South African National Parks - 2023/24 Strategic Plan and 2021/22 Annual Performance Plan
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South African National Parks
2023/24 Strategic Plan and 2021/22 Annual
Performance Plan
1
CONTEXT
Vision : A world-class system of sustainable national parks reconnecting and inspiring society.
Mission : To develop, protect, expand, manage and promote a system of sustainable national parks that represents
natural and cultural heritage assets, through innovation, excellence, responsible tourism and just socio -economic
benefits for current and future generations.
Impact Statement
National Parks conserve biodiversity and cultural heritage; contribute to the economy, providing socio-economic
benefits, access, ecotourism experiences to the people of SA and the world.
Outcome Goals
1. Sustainable Biodiversity and Cultural Heritage across land and sea that delivers benefits for the people of South
Africa and the world, now and in the future
2. Improved Diverse Responsible Tourism
3. Sustainable Socio-Economic Transformation Programme that ensures delivery of benefits to the land claimants,
historically disadvantaged communities and the people of South Africa
4. Sustainable and Transformed Organization through revenue, people, systems, business processes and
infrastructure
2
ALIGNMENT WITH GOVERNMENT PRIORITIES
Government’s priorities Outcome Goal MTSF Targets : 2021/22 – 2023-24
Eradicating poverty and Sustainable Socio-Economic Transformation of wildlife economy through increased
improving people’s lives Transformation Programme that Previously Disadvantaged Individual (PDI) participation
ensures delivery of benefits to • ≥ 2 200 animals donated and loaned to Previously
Disadvantaged Individual (PDI) game farmers and
the land claimants, historically
communities increased
disadvantaged communities
and the people of South Africa • Job opportunities created: Full time Equivalent (FTEs): ≥
23,096 ; Youth: ≥ 26,090; Women: ≥ 22,122 ; People with
Disability: ≥ 854 (all in EPWP)
• Number of SMMEs; Qualifying Small Enterprises (QSEs) &
Exempt Micro Enterprises (EMEs) contracted for goods and
services : EPWP ≥ 2,411 SMMEs; Goods and Services
contracted to 400 EMEs and 400 QSEs for procurement
below R500 000 (RFQs) & Goods and Services contracted
to 60 EMEs and 60 QSEs for procurementabove R500 000
• 75% of overall procurement from BBBEE target groups
• ≥ 1 600 beneficiaries trained
• 75 % of activities in the KNP & QwaQwa land claim
beneficiation scheme annual plan implemented & 50 %
activities implemented as per implementation plan for other
registered land claims
3
ALIGNMENT WITH GOVERNMENT PRIORITIES
Government’s priorities Outcome Goal MTSF Targets : 2021/22 – 2023-24
Providing education, skills Sustainable Socio-Economic • ≥ 1000 schools and other target groups accessing national
and health Transformation Programme parks for educational purposes
(SET) that ensures delivery of
• Continued implementation of the Junior Scientists
benefits to the land claimants,
programme
historically disadvantaged
communities and the people of • Development of a clear Youth development progarmme as
South Africa part of the implementation of the SET programme
Building a capable state that Sustainable and transformed Sound corporate governance :
serves the people organization through revenue, • Unqualified audit outcome with no findings;
people, systems, business
processes and infrastructure • Conformance Rating with the International Standard for the
Professional Practice of Internal Auditing (ISPPIA) improved;
• Matured Enterprise Risk Management (ERM) with
rating level 5 according to the DFFE governance maturity
framework achieved;
• Matured Ethics Management with rating level 5 according to
the DFFE governance maturity framework achieved
• Integrated Transformation programme implemented including
an organisation-wide climate survey and a culture and values
review
• 1,5% of total budgetspent on skills developmentfor staff
4
Government’s priorities Outcome Goal MTSF Targets : 2021/22 – 2023-24
Building a better Africa, Sustainable biodiversity and • ≥ 990 (approved) animals delivered to African Range States
better world cultural heritage across land as per Ministerial approval
and sea delivers benefits for the
people of SA and the world, now • Continued participation into and implementation of Trans-
and in the future frontier Conservation Areas (TFCAs)
Continued contribution to SA’s multi-lateral environmental
•
agreements: e.g. Convention on Biological Diversity (CBD),
The Convention on International Trade in Endangered
Species PRIORITIES
ALIGNMENT WITH GOVERNMENT of Wild Fauna and Flora (CITES), Ramsar;
Intergovernmental Science-Policy Platform on Biodiversity
and Ecosystem Services (IPBES).
• Climate change preparedness strategy approved & climate
change vulnerability assessments compiled for ≥ 8 parks
CHALLENGES
• Continued impact of Covid-19, especially on the return of international visitors to SA : Revenue impact
• Financial sustainability
• Stakeholder Engagement – maintaining good relationships; maintaining a good reputation
• Wild life crime
• Employment Equity targets
52023/24 Strategic Plan and 2021/22 Annual Performance Plan
OUTCOME GOAL 1: SUSTAINABLE BIODIVERSITY AND CULTURAL HERITAGE ACROSS LAND AND SEA DELIVERS
BENEFITS FOR THE PEOPLE OF SA AND THE WORLD , NOW AND IN THE FUTURE
PERFORMANCE INDICATOR 2021/ 22 ANNUAL TARGET 2023/24 TARGET
SUB-OUTCOME 1: PROTECTED AREAS EXPANSION ALIGNED WITH THE NATIONAL PROTECTED AREA EXPANSION
STRATEGY (NPAES) AND SANPARKS LAND INCLUSION PLAN
Number of hectares added to national 4 000 ha 160 300 ha added to national
parks parks
SUB-OUTCOME 2: EFFECTIVE AND EFFICIENT MANAGEMENT OF NATIONAL PARKS
Percentage of Management Effectiveness ≥ 55 % progress against ≥ 70 % progress against
Tracking Tool (METT) corrective actions identified Management identified METT corrective
implemented Effectiveness Tracking Tool actions
(METT) corrective actions
20 National Parks Assessed. Of
20 National Parks Assessed. Of these 80% with a METT Score of
these, at least 80% of parks and ≥ 67% & 6 Marine Protected
33% of six Marine Protected Areas Assessed, 50% with a
Areas with a METT Score of METT Score of ≥ 67%.
≥67%
62023/24 Strategic Plan and 2021/22 Annual Performance Plan
OUTCOME GOAL 1: SUSTAINABLE BIODIVERSITY AND CULTURAL HERITAGE ACROSS LAND AND SEA
DELIVERS BENEFITS FOR THE PEOPLE OF SA AND THE WORLD , NOW AND IN THE FUTURE
PERFORMANCE INDICATOR 2021/ 22 ANNUAL TARGET 2023/24 TARGET
SUB-OUTCOME 3: DEGRADED ECOSYSTEMS REHABILITATED
Number of degraded hectares of land 9,456 initial ha 74,281 initial ha (cumulative)
under rehabilitation
61,003 follow-up ha 521,608 follow-up ha (cumulative)
Number of m³ of degraded wetlands 5,100 m³ wetlands 27,250 m³ wetlands (cumulative)
under rehabilitation
72023/24 Strategic Plan and 2021/22 Annual Performance Plan
OUTCOME GOAL 1: SUSTAINABLE BIODIVERSITY AND CULTURAL HERITAGE ACROSS LAND AND SEA DELIVERS
BENEFITS FOR THE PEOPLE OF SA AND THE WORLD , NOW AND IN THE FUTURE
PERFORMANCE INDICATOR 2021/ 22 ANNUAL TARGET 2023/24 TARGET
SUB OUTCOME 4: CLIMATE CHANGE VULNERABILITY REDUCED AND CLIMATE RESILIENCE IMPROVED
Number of parks assessed for Wide-scale engagement on draft climate change Climate change preparedness strategy
climate change vulnerabilities preparedness strategy approved
Climate change vulnerability assessments Cumulatively, climate change vulnerability
compiled for 2 national parks assessments compiled for ≥ 8 parks
Green Energy Strategy, Implementation Plan &
Green Energy programme implementation of prioritised projects, including
Green Energy Implementation Plan
developed for SANParks alternative energy mix options
SUB OUTCOME 5: A FRAMEWORK TOWARDS IMPROVED MANAGEMENT OF CULTURAL HERITAGE DEVELOPED
Number of Cultural Heritage Cultural heritage resources in 2 national parks Cultural heritage resources in 6 national parks
assessments conducted assessed assessed
Heritage Register for parks developed
82023/24 Strategic Plan and 2021/22 Annual Performance Plan
OUTCOME GOAL 1: SUSTAINABLE BIODIVERSITY AND CULTURAL HERITAGE ACROSS LAND AND SEA DELIVERS
BENEFITS FOR THE PEOPLE OF SA AND THE WORLD , NOW AND IN THE FUTURE
PERFORMANCE INDICATOR 2021/ 22 ANNUAL TARGET 2023/24 TARGET
SUB OUTCOME 6 : SUSTAINABLE RHINO POPULATIONS MONITORED AND INCREASED
Percentage annual Rhino population in KNP increasing at Rhino population in KNP increasing at 1%
increase in rhino 0,5% annually
populations
Rhino population in other parks Rhino populations in other national parks
increasing at 4% increasing at 3% annually
SUB OUTCOME 7: CONTRIBUTION TO IMPROVED WILDLIFE POPULATIONS OF AFRICAN RANGE STATES SUSTAINED
Number of approved 495 animals delivered to Zinave By 2023, ≥ 990 animals donated
animals delivered to National Parks (cumulatively) and delivered to African
African Range States as range states
per Ministerial approval
92023/24 Strategic Plan and 2021/22 Annual Performance Plan
OUTCOME GOAL 1: SUSTAINABLE BIODIVERSITY AND CULTURAL HERITAGE ACROSS LAND AND SEA DELIVERS
BENEFITS FOR THE PEOPLE OF SA AND THE WORLD , NOW AND IN THE FUTURE
PERFORMANCE INDICATOR 2021/ 22 ANNUAL TARGET 2023/24 TARGET
SUB OUTCOME 8 : WILDLIFE CRIME IN NATIONAL PARKS REDUCED
Number of rhinos poached KNP: Reduce number of rhinos poached in KNP: reduce number of rhinos poached
in KNP and 6 parks KNP to less than 230 animals to less than 875 (cumulative)
reduced
Other rhino parks: Maintain the number of Other rhino parks: reduce number of
rhinos poached to less than 5 animals rhinos poached to less than 25
(cumulative)
Number of elephants KNP: Reduce number of elephants KNP: reduce number of elephants
poached reduced poached to less than 40 animals poached to less than 180 (cumulative)
Other parks: Reduce the number of Other parks: reduce number of
elephants poached to less than 4 animals elephants poached to less than 20
(cumulative)
102023/24 Strategic Plan and 2021/22 Annual Performance Plan
OUTCOME GOAL 2: IMPROVED DIVERSE RESPONSIBLE TOURISM
PERFORMANCE INDICATOR 2021/ 22 ANNUAL TARGET 2023/24 TARGET
SUB-OUTCOME 9: IMPROVED TOURISM PERFORMANCE
Percentage improvement in Customer 1% point improvement on the baseline 0,5% point improvement on previous
Satisfaction Index (CSI) rating annual CSI score of 31 March 2021 year (2022/23)
Percentage increase in number of visitors to 83,3% increase on previous actual 11,0% up on previous year (2022/23)
national parks year on year (2020/21) (forecast at 1 800 000)
Percentage increase in Accommodation 20, 0% point increase on previous actual 0,6% points up on previous year
Occupancy (2020/21) (forecast at 35, 0%) (2022/23)
Total Number of New and Diverse Tourism 10 14 ( 38 cumulatively)
Products Implemented
SUB-OUTCOME 10: IMPROVED RESPONSIBLE TOURISM
A responsible tourism auditing framework Responsible Tourism audit conducted in 4 16 parks audited
implemented National Parks
112023/24 Strategic Plan and 2021/22 Annual Performance Plan
OUTCOME GOAL 3: SUSTAINABLE SOCIO ECONOMIC DEVELOPMENT PROGRAMME THAT ENSURES DELIVERY OF
BENEFITS TO THE LAND CLAIMANTS , HISTORICALLY DISADVANTAGED COMMUNITIES AND THE PEOPLE OF SA
PERFORMANCE INDICATOR 2021/ 22 ANNUAL TARGET 2023/24 TARGET
SUB-OUTCOME 11: TRANSFORMATION OF WILDLIFE ECONOMY THROUGH INCREASED PDI PARTICIPATION
Number of animals delivered to communities and 500 Animals delivered ≥ 1 600 animals delivered
individual emerging game farmers.
Number of full-time equivalent employment EPWP FTE: ≥ 4,275 EPWP FTEs: ≥ 23,096 (cumulative)
(FTE) job opportunities created through EPWP.
Number of jobs created for youth, women and Youth EPWP: ≥ 5,500 EPWP Youth: ≥ 26,090 (cumulative)
people with disabilities through EPWP
Women EPWP: ≥ 4,500 EPWP Women: ≥ 22,122 (cumulative)
People with Disabilities EPWP : ≥ 210 EPWP People with Disability: ≥ 854
(cumulative)
122023/24 Strategic Plan and 2021/22 Annual Performance Plan
OUTCOME GOAL 3: SUSTAINABLE SOCIO ECONOMIC DEVELOPMENT PROGRAMME THAT ENSURES DELIVERY OF
BENEFITS TO THE LAND CLAIMANTS , HISTORICALLY DISADVANTAGED COMMUNITIES AND THE PEOPLE OF SA
PERFORMANCE INDICATOR 2021/ 22 ANNUAL TARGET 2023/24 TARGET
SUB-OUTCOME 12: IMPROVED PARTICIPATION OF PDIs IN SANPARKS BUSINESS
Number of SMMEs contracted for provision of No. of SMMEs’ contracted through EPWP ≥ 442 EPWP ≥ 2,411 SMMEs
services and goods
Number of EMEs and QSEs contracted for Goods and Services contracted to 100 EMEs and 100 Goods and Services contracted to 400 EMEs
goods and services QSEs for procurement below R500 000 (RFQs) & Goods and 400 QSEs for procurement below R500 000
and Services contracted to 20 EMEs and 20 QSEs for & Goods and Services contracted to 60 EMEs
procurement above R500 000 and 60 QSEs for procurement above R500 000
Percentage of expenditure on preferential 70 % of Total procurement spent on Designated Groups 80%
procurement
Integrated Transformation programme Transformation Integration Implementation Plan and 100% implementation of the
implemented Transformation Dashboard developed Transformation Implementation Plan
132023/24 Strategic Plan and 2021/22 Annual Performance Plan
OUTCOME GOAL 3: SUSTAINABLE SOCIO ECONOMIC DEVELOPMENT PROGRAMME THAT ENSURES DELIVERY OF
BENEFITS TO THE LAND CLAIMANTS , HISTORICALLY DISADVANTAGED COMMUNITIES AND THE PEOPLE OF SA
PERFORMANCE INDICATOR 2021/ 22 ANNUAL TARGET 2023/24 TARGET
SUB-OUTCOME 13: INCREASED ACCESS TO EDUCATION AND SKILLS DEVELOPMENT OPPORTUNITIES
Number of beneficiaries from targeted groups ≥ 300 ≥ 1 600
trained
Number of schools and targeted groups accessing ≥ 100 ≥ 1000
the national parks for educational purposes
SUB- OUTCOME 14: SUSTAINED CORPORATE SOCIAL INVESTMENT TOWARDS COMMUNITY DEVELOPMENT
Number of individuals/communities where Social ≥ 3 ≥ 15
Legacy projects have been completed
SUB OUTCOME 15: IMPROVED PARTICIPATION OF LAND CLAIMANTS IN SANPARKS BUSINESS
Claimant Beneficiation Scheme developed and 30% of the planned activities on KNP 75% of activities in the KNP &
implemented as per Land Claims identified beneficiation Scheme implemented & 30 QwaQwa land claim beneficiation
% of the planned activities on QwaQwa scheme annual plan implemented
Land Claim beneficiation package & 50% activities implemented as per
implemented implementation plan for other
registered land claims
142023/24 Strategic Plan and 2021/22 Annual Performance Plan
OUTCOME GOAL 4: SUSTAINABLE AND TRANSFORMED ORGANISATION THROUGH REVENUE , PEOPLE, SYSTEMS AND
BUSINESS PROCESSES
PERFORMANCE INDICATOR 2021/ 22 ANNUAL TARGET 2023/24 TARGET
SUB-OUTCOME 16: FINANCIALLY SUSTAINABLE ORGANIZATION
Revenue raised through resource R75 million R 95 million ( R225 cumulatively)
mobilisation
Revenue raised through Tourism R 1.1 billion 20% increase on actual 2022/23
Performance
Revenue raised through Wildlife sales ≥ R4 million Variable - capture and delivery of
last animals towards target income
of ≥ R 4 million ( R 18 million
cumulatively)
20 Year Financial sustainability model 20 Year Financial sustainability 20 Year Financial sustainability
developed model developed model developed and implemented
152023/24 Strategic Plan and 2021/22 Annual Performance Plan
OUTCOME GOAL 4: SUSTAINABLE AND TRANSFORMED ORGANISATION THROUGH REVENUE , PEOPLE, SYSTEMS AND
BUSINESS PROCESSES
PERFORMANCE INDICATOR 2021/ 22 ANNUAL TARGET 2023/24 TARGET
SUB-OUTCOME 17: TRANSFORMED & CAPABLE HUMAN CAPITAL
Percentage of women in management 39.3% Women employees in management positions as a 41% WM
positions percentage of all management
Percentage of People with Disabilities 1.1% Employees with disabilities as a percentage of all 1.5 % : PWD
increased employees
Black as a percentage of management 62.5% Black employees in management positions as a 64 % : BM
increased percentage of all management
Percentage of payroll spent on skills 1% spent on skills development 1,5% spent on skills
development programmes increased development
Human Capital Management Strategy Human Capital management strategy developed and 100% implementation of the
Developed and Implemented 100% implemented as per annual operational plan annual operational plan
162023/24 Strategic Plan and 2021/22 Annual Performance Plan
OUTCOME GOAL 4: SUSTAINABLE AND TRANSFORMED ORGANISATION THROUGH REVENUE , PEOPLE, SYSTEMS AND
BUSINESS PROCESSES
PERFORMANCE INDICATOR 2021/ 22 ANNUAL TARGET 2023/24 TARGET
SUB-OUTCOME 18: EFFICIENT, INNOVATIVE SYSTEMS AND BUSINESS PROCESSES SUPPORTIVE OF SANPARKS CORE
BUSINESS
Specifications for Integrated Information Phase 1 of Integrated Information Integrated decision support of enterprise
Decision Support Tool developed Decision Support Tool Developed and information management systems developed
Implemented
SANParks Digital Strategy developed and SANParks Digital Strategy developed Five ( 5) strategic projects implemented
implemented and approved & 1 Strategic project
implemented
Business Process review and re-engineering Business process mapping approach Business process review and re-engineering
programme developed and implemented completed programme implemented
172023/24 Strategic Plan and 2021/22 Annual Performance Plan
OUTCOME GOAL 4: SUSTAINABLE AND TRANSFORMED ORGANISATION THROUGH REVENUE , PEOPLE, SYSTEMS AND
BUSINESS PROCESSES
PERFORMANCE INDICATOR 2021/ 22 ANNUAL TARGET
2023/24 TARGET
SUB-OUTCOME 19: SOUND CORPORATE GOVERNANCE
Rating of International Standard for the Professional 75% of corrective actions General Conformance rating
Practice of Internal Auditing (ISPPIA) where a implemented
conformance rating of “generally conforms” is Self-assessments conducted
achieved
Unqualified Audit Opinion without findings Unqualified Audit Opinion Unqualified audit opinion without findings
SUB-OUTCOME 20: SOUND CORPORATE GOVERNANCE
Matured Enterprise Risk Management (ERM) with 95% of approved annual ERM ERM matured with level 5 rating
rating level 5 according to the DFFE governance Maturity improvement and achieved in an Independent Assessment
maturity framework achieved implementation plan implemented
Matured Ethics Management with rating level 5 95% of approved annual Ethics Ethics Management matured with level 4
according to the DFFE governance maturity management Maturity improvement rating achieved in an independent
framework achieved and implementation plan assessment
implemented
182023/24 Strategic Plan and 2021/22 Annual Performance Plan
OUTCOME GOAL 4: SUSTAINABLE AND TRANSFORMED ORGANISATION THROUGH REVENUE , PEOPLE, SYSTEMS AND
BUSINESS PROCESSES
PERFORMANCE INDICATOR 2021/ 22 ANNUAL TARGET 2023/24 TARGET
SUB-OUTCOME 21: EFFECTIVE STAKEHOLDER AND PARTNERSHIP ENGAGEMENT
Stakeholder and partnership engagement % of Stakeholder and Partnership Stakeholder and partnership engagement
strategy developed and approved Engagement Implementation Plan plan implemented on an annual basis
implemented as per implementation plan consisting of 10 formal and proactive
engagements with primary stakeholders
Annual Communications plan between the Annual Communications plan developed 100% Implementation of the annual
Board and SANParks developed and and 100% implemented implementation plan
implemented
Number of SANParks Week free visitors to 80 000 150, 000 SANParks week
National Parks
SUB- OUTCOME 22: APPROPRIATE AND WELL MAINTAINED INFRASTRUCTURE
Maintenance and Recapitalisation Plan Condition assessment of prioritised Completion of condition assessment of
towards improvement of Infrastructure infrastructure & final maintenance plan infrastructure and approval of 5 Year
condition developed completed Maintenance & Recapitalisation Plan.
20% condition improvement of
infrastructure as per prioritised Five-Year
infrastructure maintenance and
recapitalisation plan
19SANParks MTEF Budget
202021/22 Budget - context
• The SANParks 2021 MTEF Budget is set within a context of an uncertain economic
environment exacerbated by the devastating impact of Covid-19 on Tourism
revenues
• International travel restrictions, lockdowns and discovery of new Covid-19 strains
are expected to continue to have a negative impact on our Tourism revenues over
the medium term. (Tourism revenue constitutes over 76% of SANParks total
revenue).
• In light of the above challenges, SANParks initially projected a deficit of R 645,058
million which was further reduced to R488,723 million by delaying certain
infrastructure and land development plans.
• As a schedule 3A public entity SANParks is not allowed to budget for a deficit
unless approval is granted by the National Treasury (SANParks is still awaiting
such approval from the National Treasury).
21Budget alignment to strategic outcome- orientated goals
2019/20 2020/21 2021/22 2022/23 2023/24
No Goal Expenditure Esimate budget Budget Budget
Sustainable biodiversity and cultural heritage
across land and sea delivers benefits for the people
of South Africa and the world, now and in the
1 future 803,290,852 882,821,392 1,598,117,257 1,290,832,971 1,373,818,919
2 Improved, diverse responsible tourism 780,412,315 258,386,749 411,351,161 405,834,572 427,410,330
Sustainable socio- economic development
programme that ensures delivery of benefits to the
land claimants, historically disadvantaged
3 communities and the people of South Africa 30,504,716 193,790,062 126,632,039 173,929,102 183,175,856
Sustainable and transformed organisation through
4 revenue, people, systems and business processes 927,851,775 818,224,705 616,915,118 1,028,221,726 1,068,525,826
Total 2,542,059,658 2,153,222,908 2,753,015,575 2,898,818,371 3,052,930,931
22Alignment to strategic outcome- orientated goals
• Conservation as the core function of SANParks is allocated an amount R4.262 billion
over the MTEF to provide leadership in biodiversity and cultural heritage
conservation
• For Tourism operations an amount of R1.244 billion is allocated over the MTEF.
• R483,736 million is allocated over the MTEF to ensure sustainable socio- economic
development programme.
• An amount of R2, 713 billion is allocated over the MTEF for HR, ICT, and Finance
components.
23Projected Income and Expenditure over the MTEF
Projected Income Statement
Actual Forecast Budget Budget Budget
2019/2020 2020/2021 2021/2022 2022/2023 2023/2024
A001 - Conservation Fees (760,575,265) (127,466,653) (289,740,416) (967,857,721) (1,016,250,607)
A005 - Concession Fees (141,167,294) (52,188,437) (64,078,278) (188,047,117) (197,449,473)
A010 - Retail Gross Profit (40,273,518) (14,713,714) (35,076,470) (32,615,000) (42,646,000)
B010 - Tourism income (945,105,318) (372,924,966) (679,520,766) (1,194,129,057) (1,253,835,510)
C010 - Other income (245,468,486) (92,557,780) (243,734,491) (242,997,089) (267,296,798)
D010 - Grant: Conservation - DEA (552,897,934) (1,143,287,826) (340,001,476) (501,080,000) (521,951,548)
D020 - Grant: Roads - DEA (13,602,609) (14,350,431) (15,140,000) (15,700,000) (16,390,435)
D030 - Grant: Forestry - DEA (21,496,522) (22,678,261) (23,924,348) (24,809,565) (25,900,870)
Total Income (2,720,586,945) (1,840,168,067) (1,691,216,245) (3,167,235,549) (3,341,721,241)
Total Expenditure 2,582,052,564 2,342,308,195 2,384,524,754 3,060,856,665 3,229,530,617
M010 - Human resource costs 1,328,938,110 1,315,808,185 1,289,962,263 1,620,392,053 1,701,411,656
M020 - Maintenance costs 171,297,813 112,900,422 156,296,760 273,219,021 286,879,972
M030 - Depreciation 171,361,009 198,188,528 172,734,610 204,247,917 214,460,313
M040 - Operating Costs 910,455,632 715,411,059 765,531,121 962,997,674 1,026,778,676
Net Operating (Income)/Deficit before Interest (138,534,381) 502,140,128 693,308,508 (106,378,884) (112,190,624)
M050 - Interest Received (72,969,145) (60,463,450) (46,980,000) (48,389,400) (49,841,082)
M055 - Finance Costs 15,331,523 20,451,311 13,628,209 10,902,567 7,631,797
Net Operating (Income)/Deficit (196,172,003) 462,127,989 659,956,717 (143,865,717) (154,399,909)
P020 - Grant: Land Acquisition - - (92,233,753) (21,380,860) (22,231,739)
P030 - Sales Fauna & Flora - LDV (6,138,326) (4,000,000) (4,000,000) (6,000,000) (8,000,000)
P060 - Donation (46,794,812) (65,000,000) (75,000,000) (95,000,000) (105,000,000)
Net (Surplus)/Deficit (249,105,142) 393,127,989 488,722,964 (266,246,577) (289,631,648)
24Projected Income
• The assumption is that that annual revenues will be a fifth (20%) of previous revenues
given the slow recovery of the international tourism market.
• The total income for 2021/22 financial year is projected at R2, 046 billion which is 25%
lower than 2019/20 revenue. Included in the revenue is the EPWP funding of
R354,863m, which is exclusively appropriated and therefore needs to be excluded from
the revenue available to fund the operations of SANParks. With the exclusion of EPWP
funding, the total projected revenue drops to R1, 725 billion, this is 37% lower than
2019/20 revenue.
• Conservation fees budget represents an average of 38% of the 2019/20 actual figures.
The 38% has factored in a 5% annual tariff increase and an adjustment of conservation
fees received from international visitors to 30% of the 2019/2020 actuals. 85% of
conservation fees are traditionally derived from international visitors who are charged
higher fees (SANParks utilises a differential fee model).
• The concession fees budget takes into account the impact of COVID-19, the existing
relief measures that were approved by the Board and National Treasury which have not
yet been accounted for in the 2021 financial year. Depending on the recovery of the
tourism sector and the impact of the 2nd and the expected 3rd wave, it is anticipated
that there is a risk of further relief measures being requested by concessionaires who
are particularly dependent on international visitors; however, this has not yet been taken
into account for the 2021/22 FY.
25Projected Income
• Retail gross profit’s revenue is made up of essential goods and curios, with international
tourists mainly purchasing curios which attract higher pricing and margins and the domestic
market purchasing essential goods (the impact of fewer international visitors is expected to
have an impact of 30 – 40% reduction in revenue). Retail gross profit represent 87% of
2019/20 figures, with a 3.2% inflation rate increase it is therefore adjusted down to R35, 076
million.
• The tourism income of which majority is for accommodation was reduced down to R679,
521 million from the initial R777, 160 million projected in December 2020. The decline on
revenue received from accommodation is not expected to be extreme as the assumption is
that the domestic market will maintain occupancy at average levels. The impact of the
slower recovery of the international market will be felt more keenly on conservation fees for
reasons indicated earlier.
• Included in other income is the third party income in the instances where SANParks acts as
implementing agent and also income from special projects.
• The 69% decrease on Operational grants in the 2020/21 financial year, is mainly due to
SANParks having received Covid-19 relief funding from DFFE, to cover operational costs to
the value of R835, 652 million excluding VAT. This additional funding is not available in the
outer years, hence the decrease in operational grants.
26Projected Expenditure
• The main components of the expenditure are human capital and operating costs, which
make up 51% and 36% respectively of total expenditure, including EPWP (54% and 32%
respectively, excluding EPWP)
• The total budgeted expenditure for 2021/22 is R2, 753 billion (including finance costs) that is
17% higher than the forecast for 2020/21. Included in the budget for 2020/21, however, are
the costs associated with the EPWP projects (R354, 863m). If this is excluded, total
expenditure is R2, 398 billion (including interest). Maintenance is the main contributing
factor for the higher budget, due to the implementation delays in 2021.
• The total Human Capital costs excluding EPWP is R1, 289 billion which is 6% higher than
the 2020/2021 forecast.
– Included is the R1, 145 billion of permanent and fixed term contracts employees and
the difference being variable costs which includes post-retirement benefit, overtime and
public holidays, and other salary related costs.
– In 2021 financial year, no cost of living increase and performance bonuses were
budgeted, however the proposed 2021/22 human capital budget includes CPI for bands
A to D, and CPI minus 1% for bands E and F.
27Projected Expenditure
• Maintenance budget for 2021/22 is 69% higher than the forecast of 2020/2021 due to the
delays in spending the maintenance budget in 2021
• Depreciation is 10% lower than the forecast of 2020/21, and the expected depreciation is
R178, 334 million. SANParks plans to significantly reduce capital expenditure hence the
anticipated reduction in depreciation for the following financial year.
• The operational costs on the 2020/21 budget provided for CPI of 4%. The other major
emerging expenditure item is Personal Protective Equipment (PPEs).
• The PPE expenditure during 2020/2021 year to date amounts to R28, 624 million and this
includes almost R9 million spent to support our social partners.
• Included in the operational costs is R10 million which is likely to increase when all the
workers go back to their stations.
• The operational costs represent a 31% increase from the forecast of 2020/2021.
28Net Deficit
• Net operating deficit before interest and tax has increased by 38% from the forecast of
2020/2021 due to an increase in total expenditure, when compared to a decrease in
revenue, for the 2021/2022 financial year. The percentage decrease in revenue is
attributable to the Covid Relief Fund received during the 2020/2021 financial year, which is
not available in the 2021/2022 financial year. Net operating deficit has increased by 43%
Year on year and it includes interest earned on operating and infrastructure funds held in
authorised financial institutions.
• The interest received is expected to decrease by 22% from the current year forecast due to
the decline in revenue whereas finance costs are expected to decrease due to reduced
finance charges, as the capital outstanding for finance leases decreases with the servicing
of debt. There are no plans to replace these assets and the operational impact of this is yet
to be determined.
• The net deficit is arrived at after adding income from wild animal sales and donations, to net
operating income. The budget for 2021/22 reflects a net deficit of R488, 723 million after
converting the cash available for land and infrastructure grants to operational grant.
• The budget for capital expenditure is R18 million for the 2021/22 financial year. This is a
decrease of 28% from the previous year.
29SANParks Strategic Risks
30RISK MANAGEMENT PLAN AND PLANNED MITIGATIONS
OUTCOMES KEY RISKS RISK MITIGATIONS
Outcome Goal 1: Sustainable Loss of Biodiversity, Heritage & 1. Relevant international liaising and influence on key bodies
Biodiversity and Cultural Heritage Land 2. Rhino & Elephant management: Rhino Management Strategy & Elephant
across land and sea delivers Management Plan; Ops Rhino - NATJOINTS Strategy implemented - KNP; 4.
benefits for the people of South Implementation of a Ranger Capacity Building Strategy; Implementation of counter
Africa and the world, now and in poaching rhino poaching strategy ("road map"); Park management plans including the
the future Safety & Security Plans
3. Effective & efficient access and movement controls at all entrance gates: Internal
integrity & consequence management.
4. Implementation of SANParks Biodiversity Monitoring Programme and State of the Area
Integrity Assessments; Comprehensive Alien Invasive Plants species Program
5. SANParks Climate Change Preparedness Strategy
6. Monitoring of key slow and fast ecological variables (e.g. river flows, vegetation
change, key species, etc.)
31RISK MANAGEMENT PLAN AND PLANNED MITIGATIONS
OUTCOMES KEY RISKS RISK MITIGATIONS
Outcome Goal 1: Sustainable Loss of Biodiversity, 7. Publication and dissemination of research outputs ; Collaborative networks (e.g. leverage
Biodiversity and Cultural Heritage & Land research expertise and funding through external networks;
Heritage across land and sea 8. Management Effectiveness Tracking Tool (METT)
delivers benefits for the people 9.Disaster Management
of South Africa and the world, 10. Update Inventories of cultural heritage objects ; MOU with Repository institutions on cultural
now and in the future heritage objects
11. Embark on land verification process; Collaborate with DFFE for a land proclamation process
Outcome Goal 2: Improved Inability to restore and 1. Educating the youth with conservation values through the Environmental Education
Diverse Responsible Tourism sustain tourism programme
2. Establishment of Tourism Revenue Task Team
3. Tourism Strategy Growth Plan
4. Expanding product diversity to attract new domestic markets
5. Crises Communication Management Plan
6. Hospitality Improvement Initiative
7. Customer Feedback Monitoring system
8. CSI managed at 80%
9. Marketing Initiatives (e.g. stokvel) - primarily targeting new markets & non-traditional markets
10. Tourism Grading implemented
32RISK MANAGEMENT PLAN AND PLANNED MITIGATIONS
OUTCOMES KEY RISKS RISK MITIGATIONS
Outcome Goal 4: Sustainable and Inability to attain & maintain 1. Only funded mandate included in the strategic document & APP of the organisation.
Transformed Organisation through Financial sustainability 2. The budget is approved by the Board
Revenue, People, Systems and 3. Financial Report is submitted to the Board with analysis of revenue vs expenditure and
Business Processes corrective action is taken.
4. Public Finance ManagementAct provides guidance on borrowing funds
5. Financial Strategy document is in place.
6. Investment committee in place to assess projects.
7. There is Financial Delegation framework and policies and procedures to ensure
expenditure and revenue management.
8. Cost containment measures are put in place from time to time to ensure that
expenditure is aligned to the revenue available.
9. There is also a Covid task team that monitors the financial impact of Covid.
33RISK MANAGEMENT PLAN AND PLANNED MITIGATIONS
OUTCOMES KEY RISKS RISK MITIGATIONS
Outcome Goal 4: Sustainable and 1. Outsource routine maintenance to facilities management company
Transformed Organisation through Inadequate Infrastructure 2. Transversal contracts with DPW Mpumalanga
Revenue, People, Systems and 3. Term-agreements to manage maintenance
Business Processes 4. Commercialisation of projects that require infrastructure for income generation.
5. Capacitate project management
6. Capacitate technical services in parks
Outcome Goal 4: Sustainable and Inadequate and demoralised 1. Frameworks, Policies & Plans in place : Attraction and Retention policy; Succession
Transformed Organisation through human capital Planning framework ; SANParks Competency Framework; Career Management policy ;
Revenue, People, Systems and Learning & Development Policy; Recruitment and Selection policy; Performance
Business Processes Management System and Policy; Conditions of Service Policy; Disciplinary and
Grievance policy and Procedures
2. Career Ladders initiative developed for Conservation and Technical departments +
Junior Scientist Programme
3. Competencies for managers developed and integrated in the Performance
Management System.
4. Employment Equity Plan developed and implemented
5. South African Board for People Practices (SABPP) Audit report - Assist in improving
HCM efficacies
6. Limited budget of R5m to fill critical vacant posts (Priority list)
7. Climate Survey and Culture and values review
34RISK MANAGEMENT PLAN AND PLANNED MITIGATIONS
OUTCOMES KEY RISKS RISK MITIGATIONS
Outcome Goal 4: Sustainable and Non -compliance with prescripts 1. Ethics management
Transformed Organisation through and corporate governance best 2. Ethics Governance
Revenue, People, Systems and practice 3. Compliance management
Business Processes 4. Policies, procedures and protocols
Outcome Goal 4: Sustainable Ineffective & inefficient Business 1. Implementation of the IT Strategy implementation plan: Upgrade of SANParks Wide
and Transformed Organisation Processes Area Network in progress; Upgrade of the BPM System; Implemented a Gate Access
through Revenue, People, System for Table Mountain National Park (TMNP) and West Cost National Park (WCNP);
Systems and Business Processes Vulnerabilities at server environment conducted.
2. Quarterly roll out of identified business processes
3. Annual Procurement Plan & Demand Plan - Quarterly progress reporting
4. Monitoring and reporting on Irregular Expenditure
5. Appointment of a Legal Panel
6. Appointment Loss Control Officer
35RISK MANAGEMENT PLAN AND PLANNED MITIGATIONS
OUTCOMES KEY RISKS RISK MITIGATION
Outcome Goal 3 : Ineffective 1. Shareholder Agreement in place
Sustainable socio economic Stakeholder 2. Stakeholder Engagement Strategy developed including a Communications Plan
development programme that Engagement 3. Media relations including Community radio campaign, Community forum Imbizos,
ensures delivery of benefits to 4. SET Strategy & implementation plan programme targeting neighbouring communities as key
the land claimants , historically
stakeholders and beneficiaries
disadvantaged communities and
5. Policy statement on damage causing animals developed
the people of SA
6. People and Parks programme
Outcome Goal 4: Sustainable
7. COVID 19 Food relief programme
and Transformed Organisation
8. Engage Parliament on quarterly basis
through Revenue, People,
9.Joint Management Board meetings ( on claimed land/ Descendants Forum); Park Forums
Systems and Business
10. Strategic Partnerships (Dept. of Tourism, Tourism SA, Academic Institutions, Health Dept.)
Processes
11. Timely communication with DFFE and Treasury re funding
36RISK MANAGEMENT PLAN AND PLANNED MITIGATIONS
OUTCOMES KEY RISKS RISK MITIGATION
Outcome Goal 4: Implementing 1. Transformation Strategy and implementation plan developed and implemented including a climate
Sustainable and Transformed transformation at a survey and culture and values review
Organisation through slow rate 2. Implementation of the SET Strategy
Revenue, People, Systems 3. Employment Equity Plan
and Business Processes 5. BBBEE improvement . Preferential procurement – opportunities for SMMEs, QSEs and EMEs
6. Panel of consultants appointed to support black-owned small companies
7.Land claim post-settlement agreements - Beneficiation Scheme
8. Diversity workshops
37THANK YOU!
Presenter Name
Branch Name
Department of Forestry, Fisheries and the Environment
Tel: | Mobile:
Website:
Address:
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