Briefing: Annual Performance Plan 2015-16 Portfolio Committee of the Department of Agriculture, Forestry and Fisheries (DAFF) 4/5 March 2015

Briefing: Annual Performance Plan 2015-16

Portfolio Committee of the Department of Agriculture, Forestry and Fisheries (DAFF)

4/5 March 2015

Reputation promise/mission

The Auditor-General of South Africa has a constitutional mandate and,

as the Supreme Audit Institution (SAI) of South Africa, exists to strengthen our

country’s democracy by enabling oversight, accountability and governance in the

public sector through auditing, thereby building public confidence.

Agenda

1. Audit of Predetermined Objectives

2. Review of Annual Performance Plan 2015-16

3. Budget 2015-16

AUDIT OF PREDETERMINED

OBJECTIVES

Audit of Predetermined Objectives

End-year reporting

Strategic Planning

Implementation and in-year reporting

Operational planning and

budgeting

Policy development

INSTITUTIONNational department

Provincial departmentMunicipalityPublic entity

Municipal entity

OVERSIGHT:Parliament, provincial legislature or municipal council

Set targets and allocate

resources



AGSA Audit process


No matters reported Reported in audit report

Additional matter paragraphs included in the audit report: > Material adjustments were made to the annual performance report submitted for audit.

REVIEW OF ANNUAL PERFORMANCE PLAN

2015-16

Annual Performance Plan 2015-16

Presentation

Objectives, indicators and targets must be consistent between planning and reporting documents.Consistency

Measurability

Indicators should be well-defined and verifiable. Targets should be specific, measurable and time-bound.

Relevance

The indicators relate logically and directly to an aspect of the institution's mandate, and the realisation of strategic goals and objectives

Can only conclude once the Annual Performance Report is made available on 31 May 2015.

Can only conclude once the Annual Performance Report is made available on 31 May 2015.

No material findings to be reported.

Findings identified on Programme 3 and Programme 5 amd Programme 6 summarised per programme on the next slide.

Conclusion

Requirement

Conclusion

Conclusion

Conclusion

Requirement

Requirement

Requirement


13% of targets not measurable

Programme 3:Food Security and Agrarian Reform

Strategic objective Indicator 2015/16 Target“SMART” criteria

affected

Lead and coordinate government food security initiatives.

Number of hectares of under-utilised land in communal areas cultivated for production.

120 000 ha Annexure E:“A 30% data sample will be collected from each province at the end of the planting season…”

Measurable / Indicator not verifiableAnnexure E state that information will only be verified on a 30% sample basis by the department. The total population will therefore not be measurable or verifiable.

13% of indicators not verifiable


Programme 5 (Continues)Forestry and Natural Resource Management


affected

Ensure the conservation, protection, rehabilitation and recovery of depleted and degraded natural resources.

Number of plantations certified for Forest Stewardship Council.

1Annexure E:Source: Service provider to evaluate data against agreed external standards.

Specific and Measurable / Indicator not verifiableAnnexure E does not specify the specific data that will be collected from the service provider.


11% of targets not specific

Programme 6:Fisheries : Marine Living Resource Fund


affected

Strategic goal 2:Enhanced production, employment and economic growth in the sector

Objective 2.1:Ensure increased production and productivity in prioritised areas as well as value chains

Number of Aquaculture catalyst projects identified and listed under Operation Phakisa supported

4 Operation PhakisaProjects for phase 1supported

Measurable / Indicator not well definedThe indicator per the annual performance plan, read in conjunction with the target does not define the type of support that is required in order to achieve the objective.

33% of indicators not well defined


Programme 6: Fisheries : Marine Living Resource Fund (continues)


affected

Strategic goal 3:Enabling environment for food security and sector transformation

Objective 3.1:Lead and coordinate government food security initiatives

Rights allocated to 9 sectors

Develop sector specificpolicies and allocate rightsto 9 fishing sectors

Measurable / Indicator not well definedThe indicator per annual performance report, read in conjunction with the target is not clear. Based on our assessment the indicator should measure compliance and or achievement on the FRAP framework.




affected

Strategic goal 4:Sustainable use of natural resources in the sector Objective 4.1:Ensure the conservation, protection, rehabilitation and recovery of depleted and degraded natural resources

Objective 4.1.2. Integrated Fisheries Security (IFSS) implemented through inspections and joint operations with partners

Plan to recover and maintain prioritised fish stocks

Recoveryplans for the3 sectors:Abalone, WestCoast RockLobster andDeep WaterHake updated

4598 compliance and enforcement measures in the 4 prioritised fisheries sectors: hake, abalone, rock lobster and line fish implemented

Measurable / Indicator not well defined The indicator per the annual performance plan, read in conjunction with the target is not well-defined as the indicator should measure achievement of the plan.

Target not specificThe target is not specific as enforcement measures are not defined.




affected

Strategic goal 4:Sustainable use of natural resources in the sector Objective 4.1:Ensure the conservation, protection, rehabilitation and recovery of depleted and degraded natural resources

Plan to recover and maintain prioritised fish stocks

Recoveryplans for the3 sectors:Abalone, WestCoast RockLobster andDeep WaterHake updated

Measurable / Indicator not verifiableThe indicator per the annual performance plan, read in conjunction with the target is not well-defined as the indicator should measure achievement of the plan.


MTSF Outcomes not fully reported in the APP where DAFF was allocated as the lead department:

Indicator (MTSF)First year target

(MTSF)

Target included in final draft

APPComments

Development of smallholder production in context of improved district planning and link to land reform, extension, marketing and other systems. [DAFF supported by DRDLR, EDD, DTI, NT and DST]

Number of small-scale producers (agriculture, forestry and fisheries) supported towards increased market participation and employment

Implementation of proposals monitored by DAFF and NT. 2019 target:300 000 new smallholders

Programme 4:I498smallholderslinkedto markets

Based on discussion with the directorate Strategic Planning the term smallholder producers include agriculture, forestry and fisheries. However, the 5 year target listed [1498] do not agree with the annual target listed [18+32+64+128+256=498 and not 1498 (typing error)]. Also unable to establish whether the 2019 target of 300 000 new smallholders will be met due to a breakdown per department not being available.

Outcome 4: Decent employment through inclusive economic growth


Indicator (MTSF)First year

target (MTSF)Target included in

final draft APPComments

Implement the comprehensive food security and nutrition strategy. [DAFF supported by DRDLR, DSD, DBE and DoH]

4,3 million vulnerable people benefiting from food security and nutrition initiatives, translating to 1,6 million households by March 2019

Programme 3:Number of households benefiting from food and nutrition security initiatives 40 000 per annum

DAFF is contributing to 200 000 households as per the APP. It is not sure how the target of 4.3 million people and 1.6 million households will be achieved . Based on discussions held with the Strategic Planning directorate and per inspection of the MTSF outcome other departments are supporting DAFF to achieve the 2019 target however a breakdown of how the 4.3 million and 1.6 million targets will be achieved was not available.

Develop under-utilised land in communal areas and land reform projects for production. [DAFF supported by DRDLR, DSD, DBE and DoH]

1 million hectares by March 2019

Programme 3:Number of hectares of under-utilised land in communal areas cultivated for production. 120 000 ha per annum

DAFF is contributing to 600 000 hectares as per the APP. It is not sure how the target of 1 million hectares will be achieved. Based on discussions held with the Strategic Planning directorate and per inspection of the MTSF outcome other departments are supporting DAFF to achieve the 2019 target however a breakdown of how the 1 million target will be achieved was not available.

Outcome 7: Vibrant, equitable, sustainable rural communities contributing towards food security for all


Indicator (MTSF)First year

target (MTSF)

Target included in final draft APP

Comments

Hectares of land under rehabilitation/restoration

152 500 ha 80 000 haThe indicator is included in Programme 5: Forestry but the target set is set at 80 000 ha and not 152 500 ha.

Outcome 10: Protect and Enhance our Environmental Assets and Natural Resources

BUDGET 2015-16

Comparison between current year and prior year budget

% Budget increase % Budget increase

Current payments

Current payment2014-15R’000

2015-16R’000

Number of employees

Increase / (Decrease)

Percentage

Compensation of employees

1 698,40 1 737,80 39,40 2.3%

Programme 1 381,70 391,81 1 203

Programme 2 409,00 423,80 1 510 1

Programme 3 129,50 134,30 472

Programme 4 91,41 91,20 170

Programme 5 510,40 512,10 2 580

Programme 6 176,35 184,64 552

Goods and services 809,50 847,00 37,50 5.0%

Total 2 507,90 2 584,80 76,90 3.1%

Transfers and subsidies

Transfer and subsidies

2014-15R’000

2015-16R’000


Percentage

Provinces and Municipalities (breakdown on next slide)

2 390,10 2 189,20 (200,90) (8.4%)

Department agencies and accounts (breakdown on next slide)

1 354,60 1 132,50 (222,10) (16.4%)

High education institution

7,00 7,80 0,80 11.4%

Foreign government and International Organisations

38,70 29,50 (9,20) -24%

Public Corporation and Private Enterprises

222,00 312,90 90,90 41%

Non Profit Institutions 26,80 26,70 (0,1) (0.4%)

Households 8,40 1,90 (6,50) (77.1%)

Total 4 047,70 3 700,50 (347,20) (8.7%)


Provinces and Municipalities - Breakdown

2014-15R’000

2015-16R’000

MunicipalitiesMunicipal Bank AccountLicences 0,53 0,48 Forestry Arbor City Awards 0,50 0,60 ProvincesProvincial Revenue FundCurrentIllima/Letsema project fund 460,63 470,77 CASP: Infrastructure 949,59 1 179,01 CASP: Extension Recovery Plans 358,55 343,87 CASP: Upgrading of Provincial Agrucultural Colleges

58,77 69,47

Land Care Programme Grant: Poverty Relief and Infrastructure Development

67,84 66,36

CASP: Flood damaged infrastructure 493,76 58,60

Total 2 390,10 2 189,20


Department agencies and accounts - Breakdown

2014-15R’000

2015-16R’000

Communication 0,04 0,03

Primary Education Sector Education and Training Authority 0,90 0,94

National Research Foundation 15,00 15,84 Public Service Sector Education and Training Authority 0,37 - Fibre Processing and Manufacturing Sector Education and Training Authority

0,45 0,43

Agricultural Research Council - current 921,46 691,28 Agricultural Research Council - capital 107,70 112,64 National Student Financial Aid Scheme 15,93 14,50

PPECB 0,60 0,60

National Agricultural Marketing Council 36,01 34,64 Small Enterprise Development Agency 1,83 - Water Research Commision 3,00 3,00

Marine Living Research Fund 251,33 258,62

Communication 0,04 0,03

Total 1 354,60 1 132,50

Payment of capital goods

Payment of capital goods

2014-15R’000

2015-16R’000


Percentage

Building and other Fixed Structures

41,30 42,50 1,20 3%

Machinery and Equipment

93,90 53,20 (40,90) (43.34%)

Biological Assets 0,20 0,50 0,30 150%

Software and other Intangible Assets

0,10 0,00 (0,10) --

Total 135,40 96,20 (39,20) (29%)

Thank You.

Documents

Briefing: Annual Performance Plan 2015-16 Portfolio Committee of the Department of Agriculture, Forestry and Fisheries (DAFF) 4/5 March 2015