1. Water and Sanitation Portfolio Committee
PORTFOLIO COMMITTEE BRIEFING ON THE ANNUAL PERFORMANCE PLAN AND BUDGET VOTE
Water and Sanitation Portfolio Committee
V227, 2nd Second Floor
25 May 2017
PRESENTATION TITLE
Presented by:
Name Surname
Directorate
Date

2. TABLE OF CONTENTS DWS AND TREASURY ENGAGEMENTS
REVISED BUDGET VS ANNUAL PERFORMANCE PLAN
DEBT OWED TO SEDIBENG
DETAILS OF SUPPLIERS OWED
DEBT OWED TO WATER BOARDS

3. DWS AND TREASURY ENGAGEMENTS
PFMA and Treasury Regulations set out the powers of the Accounting Officer to shift funds within the department’s voted allocation for 2017/18
Various engagements took place between DWS and Treasury officials as well as the Executive Level
Therefore, funds have been reprioritised in line with the above provisions.
Refer to correspondence from Treasury (Annexure A)

4. REVISED BUDGET VS ANNUAL PERFORMANCE PLAN
DWS will not be revising budget allocations because the shortfall relates to RBIG Projects which are multiyear projects
Some of the RBIG projects that were earmarked for funding in the 2017/18 FY were completed earlier than planned.
The amount owed to contractors as at 31 March 2017 amount to R1 ,463 billion
This debt relates to the following:
R1 ,342 billion relates to RBIG Programme
R relates to goods and services which were not project related

5. REVISED BUDGET VS ANNUAL PERFORMANCE PLAN
RBIG has a total budget of R5.8bn in the current FY and the debt of R1.463 billion will be absorbed from within this allocation

6. DETAILS OF SUPPLIERS OWED
A detailed lest per province and for Head office is provided (Refer to Annexure B)

7. OUTSTANDING DEBT TO SEDIBENG WATER
Sedibeng Water owes WTE R1.7billion and in turn Sedibeng Water is owed R2.8billion by various municipalities(Refer to Annexure C)
Rand Water is owed R52m by Bushbuckridge Municipality
For the rest of the Water Boards the debt owed is within 30 Days and they are paying WTE monthly

8. WTE OVERDRAFT AGREEMENT
WTE will reduce the overdraft as follows:
R200m by end of June 2017
R548m by end of March 2018
(Refer to Annexure D)
No interest has been charged on the WTE Overdraft to date and none will be charged in the future (Refer to Annexure E)

9. WSIG AND ACIP GRANT REPRIORITISATION
No existing project will be affected by reprioritising ACIP and WSIG
On a yearly basis the department earmarks funds to intervene in non-functioning municipalities
R587m from WSIG and R214m from ACIP will be reprioritised

10. WSIG AND ACIP GRANT REPRIORITISATION
The department is working collaboratively with National treasury , Cogta and Misa to align the different grants that are there for delivery of water and sanitation programme, especially where there is Bulk infrastructure and no reticulation
Tripartite agreements will be signed to ensure that we operate in a more coordinated manner

11. BUCKET ERADICATION PROGRAMME
The Bulk Infrastructure will be de-linked from the Bucket Eradication Programme
The department is working closely with the WRC to finds alternative innovative solutions that will reduce the costs of providing dignified sanitation solutions

12. THANK YOU!