ANNUAL REPORT2013/14
DEPARTMENT OF HIGHER EDUCATION AND TRAININGAnnual Report 2013/14
Minister of Higher Education and Training
Dr BE NZIMANDE, MP
I have the honour of submitting the Annual Report of the Department of Higher Education and Training for the period 1 April 2013 to 31 March 2014.
Mr GF Qonde
Director-General: Higher Education and Training
Date: 30 May 2014
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DR BE NZIMANDE, MP
MInIsTER: HIgHER EDucATIon AnD
TRAInIng
MR MC MANANA, MP
DEpuTy MInIsTER: HIgHER EDucATIon AnD
TRAInIng
MR GF QONDE
DIREcToR-gEnERAl: HIgHER EDucATIon AnD
TRAInIng
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Table of contents
PART A: GENERAL INFORMATION . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5
1. general Information regarding the Department . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6
2. list of Abbreviations/Acronyms . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7
3. Message from the Minister . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11
4. Message from the Deputy Minister. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13
5. AccountingOfficer’sOverview . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14
6. StatementofResponsibilityandConfirmationoftheAccuracyoftheAnnualReport . . . . . . . . . . . . . . 16
7. StrategicOverview . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17
8. legislative and other mandates . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19
9. High level organisational structure . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 24
10. Entities reporting to the Minister. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 25
PART B: PERFORMANCE INFORMATION . . . . . . . . . . . . . . . . . . . . . . . . . 29
1. Auditor-General’sReport:PredeterminedObjectives . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 30
2. OverviewofDepartmentalperformance. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 30
3. strategic outcome-orientated goals . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 40
4. performance information by programme . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 43
5. Summaryoffinancialinformation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 109
6. conditional grants . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 117
7. Donor funds . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 119
8. capital investment, maintenance and asset management plan. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 126
PART C: GOvERNANCE . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 127
1. Introduction. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 128
2. Risk Management . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 128
3. Fraud and corruption . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 128
4. MinimisingConflictofInterest . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 128
5. code of conduct . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 129
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6. Health, safety and Environment Issues . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 129
7. portfolio committee . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 129
8. scopA Resolutions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 129
9. Priormodificationstoauditreports . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 129
10. Internal Audit and Audit committee . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 129
Part D: Human Resource Management . . . . . . . . . . . . . . . . . . . . . . . . . . 133
Part E: Financial Information . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 159
Part F: Department of Education . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 255
PART A: GENERAL INFORMATION
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1. general Information regarding the DepartmentThe Department of Higher Education and Training
PRETORIA OFFICE
Postal Address:
private Bag X174
pretoria
0001
Physical Address:
117 - 123 Francis Baard street
pretoria
0002
Tel: 012 312 5911
Fax: 012 323 0291
CAPE TOWN OFFICE
Postal Address:
private Bag X9192
CapeTown
8000
Physical Address:
103 plein street
CapeTown
8001
Tel: 021 469 5175
Fax: 021 461 4761
OTHER USEFUL CONTACTSCareer advice helpline: 0860 111 673
Website: www.careerhelp.org.za
National fraud hotline: 0800 801 801
Departmental Call Centre (Toll free): 0800 872 222
Website:www.dhet.gov.za
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2. list of Abbreviations/Acronyms
ABET Adult Basic Education and Training
ADEA Association for the Development of Education in Africa
ADTTT Artisan Development Technical Task Team
AET Adult Education and Training
AGSA Auditor-general south Africa
ALCs Adult learning centres
ARPL Artisan Recognition of prior learning
AU African union
BAS Basic Accounting system
BNC Bi-national commission
BRICS Brazil,Russia,India,ChinaandSouthAfrica
CAO CentralisedApplicationsOffice
CACH central Applications clearing House
CAS career Advice services
CC closed corporation
CD chief Director
CEM council of Education Ministers
CEO ChiefExecutiveOfficer
CEPD centre for Education policy Development
CESM ClassificationofEducationalSubjectMatter
CET community Education and Training
CETA construction Education and Training Authority
CFO ChiefFinancialOfficer
CHE council on Higher Education
COL CommonwealthofLearning
COMEDAF conference of Ministers of Education of the African union
COSE collaboration for occupational skills Excellence
CPIX consumer price Index
CPUT cape peninsula university of Technology
CSIR CouncilforScientificandIndustrialResearch
CUT central university of Technology
DBE Department of Basic Education
DDG Deputy Director-general
DG Director-general
DHET Department of Higher Education and Training
DIRCO Department of International Relations and cooperation
DOE Department of Education
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DOL Department of labour
DST Department of science and Technology
DTI Department of Trade and Industry
ECM Enterprise content Management
EEP Employment Equity plan
EFA Education for All
ELRC Education labour Relations council
ENE Estimates of national Expenditure
ETQA Education and Training Quality Assurance
EXCO Executive council
FET Further Education and Training
FETCBU Further Education and Training colleges Bargaining unit
FETMIS Further Education and Training Management Information system
FMS&G Financial Management systems and guidelines
GENFETQA general and Further Education and Training Quality Assurance
GETC GeneralEducationandTrainingCertificate
GFETQSF GeneralandFurtherEducationandTrainingQualitySub-Framework
GIS geographical Information system
GITO GovernmentInformationTechnologyOffice
GPSSBC general public service sector Bargaining council
HE Higher Education
HEAIDS Higher Education HIV/AIDs
HEDCOM Heads of Education Departments committee
HEI Higher Education Institutions
HEMIS Higher Education Management Information system
HEQF HigherEducationQualificationsFramework
HESA Higher Education south Africa
HIv/AIDS HumanImmunodeficiencyVirus/AcquiredImmunodeficiencySyndrome
HRD Human Resource Development
HRDSA Human Resource Development strategy for south Africa
HRMIS Human Resource Management Information system
IBSA India-Brazil-SouthAfrica
ICASS Internal continuous Assessment
ICT Information and communication Technology
ILO International labour organisation
IT Information Technology
ITIL Information Technology Infrastructure library
INDLELA Institute for the national Development of learnerships, Employment skills and labour Assessments
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IPAP Industrial policy Action plan
LAN LocalAreaNetwork
MEDUNSA Medical university of south Africa
MIS Management Information system
MLO MediaLiaisonOfficer
MMM Minister’sManagementMeeting
MPAT Management performance Assessment Tool
MTEF MediumTermExpenditureFramework
MTSF MediumTermStrategicFramework
NAMB national Artisan Moderation Body
NASCA NationalSeniorCertificateforAdults
NATED national Accredited Technical Diploma
NC(v) NationalCertificate(Vocational)
NDP national Development plan
NGP NewGrowthPath
NIHE national Institute of Higher Education
NIPF NationalIndustrialPolicyFramework
NQF NationalQualificationsFramework
NRF national Research Foundation
NSA national skills Authority
NSDS national skills Development strategy
NSDSIII national skills Development strategy III
NSF national skills Fund
NSF ALC national norms and standards for Funding Adult learning centres
NSF DIS national skills Fund Disbursement Information system
NSF FET national norms and standards for Funding Further Education and Training colleges
NSFAS national student Financial Aid scheme
OAG OfficeoftheAccountant-General
ODA overseas Development Assistance
OECD organisation for Economic cooperation and Development
OFO OrganisingFrameworkforOccupations
OQSF OccupationalQualificationsSub-Framework
PALC public Adult learning centre
PED provincial Education Department
PERSAL personnel salary system
PFMA public Finance Management Act
PICC presidential Infrastructure coordinating commission
PIvOTAL professional, Vocational, Technical and Academic learning
PME performance Management and Evaluation
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PQM ProgrammeQualificationMix
PSIRA private security Industry Regulation Act
PSETA public service sETA
QCTO Quality council for Trades and occupations
RDG Research Development grant
SADC southern African Development community
SAICA south African Institute of chartered Accountants
SAIDE south African Institute of Distance Education
SAQA SouthAfricanQualificationsAuthority
SARS south African Revenue service
SAUS south African union of students
SCOPA standing committee on public Accounts
SDA skills Development Act
SDLA skills Development levies Act
SDL skills Development levy
SET science, Engineering and Technology
SETA sector Education and Training Authority
SIC StandardIndustrialClassification
SIP StrategicIntegratedProject
SITA state Information Technology Agency
SSP sector skills plan
SPU SolPlaatjeUniversity
SRC student Representative council
SSS student support services
TDG Teaching Development grant
TWG Technical Working group
UCCF university council chairs Forum
UMP university of Mpumalanga
UN united nations
UNESCO UnitedNationsEducational,ScientificandCulturalOrganisation
UoT university of Technology
vCET Vocational and continuing Education and Training
WAN WideAreaNetwork
WITS WitwatersrandUniversity
WSU Walter sisulu university
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3. Message from the MinisterIt is a pleasure to present the fourth Annual Report of the Department of Higher Education and Training, namely forthe2013/14financialyear.
The2013/14 financial yearwill certainly be rememberedas the year inwhichweestablishedand launchedourtwonewuniversities,SolPlaatjeUniversity(SPU)intheNorthernCapeandtheUniversityofMpumalanga(UMP)inMpumalanga.InterimCouncilswereappointedtogoverneachinstitutionandbothuniversitiesopenedtheirdoorstotheirfirst intakeofstudents inFebruary2014.Althoughmuchstillneedstobedone,thesetwoinstitutionswillassistintheexpansionoftheuniversitysystemandmakehighereducationmoreaccessibletotheyouth.Theestablishmentoftheseinstitutionsisagreatachievementaftersubstantialplanning,technicalworkandstakeholderconsultationovertheprevioustwofinancialyears.ANationalInstituteforHumanitiesandSocialScienceswasestablishedandgoodprogresshasbeenmadefortheestablishmentofanewHealthandAlliedSciencesuniversitythatwouldincorporatetheMedunsacampusoftheUniversityofLimpopo(UL).
January 2014 marked the launch of the White paper for post-school Education and Training. The White paper aims to improve the capacity of the post-school education and training system and outlines policy directions to develop the country and improve the economic, social and cultural life of its people. Amongst others, the White paper aims at strengthening and expanding the Technical and Vocational Education and Training (TVET) colleges andtoestablishCommunityCollegesthatwillbuildontheprogrammesthatarecurrentlyfundedthroughPublicAdult learning centres.
Astrongemphasiswasplacedoncareerguidanceservicesduringtheyearunderreview.Exhibitionsincreasedinnumberandtherewasamarkedimprovementinthequantityandqualityofinformationthatwasmadeavailabletolearnersandstakeholders.Allprovinceswerecoveredanditwasensuredthatdifferentcommunities,particularlyruralcommunities,hadeasyaccess to theDepartment’s information.Furthermore,aNationalCareerAdviceportal has been develop as an integrated education and training career development information system and is liveontheWorldWideWeb.InstitutionaldataofallourpublicTVETCollegesandUniversitiesisnowintegratedinto this portal.
TheCentralApplicationsClearingHouseranforthesecondtimeandoperatedsuccessfullyfromthefirstweekof January to the end of March 2014. This is an important initiative to guide and advise prospective students on thedifferentlearningopportunitiesavailablewithinthepost-schoolssystem.
TheReport of theMinisterial Committee for theReview of the Funding of Universitieswas released duringFebruary2014.ATechnicalTeamandaReferenceGroupwereestablishedtoconsideralltherecommendations,conductmodellinganddraftanewfundingframeworkforcomment.
Manystepshavebeentakentoassistwiththeexpansionofthepost-schooleducationsysteminlinewiththedirectives of the national Development plan. These include among other things:
• The publication of the Policy for the Provision of Distance Education in South African Universities in the Context of an Integrated Post-school System. The policy provides for contact universities to embark on distanceprovisioningandwillenableuniversitiestodiversifytheirmodesofdeliveryandassistwiththeexpansion of the system, especially at the post-graduate level.
• Apolicy framework for thedifferentiationof theHigherEducationandTrainingSystemhasalsobeendevelopedandwillbepublishedforpubliccommentduring2014.Whenthispolicyframeworkisfinaliseditwillenablemoreeffectivesteeringofthesystemtowardsofferingmorediverseopportunitiestopost-schoolcitizens.
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• AspartofremovingtheblockagestonationalartisanlearnerfundingasidentifiedbytheHumanResourceDevelopment council, the policy for a generic national Artisan learner grant Funding and Administration SystemwasapprovedinJune2013.
The national student Financial Aid scheme continues to play a critical role in administering loans and bursaries andallocatingthesetoeligiblestudents.TheDepartmentislookingforwardtothereportonthepilotedstudent-centered model to assess the success thereof and to ensure that there is a good return on our investment in this respect.
Iamgratefulforwhatwemanagedtoachieveduringthepastfinancialyearandtrustthatwewillcontinuetodrivethesystemtomaximumachievementandimprovebotheducationqualityandstudentsuccessrates.IwishtoacknowledgetheworkoftheDeputyMinister,myDirector-General,hisseniormanagementteam,thestaffinmyofficeandeveryofficialintheDepartment.Ithankthemallforthepastyear’sachievementsandtrustthatthefoundationstheyhavelaidwillhelpustowardsevengreaterachievementsintheinterestofourcountry.
Ialsowishtoacknowledgetheworkdonebyallourinstitutionsandtheroleoforganisedlabourandemployers,towardsbuildingacoherentpost-schooleducationandtrainingsystem.Aspecialwordof thanksgoestoourglobal and local donors for their ongoing support.
I hereby present this Annual Report of the Department of Higher Education and Training to parliament.
Together, Turning Every Workplace into a Training Space!
Dr BE Nzimande, MPMinister of Higher Education and Training
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4. Message from the Deputy MinisterDuringthe2013/14financialyear,theexpansionofthepost-schooleducationandtrainingopportunitiesforthecitizensofourcountryandespeciallytheyouthremainedthekeyfocusoftheDepartment.
SpecialattentionwasgiventoprovidingcareeradvicetomatriclearnersandotheryouthwiththeApply Now! Campaignwasonceagainverysuccessfulinreachingourlearnersandyouth.
2013wasdeclaredasthe‘Year of the Artisan’.Thisadvocacyprogrammewasrolledoutacrossallnineprovincesduringthe2013/14financialyear.ThousandsofyoungpeopleparticipatedintheprogrammethatwasbasedatpublicTVETColleges.Basedonthesuccessoftheprogramme,itwasexpandeduntil2024andwillbeknownasthe‘Decade of the Artisan’.Thisprogrammewillmaintaintheawarenessforqualifiedartisansandisaimedprimarily at advocating the need for young people to consider technical and vocational programmes at TVET colleges, and artisan development in particular as a career of choice as opposed to only a university based career.TheDepartmentalsodevelopedthefirstevernationalartisandevelopmentdatabaseoflearnersandaseriesofnationalartisandevelopmentscenarioswasalignedwiththeNationalDevelopmentPlantargetingtheproductionof30000qualifiedartisansperyearby2030.
The extension of the Higher Education and Training AIDs (HEAIDs) programme to TVET colleges during the yearprovidedthefirstnationalprogrammeonHIVpreventioninTVETColleges.Theimmensesuccessofthisprogramme has laid the foundation for further roll out to reach all post-school education and training students.
IwouldliketothanktheMinisterofHigherEducationandTraining,DrBENzimande,forhisongoingcommitmentandleadershiptowardstheimprovementofthecountry’spost-schooleducationandtrainingsystem.IalsowishtothanktheDirector-General,MrGFQonde,hisseniormanagementteamandstaffinmyofficefortheirsupportand to congratulate them on the goals achieved during the past year.
Mr MC Manana, MPDeputy Minister of Higher Education and Training
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5. AccountingOfficer’sOverviewIwishtothanktheMinisterofHigherEducationandTraining,DrBENzimande,andDeputyMinister,MrMManana,for their continued support to improve the provisioning of post-school education and training opportunities, especially forour youth. In thisannual report, theachievementsover thepast financial year in termsofourfinancialmanagementaswellasourpredeterminedobjectivesarecoveredwithmuchhavingbeingdonetowardsachieving our goals given the many challenges still being faced.
TheyearmarkedthedevelopmentandlaunchoftheWhitePaperforPost-SchoolEducationandTraining,whichfurtherprovidesdirectiontowards improvingthepost-schooleducationandtrainingsystem.TheWhitePaperoutlines key principles such as the strengthening and expansion of the Technical and Vocational Education andTraining(TVET)Collegesandthepromotionofquality improvementsandappropriatediversitywithintheUniversitysector.Astrongemphasisisplacedontherequirementsforintegrationwithinthesystemandimprovingthelinkbetweeneducationandtheworkplace.
Anumberofadditionalpoliciesweredeveloped to improveaccess in thesystem.TheMinisteramended thesub-frameworksthatcomprisetheNationalQualificationsFrameworkandappointedaMinisterialCommitteeonArticulationwhichproducedareportthatwillbepublishedforpubliccomment.ThedraftSocialInclusionPolicyFrameworkwasreferredtotheMinisterialOversightCommitteeonTransformationforinputs.CabinetapprovedthedevelopmentofaCareerDevelopmentServicespolicyandimplementationplaninJanuary2014.A‘Concept Framework for an Open Learning System in Post-School Education and Training in South Africa’withpolicyrecommendationswasalsodeveloped.
WithregardstoAdultEducationandTraining,adraftpolicyonCommunityEducationandTrainingCollegeswasdeveloped. Regulations on the Assessment process and procedures for Adult Education and Training national QualificationsFrameworkLevel1wasdevelopedandapproved.
ThepolicyonProfessionalQualifications forTechnicalandVocationalEducationLecturerswasfinalisedandpublishedintheGovernmentGazetteforimplementation.UniversitieshavebeenidentifiedtodevelopprogrammeswiththesupportoftheDepartment.
TheDepartment,incollaborationwiththeHumanSciencesResearchCouncilandDepartmentofInternationalRelationsandCooperation(DIRCO),continuedtoplayasignificantroleinensuringthesuccessfulparticipationof south Africa in the 2014 BRIcs Think Tanks council and 2014 BRIcs Academic Forum. During the year under review,anumberofsignificantBRICSrelatedeventsweresuccessfullyorganisedincludinganacademicforumto interrogate the draft BRIcs vision document and develop it further into a south African position document.
Thetwonewuniversities,i.e.UniversityofMpumalangainMpumalangaandSolPlaatjeUniversityintheNorthernCape,werelaunchedandinterimcouncilswereestablishedtocommencewiththeoperationsofbothinstitutions.Bothinstitutionsopenedtheirdoorsfortheirfirststudentintakesinthe2014academicyear.
ThenewReportingRegulationsforPublicHigherEducationInstitutionshavebeenfinalisedaftertheincorporationofpubliccommentsand intensiveconsultationwithkeystakeholders in thesector.TheDepartmentplans toimplementthepolicywitheffectfromthe2015reportingyear.
Theprogressandachievementsreportedwouldnothavebeenpossible if itwasnotforthededicationofmySeniorManagementteamandallthestaffintheDepartment.Iappreciateyourdedicationandhardwork.
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IherebypresenttheAnnualReportforthe2013/14financialyeartotheMinisterofHigherEducationandTraining,DrBENzimande,andDeputyMinister,MrMCManana,andinvitethemtotableitinParliament.
GF QondeAccounting Officer
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6. StatementofResponsibilityandConfirmationoftheAccuracyofthe Annual Report
Tothebestofmyknowledgeandbelief,Iconfirmthefollowing:
• All information and amounts disclosed throughout the Annual Report, are consistent.
• The Annual Report is complete, accurate and is free from any omissions.
• TheAnnualReporthasbeenpreparedinaccordancewiththeguidelinesontheannualreportasissuedby national Treasury.
• TheAnnualFinancialStatements (PartE)havebeenprepared inaccordancewith themodifiedcashstandardandtherelevantframeworksandguidelinesissuedbytheNationalTreasury.
• TheAccountingOfficerisresponsibleforthepreparationoftheannualfinancialstatementsandforthejudgementsmadeinthisdocument.
• TheAccountingOfficerisresponsibleforestablishingandimplementingasystemofinternalcontrolthathas been designed to provide reasonable assurance as to the integrity and reliability of the performance information,thehumanresourcesinformationandtheannualfinancialstatements.
• Theexternalauditorsareengagedtoexpressanindependentopinionontheannualfinancialstatements.
Inmyopinion,theAnnualReportfairlyreflectstheoperation,theperformanceinformation,thehumanresourcesinformationandthefinancialaffairsoftheDepartmentforthefinancialyearended31March2014.
yours faithfully
GF QondeAccounting OfficerDate: 30 May 2014
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7. StrategicOverview
7 .1 vision
ThevisionoftheDepartmentisaSouthAfricainwhichwehaveadifferentiatedandfullyinclusivepost-schoolsystemthatallowsallSouthAfricanstoaccessandsucceedinrelevantpost-schooleducationandtraining,inordertofulfiltheeconomicandsocialgoalsofparticipationinaninclusiveeconomyandsociety.
7 .2 Mission
ItisthemissionoftheDepartmentofHigherEducationandTrainingtodevelopcapable,well-educatedandskilledcitizenswhoareabletocompeteinasustainable,diversifiedandknowledge-intensiveinternationaleconomy,whichmeetsthedevelopmentalgoalsofourcountry.
TheDepartmentwillundertakethismissionbyreducingtheskillsbottlenecks,especiallyinpriorityandscarceskillsareas;improvinglowparticipationratesinthepost-schoolsystem;correctingdistortionsintheshape,sizeanddistributionofaccesstopost-schooleducationandtraining;andimprovingthequalityandefficiencyinthesystem, its sub-systems and its institutions.
7 .3 value statement
The Department is committed to
• distinctionandexcellenceinallourworkeffortstodevelopaskilledandcapableworkforceforthecountry
• honesty, perseverance and commitment in providing differentiated education and training opportunities for all the people of south Africa
• efficiencyofworkhabitsandproficiencyofallDHETemployeesinfulfillingthemandateoftheDepartment
• teamwork, cooperationandsolidarity inworkingwithourpartners inhighereducationand training toachieve the shared goals
• transformation imperatives by addressing and normalising social inequality, race, gender, age, geography, HIV/AIDs and disability issues at all our higher education and training institutions.
7 .4 Strategic outcome-orientated goals
7.4.1 Strategic Goal 1: To increase the number of skilled youth by expanding access to education and training.
7.4.2 Strategic Goal 2: To adequately capacitate individual institutions to effectively provide or facilitate all learning.
7.4.3 Strategic Goal 3: To increase the number of students successfully entering the labour market upon completion of training.
7.4.4 Strategic Goal 4: Toexpandtheresearch,developmentandinnovationcapacityforeconomicgrowthand social development.
7.4.5 Strategic Goal 5: To create college curriculums that are responsive to the demands of the market place andcan transformandadaptquicklyandeffectively tochangingskillsneeds,withspecial emphasis on artisan training.
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7.4.6 Strategic Goal 6: To create credible institutional mechanisms for skills planning to support an inclusive economicgrowthpath.
7.4.7 Strategic Goal 7: Tosustainhighlyeffective,professionalandefficientadministrationinformedbygoodcorporate governance practices.
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8. legislative and other mandates
Constitutional mandate
TheDepartmentofHigherEducationandTrainingderivesitslegislativemandatefromthesupremelawoftheRepublic,theConstitution,withinthepurportofSection29,readwithSchedule4,whichlistseducationatalllevels,excluding tertiary education as a functional area of concurrent national and provincial legislative competence, whereasSection29statesthefollowing:
‘(1) Everyonehastheright
(a) to a basic education, including adult basic education
(b) to further education, which the state, through reasonable measures, must make progressivelyavailable and accessible.
(2) Everyonehastherighttoreceiveeducationintheofficiallanguageoftheirchoiceinpubliceducationalinstitutionswherethateducationisreasonablypracticable.Inordertoensuretheeffectiveaccessto,andimplementation of this right, the state must consider all reasonable educational alternatives, including single medium institutions, taking into account
(a) equity
(b) practicability and
(c) theneedtoredresstheresultsofpastraciallydiscriminatorylawsandpractices.
(3) Everyonehastherighttoestablishandmaintain,attheirownexpense,independenteducationalinstitutionsthat
(a) do not discriminate on the basis of race
(b) areregisteredwiththestateand
(c) maintain standards that are not inferior to standards at comparable public educational institutions.
(4) Subsection(3)doesnotprecludestatesubsidiesforindependenteducationalinstitutions’.
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Legislative Mandates
Legislation Principal Minister Relevant to the Minister of Higher Education and Training
Adult Education and Training Act (AET Act)
provides for the establishment of public and private adult learning centres and for the governance of public centres
Minister of Higher Education and Training
Entire Act
Further Education and Training Act (FET Act)
provides for the governance and funding of FET colleges and related matters in providing FET college education
Minister of Higher Education and Training
Entire Act
General and Further Education and Training Act (gEnFETQA) – uMAlusI is the Quality council for FET colleges and AET centres
Whole to Minister of Basic Education – except areas relevant to the Minister of Higher Education and Training
In as far as public and private centres offering AET as per the AET Act, offering further education as per the FET Act and section 2(b) & (c), 3,16-21, 23, 26 and 28
Higher Education Act (HE Act)
Providesforaunifiedandnationallyplanned system of higher education and for the statutory council on Higher Education (cHE)
Minister of Higher Education and Training
Entire Act
National Student Financial Aid Scheme Act (nsFAs Act)
provides for the granting of loans and bursaries to eligible students atuniversities,aswellasfortheadministration of such loans and bursaries
Minister of Higher Education and Training
Entire Act
National Qualifications Framework Act (nQF Act)
provides for managing the nQF level dispensations and related matters, as wellasforqualificationsandqualityassuranceofqualificationsrequiredonthesub-frameworksoftheNQF
Minister of Higher Education and Training
Entire Act
Skills Development Levies Actprovides for the imposition of skills development levies and related matters
Minister of Higher Education and Training
Entire Act
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Legislation Principal Minister Relevant to the Minister of Higher Education and Training
Skills Development Actprovides for the creation of the national skills Agency, establishment of the Quality council for Trade and occupation, regulation of apprenticeships and learnerships and matters related to skills development
Minister of Higher Education and Training
WholeexceptthefollowingtotheMinister of labour: section 2(1) g & h, 2(2)(a)(v), (vi) & (xii),5(4) (only withrespecttotheproductivityof sA), 22(1), 23(1)(a) & (d), (2),(3),24,25,26,26K, 26l, 26M, 26n, 32(2), 36(o), (p)&(q), item 7 of schedule 2A & schedule 4; and section 32(1), 33 and 36(a) & (s) and any other provision to the extent that these provisions apply to ‘employmentservices’,asdefinedinsection 1, or productivity south Africa, as established by section 26K, but excluding section 23(1)(b) & (c)
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policy MandatesWithin thecontextofHigherEducationandTraining,keypoliciesand legislationweredevelopedandcanbesummarisedasfollows:
Sole legislation:
1. TheHigherEducationAct(HEA),1997(ActNo.101of1997),providesforaunifiedandnationallyplannedsystemofhighereducation. ItalsoprovidesforastatutoryCouncilonHigherEducation,(CHE)whichadvisestheMinisterwhilebeingresponsibleforqualityassuranceandpromotion.TheHigherEducationAct and Education White paper 3: A programme for the Transformation of Higher Education (1999), formed thebasisforthetransformationofthehighereducationsectorwithimplementationguidedbytheNationalplan for Higher Education (2001).
2. The national student Financial Aid scheme (nsFAs) Act, 1999 (Act no. 56 of 1999), provides for the grantingofloansandbursariestoeligiblestudentsattendingpublichighereducationalinstitutions,aswellas for the administration of such loans and bursaries.
3. The Adult Education and Training (AET) Act, 2000 (Act no. 52 of 2000), provides for the establishment of publicandprivateadultlearningcentres,fundingforAET,thegovernanceofpubliccentres,aswellasforquality assurance mechanisms for the sector.
4. The Further Education and Training (FET) colleges Act, 2006 (Act no. 16 of 2006), provides for the regulation of further education and training, the establishment of governance bodies and the funding of public FET colleges, the registration of private FET colleges and the promotion of quality in further education and training.
5. TheNationalQualificationsFramework(NQF)Act,2008(ActNo.67of2008),providesfortheNationalQualificationsFramework,theSouthAfricanQualificationsAuthorityandtheQualityCouncils.TheNationalQualifications Framework is the principal instrument through which national education and trainingqualificationsarerecognisedandqualityassured.
6. The skills Development levies Act, 1999 (Act no. 9 of 1999), provides for the imposition of the skills development levy and connected matters.
The administration powers and functions originally entrusted to the Minister of Labour by the Skills Development Levies Act and the Skills Development Act, with the exception of provisions dealing with Productivity South Africa and employment services, were transferred to the Minister of Higher Education and Training, effective from 1 November 2009, by way of Presidential Proclamation 56 of 2009.
Shared legislation:
7. TheSkillsDevelopmentAct,1998(ActNo.97of1998),providesforaninstitutionalframeworktodeviseandimplementnational,sectorandworkplacestrategiestodevelopandimprovetheskillsoftheSouthAfricanworkforce,tointegratethosestrategieswithintheNationalSkillsFramework,toprovideforlearnershipsthatleadtotherecognitionofoccupationalqualifications,toprovideforthefinancingofskillsdevelopmentby means of a skills development levy and the national skills Fund.
8. TheNationalEducationPolicyAct,1996(Act.No.27of1996),regardingtheadministration,powersandfunctions pertaining to the determination of policy for public and private centres, established as envisaged in the Adult Education and Training Act, 2000: This includes public and private colleges providing further
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education as envisaged in the FETc Act, 2006, transferred to the Minister of Higher Education and Training.TheActwasdesignedtoinscribeintolawthepolicies,aswellasthelegislativeandmonitoringresponsibilitiesoftheMinisterofEducationandtoformalisetherelationsbetweennationalandprovincialauthorities. It laid the foundation for the establishment of the council of Education Ministers (cEM), as wellas for theHeadsofEducationDepartmentsCommittee(HEDCOM),as inter-governmental forumstocollaborateindevelopinganeweducationsystem.Assuch,itprovidesfortheformulationofnationalpolicies in general and for further education and training, for curriculum assessment and language policy aswellasqualityassurance.TheActembodiestheprincipleofco-operativegovernance,aselaboratedon in schedule 3 of the constitution.
9. TheEmploymentofEducatorsAct,1998(ActNo.76of1998)regardingtheadministration,powersandfunctions pertaining to adult education centres; the south African council for Educators Act, 2000 (Act no. 31of2000) regarding theadministration,powersand functionspertaining to theSouthAfricanCouncilfor Educators and to adult learning centres. The general and Further Education and Training Quality AssuranceAct,2001(ActNo.58of2001)includestheadministration,powersandfunctionsentrustedtoumalusi in relation to public and private centres offering adult education and training as envisaged in the AdultEducationandTrainingAct,2000.PublicandprivateFETcollegeswerepartiallytransferredtotheMinister of Higher Education and Training.
10. In the interim, the applicable provisions of the national Education policy Act, the Employment of Educators ActandtheSouthAfricanCouncilforEducatorsActwereincorporatedintheprincipalactsbywayoftheHigherEducationLawsAmendmentAct,2010(ActNo.26of2010)(HELA).
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10. Entities reporting to the MinisterThefollowingentitiesreporttotheMinisterofHigherEducationandTraining:
Name of entity Legislation Financial Relationship
Nature of Business
Agriculture sector Education and Training Authority (AgRIsETA)
skills Development Act 97 of 1998
Transfer payments
provision of relevant, quality and accessible education, training and development in both primary and secondary agriculture sectors
Banking sector Education and Training Authority (BAnKsETA)
skills Development Act 97 of 1998
Transfer payments
provision of relevant, quality and accessible education, training and development in the bankingandmicro-financesector
construction sector Education and Training Authority (cETA)
skills Development Act 97 of 1998
Transfer payments
provision of relevant, quality and accessible education, training and development in the construction industry
council on Higher Education (cHE)
Higher Education Act 101 of 1997
Transfer payments
Advising the Minister of Higher Education and Training on all higher education policy matters, implementation of the system of quality assurance for higher education, monitoring the state of the higher education system and contribution to the development of higher education through intellectual engagement
chemical Industries Education and Training Authority (cHIETA)
skills Development Act 97 of 1998
Transfer payments
provision of relevant, quality and accessible education, training and development in the chemical industries sector
culture, Arts, Tourism, Hospitality and sport Education and Training Authority (cATHssETA)
skills Development Act 97 of 1998
Transfer payments
provision of relevant, quality and accessible education, training and development in the arts, culture, tourism, hospitality and sport sectors
Energy and Water sector Education and Training Authority (EWsETA)
skills Development Act 97 of 1998
Transfer payments
provision of relevant, quality and accessible education, training and development in the energyandwatersector
Education, Training and Development practices (ETDpsETA)
skills Development Act 97 of 1998
Transfer payments
provision of relevant, quality and accessible education, training and development in the education, training and development sector
Fibre processing and Manufacturing sector Education and Training Authority (Fp&MsETA)
skills Development Act 97 of 1998
Transfer payments
Facilitate, coordinate and monitor the implementation of the NSDS in the fibreprocessing and manufacturing sector
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Name of entity Legislation Financial Relationship
Nature of Business
Financial and Accounting services sector Education and Training Authority (FAssET)
skills Development Act 97 of 1998
Transfer payments
provision of relevant, quality and accessible education, training and development in the financialandaccountingservicessector
Food and Beverages sector Education and Training Authority (FooDBEV)
skills Development Act 97 of 1998
Transfer payments
provision of relevant, quality and accessible education, training and development in the food and beverage sector
Health and Welfare sector Education and Training Authority (HWsETA)
skills Development Act 97 of 1998
Transfer payments
provision of relevant, quality and accessible education, training and development in the healthandwelfaresector
Insurance sector Education and Training Authority (InsETA)
skills Development Act 97 of 1998
Transfer payments
provision of relevant, quality and accessible education, training and development in the insurance sector
local government sector Education and Training Authority (lgsETA)
skills Development Act 97 of 1998
Transfer payments
provision of relevant, quality and accessible education, training and development in the local government sector
Manufacturing, Engineering and Related services sector Education and Training Authority (MERsETA)
skills Development Act 97 of 1998
Transfer payments
provision of relevant, quality and accessible education, training and development in the manufacturing, engineering and related services sector
Media, Information and communication Technologies sETA (MIcTs)
skills Development Act 97 of 1998
Transfer payments
provision of relevant, quality and accessible education, training and development in the information system, electronics and telecommunications technologies sector
MiningQualificationsAuthority (MQA)
skills Development Act 97 of 1998
Transfer payments
provision of relevant, quality and accessible education, training and development in the mining and minerals sector
national skills Funds (nsF)
skills Development Act 97 of 1998
Transfer payments
To fund national skills development priority projects as identified in the National SkillsDevelopment Strategy and projects relatedto achieving the purpose of the Act as determined by the Accounting Authority
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Name of entity Legislation Financial Relationship
Nature of Business
national student Financial Aid scheme (nsFAs)
nsFAs Act 56 of 1999
Transfer payments
Responsible for administering and allocating loans and bursaries to eligible students, developing criteria and conditions for the granting of loans and bursaries to eligible students inconsultationwith theMinisterofHigher Education and Training, raising funds, recovering loans, maintaining and analysing a database, undertaking research for the better utilisation of financial resources andadvising the Minister on matters relating to studentfinancialaid.
public service sector Education and Training Authority (psETA)
skills Development Act 97 of 1998
Transfer payments
provision of relevant, quality and accessible education, training and development in the public service sector
Quality council for Trades and occupations (QcTo)
nQF Act 2008 and skills Development Act of 2008
Transfer payments
Agency services provided
Develop criteria to ensure the quality of the occupational qualifications thatare responsive to labour market and developmental state initiatives.
safety and security Education and Training Authority (sAssETA)
skills Development Act 97 of 1998
Transfer payments
provision of relevant, quality and accessible education, training and development in the safety and security sector
services sector Education and Training Authority (sERVIcEs sETA)
skills Development Act 97 of 1998
Transfer payments
provision of relevant, quality and accessible education, training and development in the services sector
south African QualificationsAuthority(sAQA)
sAQA Act 58 of 1995
Transfer payments
sAQA focuses on upholding the principles of the National Qualification Forum, includingensuring access, quality, redress and development for all learners, through an integrated national framework of learningachievements
Transport Education and Training Authority (TETA)
skills Development Act 97 of 1998
Transfer payments
provision of relevant, quality and accessible education, training and development in the transport sector
Wholesale and Retail sector Education and Training Authority (W&R sETA)
skills Development Act 97 of 1998
Transfer payments
provision of relevant, quality and accessible education, training and development in the wholesaleandretailsector
pART B: pERFoRMAncE InFoRMATIon
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1. Auditor-General’sReport:PredeterminedObjectivesTheAuditor-General’sfindingontheAnnualPerformanceinformationisincludedintheReportoftheAuditor-general in part E: Financial Information.
2. OverviewofDepartmentalperformance
2 .1 Service delivery environment
Introduction
During the financial year ending 31 March 2014, the Department made significant progress towards theachievementofitsstrategicgoalsassetoutinthe2010/11-2014/15StrategicPlan.TheDepartmentofferedfiveprogrammesasfollows:Programme1:Administration;Programme2:HumanResourceDevelopment,Planningand Monitoring coordination; programme 3: university Education; programme 4: Vocational and continuing Education and Training and programme 5: skills Development.
Inviewofthe2012/13auditfindingsbytheAuditor-General,theDepartmentundertookareviewofthe2013/14AnnualPerformancePlanduringtheyearunderreview,withaviewtoensurefulladherencetotherequirementsof theFramework forStrategicPlansandAnnualPerformancePlans regarding topredeterminedobjectives,targetsandperformance indicators. In some instancesperformance indicatorsaswell as targetshad tobeamendedtoensurethat theyareSMART(Specific,Measurable,Achievable,RelevantandTime-bound).ThechangeswereapprovedbytheMinisterandarereflectedinthespecificbudgetprogrammesinthisreport.
University Sector
An overview of the service delivery environment during the past year
The total student headcount enrolment at the 23 established universities reached 953 373 in the 2012 academic year,which includesbothfull-timeandpart-timeenrolmentsforcontactanddistancestudy.This isa13.79%absolutegrowthinuniversityheadcountenrolmentsfromthebaselineof837779in2009,anotablecontributiontowards thenationalaim to increase the totalheadcountenrolments to1.6millionby2030asenvisagedbythe national Development plan (nDp) and the recently published White paper for post-school Education and Training(PSET).Thetotalnumberofuniversitygraduatesperannumforthisperiodhasalsoincreasedby14%,from 145 426 in the 2009 academic year to 165 995 in the 2012 academic year. notably, the number of Research MastersandPhDgraduatesincreasedatahigherratethantheoverallgraduationratewhichiscriticalbecauseit is on post-graduates that the country depends for our future academics, researchers and other leaders in knowledge-intensiveprofessions.ThenumberofResearchMastersgraduatesincreasedby45%from4179inthe2009academicyearto6076inthe2012academicyear,andDoctoralgraduatesincreasedby36%from 1 380 phD graduates to 1 879 over the same period.
Linkedtotheexpansionoftheuniversitysystemistheestablishmentoftwonewcomprehensiveuniversities.Substantialplanning,technicalworkandstakeholderconsultationovertheprevioustwofinancialyearsenabledthe Minister to promulgate Sol Plaatje University (SPU) in Kimberley, Northern Cape and the University ofMpumalanga (UMP) in Mbombela, Mpumalanga, as juristic persons through the publication of GovernmentGazettesinAugust2013.SPUandUMPopenedtheirdoorstotheirfirstintakeofstudentsinFebruary2014.This achievement has changed the shape of the university education system from 23 to 25 universities, 11 generalacademicuniversities;8comprehensiveuniversitiesand6universitiesoftechnology,andovertimewillcontribute to the increased capacity for contact students in the system.
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TheDepartmentisplanningtopromulgateathirdnewcontactuniversityduring2014toassistwiththeexpansionof the health and allied sciences education. The Joint Task Team appointed to advise the Minister on the separation of the MEDunsAcampusfromtheUniversityofLimpopoandtheestablishmentofanewuniversitythatwould incorporatethatcampus,completeditsreport.TheMinisterannouncedhis intentiontoestablishanewcomprehensiveHealthandAlliedSciencesUniversityandcalledfornominationstoitsInterimCouncilandforsuggestednames. It isexpected that thenew institutionwillbeestablished in2014and incorporate theMEDunsA campus by January 2015.
Theexpansionofthehighereducationsector,inlinewiththeNDPandtheWhitePaper,willbeassistedthroughthe publication of the Policy for the Provision of Distance Education in South African Universities in the Context of an Integrated Post-school System,whichwillbepublishedduring2014.Thepolicyprovidesforcontactuniversitiestoembarkondistanceprovisioningandwillenableuniversitiestodiversifytheirmodeofdeliveryandassistwiththeexpansionofthesystem,especiallyatthepost-graduatelevel.ApolicyframeworkfordifferentiationoftheHigherEducationandTrainingSystemhasalsobeendevelopedandwillbepublishedforpubliccommentduring2014.Whenthispolicyframeworkisfinalised,itwillenablemoreeffectivesteeringofthesystemtowardsofferingmorediverseopportunitiestopost-schoolcitizens.
TheexpansionofthesystemhasalsoenabledtheestablishmentoftheDepartment’sinfrastructureandefficiencyprogramme.TheMinister approved infrastructureprojectsamounting toR6billionacross the23establishedinstitutionsforthe2012/13-2014/15infrastructurecycleinlinewithdepartmentalprioritiesandcriteriaduringthe2012/13financialyear.Duringthe2013/14financialyear,R2billionwasdisbursedforarangeofnewinfrastructureprojectsforthese23universities,withafocusonhistoricallydisadvantagedcampusesandonstudenthousing.Astrategicdecisionwastakentochangetheprocessfortheallocationofinfrastructureandefficiencyfundsforthe2015/16to2017/18cycle.Universitieswererequestedtoundertakefullinfrastructure,maintenanceanddisabilityauditsanddevelopcomprehensiveneedsanalysesandcampusmasterplansforthenext20years.Thesewillbe used to develop a 20-year infrastructure development and maintenance plan for the system and to guide theprioritisationof infrastructureprojectsandtheallocationof fundsto institutions in the2015/16to2017/18infrastructure funding cycle.
InrelationtoSPUandUMP,atotalamountofjustoverR2billionwasmadeavailableovertheMTEFfortheestablishmentanddevelopmentofbothinstitutions.Newinfrastructurewillbebuiltinphasesinlinewithten-yearspatial development programmes and academic expansion plans. During the latter part of 2013, the infrastructure programme focused on the renovation and refurbishment of existing infrastructure at each campus to support the2014academic intake.Furtherrefurbishmentwillcontinueduring2014toensurethatthe2015academicprogrammeiseffectivelyaccommodated.AnewinfrastructurebuildhasstartedatUMP’sSiyabuswaCampus,andplanningpermissionsanddesignisadvancedinpreparationforthestartofthenewinfrastructurebuildatthemaincampusesofeachuniversityfromSeptember2014onwards.
TheReportoftheMinisterialCommitteeontheReviewofFundingofUniversitieswasapprovedandpublishedduringthefinalquarterof2013/14.ATaskTeamandaReferenceGroupwereappointedtomodeltheimplicationsoftherecommendationsandtodeveloparevisedfundingframeworkforapprovalbytheMinisterforimplementationoverthenextfundingcycle.ThereviewedframeworkshouldtakeintoaccountthepolicydirectionoftheWhitePaperforPSET.Thefundingframeworkitdevelopswillbeconsultedwidelywithkeystakeholdersinthesystembefore being published for public comment and submitted to the council on Higher Education (cHE) for advice, as required by the Higher Education Act of 1997 (as amended).
The implementationofDHET responsibilitieswith regard to the IntegratedStrategicPlanningFramework forTeacher Education and Development (2011), is continuing. nine provincial Teacher Education and Development Committeeshavebeenestablishedwiththecorefunctiontoassistinthecoordinationofteachereducationand
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developmentactivitiesatandbetweennationalandlocallevels.TheSiyabuswaTeacherEducationcampuswasestablishedandanewBachelorofEducationinFoundationPhaseTeachinghasbeeninitiatedatthecampus.ThecampusisestablishedaspartoftheUniversityofMpumalanga.ThePolicyonProfessionalQualificationsforLecturersinTechnicalandVocationalEducationandTrainingwaspublishedon11June2013anditputsinplaceafullsetofappropriatehighereducationqualificationsforlecturersteachingatFETcolleges.Universitiesare supported to develop and offer a range of qualifications for this purpose.A draft policy on professionalqualificationsforeducatorsintheadulteducationandtrainingsectorisreadytobepublishedforpubliccomment.A policy statement on the management and use of the teaching development grant over the 2014/15-2016/17 cyclewasfinalisedanditwillguideuniversitiestoaddressnationalandinstitutionalprioritiesincludingastrongfocus on teaching competence, implementation of effective tutorship and mentorship programmes and promoting the study of teaching and learning at universities.
The expansion of funding assistance to students at FET colleges and universities via the national student FinancialAidScheme(NSFAS)willcontinuetoenablemorestudentstoaccesseducationinthesesub-sectors.Thefinalyearprogramme,whichprovidesfullcostloanstostudentsintheirfinalyearofundergraduatestudy,wasimplementedin2011/12.During2012/13theinnovationinthestudentfinancialaidsectorwillcontinueastherecommendationsofthe2010NSFASreviewareimplemented.Asubstantialshortfallinfundingforuniversitystudents has put considerable strain on the system.
During2013/14theDepartmentundertookanintensiveenrolmentplanningexercisetodevelopandfinalisetheMinisterialEnrolmentPlanningStatement for2014/15 to2019/20. Astrategicdecisionwas taken tochangeaspects of the enrolment planning process to ensure improved integrated planning for a diverse and differentiated universitysectorintegratedwithinthepost-schooleducationandtrainingsystem.Thelengthoftheenrolmentplanningcyclewasincreasedfromthetraditionalthreeyearstosixyears,withamid-termreview.Universitieswererequestedtodeveloptheirenrolmentplansinanintegratedfashion,takingintoconsiderationinfrastructureplanning, research development, teaching development, staff development and realistic expansion possibilities inarestrictedfiscalenvironment.
Reflection on successes and significant developments
Themostimportantsuccessesoverthe2013/14financialyearinclude:
• Thepromulgationoftwonewuniversities,SolPlaatjeUniversityintheNorthernCapeProvinceandtheuniversity of Mpumalanga in Mpumalanga province.
• The establishment of the national Institute for Humanities and social sciences (nIHss).
• ThefinalisationoftheMinisterial Statement on Enrolment Planning (2014/15 to 2019/20).
• TheapprovaloftheJointTaskTeamReportontheestablishmentofanewHealthandAlliedSciencesUniversitythatwillincorporatetheMEDunsA campus of the university of limpopo.
• ThepublicationoftheMinisterialReviewontheFundingofUniversitiesintheGovernmentGazette.
• The publication of the Policy on Professional Qualifications for Technical and Vocational EducationLecturersasfinalpolicyintheGovernmentGazetteandtheresponsivenessofuniversitiestodevelopnewprogrammesinlinewiththispolicy.
• TheapprovalofthenewTeachingDevelopmentGrantpolicyandthedevelopmentofuniversityteachingdevelopment plans focused on improving student success and university teaching.
• ThesuccessfulConferenceonChildhoodEducation, jointlyhostedby theDepartmentand theSouthAfricanResearchAssociationforEarlyChildhoodEducation(SARAECE),whichmarkedthefinalyear
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of The Strengthening Foundation Phase Teacher Education Programme and highlighted the outstanding achievements of this programme.
• AdditionalfundsofapproximatelyR1.4billionweresecuredtosupportNSFASwiththe2013shortfalltoensurethatallcontinuingstudentswouldbeassistedtocompletetheirstudies.
Themostsignificantdevelopmentsduringthe2013/14financialyearthatwillimpactontheworkoftheProgrammeThree include:
• The publication of the White Paper on Post-school Education and Training, published in January 2014. The WhitePaperdefinedthenewpolicyterrainandsettargetsfortheuniversitysystemwithinanintegratedand expanded post-school education and training system. This sets the scene for the development of a newNationalPlanforPost-schoolEducationandTraining,thatwillreplacetheNational Plan for Higher Education(DoE,2003),thatwilldefinetheworkoftheDepartmentandProgrammeThreeoverthenexttentotwentyyears.
• cabinet approved a Joint Technical Task Team comprising of the Departments of Agriculture, Forestry and Fisheries and the Department of Higher Education and Training, to be established to develop mechanisms and plans for the transfer of agricultural colleges from the Departments of Agriculture, Forestry and Fisheries to the Department of Higher Education and Training.
• The Minister approved the Ministerial Report on the Funding of universities and established a Technical TeamandReferenceGrouptomodel itsrecommendationsanddevelopanewfundingframeworkforpublic comment.
• TheMinister agreed that theDHETwill become the lead department for all processes linked to theBRICSAcademic Forum and Think Tank activities.A task team was established to investigate andmake recommendations on a model and funding for a permanent south African BRIcs Think Tank that wouldleadSouthAfrica’sengagementintheBRICSThinkTanksCouncilandcoordinateSouthAfrica’sparticipation in the BRIcs Academic Forums in the future.
• AtaskteamwasestablishedtoinvestigatethefeasibilityofandmechanismforimplementingaCommunityservice programme for all university graduates in the future.
• AtaskteamwasestablishedtoreviewtheHigherEducationAct.
• AcomprehensiveplanforstaffingSouthAfricanuniversities,includingtheretentionandimprovementofexistingstaffandensuringtheproductionofthenextgenerationofacademics,wasdeveloped.
Challenges that might have impacted on the performance of the Department in the implementation of the strategic plan and annual performance plan.
External consultation processes required in terms of the promotion of Administrative Justice Act (pAJA) and the needforhigh-levelconsultationforallpolicydevelopmentandexpansionprojects,continuestoslowdownthefinalisationofpoliciesandprocesses.ThenewreportingregulationshavenotyetbeenpublishedowingtotheneedforfurtherconsultationwithHigherEducationSouthAfrica(HESA)andtheUniversityCouncilChairsForum(UCCF).ThenewHealthandAlliedSciencesUniversity thatwill incorporate theMedicalUniversityofSouthAfrica(MEDUNSA)campusoftheUniversityofLimpopo,hasnotyetbeenestablishedasalegalentityowingtotheneedforcontinuedstakeholderengagement.TheDistanceEducationPolicyandthePolicyonQualificationsforAdultEducatorshavealsobeendelayedowing to theneed toobtainadvice from theCouncil onHigherEducation (cHE), in terms of the Higher Education Act of 1997, as amended.
ThemostsignificantimpactontheservicedeliveryoftheBranch,relatestotherestrictedoperationalbudgetsavailable for all sections to carry out their monitoring and evaluation functions. In particular this had the effect of
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restrictingsitevisitstoinstitutionstoqualitativelymonitortheinfrastructuredevelopmentprojectsatuniversitiesaswellastheeffectiveuseofotherearmarkedgrants.FinancialconstraintswillremainamajorimpedimenttotheworkoftheBranchgoingforward.Adecisiontoundertakesitevisitstoinstitutionsandtheircampusesonatwotothreeyearcyclicalbasis,wasmadeinordertomanagetheneedtophysicallymonitorandevaluateactivity,whilestayingwithinthefinancialresourcesavailable.
FundingalsoremainsamajorconstraintregardingtheNationalStudentFinancialAidScheme(NSFAS)support.Ashasbeenwell-documented,thedemandforfinancialaidfaroutstripstheamountavailableandnotallfinanciallyneedy but academically capable university students, can be supported through loans. While substantial additional fundsofapproximatelyR1.4billionweresecuredduringthethirdquarterfromtheNationalSkillsFund(NSF)andSectorEducationandTrainingAuthorities(SETAs)toassistwiththeshortfall,NSFASwasnotabletoprocessthese amounts effectively before the end of the 2013 academic year. The late allocation of these funds had a majorimpactonthereleaseofthe2013studentresultsandonstudentregistrationsatthebeginningofthe2014academicyear.Inadditiontheshortfalloffundscontinuestohaveaknock-oneffectwithsubstantialnumbersofstudentsnotsupportedforthe2014academicyearleadingtofinancialexclusionsacrossthesystem.Thisledtoavolatilebeginningofthe2014academicyearwithageneralstudentstrikecalledandviolentprotestactionoccurringacrossanumberofuniversitycampuses.Thesystemremainsunderimmensepressureowingtothepoliticalexpectationofstudentsthatallacademicallysuccessfulbutfinanciallyneedystudents,willbesupportedby the state.
A further issue is the human resource capacity constraints. The university Education Branch experienced severe humanresourcecapacityconstraintsformostofthefinancialyear,whichimpactedonthetimeousdeliveryofservices.However,towardstheendofthefinancialyear,humanresourcescapacityforthisprogrammeimprovedsignificantly.ThirteenpostswereadvertisedinSeptember2013,andbytheendofthefourthquarter,12hadbeensuccessfullyprocessedandnineoftheselectedincumbentshadtakenuptheirpositions.Significantlyatdirectorlevel,allpostsadvertisedwerefilledpermanently,orinonecase,throughanappropriatesecondmentfromauniversity.However,thevolatilestaffingenvironmentremainsachallengeandrequireson-goingmonitoringandattention. Four vacant funded posts, including the post of chief Director: Financial planning and Information Systems,thatbecamevacantinthethirdquarter,havenotbeenadvertisedowingtofiscalconstraints.
Afurtherchallengeisrelatedtotheverificationofenrolmentdataontheracialcompositionofuniversitystudents.ProvisionismadeintheHEMISreportingsystemfortheuniversitiestoreport‘Noinformation’fortheraceofastudentwhereastudenthasnotprovidedthisinformationatthepointofregistration.Thiscouldhaveanimpacton the targeted number of African students in the Higher Education system as stated in the App.
Vocational and Continuing Education and Training
The Vocational and continuing Education and Training Branch undertook various activities to:
• ensure continued relevance of vocational education and training programmes offered at Technical VocationalEducationandTraining(TVET)Collegesbysupportingthecontinuousreviewanddevelopmentofadiverserangeofhighqualityandresponsivevocationaleducationand trainingqualificationsandprogrammesinconsultationwithrelevantroleplayers
• facilitate thecollaborationbetweenHigherEducation institutionsandTVETcolleges (formerlyFurtherEducationandTraining(FET)Colleges)towardsdeliveryoflearningprogramesatLevel5and6oftheNationalQualificationsFramework(NQF)
• expand the institutional base for the provision of quality post-school education and training through (1)registeringnewprivateTVETcollegesandmonitoringtheregisteredforcompliance(2)monitoring
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andsupportingofAETcentres towards increasingenrolments in theGeneralEducationandTrainingCertificates(GETC)programmes;and(3)developingtheNationalSeniorCertificatesforAdults(NASCA)qualificationforimplementationin2016
• increase access to programmes leading to intermediate and high-level learning through the establishment inruralareasoftwelve(12)newVETcollegecampuseswithmodernteachingandlearningfacilitiesandstudentaccommodation;andthroughensuringcollegescomplywiththeDHET-FETbursarydisbursementguidelines and regulations
• improvetheTVETsectoroutputbyincreasingtheyear-on-yearcertificationrateofTVETcollegestudentsin vocational programmes by initiating and supporting interventions such as providing training and support to lecturers and student support services managers
• improve participation in vocational education and training for poor students by increasing the number of FET students bursary recipients in colleges
• process the migrating TVET and detectors from a provincial to a national competence
• improvefinancialmanagementsystemsoftheFETcolleges,throughapartnershipwiththeSouthAfricanInstituteofCharteredAccountants(SAICA)towardsbuildingcapacityofcollegeChiefFinancialOfficers(CFOs)andtheestablishmentofsoundfinancialsystems
• manageandadministeracredibleandefficientexaminationsandassessmentsystemforTVETinstitutions.
Reflection on successes and significant developments
TheWhitePaperforPost-SchoolEducationandTrainingarticulatestheDepartment’svisiontoestablishasingle,integrated,coherentandwell-articulatedpost-schooleducationandtrainingsystem,whichischaracterisedbyimprovedaccessandsuccess,articulationbetweenthevariouscomponentsofthesystemandmultiplepointsofentry and exit. TVET colleges and community colleges (planned for establishment) are central to the realisation of this vision.
Asignificantamountofresourcesandeffort(asdetailedbelow)havebeenchannelledintoexpandingtheTVETcollege sector, revitalising of TVET colleges infrastructure, improving the quality of learning programmes offered and provisioning of bursaries for TVET college students.
• In expanding the post-school provision to improve access, the student enrolment at FET and AET has grownfrom358393headcountenrolmentsin2010to670455in2013.ThetotalofthebudgetforTVETcollegeshasincreasedfromR3.8billionin2010toR5.4billioninthecurrentfinancialyear.
• Strengtheninginstitutionstoimprovequality,thefollowingsupportingworkiscontinuouslycarriedout:
- support regarding TVET colleges human resource management aspects
- twenty(20)humanresourcegeneralistshavebeenappointedanddeployedatcolleges.Fifty(50)charteredaccountantshavebeendeployedtosupportTVETcollegesinfinancialmanagement-theDepartmenthascollaboratedwithSAICAinthissupportproject
- theDepartmentthroughJETservicesisimplementingCollegeImprovementProjectsintheEasterncape and limpopo province.
• A policy conference with college student leadership and governance structures was held in 2013.Continuousstudentleadershipcapacitydevelopmentinitiativesareunderway.
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• substantive actions that are currently implemented in TVET colleges in pursuit of improved student academicperformanceincludethefollowing:
- daily monitoring of student attendance, particularly for bursary recipients where travel andaccommodationallowancedisbursementislinkedtoattendance
- the administration of the student selection and placement test at the commencement of the academic year to, among other things, identify student numeracy and literacy gaps and to advise on the most suitableprogrammesofstudygivenstudents’careerinterestsandacademiccompetencylevels
- the introduction and implementation of the Attendance and punctuality policy for students
- delivery of academic support programmes such aswinter schools for students, to supplementlearning areas such as Mathematics and Mathematical literacy; focused content training for lecturersonlearningareasandprogrammeswhereintheacademicperformanceisbelowpar;andfocusedremedialclassesforstudentsonareaswhereintheyperformpoorly
- therecruitmentofqualifiedStudentSupportServices(SSS)managers
- training and capacity development for support of sss managers on the various elements of the student support services framework, including entry and on-course student support aswell asstrategic planning in support of sss.
• A vision and pathway was set out for achieving a coherent post-school system with articulation,collaboration and coordination between the different components, aswell as alignment between thevariousinstitutionaltypesandbetweeneducationandtraininginstitutionsandthelabourmarket,allowingfor multiple points of entry and exit.
• TVETcollege’s infrastructure includingstudentaccommodationwas revitalised.R2.5billionhasbeensetasidetowardsconstructionoftwelve(12)newTVETcollegecampuseswithstudentaccommodationfacilities.AdditionalR7.5billionisrequiredfortheTVETcollegesectortobroadlydealwiththebacklogofstudentaccommodation,refurbishmentandbuildingofnewclassroomsandworkshops.
Challenges that might have impacted on the performance of the Department in the implementation of the Strategic Plan and Annual Performance Plan.
Various activities linked to the performance indicators in theAPP thatwere outside the direct control of theDepartment,havebeenidentified.TheDepartment’sdirectinvolvementintheseexternallyadministeredactivitieswaslimitedtomonitoringandsupportandinsomecasescollectionofdatafromtheimplementingagencies.Suchareas include:
• Non-complianceofprivateTVETcollegeswithregulations.DecisiveactionregardingregisteredprivateTVETcolleges that failed tocomplywith regulations formaintenanceof their registration,was taken.cancelations of registration and removal of names of defaulting colleges from the Register of private TVETcollegeswaseffected
• StudentheadcountenrolmentsinbothprivateTVETcollegesandAETcentres.SomeAETcentresweretemporarilysuspendedasaresultof2013poorstudentenrolments,whereasnon-compliantprivateFETcollegeswerede-registeredowingtothelackofcompliancewithregulations.Theconsequenceofboththesuspensionsandde-registrationswasa lower thanenvisaged response rateofAETcentresandprivate TVET colleges responding to an annual survey conducted by the Department
• InsufficienthumanandfinancialresourceswithintheBranchinternallyimpactedonotherdeliveryaspects.
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Skills Development and Training
An overview of the service delivery environment during the past year
Theyear2013/14wastheyearinwhichtheSectorEducationandTrainingAuthorities’(SETAs)GrantregulationsregardingmoniesreceivedbySETAandrelatedmatterswaspublishedbytheMinisterintheGovernmentGazetteon 3 December 2012. The changes in sETA funding regulations came into effect on 1 April 2013. The regulations wereintroducedtoaddressthechallengestowardsthedeliveryoftrainingbySETAsandtointroducethefirsteverfundingmodeloftheQualityCouncilforTradeandOccupations(QCTO)toallowittocarryoutitsmandateas per the skills Development Act.
The Ministerial Task Team (MTT) concluded and published its report on sETA performance in August 2013. TheMTTwastaskedtoassesstheperformanceofSETAsbyanalysingresultsincludingitsgovernanceandtorecommend assistance to ensure that sETA performance in short, medium and long term planning is improved.
TheSkillsBranchfocusedonthetrainingofartisansanddeclaredtheyear2013as‘YearofArtisans’inordertomassifyandrespondtothemassiveartisanshortageinthecountry.Theprogrammewasaimedatelevatingartisanship such that it is universally recognised as a career choice for the south African youth, particularly those in the post-school education and training system and reinforce appreciation for artisan skills development opportunities that are available.
The skills Branch, through the national skills Authority (nsA), consolidated and developed a nsDs III progress implementationreportfortheperiod2011/12to2012/13outliningtheresultsachieved,aswellasthechallengesexperienced. The report also began to identify crucial factors to be considered for the development of a future strategy.Thereportwasprintedanddistributedwidelytotheimplementingagentsincludingstakeholdersinskillsdevelopment.
Reflection on successes and significant developments
Theestablishment ofWork Integrated Learning andPartnershipsUnitwithin theSkillsDevelopmentBranch(in conjunction with SETAs) which facilitate placement of FET graduates and students from Universities ofTechnology andComprehensiveUniversities requiringwork-integrated learningwas a positive development.Thisunitmobilisesemployersandfacilitatesgraduateandstudentplacementinordertoassistthoseforwhomworkplace placement is a qualification requirement. It also addresses graduate unemployment.As a result 27346FETandUniversityofTechnologystudentswereplacedinemploymentforworkplaceexperience.Bigstrideswereachievedintermsofaddressingtheshortagesofartisansinthecountry.Atotalof27670learnerswereregisteredforartisantraining(againstatargetof26000)andatotalof18110completedandqualifiedasartisans (against a target of 12 000).
Inorder tobringSETAservicescloser tothepeople,especially in townshipsandruralareas,SETAsopenedmorethan40officesinvariousTVETcollegesindifferentpartsofthecountry.TheofficeswillfurthersolidifythemuchneededpartnershipbetweentheSETAsandTVETcollegestocoorperateinvariousprogrammessuchastheplacementofTVETlearnersintoworkplaces,alignmentofTVETcurriculumtotheindustry’sneeds,trainingof artisans and many more.
More SETAs are now focusing on Professional, Vocational, Technical and Academic Learning (PIVOTAL)programmesleadingtopartorfullqualificationinsteadofshortandunaccreditedskillscourses.ThischangewasasaresultofthegrantregulationsthatwerepublishedandcameintoeffectinApril2013.
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Challenges that might have impacted on the performance of the Department in the implementation of the Strategic Plan and Annual Performance Plan.
ThereisadelayinpublishingtheTradeTestRegulationswhichisaimedatimplementingasinglenationalartisantrade testingandcertificationsystemacrossalleconomicsectors,qualityassuredby theQualityCouncil forTrade and occupations. Furthermore, the regulations are aimed at improving access to quality trade testing in ordertoprovideindustryandthebroadereconomywithsuitablyqualifiedartisans.
ThereislittleincentiveintheindustrytoopenworkplacesfortheTVETcollegelearnerstoacquireworkplaceexperienceowingtotheprevalentchallengesintheTVETcollegeswhichtheDepartmentiscurrentlyaddressingwiththeaimofmakingTVETcollegestheinstitutionsofchoice.
There is also unavailability of funds for repair, recapitalisation and maintenance of the trade testing facilities at INDLELA.TheDepartmentofPublicWorksindicatedthatahighlynecessarysecurityupgradeprojectalonewillcost R29 million.
The unavailability of funds to convert posts that are currently funded by the national skills Funds, to permanent fund posts for the various contract staff that currently run the various units linked to national artisan development inclusive of nAMB and Artisan Rpl systems and processes, remains a problem.
ThereisnoITlinkageandintegrationbetweenSETAsandtheDepartmentsystemsforreportingandanalysispurposes.TheDepartmentiscurrentlyintheprocessofdevelopinganinformationsystemthatwillfacilitatethecollection of data for the nsDs reporting requirements.
TheNationalSkillsConferencewassuccessfullyheldinOctober2013wheretheMinisterandtheDeputyMinisterwereabletoengageabout1200delegatesfromvariousorganisationssuchastheinstitutionsofeducationandtraining, trade unions, business, community, government departments, and international partners. Exhibitions to promoteawarenessoftrainingopportunitiestomorethan3000schoollearners,ranparalleltotheconference.TheDeputyMinistergracedtheSkillsAwardsCeremonythatrecognisedcompaniesthatpromotedtheplacementof learners.
ThelastfiveConsultativeProvincialWorkshopsontheNSDSIIIimplementationwereconcludedinconjunctionwiththeNSA.Afullreportonthefindingsandprogressmadebythevariousprovinceswasalsodevelopedandcirculated to enhance the stakeholder participation and to strengthen the provincial roll-out of skills development interventions.
Service Delivery Improvement Plan
During theyearunder review, theDepartment’sServiceDelivery ImprovementPlanhasbeenplacedon theDepartment’swebsiteandintranettoensurethat it iseasilyaccessibletoallstaffandintendedbeneficiaries.Moreinterventionswillbeputinplacetopromoteunderstandingandbuy-inandtoencouragecomplianceduringthe2014/15financialyear.
Duringthefirstquarterofthe2014/15financialyear,theplanwillbesharedwiththeGovernmentCommunicationand InformationSystem(GCIS) forplacementon theirwebsite,which is thefirstportofcall formostpeoplelooking for information about any government department or service. Any collateral material and information abouttheServiceCharterwillalsobemadeavailableattheirresourcecentresinCapeTown,Pretoriaandothersmallerofficescountrywide.LargeposterswillbeprintedanddisplayedinthereceptionareaofeveryDHETbuildingsothatcitizenswalkingthroughtheDepartment’sdoorsknowwhatlevelofservicetoexpectandwhatrecourse they have if they receive unsatisfactory service.
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Smallerleafletscontainingthemostimportantinformationwillbeprintedandmadeavailableatalldepartmentalaccess points.
TheDHETcallcentre (0800872222)willbe reflectedon thepostersas theprimaryentrypoint forservice-relatedenquires.NoticesviaprintorNewsFlash,willbeputupwheneverthereisnewinformationtobesharedregarding departmental services.
Two-wayengagementbetweentheDirector-Generalorhisrepresentativesandemployeesisrecognisedasacriticalsuccessfactorandwillbepromotedthroughstaffsessionsandincentivesforserviceexcellence.
2 .2 Organisational environment
TheDepartmentmanagedtoreducethevacancyrateto6.93%(fundedposts).Ofthe1041approvedpostsonthestaffestablishment,967postshavebeenfilled.Thetargetoffour(4)monthstofillapostwasachieved.Therehasbeensignificantprogressinresolvingdepartmentalcasesandallgrievancesanddisciplinarycaseswerefinalisedwithinthestipulatedtimeframe.
TheoverallAfricanrepresentationisabove75%anddisabilityrepresentationiscurrently1,2%.TheDepartmentcompliedwiththeHumanResourcePlanningImplementationFrameworkandthereisgradualimprovementinthe capacity of the unit.
TheDepartment’scommunicationservices, includingmedia,communications,clientservicesand informationresource functions,havebeensignificantlyenhanced.TheCallCentre received18015enquiries towhich itresponded smoothly and satisfactorily during 2013/14. The resolution rate for calls received during the period underreviewwas99.72%,withonlytwocasesoutstandingason31March2014.AllmajormilestonesoftheDepartmenthavebeenwidelypublicised,includingtheNelsonMandelaCareerFestival,thelaunchoftwonewuniversities,theannouncementofpost-schooleducationandtrainingopportunitiesandthelaunchofthe‘DecadeoftheArtisan’.Informationbookletshavebeenpublishedandwidelydistributedtoshareinformationandpromotebetter understanding regarding the Department, its institutions and its key programmes.
Thecurrentassessmentonsecuritycomplianceisat99%intermsofprogressmadetofullyestablishafunctionaloccupational Health and safety committee. The biometric access control system has been re-installed and is fully functional.Permanentstaffmembershavebeenissuedwithaccesscardsforidentificationpurposes.RandomsecuritychecksofvehiclesaswellasbagsandvalidationoflaptopshavebeenimplementedincompliancewiththeMinimumInformationSecurityStandards(MISS)document.AllsecurityofficersaretrainedandcomplywiththePSIRAAct.TheSecurityandOccupationalandHealthPolicywasapproved.TheOccupationalHealthandSafetyCommitteeandrepresentativeshavebeenappointedasspecifiedinsection17oftheOccupationalHealthand safety Act in February 2014.
TheDepartment’soverallexpenditurepercentagefortheperiodunderreviewincludingdirectchargeswas99.5%whilethepercentagespentonvotedfundswas100%.Thegreaterportionofthatexpenditurewenttosubsidiesto Higher Education Institutions. Austerity measures implemented by the Department assisted in avoiding any unauthorised expenditure. savings on direct charges resulted from levies not received based on the estimates received from national Treasury.
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2 .3 Key policy development and legislative changes
2.3.1 Further Education and Training Colleges Amendment Act, 2013 (Act No. 1 of 2013)
This legislation aims to amend the Further Education and Training colleges Act, 2006, so as to clarify certain definitions;toamendtheprovisionsrelatingtotheestablishmentofapubliccollege;toestablishtheSouthAfricanInstitute for Vocational and continuing Education and Training; to provide for the composition, functions and functioning of the Institute; to provide for transitional arrangements, to repeal the Adult Education and Training Act,2000andtoamendcertainotherlaws.
2.3.2 White Paper for Post-School Education and Training
In order to confront our developmental challenges, south Africa needs a single, coherent, differentiated, highly articulatedandyetdiverseandnon-racialpost-schooleducationandtrainingsystem,withallsectorsplayingtheirroleaspartofacoherentbutdifferentiatedwhole.Buildingontheadvancesofthepasttwentyyears,duringthelast quarter of 2013/14 the Department of Higher Education and Training (DHET) published the White paper for post-school Education and Training.
TheaimofthisWhitePaperistocreateaframeworkthatdefinesDHET’sfocusandprioritiesandthatenablesittoshapeitsstrategiesandplansforthefuture.ThisWhitePaperwilldriveanddeepentransformationoftheentire post-schooling sector, improving the capacity of the post-school education and training system to meet the needsofthecountry.ItaimstosetoutpoliciestoguidetheDHETandtheinstitutionsforwhichitisresponsibleinordertocontributetobuildingadevelopmentalstatewithavibrantdemocracyandaflourishingeconomy.
3. strategic outcome-orientated goalsTheprimaryobjectiveofthemandateoftheDepartmentofHigherEducationandTraining(DHET)istoexpandaccesstoandimprovesuccesswithinthepost-schooleducationandtrainingsystem.TheDHETisresponsibleforOutcome5of theGovernment’sPerformanceMonitoringandEvaluationsystem,namely,Outcome 5: ‘A skilled and capable workforce to support an inclusive growth path’. In the quest to deliver on this mandate, theDepartmentsetitselfthefollowingstrategicgoalsfortheperiod2010/11to2014/15:
• Expand access to education and training for the youth.
• capacitate educational institutions for effective provision or facilitation of learning.
• Increase the number of students successfully entering the labour market upon completion of training.
• Expandtheresearch,developmentandinnovationcapacityforeconomicgrowthandsocialdevelopment.
• Ensure a college curriculum that is responsive to the demands of the market place and can transform and adaptquicklyandeffectivelytochangingskillsneeds,withaspecialemphasisonartisantraining.
• Acredibleinstitutionalmechanismforskillsplanningtosupportaninclusiveeconomicgrowthpath.
• Ahighlyeffective,professional,efficientadministrationinformedbygoodcorporategovernancepractices.
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During the year under review, the following progress in respect to the above strategic goals was made between 2012/13 and 2013/14
• Studentheadcountenrolmentsatuniversitiesincreasedby2%from938201to953373.
• First-timeenrolmentsatuniversitiesdecreasedby5%from179105to169767.
• Graduatesfromuniversitiesincreasedby3%from160626to165995.
• GraduatesinEngineeringSciencesincreasedby6%from9387to9974.
• GraduatesinHumanHealthandAnimalHealthdecreasedby1%from8070to8015.
• GraduatesinNaturalandPhysicalSciencesincreasedby15%from5526to6366.
• ResearchMastersgraduatesincreasedby15%from5281to6076.
• Initialteachereducationgraduatesincreasedby30%from10543to13740.
• HeadcountenrolmentsatFETcollegesincreasedby2%from657690to670455.
• 27 346 graduates received Work Integrated learning in 2013.
• Sub-frameworksoftheNationalqualificationshavebeendetermined.
• Allcurrentqualificationshavebeenallocatedtoasub-framework.
The service delivery targets for outcome 5 relate to increasing access to programmes leading to intermediate and high level learning, increasing access to occupationally directed programmes in needed areas (thereby expanding theavailabilityof intermediate levelskillswithaspecial focusonartisanskills)and increasing theaccess tohigh leveloccupationally-directedprogrammes inneededareas.During theyearunder review thefollowingparticularsuccesseswererecordedfortheservicedeliveryaspectsoftheagreement:
Output 5.1: Establishment of a credible institutional mechanism for skills planning
Thefollowingframeworkshavebeendeveloped:
• Information Framework on Education Information Policy for providing information on current skills provisioning and attainment
• Career Advice Framework for cooperation on the provision of career guidance and information services in the country
• Framework for Cooperation on the Provision of Career Guidance and Information Services in the country.
The Department conducted a survey of government initiatives in Career Development Servicesandidentifiedgapsand duplication in services. Departments in the social cluster, sETAs and the broader stakeholders represented intheTaskTeamwereconsultedafterwhichCabinetwasbriefedontheprogressoftheestablishmentofnationalcareer Development services and endorsed the development of a career Development services policy across all spheres of government.
ThefirstphaseofthedevelopmentoftheNationalCareerAdvicePortalwasconcluded(contractwithSAQA)andthesystemhasbeentransferredtotheDHETafteryear-end.ThesystemwastestedandpreparedforPhaseIIdevelopment.
TheDepartmentsignedacontractwithSAQAtorunthenationalhelpline,radioprogrammes,thesocialmediacampaign,exhibitions,aswellasthestrategyonwalk-incentresuptoSeptember2014.
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The Management Information System InterfaceofalladministrativedatabaseswithintheDHET(anditsentities)forthesupplyandattainmentofskills,wasavailableperdatasetfromMarch2013toMarch2014.
The Comprehensive Career Guidance and Career Information Dissemination and Collection System is fully operational.AsummativeevaluationontheSAQAhelpdeskandCASactivitieswascompletedandthereportsubmitted to the DHET. A survey on career development activities in government departments, organisations and institutions took place to identify gaps and duplication and recommendations have been implemented.
ThedevelopmentoftheNationalCareerAdvicePortal(system)iscompletedalongwiththe500learningpathwaysselectedfromtheOrganisingFrameworkforOccupations(OFO).Thefirstphaseofthesystemwiththelearningpathways,learningdirectoryandePortfolioiscompletedandinuse.ABusiness Intelligence Information System that interfaces all sources of information relating to the stock, supply and demand of skills, is fully operational.
Output 5 .2: Increase access to programmes leading to intermediate and high-level learning
TheAETLevels1-4enrolmentstargetfor2013/14was278000.290106 learnerswereenrolledattheselevelsincludingGrade10,11and12outofschoolyouth.However,worthnotingisthefactthattheDepartmentdoesnot have control over the budget that should support expansion in this area, as this is still a provincially funded function.
Regarding thesuccess rateofstudentsenrolledatLevels2,3and4of theNationalCertificate (Vocational)(NC(V)),thecertificationratetargetsetforthe2014academicyearis50%acrossalllevels.However,the2013provisionalacademicperformancereportindicatesthattheTVETcollegesystem’sperformanceistooerratictopredictwithanylevelofcertaintythatthesetargetswillbeachievedbytheendofthe2014academicyear.The2013 provisional academic performance report indicates that nc(V) levels 2, 3 and 4 candidates achieved the certificationrateof32.8%,30.2%and37.1%respectively.
Accordingtothesub-output5.2.4ofOutcome5,thestudentenrolmenttargetontheN4-N6programmeswassetat250000by2014.ByOctober2013,atotalof285562studentswereenrolledontheseprogrammes.Thisalready exceeds the 2014 target by 35 562 students.
Output 5 .3: Increase access to occupational directed programmes in needed areas and thereby expand the availability of intermediate level skills (with a special focus on artisan skills)
The2013/14targetof2000bursariesperannumhasbeenachievedasattheendoftheyearwas5640(282%).SETAspartneredwiththeNSFASinawardingbursariestostudentswithintheirrespectivesectors.
The2013/14targetforthenumberofqualifiedartisansperannumhasbeenachieved.18110PersonsqualifiedasartisansduringtheperiodApril2013–March2014(targetwas12000).
A national artisan career guidance and management system has been implemented. To date, all 125 trades have beencapturedonNCAP. ‘2013Yearof theArtisan’wascompleted. ‘Decadeof theArtisan’was launchedon 3 February 2014.
Thetradetestpassrateis45%forpersonstestedatINDLELAwhichisbelowthetargeted48%.Inrelationtothe placement of graduates from the universities of Technology and Further Education and Training colleges, therewere5885and9567graduatesplaceduptoDecember2013.SETAsalsoplaced12483.ThetargetforplacementofNC(V)andNcoursegraduatesis70%for2014.
A total of 22 911 learners have entered learnerships on nQF level 5 and above, thereby surpassing the 20 000 target.Thenumberofunemployedindividualscompletinginternshipsalsofollowedsuitas23823unemployedindividuals completed internships compared to the targeted 20 000. The number of unemployed individuals
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obtainingbursariesperannumwas13979(targetwas8000)and18853unemployedindividualscompletedskillsprogrammeswhichisalsoabovethe2014targetof16000.
Areportingsystemtodistinguishbetweenlearnershiplevelshasbeendeveloped.ItenablesSETAstoreportonnQF levels of programmes.
Output 5 .4: Access to high level occupationally-directed programmes in needed areas
Therewere6366NaturalandPhysicalSciencesgraduatesagainstthetargetof5387for2013/14.TherehasalsobeenremarkableprogressonthenumberofTeacherEducationgraduatesastherewere13740graduatesrecorded against the target of 10 673.
Infrastructure allocation to universities represented an increase from R474 million in 2010/11 - 2011/12 to R662.460millionin2012/13-2014/15.The2012/13-2014/15cycleisspecificallyfornewteachereducationinfrastructureatuniversities.Theopeningofthetwonewuniversitieswillaccommodatethescarceskillsareasof engineering, health and teacher education. A draft report on the establishment of teaching schools to support thepracticecomponentofinitialteachereducationprogrammes,waspresentedbytheresearcherstotheDHETin March 2014.
Output 5.5: Research development and innovation in human capital for a growing knowledge economy
TheDepartmenthasanewrevisedcriteriafortheuseofResearchDevelopmentGrantstitled‘CriteriafortheUseandManagementoftheResearchDevelopmentGranttoUniversities(2014/15–2016/17)’.AworkshopwasheldwiththeHigherEducationsectortopresentanddeliberateonthesecriteria.Proposalscoveringathree-yearperiodweresubmittedbyall23institutions.
ThenumberofHonoursgraduatesfor2014was20975(targetwas24019).TheNationalResearchFoundation(NRF)supported3094Honoursstudents.ThenumberofresearchMastersgraduatesfor2014was6076(targetwas4978).NRFsupported3410Mastersstudents.ThenumberofDoctoralgraduates for2014was1878(targetwas1785).NRFsupported2061Doctoralstudentsbutthenumberofpost-doctoralstudentsenrolledsurpassedthetargeted600as1342wereenrolled.NRFsupported445Post-doctoralstudents.
For the2013/14period,aResearchDevelopmentGrantofR176.820millionwasallocated touniversities forspecificprojects.
4. pERFoRMAncE InFoRMATIon By pRogRAMMEProgramme 1: Administration
The purpose of the programme is to provide overall management and administration of the Department.
There are four budget sub-programmes:
• Ministry
• Department Management
• corporate services
• OfficeAccommodation
Strategic objectives
• Improveefficiencybyimplementingthenecessaryinformationtechnologyinfrastructureandsystems.
• Provideeffectiveandefficienthumanresourceplanningandmanagementservices.
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• Ensure adherence to policies and standards on logistical services.
• provide effective communication services and events management.
• Ensure a safe and healthy physical environment.
• prevent fraud and corruption.
• Ensureanefficientandeffectivesystemoffinancialandassetmanagement,governanceandcontrolsinthe Department and its public entities.
Significant achievements during 2013
TheDepartment’sICTgovernancematuritylevelhasmovedfromLevel1in2012toLevel3in2013/14.TheDepartmentalsodevelopedinformationsecuritypolicies,andtheICTCharterwhichwasapprovedin2012bythe Dg. These lead to the establishment of the IcT governance structures in the Department.
Thenetworkconnectivity is99.5%.Thenetworkperformance in theperiodunder reviewwasslightlyaffectedowingtoapowerfailureatSITAwhichaffectednotonlytheDepartment,buttheentireGovernment.Thisexplainsthe0.5%varianceofnetworkperformance.
TheITserviceswereavailablethroughouttheperiodunderreview.Thisincludesemailavailabilityandinternetservices.
TheDepartmentmanaged toreduce thevacancyrate to6.93%(fundedposts) from11%in2012.Of1041approvedposts,967postshavebeenfilledand74arenotfilled.Thetargetoffour(4)monthstofillapost,wasachievedduringtheperiodunderreview.
Therehasbeenprogressinresolvingdepartmentalcases,allgrievanceshavebeenfinalisedwithinthestipulatedtimeframe.Thedisciplinarycasesmanaged,werefinalisedwithinthe90dayturnaroundtime.
The overall African representation is above 75% and disability represention at 1.2%. The Department hascompliedwiththeHumanResourcePlanningImplementationFrameworkandthereisgradualimprovementinthe capacity of the unit.
TheDepartment’sCallCentrereceived18015callstowhichitrespondedsmoothlyandsatisfactorilyduring2013/14. 10788tollfreecallswerereceivedand10683(99%)wereresolvedfromApril2013toMarch2014.Of3811websiteenquiresreceived,3740(98.1%)wereresolved.TheDepartmenthasresolvedatotalof14423(98.8%)callsfromApril2013toMarch2014.OnthePresidentialHotline(PHL)3416enquirieswerereceived,ofwhich 3369wereresolved.OverallpercentageforPHLresolvedcasesis98.6%.
The public profiles of theDepartment’s political principals, particularly their reputations, have been carefullymanagedthroughmediaprofiling,outreachprogrammesandstakeholderforums.Careerguidanceexhibitionsincreased in number and both quantity and quality of information made available to learners and stakeholders improved. The political principals’ programme of iZimbizo covered all provinces and ensured that differentcommunities,particularlyruralcommunities,hadeasyaccesstotheDepartment’sinformation.
Thecurrentassessmentonsecuritycomplianceisat99%intermsofprogressmadetofullyestablishafunctionaloccupational Health and safety committee. The biometric access control system has been re-installed and is fullyfunctional.Permanentstaffmembershavebeenissuedwithaccesscardsforidentificationpurposes.
Changes to performance indicators during the year
NosignificantchangesweremadetoplannedtargetsandindicatorsduringtheperiodunderreviewexceptforminorrefinementstoensureadherencetotheSMARTprinciple(Specific,Measurable,Achievable,RelevantandTime-bound).
45
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ar
tmen
t o
f H
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cat
ion
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/14
AN
NU
AL
RE
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RT
Prog
ram
me
perf
orm
ance
: Str
ateg
ic o
bjec
tives
, per
form
ance
indi
cato
rs, p
lann
ed ta
rget
s an
d ac
tual
ach
ieve
men
ts
Stra
tegi
c ob
ject
ive
Perf
orm
ance
in
dica
tors
Act
ual
achi
evem
ent
2012
/13
Plan
ned
targ
et fo
r 20
13/1
4A
ctua
l ac
hiev
emen
t 20
13/1
4
Dev
iatio
n fr
om
plan
ned
targ
ets
to
actu
al a
chie
vem
ent
2013
/14
Com
men
ts o
n de
viat
ion
PRO
GR
AM
ME
1: A
DM
INIS
TRAT
ION
(4 .1
.1 .1
)*
To im
prov
e ef
ficie
ncy
by
impl
emen
ting
the
nece
ssar
y in
form
atio
n te
chno
logy
in
fras
truc
ture
and
sy
stem
s
IcT
gove
rnan
ce
mat
urity
leve
l ac
hiev
ed
Mat
urity
leve
l 1Ic
T go
vern
ance
m
atur
ity le
vel 2
IcT
gove
rnan
ce
mat
urity
leve
l 3Ta
rget
exc
eede
d
one
mor
e le
vel t
han
the
targ
et
The
IcT
gov
erna
nce
Fram
ework,
info
rmat
ion
secu
rity
polic
ies,
IcT
cha
rter
weredevelopedand
appr
oved
and
the
IcT
char
ter l
ed to
th
e es
tabl
ishm
ent o
f th
e Ic
T go
vern
ance
st
ruct
ures
Percentagenetwork
conn
ectiv
ity u
ptim
e100%
99.9%
99.5%
Targ
et n
ot a
chie
ved
The
actu
al
achievem
entis0.5%
belowthetarget
Apowerfailureat
sIT
A af
fect
ed n
ot
only
the
Dep
artm
ent
but t
he e
ntire
g
over
nmen
t
per
iod
of a
vaila
bilit
y of
IT s
ervi
ces
to
DH
ET
user
s
24/7
24/7
24/7
Targ
et a
chie
ved
non
e
*Num
beringislinkedtotheactualnum
beringofstrategicobjectivesintheAnnualPerformancePlan
Dep
ar
tmen
t o
f H
igH
er e
Du
cat
ion
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D t
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inin
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OTE
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2013
/14
AN
NU
AL
RE
PO
RT
46
Stra
tegi
c ob
ject
ive
Perf
orm
ance
in
dica
tors
Act
ual
achi
evem
ent
2012
/13
Plan
ned
targ
et fo
r 20
13/1
4A
ctua
l ac
hiev
emen
t 20
13/1
4
Dev
iatio
n fr
om
plan
ned
targ
ets
to
actu
al a
chie
vem
ent
2013
/14
Com
men
ts o
n de
viat
ion
PRO
GR
AM
ME
1: A
DM
INIS
TRAT
ION
(4 .1
.1 .2
)To
pro
vide
ef
fect
ive
and
effic
ient
hum
an
reso
urce
pla
nnin
g an
d m
anag
emen
t se
rvic
es
Aver
age
perio
d ittakestofilla
fund
ed v
acan
cy
from
the
date
of
adve
rtise
men
t (in
te
rms
of m
onth
s)to
the
date
of
reco
mm
enda
tion
4 m
onth
s4
mon
ths
4 m
onth
sTa
rget
ach
ieve
dn
one
Vaca
ncy
rate
of
fund
ed p
osts
in th
e D
epar
tmen
t
11%
10%
7%Ta
rget
exc
eede
d by
4%
The
clea
ning
up
on
per
sal.
Aver
age
num
ber
of d
ays
to re
solv
e di
scip
linar
y ca
ses
148
days
90 d
ays
74 d
ays
Targ
et a
chie
ved
non
e
per
cent
age
perfo
rman
ce o
f the
H
uman
Res
ourc
e s
trate
gic
pla
nnin
g Fram
eworkas
mea
sure
d by
the
Dep
artm
ent o
f p
ublic
ser
vice
and
A
dmin
istra
tion
(Dp
sA
) ass
essm
ent
tool
63%
98%
98%
Targ
et a
chie
ved
non
e
47
Dep
ar
tmen
t o
f H
igH
er e
Du
cat
ion
an
D t
ra
inin
gV
OTE
17
2013
/14
AN
NU
AL
RE
PO
RT
Stra
tegi
c ob
ject
ive
Perf
orm
ance
in
dica
tors
Act
ual
achi
evem
ent
2012
/13
Plan
ned
targ
et fo
r 20
13/1
4A
ctua
l ac
hiev
emen
t 20
13/1
4
Dev
iatio
n fr
om
plan
ned
targ
ets
to
actu
al a
chie
vem
ent
2013
/14
Com
men
ts o
n de
viat
ion
PRO
GR
AM
ME
1: A
DM
INIS
TRAT
ION
per
cent
age
personnelw
ith
perfo
rman
ce
agreem
entswhose
performancewas
asse
ssed
at t
he
endofthefinancial
year
in c
ompl
ianc
e withperformance
man
agem
ent
framew
ork
100%
100%
95%
Targ
et n
ot a
chie
ved
Below
targetby5%
Man
agem
ent a
nd
staf
f dis
cipl
ine
in
mee
ting
dead
lines
(4 .1
.1 .3
)En
sure
adh
eren
ce
to p
olic
ies
and
stan
dard
s on
lo
gist
ical
ser
vice
s
per
cent
age
co
mpl
ianc
e to
s
cM
tran
sact
iona
l pr
oces
ses
complyingwithSCM
polic
ies
com
plia
nce
to s
cM
an
d lo
gica
l pol
icie
s an
d st
anda
rds
exce
pt fo
r the
in
cide
nts
men
tione
d in
the
com
men
ts
100%
100%
Tar
get a
chie
ved
non
e
Aver
age
perio
d of
tim
e to
pay
invo
ices
fro
m s
ervi
ce
prov
ider
s fro
m th
e day theinvoicewas
rece
ived
(in
term
s of
da
ys)
30 d
ays
exce
pt fo
r a
fewexceptions
28 d
ays
30 d
ays
exce
pt fo
r a
fewexceptions
Targ
et n
ot a
chie
ved
Valid
cla
ims/
invo
ices
withnoquerieswere
settledwithin30
days
dur
ing
onlin
e pe
riods
of B
As
Dep
ar
tmen
t o
f H
igH
er e
Du
cat
ion
an
D t
ra
inin
gV
OTE
17
2013
/14
AN
NU
AL
RE
PO
RT
48
Stra
tegi
c ob
ject
ive
Perf
orm
ance
in
dica
tors
Act
ual
achi
evem
ent
2012
/13
Plan
ned
targ
et fo
r 20
13/1
4A
ctua
l ac
hiev
emen
t 20
13/1
4
Dev
iatio
n fr
om
plan
ned
targ
ets
to
actu
al a
chie
vem
ent
2013
/14
Com
men
ts o
n de
viat
ion
PRO
GR
AM
ME
1: A
DM
INIS
TRAT
ION
(4 .1
.1 .4
)To
pro
vide
ef
fect
ive
com
mun
icat
ion
serv
ices
an
d ev
ents
m
anag
emen
t
Func
tiona
l DH
ET
websiteupdated
daily
on
the
basi
s of
ap
prov
ed c
onte
nt b
y th
e Fu
nctio
nal H
ead
Web
site
ava
ilabl
e 36
5 da
ys p
er y
ear
with4quarterly
newsletters
publ
ishe
d
Func
tiona
l DH
ET
websiteupdated
daily
Func
tiona
l DH
ET
websiteupdated
daily
Targ
et a
chie
ved
non
e
Four
DH
ET
inte
rnal
newsletters
one
DH
ET
inte
rnal
newsletter
Four
DH
ET
inte
rnal
newsletters
Four
issu
es
of e
lect
roni
c newsletters
Targ
et a
chie
ved
non
e
per
cent
age
resp
onse
to q
uerie
s vi
a ca
ll ce
ntre
97.3%
100%
100%
Targ
et a
chie
ved
non
e
num
ber o
f ex
hibi
tions
/pub
lic
Rel
atio
ns e
vent
s co
nduc
ted
1110
30Ta
rget
exc
eede
d by
20%
Mor
e ou
treac
h pr
ogra
mm
es
wereundertaken
by b
oth
polit
ical
pr
inci
pals
and
theDepartment’s
bran
ches
than
or
igin
ally
ant
icip
ated
by
the
supp
ort
team
s
49
Dep
ar
tmen
t o
f H
igH
er e
Du
cat
ion
an
D t
ra
inin
gV
OTE
17
2013
/14
AN
NU
AL
RE
PO
RT
Stra
tegi
c ob
ject
ive
Perf
orm
ance
in
dica
tors
Act
ual
achi
evem
ent
2012
/13
Plan
ned
targ
et fo
r 20
13/1
4A
ctua
l ac
hiev
emen
t 20
13/1
4
Dev
iatio
n fr
om
plan
ned
targ
ets
to
actu
al a
chie
vem
ent
2013
/14
Com
men
ts o
n de
viat
ion
PRO
GR
AM
ME
1: A
DM
INIS
TRAT
ION
(4 .1
.1 .5
)To
ens
ure
a sa
fe a
nd
heal
thy
phys
ical
en
viro
nmen
t
per
cent
age
compliancewith
occ
upat
iona
l Hea
lth
and
saf
ety
(oH
s)
90%
99%
100%
Ta
rget
ach
ieve
dn
one
per
cent
age
compliancewith
secu
rity
dire
ctiv
es
95%
99%
Targ
et a
chie
ved
non
e
(4 .1
.1 .6
)To
pre
vent
frau
d an
d co
rrup
tion
per
cent
age
of
pote
ntia
l cas
es
offraudidentified
thro
ugh
early
warningsystems
appr
oved
by
the
Dg
fo
r im
plem
enta
tion
Frau
d an
d an
ti-co
rrup
tion
polic
y im
plem
ente
d
Whistle-blowing
syst
em d
evel
oped
an
d im
plem
ente
d
All
pote
ntia
l cas
es
(100%)offraud
identifiedthrough
earlywarning
syst
ems
appr
oved
by
the
Dg
for
impl
emen
tatio
n
(31
Mar
ch 2
014)
Ris
k m
anag
emen
t co
mm
ittee
, st
rate
gy a
nd p
olic
y de
velo
ped
and
appr
oved
Targ
et n
ot a
chie
ved
Therewasno
capa
city
in th
e pr
evio
us th
ree
quarterswhichhas
sinc
e be
en p
ut in
pl
ace
Dep
ar
tmen
t o
f H
igH
er e
Du
cat
ion
an
D t
ra
inin
gV
OTE
17
2013
/14
AN
NU
AL
RE
PO
RT
50
Stra
tegi
c ob
ject
ive
Perf
orm
ance
in
dica
tors
Act
ual
achi
evem
ent
2012
/13
Plan
ned
targ
et fo
r 20
13/1
4A
ctua
l ac
hiev
emen
t 20
13/1
4
Dev
iatio
n fr
om
plan
ned
targ
ets
to
actu
al a
chie
vem
ent
2013
/14
Com
men
ts o
n de
viat
ion
PRO
GR
AM
ME
1: A
DM
INIS
TRAT
ION
(4 .1
.1 .7
)To
ens
ure
an
effic
ient
and
ef
fect
ive
syst
em o
f fin
anci
al a
nd a
sset
m
anag
emen
t, go
vern
ance
and
co
ntro
ls in
the
Dep
artm
ent a
nd it
s pu
blic
ent
ities
Aver
age
perio
d of
tim
e ta
ken
to
proc
ess
trans
fers
an
d pa
ymen
ts fr
om
the
date
of r
eque
st
Withinfivedays
Five
day
sFi
ve d
ays
Targ
et a
chie
ved
non
e
DHETfinancial
stat
emen
ts
appr
oved
by
the
Dg
Approvedfinancial
stat
emen
tsDHETfinancial
stat
emen
ts
appr
oved
DHETfinancial
stat
emen
ts
appr
oved
Targ
et a
chie
ved
non
e
per
cent
age
com
plia
nce
to p
FMA
Themajorityof
pFM
A co
mpl
ianc
e m
atte
rs
100%
com
plianceto
pFM
A100%
com
plianceto
pFM
ATa
rget
ach
ieve
dn
one
num
ber o
f ag
reem
ents
co
nclu
ded
and
projectssupported
No newagreements
weresigned
10 a
gree
men
ts
conc
lude
d an
d projectssupported
Nonewagreements
weresignedbut
prog
ram
mes
on
exis
ting
agre
emen
ts
weresupported
Targ
et n
ot a
chie
ved
Agreementswere
not s
igne
d as
th
e m
anag
emen
t of
par
tner
ship
s fo
r pos
t-sch
ool
educ
atio
n is
de
cent
ralis
ed li
nked
to
diff
eren
t fun
ctio
ns
in a
ll br
anch
es.
Supportwas
prov
ided
to e
xist
ing
agreem
entswith
inte
rnat
iona
l and
lo
cal d
onor
s
per
cent
age
of
asse
ts lo
st a
nd/
or u
naut
horis
ed
mov
emen
ts
Lessthan1%
Lessthan1%
Lessthan1%
Targ
et a
chie
ved
non
e
Department of HigHer eDucation anD trainingVOTE 17
2013/14 ANNUAL REPORT
51
Strategy to deal with underperformance
• Onachieving thenetwork connectivityuptime, theDepartmentwill liaisewithSITAonpower failureswhichaffecttheDepartmentandGovernment.
• The Department is reporting a deviation from planned targets in as far as the pMDs policy is concerned. Theonlywayofaddressingthisconstantdeviation is toholdManagersandSupervisorswhoprovidedirect reports, accountable for ensuring that the planning and assessment timelines issued by HR are met.Thiswillbeeffectivefrom1April2014.
• Agreements were not signed as the management of partnerships for post-school education isdecentralised,linkedtodifferentfunctionsinallbranches.Supportwasprovidedtoexistingagreementswithinternationalandlocaldonors.
• Managing certain key areas like payments of invoices from service providers especially in supply chain Managementshouldbeimproved.Considerationisgiventoappointofficialsoncontract.
• With respect topotential casesof fraud identified thoughearlywarningsystems,a riskmanagementcommittee,strategyandpolicyweredevelopedandapproved.Potentialcaseswillbeidentifiedduringthefirstquarterof2014/15.
Linking programme performance with budgets
SUB-PROGRAMME
2013/14 2012/13
Final Appropriation
Actual Expenditure
(Over)/Under Expenditure
Final Appropriation
Actual Expenditure
(Over)/Under Expenditure
R’000 R’000 R’000 R’000 R’000 R’000
Ministry 29 753 29 733 20 29 701 29 635 66
Department Management
35 643 35 570 73 30 371 30 241 130
corporate services
105 167 104 579 588 92 180 91 883 297
OfficeAccommodation
33 166 33 162 4 19 899 19 896 3
Total 203 729 203 044 685 172 151 171 655 496
Programme 2: Human resource development, planning and monitoring coordination
The purpose of the programme is to provide strategic direction in the development, implementation and monitoring of Departmental policies and the Human Resource Development strategy for south Africa.
There are six budget sub-programmes:
• programme Management
• Human Resource Development, strategic planning and coordination
• planning, Information, Monitoring and Evaluation coordination
• International Relations
• legal and legislative services
• social Inclusion in Education
Department of HigHer eDucation anD trainingVOTE 17
2013/14 ANNUAL REPORT
52
Strategic Objectives
• Establish and maintain an integrated education and training management information system, linking all providers of education and training into a single system, to provide accurate data on skills supply and demand in the country.
• Establish and maintain a coherent career management and career information system by 2014.
• promote research and innovation in the Higher Education and Training sector by publishing an annual academicjournalofcontributionsfromstakeholdersinthesector.
• Manage and maintain a credible planning and budgeting process for the Department annually.
• PursueandstrengthenbilateralrelationswithprioritycountriesinAfrica,theMiddleEast,SouthandtheNorthaswellaswithmultilateralagenciessuchasCOMEDAF,SADC,AU,ADEA,UNESCO,ILO,OECDandtheCommonwealth.
• Maintain a database of international engagements of all public post-school institutions and publish an annual report on international collaborations.
• support, advise and monitor the implementation of the post-school education and training system legislativeframeworkannually.
• Establishwell-functioningsocial inclusion,equityandtransformationserviceswithin theDHETand itsentities.
• MonitorandsupporttheimplementationoftheNationalQualificationsFrameworkAct.
Significant achievements during 2013
Itcanbereportedthat100%ofpublicinstitutionaldatafor2010,2011and2012wereintegratedintoasinglemanagement information system including 50 Further Education and Training colleges, 23 Higher Education Institutions and 21 sETAs.
The standard of publication of post-school education and training statistical reports has been developed and publishedintheGovernmentGazette,number37461ofMarch2014.Thepurposeofthestandardistospecifythe rules for the publication of statistical reports on the post-school education and training sector to ensure the quality of the publication.
The Data Dissemination standard has been drafted and presented to the Higher Education and Training Information standards committee on 6 March 2014. The committee has approved and recommended the standard to be published. The standard has been routed to the Minister for approval.
The concept paper for the online Work Integrated learning (WIl) system has been developed. The purpose ofWIL is to provide an accurate and up to date database of students requiringwork integrated learning orplacementforworkplacebasedlearning;toprovideanaccurateanduptodatedatabaseofemployerswillingtoprovideopportunitiestostudentsseekingWIL;toprovideasystemthatwillmatchstudentstotheappropriateemployers; and provide information regarding WIl for reporting purposes. The concept paper has been consulted withvariousstakeholders including theHigherEducationandTraining InformationStandardsCommittee, theDeputy Director-general (DDg) forum and the Department of Higher Education and Training Data Manager Forum. The concept paper has been routed to the Director-general for approval.
TheDepartmentofHigherEducationandTraining,inconsultationwithvariousnationalandprovincialgovernmentdepartments,bodies,entitiesandinstitutionshasdevelopedanimplementationframeworkforthedevelopmentof a career Development service policy, implementation strategy and consultation process across all spheres of
Department of HigHer eDucation anD trainingVOTE 17
2013/14 ANNUAL REPORT
53
government. cabinet approved the development of a career Development services policy and implementation plan in January 2014.
career Development stakeholders have been collaborating under the coordination of the Department. An Interim national career Development Forum, represented by various government departments, agencies, entities, bodiesand institutions,hasbeenestablishedthatwillbringkeystakeholders incareerdevelopment togetherwithinan institutionalstructuretoprovideamechanismfornationalcommunication,consultation,cooperationand coordination.
The national career Advice portal (ncAp) has been developed as an integrated education and training career development information system and is live (http://careerhelp.org.za/ncap). Two further modules have beendeveloped.100%ofpublic institutionaldatawasintegratedintotheNCAP(learningdirectorymodule)(PublicTVET colleges and universities).
Amulti-platformhelplinehasbeenoperational(radio,exhibitions,helplineandwebportalincludingwebsiteandmobi-site).
TheWhitePaper forPost-SchoolEducationandTrainingwas launchedandspecificdirection isgiven to thedevelopment of open learning in the post-school education and training system.
Thefirstphaseoftheopenlearninginpost-schooleducationandtraininginitiativewasconcludedthroughthedevelopmentofa‘ConceptDocument:OpenLearninginPost-schoolEducationandTraining’.Fourconsultativeworkshops forAdultEducation,FETcolleges,universitiesandSkillsDevelopment tookplaceandresulted inthe‘ConceptFrameworkforanOpenLearningSysteminPost-schoolEducationandTraininginSouthAfrica’identifyingspecificprogrammestoconductopenlearningpilotsintheidentifiedfiveareas.
TheMinister’srequestforascarceskillslisthasbeentakenupbytheDirectorateandthelistoftheoccupationsindemandhasbeenfinalisedandsubmittedtotheMinistertopublishforpubliccomment.ThepublicationoftheWhite paper has resulted in the involvement of the Research Directorate in its advocacy and an examination of itsimplications.TheResearchandMonitoringEvaluationDirectoratewasalsogiventheresponsibilityofdraftingafiveyearreviewoftheDepartmentofHigherEducationandTraining.AresearchforumonPSEThasbeenestablishedanditsfirstmeetingwasheldon18March2014.Issuesrequiringon-goingattentionaretheLabourMarketIntelligenceProjectandthematterspertainingtotheskillsplanningmechanism.
ThepublicationoftheStatisticalReporton2012datawasdelayedowingtolackofdataonAETcentresfromthreeprovinces.Thepublicationoftheresearchbulletinwasdelayedowingtodesignandlayoutchallenges,theresignationofastaffmemberinOctober2013andnewtasksinrelationtotheinter-branchcommittee.
The programme is also responsible for the coordination of strategic planning and reporting and ensures a credible planningprocessfortheDepartmentonanannualbasis.Forthe2013/14financialyearanAnnualPerformancePlanfor2014/15wasdevelopedwithindicatorsandapprovedbytheMinister.
The annual production of four quarterly performance progress reports on the implementation of the strategic plan wasefficientlycoordinated.
TheDepartment’sfirstinternationalrelationsstrategydocumentwasapprovedbytheDirector-Generalin2013.
TheDepartmentparticipatedina10-yearreviewofIBSAhostedbyDIRCOandworkedwithHESAonSouthAfrica’sparticipationintheIBSAAcademicForum,whichwaslaterpostponedbyIndia.Projectswereselectedthrough the nRF under the IBsA Academic Mobility Fund.
Department of HigHer eDucation anD trainingVOTE 17
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54
TheMinisterpaidaworkingvisitinMay2013totheUnitedNationsEducation,ScientificandCulturalOrganisation(UNESCO)andtheInternationalInstituteforEducationPlanning(IIEP)toexplorecommonfieldsofinterestandknowledge-sharinginskillsdevelopmentandeducationandtraining.TheMinisteralsometwithmiddleincomeunEsco Member states on the post-shanghai Technical and Vocational Education and Training conference resolutions.TheMinisterandseniorofficialsattendedtheUNESCOGeneralConferenceinParisinNovember2013.Onthemarginsoftheconference,theMinisterhostedthefirstmeetingofBRICSMinistersofEducation.
The Minister led a delegation to the International labour organisation (Ilo) conference in geneva in June 2013,wheremeetingswithILOrepresentativeswerealsoheld.Asafollow-uptodiscussions,adepartmentaldelegation visited Turin in november 2013 to explore the possibility of establishing an Ilo training centre at an institution in south Africa.
The Deputy Minister led the DHET delegation to the southern African Development community (sADc) Meeting of Ministers responsible for Education and Training held in September 2013 in Mozambique. The meetingdiscussed the progress report on the implementation of the sADc protocol on Education and Training amongst other matters.
The Minister participated in a meeting of oEcD Ministers of Education in Istanbul, Turkey in october 2013. TheDepartmentofficiallyengagedtheOECDtoundertakeareviewofSouthAfrica’svocationaleducationandtraining system.
The Minister attended the World Education Forum in the united Kingdom in January 2014.
The Department hosted three delegations on familiarisation visits from counterpart Ministries in uganda, Burundi and Iraq, to identify possible areas of cooperation and to facilitate institutional collaboration. The Department also hostedadelegationfromtheNorwegianCentreforInternationalCooperationinEducationtoexplorepossibleareas for cooperation.
Adraft concept paper on themanagement of scholarshipswas submitted to theDepartment’sScholarshipscommittee. The Department facilitated the uptake of scholarships offered to the DHET as part of government to government cooperation including scholarships to study in Mauritius, singapore, poland, Russia, china and Mexico.
AJointDeclarationonCooperationinVocationalEducationandTrainingwassignedwithGermanyinJuly2013.
The Deputy Minister represented the Department at the sA/Eu summit held in pretoria in July 2013 and the Department participated in a side event on employment and social affairs dialogue. The Department wasalso represented at the SA/EU Joint Cooperation Council in Brussels in October 2013 and a workshop oninternationalisation in education held on the margins.
TheMinistervisitedChinainSeptember2013.Thevisitfocusedonmid-levelskillstraininginitiativesaswellasmeetingwiththeleadershipoftheConfuciusInstitutesresponsibleforculturalexchangesandscholarships.
TwodelegationsfromtheDepartmentundertookstudyvisitstoGermanysupportedbytheGermanDevelopmentAgency (gIZ) in october 2013.
The revision of the electronic data capturing system for the database of international engagements of institutions wasdelayedowing tosystemdevelopmentdelays.Theupdateddatacollectionandstorage instrumentwascompletedinMarch2014,andthesurveywasthensubmittedtouniversities.ContentwillbeupdatedbyJuly2014.
Department of HigHer eDucation anD trainingVOTE 17
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55
Alllitigationsweredealtwith.Amatterthatrequireson-goingattentionisthatcourtcasesaremanagedwithintimeframessetbyRulesofCourt.ThesetimeframesmustbemanagedasandwhentheMinisterortheDirector-general is required to act.
Both the Learning Programme and Trade Test Regulations were not finalised and could therefore not bepromulgated.ThedelaywasasaresultofcomplicationsindefinitionsandtypologyandtheobjectionbytheQCTOCouncilregardingthecreditaccumulationclause,whichthecausedforthedelayinthefinalisationoftheTrade Test Regulations.
Alllegalopinionsandagreementswerescrutinisedasrequested.
TheSocialInclusionPolicyFrameworkwasapprovedbytheMinisterandsubmittedtotheMinisterialOversightCommitteeonTransformationforinputs.Theimplementationmonitoringreportwasalsocompiledandsubmittedto the Dg.
Theimplementationmonitoringreportwassubmittedlaterthan31March2014owingtowaitingfortheMinister’soversight committee on Transformation to submit inputs on the policy as directed by the Minister.
ThedraftmonitoringandevaluationreportwassubmittedtotheDirector-Generalforapprovalon15April2014.IntermsofSection8(2)(c)oftheNationalQualificationsAct(NQFAct),2008theMinistershouldpublishguidelineswhichsetoutthegovernment’sstrategyandprioritiesfortheNQFandwhichmaybeupdatedannually.Therewerenoguidelinesrequiredfortheperiod2013/14.
Changes to performance indicators during the year
NosignificantchangesweremadetoplannedtargetsandindicatorsduringtheperiodunderreviewexceptforminorrefinementstoensureadherencetotheSMARTprinciple(Specific,Measurable,Achievable,RelevantandTime-bound).
Dep
ar
tmen
t o
f H
igH
er e
Du
cat
ion
an
D t
ra
inin
gV
OTE
17
2013
/14
AN
NU
AL
RE
PO
RT
56
Prog
ram
me
perf
orm
ance
: Str
ateg
ic o
bjec
tives
, per
form
ance
indi
cato
rs, p
lann
ed ta
rget
s an
d ac
tual
ach
ieve
men
ts
Stra
tegi
c ob
ject
ive
Perf
orm
ance
in
dica
tors
A
ctua
l ac
hiev
emen
t 20
12/1
3
Plan
ned
targ
et
2013
/14
Act
ual
achi
evem
ent
Dev
iatio
n fr
om
plan
ned
targ
ets
to
actu
al a
chie
vem
ent
2013
/14
Com
men
ts o
n de
viat
ion
PRO
GR
AM
ME
2: H
UM
AN
RES
OU
RC
E D
EvEL
OPM
ENT,
PLA
NN
ING
AN
D M
ON
ITO
RIN
G C
OO
RD
INAT
ION
(4 .2
.1 .1
)*
Esta
blis
h an
d m
aint
ain
an
inte
grat
ed
educ
atio
n an
d tr
aini
ng
man
agem
ent
info
rmat
ion
syst
em, l
inki
ng
all p
rovi
ders
of
educ
atio
n an
d tr
aini
ng in
to a
si
ngle
sys
tem
, to
prov
ide
accu
rate
da
ta o
n sk
ills
supp
ly a
nd
dem
and
in th
e co
untr
y
per
cent
age
of
publ
ic in
stitu
tiona
l da
ta in
tegr
ated
in
to e
duca
tion
and
train
ing
man
agem
ent
info
rmat
ion
syst
em
80%(P
ublicFET
and
HE
inst
itutio
ns
and
sE
TAs)
100%
(50Public
FET
and
23 H
E
inst
itutio
ns a
nd 2
1 s
ETA
s)
(31
Mar
ch 2
014)
100%
(50Public
FET
and
23 H
E
inst
itutio
ns a
nd 2
1 s
ETA
s)
(31
Mar
ch 2
014)
Targ
et a
chie
ved
non
e
*Num
beringislinkedtotheactualnum
beringofstrategicobjectivesintheAnnualPerformancePlan
57
Dep
ar
tmen
t o
f H
igH
er e
Du
cat
ion
an
D t
ra
inin
gV
OTE
17
2013
/14
AN
NU
AL
RE
PO
RT
Stra
tegi
c ob
ject
ive
Perf
orm
ance
in
dica
tors
A
ctua
l ac
hiev
emen
t 20
12/1
3
Plan
ned
targ
et
2013
/14
Act
ual
achi
evem
ent
Dev
iatio
n fr
om
plan
ned
targ
ets
to
actu
al a
chie
vem
ent
2013
/14
Com
men
ts o
n de
viat
ion
PRO
GR
AM
ME
2: H
UM
AN
RES
OU
RC
E D
EvEL
OPM
ENT,
PLA
NN
ING
AN
D M
ON
ITO
RIN
G C
OO
RD
INAT
ION
(4 .2
.1 .2
)Es
tabl
ish
and
mai
ntai
n a
cohe
rent
car
eer
man
agem
ent a
nd
care
er in
form
atio
n sy
stem
by
2014
car
eer m
anag
emen
t an
d in
form
atio
n sy
stem
mod
ules
de
velo
ped
and
appr
oved
by
the
Dg
The
nat
iona
l c
aree
r Adv
ice
por
tal (
nc
Ap
) is
establishedandtwo
addi
tiona
l mod
els
are
com
plet
ed
car
eer m
anag
emen
t an
d in
form
atio
n sy
stem
mod
ules
de
velo
ped
and
appr
oved
by
the
Dg
(3
1 M
arch
201
4)
car
eer m
anag
emen
t an
d in
form
atio
n sy
stem
mod
ules
de
velo
ped
and
appr
oved
by
the
Dg
(3
1 M
arch
201
4)
Targ
et a
chie
ved
non
e
num
ber o
f use
rs
reac
hed
by c
aree
r gu
idan
ce s
ervi
ces
thro
ugh
diffe
rent
pl
atfo
rms
Rad
io:
1.99
1 m
illio
n
Exh
ibiti
ons:
34 8
00
Hel
plin
e:
19 8
28
Web
por
tal:
91 9
03
Rad
io:
3 m
illio
n
Exh
ibiti
ons:
28 0
00
Hel
plin
e:
15 0
00
Web
por
tal:
120
000
Rad
io:
Est
imat
ed 2
2.8
mill
ion
Exh
ibiti
ons:
176
842
Hel
plin
e:
25 4
99
Web
por
tal:
209
081
Web
site
:
90 9
70
Mob
i-site
:
118
111
Targ
et e
xcee
ded
TheCASproject
prov
ided
add
ition
al
care
er a
dvic
e pl
atfo
rms:
Rad
io:
ove
r 19.
8 m
illio
n
Exh
ibiti
ons:
ove
r 142
042
Hel
plin
e:
ove
r 10
499
Web
por
tal:
ove
r 89
081
Dep
ar
tmen
t o
f H
igH
er e
Du
cat
ion
an
D t
ra
inin
gV
OTE
17
2013
/14
AN
NU
AL
RE
PO
RT
58
Stra
tegi
c ob
ject
ive
Perf
orm
ance
in
dica
tors
A
ctua
l ac
hiev
emen
t 20
12/1
3
Plan
ned
targ
et
2013
/14
Act
ual
achi
evem
ent
Dev
iatio
n fr
om
plan
ned
targ
ets
to
actu
al a
chie
vem
ent
2013
/14
Com
men
ts o
n de
viat
ion
PRO
GR
AM
ME
2: H
UM
AN
RES
OU
RC
E D
EvEL
OPM
ENT,
PLA
NN
ING
AN
D M
ON
ITO
RIN
G C
OO
RD
INAT
ION
(4 .2
.1 .3
)Pr
omot
e re
sear
ch
and
inno
vatio
n in
the
Hig
her
Educ
atio
n an
d Tr
aini
ng S
ecto
r by
pub
lishi
ng a
n an
nual
aca
dem
ic
jour
nal o
f co
ntrib
utio
ns fr
om
stak
ehol
ders
in th
e se
ctor
A re
sear
ch b
ulle
tin
appr
oved
and
pu
blis
hed
by th
e D
g
A re
sear
ch b
ulle
tin
appr
oved
by
the
DG,butwillstillbe
publ
ishe
d
A re
sear
ch b
ulle
tin
appr
oved
and
pu
blis
hed
(3
1 M
arch
201
4)
The
rese
arch
bu
lletin
pub
lishe
d on
theDHETwebsite
on 1
1 A
pril
2014
Targ
et n
ot a
chie
ved
There wasa10-
day
dela
y in
the
publ
icat
ion
of th
e re
sear
ch b
ulle
tin
The
publ
icat
ion
of
thebulletinwas
delayedow
ingto
late
sub
mis
sion
of
arti
cles
and
the
addi
tiona
l tim
e re
quire
d fo
r edi
ting
(4 .2
.1 .4
)M
anag
e an
d m
aint
ain
cred
ible
pl
anni
ng a
nd
budg
etin
g pr
oces
s fo
r the
DH
ET
annu
ally
DH
ET
Ann
ual
per
form
ance
pla
n (A
pp
) dev
elop
ed
withperformance
indi
cato
rs a
nd
appr
oved
by
the
Min
iste
r
Ap
p de
velo
ped
withperformance
indi
cato
rs
Ap
p de
velo
ped
withperformance
indi
cato
rs a
nd
appr
oved
by
the
Min
iste
r (3
1 M
arch
201
4)
Ap
p de
velo
ped
withperformance
indi
cato
rs a
nd
appr
oved
by
the
Min
iste
r (3
1 M
arch
201
4)
Targ
et a
chie
ved
non
e
Ann
ual M
TEF
Bid
de
velo
ped
and
appr
oved
by
the
Dg
Ann
ual M
TEF
Bid
de
velo
ped
Ann
ual M
TEF
Bid
de
velo
ped
and
appr
oved
by
the
Dg
(3
0 s
epte
mbe
r 201
3)
Ann
ual M
TEF
Bid
de
velo
ped
and
appr
oved
by
the
Dg
(3
0 s
epte
mbe
r 201
3)
Targ
et a
chie
ved
non
e
59
Dep
ar
tmen
t o
f H
igH
er e
Du
cat
ion
an
D t
ra
inin
gV
OTE
17
2013
/14
AN
NU
AL
RE
PO
RT
Stra
tegi
c ob
ject
ive
Perf
orm
ance
in
dica
tors
A
ctua
l ac
hiev
emen
t 20
12/1
3
Plan
ned
targ
et
2013
/14
Act
ual
achi
evem
ent
Dev
iatio
n fr
om
plan
ned
targ
ets
to
actu
al a
chie
vem
ent
2013
/14
Com
men
ts o
n de
viat
ion
PRO
GR
AM
ME
2: H
UM
AN
RES
OU
RC
E D
EvEL
OPM
ENT,
PLA
NN
ING
AN
D M
ON
ITO
RIN
G C
OO
RD
INAT
ION
num
ber o
f qua
rterly
pe
rform
ance
pr
ogre
ss re
ports
on
the
impl
emen
tatio
n of
the
stra
tegi
c pl
an a
nd th
e A
pp
prod
uced
and
ap
prov
ed b
y D
g
withintw
omonths
afte
r the
end
of t
he
quar
ter
Four
Four
Four
Targ
et a
chie
ved
non
e
An
inve
stm
ent r
epor
t on
edu
catio
n an
d tra
inin
g co
mpi
led
and
appr
oved
by
the
Dg
Dra
ft ed
ucat
ion
and
train
ing
inve
stm
ent
repo
rt pr
oduc
ed
An
inve
stm
ent r
epor
t on
edu
catio
n an
d tra
inin
g co
mpi
led
and
appr
oved
by
the
Dg
(31
Mar
ch 2
014)
The
inve
stm
ent
repo
rt on
edu
catio
n andtrainingwas
com
pile
d an
d ap
prov
ed o
n
26 M
ay 2
014
Targ
et n
ot a
chie
ved
An
inve
stm
ent
repo
rt on
edu
catio
n andtrainingwas
com
pile
d bu
t cou
ld
notbefinalised
befo
re th
e en
d of
March2014ow
ingto
capa
city
con
stra
ints
withintheunit.
Ther
efor
e th
e re
port
wassubmittedlate
totheDGbutwas
even
tual
ly a
ppro
ved
albeit twomonths
afte
r the
end
of t
he
financialyear
Dep
ar
tmen
t o
f H
igH
er e
Du
cat
ion
an
D t
ra
inin
gV
OTE
17
2013
/14
AN
NU
AL
RE
PO
RT
60
Stra
tegi
c ob
ject
ive
Perf
orm
ance
in
dica
tors
A
ctua
l ac
hiev
emen
t 20
12/1
3
Plan
ned
targ
et
2013
/14
Act
ual
achi
evem
ent
Dev
iatio
n fr
om
plan
ned
targ
ets
to
actu
al a
chie
vem
ent
2013
/14
Com
men
ts o
n de
viat
ion
PRO
GR
AM
ME
2: H
UM
AN
RES
OU
RC
E D
E vEL
OPM
ENT,
PLA
NN
ING
AN
D M
ON
ITO
RIN
G C
OO
RD
INAT
ION
(4 .2
.1 .5
)Pu
rsue
and
st
reng
then
bila
tera
l re
latio
ns w
ith
prio
rity
coun
trie
s in
Afr
ica,
Mid
dle
East
, Sou
th a
nd
Nor
th a
s w
ell a
s w
ith m
ultil
ater
al
agen
cies
suc
h as
CO
MED
AF,
SA
DC
, AU
, AD
EA,
UN
ESC
O, I
LO,
OEC
D a
nd th
e C
omm
onw
ealth
Inte
rnat
iona
l re
latio
ns o
pera
tiona
l framew
ork strategy
deve
lope
d an
d im
plem
enta
tion
repo
rts p
rodu
ced
and
appr
oved
by
the
Dg
Dra
ft in
tern
atio
nal
rela
tions
ope
ratio
nal
framew
ork strategy
deve
lope
d
Inte
rnat
iona
l re
latio
ns o
pera
tiona
l framew
ork strategy
deve
lope
d an
d im
plem
enta
tion
repo
rts p
rodu
ced
and
appr
oved
by
the
Dg
(31
Mar
ch 2
014)
The
impl
emen
tatio
n re
port
com
pile
d an
d ap
prov
ed b
y th
e D
g
Tar
get a
chie
ved
non
e
Eng
agem
ent
plan
s de
velo
ped
and
impl
emen
tatio
n re
port
com
pile
d an
d ap
prov
ed b
y th
e D
g
Eng
agem
ent
planswithpriority
coun
tries
and
m
ultil
ater
al a
genc
ies
deve
lope
d
Eng
agem
ent p
lans
de
velo
ped
and
impl
emen
tatio
n re
port
com
pile
d an
d ap
prov
ed b
y th
e D
g
(31
Mar
ch 2
014)
Eng
agem
ent p
lans
de
velo
ped
and
impl
emen
tatio
n re
port
com
pile
d
Targ
et a
chie
ved
non
e
(4 .2
.1 .6
)M
aint
ain
data
base
of
inte
rnat
iona
l en
gage
men
ts o
f al
l pub
lic p
ost-
scho
ol in
stitu
tions
an
d pu
blis
h an
an
nual
repo
rt
on in
tern
atio
nal
colla
bora
tions
A pu
blic
atio
n on
inte
rnat
iona
l co
llabo
ratio
n pr
oduc
ed a
nd
appr
oved
by
the
Dg
A pu
blic
atio
n on
inte
rnat
iona
l co
oper
atio
n pr
oduc
ed
A pu
blic
atio
n pr
oduc
ed a
nd
appr
oved
by
the
Dg
(3
1 M
arch
201
4)
A pu
blic
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63
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Department of HigHer eDucation anD trainingVOTE 17
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Strategy to deal with underperformance
• Aresearchbulletinwasapprovedandpublished:ThepublicationoftheBulletinwasdelayedowingtolatesubmissionofarticlesandtheadditionaltimerequiredforediting.TheResearchBulletinwaspublishedontheDHETwebsiteon11April2014.
• The reports on the investment report on education and training: The draft investment report on education andtrainingwasproducedbutcouldnotbefinalisedbeforetheendofMarch2014owingtocapacityconstraintswithintheunit.Thereportwillbefinalisedbeforetheendofthefirstquarterfor2014/15(reportawaitingapproval).
• Data collection and storage instrument regarding international engagements of all post-school institutions willbeupdatedbyJuly2014.
• TheimplementationoftheSocialInclusionPolicyandFrameworkcouldnotbefinalisedbeforetheendofMarch2014.Itwillbefinalisedbeforetheendofthefirstquarterfor2014/15.
• A monitoring and evaluation report on the mandatory role of the Quality councils and sAQA compiled andapprovedbytheDG:ThereportwillbesubmittedtoDDG:HandtheDGforapprovalduringthefirstquarterofthefinancialyear.
• TheMinisterialguidelineswerenotissuedin2013/14.AsrequiredbytheNQFAct,2008(Section8(2)(c))theMinisterisrequiredto‘publishguidelineswhichsetoutgovernment’sstrategyandprioritiesfortheNQF,andwhichmaybeupdatedannually’.
Linking programme performance with budgets
SUB-PROGRAMME 2013/14 2012/13
Final Appropriation
Actual Expenditure
(Over)/Under
Expenditure
Final Appropriation
Actual Expenditure
(Over)/Under
Expenditure
R’000 R’000 R’000 R’000 R’000 R’000
programme Management: Human Resource Development, planning and Monitoring coordination
3 674 3 656 18 4 067 4 024 43
Human Resource Development, strategic planning and coordination
11 259 11 198 61 9 247 9 127 120
planning, Information, Monitoring and Evaluation condition
7 486 7 419 67 6 630 6 511 119
International Relations 10 347 10 268 79 10 954 10 852 102
legal and legislative services
7 226 7 183 43 7 174 7 142 32
social Inclusion in Higher Education and Training
3 835 3 811 24 5 173 5 173 -
Total 43 827 43 535 292 43 245 42 829 416
Department of HigHer eDucation anD trainingVOTE 17
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Programme 3: University Education
Thepurposeoftheprogrammeistodevelopandcoordinatepolicyandregulatoryframeworksforaneffectiveandefficientuniversityeducationsystem,providefinancialsupporttouniversities,theNationalStudentFinancialAid scheme and the national Institutes for Higher Education.
There are six budget sub-programmes:
• programme Management
• university - Academic planning and Management support
• university - Financial planning and Information systems
• university - policy and Development
• Teacher Education
• university subsidies.
Strategic Objectives
• ExpandtheHigherEducationsectorinordertoincreaseequitableaccesswithsuccess.
• Improve success rates in Higher Education studies at public institutions and therefore increase graduate outputs by 2014.
• Monitor good governance and management of the Higher Education system in order to build capacity andefficiency.
• Develop and enhance the research capacity and productivity of universities.
• Maintain and enhance the Higher Education Management Information system (HEMIs).
Significant achievements during 2013
The Minister established two new universities, Sol Plaatje University (SPU) in the Northern Cape and theUniversityofMpumalanga(UMP)inMpumalanga,asjuristicpersonsthroughthepublicationsofGovernmentGazetteNumber36771(Notice630,23August2013)andGovernmentGazetteNumber36772(Notice631,22August2013).InterimCouncilswereappointedtogoverneachinstitution.TheSPUwasformallylaunchedatan event in Kimberly on 19 september 2013 and the uMp at an event in Mbombela on 30 october 2013. Both universities appointed interim management teams and academic staff to enable their successful start-up in the 2014academicyear.BothuniversitiesopenedtheirdoorstotheirfirstintakeofstudentsinFebruary2014.
The infrastructure development programme for the new universities is successfully underway. The spatialdevelopmentplanswerefinalisedandapprovedandtheenvironmentalimpactanalysesfinalised.Refurbishmentofexistingbuildingsatbothuniversitiestoensuretheeffectivestart-upofthe2014academicprogramme,wascompleted in time.Further renovationswillcontinueduring2014/15 toensure readiness for the2015 intake.Planningforthebuildingsofnewinfrastructureforbothuniversitiesisontrackwiththeappointmentofteamsofarchitectsfollowingsuccessfulnationalcompetitions.NewbuildingsarecurrentlyunderconstructionontheSiyabuswaCampusofUMPinpreparationforJanuary2015.Allplanningpermissionsforthefirstsubstantivephaseofnewbuildingsforbothuniversities’maincampusesareatanadvancedstageanditisexpectedthatthefirstnewinfrastructurepackagesforthisphasewillcommencebySeptember2014andthebuildingswillbeready for use by January 2016.
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The Minister established a national Institute for the Humanities and social sciences through the publication of RegulationsintheGovernmentGazette(Notice952inGazetteNumber37118,5December2013)andappointeda board to operate the Institute.
The Ministerial Statement on Enrolment Planning (2014/15 - 2019/20), was successfully negotiated with allinstitutionsduringthe2013/14financialyear.Astrategicdecisionwastakentochangeaspectsoftheenrolmentplanning process to ensure improved integrated planning for a diverse and differentiated university sector integratedwithinthepost-schooleducationandtrainingsystem.Thelengthoftheenrolmentplanningcyclewasincreasedfromthetraditionalthreeyearstosixyears,withamid-termreview.Universitieswererequestedtodevelop their enrolment plans in an integrated fashion, taking into consideration infrastructure planning, research, teachingandstaffdevelopmentandrealisticexpansionpossibilitiesinarestrictedfiscalenvironment.ThenewstatementtakesintoaccounttheNationalDevelopmentPlanandthenewWhitePapertargetsandprinciples.
R2 billion in infrastructure and efficiency allocations were allocated to institutions and improved monitoringandoversightsystemswereputinplace.AninfrastructureoversightteamconsistingofDepartmentalofficialstogetherwith facilitiesmanagers fromselecteduniversitiesand theHigherEducationFacilitiesManagementAssociation(HEFMA)wasestablished toprovidesupport for13 institutions thatwerepreviously identifiedasnothavingstronginfrastructureprojectteams.Theseinstitutionswereallprovidedwithfundingtosetuptheirownprojectofficesandtheoversightteamwillbemonitoringtheirworkandassistingwithdevelopingcapacity.Astrategicdecisionwastakentochangetheprocessfortheallocationofinfrastructureandefficiencyfundsforthe2015/16to2017/18cycle.Universitieswererequestedtoundertakefullinfrastructure,maintenanceanddisabilityaudits and develop comprehensive needs analyses and campus master plans for the next 20 years and submit thesetotheDepartmentbyJuly2014.Thesewillbeusedtodevelopa20-yearinfrastructuredevelopmentandmaintenanceplanfor thesystemandtoguidetheprioritisationof infrastructureprojectsandtheallocationoffunds to institutions in the 2015/16 to 2017/18 infrastructure funding cycle.
ThereportoftheJointTechnicalTaskTeamappointedtoprovideadviceontheestablishmentofanewHealthandAlliedSciencesUniversitythatwouldincorporatetheMEDunsA campus of the university of limpopo (ul) was finalisedandapprovedby theMinisters ofHigherEducation andTraining andofHealth. Linked to thiswas thepublicationof twoGovernmentGazettenotices,oneannouncing theMinister’s intention toestablishthenewHealthandAlliedSciencesUniversityinGautengandrequestingpubliccommentsandonecallingfornominationstotheInterimCouncilofthenewuniversityandforasuggestednamefortheinstitution.
TheCentralApplicationsClearingHouse(CACH)wasimplementedforthesecondyearandoperatedsuccessfullyfromthefirstweekofJanuarytotheendofMarch2014.CACHwasutilisedtoguideandadviseprospectivestudentsonthedifferentlearningopportunitiesavailablewithinthepost-schoolsystem.
The PolicyonProfessionalQualifications forTechnicalandVocationalEducationLecturerswasfinalisedandpublishedintheGovernmentGazetteforimplementation.TheDepartmentengagedproactivelywithalluniversitiesthrough the HEsA Education Deans Forum and during enrolment planning meetings to encourage them to developTVETLecturer qualification programmes.Eighteen universities indicated their interest in developingprogrammeswiththesupportoftheDepartment;eightmorethantargeted.Thisissignificant,becauseitindicatesthe responsiveness of universities to national needs.
The Ministerial Committee Report on the Review of Funding of UniversitieswasapprovedandpublishedintheGovernmentGazette.ATechnicalTeamandaReferenceGroupwereestablishedtomodeltherecommendationsoftheMinisterialReportandtodevelopanewfundingframeworkthatwillbepublishedforpubliccommentbytheendofthe2014/15financialyear.
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The Minister approved a new Teaching Development Grant (TDG) Policy Statement to better guide themanagement and use of TDg funds by universities. All universities submitted three-year Teaching Development Plansinlinewiththepolicystatement.Anationalreferencegroupwasestablishedtoevaluatetheplansandmakerecommendations for improvement. The plans focus on interventions to improve student success in university education through strengthening university teaching and learning support activities, including mentoring, tutoring programmesand improvementof lecturerqualifications (for teachingand research).Funding for the2014/15cyclewillbereleasedon thebasisofapprovedplansaswellasonsatisfactoryprogresswith respect to thepreviousfundingcycle.Theimplementationofthenewprocessshouldsignificantlyimprovetheutilisationandmanagement of TDg over the 2014/15 – 2016/17 funding cycle.
New Criteria for the allocation of the research development grant to universities (2014/15 – 2016/17) weredeveloped in consultationwith the sector andapproved for implementation.For the first timeall universitiesreceivedRDGs,however,thecriteriadifferentiatedbetweendifferentuniversitiesdependingontheirhistoricalresearchcapabilityandoutputand fundingwasallocated.All universitiesare required todevelop three-yearResearchDevelopmentPlanstobesubmittedinthefirstquarterofthenextfinancialyear.Thecriteriaprovideguidelines for thedevelopmentof theplansandalso identify the typesofprogrammesandprojects that theDepartmentmightfundthroughthegrant.Anationalreviewpanelforevaluatingtheplanswassetup.ThisnewprocessshouldseeamorefocuseduseoftheRDGandresultspecificallyinimprovedlecturerqualifications,particularly at Masters and phD level.
ThenewReporting Regulations for Public Higher Education Institutionswerefinalisedafterincorporationofpubliccommentsandintensivefurtherconsultationwithkeystakeholdersinthesector,specificallyHigherEducationSouthAfrica(HESA)andtheUniversityChairsofCouncilForum(UCCF).ItisexpectedthattheregulationswillbepublishedasafinalpolicyinaGovernmentNoticewithinthefirstquarterof2014/15andwillcomeintoeffectfor the reporting year commencing on 1 January 2015.
The Policy for the Provision of Distance Education in South African Universities in the Context of an Integrated Post-School Systemwasalsofinalisedaftertheanalysisofpubliccommentsandanextensivereviewofthedraftinthelightofthese.ItisexpectedthatitwillbepublishedintheGovernmentGazetteasafinalpolicyinthefirstquarterof2014/15,forimplementationduringthe2015/16financialyear.
The draft Policy on Professional Qualifications forAdult Educators and Community Education and TrainingLecturerswaswidelyconsultedandfinalisedaftertheanalysisandconsiderationofpubliccommentsandadvicefrom theCouncilonHigherEducation (CHE). It isexpected that thePolicywillbepublishedduring2014 forimplementation during 2015.
ThefinaldraftoftherevisedPolicy on the Measurements of Research OutputswascompletedafteranalysisandconsiderationofpubliccommentsandsubmittedtotheCHEforadvicebeforepublishingasafinalpolicyintheGovernmentGazette.ItisexpectedthatthePolicywillbepublishedduring2014forimplementationduringthe2015/16financialyear.
The Branch, in collaboration with the Human Sciences Research Council (HSRC) and the Department ofInternational Relations and cooperation (DIRco), ensured the successful participation of south Africa in the 2014 BRIcs Think Tanks council (BTTc) meeting and the 2014 BRIcs Academic Forum held in Rio de Janeiro, Brazil,inMarch2014.DuringtheyearanumberofsignificantBRICSrelatedeventsweresuccessfullyorganisedincluding an academic forum in July 2013 to interrogate the draft BRIcs vision document and develop it further intoaSouthAfricanpositiondocument.ThisleadtothefinalisationofadocumentpresentedattheBTTCmeetinginRio de Janeiro.Amid-termmeeting of theBTTCwas successfully organised and held inSouthAfrica in
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October2013,whichinvolvedrepresentativesfromalltheBRICScountries.Ajointmini-forumwasalsoheldinJanuary2014,inwhichthewidernetworkofSouthAfricanBRICSresearchersandacademicsparticipatedtodiscussthe12papersthatwouldbepresentedatthe2014AcademicForum.SouthAfrica’sparticipationintheBTTCmeeting,asoutgoingchair,wassignificant.ThemeetingfinalisedtheTermsofReferencefortheCouncil,aswellasagreedtoadocument‘TowardsaLong-TermStrategyforBRICS:RecommendationsbyBTTC’,basedonthevisiondocumentproducedbySouthAfrica,thatwillbepresentedtotheheadsofstateatthe2014Summit.Aprocessforthedevelopmentofasetoffivestrategicdocuments,focusingonfivekeypillars/themes,wasalsoagreedupon,witheachcountryassignedtoleadasfollows:Promotingcooperationforeconomicgrowthanddevelopment (china); peace and security (Russia); social Justice, sustainable Development and Quality of life (SouthAfrica);Political andEconomicGovernance (India); andProgress throughKnowledgeand InnovationSharing(Brazil).
Inrelationtoteachereducation,theDepartment’sEuropeanUnionbudgetsupportedStrengthening Foundation Phase Teacher Education Programme continued tomakea significant qualitative difference in this sector.Asuccessful national conference on childhood education was jointly hosted with the SouthAfrican ResearchAssociation forEarlyChildhoodEducation(SARAECE),marking thefinalyearof funding for theprogramme.Theconferencehighlightedanumberofoutstandingachievementsof theprogramme,show-piecingmanyofits products including teacher education learning support materials, video products and research outputs. The achievements include:
• themarkedexpansionofFoundationPhaseinitialteachereducationat21universitiesnowparticipating(upfrom13in2009)andsignificantgrowthinheadcountenrolments(upby98%)andgraduates(upby93%)sincetheinceptionoftheprogrammein2009
• scholarship support for seven Honours, 54 Masters and 40 phD students in childhood Education
• seedfundingsupportfortheestablishmentoftheSouthAfricanJournalofChildhoodEducation,whichhas already achieved full accreditation; support for the establishment of sARAEcE
• thedevelopmentofavibrantresearchculturethathasthusfarproduced28peerreviewedjournalarticles,withafurther21articlesacceptedforpublicationand36articlesinvariousstagesofpreparation.
Asuccessfulgovernance-trainingworkshopforMinisterialappointedUniversityCouncilmemberswasheld.TheDepartment,togetherwiththeUniversityCouncilChairsofForum(UCCF),alsoagreedtodevelopandjointlyhostaseriesofregionalgovernanceworkshopsforallUniversityCouncilmembersoverthenextfinancialyear.
Changes to performance indicators during the year
TheAPPfortheprogrammewasrevisedduringtheyeartodealwiththefollowingissues:
• Themisalignmentbetween the targets foranyparticularacademicyearand thedateonwhich thesecouldbereported.ThetargetsindicatedintheoriginalAPPinthe2013/14columnspecifiedthetargetforthe2013academicyear,howeverthiscouldnotbereportedinthatfinancialyearasitwouldonlybeauditedandverifiedbyOctober2014.Inordertoensurethatthereportingofverifieddataonplannedenrolmenttargetsarealignedtothefinancialyear,theAPPhadtobeadjusted.IntherevisedAPP,alltargets are the expected HEMIs audited enrolment/graduate data for the 2012 academic year, reported andverifiedbyOctober2013.
• TheunrealistictargetsforscarceskillsgraduatesindicatedintheMinister’sPMEagreement.Asreportedinthe2012/13annualreportandinthePMEmonitoringreports,specificallythetargetsforEngineering,andHuman andAnimal Health graduationswere not achievable and needed to be adjusted. These
Department of HigHer eDucation anD trainingVOTE 17
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69
targetswereadaptedtobeinlinewithactualexpectedoutputsforthe2012academicyearthatcouldbereportedinthe2013/14financialyear,asfollows:
Performance indicator Original 2013/14 target *
Revised 2013/14 Original PME Target (for 2014/15)
number of graduates in Engineering sciences from universities
11 247 9 974 graduates in Engineering sciences from universities for the 2012 academic year, verifiedthroughHEMISaudits (october 2013)
15 000
number of graduates in Human and Animal Health sciences from universities
9 006 8 015 graduates in Human Health and Animal Health from universities for the 2012 academicyear,verifiedthough HEMIs audits (october 2013)
15 000
*PMEtargetforthe2013academicyearindicatedinthefirstversionoftheAPP
Dep
ar
tmen
t o
f H
igH
er e
Du
cat
ion
an
D t
ra
inin
gV
OTE
17
2013
/14
AN
NU
AL
RE
PO
RT
70
Prog
ram
me
perf
orm
ance
: Str
ateg
ic o
bjec
tives
, per
form
ance
indi
cato
rs, p
lann
ed ta
rget
s an
d ac
tual
ach
ieve
men
ts
Stra
tegi
c ob
ject
ive*
Perf
orm
ance
in
dica
tors
A
ctua
l ach
ieve
men
t 20
12/1
3**Pl
anne
d ta
rget
for
2013
/14
Act
ual a
chie
vem
ent
2013
/14
Dev
iatio
n fr
om p
lann
ed
targ
ets
to a
ctua
l ac
hiev
emen
t 20
13/1
4
Com
men
ts o
n de
viat
ion
PRO
GR
AM
ME
3: U
NIv
ERSI
TY E
DU
CAT
ION
(4 .4
.1 .1
)Ex
pand
the
high
er
educ
atio
n se
ctor
in
orde
r to
incr
ease
eq
uita
ble
acce
ss
with
suc
cess
num
ber o
f stu
dent
s en
rolle
d in
hig
her
educ
atio
n st
udie
s at
un
iver
sitie
s
938
201
909
716
(201
2 ac
adem
ic y
ear,
verifiedby
o
ctob
er 2
013)
953
373
(201
2 ac
adem
ic y
ear,
verifiedby
o
ctob
er 2
013)
Targ
et a
chie
ved
43 6
57 m
ore
stud
ents
enr
olle
d th
an ta
rget
ed
(4.8%)
Thetargetwasset
thro
ugh
a na
tiona
l en
rolm
ent p
lann
ing
negotiationwith
univ
ersi
ties
in 2
010
anditwasexpected
thattherewouldbe
approximately a2%
varia
tion
on e
ither
sid
e of
the
targ
et; t
he s
yste
m
has grow
natahigher
rate
than
orig
inal
ly
pred
icte
d
per
cent
age
head
coun
t enr
olm
ent
at u
nive
rsiti
es o
ver 2
0 to
24
year
old
17.9%
17.9%
19.2%
Targ
et a
chie
ved
1.3%abovethe
targ
et
The targetwasset
thro
ugh
a na
tiona
l en
rolm
ent p
lann
ing
negotiationwith
univ
ersi
ties
in 2
010;
thesystem
hasgrown
at a
hig
her r
ate
than
or
igin
ally
pre
dict
ed
*Num
beringislinkedtotheactualnum
beringofstrategicobjectivesintheAnnualPerformancePlan
**
The
201
2/13
dat
a re
pres
ents
the
actu
al H
EM
Is a
udite
d da
ta fo
r the
201
1 ac
adem
ic y
ear,
repo
rted
in o
ctob
er 2
012
71
Dep
ar
tmen
t o
f H
igH
er e
Du
cat
ion
an
D t
ra
inin
gV
OTE
17
2013
/14
AN
NU
AL
RE
PO
RT
Stra
tegi
c ob
ject
ive*
Perf
orm
ance
in
dica
tors
A
ctua
l ach
ieve
men
t 20
12/1
3**Pl
anne
d ta
rget
for
2013
/14
Act
ual a
chie
vem
ent
2013
/14
Dev
iatio
n fr
om p
lann
ed
targ
ets
to a
ctua
l ac
hiev
emen
t 20
13/1
4
Com
men
ts o
n de
viat
ion
PRO
GR
AM
ME
3: U
NIv
ERSI
TY E
DU
CAT
ION
Num
beroffirst
time
enro
lmen
ts a
t un
iver
sitie
s
179
105
179
793
(201
2 ac
adem
ic y
ear,
verifiedby
o
ctob
er 2
013)
169
767
(201
2 ac
adem
ic y
ear,
verifiedby
o
ctob
er 2
013)
Targ
et n
ot
achi
eved
10026fewerfirst
time
enro
lmen
ts in
th
e 20
12 a
cade
mic
ye
ar th
an ta
rget
ed
(5.58%
below
ex
pect
ed ta
rget
)
Thetargetwasset
thro
ugh
a na
tiona
l en
rolm
ent p
lann
ing
negotiationwith
univ
ersi
ties
in 2
010
anditwasexpected
thattherewouldbe
approximatelya2%
va
riatio
n on
eith
er s
ide
of th
e ta
rget
; the
Firs
t Ti
me
Ent
ry (F
TEn
) in2012wasbelow
ex
pect
atio
n an
d le
ss
than
the
2011
aca
dem
ic
year
FTE
n. T
here
cou
ld
be a
num
ber o
f rea
sons
fo
r thi
s. o
ne re
ason
may
beinsufficientN
SFA
S
fund
s to
sup
port
FTE
n
stud
ents
in th
e sy
stem
, as
con
tinui
ng s
tude
nts
had
to b
e pr
iorit
ised
and therewasahuge
shor
tfall
Dep
ar
tmen
t o
f H
igH
er e
Du
cat
ion
an
D t
ra
inin
gV
OTE
17
2013
/14
AN
NU
AL
RE
PO
RT
72
Stra
tegi
c ob
ject
ive*
Perf
orm
ance
in
dica
tors
A
ctua
l ach
ieve
men
t 20
12/1
3**Pl
anne
d ta
rget
for
2013
/14
Act
ual a
chie
vem
ent
2013
/14
Dev
iatio
n fr
om p
lann
ed
targ
ets
to a
ctua
l ac
hiev
emen
t 20
13/1
4
Com
men
ts o
n de
viat
ion
PRO
GR
AM
ME
3: U
NIv
ERSI
TY E
DU
CAT
ION
num
ber o
f pub
lic
high
er e
duca
tion
inst
itutio
ns
esta
blis
hed
pre
para
tion
for
envi
ronm
enta
l im
pact
st
udy
com
plet
ed,
appl
icat
ions
su
bmitt
ed a
nd s
tudi
es
underway.Fullstudies
on a
ll la
nd p
arce
l not
co
mpl
ete
Two
Two
Targ
et a
chie
ved
non
e
num
ber o
f pub
lic
high
er e
duca
tion
inst
itutio
ns th
at o
ffer
train
ing
in fo
unda
tion
phas
e te
ache
r ed
ucat
ion
2020
21
Targ
et a
chie
ved
one
mor
e in
stitu
tion
than
or
igin
ally
targ
eted
(u
nive
rsity
of
Mpu
mal
anga
)
Whenthetargetwas
set t
he u
nive
rsity
of
Mpumalangawasinan
early
pla
nnin
g ph
ase.
How
ever,theinstitution
wassuccessfully
esta
blis
hed
durin
g 20
13/1
4 an
d to
ok it
s firstintakeintothe
Bac
helo
r of E
duca
tion
(Fou
ndat
ion
pha
se
Teac
hing
) (F
ebru
ary
2014
)
73
Dep
ar
tmen
t o
f H
igH
er e
Du
cat
ion
an
D t
ra
inin
gV
OTE
17
2013
/14
AN
NU
AL
RE
PO
RT
Stra
tegi
c ob
ject
ive*
Perf
orm
ance
in
dica
tors
A
ctua
l ach
ieve
men
t 20
12/1
3**Pl
anne
d ta
rget
for
2013
/14
Act
ual a
chie
vem
ent
2013
/14
Dev
iatio
n fr
om p
lann
ed
targ
ets
to a
ctua
l ac
hiev
emen
t 20
13/1
4
Com
men
ts o
n de
viat
ion
PRO
GR
AM
ME
3: U
NIv
ERSI
TY E
DU
CAT
ION
num
ber o
f Afri
can
stud
ents
enr
olle
d at
un
iver
sitie
s
640
443
593
260
(201
2 ac
adem
ic y
ear,
verifiedby
o
ctob
er 2
013)
662
123
(201
2 ac
adem
ic y
ear,
verifiedby
o
ctob
er 2
013)
Targ
et a
chie
ved
68 8
63 m
ore
Afri
can
stud
ents
en
rolle
d th
an
targeted. (11.6%
abov
e ta
rget
)
Thetargetwasset
thro
ugh
a na
tiona
l en
rolm
ent p
lann
ing
negotiationwith
univ
ersi
ties
in 2
010
anditwasexpected
thattherewouldbe
approximatelya2%
va
riatio
n on
eith
er s
ide
of th
e ta
rget
; the
num
ber
of A
frica
n st
uden
ts in
thesystem
hasgrown
at a
far h
ighe
r rat
e th
an
orig
inal
ly p
redi
cted
A m
onito
ring
repo
rt on
th
e im
plem
enta
tion
of F
ET
lect
urer
QualificationsPolicy
prod
uced
and
ap
prov
ed b
y D
g
Finaldraftwas
completedandwas
subm
itted
to th
e c
HE
for c
omm
ents
as
requ
ired
by th
e H
ighe
r Edu
catio
n A
ct
A m
onito
ring
repo
rt on
th
e im
plem
enta
tion
of F
ET
lect
urer
QualificationsPolicy
prod
uced
and
ap
prov
ed b
y D
g b
y 31
Mar
ch 2
014
A m
onito
ring
repo
rt on
th
e im
plem
enta
tion
of F
ET
lect
urer
QualificationsPolicy
prod
uced
and
ap
prov
ed b
y D
g o
n 28
Apr
il 20
14
Targ
et n
ot
achievedwithin
timef
ram
e
Targ
et c
ompl
eted
but
notw
ithintimeframe
owingtoadm
inistrative
proc
esse
s
Dep
ar
tmen
t o
f H
igH
er e
Du
cat
ion
an
D t
ra
inin
gV
OTE
17
2013
/14
AN
NU
AL
RE
PO
RT
74
Stra
tegi
c ob
ject
ive*
Perf
orm
ance
in
dica
tors
A
ctua
l ach
ieve
men
t 20
12/1
3**Pl
anne
d ta
rget
for
2013
/14
Act
ual a
chie
vem
ent
2013
/14
Dev
iatio
n fr
om p
lann
ed
targ
ets
to a
ctua
l ac
hiev
emen
t 20
13/1
4
Com
men
ts o
n de
viat
ion
PRO
GR
AM
ME
3: U
NIv
ERSI
TY E
DU
CAT
ION
num
ber o
f un
iver
sitie
s of
ferin
g pr
ogra
mm
es fo
r FE
T co
llege
lect
urer
s in
linewithnew
FET
lecturerqualification
polic
y
10 u
nive
rsiti
es
identifiedand
supp
orte
d to
dev
elop
FE
T co
llege
lect
urer
qualificationsin
linewiththepolicy
for s
ubm
issi
on fo
r ap
prov
al b
y 20
14
18 u
nive
rsiti
es h
ave
indi
cate
d in
tere
st to
de
velo
p FE
T co
llege
lecturerqualifications.
TwoUniversities
have
sub
mitt
ed
prog
ram
mes
for
evaluationandwill
be li
kely
to s
tart
offe
ring
it in
201
5.
oth
er u
nive
rsiti
es
are
at v
ario
us s
tage
s of
dev
elop
men
t in
prep
arat
ion
to o
ffer
the
prog
ram
mes
Targ
et a
chie
ved:
8 m
ore
univ
ersi
ties
than
exp
ecte
d ha
ve e
xpre
ssed
in
tere
st a
nd a
re
bein
g su
ppor
ted
to d
evel
op
prog
ram
mes
The
Dep
artm
ent
orig
inal
ly e
xpec
ted
that
10universitieswould
besupported.How
ever,
thro
ugh
advo
cacy
and
in
-dep
th d
iscu
ssio
ns
on th
e ne
ed fo
r the
pr
oduc
tion
of V
cE
T co
llege
lect
urer
s th
roug
h th
e H
Es
A E
duca
tion
Dea
ns F
orum
and
en
rolm
ent p
lann
ing
mee
tings
, uni
vers
ities
ha
ve re
spon
ded
posi
tivel
y an
d 18
un
iver
sitie
s ex
pres
sed
an in
tere
st
A po
licy
on
adul
t edu
cato
r qualifications
deve
lope
d an
d ap
prov
ed b
y th
e M
inis
ter f
or
impl
emen
tatio
n
A dr
aft p
olic
y fo
r pu
blic
com
men
tTh
e dr
aft p
olic
y wasfinalisedand
subm
itted
to th
e M
inis
ter f
or a
ppro
val
to b
e pu
blis
hed
for
publ
ic c
omm
ent
T arg
et n
ot
achi
eved
Thefinalsubmission
wasdelayedwhile
waitingforcom
ments
from
the
cH
E a
nd is
nowawaitingapproval
from
the
Min
iste
r for
pu
blic
atio
n
75
Dep
ar
tmen
t o
f H
igH
er e
Du
cat
ion
an
D t
ra
inin
gV
OTE
17
2013
/14
AN
NU
AL
RE
PO
RT
Stra
tegi
c ob
ject
ive*
Perf
orm
ance
in
dica
tors
A
ctua
l ach
ieve
men
t 20
12/1
3**Pl
anne
d ta
rget
for
2013
/14
Act
ual a
chie
vem
ent
2013
/14
Dev
iatio
n fr
om p
lann
ed
targ
ets
to a
ctua
l ac
hiev
emen
t 20
13/1
4
Com
men
ts o
n de
viat
ion
PRO
GR
AM
ME
3: U
NIv
ERSI
TY E
DU
CAT
ION
num
ber o
f fem
ale
stud
ents
enr
olle
d at
un
iver
sitie
s
542
997
539
596
(201
2 ac
adem
ic y
ear,
verifiedby
o
ctob
er 2
013)
554
840
(201
2 ac
adem
ic y
ear,
verifiedby
o
ctob
er 2
013)
Targ
et a
chie
ved
15 2
44 m
ore
than
thetarget(2.8%
ab
ove
targ
et)
Thetargetwasset
thro
ugh
enro
lmen
t pl
anni
ng n
egot
iatio
ns
withuniversities
during2010anditwas
expe
cted
that
ther
e wouldbeapproximately
a2%
variationoneither
side
of t
he ta
rget
. The
nu
mbe
r of f
emal
e studentshasgrown
at a
hig
her r
ate
than
pr
edic
ted
T ota
l num
ber o
f st
uden
ts in
foun
datio
n pr
ovis
ioni
ng
prog
ram
mes
at
univ
ersi
ties
14 3
5914
600
(201
2 ac
adem
ic y
ear,
verifiedby
o
ctob
er 2
013)
14 5
18 (2
012
acad
emic
yea
r, verifiedby
o
ctob
er 2
013)
Targ
et n
ot
achi
eved
82 s
tude
nts
less
th
an th
e en
rolm
ent
target(0.6%below
ta
rget
)
The
targ
ets
are
set
thro
ugh
enro
lmen
t pl
anni
ng n
egot
iatio
ns
withuniversitiesandit
is e
xpec
ted
that
ther
e wouldbeapproximately
a2%
variationoneither
side
of t
he ta
rget
Ran
d va
lue
of
infra
stru
ctur
e gr
ant p
rovi
ded
to
univ
ersi
ties
for t
he
impr
ovem
ent o
f dif ferentprojects
R1.
8 bi
llion
R2
billi
onR
2 bi
llion
Targ
et a
chie
ved
non
e
Dep
ar
tmen
t o
f H
igH
er e
Du
cat
ion
an
D t
ra
inin
gV
OTE
17
2013
/14
AN
NU
AL
RE
PO
RT
76
Stra
tegi
c ob
ject
ive*
Perf
orm
ance
in
dica
tors
A
ctua
l ach
ieve
men
t 20
12/1
3**Pl
anne
d ta
rget
for
2013
/14
Act
ual a
chie
vem
ent
2013
/14
Dev
iatio
n fr
om p
lann
ed
targ
ets
to a
ctua
l ac
hiev
emen
t 20
13/1
4
Com
men
ts o
n de
viat
ion
PRO
GR
AM
ME
3: U
NIv
ERSI
TY E
DU
CAT
ION
num
ber m
onito
ring
an
d ev
alua
tion
repo
rts o
n th
e us
e of
infra
stru
ctur
e gr
ants
to u
nive
rsiti
es
prod
uced
and
ap
prov
ed b
y D
g
one
repo
rt on
the
effe
ctiv
e us
e of
in
frast
ruct
ure
fund
s at
un
iver
sitie
s
one
repo
rt on
the
effe
ctiv
e us
e of
in
frast
ruct
ure
fund
s at
un
iver
sitie
s ap
prov
ed
by th
e D
g
(31
Mar
ch 2
014)
one
repo
rt on
the
effe
ctiv
e us
e of
in
frast
ruct
ure
fund
s at
un
iver
sitie
s pr
oduc
ed
and
appr
oved
(2
Apr
il 20
14)
Targ
et n
ot
achi
eved
Ta
rget
com
plet
ed b
ut
notw
ithintimeframe
owingtoadm
inistrative
proc
esse
s
(4 .4
.1 .2
)Im
prov
e su
cces
s ra
tes
in h
ighe
r ed
ucat
ion
stud
ies
at
publ
ic in
stitu
tions
an
d th
eref
ore
incr
ease
gra
duat
e ou
tput
s by
201
4
num
ber o
f mon
itorin
g
and
eval
uatio
n re
ports
on
the
use
of
teac
hing
dev
elop
men
t gr
ants
to u
nive
rsiti
es
prod
uced
and
ap
prov
ed b
y D
g
Ana
lysi
s of
cur
rent
us
e of
fund
ing
done
an
d a
repo
rt pr
oduc
ed
one
repo
rt on
the
effe
ctiv
e us
e of
te
achi
ng d
evel
opm
ent
fund
s at
uni
vers
ities
ap
prov
ed b
y th
e D
g
(31
Mar
ch 2
014)
one
repo
rt on
the
effe
ctiv
e us
e of
te
achi
ng d
evel
opm
ent
fund
s at
uni
vers
ities
ap
prov
ed b
y th
e D
g
(14
Apr
il 20
14)
Targ
et n
ot
achi
eved
Targ
et c
ompl
eted
but
notw
ithintimeframe
owingtoadm
inistrative
proc
esse
s
per
cent
age
succ
ess
rate
of
stud
ents
enr
olle
d at
pub
lic h
ighe
r ed
ucat
ion
inst
itutio
ns
on fo
unda
tion
prov
isio
ning
75%
80%
( oct
ober
201
3)79%
( oct
ober
201
3)1%
lowersuccess
rate
than
exp
ecte
dThetargetwasset
thro
ugh
enro
lmen
t pl
anni
ng n
egot
iatio
ns
withuniversitiesin
2010.Itwasexpected
thattherewouldbe
approximatelya2%
va
riatio
n on
eith
er s
ide
of
the
targ
et. T
his
incr
ease
m
ay b
e at
tribu
ted
to
the
incr
ease
d ef
fort
by
univ
ersi
ties
to im
prov
e te
achi
ng a
nd s
uppo
rt le
arni
ng
77
Dep
ar
tmen
t o
f H
igH
er e
Du
cat
ion
an
D t
ra
inin
gV
OTE
17
2013
/14
AN
NU
AL
RE
PO
RT
Stra
tegi
c ob
ject
ive*
Perf
orm
ance
in
dica
tors
A
ctua
l ach
ieve
men
t 20
12/1
3**Pl
anne
d ta
rget
for
2013
/14
Act
ual a
chie
vem
ent
2013
/14
Dev
iatio
n fr
om p
lann
ed
targ
ets
to a
ctua
l ac
hiev
emen
t 20
13/1
4
Com
men
ts o
n de
viat
ion
PRO
GR
AM
ME
3: U
NIv
ERSI
TY E
DU
CAT
ION
per
cent
age
succ
ess
rate
of s
tude
nts
enro
lled
in h
ighe
r ed
ucat
ion
stud
ies
at
publ
ic in
stitu
tions
76%(2012academ
ic
year,verifiedthrough
HE
MIs
aud
its b
y o
ctob
er 2
013)
76%(2012academ
ic
year,verifiedthrough
HE
MIs
aud
its b
y o
ctob
er 2
013)
Targ
et a
chie
ved
non
e
num
ber o
f gra
duat
es
from
uni
vers
ities
16
0 62
616
7 80
7 (2
012
acad
emic
yea
r, verifiedthough
HE
MI s
aud
its b
y o
ctob
er 2
013)
165
995
(201
2 ac
adem
ic y
ear,
verifiedthough
HE
MI s
aud
its b
y o
ctob
er 2
013)
Targ
et n
ot
achi
eved
1 81
2 gr
adua
tes
less
than
the
target(1.1%below
ta
rget
)
Thetargetwasset
thro
ugh
enro
lmen
t pl
anni
ng n
egot
iatio
ns
withuniversitiesin
2010
and
it is
exp
ecte
d thattherewouldbe
approximatelya2%
va
riatio
n on
eith
er s
ide
of th
e ta
rget
num
ber o
f gra
duat
es
in E
ngin
eerin
g s
cien
ces
from
un
iver
sitie
s
9 38
79
974
(201
2 ac
adem
ic
year, verifiedthrough
HE
MIs
aud
its b
y o
ctob
er 2
013)
9 97
4 (2
012
acad
emic
year, verifiedthrough
HE
MIs
aud
its b
y o
ctob
er 2
013)
Targ
et a
chie
ved
non
e
Dep
ar
tmen
t o
f H
igH
er e
Du
cat
ion
an
D t
ra
inin
gV
OTE
17
2013
/14
AN
NU
AL
RE
PO
RT
78
Stra
tegi
c ob
ject
ive*
Perf
orm
ance
in
dica
tors
A
ctua
l ach
ieve
men
t 20
12/1
3**Pl
anne
d ta
rget
for
2013
/14
Act
ual a
chie
vem
ent
2013
/14
Dev
iatio
n fr
om p
lann
ed
targ
ets
to a
ctua
l ac
hiev
emen
t 20
13/1
4
Com
men
ts o
n de
viat
ion
PRO
GR
AM
ME
3: U
NIv
ERSI
TY E
DU
CAT
ION
num
ber o
f gra
duat
es
in H
uman
Hea
lth a
nd
Ani
mal
Hea
lth fr
om
univ
ersi
ties
8 07
08
015
(201
2 ac
adem
ic
year,verifiedthough
HE
MIs
aud
its b
y o
ctob
er 2
013)
8 01
5 (2
012
acad
emic
year,verifiedthough
HE
MIs
aud
its b
y o
ctob
er 2
013)
Targ
et a
chie
ved
non
e
num
ber o
f gra
duat
es
in n
atur
al a
nd
phy
sica
l sci
ence
s fro
m u
nive
rsiti
es
5 52
65
387
(201
2 ac
adem
ic
year,verifiedthough
HE
MIs
aud
its b
y o
ctob
er 2
013)
6 36
6 (2
012
acad
emic
year,verifiedthough
HE
MIs
aud
its b
y o
ctob
er 2
013)
Targ
et a
chie
ved
979
mor
e gr
adua
tes
than
targeted(18,2%
m
ore
than
targ
et)
Ther
e ha
s be
en a
gr
eate
r tha
n ex
pect
ed
grow
thingraduatesin
thisfield.Thismaybe
the
knoc
k-on
ef fe
ct o
f th
e ch
ange
in c
Es
M
cate
gorie
s re
porte
d in
thepreviousfinancial
year
.
num
ber o
f gra
duat
es
in in
itial
Tea
cher
E
duca
tion
from
un
iver
sitie
s
10 5
4310
673
13 7
40Ta
rget
ach
ieve
d
3 06
7 m
ore
grad
uate
s th
an
targeted(28,7%
m
ore
than
targ
et)
Thehighgrowthin
T eac
her E
duca
tion
is
a re
sult
of th
e m
ulti-
pr
onge
d su
ppor
t and
in
vest
men
t pro
vide
d forgrowthinthesector
sinc
e 20
07. T
he ta
rget
s setw
eredefinedinline
withtheMinister’sPME
targets,whichweretoo
low.Targetssetforthe
2014
/15
Ap
p ar
e m
ore
real
istic
79
Dep
ar
tmen
t o
f H
igH
er e
Du
cat
ion
an
D t
ra
inin
gV
OTE
17
2013
/14
AN
NU
AL
RE
PO
RT
Stra
tegi
c ob
ject
ive*
Perf
orm
ance
in
dica
tors
A
ctua
l ach
ieve
men
t 20
12/1
3**Pl
anne
d ta
rget
for
2013
/14
Act
ual a
chie
vem
ent
2013
/14
Dev
iatio
n fr
om p
lann
ed
targ
ets
to a
ctua
l ac
hiev
emen
t 20
13/1
4
Com
men
ts o
n de
viat
ion
PRO
GR
AM
ME
3: U
NIv
ERSI
TY E
DU
CAT
ION
(4 .4
.1 .3
)M
onito
r goo
d go
vern
ance
and
m
anag
emen
t of t
he
Hig
her E
duca
tion
syst
em in
ord
er to
bu
ild c
apac
ity a
nd
effic
ienc
y
per
cent
age
of
23 p
ublic
hig
her
institutionswithgood
gove
rnan
ce a
nd
man
agem
ent
78%
83%
86.9%(20of23)
onl
y on
e un
iver
sity
is
cur
rent
ly u
nder
administration;tw
oot
her i
nstit
utio
ns h
ave
beenidentifiedasat
risk
Targ
et a
chie
ved
3.9%
higherthan
targ
et
Whenthetargetwas
setthereweretwo
univ
ersi
ties
unde
r ad
min
istra
tion;
ano
ther
th
ree
inst
itutio
ns th
at
hadbeenidentified
withproblem
s(five
outof23,or78%
);it
waspredictedthatby
the
2013
aca
dem
ic
yearthiswouldhave
been
redu
ced
to
fourinstitutionswith
difficulties.Therehas
been
bet
ter p
rogr
ess
than
pre
dict
ed
Dep
ar
tmen
t o
f H
igH
er e
Du
cat
ion
an
D t
ra
inin
gV
OTE
17
2013
/14
AN
NU
AL
RE
PO
RT
80
Stra
tegi
c ob
ject
ive*
Perf
orm
ance
in
dica
tors
A
ctua
l ach
ieve
men
t 20
12/1
3**Pl
anne
d ta
rget
for
2013
/14
Act
ual a
chie
vem
ent
2013
/14
Dev
iatio
n fr
om p
lann
ed
targ
ets
to a
ctua
l ac
hiev
emen
t 20
13/1
4
Com
men
ts o
n de
viat
ion
PRO
GR
AM
ME
3: U
NIv
ERSI
TY E
DU
CAT
ION
per
cent
age
of
regi
ster
ed p
rivat
e hi
gher
edu
catio
n in
stitu
tions
com
plia
nt
withtheregulatory
crite
ria
99%
100%
97%
Four
of a
tota
l of 1
16
regi
ster
ed in
stitu
tions
ar
e un
der n
otic
e of
intenttocancelowing
to s
ome
form
of n
on–
com
plia
nce
Targ
et n
ot
achi
eved
3%below
target
Thetargetof100%
of p
HE
Is c
ompl
ying
withregulatorycriteria
is a
n id
eal g
oal.
All
inst
itutio
ns a
re e
valu
ated
fo
r com
plia
nce
and
thos
e th
at a
re fo
und
nottocomply,withall
the
regu
latio
ns a
re
warnedandifthey
do n
ot c
ompl
y pu
t on
notic
e to
der
egis
ter.
Inst
itutio
ns m
ay a
ppea
l an
d if
thei
r app
eal i
s su
cces
sful
and
they
show
com
pliancethen
the noticeiswithdraw
n.
If th
ey fa
il to
com
ply
then
th
ey a
re d
ereg
iste
red
and
activ
ity is
mon
itore
d to
ens
ure
that
they
do
not o
pera
te il
lega
lly. B
y theendofthefinancial
year
, all
case
s of
non
-complianceweredealt
withandnon-com
pliant
inst
itutio
ns h
ave
eith
er
been
der
egis
tere
d or
are
onnoticeofwithdraw
al.
Four
inst
itutio
ns re
mai
n onnoticeofwithdraw
al
81
Dep
ar
tmen
t o
f H
igH
er e
Du
cat
ion
an
D t
ra
inin
gV
OTE
17
2013
/14
AN
NU
AL
RE
PO
RT
Stra
tegi
c ob
ject
ive*
Perf
orm
ance
in
dica
tors
A
ctua
l ach
ieve
men
t 20
12/1
3**Pl
anne
d ta
rget
for
2013
/14
Act
ual a
chie
vem
ent
2013
/14
Dev
iatio
n fr
om p
lann
ed
targ
ets
to a
ctua
l ac
hiev
emen
t 20
13/1
4
Com
men
ts o
n de
viat
ion
PRO
GR
AM
ME
3: U
NIv
ERSI
TY E
DU
CAT
ION
per
cent
age
of s
tatu
tes
of
universitiesreview
ed
and
publ
ishe
d in
Governm
entG
azette
100%
100%
100%
(Tworequests
forthereview
of
univ
ersi
ty s
tatu
tes
were receivedby
the
Dep
artm
ent;
andtwostatutes
werereview
edand
publ
ishe
d in
the
Governm
entG
azette)
Targ
et a
chie
ved
non
e
num
ber o
f universitieswithfive
Min
iste
rial c
ounc
il ap
poin
tees
app
oint
ed
1724
17 o
f 25
univ
ersi
ties
have
sta
tute
s th
at
specifyfiveMinisterial
appo
inte
es. o
f the
se
17, s
even
inst
itutio
ns
have
vac
anci
es,
whichstillneedtobe
filledbytheMinister
Targ
et n
ot
achi
eved
sev
en u
nive
rsiti
es
do n
ot h
ave
statuteswhich
specifyfive
Min
iste
rial
appo
inte
es
uni
vers
ities
are
au
tono
mou
s in
stitu
tions
an
d th
eir i
ndiv
idua
l st
atut
es d
eter
min
e th
e nu
mbe
r of M
inis
teria
l ap
poin
tees
for t
heir
cou
ncil.
The
Dep
artm
ent
has
requ
este
d universitiestoreview
th
eir s
tatu
tes
to e
nabl
e th
e M
inis
ter t
o ap
poin
t fivemem
berstotheir
cou
ncils
. Whi
le s
ome
of th
ese
univ
ersi
ties
indi
cate
d th
ey a
re
cons
ider
ing
the
requ
est,
othe
rs h
ave
indi
cate
d th
at th
ey d
o no
t int
end
to c
ompl
y. T
his
indi
cato
r willbediscontinuedin
the
futu
re
Dep
ar
tmen
t o
f H
igH
er e
Du
cat
ion
an
D t
ra
inin
gV
OTE
17
2013
/14
AN
NU
AL
RE
PO
RT
82
Stra
tegi
c ob
ject
ive*
Perf
orm
ance
in
dica
tors
A
ctua
l ach
ieve
men
t 20
12/1
3**Pl
anne
d ta
rget
for
2013
/14
Act
ual a
chie
vem
ent
2013
/14
Dev
iatio
n fr
om p
lann
ed
targ
ets
to a
ctua
l ac
hiev
emen
t 20
13/1
4
Com
men
ts o
n de
viat
ion
PRO
GR
AM
ME
3: U
NIv
ERSI
TY E
DU
CAT
ION
num
ber o
f go
vern
ance
trai
ning
workshopsfor
Min
iste
rial a
ppoi
ntee
s
one
gov
erna
nce
trainingworkshop
succ
essf
ully
hel
d on
1
Febr
uary
201
3
one
gov
erna
nce
trainingworkshopfor
Min
iste
rial a
ppoi
ntee
s
one
gov
erna
nce
trainingworkshopfor
Min
iste
rial a
ppoi
ntee
s su
cces
sful
ly h
eld
Targ
et a
chie
ved
non
e
(4 .4
.1 .4
)To
dev
elop
and
en
hanc
e th
e re
sear
ch c
apac
ity
and
prod
uctiv
ity o
f un
iver
sitie
s
num
ber o
f po
stgr
adua
te
grad
uate
s
43 0
6744
301
(201
2 ac
adem
ic y
ear,
verifiedthough
HE
MIs
aud
its b
y o
ctob
er 2
013)
45 5
98 (2
012
acad
emic
yea
r, verifiedthough
HE
MIs
aud
its b
y o
ctob
er 2
013)
Targ
et a
chie
ved
1 29
7 m
ore
grad
uate
s th
an
targeted(2.9%
abov
e ta
rget
)
Thetargetwasset
thro
ugh
enro
lmen
t pl
anni
ng n
egot
iatio
ns
withuniversitiesin2010,
and itwasexpected
thattherewouldbe
approximatelya2%
va
riatio
n on
eith
er s
ide
of th
e ta
rget
num
ber o
f Hon
ours
gr
adua
tes
21 3
7824
019
(201
2 ac
adem
ic y
ear,
verifiedthough
HE
MIs
aud
its b
y o
ctob
er 2
013)
20 9
75 (2
012
acad
emic
yea
r, verifiedthough
HE
MIs
aud
its b
y o
ctob
er 2
013)
Targ
et n
ot
achi
eved
3044fewer
grad
uate
s th
an
targeted(12.7%
belowtarget)
Thetargetwasset
thro
ugh
enro
lmen
t pl
anni
ng n
egot
iatio
ns
withuniversitiesin2010,
anditwasexpected
thattherewouldbe
approximately a2%
va
riatio
n on
eith
er
side
of t
he ta
rget
. The
nu
mbe
r of H
onou
rs
graduatesislowerthan
pred
icte
d by
inst
itutio
ns
83
Dep
ar
tmen
t o
f H
igH
er e
Du
cat
ion
an
D t
ra
inin
gV
OTE
17
2013
/14
AN
NU
AL
RE
PO
RT
Stra
tegi
c ob
ject
ive*
Perf
orm
ance
in
dica
tors
A
ctua
l ach
ieve
men
t 20
12/1
3**Pl
anne
d ta
rget
for
2013
/14
Act
ual a
chie
vem
ent
2013
/14
Dev
iatio
n fr
om p
lann
ed
targ
ets
to a
ctua
l ac
hiev
emen
t 20
13/1
4
Com
men
ts o
n de
viat
ion
PRO
GR
AM
ME
3: U
NIv
ERSI
TY E
DU
CAT
ION
num
ber o
f Res
earc
h M
aste
rs g
radu
ates
5 28
14
978
(201
2 ac
adem
ic
year,verifiedthough
HE
MIs
aud
its b
y o
ctob
er 2
013)
6 07
6 (2
012
acad
emic
year,verifiedthough
HE
MIs
aud
its b
y o
ctob
er 2
013)
Targ
et a
chie
ved
1 09
8 m
ore
grad
uate
s th
an
targeted(22%
ab
ove
targ
et)
Thetargetwasset
thro
ugh
enro
lmen
t pl
anni
ng n
egot
iatio
ns
withuniversitiesin2010
anditwasexpected
thattherewouldbe
approximatelya2%
va
riatio
n on
eith
er s
ide
of th
e ta
rget
. The
muc
h gr
eate
r num
ber t
han
expe
cted
gra
duat
es
reflectachangein
focu
s of
uni
vers
ities
fromcoursework
Mas
ters
pro
gram
mes
to
rese
arch
Mas
ters
and
anemphasisongrow
ing
rese
arch
in th
e sy
stem
an
d in
vest
men
t by
the
DH
ET
and
nR
F ov
er
time
Dep
ar
tmen
t o
f H
igH
er e
Du
cat
ion
an
D t
ra
inin
gV
OTE
17
2013
/14
AN
NU
AL
RE
PO
RT
84
Stra
tegi
c ob
ject
ive*
Perf
orm
ance
in
dica
tors
A
ctua
l ach
ieve
men
t 20
12/1
3**Pl
anne
d ta
rget
for
2013
/14
Act
ual a
chie
vem
ent
2013
/14
Dev
iatio
n fr
om p
lann
ed
targ
ets
to a
ctua
l ac
hiev
emen
t 20
13/1
4
Com
men
ts o
n de
viat
ion
PRO
GR
AM
ME
3: U
NIv
ERSI
TY E
DU
CAT
ION
num
ber o
f Doc
tora
l gr
adua
tes
1 57
61
785
(201
2 ac
adem
ic
year,verifiedthough
HE
MIs
aud
its b
y o
ctob
er 2
013)
1 87
9 (2
012
acad
emic
year,verifiedthough
HE
MIs
aud
its b
y o
ctob
er 2
013)
Targ
et a
chie
ved
94 m
ore
grad
uate
s in
the
2012
ac
adem
ic y
ear
than
targ
eted
(5.2%higherthan
targ
et)
Thetargetswereset
thro
ugh
enro
lmen
t pl
anni
ng n
egot
iatio
ns
withuniversitiesin2010,
anditwasexpected
thattherewouldbe
approximatelya2%
va
riatio
n on
eith
er s
ide
of th
e ta
rget
. The
muc
h gr
eate
r num
ber t
han
expe
cted
gra
duat
es
reflectanem
phasison
grow
ingresearchinthe
syst
em a
nd in
crea
sed
inve
stm
ent b
y th
e D
HE
T an
d n
RF
over
tim
e
num
ber o
f pu
blic
atio
ns u
nits
11 1
9110
807
(201
2 ca
lend
ar y
ear,
as
repo
rted
in th
e R
esea
rch
out
puts
R
epor
t, ap
prov
ed b
y th
e D
g b
y
Janu
ary
2014
)
12 3
63 (2
012
cale
ndar
yea
r, as
re
porte
d in
the
Res
earc
h o
utpu
ts
Rep
ort,
appr
oved
by
the
Dg
by
Ja
nuar
y 20
14)
Targ
et a
chie
ved
1 55
6 pu
blic
atio
n un
its m
ore
than
targeted(14.4%
hi
gher
than
targ
et)
Thetargetwasset
thro
ugh
enro
lmen
t pl
anni
ng n
egot
iatio
ns
withuniversitiesin2010,
anditwasexpected
thattherewouldbe
approximatelya2%
va
riatio
n on
eith
er s
ide
of th
e ta
rget
. uni
vers
ities
ha
ve fo
cuse
d on
im
prov
ing
thei
r pu
blic
atio
n an
d re
sear
ch
reco
rds
in o
rder
to
attra
ct g
reat
er s
ubsi
dies
an
d ha
ve im
prov
ed th
eir
rese
arch
out
puts
muc
h m
ore
than
pre
dict
ed
85
Dep
ar
tmen
t o
f H
igH
er e
Du
cat
ion
an
D t
ra
inin
gV
OTE
17
2013
/14
AN
NU
AL
RE
PO
RT
Stra
tegi
c ob
ject
ive*
Perf
orm
ance
in
dica
tors
A
ctua
l ach
ieve
men
t 20
12/1
3**Pl
anne
d ta
rget
for
2013
/14
Act
ual a
chie
vem
ent
2013
/14
Dev
iatio
n fr
om p
lann
ed
targ
ets
to a
ctua
l ac
hiev
emen
t 20
13/1
4
Com
men
ts o
n de
viat
ion
PRO
GR
AM
ME
3: U
NIv
ERSI
TY E
DU
CAT
ION
Rat
io o
f res
earc
h ou
tput
uni
ts p
er
inst
ruct
iona
l/res
earc
h st
aff
1.25
1.30
(201
2 as
re
porte
d in
the
Res
earc
h o
utpu
ts
Rep
ort,
appr
oved
by
the
Dg
by
Ja
nuar
y 20
14)
1.38
(201
2 as
re
porte
d in
the
Res
earc
h o
utpu
ts
Rep
ort,
appr
oved
by
the
Dg
by
Ja
nuar
y 20
14)
Targ
et a
chie
ved
The
ratio
is 0
.08
high
er th
an th
e ta
rget
Thetargetwasset
thro
ugh
enro
lmen
t pl
anni
ng n
egot
iatio
ns
withuniversitiesin2010,
anditwasexpected
thattherewouldbe
approximatelya2%
va
riatio
n on
eith
er s
ide
of th
e ta
rget
. uni
vers
ities
ha
ve p
erfo
rmed
far
bette
r tha
n pr
edic
ted
(4 .4
.1 .5
)To
mai
ntai
n an
d en
hanc
e th
e H
ighe
r Edu
catio
n M
anag
emen
t In
form
atio
n Sy
stem
(H
EMIS
)
num
ber o
f upd
ates
on
the
HE
MIs
for
audi
ted
stud
ent a
nd
staf
f dat
a
Twoupdatesfor23
univ
ersi
ties
Twoupdatesfor23
univ
ersi
ties
Twoupdatesfor23
univ
ersi
ties
Tar
get a
chie
ved
non
e
num
ber o
f upd
ates
on
the
HE
MIs
sys
tem
forfinalbuilding
spac
e da
ta fr
om th
e un
iver
sitie
s
one
ann
ual u
pdat
e fo
r 23
univ
ersi
ties
one
ann
ual u
pdat
e fo
r 24
univ
ersi
ties
one
ann
ual u
pdat
e fo
r 24
univ
ersi
ties
Targ
et a
chie
ved
non
e
Department of HigHer eDucation anD trainingVOTE 17
2013/14 ANNUAL REPORT
86
Strategy to deal with underperformance
Thefollowingareasofunderperformancewerenoted.Ineachcase,strategiestodealwiththeunderperformanceareindicatedwhereappropriate.
• 10026fewerfirst-timeheadcountenrolmentsinthe2012academicyearthantargeted.Thetargetwassetthroughanationalenrolmentplanningnegotiationwithuniversitiesin2010anditwasexpectedthattherewouldbeapproximatelya2%variationoneithersideofthetarget.TheFirst-TimeEntry(FTEN)in2012wasbelowexpectationandlessthanthe2011academicyearFTEN.Therecouldbeanumberofreasonsforthis.OnereasonmaybeinsufficientNSFASfundstosupportFTENstudentsinthesystem,ascontinuingstudentshadtobeprioritisedandtherewasahugeshortfall.TheDepartmenthasputinplacetheCentralApplicationsClearingHousemechanismtoassistwiththisissueandisintheprocessof developing theNational Career Development andCentralApplications System, that will, over thelongrun,ensurethatallqualifyingapplicantshaveafairopportunityoffindingaplacementinthePSETsystem.
• AdraftpolicyonAdultEducatorQualificationswasfinalised,butnotpublishedintheGovernmentGazetteforpubliccommentasplanned.Thedraftpolicydocumenthadbeenwidelyconsultedandfinalisedearlyinthethirdquarter,howeverthesubmissiontotheMinisterwasdelayeduntilthebeginningofthefourthquarterwhileawaitingcommentsandadvice from theCHE,as requiredby theHigherEducationAct(of1997,asamended).ThedraftpolicyisawaitingapprovalbytheMinisterandonceapproved,willbepublished.
• 82 fewer students were enrolled in foundation provisioning programmes than targeted. Through theenrolment planning process institutions have been encouraged to utilise the foundation provisioning grant moreeffectivelyanddevelopmoreprogrammestosupportstudentsuccess.TheDepartmentwillcloselymonitor enrolments in foundation provisioning programmes.
• 1 812 fewer students graduated from universities in the 2012 academic year than targeted. TheDepartmenthasputinplacenewcriteriafortheuseofteachingdevelopmentgrantsandallinstitutionshavehadtodevelopplanstoshowhowtheywillutilisethesefundstosupportteachingandlearningandimprove student throughput.
• Only97%ofPHEIswerecompliantwiththeregulations,anunderachievementwhencomparedtothetarget of 100%compliance (four of a total of 116 registered institutions, i.e. 3%, are under notice ofintenttocancelowingtosomeformofnon–compliance).Thetargetof100%ofPHEIscomplyingwithregulatory criteria is an ideal goal. All institutions are evaluated for compliance and those that are found nottocomplywithalltheregulations,arewarnedandiftheydonotcomplytheywillbeputonnoticetoderegister.Institutionsmayappealandiftheirappealissuccessfulandtheyshowcompliancethenthenoticeiswithdrawn.Iftheyfailtocomplythentheyarederegisteredwhichactivityismonitoredtoensurethattheydonotoperateillegally.Bytheendofthefinancialyear,allcasesofnon-complianceweredealtwithandnon-compliantinstitutionshaveeitherbeenderegisteredorareonnoticeofwithdrawal.Thefactthatthetargetof100%hasnotbeenachievedandthatattheendofthefourthquarter97%ofregisteredinstitutionswerecompliantandtherestwereonnoticeofwithdrawal,isanindicationthatthemonitoringsystemisoperatingwell.Theindicatorwillbechangedforthe2014/15APPasitisveryunlikelythatitisachievableinanyspecificyear.
• Seventeen of 25 universities have statutes that specify fiveMinisterial appointees rather than 24 astargeted. universities are autonomous institutions and their individual statutes determine the number of Ministerial appointees for their council. currently seven of the 25 universities have statutes that do notspecifyfiveMinisterialAppointees.TheDepartmenthasrequestedtheseuniversitiestoreviewtheirstatutestoenabletheMinistertoappointfivememberstotheirCouncils.Whilesomeoftheseuniversities
Department of HigHer eDucation anD trainingVOTE 17
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87
have indicated they are considering the request, others have indicated that they do not intend to comply. ThereviewoftheHigherEducationAct(of1997,asamended)currentlyunderway,willconsiderthisissueandwhetherornot theActshouldstipulate thatcouncilsshouldhavefiveMinisterialappointees.AnychangeintheActwillrequiretheseuniversitiestoreviewtheirstatutes.Inthemeantimethisindicatorwillbe removed from the App in 2014/15 as the Department is not able to ensure that universities comply.
• 3044fewerHonoursgraduatesfromuniversitiesinthe2012academicyearthantargeted.SomeresearchneedstobedonetounderstandthereasonsforthisinthecontextofsignificantincreasesinresearchMasters and phD graduates. It is possible that a lack of funding for Honours students may be an issue. Theresearchcouldfeedintotheplanfordevelopingthepipelineofnewacademics,whichiscurrentlybeing developed for implementation across the system.
Linking programme performance with budgets
SUB-PROGRAMME 2013/14 2012/13
Final Appropriation
Actual Expenditure
(Over)/Under Expenditure
Final Appropriation
Actual Expenditure
(Over)/Under Expenditure
R’000 R’000 R’000 R’000 R’000 R’000
programme Management: university Education
1 791 1 786 5 1 667 1 620 47
university Academic planning and Management support
5 870 908 5 870 868 40 5 290 794 5 290 734 60
university Financial planning and Information systems
8 723 8 685 38 10 049 9 894 155
university policy and Development
20 272 20 226 46 16 880 16 761 119
Teacher Education 9 046 8 947 99 7 020 6 925 95
university subsidies
22 388 767 22 388 767 - 20 902 860 20 902 779 81
Total 28 299 507 28 299 279 228 26 229 270 26 228 713 557
Programme 4: vOCATIONAL AND CONTINUING EDUCATION
The purpose of the programme is to plan, develop, evaluate, monitor and maintain national policy, programmes, assessment practices and systems for vocational and continuing education and training, including further education and training colleges and post-literacy adult education and training.
There are three budget sub-programmes:
• programme Management
• planning and Institutional support
• ProgrammesandQualifications
Department of HigHer eDucation anD trainingVOTE 17
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Strategic Objectives
• Increase access and success in programmes leading to intermediate and high-level learning by 2014.
• strengthen the institutional capacity of Technical and Vocational Education and Training (TVET) institutions toimprovetheirperformanceandefficiency.
• ManageandadministeracredibleandefficientexaminationsandassessmentsystemforTVETinstitutions.
• provide support for the implementation of monitoring, evaluation and research for the improvement of the vocational education and training sub-system.
Significant achievements during 2013
TheexpansionandgrowthoftheTVETsectorofthepost-schoolenvironmentasenvisionedintheWhite Paper for Post-School Education and Training (2013) remained a strategic priority of the VcET Branch.
Thetargeted650000headcountenrolmentsforTVETCollegeswasexceededas670455studentswereenrolledin a variety of college programme offerings. This demonstrated the need for education and training opportunities for the youth.
The Branch continued to intensify lecturer training and student support services in TVET colleges to increase the throughputandcertificationrates.CollegeswerefurthersupportedtoofferLevels5to6programmesduringtheyearunderreview.Thestrategicintentofthisinitiativeistoexpandaccesstolearningopportunitiesbytheyouthin areas not directly serviced by Higher Education institutions of learning.
InaccordancewiththeMinister’sdeliveryagreementwiththePresident,theexpansionoftheAETsectorcontinuedasplanned.290106learnersintheyearunderreview,tookupvariousNQFLevel1to4programmes.PlannedactivitiestodeveloptheNationalSeniorCertificatesforAdults(NASCA)andtoamendtheSeniorCertificatewerealso undertaken in pursuance of expanded access to education and training opportunities for both the youth and the adult cohorts.
SevenTVETandtwoAETexaminationcycleswereconductedintheyearunderreview.CollegeshavevariouslearningsitesinwhichtheyconductexaminationsandassessmentsaccordingtotheNational Policy on Conduct, Administration and Management of Examinations. colleges and AET centres are continuing to improve by complyingwiththenationalexaminationspolicy.Collegesalsodevelopedinternalassessmentpoliciestodriveimprovementof internalstudentassessments.Variouscollegeswere targetedwith interventions foron-goingimprovement in the administration and management of examinations. Improvement is determined through the reduction of the number and the frequency of examination irregularities encountered per cycle. For the integrity and reliability of examinations it is imperative that all institutions improve the quality of the conduct of examinations for approval of results by the quality councils.
Changes to performance indicators during the year
NosignificantchangesweremadetoplannedtargetsandindicatorsduringtheperiodunderreviewexceptforminorrefinementstoensureadherencetotheSMARTprinciple(Specific,Measurable,Achievable,RelevantandTime-bound).
89
Dep
ar
tmen
t o
f H
igH
er e
Du
cat
ion
an
D t
ra
inin
gV
OTE
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/14
AN
NU
AL
RE
PO
RT
Prog
ram
me
perf
orm
ance
: Str
ateg
ic o
bjec
tives
, per
form
ance
indi
cato
rs, p
lann
ed ta
rget
s an
d ac
tual
ach
ieve
men
ts5
Stra
tegi
c ob
ject
ive
Perf
orm
ance
in
dica
tor
Act
ual a
chie
vem
ent
2012
/13
Plan
ned
targ
et fo
r 20
13/1
4 A
ctua
l ach
ieve
men
t 20
13/1
4 D
evia
tion
from
pla
nned
ta
rget
s to
act
ual
achi
evem
ent
Com
men
ts o
n de
viat
ion
PRO
GR
AM
ME
4: v
OC
ATIO
NA
L A
ND
CO
NTI
NU
ING
ED
UC
ATIO
N A
ND
TR
AIN
ING
(4 .5
.1 .1
) In
crea
se
acce
ss to
and
im
prov
e su
cces
s in
pr
ogra
mm
es le
adin
g to
inte
rmed
iate
and
hi
gh-le
vel l
earn
ing
by 2
014
num
ber o
f lea
rner
s en
rolle
d in
AE
T ce
ntre
s
250
738
278
000
290
106
Targ
et e
xcee
ded
by
12 1
06Thetargetwas
exce
eded
bec
ause
the
indi
cato
r is
incl
usiv
e of
A
ET
leve
l 1-4
, gra
de
10, 1
1, a
nd 1
2 le
arne
rs
whoareoutofschool.
It is
not
lim
ited
to A
ET
l eve
ls 1
-4
num
ber o
f hea
dcou
nt
enro
lmen
ts in
FE
T co
llege
s
657
690
650
000
(3
1 D
ecem
ber 2
013)
670
455
Targ
et e
xcee
ded
by
20 4
55Th
e D
epar
tmen
t an
d th
e M
inis
try h
as
impl
emen
ted
vario
us
FET
colle
ges
advo
cacy
ca
mpa
igns
. The
se
cam
paig
ns in
clud
ing
the‘ApplyNow
’ ca
mpa
ign,
sou
ght
to a
lter t
he la
rgel
y ne
gativ
e pe
rcep
tions
ab
out T
VE
T co
llege
s ha
s re
sulte
d in
in
crea
sed
acce
ss to
co
llege
s
*Num
beringislinkedtotheactualnum
beringofstrategicobjectivesintheAnnualPerformancePlan
*
Dep
ar
tmen
t o
f H
igH
er e
Du
cat
ion
an
D t
ra
inin
gV
OTE
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2013
/14
AN
NU
AL
RE
PO
RT
90
Stra
tegi
c ob
ject
ive
Perf
orm
ance
in
dica
tor
Act
ual a
chie
vem
ent
2012
/13
Plan
ned
targ
et fo
r 20
13/1
4 A
ctua
l ach
ieve
men
t 20
13/1
4 D
evia
tion
from
pla
nned
ta
rget
s to
act
ual
achi
evem
ent
Com
men
ts o
n de
viat
ion
PRO
GR
AM
ME
4: v
OC
ATIO
NA
L A
ND
CO
NTI
NU
ING
ED
UC
ATIO
N A
ND
TR
AIN
ING
num
ber o
f FE
T co
llege
stu
dent
s aw
ardedbursaries
188
182
222
817
(3
1 D
ecem
ber 2
013)
273
679
Targ
et e
xcee
ded
by
50 8
62M
ore
fund
ing
has
been
allo
cate
d to
co
ver m
ore
stud
ents
. s
tring
ent a
pplic
atio
n of
th
e bu
rsar
y gu
idel
ines
is
als
o at
tribu
ted
to
effe
ctiv
e di
sbur
sem
ent
of fu
nds
Rev
ised
nc
(V)
qualification policy
appr
oved
by
the
Dg
NC(V)qualification
polic
y no
t rev
ised
Onenew
threeyear
NC(V) qualification
regi
ster
ed o
n th
e n
QF
(31
Mar
ch 2
014)
Rec
omm
enda
tions
on
the
Min
iste
rial
Task
Tea
m R
epor
t co
mpi
led
for t
he
Minister’sapproval
Targ
et n
ot a
chie
ved
The
nc
(V)
qualificationspolicy
willonlyberevised
once
the
Min
iste
r ha
s ap
prov
ed
the
Dep
artm
enta
l re
com
men
datio
ns.
Umalusiw
illworkin
collaborationwith
the
Dep
artm
ent i
n th
e re
visi
on o
f the
policy ,whichwillbe
com
plet
ed d
urin
g 20
15.
Del
ay in
the
com
plet
ion
of th
is o
utpu
t is
attri
buta
ble
to th
e ex
tens
ive
stak
ehol
der
cons
ulta
tive
pro
cess
un
derta
ken
in
formulatingthefinal
reco
mm
enda
tions
to
the
Min
iste
r
91
Dep
ar
tmen
t o
f H
igH
er e
Du
cat
ion
an
D t
ra
inin
gV
OTE
17
2013
/14
AN
NU
AL
RE
PO
RT
Stra
tegi
c ob
ject
ive
Perf
orm
ance
in
dica
tor
Act
ual a
chie
vem
ent
2012
/13
Plan
ned
targ
et fo
r 20
13/1
4 A
ctua
l ach
ieve
men
t 20
13/1
4 D
evia
tion
from
pla
nned
ta
rget
s to
act
ual
achi
evem
ent
Com
men
ts o
n de
viat
ion
PRO
GR
AM
ME
4: v
OC
ATIO
NA
L A
ND
CO
NTI
NU
ING
ED
UC
ATIO
N A
ND
TR
AIN
ING
nat
iona
l sen
ior
CertificateforA
dults
(nA
sc
A) d
evel
oped
an
d ap
prov
ed b
y th
e D
g
cur
ricul
um s
uppo
rt pr
ogra
mm
es n
ot
deve
lope
d
nat
iona
l sen
ior
CertificateforA
dults
(nA
sc
A) l
earn
ing
and
Teac
hing
sup
port
mat
eria
l dev
elop
ed
and
appr
oved
(3
1 M
arch
201
4)
lear
ning
sup
port
materialw
asnot
developedow
ing
to d
elay
in th
e re
gist
ratio
n of
the
qualification
Targ
et n
ot a
chie
ved
cur
ricul
um a
nd
mat
eria
ls d
evel
opm
ent
coul
d no
t com
men
ce
in th
e ab
senc
e of
a re
gist
ered
qualificationby
Umalusi.Qualification
wasregisteredaftera
prot
ract
ed e
ngag
emen
t on
arti
cula
tion
by th
e D
BE
, DH
ET,
um
alus
i an
d s
AQ
A. c
urric
ulum
subjectexpertshave
been
app
oint
ed
num
ber o
f AE
T ed
ucat
ors
and
FET
colle
ge le
ctur
ers
train
ed fo
r the
nA
sc
A an
d th
e g
ETc
New
indicator
3 60
03
186
Targ
et n
ot a
chie
ved
Thequalificationwas
not r
egis
tere
d on
tim
e fo
r the
Dep
artm
ent t
o de
velo
p th
e re
leva
nt
curr
icul
um a
nd th
e le
arni
ng a
nd te
achi
ng
supp
ort m
ater
ial o
n whichtrainingwouldbe
base
d
Dep
ar
tmen
t o
f H
igH
er e
Du
cat
ion
an
D t
ra
inin
gV
OTE
17
2013
/14
AN
NU
AL
RE
PO
RT
92
Stra
tegi
c ob
ject
ive
Perf
orm
ance
in
dica
tor
Act
ual a
chie
vem
ent
2012
/13
Plan
ned
targ
et fo
r 20
13/1
4 A
ctua
l ach
ieve
men
t 20
13/1
4 D
evia
tion
from
pla
nned
ta
rget
s to
act
ual
achi
evem
ent
Com
men
ts o
n de
viat
ion
PRO
GR
AM
ME
4: v
OC
ATIO
NA
L A
ND
CO
NTI
NU
ING
ED
UC
ATIO
N A
ND
TR
AIN
ING
Am
ende
d n
atio
nal
SeniorC
ertificate
(orie
ntat
ion)
de
velo
ped
and
appr
oved
by
the
Dg
New
indicator
Am
ende
d n
atio
nal
Certificate
(orie
ntat
ion)
de
velo
ped
and
appr
oved
(3
1 M
arch
201
4)
Engagem
entw
ith
um
alus
i to
deve
lop
the
nc
(oR
) qualification
Targ
et n
ot a
chie
ved
um
alus
i is
curr
ently
in
volv
ed in
the
deve
lopm
ent o
f qualificationsofthe
NC(O
R)qualification.
par
alle
l to
this
th
e D
epar
tmen
t is
com
pelle
d to
sec
ure
stud
ent f
undi
ng fo
r en
rolm
ents
in th
e co
llege
s in
201
6
HigherC
ertificate
(Fou
ndat
ion)
de
velo
ped
and
appr
oved
by
the
Dg
New
indicator
pro
gram
mes
le
adin
g to
the
HigherC
ertificate
(Fou
ndat
ion)
de
velo
ped
(3
1 M
arch
201
4)
HigherC
ertificate
(Fou
ndat
ion)
de
velo
ped
by
uni
vers
ity o
f Fre
e s
tate
and
app
rove
d by
the
DH
ET
Targ
et a
chie
ved
non
e
Am
ende
d n
atio
nal
SeniorC
ertificatefor
Adu
lts o
ut o
f sch
ool
yout
h de
velo
ped
and
appr
oved
by
the
Dg
New
indicator
Am
ende
d n
atio
nal
SeniorC
ertificatefor
Adu
lts o
ut o
f sch
ool
yout
h de
velo
ped
and
appr
oved
by
the
Dg
(3
1 M
arch
201
4)
SeniorC
ertificate
qualificationapproved
by th
e D
g a
nd
Min
iste
r
Targ
et a
chie
ved
non
e
nA
sc
A re
late
d po
licie
s an
d re
gula
tions
dev
elop
ed
and
appr
oved
by
the
Dg
New
indicator
nA
sc
A re
late
d po
licie
s an
d re
gula
tions
dev
elop
ed
and
appr
oved
by
the
Dg
(31
Mar
ch 2
014)
Dra
ft po
licy
rela
ted
to n
As
cA
nat
iona
l Senior C
ertificate
nQ
F le
vel 4
has
be
en d
evel
oped
Targ
et n
ot a
chie
ved
non
e
93
Dep
ar
tmen
t o
f H
igH
er e
Du
cat
ion
an
D t
ra
inin
gV
OTE
17
2013
/14
AN
NU
AL
RE
PO
RT
Stra
tegi
c ob
ject
ive
Perf
orm
ance
in
dica
tor
Act
ual a
chie
vem
ent
2012
/13
Plan
ned
targ
et fo
r 20
13/1
4 A
ctua
l ach
ieve
men
t 20
13/1
4 D
evia
tion
from
pla
nned
ta
rget
s to
act
ual
achi
evem
ent
Com
men
ts o
n de
viat
ion
PRO
GR
AM
ME
4: v
OC
ATIO
NA
L A
ND
CO
NTI
NU
ING
ED
UC
ATIO
N A
ND
TR
AIN
ING
num
ber o
f col
lege
s of
ferin
g n
QF
leve
l 5
to 6
pro
gram
mes
Eig
ht c
olle
ges
supp
orte
d to
offe
r n
QF
leve
l 5 to
6
prog
ram
mes
10 c
olle
ges
supp
orte
d to
offe
r nQ
F le
vel 5
to
6 p
rogr
amm
es
(31
Mar
ch 2
014)
sev
en c
olle
ges
supp
orte
d to
offe
r n
QF
leve
l 5 to
6
prog
ram
mes
Targ
et n
ot a
chie
ved
Below
targetby
thre
e
The
num
ber o
f co
llege
s of
ferin
g H
E
prog
ram
mes
redu
ced
from
the
eigh
t rep
orte
d in
the
prev
ious
yea
r to
seve
n in
the
curr
ent
year
and
thre
e le
ss
than
the
targ
et o
f 10.
Th
is is
attr
ibut
ed to
the
fact
that
this
offe
ring
is n
ot fu
nded
and
st
uden
ts a
re e
xpec
ted
to fu
nd th
eir c
ompl
ete
studiesattheirown
cost
. Thi
s pr
oved
un
achi
evab
le g
iven
th
e pr
esen
t eco
nom
ic
clim
ate
Certification ratesin
the VETqualification
GETC
:37%
NC(V)L2:43%
NC(V)L3:43%
NC(V)L4:41%
N1-N3:26%
N4-N6:30%
GETC
:40%
NC(V)L2:50%
NC(V)L3:50%
NC(V)L4:52%
N1-N3:43%
N4-N6:48%
(3
1 M
arch
201
4)
GETC
: 38.6%
NC(V)L2:32.8%
NC(V)L3:30.2%
NC(V)L4:37.1%
N1-N3:54.4%
N4-N6:45%
(3
1 M
arch
201
4)
Targ
et n
ot a
chie
ved
Dat
a pr
ovid
ed is
pr
ovis
iona
l dat
a
poo
r stu
dent
at
tend
ance
and
in
term
itten
t dis
rupt
ions
to
teac
hing
and
le
arni
ng a
ctiv
ities
ow
ingtoindustrial
actio
ns b
y st
uden
ts
and
staf
f
Dep
ar
tmen
t o
f H
igH
er e
Du
cat
ion
an
D t
ra
inin
gV
OTE
17
2013
/14
AN
NU
AL
RE
PO
RT
94
Stra
tegi
c ob
ject
ive
Perf
orm
ance
in
dica
tor
Act
ual a
chie
vem
ent
2012
/13
Plan
ned
targ
et fo
r 20
13/1
4 A
ctua
l ach
ieve
men
t 20
13/1
4 D
evia
tion
from
pla
nned
ta
rget
s to
act
ual
achi
evem
ent
Com
men
ts o
n de
viat
ion
PRO
GR
AM
ME
4: v
OC
ATIO
NA
L A
ND
CO
NTI
NU
ING
ED
UC
ATIO
N A
ND
TR
AIN
ING
pas
s ra
te in
Mat
hs
and
Mat
hs l
itera
cyM
aths
:
NC(V) L2:44%
NC(V)L3:36%
NC(V)L4:43%
Mat
hs l
itera
cy:
NC(V)L2:65%
NC(V) L3:78%
NC(V)L4:85%
Mat
hs:
NC(V) L2:48%
NC(V)L3:44%
NC(V)L4:55%
Mat
hs l
itera
cy:
NC(V)L2:70%
NC(V) L3:80%
NC(V)L4:85%
(3
1 M
arch
201
4)
Mat
hs:
NC(V) L2:45%
NC(V)L3:39%
NC(V) L4:41%
Mat
hs l
itera
cy:
NC(V)L2:67.4%
NC(V)L3:80.3%
NC(V)L4:82.2%
Targ
et n
ot a
chie
ved
Dat
a pr
ovid
ed is
pr
ovis
iona
l dat
a
poo
r stu
dent
at
tend
ance
and
in
term
itten
t dis
rupt
ions
to
teac
hing
and
le
arni
ng a
ctiv
ities
ow
ingtoindustrial
actio
ns b
y st
uden
ts
and
staf
f
Certification ratesof
burs
ary
reci
pien
ts
NC(V) L2:36%
NC(V)L3:34%
NC(V)L4:35%
N1-N3:26%
N4-N6:30%
NC(V)L2:44%
NC(V)L3:46%
NC(V)L4:47%
N1-N3:45%
N4-N6:45%
NC(V)L2:31%
NC(V)L3:34%
NC(V)L4:39%
N1-N3:23%
N4-N6:38%
Targ
et n
ot a
chie
ved
Dat
a pr
ovid
ed is
pr
ovis
iona
l dat
a
Thesignificantlylower
certificationrateof
burs
ary
reci
pien
ts
sugg
ests
that
FE
T co
llege
s m
ay n
ot
effe
ctiv
ely
appl
y th
e ac
adem
ic m
erit
elig
ibili
ty c
riter
ia
outli
ned
in th
e B
ursa
ry
sch
eme
Adm
inis
tratio
n g
uide
lines
95
Dep
ar
tmen
t o
f H
igH
er e
Du
cat
ion
an
D t
ra
inin
gV
OTE
17
2013
/14
AN
NU
AL
RE
PO
RT
Stra
tegi
c ob
ject
ive
Perf
orm
ance
in
dica
tor
Act
ual a
chie
vem
ent
2012
/13
Plan
ned
targ
et fo
r 20
13/1
4 A
ctua
l ach
ieve
men
t 20
13/1
4 D
evia
tion
from
pla
nned
ta
rget
s to
act
ual
achi
evem
ent
Com
men
ts o
n de
viat
ion
PRO
GR
AM
ME
4: v
OC
ATIO
NA
L A
ND
CO
NTI
NU
ING
ED
UC
ATIO
N A
ND
TR
AIN
ING
num
ber o
f rep
orts
on
the
coor
dina
tion
ofthefollowing
dono
r-fu
nded
projects:A
mended
nat
iona
l sen
ior
Certificateproduced
and
appr
oved
by
the
Dg
: Bus
ines
s M
anag
emen
t s
tand
ards
, Qualifications,review,
nc
(V) s
elec
ted
subjectsreview
and
stu
dent
sup
port
ser
vice
s in
terv
entio
ns
impl
emen
ted
to
sele
cted
FE
T co
llege
s
Four
qua
rterly
repo
rtsTw
ohalf-yearly
repo
rts o
n th
e co
ordi
natio
n of
donor-fundedprojects
prod
uced
and
ap
prov
ed
(31
Mar
ch 2
014)
one
hal
f-yea
rly re
port
on th
e co
ordi
natio
n of
donorfundedprojects
appr
oved
by
the
Dg
(3
0 s
epte
mbe
r 201
3)
Targ
et n
ot a
chie
ved
non
e
num
ber o
f lec
ture
rs,
ss
s m
anag
ers
and
PDE/regionaloffices
officialstrained
to im
plem
ent t
he
com
preh
ensi
ve
stud
ent s
uppo
rt servicesfram
ework
201
lect
urer
s, s
tude
nt
sup
port
ser
vice
s (s
ss
) man
ager
s an
d p
DE
/regi
onal
officesofficials
train
ed to
impl
emen
t th
e co
mpr
ehen
sive
st
uden
t sup
port
servicesfram
ework
130
lect
urer
s, s
tude
nt
sup
port
ser
vice
s (s
ss
) man
ager
s an
d p
DE
/regi
onal
officesofficials
train
ed to
impl
emen
t th
e co
mpr
ehen
sive
st
uden
t sup
port
servicesfram
ework
(31
Mar
ch 2
014)
167
lect
urer
s, s
ss
m
anag
ers
train
ed
to im
plem
ent t
he
com
preh
ensi
ve
stud
ent s
uppo
rt servicesfram
ework
Targ
et e
xcee
ded
by 3
7FE
T co
llege
s se
nt
mor
e re
pres
enta
tives
totheworkshopsthan
the
Dep
artm
ent i
nvite
d
Dep
ar
tmen
t o
f H
igH
er e
Du
cat
ion
an
D t
ra
inin
gV
OTE
17
2013
/14
AN
NU
AL
RE
PO
RT
96
Stra
tegi
c ob
ject
ive
Perf
orm
ance
in
dica
tor
Act
ual a
chie
vem
ent
2012
/13
Plan
ned
targ
et fo
r 20
13/1
4 A
ctua
l ach
ieve
men
t 20
13/1
4 D
evia
tion
from
pla
nned
ta
rget
s to
act
ual
achi
evem
ent
Com
men
ts o
n de
viat
ion
PRO
GR
AM
ME
4: v
OC
ATIO
NA
L A
ND
CO
NTI
NU
ING
ED
UC
ATIO
N A
ND
TR
AIN
ING
num
ber o
f lec
ture
rs
train
ed to
sup
port
curr
icul
um d
eliv
ery
708
600
(31
Mar
ch 2
014)
692
Targ
et e
xcee
ded
by 9
2Th
e FE
T co
llege
s se
nds
mor
e le
ctur
ers
to
theworkshopthanthe
Dep
artm
ent h
ad in
vite
d
num
ber o
f p
rovi
ncia
l Edu
catio
n D
epar
tmen
t (p
ED
) officialstrained
tosupportnew
curr
icul
um d
eliv
ery
3560
75Ta
rget
ach
ieve
dThetrainingwas
dece
ntra
lised
to th
e le
vel o
f dis
trict
s in
eac
h pr
ovin
ce
(4 .5
.1 .2
)St
reng
then
the
inst
itutio
nal
capa
city
of v
ET
inst
itutio
ns to
im
prov
e th
eir
perf
orm
ance
and
ef
ficie
ncy
num
ber o
f per
sonn
el
in v
ocat
iona
l ed
ucat
ion
and
train
ing
inst
itutio
ns tr
aine
d to
su
ppor
t cur
ricul
um
deliv
ery
in A
ET
and
colle
ges
no
train
ing
took
pla
ce13
0
(31
Mar
ch 2
014)
307
Targ
et a
chie
ved
Thetrainingwas
dece
ntra
lised
to th
e le
vel o
f dis
trict
s in
pr
ovin
ce
num
ber o
f ful
ly
cons
titut
ed c
olle
ge
coun
cils
3150
(31
Mar
ch 2
014)
46 F
ET
colle
ge
cons
titut
ed
colle
ge c
ounc
ils
i.e. M
inis
teria
l ap
poin
tmen
ts h
ave
been
mad
e as
co
ntai
ned
in th
e FE
Tc A
ct 1
6 of
200
6 (a
s am
ende
d)
Targ
et n
ot a
chie
ved
The
outs
tand
ing
collegecouncilswere
as a
resu
lt of
thei
r ter
m
ofofficehavingcome
toanend,whilethe
proc
ess
of a
ppoi
ntin
g newcollegecouncils
wasnotfinalised.In
othe
r ins
tanc
es
som
e co
llege
cou
ncil
mem
bers
had
resi
gned
97
Dep
ar
tmen
t o
f H
igH
er e
Du
cat
ion
an
D t
ra
inin
gV
OTE
17
2013
/14
AN
NU
AL
RE
PO
RT
Stra
tegi
c ob
ject
ive
Perf
orm
ance
in
dica
tor
Act
ual a
chie
vem
ent
2012
/13
Plan
ned
targ
et fo
r 20
13/1
4 A
ctua
l ach
ieve
men
t 20
13/1
4 D
evia
tion
from
pla
nned
ta
rget
s to
act
ual
achi
evem
ent
Com
men
ts o
n de
viat
ion
PRO
GR
AM
ME
4: v
OC
ATIO
NA
L A
ND
CO
NTI
NU
ING
ED
UC
ATIO
N A
ND
TR
AIN
ING
num
ber o
f col
lege
c
ounc
ils tr
aine
d in
inst
itutio
nal a
nd
corp
orat
e go
vern
ance
50
(31
Mar
ch 2
014)
non
e
(31
Mar
ch 2
014)
Targ
et n
ot a
chie
ved
Trai
ning
has
bee
n de
laye
d. T
his
is a
resu
lt of
not
hav
ing
fully
co
nstit
uted
col
lege
c
ounc
ils
num
ber o
f per
sonn
el
at p
ublic
FE
T co
llege
s trainedinfinancial
man
agem
ent
no
train
ing
took
pla
ce18
4
(31
Mar
ch 2
014)
256
Targ
et a
chie
ved
Thetrainingwas
also
dec
entra
lised
to
prov
ince
s
num
ber o
f pub
lic
inst
itutio
ns to
be
dec
lare
d as
co
mm
unity
col
lege
s in
thenextfinancialyear
New
indicator
nin
en
ine
Targ
et a
chie
ved
non
e
Num
berofnew
pu
blic
FE
T co
llege
ca
mpu
ses
built
and
co
mpl
eted
New
indicator
six
(31
Mar
ch 2
014)
non
e Ta
rget
not
ach
ieve
d Therewere
dela
ys c
ause
d by
env
ironm
enta
l im
pact
ass
essm
ent,
proc
urem
ent p
roce
ss
and
limite
d fu
ndin
g
num
ber o
f per
sonn
el
at p
ublic
FE
T co
llege
s tra
ined
in s
trate
gic
and
ope
ratio
nal
plan
ning
300
300
(31
Mar
ch 2
014)
363
(31
Mar
ch 2
014)
Targ
et a
chie
ved
Thetrainingwas
dece
ntra
lised
to
prov
ince
s
Dep
ar
tmen
t o
f H
igH
er e
Du
cat
ion
an
D t
ra
inin
gV
OTE
17
2013
/14
AN
NU
AL
RE
PO
RT
98
Stra
tegi
c ob
ject
ive
Perf
orm
ance
in
dica
tor
Act
ual a
chie
vem
ent
2012
/13
Plan
ned
targ
et fo
r 20
13/1
4 A
ctua
l ach
ieve
men
t 20
13/1
4 D
evia
tion
from
pla
nned
ta
rget
s to
act
ual
achi
evem
ent
Com
men
ts o
n de
viat
ion
PRO
GR
AM
ME
4: v
OC
ATIO
NA
L A
ND
CO
NTI
NU
ING
ED
UC
ATIO
N A
ND
TR
AIN
ING
Hum
an R
esou
rce
Man
agem
ent a
nd
pla
nnin
g (H
RM
&p
) framew
orkforF
ET
colle
ges
deve
lope
d an
d ap
prov
ed
by th
e D
g fo
r im
plem
enta
tion
A dr
aft g
ener
ic
HRM&Pframew
ork
deve
lope
d
HRM&Pframew
ork
impl
emen
ted
in 3
0 co
llege
s
(31
Mar
ch 2
014)
HRM&Pframew
ork
docu
men
t dev
elop
edTa
rget
ach
ieve
dn
one
per
cent
age
of A
ET
centres withim
proved
cond
ition
s of
ser
vice
fo
r edu
cato
rs
sig
ned
col
lect
ive
Agr
eem
ent o
n co
nditi
ons
of s
ervi
ce
for A
ET
educ
ator
s
100%
(31
Mar
ch 2
014)
non
eTa
rget
not
ach
ieve
dc
ould
not
obt
ain
fund
ing
for p
rovi
nces
to
impl
emen
t man
date
num
ber o
f pro
vinc
es
wheretrainingand
asse
ssm
ent o
f the
im
plem
enta
tion
of th
e c
olle
ctiv
e A
gree
men
t is
con
duct
ed
nin
e (3
1 M
arch
201
4)n
ine
Targ
et a
chie
ved
non
e
per
cent
age
of p
ublic
FE
T co
llege
func
tions
tra
nsfe
rred
to th
e D
HE
T
100%
(3)
100%
(31
Mar
ch 2
014)
The
TVE
T an
d A
ET
sect
or h
ave
shift
ed
from
a p
rovi
ncia
l to
a na
tiona
l com
pete
nce.
Th
ere
are
othe
r as
pect
s of
the
func
tion
shift
that
re
quire
con
clus
ion
Targ
et a
chie
ved
non
e
99
Dep
ar
tmen
t o
f H
igH
er e
Du
cat
ion
an
D t
ra
inin
gV
OTE
17
2013
/14
AN
NU
AL
RE
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in a
ll 44
9 ex
amin
atio
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ntre
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regi
ster
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r ex
ams.
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e cl
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of
the2013/14financial
perio
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100%
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amin
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rtA
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and
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1 M
arch
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year
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nly
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embe
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n cy
cle
Dep
ar
tmen
t o
f H
igH
er e
Du
cat
ion
an
D t
ra
inin
gV
OTE
17
2013
/14
AN
NU
AL
RE
PO
RT
100
Stra
tegi
c ob
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Perf
orm
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dica
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Act
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-sys
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epor
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ET
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T ce
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urve
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HE
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53
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101
Dep
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tmen
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igH
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Du
cat
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an
D t
ra
inin
gV
OTE
17
2013
/14
AN
NU
AL
RE
PO
RT
Stra
tegi
c ob
ject
ive
Perf
orm
ance
in
dica
tor
Act
ual a
chie
vem
ent
2012
/13
Plan
ned
targ
et fo
r 20
13/1
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l ach
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men
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13/1
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evia
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NTI
NU
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ED
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ATIO
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AIN
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per
cent
age
of
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col
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s re
spon
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l sur
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ET
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014)
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llege
s don’thaveITsystems
to re
spon
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fieldsintheAnnual
sur
vey
A re
port
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plem
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of a
pu
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FE
T co
llege
M
odel
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elop
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oved
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A m
odel
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ET
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expa
nsio
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velo
ped
FET
colle
ge m
odel
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plem
ente
d in
all
newprojects
(3
1 M
arch
201
4)
Amodelwas
deve
lope
d an
d ap
prov
ed in
the
2012/13financial
year
. The
cur
rent
projectconstructing
newcam
puses
and
refu
rbis
hing
th
e ex
istin
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co
ncep
tual
ised
on
the
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Targ
et a
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ved
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per
cent
age
of p
rivat
e co
llege
s co
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ying
withapplicable
regu
latio
ns
490
100%
100%
T a
rget
ach
ieve
d Th
e 37
non
-com
plia
nt
collegeswerede-
regi
ster
ed a
nd th
eir
nam
es re
mov
ed fr
om
the
Reg
iste
r of p
rivat
e FE
T co
llege
s
Department of HigHer eDucation anD trainingVOTE 17
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102
Strategy to deal with underperformance
• private colleges responding to the Annual survey: The Department needs to enforce the Regulation relatingtosubmissionofinformationbyallprivatecolleges.Propersanctionswillbeapplied.
• Number of fully constituted FET college councils:All CollegeCouncils will be constituted during the2014/15financialyear.
• AllCollegeCouncilswillbetrainedininstitutionalandcorporategovernanceduringthe2014/15financialyear.
• Number of campuses built: The environmental impact assessment and procurement processwill bespeededupduringthe2014/15financialyear.AbidforadditionalfundingwillbesubmittedtotheNationalTreasury.
• Improved conditions of services for the AET Educators: The matter shall be referred back to HEDcoM, cEM and the national Treasury to secure additional funding to standardise the conditions of service of educators in the AET sector.
• NumberofFETcollegesimplementingtheBusinessManagementSystem:ThenewapproachthattheDepartmenthasadoptedistopublishthestandardsfordatacollectionaccordingtowhichthecollegesshouldsubmitdata,withoutprescribingthetypeoftheBusinessManagementSystem.
• Number of FET colleges offering Level 5 and 6 qualifications: The entire funding regime has to beaddressed to ensure that as many students access l5 programmes in colleges as possible. This is currently looked at by the university Education Branch since the funding for all HE programmes falls withinthatfundingjurisdiction.Noadditionalorseparatefundingwasavailabletoenablethisoutput.
• Dealingwithstudentunder-performanceandcertificationratesinVETqualification:Therearecurrentlyfocused interventions inMathematics which includes lecturer training in the use of learning tools todevelop the cognate skills of learners in mathematical operations. plans are already in place to establish Mathematics and science Hubs at colleges in order to build the expertise required in these critical learningareas.Bestpracticesworkshopsareheldtoimprovetheconductofpracticalassessment.Thereis ongoing evaluation and improvement of student textbooks to ensure that student learning materials enhance their chances of success in the examinations.
• Training on the nAscA and gETcA: The training on the nAscA and the gETcA is expected to take place during the 3rd and 4thquarterofthe2014/15financialyearafterthecurriculumhasbeendeveloped,whichistargetedforSeptember2014.
• Newthree-yearNC(V)qualificationpolicydevelopment:TherecommendationsoftheTaskTeamReportweresubmittedtoUmalusitogoaheadwiththeimplementation.TheDepartmentwillworkwithUmalusitodevelopthenewNC(V)qualificationpolicy.
• AmendedNationalCertificate(Orientation)developedandapproved:UmalusiiscurrentlyinvolvedinthedevelopmentofqualificationsoftheNC(OR)qualification.ParalleltothistheDepartmentiscompelledtosecure student funding for enrolments in the colleges in 2016.
• Certification rates of bursary recipients:The significantly lower certification rate of bursary recipientssuggests that FET colleges may not effectively apply the academic merit eligibility criteria outlined in the Bursary scheme Administration guidelines.
• AnationalexaminationreportcompiledandapprovedbytheMinister:AdraftreportwascompiledandthenamendedtoreflectafullacademicyearinsteadofonlytheNovemberexaminationcycle.Itwillbesubmitted to the Minister for approval.
Department of HigHer eDucation anD trainingVOTE 17
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103
• 3 083 AET centres responding to an annual survey conducted by DHET: The number of centres respondingtothesurveysisbeyondDHETcontrol.TheDepartmentshalldeterminehowmanyandwhichAET centres are operational so that only those that are operational can submit the survey forms. This is against the background of the reason for underperformance.
Linking programme performance with budgets
SUB-PROGRAMME 2013/14 2012/13
Final Appropriation
Actual Expenditure
(Over)/Under
Expenditure
Final Appropriation
Actual Expenditure
(Over)/Under
Expenditure
R’000 R’000 R’000 R’000 R’000 R’000
programme Management: Vocational and continuing Education and Training
8 165 8 120 45 4 749 4 717 32
planning and Institutional support
5 488 878 5 488 860 18 4 862 349 4 862 215 134
programmes and Qualifications
189 763 189 408 355 181 054 179 009 2 045
Total 5 686 806 5 686 388 418 5 048 152 5 045 941 2 211
Programme 5: Skills Development
The purpose of the programme is to promote and monitor the national skills Development strategy. Develop a skillsdevelopmentpolicyandaregulatoryframeworkforaneffectiveskillsdevelopmentsystem.
There are four budget sub-programmes:
• programme Management
• sETA coordination
• national skills Development services
• Quality Development and promotion.
Strategic Objectives
• Provideadynamicinterfacebetweentheworkplaceandthelearninginstitutionsandtopromotequalitylearningatworkandforworkby2016
• Promotethealignmentofskillsdevelopmentoutputstotheneedsoftheworkplaceandtothebroadergrowthneedsofthecountry’seconomy.
Significant achievements during 2013
TheestablishmentofWorkIntegratedLearningandPartnershipsunitwithintheSkillsDevelopmentBranchwhichfacilitateplacementofFETgraduatesinconjunctionwithSETAswasapositivedevelopment.Thisunitmobilisesemployersandfacilitatesgraduateandstudentplacementtoassistthosewhomtheworkplaceplacementistherequirementtocompletetheirqualificationsandaddressgraduateemployability.Asaresultatotalof27346FETandUniversityofTechnologystudentswereplacedbySETAsforworkplaceexperience.Bigstrideswere
Department of HigHer eDucation anD trainingVOTE 17
2013/14 ANNUAL REPORT
104
achievedintermsofaddressingtheshortagesofartisansinthecountry.Atotalof27670studentswereregisteredintoartisantraining(againstatargetof26000)andatotalof18110completedandqualifiedasartisans(againstatargetof12000). Inaddition,TVETstudentscontinuetobe integrated intoworkplaces;alignmentofTVETcurriculumtotheindustry’sneeds;trainingofartisansandmanymore.
More SETAs are now focusing on Professional, Vocational Occupation andAcademic Learning (PIVOTAL)programmesleadingtopartorfullqualificationsinsteadofshortandunaccreditedskillscourses.ThischangewasasaresultofthegrantregulationsthatwerepublishedandcameintoeffectinApril2013.
InordertobringSETAservicesclosertothepeopleespeciallyintownshipsandruralareas,theSETAsopenedmorethan40offices invariousTVETcolleges indifferentpartsof thecountry.Theofficeswill furthersolidifythemuchneededpartnershipbetweentheSETAsandTVETcollegestoworktogetheronvariousprogrammessuchastheplacementofTVETstudentsintoworkplaces,alignmentofTVETcurriculumtotheindustry’sneeds,training of artisans and many more.
Changes to performance indicators during the year
ThegazettingoftheNationalSkillsFund(NSF)asaSchedule3ApublicentitybytheMinisterofFinancewitheffect from 1 April 2012, has necessitated the Department to effect changes to its Annual performance plans (App) especially in relation to performance indicators for programme 5. For this reason, during the year the Minister of Higher Education and Training approved an addendum to the 2013/14 App effectively changing the compilationoftheperformanceindicatorsforthisprogramme.AssuchthefollowingthreeperformanceindicatorstogetherwiththeassociatedstrategicobjectiveswereremovedfromtheoriginalAPP:
• Amountearmarkedtosupportprojectsofnationalpriority
• NumberofprojectssupportedbyNationalSkillFund
• NumberoflearnerstrainedinNSFprojects.
TheNSFwilltableitsownAnnualReportforthe2013/14financialyearandwillinthatreportprovidedetailofperformance information; three performance indicators relating to this.
105
Dep
ar
tmen
t o
f H
igH
er e
Du
cat
ion
an
D t
ra
inin
gV
OTE
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2013
/14
AN
NU
AL
RE
PO
RT
Prog
ram
me
perf
orm
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: Str
ateg
ic o
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tives
, per
form
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Dep
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tmen
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igH
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Du
cat
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an
D t
ra
inin
gV
OTE
17
2013
/14
AN
NU
AL
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PO
RT
106
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ET
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ET
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Strategy to deal with underperformance
• 48%ofnationalartisanlearnerspassedthetradetestby2013/14(INDLELAonly);thefinalresultachievedwas 45%.Themajority of the persons tested at INDLELA are personswho have developed artisanskills informally and have been on formal programmes such as apprenticeships. These are therefore Recognition of prior learning (Rpl) candidates. The result is that many of such persons have not developed enough skills that cover the entire scope of learning required to be a competent artisan in a specifictrade.INDLELAisintheprocessofdevelopinganationalrecognitionofpriorlearningmodelthatwillensurethepersonswhoareRPLcandidatesfirstcompleteaportfolioofevidenceasrequiredbythefull scope of the trade and based on the evaluation of that evidence be given access to a trade test. A total of265candidatesareinvolvedinthepilotprojectandthemodelwillbecompletedby31March2015fornationalroll-outwithintheTVETcollegesystem.
• Asecuretradetestingsystemwasdevelopedandimplementedatalltradetestcentres.Thedevelopmentof this systemwas initially issued for tender to external service providers but owing to an objectionreceivedfromSITA, ithadtobere-routedfordevelopmentwithSITAandaperiodofsixmonthswaslostondevelopment.SincethenaUserRequirementsSpecificationfortheSystemwasdevelopedbySITAandaprojectmanagerappointed todevelop the technicaldesignof thesystem.Thesystem isbasedontheNationalTradeTestRegulationsthatwerenotcompletedowingtodifferencesbetweentheDHET (nAMB) and the QcTo on credit for trade tasks but the differences are being resolved. Both the regulations and system are scheduled for completion by 31 March 2015.
• ThedraftScarceandCriticalSkillslistwaspreparedandisawaitingtheMinister’sapprovalforpublishing.
Linking programme performance with budgets
SUB-PROGRAMME
2013/14 2012/13
Final Appropriation
Actual Expenditure
(Over)/Under Expenditure
Final Appropriation
Actual Expenditure
(Over)/Under Expenditure
R’000 R’000 R’000 R’000 R’000 R’000
programme Management: skills Development
1 324 1 223 101 2 061 2 049 12
sETA coordination
69 231 69 062 169 65 033 64 997 36
national skills Development service
7 729 7 691 38 5 887 5 864 23
Quality Development and promotion
21 747 21 747 - 20 352 20 352 -
Total 100 031 99 723 308 93 333 93 262 71
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5.Summaryoffinancialinformation
Departmental receipts
The tariffs charged by the Department are in respect of national Technical Examinations, private Further Education and Training colleges, private Higher Education Institutions and trade tests. Different policies apply to thesetariffsanddetailsofthetariffschargedareincludedintheReportoftheAccountingOfficer.
Duringtheyearunderreviewnobaddebtswerewrittenoff.
Table 1: Departmental Receipts
Departmental receipts
2013/14 2012/13
Estimate
Actual Amount
Collected
(Over)/Under
Collection Estimate
Actual Amount
Collected
(Over)/Under
Collection
R’000 R’000 R’000 R’000 R’000 R’000
sales of goods and services produced by department 5 583 6 042 (459) 4 530 4 949 (419)
Salesofscrap,wasteandother used current goods 60 29 31 24 16 8
Transfers received - - - 20 80 (60)
Interest, dividends and rent on land 3 096 3 374 (278) 3 514 3 458 56
sale of capital assets - - - - - -
Transactionsinfinancialassets and liabilities 2 176 2 435 (259) 2 497 2 410 87
Total 10 915 11 880 (965) 10 585 10 913 (328)
Increasesinrevenuearemainlyattributabletobetterthantheprojectedcollectionofrevenueinrespectoftradetest fees.
Programme expenditure
Thetotalexpenditureexcludingdirectchargesforthe2013/14financialyear,amountstoR34331.969millionwhichrepresentsaspendingrateof99.99%.Themainreasonforunder-expenditurewassavingsrealisedonfunds provided for posts on the staff establishment of the Department that became vacant during the year and thatcouldnotbefilledasprojectedand theconcomitantsavings that resulted fromthis, legaland legislativefeesforclaimsnotreceivedforcourtcasesasprojectedandfundsprovidedfortheNdinayebuildingwhichwasoccupiedduringthe2013/14financialyear.TheminimalsavingsontheVotedidnotnegativelyimpactonservicedeliverywithintheDepartment.
Detail expenditure information can be obtained from Financial Statements as reflected in Part E: FinancialInformation.
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Table 2: Programme Expenditure
Programme Name
2013/14 2012/13
Final Appropriation
Actual Expenditure
(Over)/Under
ExpenditureFinal
AppropriationActual
Expenditure
(Over)/Under
Expenditure
R’000 R’000 R’000 R’000 R’000 R’000
Administration 203 729 203 044 685 172 151 171 655 496
Human Resource Development, planning and Monitoring coordination 43 827 43 535 292 43 245 42 829 416
university Education 28 299 507 28 299 279 228 26 229 270 26 228 713 557
Vocational and continuing Education and Training 5 686 806 5 686 388 418 5 048 152 5 045 941 2 211
skills Development 100 031 99 723 308 93 333 93 262 71
subtotal 34 333 900 34 331 969 1 931 31 586 151 31 582 400 3 751
statutory Appropriation 12 090 186 12 090 186 - 11 694 493 11 694 493 -
Total 46 424 086 46 422 155 1 931 43 280 644 43 276 893 3 751
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Transfer payments to public entities
Public entities
Table 3: Transfer payments to public entities
Name of public entityServices rendered by the public entity
Amount transferred
to the public entity
2012/13
Amount transferred
to the public entity
2013/14
R’000 R’000
Education Training and Development practices sETA
provision of relevant, quality and accessible education, training and development in the education, training and development sector 175 -
council on Higher Education (cHE) Advise to the Minister of Higher Education and Training on all higher education policy matters, implementation of the system of quality assurance for all higher education, monitoring the state of the higher education system and contribution to the development of higher education through intellectual engagement 39 993 41 888
national student Financial Aid scheme (nsFAs)
It is responsible for administering loans and bursaries and allocating these to eligible students, developing criteria and conditions for the granting of loans and bursaries to eligible students in consultationwiththeMinisterofHigherEducation and Training, raising funds, recovering loans, maintaining and analysing a database, undertaking research for the better utilisation of financialresourcesandadvisingtheMinister on matters relating to student financialaid 5 195 661 5 769 405
SouthAfricanQualificationsAuthority (sAQA)
sAQA focuses on upholding the principlesoftheNationalQualificationForum, including ensuring access, quality, redress and development for all learners, through an integrated national frameworkoflearningachievements 45 723 49 401
Quality council for Trades and occupations (QcTo)
To develop and quality assure occupationalqualificationsthatareresponsive to the labour market and developmental state initiatives 20 352 21 747
national skills Fund (nsF) To fund national skills development priorityprojectsasidentifiedintheNSDSandprojectsrelatedtoachievingthe purpose of the Act as determined by the Accounting Authority 2 338 898 2 416 368
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Name of public entityServices rendered by the public entity
Amount transferred
to the public entity
2012/13
Amount transferred
to the public entity
2013/14
R’000 R’000
Sector Education and Training Authorities
Agriculture sector Education and Training Authority (AgRIsETA)
provision of relevant, quality and accessible education, training and development in both primary and secondary agriculture sectors 223 761 261 707
Banking sector Education and Training Authority (BAnKsETA)
provision of relevant, quality and accessible education, training and development in the banking and micro-financesector 703 956 457 535
construction Education and Training Authority (cETA)
provision of relevant, quality and accessible education, training and development in the construction industry 464 728 436 397
Energy and Water sector Education and Training Authority (EWsETA)
provision of relevant, quality and accessible education, training and developmentintheenergyandwatersector 209 484 206 825
Education, Training and Development practices (ETDp)
provision of relevant, quality and accessible education, training and development in the education, training and development sector 303 727 325 635
Financial and Accounting services sector Education and Training Authority (FAssET)
provision of relevant, quality and accessible education, training and developmentinthefinancialandaccounting services sector 373 559 396 236
Food and Beverages sector Education and Training Authority (FooDBEV)
provision of relevant, quality and accessible education, training and development in the food and beverages sector 225 886 247 754
Health and Welfare sector Education and Training Authority (HWsETA)
provision of relevant, quality and accessible education, training and developmentinthehealthandwelfaresector 292 361 303 907
chemical Industries Education and Training Authority (cHIETA)
provision of relevant, quality and accessible education, training and development in the chemical industries sector 392 090 431 724
Transport Education and Training Authority (TETA)
provision of relevant, quality and accessible education, training and development in the transport sector 506 034 543 392
public service sector Education and Training Authority (psETA)
provision of relevant, quality and accessible education, training and development in the public service sector 1 491 1 399
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Name of public entityServices rendered by the public entity
Amount transferred
to the public entity
2012/13
Amount transferred
to the public entity
2013/14
R’000 R’000
Insurance sector Education and Training Authority (InsETA)
provision of relevant, quality and accessible education, training and development in the insurance sector 317 301 326 267
Media, Information and communication Technologies sETA (MIcTs)
provision of relevant, quality and accessible education, training and development in the information system, electronics and telecommunications technologies sector 575 264 580 263
Manufacturing, Engineering and Related services sector Education and Training Authority (MERsETA)
provision of relevant, quality and accessible education, training and development in the manufacturing, engineering and related services sector 1 043 287 1 157 926
MiningQualificationsAuthority(MQA)
provision of relevant, quality and accessible education, training and development in the mining and minerals sector 823 849 859 647
safety and security Education and Training Authority (sAssETA)
provision of relevant, quality and accessible education, training and development in the safety and security sector 200 484 211 423
service sector Education and Training Authority (sERVIcEs sETA)
provision of relevant, quality and accessible education, training and development in the services sector 1 071 772 1 237 704
culture, Arts, Tourism, Hospitality and sport Education and Training (cATHssETA)
provision of relevant, quality and accessible education, training and development in the culture, arts, tourism, hospitality and sport sectors 228 026 253 541
Wholesale and Retail sector Education and Training Authority (W&R sETA)
provision of relevant, quality and accessible education, training and developmentinthewholesaleandretailsector 732 626 752 680
local government Education and Training Authority (lgsETA)
provision of relevant, quality and accessible education, training and development in the local government sector 392 035 408 352
Fibre processing and Manufacturing sector Education and Training Authority (Fp&MsETA)
Facilitate, coordinate and monitor the implementationoftheNSDSinthefibreprocessing and manufacturing sector 273 874 273 504
The Department received written assurance in terms of Section 38(1)(j) certificates from all public entitiesreflectingeffective,efficientandtransparentfinancialmanagementandinternalcontrolsystemsduring2013/14.
With regard to the monitoring of expenditure, all public entities, including the sETAs, provide quarterly reports as legally required.
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Transfer payments to all organisations other than public entities
Transfer payments (excluding public entities)
Table 4: Transfer payments (excluding public entities)
Name of transfereePurpose for which funds were used
Compliance with section 38(1)(j) of the PFMA
Amount transferred
R’000
Universities
cape peninsula university of Technology subsidy yes 975 540
central university of Technology, Free state subsidy yes 428 626
Durban Institute of Technology subsidy yes 770 718
Mangosuthu university of Technology subsidy yes 331 923
nelson Mandela Metropolitan university subsidy yes 784 804
north West university subsidy yes 1 228 919
Rhodes university subsidy yes 358 917
TshwaneUniversityofTechnology subsidy yes 1 494 423
UniversityofCapeTown subsidy yes 1 127 750
university of Fort Hare subsidy yes 457 347
university of Free state subsidy yes 968 944
university of Johannesburg subsidy yes 1 385 540
UniversityofKwaZulu-Natal subsidy yes 1 512 305
university of Mpumalanga subsidy yes 58 153
SolPlaatjeUniversity subsidy yes 180 302
university of limpopo subsidy yes 850 172
university of pretoria subsidy yes 1 810 933
university of south Africa subsidy yes 2 155 212
university of stellenbosch subsidy yes 1 125 066
university of Venda subsidy yes 445 329
university of Western cape subsidy yes 731 479
WitwatersrandUniversity subsidy yes 1 212 593
university of Zululand subsidy yes 485 370
Vaal university of Technology subsidy yes 596 452
Walter sisulu university of science and Technology subsidy yes 804 988
national Institute for Higher Education: Mpumalanga subsidy yes 78 389
national Institute for Higher Education: northern cape subsidy yes 28 573
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Name of transfereePurpose for which funds were used
Compliance with section 38(1)(j) of the PFMA
Amount transferred
R’000
Foreign Government and International Organisations
CommonwealthofLearning contribution no 2 416
India-Brazil-SouthAfricaTrilateralCommission contribution no 511
Non-Profit Institutions
Higher Education south Africa (HEsA) Earmarked funds for HIV/AIDSproject
yes7 000
Buffalo city college subsidy yes 53 155
East cape Midlands college subsidy yes 78 652
Ikhala college subsidy yes 51 165
IngweCollege subsidy yes 71 649
King Hintsa college subsidy yes 56 143
King sabata college subsidy yes 80 898
lovedale college subsidy yes 38 071
PortElizabethCollege subsidy yes 59 712
Flavius Mareka college subsidy yes 24 718
gold Fields college subsidy yes 27 431
Maluti college subsidy yes 49 015
Motheo college subsidy yes 91 473
central Johannesburg college subsidy yes 45 146
Ekhurhuleni East college subsidy yes 58 558
Ekhurhuleni West college subsidy yes 71 648
sedibeng college subsidy yes 96 265
south West college subsidy yes 126 946
TshwaneNorthCollege subsidy yes 71 319
TshwaneSouthCollege subsidy yes 46 627
Western college subsidy yes 86 034
coastal college subsidy yes 80 245
Elangeni college subsidy yes 85 279
Esayidi college subsidy yes 66 109
MajubaCollege subsidy yes 152 318
Mnambithi college subsidy yes 54 934
Mthashana college subsidy yes 37 253
ThekwiniCollege subsidy yes 39 498
UmfoloziCollege subsidy yes 99 461
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Name of transfereePurpose for which funds were used
Compliance with section 38(1)(j) of the PFMA
Amount transferred
R’000
umgungundlovu college subsidy yes 28 359
capricorn college subsidy yes 39 107
lephalale college subsidy yes 10 356
letaba college subsidy yes 22 548
Mopani college subsidy yes 42 482
sekhukhune college subsidy yes 22 137
Vhembe college subsidy yes 88 314
Waterberg college subsidy yes 13 804
EhlanzeniCollege subsidy yes 78 654
gert sibande college subsidy yes 115 250
nkangala college subsidy yes 63 376
Rural college subsidy yes 24 305
urban college subsidy yes 23 568
orbit college subsidy yes 128 254
Taletso college subsidy yes 46 607
Vuselela college subsidy yes 43 911
Boland college subsidy yes 42 204
CapeTownCollege subsidy yes 31 361
False Bay college subsidy yes 51 323
northlink college subsidy yes 66 903
south cape college subsidy yes 41 813
West coast college subsidy yes 88 831
R33750.482million(98.30%)ofthetotalallocationofR34333.900millionexcludingdirectcharges,wasallocatedtotransfersandsubsidiesontheDepartment’svote.DirectchargesamounttoR12090million.
TransferpaymentsfromvotedfundswereinrespectoftheFETCollegesConditionalGrant,subsidiesto50FETcolleges,subsidiesto23universitiesanduniversitiesoftechnologyaswellaspublicentities(NationalStudentFinancialAidScheme,SouthAfricanQualificationsAuthority,CouncilonHigherEducationandtheQualityCouncilforTradesandOccupations),internationalorganisations(CommonwealthofLearningandtheIndia-Brazil-SouthAfricaTrilateralCommission),non-profitinstitutions(HigherEducationSouthAfricafortheHEAIDSproject)andthe Education, Training and Development practices sETA.
TransferpaymentsfromthedirectchargesoftheNationalRevenueFundweremadeto21SectorEducationandTraining Authorities (sETAs) and the national skills Fund for levies received from the south African Revenue service.
With regard to the monitoring of expenditure, the Department is receiving expenditure reports on the spending of the FET colleges conditional grants on a monthly basis from provincial education departments. Regarding
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universities and universities of technology annual reports are evaluated by the Department. The transfers to international organisations and the Education, Training and Development practices sETA are annual member contributions and no monitoring of this expenditure takes place.
6. conditional grants
Conditional grants and earmarked funds paid
Thetablebelowdetailstheconditionalgrantpaidduringtheperiod1April2012to31March2013.
Table 5: FET Colleges Conditional Grant
Departmenttowhomthegrantwastransferred
provincial education departments
purpose of the grant To ensure the successful transfer of the function of FET colleges to the Department of Higher Education and Training
Expected outputs of the grant • Transfer of FET colleges management staff to the Department of HigherEducationandTrainingfinalised
• Transfer of non-management staff to the Department of Higher EducationandTrainingfinalised
• secondment of provincial education department staff to the DepartmentofHigherEducationandTrainingfinalised
• Post-provisioningmodelforFETcollegesfinalised
• Implementation of the funding norms and standards for FET colleges
• ImplementationofthenewprogrammecostforfundingFETcolleges
• Monitor the support of FET colleges by provincial education departments
• Implementationof37%inlieuofbenefitsforFETcolleges
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Actual outputs achieved • 210 management posts were transferred to the Department ofHigher and Training
• collective agreements for the transfer of non-management staff weretabledattheELRCandGPSSBC.Thecollectiveagreementfor support staff was signed in the GPSSBC and is a waitingratification.Thecollectiveagreementforlecturingstaffwasratifiedon 4 February 2014
• 110provincialstaffmembersweresecondedtoDHET
• ThePost-provisioningModel(PPM)wasdraftedandpresentedtothe south African Institute of chartered Accountants (sAIcA) and seniormanagementintheDepartment.ThePPMwillbepilotedinnine FET colleges
• The implementation of the Funding norms and standards for FET collegesisacontinuousfunctionwhichismanagedbytheprovincialeducation departments (pEDs). With the function shift processes, thisfunctionwillbemanagedbytheDepartmentofHigherEducationand Training
• The programme costs for 2014 were developed and distributedto all FET colleges for implementation. A full verification on theimplementation of the programme costs will be conducted oncethe detailed verification plan with clear processes, timelines andoutcomes has been developed and approved
• The PEDs officials have been trained in the analysis of studentperformance in the examinations. They have monitored the progress and implementation of the improvement plans at the campus level
• 39 FET colleges have implemented the 37% in lieu of benefitsprior to the signing of the collective agreement. 11 FET colleges are implementing the split benefits and are currently consideringimplementing37%inlieuofbenefitsoncethecollectiveagreementissignedandratifiedbytherelevantparties
Amount per amended DoRA (R’000)
2 454 188
Amounttransferred(R’000) 2 454 188
Reasons if amount per DoRA not transferred
n/A
Amount spent by the provincial educationdepartments(R’000)
2 422 614
Reasons for the funds unspent by the entity
n/A
Monitoring mechanism by the transferring department
The Department receives expenditure reports on the spending of the FET colleges conditional grants on a monthly basis from provincial education departments. Monitoring visits are conducted
Transferpaymentsweremadeasoriginallyscheduledintermsofthetransferpaymentscheduleapprovedbynational Treasury.
The Department did not retain any portion of the conditional grant for administration costs.
Amounts allocated to Higher Education subsidies, the national student Financial Aid scheme, the Higher Education HIV and AIDs programme and the establishment of universities in Mpumalanga and northern cape wereearmarkedduring the2013/14financial year.All theseamountswereutilised for thepurposeoriginallyearmarked.
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Conditional grants and earmarked funds received
none.
7. Donor fundsThetablesbelowdetailthedonorfundsreceivedduringtheperiod1April2013to31March2014.
Table 6: Donor funds: European Union (claims recoverable)
name of donor European union
Full amount of funding R141 million
period of the commitment 2010 - 2013
purpose of the funding European union primary Education sector support programme
Expected outputs Research, programme development and materials development for Foundation phase Teacher Education, post-graduate scholarships, bursaries for initial teacher education and seeding the establishment of anacademicjournalandaresearchassociationforthissector
Actual outputs achieved Achievements include: support for 13 research and development projects at 20 universities aimed at strengthening/establishingfoundationphaseteachereducationprogrammes;21universitiesnowparticipating(upfrom13in2009)andsignificantgrowthinheadcountenrolments (98%) and graduates (93%) since the inception of theprogramme in 2009; scholarship support for seven Honours, 54 Masters and 40 phD students in childhood Education; 200 bursaries for African mother-tonguefoundationphaseteachereducationstudents;24newacademics employed at universities to support the start-up of newprogrammes; the establishment of the south African Journal for Early ChildhoodEducation(anacademicjournalthatwillbecomeself-fundingin 2014/15, and has already established itself by being accredited); the establishment of a south African Research association for Early Childhood Education (SARAECE) (a research association that willbecome self-funding in 2014/15); a number of regional conferences and asuccessfulfinalconference; thedevelopmentofavibrantresearchculturethathasthusfarproduced28peerreviewedjournalarticles,witha further 21 articles accepted for publication, and 36 articles in various stagesofpreparation; theestablishmentofanewFoundationPhaseprogrammeatSiyabuswa, the formerNdebeleCollegeofEducationsite,nowpartoftheUniversityofMpumalanga,andtheestablishmentof a teaching school linked to that campus
Amountreceived(R’000) 15 511
Amount spent by the Department (R’000)
18 406
Reasons for the funds unspent n/A
Monitoring mechanism by the donor progress reports to be submitted to the donor.
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Table 7: Donor funds: European Union Budget Support (In Cash)
name of donor European union Budget support
Full amount of funding R60 million
period of the commitment 1 october 2012 - 30 september 2014
purpose of the funding general
Expected outputs Part A: Policy and Research Services: Implementation of the activities identified in theNationalFramework forCooperation in theprovision of career Development (Information, Advice and guidance) services.
• An advocacy and communication action plan for integrated career services in the country
• guidelines and protocols for partnerships in career services
• A career services agenda for the country and the commissioning of initial research on international benchmarking and impact of the services
• Acompetencyframeworkfortheprovisionofcareerservices,thatisspecifictotheSouthAfricancontextandinlinewithinternationalstandards
• Implementation of a plan for the establishment of a national career development forum for the country.
Part B: System Development: Further development of the national career Advice portal.
• Expand the National Career Advice Portal modules with anoccupation information centre, geospatial components, a funding module and a career services advice module
• Expand the national career Advice portal content, including learning pathwaysandmulti-mediamaterials.
Actual outputs achieved Protocols were signed by the National Youth DevelopmentAgency,Finance and Accounting services sETA, Manufacturing, Engineering and Related services sETA, chemical Industries sETA and the south African Qualifications Authority. The National Career Advice Portal(NCAP)wasdevelopedasanintegratededucationandtrainingcareerdevelopment information system and is live (http://careerhelp.org.za/ncap).Threemodulesweredeveloped,viz.theInterestQuestionnairemodule, the Pathways module and the Learning Directory module.100%of public institutional datawas integrated into theNCAP.TheNCAP was transferred to the Department of Higher Education andTrainingandevaluationofthesourcecodewascompletedandfurtherdevelopmenthavecommenced.Serviceprovidersforthe‘CompetencyFrameworkforCareerDevelopmentPractitioners’andthedevelopmentofcontentfortheNCAPwerecontractedandafurther100pathwayswere developed.A contractwas entered intowith theSouthAfricanQualificationsAuthoritytorunthenationalhelpline,radioprogrammes,thesocialmediacampaign,exhibitions,aswellasthestrategyonwalk-in centres up to september 2014
Amountreceived(R’000) 4 286
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Amount spent by the Department (R’000)
1 155
Reasons for the funds unspent Owingtolateappointmentofprojectstaff,theactivitiesonthisprojectcommencedlaterthanoriginallyprojected.Thebusinessplanfortheprojectwasaccordinglyupdatedandapproved
Monitoring mechanism by the donor progress reports to be submitted to the donor
Table 8: Donor funds: European Union Budget Support (In Cash)
name of donor European union Budget support
Full amount of funding R99 million
period of the commitment commences in october 2014
purpose of the funding general
Expected outputs ContinuationofCareerDevelopmentServicesProject
Actual outputs achieved Additional allocation
Amountreceived(R’000) -
Amount spent by the Department (R’000)
-
Monitoring mechanism by the donor progress reports to be submitted to the donor
Table 9: Donor funds: European Union Budget Support (In Cash)
name of donor European union
Full amount of funding R53 million
period of the commitment commences in 2014
purpose of the funding general
Expected outputs Development of an open learning system for post-school education and training
Actual outputs achieved The first phase of theOpen Learning in Post-school Education andTraininginitiativewasconcludedthroughthedevelopmentofa‘ConceptDocument:OpenLearninginPost-schoolEducationandTraining’.FourconsultativeworkshopsforAdultEducation,FETcolleges,universitiesand skills development took place and the ‘Concept Framework foropen learning system in post-school Education and Training in south Africa’ was developed as a result of the four workshops and otherconsultationsidentifyingspecificprogrammestoconductopenlearningpilotsintheidentifiedfiveareas
Amountreceived(R’000) -
Amount spent by the Department (R’000)
-
Monitoring mechanism by the donor progress reports to be submitted to the donor
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Table 10: Donor funds: Danish Government (In Kind)
name of donor Danish government
Full amount of funding R32 million
period of the commitment up to December 2014
purpose of the funding To support the education and skills development programme in south Africa
Expected outputs Assistance to 12 FET colleges in four different provinces to improve student support services with a focus on entry, on-course and exitsupport. Assistance to the Department to continue development of a student support services frameworkon thebasis of fieldexperienceand other inputs
Actual outputs achieved Support FET colleges in terms of finalising their funding proposals.Assessmentandapprovaloftheproposalofcolleges’funding
Amountreceived(R’000) 7 461
Amount spent by the Department (R’000)
7 461
Reasons for the funds unspent n/A
Monitoring mechanism by the donor progress reports to be submitted to the donor
Table 11: Donor funds: Netherlands Government (In Kind)
name of donor netherlands government
Full amount of funding R21.906 million
period of the commitment Four year period commenced in 2011/12
purpose of the funding TostrengthentheNationalCertificateVocational(NC(V))programmesinlinewiththelabourmarketdemandsforFETcolleges
Amountreceived(R’000) 4 654
Amount spent by the Department (R’000)
4 654
Reasons for the funds unspent n/A
Monitoring mechanism by the donor progress reports to be submitted to donor
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Table 12: Donor funds: Netherlands Government (In Kind)
name of donor netherlands government
Full amount of funding R27.432 million
period of the commitment Four year period commenced in 2011/12
purpose of the funding To strengthen the Management Information systems and Information ManagementprocesseswithintheDepartmentandFETcolleges
Expected outputs capacity building in higher education through the netherlands universities Foundation for International cooperation: Implementation of standardised business management system in three pilot further education and training colleges
Amountreceived(R’000) 10 325
Amount spent by the Department (R’000)
10 325
Reasons for the funds unspent n/A
Monitoring mechanism by the donor progress reports to be submitted to donor
Table 13: Donor funds: Japanese Government (In Kind)
name of donor Japanese government
Full amount of funding R62.154 million
period of the commitment December 2013 - March 2016
purpose of the funding To train students in productivity, soft and innovation skills through the two-weekEmployabilityImprovementProject
Expected outputs Trained students in productivity, soft and innovation skills
Actual outputs achieved Two Japaneseexpertswere dispatched to theDepartment to assistthe Department with policy planning and implementation of humanresource development that meets industry demand and to mainstream the‘EmployabilityImprovementProject’intotheprogrammesofeachuniversity
Amountreceived(R’000) -
Amount spent by the Department (R’000)
-
Reasons for the funds unspent n/A
Monitoring mechanism by the donor Joint monitoring system between Japan and the university wheretrainingtakesplaceforeachlecturercourse,aswellasstudentcoursebyusingaformedmonitoringsheetdevelopedbythisproject
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Table 14: Donor funds: USAID (In Cash)
name of donor usAID
Full amount of funding R1.147 million
period of the commitment 2013 - 2015
purpose of the funding To fund Doctorate candidates from selected countries at the university ofPretoriaFacultyofLaw
Expected outputs Doctorate candidates from selected countries to study at the university ofPretoriaFacultyofLaw
Actual outputs achieved Doctorate candidates from selected countries studied at the university ofPretoriaFacultyofLaw
Amountreceived(R’000) 1 147
Amount spent by the Department (R’000)
1 147
Reasons for the funds unspent n/A
Table 15: Donor funds: European Union (In Kind)
name of donor European union
Full amount of funding Three Million Euros
period of the commitment Five years
purpose of the funding Mobility scheme for south African Masters and Doctoral students, aswellasacademicsandotherstaffmemberstospendpartof theirstudies,researchorworkingtimeataEuropeanuniversity
Expected outputs SouthAfricanMasters andDoctoral students, aswell as academicsandotherstaffmembersspentpartoftheirstudies,researchorworkingtime at a European university
Actual outputs achieved 92MastersandDoctoralstudentsweresenttoEuropeanuniversitiesas part of the Erasmus Mundus scholarship programme
Amountreceived(R’000) n/A
Amount spent by the Department (R’000)
n/A
Reasons for the funds unspent n/A
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Table 16: Donor funds: Chinese Government (In Kind)
name of donor chinese government
Full amount of funding -
period of the commitment ongoing
purpose of the funding scholarships to study at chinese universities
Expected outputs students to study at chinese universities
Actual outputs achieved 22 students received scholarships to study at chinese universities
Amountreceived(R’000) n/A
Amount spent by the Department (R’000)
n/A
Reasons for the funds unspent n/A
Table 17: Donor funds: Russian Government (In Kind)
name of donor Russian government
Full amount of funding -
period of the commitment ongoing
purpose of the funding scholarships to study marine and aeronautical engineering in Russia
Expected outputs students to study marine and aeronautical engineering in Russia
Actual outputs achieved Four students received scholarships to study in Russia
Amountreceived(R’000) n/A
Amount spent by the Department (R’000)
n/A
Reasons for the funds unspent n/A
Monitoring mechanism by the donor n/A
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Table 18: Donor funds: European Union (In Kind)
name of donor European union Dialogue Facility
Full amount of funding R4.169 million
period of the commitment ongoing
purpose of the funding Funding for a proposal for research on skills planning
Expected outputs proposal for research on skills planning
Actual outputs achieved The proposal for the study on skills planning was approved by theEuropean union Dialogue Facility. The terms of reference for the commissioning of research was prepared and approved by theEuropean union. The European union is in the process of procuring the service
Amountreceived(R’000) 400
Amount spent by the Department (R’000)
400
Reasons for the funds unspent n/A
Monitoring mechanism by the donor n/A
8. capital investment, maintenance and asset management planTheacquisitionofITequipmentandfurnitureforincumbentsandnewpostsandtoreplaceobsoleteassetstobedisposedof,isanon-goingprocess.AllobsoletefurniturewasdisposedofinaccordancewiththerulesandregulationsofNationalTreasury. Inorder toensure that theDepartment’sAssetRegister remainsup todateduringtheperiodunderreview,assetswerebar-codedimmediatelywhenreceivedandtheAssetRegisterwasupdatedaccordingly.Monthly reconciliationswerealsoperformedbetween theAssetRegisterandBAS.ThecurrentstateoftheDepartment’scapitalstockatthisstageisthat57%isinagoodcondition,30%isinafairconditionand13%isinabadcondition,butthereplacementofassetsisdonethroughlife-cyclemanagementandneedsanalysiswithrecommendationsbeforeeverypurchase.
pART c: goVERnAncE
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1. IntroductionThe Department is committed to maintain the highest standards of governance. good governance structures are inplacetoensureeffective,efficientandeconomicutilisationofstateresourcesfundedbythetaxpayers.TheRiskManagerwasappointedlatein2013.
Regularmanagementmeetingsareconductedandcasesofpossibleirregularitiesarefollowedupimmediatelywhendiscovered.Controlsforpaymentprocessesandsegregationofdutiesinpaymentprocessesareinplace.policies for various matters have been developed and have been communicated to staff members.
The budget of the Department is aligned to the strategic plan and Annual performance plan of the Department andmonthlybudgetmonitoringisconductedthroughthemonthlycashflowstatementsthatareissuedtotheMinister and the Department.
2. Risk ManagementTheDepartment’sRiskManagementpolicyandstrategywasapproved.
TheriskassessmentsareconductedregularlyasprescribedandriskregistersarebeingfinalisedperBranch.
TheRiskManagementCommitteeisfunctional.AlltheBrancheswithintheDepartmentarerepresentedinthecommittee that provides advice on the overall system of Risk Management.
progress on implementation of the Risk Management processes is reported regularly to the Audit committee and theCommitteeprovidesadvicewhereneeded.
RiskManagementwithintheDepartmenthasrecentlybeenestablishedastheunitstartedtofunctioninNovember2013.
ThusfarthereisprogressonimplementationoftheRiskManagementprocesses;howeverRiskManagement’scontributiontowardsimprovementsontheDepartment’sperformanceisreliantoneffectiveimplementationoftheprocesses by the key stakeholders and incorporation into critical processes such as planning, Monitoring and Reporting.
3. Fraud and corruptionA Fraud prevention plan is in place as required by the Treasury Regulations to prevent and detect fraudulent activitiesandtoprotectassetsandotherresourcesfromanydishonest,unethicalconduct.AWhistle-Blowingpolicy forms part of the Fraud prevention plan and the Department utilises the national public service Anti-CorruptionHotline.DuringtheperiodfraudulentactivitiesthatwereidentifiedbyInternalAuditandcasesreceivedbytheNationalPublicServiceAnti-CorruptionHotline,wereinvestigatedandreportedtotherelevantauthorities.
4. MinimisingConflictofInterestAllseniormanagersintheDepartmentarecompelledtodeclaretheirfinancial intereststotheMinisteronanannual basis. Furthermore, all employees of the Department are compelled to request permission from the Director-Generalbefore theydoanyworkoutside theDepartment thatgeneratesadditional remuneration forthem.Regularnewsflashesareavailabletoalertallstaffmembersontheprocess.
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Inaddition,allstaffappointedwithintheSupplyChainManagementunit,completeaDeclarationofInterestandacknowledgementofthecontentoftheCodeofConductformwhichiskeptonfilebytheDirector:SCM.
Anynon-complianceindentifiedisdealtwiththroughtheLabourRelationsprocessesandcorrectiveactionsaretakenwhererequired.
5. code of conductThe code of conduct for public servants, developed by the public service commission to promote a high standardofprofessionalethicsinthepublicservice,wasimplementedintheDepartmentandmanagersensurethatallstaffmembersadheretoit.CopiesofthetwoCodesofConductforPublicServantsweredistributedtoeveryofficialintheDepartmentandhavebeenfullyimplemented.CopiesoftheCodeofConductarealsoplacedonthepersonnelfilesafternewemployeessignedreceipt.LabourRelationworkshopswereheldtointroducethecode of conduct to all staff members.
Normaldisciplinaryprocedureswillbefollowedinaneventofabreachofthecode.
6. Health safety and Environmental IssuesAnOccupationalHealthandSafetyOfficerwasappointed.ThePolicyonHealthandWellnesswasapprovedandintroduced.ThepolicyisavailableontheDepartment’sIntranet.
7. portfolio committee ThePortfolioCommitteeonHigherEducationandTrainingheldvariousmeetingswiththeDepartmentregardingtheStrategicPlan,AnnualPerformancePlanandquarterlyandannualreportingduringtheyearunderreview.
8. scopA Resolutionsnone.
9. Priormodificationstoauditreportsnone.
10. Internal Audit and Audit committee
Key activities and objectives of Internal Audit
The role of the Internal Audit Unit is to provide management and the Audit Committee with independent,objectiveassuranceandconsultingservices,designedtoaddvalueandimprovetheDepartment’soperations.It is furthermoreaimedatassistingtheDepartment toaccomplish itsobjectivesbyestablishingasystematic,disciplined approach to evaluating and improving the effectiveness of governance, risk management and control processes.
TheInternalAuditUnitoperateswithskilledpersonnelandfunctionsasrequiredbytheTreasuryRegulationsandthePublicFinanceManagementAct(PFMA).Anauditplanwasdevelopedfromtheriskassessmentconductedin
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theDepartmentandapprovedbytheAuditCommittee.Duringtheyearunderreview,internalauditengagementswereperformedinaccordancewiththeAuditPlan.Owingtoalackofstafftoexecutealltheworkontheauditplan,theDepartmentdecidedtomakeuseofconsultantstoprovideco-sourcingtoassistwiththeaudits.Themain activities of Internal Audit:
• compile a three-year rolling strategic and annual audit plan
• Performinternalauditonthefollowingsystems:
- Risk management systems
- control systems
- governance systems
• Report to management and the Audit committee.
Internal Audit work
Thefollowingactivitiesasperauditplanwerecompleted:
• corporate governance
• Information systems audit
• Transfer payments
• Division of revenue act payments
• performance information
• personal administration
• Inventory and assets
• Tenders
• Follow-uponInternalAuditandAuditor-Generalreports
• Financial statements
• other operational audits
Key activities and objectives of the Audit Committee
Theobjective of theAuditCommittee is to assist theAccountingOfficer in fulfilling oversight responsibilitiesregarding the financial reporting process, the systemof internal control andmanagement of risks, the auditprocessandthemonitoringofcompliancewithlawsandregulationsandtheDepartment’sowncodeofbusinessconduct.
The main activities are:
• consider the effectiveness of the internal control systems
• Understandthescopeofinternalandexternalauditorreviewofinternalcontroloverfinancialreporting,andobtainreportsonsignificantfindingsandrecommendationstogetherwithmanagement’sresponses
• AssesswhethertheDepartment’sassetshavebeenproperlysafeguardedandused
• ReviewtheDepartment’sriskprofileonanannualbasisandensuremanagementiseffectivelymanagingthe risks
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• Review theeffectivenessof the system formonitoring compliancewith lawsand regulationsand theresultsofmanagementinvestigationandfollow-up(includingdisciplinaryaction)ofanyinstancesofnon-compliance
• Reviewtheadequacy,reliabilityandaccuracyofthefinancialinformationprovidedtomanagementandotherusersofsuchinformationandannuallyreviewtheAnnualFinancialStatementsandrecommenditsapproval to the Dg.
The Audit committee is in place and functions effectively, as required by the Treasury Regulations and the pFMA. TheAuditCommitteeheldfivemeetingsduringtheperiodunderreviewandwasassistedbyInternalAudit,whichprovides secretarial services.
Attendance of audit committee meetings:
Name Qualifications Internal/ External member
Appointed Meetings attended
Resigned
prof. Dp van der nest D Tech External 1/11/2010 5 n/A
Ms s padayachy M comm External 1/11/2010 4 n/A
Mr s Makhubu cA, sA External 6/6/2011 5 n/A
pART D: HuMAn REsouRcE MAnAgEMEnT
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IntroductionThe statistics and information published in this part of the annual report are required in terms of chapter 1, part III J.3 of the public service Regulations, 2001 and have been prescribed by the Minister for the public service andAdministrationforalldepartmentswithinthePublicService.
The statistical tables provide high-level information on key human resource issues. The information aims to empowerlegislatures,themedia,thepublicandotherkeystakeholderstomonitorwhethertheDepartmentofHigher Education and Training:-
• isexercisingthepowersgrantedunderPublicServiceandPublicFinance legislation inaresponsiblemanner,
• isachievingnationaltransformationprioritiesestablishedbytheCabinet,forexample,affirmativeaction.
Annualreportsareproducedaftertheendofthefinancialyear.Thisisaimedatstrengtheningtheaccountabilityof departments to key stakeholders.
personnel Related Expenditure
ExpenditureNote:During2013/14atotalofR76.879millionwasspentonremunerationforexaminersandmoderators.Thisamountisexcludedfromthepersonnelexpendituretablesastheseofficialsareremuneratedonaclaimpertaskbasis.Theinclusionofthisinthefollowingtableswouldgiveafalsereflectiononthepersonnelnumbersandcost in the tables.
BelowtheDepartment’sbudgetissetoutintermsofclearlydefinedprogrammes.Thefollowingtablessummarisefinalauditedexpenditurebyprogramme (Table1.1)andbysalarybands (Table1.2). Inparticular the tablesprovide an indication of the amount spent on personnel costs in terms of each of the programmes or salary bands withintheDepartment.
Human Resources oversight statistics
TABLE 1 .1 – Personnel costs by programme, 1 April 2013 to 31 March 2014
Programme Total expenditure
Personnel expenditure
Professional and Special
Services
Training expenditure
Personnel cost as a % of total
expenditure
Average personnel cost per
employee
Number of employees
(R’000) (R’000) (R’000) (R’000) (R’000)
1 203 044 109 076 2 974 777 53.72 328.542 332
2 43 535 35 138 116 8 80.71 516.735 68
3 28 299 279 33 129 694 26 0.12 409.000 81
4 5 686 388 79 182 3 001 176 1.39 375.270 211
5 99 723 65 046 0 0 65.23 236.531 275
sub total 34 331 969 321 571 6 785 987 0.94 332.544 967
statutory 12 090 186 0 0 0 0 0 0
Total 46 422 155 321 571 6 785 987 0 .69 332 .544 967
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TABLE 1 .2 – Personnel costs by salary bands, 1 April 2013 to 31 March 2014
Salary band Personnel expenditure % of total personnel cost
Average personnel cost per employee
(R’000) (R’000)
Lowerskilled (levels 1-2)
995 0.31 49.750
skilled (levels 3-5) 46 197 14.36 126.912
Highly skilled production (levels 6-8)
65 662 20.42 275.891
Highly skilled supervision (levels 9-12)
131 543 40.91 496.389
senior Management (levels 13-16)
77 174 24.00 964.675
Total 321 571 100 .00 332 .544
Thefollowingtablesprovideasummaryperprogramme(Table1.3)andsalarybands(Table1.4),ofexpenditureincurredasaresultofsalaries,overtime,homeowner’sallowanceandmedicalassistance.Ineachcase,thetableprovidesanindicationofthepercentageofthepersonnelbudgetthatwasusedfortheseitems.
TABLE 1.3 – Salaries, Overtime, Home Owner’s Allowance and Medical Assistance by programme, 1 April 2013 to 31 March 2014
Programme Salaries Overtime Home Owner’s Allowance
Medical Assistance
Personnel costs
Amount Salaries as a % of personnel
cost
Amount Overtime as a % of personnel
cost
Amount HOA as a % of
personnel cost
Amount Medical assistance as a % of personnel
cost
(R‘000) (R‘000) (R‘000) (R‘000) (R‘000)
1 109 076 73 384 67.28 2 394 2.19 2 311 2.12 3 428 3.14
2 35 138 24 288 69.12 18 0.05 549 1.56 720 2.05
3 33 129 22 710 68.55 131 0.40 450 1.36 777 2.35
4 79 182 52 180 65.90 2 741 3.46 1 761 2.22 2 586 3.27
5 65 046 44 660 68.66 1 793 2.76 2 243 3.45 3 537 5.44
Total 321 571 217 222 67 .55 7 077 2 .20 7 314 2 .27 11 048 3 .44
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TABLE 1.4 – Salaries, Overtime, Home Owner’s Allowance and Medical Assistance by salary bands, 1 April 2013 to 31 March 2014
Salary band Salaries Overtime Home Owner’s Allowance
Medical Assistance
Personnel costs
Amount Salaries as a % of personnel
cost
Amount Overtime as a % of personnel
cost
Amount HOA as a % of
personnel cost
Amount Medical assistance as a % of personnel
cost
(R‘000) (R‘000) (R‘000) (R‘000) (R‘000)
Lowerskilled (levels 1-2)
995 647 65.03 2 0.20 90 9.05 41 4.12
skilled (levels 3-5)
46 197 26 204 56.72 3 624 7.84 2 648 5.73 3 705 8.02
Highly skilled production (levels 6-8)
65 662 41 538 63.26 2 503 3.81 2 129 3.24 3 335 5.08
Highly skilled supervision (levels 9-12)
131 543 90 803 69.03 948 0.72 1 720 1.31 3 253 2.47
senior Management (levels 13-16)
77 174 58 030 75.19 0 0.00 727 0.94 714 0.93
Total 321 571 217 222 67 .55 7 077 2 .20 7 314 2 .27 11 048 3 .44
2 . Employment and vacancies
Thefollowingtablessummarisethenumberofpostsontheestablishment,thenumberofemployees,thevacancyrateandwhether thereareanystaff thatareadditional totheestablishment.This information ispresented interms of three key variables:- programme (Table 2.1), salary band (Table 2.2) and critical occupation (Table 2.3).Departmentshaveidentifiedcriticaloccupationsthatneedtobemonitored.Table2.3providesestablishmentandvacancy information for the key critical occupations of the Department.
Thevacancyratereflectsthepercentageofpoststhatarenotfilled.
TABLE 2 .1 – Employment and vacancies by programme, 31 March 2014
Programme Number of posts Number of posts filled
vacancy rate % Number of posts filled additional to the establishment
1 350 332 5.14 18
2 76 68 10.53 0
3 100 81 19.00 0
4 218 211 3.21 4
5 295 275 6.78 2
Total 1 039 967 6 .93 24
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Note: Due to the newness of the Department it was necessary to implement additional posts to the staffestablishmentinwhichtoappointofficialstoperformtherelatedtasks.Oncethevacantpostshavebeenfilledthepostswillberemovedfromtheestablishment.
TABLE 2 .2 – Employment and vacancies by salary bands, 31 March 2014
Salary band Number of posts Number of posts filled
vacancy rate % Number of posts filled additional to the establishment
Lowerskilled (levels 1-2)
21 20 4.76 0
skilled (levels 3-5)
369 364 1.36 5
Highly skilled production (levels 6-8)
252 238 5.56 3
Highly skilled supervision (levels 9-12)
297 265 10.77 5
senior Management (levels 13-16)
100 80 20.00 11
Total 1 039 967 6 .93 24
TABLE 2 .3 – Employment and vacancies by critical occupation, 31 March 2014
Critical occupation Number of posts Number of posts filled
vacancy Rate % Number of posts filled additional to the establishment
Educators (level 9-12) 14 14 0.00 0
Total 14 14 0 .00 0
Theinformationineachcasereflectsthesituationasat31March2014.Foranindicationofchangesinstaffingpatternsovertheyearunderreview,pleaserefertosection5ofthisreport.
Note: TheDepartmentwascreatedwitheffectfrom1April2010.During2010/11,2011/2012,2012/2013and2013/2014theDepartmentwasinaprocessoffillingcriticalposts.ThemainfunctionsoftheDepartmentarepolicy formulation and implementationwhere different kinds of skills are necessary at different stages. ThespecialisednatureofworkinmostoftheareasoftheDepartmentnecessitatestheuseofhighlyskilledpeoplewhoareatsomestagesnotreadilyavailableforpermanentappointmentandhavetobeappointedoncontractforperiods as may be required. The Department also seconds highly skilled professionals from tertiary institutions andotherorganisations toaddressspecificneeds thatarise. ThesepeopleareappointedagainstpostsonthefixedstaffestablishmentoftheDepartmentforshortperiods,forexamplethreetosixmonths.Theabovepracticemightcreatetheimpressionofahigherthannormalstaffturnoverwhichisinfactnotthecase.
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3 . Job Evaluation
ThePublicServiceRegulations1999,introducedjobevaluationasawayofensuringthatworkofequalvalueis remuneratedequally.Withinanationally determined framework, executingauthoritiesmayevaluateor re-evaluateanyjobintheirorganisations.IntermsoftheRegulationsallvacanciesonsalarylevels9andhighermustbeevaluatedbeforetheyarefilled.
Thefollowingtable(Table3.1)summarisesthenumberofjobsthatwereevaluatedduringtheyearunderreview.Posts on the new proposed structure of the Department which have been job evaluated are included in this table, therefore it may appear as if there were more post evaluated than the post on the existing structure . Thetablealsoprovidesstatisticsonthenumberofpoststhatwereupgradedordowngraded.
TABLE 3 .1 – Job Evaluation by salary band for the period 1 April 2013 to 31 March 2014
Salary band Number of posts
Number of jobs eval-
uated
% of posts evaluated by salary
bands
Posts upgraded Posts downgraded
Number % of posts
evaluated
Number % of posts
evaluated
Lowerskilled (levels 1-2)
21 0 0.00 0 0.00 0 0.00
skilled (levels 3-5) 369 0 0.00 0 0.00 0 0.00
Highly skilled production (levels 6-8)
252 0 0.00 0 0.00 0 0.00
Highly skilled supervision (levels 9-12)
297 0 0.00 0 0.00 0 0.00
senior Management service Band A (level 13)
75 91 100.00 0 0.00 0 0.00
senior Management service Band B (level 14)
18 32 100.00 0 0.00 0 0.00
senior Management service Band c (level 15)
6 8 100.00 0 0.00 0 0.00
senior Management service Band D (level 16)
1 1 100.00 0 0.00 0 0.00
Total 1 039 132 12 .7 0 0 .00 0 0 .00
Thefollowingtableprovidesasummaryofthenumberofemployeeswhosesalarypositionswereupgradeddueto their posts being upgraded.
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TABLE 3.2 – Profile of employees whose salary positions were upgraded due to their posts being upgraded, 1 April 2013 to 31 March 2014
Beneficiaries African Indian Coloured White Total
Female 0 0 0 0 0
Male 0 0 0 0 0
Total 0 0 0 0 0
Employeeswithdisabilities 0 0 0 0 0
Thefollowingtablesummarisesthenumberofcaseswhereremunerationlevelsexceededthegradedeterminedbyjobevaluation.
TABLE 3.3 – Employees whose salary level exceeds the grade determined by job evaluation, 1 April 2013 to 31 March 2014 (in terms of PSR 1 .v .C .3)
Occupation Number of employees
Job evaluation level
Remuneration level
Reason for deviation
- 0 0 0 0
Totalnumberofemployeeswhosesalariesexceededtheleveldeterminedbyjobevaluation in 2013/14
0
Percentage of total employment 0
Table3.4summarisesthebeneficiariesoftheaboveintermsofrace,genderanddisability.
TABLE 3.4 – Profile of employees whose salary level exceeds the grade determined by job evaluation, 1 April 2013 to 31 March 2014 (in terms of PSR 1 .v .C .3)
Beneficiaries African Indian Coloured White Total
Female 0 0 0 0 0
Male 0 0 0 0 0
Total 0 0 0 0 0
Employeeswithadisability 0 0 0 0 0
4 . Employment Changes
This sectionprovides informationon changes in employment over the financial year.Turnover ratesprovideanindicationoftrendsintheemploymentprofileoftheDepartment.Thefollowingtablesprovideasummaryofturnover rates by salary band (Table 4.1) and by critical occupations (Table 4.2). (These “critical occupations” should be the same as those listed in Table 2.3).
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TABLE 4 .1 – Annual turnover rates by salary band for the period 1 April 2013 to 31 March 2014
Salary band Number of employees per band as on 1 April
2013
Appointments and transfers
into the Department
Terminations and transfers
out of the Department
Turnover rate %
Lowerskilled(Levels1-2) 14 6 0 0.00
skilled (levels 3-5) 326 84 51 15.64
Highly skilled production (levels 6-8) 220 39 24 10.90
Highly skilled supervision (levels 9-12) 230 56 32 13.91
senior Management service Band A (level 13)
46 7 2 4.34
senior Management service Band B (level 14)
16 6 7 43.75
senior Management service Band c (level 15)
4 0 0 0.00
senior Management service Band D (level 16)
1 0 0 0.00
Total 857 198 116 13 .53
TABLE 4 .2 – Annual turnover rates by critical occupation for the period 1 April 2013 to 31 March 2014
Occupation Number of employees per
occupation as on 1 April 2013
Appointments and transfers into the
Department
Terminations and transfers out of the Department
Turnover rate%
Educators (level 9-12) 14 0 2 14.28
Total 14 0 2 14 .28
Table4.3identifiesthemajorreasonswhystafflefttheDepartment.
TABLE 4.3 – Reasons why staff are leaving the Department
Termination Type Number % of total
Death 3 2.59
Resignation 28 24.14
Transfers to other public service Departments 19 16.38
Expiry of contract 54 46.55
Employee initiated severance packages 0 0.00
Discharge due to ill health 0 0.00
Dismissal – misconduct 3 2.59
Retirement 9 7.75
Total 116 100
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TABLE 4 .4 – Promotions by critical occupation
Occupation Employees as on 1 April
2013
Promotions to another salary level
Salary level promotions
as a % of employees
by occupation
Progressions to another
notch within a salary level
Notch progressions
as a % of employees by
occupation
Educators (level 9-12) 14 0 0.00 14 100.00
Total 14 0 0 .00 14 100 .00
TABLE 4 .5 – Promotions by salary band
Salary band Employees as on 1 April
2013
Promotions to another salary level
Salary bands promotions
as a % of employees by
salary level
Progressions to another
notch within a salary level
Notch progressions
as a % of employees by salary band
Lowerskilled(Levels1-2) 14 0 0.00 0 0.00
skilled (levels 3-5) 326 31 9.51 211 64.72
Highly skilled production (levels 6-8)
220 15 6.82 159 72.27
Highly skilled supervision (levels 9-12)
230 33 14.34 160 69.57
senior Management (levels 13-16)
67 2 2.99 63 94.02
Total 857 81 9 .45 593 69 .19
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5 . Employment Equity
The tables in this section are based on the formats prescribed by the Employment Equity Act, 55 of 1998.
TABLE 5.1- Total number of employees (including employees with disabilities) in each of the following occupational categories as on 31 March 2014
Occupational category (SASCO)
Male Female
African Coloured Indian White African Coloured Indian White Total
senior Managers (level 13-16)
27 4 1 11 18 1 4 14 80
Educators and Middle Managers (level 9-12)
112 4 6 27 90 1 3 22 265
OfficersandSeniorclerks, Machine operators (level 4-8)
171 5 0 8 252 8 3 34 481
Elementary occupations (cleaners, Messengers, Food services AIDs, security) (level 1-3)
75 1 0 0 65 0 0 0 141
Total 385 14 7 46 425 10 10 70 967
Employeeswithdisabilities 4 0 0 2 2 0 0 2 10
TABLE 5.2- Total number of employees (including employees with disabilities) in each of the following occupational bands as on 31 March 2014
Occupational band Male Female
African Coloured Indian White African Coloured Indian White Total
Top Management (level 15-16)
1 0 1 2 2 0 0 1 7
senior Management (level 13-14)
26 4 0 9 16 1 4 13 73
Educators and Middle Managers (level 9-12)
112 4 6 27 90 1 3 22 265
skilled and academicallyqualifiedworkers(Level6-8)
58 4 0 5 130 6 3 32 238
semi-skilled and discretionary decision making (level 3-5)
182 1 0 3 174 2 0 2 364
Unskilledanddefineddecision making (level 1-2)
6 1 0 0 13 0 0 0 20
Total 385 14 7 46 425 10 10 70 967
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TABLE 5 .3- Recruitment for the period 1 April 2013 to 31 March 2014
Occupational band Male Female
African Coloured Indian White African Coloured Indian White Total
Top Management (level 15-16)
0 0 0 0 0 0 0 0 0
senior Management (level 13-14)
4 0 1 1 2 0 0 0 8
Educators and Middle Managers (level 9-12)
9 0 0 3 5 0 0 1 18
skilled and academicallyqualifiedworkers(Level6-8)
1 0 0 0 5 1 0 0 7
semi-skilled and discretionary decision making (level 3-5)
1 0 0 0 3 0 0 0 4
Unskilledanddefineddecision making (level 1-2)
2 0 0 0 4 0 0 0 6
Total 17 0 1 4 19 1 0 1 43
Employeeswithdisabilities
0 0 0 0 0 0 0 0 0
TABLE 5 .4- Promotions for the period 1 April 2013 to 31 March 2014
Occupational band Male Female
African Coloured Indian White African Coloured Indian White Total
Top Management (level 15-16)
0 0 0 0 0 0 0 0 0
senior Management (level 13-14)
1 0 0 0 1 0 0 0 2
Educators and Middle Managers (level 9-12)
12 1 0 1 17 0 0 1 32
skilled and academicallyqualifiedworkers(Level6-8)
5 0 0 0 9 0 1 0 15
semi-skilled and discretionary decision making (level 3-5)
8 0 0 1 23 0 0 0 32
Unskilledanddefineddecision making (level 1-2)
0 0 0 0 0 0 0 0 0
Total 26 1 0 2 50 0 1 1 81
Employeeswithdisabilities
0 0 0 0 0 0 0 0 0
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TABLE 5 .5 Terminations for the period 1 April 2013 to 31 March 2014
Occupational band Male Female
African Coloured Indian White African Coloured Indian White Total
Top Management (level 15-16)
0 0 0 0 0 0 0 0 0
senior Management (level 13-14)
2 0 0 1 6 0 0 0 9
Educators and Middle Managers (level 9-12)
11 0 0 3 14 0 1 3 32
skilled and academicallyqualifiedworkers(Level6-8)
9 0 0 0 12 0 0 3 24
semi-skilled and discretionary decision making (level 3-5)
25 0 0 0 26 0 0 0 51
Unskilledanddefineddecision making (level 1-2)
0 0 0 0 0 0 0 0 0
Total 47 0 0 4 58 0 1 6 116
Employeeswithdisabilities
0 0 0 0 0 0 0 0 0
TABLE 5 .6- Disciplinary action for the period 1 April 2013 to 31 March 2014
Type of disciplinary action
Male Female
African Coloured Indian White African Coloured Indian White Total
Finalwrittenwarning 2 0 0 0 0 0 0 0 2
Suspensionwithpay 0 0 0 1 0 0 0 0 1
Dismissal 3 0 0 0 0 0 0 0 3
Total 5 0 0 1 0 0 0 0 6
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TABLE 5.7-Skills development for the period 1 April 2013 to 31 March 2014
Occupational category
Male Female
African Coloured Indian White African Coloured Indian White Total
senior Managers (level 13-16)
17 0 0 3 13 0 1 3 37
Educators and Middle Managers (level 9-12)
8 0 1 4 15 2 1 5 36
OfficersandClerks (level 4-8)
87 2 0 0 103 0 0 6 198
Elementary occupations (cleaners, Messengers, Food services AIDs, security) (level 1-3)
19 0 0 0 3 0 0 0 22
Total 131 2 1 7 134 2 2 14 293
Employeeswithdisabilities
0 0 0 0 0 0 0 0 0
6 . Signing of Performance Agreements by SMS Members
ThefollowingtablesindicatethenumbersandpercentagesofSMSmemberswhosignedperformanceagreementsas on 31 July 2013 (Table 6.1), reasons for not having concluded performance agreements (Table 6.2) and disciplinary steps taken against sMs members for not having concluded performance agreements (Table 6.3).
TABLE 6 .1 – Signing of performance agreements by SMS members as on 31 July 2013
SMS Level Total number of funded SMS posts per level
Total number of SMS members
per level
Total number of signed
performance agreements per
level
Signed performance
agreements as % of total number of SMS members per
level
Director-general (level 16)
1 1 1 100.00
Deputy Director-general (level 15)
6 4 4 100.00
chief Director (level 14)
18 16 16 100.00
Director (level 13) 75 46 46 100.00
Total 100 67 67 100 .00
TABLE 6 .2 – Reasons for not having concluded performance agreements for all SMS members as on 31 July 2013
1. none
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TABLE 6.3 – Disciplinary steps taken against SMS members for not having concluded performance agreements as on 31 July 2013
1. none
7 . Filling of SMS posts
ThefollowingtablesindicatethenumberofSMSpostsfilledandvacantason31March2013(Table7.1),ason30September2013(Table7.2),advertisingandfillingofSMSpostsason31March2014(Table7.3),reasonsfornothavingfilledvacantposts(Table7.4)anddisciplinarystepstakenfornotcomplying.
TABLE 7 .1 – SMS posts information as on 31 March 2014
SMS Level Total number of funded
SMS posts per level
Total number of SMS
posts filled per level
% of SMS posts filled
per level
Total number of SMS
posts vacant per level
% of SMS posts vacant
per level
Director-general (level 16) 1 1 100.00 0 0.00
Deputy Director-general (level 15)
6 4 66.67 2 33.33
chief Director (level 14) 18 14 77.78 4 22.22
Director (level 13) 75 61 81.33 14 18.67
Total 100 80 80 .00 20 20 .00
TABLE 7 .2 – SMS posts information as on 30 September 2013
SMS Level Total number of
funded SMS posts per
level
Total number of SMS posts filled per
level
% of SMS posts filled
per level
Total number of SMS posts vacant per
level
% of SMS posts
vacant per level
Director-general (level 16) 1 1 100.00 0 0.00
Deputy Director-general (level 15)
6 4 66.67 2 33.33
chief Director (level 14) 18 14 77.78 4 22.22
Director (level 13) 75 49 65.33 26 34.67
Total 100 68 68 .00 32 32 .00
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TABLE 7.3 – Advertising and filling of SMS posts as on 31 March 2014
Advertising Filling of posts
SMS Level Number of vacancies per
level advertised in 6 months of
becoming vacant
Number of vacancies per level filled in 6 months after becoming
vacant
Number of vacancies per
level not filled in 6 months but filled in
12 months
Director-general (level 16) 0 0 0
Deputy Director-general (level 15) 2 0 0
chief Director (level 14) 1 1 2
Director (level 13) 12 0 0
Total 15 1 2
TABLE 7.4 – Reasons for not having complied with the filling of funded vacant SMS posts – advertised within 6 months and filled within 12 months after becoming vacant
Reasonsforvacanciesnotbeingadvertisedwithin6months:
1. none
Reasonsforvacanciesnotbeingfilledwithin12months:
1. Candidateswereshort-listedandinterviewedbutwerenotfoundtobesuitablefortheparticularposts.Thepostswerereadvertised.
TABLE 7.5 – Disciplinary steps taken for not complying with the prescribed timeframes for filling SMS posts within 12 months
1. none
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8. Performance Rewards
Toencouragegoodperformance,theDepartmenthasgrantedthefollowingperformancerewardsduringtheyearunderreview.Theinformationispresentedintermsofrace,genderanddisability(Table8.1),salarybands(Table8.2) and critical occupations (Table 8.3).
TABLE 8.1 – Performance rewards by race, gender and disability, 1 April 2013 to 31 March 2014
Beneficiary Profile Cost
Race Number of beneficiaries
Total number of employees
in group
% of total within group
Cost (R’000) Average cost per employee
(R‘000)
African
Male 120 385 31.17 1 312 10
Female 134 425 31.52 1 538 11
Indian
Male 3 7 42.86 67 22
Female 3 10 30.00 59 20
Coloured
Male 5 14 35.71 82 16
Female 2 10 20.00 18 9
White
Male 34 46 73.91 472 14
Female 20 70 28.57 585 29
Total 321 967 33 .20 4 133 13
TABLE 8.2 – Performance rewards by salary bands for personnel below Senior Management Service, 1 April 2013 to 31 March 2014
Salary band Beneficiary profile Cost
Total personnel
expenditure for level (R’000)
Number of beneficiaries
Number of employees
% of total
within salary bands
Total Cost
(R’000)
Average cost per
employee (R’000)
Total cost as a % of the total
personnel expenditure
Lowerskilled (levels 1-2)
995 0 20 0.00 0 0 0.00
skilled (levels 3-5) 46 196 78 364 21.31 366 5 0.79
Highly skilled production (levels 6-8)
65 662 117 238 49.16 1 053 9 1.60
Highly skilled supervision (levels 9-12)
131 543 121 265 45.66 2 440 20 1.85
Total 244 396 316 887 35 .63 3 859 12 1 .58
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TABLE 8.3 – Performance related rewards (cash bonus), by salary band, for Senior Management Service
Note: This task has not been finalized for the 2013/14 assessment year and only the following figures are currently available.
Salary band Beneficiary profile Cost
Total personnel
expenditure for level (R’000)
Number of beneficiaries
Number of employees
% of total within band
Total cost(R’000)
Average cost per
employee(R’000)
Total cost as a % of the total
personnel expenditure
(level 13-16) 77 174 5 80 6.25 274 55 0.36
Total 77 174 5 80 6 .25 274 55 0 .36
9. Foreign Workers
ThetablesbelowsummarisetheemploymentofforeignnationalsintheDepartmentintermsofsalarybandsandbymajoroccupation.Thetablesalsosummarisechangesinthetotalnumberofforeignworkersineachsalarybandandbyeachmajoroccupation.
TABLE 9.1 – Foreign workers, 1 April 2013 to 31 March 2014, by salary band
Salary band 1 April 2013 31 March 2014 Change
Number % of total Number % of total Number % change
level 13 0 0.00 1 50 1 50
level 12 0 0.00 1 50 1 50
Total 0 0 .00 2 100 2 100
TABLE 9.2 – Foreign workers, 1 April 2013 to 31 March 2014, by major occupation
Major occupation 1 April 2013 31 March 2014 Change
Number % of total Number % of total Number % change
Educators 0 0.00 0 0.00 0 0.00
Total 0 0 .00 0 0 .00 0 0 .00
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10 . Leave utilisation for the period 1 January 2013 to 31 December 2013
ThePublicServiceCommissionidentifiedtheneedforcarefulmonitoringofsickleavewithinthepublicservice.Thefollowingtablesprovideanindicationoftheuseofsickleave(Table10.1)anddisabilityleave(Table10.2).In both cases, the estimated cost of the leave is also provided.
TABLE 10.1 – Sick leave, 1 January 2013 to 31 December 2013
Salary band Total days % days with
medical certification
Number of employees using sick
leave
% of total employees using sick
leave
Average days per employee
Estimated cost
(R’000)
Total number of days with medical
certification
Lowerskilled(levels 1-2)
337 57.27 106 10.96 3 73 193
skilled (levels 3-5)
2 593 76.51 336 34.76 7 971 1 984
Highly skilled production (levels 6-8)
2 145 77.99 233 24.09 9 1 532 1 673
Highly skilled supervision (levels 9-12)
1 562 74.51 233 24.09 6 2 660 1 164
senior Management (levels 13-16)
421 86.93 59 6.10 7 1 320 366
Total 7 058 76 .22 967 100 .00 7 6 556 5 380
TABLE 10 .2 – Disability leave (temporary and permanent), 1 January 2013 to 31 December 2013
Salary band Total days taken
% days with
medical certification
Number of employees
using disability
leave
% of total employees
using disability
leave
Average days per employee
Estimated cost
(R’000)
Total number of days with medical
certificate
Lowerskilled(levels 1-2)
67 100.00 3 20.00 22 25 67
skilled (levels 3-5)
159 100.00 5 33.30 32 128 159
Highly skilled production (levels 6-8)
224 100.00 5 33.30 45 599 224
Highly skilled supervision (levels 9-12)
90 100.00 1 6.70 90 323 90
senior Management (levels 13-16)
22 100.00 1 6.70 22 52 22
Total 562 100 .00 15 100 .0 37 1 127 562
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Table10.3summarisestheutilisationofannualleave.ThewageagreementconcludedwithtradeunionsinthepscBc, requires management of annual leave to prevent high levels of accrued leave being paid at the time of termination of service.
TABLE 10 .3 – Annual leave, 1 January 2013 to 31 December 2013
Salary band Total days taken Average per employee
Number of Employees who
took leave
Lowerskilled(Levels1-2) 1 570 79 20
skilled (levels 3-5) 8 568 24 364
Highly skilled production (levels 6-8) 5 352 23 238
Highly skilled supervision (levels 9-12) 6 210 23 265
senior Management (levels 13-16) 1 880 24 80
Total 23 580 24 967
TABLE 10 .4 – Capped leave, 1 January 2013 to 31 December 2013
Salary band Total days of capped leave
taken
Average number of days taken per employee
Number of employees who
took capped leave
Lowerskilled(Levels1-2) 0 0 0
skilled (levels 3-5) 9 5 2
Highly skilled production (levels 6-8) 7 2 3
Highly skilled supervision (levels 9-12) 23 8 3
senior Management (levels 13-16) 11 6 2
Total 50 5 10
TABLE 10 .5 – Leave payouts for the period 1 April 2013 to 31 March 2014
Thefollowingtablesummarisespaymentsmadetoemployeesasaresultofleavethatwasnottaken.
Reason Total amount (R’000)
Number of employees
Average payment per
employee (R)
capped leave payout on termination of service 13 1 13 000
Total 13 1 13 000
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11. HIVandAIDS and Health Promotion Programmes
TABLE 11.1 - Steps taken to reduce the risk of occupational exposure
Units/categories of employees identified to be at high risk of contracting HIV and related diseases
(if any)
Key steps taken to reduce the risk
none Educationawarenessandpreventionprogrammes
Distribution of universal precautions
Firstaidkitsinstalledonallfloorsofthebuilding
condom distribution
TABLE 11.2 - Details of Health Promotion and HIV and AIDS Programmes (tick the applicable boxes and provide the required information)
Question Yes No Details, if yes
1. Has the Department designated a member of the sMs to implement the provisions contained in part VI E of chapter 1 of the public service Regulations, 2001? If so, provide her/his name and position.
yes Mr B Masuku HRMD and labour Relations
2. Does the Department have a dedicated unit or has it designated specific staff members to promotethehealthandwell-beingofyouremployees? Ifso,indicate thenumberofemployeeswhoare involvedin this task and the annual budget that is available for this purpose.
yes Twoofficials
3. Has the Department introduced an Employee Assistance or Health promotion programme for your employees? If so, indicate the key elements/services of this programme.
yes Toassistemployeeswithtask-relatedand personal problems.
4. Has the Department established (a) committee(s) as contemplated in part VI E.5 (e) of chapter 1 of the public service Regulations, 2001? If so, please provide the names of the members of the committee and the stakeholder(s) that they represent.
yes Each Branch is represented in the committee.
5. HastheDepartmentrevieweditsemploymentpoliciesand practices to ensure that these do not unfairly discriminate against employees on the basis of their HIV status? If so, list the employment policies/practicessoreviewed.
yes • leave policy
• Employee Assistance programme policy
• Recruitment policy
• HIV and AIDs and TB Management policy
6. Has the Department introduced measures to protect HIV-positive employees or those perceived to be HIV-positive from discrimination? If so, list the key elements of these measures.
yes • HIV and AIDs Workplace programme
• condom distributions
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Question Yes No Details, if yes
7. Does the Department encourage its employees to undergo Voluntary counseling and Testing? If so, list the results that you have achieved.
yes Through HcT campaign the uptake ofofficialswhounderwentpre-testcounselingwas677andthosewhotestedwere72.HCTcampaignisconductedquarterly,whichwillensurethatofficialskeeptheirstatusandbeable to live a healthy life.
8. Has the Department developed measures/indicators to monitor and evaluate the impact of its health promotion programme? If so, list these measures/indicators.
yes • Training in First Aid programmes
• Distribution of condoms
• protective gloves distribution
• Awarenesscampaign
• Information session
• Distribution of booklets and pamphlets on HIV and AIDs
• Introducedwellnessprogrammesi.e. soccer and netball
12 . Labour Relations
ThefollowingcollectiveagreementswereenteredintowithtradeunionswithintheDepartment.
TABLE 12 .1 - Collective agreements, 1 April 2013 to 31 March 2014
Subject matter Date
none -
ThefollowingtablesummarisestheoutcomeofdisciplinaryhearingsconductedwithintheDepartmentfortheyearunderreview.
TABLE 12.2 - Misconduct and disciplinary hearings finalised, 1 April 2013 to 31 March 2014
Outcome of disciplinary hearings
Number % of total
correctional counselling 0 0.00
Verbalwarning 0 0.00
Writtenwarning 6 46.00
Finalwrittenwarning 2 15.00
Suspendedwithoutpay 1 8.00
Fine 0 0.00
Demotion 0 0.00
Dismissal 3 23.00
not guilty 0 0.00
Casewithdrawn 1 8.00
Total 13 100 .00
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TABLE 12 .3 - Types of misconduct addressed at disciplinary hearings for the period 1 April 2013 to 31 March 2014
Type of misconduct Number % of total
Mismanagement of funds 8 100.00
negligently cause loss of state property 0 0.00
Total 8 100 .00
TABLE 12 .4 - Grievances lodged for the period 1 April 2013 to 31 March 2014
Number % of total
number of grievances resolved 15 58.00
number of grievances not resolved 11 42.00
Total number of grievances lodged 26 100 .00
TABLE 12.5 - Disputes lodged with Councils for the period 1 April 2013 to 31 March 2014
Number % of total
number of disputes upheld 4 33.34
number of disputes dismissed 1 8.33
number of dispute outstanding 7 58.33
Total number of disputes lodged 12 100 .00
TABLE 12.6 - Strike actions for the period 1 April 2013 to 31 March 2014
Total number of person working days lost 0
Totalcost(R’000)ofworkingdayslost 0
Amount(R’000)recoveredasaresultofnoworknopay 0
TABLE 12 .7 - Precautionary suspensions for the period 1 April 2013 to 31 March 2014
Number of people suspended 0
Numberofpeoplewhosesuspensionexceeded30days 0
Average number of days suspended 0
Cost(R’000)ofsuspensions 0
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13. Skills developmentThissectionhighlightstheeffortsoftheDepartmentwithregardtoskillsdevelopment.
TABLE 13.1 - Training needs identified 1 April 2013 to 31 March 2014
Occupational category
Gender Number of employees
as at 1 April 2013
Training needs identified at start of reporting period
Number of employees
identified for training
Skills Programmes and other short
courses
Other forms of training
Total number of courses
Senior Managers (Level 13-16)
Female 33 17 • Job Evaluation panel
• Monitoring and Evaluation
2
Male 34 20
Educators and Middle Managers (Level 9-12)
Female 107 23 • Mentoring and coaching
• Advanced Management Development
• Emerging Management Development
• security graded Training
• share point
5
Male 123 13
Officers, Clerks and Machine Operators (Level 3-8)
Female 247 109 • Work study
• Mentoring and coaching
• Job Evaluation Analysis
• computer Training
• BAs and logis
5
Male 156 90
Elementary occupations (Cleaners, Messengers, Food Services AIDS, Security, Interns) (Level 1-2)
Female 71 3
Male 86 19 • occupational Health and safety
• security grades Teaching
2
Sub Total Female 458 152
Male 399 142
Total 857 294 14
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TABLE 13 .2 - Training provided 1 April 2013 to 31 March 2014
Occupational category
Gender Number of employees as at 1 April
2013
Training provided within the reporting period
Number of employees
identified for training
Skills Programmes and other short
courses
Other forms of training
Total
Senior Managers (Level 13-16)
Female 33 17 • Job Evaluation panel
• Monitoring and Evaluation
2
Male 34 20
Educators and Middle Managers (Level 9-12)
Female 107 23 • Mentoring and coaching
• Advanced Management Development
• Emerging Management Development
• security graded Training
• share point
5
Male 123 13
Officers, Clerks and Machine Operators (Level 3-8)
Female 247 109 • Work study
• Mentoring and coaching
• Job Evaluation Analysis
• computer Training
• BAs and logis
5
Male 156 90
Elementary occupations (Cleaners, Messengers, Food Services AIDS, Security, Interns) (Level 1-2)
Female 71 3
Male 86 19 • occupational Health and safety
• security grades Training
2
Sub total Female 458 152
Male 399 142
Total 857 294 14
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14 . Injury on duty
Thefollowingtableprovidesbasicinformationoninjuriesonduty.
TABLE 14 .1 - Injury on duty, 1 April 2013 to 31 March 2014
Nature of injury on duty Number % of total
Required basic medical attention only 4 100.00
Temporary Total Disablement 0 0.00
permanent Disablement 0 0.00
Fatal 0 0.00
Total 4 100.00
15. Employee initiated severance packages
TheMinisterforthePublicServiceandAdministration(MPSA)haswitheffectfrom1January2006intermsofsection 3(3)(c ) of the public service Act, 1994, as amended, issued a determination on the introduction of an employee initiated severance package (EIsp) for employees. The procedure relevant to the granting of an EIsp toanemployeeentailsthatthecommentsoftheMPSAmustfirstbeobtainedbeforedepartmentsmakeafinaldecisioninthisregard.ThefollowingtableprovidesinformationinrespectofEISPgrantedduringtheperiod 1 April 2013 to 31 March 2014.
TABLE 15.1 - Granting of employee initiated severance packages, 1 April 2013 to 31 March 2014
Salary band Number of applications
received
Number of applications referred to the MPSA
Number of applications supported by MPSA
Number of packages
approved by Department
Lowerskilled(Levels1-2) 0 0 0 0
skilled (levels 3-5) 0 0 0 0
Highly skilled production (levels 6-8) 0 0 0 0
Highly skilled supervision (levels 9-12) 0 0 0 0
senior Management (levels 13-16) 0 0 0 0
Total 0 0 0 0
16 . Utilisation of Consultants
TABLE 16 .1 - Report on consultant appointments using appropriated funds for the period 1 April 2013 to 31 March 2014
Note: Incaseswherecompaniesweregrantedthetender,thenumberofconsultantsanddurationofworkdaysspentonthetasksisunknownandisindicatedasunknowninthefollowingtables.
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Project title/ description of task Total number of consultants that worked on the
project
Duration:Work days/
months
Contract value in Rand (R’000)
Request for service providers to perform internal audit functions for the DHET and the nsF for a period of one year
Ernst & young Advisory services (pty) ltd
20 Consultants
14/12/2012 13/11/2013
4 488 750
Request to appoint a service provider to provide a central application call centre for DHET for a period of four to six months
I-choice call centre
60 Consultants
25/11/2013 31/03/2014
5 029 144
TABLE 16 .2 - Report on consultant appointments using Donor funds
Project title Total number of consultants that worked on the
project
Duration:Work days/
months
Donor and Contract value
in Rand (R’000)
Request for proposal to manage funds for the HumanandSocialScienceproject(HSS)onbehalfof Department of Higher Education and Training
centre for Education policy Development
5 Consultants
05/06/2012 to 04/06/2013
nsF Donor
7%
support to DHET: skills Development Branch MzabalazoAdvisory
1 Consultant
01/05/2013 to 30/04/2014
nsF Donor
1 137 847
The development of Learning pathways for thenational career Advice portal (ncAp)
Independant Research services
2 Consultants
671 Days 534 149
Appointment of a service provider to test and further develop the national career Advice portal system (phase 1) to enable supplementary development of and the inclusion of additional modules to the system (phase 2)
praxis computing
4 Consultants02/01/2014 to 31/03/2014
752 764
Appointment of a service provider to assist the NationalSkillsFundtotransformintoafully-fledgedschedule 3A public Entity.
Ernst & young Advisory services (pty) ltd
52 Consultants
01/03/2014 to 28/02/2014
30 838 868
Backup, Archiving & Recovery solution sithabile Technology services
01/03/ 2014 to 30 /06/ 2014
1 883 306
TABLE 16 .3 - Analysis of consultant appointments using Donor funds, in terms of Historically Disadvantaged Individuals (HDIs)
Project title Percentage ownership by HDI groups
Percentage management by HDI
groups
Number of Consultants from HDI groups that work on the project
none
pART E: FInAncIAl InFoRMATIon
160
Department of HigHer eDucation anD trainingVOTE 17
for the year ended 31 March 2014ANNUAL FINANCIAL STATEMENTS
conTEnTsReport of the Audit committee 161
ReportoftheAccountingOfficer 163
Report of the Auditor-general 188
Appropriation statement 193
notes to the Appropriation statement 207
statement of Financial performance 209
statement of Financial position 210
statement of changes in net Assets 211
CashFlowStatement 212
notes to the Annual Financial statements (including Accounting policies) 213
Annexures 236
161
DEPARTMENT OF HIGHER EDUCATION AND TRAININGVoTE 17
Report of the Audit committeeWearepleasedtopresentourreportforthefinancialyearended31March2014.
Audit Committee Members and Attendance
TheAuditCommitteeconsistsofthememberslistedbelowandshouldmeetatleastfourtimesperannumasperitsapprovedtermsofreference.Duringthecurrentyearfivemeetingswereheld.
Name of member Number of meetings attended
prof. Dp van der nest 5
Ms s padayachy 4
Mr s Makhubu 5
Audit Committee Responsibility
TheAuditCommittee reports that ithascompliedwith its responsibilitiesarising fromSection38(1)(a)of thepublic Finance Management Act and Treasury Regulation 3.1. The Audit committee also reports that it has adopted appropriate formal terms of reference as its committee charter, has conducted its affairs in compliance withthischarterandhasdischargedallitsresponsibilitiesascontainedtherein.
The effectiveness of internal control
The system of internal control is designed to provide cost-effective assurance that assets are safeguarded and that liabilitiesandworkingcapitalareeffectivelymanaged. In linewiththePFMArequirements, InternalAuditand the Auditor-general south Africa (AgsA) assures the Audit committee and management that the internal controls are adequate and effective. This is achieved by means of evaluating the effectiveness regarding the managementofidentifiedrisks,aswellastheidentificationofcorrectiveactionsandsuggestedenhancementsto the controls and processes.
Thereportsfrominternalandexternalauditindicatedthatthesystemofinternalcontrolwasnotentirelyeffectiveduringtheyearunderreview,asseveralinstancesofnon-compliancewithinternalcontrolswerereported.Therewerealsoanumberofrepeatfindingsfromoneormorepreviousyears.TheAuditCommitteewillcontinuetomonitorprogressagainst thecorrectiveactionplans implementedbymanagement,specifically thesystemofcontroling the generation, collation and reporting of performance information. This continues to be an area of concern to the Audit committee.
The quality of in-year management and monthly/quarterly reports submitted in terms of the PFMA
TheAuditCommittee issatisfiedwith thecontentandqualityofmonthlyandquarterly reportspreparedandissuedbytheAccountingOfficeroftheDepartmentduringtheyearunderreview.
Thereportingofperformanceinformationagainstsetobjectivescontinuestobeacauseforconcern.
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Evaluation of Financial Statements
The Audit committee has
• reviewedanddiscussedtheauditedfinancialstatements tobe included in theannual report,with theAGSAandtheAccountingOfficer
• reviewedtheAGSA’smanagementreportandmanagement’sresponsethereto
• reviewedchangesinaccountingpoliciesandpractices
• reviewedtheDepartmentscompliancewithlegalandregulatoryprovisions
• reviewedsignificantadjustmentsresultingfromtheauditand
• reviewedinformationonpredeterminedobjectivestobeincludedintheannualreport.
TheAuditCommitteeconcurswith,andacceptstheAGSA’sconclusionsontheannualfinancialstatements,andisoftheopinionthattheauditedannualfinancialstatementsbeacceptedandreadtogetherwiththereportofthe AgsA.
Internal audit
TheAuditCommitteeissatisfiedthattheinternalauditfunctionisoperatingeffectivelyandthatithasaddressedtheriskspertinenttotheDepartmentinitsaudits.Internalauditwasabletocompletetheauditplanapprovedbythe audit committee.
Risk Management
DuringNovember 2013 aRiskManagerwas appointed and the riskmanagement implementation planwasdeveloped in linewith the riskmanagementstrategyof theDepartment. Riskmanagementstillneeds tobeembedded in the management processes of the Department.
Auditor-General South Africa
TheAuditCommitteehasmetwith theAuditor-GeneralSouthAfrica to ensure that therearenounresolvedissues.
Conclusion
TheAuditCommitteewishes to thank theDirector-Generaland the relevantstaffof theDepartment for theircontinuedcommitmenttogoodgovernancewithintheDepartment.TheAuditCommitteealsocongratulatestheDepartmentonachievinganotherunqualifiedaudit report for theyearunder review.Ourappreciation isalsoextendedtotheChiefFinancialOfficerandthefinanceteamfortheireffortsregardingthefinancialstatementsfor the year and to the team from the AgsA for the value they continue to add to the Department. The Audit Committeewillmonitortheimprovementsmadebymanagementinaddressingcontroldeficienciesidentifiedbyexternal and internal audit.
Prof D .P . van der NestChairperson of the Audit CommitteeDate: 1 August 2014
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ReportbytheAccountingOfficertotheExecutiveAuthorityandtheParliamentoftheRepublicofSouthAfrica.
1. GeneralreviewofthestateoffinancialaffairsTheoriginalallocation to theDepartment for the2013/14financialyear,excludingdirectcharges,whichwasincludedintheEstimatesofNationalExpenditure2013,increasedby9%fromR31500.357millionin2012/13toR34 322.391 million. This included R22 388.767 million for Higher Education Institutions (HEIs) and R5 769.405 millionfortheNationalStudentFinancialAidScheme(NSFAS)(82%oftheDepartment’stotalbudgetfor2013/14,comparedto82.9%in2012/13).TheDepartment’sallocationincreasedbyanamountofR11.509millionintheAdjustedEstimates for2013/14,amounting toa totalofR34333.900million.The increasewasmadeupasfollows:
R’000
• OtheradjustmentsfortheincreaseinimprovementofconditionsofserviceinrespectofFurther Education and Training (FET) college personnel.
11 509
The total expenditure, excluding direct charges, for the 2013/14 financial year, increased by 8.7% fromR31582.400millionin2012/13toR34331.969millionin2013/14,whichrepresentsaspendingrateof99.99%(99.99%in2012/13).Theexpenditurewasmadeupasfollows(inR’000):
2012/13 2013/14 Increase/ (Decrease)
compensation of employees 360 434 398 450 38 016Departmental operations 142 775 150 031 7 256Departmental earmarked funds 24 896 40 162 15 266subsidies to HEIs 20 902 779 22 388 767 1 485 988nsFAs 5 195 661 5 769 405 573 744subsidies to public entities 106 068 113 036 6 968conditional grants to the provinces for FET colleges 4 844 607 2 454 188 (2 390 419)subsidies to FET colleges - 3 013 189 3 013 189other transfers 5 180 4 741 (439)Total expenditure 31 582 400 34 331 969 2 749 569
Thesurpluson thevote for thefinancialyear,excludingdirectcharges,amounted toR1.931million (R3.751millionin2012/13)andwasmadeupasfollows(inR’000):
2012/13 2013/14compensation of employees 2 640 453Departmental operations 1 003 1 318Departmental earmarked funds 3 4subsidies to HEIs 81 -other transfers 24 156Total savings 3 751 1 931
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AdecreaseintheprojectedspendingontheskillsdevelopmentlevyresultedinadecreaseofR103millionintheallocationinrespectofdirectchargesfromR12403milliontoR12300millionintheAdjustedEstimatesfor2013/14.Thetotalexpenditureondirectchargesinthe2013/14financialyearamountedtoR12090.186million(R11694.493millionin2012/13)basedontheactualcollectionoflevies,andwasmadeupasfollows(inR’000):
2012/13 2013/14sector Education and Training Authorities (sETAs) 9 355 595 9 673 818national skills Fund 2 338 898 2 416 368Total expenditure 11 694 493 12 090 186
Important policy decisions and strategic issues
The2013/14financialyearmarkedthelaunchoftheWhitePaperonPost-schoolEducationandTrainingthatwaspublished inJanuary2014.TheWhitePaperaims to improve thecapacityof thepost-schooleducationand training system and outlines policy directions to develop the country and improve the economic, social and cultural life of its people. some of the key principles that are addressed in the White paper include:
• strengthening and expanding the Technical and Vocational Education and Training (TVET) colleges.
• TheestablishmentofCommunityEducationandTrainingColleges thatwill buildon theprogrammesthat are currently funded through public Adult learning centres in order to expand vocational, skills development and non-formal programmes.
• TopromotequalityimprovementsandbuildappropriatediversitywithintheUniversitysector.
• Theimprovementofaccessandsuccessforpeoplewithdisabilities.
• creating a post-school distance education landscape based on an open system.
• Improvethelinkbetweeneducationandtheworkplace.
On advice fromSAQA, theMinister amended the sub-frameworks that comprise theNationalQualificationsFrameworkandappointedaMinisterialCommitteeonArticulationPolicythatproducedareporttobepublishedfor public comment. The Regulations for the Establishment of a national Institute for the Humanities and social Sciences, Learning Programme Regulations and Trade Test Regulations were published. The draft SocialInclusionPolicyFrameworkwasreferredtotheMinisterialOversightCommitteeonTransformationforinputs.
cabinet approved the development of a career Development services policy and implementation plan in January 2014.A‘Concept Framework for an Open Learning System in Post-school Education and Training in South Africa’withpolicyrecommendationswasdeveloped.
TheDepartment’sfirstInternationalRelationsStrategyDocumentwasapprovedduring2013.
TheDepartmentcontinuedwiththequalityassurancefunctionsfortheReport190/1N4toN6part-qualificationsand the national n Diploma delegated to it by the Quality council for Trades and occupations in 2012. The backlogcertificationprojectcarriedoverfromthe2012/13periodto2013/14,whichisusuallythefunctionofthequalityassurancebody,wasconductedbytheDepartmentintheperiodunderreview.TheDepartmentreachedanagreementwithUmalusitopayareducedfeeforcertificatesissued,asthisisacostusuallypaidbytheTVETcolleges.
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In response to concerns raised by umalusi as the quality assuror regarding the legitimacy and the quality of the site-based assessment tasks set and administered at site level, the Department had to expand the monitoring andmoderationprocessesfocusingonsite-basedassessmenttoincludeReport190/1part-qualificationsoverandabovetheNC(V)qualificationstargetedin2012/13.Furthermore,theDepartmentexpandedthecentralisedmarking of N part-qualifications toN2, N4 andN5 per province and continuedwith the centralised nationalmarkingofN3andN6(deemed‘exit’points)toaddresstheconcernsraisedbythequalityassurorandtolendcredibilitytotheresultsforNpart-qualifications.Althoughthisactivitymarginallyincreasedtheoperationalbudgetusedforthemarkingfunctionduringthe2013/14financialyear,ithadasignificantandpositiveimpactonthestandard and integrity of the marking process.
Duringtheperiodunderreview,theDepartmentfacilitatedtheinvolvementoftheOfficeoftheNationalPoliceCommissioner in the investigations related to the leakageofReport190/1questionpapers toassistwith theidentificationof theorigin thereof. Inanattempt toeliminate the repeated leakagesexperiencedwithReport190/1 question papers in each trimester examination cycle, the Department revised the delivery model by skynet fromoneconsignmenttotwoconsignments,onetotwoweeksinadvanceoftheexaminationtimetabletothedaily delivery of papers the afternoon before the examination.
Audit panels had to be convened per Engineering studies trimester examination cycle yet again during this financialperiodtodeterminethenatureandextentoftheleakagesinsubjectsinwhichquestionpaperswerereportedtohavebeenleaked.Althoughthisalsohadamarginal impactonthebudgetof thefunction, itwascriticalfortheapprovalofresultsbythequalityassurorandintegrityoftheN1-N6part-qualifications.
With regards to Adult Education and Training, a draft policy on community Education and Training colleges wasdeveloped,theRegulationsontheAssessmentProcessandProceduresforAdultEducationandTrainingNationalQualificationsFrameworkLevel1wasapproved,theNationalSeniorCertificateforAdultswasregisteredbytheSouthAfricanQualificationsAuthorityinDecember2013andtheprocesseson‘A Résumé of subjects for theSeniorCertificate,Report550(2014/7)’,underpinningtheSeniorCertificateasanalternativequalificationforadultlearners,wasapproved.
A thorough analysis of 2012 year-end examination results and provincial road shows that laid the basis forthe development of college Academic performance Improvement plans took place in 2013/14. Furthermore, theAssociationofCollegesSouthAfrica(AoCSA)throughtheSkillsforEmployabilitypartnershipbetweentheDepartmentandtheBritishCouncilwaslaunched.AoCSAisanationalbodyofpublicTVETcollegesaimedatproviding a coordinated voice from the college sector on pertinent policy issues on the post-school Education and Training system. The launch of the south African Further Education and Training student Association in 2013/14 intendedtoassistwiththeadvancementofstudentinterestinthetechnicalandvocationaleducationandtrainingsector,aswellaswiththecoordinationofstudentleadershipanddevelopmentinitiatives.
Attheendofthe2013academicyear,theTVETcollegestudentattendanceandpunctualitypolicywasintroduced.Through an external audit of the bursary management and administration processes in selected TVET colleges, the rules and guidelines for themanagement and administration of theDepartment’sTVET college bursaryschemewerestrengthened.TheHigherEducationandTrainingHIV/AIDSProgramme(HEAIS)wasextendedtoTVETcollegesduringtheyearwhichprovidedthefirstnationalprogrammeonHIVpreventioninTVETcollegesthrough voluntary counselling, testing and treatment services. This initiative has three additional pillars on gender andreproductivehealth,malemedicalcircumcisionaswellasalcoholandsubstanceabusescreening.
Duringtheperiodunderreview,theNationalSkillsAuthorityadvisedtheMinister:1)toplacetheLocalGovernmentSETAunderadministrationowingtopoorperformanceinaccordancewithsection15oftheSkillsDevelopmentActand2)toreviewtheSETAfundgrantregulationstoensurethatSETAfundingaddressesgovernmentandsector
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priorities and to approve trade test regulations. The national skills Authority also undertook the responsibility to develop the annual implementation report for the national skills Development strategy.
The grant Regulations came into effect on 1 April 2013 and a Ministerial Task Team Report on the sETA performancewaspublishedforpubliccomment.
The advocacy programme called the ‘2013 Year of Artisan’Programmewasrolledoutacrossallnineprovincesduringthe2013/14financialyear.ThousandsofyoungpeopleparticipatedintheprogrammethatwasbasedatpublicTVETcolleges.Owingtothesuccessoftheprogramme,itwasexpandeduntil2024andwillbeknownasthe‘Decade of the Artisan’.Thisprogrammewillmaintaintheawarenessforqualifiedartisansandisaimedprimarily at advocating the need for young people to consider technical and vocational programmes at TVET colleges and artisan development in particular as a career of choice, as opposed to only a university based career.
Aspartof the implementationof theremovalof thenationalartisan learner fundingblockageas identifiedbythe Human Resource Development council, the Minister approved a policy for a generic national Artisan LearnerGrant Funding andAdministrationSystem in June 2013.ThePolicy established for the first time inthe country a single guaranteed funding model for all artisan trades applicable to all sectors including a single, simple artisan learner administration and grant disbursement system. All artisan learners registered on a sETA registered artisan learning programme, receive the same grant value payable in four tranches over the length of theprogramme.Thispolicyhasalreadycreatedasignificantlevelofstabilityandsustainabilitywithinthenationalartisan development system. The sETAs, the national skills Fund and all other funding agencies are aligning their funding policies to include the Artisan learner Funding policy.
AseriesofExpenditureandPerformanceReviews(EPR)wasapprovedinSeptember2013bytheMinister’scommittee on the Budget to be implemented by national Treasury and the Department of performance Monitoring andEvaluation for the promotion of priority development projects for the country.ArtisanDevelopment wasidentified as one such priority development project and anEPRwas initiated inNovember 2013.A detailedanalysis of all national artisan development activities and costs attached to such activities has been completed and a series of national artisan development scenarios developed that are aligned to the national Development Plantargetofproducingatleast30000qualifiedartisansperyearby2030.
Significant events that have taken place and major projects undertaken or completed during the year
Anumberofkeyeventscritical to thecountryand itseconomy tookplaceduring the2013/14financialyear.Thisincludestheestablishmentandlaunchoftwonewuniversities,SolPlaatjeUniversity(SPU)intheNorthernCapeand theUniversity ofMpumalanga (UMP) inMpumalanga. InterimCouncilswereappointed togoverneachinstitution.SPUwasformallylaunchedataneventinKimberleyon19September2013andUMPatanevent inMbombelaon30October2013.Bothuniversitiesopened theirdoors to theirfirst intakeofstudentsin February 2014. The Minister also established a national Institute for Humanities and social sciences and appointed a board to operationalise the institute. The report of the Joint Technical Task Team to provide advice ontheestablishmentofanewHealthandAlliedSciencesUniversitythatwouldincorporatetheMedunsacampusoftheUniversityofLimpopo(UL)wasfinalisedandapprovedbytheMinistersofHigherEducationandTrainingandofHealth.Subsequently,theMinisterpublishedanoticeintheGovernmentGazetteannouncinghisintentiontoestablishanewHealthandAlliedSciencesUniversity.
TheDepartment,incollaborationwiththeHumanSciencesResearchCouncil(HSRC)andtheDepartmentofInternational Relations and cooperation (DIRco), ensured the successful participation of south Africa in the
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2014 BRIcs Think Tanks council (BTTc) meeting and the 2014 BRIcs Academic Forum held in Rio de Janeiro, Brazil,inMarch2014.DuringtheyearanumberofsignificantBRICSrelatedeventsweresuccessfullyorganisedincluding an academic forum in July 2013 to interrogate the draft BRIcs vision document and to develop it furtherintoaSouthAfricanpositiondocument.ThisledtothefinalisationofadocumentpresentedattheBTTCmeetinginRiodeJaneiro.Ajointmini-forumwasalsoheldinJanuary2014,inwhichthewidernetworkofSouthAfricanBRICSresearchersandacademicsparticipatedtodiscussthe12papersthatwouldbepresentedatthe2014AcademicForum.SouthAfrica’sparticipationattheBTTCmeeting,asoutgoingchair,wassignificant.ThemeetingfinalisedtheTermsofReferencefortheCouncil,aswellasagreedonadocument‘Towards a Long-Term Strategy for BRICS: Recommendations by BTTC’,basedonthevisiondocumentproducedbySouthAfrica,thatwillbepresentedtotheHeadsofStateatthe2014Summit.Aprocessforthedevelopmentofasetoffivestrategicdocumentsfocusingonfivekeypillars/themeswasalsoagreedupon.
Careerguidanceexhibitionsincreasedinnumber,aswellasbothimprovedquantityandqualityofinformationmade available to learners and stakeholders. The Izimbizo programme covered all provinces and ensuredthatdifferentcommunities,particularly ruralcommunities,haveeasyaccess to theDepartment’s information.Information brochures and leaflets have been produced and distributed via Izimbiso, exhibitions and GCISresource centres.
During theyearunder review,public institutionaldatawere integrated intoasinglemanagement informationsystemincludingTVETcolleges,highereducationinstitutionsandSETAs.TheAnnualPerformancePlanwasdevelopedandapprovedandquarterly reportswerecollatedandsubmitted to theMinisterand thePortfolioCommittee.RegardingtheimplementationofthestatutoryfunctionsassignedbytheNationalQualificationsAct(2008),amonitoringandevaluationreportwascompletedforthe2013/14financialyear.
The national career Advice portal (ncAp) has been developed as an integrated education and training career development information system and is live (http://careerhelp.org.za/ncap). The modules that have been developedincludetheInterestQuestionnairemodule,PathwaysmoduleandLearningDirectorymodule.100%ofpublicinstitutionaldatawasintegratedintotheNCAP(learningdirectorymodule),i.e.publicTVETcollegesanduniversities. Thousands of persons are reached through radio, exhibitions, telephone help lines, and Web portal which includestheWebsiteandMobi-site.TheNCAPhasbeentransferredtotheDepartmentafteryear-endandevaluationofthesourcecodewascompletedandfurtherdevelopmenthascommenced.Additionallearningpathwayswerealsodeveloped.
career development services protocols have been signed by the national youth Development Agency, Finance and Accounting services sETA, Manufacturing, Engineering and Related services sETA, chemical Industries SETAandtheSouthAfricanQualificationsAuthority.
Thefirstphaseof theOpenLearning inPost-schoolEducationandTraining initiativewasconcludedthroughthedevelopmentofa‘Concept Document: Open Learning in Post-school Education and Training’.ConsultativeworkshopsforAdultEducation,TVETcolleges,universitiesandskillsdevelopmenttookplaceandthe‘Concept Framework for an Open Learning System in Post-school Education and Training in South Africa’wasdevelopedas a result.
During2013/14,theDepartmenthadbi-lateralswithIraq,theUnitedKingdom,Namibia,Gabon,Cuba,China,Malaysia and saudi Arabia.
AnimplementationmonitoringreportfortheSocialInclusionPolicyFrameworkhasbeendevelopedandadraftSocialInclusionPolicywascompleted.
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TheLabourMarketIntelligenceProjectwasundertakeninpartnershipwithaconsortiumofresearchorganisationsandamajorfive-yearresearchprojectisbeingundertakenthroughtheEducationPolicyConsortium.Boththeseprojectsareongoing.
AllauditeddatawasloadedtoHEMISandreportsweregeneratedformonitoringandevaluationofuniversities.
In order to expand equitable access to and success in the higher education system, infrastructure grants amounting to R2 billion, teaching development grants amounting to R576 million and foundation provision grants amountingtoR204.705millionwerereleasedin2013/14forspecificprojects/programmes.
TheReportoftheMinisterialCommitteefortheReviewoftheFundingofUniversitieswasreleasedon28February2014andaTechnicalTeamandaReferenceGroupwereestablished to consider all the recommendations,conductmodellingandalsodraftanewfundingframeworkforcomment.
ThenewReportingRegulationsforPublicHigherEducationInstitutionshavebeenfinalisedafterincorporationofpubliccommentsandintensiveconsultationwithkeystakeholdersinthesector,specificallyHigherEducationSouthAfrica(HESA)andtheUniversityChairsofCouncilForum(UCCF).Itisexpectedthattheywillbepublishedas final policy in aGovernmentNoticewithin the first quarter of 2014/15, and shall come into effect for thereporting year commencing on 1 January 2015.
TheCentralApplicationsClearingHouse(CACH)wasimplementedforthesecondtime,andoperatedsuccessfullyfromthefirstweekofJanuary2014totheendofMarch2014,CACHwasutilisedtoguideandadviseprospectivestudentsonthedifferentlearningopportunitiesavailablewithinthepost-schooleducationandtrainingsystem.
ThePolicyonProfessionalQualifications forTechnicalandVocationalEducationLecturerswasfinalisedandpublishedintheGovernmentGazetteforimplementation.UniversitieshavebeenidentifiedtodevelopprogrammeswiththesupportoftheDepartment.
Duringtheperiodunderreview,theDepartmentconductedworkshopsforthedevelopmentandadministrationofsite-basedassessmentstoindividualTVETcollegesinprovinces,providedbriefingsessionsontheconductandadministrationofnationalexaminationsatprovinciallevel,face-to-facebriefingandsupervisionofinternalmoderatorsduringthesettingofquestionpapersfor2014/15andbriefingworkshopsforallTVETcollegemarkingcentre managers for both centralised and decentralised national marking centres and full implementation of question-basedmarkingacrossallqualifications.
TheDepartmentdeliveredninenationalexaminationcyclesduring2013/14ofwhichsevenwerefortheTVETcollegesectorandtwofortheAdultEducationandTrainingsector.DuringeachofthesecyclestheDepartmentengagedinandachievedthefollowing:
• Registration of candidates
• Monitoringandregistrationofnewpublicandprivateexaminationcentres
• setting and moderation of question papers and site-based assessment tasks
• printing, packing and distribution of question papers for the TVET college sector
• Marking of all scripts for the TVET college sector
• capturing of marks for the TVET college candidates
• Monitoring of the conduct of examinations and site-based assessment and marking sessions
• standardisation of all examination marks as per the quality assuror directives
• ResultingandcertificationofcandidatesfortheTVETcollegesector.
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AspartoftheimplementationoftheNationalSeniorCertificateforAdultsqualification,theDepartmenthassetupWorkingGroupsforthedevelopmentofthecurriculum.Assessmentregulationsweregazettedandassessmentguidelinesweredeveloped.IncollaborationwiththeSouthAfricanQualificationsAuthority,anewqualificationcalled theGeneralEducationandTrainingCertificate forAdultshasbeendeveloped forAdultEducationandTraining levels1 to4and isout forpubliccomment.Officialswere trainedoncurriculumandassessment in2013/14. The focus of the interventions was around improvements in curriculum and understanding theassessment regulations.
TheDepartmentalsoembarkedonaprojectofverifyingtheadministrators’reportsforallTVETcollegesunderadministration.
TowardstheimprovementofworkplaceaccessprogrammesforstudentsatTVETcollegesandthroughdonorfunding,theDepartmentenlistedtheservicesoftheSwiss-SouthAfricaCooperationInitiativetodevelopaWorkIntegratedLearningFrameworkforTVETcolleges.TheFrameworkis intendedtoprovideclearguidelinesforTVET colleges and to a lesser extent sector Education and Training Authorities and employers in implementing avarietyofwork-accessprogrammesforstudents.TheFrameworkrefersspecificallytostudentsenrolledfortheNationalCertificate(Vocational)forwhomworkaccessprogrammesarenotaqualificationrequirement,butmerelyservetoprovidethepracticalapplicationintheworkplace.
During 2013, the Department successfully convened a national skills conference attended by various delegates drawnfromkeypost-schooleducationandtrainingstakeholdersincludingorganisedbusiness,organisedlabour,national and provincial departments, and post-school education and training providers. The purpose of the conferencewastomonitorandevaluatetheimplementationoftheNationalSkillsDevelopmentStrategy(NSDS)III by considering progress made on the recommendations and outcomes of the 2011 skills conference, and to identify blockages and challenges impacting on the implementation of the nsDs III.
TheDepartmentsuccessfullycompletedconsultativeworkshopsinallprovincesaimedatengagingprovincialstakeholders on the extent to which the NSDS III, as well as other pressing government imperatives areimplemented at provincial level.
TheArtisanRecognitionofPriorLearning(ARPL)systemwaspilotedinallprovincesandadraftNationalCriteriaPolicyforARPLhasbeencompletedandisbeingfurtherdevelopedalongwiththepilotprocessscheduledforcompletion in March 2015.
TheDepartmentdevelopedthefirstevernationalartisandevelopmentdatabaseof learners.Thedatabaseisexpandedtoprogressively includealldataandinformationfieldsrelevanttoallartisandevelopmentactivitiesinclusiveofplacementandcontinuousmonitoringofemploymentofqualifiedartisans.
Anationalartisan‘TradeCertificate’thatreplacesallSETA/Sectorbasedcertificatesinindustry,wasimplementedfrom1October2013.TheNationalArtisanModerationBodynowcontrolsandcoordinatesallartisancertificationprocesses as the artisan trade assessment quality partner of the Quality council for Trades and occupations. ThenewnationalcertificatereplacesallpreviousManpowerTrainingActSection13andSection28Certificates,and greatly enhances the employability, mobility and portability of artisan competencies across sectors in the economy.
Anationalartisandevelopmentwebsite,http://nadsc.dhet.gov.za,wasdevelopedandlaunchedduring2013/14.Thewebsiteallowsforinteractionwithallstakeholdersactiveacrosstheeightdifferentstakeholdersandtechnicalforumsthatareutilisedforconsultationanddiscussion.Thewebsitealsohasaregistrationmechanismforyoungpeoplewantingtobecomeartisans,employerswhoarelookingforartisanlearnerstocontractaswellaspersons
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with relevant experience to register for artisan recognitionof prior learning.TheDepartmentwill continue todevelopthewebsitetoenhancethenationalartisandevelopmentdatabase.
Anationalweb-basedartisantradetestingsystemhasbeenscopedfordesign,developmentandimplementationbyApril2015atallQualityCouncilforTradesandOccupationaccreditedtradetestcentresandsites.ThisworkisbeingcompletedwiththeStateInformationTechnologyAgency(SITA)asthesystemhasnationalstrategicimportance and requires relevant and necessary security features.
The Department implemented the internship programme since its establishment and adopted it as one of its flagshipprogrammes. In2013, theDepartmentwasawardedacertificateofexcellence for its internshipandworkplacementprogramme.AllnewemployeesreceiveappropriateinductiononBathoPelePrinciplesandtheDepartment’sCodeofConductisusedtoinstilworkethics.
Spending trends
Theunder-expenditureofR1.931million(R3.751millionin2012/13)ontheDepartment’sprogrammes,measuredagainsttheallocationsaftervirement,inR’000asfollows:
2012/13 2013/14
Under-expenditure
Percentage Under-expenditure
Percentage
1. Administration 496 0.29% 685 0.34%2. Human Resource Development, planning and
Monitoring Evaluation416 0.96% 292 0.67%
3. university Education 557 0.00% 228 0.00%4. Vocational and continuing Education and
Training2 211 0.04% 418 0.01%
5. skills Development 71 0.08% 308 0.31%Total 3 751 0 .01% 1 931 0 .00%
The under-expenditure did not impact negatively on the Department’s programmes and service delivery.Factors that contributed to under-expenditure include savings realised on funds provided for posts on the staff establishmentoftheDepartmentthatbecamevacantduringtheyearandcouldnotbefilledasprojectedandconcomitant savings that resulted from this, legal and legislative fees for claims not received for court cases as projectedandfeweractivecourtcasesoutsidePretoria,under-spendingontheNdinayebuildingwhichwasnotoccupiedduring2013/14,Indlelasecuritysystembecauseoftransitionalarrangementsandextentoftheproject,aswellascostcontainmentmeasuresputinplacetoensurethattheDepartmentwouldnotoverspendonitsbudget.
Expenditurewasmonitoredonamonthlybasis,wherebytheresponsiblemanagerswererequestedtoprovideprogressreportsonprojects.TheMinisterisalsoinformedonamonthlybasisofthespendinglevelsintermsofthePublicFinanceManagementAct.ThereprioritisationofactivitieswithintheobjectivesoftheDepartmentisalsoconsideredwhennecessary.
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For more information on under-expenditure or savings, please refer to the notes to the Appropriation statement.
virement
ThevirementappliedwithintheDepartment,inR’000asfollows:
Shifted from Shifted to Amount2: Human Resource Development, planning and Monitoring co-ordination 1: Administration 3 6133: university Education 1: Administration 1 2334: Vocational and continuing Education and Training 1: Administration 4 2025: skills Development 1: Administration 5 022
TheDepartment effected deliberate savings on various projects in order to address excess expenditure oncosts for the International Attaché, communications, personnel Administration, Audit Fees, sITA accounts and property Management in programme 1: Administration, and examiner and moderator claims in programme 4: VocationalandContinuingEducationandTraining.Treasuryapprovals,withreferencenumber9/4/4/4/13dated28November 2013 and 18December 2013, were obtained to increase the transfer payments to the India-Brazil-SouthAfricaTrilateralCommissionandtheCommonwealthofLearningrespectivelyowingtoanincreaseinexchangerates.Treasuryapproval9/4/4/4/13dated14March2014wasalsoobtainedtoutilisesavingsoninterestandredemptiononloanstocovercostsforreviewingtheclinicaltraininggrant.Fundswerealsoshiftedbetweenprogrammeswithincompensationofemployees,inordertoaccommodatepossibleover-expenditureon compensation of employees on some of the programmes.
ThevirementwasapprovedbytheDirector-GeneralinaccordancewiththePublicFinanceManagementActandreported to national Treasury and the Minister.
2. services rendered by the Department
2 .1 Services rendered
TheDepartmentwasinthemainresponsiblefortheformulationofnationalhighereducationandtrainingpolicy,andformonitoringandevaluatingtheimplementationofpolicy.Revenuecollectedwasforservicesthatwererenderedonanationalbasis in respectofTVETcollegeexaminationsandcertificates, registrationofprivateHEIs, revenue generated by the Institute for the national Development of learnerships, Employment skills and labour Assessments from fees for trade tests, boarding and rentals. The total revenue collected in this regard for theperiodunderreviewamountedtoR5.034million(R4.637millionin2012/13).
2 .2 Tariff policy
National Technical Examinations
TariffsfortheservicesrenderedinrespectoftheNationalTechnicalExaminationswereasfollows:
Tariff in R
Examination feesa) Enrolmentfeespersubject/instructionaloffering 20.00b) Enrolment fees per instructional offering Report 191 (n4 – n6) 27.00c) Concessions,amanuensesandadditionaltimepersubject/instructionaloffering 51.00d) Remarkingpersubject/instructionaloffering 81.00e) Recheckingpersubject/instructionaloffering 14.50
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f) Reissuing of/changes to/amendments of statement results 19.00g) NationalSeniorCertificate(Technical),NationalCertificate(Vocational),NationalN3
CertificateandSubjectCertificate90.00
h) ApplicationsforthereissuingoftheNationalSeniorCertificate(Technical),NationalCertificate(Vocational),NationalN3CertificateandSubjectCertificate
90.00
i) Confirmationdocumentissuedpriortothecertificate(system-generateddocument) 15.00j) Lettertoembassies(work/studyabroad) 20.00k) Teachercertificates 30.00l) Statementsforteacherqualifications 15.00m) Transfer of examination entries 25.00n) Exemptionfor,orrecognitionofsubjectspassedwithotherexaminingbodies 50.00o) postage
• Africa 117.00• overseas (diplomatic bag) 140.00• OverseasviathePostOffice 200.00
p) Verificationofqualificationspriorto1992forgovernmentorganisations 15.00q) Verificationofqualificationspriorto1992fornon-governmentorganisations 35.00r) late entry or amendments penalty 21.00s) syllabuses (only applicable to examining bodies that supplied syllabuses to other
examining bodies)1.00
Private Further Education and Training Colleges
ThetariffsfortheservicesrenderedinrespectofprivateFurtherEducationandTrainingcollegeswereasfollows:
Tariff in Ra) Application for registration 500.00b) Amendments 500.00
Private Higher Education Institutions
ThetariffsfortheservicesrenderedinrespectoftheRegistrarofPrivateHigherEducationInstitutionswereasfollows:
Tariff in Ra) Application for registration 500.00b) Amendments 500.00c) conversions 500.00
Trade test tariffs
TradetestfeeswerechargedaspublishedintheGovernment Gazette no. 343 of 23 March 2009.
2 .3 Free services
none
2 .4 Inventories
The inventories on hand at year end amounted to R185 141 (R296 898 on 31 March 2013).
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3. capacity constraintsAnumberofcapacityconstraintsstillexistwithintheDepartment.ThefunctionshiftaspertheFETActNumber3 of 2012 led to increased pressure in the Department particularly for the human resource function as the Department has to manage recruitment processes for TVET colleges. The funding of these processes placed the Departmentunderhugefinancialconstraints.Inadequatefundingforthefilingofvacanciesalsocontributedtocapacity constraints.
Owing to the delay in the approval of the neworganisational structure, theDepartment operated on a 20%shortfall of the required headcount. Branches heavily relied on interns and contract appointments to execute the work.TheGITOofficeintheDepartmentexperiencedhugestaffturnoverwhichessentiallyaffectedtheITservicedeliveryintermsofturnaroundtimes.TheprovisionofITsupportwashampered,howevertheappointmentofaservice provider for lAn, server and Desktop support Maintenance assisted the Department.
TheUniversityEducationBranchmanagedtomakesomeappointments,howeversomecouldnotbeadvertisedandfilledbecauseoffinancialconstraintsaswellasbeingunfundedposts.Themostsignificantcapacityproblemisatthehighlevelprofessionalend.ThepostofDeputyDirector-Generalremainsunfilled.TheBranchcontinuesto be overstretched.
The Vocational and continuing Education and Training Branch experienced capacity constraints to undertake thevastscopeofworkunderitsjurisdictionandtodealwithprojectsrequiringhighlevelexpertisesuchasthedevelopment of the costing Model to cost programmes offered at TVET and cET colleges. some Directorates workonthebasisofpriorityinterventionsratherthanonthetotalityofinterventionsnecessarytoimproveteachingand learning in colleges. The Branch also has not been in a position to monitor the delivery of AET programmes andqualificationsowing to the lackof funds.Thebudget allocations for examinationsandassessmentsarenotsufficient tocoverwhat isexpected in termsof theexpectedstandardsof thequalityassuror forcredibleexamination processes. The fact that the examination function is currently located at the premises of the DepartmentofBasicEducationmakesitextremelydifficultfortheDepartmenttohavefullcontrolofthesecurityprocesses key to the national examinations function. With the relocation of this function to another premise, the Departmentwillgaindirectcontroloversecurityof thenationalexaminations function.Whileseveralattritionpostshavebeenidentifiedandareintheprocessofbeingfilled,therearestillseveraladditionalkeypoststhatneedtobefilledintheExaminationsandAssessmentunit.Theexaminationfunctionhasbeenunderfundedforthe mandate it is expected to deliver. This has led to the serious compromise of monitoring and quality assurance activitieswhichimpactsontheintegrityof theentireexaminationcycle.TheDepartment,continuouslyhadtocompromise several activities toprioritiseactivitiesdirectly associatedwith theapproval of results.Progresshasbeenlimitedinareasofpolicyandstructurereview,andhashinderedtheefficientandeffectivedeliveryofnational examinations and the streamlining of the budget required to do so. until such time that the TVET college curriculumandqualificationsreviewprocesshasbeencompleted,theadministrationofexaminationswillremaincumbersome.Furthermore,thepolicyamendmentswhicharerequiredasaresultofthefindingsoftheinternalaudit,arebeingdelayedas theycannotbeactioned inanadhocmanner.Thebacklog in thecertificationofNC(V)candidatescontinued.Progresshasbeenveryslowinthisregardasthedatachallengeshavetakentimetoresolve,someofwhichhavetobecorrectedmanually.
AleakageacrossallEngineeringStudiestrimesterexaminationcyclesremainsachallenge.AuditpanelswereconvenedperEngineeringStudiestrimesterexaminationcycleinthisfinancialperiodtodeterminethenatureandextentoftheleakagesinsubjectsinwhichquestionpapershavebeenreportedtohavebeenleaked.Thefindingshavebeenusedtosupportthereleaseofsubjectresultstocentresnotdeemedtohavebeenaffectedbytheleakages.Owingtointernalmeasuresputinplace,itwouldappearthatthepapersareleakedafterhavingbeendispatchedtoexaminationcentres.Inaddition,thedeliverymodelofpaperswasreviewedtotakeplacedaily before an examination.
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The most critical constraint faced by national Artisan Development located at Indlela is the lack of sustainable fundingwhichisnecessaryfortherepair,recapitalisationandmaintenanceofthetradetestingfacilitiesatIndlela.Additionally the conversion of posts currently funded by the national skills Fund to permanent posts for the various contract staff that currently run the various units linked to national artisan development, are included in the national Artisan Moderating Body and the Artisan Recognition of prior learning systems and processes. Furthermore,thereisaneedtoupgradethefencingandsecurityatIndlela,butinsufficientresourcesaredelayingtheproject.
4. utilisation of donor fundsThe Department received new donations totalling R5.433 million in cash from foreign donors during the2013/14financialyear.ExpenditureofR2.302millionwasincurredagainstfundsheldintheReconstructionandDevelopment programme (RDp) Fund. The balance of the funds available to the Department in the RDp Fund, asat31March2014,wasR24.559million.
Donorfundsweremainlyusedasfollows:
• The utilisation of R141 million over three years, from the European union primary Education sector PolicySupportProgramme,wasapprovedearlyin2010andcontinuestoberolledout.Theprojectisproceedingwellwithindicatorssetfortheprogrammeinthefinancingagreementhavingalreadybeenmet and exceeded. The activities include research, programme development and materials development for Foundation phase teacher education, post-graduate scholarships, bursaries for initial teacher education,andseeding theestablishmentofanacademic journalanda researchassociation for thissector.AnamountofR18.406millionwasutilisedduringthe2013/14financialyear.Asuccessfulnationalconference on childhood education was jointly hosted with the SouthAfrican ResearchAssociationforEarlyChildhoodEducation(SARAECE),marking thefinalyearof funding for theprogramme.Theconferencehighlightedanumberofoutstandingachievementsoftheprogramme,show-piecingmanyofits products including teacher education learning support materials, video products and research outputs.
• The European union Dialogue facility approved a proposal for research on skills planning and provided funding of approximately R400 000. The Terms of Reference to commission service providers have been prepared and the European union is in the process of procurement.
• DanishgovernmentsupportwasreceivedfortheEducationandSkillsDevelopmentprogrammeinSouthAfrica.Thepurposeofthisprojectistoidentify,implement,andstrengthengoodpracticesinthesupportservices provided to students in selected TVET colleges. Funds are allocated directly to these TVET colleges.AtotalamountofR7.461millionwasspentonthisprojectduring2013/14.
• NetherlandsgovernmentsupportedthestrengtheningoftheNationalCertificate(NC(V))programmesinlinewiththelabourmarketdemandsforTVETcolleges.AtotalamountofR4.654millionwasspentonthisprojectduring2013/14.
• netherlands government strengthened the Management Information systems and Information Managementprocesseswithin theDepartmentandTVETcolleges.A totalamountofR10.325millionwasspentonthisprojectduring2013/14.
• The Japanese government supported the Employability Improvement Project whereby students aretrainedfortwoweeksinproductivity,softandinnovationskills.Theprojecthasbeenextendedfrom2013to2015andwillberolledouttoallUniversitiesofTechnology.
• EuropeanUnionsupportedtheCareerDevelopmentServicesProject.Cabinetapprovedthedevelopmentof a career Development services policy and implementation plan in January 2014. social cluster
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departments were informed of the developments in Career Development Services and supportedthe development of national career Development service policy across all spheres of government. Protocolsweresignedby theNationalYouthDevelopmentAgency,FinanceandAccountingServicessETA, Manufacturing, Engineering and Related services sETA, chemical Industries sETA and the south AfricanQualificationsAuthority.TheNationalCareerAdvicePortal(NCAP)hasbeentransferredtotheDepartmentandevaluationofthesourcecodewascompletedandfurtherdevelopmenthascommenced.Service providers for the ‘Competency Framework for Career Development Practitioners’ and thedevelopmentofcontent(learningpathways)fortheNCAPhavebeencontractedandadditionalpathwaysweredeveloped.AcontractwasenteredintowithSAQAtorunthenationalhelpline,radioprogrammes,socialmediacampaign,exhibitions,aswell asthestrategyonwalk-incentresuptoSeptember2014.OfthetotalallocationofR60million,R1.155millionwasspentonthisprojectduring2013/14.
• UnitedKingdom supported theSkills for Employability:The focus of this project is to strengthen thecapacity of selected TVET colleges in providing enhanced labour market outcomes for students. The projectcommencedin2013andwillendinMarch2016.
• USAID: Fundingwas received for theRebuildingConstitutionalism in Post-conflict Societies throughComparative Analysis project. Doctorate candidates from selected countries are registered at theUniversity of Pretoria Faculty of Law. They have access to teaching, research and publishing. FivecandidateswereselectedandhaveregisteredattheUniversityofPretoriaforthe2013academicyearonwardsandaremakingsatisfactoryprogresswiththeirresearchproposals.AtotalamountofR1.147millionwasspentonthisprojectduring2013/14.
• DanishInternationalDevelopmentAgency(DANIDA).FundswereutilisedtoobtaintheservicesoftheSwiss-SouthAfricaCooperationInitiativetodevelopaWorkIntegratedLearningFrameworkforTVETcolleges.
• TheEU’sErasmusMundusScholarshipProgramme(WindowforSouthAfrica),isvaluedatthreemillionEuros over a period of five years, and is amobility scheme for SouthAfricanmasters and doctoralstudents,aswellasforacademicsandotherstaffmemberstospendpartoftheirstudies,researchorworkingtimeataEuropeanuniversity.
• chinese government: 22 students received scholarships from the chinese government to study at chinese universities.
• Russian government: Four students received Russian state scholarships to study marine and aeronautical engineering in Russia.
5. public entities Therewere26publicentitiesthatreportedtotheMinisterofHigherEducationandTraining,namely:
5 .1 Council on Higher Education (CHE)
The cHE is an independent statutory body, established in terms of the Higher Education Act, 1997. The passing of theHigherEducationAmendmentAct,2008and theNationalQualificationsFrameworkAct,2009 implyasignificantchangefor theCouncil, fromits functionasanadvisory institutionthatmonitorsandevaluatestheachievement of south African higher education policy and goals, to a quality council for higher education. This new function mandates it to audit higher education institutions, accredit programmes offered, including thedevelopmentofthehighereducationqualificationsframework,andsetstandards.AnamountofR41.888millionwastransferredtotheCHEin2013/14.
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During2013/14thefollowingstrategicobjectiveswereexecutedbytheCHE:
• provided comments and input on the development of the Draft Regulations for the establishment of a national Institute for the Humanities and social sciences
• provided comments and inputs on the development of the Distance Education policy for the Department
• providedlegaladvicetotheMinistertoclosetheloopholeswhichallowedprivateproviderstooffertuitionservices on behalf of foreign institutions not registered in south Africa
• provided input and advice on the Higher Education and Training Information policy
• provided input on the disestablishment of the national Institute for Higher Education in Mpumalanga and the northern cape
• completeda researchprojecton ‘Performance indicators to assess the state of the higher education system’whichwasalsoupdatedonthewebsiteoftheCHE
• initiatedtwomoreprojectsduringthefirstquarterofthisperformanceperiodandthesewere‘The 20 year review of higher education’and‘Thereflectionsonacademicleadership’
• the draft framework for Institutional Quality Enhancement was approved by the Higher EducationQualificationsCommittee
• the cHE carry out activities to build support for and facilitate understanding of the Quality Enhancement ProjectandlaunchedtheprojectinFebruary2014
• theCHEheldtrainingworkshopsforprogrammeaccreditationandre-accreditation,andtheHEQSFasfollows:
- ThreeHEQSFworkshops
- Sixre-accreditationworkshops
- SixEvaluatorContinuousProfessionalDevelopmentworkshops
- EightforumswereheldduringthefourthquarterwhichincludedtwoStatutoryProfessionalBodiesforums,twoPublicProviders’forumsandtwoPrivateProviders’forums.
5 .2 National Student Financial Aid Scheme (NSFAS)
NSFASwasestablishedintermsoftheNationalStudentFinancialAidSchemeAct,1999.Itisresponsibleforadministering loans and bursaries and allocating these to eligible students, developing criteria and conditions for thegrantingofloansandbursariestoeligiblestudentsinconsultationwiththeMinisterofHigherEducationandTraining, raising funds, recovering loans, maintaining and analysing a database, undertaking research aimed at betterutilisationoffinancialresourcesandadvisingtheMinisteronmattersrelatingtostudentfinancialaid.AnamountofR5769.405millionwastransferredtotheNSFASin2013/14.Othersourcesofrevenuearedonorfunds, money repayable on study loans and interest on investments.
During2013/14,thenumberofstudentswhoreceivedNSFASfinancialassistanceincreasedfrom382943in2012/13to416359in2013/14,whichincludesTVETcollegebursaryrecipients.
5.3 South African Qualifications Authority (SAQA)
SAQA isastatutorybody,established in termsof theSouthAfricanQualificationsAct,1995.As from1April2009,SAQAhasoperatedintermsoftheNationalQualificationsFramework(NQF)Act,2008,whichreplaced
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theformerSAQAAct.IntermsofthenewNQFAct,SAQAcontinuedtofocusonupholdingtheprinciplesofthenQF, including ensuring access, quality, redress and development for all learners through an integrated national frameworkoflearningachievements.TheDepartmenttransferredanamountofR49.401milliontoSAQAduring2013/14.
Duringthe2013/14financialyear,SAQA:
• ProvidedadvicetotheMinisteronthefollowingmattersemanatingfromtheDeterminationoftheSub-frameworks:
- DraftpolicyontheprinciplesthatshoulddirectthearticulationpathwaysintheNQF
- DesirabilityofaqualificationtypeatLevel5oftheGFETQSF
- Investigationregardingoccupational/workplace-basedqualificationsbeyondNQFLevel6
- Therelationshipbetweenprofessionaldesignationsandthethreesub-frameworks
- Investigation of comparative admission practices, among professional bodies.
This advice resulted in the Minister publishing an amendment to the determination of three sub-frameworks.
• Finalised the draft national policy and criteria for assessment and the draft national policy for credit accumulation and transfer, which were submitted to the Councils of the Quality Councils for furtherconsultation. SAQAplans to submit these policies to theSAQABoard for approval early in the newfinancialyear.Thesepolicies,togetherwiththeLevelDescriptors,thePolicyandCriteriaforRecognisinga professional Body and Registering a professional Designation for purposes of the nQF Act, the policy andCriteriaforRegistrationofQualificationsandPartQualificationsontheNQF,andtheNationalPolicyfor the Implementation of the Recognition of prior learning, complete the full suite of nQF policies that arerequiredtofacilitatearticulation,andwhichSAQAbelievesprovidesanenablingplatformfromwhichtotakearticulationforward.
• Recognised 17 professional bodies and registered 44 professional designations.
• Registered198qualificationsontheNQF.
• Dealtwith33051applicationsforevaluationofforeignqualifications.
• Verified56409recordsofqualifications.
• AssistedtheDepartmentwith:
- DeliverybytheTaskTeamthatwasestablishedpertheMinisterofHigherEducationandTraining’smandate in termsofDeliveryAgreement5.1.Progresson theactivitiesof theTaskTeamwasmonitored and bi-monthly reports submitted to the DHET-cAs steering committee, the cAs Board CommitteeandtheSAQABoard.Activitieswereundertakenwithintheoverallagreedtimeframes.TheTaskTeamcompleted100%ofitstasksasdelineatedinAnnexureBofDeliveryAgreement5.1aspertheMinisterialDelegation.ThefinalworkshopoftheTaskTeamwasheldon5March2014
- TheApplyNow!Campaign
- The Mandela Day career Festival
- The central Applications clearing House (cAcH) campaign.
• ContinuedtoworkcloselywiththeDepartmenttoprovideaqualitynationalNQFandaCareerAdviceHelpline.
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• HostedtheNationalRPLConference2014from23-26February2014whichfocusedontheRPLPolicy,practice, coordination and providing Rpl toolkits.
• FinalisedthedevelopmentofaglossaryofNQFterminology(NQFpedia),tobelaunchedearlyinthenewfinancialyear.
5.4 The National Skills Fund (NSF)
TheNSFwasestablishedin1999intermsoftheSkillsDevelopmentAct,1998.Itisfundedby20%oftheskillsdevelopmentleviescollectedbytheSouthAfricanRevenueService(SARS).Thefund’skeyfunctionsincludethefundingofnationalskillsdevelopmentpriorityprojectsasidentifiedinthethirdNationalSkillsDevelopmentStrategy,fundingprojectsrelatedtoachievingthepurposeoftheAct,asdeterminedbytheAccountingAuthorityand administering the fund. The Department transferred an amount of R2 416.368 million from direct charges to the nsF during 2013/14.
During the2013/14financial year, theNSFsupported164projects resulting ingrantdisbursements towardstheseprojectsamountingtoR3.4billion.Atotalnumberof77913learnersreceivedtrainingfromtheprojectsfunded by the nsF.
The increase in grant disbursements continued with an increase of 19% from R2.6 billion in 2012/13 to R3.1billionin2013/14.ItisthefirsttimeintheFund’shistorywheregrantdisbursementsexceededtheFund’sincomeas theFund started to efficiently utilise its annual income, aswell as historic accumulated reservestowardseffectiveskillsdevelopmentprojects.
The increase in grant disbursements is expected to continue in the next financial year to an estimated R5.6 billion as the Fundmeets its commitments towards its current skills development projects. During the2013/14financialyear,theNSFcommittedR11.3billiontowardsskillsdevelopmentprojectsofnationalpriority,effectivelycommittingalloftheNSF’saccumulatedsurplusesofR8.4billionasatyear-end.Efficientcashflowmanagement also assisted the nsF to increase its commitments to an additional R2.9 billion against future income, over and above commitments made against accumulated reserves.
As theNSF continues to put its resources to effective use in achieving the objectives and outcomes of theNSDSIII, the increaseddisbursement ratewill result in theNSFeffectivelyutilising its income,aswellas itsaccumulatedsurplusesofR8.4billionoverthenextthreeyearsuntiltheendoftheNSDSIII,benefitingmanygenerations to come.
5 .5 Sector Education and Training Authorities (SETAs)
During2013/14, therewere21SETAsthatweremandatedbySection9of theSkillsDevelopmentAct,1998toprovideskillsdevelopmentacrossvariouseconomicsectors.Theirmainobjectivesaretoimplementsectorskills plans aimed at developing the appropriate skills, to develop and register learning programmes and to distribute skills development levy funds. The sETAs meet the nsDs targets by means of a legislated service levelagreementwiththeDepartment.AllSETAsareexpectedto implement learningprogrammesintermsoftheirservicelevelagreements.TheseannualagreementsaredeterminedbytheNSDS’five-yeartarget,whichisalso calculated in annual terms. The Department transferred an amount of R9 673.818 million from direct charges to sETAs during 2013/14.
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TheoperationsofallSETAswererefocusedviaNSDSIII.During2013/14,SETAsdevelopedandimplementedsectorskillsplanswithintheframeworkfortheNationalSkillsDevelopmentStrategyandotherrelevantstrategiesin order to develop appropriate skills, register learning programmes and distribute skills development levies as required.
TheoverallperformanceoftheSETAsacrossalloutcomesbasedontheyearunderreviewissatisfactory.ThefollowingNSDSIIIgoalswereachievedduringthe2013/14financialyear:
• Totalworkersentered:learnerships,bursariesandskillsprogrammes–109702learnersfunded
• Totalworkerscertificated:learnerships,bursariesandskillsprogrammes–107795learnersfunded
• Total unemployed entered: learnerships, internships, bursaries and skills programmes – 60 101 learners funded
• Total unemployed certificated: artisan, university graduate placement, TVET college partnerships,universities partnerships, AET programmes, co-operatives supported and small business supported – 48603learnerscertificated
• Total number of ngos, nlpEs and cBos supported and career guidance provided – 7 329.
5 .6 The Quality Council for Trades and Occupations (QCTO)
TheQCTOwasestablishedintermsoftheSkillsDevelopmentAct,1998andbecameoperationalin2010.TheprimaryfunctionsoftheQCTOaretodesignanddevelopoccupationalstandardsandqualificationsandtosubmitthese toSAQA for registration on the national qualifications framework, establish andmaintain occupationalstandardsandqualifications,ensurethequalityofoccupationalstandardsandqualificationsandlearninginandfortheworkplace,promotetheobjectivesofthenationalqualificationsframework,liaisewiththeNationalSkillsAuthority on the suitability andadequacyof occupational standards andqualifications, andon the quality oflearninginandfortheworkplace.TheDepartmenttransferredanamountofR21.747milliontotheQCTOduring2013/14.
During 2013/14:
• Atotalof25qualificationswereapprovedbytheCouncilforrecommendationtoSAQAforregistrationontheOccupationalQualificationsFramework.ThesequalificationsweresubmittedtoSAQAforregistrationon theOQSF.Furthermore11qualificationswereapprovedby theQualificationsCommittee togo forpublic comment as part of the evaluation process.
• TheQCTOCouncilapprovedtheupdatedsyllabiforsevensubjectsintheareaofN4–N6.TheupdatedsyllabiwillbehandedovertotheDepartmentofHigherEducationandTrainingfortheimplementationprocess to commence. The Assessment and Examinations division of the Department conducted site visits and started issuing examination centre numbers to the QcTo accredited private providers offering N4-N6programmes.TheQualificationsDevelopmentFacilitatorTrainingProjectcommencedwithanappointmentofaProjectDirector.
• The QcTo delegated the Accreditation function to the Association of private providers of Education, Training and Development (AppETD).
• 16monitorswereappointed in theMonitoringandEvaluationUnit.Asuccessfulorientationworkshopwasheldon2December2013andthefeedbackreceivedfromthenewstaffmemberswasverypositive.
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• QCTOembarkedonaroadshowandmade13presentationsacrossthecountrythattooksixweeks.Thepurposeoftheroadshowwastoinformstakeholdersandotherpartnersaboutthedevelopmentsintheorganisation.
• The Examinations and Assessment chief Directorate from the Department of Higher Education and Trainingtabledall theN4–N6offeringsforstandardisationdecisions.Allofferingswerestandardisedand a decision taken to release the results as fair, credible and valid. some TVET colleges both private and public still experience challenges of irregularities in the conduct and management of examinations. TheQCTOwillintensifyitsmonitoringandsupportprocessesinordertocurbirregularactivities.
• QCTOmovedtotheirownofficebuildingduringthe2013/14financialyear.
6. other organisations that receive transfer payments from the Department
6 .1 Higher Education Institutions (HEIs)
FundsweretransferredinordertosupportHEIs(universitiesanduniversitiesoftechnology)andtoenablethemtoperformtheircorefunctionsoflecturingandresearch,efficientlyandeffectively.ThisislinkedtothebroaderpolicygoalsandobjectivesoutlinedintheNationalPlanforHigherEducation,whichisunderpinnedbytheneedto ensure the sustainability, affordability and responsiveness of the higher education system, and to enable it to contributetothesocialandeconomicdevelopmentofSouthAfrica.AtotalamountofR22388.767millionwastransferred to HEIs.
6 .2 Sector Education and Training Authority (SETA)
In termsof theSkillsDevelopmentAct,1998,and theSkillsDevelopmentLeviesAct,1999,noamountwastransferred by the Department for its skills contribution.
6 .3 FET Colleges
FundsweretransferredinordertosupporttheFETcollegesandtoenablethemtoperformtheircorefunctions.AtotalamountofR3013.189millionwastransferredtothe50FETcolleges.
6 .4 Other transfers• Commonwealth of Learning
AnamountofR2.416millionwastransferredtotheCommonwealthofLearning,asmembershipfeeforsouth Africa as member country.
• India-Brazil-South Africa
TheIndia-Brazil-SouthAfricaTrilateralCommissionDialogueForumwasestablishedin2003bythesethreedevelopingcountries, inorder towork towardsacommonvision forenhancedSouth-Southco-operation.AnamountofR511305wastransferredtotheCommissionviathenon-profitinstitutionHigherEducation south Africa (HEsA) (Treasury approval reference number 9/4/4/4/13 dated 9 December 2011).
• Higher Education South Africa (HESA)
AnamountofR7millionwastransferredtoHESAfortheHigherEducationHIVandAIDSprogramme.
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6 .5 Conditional grants to Provincial Education Departments (PEDs)
TheFETcollegesConditionalGrantwasallocated to theDepartmentduring theperiodunder review.Beforefundswere transferred to theprovinces, theDepartmentensured thatall the requirementsof theDivisionofRevenueAct,2013,weremet.
Thetotalallocationfortheconditionalgrantfor2013/14(inR’000)wasasfollows:
Conditional grant Total allocation Amount transferred Total amount spent by PEDs
% spent on allocation
FET colleges 2 454 188 2 454 188 2 422 614 98.7
Total 2 454 188 2 454 188 2 422 614 98 .7
6.5.1 Further Education and Training (FET) Colleges
ThemainobjectiveoftheFETCollegesConditionalGrantistoensurethesuccessfultransferofthefunctionofFET colleges to the Department of Higher Education and Training.
Thefollowingconstitutedtheoutputsofthegrant,aspertheagreedgrantframework:
• transferofFETcollegesmanagementstafftotheDepartmentofHigherEducationandTrainingfinalised
• transferofnon-managementstafftotheDepartmentofHigherEducationandTrainingfinalised
• secondment of provincial education department staff to the Department of Higher Education and Training
• post-provisioningmodelforFETcollegesfinalised
• implementation of the funding norms and standards for FET colleges
• implementationofthenewprogrammecostforfundingFETcolleges
• monitor the support of FET colleges by provincial education departments
• implementationof37percentinlieuofbenefitsforFETcolleges.
Achievementsduringthe2013/14financialyearincluded:
• Theincumbentsof210managementpostsatFETcollegesweretransferredtotheDepartmentofHigherand Training.
• Collectiveagreementsforthetransferofnon-managementstaffweretabledattheELRCandGPSSBC.ThecollectiveagreementforsupportstaffwassignedintheGPSSBCandisawaitingratification.Thecollectiveagreementforlecturingstaffwasratifiedon4February2014.
• 110provincialstaffmembersweresecondedtotheDepartment.
• The post-provisioning Model (ppM) has been drafted and presented to the south African Institute of CharteredAccountants(SAICA)andseniormanagementintheDepartment.ThePPMwillbepilotedinnine FET colleges.
• TheimplementationoftheFundingNormsandStandardsforFETcollegesisacontinuousfunctionwhichis managed by the provincial Education Departments (pEDs). With the function shift processes, this functionwillbemanagedbytheDepartment.
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• Theprogrammecostsfor2014weredevelopedanddistributedtoallFETcollegesforimplementation.A full verificationon the implementationof theprogrammecostswill beconductedonce thedetailedverificationplanwithclearprocesses,timelinesandoutcomeshasbeendevelopedandapproved.
• ThePEDofficialsweretrainedintheanalysisofstudentperformanceintheexaminations.Theymonitoredthe progress and implementation of the improvement plans at the campus level.
• 39FETcolleges implemented the37per cent in lieuofbenefitsprior to thesigningof thecollectiveagreement.11FETcollegesareimplementingthesplitbenefitsandarecurrentlyconsideringimplementing37percentinlieuofbenefitsoncethecollectiveagreementissignedandratifiedbytherelevantparties.
6.5.2 Compliance with the Division of Revenue Act (DoRA)
IntermsofSection9(1)ofDoRA,2013,thedutiesofthereceivingofficerincludesubmittingquarterlyreportsto the Department not later than 30 days after the end of each quarter. The submission of quarterly reports by thereceivingofficershasimprovedin2013/14.Onaverage,98percentofquarterlyreportswerereceivedfromreceivingofficersontime.ThetransferringnationalofficersubmittedthesereportstotheNationalTreasury,theportfolio committee on Higher Education and the national council of provinces after consolidating all provincial reportsaccordingtotherequirementofthegrantframework.
6.5.3 Performance evaluation of conditional grants
In terms of Section 9(1) of DoRA, 2013, the transferring national officer must evaluate the performance ofprogrammes that are funded or partially funded by the allocation, and submit the evaluation report to the national Treasurywithin fourmonthsafter theendof the financial year.Thisobligationwasdulyadhered toand the2012/13annualperformanceevaluationoftheFETSchedule4conditionalgrantwasconductedandtheReportwassubmittedtoNationalTreasuryon31July2013.Theevaluationoftheperformanceofthe2013/14conditionalgrantwillcommencesoonandtheevaluationreportwillbesubmittedtotheNationalTreasuryon31July2014.
7. public-private partnerships (ppps)none.
8. corporate governance arrangements
8.1 The Department’s Risk Assessment and Fraud Prevention Plan
Duringtheperiodunderreview,aseparateRiskManagementunitwasestablishedandaDeputyDirectorwasappointed inNovember 2013 to facilitate the implementation of theRiskManagement processeswithin theDepartment. The Risk Management policy, the Risk Management strategy including an implementation plan and the Risk Management committee charter, have been developed. The Risk Management committee for theDepartmenthasbeenestablishedand is functional.Strategic riskassessmentswereconductedand riskregistersarebeingfinalisedperBranch.Riskawarenesswascreatedduring theriskassessmentworkshopsthroughRiskManagementpresentations.ProgressonimplementationoftheRiskManagementprocesseswithintheDepartmentwasreportedtotheRiskManagementCommittee,theAuditCommitteeandSeniorManagementonaquarterlybasisand,asandwhenrequired.
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8 .2 Internal Audit Unit
The role of the Internal Audit Unit is to provide management and the Audit Committee with independent,objectiveassuranceandconsultingservices,designedtoaddvalueandimprovetheDepartment’soperations.It is furthermoreaimedatassistingtheDepartment toaccomplish itsobjectivesbyestablishingasystematic,disciplined approach to evaluating and improving the effectiveness of governance, risk management and control processes.
TheInternalAuditUnitoperateswithskilledpersonnelandfunctionsasrequiredbytheTreasuryRegulationsandthePublicFinanceManagementAct(PFMA).AnAuditPlanwasdevelopedfromtheriskassessmentconductedintheDepartmentandapprovedbytheAuditCommittee.Duringtheyearunderreview,internalauditengagementswereperformedinaccordancewiththeAuditPlan.Owingtoalackofstafftoexecutealltheworkontheauditplan, the Department made use of consultants to provide assistance.
8 .3 The Audit Committee
The Audit committee is in place and functions effectively, as required by the Treasury Regulations and the pFMA. TheAuditCommitteeheldfivemeetingsduringtheperiodunderreview,andwasassistedbyInternalAudit,whichprovides secretarial services.
8.4 Management processes for minimising conflict of interest
AllseniormanagersintheDepartmentarecompelledtodeclaretheirfinancial intereststotheMinisteronanannual basis. Furthermore, all employees of the Department are compelled to request permission from the Director-Generalbefore theydoanyworkoutside theDepartment thatgeneratesadditional remuneration forthem. All senior managers signed performance agreements.
8 .5 Implementation of a Code of Conduct
The code of conduct for public servants, developed by the public service commission to promote a high standardofprofessionalethicsinthepublicservice,wasimplementedintheDepartmentandmanagersensurethatallstaffmembersadheretoit.CopiesofthetwoCodesofConductforPublicServantsweredistributedtoeveryofficialintheDepartmentandhavebeenfullyimplemented.
EmployeeswhoviolatedtheCodesofConductweredisciplinedintermsoftheDisciplinaryCodeandProceduresfor the public service.
8 .6 Safety, health and environmental issues facing the Department
The biometric access control system has been re-installed. Permanent staff members were issued withaccesscardsforidentificationpurposes.RandomsecuritychecksofvehiclesaswellasbagsandvalidationoflaptopswereimplementedtocomplywiththeMinimumInformationSecurityStandardsdocument.Allsecurityofficers have been trained and complywith thePSIRAAct. Security andOccupational Health policies havebeenapproved.DuringFebruary2014,representativeswereappointedtotheOccupationalHealthandSafetyCommitteeestablishedintermsoftheHealthActSection17asspecifiedinSection17.
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8 .7 Other governance structures• Bid Committees
○ Bid Specification Committee (BSC)
A minimum of three members constitute the Bsc appointed by the relevant Deputy Director-Generalandconfirmedby theChiefFinancialOfficer.Arepresentative fromtheLegalServicesand the supply chain Management units form part of the committee. The role of the committee istodraftspecificationsforprojectsthatareabovethethresholdofR500000,whicharenotonany transversal contract.Thedraft specification reflects theevaluation criteria andany specialconditions thataredeterminedby theCommittee.Thespecificationsdraftedby theCommitteeshouldbeunbiasedtoallowpotentialserviceproviderstocompete.SpecificationsaresubmittedortabledattheBACforadjudicationbeforetheyareadvertised.
○ Bid Evaluation Committee (BEC)
A minimum of three members constitute the BEc appointed by the relevant Deputy Director-GeneralandconfirmedbytheChiefFinancialOfficer.ArepresentativefromtheLegalServicesandthe supply chain Management units form part of the committee. The committee is responsible for evaluation of bids submitted, according to published evaluation criteria. The BEc submits a report andmakesrecommendationstoawardornottoawardtotheBACafterevaluation.
○ The Bid Adjudication Committee (BAC)
TheBACisconstitutedwithseniorofficialsmainlyfromthebrancheswithintheDepartmentandLegalServicesappointedbytheDirector-General.AmemberwithnovotingauthorityfromSupplychain Management unit also forms part of the committee. The Director-general appointed alternate memberstoensurethatscheduledmeetingstakeplacewhenmembersarenotpresent.
TheBAC is responsible to review the specificationsof thebidsasproposedby theBSC,andmake recommendations on these to the Director-general for approval before advertising, single-source appointments, emergency and urgent appointments. The BAC also adjudicatesthe recommendations of the Bid Evaluation committee (BEc) and recommends to the Director-Generaltheawards,extensionsorcancellationofcontracts.TheCommitteeadjudicateswhetherthebiddingprocesseswerefair,equitable,transparent,competitiveandcost-effective,andensuresthat theseprocessescomplywith thePFMAprescripts, other relevant legislationandTreasuryRegulations. The committee is scheduled to meet at least once a month, but ad hoc meetings are arranged if necessary.
Thebidcommitteesareproperlyconstitutedifatleast60%ofitsmembersarepresent.Themembersofthecommitteesignaregisterateachmeeting,servingastheattendanceregisteraswellasanundertakingofconfidentialityanddeclarationofinterests.
The meetings are presided over by chairpersons. The members of the committees do not serve on more than one bid committee.
• Information Technology Steering Committee (ITSC)
ThepurposeoftheITSC,whichmeetsonceamonth,istoreviewandendorseICTplans,policiesandstandards.Furthermore,theITSCprioritisesimplementationofICTprojectsandtheirfunding.TheITSCco-ordinatesandendorsescompliancetotheDepartment’sICTarchitecture,configurationandinitiativeswiththestrategicdirectionsoftheGovernmentInformationTechnologyOfficerCouncil(GITOC),aswell
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Department of HigHer eDucation anD trainingVOTE 17
for the year ended 31 March 2014report of tHe accounting officer
as government policies and standards. The ITsc regulates the acquisition, deployment, use and disposal of all Information and communications Technology, Information systems and Information Management systems (IcT/Is/IM) in the Department. This is done in terms of standardisation, need, quantity required, frequencyofuse,aswellasthepotentialimpactonworkoutcomesandcostadvantages.ItsroleistoensurethattheofficeoftheGovernmentInformationTechnologyOfficer(GITO)plansandinvestmentsinIcT, supports the strategic goals of the Department.
9. Discontinued activities/activities to be discontinuednone.
10. New/proposedactivitiesnone.
TheDepartmentisintheprocessofappointingasuitableindependentserviceprovider/sthatcanconductjobevaluations for the proposed regional organisational structure in the Department. With the migration of TVET andAETfunctions,theDepartmentwouldliketoretainapresenceatprovinciallevels,throughregionaloffices,withoutestablishingprovincialdepartments.Theseregionalofficeswillbecloser to institutions,stakeholders,beneficiaries,industry,partnersandcommunities.
NewactivitiesthatmayhaveseverebudgetaryimplicationsontheoperationsoftheDepartmentare:
• Implementation of a backup and archiving solution
• Implementation of the Ministerial committee reports on the Recognition of prior learning and Articulation – R4 million
• DevelopmentofadisabilitypolicyframeworkthroughaMinisterialCommittee–R2million
• Management of the function shift of TVET and AET from provinces to the Department – R40 million.
Newactivitiesforwhichfundingwereobtainedare:
• Data centre Establishment to host all applications of the Department centrally from the Data centre at sITA – R6.5 million from the national skills Fund.
• Implementation of cloud call centre – R3 million from the European union.
• career guidance services – R43 million from the national skills Fund and R99 million from the European union.
• Development of an open learning system for post-school education and training – R53 million from the European union.
11. Asset management
11.1 Progress with regard to capturing assets in a register
Allassets,includingallnewlyacquiredassets,werecapturedontheassetregister.
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11.2 Indication of the extent of compliance with the minimum requirements
Theassetregistercomplieswiththeminimumrequirements.
11.3 Indication of the extent of compliance with the Asset Management Reform Milestones
Allassetswererecordedintheassetregisterandapolicywasdevelopedonthereconciliationofassetsbetweenthe asset register and the basic accounting system.
11.4 Indication of problems experienced with the Asset Management Reform
Therecordingofassetsintheassetregistertakesplaceaccordingtocomponentaccounting,whiletherecordingofthepaymentsforassetsonthefinancialsystemsistreatedasaunit.Thisresultsinreconciliationdiscrepanciesbetweenminorandmajorassets.Apolicyonthereconciliationbetweentheassetregisterandthebasicaccountingsystemwasthereforedevelopedandimplemented.
12. Events after the reporting datenational career Advice portal. note 28 of the Annual Financial statements refers.
13. InformationonpredeterminedobjectivesTheDepartment was responsible for the development of policy on educational and skills-relatedmatters inrelation tomonitoring and evaluating policy implementation. The information on predetermined objectives isincluded under part B: performance Information of this report.
14. standing committee on public Accounts (scopA) resolutionsnone.
15. Priormodificationstoauditreportsnone.
16. Exemptions and deviations received from the national Treasurynone.
17. Interim Financial statementsInterimFinancial Statementswere compiled according to theTreasury guidelines and submitted toNational
187
Department of HigHer eDucation anD trainingVOTE 17
for the year ended 31 March 2014report of tHe accounting officer
Treasuryduringthe2013/14financialyear.
18. othernone.
19. Approval
TheAnnualFinancialStatements,setoutonpages193to254,wereapprovedbytheAccountingOfficer.
Mr GF QondeDirector-GeneralDate: 30 May 2014
188
REPORT OF THE AUDITOR-GENERAL TO PARLIAMENT ON vOTE NO . 17: DEPARTMENT OF HIGHER EDUCATION AND TRAINING
REpoRT on THE FInAncIAl sTATEMEnTs
Introduction
1. IhaveauditedthefinancialstatementsoftheDepartmentofHigherEducationandTrainingsetoutonpages193to235,whichcomprisetheappropriationstatement,thestatementoffinancialpositionasat31March2014,thestatementoffinancialperformance,statementofchangesinnetassetsandcashflowstatementfortheyearthenended,aswellasthenotes,comprisingasummaryofsignificantaccountingpolicies and other explanatory information.
Accounting officer’s responsibility for the financial statements
2. TheaccountingofficerisresponsibleforthepreparationandfairpresentationofthesefinancialstatementsinaccordancewiththeModifiedCashStandardprescribedbytheNationalTreasuryandtherequirementsof the public Finance Management Act of south Africa, 1999 (Act no. 1 of 1999) (pFMA), and for such internalcontrolastheaccountingofficerdeterminesisnecessarytoenablethepreparationoffinancialstatementsthatarefreefrommaterialmisstatement,whetherduetofraudorerror.
Auditor-General’s responsibility
3. Myresponsibilityistoexpressanopiniononthesefinancialstatementsbasedonmyaudit.IconductedmyauditinaccordancewiththePublicAuditActofSouthAfrica,2004(ActNo.25of2004)(PAA),thegeneral notice issued in terms thereof and International standards on Auditing. Those standards require thatIcomplywithethicalrequirements,andplanandperformtheaudittoobtainreasonableassuranceaboutwhetherthefinancialstatementsarefreefrommaterialmisstatement.
4. An audit involves performing procedures to obtain audit evidence about the amounts and disclosures inthefinancialstatements.Theproceduresselecteddependontheauditor’sjudgement,includingtheassessmentof therisksofmaterialmisstatementof thefinancialstatements,whetherdueto fraudorerror. Inmaking those riskassessments, theauditorconsiders internalcontrol relevant to theentity’spreparationandfairpresentationofthefinancialstatementsinordertodesignauditproceduresthatareappropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of theentity’sinternalcontrol.Anauditalsoincludesevaluatingtheappropriatenessofaccountingpoliciesusedandthereasonablenessofaccountingestimatesmadebymanagement,aswellasevaluatingtheoverallpresentationofthefinancialstatements.
5. IbelievethattheauditevidenceIhaveobtainedissufficientandappropriatetoprovideabasisformyaudit opinion.
Opinion
6. Inmyopinion,thefinancialstatementspresentfairly,inallmaterialrespects,thefinancialpositionoftheDepartmentofHigherEducationandTrainingasat31March2014and itsfinancialperformanceandcashflowsfortheyearthenended,inaccordancewiththeModifiedCashStandardprescribedbythenational Treasury and the requirements of the pFMA.
Emphasis of matter7. Idrawattentiontothematterbelow.Myopinionisnotmodifiedinrespectofthismatter.
189
Significant uncertainties
8. As disclosed in disclosure note 20 to the financial statements, the department is the defendant inlawsuits.Thedepartmentisopposingtheclaims.Theultimateoutcomeofthematterscannotpresentlybe determined.
Additional matter 9. Idrawattentiontothematterbelow.Myopinionisnotmodifiedinrespectofthismatter.
Unaudited supplementary schedules
10. Thesupplementaryinformationsetoutonpages236to254doesnotformpartofthefinancialstatementsand is presented as additional information. These schedules have not been audited and, accordingly, I do not express an opinion thereon.
REpoRT on oTHER lEgAl AnD REgulAToRy REQuIREMEnTs11. InaccordancewiththePAAandthegeneralnoticeissuedintermsthereof,Ireportthefollowingfindings
on the reported performance information against predetermined objectives for selected programmespresentedintheannualperformancereport,non-compliancewithlegislationaswellasinternalcontrol.Theobjectiveofmytestswastoidentifyreportablefindingsasdescribedundereachsubheadingbutnotto gather evidence to express assurance on these matters. Accordingly, I do not express an opinion or conclusion on these matters.
Predetermined objectives
12. I performed procedures to obtain evidence about the usefulness and reliability of the reported performance information for the followingselectedprogrammespresented in theannualperformance reportof thedepartment for the year ended 31 March 2014:
• programme 3: university education, on pages 70 to 85
• programme 4: vocational and continuing education and training, on pages 89 to 101
• programme 5: skills development, on pages 105 to 107
13. I evaluated the reported performance information against the overall criteria of usefulness and reliability.
14. IevaluatedtheusefulnessofthereportedperformanceinformationtodeterminewhetheritwaspresentedinaccordancewiththeNationalTreasury’sannualreportingprinciplesandwhetherthereportedperformancewasconsistentwiththeplannedprogrammes.Ifurtherperformedteststodeterminewhetherindicatorsandtargetswerewelldefined,verifiable,specific,measurable,timeboundandrelevant,asrequiredbytheNationalTreasury’sFramework for managing programme performance information (FMppI).
15. I assessed the reliability of the reported performance information to determinewhether it was valid,accurate and complete.
Programme 3: university education
Usefulness and reliability of reported performance information
16. Ididnotraiseanymaterialfindingsontheusefulnessandreliabilityofthereportedperformanceinformationfor the selected programme.
190
Programme 4: vocational and continuing education and trainingUsefulness of reported performance information
17. Ididnotraiseanymaterialfindingsontheusefulnessofthereportedperformanceinformationfortheselected programme.
Reliability of reported performance information18. Thematerialfindingsinrespectofprogramme4areasfollows:
19. The FMppI requires auditees to have appropriate systems to collect, collate, verify and store performance information to ensure valid, accurate and complete reporting of actual achievements against planned objectives,indicatorsandtargets.Adequateandreliablecorroboratingevidencecouldnotbeprovidedforsignificantlyimportanttargetstoassessthereliabilityofthereportedperformanceinformation.Thedepartment’s recordsdidnot permit theapplicationof alternativeaudit procedures. Inaddition, othersignificantly important targets were not valid, accurate and complete when compared to the sourceinformation or evidence provided.Thiswas due to the absence of systems to verify the reporting ofactualachievementsagainstsignificantplannedobjectives, indicatorsand targets.Thiswasalsodueto inadequate performance management to hold staff accountable for adequately addressing internal controldeficienciesreportedintheprioryear.
Programme 5: skills developmentUsefulness of reported performance information
20. Ididnotraiseanymaterialfindingsontheusefulnessofthereportedperformanceinformationfortheselected programme.
Reliability of reported performance information21. Thematerialfindingsinrespectofprogramme5areasfollows:
22. The FMppI requires auditees to have appropriate systems to collect, collate, verify and store performance information to ensure valid, accurate and complete reporting of actual achievements against planned objectives, indicators and targets.Overall, significantly important targetswere not reliable because Iwasunabletoobtainsufficientappropriateauditevidenceforasignificantlyimportanttarget.Inaddition,othersignificantlyimportanttargetswerenotvalid,accurateandcompletewhencomparedtothesourceinformationorevidenceprovided.Thiswasduetolimitationsplacedonthescopeofmyworkduetotheabsenceofsystemstoverifythereportingofactualachievementsagainstsignificantplannedobjectives,indicatorsandtargets.Thedepartment’ssystemsdidnotallowmetoperformalternativeprocedures.Thiswasalso due to inadequate performancemanagement to hold staff accountable for adequatelyaddressinginternalcontroldeficienciesreportedintheprioryear.
Additional matters23. Idrawattentiontothefollowingmatters:
Achievement of planned targets
24. Refer to the annual performance report on pages 70 to 85, 89 to 101 and 105 to 107 for information on the achievement of the planned targets for the year. This information should be considered in the contextofthematerialfindingsonthereliabilityofthereportedperformanceinformationfortheselectedprogrammes reported in paragraphs 19 and 22 of this report.
Adjustment of material misstatements
25. Iidentifiedmaterialmisstatementsintheannualperformancereportsubmittedforauditingonthereportedperformance information for programme 3: university education, programme 4: vocational and continuing
191
education and training, and programme 5: skills development. As management subsequently corrected onlysomeofthemisstatements,Iraisedmaterialfindingsonthereliabilityofthereportedperformanceinformation.
Compliance with legislation
26. Iperformedprocedurestoobtainevidencethatthedepartmenthadcompliedwithapplicablelegislationregardingfinancialmatters, financialmanagementandother relatedmatters.Myfindingsonmaterialnon-compliancewithspecificmattersinkeylegislation,assetoutinthegeneralnoticeissuedintermsofthePAA,areasfollows:
Strategic planning and performance management
27. Effective, efficient and transparent systemsof riskmanagement and internal controlswith respect toperformanceinformationandmanagementwerenot inplace,asrequiredbySection38(1)(a)(i)ofthepFMA. The department did not have appropriate systems to collect, collate, verify and store performance information to ensure valid, accurate and complete reporting of actual achievements against planned objectives,indicatorsandtargets,asrequiredbytheFMPPI.
Annual financial statements, performance report and annual report
28. Thefinancial statementssubmitted forauditingwerenotprepared inaccordancewith theprescribedfinancial reporting framework, as required by Section 40(1)(a) of the PFMA.Material misstatementsoftheimpairmentofreceivablesandcommitmentsidentifiedbytheauditorsinthesubmittedfinancialstatementsweresubsequentlycorrected,resulting inthefinancialstatementsreceivinganunqualifiedaudit opinion.
Human resource management and compensation
29. Employees were appointed without following a proper process to verify the claims made in theirapplications, in contravention of public service regulation 1/VII/D.8.
30. Fundedvacantpostswerenot filledwithin12months,as requiredbypublic service regulation1/VII/c.1A.2.
Procurement and contract management
31. Employeesperformed remunerativeworkoutside their employment in thedepartmentwithoutwrittenpermission from the relevant authority, as required by section 30 of the public service Act of south Africa, 1994 (Act no. 103 of 1994).
Internal control
32. Iconsideredinternalcontrolrelevanttomyauditofthefinancialstatements,annualperformancereportandcompliancewithlegislation.Themattersreportedbelowarelimitedtothesignificantinternalcontroldeficiencies that resulted in the findings on the annual performance report and the findings on non-compliancewithlegislationincludedinthisreport.
Leadership
33. Managementdevelopedactionplanstoaddresspreviouslyreportedrootcausesandrecurringfindings.However,someoftheseactionplanshadnotbeeneffectivelyimplementedbyyear-end.
34. Therewasinadequateconsequencemanagementforactionplansnotimplementedtoaddressinternalcontroldeficienciespreviouslyreportedbytheexternalandinternalauditors.
35. programme-level policies and procedures for collating, recording and verifying reporting on the achievementofplannedobjectives, indicatorsandtargetswereonlydevelopedatyear-endandweretherefore not implemented during the year.
192
36. Therewasalackofintegrationbetweenvariousbrancheswithinthedepartmenttoensurethereviewandverificationofreportedperformanceinformation.Informationsubmittedbyreportingbrancheswasnotadequatelyverifiedbytheconsolidationbranch.
37. The departmentwas unable to performall the required verification andmonitoring functions over itsentities due to funding and human resource capacity constraints. As a result, the reliability of reported achievements by its entities and institutions consolidated into the achievements reported by the departmentwasnotalwaysverified.
Financial and performance management
38. Managementdidnotensurethattheannualperformancereportwasadequatelysupportedandevidencedby reliable information.
39. The branches did not perform the required checks to ensure the validity, accuracy and completeness of the reported achievements in the quarterly and annual performance reports for most of the reported information. Furthermore, no checks were performed on the consolidated quarterly and annualperformancereportstoensuretheintegrityoftheinformationreportedtotheaccountingofficer.
40. Thedepartmentdidnotadequatelymonitorcompliancewithrelevantlawsandregulations,asevidencedby the recurring findings, especially in the areas of human resourcemanagement and supply chainmanagement.
oTHER REpoRTsPerformance audits41. Aperformanceauditoftheadultbasiceducationandtraining(ABET)programmewasconducted.The
audit focusedon theeconomic,efficientandeffectiveuseof resources in theABETprogramme.Theauditiscurrentlyinthereportingphaseandthefindingswillbereportedinaseparatereport.
Investigations42. An investigation was undertaken by an independent consulting firm regarding the supply chain
managementprocessfollowedfortheprocurementofasecuritysystemduringMarch2012toMay2013.Non-compliancewith departmental policies and procedureswas confirmed. The employees involvedweresubjecttodisciplinaryprocesses.Oneemployeewassubsequentlysuspendedwithoutpayforthreemonths.
43. AninvestigationwasundertakenbyanindependentconsultantregardingthebiddingprocessfollowedforatechnicalandvocationaleducationandtraininginfrastructureprojectduringDecember2013toApril2014.Asecondphaseof the investigationwas institutedbasedon the resultsof thefirstphase.Theexpecteddateoftheoutcomeofthesecondphaseisunknown.
Pretoria31 July 2014
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APP
RO
PRIA
TIO
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MEN
T
Dep
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for t
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nded
31
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ch 2
014
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App
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2012
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APP
RO
PRIA
TIO
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MEN
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Dep
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ch 2
014
196
Stat
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Dire
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Stat
utor
y ap
prop
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2013
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2012
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Stat
utor
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prop
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APP
RO
PRIA
TIO
N S
TATE
MEN
T
197
2013
/14
2012
/13
Det
ails
per
sub
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gram
me
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DEP
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DU
CAT
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AN
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GV
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17
for t
he y
ear e
nded
31
Mar
ch 2
014
APP
RO
PRIA
TIO
N S
TATE
MEN
TD
etai
l per
pro
gram
me
1 - A
dmin
istr
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n
198
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2012
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me
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for t
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ear e
nded
31
Mar
ch 2
014
APP
RO
PRIA
TIO
N S
TATE
MEN
TD
etai
l per
pro
gram
me
1 - A
dmin
istr
atio
n
199
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2012
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per
sub
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2 .3
Plan
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Mon
itorin
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d Ev
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17
for t
he y
ear e
nded
31
Mar
ch 2
014
APP
RO
PRIA
TIO
N S
TATE
MEN
TD
etai
l per
pro
gram
me
2 –
Hum
an R
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200
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2012
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Prog
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me
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nom
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pend
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167
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DEP
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DU
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AN
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ININ
GV
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17
for t
he y
ear e
nded
31
Mar
ch 2
014
APP
RO
PRIA
TIO
N S
TATE
MEN
TD
etai
l per
pro
gram
me
2 –
Hum
an R
esou
rce
Dev
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men
t, Pl
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Coo
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atio
n
201
2013
/14
2012
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Det
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per
sub
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me
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13
APP
RO
PRIA
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TD
etai
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gram
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DEP
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GV
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17
for t
he y
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nded
31
Mar
ch 2
014
202
2013
/14
2012
/13
Prog
ram
me
3 pe
r eco
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ic
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Adj
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APP
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17
for t
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nded
31
Mar
ch 2
014
203
2013
/14
2012
/13
Det
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per
sub
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Adj
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for t
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31
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ch 2
014
APP
RO
PRIA
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MEN
TD
etai
l per
pro
gram
me
4 –
voca
tiona
l and
Con
tinui
ng E
duca
tion
and
Trai
ning
204
2013
/14
2012
/13
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me
4 pe
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31
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APP
RO
PRIA
TIO
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TATE
MEN
TD
etai
l per
pro
gram
me
4 –
voca
tiona
l and
Con
tinui
ng E
duca
tion
and
Trai
ning
205
2013
/14
2012
/13
Det
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per
sub
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me
Adj
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31
Mar
ch 2
014
APP
RO
PRIA
TIO
N S
TATE
MEN
TD
etai
l per
pro
gram
me
5 –
Skill
s D
evel
opm
ent
206
2013
/14
2012
/13
Prog
ram
me
5 pe
r eco
nom
ic
clas
sific
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Adj
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as %
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150
99.8
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Paym
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DEP
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GV
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17
for t
he y
ear e
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31
Mar
ch 2
014
APP
RO
PRIA
TIO
N S
TATE
MEN
TD
etai
l per
pro
gram
me
5 –
Skill
s D
evel
opm
ent
207
Department of HigHer eDucation anD trainingVOTE 17
for the year ended 31 March 2014
1. Detail of transfers and subsidies as per Appropriation Act (after Virement):Detail of these transactions can be viewed in the note onTransfers andSubsidies, the note on thestatement of conditional grants paid to provinces and Annexure 1 (A-H) to the Annual Financial statements.
2. Detailofspecificallyandexclusivelyappropriatedamountsvoted(after Virement):Detail of these transactions can be viewed in note 1 (AnnualAppropriation) to theAnnual Financialstatements.
3. DetailonpaymentsforfinancialassetsDetailofthesetransactionsperprogrammecanbeviewedinthenotetoPaymentsforfinancialassetstothe Annual Financial statements.
4. Explanations of material variances from Amounts Voted (after Virement):
4 .1 Per programme:
Final Appropriation
Actual Expenditure
variance variance as a % of Final
Appropriation
R’000 R’000 R’000 %
Administration 203 729 203 044 685 0.34
Therewerenomaterialvariancesonthisprogramme.
Human Resource Development, Planning and Monitoring Coordination
43 827 43 535 292 0.67
Therewerenomaterialvariancesonthisprogramme.
University Education 28 299 507 28 299 279 228 0.00
Therewerenomaterialvariancesonthisprogramme.
vocational and Continuing Education and Training
5 686 806 5 686 388 418 0.01
Therewerenomaterialvariancesonthisprogramme.
Skills Development 100 031 99 723 308 0.31
Therewerenomaterialvariancesonthisprogramme.
NOTES TO THE APPROPRIATION STATEMENT
208
Department of HigHer eDucation anD trainingVOTE 17
for the year ended 31 March 2014
4.2 Per economic classification:
Final Appropriation
Actual Expenditure
variance variance as a % of Final
Appropriation
R’000 R’000 R’000 %Current expenditurecompensation of employees 398 903 398 450 453 0.11goods and services 178 844 178 134 710 0.40
Transfers and subsidiesprovinces and municipalities 2 454 188 2 454 188 - 0.00Departmental agencies and accounts 17 972 792 17 972 736 56 0.00Higher education institutions 22 388 767 22 388 767 - 0.00Foreign governments and international organisations
2 917 2 927 (10) (0.34)
Non-profitinstitutions 3 020 189 3 020 189 - 0.00Households 1 815 1 705 110 6.06
Payments for capital assetsMachinery and equipment 5 636 5 032 604 10.72Intangible assets 35 27 8 22.86
Foreign governments and international organisations: overspending is due mainly to further foreign payment charges thatwas not reflected in the books of theDepartment at the timewhenTreasury approvalswereobtained. Machinery and equipment: under-spending is due mainly to cost cutting measures put in place on computer equipment in examination function to ensure that the vote does not overspend. Intangible assets: under-spending is due mainly to cost cutting measures including the approval of all orders by the chief Financial OfficerputinplaceintheDepartmenttopreventoverspendingonthevote.
4 .3 Per conditional grant:
Final Appropriation
Actual Expenditure
variance variance as a % of Final
Appropriation
R’000 R’000 R’000 %
Higher Education and Training
Further Education and Training colleges grant
2 454 188 2 454 188 - 0.00
Therewerenomaterialvariances.
NOTES TO THE APPROPRIATION STATEMENT
209
Department of HigHer eDucation anD trainingVOTE 17
for the year ended 31 March 2014
2013/14 2012/13Note R’000 R’000
REvENUEAnnual appropriation 1 34 333 900 31 586 151statutory appropriation 2 12 090 186 11 694 493Departmental revenue 3 11 880 10 913Aid assistance 4 5 433 883
TOTAL REvENUE 46 441 399 43 292 440
EXPENDITURECurrent expenditurecompensation of employees 5 398 450 360 434goods and services 6 178 134 157 184Aid assistance 4 1 155 -Total current expenditure 577 739 517 618
Transfers and subsidiesTransfers and subsidies 8 45 840 512 42 753 787Aid assistance 4 1 147 883Total transfers and subsidies 45 841 659 42 754 670
Expenditure for capital assetsTangible capital assets 9 5 032 5 455Softwareandotherintangibleassets 9 27 -Total expenditure for capital assets 5 059 5 455
Payments for financial assets 7 - 33
TOTAL EXPENDITURE 46 424 457 43 277 776
SURPLUS FOR THE YEAR 16 942 14 664
Reconciliation of Net Surplus for the yearVoted Funds 1 931 3 751
Annual appropriation 1 931 3 751Departmental revenue and nRF receipts 15 11 880 10 913Aid assistance 4 3 131 -SURPLUS FOR THE YEAR 16 942 14 664
STATEMENT OF FINANCIAL PERFORMANCE
210
2013/14 2012/13Note R’000 R’000
ASSETS
Current Assets 236 614 160 392cash and cash equivalents 10 6 167 8 812prepayments and advances 11 13 214 8 254Receivables 12 214 942 141 197loans 13 2 291 2 129
Non-Current Assets 21 956 24 247loans 13 21 956 24 247
TOTAL ASSETS 258 570 184 639
LIABILITIES
Current Liabilities 233 941 157 876Voted funds to be surrendered to the Revenue Fund 14 1 931 3 721Departmental revenue to be surrendered to the Revenue Fund 15 196 557Bank overdraft 16 163 271 153 230payables 17 65 412 368Aid assistance repayable 4 3 131 -
TOTAL LIABILITIES 233 941 157 876
NET ASSETS 24 629 26 763
Represented by:capitalisation reserve
Recoverable revenue
24 247
382
26 376
387
TOTAL 24 629 26 763
DEPARTMENT OF HIGHER EDUCATION AND TRAININGVoTE 17
as at 31 March 2014STATEMENT OF FINANCIAL POSITION
211
Department of HigHer eDucation anD trainingVOTE 17
for the year ended 31 March 2014
2013/14 2012/13
Note R’000 R’000Capitalisation Reservesopening balance 26 376 28 431Transfers:
other movements (2 129) (2 055)closing balance 24 247 26 376
Recoverable revenueopening balance 387 308Transfers: (5) 79
Debts recovered (including in departmental receipts) (265) (62)Debts raised 260 141
closing balance 382 387
TOTAL 24 629 26 763
STATEMENT OF CHANGES IN NET ASSETS
212
Department of HigHer eDucation anD trainingVOTE 17
for the year ended 31 March 2014
2013/14 2012/13
Note R’000 R’000CASH FLOWS FROM OPERATING ACTIvITIESReceipts 46 441 399 43 292 410
Annual appropriated funds received 1.1 34 333 900 31 586 121statutory appropriated funds received 2 12 090 186 11 694 493Departmental revenue received 3 8 506 7 455Interest received 3.2 3 374 3 458Aid assistance received 4 5 433 883
Net(increase)/decreaseinworkingcapital (13 661) (88 958)surrendered to Revenue Fund (15 962) (98 729)current payments (577 739) (517 618)Paymentsforfinancialassets - (33)Transfers and subsidies paid (45 841 659) (42 754 670)Net cash flow available from operating activities 18 (7 622) (167 598)
CASH FLOWS FROM INvESTING ACTIvITIESpayments for capital assets 9 (5 059) (5 455)(Increase)/ decrease in loans 2 129 2 055Net cash flows from investing activities (2 930) (3 400)
CASH FLOWS FROM FINANCING ACTIvITIESIncrease/ (decrease) in net assets (2 134) (1 976)Net cash flows from financing activities (2 134) (1 976)
net increase/ (decrease) in cash and cash equivalents (12 686) (172 974)
cash and cash equivalents at beginning of period (144 418) 28 556
Cash and cash equivalents at end of period 19 (157 104) (144 418)
CASH FLOW STATEMENT
213
Department of HigHer eDucation anD trainingVOTE 17
for the year ended 31 March 2014
Summary of significant accounting policies
TheFinancialStatements havebeenprepared in accordancewith the following policies,which havebeenappliedconsistentlyinallmaterialaspects,unlessotherwiseindicated.
The historical cost convention has been used, except where otherwise indicated. Management has usedassessments and estimates in preparing the annual Financial statements. These are based on the best information available at the time of preparation.
Where appropriate and meaningful, additional information has been disclosed to enhance the usefulness of theFinancialStatementsandtocomplywiththestatutoryrequirementsofthePublicFinanceManagementAct(pFMA), Act 1 of 1999 (as amended by Act 29 of 1999), and the Treasury Regulations issued in terms of the pFMA and the annual Division of Revenue Act.
1 Basis of preparation
TheFinancialStatementshavebeenpreparedinaccordancewiththeModifiedCashStandard.
2 Going concern
The Financial statements have been prepared on a going concern basis.
3 Presentation currency
AmountshavebeenpresentedinthecurrencyoftheSouthAfricanRand(R)whichisalsothefunctionalcurrency of the Department.
4 Rounding
UnlessotherwisestatedfinancialfigureshavebeenroundedtothenearestonethousandRand(R’000).
5 Foreign currency translation
CashflowsarisingfromforeigncurrencytransactionsaretranslatedintoSouthAfricanRandsusingtheexchange rates prevailing at the date of payment / receipt.
6 Current year comparison with budget
A comparison between the approved, final budget and actual amounts for each programme andeconomicclassificationisincludedintheAppropriationStatement.
7 Revenue
7 .1 Appropriated funds
Appropriatedfundscomprisesofdepartmentalallocationsaswellasdirectchargesagainsttherevenuefund (i.e. statutory appropriation).
Appropriated funds are recognised in the statement of Financial performance on the date the appropriationbecomeseffective.AdjustmentsmadeintermsoftheadjustmentsbudgetprocessarerecognisedintheStatementofFinancialPerformanceonthedatetheadjustmentsbecomeeffective.
The net amount of any appropriated funds due to / from the relevant revenue fund at the reporting date is recognised as a payable / receivable in the statement of Financial position.
7 .2 Departmental revenue
DepartmentalrevenueisrecognisedintheStatementofFinancialPerformancewhenreceivedandissubsequentlypaidintotheNationalRevenueFund,unlessstatedotherwise.
AnyamountowingtotheNationalRevenueFundatthereportingdateisrecognisedasapayableinthe statement of Financial position.
ACCOUNTING POLICIES
214
Department of HigHer eDucation anD trainingVOTE 17
for the year ended 31 March 2014
7 .3 Accrued departmental revenue Accruals in respect of Departmental revenue (excluding tax revenue) are recorded in the notes to the FinancialStatementswhen:
• itisprobablethattheeconomicbenefitsorservicepotentialassociatedwiththetransactionwillflowtothedepartment;and
• the amount of revenue can be measured reliably.
The accrued revenue is measured at the fair value of the consideration receivable.
Accrued tax revenue (and related interest and / penalties) is measured at amounts receivable from collecting agents.
8 Expenditure
8 .1 Compensation of employees
8 .1 .1 Salaries and wages
SalariesandwagesarerecognisedintheStatementofFinancialPerformanceonthedateofpayment.
8 .1 .2 Social contributions
social contributions made by the Department in respect of current employees are recognised in the statement of Financial performance on the date of payment.
SocialcontributionsmadebytheDepartmentinrespectofex-employeesareclassifiedastransferstohouseholds in the statement of Financial performance on the date of payment.
8 .2 Other expenditure
other expenditure (such as goods and services, transfers and subsidies and payments for capital assets) is recognised in the statement of Financial performance on the date of payment. The expense isclassifiedasacapitalexpenseifthetotalconsiderationpaidismorethanthecapitalisationthreshold.
8 .3 Accrued expenditure payable
AccruedexpenditurepayableisrecordedinthenotestotheFinancialStatementswhenthegoodsarereceivedor,inthecaseofservices,whentheyarerenderedtotheDepartment.
Accrued expenditure payable is measured at cost.
8 .4 Leases
8 .4 .1 Operating leases
operating lease payments made during the reporting period are recognised as current expenditure in the statement of Financial performance on the date of payment.
The operating lease commitments are recorded in the notes to the Financial statements.
8 .4 .2 Finance leases
Finance lease payments made during the reporting period are recognised as capital expenditure in the statement of Financial performance on the date of payment.
Thefinance leasecommitmentsare recorded in thenotes to theFinancialStatementsandarenotapportionedbetweenthecapitalandinterestportions.
Financeleaseassetsacquiredattheendoftheleasetermarerecordedandmeasuredatthelowerof:
• cost, being the fair value of the asset; or
• thesumoftheminimumleasepaymentsmade,includinganypaymentsmadetoacquireownershipat the end of the lease term, excluding interest.
ACCOUNTING POLICIES
215
Department of HigHer eDucation anD trainingVOTE 17
for the year ended 31 March 2014
9 Aid Assistance
9 .1 Aid assistance received
AidassistancereceivedincashisrecognisedintheStatementofFinancialPerformancewhenreceived.In-kind aid assistance is recorded in the annexure to the Financial statements on the date of receipt and is measured at fair value.
Aid assistance not spent for the intended purpose and any unutilised funds from aid assistance that are required to be refunded to the donor are recognised as a payable in the statement of Financial position.
9 .2 Aid assistance paid
Aid assistance paid is recognised in the statement of Financial performance on the date of payment. Aid assistance payments made prior to the receipt of funds are recognised as a receivable in the statement of Financial position.
10 Cash and cash equivalents
cash and cash equivalents are stated at cost in the statement of Financial position.
BankoverdraftsareshownseparatelyonthefaceoftheStatementofFinancialPosition.
For thepurposesof theCashFlowStatement,cashandcashequivalentscomprisecashonhand,deposits held, other short-term highly liquid investments and bank overdrafts.
11 Prepayments and advances
PrepaymentsandadvancesarerecognisedintheStatementofFinancialPositionwhentheDepartmentreceives or disburses the cash.
prepayments and advances are initially and subsequently measured at cost.
Prepayments are expensed when invoices or claims for services rendered or goods received areprovided.
12 Loans and receivables
loans and receivables are recognised in the statement of Financial position at cost plus accrued interest,whereinterestischarged,lessamountsalreadysettledorwritten-off.
13 Impairment of financial assets
Wherethereisanindicationofimpairmentofafinancialasset,anestimationofthereductionintherecordedcarrying value, to reflect thebest estimateof theamountof the futureeconomicbenefitsexpected to be received from that asset, is recorded in the notes to the Financial statements.
14 Payables
loans and payables are recognised in the statement of Financial position at cost.
ACCOUNTING POLICIES
216
Department of HigHer eDucation anD trainingVOTE 17
for the year ended 31 March 2014
15 Capital Assets
15 .1 Immovable capital assets
Immovable capital assets are initially recorded in the notes to the Financial statements at cost. Immovable capital assets acquired through a non-exchange transaction is measured at fair value as at the date of acquisition.
Where the cost of immovable capital assets cannot be determined accurately, the immovable capital assetsaremeasuredatR1unlessthefairvalueoftheassethasbeenreliablyestimated,inwhichcasethe fair value is used.
All assets acquired prior to 1 April 2002 (or a later date as approved by the oAg) are recorded at R1.
Immovable capital assets are subsequently carried at cost and are not subject to depreciation orimpairment.
subsequent expenditure that is of a capital nature is added to the cost of the asset at the end of thecapitalprojectunlesstheimmovableassetisrecordedbyanotherdepartmentinwhichcasethecompletedprojectcostsaretransferredtothatdepartment.
15 .2 Movable capital assets
Movable capital assets are initially recorded in the notes to the Financial statements at cost. Movable capital assets acquired through a non-exchange transaction is measured at fair value as at the date of acquisition.
Where the cost of movable capital assets cannot be determined accurately, the movable capital assetsaremeasuredatfairvalueandwherefairvaluecannotbedetermined;themovableassetsaremeasured at R1.
All assets acquired prior to 1 April 2002 (or a later date as approved by the oAg) are recorded at R1.
Movablecapitalassetsaresubsequentlycarriedatcostandarenotsubjecttodepreciationorimpairment.
subsequent expenditure that is of a capital nature is added to the cost of the asset at the end of the capitalprojectunlessthemovableassetisrecordedbyanotherdepartment/entity inwhichcasethecompletedprojectcostsaretransferredtothatdepartment.
15 .3 Intangible assets
Intangible assets are initially recorded in the notes to the Financial statements at cost. Intangible assets acquired through a non-exchange transaction are measured at fair value as at the date of acquisition.
InternallygeneratedintangibleassetsarerecordedinthenotestotheFinancialStatementswhentheDepartmentcommencesthedevelopmentphaseoftheproject.
Where the cost of intangible assets cannot be determined accurately, the intangible capital assets are measuredatfairvalueandwherefairvaluecannotbedetermined;theintangibleassetsaremeasuredat R1.
All assets acquired prior to 1 April 2002 (or a later date as approved by the oAg) are recorded at R1.
Intangibleassetsaresubsequentlycarriedatcostandarenotsubjecttodepreciationorimpairment.
subsequent expenditure that is of a capital nature is added to the cost of the asset at the end of the capitalprojectunlesstheintangibleassetisrecordedbyanotherdepartment/entityinwhichcasethecompletedprojectcostsaretransferredtothatdepartment.
ACCOUNTING POLICIES
217
Department of HigHer eDucation anD trainingVOTE 17
for the year ended 31 March 2014
16 Provisions and Contingents
16 .1 Provisions
Provisions are recorded in the notes to the Financial Statementswhen there is a present legal orconstructiveobligationtoforfeiteconomicbenefitsasaresultofeventsinthepastanditisprobablethatanoutflowofresourcesembodyingeconomicbenefitsorservicepotentialwillberequiredtosettlethe obligation and a reliable estimate of the obligation can be made. The provision is measured as the best estimate of the funds required to settle the present obligation at the reporting date.
16 .2 Contingent liabilities
Contingent liabilitiesarerecordedinthenotestotheFinancialStatementswhenthere isapossibleobligationthatarisesfrompastevents,andwhoseexistencewillbeconfirmedonlybytheoccurrenceornon-occurrenceofoneormoreuncertainfutureeventsnotwithinthecontroloftheDepartmentorwhenthereisapresentobligationthatisnotrecognisedbecauseitisnotprobablethatanoutflowofresourceswillberequiredtosettletheobligationortheamountoftheobligationcannotbemeasuredreliably.
16 .3 Contingent assets
ContingentassetsarerecordedinthenotestotheFinancialStatementswhenapossibleassetarisesfrompastevents,andwhoseexistencewillbeconfirmedbytheoccurrenceornon-occurrenceofoneormoreuncertainfutureeventsnotwithinthecontroloftheDepartment.
16 .4 Commitments
CommitmentsarerecordedatcostinthenotestotheFinancialStatementswhenthereisacontractualarrangement or an approval by management in a manner that raises a valid expectation that the Departmentwilldischargeitsresponsibilitiestherebyincurringfutureexpenditurethatwillresultintheoutflowofcash.
17 Unauthorised expenditure
unauthorised expenditure is recognised in the statement of Financial position until such time as the expenditure is either:
• approvedbyParliamentortheProvincialLegislaturewithfundingandtherelatedfundsarereceived;or
• approvedbyParliamentortheProvincialLegislaturewithoutfundingandiswrittenoffagainsttheappropriation in the statement of Financial performance; or
• transferred to receivables for recovery.
unauthorised expenditureismeasuredattheamountoftheconfirmedunauthorisedexpenditure.
18 Fruitless and wasteful expenditure
FruitlessandwastefulexpenditureisrecordedinthenotestotheFinancialStatementswhenconfirmed.Theamountrecordedisequaltothetotalvalueofthefruitlessandorwastefulexpenditureincurred.
FruitlessandwastefulexpenditureisremovedfromthenotestotheFinancialStatementswhenit isresolved or transferred to receivables for recovery.
Fruitlessandwasteful expenditure receivables aremeasuredat theamount that is expected to berecoverableandarede-recognisedwhensettledorsubsequentlywritten-offasirrecoverable.
ACCOUNTING POLICIES
218
Department of HigHer eDucation anD trainingVOTE 17
for the year ended 31 March 2014
19 Irregular expenditure
IrregularexpenditureisrecordedinthenotestotheFinancialStatementswhenconfirmed.Theamountrecorded is equal to the value of the irregular expenditure incurred unless it is impracticable to determine, inwhichcasereasonsthereforeareprovidedinthenote.
Irregularexpenditure isremovedfromthenotewhen it iseithercondonedbytherelevantauthority,transferred to receivables for recovery or not condoned and is not recoverable.
Irregular expenditure receivables are measured at the amount that is expected to be recoverable and arede-recognisedwhensettledorsubsequentlywritten-offasirrecoverable.
20 Changes in accounting estimates
none.
21 Prior period errors
none.
22 Non-adjusting events after the reporting date
none.
23 Agent-Principal arrangements
none.
ACCOUNTING POLICIES
219
Department of HigHer eDucation anD trainingVOTE 17
for the year ended 31 March 2014noteS to tHe annuaL financiaL StatementS
1 . Annual Appropriation1 .1 Annual Appropriation
2013/14
Final Appropriation
Actual Funds Received
Funds not requested/
not received
Appropriation Received
2012/13Programmes R’000 R’000 R’000 R’000Administration 203 729 203 729 - 172 151Human Resource Development, planning and Monitoring coordination 43 827 43 827 - 43 245university Education 28 299 507 28 299 507 - 26 229 270Vocational and continuing Education and Training 5 686 806 5 686 806 - 5 048 122skills Development 100 031 100 031 - 93 333Total 34 333 900 34 333 900 - 31 586 121
2013/14 2012/13Note R’000 R’000
2 . Statutory Appropriationsector Education and Training Authorities (sETAs) 9 673 818 9 355 595national skills Fund 2 416 368 2 338 898Total 12 090 186 11 694 493
Actual statutory appropriation received 12 090 186 11 694 493
3 . Departmental Revenuesales of goods and services other than capital assets 3.1 6 071 4 965Interest, dividends and rent on land 3.2 3 374 3 458Transactionsinfinancialassetsandliabilities 3.3 2 435 2 410Transfer received 3.4 - 80Total revenue collected 11 880 10 913Departmental revenue collected 11 880 10 913
3 .1 Sales of goods and services other than capital assets
3
sales of goods and services produced by the department 6 042 4 949
sales by market establishment 423 457Administrative fees 4 294 3 915other sales 1 325 577
Salesofscrap,wasteandotherusedcurrentgoods 29 16Total 6 071 4 965
3 .2 Interest, dividends and rent on land 3Interest 3 374 3 458Total 3 374 3 458
220
Department of HigHer eDucation anD trainingVOTE 17
for the year ended 31 March 2014noteS to tHe annuaL financiaL StatementS
2013/14 2012/13
Note r’000 r’000
3 .3 Transactions in financial assets and liabilities 3other receipts including recoverable revenue 2 435 2 410Total 2 435 2 410
3 .4 Transfers received 3International organisations - 20public corporations and private enterprises - 60Total - 80
4 . Aid Assistance4 .1 Aid assistance received in cash from RDP
Foreignopening Balance - -Revenue 5 433 883Expenditure (2 302) (883)
current (1 155) -Transfers (1 147) (883)
Closing Balance 3 131 -
4 .2 Totalopening Balance - -Revenue 5 433 883Expenditure (2 302) (883)
current (1 155) -Transfers (1 147) (883)
Closing Balance 3 131 -
4 .3 Analysis of balanceAid assistance repayable 3 131 -
RDp 3 131 -Closing balance 3 131 -
5 . Compensation of employees5 .1 Salaries and wages
Basic salary 217 221 189 936Performanceaward 5 495 2 624service based 364 315compensative/circumstantial 82 361 84 910periodic payments 921 119Othernon-pensionableallowances 55 535 49 554Total 361 897 327 458
221
Department of HigHer eDucation anD trainingVOTE 17
for the year ended 31 March 2014noteS to tHe annuaL financiaL StatementS
2013/14 2012/13
Note r’000 r’000
5 .2 Social contributionsEmployer contributionspension 25 444 22 535Medical 11 048 10 390Bargaining council 60 50Officialunionsandassociations 1 1Total 36 553 32 976
Total compensation of employees 398 450 360 434
Average number of employees 1 031 906
6 . Goods and servicesAdministrative fees 245 142Advertising 2 267 4 520Minor assets 6.1 592 1 561Bursaries (employees) 349 542catering 6 286 5 471communication 6 837 6 329computer services 6.2 25 772 23 400consultants, contractors and agency/outsourced services 6.3 9 950 8 564Entertainment 92 50Audit cost – external 6.4 7 594 6 317Fleet services 878 1 516Inventory 6.5 2 524 2 893consumables 6.6 19 424 20 597operating leases 2 653 2 465property payments 6.7 34 214 21 199Rental and hiring 84 44Transport provided as part of the departmental activities 297 955Travel and subsistence 6.8 46 314 39 855Venues and facilities 2 844 1 685Training and staff development 987 1 751other operating expenditure 6.9 7 931 7 328Total 178 134 157 184
6 .1 Minor assets 6Tangible assets 587 1 561
Machinery and equipment 587 1 561Intangible assets 5 -
Total 592 1 561
6 .2 Computer services 6sITA computer services 22 624 20 933External computer service providers 3 148 2 467Total 25 772 23 400
222
Department of HigHer eDucation anD trainingVOTE 17
for the year ended 31 March 2014noteS to tHe annuaL financiaL StatementS
2013/14 2012/13
Note r’000 r’000
6 .3 Consultants, contractors and agency/ outsourced services
6
Business and advisory services 1 316 1 891laboratory services - 49legal costs 991 1 440contractors 859 872Agency and support/outsourced services 6 784 4 312Total 9 950 8 564
6 .4 Audit cost – external 6Regularity audits 5 486 5 613performance audits 157 104computer audits 1 951 600Total 7 594 6 317
6 .5 Inventory 6clothing material and accessories 2 -Food and food supplies 425 472Fuel, oil and gas 57 60Materials and supplies 2 039 2 355Medical supplies 1 6Total 2 524 2 893
6 .6 Consumables 6consumables supplies 1 400 1 309uniform and clothing 81 -Household supplies 876 -Building material and supplies 178 -communication accessories 16 -IT consumables 101 -other consumables 148 1 309Stationery,printingandofficessupplies 18 024 19 288Total 19 424 20 597
6 .7 Property payments 6property management fees 33 163 19 896Maintenance and repairs 247 264other 804 1 039Total 34 214 21 199
6 .8 Travel and subsistence 6local 39 667 33 644Foreign 6 647 6 211Total 46 314 39 855
223
Department of HigHer eDucation anD trainingVOTE 17
for the year ended 31 March 2014noteS to tHe annuaL financiaL StatementS
2013/14 2012/13
Note r’000 r’000
6 .9 Other operating expenditureprofessional bodies, membership and subscription fees
6 195 10
Resettlement costs 1 381 2 948other 6 355 4 370Total 7 931 7 328
7 . Payments for financial assetsDebtswrittenoff 7.1 - 33Total - 33
7 .1 Debts written off 7NatureofdebtswrittenoffOtherdebtwrittenoffMissing photocopy Machine - olivetti - 33Total - 33Total debt written off - 33
8 . Transfers and subsidiesprovinces and municipalities 32 2 454 188 4 844 607Departmental agencies and accounts Annex 1A 17 972 736 16 996 473Higher education institutions Annex 1B 22 388 767 20 902 779Foreign governments and international organisations Annex 1C 2 927 2 639Non-profitinstitutions Annex 1D 3 020 189 5 000Households Annex 1E 1 705 2 289Total 45 840 512 42 753 787
Unspentfundstransferredtotheabovebeneficiaries 32 012 18 976An amount of R32.012 million was surrendered by the provincial education departments for Limpopo (R802 000), North West (R584 000), Eastern Cape (R13.693 million), Free State (R15.540 million), Northern Cape (R1.393 million).
9 . Expenditure for capital assetsTangible assets 5 032 5 455
Machinery and equipment 29 5 032 5 455
Intangible assets 27 -Software 30 27 -
Total 5 059 5 455
224
Department of HigHer eDucation anD trainingVOTE 17
for the year ended 31 March 2014noteS to tHe annuaL financiaL StatementS
9 .1 Analysis of funds utilised to acquire capital assets - 2013/14
voted fundsAid
assistance TotalR’000 R’000 R’000
Tangible assets 5 032 - 5 032Machinery and equipment 5 032 - 5 032
Intangible assets 27 - 27Software 27 - 27
Total 5 059 - 5 059
9 .2 Analysis of funds utilised to acquire capital assets - 2012/13
voted fundsAid
assistance TotalR’000 R’000 R’000
Tangible assets 5 455 - 5 455Machinery and equipment 5 455 - 5 455
Total 5 455 - 5 455
2013/14 2012/13Note R’000 R’000
10 . Cash and cash equivalentscash receipts 5 48cash on hand 23 23Cashwithcommercialbanks(Local) 6 139 8 741Total 6 167 8 812
11 . Prepayments and advancesTravel and subsistence 62 37prepayments 4 084 153Advances paid 9 068 8 064Total 13 214 8 254
11 .1 Advances paidnational departments Annex 5A 9 068 8 064
Total 9 068 8 064
2013/14 2012/13
Less than one year
One to three years
Older than three
years Total TotalNote R’000 R’000 R’000 R’000 R’000
12 . Receivablesclaims recoverable 12.1
Annex 3 160 875 400 51 656 212 931 139 928Recoverable expenditure 12.2 437 382 59 878 493staff debt 12.3 458 236 5 699 413other debtors 12.4 - 393 41 434 363Total 161 770 1 411 51 761 214 942 141 197
225
Department of HigHer eDucation anD trainingVOTE 17
for the year ended 31 March 2014noteS to tHe annuaL financiaL StatementS
2013/14 2012/13Note R’000 R’000
12 .1 Claims recoverable 12national departments 4 240 773provincial departments 51 560 51 460public entities 156 896 87 605private enterprises 235 90Total 212 931 139 928
The increase in claims recoverable is due mainly to claims in respect of March 2014 for services rendered to the National Skills Fund and for the payments in respect of the NSF growth projects forthe2013/14financialyearandoutstandingbalancesoftheGautengEducationDepartmentthat were taken over from the former Department of Education. Claims in respect of March 2014 payments were only issued in April 2014.
12 .2 Recoverable expenditure (disallowance accounts)Dishonoured cheques 14 24salaries 179 39NoShows 505 304Miscellaneous 180 126Total 878 493
12 .3 Staff debt 12Motor accidents 240 43other 60 20pension Fund 192 176salary overpayment 207 174Total 699 413
12 .4 Other debtors 12Debt taken over from the Department of Education 35 35pension recoverable 15 15Tax debt - 17other debtors 384 296Total 434 363
12 .5 Impairment of receivables 12Estimate of impairment of receivables 51 458 -Total 51 458 -
226
Department of HigHer eDucation anD trainingVOTE 17
for the year ended 31 March 2014noteS to tHe annuaL financiaL StatementS
2013/14 2012/13
Note r’000 r’000
13 . Loansuniversities and technikons 24 247 26 376Total 24 247 26 376
Analysis of balance opening balance 26 376 28 431Repayments (2 129) (2 055)Closing balance 24 247 26 376
cape peninsula university of Technology 3 281 3 653Durban Institute of Technology 6 654 7 107nelson Mandela Metropolitan university 215 281TshwaneUniversityofTechnology 6 739 7 325Vaal university of Technology 2 506 2 721university of Johannesburg 4 344 4 693university of stellenbosch 508 596
24 247 26 376
current portion of loans 2 291 2 129
14 . voted funds to be surrendered to the Revenue Fundopening balance 3 721 87 652Transfer from statement of Financial performance 1 931 3 751Voted funds not requested/not received 1.1 - (30)paid during the year (3 721) (87 652)Closing balance 1 931 3 721
15 . Departmental revenue and NRF receipts to be surrendered to the Revenue Fundopening balance 557 721Transfer from statement of Financial performance 11 880 10 913paid during the year (12 241) (11 077)Closing balance 196 557
16 . Bank overdraftconsolidated paymaster-general Account 163 271 153 230Total 163 271 153 230
The bank overdraft is due mainly to claims in respect of March 2014 for services rendered to the National SkillsFundandforthepaymentsinrespectoftheNSFgrowthprojectsforthe2013/14financialyearand outstanding balances of the Gauteng Education Department that were taken over from the former Department of Education. Claims in respect of March 2014 payments were only issued in April 2014.
17 . Payables - currentAdvances received 17.1 64 852 -clearing accounts 17.2 312 256other payables 17.3 248 112Total 65 412 368
227
Department of HigHer eDucation anD trainingVOTE 17
for the year ended 31 March 2014noteS to tHe annuaL financiaL StatementS
2013/14 2012/13
Note r’000 r’000
17 .1 Advances received 17public entities 64 852 -Total 64 852 -
17 .2 Clearing accounts 17Tax RsA 312 256Total 312 256
17 .3 Other payables 17Unidentifieddeposits 128 97other 18 15Bankrejecteddeposits 102 -Total 248 112
18 . Net cash flow available from operating activitiesNetsurplus/(deficit)asperStatementofFinancialperformance
16 942 14 664
Add back non cash/cash movements not deemed operating activities
(24 564) (182 262)
(Increase)/decrease in receivables – current (73 745) (80 183)(Increase)/decrease in prepayments and advances (4 960) (6 010)Increase/(decrease) in payables – current 65 044 (2 765)Expenditure on capital assets 5 059 5 455surrenders to Revenue Fund (15 962) (98 729)Voted funds not requested/not received - (30)Net cash flow generated by operating activities (7 622) (167 598)
19 . Reconciliation of cash and cash equivalents for cash flow purposesconsolidated paymaster-general Account (163 271) (153 230)cash receipts 5 48cash on hand 23 23Cashwithcommercialbanks(Local) 6 139 8 741Total (157 104) (144 418)
20 . Contingent liabilities and contingent assets20 .1 Contingent liabilities
Liable to NatureHousing loan guarantees Employees Annex 2A 70 267other guarantees Annex 2A 2 557 9 362claims against the department Annex 2B 13 830 11 800Total 16 457 21 429
There is uncertainties relating to the amount of the outflow in respect of claims against theDepartmentforthecasesofVitalvsVistaUniversity(R4million)andMotaungvstheDepartmentof Higher Education and Training (R1 million) as both these cases is dormant and it might not realise.
228
Department of HigHer eDucation anD trainingVOTE 17
for the year ended 31 March 2014noteS to tHe annuaL financiaL StatementS
2013/14 2012/13
Note r’000 r’000
21 . CommitmentsCurrent expenditureApproved and contracted 19 991 10 762
19 991 10 762Capital expenditure (including transfers)Approved and contracted 123 483
123 483Total Commitments 20 114 11 245
Commitments to the amount of R1.369 million is longer than a year.
2013/14 2012/1322 . Accruals
Listed by economic classification 30 days 30+ days Total TotalR’000 R’000 R’000 R’000
goods and services 18 676 7 932 26 608 7 482capital assets 339 - 339 73other - 18 991 18 991 7 824Total 19 015 26 923 45 938 15 379
Note 2013/14 2012/13R’000 R’000
Listed by programme levelprogramme 1: Administration 16 972 951programme 2: Human Resource Development, planning and Monitoring coordination
1 797 233
programme 3: university Education 1 099 317programme 4: Vocational and continuing Education and Training 25 277 13 494programme 5: skills Development 793 384Total 45 938 15 379
Reasons for material accruals:Claims in respect of the Rennies account, examiners and moderators and Public Works were not received beforeclosureoffinancialyear.
23 . Employee benefitsleave entitlement 5 893 10 211service bonus (Thirteenth cheque) 8 063 6 976Performanceawards 5 902 6 682capped leave commitments 11 382 11 523other 348 429Total 31 588 35 821
23 .1 Negative leave balancesDifferences in the reporting cycle for leave 1 914 105
1 914 105
The increase in the negative leave balance is due to the fact that leave relating to the closure of the Department in December 2014 was already captured on the PERSAL system.
229
Department of HigHer eDucation anD trainingVOTE 17
for the year ended 31 March 2014noteS to tHe annuaL financiaL StatementS
24 . Lease commitments24 .1 Operating leases expenditure
2013/14 Buildings and other
fixed structures
Machinery and
equipment TotalR’000 R’000 R’000
not later than 1 year 36 906 996 37 902later than 1 year and not later than 5 years - 794 794Total lease commitments 36 906 1 790 38 696
2012/13 Buildings and other
fixed structures
Machinery and
equipment TotalR’000 R’000 R’000
not later than 1 year 18 785 9 028 27 813later than 1 year and not later than 5 years - 492 492Total lease commitments 18 785 9 520 28 305
The lease agreement with the Department of Public Works is currently on a month to month basis and is calculated based on the current actual monthly rental payments to the Department of Public Works.
2013/14 2012/1325 . Irregular expenditure Note R’000 R’000
25 .1 Reconciliation of irregular expenditureopening balance 1 295 558Add: Irregular expenditure – relating to prior year - (119)Add: Irregular expenditure – relating to current year 50 856Irregular expenditure awaiting condonation 1 345 1 295
Analysis of awaiting condonation per age classificationcurrent year 50 856prior years 1 295 439Total 1 345 1 295
2013/1425 .2 Details of irregular expenditure – current year R’000
Incident Disciplinary steps taken/criminal proceedings
Correctprocurementprocedureswithregardstotenderprocesseswerenotfollowedduetothepossibilityofthesplitting of transactions.
Aforensicinvestigationwascompleted and disciplinary actions have been taken.
5050
230
Department of HigHer eDucation anD trainingVOTE 17
for the year ended 31 March 2014noteS to tHe annuaL financiaL StatementS
26 . Related party transactionslist related party transactionsMinisterial Portfolio Departmental
SchedulePublic Entity
Higher Education and Training 3A council on Higher Education and Training3A national student Financial Aid scheme3A SouthAfricanQualificationsAuthority3A Quality council for Trades and occupations3A national skills Fund3A Sector Education and Training Authorities (SETAs):
Agriculture sector Education and Training AuthorityBanking sector Education and Training Authorityconstruction sector Education and Training AuthorityEnergy and Water sector Education and Training AuthorityEducation, Training and Development practices sETAFinancial and Accounting services sETAFood and Beverages Manufacturing IndustryHealth and Welfare sector Education and Training Authoritychemical Industries Education and Training AuthorityTransport Education and Training Authoritypublic service sector Education and Training AuthorityInsurance sector Education and Training AuthorityMedia,Information and communication Technologies sETAManufacturing, Engineering and Related services sETAMiningQualificationsAuthoritysafety and security sector Education and Training Authorityservices sector Education and Training Authorityculture, Arts, Tourism, Hospitality and sport sector Education and Training AuthorityWholesale and Retail sector Education and Training Authoritylocal government sector Education and Training AuthorityFibre processing and Manufacturing sETAGovernment Departments and other entities in the same sphere of governmentAll government departments and public entities in the same sphere of government are related parties to the Department of Higher Education and Training
Alltransactionswereinarm’slengthwiththeseinstitutions
27 . Key management personnel No. of Individuals
Politicalofficebearers 2 3 993 3 690Officials:level 15 to 16 10 12 236 11 107Level14(inclCFOifatalowerlevel) 26 22 917 19 977Total 39 146 34 774
Minister: 2013/14: R2.107 million; 2012/13: R1.953 million.Deputy Minister: 2013/14: R1.735 million; 2012/13: R1.609 million.
231
Department of HigHer eDucation anD trainingVOTE 17
for the year ended 31 March 2014noteS to tHe annuaL financiaL StatementS
2013/1428 . Non-adjusting events after reporting date R‘000
NationalCareerAdvicePortal:ThisPortalwasmadeavailableinMarch2014bySAQAwhodevelopedthesoftwarefortheDepartmentbutitwasonlyformallytransferredinMay2014. 10 960Total 10 960
29 . Movable Tangible Capital AssetsMOvEMENT IN MOvABLE TANGIBLE CAPITAL ASSETS PER ASSET REGISTER FOR THE YEAR ENDED 31 MARCH 2014
Opening balance
Current year ad-
justments to prior
year balances Additions Disposals
Closing balance
R’000 R’000 R’000 R’000 R’000MACHINERY AND EQUIPMENT 33 443 (109) 5 786 723 38 397Transport assets 4 950 - 773 - 5 723computer equipment 17 930 (1) 3 565 689 20 805Furnitureandofficeequipment 9 300 (77) 612 14 9 821other machinery and equipment 1 263 (31) 836 20 2 048
TOTAL MOvABLE TANGIBLE CAPITAL ASSETS 33 443 (109) 5 786 723 38 397
Additions29 .1 ADDITIONS TO MOvABLE TANGIBLE CAPITAL ASSETS PER ASSET REGISTER FOR THE YEAR
ENDED 31 MARCH 2014
Cash Non-cash
(Capital work-in-
progress current
costs and finance
lease payments)
Received current, not paid
(Paid current
year, received
prior year) TotalR’000 R’000 R’000 R’000 R’000
MACHINERY AND EQUIPMENT 5 032 - - 754 5 786Transport assets 773 - - - 773computer equipment 3 014 - - 551 3 565Furnitureandofficeequipment 445 - - 167 612other machinery and equipment 800 - - 36 836
TOTAL ADDITIONS TO MOvABLE TANGIBLE CAPITAL ASSETS 5 032 - - 754 5 786
232
Department of HigHer eDucation anD trainingVOTE 17
for the year ended 31 March 2014noteS to tHe annuaL financiaL StatementS
Disposals29 .2 DISPOSALS OF MOvABLE TANGIBLE CAPITAL ASSETS PER ASSET REGISTER FOR THE YEAR
ENDED 31 MARCH 2014
Sold for cash
Transfer out or
destroyed or
scrappedTotal
disposals
Cash received
ActualR’000 R’000 R’000 R’000
MACHINERY AND EQUIPMENT - 723 723 -computer equipment - 689 689 -Furnitureandofficeequipment - 14 14 -other machinery and equipment - 20 20 -
TOTAL DISPOSAL OF MOvABLE TANGIBLE CAPITAL ASSETS - 723 723 -
Movement for 2012/1329 .3 MOvEMENT IN MOvABLE TANGIBLE CAPITAL ASSETS PER ASSET REGISTER FOR THE YEAR
ENDED 31 MARCH 2013
Opening balance
Current year adjustments to prior year
balances Additions DisposalsClosing balance
R’000 R’000 R’000 R’000 R’000MACHINERY AND EQUIPMENT 29 615 (332) 5 349 1 189 33 443Transport assets 4 506 - 484 40 4 950computer equipment 15 566 7 3 440 1 083 17 930Furnitureandofficeequipment 8 481 (52) 914 43 9 300other machinery and equipment 1 062 (287) 511 23 1 263
TOTAL MOvABLE TANGIBLE CAPITAL ASSETS 29 615 (332) 5 349 1 189 33 443
Minor assets29 .4 MOvEMENT IN MINOR ASSETS PER THE ASSET REGISTER FOR THE YEAR ENDED
31 MARCH 2014
Intangible assets
Machinery and
equipment TotalR’000 R’000 R’000
opening balance 65 5 994 6 059Additions 9 632 641Disposals - 161 161TOTAL MINOR ASSETS 74 6 465 6 539
Intangible assets
Machinery and
equipment Totalnumber of R1 minor assets 1 19 988 19 989number of minor assets at cost 27 3 180 3 207TOTAL NUMBER OF MINOR ASSETS 28 23 168 23 196
233
Department of HigHer eDucation anD trainingVOTE 17
for the year ended 31 March 2014noteS to tHe annuaL financiaL StatementS
Minor assetsMOvEMENT IN MINOR ASSETS PER THE ASSET REGISTER FOR THE YEAR ENDED 31 MARCH 2013
Intangible assets
Machinery and
equipment TotalR’000 R’000 R’000
opening balance 65 5 108 5 173Currentyearadjustmentstoprioryearbalances - 55 55Additions - 992 992Disposals - 161 161TOTAL MINOR ASSETS 65 5 994 6 059
Intangible assets
Machinery and
equipment Totalnumber of R1 minor assets 1 18 688 18 689number of minor assets at cost 25 3 029 3 054TOTAL NUMBER OF MINOR ASSETS 26 21 717 21 743
Movable assets written off29 .5 MOvABLE ASSETS WRITTEN OFF FOR THE YEAR ENDED 31 MARCH 2014
Machinery and
equipment TotalR’000 R’000
Assetswrittenoff 161 161Total 161 161
Intangible Capital Assets30 . MOvEMENT IN INTANGIBLE CAPITAL ASSETS PER ASSET REGISTER FOR THE YEAR ENDED
31 MARCH 2014
Opening balance
Current year adjustments to prior year
balances Additions DisposalsClosing balance
R’000 R’000 R’000 R’000 R’000coMpuTER soFTWARE 665 - 27 - 692pATEnTs, lIcEncEs, copyRIgHT, BRAnD nAMEs, TRADEMARKs 217 (79) - - 138TOTAL INTANGIBLE CAPITAL ASSETS 882 (79) 27 - 830
The current year adjustment to prior year balances in respect of Intangible Capital assets is as a result of communication hardware to the amount of R78 793.00 that was transferred to the Department of Basic Education.
234
Department of HigHer eDucation anD trainingVOTE 17
for the year ended 31 March 2014noteS to tHe annuaL financiaL StatementS
Additions30 .1 ADDITIONS TO INTANGIBLE CAPITAL ASSETS PER ASSET REGISTER FOR THE YEAR ENDED
31 MARCH 2014
Cash Non-cash
(Development work-in-
progress current costs)
Received current, not paid
(Paid current
year, received
prior year) TotalR’000 R’000 R’000 R’000 R’000
coMpuTER soFTWARE 27 - - - 27TOTAL ADDITIONS TO INTANGIBLE CAPITAL ASSETS 27 - - - 27
Movement for 2012/1330 .2 MOvEMENT IN INTANGIBLE CAPITAL ASSETS PER ASSET REGISTER FOR THE YEAR ENDED
31 MARCH 2013Opening balance Additions Disposals
Closing balance
R’000 R’000 R’000 R’000soFTWARE 665 - - 665pATEnTs, lIcEncEs, copyRIgHT, BRAnD nAMEs, TRADEMARKs 217 - - 217TOTAL INTANGIBLE CAPITAL ASSETS 882 - - 882
31 . Transfer of FunctionsOutstanding balances of the Department of EducationSince the Department of Education is still listed in Schedule 1 of the Public Service Act, it is not yet abolished. Funds are still paid into the account of the former Department of Education and ongoing clearing of accounts are done on this account. An amount of R5 081.35 was not cleared as at the end of March2014.SeparatefinancialstatementshavebeenpreparedfortheformerDepartmentofEducation.
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TheDepartmentherebycertifiesthatalltransfersweredepositedintotheprimarybankaccountoftheprovinceforthe2013/14financialyear.Noconditionalgrant
fundswereutilisedfortheadm
inistrationofthisgrantbytheDepartmentofH
igherE
ducationandTraining.ThetotalamountsurrenderedbyProvincialEducation
Dep
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durin
g th
e ye
ar
Liab
ilitie
s pa
id/
canc
elle
d/
redu
ced
durin
g th
e ye
arLi
abili
ties
reco
vera
ble
Clo
sing
ba
lanc
e 31
Mar
ch 2
014
R
’000
R’0
00R
’000
R’0
00R
’000
Cla
ims
agai
nst t
he d
epar
tmen
tD
amag
ed c
ars
-10
910
9-
-Jo
hann
Raa
th v
s M
inis
ter o
f Hig
her E
duca
tion
and
Trai
ning
1 80
0-
--
1 80
0Vi
tal v
s Vi
sta
uni
vers
ity4
000
--
-4
000
Bos
s Ta
bles
cc
vs M
inis
ter o
f Hig
her E
duca
tion
and
Trai
ning
-1
000
--
1 00
0K
elly
gro
up v
s M
inis
ter o
f Hig
her E
duca
tion
and
Trai
ning
-15
0-
-15
0M
otau
ng v
s D
epar
tmen
t of H
ighe
r Edu
catio
n an
d Tr
aini
ng6
000
-5
000
-1
000
n T
aho
vs M
inis
ter o
f Hig
her E
duca
tion
and
Trai
ning
-50
0-
-50
0H
ospi
tal A
ssoc
iatio
n of
sA
vs M
inis
ter o
f Hig
her E
duca
tion
and
Trai
ning
-50
0-
-50
0R
oad
Frei
ght A
ssoc
iatio
n vs
Min
iste
r of H
ighe
r Edu
catio
n an
d Tr
aini
ng-
310
--
310
Bus
ines
s u
nity
sA
vs M
inis
ter o
f Hig
her E
duca
tion
and
Trai
ning
-50
0-
-50
0M
p n
tsha
ngas
e vs
Min
iste
r of H
ighe
r Edu
catio
n an
d Tr
aini
ng-
200
--
200
lM M
apek
a (p
ilane
) vs
Dep
artm
ent o
f Hig
her E
duca
tion
and
Trai
ning
-1
000
--
1 00
0s
olan
i Ram
ovha
vs
Dep
artm
ent o
f Hig
her E
duca
tion
and
Trai
ning
-70
--
70MosesSithole&OthersvsMzukisiDondole&Others
-2
000
--
2 00
0M
T Jo
rdan
vs
Min
iste
r of H
ighe
r Edu
catio
n an
d Tr
aini
ng-
800
--
800
Tota
l11
800
7 13
95
109
-13
830
AN
NEX
UR
ES T
O T
HE
AN
NU
AL
FIN
AN
CIA
L ST
ATEM
ENTS
Dep
ar
tmen
t o
f H
igH
er e
Du
cat
ion
an
D t
ra
inin
gV
OTE
17
for t
he y
ear e
nded
31
Mar
ch 2
014
250
AN
NEX
UR
E 3
CLA
IMS
REC
OvE
RA
BLE
C
onfir
med
bal
ance
ou
tsta
ndin
g U
ncon
firm
ed b
alan
ce
outs
tand
ing
Tota
l
Gov
ernm
ent E
ntity
31
/03/
2014
31/0
3/20
1331
/03/
2014
31/0
3/20
1331
/03/
2014
31/0
3/20
13
R
’000
R’0
00R
’000
R’0
00R
’000
R’0
00D
epar
tmen
tD
epar
tmen
t of B
asic
Edu
catio
n-
-2
901
493
2 90
149
3D
epar
tmen
t of H
ealth
--
66
66
Dep
artm
ent o
f Jus
tice
--
88
88
Dep
artm
ent o
f lab
our
--
1818
1818
sou
th A
frica
n R
even
ue s
ervi
ce
--
102
102
102
102
Hum
an s
cien
ce R
esea
rch
cou
ncil
--
200
-20
0-
gau
teng
Dep
artm
ent o
f Edu
catio
n-
-51
420
51 4
1651
420
51 4
16li
mpo
po D
epar
tmen
t of E
duca
tion
--
80-
80-
KZn
Dep
artm
ent o
f Eco
nom
ic D
evel
opm
ent
--
13-
13-
gov
ernm
ent p
rinte
rs-
-2
22
2M
pum
alan
ga p
rovi
ncia
l gov
ernm
ent
--
1313
1313
gau
teng
Dep
artm
ent o
f cor
rect
iona
l ser
vice
s-
-4
-4
-n
atio
nal T
reas
ury
pen
sion
s-
-14
514
514
514
5n
orth
Wes
t pro
vinc
ial A
dmin
istra
tion
--
2222
2222
Wes
tern
cap
e p
rovi
ncia
l Adm
inis
tratio
n-
-3
33
3D
epar
tmen
t of R
oads
and
pub
lic W
orks
--
833
583
35
sA
Mili
tary
om
buds
man
--
24-
24-
lim
popo
Dep
artm
ent o
f Hea
lth (E
vuxa
keni
Hos
pita
l)-
-1
-1
-E
aste
rn c
ape
Dep
artm
ent o
f Roa
ds a
nd p
ublic
Wor
ks-
-5
-5
--
-55
800
52 2
3355
800
52 2
33
AN
NEX
UR
ES T
O T
HE
AN
NU
AL
FIN
AN
CIA
L ST
ATEM
ENTS
Dep
ar
tmen
t o
f H
igH
er e
Du
cat
ion
an
D t
ra
inin
gV
OTE
17
for t
he y
ear e
nded
31
Mar
ch 2
014
251
C
onfir
med
bal
ance
ou
tsta
ndin
g U
ncon
firm
ed b
alan
ce
outs
tand
ing
Tota
l
Gov
ernm
ent E
ntity
31
/03/
2014
31/0
3/20
1331
/03/
2014
31/0
3/20
1331
/03/
2014
31/0
3/20
13
R
’000
R’0
00R
’000
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ther
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ernm
ent E
ntiti
esn
atio
nal s
kills
Fun
d-
-14
3 86
983
591
143
869
83 5
91M
ER
sE
TA-
-1
11
1s
ervi
ces
sE
TA-
-44
11
441
1Q
ualit
y c
ounc
il fo
r Tra
des
and
occ
upat
ions
--
12 3
794
012
12 3
794
012
sIT
A-
-30
3030
30lo
cal g
over
nmen
t sE
TA-
-17
6-
176
--
-15
6 89
687
635
156
896
87 6
35
Tota
l-
-21
2 69
613
9 86
821
2 69
613
9 86
8
AN
NEX
UR
ES T
O T
HE
AN
NU
AL
FIN
AN
CIA
L ST
ATEM
ENTS
AN
NEX
UR
E 3
(CO
NTI
NU
E)
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ar
tmen
t o
f H
igH
er e
Du
cat
ion
an
D t
ra
inin
gV
OTE
17
for t
he y
ear e
nded
31
Mar
ch 2
014
252
AN
NEX
UR
E 4
INvE
NTO
RY20
13/1
420
12/1
3
Qua
ntity
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00Q
uant
ityR
’000
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ntor
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peni
ng b
alan
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034
297
822
3Add/(Less):Adjustmentstoprioryearbalances
--
7 15
2-
Add
: Add
ition
s/p
urch
ases
– c
ash
221
553
10 8
6933
2 40
911
426
(les
s): I
ssue
s(2
21 4
15)
(10
957)
(333
535
)(1
1 34
6)Add/(Less):Adjustments
-(2
4)-
(6)
clo
sing
bal
ance
6 17
218
56
034
297
Add
ition
s in
clud
e in
vent
ory
boug
ht th
roug
h do
nor f
unds
, NS
F gr
owth
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s an
d N
SF
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stru
ctur
e fu
nds.
AN
NEX
UR
ES T
O T
HE
AN
NU
AL
FIN
AN
CIA
L ST
ATEM
ENTS
Dep
ar
tmen
t o
f H
igH
er e
Du
cat
ion
an
D t
ra
inin
gV
OTE
17
for t
he y
ear e
nded
31
Mar
ch 2
014
253
AN
NEX
UR
E 5A
INTE
R-E
NTI
TY A
DvA
NC
ES P
AID
(NO
TE 1
1)
ENTI
TY
Con
firm
ed b
alan
ce
outs
tand
ing
Unc
onfir
med
bal
ance
ou
tsta
ndin
g To
tal
31/0
3/20
1431
/03/
2013
31/0
3/20
1431
/03/
2013
31/0
3/20
1431
/03/
2013
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’000
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ATIO
NA
L D
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RTM
ENTS
Dep
artm
ent o
f Int
erna
tiona
l Rel
atio
ns a
nd c
oope
ratio
n-
-4
617
1 94
14
617
1 94
1g
over
nmen
t com
mun
icat
ions
and
Info
rmat
ion
sys
tem
--
4 45
16
123
4 45
16
123
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l-
-9
068
8 06
49
068
8 06
4
AN
NEX
UR
ES T
O T
HE
AN
NU
AL
FIN
AN
CIA
L ST
ATEM
ENTS
Dep
ar
tmen
t o
f H
igH
er e
Du
cat
ion
an
D t
ra
inin
gV
OTE
17
for t
he y
ear e
nded
31
Mar
ch 2
014
254
AN
NEX
UR
E 5B
INTE
R-E
NTI
TY A
DvA
NC
ES R
ECEI
vED
(NO
TE 1
7)
ENTI
TY
Con
firm
ed b
alan
ce
outs
tand
ing
Unc
onfir
med
bal
ance
ou
tsta
ndin
gTo
tal
31/0
3/20
1431
/03/
2013
31/0
3/20
1431
/03/
2013
31/0
3/20
1431
/03/
2013
R
’000
R’0
00R
’000
R’0
00R
’000
R’0
00PU
BLI
C E
NTI
TIES
Cur
rent
nat
iona
l ski
lls F
und
FET
Infra
stru
ctur
e g
rant
--
64 8
52-
64 8
52-
Tota
l-
-64
852
-64
852
-
AN
NEX
UR
ES T
O T
HE
AN
NU
AL
FIN
AN
CIA
L ST
ATEM
ENTS
pART F: DEpARTMEnT oF EDucATIon
256
Department of HigHer eDucation anD trainingVOTE 17
for the year ended 31 March 2014
Department of educationreport of tHe accounting officer
ReportbytheAccountingOfficertotheExecutiveAuthorityandParliamentoftheRepublicofSouthAfrica.
1. General review of the state of financial affairs
TheDepartmentofEducationcloseddownon31March2010aspartoftherestructuringprocess.NofundswerethereforeallocatedtotheDepartmentduringthe2010/11,2011/12,2012/13and2013/14financialyears.ThebooksofaccountoftheDepartmentremainedopenduringthe2011/12,2012/13and2013/14financialyearsdue to funds still been paid into the pMg account of this Department and these balances could not be cleared or transferredtothenewlyestablishedDepartmentsofBasicEducationaswellasHigherEducationandTrainingas at the end of March 2014. This balance amounts to R5 081.35 as at the end of March 2014.
since the Department of Education is still listed in schedule 1 of the public service Act, it is not yet abolished.
Important policy decisions and strategic issues
none.
Significant events that have taken place and major projects undertaken or completed during the year
none.
Spending trends
none.
virement
none.
2 . Services rendered by the Department2 .1 Services rendered
none.
2 .2 Tariff policy
none.
2 .3 Free services
none.
2 .4 Inventories
none.
3 . Capacity constraints
none.
4 . Utilisation of donor funds
none.
5 . Public entities
none.
257
Department of HigHer eDucation anD trainingVOTE 17
for the year ended 31 March 2014
Department of educationreport of tHe accounting officer
6. Other organisations to whom transfer payments have been made6 .1 Higher education institutions (HEIs)
none.
6 .2 Other transfers
none.
6 .3 Conditional grants to provincial education departments
none.
7 . Public private partnerships (PPP)
none.
8 . Corporate governance arrangements8.1 The risk assessment and fraud prevention plan of the Department
none.
8 .2 Internal Audit Unit
none.
8 .3 The Audit Committee
The Audit committee of the Department of Higher Education and Training is also responsible for the activities of the Department of Education.
8.4 Management processes for minimising conflict of interest
none.
8 .5 Implementation of a code of conduct
none.
8 .6 Safety, health and environmental issues facing the Department
none.
8 .7 Other governance structures
none.
9 . Discontinued activities/activities to be discontinued
none.
10. New/proposed activities
none. The Department closed on 31 March 2010 as part of the restructuring process of government.
11 . Asset management
none.
12 . Events after the reporting date
none.
258
Department of HigHer eDucation anD trainingVOTE 17
for the year ended 31 March 2014
Department of educationreport of tHe accounting officer
13 . Performance information
none.
14 . Standing Committee on Public Accounts (SCOPA) resolutions
none.
15. Prior modifications to audit reports
none.
16 . Exemptions and deviations received from the National Treasury
none.
17 . Other
none.
18 . Approval
TheAnnualFinancialStatementssetoutonpages259to271havebeenapprovedbytheAccountingOfficer.
Mr TW Tredoux
Accounting Officer
Date: 30 May 2014
259
Dep
ar
tmen
t o
f H
igH
er e
Du
cat
ion
an
D t
ra
inin
gV
OTE
17
for t
he y
ear e
nded
31
Mar
ch 2
014
Dep
artm
ent o
f edu
catio
na
ppr
opr
iati
on
Sta
tem
ent
App
ropr
iatio
n pe
r pro
gram
me
2013
/14
2012
/13
Adj
uste
d ap
pro-
pria
tion
Shift
ing
of
fund
svi
rem
ent
Fina
l ap
pro-
pria
tion
Act
ual e
x-pe
nditu
reva
rianc
e
Expe
nditu
re
as %
of
final
app
ro-
pria
tion
Fina
l ap
pro-
pria
tion
Act
ual e
x-pe
nditu
re
R'0
00R
'000
R'0
00R
'000
R'0
00R
'000
%R
'000
R'0
001 .
Adm
inis
trat
ion
cur
rent
pay
men
ts-
--
--
--
--
2 .Sy
stem
Pla
nnin
g an
d M
onito
ring
cur
rent
pay
men
ts-
--
--
--
--
3 .G
ener
al E
duca
tion
cur
rent
pay
men
ts-
--
--
--
--
4 .Fu
rthe
r Edu
catio
n an
d Tr
aini
ngc
urre
nt p
aym
ents
--
--
--
--
-5 .
Soci
al a
nd S
choo
l Enr
ichm
ent
cur
rent
pay
men
ts-
--
--
--
--
6 .H
ighe
r Edu
catio
nc
urre
nt p
aym
ents
--
--
--
--
-7 .
Aux
iliar
y an
d A
ssoc
iate
d Se
rvic
esc
urre
nt p
aym
ents
--
--
--
--
-To
tal
--
--
--
--
-
Rec
onci
liatio
n w
ith S
tate
men
t of F
inan
cial
Per
form
ance
Add
:D
epar
tmen
tal r
ecei
pts
--
Aid
ass
ista
nce
--
Act
ual a
mou
nts
per s
tate
men
t of F
inan
cial
per
form
ance
(T
otal
Rev
enue
)-
-A
dd:
Aid
ass
ista
nce
--
Act
ual a
mou
nts
per s
tate
men
t of F
inan
cial
per
form
ance
(T
otal
Exp
endi
ture
)-
-
260
Dep
ar
tmen
t o
f H
igH
er e
Du
cat
ion
an
D t
ra
inin
gV
OTE
17
for t
he y
ear e
nded
31
Mar
ch 2
014
Dep
artm
ent o
f edu
catio
na
ppr
opr
iati
on
Sta
tem
ent
App
ropr
iatio
n pe
r eco
nom
ic c
lass
ifica
tion
2013
/14
2012
/13
Adj
uste
d ap
pro-
pria
tion
Shift
ing
of
fund
svi
rem
ent
Fina
l ap
pro-
pria
tion
Act
ual e
x-pe
nditu
reva
rianc
e
Expe
nditu
re
as %
of
final
app
ro-
pria
tion
Fina
l ap
pro-
pria
tion
Act
ual e
x-pe
nditu
re
R'0
00R
'000
R'0
00R
'000
R'0
00R
'000
%R
'000
R'0
00c
urre
nt p
aym
ents
com
pens
atio
n of
em
ploy
ees
--
--
--
--
-g
oods
and
ser
vice
s-
--
--
--
--
Paymentsforfinancialassets
--
--
--
--
-Tr
ansf
ers
and
subs
idie
sp
rovi
nces
and
mun
icip
aliti
es-
--
--
--
--
Dep
artm
enta
l age
ncie
s an
d ac
coun
ts-
--
--
--
--
uni
vers
ities
and
tech
niko
ns-
--
--
--
--
Fore
ign
gove
rnm
ents
and
in
tern
atio
nal o
rgan
isat
ions
--
--
--
--
-Non-profitinstitutions
--
--
--
--
-H
ouse
hold
s-
--
--
--
--
pay
men
ts fo
r cap
ital a
sset
s-
Mac
hine
ry a
nd e
quip
men
t-
--
--
--
-Softwareandotherintangibleassets
--
--
--
--
-To
tal
--
--
--
--
-
APP
RO
PRIA
TIO
N S
TATE
MEN
T
261
Department of HigHer eDucation anD trainingVOTE 17
for the year ended 31 March 2014
Department of EducationNOTES TO THE APPROPRIATION STATEMENT
none.
262
Department of HigHer eDucation anD trainingVOTE 17
for the year ended 31 March 2014
Department of EducationSTATEMENT OF FINANCIAL PERFORMANCE
REvENUEDepartmental revenue - -Aid assistance - -
TOTAL REvENUE - -
EXPENDITURECurrent expenditurecompensation of employees - -goods and services - -Aid assistance - -Total current expenditure - -
Transfers and subsidiesTransfers and subsidies - -Aid assistance - -Total transfers and subsidies - -
Expenditure for capital assetsTangible capital assets - -Softwareandotherintangibleassets - -Total expenditure for capital assets - -
Payments for financial assets - -
TOTAL EXPENDITURE - -
SURPLUS FOR THE YEAR - -
Reconciliation of Net Surplus for the yearVoted Funds - -Departmental revenue and nRF Receipts - -Aid assistance - -SURPLUS FOR THE YEAR - -
2013/14 2012/13
Note R’000 R’000
263
DEPARTMENT OF HIGHER EDUCATION AND TRAININGVoTE 17
as at 31 March 2014
Department of EducationSTATEMENT OF FINANCIAL POSITION
ASSETS
Current Assets 5 5prepayments and advances - -Receivables 1 5 5loans - -Aid assistance receivable - -
Non-Current Assets - -loans - -
TOTAL ASSETS 5 5
LIABILITIES
Current Liabilities 5 5Voted funds to be surrendered to the Revenue Fund - -Departmental revenue and nRF Receipts to be surrendered to the Revenue Fund - -Bank overdraft 2 2 2payables 3 3 3Aid assistance unutilised - -
TOTAL LIABILITIES 5 5
NET ASSETS - -
Represented by:capitalisation reserve - -Recoverable revenue - -
TOTAL - -
2013/14 2012/13
Note R’000 R’000
264
Department of HigHer eDucation anD trainingVOTE 17
for the year ended 31 March 2014
Department of EducationCASH FLOW STATEMENT
CASH FLOWS FROM OPERATING ACTIvITIESReceipts - -Departmental revenue received - -Aid assistance received - -
Net(increase)/decreaseinworkingcapital - 20surrendered to Revenue Fund - -surrendered to RDp Fund/Donor - -current payments - -Paymentsforfinancialassets - -Transfers and subsidies paid - -Net cash flow available from operating activities 4 - 20
CASH FLOWS FROM INvESTING ACTIvITIES(Increase)/ decrease in loans - -Net cash flows from investing activities - -
CASH FLOWS FROM FINANCING ACTIvITIESIncrease/ (decrease) in net assets - -Net cash flows from financing activities - -
net increase/ (decrease) in cash and cash equivalents - 20
cash and cash equivalents at beginning of period (2) (22)
Cash and cash equivalents at end of period 5 (2) (2)
2013/14 2012/13
Note R’000 R’000
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for the year ended 31 March 2014
Department of EducationACCOUNTING POLICIES
TheFinancialStatementshavebeenpreparedinaccordancewiththefollowingpolicies,whichhavebeenappliedconsistentlyinallmaterialaspects,unlessotherwiseindicated.Thehistoricalcostconventionhasbeenused,exceptwhereotherwiseindicated.ManagementhasusedassessmentsandestimatesinpreparingtheannualFinancial statements. These are based on the best information available at the time of preparation. Where appropriate and meaningful, additional information has been disclosed to enhance the usefulness of the Financial StatementsandtocomplywiththestatutoryrequirementsofthePublicFinanceManagementAct,Act1of1999(as amended by Act 29 of 1999), and the Treasury Regulations issued in terms of the pFMA and the annual Division of Revenue Act.
1 . Basis of preparation
TheFinancialStatementshavebeenpreparedinaccordancewiththemodifiedcashstandard.
2 . Going concern
The Financial statements have been prepared on a going concern basis.
3 . Presentation currency
AmountshavebeenpresentedinthecurrencyoftheSouthAfricanRand(R)whichisalsothefunctionalcurrency of the Department.
4 . Rounding
Unless otherwise stated all financial figures have been rounded to the nearest one thousand Rand(R’000).
5 . Foreign currency translations
CashflowsarisingfromforeigncurrencytransactionsaretranslatedintoSouthAfricanRandsusingtheexchange rates prevailing at the date of payment / receipt.
6. Current year comparison with budget
Acomparisonbetweentheapproved,finalbudgetandactualamountsforeachprogrammeandeconomicclassificationisincludedintheAppropriationStatement.
7 . Revenue7 .1 Appropriated funds
Appropriatedfundscomprisesofdepartmentalallocationsaswellasdirectchargesagainsttherevenuefund (i.e. statutory appropriation).
Appropriated funds are recognised in the statement of Financial performance on the date the appropriation becomeseffective.AdjustmentsmadeintermsoftheadjustmentsbudgetprocessarerecognisedintheStatementofFinancialPerformanceonthedatetheadjustmentsbecomeeffective.
The net amount of any appropriated funds due to / from the relevant revenue fund at the reporting date is recognised as a payable / receivable in the statement of Financial position.
7 .2 Departmental revenue
Departmentalrevenueisrecognised intheStatementofFinancialPerformancewhenreceivedand issubsequentlypaidintotheNationalRevenueFund,unlessstatedotherwise.
AnyamountowingtotheNationalRevenueFundatthereportingdateisrecognisedasapayableinthestatement of Financial position.
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Department of EducationACCOUNTING POLICIES
7 .3 Accrued Departmental revenue
Accruals in respect of Departmental revenue (excluding tax revenue) are recorded in the notes to the FinancialStatementswhen:
• it isprobablethattheeconomicbenefitsorservicepotentialassociatedwiththetransactionwillflowtotheDepartment;and
• the amount of revenue can be measured reliably.
The accrued revenue is measured at the fair value of the consideration receivable.
Accrued tax revenue (and related interest and / penalties) is measured at amounts receivable from collecting agents.
8 . Expenditure8 .1 Compensation of employees
8.1.1 Salaries and wages
SalariesandwagesarerecognisedintheStatementofFinancialPerformanceonthedateofpayment.
8.1.2 Social contributions
social contributions made by the Department in respect of current employees are recognised in the statement of Financial performance on the date of payment.
SocialcontributionsmadebytheDepartmentinrespectofex-employeesareclassifiedastransferstohouseholds in the statement of Financial performance on the date of payment.
8 .2 Other expenditure
other expenditure (such as goods and services, transfers and subsidies and payments for capital assets) isrecognisedintheStatementofFinancialPerformanceonthedateofpayment.Theexpenseisclassifiedas a capital expense if the total consideration paid is more than the capitalisation threshold.
8 .3 Accrued expenditure payable
AccruedexpenditurepayableisrecordedinthenotestotheFinancialStatementswhenthegoodsarereceivedor,inthecaseofservices,whentheyarerenderedtotheDepartment.
Accrued expenditure payable is measured at cost.
8 .4 Leases
8.4.1 Operating leases
operating lease payments made during the reporting period are recognised as current expenditure in the statement of Financial performance on the date of payment.
The operating lease commitments are recorded in the notes to the Financial statements.
8.4.2 Finance leases
Finance lease payments made during the reporting period are recognised as capital expenditure in the statement of Financial performance on the date of payment.
The finance lease commitments are recorded in the notes to the Financial Statements and are notapportionedbetweenthecapitalandinterestportions.
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Department of HigHer eDucation anD trainingVOTE 17
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Department of EducationACCOUNTING POLICIES
Financeleaseassetsacquiredattheendoftheleasetermarerecordedandmeasuredatthelowerof:
• cost, being the fair value of the asset; or
• thesumoftheminimumleasepaymentsmade,includinganypaymentsmadetoacquireownershipat the end of the lease term, excluding interest.
9 . Aid Assistance9 .1 Aid assistance received
AidassistancereceivedincashisrecognisedintheStatementofFinancialPerformancewhenreceived.In-kind aid assistance is recorded in the annexure to the Financial statements on the date of receipt and is measured at fair value.
Aid assistance not spent for the intended purpose and any unutilised funds from aid assistance that are required to be refunded to the donor are recognised as a payable in the statement of Financial position.
9 .2 Aid assistance paid
Aid assistance paid is recognised in the statement of Financial performance on the date of payment. Aid assistance payments made prior to the receipt of funds are recognised as a receivable in the statement of Financial position.
10 . Cash and cash equivalents
cash and cash equivalents are stated at cost in the statement of Financial position.
BankoverdraftsareshownseparatelyonthefaceoftheStatementofFinancialPosition.
For the purposes of the Cash Flow Statement, cash and cash equivalents comprise cash on hand,deposits held, other short-term highly liquid investments and bank overdrafts.
11 . Prepayments and advances
PrepaymentsandadvancesarerecognisedintheStatementofFinancialPositionwhentheDepartmentreceives or disburses the cash.
prepayments and advances are initially and subsequently measured at cost.
Prepaymentsareexpensedwheninvoicesorclaimsforservicesrenderedorgoodsreceivedareprovided.
12 . Loans and receivables
loans and receivables are recognised in the statement of Financial position at cost plus accrued interest, whereinterestischarged,lessamountsalreadysettledorwritten-off.
13. Impairment of financial assets
Where there isan indicationof impairmentofa financial asset, anestimationof the reduction in therecorded carrying value, to reflect the best estimate of the amount of the future economic benefitsexpected to be received from that asset, is recorded in the notes to the Financial statements.
14 . Payables
loans and payables are recognised in the statement of Financial position at cost.
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Department of EducationACCOUNTING POLICIES
15 . Capital Assets15 .1 Immovable capital assets
Immovable capital assets are initially recorded in the notes to the Financial statements at cost.
Immovable capital assets acquired through a non-exchange transaction is measured at fair value as at the date of acquisition.
Where the cost of immovable capital assets cannot be determined accurately, the immovable capital assetsaremeasuredatR1unlessthefairvalueoftheassethasbeenreliablyestimated,inwhichcasethe fair value is used.
All assets acquired prior to 1 April 2002 (or a later date as approved by the oAg) are recorded at R1.
Immovable capital assets are subsequently carried at cost and are not subject to depreciation orimpairment.
subsequent expenditure that is of a capital nature is added to the cost of the asset at the end of the capital project unless the immovableasset is recordedbyanotherdepartment inwhich case the completedprojectcostsaretransferredtothatdepartment.
15 .2 Movable capital assets
Movable capital assets are initially recorded in the notes to the Financial statements at cost. Movable capital assets acquired through a non-exchange transaction is measured at fair value as at the date of acquisition.
Where the cost of movable capital assets cannot be determined accurately, the movable capital assets aremeasuredatfairvalueandwherefairvaluecannotbedetermined;themovableassetsaremeasuredat R1.
All assets acquired prior to 1 April 2002 (or a later date as approved by the oAg) are recorded at R1.
Movablecapitalassetsaresubsequentlycarriedatcostandarenotsubjecttodepreciationorimpairment.
subsequent expenditure that is of a capital nature is added to the cost of the asset at the end of the capital projectunlessthemovableassetisrecordedbyanotherdepartment/entityinwhichcasethecompletedprojectcostsaretransferredtothatdepartment.
15 .3 Intangible assets
Intangible assets are initially recorded in the notes to the Financial statements at cost. Intangible assets acquired through a non-exchange transaction are measured at fair value as at the date of acquisition.
InternallygeneratedintangibleassetsarerecordedinthenotestotheFinancialStatementswhentheDepartmentcommencesthedevelopmentphaseoftheproject.
Where the cost of intangible assets cannot be determined accurately, the intangible capital assets are measuredatfairvalueandwherefairvaluecannotbedetermined;theintangibleassetsaremeasuredat R1.
All assets acquired prior to 1 April 2002 (or a later date as approved by the oAg) are recorded at R1.
Intangibleassetsaresubsequentlycarriedatcostandarenotsubjecttodepreciationorimpairment.
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Department of EducationACCOUNTING POLICIES
subsequent expenditure that is of a capital nature is added to the cost of the asset at the end of the capital projectunlesstheintangibleassetisrecordedbyanotherdepartment/entityinwhichcasethecompletedprojectcostsaretransferredtothatdepartment.
16 . Provisions and Contingents16 .1 Provisions
Provisions are recorded in the notes to the Financial Statements when there is a present legal orconstructiveobligationtoforfeiteconomicbenefitsasaresultofeventsinthepastanditisprobablethatanoutflowofresourcesembodyingeconomicbenefitsorservicepotentialwillberequiredtosettletheobligation and a reliable estimate of the obligation can be made. The provision is measured as the best estimate of the funds required to settle the present obligation at the reporting date.
16 .2 Contingent liabilities
Contingent liabilities are recorded in the notes to theFinancial Statementswhen there is a possibleobligationthatarisesfrompastevents,andwhoseexistencewillbeconfirmedonlybytheoccurrenceornon-occurrenceofoneormoreuncertainfutureeventsnotwithinthecontroloftheDepartmentorwhenthereisapresentobligationthatisnotrecognisedbecauseitisnotprobablethatanoutflowofresourceswillberequiredtosettletheobligationortheamountoftheobligationcannotbemeasuredreliably.
16 .3 Contingent assets
ContingentassetsarerecordedinthenotestotheFinancialStatementswhenapossibleassetarisesfrompastevents,andwhoseexistencewillbeconfirmedbytheoccurrenceornon-occurrenceofoneormoreuncertainfutureeventsnotwithinthecontroloftheDepartment.
16 .4 Commitments
CommitmentsarerecordedatcostinthenotestotheFinancialStatementswhenthereisacontractualarrangement or an approval by management in a manner that raises a valid expectation that the Departmentwilldischargeitsresponsibilitiestherebyincurringfutureexpenditurethatwill result intheoutflowofcash.
17 . Unauthorised expenditure
unauthorised expenditure is recognised in the statement of Financial position until such time as the expenditure is either:
• approved by Parliament or the Provincial Legislature with funding and the related funds arereceived; or
• approvedbyParliamentortheProvincialLegislaturewithoutfundingandiswrittenoffagainsttheappropriation in the statement of Financial performance; or
• transferred to receivables for recovery.
Unauthorisedexpenditureismeasuredattheamountoftheconfirmedunauthorisedexpenditure.
18. Fruitless and wasteful expenditure
FruitlessandwastefulexpenditureisrecordedinthenotestotheFinancialStatementswhenconfirmed.Theamountrecordedisequaltothetotalvalueofthefruitlessandorwastefulexpenditureincurred.
Fruitlessandwasteful expenditure is removed from thenotes to theFinancialStatementswhen it isresolved or transferred to receivables for recovery.
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Department of HigHer eDucation anD trainingVOTE 17
for the year ended 31 March 2014
Department of EducationACCOUNTING POLICIES
Fruitless and wasteful expenditure receivables are measured at the amount that is expected to berecoverableandarede-recognisedwhensettledorsubsequentlywritten-offasirrecoverable.
19 . Irregular expenditure
IrregularexpenditureisrecordedinthenotestotheFinancialStatementswhenconfirmed.Theamountrecorded is equal to the value of the irregular expenditure incurred unless it is impracticable to determine, inwhichcasereasonsthereforeareprovidedinthenote.
Irregular expenditure is removed from the notewhen it is either condoned by the relevant authority,transferred to receivables for recovery or not condoned and is not recoverable.
Irregular expenditure receivables are measured at the amount that is expected to be recoverable and are de-recognisedwhensettledorsubsequentlywritten-offasirrecoverable.
20 . Changes in accounting estimates
none.
21 . Prior period errors
none.
22 . Non-adjusting events after the reporting date
none.
23 . Agent-Principal arrangements
none.
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Department of HigHer eDucation anD trainingVOTE 17
for the year ended 31 March 2014
Department of EducationNOTES TO THE ANNUAL FINANCIAL STATEMENTS
2013/14 2012/13
Less than one year
One to three years
Older than three
years Total Total
Note R’000 R’000 R’000 R’000 R’0001 . Receivables
claims recoverable Annex 3 - - - - -Recoverable expenditure 5 - - 5 5Total 5 - - 5 5
2013/14 2012/13
Note R’000 R’0001 .1 Recoverable expenditure (disallowance accounts)
Miscellaneous 5 5Total 5 5
2 . Bank overdraftconsolidated paymaster-general Account 2 2Total 2 2
3 . Payables - currentclearing accounts 3 3Total 3 3
9 .1 Clearing accountsother 3 3Total 3 3
4 . Net cash flow available from operating activitiesNetsurplus/(deficit)asperStatementofFinancialperformance - -Add back non cash/cash movements not deemed operating activities - 20(Increase)/decrease in receivables – current - 17(Increase)/decrease in prepayments and advances - -Increase/(decrease) in payables – current - 3surrenders to Revenue Fund - -Net cash flow generated by operating activities - 20
5 . Reconciliation of cash and cash equivalents for cash flow purposesconsolidated paymaster-general account (2) (2)Total (2) (2)
ISBN: 978-0-621-43066-0RP290/2014