Strategic Overview of Catchment Management Agencies' Performance 2011/2012

1. STRATEGIC OVERVIEW OF CATCHMENT MANAGEMENT AGENCIES (CMAs) AND PERFOMANCE OF INKOMATI AND BREEDE CMAS DURING 2011/2012 FINANCIAL YEAR Prepared for Portfolio Committee on Water and Environmental Affairs 23-24 April 2013

2. Table of Content • Policy & Legislative Mandates . • Alignment with National Government Outcomes • Progress made on establishment of CMAs. • Performance of Current CMAs 11/12 • Summary & Conclusion.

3. PURPOSE The purpose of this presentation is to provide a consolidated strategic overview of the CMA establishment process and performance of the Inkomati and Breede-Overberg Catchment Management Agencies for the 2011-2012 financial year. 3

4. Policy & Legislative Mandate CORE BUSINESS

5. Policy Context Water resources management is the protection, use, development, conservation, management and control of water resources; in particular the equitable allocation and beneficial use of water in the public interest, and the protection of the quality of water. Increasing scarcity means strong system interactions and complex trade-offs with growing water quality concerns. Catchments are the appropriate management unit Involvement of stakeholders critically important, but not abrogating role of Minister Build accountability to and legitimacy with stakeholders Manage according to hydrological boundaries 5

6. Contribution to government outcomes 6 Efficient economicinfrastructure 9 responsive, accountable, effective & efficient local government 4 Employment & inclusive growth 10 Protected and enhanced environment and natural resources 7 Vibrant & sustainable rural communities Effective water resources management critical foundation to achieve the above outcomes

7. STATUS AS AT END OF MARCH 2013

8. CORE BUSINESS TOP TEN RISKS

9. CORE BUSINESS TOP TEN RISKS

10. Limpopoo Olifants Inkomati- Usuthu Water Management Areas Vaal Orange Pongola-Mzimkulu Berg-Olifants Mzimvubu-Tsitsikamma Breede-Gouritz

11. HIGH LEVEL PROJECT PLAN FRAMEWORK Aug13-July 14 Aug 14-July 15 and beyond Aug12-July 13 CMA IMPLEMENTATION PLAN Approach Operation Phase Sustain & Improve Establishment Phase Preparatory Phase Implementation of Initial Functions Delegation of functions Gazetting of WMAs 1 Month Project Phases Cross Cutting Activities Approval of Business Cases by NT and listing under PFMA Finalising Business Cases Office Accommodation 2 Months Setting up of National Steering Committee 8 Months Gazetting of CMAs Human Resources Setting up of Regional Steering Committees Appointment of Governing Board Systems 1 Month Appointment of dedicated team Appointment of Chief Executive Budget secured MTEF PHASE 1 : Breede-Gouritz, Inkomati-Usuthu and Pongola Mzimkhulu Time Frames Aug12-July 13 PHASE 2 : Berg-Olifants-Doorn , Vaal , Olifants and Limpopo Aug13-July 14 PHASE 3 : Orange, Mzimvubu-Keiskamma Aug14-July 15 and beyond 11

12. Scale of CMAs R507 million in 2011/12 budgeted for water resource functions (slide 14 provides the detail) R408 million in 2012/13 –Proto-CMAs 60 000 customers to be registered and billed . 600 staff with about 400 vacancies. 12

13. Timing and Rollout of CMA Costs • Establishment time frame per CMA is 5 years • Phased establishment for 9 CMAs over 8 years – completed by 2019/2020 (thereafter costs level off) Projected phased costs per CMA Years 13

14. Phased Increase of Total CMA Costs • Total costs to increase to R600 million per annum • This is 30% increase in current DWA regional office estimates • Current Regional Office budget for WRM reflected by the dotted red line CMA Total Costs Cost Years 14

15. 2. Establishment Grant • Fixed grant for 2 years provided before billing is delegated to CMA • Total cost of R230 million over 4 years • Excludes R49 million for BOCMA & ICMA Cost of Establishment Grant Years 15

16. GOVERNANCE 16

17. GOVERNANCE • Oversee institutional establishment; • Oversee governance (manage board appointment processes, training etc.); • Oversee shareholder compact; • Oversee business plans, quarterly performance reports and financial statements etc. Parliament Minister Reporting and governance DWA Institutional oversight (national & regional) Portfolio Committee reviews reports and plans (hearings, visits) Minister appoints boards; approves shareholder compact Public institutions report to the public and Parliament through Annual Reports and Annual Financial Statements and to the Department with quarterly performance reports WRC TCTA NWRI CMA 1 CMA 2 CMA 9 Water board 3 WB 2+1 WB 3 279 WUAs &Irrigation Boards 17

18. PERFOMANCE OF INKOMATI AND BREEDE CMAS DURING 11/12 FINANCIAL YEAR 18

19. STRATEGIC CMA SCORE CARD Ensure effective, efficient and sustainable management of water resources in the Water Management Area Stakeholder Perspective Financial Perspective Developmental & Environmental Learning & Growth Learning and Growth

20. DWA’s OVERSIGHT ROLE OVER CMAsCompliance monitoring 20

21. The Breede-Overberg CMA 21

22. The Inkomati CMA 22

23. CMAs FINANCIAL PERFORMANCE 23

24. BOCMA PERFORMANCE (1) 24

25. BOCMA PERFORMANCE (2) 25

26. ICMA PERFORMANCE (1) 26

27. ICMA PERFORMANCE (2) 27

28. ICMA PERFORMANCE (3) 28

29. SUMMARY & CONCLUSION The BOCMA and the ICMA have continued to establish their institutional legitimacy in water resource management and have achieved a majority of their annual targets and objectives for the 2011/12 financial year The project plan for the amalgamation of Breede-Goutitz and Inkomati-Usuthu is being implemented. 29

30. THANK YOU !!!!