PRESENTATION TO THE PORTFOLIO COMMITTEE ON PUBLIC ENTERPRISES By PORTIA MOLEFE DIRECTOR-GENERAL

1. PRESENTATION TO THE PORTFOLIO COMMITTEE ON PUBLIC ENTERPRISES By PORTIA MOLEFE DIRECTOR-GENERAL ON THE 3RD QUARTER PERFORMANCE OF DPE 28 MARCH 2007

2. OUTLINE OF THE PRESENTATION • Overview of the 3rd Quarter Performance • Review per Programme • Administration- (Rashida Issel - COO) • Energy, Mining and Broadband Enterprises (James Theledi - DDG) • Legal, Governance, Risk and Secretariat (Sandra Coetzee - DDG) • Manufacturing Enterprises (Litha Mcwabeni - DDG) • Transport Enterprises (Andrew Shaw - DDG) • Joint Project Facility (Katherine Venier - JPF Coordinator) 2

3. Overview of the 3rd Quarter • Developed dashboard for Eskom and Transnet as part of monitoring progress. • Cabinet approved the establishment of six wall to wall Regional Electricity Distributors as Public Entities to be regulated by the National Energy Regulator of South Africa (NERSA) • Commenced with legislative processing of Transnet Pension Fund Amendment (“TPFA”) Bill • Processing SOE applications in terms of section 54(2) PFMA • 9 Transnet applications approved • 8 Eskom applications approved • 5 Denel applications approved • Five non-core businesses (Denel) have been disposed of, realising income of R400m. • Cabinet memorandum on Competitive Supplier Development program was finalised and approved. • SOE have put in place plans to make optimal use of training facilities for internal skills development programmes. 3

4. PROGRAMME 1 - ADMINISTRATION 4

5. PROGRAMME 1 - ADMINISTRATION 5

6. DPE STATISTICSas at 2 March 2007

7. DPE Organisation – EE STATS • Males needed in DPE:People with Disabilities needed in DPE: • African and White: Lower level i.e., 1 – 12 The status of 4 people needs to be confirmed - • Coloured and Indian: All levels which will affect this total • Females needed in DPE: • African with the emphasis on SMS level. • Current Gender compilation on SMS level: 59% male and 41% female - Target 50/50 % by 31 March2009.

9. EXPENDITURE REVIEW The Department has spent R68,780,531 of its operational budget made up of Compensation of Employees, Goods and Services and Capex which amounts to 66.6% of the operational budget (excluding commitments) which, if based on flat line expenditure (75%) over the past nine months would reflect an 8.4% underspend, however large projects are being completed during the fourth quarter which will ensure a less than 2% saving overall on operational expenditure. The 54.6% balance reflected on transfer payments will be paid out to the SOE in tranches over the next three months.

10. PROGRAMME 2 – ENERGY, MINING AND BROADBAND ENTERPRISES 10

11. PROGRAMME 2 – ENERGY, MINING AND BROADBAND ENTERPRISES 11

12. PROGRAMME 2 – ENERGY, MINING AND BROADBAND ENTERPRISES 12

13. PROGRAMME 2 – ENERGY, MINING AND BROADBAND ENTERPRISES 13

14. PROGRAMME 3 - LGRS 14

15. PROGRAMME 3 - LGRS 15

16. PROGRAMME 3 - LGRS 16

17. PROGRAMME 3 - LGRS 17

18. PROGRAMME 3 - LGRS 18

19. PROGRAMME 3 - LGRS 19

20. PROGRAMME 3 - LGRS 20

21. PROGRAMME 4 - MANUFACTURING 21

22. PROGRAMME 4 - MANUFACTURING 22

23. PROGRAMME 4 - MANUFACTURING 23

24. PROGRAMME 4 - MANUFACTURING 24

25. PROGRAMME 4 - MANUFACTURING 25

26. PROGRAMME 4 - MANUFACTURING 26

27. PROGRAMME 5 - TRANSPORT 27

28. PROGRAMME 5 - TRANSPORT 28

29. PROGRAMME 6 – JOINT PROJECT FACILITY 29

30. PROGRAMME 6 – JOINT PROJECT FACILITY 30

31. PROGRAMME 6 – JOINT PROJECT FACILITY 31

32. PROGRAMME 6 – JOINT PROJECT FACILITY 32

33. Thank you 33