859 - 153 005 279 864 Lease commitments – Operating lease 157 832 - 474 466 632 298 Lease commitments – Finance lease - - 2 983 2 983 Accrued departmental revenue 25 716 - - 25 716 Impairment 158 630 - - 158 630 Provisions 22 174 - 4 238 26 412 Movable tangible capital assets 2 213 899 - 817 044 3 030 943 Immovable tangible capital assets 270 455 - - 270 455 Intangible capital assets 68 509 - - 68 509 ANNUAL REPORT 2022/23 275 36. STATEMENT OF CONDITIONAL GRANTS AND OTHER TRANSFERS PAID TO MUNICIPALITIES 2022/23 2021/22 GRANT ALLOCATION TRANSFER Re- allocations Division NAME OF MUNICIPALITY DoRA Roll Total Actual Funds by National of Actual and other Adjustments Overs Available Transfer Withheld Treasury Revenue transfer transfers or National Act Department R’000 R’000 R'000 R'000 R'000 R'000 % R'000 R'000 City of Cape Town: Vehicle Licence - - 102 102 102 -- - 250 91 Renewals City of Tshwane: Vehicle Licence - - 217 217 217 - 359 305 Renewals Ulundi Municipality: Arbor City Awards - - - - - - - 100 100 Umhlathuze Municipality: Arbor City - - - - - - - 250 250 Awards Steve Tshwete Local Municipality: 60 - 190 250 150 - - 500 250 Arbor City Awards Bushbuckridge Local Municipality - - 250 250 250 - - - - Inxuba Yethemba Municipality - - 300 300 300 - - - - Total 60 - 1 059 1 119 1 019 - - 1 459 996 37. BROAD BASED BLACK ECONOMIC EMPOWERMENT PERFORMANCE Information on compliance with the B-BBEE Act is included in the annual report under the section titled B-BBEE Compliance Performance Information. 38. COVID 19 Response Expenditure Note 2022/23 2021/22 Annexure 11 R’000 R’000 Goods and services 312 27 465 Total 312 27 465 DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 276 ANNEXURE TO THE ANNUAL FINANCIAL STATEMENTS for the year ended 31 March 2023 ANNEXURE 1A STATEMENT OF TRANSFERS TO DEPARTMENTAL AGENCIES AND ACCOUNTS TRANSFER ALLOCATION TRANSFER 2021/22 % of DEPARTMENTAL AGENCY/ Adjusted Roll Total Actual Final Adjustments Available funds Final Budget ACCOUNT Appropriation Overs Available Transfer Appropriation Transferred R'000 R'000 R'000 R'000 R'000 % R'000 R'000 South African Weather Service 403 073 8 900 411 973 411 973 100% 362 358 362 358 iSimangaliso Wetland Park 137 161 - 137 161 137 161 100% 121 304 121 304 Authority South African National Parks 434 487 10 000 444 487 444 487 100% 418 024 418 024 South African National 493 053 - 493 053 493 053 100% 501 648 501 648 Biodiversity Institute Marine Living Resources Fund 316 625 - 316 625 316 625 100% 305 278 305 278 National Regulator for 13 411 - 13 411 13 411 100% 13 066 13 066 Compulsory Specifications Communication: Licences SABC 36 - 36 7 19% 44 44 EPWP Work: Entities iSimangaliso Wetland Park 8 300 - 291 240 299 540 299 540 100% 171 292 171 292 Authority South African National Parks 80 000 - 573 176 653 176 653 176 100% 396 500 396 500 South African National - - 131 663 131 663 131 663 100% 72 247 72 247 Biodiversity Institute Presidential Youth Employment Programme iSimangaliso Wetland Park - - - - - 10 000 10 000 Authority South African National - - - - - 88 000 88 000 Biodiversity Institute Marine Protected Areas Management iSimangaliso Wetland Park 4 600 - - 4 600 4 600 100% - - Authority South African National Parks 5 400 - - 5 400 5 400 100% - - TOTAL 1 896 146 - 1 014 979 2 911 125 2 911 096 2 459 761 2 459 761 ANNUAL REPORT 2022/23 277 ANNEXURE 1B STATEMENT OF TRANSFERS TO HIGHER EDUCATION INSTITUTIONS TRANSFER ALLOCATION 2021/22 % of Amount not Adjusted Roll Total Actual Available Actual INSTITUTION NAME Adjustments transferred Final Budget budget Overs Available Transfer funds Transfer Transferred R'000 R'000 R'000 R'000 R'000 R'000 % R'000 R'000 Walter Sisulu University: Marine 16 000 - - 16 000 13 518 2 482 18% - - Pollutions Laboratory Total 16 000 - - 16 000 13 518 2 482 - - - DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 278 ANNEXURE 1C STATEMENT OF TRANSFERS/SUBSIDIES TO PUBLIC CORPORATIONS AND PRIVATE ENTERPRISES TRANSFER ALLOCATION EXPENDITURE 2021/22 % of NAME OF PUBLIC Adjusted Roll Total Actual Available Final CORPORATION/PRIVATE Appropriation Adjustments Current Overs Available Transfer funds Capital Appropriation ENTERPRISE Act Transferred R'000 R'000 R'000 R'000 R'000 % R'000 R'000 R'000 Public Corporations Transfers 3 820 - - 3 820 3 813 99,8% - 3 813 5 274 Forestry Sector Charter Council 3 820 - - 3 820 3 813 99,8% 3 813 5 274 SubTotal 3 820 - - 3 820 3 813 99,8% - 3 813 5 274 Private Enterprises Transfers 47 965 - 44 859 92 824 92 824 100,0% - 92 824 72 318 Ecocompliance PTY LTD 2 944 - - 2 944 2 944 100,0% - 2 944 - Diphala Tsa Borwa (Pty) Ltd 3 000 - - 3 000 3 000 100,0% - 3 000 - Trash Converters (Pty) Ltd 2 954 - - 2 954 2 954 100,0% - 2 954 - The Waste Garden (Pty) Ltd 2 954 - - 2 954 2 954 100,0% - 2 954 - Techno-Fuel Traders (PtyLtd 2 999 - - 2 999 2 999 100,0% - 2 999 - Nzumbu-divhi Building (PtLtd 2 214 - - 2 214 2 214 100,0% - 2 214 - Matongoni General Tr (PtLtd 3 210 - - 3 210 3 210 100,0% - 3 210 - Mpilenhle Trading Ent (PtLtd 2 996 - - 2 996 2 996 100,0% - 2 996 - Houp Solutions 3 167 - - 3 167 3 167 100,0% - 3 167 - DNF Waste and En Services 2 997 - - 2 997 2 997 100,0% - 2 997 - Mmula Group 20 Trading and 2 950 - - 2 950 2 950 100,0% - 2 950 - Projects (Pty) Ltd Cheriscape (Pty) Ltd 2 869 - - 2 869 2 869 100,0% - 2 869 - Mupo Washu Environmental 2 958 - - 2 958 2 958 100,0% - 2 958 - Corplink (Pty) Ltd 2 986 - - 2 986 2 986 100,0% - 2 986 - Uthando Solutions and Trading 3 044 - - 3 044 3 044 100,0% - 3 044 - (Pty) Ltd BEE Soft (Pty) Ltd 2 500 - - 2 500 2 500 100,0% - 2 500 - Silver Ink Environmental Solutions 1 223 - 1 477 2 700 2 700 100,0% - 2 700 - and Projects Boikanyo-Lesdi Environmental - - 1 818 1 818 1 818 100,0% - 1 818 - Waste Management (Pty) Ltd Ramtsilo Trading (Pty) Ltd - - 3 000 3 000 3 000 100,0% - 3 000 - ANNUAL REPORT 2022/23 279 TRANSFER ALLOCATION EXPENDITURE 2021/22 % of NAME OF PUBLIC Adjusted Roll Total Actual Available Final CORPORATION/PRIVATE Appropriation Adjustments Current Overs Available Transfer funds Capital Appropriation ENTERPRISE Act Transferred R'000 R'000 R'000 R'000 R'000 % R'000 R'000 R'000 Sentry Group (Pty) Ltd - - 2 990 2 990 2 990 100,0% - 2 990 - Inkamela (Pty) Ltd - - 2 443 2 443 2 443 100,0% - 2 443 - Mveledzo Environmental and - - 3 213 3 213 3 213 100,0% - 3 213 - Safety Solutions (Pty) Ltd Green Star E-waste (Pty) Ltd - - 3 142 3 142 3 142 100,0% - 3 142 - Jacobsisa (Pty) Ltd - - 3 000 3 000 3 000 100,0% - 3 000 - Jibas Recycling (Pty) Ltd - - 3 283 3 283 3 283 100,0% - 3 283 - Cryochem (Pty) Ltd - - 2 985 2 985 2 985 100,0% - 2 985 - Mahula Investments (Pty) Ltd - - 2 569 2 569 2 569 100,0% - 2 569 - Silvester B Group - - 2 858 2 858 2 858 100,0% - 2 858 - Katlego Consulting (Pty) Ltd - - 2 971 2 971 2 971 100,0% - 2 971 - Itirele Holdings (Pty) Ltd - - 2 994 2 994 2 994 100,0% - 2 994 - EE Phepha Environmental CC - - 2 914 2 914 2 914 100,0% - 2 914 - Africa Femme (Pty) Ltd - - 3 202 3 202 3 202 100,0% - 3 202 Various - - - - - - - 72 318 Subtotal: Private enterprises 47 965 - 44 859 92 824 92 824 100,0% - 92 824 72 318 TOTAL 51 785 - 44 859 96 644 96 637 100,0% - 96 637 77 592 DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 280 ANNEXURE 1D STATEMENT OF TRANSFERS TO FOREIGN GOVERNMENT AND INTERNATIONAL ORGANISATIONS TRANSFER ALLOCATION EXPENDITURE 2021/22 % of Adjusted FOREIGN GOVERNMENT/ INTERNATIONAL Total Actual Available Final Appropriation Roll overs Adjust-ments Final Budget ORGANISATION Available Transfer funds Appropriation Act Transferred R'000 R'000 R'000 R'000 R'000 % R'000 R'000 Transfers Global Environmental Fund (GEF) 24 618 - - 24 618 24 600 100% 23 500 23 500 International Bodies (Financial Contribution) 20 414 - 20 414 7 265 36% 13 564 13 564 International Union of Forestry Research - - - - - 12 - Organisations TOTAL 45 032 - - 45 032 31 865 37 076 37 064 ANNEXURE 1E STATEMENT OF TRANSFERS TO NON-PROFIT INSTITUTIONS TRANSFER ALLOCATION EXPENDITURE 2021/22 % of Adjusted Total Actual Available Final NON-PROFIT INSTITUTIONS Appropriation Roll overs Adjust-ments Final Budget Available Transfer funds Appropriation Act transferred R'000 R'000 R'000 R'000 R'000 % R'000 R'000 Transfers National Association for Clean Air 1 484 - - 1 484 1 000 67% 1 445 1 400 KwaZulu-Natal Conservation Board 1 645 - - 1 645 1 645 100% 1 402 1 358 African World Heritage Fund 1 278 - - 1 278 1 000 78% 1 089 1 000 Environmental Assessment Practitioner Association of 5 000 - - 5 000 5 000 100% 2 668 2 668 South Africa TOTAL 9 407 - - 9 407 8 645 6 604 6 426 ANNUAL REPORT 2022/23 281 ANNEXURE 1F STATEMENT OF TRANSFERS TO HOUSEHOLDS TRANSFER ALLOCATION EXPENDITURE 2021/22 % of Adjusted Roll Total Actual Available Final Actual Appropriation Adjust-ments HOUSEHOLDS Overs Available Transfer funds Appropriation Transfer Act Transferred R'000 R'000 R'000 R'000 R'000 % R'000 R'000 Transfers Social Benefits 21 199 - 4 082 25 281 25 281 100% 21 116 21 116 Other transfers 4 150 - (623) 3 527 3 527 100% 3 376 3 376 TOTAL 25 349 - 3 459 28 808 28 808 24 492 24 492 ANNEXURE 1G STATEMENT OF AID ASSISTANCE RECEIVED PAID BACK OPENING EXPENDI- CLOSING REVENUE ON/BY 31 NAME OF DONOR PURPOSE BALANCE TURE BALANCE MARCH R'000 R'000 R'000 R'000 R'000 Received in cash Germany (GIZ) Climate Support Programme (5 915) - - - (5 915) Germany (GIZ) Strengthening ecosystem - based adaptation (522) - - - (522) project United Nations (UNEP) Synergies Workshop among the Basel, Stockholm (346) - - - (346) and Rotterdam Conventions Flanders Adaptive Capacity Facility (2 304) 3 200 3 124 - (2 228) United Nations (UNEP) Capacity Building Initiative for Transparency (CBIT) (1 282) - 807 - (2 089) Project European Union (EU) iThemba Phakama People PPP Model for Human (4 437) - 7 015 - (11 452) Development and Inclusive Environmental Economic Growth Global Environmental Facility Strengthening Institutions Information Management - 15 513 16 289 - (776) and Monitoring to Reduce the Rate of illegal Wildlife Trade in South Africa United Nations (UNEP) Catalysing Financing and Capacity for the - - 5 255 - (5 255) Biodiversity Economy around Protected Areas: Pillar 1 TOTAL (14 806) 18 713 32 490 - (28 583) DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 282 ANNEXURE 3A STATEMENT OF CONTINGENT LIABILITIES AS AT 31 MARCH 2023 Opening Balance Liabilities Closing Balance Liabilities paid/ Liabilities incurred recoverable cancelled/reduced Nature of Liability 1 April 2022 during the year (Provide details 31 March 2023 during the year hereunder) R’000 R’000 R’000 R’000 R’000 Claims against the department       C Vermeulen 37 - - 37 High Point Trading 1001CC 896 - 896 - - H&H Consultation CC 372 - 372 - - Garona Holdings (Pty) Ltd (510072017) 5 895 - 5 895 - - Garona Holdings (Pty) Ltd (51551/2017) 1 259 - 1 259 - - Nohlanhla Portia Lubisi 113 - -  - 113 Redefine Properties Limited 34 219 - -  - 34 219 Blac Guru 2 079 - 2 079 - - Anderea Franco Puggia 112 091 - - - 112 091 Lavender Moon Trading 391 3 867 - - - 3 867 REDISA 21970/2019 181 492 - - - 181 492 Hibiscus Coast Investment. 49 764 - - - 49 764 DK Carriers Pty Ltd 1 737 - 1 737 - - Madzivhandila Rembulalwine 590 - - - 590 Nicholas Tweedie Fraser 28 - - - 28 Waste Beneficiation (Pty) Ltd 9 615 - - - 9 615 Ovenstone Agencies (Pty) Ltd 18 - - - 18 Martin Jimmy Mbuyazi 24 050 - 24 050 - - S Cele 116 - - - 116 Petrus Johannes Barnard 21 526 - - - 21 526 Amathole Forestry Company (from R764-978) 978 -     978 MTO Forestry (Proprietary) Limited 214 850 - - - 214 850 Yantis (Pty) Ltd 1 691 - - - 1 691 Ovenstone (Vessel Claim) 327 - - - 327 Pyramid Investments 3 (Pty) Ltd 10 000 - - - 10 000 MTO Forestry Proprietary Limited case no 2021/2021 211 195 - - - 211 195 Lindile Elvis Mbilana 818 -   - 818 Garden Route District Municipality 18 - 18 - - ANNUAL REPORT 2022/23 283 Opening Balance Liabilities Closing Balance Liabilities paid/ Liabilities incurred recoverable cancelled/reduced Nature of Liability 1 April 2022 during the year (Provide details 31 March 2023 during the year hereunder) R’000 R’000 R’000 R’000 R’000 Geelhoutvlei cc 13 488 - - - 13 488 Geelhoutvlei cc 160 988 - - - 160 988 B Oelf & others 8 757 - - - 8 757 Benson and Others 13 172 - - - 13 172 Pieter Jakobus Stefanis Beukes -  4 000 - - 4 000 MI3 Consortium -  7 543 - - 7 543 Kunana Nonteba - 298 - - 298 Nobosinile Menzaba - 81 - - 81 P Mostert - 860 - - 860 N. Ngejane - 431 - - 431 B. Ndwendwe - 900 - - 900 C Duncum - 23 - - 23 KA & Sons - 31 - - 31 S Badat - 56 - - 56 Tera Sawmills - 6 179 - - 6 179 CTC Plant & Co - 268 - - 268 Infinite Progress Solutions - 3 124 - - 3 124 TOTAL 1 086 046 23 794 36 306 - 1 073 534 DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 284 ANNEXURE 3A (continued) Closing Opening Balance Movement Balance Nature of Liabilities recoverable Details of Liability and Recoverability during year 31 March 1 April 2020 2021 R’000 R’000 R’000 C Vermeulen 37 Claim for damages resulting from motor collision. Combined summonses have - 37 been issued against Mr C Vermeulen (defendant)on 23 September 2014. DEA provided the discovery affidavit. Feedback from state attorney awaited. High Point Trading 1001CC 896 Claim against the Department for the outstanding project management fee (896) - as well as the expenditure costs incurred in relation to Phase two of the KZN Nkandla Land Rehabilitation project (“project”). H&H Consultation CC 372 Claim against the Department for the outstanding project management fee as well (372) - as the expenditure costs incurred in relation to Phase two of the NC-Joe Morolong Greening and Open Space Management Project (“project”) Garona Holdings (Pty) Ltd (510072017) 5 895 Claim against the Department for the outstanding project management fee as well (5 895) - as the expenditure costs incurred in relation to Phase two (implementation) of the Baberton Nature Reserve Conservation Programme. Garona Holdings (Pty) Ltd (51551/2017) 1 259 Claim is a result of the alleged repudiation of a contract by the Department, the (1 259) - loss of expended capital amount, loss incurred due to repudiation and further seek reimbursement of the Sterkfontein Project payment used to remedy Ngwathe Project. Nohlanhla Portia Lubisi 113 Combined summons received for service rendered to the Department for clearing - 113 Alien Invasive Plants under the MPU Barberton Working for Water Project. Redefine Properties Limited 34 219 Claim to the Lessee as a rusult of items damaged or defective on termination of - 34 219 lease agreement and loss of revenue due to delay to conduct the exit inspection as well as the time it took for the building to be marketable Blac Guru 2 079 Claim agianst the Department for the outstanding project management fee in (2 079) - relation to phase two (implementation) of the Mhinnga Crocodile capture and Breeding Programme. Anderea Franco Puggia 112 091 The plaintiff claims delictual damages allegedly caused by a veldfire that ignited - 112 091 from the land controlled, managed and owned by Department of Environment Forestry, Fisheries. Lavender Moon Trading 391 3 867 The Plaintiff seeks relief on a submitted tender proposal to the Department for the - 3 867 recycling enterprise support programme. REDISA 21970/2019 181 492 "The provisional liquidators" claim for damages against Waste Bureau - 181 492 Hibiscus Coast Investment. 49 764 The Department terminated a contract awarded. It is on the basis of this breach of - 49 764 contract that the plaintiff issued summons against the Department. DK Carriers Pty Ltd 1 737 a claim in respect of waste tyre transportation services rendered by in terms of an (1 737) - agreement. Madzivhandila Rembulalwine 590 an employee of DEFF claims for pay progression debt. - 590 Nicholas Tweedie Fraser 28 A City of Tshwane employee caused a motor vehicle collusion, while acting in the - 28 scope of his employment and furthering the interest of the Department. ANNUAL REPORT 2022/23 285 Closing Opening Balance Movement Balance Nature of Liabilities recoverable Details of Liability and Recoverability during year 31 March 1 April 2020 2021 R’000 R’000 R’000 Waste Beneficiation (Pty) Ltd 9 615 Summons against Waste Management Bureau regarding allegedly rendered in - 9 615 terms of Service level agreement Ovenstone Agencies (Pty) Ltd 18 a claim against the Department due to fish that was allegedly unlawfully - 18 confiscated and disposed. Martin Jimmy Mbuyazi 24 050 The Applicants are claiming for money held by Kabelo Trust (24 050) - S Cele 116 Summons issued to the Department for damages caused to the vehicle of Mr S - 116 Cele Petrus Johannes Barnard 21 526 A claim for damages against the Department caused by the use of herbicide to - 21 526 eradicate alien invasive species. Amathole Forestry Company (from R764-978) 978 claiming damages suffered due to the defendants' alleged negligent acts or - 978 omissions in relation to veldfires. MTO Forestry (Proprietary) Limited 214 850 The plaintiff claims delictual damages allegedly caused by a veldfire that ignited - 214 850 from the land controlled, managed and owned by Department of Environment Forestry, Fisheries. Yantis (Pty) Ltd 1 691 Claim for alleged services rendered in terms of a MOA - 1 691 Ovenstone (Vessel Claim) 327 Claim for financial loss as a result of alleged unlawfull seizure of a vessel - 327 Pyramid Investments 3 (Pty) Ltd 10 000 Claim for damages allegedly caused by unlawful mining - 10 000 MTO Forestry Proprietary Limited case no 211 195 The plaintiff claims damages allegedly caused by a veldfire that ignited from land - 211 195 2021/2021 managed by DFFE Lindile Elvis Mbilana 818 Plaintiff is claiming damages caused by a leopard - 818 Garden Route District Municipality 18 Plaintiff is claiming damages which resulted from a motor vehicle accident (18) - Geelhoutvlei cc 13 488 The plaintiff claims damages allegedly caused by a veldfire that ignited from land - 13 488 managed by DFFE Geelhoutvlei cc 160 988 The plaintiff claims damages allegedly caused by a veldfire that ignited from land - 160 988 managed by DFFE B Oelf & others 8 757 The plaintiff claims damages allegedly caused by a veldfire that ignited from land - 8 757 managed by DFFE Benson and Others 13 172 The plaintiff claims damages allegedly caused by a veldfire that ignited from land - 13 172 managed by DFFE Pieter Jakobus Stefanus Beukes - Plaintiff is claiming damages for an injury sustained 4 000 4 000 MI3 Consortium - Claim for services allegedly rendered in terms of a MOA 7 543 7 543 Kunana Nonteba - The plaintiff claims damages allegedly caused by a veldfire that ignited from land 298 298 managed by DFFE Nobosinile Menzaba - The plaintiff claims damages allegedly caused by a veldfire that ignited from land 81 81 managed by DFFE DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 286 Closing Opening Balance Movement Balance Nature of Liabilities recoverable Details of Liability and Recoverability during year 31 March 1 April 2020 2021 R’000 R’000 R’000 P Mostert - Plaintiff is claiming damages for an injury sustained 860 860 N. Ngejane - Plaintiff is claiming damages for injuries sustained 431 431 B. Ndwendwe - Plaintiff is claiming damages for injuries sustained 900 900 C Duncum - Plaintiff is claiming damages as a result of a motor vehicle accident 23 23 KA & Sons - Plaintiff is claiming damages as a result of a motor vehicle accident 31 31 S Badat - Claim for remuneration as Committee member 56 56 Tera Sawmills - Claim for financial loss suffered 6 179 6 179 CTC Plant & Co - The plaintiff claims damages allegedly caused by a veldfire that ignited from land 268 268 managed by DFFE Infinite Progress Solutions - Claim for rental monies 3 124 3 124 TOTAL 1 086 046 (12 512) 1 073 534 ANNUAL REPORT 2022/23 287 ANNEXURE 4 CLAIMS RECOVERABLE Unconfirmed balance Cash in transit at year end 20YY/ Confirmed balance outstanding Total outstanding ZZ * Receipt date Government Entity up to six (6) 31/03/2023 31/03/2022 31/03/2023 31/03/2022 31/03/2023 31/03/2022 Amount working days after year end R’000 R’000 R’000 R’000 R’000 R’000 R’000 Department Gauteng Treasury - 47 - - - 47 - - Eastern Transport - 34 - - - 34 - - GP-E Government - - - 27 - 27 - - Department of Minerals Resource & - - - 55 - 55 - - Energy EC Education - - - 105 - 105 - - Department of Agriculture, Land - - 1 990 5 961 1 990 5 961 - - Reform and Rural Development GPDARD - - - 33 - 33 - - Department of Social Development 37 - - - 37 - Subtotal 37 81 1 990 6 181 2 027 6 262 Other Government Entities - - National Research Foundation - - 9 638 9 638 9 638 9 638 - - City of Johannesburg - - 5 179 5 179 5 179 5 179 - - UNDP 524 - - 470 524 470 - - Isimangaliso Wetland Park - - - - - - - - Marine Living Resources Fund 26 058 - - 8 469 26 058 8 469 - - SITA 25 - - - 25 - - - Subtotal 26 607 - 14 817 23 756 41 424 23 756 - - TOTAL 26 644 81 16 807 29 937 43 451 30 018 - - DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 288 ANNEXURE 5 INTER-GOVERNMENT PAYABLES Cash in transit at year end Confirmed balance outstanding Unconfirmed balance outstanding TOTAL 2022/23 Payment date GOVERNMENT ENTITY up to six (6) 31/03/2023 31/03/2022 31/03/2023 31/03/2022 31/03/2023 31/03/2022 Amount working days before year end R’000 R’000 R’000 R’000 R’000 R’000 R’000 DEPARTMENTS Current Department of Justice and 2 932 - 601 13 615 3 533 13 615 31 March 2023 1 347 Constitutional Development Department: Government Printing 104 - - 672 104 672 31 March 2023 1 Works Dept of Agriculture Land Reform & 1 645 - - 3 439 1 645 3 439 - - Rural Development Office of the Public Service - - - 21 - 21 - - Commission GP Department of Education - - 32 - 32 - - Government Public Works and - - - 104 994 - 104 994 - - Infrastructure DIRCO - 253 - - - 253 - - Department of the Premier: WC 29 - - 29 - - - Department of Social Development 43 - - - 43 - - - Department of Women Youth and 92 - - - 92 - - - Persons with Disabilities National Prosecuting Authority 67 - - - 67 - Gauteng Health 40 - - - 40 - - - GP: National Treasury 176 - - - 176 - - - NW: Public Works & Roads 8 - - - 8 - - - Subtotal 5 136 253 601 122 773 5 737 123 026 1 348 OTHER GOVERNMENT ENTITY Current SITA 7 688 - 543 - 8 231 - - - Subtotal 7 688 - 543 - 8 231 - - - TOTAL 12 824 253 1 144 122 773 13 968 123 026 - - ANNUAL REPORT 2022/23 289 ANNEXURE 6 INVENTORIES Insert major Insert major Insert major Insert major category of category of category of category of TOTAL Inventories for the year ended 31 March 2023 inventory inventory inventory inventory R’000 R’000 R’000 R’000 R’000 Opening balance 11 363 956 8 902 - 21 221 Add/(Less): Adjustments to prior year balances 91 (956) - - (865) Add: Additions/Purchases – Cash 20 037 1 590 - - 21 627 Add: Additions - Non-cash 995 - - - 995 (Less): Disposals (63) - - -- (63) (Less): Issues (16 902) (1 590) - (18 492) Add/(Less): Received current, not paid 271 - - 271 (Paid current year, received prior year) Closing balance 15 792 - 8 902 - 24 694 Insert major Insert major Insert major Insert major category of category of category of category of TOTAL Inventories for the year ended 31 March 2022 inventory inventory inventory inventory R’000 R’000 R’000 R’000 R’000 Opening balance 17 797 238 11 173 - 29 208 Add/(Less): Adjustments to prior year balances - - - - - Add: Additions/Purchases – Cash 7 924 1 496 10 414 - 19 834 Add: Additions - Non-cash - - - - - (Less): Disposals - - - - (Less): Issues (14 071) (777) (15 400) - (30 248) Add/(Less): Received current, not paid - - (2 385) - (2 385) (Paid current year, received prior year) Add/(Less): Adjustments (287) (1) 5 100 - 4 812 Closing balance 11 363 956 8 902 - 21 221 DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 290 ANNEXURE 7 MOVEMENT IN CAPITAL WORK IN PROGRESS Ready for use (Asset Closing Opening balance Current Year Capital WIP register) / Contract balance terminated R’000 R’000 R’000 R’000 BUILDINGS AND OTHER FIXED STRUCTURES 135 863 10 694 1 240 145 317 Other fixed structures 135 863 10 694 1 240 145 317 COMPUTER SOFTWARE 993 7 543 - 8 536 Computer Software 993 7 543 - 8 536 TOTAL 136 856 18 237 1 240 153 853 Ready for use (Asset Opening balance Prior period error Current Year Capital WIP register) / Contract Closing balance terminated R’000 R’000 R’000 R’000 R’000 BUILDINGS AND OTHER FIXED 156 987 (90 328) 69 204 - 135 863 STRUCTURES Other fixed structures 156 987 (90 328) 69 204 - 135 863 COMPUTER SOFTWARE 41 739 - 5 355 (46 101) 993 Software 41 739 - 5 355 (46 101) 993 TOTAL 198 726 (90 328) 74 559 (46 101) 136 856 ANNEXURE 11 COVID 19 RESPONSE EXPENDITURE Per quarter and in total Expenditure April 2022 May 2022 June Subtotal Jul Aug Sept Subtotal Oct Nov 2022 Dec Subtotal Jan Feb Mar Subtotal 2022/ 2020/21 per economic 2022 Q1 2022 2022 2022 Q2 2022 2022 Q3 2023 2023 2023 Q4 23 Total classification Total R’000 R’000 R’000 R’000 R’000 R’000 R’000 R’000 R’000 R’000 R’000 R’000 R’000 R’000 R’000 R’000 R’000 R’000 Goods and 23 1 740 64 1 827 19 (1 653) 20 (1 614) 17 17 17 51 17 - 31 48 312 14 390 Services Consumable - 1 676 - 1 676 - (1 668) 3 (1 665) - - - - - - - - 11 3 261 Supplies Property 23 64 64 151 19 15 17 51 17 17 17 51 17 - 31 48 301 1 640 Payments TOTAL 23 1 740 64 1 827 19 (1 653) 20 (1 614) 17 17 17 51 17 - 31 48 312 14 390 Consist of mainly expenses related to goods and services including tools of trade and Personal Protective Equipment (PPE) for Municipal cleaning and greening programme as part of economic Stimulus package towards COVID-19 response. ANNUAL REPORT 2022/23 291 Notes: DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 292 Notes: ANNUAL REPORT 2022/23 293 Notes: DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 294 Notes: ANNUAL REPORT 2022/23 295 Department of Forestry, Fisheries and the Environment Environment House, 473 Steve Biko Road Arcadia Pretoria 0083 South Africa Private Bag X447 Pretoria 0001 Call centre: 086 111 2468 E-mail: callcentre@dffe.gov.za Website: www.dffe.gov.za RP185/2023 ISBN: 978-0-621-51191-8 DEPARTMENT OF FORESTRY, FISHERIES AND THE ENVIRONMENT 296