Annual Performance Plan

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Ann

ual P

erf

ormance Plan

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Department of Rural Development and Land Reform Annual Performance Plan 2013-2014

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LIST OF ACRONYMS

APP

Annual Performance Plan

CFO

Chief Financial Officer

CRDP

Comprehensive Rural Development Programme

DRDLR

Department of Rural Development and Land Reform

EMPs

Environmental Management Plans

Ha

Hectares

ICT

Information and Communications Technology

INSIMS

Integrated National Spatial Information Management System

LMC

Land Management Committee

LRMB

Land Rights Management Board

MTEF

Medium-Term Expenditure Framework

MTSF

Medium-Term Strategic Framework

Narysec

National Rural Youth Services Corps

NDP

National Development Plan

OSD

Occupation-Specific Dispensation

OVG

Office of the Valuer-General

PLAS

Proactive Land Acquisition Strategy

PLOF

Policy on Land Ownership by Foreigners

PSSC

Provincial Shared Service Centre

PPP

Public-Private Partnership

RADP

Recapitalisation and Development Programme

SDF

Spatial Development Framework

SPLUM

Spatial Planning and Land Use Management

SPLUMB

Spatial Planning and Land Use Management Bill

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02 i

LIST OF ACRONYMS

APP

Annual Performance Plan

CFO

Chief Financial Officer

CRDP

Comprehensive Rural Development Programme

DRDLR

Department of Rural Development and Land Reform

EMPs

Environmental Management Plans

Ha

Hectares

ICT

Information and Communications Technology

INSIMS

Integrated National Spatial Information Management System

LMC

Land Management Committee

LRMB

Land Rights Management Board

MTEF

Medium-Term Expenditure Framework

MTSF

Medium-Term Strategic Framework

Narysec

National Rural Youth Services Corps

NDP

National Development Plan

OSD

Occupation-Specific Dispensation

OVG

Office of the Valuer-General

PLAS

Proactive Land Acquisition Strategy

PLOF

Policy on Land Ownership by Foreigners

PSSC

Provincial Shared Service Centre

PPP

Public-Private Partnership

RADP

Recapitalisation and Development Programme

SDF

Spatial Development Framework

SPLUM

Spatial Planning and Land Use Management

SPLUMB

Spatial Planning and Land Use Management Bill

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T

he ANC’s centenary celebrations, which are being held across South Africa, are a culmination of people’s unity towards the attainment of freedom and a better life for all. In the 100 years the ANC has managed to unite all South Africans, black and white, and also brought together tribal resistance into a common national struggle. The ANC was established in 1912 with the major aim of ridding the country of colonialism and the oppression of Africans and at the core of the desire for freedom was the issue of land. Africans, in particular, had lost massive land under colonialism and apartheid as these processes drove black people out of their land to create black cheap labour. The infamous 1913 Natives Land Act played a major role in driving black people from their land, as under the Act black people were not allowed to buy, rent or use land except in the so-called reserves and for millions of black people the Land Act caused overcrowding, poverty and starvation. Under the 1913 Natives Land Act only 7,3% of unproductive land was reserved for black people. That yearning for land by the African majority has been the battle cry for the liberation struggle over the 100 years and cannot be over-emphasised.

While the ANC celebrated its centenary in 2012, plans are also afoot to reverse the untold miseries caused by the infamous 1913 Natives Land Act in 2013. In the midst of the ANC celebrations the DRDLR held a two-day “1913 Remembrance” Planning Workshop on 26 and 27 October 2012. The purpose of the workshop was to prepare for the “Remembrance” of the 1913 Natives Land Act centenary in 2013; begin to reflect and gear to recommit to reversing of the legacy of the 1913 Natives Land Act. And despite it being an opportunity to reflect and account to the public the workshop was a basis to recommit the DRDLR and its partners to scale up land reform and rural development in reversing the legacy of the 1913 Natives Land Act.

FOREWORD

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Department of Rural Development and Land ReformAnnual Performance Plan 2013-2014 The Honourable GE Nkwinti (MP)

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iii

The DRDLR is committed to its Vision: to create Vibrant, Equitable and Sustainable Rural Communities, and to its Mission: to Initiate, Facilitate, Coordinate, Catalyse and Implement an integrated rural development programme.

The Vision and Mission of the DRDLR are linked to the Comprehensive Rural Development Programme (CRDP), a fresh approach to rural development. It is the view of the department that the programme will be successful when it becomes apparent that “sustainable and vibrant rural communities” are succeeding throughout South Africa. In this regard the department has also been reviewing its policies on Land Reform to make sure that it enhances its capacity on land distribution and land restitution. Some of the policy frameworks presently on discussion are the establishment of the Offi ce of the Valuer-General, the Land Rights Management Board and the Land Management Commission. These proposed structures are a result of the feedback the department has been having from the various stakeholders; the major concern was that the issue of land reform is at a snail’s-pace and other challenges have also been raised, particularly the willing-buyer willing seller approach, which has been totally rejected in all its form. With these policy reviews the department is surely going to accelerate Land Reform.

By October 2011, the CRDP was being implemented at 65 sites across the country. About 33 560 ha of agricultural land had been acquired to provide emerging farmers with access to land and 116 farms

have been recapitalised by providing funds for, among other things, infrastructure, mechanisation, seeds, livestock and the transfer of skills by commercial farmers to enhance the productivity of transferred farms.

The department’s target is 160 sites by 2014. In addition, 76 368 land claims relating to 2.9-million hectares of land under the Land Restitution Programme were settled. A total of 712 of these claims, for 292 995 hectares, were settled between 2009 and December 2011, against a target of 1 845 claims for the period (Bua News, 17 Oct, 2012).

The centenary of the 1913 Natives Land Act provides the DRDLR with an opportunity to mobilize the population into action behind a national cause. The primary purpose is to make people aware of the 1913 Natives Land Act and its devastating consequences, which persist to this day.

The Honourable GE Nkwinti (MP)

Minister of Rural Development & Land Reform

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DEPUTY MINISTER’S STATEMENT

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The Honourable Lechesa Tsenoli (MP)

The leadership of the President and the Minister has been pivotal in the work we have done so far and will continue to be so as we strive to achieve our targets contained in here. We must also express our appreciation of the support and collaboration with other departments and we hope more efforts in this direction will characterize our work going forward.

The Director-General and his team of offi cials have themselves played a critical role but more could still be done to increase our interface with other departments as well as with communities we serve. The performance we refer to here and the targets we wish to meet must be refl ected in the lived experiences of these communities as well as in the improved relationships with others and in the maximum impact of our limited resources.

We also must appreciate, especially, the benefi cial interaction with our portfolio committee, the Standing Committee on Public Accounts, the Department of Monitoring and Evaluation in the Presidency, the Department of Public Service and Administration, the Public Service Commission and the Auditor-General for the insights of their oversight work. Like others they have added to the progress we have made so far and we will continue to collaborate with them to advance our collective national agenda as expressed in the following pages.

Finally, we would like to use the occasion of the submission of this Annual Performance Plan to congratulate the leadership and members of the third South African Council of Planners who we inaugurated this same week.

Our department supports the council technically and fi nancially. One of their prime responsibilities is to accredit planners and thereby maintain the integrity of the profession. We wish them well in their challenging task to transform the profession and help build the skill base needed for the implementation of the National Development Plan.

Re re le hosane!

The Honourable Lechesa Tsenoli, MP

Deputy Minister of Rural Development for Land Reform Re re le hosane!

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OFFICIAL SIGN OFF

It is hereby certifi ed that this Annual Performance Plan:

• Was developed by the management of the Department of Rural Development and Land Reform under the guidance of Minister GE Nkwinti (MP). • Was prepared in line with the current Strategic Plan of the Department of Rural Development and Land Reform.

• Accurately refl ects the performance targets which the Department of Rural Development and Land Reform will endeavour to achieve given the resources made available in the budget for the 2013/14 fi nancial year.

Dr NV Mashiya

Deputy Director-General: Corporate Support Services

Signature: _______________________________________________

Ms RI Singo

Acting Chief Financial Offi cer

Signature: _______________________________________________

Mr PM Shabane

Accounting Offi cer

Signature: _______________________________________________

Approved by:

The Honourable GE Nkwinti (MP)

Signature: _______________________________________________ Signature: _______________________________________________

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ACCOUNTING OFFICER’S OVERVIEW

It gives me great pleasure to present the Department of Rural Development and Land Reform’s Annual Performance Plan (APP) for the 2013/14 financial year. We present this plan in the year which marks the Centenary of the 1913 Natives Land Act. This plan, together with the Legislative programme that the Minister presented to the Leader of Government Business, contain a number of interventions that the department will undertake, as a package of many measures that government will implement, to contribute towards reversing the legacy of this law.

The development of this APP was guided by the National Development Plan as the main framework that will guide the implementation of government programmes such as the Comprehensive Rural Development Programme (CRDP) , the New Growth Path (NGP), specifically as it relates to the second job driver on agriculture, agro-processing and rural development, the Outcomes Approach (particularly Outcome 7) and the Department of Rural Development and Land Reform’s 2011 – 2014 Strategic Plan. Drawing from the lessons learnt in the first year of the implementation of the outcomes based approach, the outcome 7 delivery agreements was revised to ensure that the targets were more realistic and focused. It has also been aligned with the departmental programmes and targets as is indicated in the Annual Performance Plan.

Performance from 2009 to date shows that we are making progress towards the achievement of some of our strategic goals and objectives. To date, we have acquired 1 038 062 hectares of agricultural land for redistribution purposes and settled 1 052 land claims. In 2010 we introduced the Recapitalisation and Development Programme (RADP) to bring struggling land reform farms back into production. Since the inception of the programme, we have placed 725 farms under the Recapitalisation and Development Programme. Support in the form of skills development and mentorship is provided to smallholder producers/ farmers in order to assist them to improve their farming methods and business skills. In the past three years, we have provided training (in agriculture and business management) to 428 farmers. In this financial year, we will train 628 farmers and place 730 farms under the Recapitalisation and Development Programme. Our 2012/13 mid-year performance assessment indicates that progress has been made in the implementation of the rural development, land reform and land administration programmes. We have identified priority infrastructure needs in the 23 poorest District Municipalies. Detailed plans are currently being finalised for approval and distribution across government to leverage necessary resources. District Land Reform Committees will be established to fast track delivery of sustainable land reform. In the 2013/14 financial year, our interventions in these areas will include the provision of basic services infrastructure to 7278 households and the provision of 19 ICT projects. We have also targeted to support 2200 households in order for them to produce their own food.

In his 2013 State of the Nation Address (SoNA), President Jacob Zuma indicated that government is considering the re-opening of the lodgment date for land claims to accommodate those communities or individuals who missed the 31 December 1998 cut-off date and to also provide for the exceptions to the

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Department of Rural Development and Land Reform Annual Performance Plan 2013-2014 Director-General Mr PM Shabane

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1913 cut-off date to accommodate historical landmarks, heritage sites and descendants of the Khoi and San who lost their land long before 1913. The department has conducted an assessment of its state of readiness which has revealed that the Restitution Act (Act No 22 of 1994) needs to be amended in order to factor in the re-opening dates and processes for lodgment of claims; current information systems must be revamped; human capital be increased and the skills currently available must be improved to facilitate training and other capacity building interventions; communication must be improved in order to ensure that the public is well-informed. The Narysec youth will play a crucial role in informing the public through, among other things, conducting door-to-door campaigns informing communities about their rights and collecting and recording oral history.

We will also align the departmental programmes with those of other government programmes. Area based planning and implementation will be fast tracked, in line with local needs, opportunities and potential, starting with the 23 resource poor municipalities. In this fi nancial year we will be fi nalising and implementing our Inter-Governmental Relations Plan in order to strengthen inter-sector and inter-sphere coordination and integration including strengthening and supporting the existing intergovernmental relations structures. This should result in improvements in the implementation of rural development and land reform.

Governance and administration are critical if the department is to achieve an unqualifi ed audit. We will be improving our controls for curbing fraud and corruption as well as in the management of fi nancial resources and non-fi nancial performance. Our Risk and Compliance Committee and the Audit Committee will continue to provide guidance in such matters.

Conclusion

I present this Annual Performance Plan and commit to supporting the execution thereof. I extend my appreciation to Minister Gugile Nkwinti and Deputy Minister Lechesa Tsenoli for their leadership and support; and to the senior management and staff of the department for their dedication and support.

Mduduzi Shabane

Director-General: Rural Development and Land Reform

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Mduduzi Shabane

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Heading

02

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PART

A

STRATEGIC OVERVIEW

2

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3 1. UPDATED SITUATIONAL ANALYSIS

The department’s strategy remains agrarian transformation that will be achieved through the Comprehensive Rural Development Programme (CRDP). The department‘s priorities articulated in the 2011–2014 Strategic Plan will continue to be implemented in the 2013/14 financial year in a manner that drives development in rural areas.

During the July 2011 Cabinet Lekgotla, a decision was made to increase the pace of service delivery in the 23 poorest districts of the country. Work in connection with this commenced during the 2012/13 financial year. The number of prioritised poorest districts where the department is expected to roll out the CRDP and scale up rural development has since increased from 22 to 23. The introduction of these strategic interventions has led to the reprioritisation of the budget, and activities within the land reform and the rural development programmes.

The department contributes to the proposed rural development strategy in the National Development Plan (NDP) by facilitating the provision of basic services infrastructure and delivery to rural households, and assisting them with livelihood projects to promote community economic development.

Agriculture is the primary economic activity in rural areas and has the potential to contribute towards job creation. In this regard, the department, through its land reform and rural development programmes, has committed to acquiring and allocating land for agricultural projects. Agricultural support, to ensure that these projects are productive, will be provided through the Recapitalisation and Development Programme as well as the Veld Management Programme. The department is committed to supporting rural enterprises in various forms, such as training entrepreneurs. It will also ensure that infrastructural projects engage labour from the affected communities.

The department continues to lead the coordination of Outcome 7: Vibrant, equitable and sustainable rural communities and food security for all. The Outcome 7 delivery agreement was reviewed during the 2012/13 financial year, taking into consideration performance against the identified outputs as well as various stakeholders’ contributions. Some of the reviewed indicators are included in this Annual Performance Plan (APP) under Programmes 3 and 5.

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4 1.1. Performance delivery environment

The strategic goals remain the same as those reflected in the 2011–2014 Strategic Plan. In 2012/13 the department reviewed its strategic objectives to adopt a results-based approach and to align to Outcome 7. A new strategic objective, “tenure security for people living on commercial farms and communal areas provided”, has been introduced in the 2013/14 Annual Performance Plan to highlight the importance of protecting tenure rights of people living in these areas.

Performance to date based on the 2011–2014 Strategic Plan indicates that the department is making progress in the achievement of its strategic goals and objectives. Significant progress has been made in the achievement of land reform redistribution targets, the updating of the comprehensive land register, the finalisation of land claims on State land, and financial compensation claims. Furthermore, a positive trend has been observed in the provision of socio-economic infrastructure. The trend depicts that the number of rural communities and households provided with access to agricultural and socio-economic infrastructure continues to show an upward growth trend. The infrastructure development projects utilise local labour, thus transferring valuable and critical skills to the beneficiaries of these projects. This is in line with creating vibrant, equitable and sustainable rural communities. The provision of infrastructure not only promotes access to basic services, it also plays a pivotal role in catalysing the development of other socio-economic opportunities in the form of propagating local enterprises and job creation. This is viewed to be consistent with government’s development and economic objective that the growth in public spending needs to be matched with commensurate improvements in service delivery and changing people’s lives.

There has been an increased demand from rural communities for water, sanitation, information and communications technology (ICT) and agricultural services. The department has therefore had to include various strategic interventions (also considering the commitment made in Outcome 7) in order to deliver these much-needed services. The department acknowledges that in order to meet the demand for these services it will have to strengthen its inter-governmental and stakeholder relations in the coordination of rural development. One of the focus areas in this financial year will be the development and implementation of the department’s Intergovernmental Relations Framework/Policy.

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1.2. Organisational environment

The department has a funded establishment of 3,631 posts. During 2012/13 the department adopted a strategy aimed at establishing a streamlined head office while capacitating the provinces and districts where actual service delivery is taking place. Personnel capacity at provincial level is expected to increase over the Medium-Term Expenditure Framework (MTEF) by 682 personnel. The focus has also been on ensuring that all priority and urgent vacant posts are filled. This strategy will continue to be implemented in the 2013/14 financial year. A project is also underway to determine the feasibility of creating a separate Government component for Deeds Registration and Cadastral Surveys Management. This could have an enormous impact on the remainder of the departmental structure, since the envisaged government component will encompass approximately a third of the current establishment.

In an effort to improve government’s efficiency in the provision of services and in ensuring that rural communities are provided with services that meet their needs, the rural development programme, together with other stakeholders, will focus on profiling rural households.

The department has embarked on an organisational renewal programme which seeks to streamline and align work to respond to our organisational priorities and envisaged changes in policy direction. New organisational performance capabilities are being applied around the envisaged changes in organisational architecture to the Land Rights Management Board, Land Management Committee, and Office of the Valuer-General as well as the devolution of functions to provincial offices.

Considering the decrease in budget allocation, the department has to prioritise available resources (financial, human, etc.) to ensure that it achieves its strategic objective targets. In this regard the department will reprioritise some projects and focus on service delivery.

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6 ORGANOGRAM

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Minister of Rural Development

and Land Reform

Director-General Chief Directorate: _{Strategic and} Management Support Chief Directorate: Safety and Security Services Chief Directorate: Cluster Coordination and Special Programmes

Branch:

Restitution Land ReformBranch: and Administration Branch: Geo-Spatial Services Branch: Social, Technical, Rural Livelihoods and Institutional Facilitation

Provincial Shared Services Centre (X 9) Branch: Rural Infrastructure Development Branch: Deeds Registration Branch: Cadastral Surveys Management Branch: Corporate Support Services Branch: Financial Services Chief Directorate: Internal Audit Chief Directorate: Stakeholder, International Relations and Media Liaison

Deputy Minister of Rural Development and Land Reform

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7 2. REVISIONS TO LEGISLATIVE AND OTHER MANDATES

While the key legislative mandate of the department remains the same, the department is working on the following policy initiatives:

• Restitution Policy Framework • Rural Development Policy Framework • Rural Development Agency Policy • Rural Cooperative Financing Facility • Policy Framework on Communal Land Tenure

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8 3. OVERVIEW OF 2013/14 BUDGET AND MTEF ESTIMATES

MTEF allocation R thousand

2013/14 2014/15 2015/16

Total to be

appropriated paymentsCurrent Transfers andsubsidies capital assetsPayments for Total Total

Administration 940,652 916,891 15,201 8,560 892,993 947,390

Geospatial and Cadastral Services 508,504 482,787 18,002 7,715 542,522 579,955

Rural Development 1,227,423 867,123 360,300 –- 1,278,680 1,328,168

Restitution 3,388,048 361,391 3,026,657 – 3,717,344 3,888,859

Land Reform 3,395,113 423,899 2,971,214 – 3,473,766 3,530,102

Total expenditure estimates 9,459,740 3,052,091 6,391,374 16,275 9,905,305 10,274,474

Rural Development and Land Reform

Programme Audited outcome Voted (Main appropriation) Medium-term expenditure estimate

R thousand 2009/10 2010/11 2011/12 2012/13 2013/14 2014/15 2015/16

Administration 574,849 686,646 934,390 1,091,274 940,652 892,993 947,390

Geospatial and Cadastral Services 310,961 371,681 582,987 595,932 508,504 542,522 579,955

Rural Development 76,803 360,491 786,252 1,041,208 1,227,423 1,278,680 1,328,168

Restitution 2,331,633 3,766,833 2,376,289 2,961,519 3,388,048 3,717,344 3,888,859

Land Reform 2,569,601 1,937,205 3,317,807 3,284,152 3,395,113 3,473,766 3,530,102

Total 5,863,847 7,122,856 7,997,725 8,974,085 9,459,740 9,905,305 10,274,474

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02

9 RURAL DEVELOPMENT AND LAND REFORM

Economic classification

Current payments 1,533,019 2,136,770 2,714,809 3,516,472 3,052,091 3,093,013 3,252,678

Compensation of employees 760,896 946,678 1,094,326 1,483,887 1,676,908 1,760,979 1,866,687

Goods and services 772,123 1,122,897 1,613,760 2,032,585 1,375,183 1,332,034 1,385,991

Interest and rent on land – 67,195 6,723 – – – –

Transfers and subsidies 4,240,329 4,167,527 5,104,381 5,420,519 6,391,374 6,795,534 7,004,445

Provinces and municipalities 87 112 23,418 125 141 157 182

Departmental agencies and accounts 1,101,764 1,065,498 2,629,793 2,067,347 2,481,290 2,547,389 2,522,401

Foreign governments and international

organisations 1,226 1,148 1,194 1,540 1,400 1,450 1,495

Public corporations and private

enterprises – – 51,404 10,930 118,540 125,652 131,433

Non-profit institutions 2,228 2,425 15,506 2,700 2,849 3,020 3,159

Households 3,134,964 3,098,344 2,383,066 3,337,877 3,787,154 4,117,866 4,345,775

Payments for capital assets 35,577 815,713 175,313 37,094 16,275 16,758 17,351

Buildings and other fixed structures – – – – – – –

Machinery and equipment 35,283 43,275 43,281 36,152 14,827 15,466 16,001

Biological assets – – – – – – –

Land and sub-soil assets – 772,438 132,032 – – – –

Software and other intangible assets 294 – – 942 1,448 1,292 1,350

Payments for financial assets 54,922 2,846 3,222 – – – –

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3.2. Relating expenditure trends to strategic outcome oriented goals

The department’s spending focus over the medium term will be on the Comprehensive Rural Development Programme, (CRDP), land reform and the settlement of restitution claims to ensure vibrant, equitable and sustainable rural communities and food security for all (Outcome 7).

Expenditure in the Administration and Geospatial and Cadastral Services programmes increased significantly between 2009/10 and 2012/13 as a result of the implementation of the CRDP. Expenditure on compensation of employees also increased significantly over this period due to the implementation of the occupation-specific dispensation (OSD) for land surveyors. The increases in expenditure in the Rural Development programme and on goods and services in this period were a result of the higher number of new participants in the National Rural Youth Services Corps (Narysec) programme and the implementation of various projects, which included the construction of the Nkosi Dalibunga Mandela legacy bridge and a 10 km access road, the rollout of the national fencing scheme, and the establishment and registration of cooperatives and rural enterprises to encourage the commercialisation of farms.

The main factors leading to the increase in expenditure expected over the medium term are funds allocated in order to settle outstanding land restitution claims to speed up the land reform process, make transfers to the Agricultural Land Holding Account to recapitalise and develop the distressed farms, and acquire additional land to speed up the land reform process. Spending on households in the form of land reform grants is also expected to increase over the medium term due to the implementation of the new Animal and Veld Management Programme in 2013/14, which will provide additional agricultural support to farms through the Rural Development and Land Reform programmes.

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02

11

Expenditure on goods and services is expected to decrease significantly over the medium term as a result of a decrease in the use of consultants and more reliance on internal resources, and the reprioritisation of funds from the Rural Development programme to the Agricultural Land Holding Account for acquiring additional land to speed up the land reform process.

As part of Cabinet-approved budget reductions, reductions of R22 million will be effected over the medium term in expenditure on compensation of employees. It is anticipated that service delivery will not be negatively affected.

The department has a funded establishment of 3,631 posts and 698 posts are filled in addition to this establishment. Expenditure on compensation of employees is expected to increase over the medium term as the department expects to increase personnel capacity by 682, mainly at provincial level, to fast-track service delivery on rural development, land reform and restitution. The ratio of support staff to line function staff is 1:3.

Infrastructure spending

Expenditure on infrastructure increased in 2010/11 due to the office accommodation project, together with other renovations, upgrades and installations, which the department is presently undertaking. Expenditure on infrastructure is expected to increase slightly over the medium term from R16.3 million in 2013/14 to R17.4 million in 2015/16 as more projects are implemented over this period.

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Heading

02

13

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PROGRAMME AND SUB-PROGRAMME PLANS

14

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02

15

Purpose

Provide strategic and logistical support in the form of executive services, corporate services and the acquisition of vehicles for departmental use. Oversee departmental capital works. Provide for a nominal contribution to the Public Sector Education and Training Authority.

There are no changes in the budget programme structure.

Strategic objectives, performance indicators and annual targets for 2013/14

Strategic Objective

Statement Performance indicator

Audited/Actual Performance Estimated

Performance 2012/13 Medium-term targets 2009/10 2010/11 2011/12 2013/14 2014/15 2015/16 1.1. Compliance with relevant legislation governing the management of the public sector by 2014 % of budget spent 91.6% 97.7% 98.3% 61% 100% 100% 100%

% of invoices paid within 30 days New indicator 100% 100% 60% 100% 100% 100%

% of external audit findings resolved New indicator New indicator New indicator 34% 100% 100% 100%

% of funded vacant posts filled 10.24% 11% 10.63% 16.02% 10% 10% 10%

% of the organisational renewal plan

implemented New indicator New indicator New indicator 33% 70% 100% 100%

% alignment of the Departmental Annual Performance Plan with the National Development Plan

New indicator New indicator New indicator New indicator 80% 100% 100%

2.1 Rural development and land reform policies and legislation developed by 2014

Number of pieces of legislation

submitted to Cabinet New indicator 8 2

6 pieces of legislation at varying stages

8 1 (Communal

Land Tenure Bill)

-Number of policies submitted to Cabinet New indicator New indicator 2 - 5 -

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16 Quarterly targets for 2013/14

Performance Indicator Reporting _period Annual target_2013/14 Quarterly targets

1st 2nd ₃rd ₄th

1.1.1 % of budget spent Quarterly 100% 25% 50% 75% 100%

1.1.2 % of invoices paid within 30 days Quarterly 100% 90% 95% 100% 100%

1.1.3 % of external audit findings

resolved Quarterly 100% - 50% 75% 100%

1.1.4 % of funded vacant posts filled Quarterly 10% - - 10% 10%

1.1.5 % of the organisational renewal

plan implemented Quarterly 70% 55% 60% 68% 70%

1.1.6

% alignment of the Departmental Annual Performance Plan with the National Development Plan

Annually 80% - - - 80%

2.1.1 Number of pieces of legislation

submitted to Cabinet Quarterly 8

Restitution of Land Rights Amendment Bill Deeds Registries Amendment Bill Sectional Titles Amendment Bill -

Land Valuation Bill Land Protection Bill

Land Management Commission Communal Property Associations Amendment Bill

(Amendment) Extension of Security of Tenure Act

-2.1.2 Number of policies submitted to

Cabinet Quarterly 5

Restitution Policy Framework

Rural Development Policy Framework

Rural Development Agency Policy

Rural Cooperative Financing Facility

-Draft Framework on Communal Land Tenure

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02

17 Reconciling performance targets with the budget and MTEF

Table 1: Administration

Sub-programme Audited outcome _{(Main appropriation)} Voted Medium-term expenditure estimate

R thousand 2009/10 2010/11 2011/12 2012/13 2013/14 2014/15 2015/16 Ministry1 17,205 19,405 20,109 24,933 19,760 21,020 22,830 Management 32,799 35,690 62,693 97,489 65,061 68,529 74,790 Internal Audit 28,012 34,419 33,048 49,533 34,501 36,746 38,475 Corporate Services 237,587 299,018 337,286 304,188 258,575 265,767 275,411 Financial Services 74,531 103,383 163,100 248,666 174,615 186,474 195,778 Provincial Coordination 46.366 73,043 164,088 275,590 246,462 252,366 275,159 Office Accommodation 138,349 121,688 154,066 90,875 141,678 62,091 64,947 Total 574,849 686,646 934,390 1,091,274 940,652 892,993 947,390 Economic classification Current payments 547,325 658,203 890,126 1,056,308 916,891 867,835 921,312 Compensation of employees 175,775 250,026 362,024 455,744 592,602 615,069 656,213

Goods and services 371,550 408,177 528,102 600,564 324,289 252,766 265,099

Transfers and subsidies 13,363 14,561 32,057 25,216 15,201 16,597 17,379

Provinces and municipalities 3 10 8 24 101 113 137

Departmental agencies and accounts – – – 1 1 1 1

Public corporations and private

enterprises – – 11,228 – – – –

Non-profit institutions – – – – – – –

Households 13,360 14,551 20,821 25,191 15,099 16,483 17,241

Software and other intangible assets 294 – – – – – –

Payments for financial assets 219 357 404 – – – –

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Performance and expenditure trends

The Administration programme’s spending focus over the medium term will be on providing corporate services, financial services and provincial coordination within the department to achieve good corporate governance and service excellence. As this requires an investment in suitably qualified and skilled staff, the bulk of spending over the medium term will go towards compensation of employees, which is also the main cause of spending increases over this period. The department expects to increase the number of posts in its establishment by 249 over the medium term due to the implementation of the CRDP.

Expenditure on compensation of employees increased significantly between 2009/10 and 2012/13 after the department established provincial shared service centres in 2009/10 in order to speed up service delivery, and created an enterprise programme management office in 2009/10 to support line function services in providing effective, efficient and economic service delivery. This is evidenced by a significant increase in the Provincial Coordination sub-programme. Over the same period, expenditure on goods and services increased due to the implementation of the CRDP. Expenditure on this item is expected to decrease significantly from 2013/14 due to funds being reprioritised towards the Rural Development programme to speed up the CRDP.

The programme has a funded establishment of 1,371 posts and 206 posts are filled in addition to this establishment. Expenditure on consultants over the medium term is expected to increase once the department begins an IT system review in 2013/14. The review will improve ICT governance, deploy approved technologies, and facilitate the development and support of approved business solutions and the enhancement of the security systems by instituting more integrated institutional arrangements throughout the department.

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02

19 PROGRAMME 2: GEOSPATIAL AND CADASTRAL SERVICES

Purpose

Provide geospatial information, cadastral surveys and spatial planning as well as technical services in support of sustainable land development. There are no changes in the budget programme structure.

Str

ategic objectives, performance indicators and annual targets for 2013/14

Annual targets against performance indicators for Programme 2 are presented in the table below:

Strategic Objective Statement Performance Indicator Audited/Actual performance performance Estimated

2012/13 Medium-term targets 2009/10 2010/11 2011/12 2013/14 2014/15 2015/16 3.1 An integrated land planning, spatial information and administration system to promote an equitable, sustainable land use and allocation by 2014

Number of Spatial Plans formulated and supported to achieve Spatial Equity and Sustainability New indicator 25 25 25 rural Spatial Development Frameworks (SDF) completed 37 Spatial Plans completed 50 Spatial Plans completed/ revised 60 Spatial Plans completed/ revised

New Indicator New Indicator New Indicator New Indicator

Research Report on the National Spatial Development Framework completed Concept Document on the National Spatial Development Framework completed Draft National Spatial Development Framework formulated Integrated National Spatial Information Management System (INSIMS) established to ensure interoperability

New indicator New indicator New indicator New Indicator

Solution of the Integrated National Spatial Information Management System designed Solution of the Integrated National Spatial Information Management System developed Solution of the Integrated National Spatial Information Management System implemented Average number of

working days taken to process registerable diagrams, general plans and sectional plans

20 18 21 19,7 14 14 14

Operational E-cadastre New indicator

Enterprise architecture available e-Deeds version 1 completed - E-cadastre available and implemented E-cadastre integration with municipalities

-8.1 Skills development and sustainable economic opportunities created by 2014

Number of people

trained in geomatics New indicator New indicator 58

58 trainees appointed for the next 18 months of the training

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20 Quarterly targets for 2013/14

Quarterly targets for 2013/14 for performance targets are presented in the table below:

Performance Indicator Reporting_Period Annual _Target Quarterly targets

1st 2nd ₃rd ₄th

3.1.1

Number of Spatial Plans formulated and supported to achieve Spatial Equity and Sustainability

Quarterly

37 Spatial Plans completed (SDFs, Precinct Plans, Land Use Schemes, Local Area Plans, EMPs)

Spatial Analysis and

Synthesis Draft SDF Consultation

37 SDFs Finalised and Approved

Quarterly

Research Report on the National SDF

completed

Project Start-Up Inception Report

available Consultation Research Report on the National Spatial Development Framework completed 3.1.2

Integrated National Spatial Information Management Systems (INSIMS) established to ensure interoperability

Quarterly

Solution of the Integrated National Spatial Information Management System designed

Needs analysis and specifications conducted Business process mapping finalised Solution design commenced Solution design completed 3.1.3

Average number of working days taken to process registerable diagrams, general plans and sectional plans

Quarterly 14 14 14 14 14

3.1.4 Operational E-cadastre Quarterly E-cadastre available and

implemented Solution piloted Solution piloted

E-cadastre implemented

8.1.1 Number of people trained in

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02

21 Reconciling performance targets with the budget and MTEF

Table 2: Geospatial and Cadastral Services

R thousand 2009/10 2010/11 2011/12 2012/13 2013/14 2014/15 2015/16

National Geomatics Management Services 220,086 273,328 361,469 471,210 394,806 420,509 447,172

Spatial Planning and Land Use Management 30,995 68,067 75,624 110,893 97,108 104,099 112,571

Registration of Deeds Trading Account 57,592 27,861 143,323 11,129 13,741 14,894 17,053

South African Council for Planners 2,288 2,425 2,571 2,700 2,849 3,020 3,159

Total 310,961 371,681 582,987 595,932 508,504 542,522 579,955

Current payments 233,353 328,536 419,250 564,320 482,787 514,947 549,582

Compensation of employees 166,500 241,181 292,440 358,752 402,928 430,805 461,133

Interest and rent on land – – 2 – – –

Transfers and subsidies 61,832 32,072 147,350 16,431 18,002 19,378 21,721

Departmental agencies and accounts 57,592 27,861 143,323 11,129 13,741 14,894 17,053

Foreign governments and international

organisations 1,226 1,148 1,194 1,540 1,400 1,450 1,495

Non-profit institutions 2,288 2,425 2,571 2,700 2,849 3,020 3,159

Households 723 636 258 1,050 – – –

Software and other intangible assets – – – 942 1,448 1,292 1,350

Payments for financial assets 113 301 755 – – – –

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22 Performance and expenditure trends

Spending over the medium term will be focused in the National Geomatics Management Services sub-programme, and on finalising the land register to enhance effective land planning and administration. Between 2009/10 and 2012/13 expenditure in the National Geomatics Management Services sub-programme increased significantly due to the occupation-specific dispensation, particularly for land surveyors. Over the same period, expenditure on the Spatial Planning and Land Use Management sub-programme increased due to the drafting of the Spatial Planning and Land Use Bill. Expenditure on the Deeds Trading Account sub-programme decreased in this period due to the decline in the property market. However, expenditure is expected to increase from 2013/14 due to the implementation of an electronic register.

Expenditure on compensation of employees increased significantly between 2009/10 and 2012/13 due to the implementation of the occupation-specific dispensation for land surveyors, to improve conditions of service. In addition, expenditure on goods and services increased over the same period due to the State land audit, which took place in 2011/12. Expenditure on transfers in this period also increased as a result of the augmentation of the Deeds Trading Account’s shortfall in 2011/12 to fund the e-cadastre project, spatial data infrastructure and the development of spatial development frameworks. Over the medium term, expenditure of goods and services is expected to decrease due to the reprioritisation of funds towards the Rural Development programme to speed up the CRDP.

As part of Cabinet-approved budget reductions, a reduction of R11.5 million over the medium term will be affected in goods and services, mainly in expenditure on travel and subsistence in 2013/14. The department will reprioritise funds from non-core services to ensure that these reductions do not impact negatively on service delivery.

The programme has a funded establishment of 810 posts, and 269 posts are filled in addition to this establishment. Expenditure on compensation of employees is expected to increase over the medium term mainly because of the need to increase the number of posts by 170 in order to implement the Spatial Land Use Management Bill, which will require additional staff to visit and orientate municipalities about the Bill’s provisions.

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02

23 PROGRAMME 3: RURAL DEVELOPMENT

Purpose

Initiate, facilitate, coordinate and catalyse the implementation of a Comprehensive Rural Development Programme leading to sustainable and vibrant rural communities. There are no changes in the budget programme structure.

Strategic objectives, performance indicators and annual targets for 2013/14

Annual MTEF targets for strategic objectives for Programme 3 are shown in the table below:

Strategic Objective Statement Performance Indicator

Audited/Actual Performance _Estimated

Performance 2012/13

Medium-term targets

2009/10 2010/11 2011/12 2013/14 2014/15 2015/16

4.1

Integrated service delivery facilitated through the

coordination of government and development stakeholders by 2014 Number of functional Council of Stakeholders 2 23 27 21 58 62 65 5.3 Recapitalisation and

development support provided to land reform beneficiaries and rural communities by 2014

Number of projects implemented through the Animal and Veld Management Programme completed

New indicator New indicator New indicator New indicator 182 241 436

Number of hectares irrigated New indicator New indicator New indicator New indicator 5,000 5,000 5,000

6.1

Profiled rural households enabled to improve their food security by 2014

Number of households producing their own

food New Indicator New indicator 3,488 757 2,200 2,400 2,500

7.1

Socio-economic infrastructure facilitated to improve access to services by 2014

Number of bulk infrastructure completed New indicator New indicator New indicator New indicator 8 8 8 Number of households with basic services

infrastructure New indicator New indicator New indicator 20,000 7,278 7,278 7,278

Number of public amenities completed New indicator New indicator New indicator New indicator 26 21 21 Number of ICT projects completed New indicator New indicator New indicator New indicator 19 18 18 Number of economic infrastructure projects

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24

Strategic Objective Statement Performance Indicator

Audited/Actual Performance _Estimated

2009/10 2010/11 2011/12 2013/14 2014/15 2015/16

8.1

Skills development and sustainable economic opportunities created by 2014

Number of people trained to improve rural

livelihoods New indicator New indicator 3,280 2,648 3,400 3,800 4,200

Number of jobs created through rural

development initiatives New indicator New indicator 4,589 2,577 3540 4,000 4,400

Number of youth enrolled into the National

Rural Youth Service Corps programme New indicator 7,401

1 _5,300 _5,000 _4,600 _5,000 _5,000

Number of youth skilled through the National

Rural Youth Service Corps programme New indicator 7,401

1 _5,300 _2,279 _4,600 _5,000 _5,000

Number of rural enterprises supported New indicator New indicator New indicator New indicator 90 100 110

Quarterly targets for 2013/14

Quarterly targets for 2013/14 for performance indicators of strategic objectives are shown in the table below:

Performance Indicator Reporting _Period Annual _Target Quarterly targets

1st 2nd ₃rd ₄th

4.1.1 Number of functional

Council of Stakeholders Quarterly 58 8 15 15 20

5.3.1

Number of projects implemented through the Animal and Veld Management Programme completed

Quarterly 182 39 41 56 46

5.3.2 Number of hectares irrigated Quarterly 5,000 - - 2,500 2,500

6.1.1 Number of households producing their

own food Quarterly 2,200 100 750 600 750

7.1.1 Number of bulk infrastructure completed Quarterly 8 - 1 5 2

7.1.2 Number of households with basic

services infrastructure Quarterly 7,278 100 1,208 2,370 3,600

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02

25 Reconciling performance targets with the budget and MTEF

Table 3: Rural Development

Performance Indicator Reporting _Period Annual _Target Quarterly targets

1st 2nd ₃rd ₄th

7.1.3 Number of public amenities completed Quarterly 26 - 4 12 10

7.1.4 Number of ICT projects completed Quarterly 19 1 4 9 5

7.1.5 Number of economic infrastructure

projects completed Quarterly 17 1 4 7 5

8.1.2 Number of people trained to improve

rural livelihoods Quarterly 3,400 200 1,150 900 1,150

8.1.3 Number of jobs created through rural

development initiatives Quarterly 3,540 340 1,150 1,150 900

8.1.4

Number of youth enrolled into the National Rural Youth Service Corps Programme

Annually 4,600 - - - 4,600

8.1.5

Number of youth skilled through the National Rural Youth Service Corps programme

Annually 4,600 - - - 4600

8.1.6 Number of rural enterprises supported Quarterly 90 10 30 30 20

R thousand 2009/10 2010/11 2011/12 2012/13 2013/14 2014/15 2015/16

Rural Infrastructure Development 39,498 145,499 270,064 368,060 354,571 375,593 392,890

Social, Technical Rural Livelihood and

Institutional Facilitation 32,619 211,969 420,352 259,246 363,935 374,882 392,242

National Rural Youth Services Corps 4,686 3,023 95,836 413,902 508,917 528,205 543,036

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26

Current payments 76,567 349,891 688,775 1,011,234 867,123 897,993 929,968

Interest and rent on land – 81 – – – – –

Transfers and subsidies – 35 90,763 26,13 360,300 380,687 398,200

Departmental agencies and accounts – – 37,652 15,184 241,761 255,036 266,768

Public corporations and private enterprises – – 40,176 10,929 118,539 125,651 131,432

Non-profit institutions – – 12,935 – – – –

Households – 35 – – – – –

Payments for capital assets 219 10,546 6,409 3,861 – – –

Machinery and equipment 219 10,546 6,409 3,861 – – –

Payments for financial assets 17 19 305 – – – –

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02

27 Performance and expenditure trends

Spending for the Rural Development programme over the medium term will focus on the building of roads, irrigation schemes and a bridge in the Rural Infrastructure Development sub-programme, and increasing the number of participants in the National Rural Youth Services Corps (Narysec) sub-programme to improve access to sustainable employment and skills development opportunities. This latter sub-programme, which is expected to grow significantly over the medium term due to an additional R200 million it is to receive each year from the economic competitiveness and support package, expects to increase the number of participating youths by 4,600 in 2013/14, 5,000 in 2014/15 and 5,000 in 2015/16. Between 2009/10 and 2012/13, expenditure on the Rural Infrastructure Development sub-programme increased significantly due to the construction of roads and a bridge in rural areas. Over the same period, expenditure on the Social, Technical, Rural Livelihood and Institutional Facilitation sub-programme also increased significantly due to the implementation of the Comprehensive Rural Development Programme (CRDP). Expenditure on the Narysec increased in this period due to the employment of additional youth in the programme.

Expenditure on compensation of employees increased significantly between 2009/10 and 2012/13 due to the employment of additional youth in the Narysec, and in the same period expenditure on goods and services increased due to purchases made to accommodate these new recruits.

Expenditure over the medium term is expected to increase mainly due to the further implementation of the CRDP, the increase in the number of the participants in the Narysec programme, and the profiling of rural households in the identified 23 district wards. The bulk of the expenditure over the medium term will be on goods and services, specifically operating payments for youth corps participants, and payments to consultants for rural infrastructure development and social mobilisation.

Spending in the Rural Infrastructure Development sub-programme is expected to increase over the medium term as a result of the continuation of projects begun in 2009/10, such as the construction of the Nkosi Dalibhunga Mandela legacy bridge and a 10 km access road, the electrification of rural households, the provision of clean water and sanitation, the establishment and registration of cooperatives and rural enterprises, and the provision of access to information technology. As part of Cabinet-approved budget reductions, reductions of R8.5 million over the medium term have been identified in spending on goods and services, mainly in expenditure on travel and subsistence in 2013/14. The department will reprioritise funds from non-core items to ensure that these reductions do not impact negatively on service delivery. The programme has a funded establishment of 390 posts, and 19 posts are filled in addition to this establishment. Expenditure on compensation of employees is expected to increase over the medium term as a result of increasing the number of posts by 64 as internal capacity is developed to implement the CRDP.

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28 PROGRAMME 4: RESTITUTION

Purpose

Settle land restitution claims under the Restitution of Land Rights Act (1994) and provide settlement support to beneficiaries. There are no changes in the budget programme structure.

Strategic objectives, performance indicators and annual targets for 2013/14

Annual MTEF targets for strategic objectives for Programme 4 are shown in the table below.

Strategic Objective

Statement Performance Indicator

Audited/Actual performance Estimated

2009/10 2010/11 2011/12 2013/14 2014/15 2015/16

5.2 Land rights restored or alternative forms of equitable redress awarded to claimants by 2014 Number of land claims settled 131 118 416 387 230 106 338 Number of backlog claims finalised 131 60 209 125 208 220 240 Research on the opening of new restitution claims finalised

New indicator New indicator New indicator New indicator Research report completed Implementation of research report recommendations Implementation of research report recommendations

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02

29 Quarterly targets for 2013/14

Quarterly targets for 2013/14 for performance indicators of strategic objectives are shown in the table below:

Reconciling performance targets with the budget and MTEF

Table 4: Restitution

Performance Indicator Reporting _Period Annual target Quarterly targets

1st 2nd ₃rd ₄th

5.2.1 Number of land claims settled Quarterly 230 21 49 81 79

5.2.2 Number of backlog claims

finalised Quarterly 208 21 62 94 31

5.2.3 Research on the opening of

new restitution claims finalised Annually Research report completed - - -

Research report completed

R thousand 2009/10 2010/11 2011/12 2012/13 2013/14 2014/15 2015/16

Restitution National Office 36,071 43,350 35,455 52,650 44,229 46,643 48,944

Restitution Regional Offices 327,966 375,495 451,952 331,059 317,413 319,673 334,740

Restitution Grants 1,967,596 3,347,988 1,888,882 2,577,810 3,026,406 3,351,028 3,505,175

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30 Performance and expenditure trends

The Restitution programme’s spending over the medium term will focus on settling restitution claims to increase access to and the productive use of land, which is discussed in more detail in the section that follows. The other sub-programmes in this programme provide administrative support for settling restitution claims, including resolving restitution claims in court, and verifying and negotiating claims for settlement. Between 2009/10 and 2012/13, expenditure in the Restitution National Office and Restitution Regional Offices sub-programmes increased due to the need to speed up the restitution process. Over the medium term, expenditure in the Restitution National Office sub-programme is expected to decrease slightly due to funds being reprioritised towards the Land Reform programme to speed up the recapitalisation and development programme, which is a partnership with the private sector and seeks to resuscitate distressed farms. This reprioritisation also explains the decrease in expenditure on goods and services in this period.

Expenditure on consultants decreased between 2009/10 and 2012/13 due to the use of internal resources. Over the medium term, expenditure on travel and subsistence is expected to decrease as a result of a reduction of R18 million being effected in spending on goods and services as part of Cabinet-approved budget reductions. The department will reprioritise funds from non-core items to ensure that these reductions do not impact negatively on service delivery.

The programme has a funded establishment of 508 posts, and 81 posts are filled in addition to this establishment. Spending on compensation of employees is expected to increase marginally over the medium term as the programme expects to increase the number of posts by 93 over the medium term to further develop internal capacity.

Current payments 361,291 413,026 349,507 379,327 361,391 366,052 383,408

Interest and rent on land – 66,928 6,457 – – – –

Transfers and subsidies 1,967,611 2,576,321 1,889,217 2,578,049 3,026,657 3,351,292 3,505,451

Households 1,967,602 2,576,314 1,888,047 2,578,036 3,026,646 3,351,281 3,505,440

Payments for capital assets 1,595 776,120 136,201 4,143 – – –

Machinery and equipment 1,595 4,385 4,169 4,143 – – –

Land and sub-soil assets – 771,735 132,032 – – – –

Payments for financial assets 1,136 1,366 1,364 – – – –