NATIONAL NUCLEAR REGULATOR PRESENTATION TO PORTFOLIO COMMITTEE ON MINERALS AND ENERGY MAY 2001

FINANCIAL POSITION 2000/2001 INCOME : R 37 170 391,00 Authorisation / Licence Fees Koeberg NECSA / Vaalputs PBMR Mines / Small Users Income From State 30 : 70 (1990) } 17 : 83 (2000) }Requirements From State Increase (Special request to Minister cannot be accommodated in 2001/2002) Interest

FINANCIAL POSITION 2000/2001 EXPENDITURE : R 37 580 098,00 EXPENDITURE OVER INCOME : R 409 707,00 Transformation Initiatives / Capacity Building Direct Costs } Indirect Costs } Benefits Outweigh Costs Building Alterations / Disability Board of Directors PBMR Course HR Plan / Succession Planning Co-Operative Governance

FINANCIAL POSITION 2000/2001 BUDGET ESTIMATES INCOME : 2000/2001 : R37 234 000,00 2001/2002 : R47 927 000,00 EXPENDITURE :

FINANCIAL POSITION 2000/2001 ABNORMALLY HIGH INCREASE IN BUDGET ESTIMATES Human Resource Plan 3 - 5 - 10 Year Plan Loss of Experienced Staff Succession Planning Skills Transfer Appointment of Extranumeral Staff} Staff Development and Training } No Increase in State Funding PBMR Recruitment of Staff (In Line With Succession Plan) Effect on Total Budget Logistical Requirements Accommodation ; IT Infrastructure ; Furniture and Equipment

FINANCIAL MANAGEMENT COST CALCULATION (KPMG) Authorisation / Licence Fees Fixed Fee for Eskom (1990) Fixed Fee for NECSA / Vaalputs Fixed Fee for PBMR (Based on Number of Man Years - Increased by CPI Annually) Hourly Rate Charged to Mines (Increased by CPI Annually) Fixed Fees - Determined by Minister New Act Provide Minister With Information

FINANCIAL MANAGEMENT EXPENDITURE Income Estimates May Not Be Realised Expenditure Managed Within Income Framework Scale Down on Recruitment, Development, Capacity Building, etc.

FINANCIAL CONTROLS Internal Audit by KPMG External Audit Report to CEO Report to Audit Committee Two Audits per Annum External Audit Audit of Financial Statements Performance Audit Director’s Report Objectives Measurement of Results / Financial / Performance

TRANSFORMATION PRE-2000 Affirmative Action / Employment Equity New Board / Better Understanding of Broader Transformation Issues (Benefits) Business Plan Language Procurement Development Etc.

TRANSFORMATION 2000/2000 + Board appointed Transformation Committee In-House Work Groups External Consultant Black Owned Group to Assist Board / Executive - Strategic Planning Session (Bosberaad) Mission, Strategy, Policy Organisational Goals Re-Structuring of Organisation Transformation Policy To Be One Process (Use Bosberaad Directions from Directors)

REPRESENTIVITY White Male 40 (49%) White Females 12 (15%) Black Males 21 (26%) Black Females 8 (10%) Disabled 3 (4%) Included Above TOTAL Designated Group 43 (53%) MANAGEMENT White Males 7 (50%) Black Males 6 (43%) Black Female 1 (7%) Disabled 2 (14%) Included Above TOTAL Designated Group 8 (57%)