DPE Strategic Plan 2009-12

8/14/2019 DPE Strategic Plan 2009-12

1/21

DEPARTMENTOFP

UBLIC

ENTERPRISESSTRATEGIC

PLAN

2009 - 2012


2/21

ministers foreword 2

director-generals report 3

section 1: oVerView 4

- Bku 4

- iu v 4

- th h soe h v 5

- H dpe h h 7

section 2: dpe organisational strUctUre and sUmmarY 9

section 3: programme pUrposes, oBJectiVes & measUres & cipm 11

- m a 11

- cipm sy 12

- ey Bb e 16

- l, gv, rk t 21

- muu e 25

- t e 29

- J pj f y 33

1


3/21

MINISTERS FOREwORD DIRECTOR-GENERALS REPORT

s 2004, v y h h

vy soe v

u h hy ub bu

that provide economic benet to the country.

i h juu, h b

y h h

h soe u h suh

African development state is clearly dened.

Ky h u u h

v uu,

h v v uub h v h soe

u

v k, hy

their supply chains.

a , h hh v

u hv h h

soe h y

that this role is explicitly and precisely dened.

th h

h soe v ky

kh h h

viability and coherence of SOE. It will guide

h h

v soe B h

their formal mandate. It will impact on the

u,

v h

n tuy h

to bolster SOE balance sheets.

th h bu soe

u y h

qu hh v

across government. The smooth roll out of

h uu qu

h - , uy

approvals are processed efciently, funding

h , ev

i a (eia) x

servitudes are granted. Furthermore, if we are

v h soe v

v v u b

u h v k,

hy y

with the procurement process. This will

h v

u k, v

qu, h,

h h , h d

e dv, h iu

dv c, h d

s thy h d

of Labour.

th d v

u h vy h kh, bh h

u v, hv

h h soe

y u h

and regulations support this alignment. In

, h h h bu

y v k h h

kh h h h bu

of the SOE to growth and development. In

h , xy bu h

u b h d

u hh

x

social development.

Bh y y duy y

h kh

v hh h bu

u h

be optimised. Achieving the objectives of the

qu hh v

k h d h

B,

the SOE. I look forward to the coming year

with a great deal of excitement.

BarBara Hogan

Minister of Public Enterprise

ov h , b y

h soe b u

instruments of the developmental state. Yet,

h by

z h b u

h soe, h by h soe h

current state to deliver on these aspirations.

B h k h b

- b ky uh

procurement are examples of these gaps.

th bu h

d yy v

u h u u

h h h soe h y

can be progressively enhanced. This will require

u d h u -

active shareholder management capabilities.

th d b

ky v h u

hh b:

The Department has invested signicant

time and effort in rening the shareholder

management model. This model involves

developing a precise denition of governments

h h

B h soe h

hh

relevant key performance indicators. The

bu

h b

h u h h

targets dened in the compact. We will be

placing signicant emphasis on the efcient

operationalisation of this model.

th d h v

hb -

ganised information pertaining to SOE nancial

k bh

vu

a whole. The implementation of this dashboard

k j y

the process of enterprise monitoring.

i vy k,

y k v

u, h soe

h d b u -h

b-u uy h

reports. These reports will then be shared

h kh,

the commercial sensitivity of their content.

th v h by v

h hh h

Department to a more proactive mode.

th v h hh -

ment process will be signicantly impacted by

h quy h u y h

accessible to ofcials in the Department. The

h x,

v h, h

hh uu

u b bu

bu h u

capital. The Department will put some effort

y k b v h

coming year.

fy, h d v

av m cu, uy

v soe, h h Uvy c

Town. The course will be relevant to high

v v

departments and SOE. The objective of the

u v uu

hh

enterprise managers.

The last ve years have seen signicant prog-

u u , u

specialist skills and in rening our approach to

shareholder management. I am optimistic that

implementing this strategic plan will signicantly

h h d bu h

SOE and to the economy as a whole.

portia molefe

Director General

Both myself andmy Deputy will

play a leading role

in engaging with

stakeholders to create

an environment in

which the contribution

of our portfolio of

enterprises to growth

can be optimised.

Achieving the objectives

of the strategic plan

will require a high level

of effort and teamwork

from the Department

and the Boards, as

well as management

and staff of all the

SOE. I look forward

to the coming year

with a great deal of

excitement.

The Department

has developed an

electronic dashboard to

facilitate rapid access

to well organised

information pertaining

to SOE fnancial

and operational

performance and risks

both as individual

enterprises and as a

portfolio as a whole. The

implementation of this

dashboard will mark

a major step forward

in systematising the

process of enterprise

monitoring.

2 3


4/21

BACKGROUND

th d pub e (dpe),

h hh v-

h b

u h suh a

y h h s o

Enterprises (SOE). These SOE will play an

gv vh

y huh bh

indirect set of responsibilities.

th dpe, huh h soe, h

by h

y:

eu h uy uy h

efcient and competitive provision of key

economic infrastructure.

f h v v

uu by huh:

v v u soe

soe v u

h h

global enterprises.

soe b u by h u

economically stiing market or regulatory

u y h k

infrastructure.

dpe h y, u

h h v

h v huh h

v h soe

a k v

h h soe h h

bjv h b

government departments.

a v by soe h

h v v

h b

government departments.

su v u

bu b u v

by v uu v

soe-v h

viability.

i h x h b ,

h h soe uu

v h

vy huhu

h uy h h b uy

important.

INSTITUTIONAL ADVANTAGES OF

STATE OwNED ENTERPRISES

th soe u

for the development state. The commercial

h b h

u h h v

b h hu

economic activity. The SOE institutional form

v h

h ub vub v u:

cy h

uu

national importance.

f v (u

on the national scus) for the funding of

these programmes.

a h b

b

institutional form.

a v

vy h v

department in certain specic contexts.

CONSISTENCy OF STRATEGIC INTENT

oh by h v by

y h

xu -

areas of strategic importance to the economy.

th v:

Investment in, efcient operation of and

-v v k

infrastructure.

ov h b qu v

v by v y,

uy h x v

regulatory immaturity.

dv u u huh

u

promote industrial investment.

pv -

application of the national R and D effort.

d y h k

y v u

market failure.

FINANCIAL LEVERAGE

Enterprises use a convention of nancial planning

h u by b

capital markets. Consequently, enterprises have

h by v u h

markets utilizing a range of nancial instruments

and sources of potential capital. Enterprises can

vy u h u h u vu

b v h uu

uu by v h uu

potential. This combination of capital raising and

v u h, b u u

signicant investment programmes, especially in

k uu, u

the burden on the national scus.

PRIVATE SECTOR (GLOBAL AND

DOMESTIC) PARTNERShIPS

By vu hv u

uu,

hv h by h b

v h

v y bu

y u h, bu

k h u y

v

than what can be achieved in isolation.

COMMERCIAL INCENTIVES FOR

MANAGEMENT

th vy bh

h h hv b

v y v

uby h h z

ub h h h

disciplines imposed by a market environment.

This enables the efcient mobilization and

u h h

in ways that would be extremely difcult

hv h h x h ub

service. The modern enterprise has become

h u u v

the global economy.

4 5

CONCLUSION

i uy, u h h ,

h v

v h u h:

i h ky v h v

productive capabilities.

H by

h u

communicating value.

eb h b

of resources.

lv h u v

kh h ky

v bjv

intrinsically exible manner.

Y, soe y

, h hy hv

hv

objectives. This creates a delicate balance

h h u ubv

vby h ,

bu v- h

u, v bjv

be compromised. In the worst case scenario,

h u u

by b

making and inefciency resulting in the nancial

u h h ubv

governments strategic objectives. It is the role

h hh u h h

balance is well managed.

ThE STATE OF ThE SOE AND ThEIR

OPERATING ENVIRONMENT

th soe h h dpe ,

y h u h v

k uu,

u h

h - h y

v uu

growth. To be able to fulll this role these

soe u b u

b uy v h s

Intent signals of Government as shareholder.

B h h

b x v h

SOE to operate in. A strong enterprise also

h h soe hv:

aquy b h

Adequate and predictable cash ows going

forward, sufcient for the execution of their

v bu

s B m

s bu

a h bu

rv gv

objectives.

a h h u

varying degrees not in place. The DPE-portfolio

soe ub h hy

- y

this pivotal role. The DPE has identied six (6) h h soe h

h :

lk y

n- hy h soe

c h u

auu uu v

decit in South Africa

py uy v

h soe

ly h h b dpe

and the SOE.

CLARITy OF MANDATE

th h vu soe gv

y quy

dened. This lack of strategic role denition

bby u b :

a -1994 u vz (u u

vy y)

A legacy of poorly dened governance

h h b h

hh h soe

th h u h soe

relative policy vacuum. Without an explicit

h y,

h yy juy h

capital to SOE. In addition, sectoral policies

and regulations can conict with national

bjv, hu h y

hv h

intended role of the SOE. Finally, the strategic

h soe

b yu h b

clear national mandate.

NON-COMMERCIAL hISTORy

OF ThE SOE

th - hy h soe (y

vy v )

v h h by

h h bjv

b -v

h k hv h b

economic goals of Government. This analysis

u b h h soe

h x

h suh a

y uu kh

voices that need to be accommodated. The

h h soe u:

a , buu uu v by

h h h

y uu

a bu v, h h y

driven planning process.

th quy h

a hy v

inefciencies

An accumulated history of poor nancial

u

a h y v y

core focus.

FINANCIAL POSITION OF ThE SOE

There are ve important factors adversely

impacting on the nancial position of the DPE

soe, h h

qu h y h

, uy hv

developmental portfolio is to be constructed.

th u:

th u h y

use as the nancial instrument of choice

soe qu b h u

, , u v

h h vu, b

resultant cash-ows of the SOE do not

u ub y

respect of interest and guarantee fees.

c h soe h h y

v h

huh uu k

u b u- h

weak nancial positions.

r ub v

SECTION 1:


5/21

suh a

uu qu u

h, u h h

b huh

b hu h quy

of the SOE balance sheet.

ly b bu

soe u

u qu u

the provision of services.

ly, h uy

restrict protability required to fund the

infrastructure programmes.

ACCUMULATED INFRASTRUCTURAL

INVESTMENT DEFICIT

The SA economy faces an accumulated decit in

uu v v h u

h y h x

h uu

h h hv h h

objectives set by Government. SOE are going

y v h

investment programmes. This places enormous

u h bh h bu

nancial investment required as well as the

k u by h soe

deliver on these investment programmes. It

hu b h y

h soe hv hy y

v y h quu

now being contemplated and planned for.

POLICy AND REGULATION

soe x v h

h

h by gv

Strategic Intent objectives. In many instances

h y uy v

b h soe hv h

, h h h v

is hostile to the performance of the SOE.

The DPE has identied three variations on

h h:

soe - h y

In some cases there is conict between

y soe uby

d y by

vu kh

m b uy

soe bu

Inherently conicting objectives of the

u soe bu

ru y

y bjv b u

Lack of capacity in the Regulatory bodies.

LEGACy OF ThE RELATIONShIP

BETwEEN DPE AND ThE SOE

Until 2004, ofcial government policy focused

vz soe, h h v h

enterprises to achieve strategic national goals.

th u hh v uy

v h hh -

ment process. Consequently, the relationship

b h hh h

SOE remains relatively immature. A number

v hv b hv h

h v u

h u y:

shh c h Kpi

b h dpe h vu soe

soe ceo ch u

i h h

dpe-soe dhb

ru Kpi-b h vu

soe b -h y

the nancial and operation performance of

h soe

th v u hh

by h dpe bu h

is still to be fully implemented.

th h b h dpe

soe B , h B

h ky h v vh

h v

SOE strategy. Consequently, Boards play a

u h soe h

governments strategic intent. The DPE has

identied a number of areas to focus on:

B c h v bh

-v

v y

objectives.

ru B u

h b b

v bjv

is being achieved.

6 7

ru u h

u v

targets.

a b

u B h vy

hh bjv, u

h s i, h hv

Shareholder Compact targets.

a soe c p

Shareholder Strategic Intent.

hOw DPE wILL RESPOND TO ThESE

STRATEGIC ChALLENGES

i h h, h dpe

has reviewed its mission statement. The new

:

t z h b h

h soe h

y h h dpe

huh v

b hh

v h kh

b v uh

alignment.

t h , h dpe u

v h b:

ENGAGEMENT CAPABILITIES

Constantly rening the shareholder

management model and methodology.

m y soe ,

b, y, k

u h v vb h hh

k bh v v

corrective actions.

e h kh bh

v - v

b y uy

environment for SOE.

eh soe b

through focused projects.

e h v

to dene and optimize the role of SOE in

the national economic strategy.

SUPPORTING ORGANISATIONAL

CAPABILITIES

Bu dpe b u h

v - h

Departments activities.

cuuy h d

u y u h

h d soe

hh

levers.

c v hhy

qualied people with relevant shareholder

management skills.

ThE ROLE OF DIFFERENT FUNCTION

IN ThE DEPARTMENT TO SUPPORT ThE

STRATEGy

wh h x, h v h

d g (dg) :

ovh h , -

ment responsibility for, the Department.

cuu h

kh b -

v soe

h ky soe y h

economy.

cuu h soe -

h b h

Department and the SOE.

The role of the DGs ofce in this context will

b v u

h dg h h h

h :

Efcient delivery of required ofce ad-

ministrative operations.

ov-h h v h dpe

brand specically ensuring alignment of

v h x

and acting as nal quality control of key

external communications.

ov-h v k

management system specically ensuring

h vv

hv buy- h vy

v bh

external stakeholders.

ov-h h y

formulation process.

To implement specic projects identied

by h dg h vu h

Departments mission.

th h ch iv p

Manager has been revised. This involves:

t , , y -

u v

h h soe h

environment.

t hh k v

proposals on mitigation.

t u qu

/ mitigation that are identied and track and

monitor implementation thereof.

t v v h m,

dg soe b h

information and analysis.

t v ky k h h

u h h hh

management process.

i , h d b bh

y by h

v v

b y

v by:

pv y u h y

development activities.

p h u u h

b h soe

well-grounded.


6/21

th soe f t hv h :

m y h soe

y, k, b

v h dg,

m cipm v

v v h d

hu k z soe

and minimize risks.

e h v kh

b y uy

environment for SOE.

th J pj fy h h

y, j

h v soe , b v h h

impact.

l sv v

v h d bh

h x kh

the management of internal stakeholders.

o h h by v

required supporting IT, nancial, human re-

u h ky v

support services.

th b v

h

v h u h h

Department.

8

uu

MINISTER

pub e

DEPUTy MINISTER

pub e

DIRECTOR-GENERAL

pub e

Special

Advisor

DDGch iv &

p m

DDGey & Bb

e

DDGl, gv,rk & t

DDGmuu

e

DDGte

DDGJ pj

fy

OPSCOch

Ofce of the

Director-General

(u )

Chief

Financial Ofcer

(CFO)

Chief Audit

Executive

head

Communications

Ofce of the Minister

(u )

9

SECTION 2:


7/21

10 11

1MANAGEMENT & ADMINISTRATION

PURPOSE:

ahv h d bjv huh v vh

key supporting functions and processes.

MEASURABLE OBJECTIVES:

t v h

t v u v b h v

bjv v h h hu h dpe bh v

empowered.

t v h quy v y by

u h , u v, u

implemented within the DPE.

Management and Administration includes the Ministry, the Ofce of the Director-General

and Support Services. The programme includes policy formulation by the Minister and

senior management. Support services include corporate services, information technology,

communications and nance.

The following units fall under Programme 1:

Ministry

Ofce of the Director-General

Ofce of the Chief Investment and Portfolio Manager

Corporate Services

Finance

Supply Chain Management

Communications and International Relations

Information Management

SECTION 3:


8/21

12 13

CIPM STRATEGy

i , h cipm h

v u, x

vu v -v

excellence within DPE which condently and

y x hh h

complies with shareholder obligations. CIPM

vy v

vu u xu

the scus across the portfolio of investments

h dpe bh h s

huh hh

h u:

c uby h

v v

credit rating.

Optimization of cross-portfolio benets

u, k v-

, y u

BBBee h h vu

u, h ub vu

trained to qualication and placed in full-

y h

BBBEE codes.

c- v

huh

and synergy of network infrastructure.

LOGICAL PLANNING, MONITORING AND EVALUATION PROCESS

i , h cipm h v u, x

vu v -v x h dpe

which condently and consistently exercises shareholder rights and complies with

shareholder obligations. CIPM will progressively demonstrate improvement in value

creation and reduction in exposure to the scus across the portfolio of investments

h dpe bh h s huh hh

h u:

c uby h v

v ;

Optimization of cross-portfolio benets towards industrialization, skills

v, y u BBBee h

h vu u, h ub

individuals trained to qualication and placed in full-time employment and

h BBBee ;

c- v huh

yy k uu

u ky

h soe v

the desired outcomes and objectives.

MONITORING AND EVALUATION

cipm uuy v h

y u:

soe v hh k

y u

sufciently robust and provide a level of

y h hh h

enable rapid capitalisation decisions.

p y

h u u v h m dg h

qu k ky

and nancial decisions relating to the

portfolio.

t soe

, v uu

h ,

-u hh k

b, h ibuk dhb

b uy u h

covered. KPIs in relation to strategic priorities

u b b -

b, h soe u

terms of the impact on economic growth.

iv b b v h m

and DG on a quarterly and annual basis. The

v soe v

a rolling period of three years. The ve-year

v h u

soe v h

respective sectors and the broader economy.

CAPITALISATION AND DIVIDEND

POLICy

th dpe v uu

k k

hy h b

u h

capital requirements of each SOE. The

k b u

with a specied level of certainty, the amount

qu v h v

hz j uu

qu h xz h vu

h by y

h qu b quy

debt. The framework will serve as a basis

structure and dividend policy for the SOE.

fuh, h dpe qu

u h h h h soe

u h u qu v

on their respective infrastructure programmes.

t h , h

b uu u

required by the SOE is being undertaken.

th bjv h uy b hvu u h soe

u v

nance as well as the various models

y by gv u h

to provide for large capitalisation requirements.

A major shareholder risk identied is that the

uy v -

reective tariffs and medium to long-term

certainty. CIPM will therefore undertake a

uy uy h

for network infrastructure.

STRATEGIC INTENT STATEMENT

th y u h

s x soe y b

s i s

(SIS) for each SOE in the portfolio. The

sis b uy

h soe u,

bu, bu, u

thresholds or investment strategy. To ensure

y y bjv

h soe u

h - b y, uy,

customer and nancial interests, the DPE

u h

h n p c (npc)

h y h s

hh h soe h h

portfolio. Such consultation will entail an

h b h

y uy v h h

nancial and operational goals of the SOE

u hh vu

hv -

objectives. The issuing of t he SIS by the DPE

b h h soe

y u h h soe

h

details to attain the strategic intent.

CORPORATE PLAN AND

ShAREhOLDER COMPACT

th h

exuv auhy h h B

hv huh u-

hh , h soe

bu h hv h

shareholders objectives. It is also a useful

x,

bjv h B h

achievement of milestones and progress.

gu b v h h

u v h h

soe hu v h hh,

each year, in its corporate plan. A

hh h h

soe u u h ky


9/21

14 15

MEASURABLE OBJECTIVE:

Sub

Programme

Ke Projects Measure/Indicator 2009/10

Target/Milestone

2010/11

Target/Milestone

2011/12

Target/Milestone

CIPM syh

, &

vu

soe

u

soe

s

u

soe by

sb

s

u soe by

sb

s

u soe by

sb

s soe

c p

av u

soe

by Juy

2009

soe agm & s

s h soe

B

soe agm & s

s h soe

B h uy

by db

soe agm & s

s h soe

B h uy by

db

soe agm & s

s h soe

B h uy by

db

shh shh

uy by a

shh

uy by a

shh

uy by a

soe

&

hh k

fuy u ibuk

dhb &

Quy shh

b b

, ,

-

u hh

k

Quy shh

b b

,

,

-u

hh k

Quy shh

b b

,

,

-

u hh k

shh k

identication

iv b

c uu

k

dpe c

v y

av dpe

c

v y

p quy

& by

xu

sh, hh

& guarantee ofce

av u

h ub,

hh &

u

ebh h,

hh &

guarantee ofce

e & uy

h k

uu

suy &

uy h

k uu

r &

uy h

k uu

uy

CIPM STRATEGy 2009/10- 2011/12


10/21

16 17

2ENERGy AND BROADBAND ENTERPRISES

PURPOSE:

a uy h ek, pbb B

mu r Bb i v

performance targets.


eu h h h

v by v h h y, vu

business plans annually.

eu h hh

by benchmarking and monitoring the nancial, operational and infrastructure targets on a

quarterly basis and assessing shareholder and enterprise risks.

ex suh a ict uu v y by:

x Bb i u v k h

s i thy ay h j h

qu bb, by -2008

h u h suh a-eu ub b by h

end of the rst quarter of 2010.

m ek quy by x

practises, distribution efciency, and capacity expansion programme to ensure delivery of

new energy generation capacity.

su - vy ub y uy huh u

by:

u qu u u j

uk by pbb B mu r

uy by pbb B mu r, u

v

u u pbb B mu

Reactors business and strategic plans and feasibility studies.

Measurable object: Ensure energy and broadband sector SOE achieve their targets by the end of the MTEF period by monitoring and annually

assessing their nancial and operational performance against targets set in the shareholder

Sub

Programme

Ke

Projects

Measure/

Indicator2009/10 2010/11 2011/12

Broadband

Infraco

ovh

Bb

i

au r,

c p,

shh

c

ay a

h au r

c

p h au iv

B

shh s i

cuqu

h i agm

ay a

h au r

c

p h au

iv B

shh s

i cuqu

h i

agm

ay a

h au r

c

p h au iv

B

shh s i

cuqu

h i agm

a

soe B

sh

dv k

i B

qu

rv h k

i B

qu

rv h k

i B

qu

ahv

mtef

ay Quy

au

a pfma

a

ex

b v

u uu

ay Quy

au

a pfma

a

ex

b v u

uu

ay Quy

au

a pfma

a

ex

b v u

uu

Infraco ve year

v

p i 5 y

v (b

vu ub)

ay i 5 y

iu dpe soe 5 y

v ub

p i 5 y

v

(b vu

ub)

ay i 5 y

iu dpe soe 5 y

v ub

p i 5 y

v (b

vu ub)

ay i 5 y

iu dpe soe 5 y

v ub


11/21

18 19

Measurable object: Ensure energy and broadband sector SOE achieve their targets by the end of the MTEF period by

monitoring and annually assessing their nancial and operational performance against targets set in the shareholder

Sub

Programme

Ke Projects Measure/Indicator 2009/10 2010/11 2011/12

Energy ovh ek

pBmr

au r,

c p,

shh c

ay a

h au r

c

p h au

iv B

shh s

i cuqu

h

agm

ay

a h

au r

c

p h au

iv B

shh s

i cuqu

h

agm

ay a

h au r

c

p h au

iv B

shh s

i cuqu

h

agm

a soe

B sh

dv k

soe B

requirements.

rv h

k soe

B

requirements.

rv h k

soe B

composition requirements.

ahv mtef

ay Quy

au

a pfma

a

ex

b

v u

uu

ay Quy

au

a pfma

a

ex

b

v u

uu

ay Quy

au

a pfma

a

ex

b

v u

uu

SOE ve year

v

p 5 y

v

(b vu

publication).

Analysis of ve year

performance.

iu dpe soe 5

year review publication.

p 5 y

v

(b vu

publication).

Analysis of ve year

performance.

iu dpe soe

5 y v

publication.

p 5 y

v

(b vu

publication).

Analysis of ve year

performance.

iu dpe soe 5

year review publication.

m eky x

tu vy y

cy vy

cy vy

cy vy

cbu

v

h y

bu

uu

suh a

p edi

bh

r ey

dbu

m

h

h r ey

dbu

m

h

h r ey

dbu

m

h

h r ey

dbu

ek

g

quy

dv

k

v

ru u

v

v v

ru u

v

v v

ru u

v

v v

s

p

a

i i

Bb

p suh

a

c Bhk: p,

sv v, cy,

a Bb

p suh a,

u suh a

ky

ay uy u

suh a Bb

u -

y u

wk h i

u

bu gdp bh b (bk

infrastructure expansion).

c Bhk: p,

sv v, cy,

a Bb

p suh a,

u suh a

ky

ay uy u

suh a Bb

u -

y u

wk h i

u

bu gdp bh b (bk


c Bhk: p,

sv v, cy,

a Bb

p suh a,

u suh a ky

ay uy u

suh a Bb

u -

y u

wk h i

u

bu gdp bh b (bk


c

exu

p:

i

sub cb

t

k

m f h

i h

i sub

cb (w a cb

sy)

m xu

j h

terrestrial cable network.

m f h

i h

i sub

cb (w a cb

sy)

m xu

j h


m i

h vy

j

(sKa,

mKat sanrn)

m f h

i h

i sub

cb (w a cb

sy)

m xu

j h


m i

h vy j

(sKa,

mKat sanrn)

Bu p

ouu

o-h

(Bpo&o)

csdp u h

bu huh

n i

tu

uu b

h Bpo&o uy (

, , bkofce support, etc.)

csdp u h

bu huh

n i

tu

uu b

h Bpo&o uy (

, , bkofce support, etc.)

csdp u h

bu huh

n i

tu

uu b h

Bpo&o uy ( ,

telemedicine, back ofcesupport, etc.)

lv soe

uu

v

y

h u

v

h

ey

Bb soe

dv h k

uy h soe

uu

y u

h v b

undertaken.

a soe uu

v

v

x j

x u

v by h soe

dv h k

uy

h soe uu

y

u h v

are being undertaken.

a soe uu

v

v

x j

x u

v by h

soe

dv h k

uy h soe

uu

y u

h v b

undertaken.

a soe uu

v

v

x j

x u v by

h soe

Measurable object: Ensure energy and broadband sector SOE achieve their targets by the end of the MTEF period by monitoring and annually

assessing their nancial and operational performance against targets set in the shareholder

Sub

Programme

Ke

Projects

Measure/

Indicator2009/10 2010/11 2011/12


12/21

20 21

Sub

Programme

Ke Projects Measure/Indicator 2009/10 2010/11 2011/12

e i

uy

u

cv

su

dv

p

dv tor uy

k

soe bu sa

ey

a soe

bu suh

a ey

a soe

bu suh

a ey

a soe

bu suh

a ey

lv soe

uu

v

y

h u

v

h eysoe

dv h k

uy

h soe uu

y

u h

v b

undertaken.

a soe uu

v

v

x j

x u

v by h

SOE.

a soe

uu

v

v x

j

x uv by h

SOE.

a soe uu

v

v

x j

x u

v by h

SOE.

pBmr v

bu

pu

o

m

v

h

v bu

and product offering.

i v

bu

i

v bu

i v

bu

3LEGAL, GOVERNANCE, RISK AND TRANSACTIONS

PURPOSE:

Align corporate governance, risk management practises and signicant and material transactions

h v bjv qu b

legislation, litigation and transactions management.


c h tk h (vuy h db tu)

beneciaries by appointing a service provider to trace the outstanding beneciaries.

f v x avu h suh a fy cy by

disposing of assets such as Komatiland Forests.

eh v by:

bh k h v v h

mtef

hh u u, u u

hh , b b u huh u

h h v b

bhk k uy huh qu y

v

u quy hh k

u v v by u u v u

state owned enterprises.


13/21

22 23

Measurable objective:

Sub-Programme Ke Project Measure /

Indicator

2009/2010

Target/Milestone

2010/2011

Target/Milestone

2011/2012

Target/Milestone

LITIGATION

Uhuz p

t

suu

gv

cu

vu

h d

th

sb

2009

uh

u Uhuz

uuu

h su cu

th

sb 2009

uh

u Uhuz

uuu h

su cu

lz/

phu

p

p-

cu

ob

suu u

gv

cu vu

h d

i

2010, y b v

h hu h

nb c

n B

h

uk

h u

m by

dpe y

nb h h

m by dpe

y nb

h h

m by dpe

y nb h

h

equy av oh

rv

exh

p-

ob su u u gv

cu vu h

d

Legal advice o

soe

h

b

r

soe v

r soe

v

r soe v

r soe v

TRANSACTIONS

Aventura o

h

u

l

v

u h

h r

c

suu u

h cy

i x h h

matter will be nalised by

h 2009

i x h h

will be nalised by the end

2009

Denel eu

uu

a

uu

rv,

v h

d u

h

u v

d ub

cu -

cu

m x hv

been nalised before this

nancial year

SAA a f

qu saa u

uu

av

d u,

u

h

k b

h uu

rv

v u

y y

rv

v u y

y

rv v

u y y


Sub-Programme Ke Project Measure /

Indicator

2009/2010

Target/Milestone

2010/2011

Target/Milestone

2011/2012

Target/Milestone

SAAT av

d

uu,

h k

h

u

v

a

uu

exu

d v

d

d

bh soe

exu

e

t u

SAFCOL m y h c u

h

b dpe,

safcol

nef

t y

hh u

safcol

exu

u

t u

Infraco cu

h sub

b

m

u i

h a,

r m

i

hh

ty u i

hh

ty u i

hh

Shareholder

Management

Practises

lv v cv kh h

kh

h v

h pfma

h c

a h

v

soe

a h pfma h

c a

sub

b

i hh

m v

hh m

p

Eskom ebh

edi 6 --

reds

cu

a

edi B

e

cu

a

e ediB

ebh reds i x h h

will be nalised before this

nancial year


Sub-Programme Ke Pro ject s Measure / I nd icator 2009/2010

Target/Milestone

2010/2011

Target/Milestone

2011/2012

Target/Milestone

GOVERNANCE

B

cb v

B

ay k

B soe

ay k

B soe

ay k

B soe

au g

m

av m

x

hh h

agm

av m

x

hh h

agm

av m

x hh

h agm

av m

x hh

h agm


14/21

24 25


Sub-Programme Ke Pro ject s Measure / I nd icator 2009/2010

Target/Milestone

2010/2011

Target/Milestone

2011/2012

Target/Milestone

gv

tbx

au

r

soe h

v

soe h

v

soe h

v

soe h

v

g

hh

u

u

soe

rv

hh

u u

soe

wkh v

hh

u u

i

hh

u u

m soe

hh

u u

ox u

m cbv u

wkh uh so

i u m soe u

au B

su soe

shh s

i s

shh

c

su soe

h y

hh

su soe

h y

hh

su soe

h y

hh

d

B iu

iu u

B by dpe

hh

expectations.

i

B u

u vu

Board performance.

i B

u u

vu B

performance.

i B

u u

vu B

performance.

4MANUFACTURING ENTERPRISES

PURPOSE:

a uy h d h

suh a fy cy l v



eu h h h h

v by v h h y, vubusiness plans on an annual basis.

eu h hh by

benchmarking and monitoring the nancial, operational and infrastructure trends and targets

on a quarterly basis, and assessing shareholder and enterprise risks.

Assist in returning Denel to protability by 2011/12 by:

h h uu y

h 2006 uu y

h u 60 d uv h

k

restructuring the Denel subsidiaries to ensure commercial viability.

i h h uy by:

u b h d d d

x huh h, v

cooperation, such as establishing a Defence Export Council in 2009.


15/21

26 27


Sub-

Programme

Ke Pro jec t M ea su re / I ndi cat or 2009/ 2010

Target/Milestone

2010/2011

Target/Milestone

2011/2012

Target/Milestone

Denel o

p

m

d s

d

shh

s i

s

shh

c

ty

hh

ty

hh

ty

hh

a

c p

ty

bk soe

ty

bk soe

ty

bk

soe

a

soe rv

soe pr

ty

bk soe

ty

bk soe

ty

bk

soe

eb d

s r

v d

cb

r

v

b

h

dod

f

i d

fuu s p

i

d fuu s

i d

fuu s

eb d

s e

v

uu

e

--bu

(dtB)

bu

(lB)

identied in

(h 3 y)

a d y

h iu y

iy ky dtB /

lB u

Full pre-requisites for

dtB

/

lB

exu dtB /

lB

ebh

of new rms in

suh a

u v

uu

u h

u u

h

(h 5 y)

iy u

d

u y

h v

v uu

suh a

i y i y

60% d

pu

y

dv u

v

h d BU

u

u

i su

dv p

i su

dv p

eb d

Bu suby

s u

ub

aquy u

bu by mh

2010

pv

prot by March 2011

Positive Net prot by

mh 2012


Sub-

Programme

Ke Pro jec t M ea su re / I ndi cat or 2009/ 2010

Target/Milestone

2010/2011

Target/Milestone

2011/2012

Target/Milestone

aqu v

-u r&d by

h bu u

f ruu

d

a r&d p

uu

ahv uy

bhk r&d by

mh 2012

iv p

dvy

ahv dvy

t a mj

p

ahv dvy

t a mj

p

ahv dvy t

a mj p

eb dBusiness Efciency

o y

y v

in prot margins

(,

)

ahv c p

ahv c p

ahv cp

SAFCOL o

p

m

d s

safcol

shh

s i

s

shh

c

ty

hh

ty

hh

ty

hh

a

c p

ty

bk soe

ty

bk soe

ty

bk

soe

a

soe rv

soe p

r

ty

bk soe

ty

bk soe

ty

bk

soe

a

B p

ty

ty

ty

eb safcol

s r

suh a

ey

f

safcol fuu

p l c

Denition of role and

u

safcol

thereof.

i

i p

i

i p


16/21

28 29

5TRANSPORT ENTERPRISES

PURPOSE:

a uy h t, suh

a ay suh a ex ay v



eu h h h h

v by v h h y, vu

business plans annually.

eu h hh by

benchmarking and monitoring the nancial, operational and infrastructure trends and targets at

least quarterly, and by assessing shareholder and enterprise risks.

sh v v h u huh:

u v h nqu

ensuring access to rail branch lines by private operators.

Develop a long term strategy for improving the efciency and performance of investments by

h by:

h suh a ay uu uu y by

assessing prot margins against targets

applying the national corridor performance measurement tools and indicators.


17/21

30 31

Measurable objective: Proposals and strategies to ensure that the strategies and operations of Transnet, SAA and SAX are aligned with

Governments strategic economic intent

Sub Programme Ke Projects Measure/Indicator 2009/2010

Target/ Milestone

2010/2011

Target/ Milestone

2011/2012

Target/ Milestone

Transport ovh c p au au au

shh c h

t

cu b

au g

m

cu b

au g

m

cu b

au g

m

ahv mtef

by t

Quy u

a pfma

s 54

Quy u

a pfma

s 54

Quy

u

a

pfma s 54

ov v

nqu

a v

xu

a k h

ky kh

i

f

o

m

h

pv

huh u

bh by

v

ebh u

uu

fk

n h

bh k

m bh

u (bh

y)

iy

h

k

c -

out of rst wave of

cu u

u

dv n c

p mu

(ncpm)

it y

a

pu

y

Bu uu

sy v

p

i u

h h

ay

t

inuence in the economy

dv b uy

t h

y

Uk b

uy

Quy x

rv b uy n b

m u

t x

m

bu

a h

au au au

i

cv su

dv p

(csdp)

lv t x

h v

u u

Identication of CSDP

u

t

m

m

Measurable objective: Proposals and strategies to ensure that the strategies and operations of Transnet, SAA and SAX are aligned with

Governments strategic economic intent

Sub Programme Ke Pro je cts M ea su re/ Indic ato r 2009/2010

Target/ Milestone

2010/2011

Target/ Milestone

2011/2012

Target/ Milestone

Aviation ovh saa

saX

c p au au au

shh

c h saa

saX

cu b

au g

m

cu b

au g m

cu b au

g m

ahv

mtef by saa

saX

mhy (saa y),

quy u

a pfma

s 54

mhy (saa y),

quy u

a pfma

s 54

mhy (saa y),

quy u

a pfma

s 54

fuh

v

h a

av sy

eh a

av sy

v

u h ky

stakeholders.

i

h a av

sy by saa

saX

m m

rv saa

& saX u

k

uy

a

a bu a h

bu

a h

bu

a h bu

dv

saa

s

f

v & u

r-

saa

bu u

u quy v

dv

bu

u

wk h saa

v bu

bu

u requirements.

wk h saa

v bu

bu

u capital requirements.

i

bu u

2009/10

i bu

u 2010/11

a

bh suh

a ay

th (saat)

u-

u a

hub

fb y uy a b y

saat u

y

h u quy

v

wk h saa

tuy

hy

i uu

b


18/21

33

6JOINT PROJECT FACILITy

PURPOSE:

iy y, v

-u j h v h ,

v b h soe h

benet of the SOE, the South African economy

and Africa as a whole.

pj u Jpf :

The Competitive Supplier Development

Programme (CSDP) is responsible for nding

vv y v soe u

bu uu

b, bh uy h soe h

h bu

h b vu h h soe

rst tier multi-national suppliers. This project

u uy u

u v, vv dti,

DST and the IDC. Another key component of

h j u

h soe, huh

certication.

The South African Power Project (TSAPPRO)

h b bh v

recommend how the benets of Eskoms

c ex p

h u ubh

x , b x

to the benet of the South African economy.

th h ub

u uu b

qu h

requirements of the build programme.

The Human Resources and Capacity Building

Programme ky u u

sufcient supply of artisans, technologists and

u h uu bu

programme and its ongoing maintenance.

dpe h soe k h

h dl de seta-u

k h soe u

fet c u b h

h qu b

certicates. A sub-programme of the HR

cy Bu p, the Solar

water heater (Swh) Skills Development

Programme , h

y h y 2008 k

gaps in the plumbing industry were identied

as a key constraint to the mass rollout of SWH.

a uh ub- h u

Management Learning Programme

which will assist government ofcials as well

soe m h x

u uu h

performance of state enterprises. DPE also

h Autumn School h py

p c u b

v uy u h

uy x u ky u

government and the SOE.

The Africa Programme u

h v y

y huh

h soe, dfa v

utility counterparts. A further component is

focused on the identication and development

u soe

bu

quy h b vu

h u- qu

manufacturers. This is being achieved through

h u bhk u

programme undertaken as part of the CSDP.

The Aerostructures Project bu u

u v uy

u v a sy

suh a u h

skills base in this sector.

The Technology and Innovation Project

v k soe hy v

commercialisation opportunities.

The Property Project u

h vu v

non-core SOE properties. The project has

bh soe n-c py

d py B-B Bk

e e gu u

the disposals.

th ev iu pj v

u h h v

y b h v

v h h v soe

infrastructure rapidly.

32


19/21

34 35

Measurable objective: Identify synergies, co-ordinate and develop cross-cutting projects that leverage the assets, activities and /or capabilities of

the SOE to the benet of the SOE

Project OutputsMeasure /

Indicator2009/2010 2010/2011 2011/2012 2012/2013 2013/2014

Competitive

Supplier

Development

Programme

(CSDP)

r-bh

uu

u u

u soe

uu bu

huh

bhk,

y

u u

qu k

m

su

dv p

on dashboard.

Unido

u

bhk

& u

development.

p

u

huh and certication

soe u

csdp

sdp

quy

dashboard.

m

soe

u

v

Process ow

sdp

quy

dashboard.

m

soe

u

v

i

x

csdp

sdp

quy

dashboard.

rv

u

location.

soe

u

v

Implementation.

sdp

quy

dashboard.

rv

u

location.

soe

u

v

Implementation.

sdp

quy

dashboard.

rv

u

location.

soe

u

v

Implementation.

The South

African

Power

Project

(TSAPPRO)

mx h

benets of

h y

uu

h suh

African economy.

lv

u

hv

huh

uu

upgrades.

i

u

y

Implementation. Implementation. Implementation. Implementation.

Project OutputsMeasure /

Indicator2009/2010 2010/2011 2011/2012 2012/2013 2013/2014

Africa

Programme

s p

puh

a

j

h

v

u

r k

v

h

v

consensus.

Denition of

x a

h

v

u

r su

dv

Programme.

a h

nalisation of

ppa

projects.

f

u

k

plan.

Identication

v

u

y j

ru

uy

,

bhk

u k

demand.

i

i

i

i

i

i

i

i

i

i

i

r

j

r k

r k

plan.

i

t b

t b

t b

i

t b

The Human

Resources

and Capacit

Building

Programme

Sub-

Programme:

Emplomentand Skills

Development

Agency (ESDA)

a

by

u

k

x

artisan status.

esda bh

h

u u

v

x

training.

fet ky

industry needs.

i

rv

esda

b

d

eu

t b

t b

t b

Project Outputs Measure /

Indicator

2009/2010 2010/2011 2011/2012 2012/2013 2013/2014

hR&CB:

Solar water

heater

(Swh) Skills

Development

Programme

swH k

v

swH

y

pub

v

u

swH

certication

sk

v

sk v

rv j

t b

t b


20/21

36 37

Project Outputs Measure /

Indicator

2009/2010 2010/2011 2011/2012 2012/2013 2013/2014

Management

Learning

Programme

m

l

p

hh u

u

v

soe

a

u

mlp h

y

u

p

u

dpe h

u

au

p

rv

au

p

rv

au

p

rv

au

p

rv

Autumn School l

x

p

c

au

auu

sh

dpe h

p

c

dpe h

p

c

dpe h

p

c

dpe h

p

c

Aerostructures

Project

lv

long term eet

u

hy

b

v

h

uy

s

vby

uu

bu

b

suh a

uu

i i r

t b

t b

determined.

Technology

and Innovation

Programme

soe thy

m

fk

fk

soe v

performance.

fk

y

u

v

hy

SOE.

i i r

t b

t b

Propert

Project

soe vu

v

huh

y

bu

h y

py

Ky i

dv

py

j uh soe

hb

m m m m

Environmental

Oversight

Project

chv

v

uu

a

eia

sy

i

dv

m m m m m


21/21

suite 301, infotech building, 1090 arcadia street, 0083 private bag x15, hateld, 0028

: (012) 431 1000, x: 086 501 2624

: (021) 461 6376, x: (021) 465 1895/461 1741

Documents

DPE Strategic Plan 2009-12