ANNUAL PERFORMANCE PLAN 2016/17 WITH MTEF BUDGET 2016/ /19

Transcription

1 ANNUAL PERFORMANCE PLAN 2016/17 WITH MTEF BUDGET 2016/ /19 1

2 PART A: STRATEGIC OVERVIEW The SADPMR comprises of three programmes, namely:- Programme 1: Administration The purpose of this programme is to enable the SADPMR to deliver on its mandate by providing support management services and administrative support. It consists of the following sub-programmes:- Finance; Human Resources; Corporate Governance; Communication; Information Communication Technology (ICT); Legal Services; Internal Audit and Security. The main focus of this programme is to strengthen compliance and governance with the Regulator. The priority focus areas will include:- Improving service delivery; Facilitating alignment of budget and spending to strategy; Improving controls to achieve clean audit outcomes; and Enforcing compliance with the PFMA and other governance legislation. Programme 2: Diamond Trade The purpose of this programme is to regulate and facilitate the buying, selling, exporting and importing of diamonds. This is to ensure equitable access and local beneficiation of diamonds as well as compliance with the Kimberley Process Certification Scheme (KPCS). The programme consists of the following sub-programmes:- Diamond Exchange and Export Centre (DEEC); Government Diamond Valuator (GDV) and Kimberley Process Certification Scheme (KPCS). 2

3 Programme 3: The purpose of this programme is to enforce compliance with the Diamond Act, Precious metals Act as well as the Diamond Export (Administration) Levy Act. The programme consists of the following sub-programme:- Licensing Diamond Inspectorate Precious Metals and Beneficiation The focus of this programme is twofold: (a) to issue licenses for diamond and precious metals businesses for trade and beneficiation; (b) inspections to ensure transformation and adherence to the legislation. 3

4 PART B: BUDGET OVERVIEW Budget Estimates 2016/17 to 2018/19 R thousand 2016/17 / /19 Revenue Own Revenue Generated Government Funding Third Party Funding Total Revenue Service Delivery Costs Surplus/Deficit Programme 1 Administration Programme 2 Diamond Trade Programme 3 4

5 R thousand 2016/17 / /19 This budget has been allocated proportionally to the three programmes of the Regulator to enable them to deliver services in line with set strategic objectives. In view of the limited resources appropriated to the Regulator, management is committed to exercise sound financial management so that more is achieved with less. The Regulator will continue to identify areas which can generate revenue to augment the allocation while austerity measures to eliminate unnecessary spending will be implemented. 5

6 PART C: PROGRAMMES/STRATEGIC OBJECTIVES Schedule of performance indicators and targets for 2016/17 to /18 (a) PROGRAMME 1: ADMINISTRATION Strategic Objective To enforce compliance with the legislative requirements Justification/Key Activities INTERNAL Comply with Legislation, policies and procedures Improve organisational capacity for maximum execution of excellence Implement the approved Human Resource (HR) Plan Implement the approved SADPMR communication policy Implement Minimum Information Security Standards (MISS) Develop action plans to address audit findings Provide legal support to the Regulator 6

7 AUDITED ACTUAL PERFORMANCE Estimated performance at 30 June MEDIUM-TERM TARGETS Actions /Strategic initiatives Who When Performance Indicator(s) 2012/ / / / /17 / /19 Reduction in the number of repeat audit findings Less than 5 Less than 5 Less than 5 Implement the recommended corrective measures All programme s Number of HR plan pillars implemented Developm ent of the HR plan Approval of the HR plan Implement the following HR pillars; Employer/ employee relations management PMDS HRD strategy OD practices policy/ Implement Talent Management strategy Administrati on Number of engagements with internal and external stakeholders N/a Develop a communication plan for internal and external stakeholders Administrati on 7

8 AUDITED ACTUAL PERFORMANCE Estimated performance at 30 June MEDIUM-TERM TARGETS Actions /Strategic initiatives Who When Performance Indicator(s) 2012/ / / / /17 / /19 Number of MSP components implemented N/a N/a Master System Plan approved Implementation of Disaster recovery plan Development and implementation of Web admin system Administrati on Risk mitigation measures implemented n/a n/a n/a Conduct Emergency evacuation drills Submit employees security-vetting forms to SSA Implementation of vetting procedures Administrati on Percentage of matters referred for legal advice and opinions addressed within 30 days 100% 100% 100% requests received and addressed requests received and addressed requests received and addressed requests received and addressed Drafting, reviewing commenting, and recommending Administrati on 8

9 AUDITED ACTUAL PERFORMANCE Estimated performance at 30 June MEDIUM-TERM TARGETS Actions /Strategic initiatives Who When Performance Indicator(s) 2012/ / / / /17 / /19 Percentage of legal opinions obtained on behalf of the SADPMR n/a n/a n/a matters addressed matters addressed matters addressed Facilitate the review of the Codes of Good Practice applicable to diamonds and precious metals Administrati on Percentage of Contracts and SLA s vetted within 30 days 100% 100% 100% contracts vetted contracts vetted contracts vetted contracts vetted Drafting, reviewing, comment, and recommending of contracts Administrati on 2016 Quarterly Targets Performance Indicator(s) 2015/16 Q1 Q2 Q3 Q4 Actions /Strategic initiatives Who When Reduction in the number of repeat audit findings Develop or review Policies, procedures/guidelines All programmes Number of HR plan pillars implemented Implement the following HR pillars; Employer/ employee relations management Administratio n PMDS HRD policy/ strategy OD practices 9

10 Performance Indicator(s) 2015/16 Q1 Q2 Q3 Q4 Actions /Strategic initiatives Who When Implement Talent Management strategy Number of engagements with internal and external stakeholders Develop an communication plan for internal and external stakeholders Administratio n Number of MSP components implemented Implementation of Disaster recovery plan Development and implementation of Web admin system Administratio n Risk mitigation measures implemented Conduct Emergency evacuation drills Implementation of vetting procedures Administratio n Percentage of matters referred for legal advice and opinions addressed within 30 days requests received and addressed 100% 100% 100% 100% Drafting, reviewing commenting, and recommending Administratio n Percentage of legal opinions obtained on behalf of the SADPMR matters addressed matters matters addressed matters addressed addressed matters addressed Facilitate the review of the Codes of Good Practice applicable to diamonds and precious metals Administratio n 10

11 Performance Indicator(s) 2015/16 Q1 Q2 Q3 Q4 Actions /Strategic initiatives Who When Percentage of Contracts and SLA s vetted within 30 days contracts vetted contracts vetted contracts vetted contracts vetted contracts vetted Drafting, reviewing, comment, and recommending of contracts Administratio n (b) PROGRAMME 2: DIAMOND TRADE Strategic Objective Justification/Key Activities COMPETITIVENESS To improve competitiveness, sustainable development and job creation in the diamond and precious metals industry DEEC - Facilitate diamond trade SUSTAINABLE DEVELOPMENT To promote equitable access to resources for local beneficiation Facilitate skills development initiatives for the industries Increase access to diamonds for local beneficiators Implement the diamond marketing strategy of the DEEC To enforce compliance with the legislative requirements Provide diamond valuation services 11

12 AUDITED ACTUAL PERFORMANCE ESTIMATED MEDIUM-TERM TARGETS Actions /Strategic PERFORMANC initiatives E as at 30 June Who When Performance Indicator(s) 2012/ / / / /17 / /19 Number of skills initiatives facilitated for the industries Provide training on GDV planning machines; Facilitate training in diamond valuation Diamon d Trade Number of Beneficiators accessing the DEEC Implementation of the diamond marketing strategy of the DEEC Promote local beneficiation by allocating certain viewing rooms to Beneficiators Diamon d Trade 12

13 Number of clients accessing DEEC 1234 N/a Implement the DEEC Marketing strategy Diamon d Trade Percentage valuations conducted of diamonds offered/ presented diamonds offered/ presented diamonds offered/ presented diamonds offered/ presented diamonds offered/ presented diamonds offered/ presented diamonds offered/ presented Implement the Diamonds Act and related legislation Diamon d Trade % of disputes on valuations regarding fair market value lodged n/a n/a n/a 0 2% 2% 2% Implement the Diamonds Act and related legislation Diamon d Trade % compliance to KPCS requirements 100% complianc e with KPCS minimum requirem ents 100% compliance 100% compliance 100% compliance with KPCS with KPCS with KPCS minimum minimum minimum requirements requirements requirements 100% compliance with KPCS requirements 100% compliance with KPCS requirements 100% compliance with KPCS requirements Implement KPCS statutes and related legislation Issuing of KPCS certificates Submission of quarterly reports (statistics) Diamon d Trade 13

14 Quarterly Targets Performance Indicator(s) 2015/16 Q1 Q2 Q3 Q4 Actions /Strategic initiatives Who When Number of skills initiatives facilitated for the industries Provide training on GDV planning machines; Facilitate training in diamond valuation Diamond Trade Increase in numbers Beneficiators trading at the DEEC Implementation of the diamond marketing strategy of the DEEC Promote local beneficiation by allocating certain viewing rooms to Beneficiators Diamond Trade Number of clients accessing DEEC Implement the DEEC Marketing strategy Diamond Trade % of valuations conducted at fair market value diamonds offered/ presented diamonds offered/ presented diamonds offered/ presented diamonds offered/ presented diamonds offered/ presented Implement the Diamonds Act and related legislation Diamond Trade % of disputes on valuations regarding fair market value lodged less than 2% Less than 2% Less than 2% Less than 2% Less than 2% Implement the Diamonds Act and related legislation Diamond Trade 14

15 Performance Indicator(s) 2015/16 Q1 Q2 Q3 Q4 Actions /Strategic initiatives Who When % compliance to KPCS and relevant legislation 100% complianc e with KPCS minimum requireme nts 100% compliance 100% compliance 100% compliance 100% compliance with KPCS with KPCS with KPCS with KPCS minimum minimum minimum minimum requirements requirements requirements requirements Implement KPCS statutes and related legislation Issuing of KPCS certificates Submission of quarterly reports (statistics) Diamond Trade 15

16 (c) PROGRAMME 3: REGULATORY COMPLIANCE Strategic Objective Justification/Key Activities COMPETITIVENES Issue licenses to enable diamond and PM trade. To improve competitiveness, sustainable development and job creation in the diamond and precious metals industry SUSTAINABLE DEVELOPMENT BUSINESS SUSTAINALIBITY - Assist prospective entrepreneurs and inactive beneficiation licensees in the diamond and precious metals industries Facilitate skills development initiatives for the industries JOB CREATION Oversee the provision for issuing of beneficiation licenses To enforce compliance with the legislative requirements EXTERNAL Oversee the provision of the compliance audits on licensees Oversee the provision of inspection services within the diamond and precious metals sectors To transform the diamonds and precious metals industries Promote participation of HDSAs in the diamond and precious metals industries Decrease the number of inactive businesses of the historically disadvantaged individuals 16

17 AUDITED ACTUAL PERFORMANCE ESTIMATED PERFORMANCE as at 30 June MEDIUM-TERM TARGETS Actions /Strategic initiatives Who When Performance Indicator(s) 2012/ / / / /17 / /19 Number of licenses issued within 60 working days based on the completeness of the applications Implement the Broad Based Socio-Economic Empowerment Charter Number of license renewals processed within 60 working days based on completeness of the applications N/A N/A N/A Implement the Broad Based Socio-Economic Empowerment Charter Number of new entrepreneurs assisted n/a Assist new entrepreneurs in line with new licence issued Number of BBSEEC compliance inspection/audits conducted Implement the Diamonds Act and Precious Metals Act Assess ownership (HDSA) Skills development 17

18 AUDITED ACTUAL PERFORMANCE ESTIMATED PERFORMANCE as at 30 June MEDIUM-TERM TARGETS Actions /Strategic initiatives Who When Performance Indicator(s) 2012/ / / / /17 / /19 Monitoring of fronting through audit inspections Number of inspections conducted Implement the Diamond and precious metals legislation Number of Beneficiation licences issued Implement the Diamonds Act and Precious Metals Act Process license applications as per legislative requirements Business Case Document Developed (State Bourse) n/a n/a n/a Establish baseline Consultati on with stakehold ers Draft business case Approval of business case Administratio n 18

19 AUDITED ACTUAL PERFORMANCE ESTIMATED PERFORMANCE as at 30 June MEDIUM-TERM TARGETS Actions /Strategic initiatives Who When Performance Indicator(s) 2012/ / / / /17 / /19 Workshops information conducted and N/a n/a n/a Establish baseline Implement transformation plan for the Diamonds and PMs Process license applications as per legislative requirements Number of inactive businesses engaged N/a N/a Facilitate a workshop for inactive licensees with regards to: Diamond and Precious metal product suppliers, import and export and beneficiation. Where and how diamonds and precious metal may be accessed Existing Gold loan and platinum advance schemes Inspection Checks conducted on business premises for approval 19

20 AUDITED ACTUAL PERFORMANCE ESTIMATED PERFORMANCE as at 30 June MEDIUM-TERM TARGETS Actions /Strategic initiatives Who When Performance Indicator(s) 2012/ / / / /17 / /19 Facilitate partnerships with lending institutions Number of skills initiatives facilitated for the diamond and precious metals industries N/a N/a Facilitate experiential training for cutting and polishing as well as jewellery manufacturing Number of licencees verified against their commitments n/a n/a n/a Establish baseline

21 Quarterly Targets Performance Indicator(s) 2015/16 Q1 Q2 Q3 Q4 Actions /Strategic initiatives Who When Number if new licences issued within 60 working days based on completeness of the applications Implement the legislation Process license applications as per legislative requirements Number of license renewals processed within 60 working days based on completeness of the applications Implement the legislation Process license applications as per legislative requirements Number of BBSEEC compliance inspections/audits conducted Implement the Diamonds Act and Precious Metals Act Assess ownership (HDSA) Skills development Monitoring of fronting through audit inspections Number of inspections conducted Implement the Diamond and precious metals legislation Number of Beneficiation licences issued Implement the Diamonds Act and Precious Metals Act Process license applications as per legislative requirements 21

22 Performance Indicator(s) 2015/16 Q1 Q2 Q3 Q4 Actions /Strategic initiatives Who When Business Case Document Developed (State Bourse) Consultati ons with Stakehold ers Consultation with Government Consultation with Government Consultation Consultation with external with external stakeholders stakeholders Administrat ion Workshops information conducted and Implement the Diamonds Act and Precious Metals Act Process license applications as per legislative requirements Number of inactive businesses engaged Facilitate a workshop for inactive licensees with regards to: Diamond and Precious metal product suppliers, import and export and beneficiation. Where and how diamonds and precious metal may be accessed Existing Gold loan and platinum advance schemes Inspection Checks conducted on business premises for approval Facilitate partnerships with lending institutions Number of skills initiatives facilitated for the industries Focus on facilitating development of platinum jewellery-making skills Assist jewellery manufacturing & design graduates with Trade Test preparation and completion by partnering with MQA 22

23 Performance Indicator(s) 2015/16 Q1 Q2 Q3 Q4 Actions /Strategic initiatives Who When Number of new entrepreneurs assisted Provide information and advice on: Diamond and Precious metal product suppliers, import and export and beneficiation. Where and how diamonds and precious metal may be accessed Existing Gold loan and platinum advance schemes Inspection Checks conducted on business premises for approval Facilitate partnerships with lending institutions Number of licences verified against their commitments Administrat ion 23

24 DETAILED BUDGET Detailed Budget Medium term estimates (as per ENE document) Summary of revenue and expenses 2012/ / / / /17 / /19 R thousand Audited Estimates Outcome Medium-term estimate Revenue Tax revenue Entity revenue Sale of goods and services other than capital assets Of which: Admin fees Sales by market establishments Levy income, licence and service fees Sales of Diamonds books and registers Interest, dividends and rent on land Other non-tax revenue Entity revenue other than sales Fines penalties and forfeits Gains from

25 Summary of revenue and expenses 2012/ / / / /17 / /19 R thousand Audited Estimates Outcome Medium-term estimate Sale of fixed assets Adjustments to fair value of assets Other Interest, dividends and rent on land Interest Dividends Rent on land Unclassified revenue Realisation of deferred income (other than transfers) Other income Other income Transfers received Social contributions received (social security funds only) Other government units

26 Summary of revenue and expenses 2012/ / / / /17 / /19 R thousand Audited Estimates Outcome Medium-term estimate Executive Authority (Department of Mineral Resources) Total revenue Expenses Current expense Compensation of employees Goods and Services Depreciation Interest, dividends and rent on land Transfers and subsidies 97 Total expenses Surplus / (Deficit) (3 161) (12 929) (1 793) (190) 2010/ / / / / / /17 R thousand Audited Estimated outcome Medium term estimate Cash flow data Cash receipts from stakeholders

27 Tax receipts Sales of goods and services other than capital assets Transfers received Fines, penalties and forfeits Interest and rent on land Unclassified revenue Sales of capital assets Tax benefit Outside shareholders interest Cash paid to stakeholders Current payments Compensation of employees Goods and services Interest and rent on land Tax payment Transfers and subsidies Cash flow from operating activities (6 308) Cash flow from advancing activities (Financial Institutions only) Loan disbursements Loan principal repayments Other Cash flow from investing activities (3 249) (1 289) (4 028) - - Acquisition of property, plant, equipment & intangible assets 27

28 Other flows from Investing Activities (3 249) (1 289) (4 028) - - Domestic (3 249) (1 289) (4 028) - - Foreign Cash flow from financing activities 104 (188) 45 (25) - Deferred Income 45 (25) - Borrowing Activities Domestic Foreign Repayment of finance leases 104 (188) Other (e.g. issuance of shares, revaluations) Net increase / (decrease) in cash and cash equivalents