Approach to the development of the Strategic Plan & Annual Performance Plan

1. Approach to the development of the Strategic Plan & Annual Performance Plan 27 February 2013

2. Contents • Part 1: Approach for developing strategic and annual performance plans • Part 2: Internal planning process followed • Part 3: Overview of the strategic and annual performance plans

3. Part 1: Approach for developing strategic and annual performance plans

4. Statutory compliance • National Treasury regulations: Chapter 5 (Department) & Chapter 30 (Entities) • Prepare a strategic plan with a five year planning horizon • Table annual performance plans with a three year horizon consistent with the Medium Term Expenditure Framework • Public Service regulations: Part 3 B Based on the strategic plan of the department, an executing authority shall determine the department’s organisational structure in terms of its core and support functions; grade proposed new jobs according to the job evaluation system; define the posts necessary to perform the relevant functions

5. Statutory compliance • Presidency Policy framework for the Government-wide Monitoring & Evaluation System The accounting officer of a department or municipality, or the chief executive officer of a public entity, is required to establish a monitoring and evaluation system for the institution. Primary users of the M & E system will use these source systems to refine their planning and implementation processes. In the case of the Department the Balanced Score Card was selected as the model to use. • National Treasury Framework for Strategic Plans and Annual Performance Plan Alignment to the government outcomes oriented monitoring and evaluation approach (i.e. Programme of Action, Delivery Agreements ) and Strategic and Annual Performance Plans

6. Part 2: Internal planning process followed

7. Government Wide Monitoring & Evaluation Framework (GWM&E) Manage towards achieving these results (e.g. Economic growth) Equity What we aim to change? Indicators (e.g. Access to water) Indicators What we wish to achieve? Effectiveness (e.g. Dam) Indicators Plan, budget, implement and monitor What we produce or deliver? Efficiency (e.g. Processes or actions) Indicators What we do? Economy (e.g. Human and financial resources) Indicators What we need to do the work?

8. Reviewing 2012/13 goals

9. Reviewing 2012/13 strategic objectives

10. Reviewing 2012/13 strategic objectives

11. Reviewing 2012/13 strategic objectives

12. Gaps from the 2012/13 using the Balanced Score Card Universal access to basic water Water supply & demand Equity in water allocation Reduce licensing backlog FM to address audit Revenue generation Funding for infrastructure backlog Protect resources LG support Shared water courses Institutional realignment Reduce “water crimes” Performance management & leadership Information systems Skills pool

13. Part 3: Overview of the strategic and annual performance plans

14. Vision Mission Values An efficient, effective and development oriented sector leader Equitable and sustainable provisioning of raw water Provision of equitable and sustainable water services of acceptable quantity and quality Protection of freshwater ecosystems GOALS Improve and increase the skills pool and build competencies in the Department and within the sector Ensure the availability of / access to water supply for environmental and socio-economic use Ensure compliance to water legislation Ensure compliance to water legislation Support the water sector Improve the protection of water resources and ensure their sustainability Improve equity and efficiency in water allocation Effective and efficient internal control environment Strengthen and implement strategies for water management in the country Implement programmes that create job opportunities STRATEGIC OBJECTIVES Improve water resources and water services information Improve water use efficiency Coordinate regional and global water cooperation Ensure effective performance of water management and services institutions

15. Programmes per budget (ENE) structure Water Trading Entity Administration Water Sector Management Water Infrastructure Management Regional Implementation & Support Water Sector Regulation International Water Cooperation Ministry Policy & Planning Mgt & Support Infrastructure dev & rehabilitation Regional Mgt & Support Regulation Mgt & Support IR Mgt & Support Departmental Management Integrated Planning Operation of water resources Water Sector Support Economic & Social Regulation Africa Cooperation Internal audit Policy & Strategy Financial Management Institutional Establishment Water use authorisation Global Cooperation Corporate services Water Ecosystems Integrated Catchment Mgt Regional Bulk Resource regulation Financial Management Water Info Mgt Transfer of Water Schemes Compliance Monitoring Office accommodation Institutional Oversight Support Services Enforcement Water Services Projects Legend Integrated Catchment Mgt Programmes Mine Water Mgt Sub-programmes

16. Programme 1: Administration

17. Programme 1: Administration

18. Programme 1: Administration

19. Programme 2: Water Sector Management

20. Programme 2: Water Sector Management

21. Programme 4: Regional Implementation & Support

22. Programme 4: Regional Implementation & Support

23. Programme 4: Regional Implementation & Support

24. Programme 4: Regional Implementation & Support

25. Programme 4: Regional Implementation & Support

26. Programme 5: Water Sector Regulation

27. Programme 6: International Water Cooperation

28. Water trading entity

29. Programme 1: Administration

30. Programme 3: Water Infrastructure Management

31. Programme 3: Water Infrastructure Management

32. Programme 3: Water Infrastructure Management

33. Rationale for infrastructure projects Operate & maintain 25% 25% 25% 25% Percentage per phase of multiyear projects

34. Rationale for infrastructure projects • Infrastructure projects are conducted in a highly regulated framework in accordance with statutory requirements – example NWA, WSA, NEMA, PFMA as well as the prescripts provided by National Treasury, Auditor-General and National Planning Department. • Projects are often dependent on multi-year, inter-disciplinary, intra-and-inter-departmental factors. • Budgets may originate solely from the fiscus or be a combination of public and private funds. Often the budgets fall into the defined mega-projects categories, which require specific reporting formats. • Projects involve intricate stakeholder engagements. • Testing of infrastructure models at a designated laboratory can take significant amounts of time. • The targets and indicators are developed in terms of industry best practice and project management principles.

35. Rationale for infrastructure projects ProjectsRisks • Construction or builders holidays / breaks • Inclement weather causing delays • Acquisition of land • Labour interventions • Skills availability • Stakeholder or Interested and Affected Party (I&AP) engagements • Environmental Authorisations • Intra-and- inter-departmental co-operation • Contractual arrangements • Availability of resources, equipment, materials (example of unavailability of pipes in South Africa causing huge delays)

36. Programme 4: Regional Implementation & Support

37. End

38. What informed the Department’s planning DAFF Strategic Plans DHS Strategic Plans UN National Planning Commission Parliamentary Portfolio Committee NCOP Dti Strategic Plans DME Strategic Plans MDG New Growth Path DRD&LR Strategic Plans COGTA Strategic Plans 12 Service Delivery Outcomes Programme of Action Portfolio Committee Meetings 9 Provinces DOH Strategic Plans DEA Strategic Plans DPME Develop-ment Indicators Ministers Performance Agreement Provincial Growth and Development Strategies x 9 National Treasury [ENE] DWA Portfolio Committee Inputs IDP’s (Metros and Muni’s) Moves to next slide