ANNUAL PERFORMANCE PLAN AND BUDGET FOR 2013/14

1. Presentation to the Portfolio Committee on Higher Education and Training 17 April 2013 ANNUAL PERFORMANCE PLAN AND BUDGET FOR 2013/14

2. Presentation Outline • Mandate and Progress • 2. Programme Plans and Targets for 2013/14 • Administration • Human Resource Development, Planning and Monitoring Coordination • University Education • Vocational and Continuing Education and Training • Skills Development • 3. 2013/14 MTEF Budget Information

3. Mandate • Expandaccess to education and training for the youth • Adequately capacitate educational institutions for effective provision or facilitation of learning • Increase the number of students successfully entering the labour market upon completion of training • Colleges with a curriculum responsive to the demands of the market place with a special emphasis on artisan training • Credible institutional mechanisms for skills planning to support an inclusive economic growth path • Expand research, development and innovation capacity for economic growth and social development • Highly effective, professional, efficient administration informed by good corporate governance practices

4. Progress on Key Performance Indicators Progress since 2009 • Students headcount enrolments at universities increased by 12% from 837 779 to 937 455 • First time enrolments at universities increased by 9% from 164 528 to 179 101 • Graduates from universities increased by 11% from 144 810 to 160 299 • Graduates in Engineering Sciences increased by 9% from 8 424 to 9 193 • Graduates in Human Health and Animal Health increased by 10% from 7 341 to 8 049 • Graduates in Natural and Physical Sciences increased by 59% from 3 468 to 5 518 • Research Masters graduates increased by 26% from 4 179 to 5 281 • Doctoral graduates increased by 15% from 1 373 to 1 576 • Initial teacher education graduates increased by 60% from 6 315 to 10 133 • Students awarded bursaries at FET Colleges increased by 183%

5. Progress since 2009 • Headcount enrolments in FET Colleges increased by 24% from 345 566 in 2010 to 427 423 in 2011 • Introduced a draft Framework for lecturer qualification for FET Colleges for public comment • Established the Quality Council for Trades and Occupation (QCTO) andNational Artisan Moderation Body (NAMB) • Artisan candidates found competent increased by 60% from 8 238 to 13 168 • 3 400 graduates received Work Integrated Learning in 2011 • Artisan trade test pass rate has improved from 41% to 43% in 2009 and 2011 respectively • Entered into a number of bilateral and multilateral agreements • Numerous international scholarship offers are being afforded to South African students • A ‘dual system’ of apprenticeship training used in Switzerland, Germany and Austria is being piloted

6. Programme 1: Administration Purpose: Provide overall management and administration of the department

7. Risks and Mitigation Measures

8. Programme 2: Human Resource Development, Planning and Monitoring Coordination Purpose: Provide strategic direction in the development, implementation and monitoring of departmental policies and Human Resource Development Strategy for South Africa

9. Programme 2: Human Resource Development, Planning and Monitoring Coordination

10. Programme 2: Human Resource Development, Planning and Monitoring Coordination

11. Risks and Mitigation Measures

12. Programme 3: University Education Purpose: Develop and coordinate policy and regulatory frameworks for an effective and efficient university education system. Provide financial support to universities, the National Student Financial Aid Scheme and the National Institutes for Higher Education Strategic Objective: Expand the higher education sector in order to increase equitable access with success

13. Programme 3: University Education

14. Programme 3: University Education Strategic Objective 2: Improve success rates in higher education studies at public institutions and therefore increase graduate outputs by 2014

15. Programme 3: University Education

16. Programme 3: University Education Strategic Objective 3: Monitor good governance and management of the Higher Education system in order to build capacity and efficiency

17. Risks and Mitigation Measures

18. Risks and Mitigation Measures

19. Programme 4: Vocational and Continuing Education and Training Purpose: 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 Strategic Objective: Increase access to and improve success in programmes leading to intermediate and high-level learning by 2014

20. Programme 4: Vocational and Continuing Education and Training

21. Programme 4: Vocational and Continuing Education and Training

22. Programme 4: Vocational and Continuing Education and Training

23. Programme 4: Vocational and Continuing Education and Training Strategic Objective: Strengthen the institutional capacity of VET institutions to improve their performance and efficiency

24. Programme 4: Vocational and Continuing Education and Training Strategic Objective: Manage and administer a credible and efficient examinations and assessment system for VET institutions

25. Programme 4: Vocational and Continuing Education and Training Strategic Objective: Provide support for the implementation of a monitoring, evaluation, and research for the improvement of the vocational education and training subsystem

26. Risks and Mitigation Measures

27. Risks and Mitigation Measures

28. Programme 5: Skills Development Purpose: Promote and monitor the national skills development strategy. Develop skills development policy and a regulatory framework Strategic Objective: Provide a dynamic interface between the workplace and learning institutions and to promote quality learning at work and for work by 2016

29. Programme 5: Skills Development Strategic Objective: Promote the alignment of skills development outputs to the needs of the workplace and to the broader growth needs of the country’s economy

30. Programme 5: Skills Development Strategic Objective: Provision of funding to support projects that are national priorities in the NSDS, advance the Human Resource Development Strategy (HRDS) of South Africa and support the NSA in its work

31. Risks and Mitigation Measures

32. Financial Information

33. Financial Information

34. Financial Information • For 2013 MTEF the Department’s budget (excluding direct charges) increases at an annual average rate of 7.8 %, from R31.6 billion in 2012/13 to R39.5 billion in 2015/16 • The amount of R34.3 billion for 2013/14 is an increase of R2.7 billion (nominal increase of 8.7 %) on the 2012/13 allocation, excluding direct charges • Direct charges that represent the skills levies for SETAs and the NSF, increases at an annual average rate of 9.1% from R11.4 billion in 2012/13 to R14.8 billion in 2015/16 • The Department received additional allocations to the amount of R300.5 million, R693.4 million and R1.8 billion over the MTEF period which includes amounts for capital expenditure on the two new universities (R150 million, R500 million and R1 billion over the MTEF period)

35. Financial Information • Programme 3: University Education dominates expenditure on the budget mainly as a result of the transfers to universities and NSFAS. These expenditure items represent 82.5 % of the total budget (excluding direct charges) for 2013/14 • Departmental services (excluding university transfers, transfers to public entities and other organisations, conditional grants and earmarked funds) represents only 1.7% • NSFAS allocation increased with an amount of R573.744 million. Transfers are expected to be R5.8 billion in 2013/14, R6.1 billion in 2014/15 and R6.4 billion in 2015/16 • The net increase in compensation of employees is due mainly to provision made for the improvement of conditions of service and increased provision for examiners and moderators (R8.635 million)

36. Thank You