REPUBLIC OF NAMIBIA
The Government`s Accountibility Report 2010/2011
“Fiscal Sustainability and Job-Creating Growth - Doing More with Less”
CONTENTS FOREWORD ...... 3 INTRODCUTION...... 6 SUMMARY OF THE ACHIEVEMENTS AND CHALLENGES ...... 7 BUDGET OUTTURN ...... 9 OFFICE OF THE PRESIDENT ...... 18 OFFICE OF THE PRIME MINISTER ...... 22 NATIONAL ASSEMBLY ...... 37 OFFICE OF THE AUDITOR-GENERAL ...... 42 MINISTRY OF HOME AFFAIRS AND IMMIGRATION ...... 52 DEPARTMENT OF POLICE ...... 58 MINISTRY OF FOREIGN AFFAIRS ...... 64 MINISTRY OF DEFENCE ...... 75 MINISTRY OF FINANCE ...... 80 MINISTRY OF EDUCATION ...... 99 NATIONAL COUNCIL ...... 111 MINISTRY GENDER EQUALITY AND CHILD WELFARE ...... 118 MINISTRY OF HEALTH AND SOCIAL SERVICES...... 123 MINISTRY OF MINES AND ENERGY ...... 132 MINISTRY OF JUSTICE ...... 141 MINISTRY OF REGIONAL AND LOCAL GOVERNMENT, HOUSING AND RURAL DEVELOPMENT ...... 148 MINISTRY OF ENVIRONMENT AND TOURISM ...... 158 MINISTRY OF TRADE AND INDUSTRY ...... 164 MINISTRY OF AGRICULTURE, WATER AND FORESTRY ...... 176 NAMIBIAN CORRECTIONAL SERVICE ...... 199 MINISTRY OF FISHERIES AND MARINE RESOURCES ...... 204 DEPARTMENT OF WORKS ...... 213 DEPARTMENT OF TRANSPORT ...... 220 MINISTRY OF LANDS AND RESETTLEMENT ...... 232 NATIONAL PLANNING COMMISSION ...... 240 MINISTRY OF YOUTH, NATIONAL SERVICE, SPORT AND CULTURE ...... 252 ELECTORAL COMMISSION ...... 268 MINISTRY OF INFORMATION AND COMMUNICATION TECHNOLOGY ...... 272 ANTI-CORRUPTION COMMISSION ...... 281 MINISTRY OF VETERANS AFFAIRS ...... 288
2 FOREWORD
The presentation of this Accountability Report is to promote transparency, accountability and delivery of the promises we make to the people of Namibia.
The Report gives an overview of the performance of every Government Office/Ministry/Agency (O/M/A), with progress on money spent, targets achieved and an explanation of poor performance where it occurred.
This publication also reports on the performance of State Owned Enterprises in the 2010/11 financial year. The economic contribution of SOE‟s can be enormous, this being the reason that government will continue to support and monitor the performance of the SOE‟s. In this regard, all SOEs will be required to submit accountability reports as part of the report to O/M/As.
The budget execution rate in the 2010/11 financial year was 96%, which is commendable but a slight decrease from the 98% achieved in 2009/10. However, the execution rate only signals the level of money spent, and therefore emphasis will be placed on what has been achieved and the impact thereof (the outcome of the spending).
The following illustrate some of the more specific achievements of the Government in 2010/11 against set output and outcome targets.
224,276 children were included in the National School Feeding Program to Orphans and Vulnerable Children, exceeding the target of 200,000 children set for 2014. A total of 181 Health facilities provided ART treatment, exceeding the target of 104 facilities by March 2013. The Government acquired over 300,000 hectares of land for re-settlement, exceeding the annual target of 280,000 hectares. 1,331 houses were constructed under urban/rural single quarter transformation and social housing, exceeding the target of 1,300 houses per year. Average total debt as a ratio of GDP was maintained at 15.6% over the MTEF against the target of 30% and below.
This shows that O/M/A‟s are delivering on some of their key plans as set out in previous budget frameworks.
Our budgeting, and accountability thereof, continues to be people centred, results driven and forward looking with the view to ensure that we deliver on Government‟s commitments to
3 reduce poverty, and unemployment and improve the quality of lives of all Namibians as envisaged in vision 2030.
SAARA KUUGONGELWA-AMADHILA, MP MINISTER OF FINANCE
4 INTRODUCTION
This publication represents the 5th Government Accountability Report. The Accountability Report is a key tool in improving Government transparency and accountability, by laying out what has been achieved and which targets have not been met and what needs to be done to achieve future set goals.
It aims to improve the financial administration and performance reporting of the state. The report includes accountability report in respect of the budget allocation for 2010/11 and the budget outturn for 2011/12 and sets performance targets and results achieved against those targets for the 2010/11 financial year; the 2011/12 Preliminary outturn (April-December); and State Owned Enterprise performance, which is inclusive of their long-term investment plans. It strives to communicate to the Namibian people how well O/M/As have done, the tangible public benefits O/M/As have produced and the forward looking strategies we are employing to achieve and maintain excellence.
We hope and trust that this book will serve its purpose of giving an insight into the implementation of Government‟s programmes and projects.
5 SUMMARY OF THE ACHIVIEMENTS AND CHALLENGES
In this section, the report summarises some of the achievements and challenges during the period ending financial year 2010/11. Whilst, achievements are recorded, there are also challenges which hamper the speed implementation of government projects.
The total budget for the financial year under review amounted to N$28.9 billion. The actual expenditure recorded amounted to N$27.7 billion, reflecting a budget execution rate or implementation rate of 96.0 per cent. The execution rate among the votes remained uneven, some recording high rates executions, some overspending of their allocated funds and some recording under performance, as per table below:
Budget performance among Votes Measure of Overspending Above Average Below Average Spending (above TOTAL Spending Spending budget) No of Votes 5 20 6 31
Achievements
The following is the summary of some of the achievements:
The monitoring of the implementation of Cabinet decisions has improved . Almost 100% of various communities and traditional leaders throughout the country have been consulted. Most O/M/As and Regional Councils completed their strategic plans and annual plans The target was achieved with more than 40 weeks of training provided. The following courses were offered to staff members of O/M/As and Regional Councils and local authorities: NIPAM rolled out various courses to O/M/As. The EDRMS Project Office was successfully implemented the system in 4 OMAs Parliamentary outreach programme through its Standing Committees conducted seventy five (75) public hearings/meetings and more than a thousand citizens participated and contributed in their discussions. Visas are issued within ten (10) days . The Ministry of Defence managed to recruit 4400 new members; The debt-to-GDP ratio was maintained below the fiscal target of 30 per cent. The budget average deficit-to-GDP ratio over the MTEF amounted to 1.2 percent, which was significantly below the 5 percent benchmark. Percentage of learners achieving D or better in Mathematics, Science and English in Grade 10 and Grade 12 increased. 83% of orphans were registered to receive social grants system.
6 The number of State facilities providing ART treatment increased to 181, reaching 95,670 patients at end of March 2011. Development of the SME sector, and their contribution to GDP increased. Increased water provision to households of all rural communities Provision of road and transport infrastructure to enhance economic development. Development of youth centres for skills development. The ACC had managed to create 86% investigative capacity
Challenges
Despite the above-mentioned achievements, some set-backs have been recorded, and include:
Staff turnover and unfilled vacancies lead to staff shortages and affect service delivery. The delay by O/M/As in submitting financial statements to the Office of the Auditor General. The length of time it take for the Police to complete dockets, as one docket could cover more than one crime. Impact of global crises on domestic economy, and its effect on State revenue. Limited funding allocated to implement some of the programmes and projects Demand for additional funding by O/M/As and SOEs, above what is available. Lack of key health professionals in health institutions. Delays in criminal matters caused by appellants not applying timeously for legal representation and incomplete court records. Scarcity of technical skills. Delays in finalisation of feasibility studies and documentation, and late appointment of contractors hampered the implementation of capital projects. Substandard performance by contractors. Increase in commercial land prices.
Note: Detailed achievements and challenges can be found under each vote’s accountability report presented hereunder.
7 BUDGET OUTTURN 2010/11
Budgeted Revenue and Expenditure
Total budgeted Revenue and grants 2010/11 was expected to reach N$22.7 billion for 2010/11, a reduction from 2009/10 levels due to an expected decline in taxes on international trade under the ambit of the SACU.
The budgeted expenditure for 2010/11 amounted to N$28.9 billion, an increase of 13.4% from the 2009/10 budget of N$24.9 billion. This increase illustrates the Governments expansionary fiscal policy which has helped to cushion the economy from the global economic downturn and maintain domestic economic performance. Of the N$28.9 billion budget, N$22.35 billion was allocated to operational expenditure, N$5.22 billion to development expenditure and N$1.3 billion was spent on statutory expenditure.
Given these levels of revenue and expenditure, the Government‟s budget balance was estimated to reach -6.3% of GDP in 2010/11.
Revenue Outturn
Table 1 below gives a summary of revenue and grants over the last 4 financial years. Total Revenue and Grants outturn for 2010/11 amounted to N$23.3 billion, which is more than budgeted for and N$800 million below 2009/10 actual collection. The slowdown in total revenue and grants underpins the urgency for implementing revenue base-broadening strategies, constraining substantial expenditure increases and implementing credible tax administration reforms. It is to be noted, however, that Government has, in recent years, pursued a revenue-enhancing policy, driven by strengthening revenue collection and administration through forensic tax audits, and tax assessment.
Since 2008/09, revenue growth has been weak in response to the adverse effects of the external economic environment, which impacts on most tax categories, especially taxes on international trade.
Taxes on income and profits, however, have shown a more encouraging trend, increasing by almost 50% between 2007/08 and 2010/11. Domestic taxes on goods and services have also shown an upward trend since 2010/11.
Tax Revenue continues to be the main element of revenue, accounting for over 92.5% of total revenue and grants in 2010/11, around the same proportion as in 2009/10.
8 Table 1: Total Revenue and Grants, 2007/08 – 2010/11
2007/08 2008/09 2009/10 2010/11 N$ Millions Actual Actual Actual Actual Taxes on income and profits 6 730 8 070 8 137 9 910 Taxes on property 149 171 222 139 Domestic taxes on goods and services 4 081 4 339 5 162 5 285 Taxes on international trade 8 085 8 502 8 585 5 975 Other taxes 138 142 167 208 Total Tax Revenue 19 183 21 224 22 273 21 517 Entrepreneurial and Property income 971 1 584 1 112 1 229 Fines and forfeitures 25 36 35 38 Administration fees and charges 469 503 421 440 Total Non-tax revenue 1 411 2 123 1 568 1 706 Return on Capital from lending and Equity 16 17 5 4 Total Revenue (own sources) 20 611 23 364 23 846 23 227 Grants 78 83 201 24 Total Revenue and Grants 20 688 23 447 24 047 23 251 As % of GDP 32.3 31.8 31.2 27.8
Table 2 below gives a more detailed analysis of 2010/11 revenue and grants, by comparing actual vs. budgeted revenue and grants. The actual outturn was 2.4% higher than budgeted which is encouraging to note, and highlights the Governments pragmatic approach to budgeting and revenue forecasting.
As can be seen, most categories performed better than expected, with only taxes on property, return on capital from lending and equity and grants showing large negative deviations (however, these three categories represent relatively small levels of revenue).
Taxes on income and profits was the main reason behind overall revenue being greater than expected, with non-mining company taxes and income tax on individuals performing particularly well.
Tax collection over 2011/12 has so far been performing well, with 75% of tax revenue collected in the first 9 months of the financial year (and hence on track for 100% collection of estimated revenue).
9
Table 2: Budgeted Revenue vs Actual Revenue and Grants
2010/11 2010/11 Deviation 2011/12 2011/12 N$ Millions Budgeted Actual (%) Budgeted Preliminary (April-Dec) Taxes on income and profits 9 358 9 910 5.9 10 412 7 708 Taxes on property 238 139 -41.6 233 137 Domestic taxes on goods and 5 286 5 285 0.0 7 394 5 667 services Taxes on international trade 5 975 5 975 0.0 7 137 5 353 Other taxes 199 208 4.5 230 165 Total Tax Revenue 21 056 21 517 2.2 25 406 18 728 Entrepreneurial and Property 896 1 229 37.2 926 725.5 income Fines and forfeitures 40 38 -5.0 61 147.1 Administration fees and charges 431 440 2.1 415 273.9
Total Non-tax revenue 1 367 1 706 24.8 1 402 1146.5 Return on Capital from lending 11 4 -63.6 20 2.4 and Equity Total Revenue (own sources) 22 434 23 227 3.5 26 808 1148.9
Grants 265 24 -90.9 24 111.4 Total Revenue and Grants 22 699 23 251 2.4 26 852 19 988.3
Expenditure Outturn
Of the N$28.9 billion budgeted for 2010/11, total spending amounted to N$27.7 billion, 96.0% of the budgeted amount. This is an impressive rate of execution and demonstrates that the Government is delivering on its spending commitments as set out in the budget.
Whilst the overall execution rate is very high, the individual execution rates of O/M/As show a more mixed picture. This is highlighted in the graphs below which shows that some Ministries under-spent, whereas other over-spent by a similar margin.
The graphs also highlights that the majority of O/M/As under-spent. One of the common reasons given for under-spending was the inability recruit appropriate staff, either due to a lack of appropriate applicants for a post, or simply due to bureaucratic delays in the
10 Government recruitment and appointment process. The lack of appropriate skills for Government posts is part of a wider skills issue across the economy which the Government is cognisant of and aims to address through the budget and National Development Plans. Bureaucratic delays within Government, on the other hand, represent a bottle neck that can and should be tackled more easily and in a shorter space of time.
Table 3: Total Budgeted Expenditure vs Actual Expenditure, 2010/11 (N$ million) Vote Vote Estimates Actuals Deviation 01 President 360.4 321.8 -10.7% 02 Prime Minister 164.5 146.5 -11.0% 03 National Assembly 117.5 104.0 -11.5% 04 Auditor General 52.9 52.6 -0.6% 05 Home Affairs and Immigration 174.3 195.0 11.9% 06 Police 1 890.4 1833.7 -3.0% 07 Foreign Affairs 505.5 541.2 7% 08 Defence 3 014.8 3 006.4 -0.3% 09 Finance 3 967.3 3 311.4 -16.5% 10 Education 6 476.4 6 743.9 4% 11 National Council 51.0 41.9 -17.9% 12 Gender Equality and Child Welfare 521.7 453.1 -13.2% 13 Health and Social Services 2 593.0 2 628.3 1% 14 Labour and Social Welfare 1 140.2 1 097.6 -3.7% 15 Mines and Energy 177.2 156.5 -11.7% 16 Justice 326.7 338.4 3.6% 17 Regional and Local Government, Housing and RD 958.7 958.8 0.0% 18 Environment and Tourism 347.9 318.9 -8.3% 19 Trade and Industry 490.7 401.9 -18.1% 20 Agriculture, Water and Forestry 1 518.7 1 349.6 -11.1% 21 Prisons and Correctional Services 419.5 415.7 -0.9% 22 Fisheries and Marine Resources 322.2 268.1 -16.8% 23 Works 462.9 401.6 -13.2% 24 Transport 1 308.8 1 238.7 -5.4% 25 Lands and Resettlement 190.2 179.3 -5.7% 26 National Planning Commission 134.0 118.9 -11.2%
11 Vote Vote Estimates Actuals Deviation 27 Youth, National Service, Sport and Culture 459.3 430.4 -6.3% 28 Electoral Commission 182.0 154.4 -15.2% 29 Information and Communication Technology 251.5 232.6 -7.5% 30 Anti-Corruption Commission 36.8 24.7 -32.8% 31 Veterans Affairs 274.5 260.9 -4.9% Total 28 891.5 27 726.8 -4.0%
Over-spending was only observed in a few cases in the 2010/11 budget, suggesting that O/M/As have a pragmatic approach to budgeting. Reasons for overspending include unanticipated spending on remuneration, re-grading of staff and exchange rate fluctuations (which affected spending on overseas missions).
Graph 1: Execution rate vote 1 – 15
120.0%
100.0%
80.0%
60.0%
40.0%
20.0%
0.0% Vote Vote Vote Vote Vote Vote Vote Vote Vote Vote Vote Vote Vote Vote Vote 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15
12
Graph 2: Execution rate vote 16 – 31
120.0%
100.0%
80.0%
60.0%
40.0%
20.0%
0.0% Vote Vote Vote Vote Vote Vote Vote Vote Vote Vote Vote Vote Vote Vote Vote Vote 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31
Of course, spending the budget allocated is only a basic measure of whether the Government is fulfilling its role. The money spent is a means to an end, namely, the outcomes that the Government aims to achieve. The detailed analysis by vote contained in this report highlights progress on the Governments outcomes.
Provisional 2011/12 Execution Rate
Although data on the 2011/12 budget execution will not be finalised until the financial year is over, initial data on spending between April and December 2011 (including commitments for the financial year) can be analysed to assess progress on the budget.
The table below shows total expenditure up to December 2011 in the 2011/12 financial year, including committed spending. The table shows that on the whole, 65.6% of the total budget allocation has been spent or committed, meaning there is still around one third of the budget to be spent.
13 Again, the picture by vote shows a wide variation in performance, with some votes having spent close to their budget ceiling, whilst others show execution below half of their allocation. Efforts O/M/As to ensure they deliver on their budget commitments and reach an appropriate level of execution.
Table 4: Provisional 2011/12 Budget Execution Rate N$ 000 Total Expenditure Estimates Execution Vote Plus N$ (%) Outstanding Commitments 01 President 290.6 220.0 75.7 02 Prime Minister 267.8 135.8 50.7 03 National Assembly 127.0 78.2 61.6 04 Auditor General 90.0 57.1 63.5 05 Home Affairs and Immigration 243.6 140.9 57.8 06 Police 2 069.6 1 190.8 57.5 07 Foreign Affairs 545.6 461.8 84.6 08 Defence 3 263.7 2 569.7 78.7 09 Finance 5 502.7 3 214.4 58.4 10 Education 8 612.0 5 311.6 61.7 11 National Council 54.5 33.2 61.0 12 Gender Equality and Child Welfare 554.7 369.6 66.6 13 Health and Social Services 3 423.0 2 440.6 71.3 14 Labour and Social Welfare 1 200.4 935.1 77.9 15 Mines and Energy 217.0 98.5 45.4 16 Justice 402.7 314.9 78.2 Regional and Local Government, Housing and 17 RD 1 445.8 1 128.3 78.0 18 Environment and Tourism 798.9 423.9 53.1 19 Trade and Industry 558.1 247.0 44.3 20 Agriculture, Water and Forestry 2 295.3 1 384.0 60.3 21 Prisons and Correctional Services 442.3 307.1 69.4 22 Fisheries and Marine Resources 238.9 170.5 71.4 23 Works 535.1 355.8 66.5 24 Transport 2 454.0 1 456.6 59.4 25 Lands and Resettlement 226.2 151.4 67.0
14 Total Expenditure Estimates Execution Vote Plus N$ (%) Outstanding Commitments 26 National Planning Commission 278.8 246.3 88.3 27 Youth, National Service, Sport and Culture 509.1 363.7 71.4 28 Electoral Commission 113.5 33.9 29.9 29 Information and Communication Technology 318.3 202.0 63.5 30 Anti-Corruption Commission 63.4 27.5 43.3 31 Veterans Affairs 1 212.4 1 109.3 91.5
Total 38 354.9 25 179.7 65.6 Source Ministry of Finance
15
Graph 1, Preliminary Budget Execution, Votes 1-15 (April – December 2011, expenditure plus commitments)
120.0%
100.0%
80.0%
60.0%
40.0%
20.0%
0.0% Vote Vote Vote Vote Vote Vote Vote Vote Vote Vote Vote Vote Vote Vote Vote 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15
16
Graph 2, Preliminary Budget Execution, Votes 16-31 (April – December 2011, expenditure plus commitments)
120.0%
100.0%
80.0%
60.0%
40.0%
20.0%
0.0% Vote Vote Vote Vote Vote Vote Vote Vote Vote Vote Vote Vote Vote Vote Vote Vote 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31
The graphs above highlight the work that is required by certain O/M/As to reach their targeted expenditure by the end of the 2011/12 financial year. It should be noted that spending is not always consistent throughout the year, and capital projects often involve a large one-off expenditure. This explains some of the variation across O/M/As at December 2011.
17 OFFICE OF THE PRESIDENT
Vote 01
Overall Summary
The Office of the President for the period under review is on track to meet the three Ministerial targets. It is our belief that the capital project undertaken namely, the New State House, including Cabinet Chamber, Administration Block, Guest House, Staff Accommodation Quarters, Security Guard Premises and Presidential residence, has been successfully completed. The Office is also striving to have a 100% monitoring of Cabinet decision implementation, to ensure that they are implemented within six months during the period under review.
Ministerial targets
Target 1: 100% completion of construction of New State House by 2009/2010
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast 100% by 95% 95% 95% 98% 98% 2010/11
Maintenance will be an ongoing project. The Office has paid for the purchasing of twelve (12) undeveloped plots. Occupational rent was paid up to March 2009 including arrears. Landscaping was only implemented on a small scale and will continue in the next years. Under the New State House project, an additional guest house of which the construction started before the end of March 2009 and is expected to be finalized during 2011/12 financial year. Payments to be finalised during the next financial years are as follows:
Furniture and equipment for the Presidential Residence Landscaping Additional Guest House Annual occupational rent to the City of Windhoek Purchasing of 4 undeveloped plots
18
Target 2: Ensure 95% of Cabinet decisions are monitored to ensure their implementation within six months over the MTEF period
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast 95% by 70% 95% 95% 95% 98% 2010/11
The monitoring of the implementation of Cabinet decisions has improved due to filling of positions. Offices, Ministries and Agencies are regularly being sensitized to meet the set deadlines in which they should submit their feedback reports to the Cabinet Secretariat.
One hundred Twenty Two (122) Cabinet decisions were taken, of which Ninety seven (97) were fully implemented. Sixteen (16) decisions were ongoing and only nine (9) decisions were not implemented.
Target 3: 100% of various communities and traditional leaders throughout the country are consulted by His Excellency the President in order to establish their exact problems and needs
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Forecast Forecast Forecast 100% by 95% 95% 95% 98% 98% 2010/11
Almost 100% of various Communities and Traditional Leaders throughout the country have been consulted. This is an ongoing process that will always be conducted by His Excellency the President.
Revenue – 2010/11
Item Estimate Total Revenue Variance Variance N$ N$ N$ % Private Calls 3246 0 -3246 -100 Miscellaneous 173 601 358 376 184 775 48 Total 173 651 358 376 181529 51
19
Explanation for variances
Private Calls
Although the Office has budgeted for revenue on private telephone calls, this could not be realised due to the implementation of the credit limit system.
Miscellaneous
Miscellaneous revenue consists of the following: Parking fees; Selling of photos and used cell phones; Interest on department debts; and Booking of stale cheques for transaction of previous financial years charged against expenditure account combination.
Overall the Office collected 48% more revenue than estimated and that was due to stale cheques of previous financial years that could only be written back in 2010/11 financial year.
Budget execution 2010/11 (N$)
Programme Budget allocation Expenditure Variance % Protection and Defence of 116 141 000 85 301 000 27 Constitution
Delivery of Services 18 091 000 16 936 000 6 Intelligence 199 084 000 199 084 000 0 Office of the Founding 18 432 000 16 958 000 8 President Cabinet Secretariat 8 613 000 8 435 000 2 Total 2 044 220 000 326 714 000 9
20 Development Budget Execution – 2010/11 (N$)
Name of Project Amount Amount Variance %Varianc Appropriated Spent e New State House 72 394 000 49 119,000 23275 000 32 Intelligence 116 809 000 116 809 000 0 0 Renovation and 11 883 000 11 707 000 176 000 2 Construction of Founding President‟s Office Total 201 086 000 177 635 000 23 451 22
Explanation for variances
Protection and Defence of the Constitution programme has a variance of 27%. This is due to funds budgeted for occupational rent and purchase of land for which expenditure could not be incurred as planned. Some of the funds viremented from the Purchase of Land and Intangible subdivision to Construction could not be spent as planned because time did not allow the completion of the capital projects.
Delivery of Services has a variance of 6% which was on personnel expenditure not utilized in full. Most of the vacancies were only filled in the 2011/12 financial year. Furthermore less expenditure was incurred on goods and other services than expected.
The Office of the Founding President has a variance of 8% which was mainly due to development expenses that were not incurred as planned. This resulted from the delay in vetting process of sub-contractors and the incorporation of the proposed adjustment in the plan for the building to meet security requirements.
21 OFFICE OF THE PRIME MINISTER
Vote 02
Overall Summary
This Office achieved a budget execution rate of 89% in the 2010/11 financial year, which is lower than the 93% achieved in previous year (2009/10). This difference was due to challenges which were experienced during the year. The overall achievement of Ministerial Targets was very low, with the exception of NIPAM which met its target. However, much work was done in terms of laying the foundation for the future Most of the low achievement was because of the redirection or relooking at the outputs of the Ministerial Targets.
Other factors which contributed to the under spending were the following: vacancies which could not be filled during the financial year as well as staff turnover; funds for TESEF project which could not be utilised due to the finalisation of the process of TESEF stakeholder consultation; State Owned Enterprises Governance Council also could not utilise all its funds as there were still some consultancy work to be completed; funds for the Human Capital Management System (HCMS) project could not be utilised due to the arbitration regarding the system implementation, which was still in process; there was under expenditure on the NIPAM capital project too due to the delays in the tendering process for some required items; and savings on e-government and ICT training programme contributed to the low execution rate.
Ministerial targets
Target 1: Implementation of the performance management system (PMS) at 50% of Offices / Ministries / Agencies and 75% Regional Councils by 2011/12;
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast 50% in O/M/As by 2012 - 22% 1% 30% 50% 75% in Regional - 0 0 30% 75% Councils by 2012 Note that the ministerial targets changed as from 2009/10 that is why there are no measures under 2008/09.
22 The Process: The process of rolling out PMS to OMAs comprises of the following stages: strategic planning, annual planning, performance agreements, performance reviews and recognition and rewards.
So far, thirty two (32) OMAs out of thirty three (33) have completed their strategic plans and 16 out of 32 have completed annual plans for the year 2011/12. With regard to the Regional Councils, all have completed their strategic Plans and 6 Regional Councils have completed their annual plans for the financial year 2011/12. The process of developing annual management plans is ongoing in support of strategic plan execution and implementation of PMS.
Initially the process was limited to the provision of advice and supporting OMAs and Regional Councils to develop their strategic plans and annual plans.
Furthermore, at the initial stages, the process of developing strategic plans and annual plans were not linked to the performance agreement processes. The performance agreements framework also needed to be reviewed. Six OMAs were identified for pilot implementation from 2009/10, which are: Office of the Prime Minister, Ministry of Home Affairs, Ministry of Labour, Ministry of Works and Transport, Ministry of Regional, Local Government, Housing and Rural Development and Ministry of Finance. However, various challenges indicated below hampered progress in the facilitation and the roll out of PMS:
The slowness in rolling out PMS in many OMAs is partly due to the fact that PMS was not aligned to strategic planning from the outset and also that many OMAs did not have annual plans in place, which is a prerequisite of initiating performance management processes; Absence of PMS Policy resulted in OMAs reluctant to implement PMS; A Unit dealing with Performance Management (PMU) was set up to be a focal technical unit in guiding the roll out, but its capacity to roll out is insufficient to provide support to all OMAs/RCs at the same time and to build capacity in OMAs to drive the process themselves; Capacity building initiatives are not targeting teams in OMAs and Regional Councils and training need to be practical and less theoretical.
In order to ensure rapid results in rolling out the PMS in OMAs/RCs, the following are the recommended: PMS Policy to be finalised All OMAs/RCs to establish the Ministerial Implementation Teams (MITs) where they do not exist and these should be supported to play an active role;
23 Target 2: 25% implementation of the institutional framework on the Transformation and Empowerment Socio-economic Framework (TESEF) policy within the private and public sectors by 2011/12;
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast 25% by 2012 - 10% 10% 10% 10% Note that the ministerial targets changed as from 2009/10 that is why there are no measures under 2008/09.
The status quo with respect to the implementation of the TESEF remained. Although the Empowerment framework document was in place, not much was achieved in its finalisation due to the process of stakeholder consultation. The 10% achievement indicated above is based on the finalisation of the document by the consultant and on meetings held with stakeholders.
Target 3: Provision of at least 40 weeks of training programmes by the Namibia Institute of Public Administration and Management (NIPAM) to staff members of O/M/As and Regional Councils and local authorities by 2011/12
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast 40 weeks by 2012 - - 40 weeks 52 weeks 52 weeks Note that the ministerial targets changed as from 2009/10 that is why there are no measures under 2008/09. This target will also change in 2012/13 because this has been achieved.
The target was achieved with more than 40 weeks of training provided. The following courses were offered to staff members of O/M/As and Regional Councils and local authorities: Courses given are as follows:
New Ways of Thinking for 13 Regional Governors (One day); Strategic thinking and Management for 18 Permanent Secretaries (4 days); Strategic Thinking and Management for 35 Directors and Chiefs (4 days); Local Economic Development workshop (18 participants from Regional and local council); Leadership, innovation and change management (40 participants in two separate workshops each five working days); and Business process re-engineering, 2 workshops for 60 participants
24 The number of participants from O/M/As who confirmed to attend courses is less than 50% of the actual number of participants. There is a shortage of training staff and the current capacity of class rooms can only accommodate approximately 270 participants per day.
Penalty fees for late cancellation will be introduced. Selection and recruitment will be done in 2011/12 financial year. Construction of NIPAM Phase II will increase the class room capacity from 270 participants to 1000 participants per day and there will e-learning platform to increase coverage.
Funds transfers to and execution by NIPAM in 2010/11:
Total expenditure for 2010/11: Technical Costs N$ 1,233,820 Administrative Costs N$ 664,388 Employment Costs N$ 50,074 Total expenses N$ 1,948,282
Balance at the end of 2010/11 N$ 14,804,508
Target 4: 30% increase in dividends payable by state-owned enterprises (SOEs) to, and 50% reduction in transfers to SOEs from, the State Revenue Fund, by 2011/12; Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast Dividends: 30% - - Changed Changed Changed increase by 2012 Transfers: 50% - - Changed Changed Changed reduction by 2012 Note that the ministerial targets changed as from 2009/10 that is why there are no measures under 2008/09. This target will also change in 2012/13 because this has been achieved. The ministerial target will be “10% operationalisation of the State Owned Enterprises (SOE) Act by 2013”.
The State Owned Enterprises Governing Council undertook the following activities in line with the new target to be set for 2011/12 financial year which will read as “to operationalise the SOEG Act”. The guidelines on Remuneration Framework for the Chief Executive Officers, Board of Directors and Senior Managers of State Owned Enterprises was finalized. Stakeholder consultations to communicate the approved remuneration framework as well as relevant provision of the SOEGs Act were held with Board Directors, Chief Executive Officers and Permanent Secretaries. Through the Development Bank of Southern Africa (DBSA), a consultant was engaged to come up with guidelines as required by the Act. This
25 document would serve as guidance on how to implement the provisions of the SOEG Act, for example; how performance agreements in SOEs can be implemented.
The development of guidelines took long to be finalized as there were many stakeholders to be consulted on the content of this document. Due to limited data and information to strengthen the content of the document, more work had to be done, relying on research studies.
Target 5: 60% implementation of the 5 (five) stages of e-Governance policy (on-line e- services provisioning) in the Public Service by 2011/12 Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast 60% by 2012 - 20% 39% 49% 55% Note that the ministerial targets changed as from 2009/10 that is why there are no measures under 2008/09.
The Office of the prime Minister is implementing the e-governance policy.
In general, the 5 (five) phases of e-government are as follows:
Phase 1 – Emerging: A government‟s online presence is mainly made up of an official website. Much of the information under this phase is static and there is little interaction with citizens.
Phase 2 – Enhanced: This stage involves the provision of information on public and governance issues and links have been created to archive information that is easily accessible to citizens. OPM through the Electronic Records Management System (EDRMS) has provided an opportunity for O/M/As to archive information electronically.
Phase 3 – Interactive: Under this phase government delivers online services to citizens. Currently there are downloadable forms for tax payments and applications for licence renewals. In addition, the beginnings of an interactive portal or website with services to enhance the convenience of citizens are evident.
Phase 4 – Transactional: During this phase, government begins to transform by introducing two-way interactions between “citizen and government” (C to G). This includes the options for paying taxes, applying for ID cards, birth certificates, passports and licence renewals as well as other similar G to C interactions, and allows the citizen to access these services online 24/7. All transactions are done online.
26
Phase 5 – Connected: Government transforms into a connected entity that responds to the needs of its citizens by developing an integrated back office infrastructure. This is the most sophisticated level of online e-government initiatives.
The following activities were undertaken with a view to achieving the 5 phases:
Government Network Infrastructure Improvement
Implement an integrated electronic service delivery platforms: An integrated electronic service delivery platform has been established. Daily maintenance of the system is maintained. Seven (7) System Administrators were trained on the e-Government platform to enable them to effectively run and maintain the system and render technical support Office/Ministry/Agency.
Increase and improve access to internet and other applications on the intranet. Seven (7) new domains were registered. New DNS and Proxy servers were installed and configured by the Department of Public Service Information Technology Management and O/M/As to improve network performance and ease access to internet. International Bandwidth was also upgraded from 4 to 20Mbps to ease congestion on the International link.
Improve network security: Firewalls were installed and configured on all DNS, proxies and mail servers to log all failed attempts to these servers, identify hacking attempts, and schedule detailed and summary reporting.
Established a Disaster Recovery Site (Backup site) and the upgrading of offsite back up equipment. The information from various O/M/As is automatically available even in the case of an accident or catastrophe.
Provision of Adequate ICT Training and Awareness ICT Training was carried out at UNAM and the Polytechnic, where 4600 staff members were trained.
Designing and Implementing the E-Government Strategic Action Plan for the Namibian Public Service:
27 To ensure coherence and coordination in the implementation of E-government policy (which includes identifying the e-readiness of the various O/M/As) an E-Government Strategic Action Plan is in the process of being developed by a consultant.
Efficient Services provided to all communities
Establishing a Web Presence: The development of the websites for the EDRMS Project, NIPAM, and Public Office Bearers Commission, Ministry of ICT, Office of the President and Ministry of Safety and Security was concluded.
Update of Websites: Six (6) websites were updated and maintained for the different O/M/As.
Establishing of Information Systems: During the period of review two enterprise information systems were completed and put into production.
Activities were carried out in the implementation of Microsoft (MS) Enterprise Agreement (MS EA)
The negotiations with MS for the renewal of the MS EA were concluded in June 2010, with a contractual start date of April 2011. To introduce the MS EA, a workshop was organized to explain the benefits. In addition, an MS EA Administrator was appointed, management committee structure created and administrative procedures developed to guide the acquisition of MS software through the MS EA. The annual (April 2010 to March 2011) MS product usage within government was investigated and reported on in accordance with the MS Enterprise Agreement (MS EA). Based on the findings a true-up and additional usage report was prepared and submitted to Microsoft, meeting the GRN‟s contractual obligation towards Microsoft. As value added initiative under the MS EA, the National Population Registration System Infrastructure Support Project was established in collaboration with Ministry of Home Affairs and Immigration.
Government of the Republic of Namibia is faced with the challenge of attracting and retaining experienced ICT professionals due to non-competitive salaries. The lack of skills of staff members in the development of web based application is hindering the development of interactive and transactional based applications.
28 Conducts an ICT markets based salary survey and adjust salaries accordingly, to ensure recruitment, retention of skilled and experienced ICT professionals. To advocate in collaboration with the Ministry of Information, Communication and Technology for the development of laws that are supportive of the implementation of E-government.
Project to establish the Human Capital Management System (HCMS) for the Public Service
In order to implement this project, the latest version Oracle software modules were acquired and Tender Board approved the appointment of the service consultant to launch the customization and training on the system according to Public Service rules and policy requirements. However, the project was delayed at its initial stage when the consultancy company became involved in a dispute under its joint venture arrangement. As a result, the work on the project was stopped. Arbitration was conducted in June 2010 and our Office is in the process of implementing the arbitration award. That is why there is no progress made on this project during 2010/11.
Electronic Records Management System (EDRMS):
The EDRMS Project Office successfully implemented the system in 4 OMAs (went live). In consultation with the National Achieves, the EDRMS Project Office identified the 3rd link of O/M/As. The Records Management Practice Training for the 3rd intake of O/M/As in conjunction with the National Archives was held during January and February 2011. Workshops, training and Management awareness interventions on records management best practice for OMAs continued. So far E-Office Application training of over 500 key-users and end-users for the 2nd and 3rd intake of 12 Ministries and Offices on the system were conducted. The above achievements will ensure that ministries are in a better state of readiness to handle information flows and service requests which will arise from online service provision terms of the e-government project.
29 OTHER MAJOR PROJECTS IN THE OFFICE OF THE PRIME MINISTER
Disaster Risk Management
Over the period under review Directorate of Disaster Risk Management carried out the following activities:
Management of 2010 flood:
The 2010 flood affected 677,542 people in the regions of Caprivi, Kavango, Ohanagwena, Oshana, Oshikoto and Omusati. Relief operations were conducted which include the provision of food, shelter, health and sanitation services.
Assistance to other Institutions:
The DDRM assisted the following institutions during the period under review: Subsidy to the Namibian Red Cross Society Assisted the Ministry of Works and Transport to construct the Kapelwa Kabajani (fresh water boat) Repair and rehabilitation of the Hardap Prison, for the Ministry of Safety and Security
The following Training and Workshops were conducted: Simulation Training on Flood Management Camp Management Training Training of Trainers on Disaster Risk Training Kits
Food Distribution to vulnerable people:
The directorate distributed food to the most vulnerable members of our societies namely, San and Ovatue and other vulnerable communities.
Namibia Rural Food and Livelihoods Vulnerability Assessment and Analysis (NVAA) 2010/2011:
The directorate conducted the NVAA 2010/2011 and produced a report that was adopted by the Cabinet in August 2010. As a result, registration of beneficiaries was carried out in the regions of Caprivi, Kavango, Otjozondjupa, Omaheke, Hardap, and Karas, those that were severely affected by specific hazards.
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Policy and legal Frame work:
The National Policy on Disaster Risk Management was disseminated among stakeholders. The National Disaster Bill was finalized and submitted to the Cabinet Committee on Legislation.
Management of disaster funds:
As a coordinating agency, the DDRM manages the National Emergency Disaster Fund, an account into which all money for disaster management is deposited.
In managing disasters, there is a need to strengthen coordination among various stakeholders and this will be addressed in the draft Disaster Risk Reduction Bill. There is also lack of proper warehouses in the regions. Therefore, budgetary provisions will be made to construct strategic warehouses in the regions. The concept of vulnerability assessment is not well understood and confused with poverty. Hence, many recommendations of the Vulnerability Assessment Report were not fully implemented. Consultative meetings will be arranged to address this challenge in the next reporting period. There are also difficulties in understanding and interpretation of the National Disaster Policy. The office will organize workshops with stakeholders to provide clarifications. Manual processing of payments contributes to a slow production of reports. The electronic system for payment and generating reports will be purchased.
The Public Service Commission (PSC)
The Public Service Commission continues to carry out quality assurance in the regulation of Public Service policies, ensuring adherence and compliance to ethical standards and norms in the recruitment process. In addition the PSC attended to requests for the creation of new Offices/Ministries/and Agencies and the subsequent staffing of those institutions.
The PSC received, processed and approved 27 appointments in Management posts; 233 posts below Management; and 758 appointments of temporary employees on contract in posts below Management. 119 cases were not recommended by the PSC because it took a different position to that requested by the O/M/A, 14 cases were referred back to the O/M/A because of differing positions between the O/M/A and the PSC. Probation period of 44 staff members were extended by the PSC; 36 re-appointments of retirees were recommended in terms of Section 24(2) of the Public Service Act. Furthermore, 33 complaints were received from which number 27 (82%) were finalised and 6 (18%) were outstanding. Therefore, the PSC
31 contributed towards the efficient and effective functioning of the Public Service by ensuring that 57 745 posts in the Civil Service out of a total number of 90 929 posts in the Public Service were filled or remained filled. In the process the PSC ensured balanced structuring through appointments, promotions and transfers in line with affirmative action policy and secondary balancing.
The PSC experienced the following challenges:
Slow responses from O/M/As translated into backlog for the PSC;
The Public Service Commission Secretariat submitted a proposed structure of the PSC Secretariat to the Permanent Secretary of the Office of the Prime Minister, which if approved will provide solutions to most of the challenges indicated above.
Efficiency and Charter Unit (ECU)
This Unit continues to coordinate initiatives for the improvement of service delivery and carried the following activities:
Business Process Re-Engineering (BPR):
As part of the drive to improve service delivery, the Office of the Prime Minister continues assisting OMAs to re-engineer their processes in order to streamline processes and procedures to improve service delivery. The exercise is driven by the ECU in the Office of the Prime Minister with assistance from the United Nations Development Programme. Presentations on BPR Implementation were made at the meeting of Permanent Secretaries and guidance was given to address challenges phased in OMAs in the finalisation of BPR reports.
Pocket Guide
This is a small booklet which is meant to ensure that public servants have access to concise information on what is expected of them in order to strengthen professionalism and ethical behaviour in the Public Service. The review process of the Second Edition of the pocket guide was completed.
Coordination of Africa Public Service Day (APSD) Celebrations
The 2010 APSD celebration in Namibia was held under the theme: “Strengthening Leadership and Management for Improved Service Delivery in Africa”. The main event was
32 celebrated in Windhoek. It was attended by more than four hundred and fifty (450) staff members, public office bearers, diplomats and other invited dignitaries.
Coordination of the Namibian content for uploading on the United Nation Public Administration Network (UNPAN) Portal
UNPAN is a free virtual electronic network portal that promotes the sharing of knowledge. In addition, UNPAN promotes exchange of innovative practices and lessons learned in public policies and management at local, national, sub- regional, regional and international levels. The ultimate objective of the UNPAN portal is to support the development of efficient and effective public administration systems and competency in the public/civil service, especially in developing countries.
Namibia was among the top three content contributors to the UNPAN Portal and as a result was given an Online Regional Centre Award for Outstanding Performance in Knowledge Management and an Online Regional Centre Award for Commitment to Knowledge Management.
In the implementation of the BPR the OPM faces the challenge of a lack of buy-in and ownership in some OMAs which leads to slow progress with regard to the finalisation of BPR reports. These challenges were discussed at the Permanent Secretary‟s meeting and guidance was given to assist OMAs in this process. In the absence of a review of the reform initiative since independence, lessons learnt are not being captured in new service delivery designs. Therefore, the Office of the Prime Minister will facilitate the conducting of a review in the next financial year. The expected outcome is a Service Delivery Improvement Report. The review will be carried out by an independent consultant with the assistance of the UNDP under the Transformational Leadership project. OPM will share the funding of this study with UNDP.
San Development Programme
The main objective of Division San Development is to integrate San, Ovatue and Ovatjimba communities into the Mainstream of the socio economic society of Namibia.
The following activities were undertaken with a view to achievements:
33 San Education and support
The high illiteracy rate amongst the San communities is receiving attention under the Division San Development to ensure that San learners attend school in order to craft a better future for them. More specifically, the program included:
Identification of beneficiaries for education support Facilitating enrolment of students in tertiary institutions Providing financial support to learners and students Monitoring and evaluating of school performance of San learners Paying tuition fees for students Transporting San learners Providing salaries to teachers at project schools Providing duplication machines to Oshivelo Primary School Providing student accommodation Running a back to school campaign held in the Omaheke and Otjozondjupa regions Renovating and constructing schools and hostels
Resettlement and relocation
Access to land plays a vital role in the development of the San people of Namibia, therefore the provision and development of land for the San is regarded as an important aspect. This is done through the Ministry of Lands and Resettlement.
These activities were under taken at the following farms:
At Farm Bellalaika a farm house was renovated; 10 000 litre water tanks and tank stands were set up and 200 meter water pipes provided.
At Farm Uitkomst we provided materials for a game proof fence of about 4000ha. (Phase one); the community of Uitcomst farm participated in the construction of the fence and payments were made to them; Water infrastructure was repaired and maintained (Tank stand and tank);
At Likwaterera, 30 households were resettled to higher ground; and an early child hood Development Centre was established.
At Oshandi, garden tools were provided and ECD established.
34 At Ombotto and Omutonda a fence was erected; ECD constructed; and other equipment provided.
General Support to San People Coffins were provided to accord the san people dignified funerals; allowances were paid to care takers and health promoters;
Income generating projects
Income generating projects are the heartbeat of the development of the San community. Projects and programmes are formulated to serve as a tool for sustainability and to relieve government from handouts. This area has not been given adequate attention due to lack of funds.
As a way forward, a smooth transfer of projects to line ministries is planned in order to allow those ministries to budget and run those projects. This approach was followed and all water related projects are already transferred to the Ministry of Agriculture, Water and Forestry during the current financial year. The OPM is also commissioning a study to assess all projects initiated for the san community to make recommendations about how projects can be sustained to allow the sun communities to earn a living and not to rely on permanent support from government.
Budget execution 2010/11 (N$000)
Programme Budget Expenditure % allocation variance Constitutional obligations of the Prime 32,453 26,735 18% Minister and Deputy Prime Minister Public Service Management and 102,433 93,460 9% Improvement Disaster recovery and emergency services 29,623 26,278 11% Total 164,509 146,473 11%
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Explanation for variances:
Constitutional obligations of the Prime Minister and Deputy Prime Minister: Variance of 18% under expenditure was realised under this programme due to the following reasons: Vacancies which could not be filled during the financial year as well as staff turnover; funds for TESEF project which could not be utilised due to the finalisation of the process of TESEF stakeholder consultation; and State Owned Enterprises Governance Council also could not utilise all its funds as there were still some consultancy work being carried out. Other savings arose from Daily Subsistence Allowance (DSA), Material and Supplies, Other Services and Expenses and Furniture and Office Equipment sub subdivisions.
Public Service Management and Improvement: The variance of 9% under expenditure realised under this programme was due to the following reasons: Vacancies which could not be filled during the financial year as well as staff turnover; funds for Human Capital Management System project could not be utilised due to the arbitration which was still in process; savings on e-government and ICT training programme contributed to the variance; further savings arose under Daily Subsistence Allowance (DSA), Material and Supplies, Other Services and Expenses and Furniture and Office Equipment. There was also under expenditure on the NIPAM capital project due to the delays in the tendering process for the audio visual and joinery fittings.
Disaster recovery and emergency services: The variance of 11% under expenditure on this programme was realised due to positions which were vacant during the financial year as well as staff turnover; other savings were realised under Daily Subsistence Allowance (DSA), Material and Supplies, Other Services and Expenses and Furniture and Office Equipment.
36 NATIONAL ASSEMBLY
Vote 03
Overall Summary
The 2010/11 financial year, saw the inauguration of the 5th Parliament. The overriding challenge was to capacitate the new Members on how to execute their new responsibilities as Members of Parliament.
The principal functions of the National Assembly are to examine proposed legislations, scrutinise government policy and administration, and debate major issues of the day. In order to support this work the key objective of the National Assembly Secretariat is to provide high quality advice and services that enable the House and its committees to carry out these tasks effectively. These services must be provided to high and exacting standards and be responsive to the needs and requirements of the House. The main indicators therefore, remain the satisfaction expressed by the Speaker, his deputy and the Members of Parliament.
The two objectives, to improve parliamentary process and to increase citizens‟ understanding of and participation in democratic process, remain relevant and unchanged and as a result the National Assembly continued engaging in activities that will assist it in achieving these objectives. The Office received an allocation of N$117 536 000 to execute the following two programmes:
Enhancement of the Parliamentary process (N$42 144 000) Consolidation of democracy (N$75 392 000)
Ministerial Targets
Target 1: Increase public participation over the MTEF period (2008/09-2012/13)
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Level of participation 80 80 85 85 New targets
As a custodian of democratic processes in Namibia, the National Assembly is well aware that citizens are pivotal in that process. “Taking Parliament to the People” is an important pillar of outreach by Members. These platforms are used to interact with and to educate citizens on important legislation, including Bills and Motions. The Presiding Officers also use these platforms to familiarise themselves on matters of service delivery by the Executive as is their
37 duty on behalf of the Parliamentary Standing Committees. Parliamentarians has also made regular use of trade exhibitions and visited numerous schools and tertiary educational institutions as per invitations
During the period under review, staff and Members attended a blend of workshops and training designed to address real issues that the National Assembly faces. Evaluation of the effectiveness of these workshops and training events is on-going and further training and development opportunities will be made available to them.
Target 2: Increase public understanding over the MTEF period (2008/09-2012/13)
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast No of public hearings and briefings 35 31 75 90 90 No of outreach activities 15 6 15 15 15
The work of the Parliamentary Standing Committees in a multi-party democracy cannot be over-emphasised. In fulfilling their role as representatives of the people during the past year, the various standing committees conducted seventy five (75) public hearings/meetings and more than a thousand citizens participated and contributed in their discussions.
During 2008/09 the upgrade and presentation of the Parliamentary website began. The improvements encompassed technical, design and content changes with the overall aim of improving navigability and comprehension. The project looked at both technical aspects of the website and content, with staff from all directorates involved in the exercise of rewriting and updating the content to make it more user friendly. During the period under review, the network performance was upgraded, new servers were acquired and the website update will be completed during 2012/13 financial year. This approach did not yield the expected results as the website updating is seen as above normal duties. A possible solution is to recruit dedicated content management staff to ensure the website remains current.
Due to the good relationship with the media houses, print and visual, they continue to inform the citizens on the work of the National Assembly, thus increasing their understanding on the work of Parliament.
38 Budget execution (N$)
Programme Budget allocation Revised allocation Expenditure Enhancement of the 38 059 000 nil 31 969 560 Parliamentary Process Consolidation of 66 477 000 nil 59 002 643 Democracy
Capital budget 13 000 000 13 050 178 Total 117 536 000 nil 104 022 381
Performance on Programmers
As far as the execution of the budget is concerned the Institution did not experience any major problems apart from major under-spending on the vacancies.
Programme 1: Enhancement of the Parliamentary process:
The Purpose of this programme is to:
Oversee and administer the House and to represent the National Assembly at National and International levels: Ensure the enactment of legislation, oversee the work of Portfolio Parliamentary Committees; promote consultation between parliament and other Branches of State and intensify Parliament‟s outreach throughout the country.
During the financial year under review, the National Assembly considered twelve bills of which eight were passed without amendments, one with amendments, one reconsidered and one referred to a Standing Committee. Eleven motions were tabled of which 8 were agreed to, one was referred to a Standing Committee and one was withdrawn. Ninety-five reports of the Auditor General were tabled and one hundred and twenty six reports of the Auditor General were referred to the National Council. One hundred and forty-two reports were tabled for note-taking and discussion while twenty-four questions were tabled and deliberated upon, while eight lapsed.
In relation to regional and international parliamentary relationships, the MP‟s and staff attended Assemblies for the Southern Africa Development Community Parliamentary Forum (SADC PF), Pan-African Parliament (PAP), Inter-Parliamentary Union (IPU), Africa, Caribbean and Pacific (ACP) and that of the Commonwealth Parliamentary Association
39 (CPA). Reports on all the Assemblies were tabled, debated and adopted in the National Assembly.
The Speaker of the National Assembly, as President of the IPU, attended eleven IPU related meetings, of which the major one being the IPU World Conference of Speakers in July 2010. In his capacity as the National Speaker, he attended the Commonwealth Speakers Conference held in New Delhi and focussed on the Speaker as a Mediator.
Namibia successfully hosted the Regional Parliamentary Conference for Africa on Children‟s Rights and HIV/AIDS in collaboration with the IPU and UNICEF and also the 28th SADC PF Plenary Assembly in collaboration with the SADC Parliamentary Forum. The National Assembly hosted fifteen foreign delegations and visited four Namibian Missions abroad (Egypt, Tanzania, India and China).
Programme 2: Consolidation of Democracy:
The overall goal of this programme is to facilitate the work of Members when they consider questions of national interest and concern. This is primarily done by organizing and coordinating all activities relating to the parliamentary sessions of the National Assembly and its Standing Committees, and other special events, making sure that Members are well informed, facilitating their participation in the National Assembly events, promoting implementation and follow-up on resolutions, assisting in the preparation of corresponding reports and ensuring the availability of functional office accommodation.
Laptops were acquired for each Backbench Member of Parliament to enhance their IT skills.
Due to the lack of in-house capacity, the production of the Hansard services is outsourced. The current tender holder managed to bring up to date the outstanding Hansard books that the previous tender holder, of which contract was terminated, was unable to complete.
Progress on the Capital Project
Providing a safe physical environment and related offices is key to ensuring that Parliament can operate effectively. The current maintenance on-going is aimed at maintaining sufficient accommodation of an appropriate standard for all those who work at Parliament. Progress in some areas has been slower than anticipated due to the following:
The availability of offices within which to work as most offices are still occupied Old and worn Service conduits
40 Following is the status of work as at 31 March 2011:
Description Status a. At Both the National Assembly and National Council
Site Establishment completed Demolitions in specified areas and making good thereafter 90% completed Construction of disability access ramps in various areas 95% completed b. At the National Assembly
Renovations to the Library & Server Room 95% completed Construction of the fire escape staircase 95% completed Upgrading to the drainage & sewer system – Swapo MP‟s Office wing completed Upgrading to the North Wing Section of the building 95% completed Upgrading to the Speaker‟s offices Wing 90% completed Waterproofing of the Western Basements Completed Renovations to the Chamber 95% completed Upgrading to the secretary to the NA‟s Wing(south wing) 50% completed Upgrading to Ground Floor offices – north wing 40% completed Addition of roofs and waterproofing to recently damaged areas 30% completed External Paintworks 40% completed
c. At the National Council side (East wing)
Construction of the lift shaft (National Council Section) completed Lift installation 60% completed Renovations to the offices and areas adjacent to the lift 80% completed Repair works in specified areas 90% completed Addition of roofs 30% completed
Explanation for variances
No programme was overspent during the year. The only significant under-spending was caused by vacancies and the resignation of key personnel during the year.
41
OFFICE OF THE AUDITOR-GENERAL
Vote 04
Overall Summary
The reports which have not been finalised in terms of the stipulations of the relevant Acts amount to 160 on 31 March 2011 compared to 188 as at 31 March 2010. There are still some institutions which are unable to submit their financial statements on a timely basis and a number of reports are awaiting editing and review. The number of reports which have been finalised on time increased from 23 during the previous year to 32 (or 39%). The number of asset inspections carried out during the year exceeded the target of 120 by 27. One performance audit report has been completed during the year and two follow-up reports. It is of particular concern that the Auditor-General had to qualify, disclaim or express an adverse opinion on 107 of the finalised financial audit reports. It reflects a severe accountancy problem in the country.
Ministerial targets
[Target 1] Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast Finalize (3) 5 2 1 3 4 P/A reports Performance Performance Performance Performance Performance annually. Audit Audit Audit Audit Audit Reports Reports Reports Reports Reports
Finalize (2) 0 Follow-up 1 Follow-up 2 Follow-up 3 Follow-up 4 Follow-up follow-up Reports Report Reports Reports Reports P/A reports annually.
The target of 3 performance audits and 2 follow-up performance audits could not be met due to the following reasons: When the performance audit on Service Delivery by Regional Councils started, four staff members were allocated to carry out the audit due to the broad scope. During the course of the audit, one member resigned while another was transferred to the Research and Development Division within the Office, leaving two staff members to complete the audit.
42
[Target 2]
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast Finalize 126 183 160 147 140 192 financial audit reports
The delay in submitting financial statements by institutions resulted in the Office not meeting its target of 192 reports for the 2010/11 financial year. Progress on catching up with the backlog is still on track. The number of clients which need to be audited annually amounts to 132.
[Target 3] Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast Carry out 177 160 147 120 120 120 asset inspections
The Office exceeded the target of 120 inspections by 27 inspections. The inspections assure that Government assets are properly looked after, controls are in place, revenue is recorded and banked in terms of rules and regulations and Treasury Instructions are adhered to.
Other main indicators
Programme 1: Performance Audit
Indicator 1:Percentage of other spending covered by OAG value for money studies.
2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast 0% 0% 1% 1% 1%
43 Only one report dealing with Collection of Tax Revenue was carried out during the year under review.
Indicator 2:Retain good quality recommendations which are 100% acceptable to the Public Accounts Committee
2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast 100% 100% 100% 100% 100%
The Public Accounts Committee did not reject any recommendations during their discussions of the respective reports. This is evident from the reports of the Committee to the National Assembly.
Indicator 3: Percentage of Offices/Ministries/Agencies spending covered by performance audit studies
2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast 1.4% 0.44% 29.59% 2% 2%
This target is measured by dividing the total amount spent on the area which is subjected to the audit by the total annual budgets of all vote accounts or if available, the actual average expenditure. The target not met during the year under review due reasons outlined in Target 1.
Indicator 4: Ensure that the recommendations made in performance audit reports on O/M/A’s are implemented.
2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast 0% 0% 30% 45% 45%
This target is measured during follow-up audits by comparing implemented actions with the recommendations. During the follow-up audits it was observed that a few recommendations were implemented.
44
Indicator 5: Choose less complex topics with good economical input which will reduce the average time taken to complete an audit.
2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast 78weeks 53 weeks 55 weeks 80 weeks 80 weeks
Measurement: The time utilised for all reports is added and divided into the number of reports published to obtain the average time utilised.
Performance Audit on Tax Revenue: 48 weeks Follow-up Performance Audit: Issuing of ID‟s: 49 weeks Follow-up Performance Audit: Build-together Program: 67 weeks 164 weeks / 3 = 55 weeks
One audit and two follow-up audits took 55 weeks to be completed. Twenty five weeks less than target of 80 was utilized. The delay was caused by reasons as contemplated in target 1.
Indicator 6: Percentage of recommendations accepted by Offices/Ministries/Agencie.
2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast 100% 100% 100% 100% 100%
This target is measured during the submission of the draft reports to the respective O/M/A for comments. Disagreements are sorted out during discussions and adjustments are made where necessary. The O/M/As never questioned the recommendations of the Auditor-General up to this stage.
Indicator 7: Maintain auditee satisfaction.
2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast 90% 90% 90% 90% 90%
Draft reports are cleared and resolved with the relevant O/M/A‟s which ensures auditee satisfaction.
45 Most auditees agreed with the findings of the auditors. Draft reports are sent to the relevant O/M/A with a timeframe for their response. Any disagreements are then discussed and adjustments are made if justified.
Indicator 8: Career fairs attended
2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast 2 2 1 3 3
This target is measured by the number of career fairs attended. Only one Trade Fair was attended due to budget constraints.
Indicator 9: Percentage of audit papers which passed peer review
2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast No review No review No review No review No review
This target is measured by evaluating the number of working papers which were found to be in order compared with the number of working papers which were reviewed. The review will be conducted during September 2011.
Programme 2: Financial Audit
Indicator 1: Number of reports qualified by the Auditor-General
2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast 48 124 107 33 30
The value is measured by adding up the value of all qualified account areas for each audit report.
Most qualified account areas relate to Local Authorities, Regional Councils and Statutory Bodies. The main areas concerned are fixed assets which have not been recorded correctly, provisions for liabilities which are understated, non-submission of supporting documents, poor debtor controls and financial statements that are not balancing. The increase can be ascribed to the number of reports which were finalised during the year.
46 Indicator 2: Value of unauthorized expenditure report.
2008/09 2009/010 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast 1,390,574,497 788,643,508 558,326,729 826,000,000 743,480,000
The value of all unauthorized expenditure is added to measure the amount. The target of N$ 917,000,000 has not been exceeded. Most of the unauthorized expenditure relates to O/M/A‟s where budgetary provisions have been exceeded. The decrease can mainly be ascribed to the fact that better budgetary controls have been implemented.
Indicator 3: Ensure acceptance of audit recommendations by the Public Accounts Committee.
2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast 100% 100% 100% 100% 100%
Measured by the number of disagreements received in relation to the number of recommendations. The Public Accounts Committee did not disagree with the recommendations made in the reports. Every tabled report is referred to the Committee where it is discussed in detail. The Committee reports its findings to the National Assembly and their agreement with the recommendations of the Auditor-General is confirmed in such reports.
Indicator 4: Ensure acceptance of audit recommendations by clients
2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast 100% 100% 100% 100% 100%
Measured by the number of disagreements received in relation to the number of recommendations.
No disagreements have been noticed. Unfortunately recommendations are only followed up in the next year‟s audit and in many cases it was found that most of the recommendations have not been implemented or only in part.
47
Indicator 5: Value covered in N$ years.
2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast (million) (million) (million) (million) (million) 64,158,132 81 715 403 83,960,872 71,000,000 72,000,000
Measurement: All balance sheet values of reports published during a financial year are added while in Government reports, the total expenditure and income for the audited financial year is also added to the value.
The growth of the institutions audited by the Office increased, therefore exceeding the target of N$ 69,200,000 million.
Indicator 6: Number of aged reports outstanding
2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast 247 188 198 197 187
This target is measured by counting the reports which should have been published in a specific financial year but were not published.
The envisaged target of 210 was exceeded by 12 reports as a result of the effort which was put into the catching up with the backlog that paid off.
Indicator 7: Percentage audits completed by the planned date
2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast 55% 61% 36% 60% 70%
This target is measured by comparing the actual date when an audit is finalised with the planned date.
Thirty one of the O/M/A‟s reports were completed on time which is 97% of all the O/M/A‟s. Only the summary report was still outstanding. Most of the work which has been contracted out was not finalised on time. A proper time recording system has been implemented. Some
48 staff members are using it and some not. Enforcement for all staff to use it has to be done in order to ensure that audits are completed properly
Indicator 8: Percentage of audit papers which passed peer review.
2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast No review No review No review No review No review
This target is measured by evaluating the number of working papers which were found to be in order compared with the number of working papers which were reviewed.
No peer review was carried out during the 2010/11 financial year. The next peer review carried out by Afrosai-E is scheduled to take place during September 2011.
Indicator 9: Percentage of suspense accounts properly reconciled
2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast 45% 35.5% 6% 60% 65%
Measurement: The number of reports in which it was indicated that suspense accounts were properly reconciled are added and divided by the total number of Offices/Ministries/Agencies which were audited in a specific financial year.
Less suspense accounts have been properly reconciled than expected. Twenty nine out of thirty one O/M/A‟s have failed to reconcile their suspense accounts properly.
Indicator 8: Career fairs attended
2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast 2 2 1 3 3
This target is measured by the number of career fairs attended.
The Office attended one career fair to create awareness amongst the general public of the role of the Office of the Auditor-General as well as to enhance the image of the Office. The target of three was not met due to budget constraints.
49 Programme 3: Agency-wide Co-ordination, Investments & Support Services
Indicator 1:Qualified staff in audit posts
2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast 99% 99% 100% 100% 100%
The one previous unqualified Auditor obtained the required qualification during this financial year.
Indicator 2: Outstanding debtor accounts reduced
2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast 63 51 8 40 35
The target of reducing outstanding debtor accounts to 40 during 2010 was exceeded by 32 accounts and only 8 accounts remained unpaid at the end of the financial year.
Indicator 3: Staff turnover
2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast 9% 9% 11% 7% 7%
The realised staff turnover during 2010/11 was 11%, which is 3% higher than what was anticipated and was mainly caused by the fact that there are only a few senior positions which are currently filled by relatively young people.
Budget execution (N$ 000)
Programme Budget allocation Expenditure % variance Performance Audit 3 888 3 955 -1.75 Financial Audit 18 802 18 700 0.54
50 Agency-wide Co-ordination, 30 177 29 930 0.81 Investments & Support Services
Total 52 867 52 585 0.53
Explanation for variances
Performance Audit: The over-expenditure of N$ 66,639.00 (-1.75%) on the performance audit programme was caused by the fact that two foreign trips to attend the Management Development Programme were not budgeted for. The programme was to assist managers to manage their plans and programmes effectively.
Financial Audit: The under-expenditure of N$ 101,598.00 (0.54%) on the financial audit programme was caused by the inability of the under-mentioned institutions to submit their financial statements in time for the audit to be carried out in the financial year as planned. Rundu Town Council (09/10) N$ 70,000 Bethanien Village Council (09/10) N$ 30,000 N$ 100,000
Agency-wide Co-ordination, Investments & Support Services: The under-expenditure of N$ 247,000.00 (0.81) on this programme was mainly caused by an under-expenditure of the Development Budget.
51 MINISTRY OF HOME AFFAIRS AND IMMIGRATION
Vote 05
Overall Summary
The Ministry of Home Affairs and Immigration, for the period under review continued to ensuring that the Government has the demographic information it needs, by administering the National Population Register. The expansion of registration of births at hospitals continues to be a success and the service rendered at sub-regional offices has lessened long queues at some regional offices. Furthermore, it‟s encouraging to report that during the period under review the Ministry progressed well with the automation of birth records. The period of deportation process continues to be within thirty (30) days. The construction of staff accommodation at Oranjemund and Luderitz has been successfully completed.
Summary of Revenue
Revenue Estimate and Collections 2010/2011
Source code Description Estimate Actual Variance Collection 001 Passport 13 000 000 10 180 114 (2 819 886) Control 002 Private calls 0 0 0 003 Unclaimed 2 000 0 (2 000) Cheques 004 Visas and 18 000 000 34 542 164 16 542 164 Permits 005 Miscellaneous 1 200 000 1 714 191 514 191 Total 32 202 000 46 436 451 17 056 355
Explanations for variances
Passport Control
We estimated high revenue due to the World Cup in South Africa and the Africa Cup of Nations in Angola during 2010. The estimated revenue was not realised as the two countries decided not to allow Namibians to travel with Emergency Travel Certificates to their countries. Therefore, the Ministry had to stop issuing Emergency Travel Certificates which resulted in a shortfall of N$ 2,819,886.00.
52
Private calls
The Ministry introduced pin codes with monthly limits for telephones estimated at an average cost for official calls.
Unclaimed Cheques
There were no unclaimed cheques.
Visas and Permits
Our estimate is based on the number of previous collections. The estimate was surpassed by N$ 16 542 164.
Miscellaneous
The collections under this allocation are for Duplicate of documents as follows: Birth, Marriage and Death certificate and alterations or change of surnames. The estimate was surpassed with N$ 514,191.00 during the year under review.
Budget Execution (N$)
Programme Budget Expenditure Variance % allocation Programme 1: Civil 84 680 000 103 199 427 (18 002 772) 21.26 Registration
Programme 2: 86 598 000 89 770 731 (3 185 825) 3.68 Immigration Control
Programme 3: Refugee 3 006 000 2 495 816 510 184 16.97 Administration
Total 174 284 000 195 467 675 (20 678 413)
53 Development Programme Execution (Capital Project) 2010/2011 (N$)
NPC Project Name Original Virements Revised Actual Code Budget Budget Expenditure 4008 Construction of 800 000 -200 000 600 000 580 092 Keetmanshoop Regional Office 4164 Sub-Regional Offices at 1 500 000 0 1 500 000 1 475 045 Constituency Levels 5131 Extension of Eenhana 4 000 000 -3 956 714 43 286 43 285 Regional Office 5132 Extension of Katima 3 000 000 -2 955 567 44 433 44 433 Mulilo Regional Office 5133 Extension of Outapi 1 000 000 -1 000 000 0 0 regional Office 5254 Management 350 000 9 799 901 10 149 901 10 141 980 Information Systems (MIS) Integration Project 8001 Renovation to Head 2 000 000 1 344 000 3 344 000 3 100 215 Office for MHAI 8009 Construction of Oshakati 1 300 000 0 1 300 000 1 284 517 Regional Office 8012 Renovation to the 250 000 -144 000 106 000 105 941 Khomas Regional Office 2036 Staff Accommodation 6 000 000 7 200 000 13 200 000 13 135 679 Construction at Oranjemund and Luderitz 5118 Construction of 6 000 000 -5 553 333 441 667 441 667 Nkurenkuru Border Post 5119 Construction of 13 500 000 -12 087 620 1 412 380 1 412 379 Kashamane Border Post 5134 Construction of Dobe 0 2 000 000 2 000 000 2 000 000 Border Post
Total 39 700 000 34 141 667 33 765 232
54
Explanation of Variances
Programme 1: Civil Registration
The programme exceeded the budget with N$ 18,002,771.77, mainly due to remuneration.
Programme 2: Immigration Control
Over spending of N$ 3,185,825.01 which is mainly on account of remuneration.
Programme 3: Refugee Administration
The under spending of funds on this programme for N$ 510,184.28 was mainly attributed to the fact that a considerable number of activities were funded by the project under UNHCR.
Capital Budget Explanation of variances
An amount of N$ 39,700,000.00 was earmarked to commence with construction of Regional Offices and Border Posts of the Ministry of Home Affairs and Immigration during the financial year 2010/2011. However, the delay of documentation, tendering processes and the appointment of contractors has inevitably affected the full utilization of the allocated funds. Despite the above stated facts, the construction of Staff Accommodation at Oranjemund and Luderitz was the only project completed during the period under review.
As a result of the above, and cognizance of the fact that some equally important running projects were in need of funds, funds were viremented from non commenced projects to the ready and needy ones.
55 Ministerial Targets
Target 1: Computerize 10 million manually stored, birth, marriages and death records of the Ministry by 2013
Target 2009/10 2010/11 2011/12 2012/13 2013/14 2014/15 Actual Actual Forecast Forecast Forecast Forecast 10 million manually stored, 2,5 6 7,5 10 12 Maintain birth, marriages and death Million Million Million Million Million computerization records computerized by 2013.
Progress is made on this target as we surpassed the target of 5 million with 1 million birth records. Six million birth records are captured and indexing is underway while, marriage and death records are being sorted. It is anticipated that the scanning will start in November 2011. The target for 2013 will be met though challenges are being experienced.
Target 2: Reduce the waiting period for permits from the current ninety (90) working days to sixty (60) working days by 2013
Target 2009/10 2010/11 2011/12 2012/13 2013/14 2014/15 Actual Actual Forecast Forecast Forecast Forecast
Waiting period for permits of 90 90 90 60 60 60 ninety (90) days reduced to sixty (60) days by 2010/2011
The permits issued by the Ministry of Home Affairs and Immigration are study, residence andemployment permits and visas. Visas are issued within ten (10) days while some of the permits are issued within 30 working days. There is an improvement on permits such as study and ordinary residence permits which are currently taking 60 to 90 working days for one to receive a response. Permanent Residence Permits take one year.
56
Target 3: Reduce the waiting period of Citizenship application from the current ninety (90) working days to sixty working days by 2013
Target 2009/10 2010/11 2011/12 2012/13 2013/14 2014/15 Actual Actual Forecast Forecast Forecast Forecast Waiting period of citizenship 90 90 90 60 60 60 application of ninety (90) days reduced to sixty (60) days by 2013.
The current waiting period for citizenship applications consideration is about 90 working days on average. The fact that application requirements are disseminated for public use is a positive development although there is still room for improvement. However, the need for compliance verification with all other laws requires inter agency consultation so that the process is shortened and waiting period of 60 working days can be realised and maintained.
Target 4: Expedite the deportation process not to take more than thirty (30) working days by 2013
Target 2009/10 2010/11 2011/12 2012/13 2013/14 2014/15 Actual Actual Forecast Forecast Forecast Forecast Deportation process 30 30 30 30 30 30 expedited to take thirty (30) days by 2013
This target was achieved in the 2008/2009 financial year. It is being maintained while plans are still being made to appoint independent Immigration Tribunals in each region which are projected to be established by 2012. This will reduce the travelling cost attached to this activity.
57 DEPARTMENT OF POLICE
Vote 06
Overall Summary
The process of combating crime is the predominant means of ensuring safety and Security in Namibia. This noble function involves the protection against criminal elements, natural and manmade security threats, as well as the creation of an environment in which inhabitants of Namibia are enable to empower themselves in a manner that ensures opportunities for a better life. The fundamental function of policing is to protect and serve all people in Namibia by reducing crimes of all kind. However, the sophistication in the contemporary criminal world places a great responsibility upon the Police to device superior crime combating strategies based on a supportive budget. This synergy will guarantee everlasting peace and stability across Namibia.
MINISTERIAL TARGETS
TARGETS
The Ministerial Targets that were set for the period 2007/08 to 2011/12 entails the following:
(1) To increase the clearance rate of serious crimes by 5% by 2011/12; and (2) To increase the clearance rate of all crimes at least by 6% by 2011/12.
Target 1: Serious Crimes
To increase the clearance rate of serious crimes by 5% by 2011/12. That means an increase of 1% in 2007/8, 1% increase in 2008/9, 1% increase in 2009/10, 1% in 2010/11 and 1% in 2011/12. The total of 2006/7 was used as the baseline, being 38%.
58 Base Line Target 2011/12 2011/12 2011/12 2011/12 Fin. Year Fin. Year 1st Quarter 2nd Quarter 3rd Quarter 4th 2006/7 2011/12 Actual Actual Forecast Quarter Forecast 38% 43% 7.91% 9.35% 12.87% 12.87% (10.75 Per Quarter) On Hand On Hand On Hand On Hand On Hand 37 994 30 037 31 508 - - Cleared Cleared Cleared Cleared Cleared 13 344 2 378 2 947 - -
Target 2: All Crimes
To increase the clearance rate of all crimes at least by 6% by 2011/12. That means an increase of 1% in 2007/8, 1% increase in 2008/9, 2% increase in 2009/10, 1% in 2010/11 and 1% in 2011/12. The total of 2006/7 was used as the baseline, being 41%.
Base Line Target 2011/12 2011/12 2011/12 2011/12 Fin. Year Fin. Year 1st Quarter 2nd Quarter 3rd Quarter 4th Quarter 2006/7 2011/12 Actual Actual Forecast Forecast 41% 9.4 % 11.15% 13.22% 13.22% 47% On Hand (11.75 Per On Hand On Hand On Hand On Hand Quarter) 221 377 176 921 183 956 - - Cleared Cleared Cleared Cleared Cleared
84 984 16 563 20526 - -
Comment
The quarterly target of 10.75% was not reached in both the first and second quarters with regard to the clearance rate of serious crimes.
The clearance rate of all crimes, of 11.75% per quarter, was also not reached during the first and second quarters of 2011/12.
59
The inability of the members to reach the set targets is causing an increase to the existing high volume of cases. It is therefore putting more pressure on the members to be able to reach the higher quarterly percentages in the next two quarters. In addition to this, it is important to take note that the targets that were set are very high due to the fact that it is measured in percentage. If, for example 20 cases were on hand and 10 were cleared, it indicates a 50% clearance rate. However, if 200 000 cases are on hand a total of 100 000 should be cleared to achieve 50%.
It is also a known fact that some detectives are carrying 500 dockets, one docket could cover more than one crime and it takes time to attend to one docket. It should also be borne in mind that there is too much pressure on investigators and detectives, finalizing cases simply to achieve a high clearance rate should be avoided.
If the target of a specific year or quarter is not met, it adds pressure on the ensuing year and quarters as a result of the increased workload. The targets should be of such a nature that it does not create an unreasonable and unachievable expectancy but rather that it can be achieved in the execution of normal daily activities.
Target 3: To increase the capacity of Traffic Unit by 5% by 2010/2011
Target 2007/08 2008/09 2009/10 2010/11 2011/12
5% Actual Actual Actual Actual Forecast (161) (194) (209) (233) (283) 15,2% 17% 7,2% 10,3% 17%
236 members were recruited and trained, hence target 3 was reached
Revenue Collection: April To November 2011
Description Estimates Actual Collection Variance 2011/2012 20112/2012 Departmental Fines 55 000 1 900 53 100 Lost Equipment & 72 000 66 324 5 676 Stores / Damage Private Telephone 2 900 505 580 (502 680) Calls/Faxes/Copies Copies of Plans 530 000 18 120 511 880
60 Traffic Control (Road 3 900 000 3 842 300 57 700 worthy & competency) Miscellaneous 300 000 838 363 (538 363) Total 4 859 900 5 272 587 125676
Budget Execution: April To November 2011
Programme Annual Appropriation Expenditure Variance 2011/2012 Combating of Crime 1 154 091 000 1 010 625 058 143 465 942
Border Control 479 703 000 285 426 407 194 276 593
Protection Services 239 255 000 173 422 300 65 832 700
Road Traffic 23 200 000 21 723 315 1 476 685
Forensic Science 27 970 000 8 278 315 19 691 685
Total 1 924 219 000 1 499 475 395 424 743 605
Explanation for Variance
Variances in expenditures for the next 4 (four) months.
Execution Capital Project 2011/2012
2. The table bellow depicts the funds allocated and what was actually spend per project.
PROJECT NAME Budget Allocation (‘000) Actual Expenditure Police Stations Upgrading 34,913 000 14,820,745.63 Construction of Police Accommodation 31,568 000 27,815,686.91 Ndiyona Police Station - Construction 859 000 853,736.21 Rehabilitation and Renovation of Police Facilities 9,775 000 5,372,878.03
61 PROJECT NAME Budget Allocation (‘000) Actual Expenditure Schlip Police Station - Construction 15,568 000 7,524,945.44 Pius Joseph Kaundu Training Centre - Construction 8,000 000 3,243,951.18 Acquisition of Helicopter, Aircraft & Equipment 18,000 000 18,000,000.00 Kongola Class C Police Station - Construction 5,300 000 2,291,071.24 Divundu Class C Police Station - Construction 5,300 000 2,979,364.10 Oshifo Class C Police Station - Construction 3,530 000 145,168.57 Onaandjaba Class C Police Station - Construction 6,194 000 161,033.03 Coblenz Class C Police Station - Construction 3,873 000 676,519.73 Oshikango Class A Police Station 24,000 000 2,054,123.55 Okamatapati Class C Police Station 4,658 000 1,073,027.43 Otjituuo Class C Police Station 3,200 000 1,623,354.38 Eiseb Block Sub-Station 5,859 000 000 1,200,034.32 Fuel Tanks and pumps 4,000 000 1,729,928.76 Angola - Ondjiva Attache 6,157 000 - Otjomuise Class B Police Station 1,031 000 16,918.97 Oshikoto Regional Headquarter and Police Station 1,031 000 70,779.82 Ondangwa Training Centre 2,649 000 1,448,445.28 Police Cells Countrywide - Construct and Upgrade 5,0000 000 - Israel Patrick Iyambo Police College 4,297 000 331,979.07 National Police Headquarters - Additional offices 4,297 000 183,964.56 Omusati Regional Headquarter 1,805 000 - Caprivi Regional Headquarter 1,805 000 1,327,189.71 Hardap Regional Headquarter 1,805 000 - Omega Class C Police Station 430 000 66,781.67 Karasburg Police Station - Construction 3,008 000 102,319.54 Okangwati Police Station - Construction 430 000 430,000.00 Etayi Police Station 430 000 430,000-00
62 PROJECT NAME Budget Allocation (‘000) Actual Expenditure Ncaute Police Station 430 000 149,417.63 Kuisebmond Police Station - Construction 859 000 - Acquisition of Police Patrol Boat 2,578 000 Maintenance of property abroad 430 000 Purchase Farms 8,594 000 Purchase Anro Court Building 15,400 000 Generators to All Police Stations 4,297 000 Grand Total 2 579 000 96,123,364.76
3. As can be gathered from the budget allocated and actual expenditure as indicated above, an amount of N$ 96,123,364.76 was not spend. This slight under spending is largely attributed to project delays due lack of commitment and poor financial standing of some contractors.
63 MINISTRY OF FOREIGN AFFAIRS Vote 07
Overall Summary: 2010-11
The Ministry of Foreign Affairs is the lead implementer of Namibia's Foreign Policy, and it is the window through which the outside world sees Namibia and its people. During the financial year under review, the Ministry of Foreign Affairs has worked hard to fulfil its mandate within the framework of the resources available at its disposal. Consular services were provided to Namibia Nationals living abroad. Extensive renovations of diplomatic properties abroad were done and a number of properties were acquired for the purpose of Chancery, Residence and staff houses.
The incoming and outgoing State and Official visits took place as was planned. The purpose of the state visits is to strengthen bilateral relations between the visiting countries and Namibia. Due to the global economic crises, the Ministry had experienced unfavourable exchange rate fluctuations due to the strength of currencies used by our Missions aboard. As a result, the Ministry could not manage to operate within its guideline amount.
Ministerial targets
Target 1: In order to make Namibian diplomacy more effective in realizing Vision 2030, the Ministry has embarked on training of staff members in foreign languages such as French, Spanish, Portuguese, German, Chinese, Arabic, Russian and Kiswahili. It is the intention of the Ministry to achieve a level of proficiency in the afore-mentioned languages from 45% to 60% of the staff compliment by 2012.
Target 2009/10 2010/11 2011/12 2012/2013 2013/2014 2014/2015 Actual Actual Forecast Forecast Forecast Forecast 45-60 by 15% 9.1% 27% 40-60 40-60 40-60 2012
Target 2: Increase the number of staff members trained in Diplomacy/Conflict Resolution from 90 in 2010 to 100 in 2012.
64 44 Attendance Venue Male Female Training Course for Foreign Diplomats 1 Lisbon, Portugal Certificate in Networking - (A+, N+, MCSE, 1 UTL Technologies Ltd, CCNA) India Budget Control and Management 1 Swakopmund Wellness Workplace Programme (WPP) roll- 1 1 C‟est Bon Hotel, out course Otjiwarongo Basic Electrical Course 3 WVTC, Windhoek IFMS – Budget & General Ledger 2 Swakopmund IFMS – Procurement & Account Payable 1 1 Swakopmund Skills Development Facilitators Strategic 1 Heja Game Lodge Course IFMS –Payroll course 2 Swakopmund IFMS – DSA course 1 Swakopmund Seminar on Central And Local Government 3 2 Windhoek Accounting, Financial Reporting, Good Governance, Budgeting And Auditing – (CTPD). 4th Executive Seminars for Diplomats from 1 Berlin, Germany Africa Junior Diplomatic Course 1 Islamabad, Pakistan Seminar on Public Administration for 1 Beijing, China African English-speaking Countries Budgeting & Budgetary Control 1 Swakopmund Namibia Road Safety Conference (Indaba) 1 Walvis Bay Stock-Taking Course 4 7 Keetmashoop, Swakopmund & Windhoek Monitoring & Evaluation Workshop 1 Out-of-Africa, Otjiwarongo Records and Information Management 2 AS Guesthouse, Otjiwarongo Switchboard Operators and Receptionist 1 AS Guesthouse, Course Otjiwarongo The Annual Protocol Conference for Africa 2 Pretoria, South Africa (APCA) Strategic Thinking, Planning and Managing 1 1 NIPAM the Public Sector 51st Professional Course for Foreign 1 New Delhi, India
65 Diplomats (PCFD) Training Programme for Commonwealth 1 New Delhi, India Diplomats 34th Training for International Diplomats 1 Berlin, Germany Awareness Session on Law Making 1 1 Heja Game Lodge Procedure Master‟s Degree in Diplomatic Studies 1 University of Pretoria, (MDips) 2011/2012 RSA Quarterly HIV/AIDS Focal Person‟s and 1 1 C‟est Si Bon Hotel, Managers Meeting Otjiwarongo Consultative Review Workshop MA-SSS 1 1 Midgard Country Estate Monitoring and Evaluation Workshop 1 Out-of-Africa, Otjiwarongo 5th Training Course for Diplomats from 1 Berlin, Germany Africa French Language Courses 1 3 Franco Namibia Cultural Centre, Windhoek German Language Course 1 1 Goethe-Centre/NaDS Basic Training Course: Internal Audit” for 4 6 Ministry of Foreign the Senior Managers, Internal Auditors and Affairs, Windhoek Verifying Officers Course for African and European Union 1 Diplomatic Academy of Executive Training Programme for Junior Vienna, Austria Diplomats from Africa Consultative Review Workshop MA-SSS 1 1 Midgard Country Lodge (UNAM) Awareness Session on Law Making 1 1 Heja Game Lodge Procedure
TOTAL 34 44
Target 2009/10 2010/11 2011/12 2012/2013 2013/2014 2014/201 Actual Actual Actual Forecast Forecast 4 Forecast 90-100 by 8 6 13 40-60 40-60 40-60 2012
66 Apart from the above mentioned training interventions, the Ministry also supported other relevant capacity building initiatives that are aimed at building a competent workforce capable of achieving the strategic objectives of the Ministry:
Target 3: Maintain the response time for trade enquiries of one hour at a yearly basis.
Target 2009/2010 2010/2011 2011/2012 2012/13 2013/2014 2014/ Actual Actual Actual Forecast Forecast Forecast 2015
Maintain 1h30 1hour 1 hour 1hour 1hour 1hour the response time of 1hour
Target is measured against the number of hours it takes to respond to trade enquiry. The information is obtained from Desk Officers and Missions abroad. The Ministry is of the view that the above target has been achieved. During the ensuing years the Ministry would wish to develop a qualitative measure and target that help ascertain the efficacy of our support to trade enquiries.
Revenue Collections
Source Non Tax Revenue Actual Revenue Percentage Item/Sub Revenue Estimates Collected Variance Variance item 701 Private 15 000 24 308.55 -9 308.55 62% Telephone Calls 702 Unclaimed 1 000 128 184.47 -127 184.47 127% Cheques 703 Miscellaneous 700 000 999 578.10 -299 578.10 42% 712 Interest on 100 000 140 024.92 -40 024.92 40% Investment 713 House Rent 400 000 1 280 839.89 - 880 830.86 220% Total 1 216 000 2 572 935.90 1 356 935.90 111%
67
A significant amount was collected through House rent from our staff members who are occupying houses abroad. The increase is due to the fact that the previous percentage charge on these rents was changed from 2 and 4% to 6 and 8% depending on the number of rooms in the house that the staff member are staying in.
Budget execution
Budget % Allocation overspending Budget Budget including or under Execution Allocation Virements Expenditure Variance spending Bilateral 50 546 50 615 400 49 404 925 -1 210 475 -2.4 Multilateral 64 226 59 345 400 56 951 127 -2 394 273 -4.0 Protocol 29 925 29 814 700 29 309 132 -505 568 -1.70 Missions 360 783 365 704 500 405 491 714 39 787 214 10.9 Total 505 480 505 480 000 541 156 898 35 676 898 7.06
Explanation for variances
Overall the situation of the variance in terms of expenditure pattern compared to the previous year has improved. The previous financial year over expenditure was with an amount of N$ 49 064 million (12%), however for the period under review the Ministry overspent (overall) with an amount N$ 35.676 million (7%). The detailed arguments on the variances are stated below under each category of the Ministry key programs:
Bilateral Affairs
The key functions of the Bilateral Affairs program are to strengthen the bilateral, diplomatic, economic and social cooperation between Namibia and other nations. As such Namibia has to interact with other countries through bilateral meetings and State/Official visits. The Bilateral Affairs program is thus charged to facilitate visits by Namibian Government officials and foreign dignitaries that are in line with the Ministerial objectives.
Over the years a trend has developed which in some regards has become the norm in budgeting for the activities of the Bilateral Affairs program. Normally four (4) Joint Commissions and six (6) State/Official visits are expected and budgeted for. However, the following activities were recorded for the period under review: Four (4) State/Official Visits (inbound), 5 State Visits (outbound), and 7 Joint Commissions were executed. Officials of the
68 Ministry of Foreign Affairs were also actively involved in the coordination and preparation of foreign visits by the Prime Minister, the Speaker and the Minister of Foreign Affairs.
Foreign Ministers from Cuba, Serbia, Japan, China and South Africa were hosted in Windhoek by the Minister of Foreign Affairs. The Ministry of Foreign Affairs in cooperation with the Ministry of Trade and Industry and other ministries facilitated visits to Namibia of several business delegation and other dignitaries.
In order to increase the dialogue and understanding between the Ministry of Foreign Affairs and their foreign counterparts, the Ministry held diplomatic consultations with: China, South Africa, Cuba and Spain.
Outbound Joint Commissions require budgets for S&T, accommodation and flight tickets for staff from the Ministry of Foreign Affairs (usually the Honourable Minister, Permanent Secretary, Director and Head of JCC Secretariat and two secretariat members) and gifts for the Heads of Delegation.
In the midst of the growing demands on this Program to achieve its objective it was able to perform its activities within the allocated budget. The Program under spent by an amount of N$1 million which constitutes a saving of 2.45%, largely caused by staff vacancies which were not filled within the financial year.
Multilateral Affairs and Policy Coordination
The key functions under this program are to inform and coordinate on policy issues related to developments in the regional and international organizations. These include the Southern African Development Community (SADC), the African Union (AU), the United Nations (UN), the European Union (EU), the Commonwealth, the Non-Align Movement (NAM) and the Group of 77 Countries and China (G77 and China) that affects Namibia‟s interest.
Given the additional responsibilities such as the chairmanship of SADC, membership of the Africa Union Peace and Security Council and ECOSOC, the program has performed well, with an under spending of 4% for the period under review.
The saving of N$ 2 Million under this program was due to the fact that contributions to International Organizations were not paid, because the Ministry was not invoiced on time by the assessed international organizations. The other contributing factor was the aspect of pro- rata assessment of Namibia‟s contribution which fluctuated given the GDP growth or the variables used by the assessors to determine Namibia's contributions.
69 Protocol and Consular Affairs
The program coordinates protocol and consular related matters between the Government of the Republic of Namibia and other Governments as well as International Organizations. This program also coordinates both domestic and international activities involving H.E. the President, the Prime Minister, the Speaker of the National Assembly, the Chairman of the National Council, the Chief Justice, Cabinet Ministers, Members of Parliament and other Namibian dignitaries. It further facilitates contacts between the Government and Diplomatic Missions accredited to Namibia. The Protocol officials are expected to accompany His Excellency the President on Official Visits
The program ensures that Missions and their staff are granted the privileges and immunities to which they are entitled under the Vienna Convention on Diplomatic Relations. The Division administers the extension of Privileges and Immunities to Diplomats, Consular Corps, members of the International and Regional Organizations as well as to personnel seconded to the Republic of Namibia under Bilateral Agreement.
An amount of N$29 818 700.00 was budgeted for under this program. A saving of N$505 568.33 was made, which constituted 1.7%.
The Department publishes the Diplomatic List both in hard cover and on the Ministry‟s webpage.
Credentials for Namibian Delegations to International Conferences and Seminars
Under this program the Division issued the following Credentials for Namibian delegations that attended international meetings:
Intergovernmental meetings for the High- level task force (HLT) on the Global Framework for Climate Services (GFCS) in Geneva; Switzerland on 11- 12 January 2010. Meetings for the State Parties to the International Convention of the Elimination of all Forms of Racial Discrimination at the United Nations Headquarters, New York on the 21st January 2010. The 54th Session of the Commission on the Status of Women at the United Nations Headquarters, New York from the 1st – 12th March 2010. The 4th Session of the Intergovernmental Negotiation Body on the Protocol on Illicit Trade in Tobacco Products in Geneva, Switzerland from the 14th – 22nd March 2010 The Fifth Session of the Commission on Phytosanitary Measures (CPM5) Meeting in Rome, Italy from the 22nd- 26th April 2010.
70
The 12th United Nations Congress on Crime Prevention and Criminal Justice (CPCJ) in Salvador, Brazil from the 12 – 19th April 2010. The 9th Session of the Permanent Forum on Indigenous Issues in the United Nations Headquarters, New York from the 19-30th April 2010 47th Ordinary Session of the African Commission on Human and People‟s Rights in Gambia from the 12 – 26th May 2010
The 19th Session of the Commission on Crime Prevention and Criminal Justice in Austria, Vienna from the 17th – 1st May 2010 The 63rd World Health Assembly in Geneva, Switzerland from 17th – 21st May 2010. The United Nations Framework Convention on Climate Change (UNFCCC) in Bonn, Germany from the 30th May – 11th June 2010.
The 99th International Labour Conference in Geneva, Switzerland from the 2nd- 18th June 2010. The Substantive Session of Economic and Social Council of the United Nations (ECOSOC) at the United Nations Headquarters in New York from the 28th June – 23rd July 2010. The Technical Conference on Meteorological and Environmental Instruments and Methods of Observation (TECO- 2010) as well as the Commission for Instruments and Methods of Observation (CIMO), 15th Session in Helsinki, Finland from the 30th August – 8th September 2010.
The United Nations General Assembly in United Nations Headquarters, New York on 14th September – 14 December 2010. 37th Assembly of International Civil Aviation Organisation (ICAO) IN Montreal, Canada on the 28th September – 8th October 2010. The Fifth Meeting of the Conference of Parties Serving as the Meeting Parties to the Contagena Protocol on Biosafety (COP – MOP5) in Nagoya, Japan from the 11- 15th October 2010. 10th Conference of the Parties to the United Nations Convention on Biological Diversity (UNCBD) in Nagoya, Japan, from 22 – 30 October 2010. CCAMLRXXIX Meeting of the Commission for the Conservation of Antartic Marine Living Resources (CCAMLR) in Hobat- Tansmania, Australia from the 25th October – 05th November 2010.
15th Session of the Regional Association of Africa of the World Meteorological Organization (WMO) IN Marrakech, Morocco, from 1st – 8th November 2010. The Conference of the Parties to the World Health Organisation Framework Convention on Tobacco Control in Punta Del Este, Uruguay from the 15th – 20th November 2010.
71 The 79th General Assembly Session of the INTERPOL in Doha, Qatar from the 08- 11th November 2010
The Global Record of Fishing Vessels, Refrigerated Transport Vessels and Supply Vessels in Rome Italy from the 08- 12th November 2010. Atlantic Ocean Random RNAV Routing Area (AORRA) in Johannesburg, South Africa from the 26th October – 11th November 2010. International Health Regulation Review Meeting to be held from 27 – 29 November 2010 in Geneva, Switzerland. Protection Challenges “Protection Gaps and Responses” to be held from 8 – 9th December 2010, in Geneva, Switzerland. Meeting Sharing of Influenza Viruses and Access to Vaccines to be held from 13 – 17th December 2010 in Geneva, Switzerland. 17th Session of the Human Rights Council to be held on the 8th June 2011 in Geneva, Switzerland. United Nations High Level- Meeting on HIV/AIDS to be held from 8 -10 June 2011 in New York.
Honorary Consulates of Namibia Abroad (Finalized):
Dr. William Santos Co. – Honorary Consul of the Republic of Namibia in the Philippines Mr. Sergio Ricardo Rosset- Honorary Consul of the Republic of Namibia in the State of Sáo Paulo, Federative Republic of Brazil
VIP Appointments: VIP with whom Appointment was requested: H.E. President Hifikepunye Pohamba – 78, Founding President H.E. Sam Nujoma – 30, Madame Pohamba – 1, Rt. Hon. Nahas Angula – 37, Hon. Marco Hausiku – 15, Hon. Dr. Theo-Ben Gurirab – 13, Hon. Asser Kapere – 6, Hon. Utoni Nujoma – 36.
Identity Cards: During the period under review, the Department issued 285 identification cards to members of the Diplomatic Corps, International Organizations, Consular Corps and the technical and service staff members.
72
Sub-Division: Privileges and Immunities
Certificate “A”
During the period under review, the Department approved 302 Certificate “A”, which exempts diplomats from paying customs duties when importing goods into the country.
Value Added Tax (VAT)
During the financial year 2010/2011, 85 VAT Certificates were approved and issued, while 15 VAT claims were received and forwarded to the Ministry of Finance for reimbursement purposes.
Motor Vehicle
The Department registered 130 motor vehicles during the period under review, which were either imported or purchased locally by diplomats. 145 motor vehicles were de-registered due to the relocation of some diplomats while others were sold locally. 18 Certificates of Ownership were issued.
Clearance of Vessels
4 Vessel clearances were granted to the Embassies of the Federal Republic of Germany and the United States of America.
Over-flight and Landing Clearance
The Programme facilitated 180 VIP foreign over-flight and landing clearance requests.
Quite significantly, the budget execution under the Protocol programme went well. An under spending of 3.6% was reported under the period. A lot of activities were carried out under this program; however the savings was attributed to the fact that the Minster and some senior staff member accompanied His Excellency the President and the Prime Minister on the Falcon Presidential Jet instead of flying commercial.
Missions
The budgeted amount under this program for the period under review was N$365 704 500.00. This amount was exceeded by N$39 million which constitutes an 11% excess of the
73 appropriated amount, compared to the figure of previous financial year which was N$56 million (20%). However the financial situation is still worrisome to the Ministry. The main reason for over expenditure was due to exchange rate fluctuations. The Missions implemented cost-saving measures especially in the areas of entertainment, catering, travel, telecommunications as well as downscaling on the infrastructure commitments. Unforeseen movement of staff members and their dependants between Headquarters and Missions contributed to the over expenditure on both 021-Travel and Subsistence (air tickets and accommodation). Over expenditure under this program, was also caused by the transportation of personal effects of the staff members from the Missions to Headquarters and vice –versa.
The increasing oil and gas prices have an effect on the subdivision also. Furthermore, high utility costs, especially electricity and gas in Europe and the United States, particularly during extreme winter conditions also contributed to the over expenditure on subdivision 024. Increased telecommunication fees in some Missions abroad also contributed to the over- expenditure on this subdivision.
The Ministry manages lease agreements for chanceries, residences and staff housing where no state owned accommodation is available in a specific country. Escalating rental of properties at Missions contributed to the over expenditure on subdivision 026-Property rental and related charges. The budget of the Missions included payments of rental for missions in Asia and the Middle East regions where rentals are paid in advance for a period of one- two years.
Over expenditure on subdivision 043 were due to the fact that some Missions are obliged to pay unexpected increases in social security contributions for locally recruited staff. These increases are determined by the receiving state and they are beyond our financial control.
74 MINISTRY OF DEFENCE
Vote 08
Overall Summary
The Ministry has tried its level best to live within the set ceilings. This however means that some targets are to be prolonged as Defence equipment are expensive and takes long to be manufactured. E.g.: Aircraft and War ships and weapons. Also, the ministry had to maintain soldiers on UN, SADC and AU missions. The Ministry also has to maintain a well equipped, well trained and properly housed Force hence, most of these targets will be on going.
Ministerial targets
Target 1: Recruitment: To recruit 1000 per year over the MTEF period 2010/11-2013/14.
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast 17000 2400 3400 4400 5600 6400 over the MTEF
The target is measured as total of recruited young members against total Force strength needed. The ministry managed to recruit 4400 new members, however due to death, retirement and resignations it is difficult to reach this target.
Target 2: Training: Specialization of at least 30% of MOD personnel by 2013/14.
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast 30% by 28.0 30.0 35.5 38.5 40.0 2013/14
The ministry has reached the target, however due to the high rate of technology development it is predicted that this target will be on going.
75 Target 3: Education: upgrading of at least 20% MOD personnel who wish to further their qualifications at tertiary institutions by 2013/14.
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast 20% by 18.0 20.0 28.0 30 30 2013/14
Target is measured by expressing actual number of graduated staff members against the targeted number of 20% of the Force structure. The ministry has introduced a master programme with UNAM on Defence and Security; the third group will be starting by 2011/12. This is in addition to those who are at different Institution of higher learning.
Target 4: Carry out research on modern equipment and acquire 10% of Defence Equipment by 2011/12.
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast 10% by 6.0 8.0 10.0 12.0 13.5 2011/12
Replace 10% of obsolete and outdated equipment with at least 10% latest technology by 2013/14.
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast 10% by 6.5 8.5 10.0 11.5 12.5 2013/14
This target was met in 2010/11 however, due to the fact that Defence equipment such as aircraft and war ships take many years to be manufactured and that all these contracts are in foreign currency, this target will be ongoing.
76 Target 5: Accommodation: To improve and maintain existing infrastructure at least 20% by 2013/14.
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast 20% by 0 0 0.5 1.5 12.5 2013/14
The Ministry is currently occupying old bases that were not made for permanent accommodation and these require day to day rehabilitation. This will however be solved when the Ministry manages to construct more bases to secure adequate accommodation.
Budget Execution (N$000)
Programme Budget allocation Expenditure N$
Operation 2 427 400 2 436 867 -9 467 Inter. Deployment 42 849 28 518 14 331 Construction Research And Development 544 525 540 967 3 558 Total 3 014 774 3 006 353 8 421
Explanation for variances
The Ministry received an appropriation of N$3,014,774 of which N$3,006,353 was spent and recorded an under spending of N$8,421. A variance of N$3,558 was recoreded under the Construction Research and Development programme; It was not possible to spend the entire amount allocated due to the delay of tendering process by the MWTC however the ministry is content as this amount represent 99.3% of the amount allocated to Capital projects.
Programme Operation has a variance of -N$9,467 due to the number of resources in battalion that has multiplied in terms of fixed assets, equipment, material as well as human resources. It was the result of increased responsibilities of commanders‟ function and duties. The chief of Defence Force had therefore seen it in line to elevate the ranks of commanding officers of all battalions from Lieutenant Colonels to Colonels.
A variance of N$14,331 was recorded in the International Deployment programme, as a result of savings due to three vacancies for Defence Attaché‟s that were not filled. The
77 Defence Budget spent 99% of the total allocation leaving a saving of 0.28%. This brings the total under-spend to N$8,421.
Capital Projects 2010/11
Name of project Budget Actual Leopard valley military base 15,000,000 14 999 862
Keetmanshoop military base 20 000 000 20 000 000 Walvisbay military base 30 000 000 30 000 000 Research and Development 435 825 000 432 656 543 Karibib Air force 10 875 000 14 999 999 Feasibility studies 700 000 699 947 Oshivelo Army Battle School 4 650 000 2 999 994 Gobabis Military base 7 475 000 4 999 990 Rehabilitation of old bases 10 000 000 10 000 000
Oluno Military Base 10 000 000 10 000 000 Total 544 525 000 540 967 694
Explanation of variances
The projects have a variance of N$3,557 which is 99% execution rate, this variance can only be explained as a result of some contractors who could not complete their work before 31 March 2011.
Revenue Collection
Revenue description Main Estimate Outturn Ministerial Fines 300 000 436 570 Lost Equipment 30 000 6 038 Private Telephone Calls 5 000 0 Hiring of Helicopters 300 000 0 Miscellaneous 600 000 303 429 Sale of Serviceable Stores and 30 000 0 EquipmentTotal 1 265 000 746 037
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Explanation for variances 2010/11
Ministerial Fines during this Financial Year court martial were undertaken and all soldiers found guilty were fined, resulting in to the Ministry receiving revenue beyond its estimated amount.
Sales of Serviceable Stores and Equipment No auction was held during this financial year, hence no revenue received.
Lost Equipment The ministry received less revenue than predicted. This was a result of a reduction in lost equipment during this financial year.
Private Telephone Calls the ministry introduced drastic measures by credit allocation to all members, according to responsibility. As a result private calls are minimized and hence no revenue has been generated.
Hiring of Helicopters The Ministry only had one Helicopter this current Financial Year which was deployed to the flood in the northern regions, hence no revenue has been collected.
Miscellaneous the Ministry use this account for any other revenue not accommodated in other revenue sources such as revenue from UN operations. The estimate was based on the UN operation to Chad which was called off.
79 MINISTRY OF FINANCE
Vote 09
Overall Summary
The Ministry of Finance is responsible for administering fiscal and financial policies aimed at macroeconomic stability and sustainable socio-economic development.. The Ministry plays a dual role as a custodian of Public Finance Management and a steward of the financial services sector, comprising both bank and non-bank financial industries.
In discharging this mandate, the Ministry implements programmes aimed at ensuring that public finances are managed in an effective and efficient manner. In the realm of Public Finance Management, the achievements in respect of the targets and progress thereof, reflect the collective efforts of the Offices/Ministries/Agencies, which are encapsulated in the Public Finance Management (PFM) strategy that calls for.
The Ministry strived to achieve the following objectives:
Sustain equitable socio-economic development Optimise public revenue collection Ensure that public expenditure delivers results and value for money Manage Public Assets and Liabilities Ensure effective management of human capital and other resources Ensure efficient and stable financial sector.
Government wide expenditure
The Ministry of Finance budget provision for 2010/11 financial year was N$2.65 billion (operational N$ 2.578 billion and development N$ 73 million) of which N$2.34 billion was spent, reflecting a budget execution rate of 88.47%. A combination of factors accounts for the Vote not fully spending its budget. These include the later-than-expected disbursement of the EU funding of N$40million) for budget support, delay in the implementation of the Ministry‟s capital project due to shortfall of construction materials and adverse weather conditions, and actual disbursement from the Contingency Fund to the votes being less than the budgeted provision.
Out of the N$2.6 billion allocated the Ministry of Finance, N$1.84 billions was to implement programmes, are cross-cutting. These are: - Medical Aid (N$1 010.0 million), Tender Board (N$4.4 million), Judges Pensions (N$35.4 million), Transfers to State-Owned Enterprises
80 (SOEs) (N$ $536.8 million), and Contingency Provision (N$250.0 million). In total, the appropriations to these programmes make up 69.4% of the budget allocation for the Ministry of Finance.
Ministerial Targets
Target 1: Maintain average total debt as ratio to GDP within 25% to 30% by 2012/13
Target 2008/09 2009/10 2010/11 MTEF Actual Actual Actual Average Debt as ratio to GDP below 30% 18.0 14.8 15.5 16.1
The debt portfolio comprised domestic debt of N$8.4 billion and foreign debt of N$3.2 billion. This translated into a domestic debt to GDP ratio of 11.2% and foreign debt to GDP ratio of 4.3%, totalling 15.5% as a ratio to GDP in 2010/2011. The trend over the MTEF shows decrease in the debt ratio by 2010/11 as a result of the decrease in the debt levels due to early repayment, and the appreciation of the Namibian dollar against major foreign currency. The outturn for 2010/11 stood well below the overall Government debt target of 30 percent of GDP.
Foreign debt to GDP ratio decreased from 4.9 percent in 2009/2010 to 4.3 percent in 2010/2011.
Target 2: Achieve 98% accuracy of revenue forecast during MTEF period
Target 2008/09 2009/10 2010/2011 MTEF Actual Actual Actual Average Achieve on average 98% accuracy 93.3 97.9 96.3 95.8 of revenue forecast during MTEF period
The revenue outturn for the financial year exceeded budget forecast by 3.7 percent. This outturn translates into a forecast accuracy of 96.3%, which is better than the MTEF average of 95.8% and 1.7% below the target of 98 percent. The outturn reflects better-than-projected revenue performance, mainly due to strong economic recovery recorded during 2010. Better performance was especially recorded in Individual Income Tax category, which was 5 percent better than projected as well as non-mining company tax, which recorded 10 percent more than expected.
81 Target 3: Average budget deficit as a ratio % of GDP around 5%, for the MTEF
Target 2008/2009 2009/10 2010/11 MTEF Actual Actual Actual Average Average budget deficit as a ratio 2.0 -1.1 -4.6 -1.2 % of GDP around 5%, for the MTEF
The budget average deficit-to-GDP ratio over the MTEF amounted to 1.2 %, which was significantly below the 5 % benchmark. However, the deficit outturn of 4.6% realised in 2010/11 edged closer to the 5% benchmark. This moderation in actual deficit outturn is due to the twin effects of better revenue outturn and under-spending over time and also because non utilization of all appropriated funds by O/M/As and the improved expenditure control measures, owing to advances in IFMS technology. The rise in the budget deficit in 2010/11 compared to 2009/10 reflects the expansionary fiscal policy adopted for the MTEF as a measure to support domestic economic recovery as well as devoting significant attention to addressing socio-economic challenges including unemployment.
Target 4: Maintain variance of less than 2% expenditure on overall budget ceilings, yearly
Target 2008/09 2009/10 2010/11 Actual Actual Actual Maintain a variance of less than 2% 6% 4% 2% expenditure on overall budget ceilings, yearly
The implementation of IFMS with its in-built monitoring functionality ensured that expenditure is kept within the budgeted amounts. The outcome over the MTEF reflects improvements in expenditure control, from a variance of 6% during 2008/09 to 2% in 2010/11. Expenditure codes were capped at the budgeted ceilings, except for the personnel expenditure code. This code, however, resulted in overspending offsetting some of the under- spending recorded during the year. This issue is receiving the due attention of Treasury. Overall expenditure for the year amounted to 98.2%, which was within the target band of 2% percent variance.
82 Target 5: Maintain contingent liabilities below the target of 10% of GDP, yearly
Target 2008/09 2009/10 2010/11 Actual Actual Actual Maintain contingent liabilities below the 4.1 3.2 2.3 targets of 10% of GDP
As depicted in the above table, the total contingent liabilities as a percentage of GDP for the past three fiscal years 2008/09-2010/11 reminded within the benchmark of 10.0% of GDP.
Other Main Indicators
Indicator 1: Sustain growth of tax revenue
Revenue Estimate Actual Estimate Actual % Description 2009/10 2009/10 2010/11 2010/11 Variance Taxes On Income And 6 967 450 000 8 104 993 422 8 706 810 910 10 068 757 969 15.64 Profits Taxes On 133 430 000 191 586 459 209 770 402 138 514 259 -33.97 Property Domestic Taxes On 3 441 093 899 4 874 483 373 5 309 853 417 5 295 300 496 -0.27 Goods And Services Taxes On International 9 331 640 000 8 585 176 458 5 975 332 000 5 975 941 080 0.01 Trade And Transactions Other Taxes 156 000 000 166 749 300 188 065 884 208 386 185 10.80 TOTAL 20 029 613 899 21 922 703 546 20 389 832 613 21 686 899 989 6.36
Taxes on Income and Profits:
An outturn of 15.6% above the estimated amount is mainly due to the increase in non resident shareholders tax, improvements in personal earnings resulting in more Pay As You Earn (PAYE) and the increase in other revenue collections arising from strengthened enforcement interventions such as tax audits including forensic audits, requirement of certificate of good standing for tenderers, etc.
83 Taxes on Property:
The decrease of 34.0% in Taxes on Properties for the financial year 2010/2011 is due to the transfer duty threshold which was increased from N$ 100,000 to N$ 400,000. Properties purchased by private persons with a value of up to N$ 400,000 were exempted from transfer.
Domestic Taxes on Goods and Services:
The 0.27% under collection in this tax category is attributable to a decrease in commodity prices and the introduction of zero rating of certain products and services.
Taxes on International Trade and Transactions:
The collection in this category is pre-determined by the share that Namibia obtains from the Southern African Customs Union (SACU) Common Revenue Pool. The decline in SACU receipts is attributable to the impact of global financial crisis which reduced the size of the SACU Pool.
Other Taxes:
Other Taxes represent stamp duties and fees. The collection of stamp duties and fees depends on the period and value of lease agreements, financial leases and other dutiable instruments. The 10.8% positive variance is as a result of an increase in the value of negotiable instruments executed, for example lease agreements, registration of mortgage bonds, financial leases, etc. during the financial year under review.
Non Tax Revenue
Description Estimates Actual Variance % of collection Variances Member‟s contribution to the Government Employees 91 998 148 92 645 651 647 503 0.7 Medical Aid Scheme Redeposit of unclaimed 250 000 97 813 838 97 563 838 39 025.5 cheques Sale of tender documents 732 000 1 472 630 740 630 101.2
Private telephone calls 1 000 261 -739 -73.9
84 Description Estimates Actual Variance % of collection Variances Auction sales (Customs) 25 386 1 927 191 1 901 805 7 491.6
Warehouse Rent (Customs) 108 404 117 816 9 412 8.7
Collateral Losses 1 000 233 719 232 719 23 271.9 Special Attendance 667 678 556 150 -111 528 -16.7 Export Levy (Customs) 2 600 000 4 308 454 1 708 454 65.7
Additional Duty (Customs) 10 000 000 7 012 712 -2 987 288 -29.9
Licence Fees (Customs) 10 000 22 828 12 828 128.3
Miscellaneous 15 000 000 3 485 821 -11 514 179 -76.8 Guarantee Levy Payment 20 000 000 0 -20 000 000 -100.0
TOTAL 141 393 616 209 595 071 68 201 455 48.2
Member‟s contribution to the Government Employees Medical Aid Scheme The growth in membership was as anticipated, from 15 917 in 2009/10 to 17 752 in 2010/11.
Redeposit of unclaimed cheques Cheques issued as refund from Inland Revenue which are not cashed during that year were redeposited in the State Revenue Fund. Such outstanding cheques are reported as a liability to the State.
Sale of tender documents The collection of revenue increased because the Tender Board Secretariat provided more training to prospective companies in the regions and encouraged more companies to participate in the tendering process.
Private telephone calls The users were no longer charged due to the introduction of the Credit limit system
Auction Sale The auction sales collections are dependent on the number of detained goods/consignments and the prices they fetch on the auction. The variance of -7.31% is due to the auction of left hand driven vehicles which were originally meant for export to Angola and hence not considered when the estimates were done.
85 Warehouse Rent The variance of 8.12% was collected over and above the main estimate as a result of goods retained in Customs warehouses which were not collected by owners within the specified time frame.
Collateral Losses The Ministry embarked on awareness campaigns among O/M/As as well as Financial Institutions and brought along procedures and guidelines which ultimately resulted in guaranteed amount to be paid on time. As a result, an amount of N$ 233,718.76 was recovered during the year under review.
Special Attendance Revenue under this item is mainly collected from clients in respect of duties performed outside official working hours for customs clearance purposes. An amount of 16.69% less than projected was collected. The collections under this item are demand driven.
Export Levy An export levy was introduced to discourage the exportation of some specified locally produced commodities for the purpose of promoting value addition. Amount in 65.71% more than the estimate was collected due to enhanced enforcement controls and voluntary compliance. Increase in exports volumes, mostly of raw hides and skins, has been experienced due to demands especially to the South African and European markets.
Additional Duty Additional Duty is levied on some specified items such as (Dairy, Pasta) for the protection of the local infant industry. The decrease of 29.62% from the estimated amount is due to less import of Dairy products and Pasta.
Licence Fees Licences for operating a clearing agency are renewable every calendar year. The licence fees (N$100 per year) collections are depended on the number of Clearing Agents that are re- registering and also by new entrants in to this industry, hence the variation from the estimates.
The variance of 128.3% is due to an increase in the number of registered Clearing Agents during the financial year. Traders making use of the Direct Trader Input (DTI) facility were not required to have a license when registering, hence the non-payment of license fees. So, the Direct Trader Input (DTI) availed to traders that were not Clearing Agents was terminated resulting in them registering as Clearing Agents with the consequent increase in Licence Fees.
86 Miscellaneous
The 76.8% variance is due to the fact that in the previous financial year the miscellaneous account was credited with revenue accrued from export levies, additional duties and licenses as no account codes were available; now those accounts are active.
OTHER MEASURES
Measure 1: Entrepreneurial and property income
Revenue Main Estimate Outturn Variances % Variances description N$ Interest on 14 000 141 119 127 119 908.0 investment
This is the repository of interest accruing on two pre–independence investment arrangements of N$12, 6 million and N$8, 7 million that Government (South West Africa Administration), made for the purpose of erecting water and health facilities, channelled through the Umgeni Water Board and Mercantile Bank at „soft‟ rates of 5.25 percent and 5.5 percent respectively. The sum of N$37.2 million including interest is secured by means of promissory notes which are payable semi-annually. However, in the case of the Umgeni Water Board, the first payment was made on November 4, 1998 while the last payment is due on May 4, 2013. For the Mercantile Bank, the first payment was made on January 28, 1990 and the last was made in July 28, 2009.
The interest on investment was under estimated. An oversight figure given as an estimate was supposed to coincide with the repayment schedule. This problem has been rectified and correct figures are provided in the next financial year.
Measure 2: Dividends and Profit Share (N$‘000)
Name of project Budget Actual Variance % Variances Afreximbank 385 0 -385 -100.0 Bank of Namibia 342 880 114 529 -228 351 -66.6 Namibia Airports Company 1 200 0 -1 200 -100.0 Namibia Post & Telecommunications Ltd 16 500 78 886 62 386 378.1 (NPTH)
87 Name of project Budget Actual Variance % Variances Namport 15 000 15 000 0 0.0 Rossing Uranium 7 600 588 -7 012 -92.3 Namibia National Re-insurance 900 1 250 350 38.9 Corporation Namibia Diamond Trading 60 000 85 000 25 000 41.7 Company Total 444 465 295 253 -149 212 -34.4
A variance of 36% in dividends received was due to the lower dividends received from State Owned Enterprises (SOE) compared to what was initially estimated. The actual dividends are based on SOE‟s performance as well as their capital requirements which might require reinvestment of the profits realised.
Afreximbank The bank declared dividends of US$ 72 098 in 201//11 financial year, at rate of 8.12% which is equivalent to N$ 58558.36
Analysis of Dividend payments
Dividends and profit share is unpredictable since the companies declare dividends at the year end after the assessment of overall performance of operations and after auditing of financial statements. The resultant profitability of the operations then determines whether SOEs are able to declare dividends. Nevertheless, preliminary projections on dividends are received from the SOEs directly and the likelihood that dividend outturn does not match the forecast remains due to factors beyond the Ministry‟s control.
Total dividends received from SOEs in 2010/11 amounted to N$295 million compared to N$424 million received in 2009/10.
Further explanations on the variances are also provided under each O/M/A mandated with the oversight function of each SOE under its auspices. These are to be in line with the performance (and subsidy where applicable) agreements between the O/M/A and the respective SOE. All O/M/As and SOEs have been requested to make firm commitments on dividends likely to be declared for the coming financial year. Further, dispensation of subsidies to SOEs is henceforth subject to subsidy agreements being in place between O/M/As and their respectively administered SOEs.
88 Programmes N$ ‘000’
Programme Budget Virement Total Outturn % allocation Budget Variance allocation Economic Policy 2 841 0 2 841 2 931 -3.2 Advice Revenue Management 310 675 -4 847 305 828 244 510 20.0 Public Expenditure 353 404 101 566 454 970 402 888 11.4 Management Procurement 4 375 0 4 375 2 951 32.5 Asset and Liabilities 550 533 40 278 590 811 583 124 1.3 Management Medical and Statutory 1 048 749 -43 822 1 004 926 981 961 2.3 Pension Scheme Coordination and 379 850 -93 174 286 676 126 511 55.9 Support Services Total 2 650 427 0 2 650 427 2 344 876 11.5
Economic Policy Advice
The main achievements under this programme are the publication of Macroeconomic and Fiscal Policy Framework for the 2011/12 – 2013/14 MTEF, development of an Integrated Macroeconomic model, undertaking of activities to formulate a financial literacy programme. achievements also include coordination of, and participation in regional and international cooperation for including Fitch Sovereign Ratings, SACU and SADC activities, International Monetary Fund (IMF), African Development Bank and World Bank cooperation matters and participation in international trade negotiations.
There was continuous participation in Macroeconomic Working Group activities during the year as well as related training activities.
The negative variation could be explained by vacant positions that were in the Directorate during the 2010/2011. The position of the Economist grade SP2 and the Director became vacant during the 2010/2011 and these have contributed to the negative variation.
89 Revenue Management
The variance (-20.88%) between budgeted and actual expenditure is as a result of the following:
The introduction of the new minimum requirements for Revenue Management job categories further resulted in delays in the filling of vacancies and consequently lead to the under spending in this regard.
It was expected that 10 audit firms would be engaged to undertake forensic audits during the financial year; however 7 firms withdrew from the project due to conflict of interest as well as non acceptance of agreed fee structure. The withdrawal of the 7 firms resulted in lower audit coverage than expected and hence under spending. Throughout the period under review, only 3 audit firms have been engaged to conduct forensic audits. Even the 3 firms could not dedicate all the resources to the project due to other commitments.
An under-spending of N$ 18, 5 million (41, 5%) on capital projects was mainly due to the delays in the preparation of engineering documentation, and therefore in the awarding of tenders. The unexpected heavy rainfalls and the shortage of steel and cement also contributed negatively to the progress of the projects.
The major achievements under this programme are as follows:
Revenue Management continued to strengthen enforcement of the laws through enhanced internal controls, auditing of enterprises and conducting of joint controls and road blocks with other law enforcement agencies, which resulted in detentions and seizures of illicit goods. These interventions resulted in:
A significant increase in revenue collection derived from taxes on Income and Profits of 15.64% and stamp duties & fees of 10.80%.
Detention and seizure of undeclared, under declared, illicit and contraband goods such as drugs (Trans Kalahari border post) and cigarettes (North Eastern Region).
Revenue Management has continued to actively participate in national, regional and international dialogue in international trade and other international cooperation. This includes the following;
90 Assumed Chairmanship of the Sub-Committee on Customs Co-operation (SCCC) and Technical Advisory Working Groups and chaired one of the Commonwealth Association of Participant in Tax Administrators (CATA) Annual Conference Working Group; Hosted SACU national consultative meetings; Formulation of a Tax Policy and Tax Administration reform programme; Undertaking of an assement Human Resources development needs;
Implementation of an upgraded structure for the Custom‟s office consisting of 5 Regional heads (Deputy Directors); and completion of the Customs Southern Regional Head quarters in Keetmanshoop.
Installation of Scanner equipment and scanner sites at Oshikango, Wenela, Trans Kalahari, Hosea Kutako and Walvisbay Airports
Public Expenditure Management
The original budgeted amount for the 2010/11 financial year was N$ 353.4 million. Due to virementation of N$ 101.6 million to Contingency provision, the total budget has increased to N$ 455.0 million. These Contingency Funds are spent as the need arises. It is not necessarily expected that all these funds should be spent. An amount of N$ 402.9 million was actually spent during the year under review. The revised budgeted amount less the total expenditure gives us a variance of 11.4%.
Achievements:
The major achievements under this program entailed: The implementation of the financial management systems that monitors all government accounts. The budget documents were tabled in Parliament as required by law. All Government Accounts were kept and closed within the statutory time frame and proper maintenance of IFMS contributed towards an overall reduction in over spending.
The proper functioning of government payment services attributed to timely and smooth payment settlement of service providers and accurate government accounts.
91 Procurement
Under staffing and day to day work activities kept employees occupied and as a result the planned training, workshops and investigations in the regions did not materialize during the financial year.
All funds budgeted for furniture were not utilized as the additions to the structure were not approved.
Achievement Tender Board Bill finalised and will be put through a consultative process before tabling in 2012/13. Training on tendering process provided to SME‟s
Debt and Assets Management
Achievement Equity Participation & Subsidies, from SOEs
The major achievements under this programme include: Transfer of funds to SOEs in the form of equity and subsidies, amounting to N$557.3 million for 2010/11 financial year.
The following SOE received subsidies as ;
Air Namibia
N$ 120.5 million was provided towards the lease payments of N$102,040,778 for two long haul Aircrafts and fuel expenses of N$13,550,627 as well as the aircraft maintenance for N$4,908,595.
Air Namibia‟s estimated contribution to the economy is N$2 billion to GDP during the year 2010/11.
Achievements The airline transported 407,895 passengers during the year under review and 8.7 million kilograms of freight Average yield was N$2, The maintenance of 12,000 jobs Average yield was N$2,066.00 per passenger
92 Challenges
Stiff competition from major and well-resourced airlines, The FIFA 2010 Soccer World Cup had a negative impact on the airlines‟ operating in the region, because of the diversification of passenger to the world cup. The impact of the 2008/09 recession continued to suppress demand and resulted in negative traffic growth. The effects of fuel price and currency volatility also impacted negatively on the airliner‟s operation. The airline continued to make operating looses however such looses decreased significantly in 2010, operating losses were N$94 million compared to N$324.1 in 2009. The airlines total liabilities exceeded its total assets by N$94 million compared to N$248.4 million in 2009.
93 Luderitz Waterfront Development Company The N$11 million subsidy to Luderitz Waterfront Development Company was mainly utilized for preparation and management costs for the project from planning to full implementation stage which include the following:
Project consultations fee Legal fees Administration
Output Revenue generating in tourism Employment creation Economic growth for the town of Luderitz and the Karas region
Achievements
The company succeeded in securing various reputable business partners for Phase 2 of the Waterfront Development Project in the following areas:- Developed a Proposal to set up a Luderitz Waterfront Hotel to be operated by private concern with shareholding of 51% Luderitz Waterfront and 49 % private concern. Old Power Station has attracted interest of Polytechnic of Namibia, Ministry responsible for Sport, Ministry of Fisheries and Marine Resources The Proposed Retail Outlet has secured an anchor tenant. This process is currently underway. The residential Housing Component is still in its infancy stage, and will receive immediate attention early in the year 2012.
Development Bank of Namibia (DBN)
Development Bank of Namibia provides finance for enterprises to promote economic development, create jobs and develop infrastructure in the country.
Budget allocation Budget allocation to Development Bank of Namibia stood at N$50 million in 2010/11. The loans and equity investment portfolio of the bank grew from N$663 million to N$1.034 billion during the year. The Bank‟s balance sheet has no long-term debt.
94 The main outputs of DBN include the expanded loan book of the Development Bank and a growing BEE and SME sector where employment has been created.
Achievements Development Bank of Namibia has retained earnings of N$ 274 million over the past year. The said company has also successfully financed various projects in the 2010 financial year.
DBN approved about 153 new projects across the 13 regions of Namibia in different sectors of the economy. Of this 131 were in the SME sector, 21 in the Private Sector and 1 in the Public Sector.
DBN clients felt the pinch of the global downturn, especially those operating in the export environment. Heavy rains in the north and the inflow of water from Cuvelai Basin in Southern Angola also wreaked havoc, causing damage to infrastructure, work stoppages and slowing business in general.
Nampower
Nampower‟s subsidy was N$100 million and was utilised for the construction of Annexure Projects; adding 22.5 Megawatts to the Namibian power generation capacity.
Financial Intelligence Centre An amount of N$1.7 million was allocated in 2010/11 financial year and transferred during the same year. The funds were mainly used for operational expenditure; the funds were mainly used for operational expenditure as a result the centre is properly functioning.
Output Proper functioning of the centre
NamWater
An amount of N$50 million was transferred to Namwater towards the efforts of meeting the long-term strategy to prevent water shortage in the country.
Output Clean water available to rural communities and the increased number of rural communities with access to clean water.
95
AgriBank
Budget allocation AgriBank budget allocation was N$60.2 million
Budget execution/programmes The Bank approved loans amounting to N$254 million during January 2010 to December 2010 to 892 beneficiaries, mostly previously disadvantaged Namibians.
Output The Bank balance sheet realized growth of 18% in the loan book from N$1, 4 billion in 2009 to N$1,6 billion in 2010.
Medical and Statutory Pension Scheme
The variances is due to bio-matrix cards which were budgeted for and not implemented
Achievement Sustained provision of medical aid benefits to members and dependants
Coordination and Support Services
The purpose of this programme is to provide administrative support to the Vote programmes, which entails human resources provision and administration, corporate support services (fleet management, business process re-engineering, public relations and supply-chain management). The programme further ensures sound and proper financial management, optimal deployment of resources.
Achievement Staff members were assisted financially to improve their qualification and most of those assisted completed their studies, and as a result productivity has improved. Training and information was provided to regional staff members on the Public Service Staff Rule and Public Service Act. Disciplinary cases have decreased. The EDRMS project implementation has gone live during the year under review and twelve temporary employees was appointed during the period in question.
96 Capital Projects (In N$)
Project Name Budget Actual Variance Execution 2010/11 2010/11 Rate % Hosea Kutako 14 778 000 6 904 813 7 873 187 47 Rundu Regional Office IRD 60 000 0 60 000 0 Trans Kalahari Border Post 60 000 0 60 000 0 Katwitwi Border Post Phase 2 3 500 000 3 500 000 0 100 (Office Block) Omahenene Border Post 250 000 0 250 000 0 Oshakati Regional Office 363 000 236 249 126 751 65 Walvisbay Regional Office IRD 60 000 0 60 000 0 Keetmanshoop Customs Facility 11 513 000 10 202 000 1 311 000 89 Otjiwarongo Customs Facility 300 000 262 687 37 313 88 Noordoewer Border Post 6 940 000 3 637 382 3 302 618 52 Ariamsvlei Border Post 6 691 000 829 512 5 861 488 12 Office Accommodation for MoF 28 000 000 4 276 000 23 724 000 15 Total 72 515 000 29 848 453 49 571 000 41
Explanation for Capital expenditure variances
An amount of N$ 22,944,000 (41%) of the annual appropriation for development projects (N$72, 515,000) was spent during the 2010/2011 financial year.
The variance of 59% is attributable to delays in the preparations of documents, by architects‟ late appointment of professionals (engineers and Quantity Surveyor) and late submissions of payment certificates. Unusual rainfall experienced as well as the unavailability of construction material such as cement and steel during the period under review also contributed to the low execution rate.
In the case of Ariamsvlei, a principle decisions from Cabinet is awaited to either shift the border facilities closer to the International border line or to remain at the current location.
For the Office Accommodation for MOF, It took almost 4 months, from 6 July to 28 October 2010 to finalise the documentation for the Tender award, the Contract and to hand over the site, while the 1st payment certificate was issued only on December 2010. Only 3 payment certificates were issued in this financial year and only N$7 million including professional fees could be spent. The cumulative effect of slow progress including the delays from the previous year meant that the original budget of N$ 28 million for 2010/2011 was
97 more than the predictions. The reasons for the delay and the under spending under the office accommodation project include;
Contract sum and professional fees were adjusted downwards by more than N$ 10 million due to the low price of the successful tender; Delays accrued from the previous year; Delays due to additional time consuming work such as deeper excavations and other additional safety measures requested by the Engineer.
98 MINISTRY OF EDUCATION
Vote 10
Overall summary
The Ministry of Education has nine targets to report against and three additional intervention areas outside the current targets namely, research, HIV/AIDS and NQA (Namibia Qualifications Authority). The Ministerial targets are derived from Vision 2030 and have been defined within the context of the Education and Training Sector Improvement Programme (ETSIP) which is a sector response to Vision 2030. The main programmes covered under ETSIP are (i) early childhood development and pre-primary education, (ii) general education, (iii) vocational education and training, (iv) tertiary education and training, (v) knowledge and innovation, and (vi) information, adult and lifelong learning and (vii) HIV/AIDS towards improving teaching and learning outcomes.
The Ministry of Education has received N$ 6.3 billion during the reporting period to meet its targets and related functions. The main outcomes in meeting these targets are highlighted below.
During the 2010/11 reporting period the performance of education was affected by the floods. Infrastructure was submerged and damaged and actual teaching and learning was interrupted. In total more than 338 schools were affected, involving more than 127,860 learners. Therefore renovation of the damaged infrastructure was required and arrangement for lost teaching and learning time was made. In general, this calls for a mitigation strategy to avert serious impacts in the future which should involve all stakeholders. This would further imply that the development budget for the subsequent years will need to be systematically increased to avert negative impacts on the targets.
Ministerial Targets
Target 1: Number of children from disadvantaged communities who enter primary education having successfully completed one year of public pre-primary education increased from 5,209 in 2009 to 13, 000 by 2014.
99
Target 2008/09 2009/10 2010/11 2011/12 2012/13 2013/14 Actual Actual Actual Forecast Forecast Forecast 7,500 in 3 765 5 209 7 554 12 500 20 000 37 500 2010 15.0 % 7.1 % 11.9 % 16.6 % 19.2 % 33 % 57.4 %
Access to pre-primary is being increased annually although the intake could be much greater in view of needs. In 2010, 16.6% of new entrants to Grade 1 had attended PPE compared to 7.1% in 2008. To date there are 475 primary schools with a total number of 505 pre-primary classes and the number of children aged 5 to 6 enrolled in PPE increased to 12 500 children 2011. In 2010, 44% of children enrolled in PPE were OVCs compared to 38% in 2008. 6,311 out of 6,653 learners who were tested for school readiness were found to be school ready. This implies that learners are being prepared for entry into primary education. Therefore in 2010/11 we had a total enrolment of 11,631 learners which is closer to the 2014 target of 13,000.
The above has been possible because the Ministry has begun to invest in Pre-Primary education in terms of training of teachers and creating appropriate space that has led to increased enrolment of learners from disadvantaged communities.
Target 2: Enrolment in Grade 11 increase from 18, 193 in 2009 to 22,617 in 2014
Target in 2010 2008/09 2009/10 2010/11 2011/12 2012/13 2013/14 Actual Actual Actual Actual Forecast Forecast 20,856 17 376 20 690 21 054 20 199 21 496 22 617
EMIS data shows learner enrolment increased from 20 690 in 2009 to 21 054 in 2010, getting closer to 2014 target. This was primarily due to a strategic decision to absorb Grade 10 learners to repeat and where they did not have opportunities, this were expanded through various learner support programmes.
Target 3: Expand access to secondary education by 2014.
Target in 2008/09 2009/10 2010/11 2011/12 2012/13 2013/14 2010 Actual Actual Actual Forecast Forecast Forecast 55.0 % 54.5 % 54.8 % 55.7 % 58.0 % 60.0 % 65.0 %
100 Expanding access to secondary education is influenced by a number of factors, including improvements in the quality and quantity of teachers and construction of physical facilities. It is measured by the net enrolment of learners between the age 14 – 18.
The Ministry has undertaken deliberate efforts to expand access to secondary education through improvements in the quality and quantity of teachers, construction of physical facilities and strengthening learner support activities. The target of 55.0 % for net enrolment at secondary levels in 2010 was exceeded by 0.7 %, standing at 55.7% in 2011.
Target 4: Expand National School Feeding Program to Orphans and Vulnerable Children from 167,000 to 200,000 by 2014
Target in 2008/09 2009/10 2010/11 2011/12 2012/13 2013/14 2010 Actual Actual Actual Forecast Forecast Forecast 200,000 190 000 220 738 224 276 240 000 245 000 250 000
In 2010/11 the programme benefited 224,276 learners, exceeding the target for 2010/11. This was made possible due to intensified efforts to sustain learners in the school. However, even though the target has been reached, the programme has to continue due to persistent demands for access to school.
Target 5: Percentage of learners achieving D or better in Mathematics, Science and English in Grade 10 and Grade 12 increased respectively from 36.2 %, 38.3 % and 45.4% to 43.5%, 50.5 % and 50.6 % in 2014.
There has been a steady improvement in learner performance during the period from 2008/09 to 2010/11, with slight fluctuations. However, the targets for 2010 have almost been reached at both Grades. For example, for Grade 10 Mathematics the target was 40.5% and actual achievement was 39.1%. Similarly, with Grade 12 Mathematics, the target for 2010 was 39% and actual achievement was 36.4%. The trend is more or less the same for the other two subjects.
Grade 10
Target 2008/ 2009 2009/ 2010 2010/ 2011 2011/ 2012 2012/ 2013 2013/ 2014 for 2010 Actual Actual Actual Forecast Forecast Forecast 40.5 39.9 39.7 39.1 41.2 42.3 43.5 46.6 42.8 46.4 45.2 48.0 49.2 52.4 47.6 46.3 46.7 48.6 48.3 49.5 51.1
101 Grade 12
Target 2008/ 2009 2009/ 2010 2010/ 2011 2011/ 2012 2012/ 2013 2013/ 2014 for 2010 Actual Actual Actual Forecast Forecast Forecast 39.0 39.9 39.7 36.4 41.5 42.9 44.2 35.5 42.8 46.4 32.2 37.0 40.0 42.5 42.5 46.3 46.7 41.7 44.0 45.5 47.8
Target 6: Increase the enrolment in Vocational Education and Training from 6,560 in 2009 to 24 944 in 2014, and the average completion rates from the current 75% to 90%
Target in 2008/09 2009/10 2010/11 2011/12 2012/13 2013/14 2010 Actual Actual Actual Forecast Forecast Forecast 12,792 6 560 8 528 8 528 19 188 13 595 16 870
Although a marked improvement has been seen in terms of an average increase of VET (Vocational Education Training) trainees from 6, 560 in 2009 to 8,528 in 2010, the target of 12 792 for 2010/11 has not been reached and the completion rate is estimated to be at 61% due to capacity gaps and staff turnover.
The improvement can be attributed to the implementation of the competency based education and training system especially with the Vocational Training Centres (VTCs). Great effort has been undertaken to consolidate the activities of the VTCs to allow for more efficient use of time. Some of the institutions have evening academies to train people who work during the day. However the target for 2010 of 12,792 could not be met.
In terms of the completion rate, there has been some improvement as 61% of the graduates who enrolled completed their training programmes successfully. This number, however, will be improved due to various initiatives being put in place by the NTA.
The NTA has put structures in place to inform the skills needs within industry. These bodies comprise of senior persons from different industries who advise the NTA about current and long term skills requirements. The marked increase in trainee enrolments over the years will be influenced by the opening up of the VET market from the “traditional” trades (Bricklaying, Plumbing, Carpentry, Automotive Mechanics) to include new occupational areas like Fishing, Business and Financial Services, Agriculture and Mining, all of which were not considered under the VET banner.
102 The NTA has designed a new Vocational Education and Training Information Management System (VETMIS). The system gathers and analyses data to give accurate statistics.
Target 7: Percentage increase into access to Community library/CLDCs network service points providing public ICT access to communities increased from 19 % in 2009 to 100% by 2013.
Target 2008/09 2009/10 2010/11 2011/12 2012/13 2013/14 in 2010 Actual Actual Actual Forecast Forecast Forecast 48 % 19 % 21 % 44 % 66 % 86 % 100 % 30 12 13 28 42 55 65
Access to the Internet is consistent with the United Nations Universal Declaration of Human Rights, especially Article 19, and with Namibia‟s Vision 2030. Improving access to information and learning resources has been supported by the program of libraries and archives services, by providing free public ICT access in community libraries/CLDCs. During this reporting period, unlike the previous year, this programme performed extremely well, as the target set for 2010 was to increase access by 48% and achievement for 2010/11 shows an increased access of 44%. The only obstacle was caused by delays in establishing internet connectivity in two of the targeted libraries.
Target 8: Increase the number of all diploma, degree and post graduate levels in key human resources categories from 583 in 2007 to 1,000 by 2014
Target for 2007/08 2008/09 2009/10 2010/11 2011/12 2010 Actual Actual Actual Actual Forecast 1000 954 735 1 000 1 200 1 400
During the academic year under review, the target of 1000 graduates in key human resources categories exceeded the 2010/11 targets. The actual achievement was 200 graduates in the categories of agriculture, economics and management science, Engineering and Information Technology, and Medicine. Plans are underway to review this target and define roles of Polytechnic and University of Namibia. Therefore in the next reporting period, new targets will be set due to increased demands in the above categories and to address new challenges.
Target 9: Adult Literacy increased from 84% in 2005 to 90% by 2014
Target for 2008/09 2009/10 2010/11 2011/12 2012/13 2013/14 2010 Actual Actual Actual Forecast Forecast Forecast 87.0 86.1 88.5 88.9 88.0 89.3 89.5
103 During the reporting year (2010/11), the program has done tremendously well in its pursuit of the target of 87%. The actual achievement for 2010/11 was 88.9%, exceeding the 2010 Target set.
Activities under the Adult Education program include the provision of opportunities for approximately 27 399 adult learners to acquire, retain and apply literacy skills in the world of work. To affect its programme activities, the following policy and legal frameworks were developed during the reporting year: Policy on Lifelong Learning; Policy Guidelines on basic and post literacy programmes and the National Standards for adult educators.
During the reporting year 2010/11, the National Literacy Programme curriculum was reviewed and approved and plans are under way to develop teaching/learning materials based on revised curriculum. The Family Literacy programme was evaluated. The programme has embraced inclusive education with classes for the visually impaired. A new literacy programme was introduced for the hearing impaired, which requires specialized annual training for deaf promoters.
Budget Execution
Programme Budget Revised Budget Expenditure Variance, Allocation % General Education 5 095 616 000 5 070 718 500 5 399 752 760 -6,49 IALL 166 326 000 171 901 233 168 240 316 2,13 VET 188 165 000 199 705 000 196 954 928 1,38 Higher Education 1 006 438 000 1 010 757 267 1 008 024 790 0,27 Knowledge C & I 14 031 000 15 185 000 8 850 603 41,71 HAMU 5 815 000 8 124 000 7 059 288 13,11 TOTAL 6 476 391 000 6 476 391 000 6 788 882 686 -4,83
Explanation of variances
1. General Education
The Ministry of Education, with reference to the program General Education, spent more on personnel than was budgeted for. The over expenditure was mainly due to the following:
The appointment of relief teachers in the event where teachers are on paid sick leave. Budgetary provision does not exist for the appointment of relief teachers. Schools can however, not provide quality teaching to the learners without such replacement.
104 More teachers are employed than the current teacher / learner ration, which meant that some schools in the regions were over staffed.
During the 2010 / 2011 financial year, the Ministry also experienced an increase in the payment of leave gratuity due to resignations and deaths. It is very difficult to budget correctly, because during the budget process it was not known how many staff members will resign or pass away.
Teachers who improved their tertiary qualification are receiving a salary benefit after completion of their studies. At this point in time no database exists within the Ministry and no records exist of teachers who undertook studies to improve their qualifications. Sufficient budgetary provision could therefore not been made.
A shortfall was also carried forward from the previous financial year (2009 / 2010) as a result of insufficient funds provided by the Ministry of Finance to cover the improvement of conditions and a general salary increase.
2. Information, Adult Life Long Learning
Vacant positions of Librarians on the establishment of the Directorate National Libraries and Information Service were budgeted for, but could not be filled during the financial year. The Directorate cannot find candidates who meet the appointment requirements of Librarians. The Directorate is now obliged to obtain suitable qualified staff from other regions within SADC. The vacant positions on the staff establishment also resulted that less Employers Contribution to GIPF is paid than budgeted for.
3. Knowledge Creation and Innovation
Funds were provided on the Development Budget for the Ministry in respect of the Pearl Millet Project Phase II as well as the construction of a computer based Maths and Science Learning Laboratory. The approval of Tenders for both the mentioned projects was delayed at the Ministries of Education and Works which meant that no expenditure was incurred during the reporting period.
Vacant positions on the staff establishment of the Directorate Knowledge Creation and Innovation were budgeted for but not filled during the financial year. The reason that the positions were not filled is as a result of the appointment requirements. It therefore also resulted that the budget lines subsistence and travel and acquisition of capital assets were over budgeted. 4. HAMU
105
The deputy director position on the staff establishment of the division HAMU became vacant during the financial year and it was only suitably filled during the 2011 / 2012 financial year. The result of this was that funds budgeted for the position were not spent.
Funds allocated to the sub program HIV / AIDS were not utilized in full. Certain activities under the components: Mainstreaming HIV / AIDS and meeting the needs of OVC were not carried out during the financial year.
Non-Tax Revenue
Revenue Descriptions Main Estimate Outturn % Variances Class And Examination Fees 27 260 000 24 502 270 -10.12 Hostel Fees 13 500 000 12 771 307 -5.40 Lost Equipment And Store 1 000 3 972 297.20 Services Rendered By Achieves 15 000 268 -98.21 Letting Of Houses 300 000 346 484 15.49 Library Registration Fees 40 000 28 291 -29.27 Private Telephone Fees 30 000 19 868 -33.77 Miscellaneous 2 200 000 6 041 873 174.63 Unclaimed Cheques 29 020 100
Trade Test Money For 680 127 100 Apprentices TOTAL 43 346 000 44 423 480 5. 08
Explanation for Variances
Class & Examination Fees
The revenue received for class and examination fees was based on six hundred and eighty six thousand one hundred and thirty three (686,133) subjects entries for October / November 2010 examinations. Fewer learners enrolled for the grade 10 and 12 examination than estimated which result in less revenue collected.
106 Hostel fees
The amount of Hostel Fee collected was N$728 693, or 5,4%, lower than the estimated amount. The inability of parents to pay the prescribed fee is the reason that a lower amount of fees was collected.
Lost equipment and stores
More revenue was collected than projected. Regular stock control inspections have been done at all regional offices where lost equipment was identified. Staff members were held responsible for the loss and paid the value of the equipment.
Services rendered by archives
Less revenue had been collected by archives than estimated.
Letting of Houses
Strict control is exercised in respect of the payment by staff members and teachers who occupy Government houses allocated to them. The amount due is now recovered through salary deductions.
Library Registrations
Less community member are applying to be members of the ministerial National libraries which resulted in lower revenue collections.
Private telephone calls
Passwords have been created and each staff member uses the password when calls are made. The telephone system is programmed to suspend any further telephone calls when the limit is reached. Monthly statements are also forwarded to each staff member to pay the private telephone calls. Fewer private calls had been made than estimated. Staff members of the Ministry also purchased flexi call cards and did their private calls from telephones installed in the corridors of the building.
107 Miscellaneous
Salary Cheques received back from the various paypoints must be written back on the IFMS Computer System. The account code of the miscellaneous revenue heading is credited when the journal entry is processed by the computer system. The mentioned book entry is being done in the event of cheques older than six months.
It is difficult to estimate the revenue to be collected during the financial year in respect of written back cheques. The Ministry therefore under estimated this revenue heading.
Unclaimed Cheques
The Ministry did not estimate for any revenue to be received during the financial year. The amount credited against the “Unclaimed Cheques” revenue heading is as a result of a journal entry of a “Stale” cheque by the Ministry of Finance. During the reconciliation process a correction journal was not done.
Trade Test Monies for Apprentices
No revenue estimate was made in respect of the mentioned revenue heading because the testing of apprentices is now the responsibility of NTA. There was, however, a delay in establishing the function at NTA and the trade test monies paid by apprentices were deposited on the Ministerial Deposit account at the Bank of Namibia.
108 Description of Development Partner Contribution
Development Objectives Activities Amount Duration/Period Partner Egypt Training and 1. Training of 40 Namibian U$ 2009 -2013 provision of Primary and Secondary School 1,435,000.0 expertise Maths and Science teachers. 0 2. Provision of 20 Egyptian Experts to train trainers in various fields. 3. Training in Database Management and Information Technology.
France Fund solidarity 1. Support, develop and DM 22 May 2002 financing perpetuate the teaching of French 13,000,000 (on going) at secondary and higher education. 2. Support the training of French teachers.
KFW Development 1.Construction of basic education 42,801 2008/9 (Germany) of education facilities at schools as well the physical construction of circuit officers and facilities Inspector‟s accommodation Germany Namibia – 1.Construction of physical N$ n/a German facilities 43,216,534 Special Initiative Programme
Financial 1.To be used exclusively for EUR 6 July 2009 assistance measures serving to improve the 3,000,000.0 (on going) National Education system 0
Luxembourg Support to 1. Support establishment of NTA Euro 2004-2011 Vocational 2. Support transformation of 4,500,000 (Sept) Education and vocational training centres. Training in 3. Building of capacity in Namibia ( essential system
109 Development Objectives Activities Amount Duration/Period Partner NAM/347 Spain Support to 1.ETSIP activities 1.5 million Euros for fiscal ETSIP year 2007/2008, 3 million Euros for fiscal year 2008/2009, 1.5 million Euros for fiscal year 2009/2010, 1.5 million Euros for fiscal year 2010 Total Euro 7.5 millions Sweden Financial 1.Assistance to purchase books SEK 12,400,000 9 Feb Support for school and community 2009 libraries in Namibia
UNHCR Education 1. Educational activities including 2008 N$ 3, 700,000.00 2009 project for other related youth activities and N$ 4,050,000.00 2010: N$ Refugees in salaries 4,900,000.00 Namibia
USA Increased 1. Ensure that learners receive a 05 Aug 2005 (Amended : 29 capacity of the firm grounding in key subjects Sep 11 --Extended 30 Sept 11 education and skill areas. – 30 Sept 2017) system to give 2. Ensure affordability and learners the sustainability of the basic foundation for educational system by achieving Health and and maintaining management Livelihood efficiencies. China Physical 1.Construction of two schools at RMB(YUAN) 2008 - Facilities Omuthiya in Oshikoto Region and 20,000,000 2011 Scholarships Tsumkwe in Otjozondjupa Region
India Grant Aid 1.Support projects in education U$ 5 millions Sept 2009
The contributions from development partners have significantly contributed to policy and institutional development, as well as support measures for improved educational outcomes. Capacity development efforts will be intensified during the MTEF period.
110 NATIONAL COUNCIL
Vote 11
Overall Summary
The National Council has two programmes to implement during the 2012/2013 financial year and one for 2013/14 financial year. During the financial year under review, the National Council had an allocation of N$48,338,000.00 for operational budget and N$2,678,000.00 for development budget. From the operational budget, N$41,882,909.00 was utilized, which translates into an execution rate of 86.64%. The allocated resources for the development budget were not utilized; however the project started and is 72% completed.
Expenditure Outturn
Annual Actual Variance Appropriation Expenditure Operational Budget 48 338 000 41 882 909 6 455 091 Development Budget 2 678 000 0.00 2 678 000 Total 51 016 000 41 882 909 9 133 396
In the 2010/2011 financial year, the progress made in achieving the National Council objectives was as follow:
Ministerial Targets
Increase in the level of public participation in the law-making process to 65% by 2012/2013; Five (5) Ministers to appear before the House by 2012/2013; and Two (2) National Council Sessions to be held in the regions by 2013/14.
Increase in the level of public participation in the law-making process to 65% by 2012/2013
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast Increase in the level of public 35 35 40 55 65 participation in the law- making process to 65% by 2012/2013
111 This target is measured by the number of oral or written submission made during a public hearing, divided by the number of attendees. During the 2010/11 financial year, the level of public participation was at 40%. The National Council made progress and achieved 88% of the intended level.
5 Ministers to appear before the House by 2012/2013
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast 5 Ministers to appear 4 1 0 7 8 before the House by 2012/2013
This target is measured by the number of Ministers appearing before the House/Standing or select Committee by invitation or by voluntary appearance. A register of representatives who are invited or voluntarily appear before the committee is kept by the Committee Clerk of the specific standing or select committee.
During the period under review, Members of the National Council were engaged in election campaigns. Due to this, some of the Standing Committees did not fulfill their intended activities. Hence no Minister appeared before the House.
Other indicators
No of Committee reports tabled
2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast 10 17 7 8 10
A Bill/ Reports Registry which indicates the number of Bills and Reports tabled before the House is kept. In the 2010/2011 financial year, all reports were completed on time. The actual number of reports tabled exceeded the forecast target of four (4) by three (3) reports.
No of bills summarized
2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast 5 13 18 12 10
112 A Bill Register of all the Bills summarized is kept. During the period under review, the National Council was expected to review 11 Bills but exceeded the target by (7) Bills.
No of amendments drafted
2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast 21 8 14 18 19
Records are kept of all the amendments that were drafted as well as the motivations of those amendments. The forecast for this indicator for the 2010/2011 financial year was 17 amendments; the actual number achieved was 14.
% of staff trained
2008/09 2009/10 2010/11 2011/121 2012/13 Actual Actual Actual Forecast Forecast 83 72 87 90 95
This target is measured by the number of staff trained against the total number of employed staff during the period under review.
The National Council performed well above the set target and various group training workshops were conducted. The target was exceeded by 17%. The staff members were trained in the following areas: International Diplomacy Protocol, Protocol and Event Management, Capacity Development, Managing Electronic Records, Advance Auditing and Corporate Governance, Public Relations and Customer Care, Professional English and Housekeeping/cleaning.
Number of civic education programmes conducted
2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast 3 4 4 4 4
This target is measured by the number of civic education programmes conducted during the period under review and for which records are kept. The civic education programme of the National Council aims to prepare members of the public, particularly the youth, to carry out their roles as citizens and enhance public participation in the legislative process. This include:
113 visiting different schools and participation at trade fairs or exhibitions. During the 2010/11 financial year, the National Council conducted 4 civic education programmes during the Eenhana Trade and Business Expo.
Number of research paper produced.
2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast 2 4 5 6 6
During the period under review five presentation papers were produced on the following subjects: The role of Parliaments in ensuring sustainable development though the management of natural resources, agriculture production and demographic Change-IPU Providing a sound legislative framework aimed at preventing electoral violence, and improving election monitoring and ensuring transition of power-IPU Transparency and accountability in the funding of political parties and election campaigns- IPU Progress and challenges of democratization in Africa-CPA Gender perspectives of financial crisis -CPA
114
Budget Execution: Summary of Expenditure Outturn for Operational and Development Budget
Programme Budget allocation Expenditure % Variances
Programme 1: Enhance public participation in the law-making process. Operational: 16 749 000 14 274 602 14.77% Development 2 678 000 0.0 100.00%
Total Programme 1 19 427 000 14 274 602 26.52% Programme 2: Strengthening the review and oversight function of the National Council Operational: 31 589 000 27 608 307 12,60%
Total Programme 2 31 589 000 27 608 307 12,60% Grand Total 51 016 000 41 882 909 17.90%
The office did not make any switches between the programmes, and did not overspend on any programme during the 2010/11 financial year.
Explanation for variances
Programme 1: Enhance public participation in the law-making process.
The under- expenditure under this programme was as a result of changed activities related to the Chairman , Vice-chairperson and Members of the House in regard to their international obligations as their schedule collided with national and regional commitments especially during election campaign for the Regional and Local Authority. The outcome of the election also contributed to this saving, as the activity of the House started only in new financial year.
115 Programme 2: Strengthening the review and oversight function of the National Council.
The election for Regional and Local Authorities election had a big influence on under- expenditure on this programme.
Firstly, the Presiding Officers and Members of the House were engaged with campaigning and therefore could not attend all planned international commitments and invitations.
Secondly, 53% of elected Members were new and not ready to continue previous House intended activities which resulted in the National Council under-expenditure.
Lastly, staff turnover, vacant positions on the National Council establishment that couldn‟t be filled during the period under review and budgeted position for Member of the Parliament who became Deputy Ministers contributed to the under spending.
Capital Projects 2010/11
Name of project Budget Actual
Upgrade and Renovation to the Chamber 2 678 000 Nil
Explanation for variances
The under- expenditure on this programme was caused by non- payment for the development project. The project to upgrade and renovate the Chamber is being carried out together with the National Assembly‟s capital project. As a joint project, the architects requested the payment for work done on one invoice which they sent to the National Assembly for payment. The National Assembly did not claim from the National Council‟s Vote cost for the development project.
During the 2010/11 financial year the following activities were carried out in terms of the Development Budget
Component Activity Completed % of component completed Renovation and upgrading of Construction of the lift 100% the offices shaft Lift installation 60% Renovations to the offices 80% and areas adjacent to the
116 lift Repair works in specific 90% areas Additional roofs 30% Electrical 70%
Revenue Collection 2010/11
Revenue description Original Estimate Actual Variance Revenue Private phone calls 1 500 0 1 500 Unclaimed cheques 1 200 0 1 200 Miscellaneous 1 000 179 820 Total 3 700 174 3 520
The National Council does not generate any income. The estimated amount for collections of revenue is only for unforeseen cases.
Explanation for variances:
During the period under review the National Council did not receive income as original forecast for unforeseen cases. Private phone calls: The introduction of credit limits in the National Council led to eliminated payments in this regard.
Unclaimed cheques: This function is carried out by the Ministry of Finance and hence provisional allocation has been made for unforeseen circumstances.
Miscellaneous: This amount has been budgeted for the case of any unforeseen activity.
117 MINISTRY GENDER EQUALITY AND CHILD WELFARE
Vote 12
Overall Summary
The Ministry of Gender Equality and Child Welfare is mandated to ensure gender equality and equitable socio-economic development of women and men and the well being of children.
During the year under review the Ministry implemented the 2010-2014 strategic plan, engaged the development of the 2010-14 Human Resource Strategic Plan as well as the decentralization process which entailed the restructuring and development of the Decentralisation Action Plan.
The Ministry set seven targets and achieved five while two are in the process of being achieved. The Ministry spent eighty six percent (86%) of its allocated funds. Maintenance and Foster Parent Grants were equalized to N$200.00 per child.
Ministerial targets
To ensure that 98% of Orphans in the country have access to social grants by 2012/13.
Target 2009/10 2010/11 2011/12 2012/13 2013/14 Actual Actual Forecast Forecast Forecast 98% by 74% 83% 95% 98% 100% 2012/13
During the period under review, the Ministry reached 83% of orphans on the grants system by 31 March 2010/11. 12 727 new children were placed on the grant system during the time under review and 8,758 were deleted due to over age and death. Numbers of children in receipt of grants are as follows; 102,136 in 2008/09, 110,638 in 2009/10, and 124,351 in 2010/11. The Ministry is on track to reach the target set for 2012/13
The Ministry is targeting 100% of the 155 000 orphans and vulnerable children on the grant system by 2012/13 therefore a new target has been set to place 170 000 out of 220 000 orphans and vulnerable children on the grant system by 2014/15.
118 To ensure that 30% of double orphans in the country are placed under legal care of guardians by 2011/12
Target 2009/10 2010/11 2011/12 2012/2013 2013/14 Actual Actual Forecast Forecast Forecast 30% by 34% 35% 42% 46% 50% 2011/2012
The number of foster care placement has increased from 15 192 in March 2010 to 16 457 in March 2011. The Ministry reached the target set of 30% of double orphans by 2011/12 for the period under review.
To train and sensitize 100% of 100 000 community members (male and female) including traditional leaders in basic legal literacy and gender issues by 2011/12.
The target is aimed at ensuring that men, women, boys and girls have equal access to all available resources for sustainable development. In order to achieve this, the main focus is to educate and train people on gender related issues by conducting gender sensitization and legal literacy workshops. Through these workshops, women and men, girls and boys develop understanding of their rights, obligations and responsibilities that enable them to apply the principle of equality and equity in order to come up with informed actions to deal with gender Based Violence and Sexual reproductive health issues, including HIV and AIDS.
Target 2009/10 2010/11 2011/12 2012/13 2013/2014 Actual Actual Forecast Forecast Forecast 100% by 16% 100% 34% 68% 100% 2011/12
During the period under review the set target of training and sensitising 100 000 community members, including traditional leaders, through basic legal literacy & gender issues was reached. Therefore a new target 200 000 people was set by 2013/14. The 2010/11 target was reached through Legal Literacy and Gender Sensitisation workshops and meetings and the Zero Tolerance Campaign for Gender Based Violence using TV and radio jingles, radio dramas in various local languages and newspaper adverts covering areas of human trafficking, baby dumping and passion killing.
In total 22 advertisements were placed on TV and 6 adverts in local newspapers. The Ministry placed the print advertisements in local print media with a distribution rate of 17 000 papers on Mondays and 28 000 papers on Fridays.
119 To sensitize at least 100 000 youth (15-24) on gender and HIV and AIDS issues by 2011/12
Target 2009/10 2010/11 2011/12 2012/13 2013/14 Actual Actual Forecast Forecast Forecast 100% by 64% 100% 34% 68% 100% 2011/12*
Enroll 30% of all children 0-4 including OVCs in ECD centres & provide access to the IECD program by 2010/2011
Target 2009/10 2010/11 2011/12 2012/13 2013/14 Actual Actual Forecast Forecast Forecast 30% by 30% 56% 73% 75% 80% 2010/2011
According to the Population and Housing Census of 2001, there were 237 045 children in need of ECD services throughout the country. The Ministry achieved the cumulative target of 56% which is 134 854 children enrolled in ECD Centres from 2006/2007 to 2010/11. Since the set target was reached, a new target of 60% of 237 045 children 0-4 including OVC was set by 2013/14. The Ministry projected that by 2013/14, 60% (106 670) children will have been enrolled in ECD centres. The increased enrolment of children is attributed to increasing understanding of the importance of ECD by parents. The establishment of new ECD centres and the upgrading of some existing structures contributed to improved access to ECD.
Train 74% of care providers (educators) and communities in IECD services and management system by 2010/2011
Target 2009/10 2010/11 2011/12 2012/13 2013/14 Actual Actual Forecast Forecast Forecast 74% by 66% 63% 78% 87% 100% 2010/2011
The Ministry achieved 63% (1 627) by 2010/11. This is cumulative from 2006/7 – 2013/14. The training schedule was adversely affected by the recurrent flood that ravaged the north- eastern parts of the country. The targets have been achieved with help from other stakeholders including NAMCOL and civil society.
120 To support 30% women to participate in Income Generating Activities and become entrepreneurs by 2011/2012
Target 2009/10 2010/11 2011/12 2012/13 2013/14 Actual Actual Forecast Forecast Forecast 30% by 20% 67% 13% 25% 50% 2011/2012
For the fiscal year 2010/11 the ministry supported 370 women both financially and technically. The set target of 30% was reached therefore a new target of 50% of 300 women to participate in IGA‟s and become entrepreneurs by 2013/2014 has been set. It is anticipated that by 2013/14 the target will be met with 150 women becoming entrepreneurs.
Budget execution
N$ million Programme Budget Expenditure % variance allocation Child Welfare Operational 425 283 372 630 88% Development 46 312 33 254 72% Total Programme 1 471 595 405 884 86%
Gender Equality and Women 12 314 11 900 97% Empowerment Total Programme 2 12 314 11 900 97% Community Mobilization & Early Childhood Development Operational 29 792 28 574 96% Development 7 700 6 677 61% Total Programme 3 37 492 35 251 94% Total Operational 467 647 413 151 88% Development 54 012 39 931 74%
Grand Total 521 659 453 082 87%
121 Explanation for variances
Child Welfare
Expenditure on this programme for the 2010/11 financial year was N$471,595 which represents 86% of the budgeted funding.
Vacancies for social workers which were budget for and not filled caused underspending. The Ministry is relying on recruiting social workers from neighbouring SADC countries because of few qualified social workers in the country. Challenges in obtaining work permits/work visa which took long to be granted are also experienced. A suspension was requested for the 50 million however it was not implemented. The saving on the development budget is due to delayed construction of the Juvenis Building, which only started in February 2011 due to a delay in the appointing of the contractor.
Gender Equality and Women Empowerment The variance is due to positions that could not be filled immediately during staff turnover because of the unavailability of professional staff.
Community Mobilization & Early Childhood Development Variances on the operational budget are mainly on personnel expenditure due to staff that went on early retirement while variances on the development budget were due to a disruption in the construction of Outapi Craft Centre because the Principal Agent unfortunately passed away and the firm had to re-organising themselves.
122 MINISTRY OF HEALTH AND SOCIAL SERVICES
Vote 13
Overall Summary
For the FY 2010/11 the Ministry of Health and Social Services was allocated an amount of N$ 2 593 039 000 (N$2 304 801 324 for the Operational budget and N$288 237 676 for the development budget). The Ministry had an overspending of 1% in terms of the overall budget execution. The Operational budget had an overspending of 2% and a saving of 6% was realized under the development budget
The challenges facing the Ministry include, among others, availability of key health professionals, the outdated staff establishment and the mortality and morbidity from communicable diseases.
The Ministry has made notable progress toward achieving its targets in terms of the Millennium Development Goals. Targets such as health facilities providing ART, malaria mortality rates and immunization coverage have been achieved.
The change in guidelines on ART necessitated the Ministry to apply for additional funding from the Contingency Fund. An amount of N$119 650 453.98 has been allocated from the Contingency fund and an additional 2000 patient were provided ART services, an increase to the projected target.
An amount of N$38 315 471.31 was also allocated to settle invoices from the Namibian Institute of Pathology relating to pathological tests on State Patients, which have increased significantly during the reporting period due to disease outbreaks in most regions. A further amount of N$4 656 135.71 was allocated from the Contingency Fund to pay for catering services, especially at Referral Hospitals. Increase in length of stay at hospitals has also contributed to high catering bills during the financial year.
The total amount allocated to the Ministry of Health and Social Services from the Contingency Fund was N$162 622 061.00 which has made an enormous contribution towards the objective of providing quality health care for all.
Special Fund for Patients with Uncommon Diseases
A total number of 9 patients benefited from the fund during the 2010/2011 financial year. The patients were treated for Tumours of jaw and Hemi resection, kidney dialysis, Prostate
123 Cancer, and Neurosurgery (Spinal syringomyelia ).The total value of the fund as at 31 march 2011 was N$20 465 193.51 and the total expenditure N$491 640.71.
Health Professionals Councils of Namibia:
The following Councils, established in October 2004, fall under the Health Professionals Council of Namibia.
Medical and Dental Council (Act No.10 of 2004) Pharmacy Council (Act No.9 of 2004) Nursing Council (Act No.8 of 2004) Allied Health Professionals Council (Act No.7 of 2004) Social Work and Psychology Council (Act No.7 of 2004)
The five councils received and processed 252 new applications during the 2010/2011 financial year. The Council also approved Windhoek Central and Katutura Hospitals as training hospitals for medical interns.
A total number of 42 Unprofessional Conduct cases were reported to the Council, increasing the total of cases being investigated to 88. 37 cases were concluded and closed. Despite the achievements the Council is also experiencing challenges with regard to a lack of local capacity to evaluate applicants for registration as medical specialist. The cost of Litigation is also very high, which is depleting the already insufficient grant.
Ministerial targets
Target 1: 104 Health facilities providing ART by March 2013
Target 2008/09 2009/10 2010/11 2011/12 2012/13 2013/14 Actual Actual Actual Forecast Forecast Forecast 104 by 34 62 181 206 231 256 2013 Source: RM&E
The target is measured by the number of facilities providing services to clients. During the period under reporting, there were 40 health facilities, 111 outreach sites and 30 sites providing Integrated Management of Adulthood Illness, a total of 181 facilities. The Ministry has therefore exceeded the target which was set for 2010/11.
124
Target 2: Number of people receiving ART, 73,603 by March 2010 and 96,466 by March 2013
Target 2008/09 2009/10 2010/11 2011/12 2012/13 2013/14 Actual Actual Actual Forecast Forecast Forecast 73,603 by 64 637 75 681 95 670 125 607 131 158 135 641 March 2010 Source: RM&E
The number of clients on ART is projected based on modelling (Spectrum Model), the number of persons placed on therapy on a monthly basis and taking into account the eligible group. As of March 2011, there were 95,670 patients on ART in the public sector. The forecast was to have 93,997 by end of March 2011.
Target 3: Reduce malaria mortality rate from the current level of 9/100000 (2008/09) to 8/100000 and to maintain the target by March 2013
Target 2008/09 2009/10 2010/11 2011/12 2012/13 2013/14 Actual Actual Actual Forecast Forecast Forecast 8/100 000 by 9.6 1.7 0.21 0.12 0.7 0.4 March 2013 Source: Health Information System, 07/05/2010
The target is measured by the proportion of cases of malaria which are fatal within a specified period. The forecast for the malaria mortality rate for period ending March 2011 was 8/100,000. The actual mortality rate is 0.21 thus representing a decline in the mortality rate and the MoHSS hence achieving its target.
Target 4: Increase immunization coverage from 69% from current level (2008/09) to 85 % by March 2013
Target 2008/09 2009/10 2010/11 2011/12 2012/13 2013/14 Actual Actual Actual Forecast Forecast Forecast 85% 69 75 87 88 89 90 coverage by March 2013 Source: Family Health Division
125 This indicator measures the percentage of children under the age of one year old whose EPI schedule is completed in line with prescribed schedule. The immunisation coverage was forecasted to be 85% by end of March 2011. The actual coverage is 87% therefore the Ministry has been able to achieve its target.
Target 5: Improve TB case management to reach 90% cure rate by 2013 from current levels of 83% (2008/09)
2006/07 2008/09 2009/10 2010/11 2011/12 2012/13 2013/14 Actual Actual Actual Actual Forecast Forecast 90% by 83 82 87 90 90 90 2013 Source: National Tuberculosis & Leprosy Control Programme, 2009/10
This indicator is calculated as the proportion of the number of new sputum positive TB cures who turn negative on completion of treatment over the total number of sputum positive TB cases for the financial year. The TB cure rate forecast was 85% for the period ending March 2011. During the reporting period the cure rate stood at 87%.
Revenue Collection
The Ministry collects revenue from various sources including, but not limited to, health services, inspection fees, ambulance fees, mortuary fees, and boarding and lodging. The Ministry has collected an amount of N$18 101 717 more than estimated.
The table below shows the total revenue collected from various sources and the variances from the estimated collections
Table 1: Revenue Collection 2010/2011
Revenue Head Estimate N$ Actual Collection Variance % N$ Variance Private Telephone 15 000 8 839 6 161 41% Calls Miscellaneous 1 950 000 15 012 916 (13 062 916) -885% Health Services 32 900 000 35 686 593 (2 786 593) -8% Board and Lodging 4 400 000 5 362 093 (962 093) -22% Inspection Fees 374 000 317 666 56 334 15% Mortuary Fees 445 000 268 555 176 445 40% Sale of Electricity 62 000 92 939 (30 939) -49%
126 Ambulance Fees 37 000 101 850 (64 850) -175% Vehicle Sales 900 000 - 900 000 100% Incineration 560 000 1 089 141 (529 141) -94% Medical Reports 500 000 325 976 174 024 35% Total 42 143 000 58 266 568 (18 101 717) -48%
Explanation for variances
Private Telephone calls: These are funds collected from staff members, for making use of government telephone to make private calls. A printout is provided at the end of each month to Directorates, for staff members to identify and pay for private calls. It is however difficult to estimate revenue to be collected from private calls.
Miscellaneous: This revenue category is used to allocate funds that cannot be allocated to any of the above revenue heads. The revenue collected was mainly for the Registration of medicine on the Namibian Medicine Register, and is payable to the Registrar of Medicines in terms of the Medicines and Related Substances Control Act, and Act 13 of 2003. A separate revenue head has been requested for the 2011/2012 financial year for these items.
Health Services: This revenue category is used when collecting money for treatment and admission of both State and Private patients. All fees payable for health services for State and Private Patients are set out in Regulation No. 73 of 2010 that deals with Classification of State Hospitals, Admission of patients to State Hospitals and fees payable by patients receiving treatment at State hospitals and Health facilities.
The estimate for revenue anticipated to have been collected during the reporting period was based on the actual collection of the previous financial year. It was, however, realized that this is not a good method of estimating revenue, as collections may vary depending on the number of patients visiting the health facilities during a given period.
Many factors such as disease prevalence during a specific time have an impact on the number of patients visiting health facilities. The Ministry has thus started to develop criteria to estimate revenue collected at health facilities.
127 Board and Lodging: This category covers revenue collected from staff members who are residing in the Ministry‟s flats and houses. An amount of N$250 is charged for single quarter accommodation and N$370 for a two bedroom quarter per month. The estimate was based on the collection of the previous year.
Inspection Fees: These are fees charged by the Ministry‟s Health Inspectors for services rendered outside the municipal boundaries or where the town council does not have the capacity to do so. These services include: Registration and licensing of shops Inspection of shops and other businesses Inspection of private Health Facilities
Mortuary Fees: These fees are in respect of mortuary services rendered and a fee of N$100.00 is payable for Private Patients and a fee of N$10 per day after the fifth (5) day for State Patients.
The under collection is due to the fact that most corpses for state patients are removed before the lapse of the 5 days, and hence no fee is charged.
Sale of Electricity: Private electricity boxes have been installed at many health facilities of the Ministry and private occupants are billed on a monthly basis based on the electricity consumed.
Ambulance fees: A fee of N$3.00 per kilometre is charged to private patients using State ambulance services. Referral of State patients from State Hospitals or Health Centres to any other State Facility is free of charge.
Vehicles: Revenue collected from the Sale/auctioning of vehicles is recorded under this revenue head. The Ministry is currently unable to record any collections under this revenue category due to the fact that all revenue received resulting from the sale of vehicles is recorded as revenue collected by the Ministry of Works and Transport and not in the books of the Ministry of Health.
128 Incineration: State Hospitals have incinerators, the use of which by private companies or individuals results in revenue to the State. It is very difficult to estimate revenue collected as the use of incinerators by the private sector varies from year to year. Medical Reports: The Ministry collects revenue though minimal charges to patients requesting any medical reports resulting from consultations with Medical officers.
Budget Execution
Budget % Allocation Expenditure Variance Tertiary Health Care 902 758 852 968 224 087 -7% Regional and District Health Services 1 635 891 562 1 605 530 867 2% Disease Control 27 746 228 27 147 936 2% Social Welfare 26 642 358 25 555 630 4% Total 2 593 039 000 2 626 458 519 -1%
Operational Budget
% P Budget Allocation Expenditure Variance Tertiary Health Care 807 631 259 876 800 172 -9% Regional and District Health Services 1 447 581 479 1 428 615 749 2% Disease Control 24 746 228 24 958 996 -1% Social Welfare 24 842 358 23 784 354 4% Total 2 304 801 324 2 354 159 271 -2%
Explanation for Variances:
Tertiary Health Care:
This program (representing the four Referral Hospitals; Katutura, Windhoek Central, Oshakati and Rundu) reflects the highest overspending of 9% compared to the other three programs. The overspending under this program was mainly due to personnel expenditure.
The table below shows the overtime expenditure for the four Referral Hospitals during the FY compared to the budget.
129 Hospital Budget Actual Expenditure Variance
Oshakati Hospital 19 169 000 21 722 015 (2 553 015)
Rundu Hospital 9 250 000 12 056 749 (2 806 749)
Katutura Hospital 14 870 000 39 811 930 (24 941 930)
Windhoek Central 25 880 000 39 979 062 (14 099 062)
Total 69 169 000 113 569 757 (44 400 757.27)
Staff shortages at hospitals, increases in patient‟s referrals and an increase in the length of stay, were cited as some of the reasons for the high overtime bill. The Ministry is, however, planning to conduct a study to ascertain the reasons for the high overtime bill.
The other contributing factor for the overspending was the re-grading of Medical Officers, which was effective 01 August 2010. Additional funds were not received from Ministry of Finance; hence the Ministry of Health had to utilize funds previously earmarked for filling vacancies, which was also not sufficient to cover the total cost of the re-grading.
The under spending under program 2 and program 4 was minimal, so is the overspending under program 3.
Development Budget
Budget Program Allocation Expenditure % Variance Tertiary Health Care 95 127 593 91 423 915 4% Regional and District Health Services 188 310 083 176 915 118 6% Disease Control 3 000 000 2 188 940 27% Social Welfare 1 800 000 1 771 274 2% Total 288 237 676 272 299 249 6%
130 Explanation for Variances
Tertiary Health Care
The variance under this program is 4% and the lowest performing project was Windhoek Central Hospital which had an execution rate of 88%. The documentation for the next phase of the project only commenced towards the end of the financial year.
Regional and district health services
With regard to this programme the lowest execution was experienced in the following hospitals; Khorixas (54%), Swakopmund (62%), Engela (21%), Opuwo (9%), Okongo (2%) and Okahao (63%). This is mainly due to the late appointments of consulting firms for the documentation phase of Swakopmund and Khorixas hospitals, while for Opuwo, Engela and Okongo the delay was in relation to the feasibility studies. With regard to Okahao hospital there was a delay in the contract signing and site hand over of the project.
Disease control:
Funds were allocated for the undertaking of the HIV Sentinel Survey. All the planned activities were undertaken and finalised. However the funds could not be fully utilized as the containers which were supposed to be procured could not be purchased as the processing of tender documents were prepared towards the end of the financial year.
131 MINISTRY OF MINES AND ENERGY
Vote 15
Overall Summary
The Ministry performed well during the year, achieving some of the ministerial targets set although not all.
Ministerial targets
27 % rural households with access to grid electrical power by 2010/11
Target 2007/08 2008/09 2009/10 2010/11 2011/12 2012/13 2013/14 Actual Actual Actual Actual Forecast Forecast Forecast 27% 21% 23% 25% 27% 30% 34% 34% by 2010
What is being measured here is the percentage of electricity supply coverage in rural areas in Namibia (including villages and rural centres). The percentage of electricity supply coverage in rural areas is measured as the percentage ratio of rural households which have access to electricity to the total number of households in rural Namibia.
Due to increased GRN funding and the European Investment Bank (EIB) grants directed towards Rural Electrification, the growth rate is expected to be sustained at 2% per annum, leading us to surpass the target of 22% set forth for the year 2009.
10 % off grid rural users supplied by renewable energy by 2010/11
132 Target 2007/08 2008/09 2009/10 2010/11 2011/12 2012/13 2013/14 Actual Actual Actual Forecast Forecast Forecast Forecast 10% 7% 8% 9% 10% 11% 15% 16% by 2010
The off-grid users supplied by renewable energy refer to households in rural Namibia which are supplied by renewable off-grid electricity. The percentage of off-grid users is measured as a percentage ratio of rural households, clinics and schools in remote areas which use renewable energy to the total number of households, clinics and schools in remote rural areas in the country.
Although this target was set, it has been difficult to measure progress on this target.
24 % Namibian equity in mineral/energy businesses by 2010/11 This target measures the percentage of Namibian ownership interest of the shareholders in mining/energy businesses. This is verified by the number of Namibians who have been awarded licences to participate in the mineral/ energy business activities to date.
Target 2007/08 2008/09 2009/10 2010/11 2011/12 2012/13 2013/14 Actual Actual Actual Forecast Forecast Forecast Forecast 24% by 18% 20% 22% 24% 25% 27% 28% 2010
On paper, we have achieved, or even exceeded these figures. However, the benefits accrued to Namibians engaged in such ownership is difficult to ascertain. This is mainly due to the fact that the majority of the licences in which Namibians are partaking have not reached a stage of resources or reserves determination.
14 % contribution of downstream processing by value by 2010/11
Downstream processing also known as beneficiation, or value-addition, involves the transformation of a primary material (produced by mining and extraction processes) to a more finished product, which has a higher export value. The value of downstream processing is measured as percentage ratio of total of mining output.
133
Target 2007/08 2008/09 2009/10 2010/11 2011/12 2012/13 2013/14 Actual Actual Actual Forecast Forecast Forecast Forecast 14% by 13% 14% 14% 14% 14% 21% 21% 2010
48.75% geological map coverage by 2010 and 99% coverage airborne GP surveys by 2010/11
Coverage of the country by geological maps and geophysical surveys is expressed as a percentage of the total area of Namibia. Geological mapping involves new (at least 1:100,000 scale) field mapping of previously unmapped areas or areas for which only reconnaissance mapping is available. The main thrust of the Airborne Geophysical Surveys (Airborne GP) lies with the acquisition of magnetic and radiometric data. Detectors are mounted in a specialised aircraft that flies along parallel lines over the survey area. Line to line spacing is 200m with a nominal terrain clearance of 80m. As the total number of map sheets and extend of flying lines to cover the whole country is known, percentages of those sheets mapped and lines flown can be easily calculated.
Target 2007/08 2008/09 2009/10 2010/11 2011/12 2012/13 2013/14 Actual Actual Actual Forecast Forecast Forecast Forecast 49% by 48.5% 48.75% 48.75% 49.0% 49% 49.75% 50.5% 2010 97% by 81% 86% 91% 97% 97% 97% 97% 2010
134 Budget execution 2010/2011 (N$ 000)
Budget Revised % Programme allocation Budget Expenditure Variance Mineral and energy production 33 389 33 389 29 328 12.2 Mineral production beneficiation 21 190 21 190 18 014 15 Energy supply and security 93 938 93 938 85 347 9.1 Environmental protection 12 127 12,127 10 784 11.1 Understanding of the geo- environment 16 517 16 517 13 920 15.7 Coordination and Support Services - - - - Total 177 161 177 161 157 393 11.2
Explanation for variances
The Ministry under spent by 11.2%, of which the big portion of the under spend was due to Capital projects. Development Budget represents 62.4% of the total Ministry Budget. The under spend in Capital projects resulted from the delays of implementation of some projects due to their technical complexity. The operational Budget under spend was due to vacancies which were not filled.
Capital Projects 2010/11
Name of project Budget Actual % Variance
Renovations of the MME headquarters 2 213 000 2 208 188 0.2 Small Scale Mining 3 000 000 2 401 238 20 High Resolution Airborne Geophysics 2 000 000 1 519 801 24 Geological Sample Storage and Database 1 000 000 500 000 50 Seismological Network 4 800 000 4 716 384 1.7 Regional Geochemical Sampling Survey 348 998 198 997 43 Airborne Electromagnetic Survey 6 000 000 6 000 365 0 Geo-Laboratories Upgrading and Staff Training 3 151 002 3.2
135 3 051 002 Remote Sensing and Database 1 800 000 1 526 404 15.2 Gravity Survey 50 000 - 100 Ground Geophysical Equipment 450 000 399 311 11.3 Off-Grid Electrification and Solar Revolving Fund 9 952 000 9 952 000 0 Rural Electrification of Namibia 64 280 000 57 363 666 10.8 Hydropower Development 5 730 000 5 230 024 8.7 Promotion of Renewable Energy and Energy Efficiency 517 000 392 034 24.2 Renewable Energy and Energy Efficiency Institute 3 470 000 3 470 000 0 Environmental Monitoring of Active and Abandoned mines 250 000 - 100 Operation GSN environmental 1 540 000 571 532 62.9
Total 110 552 000 99 500 947 10%
EXPLANATION OF VARIANCES
Rural Electrification
In most of the region the tendered amounts by contractors came out cheaper, below cost estimation; therefore there was some saving in the budget per region and subsequent saving in the overall project budget. This is the reason for the under spending.
Major Power Project Development
The Feasibility Study Project was running for two consecutive financial years and most of the project components were paid during the first financial year (2009/2010). This resulted in under spending.
The training component was not put on tender but instead it was provided in house by MME, REEEI and suppliers which resulted cost savings. Small Scale Mining
136
Under-spend in this category was due to inadequate staff in the Small Scale Mining Division; delays in finding appropriate specification of equipment that was supposed to be purchased in the year under review.
Regional Geochemical Sampling Survey
The contractor was delayed in completing the 2009/10 sampling survey for about half a year because of flooding in the sampling area (Etosha National Park) and only concluded his work at the end of May/beginning of June 2010. This was too late to start a new sampling campaign (2-3 months tender procedures; start of sampling only in August/September 2010) and would have delayed the contractor during the rainy season 2010/11. Therefore it was decided to invest the remaining budget in sample analysis and to do a virementation of funds to the project “laboratory upgrade and staff training” to enable the purchase of a new wavelength dispersive X-ray fluorescence spectrometer. Sampling will be taken up in the 2011/12 Financial Year.
High-resolution airborne geophysics
Some funds under this project were viremented to other projects and the remaining balance of N$2 million was available for commencement of Integrated Interpretation of airborne geophysical data of the Karas Region. Unfortunately the tender was not recommended by the internal Tender Committee and the Tender was cancelled. However, despite what happened, 76% was spent on a variety of semi- related projects which will support the interpretation project.
Geological samples storage and database
The process for the implementation of this project was delayed due to approval needed from the OPM for the purchase of the software needed
Geo-laboratories upgrading and staff training
The under-spend of 3.2% of the budgeted resulted from a delay in the virementation process from Capital Project “Regional Geochemical Sampling Survey” to Laboratory Upgrade and Staff Training” for the purchase of an XRD spectrometer. The remaining amount was covered by the Capital Project “High Resolution Airborne Geophysics”. Remote sensing database A contract was awarded to Hyvista Corporation for reprocessing and upgrading of a hyperspectral data at a total cost of AUD 300 000. Initial payments of AUD 150 000 was
137 made in the 2010/2011 financial year. Additional payment of AUD 50 000 was delayed until the 2011/12 Financial Year to avoid over expenditure. A balance of N$273 000 was made available for remote sensing imagery.
Gravity survey
This project remains on hold due to insufficient professional staff.. N$700,000 of the allocation was viremented to other geophysical projects. The remaining N$50 000 (7%) of the funds were to be utilised by resumption of gravity survey projects on recruitment of one senior geophysicist. Unfortunately recruitment delayed until the end of the 2010/11 financial year.
Ground geophysical equipment
A balance of N$50 000 (12%) was not spent as it was insufficient to cover cost of other equipment. Hence the funds remained unspent.
Environmental monitoring of active and abandoned mines
Tenders for monitoring equipment (a handheld water quality multimeter; a submersible water sampling pump; and a handheld portable XRF) under the 1504-372 Project were awarded, this being the 37.1% spending reflected in the Expenditure Report of the Development Budget for the 1504-372 projects.
Operation of GSN environmental and mechanics laboratory
Tenders for equipment (1504-371: Vibratory Disk Mill; 1504-372: Portable Gamma-Ray Spectrometer and Hand-held Portable XRF) required for the operations of the division were compiled and submitted on the 21/01/2011 to the internal tender committee. However some delays were experienced in the tender process and the time was too short to go ahead with the tender, but rather to cancel the whole process. Hence the money remained unspent.
138 Revenue Collection-2010/2011
Items Budget Actual Revenues (from detailed as % of budget Estimates) Prospecting Licences and Claims 2 200 000 1 161 136 52.8 Diamond Royalties 252 000 000 601 963 094 239 Other Minerals Royalties 250 000 000 273 340 430 109 Geological Services 530 000 229 102 43.2 Oil Exploration- Rental Fees 8 000 000 9 455 143 118 Miscellaneous 220 000 192 639 87.6
Total 512 950 000 886 341 543 172.8
Prospecting License and Claims Most applications received were in the category of low application fees, less than N$6000 per application. Only a few applications were received for renewals and the rest were new applications. This caused a lower amount to be collected during the financial year than anticipated.
Diamond Royalties Diamond royalties increased significantly following the recovery in the rough diamond market. The value of carats sold increased by 12% due to higher demand from cutting and polishing centres, consumer demand and strong recovery in the rough diamond prices and higher volumes sold in 2010. The estimated (budget) was done taking into consideration the Economic Crisis one to two years before the year of reporting, and the economic situation in the USA. The strengthening N$ against the USA$ was also taken into consideration
Other Minerals Royalties Penalties were imposed for late royalty payments that resulted in extra payments.
Geological Services The ministry was hoping to sell more geophysical data, since it is difficult to predict how much data will be sold. However few data were purchased during the financial year under review.
139 Oil Exploration- Rental Fees
The 2010/2011 financial year was a busy year for Petroleum Upstream activities, with many applications for exploration licenses. This unpredicted high interest in petroleum exploration licenses led to higher revenues than expected.
Miscellaneous Petroleum licenses, selling of Mineral Act, Diamond Act and Mineral License maps are some of the fees collected under this account, therefore due to economic downfall which is yet to recover completely, few of the said items were sold during the period, which caused lower revenue than expected.
140 MINISTRY OF JUSTICE
Vote 16
Overall Summary
The Ministry of Justice has met three of its five main targets at the end of the 2010/11 budget cycle. It is noted that the performance of one of the other two measures missed the set target by a huge margin.
Ministerial targets
High Court
Target 1: Percentage high court registered criminal cases finalized
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast 80% by New target- New target- 81.3 80 80 2010/11 not not previously previously measured measured
This target is measured by calculating the percentage of cases finalised in relation to the number of new cases received by the High Court during the period under review. Cases received are recorded in court registers. Information on finalised cases is available from Court Record Books which are kept by presiding judges as well as the judgment register kept by the Registrar from data provided daily by the responsible secretaries. The purpose of this measure is to enable the Ministry and the High Court to determine the relation between input and output.
Though records have been kept in the past on newly registered cases, the Chief Registrar only started measuring finalised cases, by keeping proper records, from April 2010, this being the reason why previous figures are not available. Not all matters received can immediately be set down for hearing. Set down delays in criminal appeal matters are more often caused by appellants not applying timeously for legal representation and incomplete court records received from the Clerks of the Criminal Court. All automatic criminal review matters received are automatically enrolled upon receipt. A criminal review matter is however only finalised if the conviction and sentence is confirmed by a judge or if a judgment in the review
141 matter is delivered by a high court judge. If a judge however has a query on the review, the matter is returned to the Magistrates‟ Court and once returned to the High Court it is again enrolled. These queried matters are however not registered as new cases and if so returned it may create a perception of being unattended in the High Court. Criminal trial matters are received by means of an indictment from the Magistrates‟ Court. Upon receipt and registration of criminal trial matters, these matters are immediately enrolled for case management, where they remain until the investigation is finalised, the legal representatives have been appointed if so required, and the accused‟s reply to the State‟s memorandum has been filed. In other words, the case needs to be trial ready before it is actually set down for trial. Most of the time, more than a year will expire from the date of transfer to the High Court, to get a criminal matter ready for trial. These long delays are, as explained above, caused by external factors to which the High Court has little or no control. Having regard to the financial year 2010/11 the following were recorded:
The total number of criminal appeals (old and new) finalized, measured against the total number of new appeals registered / received, was 132.6%;
The total number of criminal trials (old and new) finalized, measured against the total number of new trial matters registered / received, was 97.96%;
The total number of automatic criminal reviews (old and new) finalized, measured against the total number of new automatic criminal registered / received, was 78.33%.
Lower Courts
Target 2: Percentage lower court registered criminal cases finalized
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast 75% by 53 48 33 70 75 2010/11
This target is measured by the percentage of cases finalized out of the total number of cases registered in the lower courts during the year under review and data is collected from court books at all magistrates‟ offices.
The target for Lower Courts for the financial year 2010/11 was 75%. However, this target could not be achieved to date due to postponements as a result of shortages of prosecutors, further investigations by the police, absence of witnesses, abscondment of accused persons
142 and congested rolls etc. This can be seen on the total number of registered and finalized cases during the period under review.
In the 2010/11 financial year, 87,333 cases were registered of which only 28,738 cases were finalized. This number represented 33% of cases finalized during the year under review. 45,403 cases, or 52%, were carried forward to 2010 as pending cases, while 41,930 new cases were registered during the period under review. Lower Courts still failed to reach the desired target of 75% due to the reasons as mentioned above. The cases brought forward each succeeding financial year as well as newly registered cases contributed to the backlog of cases in the lower courts.
The situation is worsened by the fact that there are more than 30 periodical courts countrywide served bi-weekly by resident magistrates of magisterial districts wherein these periodical courts are located. In addition, there are eight Regional Court Magistrates in the country that are located in Namibia‟s five magisterial district divisions namely Keetmanshoop, Windhoek, Otjiwarongo, Oshakati and Rundu. These magistrates, except for one at Otjiwarongo, are travelling on a weekly basis for court sessions to the courts within that division. In other words, the Regional Court Magistrate in Keetmanshoop has to preside over regional cases at Lűderitz, sometimes Oranjemund as well as Karasburg and Mariental. The Windhoek team is responsible for regional court sessions at Gobabis, Rehoboth, Karibib, Omaruru, Swakopmund and Walvis Bay.
The Otjiwarongo Regional Court Magistrate serves Okakarara, Outjo, Khorixas and Grootfontein while the Oshakati team is responsible for the whole of the north including Tsumeb. The Rundu Regional Court Magistrate also attends to Katima Mulilo. In order for the magistrates to perform these functions and to serve the community in their respective areas of jurisdiction a huge portion of the available funds are annually expended on travel and subsistence allowances.
Target 3: Percentage eligible legal aid applicants granted
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast 75% by 83 71 75 75 75 2010/11
This target is measured by the percentage of applicants who are granted state funded legal aid during the reporting financial year for representation in any courts or tribunals in Namibia. The Directorate Legal Aid records all legal aid applications received. The applications are
143 then considered by the Chief and Deputy Chief. A proper record of the outcome (i.e. granted, refuse or pending further information) of each application is kept at the Directorate.
From the inception of the legal aid scheme, heavy reliance was placed on private practitioners, instructed by the Directorate Legal Aid. However, during mid 2005/2006, the staff compliment for legal aid counsel was increased from seven (7) to twenty-four (24) and services of the Directorate were decentralized through the deployment of legal aid counsel to regional offices which were opened at Oshakati, Ondangwa, Otjiwarongo, Mariental, Keetmanshoop, Swakopmund and Windhoek.
This deployment saw an increase in cases handled by in-house legal aid counsel and a marked reduction of 45% of cases outsourced to legal practitioners in private practices.
From a total of 7,135 applications received, 4,261 were approved, which represents 75%.
Two chief legal officers are now handling appeals in the superior courts, two legal officers being trained are now handling divorce cases, albeit under supervision, and four legal officers were recruited at entry level. However, the bulk of civil and appeal cases are still being outsourced to private practitioners. The Directorate Legal Aid‟s internal capacity was adversely affected by the cumbersome recruitment process on the one hand, and the unavailability of suitable candidates. Similarly, the unending high treason trial continues to be the biggest cost driver.
The fact remains that a significant portion of the funds appropriated for legal costs in any given year are utilised to provide legal aid in cases brought forward from previous financial years. This is due to the nature of criminal processes such as police investigations and the time involved awaiting the Prosecutor-General‟s decision before actual court processes commence, which prolong the judicial process.
Target 4: Percentage applications relating to deceased estates and Guardian Fund finalized
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast 80% by Not reported Not reported 90 94 95 2010/11 on on
This target is measured by the percentage of applications received and finalized during the financial year under review. Applications are tracked manually in the following registers: Appointments register; (when a certificate is issued for the appointment of an executor, curator or trustee);
144 Bind register (when an estate is finalized); Certificate register (to capture all liquidation and distribution accounts in deceased estates, insolvencies and curatorships); and Applications register (to capture Guardian‟s Fund applications).
Applications‟ relating to deceased estates and the Guardian Fund finalized are reported on for the first time in the accountability report of the concerned reporting financial year. Performance for the year under review was above target with an execution rate of 90.1%. 1,761 of 2,210 deceased estates were finalized while 6,895 of 7,398 Guardian Fund applications were finalized.
Target 5: Percentage investigations related to maladministration and human rights violations finalized
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast 80% by Not reported Not reported 74 83 85 2010/11 on on
This target is measured by the percentage of investigations received and finalized during the financial year under review. Information is managed by an electronic case management system, which indicates how cases are resolved.
Finalisation of investigations related to maladministration and human rights violations are reported on for the first time in the accountability report. A total number of 1,700 jurisdictional cases were received, of which 8 related to Corruption (five resolved), 4 related to the Environment (one resolved), 240 related to Human Rights (160 resolved) and 1,448 related to Maladministration (951 resolved). In addition, 534 non-jurisdictional cases and requests for advice/information were received (534 resolved). In total, 1,651 cases were resolved, which represents 74% of cases resolved for the year under review.
Budget execution (N$ 000)
Programme Budget allocation Expenditure % variance Administration of Justice 272 817 285 345 -4.6 Court services 187 216 201 041 -7.4 Legal Aid 30 765 30 189 1.9 Prosecution of crime 44 559 43 978 1.3 Deceased estates, Guardian 10 277 10 137 1.4
145 Fund and Trusts
Legal Advice 44 835 44 107 1.6 Legal services and litigation 28 774 28 294 1.7 Law development and 13 337 13 139 1.5 Legislative Drafting International cooperation 2 724 2 674 1.8
Good Governance 9 083 8 949 1.5 Fair administration, Natural 7 561 7 456 1.4 resources & Human Rights Protection of fundamental 1 522 1 493 1.9 Human Rights and freedoms Total 326 735 338 401 -3.57%
Explanation for variances
One programme overspent during the year. This excess occurred as a result of the re-grading of the job category legal officer, which was approved with effect from 1st August 2010 as well as substantial transport expenses which were incurred.
The total variance on expenditure for capital projects for the financial year 2010/11 was 24%, which represented a saving of N$94,444-82 from an annual budget allocation of N$39,249,000. Total expenditure in this regard amounted to N$39,154,555-18.
Some of the reasons why this variance has occurred can be expressed as follows: -
Estimations for some projects were higher than the actual expenditure such as the upgrading of lower courts which resulted in a saving of 0.2%;
Construction of a lift at the magistrate‟s court in Mungunda Street, Katutura, was completed for 2.6% less than the amount provided;
The renovation of lower courts cost 0.2% less than the budgeted amount;
Funds allocated for retention in respect of prosecutors‟ flats that were under construction at Oshakati could not be used for the mentioned purpose since the said construction halted to a standstill when the appointed builder‟s contract was terminated by the Department of Works due to poor performance. Instead, the Ministry utilized these funds to renovate the
146 Prosecutor-General‟s office as well as prosecutors‟ offices in Windhoek and spent 16% less than the budgeted amount.
147 MINISTRY OF REGIONAL AND LOCAL GOVERNMENT, HOUSING AND RURAL DEVELOPMENT
Vote 17
Overall Summary
The Ministry received an allocation of N$958,693,000 in the 2010/11 financial year. The programme implementation rate for this financial year was 99.7%. It is worth mentioning that the needs in the sub national governments remain a challenge. There are still a number of local authorities that are not able to fund their operational expenses from their own funds. There are still areas that have to be proclaimed as new local authorities to fulfil their mandates. The Regional Councils, local authorities and traditional authorities need to be appropriately resourced in terms of funds, equipments and skilled personnel in order to deliver on the development aspirations of their people and to contribute to vision 2030. It is our conviction that with the right resources at their disposal there will be improvement in the development of these areas and of their own resource bases. The Ministry has also strengthened its monitoring strategies to ensure accountability for public resources in the sub national governments.
In the FY 2010/11 the implementation of the delegation process have progressed considerably. The functions, staff and resources have been handed over by the decentralising line ministries to the regional councils for the performance of the delegated function as an agent.
Other detailed activities carried out during the reporting period, under the Decentralisation programme include:
Four Public Participation and Customer Care Training Workshops for constituency clerks were conducted by the University of Namibia. The regions were grouped and the workshops were held at the following venues: Windhoek (Khomas, Hardap, Karas and Omaheke Regional Councils); Rundu (Kavango, Caprivi and Otjozondjupa); Swakopmund (Erongo, Kunene and Oshikoto); and Oshakati (Omusati, Oshana and Ohangwena Regional Councils). The Consultancy on the Review of Office Accommodation for Decentralisation has been finalised and the report was handed over to the Director of Decentralisation by the Chairperson of the Housing and Office Accommodation Taskforce in February 2011. Regional Development and Planning Practices training was conducted for Deputy Directors of Planning and Development, Deputy Directors of Rural Services and Planners from decentralising line ministries in Swakopmund. Post Profiles for all Regional Council posts are finalized and ready for printing.
148 Awareness raising sessions on decentralisation were conducted for all Local Authorities in preparation of receiving delegated functions Preparations were made for the Commonwealth workshop on Validation and Dissemination for the study on the State of Local Government in Southern Africa and the SADC Ministers‟ of Local government forum meeting that was held from 1-3 November 2010 in Windhoek. The Procedures Manuals and Guidelines for the Delegation Phase were distributed for use to the relevant stakeholders and role players. The staff of the Directorate of Decentralisation Coordination attended the following training: EDRMS Training in Windhoek and Otjiwarongo on 23 July 2010 and from 2 to 6 August 2010 respectively. Policy Formulation, Implementation, Evaluation and Analysis in Pretoria, RSA from 6 September to 1 October 2010. Awareness Session on the Law Making Process on 10 September 2010 in Windhoek was conducted by the Ministry of Justice.
Ministerial targets
Delegation of at least four (4) functions to the Regional Councils has been concluded by 2012/13
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast 4 0 2 0 1 1
Ministry of Education (MoE)
Due to the regional councils‟ financial constraints, not all stocktaking exercises for the handing over of the stocks to the Regional Councils could be concluded. Additional budgetary provision should be made for S&Ts for Regional Council staff to do the joint stocktaking as prescribed by the decentralisation guidelines.
The Ministry of Education, together with the Directorate of Decentralisation Coordination, held various meetings on request with regional councils and seconded staff of the ministry of education to clarify issues regarding the implementation of the delegation phase.
In line with the guidelines the Ministry of Education also had their first annual meeting with all thirteen regional councils and seconded education staff in July 2011 in Otjiwarongo. The purpose of these annual meetings is to review the implementation, discuss challenges and issues hampering the implementation, jointly agree on possible solutions, share best practice and reach consensus on the Way Forward.
149
The Ministry has also finalised the connectivity of the education regional offices with the regional councils, with the assistance and guidance from the Division of Information Technology. Selected staff from the regional councils, the Office of the Auditor General and seconded staff were trained on Pastel Evolution to enable them to procure and make payments for services using electronic means. The Directorate has also facilitated training on e-banking for the selected regional councils‟ staff and seconded staff from the Ministry of Education by Bank Windhoek.
Ministry of Works and Transport
Like the Ministry of Education, the Ministry of Works and Transport have conducted two Annual Meetings with all the thirteen Regional Councils in September 2010 in Windhoek and in February 2011 in Opuwo.
Discussions are underway between the Divisions of Information Technology of the Ministry of Regional and Local Government, Housing and Rural Development and that of the Ministry of Works and Transport on the connectivity between the regional offices and the software to be purchased. The reason for this is to ensure uniformity and to facilitate the preparations for the devolution process.
Draft sector specific service delivery standards were developed and the Ministry of Works and Transport are preparing to consult on their use.
Ministry of Lands and Resettlement
The delegation of the functions of the Ministry of Lands and Resettlement could not be finalised, due to the fact that the recommendation and approval of their decentralised organisation and establishment was not finalised in the reporting period. Preparations continue for the delegation of the function, which is anticipated for the 2011/12 FY.
Ministry of Regional and Local Government, Housing and Rural Development
The Ministry identified functions and specific activities to be delegated to Regional Councils and Local Authorities. Preparations are under way to schedule regional consultative sessions before Cabinet submission.
150
Ministry of Information and Communication Technology
The Ministry identified Print and audio visual production for delegation during the 2011/12 financial year. The draft Cabinet submission has been prepared and is ready for tabling.
Ministry of Gender Equality and Child Welfare
The ministry identified functions for delegation and is in the process of finalizing the restructuring process. The functions were re-scheduled for delegation as planned during the financial year 2011/12.
Ministry of Health and Social Services (MoHSS)
The Ministry facilitated a technical visit to Uganda to study the delegation of primary health care function to sub-national governments to enable the MoHSS to finalize the identification of primary health care functions to sub-national governments. The team also studied the establishment of a Local Government Service Commissions in Botswana and Uganda and the feasibility of establishing such Commissions in Namibia. The Ministry will be facilitating a technical visit in the financial year 2011/12 to Ghana to study the delegation of primary health care function to sub-national governments to enable the MoHSS to finalize the identification of primary health care functions to sub-national governments.
Proclamation of six (6) towns by 2012/13
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast 6 1 0 2 0 2
Reason for not meeting the target for financial year 2010/11
Divundu was declared a settlement area and Divundu Proper was proclaimed as an approved township. The proclamation of Divundu as a town is being delayed due to the NamPower power line that had to be installed and cuts through the middle of the town. Re-planning of the town is completed and application for the re-planning of Divundu is submitted to Townships Board for approval. Oranjemund, the main road needed to be de-proclaimed from a private road to a public road. A Cabinet submission was prepared by the Ministry of Works and Transport for de- proclamation of the private road to a public road. Extension 1, 3 and 4 was surveyed and was submitted to Surveyor General‟s office for approval. Oranjemund was proclaimed as a Local
151 Authority in the 2010/2011 financial year. Elections will be held towards the end of the 2011/2012 financial year. Otjinene, was proclaimed as a town. Elections will be held towards the end of the 2011/2012 financial year. Bukalo is a proclaimed settlement. Construction of services and water treatment plant is almost completed. Aussenkehr: Diagram of land to be transferred to Government was signed by the Surveyor General conveyancer, to register portion at Register of Deeds as Government property, after which the proclamation process can start.
Complete construction of services and overhaul of infrastructure in twenty (20) towns by 2012/13
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast 20 1 3 3 4 5
Progress towards meeting the target of 2010/11
Otjinene: Work is completed on water, sewerage and ponds. Aussenkehr: The construction of sewerage trickling plant is completed. The construction of the sewerage reticulation plant commenced and is 35% completed. Project will be completed in the 2011/12 financial year. Eheke: The consultant was appointed and tender documents were prepared. Tender was advertised and closed on 22 September 2010. Tender was awarded and project is completed. Uukwangula: The consultant was appointed and tender documents were prepared. Tender was advertised and closed on 22 September 2010. Project for electrical and water is completed. Oxidation ponds and access roads will be completed in the financial year 2011/12. Okahao: The consultant was appointed and tender documents were prepared. The tender was advertised and will close on 01 October 2010. Project is completed. Omuthiyagwiipundi: The consultant was appointed and tender documents were prepared. Tender was advertised and closed on 22 September 2010. Tender awarded and contractor on site. Phase completed. Oshikuku: The consultant was appointed and tender documents were prepared. Tender for electrical and roads was advertised and closed. Tender awarded and contractor on-site. 90% of project completed. Delay in electrical completion was caused by floods and the roads due to compensation. Project is to be completed in new financial year 2011/12. Opuwo: The consultant was appointed for phase 1 and tender documents for water reticulation were prepared. Tender was advertised and closed. Tender could not be awarded due to indifferences between Regional Council, town Council and Ministry.
152 Helao Nafidi: The consultant was appointed. Tender Documents were prepared and tender for sewer line, pump station, water lines and electricity was advertised. Tender awarded. Contractor on site. 85 % of this phase completed. Ondangwa: The consultant was appointed. Tender documents were prepared and tender for water, sewer and pump stations was advertised. Tender closed and awarded. Contractor on site. 92 % of this phase is completed. Construction of pump station has not started due to the flooding.
Getting rid of the bucket system in eleven (11) villages and settlement areas by 2012/13
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast 11 1 0 2 4 4
Progress towards meeting the target of 2010/11
Gibeon: Completed. The connection of toilets to the main sewerage reticulation system is done. Kalkrand: Tender documents for the construction of toilets for households which is to be connected to the main sewer were prepared. Tender was not advertised, because Kalkrand Village Council decided that the project should be community based. Work only commenced during the third quarter of the financial year. 30% of work completed. Stampriet: Tender documents for the construction of toilets for households to be connected to the main sewer were prepared but tender was not advertised based on Council‟s decision to make it community based. Project is 45% completed. Construction is due for completion in the 2011/12 financial year. Tses: Construction of toilets and connection thereof to the main sewer line is completed. Aroab: The construction of the water-borne sewerage reticulation system in phase one (1), together with the construction of toilets and connection thereof to the main sewer in phase two (2) and phase three (3) was completed. Phase four (4) is 60% completed. Berseba: Water-borne sewerage reticulation completed. Tender documentation was prepared for the construction of toilets and the connection thereof to the main sewer and project is 35% completed. Bethanie: Water-borne sewerage reticulation completed. Tender documentation was prepared for the construction of toilets and the connection thereof to the main sewer and project is 40% completed. Koes: Water-borne sewerage reticulation completed, construction of the sewerage ponds is completed. Construction of pump station will commence in the financial year 2011/12. Construction of toilets and the connection thereof to the main sewer has not yet commenced.
153 Construction of 1,300 houses per year under urban/rural single quarter transformation and social housing
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Actual Forecast 1300 1266 1 338 1 331 1 300 1 300
Establishment of seven (07) Rural Development Centres by 2012/13
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Actual Forecast 7 0 0 0 0 7
Sites for the construction of the Rural Development Centres were identified and the feasibility studies were conducted. However, construction has not yet commenced as it was discovered that the estimated construction costs exceeds the available budget. Construction is due to commence in the 2012/13 financial year.
Construction of two (02) offices per year for Local Authorities
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Actual Forecast 2 0 0 0 2 2
Construction of the offices for the financial year 2010/11 could not go ahead in Oranjemund and Otjinene. The two towns will be proclaimed in the financial year 2011/12
Construction of two (02) offices per year for Traditional Authorities
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Actual Forecast 2 0 0 0 0 2
Budget execution (N$ 000)
Programme Budget allocation Expenditure % variance Housing and Infrastructure Development 456 163 451 596 1 Regional and Local
154 Government 421 475 424 677 -0.8 Coordination Traditional Authorities 17 232 16 946 1.6 Coordination Decentralisation Coordination. 8 312 7 692 7.5 Rural Development 25 511 24 636 3.4 Trust Fund 30 000 30 000 0 Total 958 693 955 547 0.3
Explanation for variances
Regional and Local Government Coordination The programme reflects overspending of 0.8%. The reason for overspending was that the expenditure report reflected that funds are available, due to a negative entry under outstanding commitments. Payments were therefore processed. This error was detected and the cheques were written back in the current financial year and not the year the transactions were incurred. It could however not be written back against the subdivision where the expenditure was incurred since the period was closed resulting in an overspending.
Decentralisation
The programme reflects under spending of 7.5%. Under spending on this programme is because of the following; Postponement of the Decentralization Action Plans of the Ministry; delay in the consultations with Regional Councils on the proposed legal amendments on the Regional Council Acts pending feedback from the Office of the Prime Minister on the proposed amendments; and delays in printing of Councillors‟ Handbook due to further editing needed. It should further be noted that the implementation of the Decentralisation Action Plan (DAP), timing is dependent on the delegating Ministry which poses a challenge in terms of budget execution. Lastly the restructuring of delegating Ministries poses a major challenge. E.g. the Ministry of Lands and Resettlement made a submission for restructuring for decentralisation in January 2009, but was only approved and received back in February 2011.
155 Rural Development
3.4% under spending is reflected under the Rural Development Coordination programme. Activities are carried out under this programme, but some had to be postponed that are depended on the finalisation of the Rural Development Policy.
2010/11 Revenue (N$) Items Budget) Actual Revenues Collection as % of budget Private Telephone calls 1 000 900 90 Unclaimed Cheques 1 200 1 803 150 Miscellaneous 12 200 188 560 Subdivision, Consolidation & Extension Fees 0 280 668 Low Cost Housing 5 000 000 111 922 2 Permission to Occupy Fees 0 4 550 Sale of Erven 0 770 Total 5 014 400 589 173 11.7
Explanation on variances
Private Telephone Calls
An annual provision of N$1,000 is made under this item. It is difficult to predict how many staff members will make private telephone calls, since the introduction of the new computerised telephone management system limits staff members in making private calls.
Unclaimed Cheques
An over collection was made under this item. It should be noted that this problem normally occurs at Regional Council level, whereby cheques are not collected by the Traditional Councillors. The main reason for non-collection of the cheque is either death or resignation. The notification of deaths and resignations are not made in time by the respective Traditional Authority to the Regional Council thereby causing delays in the return of unclaimed cheques. It is a challenge for the Ministry to make a proper estimation under this item, since most of the cheques returned are of beneficiaries that passed away or resigned.
156 Miscellaneous
N$188,560.00 was collected during the financial year, which is N$176,360 more than the estimated budget. The money received under this item was for replacement of lost access buttons, money received from the Office of the Government Attorney, etc. Collection under this revenue item is not predictable and it was therefore decided not to increase the estimated allocation.
Subdivision, Consolidation & Extension Fees N$280,668 was collected under this revenue category. No revenue estimate was made for this item. An estimate of N$300,000 will be proposed for the financial year 2012/2013. Money collected is for applications (to the Minister) for township establishment, variation of condition of establishment, land subdivision, extension of boundaries and town planning schemes.
Low Cost Housing
It should be noted that the N$111,922.82 reflected was for moneys received through the State Revenue Fund. Moneys received through the Build Together Account were not accounted for, since no transfer of funds was made to the State Revenue Fund from the Build Together Account during the reporting period. The estimate will be revised for the financial years 2012/13.
Permission to Occupy Fee, Sale of erven
This revenue item is for the collection of money for the sale of erven and leasing of land by Local Authorities and Regional Councils. Deductions are often implemented from the salaries of staff members by the different line ministries and wrongly allocated to this Ministry. This source of revenue has been decentralised to the Regional Councils and Local Authorities and therefore all revenue received in future under this revenue head will be transferred to the Local Authority or Regional Council concerned.
157 MINISTRY OF ENVIRONMENT AND TOURISM
Vote 18
Overall Summary
The Ministry of Environment and Tourism (MET) continues to maintain its excellent performance rating of 90% and above.
The Ministry is committed to the sustainable use of wildlife resources, as is indeed provided for in our national constitution. Due to this positive performance tourism has grown to be one of the most important industries in Namibia in terms of its strong contribution to the Gross Domestic Product, employment creation and the well-being and social uplift of rural people. Namibia has also become well known for conservation successes of key endangered species such as Black rhinoceros and Cheetah.
Our Community Based Natural Resource Management Programme is now widely regarded as an innovative and successful people-oriented approach to conservation. We have become recognized as a leader in this field. We have restored the link between conservation and rural development by enabling communal areas farmers to derive direct income from the sustainable use of wildlife and tourism activities. Namibia‟s success story in conservation and tourism comes from our programme for Community Based Conservation of wildlife. Conservancies are being established as local community based institutions for managing natural resources. Through legislation, communities that form conservancies gain management rights over wildlife and tourism. They are able to use these management rights to develop economic opportunities such as eco-tourism and hunting.
During the 2010 / 2011 financial year, five conservancies were registered and gazetted, namely Otjombinde and Omuramba Ua Mbinda Conservancies in the Omahheke Region with a population of 460 community members; Orupupa and Otjitanda Conservancies in Kunene Region with a population of 975 community members; and Bamunu Conservancy in Caprivi Region with a population of 163 community members. This brought the number of conservancies in Namibia from fifty nine (59) to sixty four (64). Approximately 260 000 people or almost 13 percent of the country‟s population reside in conservancies. While these opportunities bring income and jobs for communities in some of the poorest areas of the country, the income gained by conservancies provide an incentive for continued wise management of wildlife and other natural resources as communities wish to maintain that income flow into the future.
158 In its attempt to broaden the base of those who benefits from tourism, the Ministry of Environment and Tourism has been assisting communities and entrepreneurs financially and technically to enter the sector. It has completed the construction of tourist information centres in Sorris, Khob, Naub and Huab conservancies; started the construction of a joint venture lodge in the Uukwaluudhi conservancy and two community lodges at Tsintsabes and Aminius; and construction of a guesthouse in Mariental is under construction. In addition to these, builders have been appointed to commence with the construction of two more lodges at Ngoma in Caprivi and Ohungu conservancy in Omatjete as well as three guesthouses in Katutura, Otjiwarongo and Ongwediva. All these are scattered around our country and are expected to create a combination of one hundred (100) direct jobs.
Gambling activities have generated an income of N$16 million for the state for the financial year 2010/11 and work still continues to strengthen the Gambling and Lotteries legal framework.
With the development budget allocation of N$99.7 million during 2010/11, the Ministry has completed the construction of three new offices at, Naute Dam, Kahenge and Zais. The 1st phase of MET Head Office was also completed. Twelve staff houses were constructed and renovated at: Daan Viljoen, Okatjikona Outjo, Keetmanshoop, Ariamsvlei, Ubusis, Uis, Ongwediwa, and Möwe Bay. Two main tourists roads in the Namib Naukluft Park were completed and fencing of 14 km of the Etosha National Park (ENP) northern boundary, 10 km at Kaross breeding camp, 18km at Mahango National Park and 50 km at Waterberg National Park has been constructed. The construction of a fence at ENP will be on-going until the whole Etosha boundary is completed.
159 Ministerial targets
Target 1 Manage priority protected areas or complexes of protected areas (Etosha-Kunene-Skeleton Coast complex, Sperrgebiet-Ais-Ais complex, Bwabwata-Mudumu-Mamili (BMM) complex1, Namib-Naukluft Park, Khaudum National Park, Mangetti National Park, Dune Belt and National recreational Area) according to approved management plans in the MTEF period.
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast 2010/11 3 3 7 8 8
Our Protected Areas are vital tools for conserving Namibia‟s essential biodiversity. Managing them properly will leave the irreplaceable assets and the unlimited potential they possess to future generations. Our protected areas and wildlife also draw hundreds of thousands of tourists to Namibia. The international fascination with Namibia‟s Parks is growing annually and, as more visitors arrive, they generate employment and stimulate development, not just in the Parks, but nationwide. During the 2010 / 2011 financial year, the Ministry made progress in the establishment of the new Coastal Park, being the Dorob National Park which was proclaimed and gazette in December 2010.
Target 2 Complete the implementation of the business plan and turnaround strategy of NWR, approved by Cabinet in 2006 to ensure that the company achieves profitability, improves management, improves services, and improves infrastructure. Through this strategy, NWR is expected to reduce net losses from N$13.2 million in 2005-06 to net profit in 2010-11 or sooner.
The Namibia Wildlife Resorts continues to show positive transformation of the company and has gained market share both nationally, regionally and internationally. Also the overall percentage of Namibians making use of NWR facility has been on the rise from 13.72% in 2006 to 21, 6 % in 2010/11. However, the company still fails to realize financial sustainability.
1
160 Target 3- Develop and implement one satellite account for tourism and natural based economic activities within MTEF period
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast 1 in 0 0 0 1 0 MTEF period
The purpose of this programme is to improve the Ministry‟s contribution to State revenue and improve the understanding of the value of the assets that the Ministry is responsible for and the costs of maintaining them.
Target 4- To Trans-locate game to 52 emerging farms by 2011/12 as part of WBLS and establish support mechanism
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast 52 in 6 23 41 52 57 MTEF period
To this end, the Ministry of Environment and Tourism has undertaken to implement a long term programme, the Wildlife Breeding Stock Loan Scheme (WBSLS), which aims to expand the range of different game species in Namibia and at the same time facilitate the entry of formerly disadvantaged Namibians into the game farming industry. At the end of the financial year 2010/2011, in total we have provided game to 41 beneficiaries. In addition to WBSLS, the Ministry has a programme of restocking Communal Conservancies with wildlife species which historically occurred in those areas. During the 2010/2011 financial year, the Ministry has translocated in total 772 heads of game to 10 Communal Conservancies from the State protected areas, including two new populations of Black rhinoceros.
However, there are still many challenges and opportunities. Market access for our wildlife producers is one, and is of the greatest importance. Human wildlife conflict is another. We recognize that living with wildlife often caries a cost, with increased wildlife populations and expanded ranges into communal and freehold farming areas resulting in more frequent conflicts between people and wild animals, particularly elephants and predators in many areas. This has resulted in livestock and crop losses, damage to water installations and in
161 some instances, loss of human lives. Because of the scale and urgency of the problem, we have developed an integrated, flexible and comprehensive policy towards dealing with wildlife conflict that can provide a framework for all stakeholders and can meet the country‟s national and international commitments to biodiversity conservation while taking into account the rights and development needs of the people.
During the 2010 / 2011 financial year, we developed measures and guidelines for implementation of the Policy on Human and Wildlife Conflict Management and the Policy is now being fully implemented. These measures and guidelines identified mitigation, protection and preventative measures that we are now implementing together with communities, line Ministries, Regional Councils and other stakeholders to reduce or avoid human wildlife conflicts. We have also embarked upon the construction of electrified game proof fence around the Etosha and Mahango National Parks where the highest of these conflicts are experienced. More, however, is still to be done in order to get all measures and strategies we want to be implemented, although this will require a substantial amount of money.
During the 2010 / 2011 the Ministry has also started the implementation of the Human Wildlife Conflict Self Reliance Scheme. Payments under the Human Wildlife Conflict Self Reliance Scheme are made to cover livestock losses at rates that do not cover the full value of the animal concerned but aim to partially off-set the loss to the farmer. A payment at a determined rate would also be made to cover for damages caused to crops. The scheme has also established a system to assist affected families with funeral costs. MET has a permitting system to regulate the consumptive use of wildlife resources. We are currently working on the automation of this system to facilitate the issuing of permits and to improve record keeping.
In an attempt to promote broader participation in the wildlife industry and to foster equitable and sustainable utilization of wildlife in Namibia, the Ministry conducted 3 information sessions in 2010/11 to explain issues pertaining to wildlife utilization permits to interested farmers. Emerging farmers were encouraged to attend. In total, 18 farmers attended.. During the 2010/2011 financial year, the Ministry conducted an auction of live game; an amount of N$7.17 million was realized. This money was deposited in the Game Products Trust Fund, to be used exclusively towards wildlife conservation and community conservation and development programmes aimed at harmonizing the co-existence of people with such wildlife, and thus securing a future for wildlife outside of and within protected areas in Namibia.
162 Budget execution N$ 000
Programme Budget allocation Expenditure % variance
1. Protected area management 114 871 109 021 95% 2. Protection and management 23 033 22 835 99% of key species and natural resources 3. Community-based natural 10 841 7 854 72% resource management and tourism 4. Regulation of environmental 15 801 15 207 96% protection and sustainable resource management 5. Tourism development 53 250 48 889 92% 6. Gambling 1 700 1 607 95% 7. Administration, Coordination 128 431 113 512 88% and Investments Total 347 927 318 925 91.6%
Explanation for variances
The ministry has overall under spent by 8.34% during the year under review. The following factors have contributed to an underspending in all programs: Under performance was mainly experienced on programme 7, on the development budget, particularly the roads and fencing construction projects due to heavy rains during early 2010 which caused a delay in the commencement of work in the parks. The position of Deputy Minister remained vacant for most of the year. The Ministry had to put on hold recruitment of lower positions as it had submitted a proposal for the re-structuring of the Ministry to the OPM; this restructuring requires a reduction in the number of lower-skilled positions, and an increase in the number of qualified staff. This has impacted both salary, and other related costs such as S&T.
163 MINISTRY OF TRADE AND INDUSTRY
Vote 19
Overall Summary
The core responsibilities of the Ministry of Trade and Industry (MTI) are to attract investment and expand and diversify industrial production, export markets and sources of inputs. The Ministry has set itself targets which are aimed at contributing towards the realisation of broad development targets as highlighted in the respective national development plans and Vision 2030. These targets are aimed at improving productivity and the competitiveness of the private sector which is recognised as the engine for economic growth.
Ministerial targets
Increased export of Namibian products by 10% by 2013
Target 2009/10 2010/11 2011/12 2012/2013 Actual Actual Forecast Forecast 10% by 2013 Target could not be 3% 7% 10% measured a different target set for (a decrease) 2010/2011 Export N$32 billion N$31 billion N$33.2 N$34.2 to the world billion billion Source: Central Bureau of Statistics 2011
It was difficult for the Ministry to measure the outputs and outcomes of its trade promotion activities described above due to the nature of regional cross border trade and lack of reliable data. As such, a different target was chosen for the 2010/11 financial year (as illustrated above).
In terms of the new target (increased Namibian exports), the Ministry devoted financial and human resources towards promoting the exposure and export of Namibian products and services in foreign markets as well as on facilitating product and market diversification. This was achieved through direct financial and technical support to local companies and entrepreneurs through among others by enabling their participation in both regional and international trade fairs, exhibitions and business missions. The Ministry assisted some 288
164 local companies and entrepreneurs to take part in the above-mentioned business networking and export enhancing activities during the period under review.
From the table above, Namibia‟s exports to the rest of the world amounted to N$31 billion during the year under review, which represents a decrease of 3 percent from N$32 billion recorded during 2009/10 financial year. According to the National Accounts, the decrease has been attributed to a decline in the export of articles of iron or steel, ores, slag and ash and animal or vegetable fats due to changes in demand and supply forces in the world market over which Namibia has no control. From the current export performance figures, it might not be possible to attain the forecast of 7% for the financial year 2011/12 as indicated above. However, the Ministry will endeavour to enhance other trade related activities such as product development, national branding for Namibian products to meet international standards, etc. in order to improve Namibia‟s export competitiveness.
With regard to securing and preserving market access, the Ministry continued to actively participate in regional and multilateral trade negotiations. Progress has been made in the implementation of tariff liberalization commitments among SADC Member States, consolidating the SADC FTA which has enabled access of Namibian export products to a larger market. In the context of the SADC-EU Economic Partnership Agreement (EPA) negotiations, progress has also been made with the EC having formally agreed to the inclusion in the final EPA of the contentious issues Namibia had raised. The conclusion of the EPA process will provide added opportunities for Namibian products into the EU market.
At the sub-regional level, efforts are also being made in order to consolidate market access within SACU and to strengthen institutional capacity in order to accelerate deeper integration and shared growth and other benefits among member States. Among the priorities intiative in this regard are the development of a long term strategy for the SACU textile and clothing sector and establishment of the national bodies. In this regard, the Ministry is expediting the establishment of the Namibia Board of Trade which is expected to be operational once the Bill has been enacted.
While the promotion of a country‟s exports is a national effort, there is no doubt that the Ministry has been playing a leading and pivotal role in this national endeavour. The Ministry will continue to deploy financial, human and technical resources towards increasing market access for Namibian products in regional and international markets over the METF period and beyond. In this regard, the Ministry will intensify support to industries and companies to enable them to establish and take advantage of existing and new markets in the region and beyond, to improve the quality of their products and supply-side capacity, facilitation of business linkages and development of trade-supportive infrastructure at home and in target markets. In respect of the latter, the Ministry is working to construct warehousing
165 infrastructure in the DRC, Republic of Congo and Angola. Fact-finding missions were undertaken to DRC and Congo Brazzaville and negotiations for the acquisition of land were initiated with the authorities of these countries during the reporting period, while land has been purchased in Angola for the above-mentioned purpose.
In order to boost the quality of Namibian industries and products, the Government through the Ministry of Trade and Industry has established specialised bodies such as the Namibia Standards Institution (NSI) that promote and enforce compliance to national and international quality standards at factory and product levels. In order to perform its quality assurance function, the NSI is required to set up and operates modern state of the art testing laboratories for testing Namibia‟s fish and fishery products as well as canned meat that are destined for export. The Institution has received budgetary support from the Ministry during the period under review for the construction and running of its testing and inspectorate facilities at Walvis Bay and Lüderitz. Land has been acquired and the construction of the Lüderitz fishery inspectorate facility is expected to be completed during the 2011/12, while the testing centre in Walvis Bay is expected to be completed in 2012/13 financial year.
The expected combined effect of the Ministry‟s activities during the 2012-2014 METF period is to achieve an increase in Namibian exports measured in numerical and percentage terms.
SME contribution to GDP increased to 15% by 2013.
Target 2009/10 2010/11 2011/12 2012/13 Actual Actual Forecast Forecast 15% by 2013 4.7% (target changed in 12% 13% 14% 2010/11)
Although the actual contribution of the SME sector to the GDP during the reporting period cannot be quantified due to lack of reliable data, a study conducted in 2005 by the Institute for Public Policy Research (IPPR), indicated that the sector contributed 11.01% in 2002/03 and 12% to the GDP in 2004/05, thus expanding by about 0.5% per year under the conditions prevailing in 2002-2004. However, this estimate would have to be verified through a new study, planned for 2011/12.
The estimated growth and contribution of the SME sector above is also premised on the huge resource investments that the Government has been making towards the sector, especially since 2007/08, and a reasonable presumption that such growth is much faster than 0.5% per year due to the greatly expanded support programme currently in place. This refers to the introduction of measures such as tender preferences for SMEs as well as the implementation
166 of a range of SME–support programmes and services by the Government through the Ministry of Trade and Industry.
The Ministry‟s activities during the period under review and in general are aimed at addressing the identified constraints to the growth of the SME sector, which are lack of access to affordable finance, production equipment and technology, industrial and trading space, product quality and business management skills.
The following specific activities or interventions were undertaken during the period under review:
The Ministry assisted eight (8) entrepreneurs with feasibility studies, twenty (20) with business plan formulation and three hundred and twelve (312) entrepreneurs with training on how to run a successful business. From the eight (8) businesses assisted with feasibility studies, one (1) business has implemented her business ideas of harvesting and adding value to devils claw and has created 25 jobs. From the 20 businesses which were assisted with business plans, eight (8) businesses are in operation and have created 48 jobs. Twelve (12) of the 312 businesses that received business advisory and mentorship services with the help of the Ministry created fifty (50) jobs.
In addition to the above and in order to help small contractors to successfully bid and complete construction projects, the Ministry financed and organized training for hundred and fifteen (115) SME contractors from all the 13 regions in project costing, tender procedures and requirements. As a result of the above intervention by the Ministry, 28 of the small contractors trained successfully secured construction tenders and created 361 jobs.
Fifty (50) emerging entrepreneurs were trained in the application of intellectual property right and were provided information on how to register and protect designs, trademarks, patents, folklore and traditional knowledge. The Ministry also financed and organized training of forty (40) youths in gemstone cutting and polishing. As a result of the skills imparted, all 40 trainees were taken up and provided permanent employment in existing diamond and jewelry making companies. Furthermore, the Ministry sponsored training for five (5) members from a cooperative (Namtex), which the Ministry assisted in establishing, in embroidery designing in Singapore as well as five (5) operators on how to produce charcoal. The cooperative has created thirty five (35) jobs while the charcoal project employs sixty (60) persons.
In order to help local SMEs to secure strategic business linkages and partnerships, the Ministry also sponsored exposure visits of emerging entrepreneurs in and outside the country. Additionally, the Ministry also procured and provided production equipment to one hundred and sixty eight (168) SMEs through the Ministry‟s Equipment Aid Scheme. Out of 168
167 beneficiaries, 90 are women. The table below highlights the number of beneficiaries and jobs created per region:
Regions Number of Jobs Created Actual Expenditure Beneficiaries Caprivi 4 12 504 704 Erongo 7 10 285 447 Hardap 9 16 562 954 Karas 5 6 363 412 Kavango 10 20 1 125 495 Khomas 61 165 5 103 664 Kunene 3 6 286 743 Ohangwena 3 6 656 479 Omaheke 10 19 744 779
Omusati 13 22 998 534
Oshana 25 176 3 374 711
Oshikoto 6 30 1 075 923
Otjozondjupa 12 38 1 185 189
TOTAL 168 526 16 268 034
In response to the need of SMEs for affordable business premises, the Ministry through its Sites and Premises Development Programme has constructed industrial and business infrastructure in the various towns and settlements in the various regions of the country. Some of the specific business infrastructure facilities that were constructed and/or completed during the period under review are the Okakarara Trade and Industrial Park, and the Okongo and Okalongo SME Parks as well as the site works for the Oshakati Agro-food Processing Centre and a new business park in Okahandja. The Ministry also completed the construction of office buildings to house its regional offices in the Caprivi and Kavango Regions. See Annexure A for a breakdown of the business supportive infrastructure constructed over the reporting period by the Ministry.
During the reporting period, the Oshifo-Ruacana, Onethindi, Tsumeb Community Markets and Walvis Bay Automotive Hub, Katima Mulilo and Rundu Trade and Industrial Estates were in the development stage of documentation preparation. Additionally, renovations to the Otjinene, Khorixas and Ondangwa SME Parks were done.
Following the closure of the Ramatex garment operations, which resulted in job losses, the Ministry had to come up with alternative ways of mitigating the impact of such job losses by supporting the establishment of locally owned garment and textile companies. In this regard,
168 eight hundred (800) industrial sewing machines were acquired from Ramatex at a cost of N$ 3 million to set up the Windhoek Garment Factory in Northern Industrial area to be equipped with seven hundred (700) of these industrial sewing machines and the Garment Factory in Prosperita to be equipped with one hundred (100). Construction of these factories commenced during the fourth quarter of the financial year 2010/11.
In addition to the constraints to the growth and potential of the SME sector to make a meaningful contribution to the country‟s GDP, is unfair competition from well-established and often large enterprises most of which are foreign-owned. In order to promote fair competition and equal opportunities for local small businesses and historically disadvantaged Namibians to participate in the mainstream economy, the Government has established the Namibian Competition Commission. While it is still in its formative stage, the Commission has received and made rulings on a number of mergers and acquisitions, which if allowed without control would have resulted in monopolistic practices with far-reaching price-rising effects and negative impacts on local firms and consumers, especially SMEs.
To achieve 5% increase in manufacturing output and value added activities contribution to GDP by 2013.
Target 2009/10 2010/11 2011/12 2012/13 Actual Forecast Forecast 5% by 2013 Target could not be 13.5% 13.9% 13.9% measured, changed in 2010/11 Source: MTI Sectoral Report 2011
The Ministry‟s target of 5% increase for the MTEF period implies that the sector is expected to grow by at least 1.6% annually. This growth is expected to be derived from increased value addition in activities such as fishing and meat processing, other food products and beverages, zinc refining, copper refining as well as chemicals and cement production.
Manufacturing is the main contributor in the secondary industries accounting for about 13.5 percent of GDP in 2009.The sector recorded an annual growth of 5.0 percent in 2010 as compared to 6.5 percent in 2009. The observed decline is attributed to a slow growth reflected in the fishing, fish and meat processing onshore and other manufacturing subsectors.
As part of the Ministry‟s drive towards the achievement of the set target, and to bring about structural transformation of economy, a number of schemes were put in place mostly targeting at addressing supply-side constraints that inhibit growth of the sector.
169 In order to realise this objective, the following activities were undertaken:
The development of Industrial Upgrading and Modernization Programme which is aimed at improving production efficiency and effectiveness of the local firms or companies to enable them increase production output and become competitive.
The development of Industrial Statistic Database which serve as a baseline in providing information to entrepreneurs on production inputs, technology and equipment.
In order to promote and carry out general and strategic industrial development initiatives in the country the Government set up the Namibia Development Corporation as the implementing arm. The corporation implements and manages a number of industrial and agronomic projects on behalf of the Government which have the potential to contribute to local value addition and manufacturing in the country. During the period under review the Government through the Ministry of Trade and Industry provided financial resources in order to boast the production capacity and commercial viability of various projects under the NDC‟s management.
The following are some of the activities that were carried during the reporting period: Upgrading of the irrigation infrastructure at Naute Grape farm and expansion of the land under cultivation. Upgrading of workers‟ living quarters in order to ensure conducive and hygienic living conditions at Naute. Procurement of breeding stock and farm equipment as well as repairs and upgrading of the fencing at Kavango Cattle Ranch.
100% of companies, close corporations and industrial property registered within 5 working days through e-registration by 2013.
Target 2009/10 2010/11 2011/12 2012/13 Actual Actual Forecast Forecast 100% by 2013 62% 90% 95% 100%
The target set for the period under review has not been achieved, because the full e- registration infrastructure is still being put in place in Windhoek and in the various regions (Regional Offices). Once developed and in place, this infrastructure will enable members of the public to apply to register their businesses online from computer terminals set up at the Ministry‟s offices countrywide.
170 Currently all new registrations of businesses, patents and trademarks are being registered and stored on an automated business registration system at the head office in Windhoek. The registration process currently takes 7 working days and the Ministry is working towards reaching the 5 working days target by 2013 once the full infrastructure for e-registration is in place and functional.
The automation of the business registration system has made the accessing of information on existing businesses easier and quicker. In order to make it easy for members of the public who wish to register and start businesses, the Ministry started distributing business registration forms free of charge during the period under review. These forms have been made available to the public at the Ministry‟s regional offices as well as regional and local council offices and NCCI branch offices.
During the period 2009/2010, a total number of 11,634 business were registered (companies 935, close corporations 5538, sole proprietors 5161. During the period under review (2010/11), a total of 13,678 businesses were registered (companies 860, close corporations 6002, sole proprietors 6816), representing a 17.6% increase.
In comparison to the total income of N$17,109,122 that the Ministry generated for the State coffers from business and IPR registrations during 2009/2010, a total income of N$20,881 886 was generated during the reporting period, representing a 22.05% increase in total income generated.
Increase the value of FDI by 20% by 2013
Target 2009/2010 2010/11 2011/12 2012/2013 2013/14 Actual Actual Forecast Forecast Forecast
20% by 2013 63 (different 43.2% 15% 20% 20% target) Source: BoN Annual Reports 2009-2010
During 2009/2010, the Ministry‟s target was to facilitate and realise 50 new investments from abroad. The number of actual FDIs realised was 63, which was above the target. As a result, Ministry changed its target on FDI from numerical to percentage terms. One of the reasons for the change was to align reporting to that of the Bank of Namibia (BoN), the principal custodian of national FDI statistics.
According to BoN annual reports, the value of FDI into Namibia grew substantially from N$4.4 billion in 2009 to N$6.3 billion in 2010, representing a 43.2 percent increase. This was
171 mainly due to reinvestments of earnings by existing companies, as a result of positive local risk perceptions. From the above, the target of a 20 percent increase in FDI by 2013 was achieved during the reporting period.
A general reduction in FDI growth is predicted during 2011/2012, as economists predict another global recession based on uncertainties in the global money markets and in Europe and the USA which are amongst Namibia‟s major trading partners and investment sources. However, investment in the energy sector particularly uranium is expected to continue and to give rise to forecasted FDI growth rates of 15 percent and 20 percent during 2011/2012 and 2012/13 respectively.
The foreign direct investments that have been committed during the reporting period are expected to create some 2,082 jobs once the actual investments are made.
In order to effectively trace and verify the exact number and scope investment commitment, the Ministry has forged a stronger partnership with the Bank of Namibia, and collaborated on research.
In response to identified undue foreign competition, the Ministry instituted a restriction prohibiting foreign investments in business that can easily be performed or carried out by Namibians such as retail, taxi and shuttle passenger transport services, hair dressing and salons. This was done through a Gazette Notice and in terms of Section 3(4) of the Foreign Investment Act 1990. The measure is aimed at promoting local entrepreneurship in subsectors where capital requirements are low, and to redirect FDI to areas such as manufacturing.
In addition to the above, progress has been made in reviewing the current law on investment, the Foreign Investment Act of 1990, resulting in a draft investment bill, which is currently being refined.
Another activity is the reviewing of bilateral investment agreements between Namibia and partner countries, to restructure such agreements and develop a model agreement that adequately responds Namibia‟s development aspirations in respect of foreign direct investments.
The Ministry facilitated and hosted over 12 inward and 13 outward trade and investment exploratory missions to and from various countries such as Brazil, China, Japan, Slovak Republic, Poland, Turkey, Germany, South Africa, USA, United Arab Emirates, Zambia and Tanzania. These missions have been used to market investment opportunities in Namibia and to promote business linkages between Namibian and foreign entrepreneurs. A number of real business deals and investments came out of these missions, and have resulted in employment
172 and other opportunities and benefits for the country. The Hilton hotel project is one such business partnerships that were initiated during business missions of this kind.
Improve Namibia’s competitiveness ranking in Africa to position three (3) by 2013, according to the Africa Competiveness Index.
Target 2010/11 2011/2012 2012/2013 2013/2014 Actual Forecast Forecast Forecast Ranking in Africa to 3rd 4 4 3 3 position
As per the above table, Namibia became in 2011, the 4th most competitive country in Africa, two places up from number six (6) in 2009, and surpassing Egypt (5th) and Botswana (6th). This rating emanated from the Africa Competitiveness Index, of the World Economic Forum‟s Africa Competitiveness Report of May 2011, published over a two year interval. The three sub-indexes measured for competiveness were: Basic requirements (institutions, infrastructure, macroeconomic stability, health and primary education); Efficiency enhancers (higher education and training, goods market efficiency, labour market efficiency, financial market sophistication, technological readiness, market size), and Innovation and sophistication factors (business sophistication and innovation). Namibia was ranked as follows:
Basic requirements 48th (2009), 54th (2011) Efficiency enhancers 93rd (2009), 91st (2011) Innovation and Sophistication factors 104th (2009), 92nd (2011)
Despite improvement in the third category and slightly so in the second category, the first one reflects a slump, indicating the need for improvement. If all current factors remain constant and peace and economic stability is maintained, Namibia can retain 4th place in 2011/2012. But since many fundamental areas of weakness such as education, health, labour productivity and labour relations, technology adaption and innovation, and research and development cannot all improve in a year, a 3rd position may not be reached in 2011/2012, and only by 2012/2013, if proposed reforms in the education sector are implemented, and competitor countries do not strengthen in areas of weakness.
MTI engaged the Bank of Namibia to investigate competitiveness in the Namibian context and on how Namibia is faring against regional and global competitors in areas of investment and overall economic growth. A preliminary study is been finalised after which all stakeholders will deliberate on the actions required to become the most competitive country in Africa.
173 The Ministry of Trade and Industry through assistance from BON is aligning operations, organisational structure and human resources to effectively carry out the mandate of trade, investment and industrialisation. This will ensure that the Ministry as the lead on economic development and growth will continue to drive the agenda of nationally coordinating the competitiveness process through appropriate institutions such as the Namibia Standards Institute and the Namibian Competition Commission.
Also, MTI in collaboration with stakeholders in the health and education sectors will continue to play a supporting role in investment in health, and reforms in education to improve both the infrastructure and quality of services to enhance Namibia‟s overall competitiveness. Thus, it is working with institutions such as the Polytechnic to boost labour productivity, technology innovation and adaptation, and research and development to address shortcomings as identified by the Africa Competiveness Index.
To this end, the Ministry plans to engage all stakeholders upon conclusion of the competitiveness study referred to earlier on to agree on an integrated implementation strategy.
Finally, at SADC level, the Ministry continues to be involved with the creation of a conducive investment environment introducing transparent investment processes within the region to promote intra-SADC trade and investment and is overseeing the implementation of the SADC Finance and Investment Protocol which was signed and ratified by Namibia for this purpose.
Budget execution (N$)
Programme Budget allocation Expenditure % Execution Trade Promotion and Facilitation 171 471 000 162 184 655 94.58 SME and Entrepreneurship Development 69 263 000 63 923 460 92.29 Industrial Planning and Infrastructural Development 139 946 000 132 269 104 94.51 Domestic Market Competitiveness 74 222 000 71 891 423 96.85 Domestic and Foreign Direct Investment Promotion. 35 787 000 25 625 561 71.60
Total 490 689 000 455 894 203 92.90
174 Revenue (N$)
Source Item Total estimate Collected
Private Telephone Calls 5 500 - Miscellaneous 106 194 -2,157 Assize Fees 40 086 - Total 151 780 -2,157
The Ministry introduced a credit limit system on telephones allocated to each staff members. The system has proven to be cost effective reducing monthly telephone bills considerably.
The Ministry collect a substantial amount of revenues from company registration, renewal and administration of the liquor license these funds are indicated as revenue collected by to the Ministry of Finance.
Capital projects report (N$)
Programme Budget allocation Expenditure % Execution Trade Promotion and Facilitation 171 471 000 162 184 655 95% SME and Entrepreneurship Development 69 263 000 63 923 460 92% Industrial Planning and Infrastructural Development 139 946 000 132 269 104 95% Domestic Market Competitiveness 74 222 000 71 891 423 97% Domestic and Foreign Direct Investment Promotion. 35 787 000 25 625 561 72%
Total 490 689 000 455 894 203 93%
175 MINISTRY OF AGRICULTURE, WATER AND FORESTRY
Vote 20
Overall Summary
The Ministry succeeded to remain within the approved budgeted amounts and no overspending was experienced during the financial year.
Programme 1. Crop Production and Horticultural Development
(a) Progress against Ministerial targets
To increase horticultural production to 60% of national annual consumption and area under irrigation to 12 000 ha at the end of the MTEF period (2010/11 - 2012/13).
Development of irrigation land.
The target is measured against the development of irrigation. The hectares of land under irrigation were obtained from actual development during the fiscal year.
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast Ha Ha Ha Ha Ha 13 000 ha land 9 000 9 000 9 500 12 000 13 000 under irrigation by 2012/13
Etunda phases 5 & 6 (300ha) were completed during this period and are now ready for crop production. The rest of the area is accounted for by the private sector.
176 Horticultural Markets.
The target is measured against actual markets constructed.
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast No No No No No 60% Markets 0 0 0 1 2 constructed by 2012/13
Constructions are ongoing at the sites at Ongwediva and Rundu. The site for the Windhoek market was sorted out but due to budget constraints no work has commence yet.
To increase the yield of dry land farming from 290 kg/ha to 375 kg/ha for millet/sorghum and from 890 kg/ha to 900 kg/ha for maize at the end of the MTEF period (2010/11 - 2012/13).
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Actual Forecast Kg/ha Kg/ha Kg/ha Kg/ha Kg/ha 900Kg/ha for 512 461 580 310 900 maize by 2012/13 375kg/ ha for 145 277 330 152 375 millet/sorghu m by 2012/13
The set target is measured against the information as provided by the early warning unit who visit the regions before harvesting every year and make their projections according actual situations on the ground.
Due to consecutive floods experienced along the Zambezi, Kwando and Chobe rivers of the Caprivi region and drought that affected the rest of the region the actual maize production was far below the predicted target of 900Kg/ha. For millet the actual production for 2011/12 is 50% lower than the actual target of 375kg/ha because of floods and heavy rain in the Omusati, Oshana and Ohangwena Regions and part of Oshikoto and Kavango regions. With the additional tractors and implements procured to support the implementation of the dry-land crop production program, the production forecast for the years to come is expected to
177 increase. Government intervention will include provision of inputs such as fertilizers and improved seeds, weeding services through youth and women groups, and subsidized ploughing services to farming household per constituency by the next cropping season.
Programme 5. Water Supply and Sanitation to Rural Communities
Increase water provision to households of all rural communities to 96% by the end of the MTEF period (2010/11 - 2012/13).
The target of 97% by 2010/11 was measured against:
(a) a maximum walking distance of 2.5km to a domestic water point;(b) a minimum of 15 liters of water per person per day; and (b) a waiting time at a water point not in excess of 30 minutes.
Data is obtained from evaluation, quarterly and annual progress reports.
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast % % % % % 96% by 2012/13 94.2 94.6 95.0 95.4 96
The programme, due to improved funding and budget support funding from the European Development Fund 9 (EDF-9) has results in the acceleration of the construction and rehabilitation of borehole water points, pipelines and pipeline water off take points. The Ministry has therefore succeeded to reach 95% coverage for the year 2010/11 of the MTEF period as set out in the ministerial Medium Term Plan (MTP).
Increase the percentage of households in rural communities with access to appropriate sanitation facilities from the current 26% to 30% by the end of the MTEF period (2010/11 - 2012/13).
Target has been measured by means of specific indicators which measures coverage and also knowledge, attitude and practices by the rural communities
178 Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast % % % % % 30% by 0 0 26 28 30 2012/13
Coverage on implementation will only commence in April 2012, but the following on documentation is in progress. The Water and Sanitation Policy Revised (2008) The National sanitation Strategy Developed (2009) The Draft Development of Capacity Building Plan for sanitation in Namibia (2010/11 A draft on Water and sanitation harmonized indicators are in place.
Programme 6. Management, Development and Utilization of Forest Resources
To increase forest area under formal and sustainable management from the current 901 798 to 1 365 972 hectares at the end of the MTEF period (2010/11 - 2012/13).
Area of forest under formal management
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast Ha Ha Ha Ha Ha 1,365,972 ha community 455 324 682 986 910 798 1 138 310 1 365 972 forest under formal management by 2012/13
It should be noted that the area to be brought under management is recorded as an accumulative figure over a period of MTEF, rather than a target figure for one financial year. Although the Ministry target‟s was to bring an estimate of 227,662 ha per annum during the MTEF period, no additional declaration of community forests was done during the period under review. However, the documentation for the declaration of seven (7) community forests namely, Cuma (11,600 ha), Likwaterera (13,800 ha), Gcwatjinga (32,000 ha) and Katope (63,885 ha) in Kavango region, Ohepi (3,054 ha) and Oshaampula (692 ha) in Oshikoto region, and Nyae-Nyae (776,767 ha) in Otjozondjupa Region, were completed and submitted to the Attorney General for gazetting.
During 2010/11 a total of 19 new community forests were identified country-wide, in addition to those 40 identified previously. The process to bring these areas under formal
179 management is progressing well and the following results were achieved during the period under review:
Establishment of Forest Management Bodies (FMBs) at Oshikushiithilonde (87,836 ha) in Oshana region, Omundaungilo community forests (22,210 ha) in Ohangwena region, Onkumbura (78,000 ha) in Oshikoto region, Participatory community forests inventory was completed at Uukwaluudhi community forest (142,429 ha).The data were analysed and inventory reports are being finalized. Inventory reports for the following community forests were produced; Oshikushiithilonde (87,836 ha), Ongandjera (50,761 ha), Uukwaluudhi (142,429 ha), (Omufitu- Wekuta (22,210 ha) and Nyae-Nyae (776,767 ha), Maduva Nyangana (61,500 ha) Kahenge (31,474 ha), Ambrosius Haingura (13,259) and George Mukoya (48,800 ha), Management plans for Oshikushiithilonde, Omufitu –Wekuta, Nyae- Nyae, Sachona and Ngonga community forests were produced. Constitution was developed and adopted for the following community forest, Oshikushiithilode, (87,836 ha) in Oshana region and Uukwaluudhi (142,429) in Omusati region. By-laws were developed and adopted for Ongandjera (50,761 ha), Uukwaluudhi (142,429 ha), Omufitu-Wekuta (22,210 ha), Oshikushiithilonde (87,836 ha) community forests
Other main indicators
Programme 1. Crop Production and Horticultural Development
Strategic Grain Storage Facilities
To increase the strategic capacity of Namibia to store enough grain to cater for its need for at least one year of consumption. The target for this MTEF period is 20 000 tonnes of storage space.
180 Data is obtained from evaluation, quarterly and annually progress reports.
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast No No No No No 20 000 Tones of 7 500 8 500 11 000 14 000 16 500 storage capacity constructed by 2012/13
The silos at Tsandi (3,000 tonnes) will be completed during this financial year and the expansion of the Omuthiya (another 2,500 tonnes) silo will be started.
Programme 2. Livestock Production, Improvement and Animal Health Control
To create conditions which will result in an increased access to livestock markets for both the northern communal areas and areas south of the Veterinary Cordon Fence the end of the MTEF period (2010/11-2012/13) The set target was measured against
(a) Number of days quarantine for livestock and livestock products (b) Number of new countries accepting livestock and livestock due to improved conditions; (c) Forty residency at farm for animals destined for EU market ** Data has been obtained by evaluating on a quarterly and annual basis through progress reports.
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast No No No No No 21 days 42 21 21 21 21 quarantine by 2012/13 3 Countries by 0 2 3 3 3 2012/13 Forty 40 0 40 40 40 residency by 2012/13
181 There were no major disruptions to trade due to animal disease outbreaks in the country. The introduction of farm inspections and reduction in prevalence of animal disease has resulted in successful negotiation for improved conditions of trade. This has resulted in the acceptance of meat from the NCA without the need for quarantine. The 21 day quarantine requirement still remains for animals from Caprivi and the eastern part of the Kavango. Following an onsite visit to Namibia by EU veterinarians, it became clear that the 40 day residency was not negotiable and that the concession was to allow the animals to pass through an auction. Although no new markets were secured during 2010/2011, successful audit by two new markets were done and the prospects are very bright.
Plans for the introduction of livestock identification and traceability in the NCA progressed well. The implementation of the system will go a long way in managing movement controls and animal diseases in the region.
Programme 6. Management, Development and Utilization of Forest Resources
Number of community forests declared
The target was measured against the number of community forests declared and gazetted in the Government Gazette.
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast No No No No No 6 community 19 25 25 31 37 forests under formal management each year by 2012/13
Although the target of the Ministry was to declare 6 community forests per annum as per MTEF 2010/11, no community forest declared during the period under review. However the documentation for seven community forests was completed and submitted for approval and these areas are ready for gazetting.
The 13 community forests already gazetted in 2006 covering of 455,324 ha remained under formal management and the Directorate of Forestry continues to support communities in the implementation of management plans in these forest areas.
182 The communities at Kwando, Mayuni, Bukalo, Masida, Sikajabuka,Lubuta, Ncamagoro, Ncaute, Mbeyo, Hans Kanyinga, Ncumucara, Okongo, Uukwaludhi and M``kata community forests have been supported to establish workshops to produce value- added forest products namely furniture, packaged firewood, planks and curios. Business plan have been developed for the management of the curio shop at Mbeyo and Ncumucara community forests. Okongo community forest is supported to commercialise the production of guinea fowls.
Number of orchards and woodlots established and managed
The target was measured against the number and area (in hectares) of orchards and woodlots established, planted and managed. Data are obtained from quarterly and annual report.
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast Ha Ha Ha Ha Ha 280 ha orchards and 200 240 262 260 280 woodlots established and managed by 2012/13
The target of the Ministry was to plant 286 ha per annum. The Directorate managed to plant 105,883 seedlings of various species in orchards and woodlots in different regions covering a total of 262 ha.
Average number of research project results published and disseminated
1. The research paper titled: Using high-resolution satellite imagery and double sampling as a cost-effective means of collecting forest inventory data – the case of Hans Kanyinga Community Forest, Namibia was published in an international journal called “Southern Forests” in 2009. A subsequent presentation of the paper was presented at the Forestry Symposium in Stellenbosch, South Africa in February 2010.
2. Another research paper titled: The role of thatching grass in rural livelihoods: the case of Caprivi and Kavango regions, Namibia was submitted to the Namibian Development Journal and was accepted for publication in March 2010 and will be published in the next issue of the journal.
3. Nine (9) research papers were presented at the National Research Symposium organsised by the Ministry of Education which was held in Windhoek, from the 15th – 17th of September, 2010. Their titles were as follows
183
a) The Namibian Plant Breeders‟ and Farmers‟ Rights Bill: Are the intellectual property rights issues taken care of?
b) Participatory approaches in Crop improvement: Forms, Lessons and Challenges;
c) Radio-sensitivity studies in pearl millet (Pennisetum glaucum L);Cow pea (Vigna unguiculata) and Sorghum (sorghum bicolour) in Namibia;
d) Molecular biology Assays in pearl millet (Pennisetum glaucum) and sorghum
e) (sorghum bicolour) in Namibia
f) Vegetation description and mapping of Sachinga Livestock Development centre and Surroundings;
g) Phenotypic characterisation for induced mutation breeding in Bambara groundnut (Vigna subterranean), Pearl Millet (Pennisetum glaucum) and cow pea (Vigna unguiculata) Accessions in Namibia h) The Development of the Gellaper sheep breed and the evaluation thereof against the Dorper and the Damara at Gellap-Ost Research Station
i) Crop Rotation as a soil fertility improvement strategy in pearl millet/maize production systems;
j) Effects of date of planting and rainfall distribution on the performances of sorghum varieties and hybrids under the Namibian conditions
Budget execution: Operational and Development
Programme Programme Budget (from Apr 10-Mar 11 % MTP in MTEF) Expenditure Variance Crop Production Operational 151 000 500 137 280 228 9.1 and Horticultural Development 210 324 500 208 956 025 0.7 Development Livestock Operational 262 146 500 247 515 284 5.6 Production, Development 104 927 500 102 775 639 2.1 Improvement and Animal Health Control
184 Co-operatives Operational 109 914 000 83 237 743 24.0 Regulation, Development 16 042 000 14 946 132 7.0 Development and Promotion Services Integrated Water Operational 58 191 833 46 243 873 21.0 Resources Development 42 021 667 39 230 402 7.0 Management Water Supply to Operational 166 977 833 148 891 046 11.0 Urban and Rural Development 284 731 667 214 927 153 25.0 communities Management, Operational 73 780 835 68 585 631 7.0 Development and Development 38 679 665 37 005 319 4.0 Utilization of Forest Resources Total: 822 011 000 731 753 805 11.98 Operational Total: 696 726 000 617 840 670 11.0 Development Ministry 1 518 737 000 1 349 594 475 11.14 Total
The under spending of funds can be distributed by programme as follows:
Programme 1: Operational: N$ 13 720 272 Development: N$ 1 368 475 Programme 2: Operational: N$ 14 631 216 Development: N$ 2 151 861 Programme 3: Operational: N$ 26 676 257 Development: N$ 1 095 868 Programme 4: Operational: N$ 11 948 127 Development: N$ 2 791 598 Programme 5: Operational: N$ 18 086 954 Development: N$ 69 804 847 Programme 6: Operational: N$ 5 194 368 Development: N$ 1 672 681 : Operational: N$ 90 257 194 Development N$ 78 885 330 Total N$ 169 142 524
185 Explanations
Programme 1: Crop Production and Horticultural Development
Under spending: Operational: N$ 13 720 272 or 9.1% Development: N$ 1 368 475 or 0.7%
Operational The variance on this programme is as a result of vacant postions that could be filled due to the prolonged recruitment process of professional categories, movement of personnel due to promotions , retirements and resignations. These vacancies also lead to savings under the other subdivisions because of planned activities that could not be executed.
Development The retention funds from remodelling and renovation work at the analytical laboratory facilities is also another contributing factor to the under spending under this programme.
Programme 2: Livestock Production, Improvement and Animal Health Control
Under spending: Operational: N$ 14 631 216 or 5.6% Development: N$ 2 151 861 or 2.1% Operational Under spending on this programme can mainly be attributed to the unutilised funds that were budgeted for technical positions, professional positions as well as foreign vets‟ positions that could not be filled due to lack of expertises in animal Vets. . Farm inspections could also not be carried out, due to some transport constriction hence the savings under this programme.
Development Under spending on the development budget also occurred due to the following reasons; late submission of payments , contractors that could not complete the work in the scheduled time, the limited infrastructures available at the Borders , lengthen process of acquiring land, delay in conducting feasibility studies, development of building designs and project documentation by the contracted consultants , as well as changing of consultants because he did not provide all the required information during the feasibility studies at the border posts. There were also delays in completion of the construction of some veterinary clinics as well as delays in the commencement of the construction of veterinary infrastructure at some border posts.
186 Programme 3: Co-operatives Regulation, Development and Promotion Services
Under spending: Operational: N$ 26 676 257 or 24.0% Development: N$ 1 095 868 or 7.0%
Operational
Surveys on the performance of the agricultural sector were not undertaken, because the Ministry has embarked on re-organizing data collection methods. Currently the Agricultural Management Information System is being developed within the Ministry, which caused the Ministry to focus more on institutional capacity building and fewer field works. The Ministry utilized the service of ministerial staff stationed in foreign countries to attend to regular official commitments, which resulted in fewer international trips.
The Ministry pays for membership fees and interest on subsidies for the agricultural financing schemes only on strength of invoices from institutions, such as FAO, Agri-Bank. The low spending on interest subsidies is attributed to the fact that clients older than 10 years are no longer eligible for subsidies and there are few new clients participating in the financing schemes.
Programme 4: Integrated Water Resources Management
Underspending: Operational: N$ 11 948 127 or 21.0% Development: N$ 2 791 598 or 7.0%
Operational The under spending was mainly due to many senior level positions that could not be filled, such of these positions is the position of Director: Resource Management, four Chief hydrologist posts and one control Technician position. This resulted in unutilized funds on the remuneration and Employers Contribution to the GIPF, thus a savings under this programme.
Development Other reasons for under spending was the impacts of the elevated floods throughout Namibia, interrupting groundwater field investigations in the northern part of the country as well as delays experienced in the consultants appointment processes.
187 Programme 5: Water Supply to Urban and Rural communities
Underspending: Operational: N$18 086 954 or 11.0% Development: N$69 804 847 or 25.0%
Operational
The variance on this programme is as a result of vacant positions that could not be filled due to the recruitment process of various professionals, movement of personnel as a result of promotions, retirements and resignations. These unfilled vacancies also lead to savings under other subdivisions.
Development
Under-spending on the development budget also occurred due to Onambutu WSS Phase 6,which constitutes the last phase and consists of a pipeline with a length of 181.4 km and 125 water points which was cancelled due to technical error in tendering process and therefore was recommended to be re-advertised in the new financial year 2011/2012. The project also faced some delays in the tendering stage that also contributed to the under spending.. The late approval of the Annual Rehabilitation tender, the award of construction work could only be done late in the year resulting in contractors not able to complete the work before the end of the financial year. Many of the projects kicked off under this financial year, but could not be completed on the scheduled time, as the different regions already identified; with the respective communities and planned new projects for the financial year 2011/2012. The new sanitation infrastructure was to be developed and implemented, however the appointment of desalination advisor was delayed. The Mariental flood mitigation project could not be implemented due to some unforeseen circumstances. The Neckartal dam project which takes the bulk of the allocation was also not fully implemented as planned.
% Name Of Project Budget Actual Variance The Expansion of intranet and the
Implementation of E-Governance for 3 500 000 3 312 000 5.4 MAWF Construction of MAWF Regional Offices 23 000 000 17 746 000 23.0 Renovation and Upgrading of MAWF 15 750 000 14 619 000 7.2 Construction of Veterinary Clinics, Offices 13 500 000 13 122 000 and Accommodation 2.8 Improvement of Animal Health Status and 5 000 000 5 000 000
188 marketing in NCA's 0.0 Extension of the Central Veterinary Laboratory 37 800 000 37 395 000 1.1 Development of Plant and Animal Health and Inspection Centres at Border Entry points 13 803 000 13 803 000 0.0 Development of Livestock Breeding and Marketing Infrastructure in the Communal Areas 8 925 000 8 919 000 0.1 Upgrading, Maintenance of farm Infrastructure and Improvement of Irrigation Systems at Training Institutions and Research Stations 15 000 000 14 540 000 3.1 Support to Processing of Indigenous Plants and Mahangu 1 000 000 1 000 000 0.0 Construction of Agricultural Development Centres 8 640 000 8 561 000 0.9 Development of Agricultural Technology Centres 22 000 000 22 000 000 0.0 Green Scheme 84 000 000 84 000 000 0.0 Integrated Grain Storage Facilities 4 500 000 4 500 000 0.0 National Horticulture Development Initiative 82 000 000 82 000 000 0.0 Kalimbeza Rice Project 5 000 000 5 000 000 0.0 Agricultural Feasibility Studies and Surveys 9 000 000 9 000 000 0.0 Research and Feasibility Studies in Water Resource Management 24 980 000 21 650 000 1.3 Integrated Water Resources Management Implementation at Basin Level 10 000 000 9 993 000 0.1 Rural Water Supply Coverage 43 653 000 30 296 545 53.7 Implementation of Decentralisation, 24.2 Constituency Office Construction 6 000 000 4 545 430 Implementation of Community Based Management 48 205 000 30 092 000 37.6 Development of Regional Rural Water Supply Development Plan 3 000 000 2 262 640 24.6 Construction of Large Dams, Desalination and Provision of Water to Larger Settelements 138 832 000 109 378 000 6.5 Construction of Dams, Traditional Wells 23 000 000 18 714 000
189 and Pans for Livestock Drinking 18.6 Desalinated Bulk Water Supply to Uranium Mines 5 000 000 4 851 000 3.0 Rural and Urban Sanitation Infrastructure 10 000 000 9 558 000 4.4 Integrated Forest Fire Management 31 638 000 31 059 000 1.8
GRAND TOTAL 696 726 000 615 925 595 11.0
Programme 6: Management, Development and Utilization of Forest Resources
Under spending: Operational: N$ 5 194 368 or 7.0% Development: N$ 1 672 681 or 4.0% Operational Vacant Chief Foresters, Principal Foresters and Chief Forest Technicians positions could not be filled as there were no suitable candidates for those vacancies. These vacancies contributed to the under spending under other subdivisions due to budgeted activities that could not be executed.
Capital Projects 2010/2011
Development Some suppliers could not submit their payments before the end of the financial year hence the under spending.
Explanation On Under Spending Development
Main Division 02: Administration:
The contractors on annual tender could not get the bills of quantity on time which forced the company to commence later in the given financial year and thus not able to complete the work on time.
The contractors were reminded via the local news papers to submit their invoices together with the purchasing orders before the closing date of 15 March 2011, but the response was rather unsatisfactory , thus leading to an under spending.
Main Division 03: Veterinary services:
Under spending on the development budget was as a result of late submission of payments , contractors that could not complete the work in time and the limited infrastructure available at
190 the Borders and the process of acquiring land, delay in conducting feasibility studies, development of building designs and project documentation by the consultants , as well as changing of consultants because of failure to submit all the . There were also delays in completion of the construction of some veterinary clinics, some unforeseen delays were also encountered in the construction of veterinary infrastructure at some border posts thus leading to an under spending.
Main Division 10: Resource Management
The under spending under this programme was as a result of the delays in project execution that can be attributed to vacant positions, early flooding situation , delay in the tender procedures as well as consultants` appointments processes. Another delay was experienced in the construction activities for the gauging weirs in the Lower Orange that had to be temporary ceased early December 2010 because of the flood.
The other contributing factor to the under spending was the Transboundary projects in the Cuvelai area and Orange River, where agreements between all involved states are intricate and time-consuming.
Main Division 11: Rural Water Supply
Under-spending on the development budget also occurred due to Onambutu WSS Phase 6,which constitutes the last phase which consists of a pipeline with a length of 181.4 km and 125 water points which was cancelled due to technical error in tendering process and therefore was recommended to be re-advertised it in the new financial year 2011/2012. The also encountered some delays during the tender stage hence the successful contractor could not be complete the project before the end of the financial year.. Other factors that contributed to the under spending emerged from the late approval of the Annual Rehabilitation tender, . Most of the projects under this main Division kicked off however it was not possible for most of the contractors to complete the work in time as planned as the different regions already identified; with the respective communities and planned new projects for the financial year 2011/2012. The new sanitation infrastructure was to be developed and implemented. The appointment of advisor on the desalination was delayed. The Mariental flood mitigation project could not take place due to unforeseen circumstances. The neckartal dam project which takes the bulk of the allocation was also not fully implemented as planned. Main Division 12: Forestry
Some suppliers did not submit their invoices before the end of the financial year and hence the under spending.
191 Items Revenue Predicted Apr 10 - Revenue as Budget Revenue Mar 11 % of 2010/11 Collection Collections Budget Apr 10- Mar 11 312022701 Private Telephone Calls 6 000 6 000 3 107 52 312022702 Unclaimed cheques 0 0 1158 980 (1158 980) 312022703 Miscellaneous 370 980 370 980 1838 464 496 312022708 Lost Equipment & Store 30 000 30 000 55 608 185 312022714 Ministerial fines 8 832 8 832 1 280 0 312022731 Lease/Letting of State Land 150 342 150 342 140 710 94 & Buildings 312022760 Sale of stock and Farm 5 000 000 5 000 000 4438 458 89 Produce 312022761 Veterinary & Clinical 1 000 000 1 000 000 687 711 69 Services 312022762 Services Rendered to 5 388 5 388 2 156 40 Ministries 312022763 Performance Testing Fees 5 067 5 067 50 1.0 312022764 Sale of Furs and Wool 276 253 276 253 519 275 188 312022765 Grazing Fees 4 000 4 000 3 720 93 312022766 Meat Hygienic Services 1 908 215 1 908 215 1778 164 93 312022767 Registration on 500 776 500 776 846 167 169 Remedies/Seeds & Fertilizers 312022769 Hides and Skin 10 000 10 000 8 181 82 312022770 College Fees (Forestry 450 000 450 000 489 865 109 Products) 312022771 Ploughing Services 958 958 103 979 10 854 312022772 Planting Services 216 216 300 139 312022773 Seeds & Fertilizers 1 179 1 179 238 645 20 241 312022774 Auction fees 2 909 011 2 909 011 100 0 312022776 Sale of Water & Electricity 120 250 120 250 195 514 163 312022777 Sale of Water 0 0 0 0 312022778 Laboratory Testing Fees 1 200 330 1 200 330 1036 593 86 312022779 Meter Linkage & Rental 2 000 000 2 000 000 3184 000 159 312022780 Permit Fees 2 905 113 2 905 113 2858 769 98 312022805 Game & Game Produce 16 200 16 200 9 317 58 TOTAL 18 879 110 18 879 110 19 599 113 104
192 Ministerial Revenue Collection
The Ministry collected 4% more than the predicted revenue collection.
EXPLANANTION OF REVEUNE COLLECTION DEVIATION
312022701: Private telephone calls
Deviation: N$2 893 less than budget
With the implementation of the Pin Code, the telephone system is programmed to cut the moment an extension reaches its limit. Therefore staff members are able to keep within their monthly credit limit, thus private telephone call charges have reduced.
312022702: Unclaimed cheques
Deviation: N$1 158 980 more than the budget
With the implementation of IFMS, unclaimed cheques are automatically written back by the system, therefore the amount reflected under this revenue code are mainly the March 2011 cheques still be written back by the system in April.
312022703: Miscellaneous
Deviation N$1 467 484 more than budget
The increase in the collection of revenue under this code is that, many under script payment were made than expected for the period under review.
312022708 Lost equipment and Stores
Deviation: N$25 608 more than the budget
More officials were charged Surcharges for equipment kit issue to them as it was planned.
312022714: Ministerial fines
Deviation: N$7 552 less than the budget
193 In terms of vehicle accidents, ministerial officials are no more held liable because according to the Office of the Attorney General, if a staff member was involved in a car accident and he/she did not deviate from the planned route, and such a staff member have a valid driving license, authorized trip authority then he/she did not forfeit the state even if he or she is reckless or negligent. Thus ministerial fines for this activity reduced in the 2010/11 financial year.
312022731: Lease and letting of state land and buildings.
Deviation N$9 632 less than budget
The Ministry did not lease much of its buildings and land as it was predicted.
312022760: Sale of stock & farm produce
Deviation: N$ 561 542 less than budget.
Due to adverse condition experienced during the last rainy season a bulk of farm produce were spoiled resulting in low quality produce that could not be sold or if sold at a very low price. Some price. Some Stations experience infestation on fruit and vegetables which resulted in poor production and quality.
The outdated and old irrigation system in particular at Omahene research station was not efficient and effective this resulted in poor establishment of crops and eventually poor harvest. Theft of produce by communities surrounding these institutions.
312022761: Veterinary & Clinical Services.
Deviation N$312 289 less than budget
The decreased in revenue collection is mainly attributed to the only few farmers turn up for Clinical services and it is an indication that the health status of the animals have improved. The other fact could be that the farmers bought their own vaccines to treat their animals.
194 312022762: Services Rendered to Ministries
Deviation N$3 232 less than budget
Less service rendered to Ministries was experienced during the period under review.
312022763: Performance testing fees
Deviation: N$5 017.00 less than the budget
Currently there is no Performance testing ongoing therefore no income
312022764: Sale of furs and wool
Deviation N$243 022 more than budget
The increase in this revenue code was due to the number of pelts produced that was more than normal, the colour pelts (white) increase nearby 100%.
312022765: Grazing Fees
Deviation: N$280 less than the budget
Less employees‟ demand on Grazing experienced at different research Station/centre and livestock development centre as expected.
312022766: Meat hygienic services
Deviation N$130 051 less than budget
The decrease in revenue is mainly attributed to the fact that Meatco. Katima Mulilo abattoirs were temporarily closed due to a Foot and Mouth disease outbreak.
In the South Karas/Hardap Regions there was a Rift valley outbreak, less animals were slaughter.
195 312022767: Registration on Remedies/Seeds & Fertilizers
Deviation N$345 391 more than budget
The increase in revenue collection under this revenue code is mainly attributed to the renewal reminders and follows up to the registration holders so they pay their outstanding fees. Compliance inspections determined unregistered products and inform the registration holders to register the products and this is the reason for the increasing of the revenue collection.
312022769: Hides & Skin
Deviation: N$1 819 less than the budget
Less hides & skins of animals slaughtered on the farms/stations/centers sold.
312022770: College fees (Sale of Forestry Products)
Deviation N$39 865 more than budget
Law enforcement activities intensified as a result more of illegally obtained forest products were confiscated and auctioned.
312022771 Ploughing services
Deviation N$103 021 more than the budget
Government reintroduced ploughing services in the northern regions – 45 tractors and other equipments were purchased in the previous financial year. This programme on the Dry Land Crop Program will be extended every year to benefit more farmers against a subsidy price.
312022772 Planting services
Deviation N$84 more than the budget
The area expected to be planted for farmers have increased because of the increased demand.
312022773: Seeds & Fertilizer
Deviation N$237 466 more than the budget
196 The increase occurred due to stock of the previous season which comes late for that season and as a result more fertilizer was sold to the famers in the new cropping season.
312022774: Auction fees
Deviation N$2 908 911 less than budget
Only one auction was held on John Pandeni station in February 2011, but the payment was only effected in April 2011 from Agra meaning that the payment will be s accounted for in the 2011/12 financial year.
312022776: Sale of Water & Electricity
Deviation N$75 264 more than budget
Increase of water and electricity tariffs by the service providers resulted in more revenue recovered.
312022778: Laboratory Testing Fees.
Deviation: N$163 737 less than budget.
The decrease in this revenue code is mainly attributed to the fact that less people demand the service. Exports were stopped. If there was no slaughtering of animals less samples were received.
312022779: Meter linkage and Rental Fees
Deviation N$ 1 184 000 more than budget
The connection of private off takes has exceeded expectations, which resulted in the increase of the estimated revenue.
312022780: Permit Fees
Deviation N$ 46 344 less than budget
The decrease in the revenue collected from forest permits is mainly attributed to the decreased in the demand for them. There was also a decrease in the demand for Plant permits; this
197 reduction is mainly attributed to the decreased demand for transit permits in to Angola. Although Veterinary permit tariffs were increased from N$50 to N$100 per permit the reduction on revenue collection was due to less import and export on animal and animal products. The livestock improvement permits decreased due to the decreased of genetic materials.
312022805: Game & Game products
Deviation: N$6 883 less than the budget
Hunting rifles not available on stations or no license to obtain ammunition.
198 NAMIBIAN CORRECTIONAL SERVICE
Vote 21
Overall Summary
The accountability report for the year 2010/11 has continued to reflect that the Namibian Correctional Service (NCS) has been on track in managing and meeting its ministerial targets though faced with many challenges. The Namibian Correctional Service reviewed the four (4) ministerial targets we had in the previous year as well as the programme under which they were all attached. This was necessitated by new offender risk management correctional strategy as well as to align it to our new strategic plan to the MTP as well as the NDP III.
As a programme Prison reforms was geared into creating a suitable environment through which our penal system could be improved so that it can reflect national ideals in terms of how offenders/inmates can be treated. The NCS is the main state agency charged with this responsibility as part of the criminal justice system. The NCS aims to be modern, professional correctional service, adopting the principles and methods that can enhance public safety, safe custody and reintegration of inmates thus creating a purposeful and meaningful change of offenders into law abiding citizens. The NCS shall therefore, endeavour that every inmate is afforded the necessary care and protection in a secured correctional institution, and that suitable and effective treatment programmes scientifically designed and found to be most suitable in addressing criminal behaviour are freely offered through-out their time of incarceration.
Ministerial Targets
Target 1 – To implement a comprehensive offender risk management correctional strategy in 7 institutions by 2013/14
Revised Ministerial Target 1 2009/10 2010/11 First Quarter Actual Actual 2011/12
To implement a comprehensive -- -- 2 out of 7 offender risk management institutions correctional strategy in 7 completed institutions by 2013/14.
199 During the year under review the NCS has continued to develop and implement risk assessment tools for ensuring timely placement of inmates at the lowest security level required consistent with risk assessed initially on admission and throughout incarceration and for timely movement of inmates to appropriate security levels during the incarceration depending on the change in the security level of the inmates; The offender risk management correctional strategy has now been rolled out to Elizabeth Nepemba Correctional Institution after successful implication at Windhoek Central Prison.
The NCS has maintained a physical environment that is conducive to health and safety incorporating wellness, and health activities in the workplace and facilitating staff safety for all our members and inmates; With the support of the United Nations Office on Drugs and Crime (UNODC) and Centre for Disease Control (CDC) the NCS has been able to receive HIV/AIDS counsellors at each institution, who provides voluntary HIV/AIDS testing and counselling.
Under Unit Management Conversion the NCS was able to implement N$14,884,000 and completed the two sites: Windhoek Central Prison and Elizabeth Nepemba as well as advanced the unit management conversion at Hardap Prison to an advanced stage.
As a security institution we have continued to provide Static and dynamic security to all inmates, state property and staff. The NCS has been able to recruit 33 professional staff as well as conduct interviews of more than 3000 Namibians in anticipation for their imminent recruitment. These costs are mainly covered in the Personnel costs of the Ministry.
The NCS procure approximately 180 personal computers, software and laptops, as well as extending Internet and email connectivity in order to promote ICT usage at a cost of N$3,500,000;
During the quarter, the NCS was able to complete the feasibility study and design under the Prison Perimeter Upgrading project at Walvis Bay Prison at the cost of N$0,200;
The NCS has been able to procure vehicles during the year at the cost of N$17,822 in order to ensure sufficient transportation services.
200 Target 2 – To increase the number of offenders participating in rehabilitation programmes by 2013/14
Revised Ministerial Target 2 2009/10 2010/11 First Quarter Actual Actual 2011/12
To increase the number of -- -- 100 out of offenders participating in 2000 offenders rehabilitation programmes by are 2013/14. participating in rehabilitation programmes
Only about 100 out of 2000 offenders are participating in scientific rehabilitation programmes: Thinking and Living Skills for re-integration, Pre-release counselling, managing my substance abuse, crisis counselling, support counselling and counselling to offender serving life sentence. These programmes are done under the supervision of professionally trained programme officers.
Programme Number of Participants Q1 April –June Q2 July- September *Thinking and Living 32 31 Skills for Re-integration *Managing My Substance 45 41 Use Crisis Counselling 12 8 Counselling for Lifers 10 10 Support Counselling 6 3 Pre-release counselling 4 2 Total 109 95
*All participants receive two forms of intervention-group sessions and individual sessions. As well, the duration for delivery of programmes is longer than three months could not be completed in one quarter therefore programming continued into the second quarter.
However, NCS continues to maximise production at existing production centres through increasing the yields per hectare, expansion of extant arable land by de-bushing and de- rocking, expansion of irrigation systems, construction of storage facilities, expansions of pig
201 farms, upgrading of feedlots, conducting the feasibility study of the Divundu aquaculture farm, procurement of various equipment and tools as well as the installation and maintenance of bakeries at three (3) institutions;
Target No 3. To increase the number of offenders successfully reintegrated into the community by 2013/14.
The NCS has continued continued its concerted efforts in the implementation of the risk/needs assessment tools and correctional plans at both Windhoek Central Prison and Elizabeth Nepemba Correctional Facility;
Further, the NCS implemented need-oriented treatment programmes in order to address the identified criminogenic needs. The staff have been recruited and trained in order to ensure effective programme delivery; however, no data is avalable at the momement.
Target 4 – To increase the accommodation capacity of offenders by 1000 bed space by 2013/14
The problem of overcrowding continues to negatively affect the NCS in four institutions: Oluno Rehabilitation Centre 75%, Omaruru Prison 64%, Grootfontein Prison 54%, Windhoek Central Prison 44% and Walvis Bay Prison 31%. Oluno RC is mostly affected due to the fact that there is no remand or prison facility where offenders serving short sentences from the eighteen (18) courts in all Northern regions are incarcerated there.
There is therefore, an urgent need to construct, upgrade and renovate existing prison institutions so that offenders could be kept at institutions to places nearest to their homes or families.
Target 5 – To improve the welfare of inmates from the current 60% to 75% by 2013/14
This target seeks to address one of core function of the NCS whereby it is expected to provide basic supplies to inmates (food, water, electricity, health services, beddings, clothes, toiletries, etc.) However, it has come to our attention that if we are to enhance the rehabilitation programme, we need to go beyond the mere provision of food into meeting their welfare needs. However, in this year no data is available.
202 Target 6 – To improve the welfare of staff from the current 30% to 45% by 2013/14
This target seeks to address one of the support mechanisms in order to achieve our core functions, therefore, the NCS is expected to go beyond the mere provision of a remunerated job opportunity into meeting their social welfare needs of the staff as well as the ensure sufficient provision of Members' uniforms and provision of official living quarters. However, in this year no data is available on welfare of staff
203 MINISTRY OF FISHERIES AND MARINE RESOURCES
Vote 22
Overall Summary
The Ministry is proud to announce that for the MTEF period 2010/2011 it is well on track to met all the targets.
Ministerial targets
Target 1: Greater fish stock recovery by 2010/11
Target 2007/08 2008/09 2009/10 2010/11 Actual Actual Actual Actual Greater fish stock recovery Hake:2 million tons 701,000t 950,000t 1,400,000t 1,087,000t Pilchard:200,000tons 16,000t 76,000t 106,000t 133,000t Horse mackerel 2,5 million tons 690,000t 950,000t 1,050,000t 1,207,000t Rock Lobster: 3,000 tons 805t 790t 900t 900t Crab: 20,000 tons 20,000t 20,000t 21,500t 23,114t Monk: 55,000 tons 15,000t 15,000t 19,000t 40,000t Orange Roughy: 10,000 tons.
Most of the stocks have shown remarkable recovery and this can be attributed to prudent management measures adopted by the Ministry toward sustainable utilization. Introduction of close areas and an October closed season for hake fishery appears to have aided in the recovery of the demersal stocks. Another component contributing to the improvement of stock status is the favourable environmental conditions. Pelagic stock such as Pilchard and Horse Mackerel are showing some good prospect for future growth. Crab and Rock Lobster seems to have been stable over the past few years and it is expected that they would remain at around the same level. Orange Roughy has been place on moratorium since 2008/09 to allow the stock to recover and the next survey to assess the current stock size is only expected to be conducted during 2012/13.
204 Target 2: 80% surveillance of perennial rivers by end of 2010/11.
Target 2006/07 2007/08 2008/09 2009/10 2010/11 Actual Actual Actual Actual Actual
80 percent surveillance of 50% 50% 70% 80% 80% perennial rivers by end of 2010/11.
The Ministry has set itself to achieve a target of 80% surveillance of perennial rivers by 2010/2011. However this target was achieved during the 2009/2010 year, in both regions namely Kavango, Caprivi and the four northern regions and Karas Region.
The success in achieving this target was due to the recruitment of new staff members, the availability of patrol vehicles and the presence of new patrol boats as well as capacity building.
Target 3 – 30 staff members trained by 2010/11
Target 2006/07 2007/08 2008/09 2009/10 2010/11 Actual Actual Actual Actual Actual 30 staff members trained by 2010/11 3 11 36 10 10
The Ministry achieved its target to train 30 staff members by 2010/11 as indicated in the MTEF period under review.
Target 4: 350 Fish Farmers skills have been developed and strengthen by 2010/11
Target 2008/09 2009/10 2010/11 Actual Actual Actual 350 Fish Farmers skills have been develop and strengthen by 2010/11 199 299 350
The target set to have 350 skilled fish farmers s being developed and strengthened has been achieved.
205 Revenue Collection (N$)
Items Budget (from Collection Revenues as detailed Estimates) % of budget Private Telephone Calls 30 000 2 493 8.31% Miscellaneous 10 000 30 707 307.07% Fishing Boats and Factory 180 000 Licences 167 481 93.05% Huanting&FishingLicences 1 200 000 1 127 244 93.94% Quota Fees 73 340 000 130 289 808 177.65%
Explanation for Variances
Quota Fees
The quota fees that was estimated for the 2010/11 financial year was N$ 73,340,000. This includes fisheries such as Horse Mackerel, Pilchards, Crab and Tuna like species that the fishing seasons commence on the 1st January to 31st December. Also for Hake and Monk that commence on the 1st May to April the following year, which might not correspond with the financial year of Government structures. Furthermore Rock Lobster fishing season that commence in November to April the following year. This means that from the estimated amount of quota fees for 2010/11 N$ 45,758,204.06 was collected, and the remaining balance of N$ 84,531,604 was income for the previous fishing seasons.
It is important to note that due to different fishing seasons in place not all income as estimated will be collected in that particular financial year. However, the Ministry has introduced measures to collect the revenue through not licensing any vessel to right holders not honouring its payments. It is also a condition when fishing rights are received. Meanwhile most of the right holders have come with payment plans to speed up the outstanding quota fees.
Hunting and Fishing Licenses
This collection is normally boosted during long weekends, public holidays and the festive season, as it be seen that 93.94% of the revenue was collected.
206 Fishing boats and Factory Licenses
The collection depends on the fishing seasons. Hake: May to December; Horse Mackerel: January to December; Monk: May to April; Large Pelagic: January to December. Of all the species Hake has the most fishing vessels and its collection of vessel licenses is the biggest in comparison to other species. Our estimation is based on the numbers of vessels that we have on our system, however it is important to note that not all the vessels are licensed.
Budget execution
Programme Budget (from First Quarter Expenditure as MTP in MTEF) Expenditure % of Budget Programme 1 Operational 36 535 816 34 479 042 94.37% Development 80 159 426 60 379 108 75.32% 116 695 242 94 858 150 81.29% Programme 2 2 363 000 1 363 594 57.71% Programme 3 Operational 98 198 048 96 619 661 98.39% Development 23 424 237 5 053 251 21.57% 121 622 285 101 672 912 83.60% Programme 4 Operational 32 013 136 27 725 936 86.61% Development 49 486 338 42 449 211 85.78% 81 499 474 70 175 147 86.11% Total 322 180 000 268 069 803 83.20%
Explanation for variances
Out of the total amount of N$ 322,180,000 an amount of N$ 268,069,803 was spent, which represent an execution rate of 83.2%. On the Development Budget the Ministry managed to spend only N$ 107,8 million out of the total allocation of N$ 153 million, resulting in a saving of N$ 45 million, more explanations are given in the programmes below.
Programme: 1 Survey and Stock Assessment
Under this programme an amount of N$ 116,695,242 million was budgeted for the period under review. The expenditure reflects an amount of N$ 94,858,150 million. On this programme the Ministry spend 81.29% of the total budget allocated. The under-expenditure can then be attributed to the following reasons:
207 Extension and Renovation of Swakopmund Office;
Despite the timely appointment of a principal agent, the contractors could not be appointed on time. Furthermore on several occasions, the principal agent was requested to confirm the utilisation of the funds on this project, which theypromised that the funds will be fully utilised before the end of the financial year. As a result of this an amount of N$ 7,4 million was unutilized..
Upgrading of the Offshore Island Infrastructure
This project was put on tender twice during the year under review, but no tender offers were received. The Ministry opted to go for tender exemption for the work to be done on the Islands. The reason why no tenders‟ offers were received for the Islands was due to the remoteness of it and the difficulties to access the Islands. As a result an amount of N$ 2,7 million was unutilized.
Construction of new Research Vessel
An amount of N$ 50 million was budgeted for this project, a down payment of N$ 48,3 million was made to the company that is constructing the new research vessel. This leaves an amount of N$ 1,6 million not utilised under this project.
Programme 2:
This programme deals with the Human Resource Development of the Ministry. An amount of N$ 1,363,594 million was spent on bursaries and short courses as well as symposiums and workshops during the year under review, which is 57.71% of the total budget allocated.
Programme 3:
Under this programme an amount of N$121,622,285 was budgeted for the period under review. The expenditure for the year reflects an amount of N$ 101,672,912 which is 83.60% of the total budget allocation. The savings under this programme is as a result of the following reasons:
Under the Development budget the Ministry could only spend 21% which is N$ 5.0 million of the total allocation due to the following reasons:
208 Construction of MFMR regional offices Caprivi
The site handover was done to the contractors on the 26 March 2010 for a 21 month contact. However there has been a delay caused by the rainfall as well as an anticipated pipeline under the proposed feed store site.
Construction of MFMR regional offices in Kavango
On this project the tender amount for the construction was higher than the budgeted amount. The site handover the contractor was done on the 26 March 2010, but hit a snag as the Ministry and the Ministry of Works were challenged to process the transfer of land request. The transfer of land was only resolved towards the end of the financial year, resulting in the money retuned of N$3.2 million to Treasury.
Construction/Extension of offices for Fisheries Observer Agency in Walvis Bay
An amount of N$ 1, 2 million was budgeted under this project for documentations, designs and drawings. However the actual expenditure was borne by the National Planning Commission (NPC), therefore resulting in a saving of N$1, 2 million..
Programme 4:
Out of the total budget of N$ 81,499,474 an amount of N$70,175,147 was spend, which is 86.11% of the total allocation. The total amount spends on the development projects under this programme was N$42,449 million out of a total budget of N$49,486 million.
Summary of the status of funds and funds reserves at other nominated Agencies Marine Resources Fund
Month(2011) Income Expenditure Opening Balance Closing Balance April 1 721 610 1 034 106 2 145 893 2,833,397 May 1 580 277 1 524 548 2 833 397 2,889,126 June 1 896 600 605 005 2 889 126 4,180,721 July 1 552 412 681 689 4 180 721 5,051,444 August 1 326 944 81 976 5 051 444 6,296,412 September 1 394 979 858 108 6 296 412 6,833,284 October 1 074 917 3 435 466 6 833 284 4,472,735 November 1 097 828 921 520 4 472 735 4,649,043 December 1 558 611 3 100 692 4 649 043 3,106,963 January 1 098 577 47 052 3 106 963 4,163,487 February 1 538 866 2 330 772 4 163 487 3,371,581
209 March 1 802 879 4 720 838 3 371 581 453,622
Trend
During the 2010/2011 financial year the expenditure in some months such as, October, December, February and March was on an increase while income flowing in remained steady from previous months. This is as a result of increasing number of operational activities coupled with price increase in the operational commodities..
Recommendations
Based on the observations made from the Fund‟s activities, the Ministry suggests that the following should be undertaken in order to improve the Fund‟s financial standing:
Provision for the management and operational expenditure, such as, manning, fuelling, provisions and maintenance of the research vessels should be catered for on the Main Budget.
To consider cost saving for the Ministry to manage some or all-manning activities, as it is being done with the patrol vessels.
SOE performance versus O/M/As programme/s
Fisheries Observer Agency (FOA)
The FOA is involved in two programmes namely: Programme 1: Survey and Stock Assessment. Programme 3: Marine and Inland Monitoring Control and Surveillance.
Under the Marine Resources Act, 2000(Act 27 of 2000) Section 46 (1) (b) which states that there is herby establish a fund to be known as the Fisheries Observer Fund, into which shall be paid moneys appropriated by Parliament for the realization of the objects of the fund.
The Fisheries Observer Agency continues with its duty to contribute towards sustainable utilization of marine resources within the Namibian Exclusive Economic Zone and international waters through actively monitoring compliance to acceptable legislation and the collection of relevant data. The FOA continued to monitor fishing vessels in the Namibian waters to ensure that they adhere to the marine legislation in place. Fisheries observers are been deployed on vessels departing for the fishing grounds to harvest different fish species. For vessels that did not comply with all marine legislation, reports of violations is been compiled by fisheries observers as per their mandate to observe, record and report any
210 violations of the legislation upon return from sea. These violations have been evaluated and forward to the Ministry to take action where needed.
The operations of FOA are partially covered by levies imposed onto industry, as well as a contribution from Government to make up the shortfall. The current levy structure does not adequately provide for the efficient running of the Agency‟s monitoring programs and need to be supported by Government funding. For the 2010/11 financial year, the amounts received from Government enable the FOA to continue with its operations as planned and in line with the approved budget for the period.
Under programme 1 the observers are responsible for collecting of scientific data. This data is required by the fisheries scientist for stock assessment models that determine the state of the fisheries stock and determine the total allowable catches (TAC) on fisheries like hake, horse mackerel, monk and crab.
During the reporting period, the FOA had close interactions with the scientist from NatMIRC forming part of the debriefing team of the fisheries observer together with supervisors when returning from sea.
Namibian Maritime and Fisheries Institute (NAMFI)
The Namibian Maritime and Fisheries Institute (NAMFI) are part of programme 3 Marine and Inland Monitoring Control and Surveillance, and were established as part the Ministry of Fisheries and Marine resources strategy to support Namibia‟s Maritime and Fisheries Sector, particularly the fisheries industry. This development reflects the importance of the industry to Namibia‟s economy and the growing need for a trained and qualified workforce in this sector. The Institute has been providing training in engineering, navigational studies and maritime safety. During the year under review a number of students were trained on the following:
Engineering Class 5 23 students Engineering Class 6 31 students Deck Officer Class 5 24 students Deck Officer Class 6 40 students Basic safety course 737 students Basic fire fighting course 63 students Fish quality awareness 114 students
211 Since the establishment, the range of training and other activities undertaken by NAMFI has been expanded and they aim to continue to develop their training programmes for the benefit of the Namibia fisheries and maritime sectors. NAMFI has made significant progress during the year under review in enhancing the learning experience of its students and forging strategic partnership with key industry players. Areas of particular advancement include: the introduction of new training path for cadets, international cooperation with Rogaland Training and Education Centre (RKK) in Norway, construction on new welding workshop, human resource development and financial soundness covered in the Annual Financial Statements.
212 DEPARTMENT OF WORKS
Vote 23
Overall Summary
The Department had seven (7) targets during 2010/2011 period. Decentralization target was achieved.
Summary of revenue (N$)
Revenue description Main Estimate Outturn Lease/ letting of State land and buildings 12 705 706 23 510 551 Lease of parking 101 249 81 367 Sale of Government Houses 13 182 210 0 Obsolete, worn-out and surplus equipment 3 828 105 4 015 820 Private telephone calls 7 664 4 290 Unclaimed cheques 270 876 0.00 Miscellaneous 10 177 209 254 053 Key Deposit 0.00 0.00 Total 40 273 019 27 866 080
Lease/ letting of state land and buildings: More revenue was collected on the lease of Government properties than anticipated because of strict measures introduced to force occupants to pay their leases.
Lease of parking: Revenue inspections were conducted to enforce stringent control measures to all permanent Parkings at Government offices leading to improve revenue collection under the revenue category.
Sales of government houses: No revenue was collected through the Ministerial revenue head. Revenue from sales of properties was collected through the bank account to the amount of N$ 12 million during the period.
213 Obsolete, worn – out and surplus equipment: More auctions were conducted on Government obsolete and written-off items than anticipated.
Private telephone calls: The strict control measures introduced resulted in less private trunk calls being made.
Miscellaneous: The revenue item has been over estimated, since it include revenue such as lost and equipment stores, previous year‟s collection from lease letting.
Key deposit: It was difficult to estimate, as there was no refundable key deposit done during the period.
Summary of balances in special accounts
The table below indicates balances in Bank Accounts operated by the Department. (N$) 000 Account Account Financial Balance Total Total credit Balance Name Number Institution 01 April Debit In period 31 March 2010 In period 2011 MWT (Call 11900007 Ned bank 446 937. 62.80 2 183 449 058 Account) 207 Ltd MWT 11900010 Ned bank 55 400 14 891 12 806 53 226 (Current 1186 Ltd 239.34 Account) Government 51.2351.3 GS T/A -40 456 5 160 499 153 203 -47 752 Stores Trade 09. Account
214 Summary of expenditure outturn 2010/2011
Programme Budget Revised Budget Expenditure % allocation Variance Cultural Activities 24 000 000 24 000 000 23 940 942 0.25 Construction of 15 817 000 15 817 000 14 345 838 9.30 Ministerial Facilities Public works and 370 552 000 370 442 028 325 164 482 12.22 public property asset management Waste, pollution and 3 000 000 3 000 000 2 978 088 0.73 urban environment Capital Projects 16 402 000 16 442 937 11 170 873 32.06 Completion Provision of 24 061 000 24 130 036 20 251 067 16.08 Services to the Government Development of 9 045 000 9 045 000 3 083 223 65.91 affordable and Accessible ICT Services Total 462 877 000 462 877 000 400 934 513 13.38
i) The under spending in the programme Construction of Ministerial Facilities is attributed to the fact that contractors started late on the two Regional offices and construction of the Sub-offices could not materialised as layouts had to be revised to suit the final revised structures. Only fees for documentation and alterations to existing offices were affected. ii) The under spending in the programme Public works and public property asset management is mainly a result of various positions not filled on the newly created staff establishment of maintenance Division (Main Division 2305) due to the fact that new offices were created and the alignment of staff had to be finalized first before vacancies could be advertised. Some senior positions could not be filled due to any qualifying applications. iii) The under spending in the programme Capital Project Completion is again due to crucial vacancies in professional positions that could not be filled. Although the Directorate has recruited professionals during the previous financial years from
215 various partner countries in the ranks of Engineers, Architects and Quantity Surveyors, Currently the Directorate is faced with twenty (20) vacancies from a professional establishment of twenty nine (29) thus 69%. iv) The under spending on Provision of GRN services is mainly due to the fact that vacant positions are not yet filled under all the four cost sharing components of Stores & Printing and Administration.
Performance against targets
Improve the execution rate for the implementation of Capital Projects currently at 72% with 28% to 100% during the financial years 2010/11.
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast 75 % Financial execution by 69 % 72% 75% 77% 80% 2009/10
The rate of execution is based on the capital projects earmarked for execution each and every financial year and is not accumulative. Consultants were appointed for feasibility studies during the 1st quarter of which the reports were still due by September/ October 2011. As the final figures regarding expenditure by line ministries are not yet available, the financial execution rate can only be indicated as approximately at this stage.
To have 85% of all capital projects completed on time, 95% within budget and 100% according to acceptable standard
Target 2008/09 2009/10 2010/11 2011/12 Actual Actual Actual Forecast 85%- on time 75% 77% 80% 82% 95%- within budget 85% 85% 85% 88% 100%-to standard 90% 100% 100% 100%
Some projects could not be completed in time due to non-acceptable workmanship that had to be rectified and redone. This caused projects to overrun their period on which penalties were applied for late completion. In a few cases contractors failed to bring the project to completion, and their services had to be terminated and new tenders called for resulting in the late completion of some projects.
216 All projects completed were to acceptable standards and only 15% of the projects required additional funding mainly due to external needs from the users.
Decentralize 100% of all identified Maintenance functions under the delegation phase to 10 of the 13 Regional Councils during financial year 2010/11.
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast 100% by 2009/10 80 % 95% 100% Complete Complete
The Action plan to decentralize the maintenance function of the Department of Works to the Regional Councils was finalized and formal decentralization of the functions as per “Delegation Phase” was 100% achieved during 2010/11 when all formalities and requirements have been met. All thirteen (13) maintenance Regional offices were transferred to the Regional Councils, bringing the project on Decentralization under the delegation phase to completion.
To complete the construction of two (2) new Regional Offices for the Department of Works at Outapi in Omusati Region and Omuthiya in the Oshikoto Region during the financial year 2010/11.
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast Construction of two Planning Tenders The two 10 The two completed (2) new regional and called and Months projects were offices at Outapi and Document awarded projects only Omuthiya during ation but started in completed in 2010/11 complete contract August 2010. July 2011 signed late (Problem with 10% Surety)
The original standard layout for Regional Offices in the mentioned Regions had to be revised due to changes in functional requirements. Tenders were thus called late in 2009/10 and the sites could not be handed over in time the approved contractors struggled for some time to provide an acceptable 10% surety as requested by the contract.
This had the effect that the two projects only started during mid 2010/11 with a 10 month contract period.
217 To complete the construction of nine (9) of the 17 new Department of Works sub-offices in the various regions during the financial year 2010/11.
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast Construction of nine Planning Tenders Three offices Aranos and Complete (9) Works sub- and called and completed, two Maltahohe Kongola and offices in various Document awarded offices completed Divundu. regions during ation but (Aranos and June 2011 Start Ngoma 2010/11 complete contract Maltahohe) Kongola and signed late still under and Nkurenkuru (challenge construction Divundu to with 10% start. Surety)
Revised layouts of the standard modules to suit the needs of bigger offices resulted in increased contract amounts. Although budgetary provision was made to some extend, it is not possible any more to complete more than 2 to 3 new sub-offices per annum.
To compile 100% of a reliable Fixed Asset Register during the financial year 2010/2011.
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast 100% of a reliable 80 % 80% 82% 85 % 90% fixed asset register by the end of 2010/11
90% of Khomas Region, Omaheke Region and Erongo Region data have been entered into the developed computerized system. New computers have been distributed to all staff members of the Division Fixed Asset Management.
Verification of the data per region was concluded by Maintenance officers, but the target of 100% could not be achieved due to the magnitude of the entire exercises that was totally under estimated. Additional information was also required as the processes continue such as; the number of buildings per complex and total square meters. Consultants were appointed to assist with these statistics, drawings of floor layouts and photos where necessary. It is estimated that an actual achievement of 82% of a reliable asset register could be realized during the 2010/11 financial year.
218 Improve response time from 65% currently to 80% during the financial year 2010/11 for all complaints received to be within the following time frame:
3 hours for emergencies like power failures, burst water pipes 24 hours for other electrical and mechanical failures. 72 hours for civil repairs and maintenance required.
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast 70% by 60% 60 % 62 % 65% 70% 2010/11
The target was not achieved due to the fact that the planned new Regional Offices and envisaged sub-offices are still under construction and staffs have to travel long distances to attend to maintenance needs. Funds for S&T were limited and the maintenance fault logging and management computer system was also not yet implemented. It is thus difficult to obtain reliable statistics at this stage.
219 DEPARTMENT OF TRANSPORT
Vote 24
Overall Summary
The ministry has 9 (nine) targets for the 2010/11 financial year. Four (4) of the targets was achieved. The actual project implementation started at a slow pace due to floods in most parts of the Country. New Treasury legislations such as the submission of signed contract as prerequisite for the transfer of funds to RFA came at short notice leading to delay of project funding in the second quarter. It is expected to exceed by 2011-12 the Ministerial target on the road sector.
Summary of revenue (N$)
Revenue description Main Estimate Outturn
Aeronautical fees, Charges for DCA and non- aeronautical fees 411 839 369 906 Road Transportation Board 714 810 772 485 Lost equipment and store 3 828 0 Validation License (Non- aeronautical-DCA) 17 981 20 355 Private telephone calls 2 492 0 Services rendered to other Ministries 5 189 3 900 Examination fees for Seamen 11 195 22 203 Unclaimed Cheques 31 988 0 Miscellaneous 4 512 889 470 582 Commission on stop orders 0 0 Total 5 712 211 1 659 431
Aeronautical fees, Charges for DCA and non aeronautical fees: Less revenue was collected for the period, because of less registration of new aircrafts and issuing of pilot licenses. An amount of N$ 50 541 453 was collected on over flight charges that is paid into the Aeronautical Fees Suspense Account on a quarterly basis.
Road Transportation Board: Increase of taxis and long distance passenger transport resulted in more collection for the period.
220
Validation of License (Non Aeronautical-DCA): More revenue was collected from validation of foreign aircraft licenses than anticipated.
Services rendered to other Ministry: Less services was required from other ministries for the proclamation of roads and closing of farm roads.
Examination fees for seamen: More seamen registered to write examination than anticipated.
Unclaimed cheques: No unclaimed cheques since the introduction of the IFMS.
Miscellaneous: Miscellaneous revenue was over estimated, it is difficult to determine as it includes any other unlisted revenue e.g. collections from Vessel fees, because this revenue depends on the number of vessels fishing in the Namibian ocean.
Summary of expenditure outturn 2010/2011
Budget Revised budget Expenditure % allocation variance Programme (000) Roads construction and upgrading 528 516 528 516 000 525 931 822 0.49 Roads rehabilitation, maintenance and 101 067 109 261 571 102 856 254 5.86 management of the national roads network. Non-motorized transport 0 0 0 0 infrastructure development. Railways network development, 187 131 178 936 429 161 936 428 9.50 maintenance and rehabilitation. Air transport 365 958 399 958 000 383 894 261 4.02 infrastructure. Meteorological infrastructure 34 889 24 889 000 18 423 765 25.98
221 development. Maritime and inland water transport infrastructure 48 674 24 674 000 10 233 264 58.53 development and safety. Government Services. 42 594 42 594 000 34 620 944 18.72 Total 1 308 829 1 308 829 000 1 237 896 738 5.42
Achievement, Constraints and challenges:
Roads construction and upgrading AND Roads rehabilitation, maintenance and management: The projects extension of Oshikuku – Okalongo road up to Omuvelo gwakasamane was still at initial stage. The Ministry was busy setting out the route for the road and the funds were not going to be utilised. The other variance recorded is from Angra Fria Harbour where delays were experienced with the establishement of the Technical Committee late in the fourth quarter of 2010/11 financial year and thereafter advertisement for consultancy services took place.
Railways network development, maintenance and rehabilitation: The under spending of 9.50% is due to vacancies not filled during the period.
Air transport infrastructure:
The construction of the DCA Headquarters had to be delayed due to additional requirements and the change on the design in compliance with envisaged new Civil Aviation Authority as well as International Civil Aviation Organization (ICAO) Standards. Maritime and inland water transport infrastructure development and safety: Because of unexpected circumstances surrounding the clarity on how better to implement the acquisition and implementation process of the Radar project, no expenditure were incurred. Due to huge number of vacancies on the structure during the period under review. Also delay in the architectural design of the DMA office.
Meteorological infrastructure development:
The under-spending of 26% resulted because of the postponement of the construction of the Rundu Weather Office due to poor workmanship. A new contractor would be appointed to complete the construction of the Rundu weather office.
222 Government Services: Under spending is mainly as a result of vacancies that could not be filled during the financial year.
Performance against Targets
Target 1: Construction of 218 km rural roads and upgrading of 763 km rural roads to bitumen standard by 2011/2012.
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast Construction of 218 km 144.50km 213.5km 405km 550.25 1046.15 rural gravel roads Upgrading 763 km of 276 km 382 km 382 km 1012 km 1155.7 km gravel road to bitumen standards
By FY 2010/11 the target of 218 km of gravel road constructed was exceeded in 187 km (187% of the target) The rural gravel road projects completed by 2010/11 were (405 km): DR 3644 Ompundja- Eheke (18 km) DR 36007Onyaanya- Onanke (41 km) DR 3607 Oshakati- Ompundja (15 km) Epukiro-Eiseb- Gam (235 km) DR3507 Ngoma- Muyako (43 km) DR 3427Tondoro- Kamupupu (13 Km) Rupara- Muveve (13 km) DR 3502 Kongola- Zambia Border ( 22 km) TR 8/6 Katima Mulilo – Kopano Quarantine Camp (5 km)
By 2011/12 it is expected to complete the following projects (145.25 km): DR 3610 Mangetti West Quarantine camp (52 km); Kunene Drainage structure (0.25 km); DR 3660 MR92- Omagongati (15 km) DR 3603: Onayena – Okankolo (23 km) Ekamba- Onkani (55 km)
By 2012/13 it is expected to complete the following projects (495.9 km): DR 3642 Okahao- Outapi (45 km): MR 120 Okatana – Endola - Onhuno (36 km)
223 DR 3603: Onayena – Okankolo (31 km) DR 3615: Onamutuku – Oshikuku (16 km) Ngoma – Nakobolelwa (23 km) Kaisosi (TR 8/4) – Cuma (59.1 km) Tjova (TR 8/4) – Divayi (26 km) Kamupupu – Mbururu (26 km) DR 3649: Onalulago (MR 121) - Epembe (DR 3602) (46 km) Construction of gravel road Oshikuku – Ekangolinene (DR3608) (26 km) Omuthiya - Onanke (33.4 km) Okatana- Ongwediva (DR3638) - Onamutai (19 km) DR3670 Oshandi -Eembahu (TR10/2) - Oshiweda (40 km) Onayena (DR 3603) - Omahenge (24.4 km) DR 3657: TR1/11 Oshapapa (Oshali) – Epumbu (32 km) Outapi – Okapalelona Border Post (13 km)
By FY 2010/11 the target of 763 km of gravel road constructed was not reached due to most of the project have not been completed, nevertheless the projects are progressing well and it is expected that by 2011/12 the target would be exceed in 249 km (132% of the target)
The following gravel roads were improved to bitumen standards by 2010/11 (382 km): Rosh Pinah – Sengligdrift (21 km) MR67 Kamanjab – Omakange (204 km) DR3611Oshikuku – Okalongo (23 km) 10/1 & 10/2 Rundu – Elundu : Phase I (134 km)
It is expected to complete the following projects by 2011/12 (630 km) 1 & 10/2 Rundu – Elundu :Phase II (236 km) MR 122 Okahao – Omakange (83 km): TR 14/2 Gobabis – Otjinene (157 km); TR 15/1 Tsumeb – Katwitwi Section A (70 km); TR 15/1 Tsumeb – Katwitwi; Section B (70 km) DR3611Oshikuku – Okalongo to Omuvelo wa Kasamane (14 km)
It is expected to complete the following projects by 2012/13 (163.7 km): TR 15/1 Tsumeb – Katwitwi; Section C (63,7 km) MR125 Liselo – Liyanti – Singalamwe – Kongola (about 80 km of the total 205 km)
224 Target 2: Rehabilitation of 63 km Trunk and Main Roads by 2011/2012.
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast Road rehabilitation 23 km 36 km 137 km 137 km 172 km of 63 km of Trunk and main road
By FY 2010/11 the target of 63 km of road rehabilitated was exceeded in 74 km (217 % of the target) The rehabilitation projects completed by 2010/11 were: (137 km) Otavi – Tsumeb (60 km) TR 7/1 Okahandja - Karibib (phase 1 (77 km)
By 2012/13 TR 7/1 Okahandja – Karibib, phase II (35 km) would be completed
Target 3: Implementation of one non-motorized transport (NMT) infrastructure pilot project for urban area and one pilot project for rural area, 60km of road network improved for NMT users by 2011/2012.
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast 450km 90 none 0 0 0
No funds were allocated to develop this programme. Nevertheless this sub-sector has to be revisited; the programme is more suitable in towns and cities. The programme entails to construct a separated infrastructure for pedestrians and cyclists to avoid conflict with motorist. The distances between towns are very long for one to travel on cycles therefore if constructed it will not be fully utilised. This programme should be referred to the local Authorities for incorporation in their plans.
225
Target 4: Upgrade and construct 17 out of 21 vehicle and driver testing stations by 2011/2012.
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast Upgrading: Outjo Outjo Windhoek Windhoek Ongwediva Driver testing Okahandja Okahandja Grootfontein Karasburg area Grootfonte Grootfontein Keetmansh in Windhoek oop Windhoek Walvis Bay Mariental Gobabis Outjo Otjiwarong o Walvis Bay
Upgrading: Swakopmund Karasburg Windhoek Oshakati Administrative Rundu Grootfontein building Tsumeb Construction Luderitz Luderitz Eenhana Outapi Outapi Opuwo Eenhana - Oranjemun (temporary d driver testing centre)
Outapi - (temporary driver testing centre)
Upgrading of Driver testing areas:
Offers have been received from Ongwediva Town Council to purchase three (3) erven next to Ongwediva NOSC for future expansion of the testing facility. Approval is still pending from the Department of Works, Division Fixed Asset Management.
226 A request for land next to the Karasburg NOSC was made to a private owner. The deed of sale was signed by the owner and forwarded to the Department of Works, Fixed Asset Management to conclude the transaction. The driver testing areas at the following vehicle testing stations (VTS) should still be upgraded: Karasburg, Keetmanshoop, Mariental, Gobabis, Okahandja, Walvis Bay, Outjo and Otjiwarongo. These projects are earmarked for 2012/13 financial year.
Upgrading of Administrative buildings: Renovations at the old Karasburg VTS were completed, after which VTS was converted to a NOSC. A government house was renovated and converted into offices for the NamPol Traffic Unit, where they have been relocated. Renovations were also conducted at Rundu and Tsumeb Vehicle and Driver Testing Stations with the assistance of the Department of Works. Construction:
A contractor was appointed to construct the Eenhana Natis One Stop Centre (NOSC). The project is due for completion during February 2012.
Tender documents to invite bids for the construction of Outapi NOSC, were published during August 2011 and construction is scheduled to start in October 2011. A submission was submitted to City of Windhoek during October 2010, to acquire two (2) suitable erven in Otjomuise suburb for the future construction of a new Vehicle and Driver Testing Station. A formal response from the City of Windhoek is still pending.
Achievements: Commencement of: Eenhana NOSC construction, upgrading of Grootfontein Driver Testing Area; and construction of Heavy Vehicle Testing Area for Windhoek Registering Authority.
Constraints: To find suitable and =sufficient size at Local Authorities for the construction of functional Vehicle and Driver Testing Stations.
Target 5: Construction, rehabilitation and upgrading of 2 379km railway line in Namibia by 2012/2013.
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast Construction 316 km 5 km 2 km 80 km 55km , rehabilitatio n and
227 upgrading of 2379 km rail network in Namibia by 2012/2013
The target to complete 2 379 km of railway line was over estimated as it is impossible to achieve in the given time frame. Despite 2 km of railway line completed in the fourth quarter; there is successful completion and progress on other project components.
Achievements:
Various project components/items were completed:
Earthworks embankment of 126 km of Northern Railway Extension project & Aus – Luderitz rehabilitation projects is completed Crushing of Ballast stone for Northern Railway Extension is completed (100 000 m3) Transportation of ballast stone (100 000 m3) for Northern Railway Extension project Manufacturing of 125 000 Sleepers for Northern Railway Extension project completed Road-over-rail bridges (two bridges) fill completed on Northern Railway Extension project Paving and fencing of the Oshikango station yard is completed Roadbed of the access road-over-rail (1.440 km) towards Engela is completed Filter layers for Aus-Luderitz rehabilitation project (18 500 m3 ) completed Gabion walls for Aus Luderitz rehabilitation project (1 600 m3) completed Drainage Structures (Culverts 217 NRE & Aus –Luderitz rehabilitation project) completed Studies undertaken-TransKalahari Railway Link Pre-feasibility Study commissioned Design, supervision done and reviewed – (railway line alignment) Establishment of Sleeper factory at Tsumeb ( 100% completed) 12 Turnouts, sleepers and tumblers for Aus-Luderitz rehabilitation project procured and transported to Haalenberg Delivery of 5700 metric tons of Rails
Challenges
i) Rainfall and flood water delayed project executions ii) Contractors performance at times below standard iii) Litigations and legal challenges
228 Target 6: Construction, rehabilitation and upgrading of aviation infrastructure in Namibia by 2011/2012.
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast 1. Construction, rehabilitation 85% 90% 95% 98% 98% and upgrading of aviation infrastructure in Namibia by 2011/2012 2. The runway at Walvisbay airport was widened from 30 85% 95% 70% 85% 95% meters to 60 meters by 2009/2010 and lengthened from 2134 meters to 3440 meters. 3. Construction of DCA HQ at Eros Airport by 2011/2012 10% 15% 15% 25% 45% 4. Construction of ATC Tower at Katima Mulilo Airport by 15% 15% 85% 100% 100% 2011/2012 5. Acquisition and installation of Aviation Radar system 10% 80% 95% 100% 100%
1. The Construction, rehabilitation and upgrading of aviation infrastructure is completed, the loan was no more extended. Rentention and other expenditure after completion had to come from other projects within Aviation. 2. The runway at Walvis Bay airport project is completed but did not comply to the ICAO standards, currently there a dispute between the Contractor and the Ministry which should be sorted out during the next financial year. Thereafter the runway has to be repaired. 3. The Construction of DCA Head Office has got new requirements since the arrival of the ICAO experts and therefore the project went back to the drawing board. 4. The Construction of the Katima Mulilo ATC Tower has experienced some delays and the Contractor was only progressing very slowly. Extension of Time was granted, and the Tower should be completed during the next financial year. 5. This target consists of two radar projects. Being the Civil Aviation and Maritime radars.
5.1 The ATC: New Area Control Centre for the Windhoek FIR was progressing very well. The Site acceptance for the first Phase was done in February 2011.
229 The Ministry has sourced 6 ICAO experts to assist on the operational part of the Radar implementation. An extension to cover the Caprivi and the Walvis Bay TMA is currently under way. Some additional stations will be required to cover the Hosea Kutako TMA as well. 5.2 A Consultant was appointed by the Ministry to assist with procurement and installation of a national marine radar system. An Agreement was prepared and entered into between the Ministry and the consultant, two fact finding missions were undertaken by the consultant and tender documentations are being prepared by the consultant for the tendering process.
Target 7: Planning and construction of 3 000 meters Aerodrome runway, as well as to install 5 000 meters fencing at airfields by 2011/2012.
Target 2008/09 2009/10 2010/11 2011/12 2012/2013 Actual Actual Actual Forecast Forecast construction of 0 95% 100% 0 0 3 000 meters Aerodrome runway install 5 000 3 (100%) 0 0 0 0 meters fencing at airfields
Construction of the runway at Outapi Aerodrome is 100% completed. All 3 Airfields (Outapi, Opuwo & Eenhana) 5 000 meter fences each were 100% completed during the 2008/09.
Target 8: Construction, Upgrading and acquisition of Marine facilities by 2012/13.
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast Upgrading of DMA facilities 2011/2012 Marine radar 0 0 5% 20% 75% Construct DMA Office 0 0 10% 30% 60% Zambezi river transport & Dredger 0 0 100% 50% 100%
230 The Directorate Maritime Affairs‟ renovation at its Luderitz offices has been completed. The process of building its headquarters has been started with all architectural documentations completed. The structural designs and the site works have also been completed.
The Ministry has successfully procured the Zambezi Landing Craft and is now in the process of buying additional equipment such as dredgers and construction of Moring points.
Target 9: Rehabilitate and extend upper air and 50 surface observing networks, including one weather radar, in the country by 2011/2012.
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast Rehabilitate and extend 4 0 0 4 6 0 upper air and 6 surface observing networks,
39 automatic weather stations 10 9 4 9 0
one weather radar, in the country 2011/2012 (AWS) 0 0 0 0 0
The project seeks to prepare Namibia for vagaries posed by climate change and severe weather phenomena. It aims at installing meteorological infrastructure in all the regions of the country to enable weather and climate monitoring and forecasting. The three new upper air stations have been procured and are currently in the process of being installed at Ondangwa, Keetmanshoop and Walvisbay. These installations will bring the total number of upper air stations to the target of four. The original target of 39 automatic weather stations was exceeded as there are now 47 automatic weather stations installed throughout the whole of Namibia. The procurement of one weather radar can only be commenced later in the budgetary cycle and only after a feasibility study has been done. Overall, the project is well on target as planned.
231 MINISTRY OF LANDS AND RESETTLEMENT
Vote 25
Overall Summary
The Ministry of Lands and Resettlement has a mandate to implement the programmes as regulated by the Agricultural (Commercial) Land Reform Act, 1995 (Act No.6 of 1995), Communal Land Reform Act, 2002 (Act No.5 of 2002), Deeds Registries Act (Act 47 of 1993 and Land Survey Amendment Act (Act 6 of 1995). In spite of many constraints and challenges, the Ministry managed to meet a certain level of its target in the 2010/11 financial year.
Ministerial targets
Target 1: 280,000 hectares to be acquired by 2011/12
The Ministry experienced a significant increase in the number of farms purchased for resettlement with a total of 49 farms purchased during the year. The main reason for the increase in farms purchases is the rise in number of farm offers that has resulted from the introduction of farm price negotiations that allow land owners to negotiate land prices with the Ministry before an offer is either accepted or rejected.
The Ministry planned to acquire 534,000 hectares of land for the financial year 2010/2011 at a budgeted cost of N$50 million. However, 301,768.7341 hectares of land was acquired at a total cost of N$197,795,210.00 during 2010/2011 financial year.
The Ministry have revised its annual land acquisition target on the basis of the recommendations of the Permanent Technical Team report which proposed that 15 million hectares of land should be acquired of which 5 million hectares are to be acquired under the National Resettlement Programme and 10 million through the AALS programme. The revised target is thus 280 000 hectares per year as per the Ministerial Strategic Plan ending in the year 2016.
232 Target 1: 280 000 hectares to be acquired by 2011/2012
2010/2011 2011/2012 2012/2013 2013/2014 2014/2015 Target Actual Estimate Forecast Forecast Forecast
280,000 hectares to be 301,768.7341 280,000 280,000 280,000 280,000 acquired by 2012.
Target 2: Resettlement of the landless: 296 families
During the 2010/11 financial year the Ministry resettled 331 families including the San families. Most activities on the resettlement front were focused towards ensuring that resettlement farms are optimally utilized. This programme created 73 jobs as Farm Caretakers
Target 2: 296 families to be resettled by 2010 2008/09 2009/10 2010/11 2011/12 2012/13 Target Actual Actual Actual Forecast Forecast 373 3 Families 1 family, 331 families 140 140 beneficiaries 2 cooperatives (including san by 2010 families resettled through the San development initiative under the OPM)
In collaboration with MAWF, the Ministry initiated a programme to rehabilitate water infrastructure on 35 resettlement farms countrywide. This programme will go a long way in ensuring that resettlement farmers put the units allocated to them to full production.
The on-going Farmers Support Programme also continued to provide skills training to resettled farmers. The Post Settlement Support Fund being implemented and managed by Agribank continues to provide financial assistance to resettled farmers for production inputs and acquiring livestock.
233 Target 3: Security of Tenure under Programme 2:
During the period under review the Ministry targeted to register 65,982 customary land rights of which a total of 32,623 applications were received and 20,029 certificates were issued. The target was not realized due to insufficient financial resources allocated to the Land Boards.
Target 3: Security of Tenure Programme 2:
2010/2011 2011/2012 2012/2013 2013/2014 2014/2015 Target Actual Estimate Forecast Forecast Forecast 40,000 Number of existing Customary Land Rights 20,029 40,000 59,000 59,000 58,000 Certificates to be issued in 12 regions by 2012
Target 4: Land Usage Programme 3:
Consultations with line ministries, conservancy management committee and other stakeholders took place.
A total of 2,344 leasehold applications were received and 128 were approved and issued against the target of 8,494 due to lack of funds and transport for the land boards to verify. The IRLUP for Karas has been completed and approved by cabinet through Cabinet decision number 12/19.7.11/010. Hardap ILRUP is to be completed by the end of 2011/2012 financial year.
Target 4: Land Usage Programme 3:
Target 2010/11 2011/12 2012/13 2013/14 2014/15 Actual Estimate Forecast Forecast Forecast 8,494 certificate of leasehold 128 17,000 17,000 16,000 0 land rights to be issued in 12 regions by 2012. 2% of SSCFs developed 0% 0% 2% 5% 10% Number of regions covered 1 2 2 4 5 with IRLUP
234 Target 4: National Spatial Data Infrastructure (NSDI):
Fundamental Datasets Programme 4:
Revision of the topographic maps: The revision of the topographic maps for Caprivi regions has been completed. The tender for the map revision of topographic maps for Omusati, Oshana, Ohangwena, Oshikoto and part of Kunene was awarded. 25% of the task has been completed.
Namibia/Botswana joint Border inspection: As part of the activities to ensure the integrity of the Namibian boundaries with its neighbours, Namibia and Botswana carried out a joint inspection of the rectilinear boundaries between Namibia and Botswana. The team inspected 75 existing beacons, built 13 new beacons and rehabilitated 41 old ones.
Target 2010/11 2011/12 2012/13 2013/14 2014/15 Actual Forecast Actual Forecast Forecast Establishing a 22 35 45 55 65 fundamental spatial datasets with a coverage of 55% by 2014/2015
Namibian Claim to an extended continental shelf: Namibia was able to meet the deadline for the submission to the United Nations Commission on the Limits of the Continental Shelf and have subsequently made a power point presentation to the Commission on the 6th April 2010. Digital Cadastral System: The digital cadastral system has been developed and it is currently undergoing a testing phase. For the digital cadastral system, parcel data for 5 registration divisions (A, B, F, J and G) were digitized and geo-referenced. The Windhoek Erven Data was geo-referenced and 107 Noting plans completed.
The geodetic control network: 79 first order geodetic monuments were constructed
The target achieved was 22% instead of 25%. The testing phase of the implementation of the digital cadastral system indicated some bugs that needed to be corrected. The correction of one bug we found out introduced some other problems. The iterative process proved cumbersome. But there has been significant improvement in the system
235
Comments on trends and other prospects The objective here is to provide fundamental datasets that will form the foundation upon which a national spatial data infrastructure will be developed. This consists mainly of topographic, geodetic and cadastral datasets. The international trend is to develop a national database of all information that has spatial characteristics. The DSM has progressed steadily with developing the base data and would be able to provide the back bone for this infrastructure if funding is provided as scheduled and is complimented with human capital.
Budget execution 2010/11 (N$ 000)
Programme Programme Budget Adjusted Expenditure % variance allocation Allocation N$ 000’ N$ 000’ N$ 000’ Dev. B P#1: Operational 36 878 ...... 33 079 10.3 Acquisition Development 79 190 88 206 82 125 6.89 of Land, Total 113 593 115 204 12.58 Distribution and Resettlement
P#2: Security Operational 19 982 ...... 19 007 4.88 of Tenure Development 1 300 300 129 57.0 Total 20 482 19 347 5.54
P#3: Land Operational 17 161 ...... 13 669 20.3 Usage Development 9 150 4 551 2 678 41.0 Total 23 836 16 347 31.4
P#4: National Operational 10 877 ...... 9 896 9.0 Spatial Data Development 15 660 12 660 9 065 28.4 Infrastructure Total 26 536 18 961 (NSDI) Total: 84 896 75 651 10.9 Operational
Total: 105 300 91 882 12.7 Development Total for 190 196 167 533 11.9
236 Vote 25
Explanation for variances
Programme 1: Land Acquisition, Distribution and Resettlement
Money spent on land acquisition has exceeded the budget allocation due to the fact that, the Ministry has bought many farms and land prices have increased tremendously the past years. The additional funds have been accumulating in the Land Acquisition and Development Fund and the Ministry has used the money and acquired more farms during the period under review which increased the expenditures. The difference has thus been defrayed from the LADF account.
Construction of Ministerial Head Quarters
N$ 9 million was viremented to the construction of the Head Office. All the funds were not spent as the there were delays in the approval payments of fee accounts by Ministry of Works and Transport. MLR managed to transfer N$ 5,1 Million from these savings to the LADF as per Cabinet decision to honour the conditions for the Virementation which was approved by Cabinet in 2009.
Remuneration
The posts for the Directors for Land Reform & Resettlement were vacant for months and the Chief Development planner position was vacant for a period of four months after a staff member was transferred to another Ministry within Public Service.
Programme 2: Security of Tenure
Flexible Land Tenure System Project: Under spending Development : 57.0% The activities of this project were affected by seasonal floods as the planned to be implemented in informal settlements of Oshakati and Ondangwa. There has been a delay in the passing of the bill in parliament. It was anticipated to be done in the first quarter of the year under review.
Programme 3: Land Usage
The development of farm infrastructure of small scale farms : Under spending Development: 41.4%
237 The activities to drill and equip boreholes in Kavango region went on until the last month of the four quarter of 2010/2011 and payments were done in the budget of 2011/2012 FY. The delays were caused by heavy rains in the areas.
Programme 4: National Spatial Data Infrastructure: Fundamental Datasets
Under spending: Development: 28.4%
Nation-wide integrated geodesy
The observation of the 79 monuments were built at cost over N$1 million. Splitting the observation is no economical. The balance of N$255 319-05 was too small for any meaningful geodetic activity.
Development Partners Contribution Development Amount N$ Execution N$ Partner GTZ 9 927 300 8 402 532 KFW 15 800 000 3 835 906 Total 25 727 300 12 238 438
GTZ funds were spent on post settlement support farmers training, mentorship, Financial Agreement with AgriBank and Land Use Planning for Hardap region Participatory Training Modules. MLR and the German Development Bank KFW agreed for the accompanying measure (two consultants who will be based here at MLR and other short term consultants who will be recruited for specific assignments in order to produce deliverables based on the terms of References that will be given to them by MLR to development of Small Scale Commercial Farms in selected identified communal areas. The tendering process which started during the year under review has been completed and These consultants are busy mobilising to come to Namibia to start their assignments in September 2011.
Fund Account
Land Acquisition and Development Fund (As at 31 March 2011)
Revenue Source SRF 50 000 000 Land Tax 36 684 719
238 Income from Investment 16 637 841 Total 103 332 560
Investments & Current Accounts
Institution Amount N$ Bank Windhoek(Call) 27 294 864 Current Account 47 926 186 Total in Fund 75 221 050
Major Expenditure N$ Farm Purchases 197 795 210 Rehabilitation of 32 752 796 Infrastructure Land Bill Conference Cost 1 643 313 Post Settlement 10 000 000 (Agribank) Total fund 242 191 319
Revenue Collection 2010/2011
Revenue Description Main Estimate N$ Outturn N$ Sale of Maps 560 000 685 125 Survey Fees 270 000 565 471 Deeds fees 3 500 000 6 582 748 Miscellaneous 250 000 1 008 335 Total 4 580 000 8 932 679
239 NATIONAL PLANNING COMMISSION
Vote 26
Overall Summary
National Planning Commission was accountable for resources that have been allocated during the 2010/2011 financial year. The total allocation amounted to N$134,012,000 million, of which N$118,600,535.53 was spent giving the variance of N$15.5 million. This translates into 88% of the allocated resources spent.
Mobilise additional external development assistance through grants and concessional financing from 2 percent to 5 percent of GDP by 2010/2011.
Grants and Loans
Targets 2007/08 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Actual Forecast Forecast Grants 2% to 2.1% 3.2% 2.4% 2.0% 2.4% 2.4% 5% by 2009/10 (GDP) Loans 2% to 5.1% 5.7% 2.0% 5.4% 4.2% 4.2% 5% by 2009/10 (GDP) Total 7.2% 8.9% 4.4% 7.4% 6.8% 6.8%
Grant Assistance: Official Development Assistance (ODA) comprises grants or loans to developing countries, with the promotion of economic development and welfare as the main objective. Loans should be on concessional financial terms, having a grant element of at least 25%. Technical cooperation is included. Grants are transfers in cash or in kind. The National Planning Commission mobilizes additional external development assistance through grants and concessional loan financing to augment government resources to implement NDP3. Grant financing decreased from 2.4% for the financial year 2009/10 to 2.0% of GDP for 2010/11, whilst, the concessional financing also increased from 2.0% for the financial year 2009/10 to 5.4% of GDP for 2010/11 in the same period. This is due to the shift in the aid modalities of a number of donors who take into account Namibia‟s Upper Income Status and moving from grant funding to trade and investment as well as concessional
240 loan financing ( Example include Japan, Finland, Sweden and France). The total ODA percentage of loans and grants has increased from 4.4% in 2009/10 to 7.4% in 2010/11. As per the policy of the Government of the Republic of Namibia in NDP3, grants are the preferred modality of external assistance as opposed to loans. The target for mobilizing external assistance which includes grants and concessional loans) is between 3% and 5% of GDP, which was achieved. During the period 2010/11 the GDP amounted to N$51.868 billion. Official Development Assistance (ODA) for both grants and Concessional Loans amounted for N$3.378 billion. This implies that ODA as percentage of GDP for that period amounts to 6.6%, which is higher compared to 4.3% for 2009/10 financing.
Namibia-German Special Initiative Programme
The Namibia-German Special Initiative Programme is a bilateral agreement between the governments of Namibia and Germany aimed at supporting development and social consolidation at local and community levels in areas and for communities that had historic ties with the German colonial government.
The Program is benefiting all Namibians but prime beneficiaries should be the poor communities of Darmara, Herero, Nama, Mbanderu and San communities of Erongo, Hardap, Karas, Khomas, Kunene, Omaheke and Otjozondjupa regions.
An intensive needs assessment exercise was carried out with targeted communities at the beginning of 2006 whereby a total of 152 project proposals were identified in 49 communities, 23 constituencies and 7 regions. About 92 feasible projects of 12 different types were proposed and accepted by the Programme Steering Committee for financing under the NGSIP.
The first phase of programme implementation which is referred to as the „Fast-Track” or Phase I commenced in December 2008 whereby 23 of the 49 communities have participated. The final report on the activities of the First Phase was submitted in September 2009. The second implementation phase started at the beginning of November 2009 with the arrival of international consultants known as INTEGRATION Management Consultants.
Programme performance: Progress made during the implementation of phase 2
Phase 2 could not proceed for quite some time since the programme did not have access to the Disposition Fund. The closing balance for phase 1 has also been finalised and the Fund become operational for phase II in April 2011. The financial situation is as follows: from the 20 million Euros that were allocated to this programme, 4 Million goes to the consulting
241 Team and Programme Management Unit. The Fast Track Phase utilised roughly 1 Million Euro, so there is a balance of 15 Million Euro for phase 2. These funds will be managed by the Programme Team instead of NPC. KFW also approved using MOF‟s VAT re-funding mechanism, which was problematic before.
Programme Implementation Status:
There are 9 constituencies where multi-purpose centres and SME Projects will be set up ( Epupa, Opuwo, Tsumkwe; Okakarara; Omatako; Otjinene; Otjombinde; Epukiro, Khomas). There are also 9 constituencies without multi-purpose centres where housing, school, health and agricultural projects can start. 20 School Projects will start soon in Omaheke; Otjozondjupa and Kunene regions. Tender documents were prepared as well as a pre- qualification process. Regional Directorates were consulted as well as constituency / project committees to cut projects in order to fit within the budget limits. After these initial cuts, architects and quantity surveyors will be brought in to do further refining. Cognizance needs to be taken of the fact that the real value of the project has been reduced by 40% since the feasibility study was done in 2007. An MOU has been prepared with MOE to get their acceptance and to take over the responsibility for the operation of these schools.
100 Water Projects are under preparation and include new boreholes, rehabilitation of existing ones, construction of pipelines and earth dams. All regions and constituencies where these projects were visited: Erongo, Omaheke, Otjozondjupa and Kunene Regions. The PMT visited these regions in order to verify the costs and needs and to cut down costs, due to the loss in project funding (referred to earlier). The Project Team (NGSIP) works very closely with MAWF on the water projects and a draft MOU with MAWF is in place. Furthermore MAWF will be treated as a „contractor‟ in the implementation of a number of projects by the NGSIP. Verification will be done of the projects carried out by MAWF before payments are made.
Tax Reimbursements by the Government of Namibia to the MCA Namibia Programme
In terms of the Compact signed between the Government of Namibia and the Government of the United States of America, Compact funds should be free from the payment of taxes. Any taxes therefore paid out of Compact funds are to be refunded and ploughed back into the program for the benefit of the MCA Namibia projects. It was estimated that over the life of the Compact, these taxes would amount to NAD 85m (USD 11.37m). For the first year of implementation, up to 30th September 2010, the Government of Namibia has reimbursed a total of NAD 11.8m (USD 1.6m). The funds have been ploughed back into the activities implemented by MCA Namibia during the stated period, as follows:
242 NAD USD
Education Project 9,373,323 1,249,776
Tourism Project 1,292,949 172,393
Agriculture Project 1,147,838 153,045
Total 11,814,110 1,575,215
In the second year of implementation (October 2010 to September 2011), GRN programme tax reimbursements are estimated to amount to NAD 18m (USD 2.4m) and will again be ploughed back into the project activities.
Produce reliable, timely statistics in accordance with NSP3 (and make available 90% of the required statistical data by 2010/11 as per National Statistical Plan 3)
Target 2007/08 2008/09 2009/10 2010/11 2011/12 Actual Actual Actual Forecast Forecast 85% by 80% 80% 85% 85% 90% 2009/10
The 90% user satisfaction rating is ostensibly based on CBS‟s own production output and those of other producers under the auspices of the NSP3. All planned production outputs in the area of CBS‟s high frequency statistics and planned outputs of major undertakings by CBS and other producers for the reporting period have been accomplished.
Programme Performance
During the review period the Central Bureau of Statistics produced the following outputs:
National Accounts: The National Accounts measures the performance and structural change of the economy. National Accounts 2000-2009 series where produced and indicated that the economy went into recession in 2009 with a negative growth of 7.1 per cent.
Namibia Consumer Price Index: The Consumer Price Index is used to measure inflation which is a general increase in the level of prices. A monthly release with a lag of 15 days of the month to be reported is being adhered too. The annual inflation for the month of March 20011 stood at 3.8 per cent. Inflation has steadily slowing down in the year 2010 since February and the annual average for 2010 stood at 4.5 per cent.
243 Foreign Trade Statistics: Foreign Trade Statistics measures values and quantities of goods that, by moving into or out of a country, add to or subtract from the nations‟ material stock of goods. They are invaluable statistics for the formulation of monetary, fiscal, commercial and regional integration policies. These statistics have been produced continuously and used by our customers namely; Bank of Namibia, National Planning Commission, Ministry of Finance, Ministry of Trade and Industry, EU, SADC, SACU and many others. During the fourth quarter of 2010, Namibia‟s total exports stood at N$8,126 billion, while imports on the other hand stood at 10,258 billion resulting in a negative trade balance of N$2,132 billion.
Namibia Household Income and Expenditure Survey 2009/2010: This survey is the only survey which comprehensively collects data on income and expenditures of the households. These variables are used in the calculations of poverty and inequality indicators. Data collection from the field was completed in July 2010, and by March 2011 data was captured electronically and databases created. Since then data cleaning has started and still continues.
2011 Population and Housing Census: This is a total count of every person in Namibia, from a newly born baby to an elderly person at a specific point in time and includes all processes of planning, data collection, data processing, analysis, publication, dissemination and archiving. The census collects other important socio-economic variables including housing characteristics. By March 2011 the planning phase was completed which included the development of project document and a pilot census was conducted, mapping was about 80 per cent completed, acquisition of equipment and other necessary tools was done.
Geographical Information System Implementation in regions. This project aimed at contributing to the developing of the Spatial data Infrastructure in Namibia. Spatial Data Infrastructure (SDI) is a set of policies, standards and procedures under which organizations and technologies interact to foster more efficient use, management and production of spatial data. The main outputs achieved include the development of the National Spatial Data infrastructure (NSDI) policy, development and maintenance of the spatial data database, development and maintenance of the NAMINFO data base and the provision of service to all regional councils and the public at large.
75% of MTPs aligned to NDPs by 2012/2013
Although 100 per cent of the votes have illustrated linkages between the development projects to the national and sectoral goals through the programmes, only 58 per cent of the 31 vote Medium Term Plans (MTPs) in the Medium Term Expenditure Framework (MTEF) reflect all or at least two of the programmes reflected in the Third National Development Plan (NDP3). This discrepancy is expected to improve with the understanding of programme budget approach.
244 Achieve at least 95% execution rate of National Development Budget by 2012/13 through review and monitoring the implementation of Capital Projects
During the 2010/11 financial year, the Development Budget execution rate was 91 per cent. This is an improvement from 89 per cent in 2009/10. The rising execution rate is mainly attributed to improvement in planning and monitoring though there are constraints related to late delays resulting from the appointment of contactors the floods that were experienced in some parts of the country.
Produce 3 economic and social research reports every financial year (2011/12; 2012/ 13; 2013/ 14)
The economic and social research reports were produced. These include: (i) The State of National Economy; (ii) the Impact of Global Financial and Economic Crisis on the Namibia Economy and; (iii) Poverty and Social Impact Analysis of VAT Zero Rating of Basic Commodities on Poor Households and Government Revenue.
Programme Performance
Activity 1: Consolidated the Integrated Result- Based Planning, Implementation, Monitoring and Evaluation
Establishment of the National Integrated Monitoring, Reporting and Evaluation System (NIMRES)
The development of the computerised NIMRES commenced during the first quarter of 2010/11 with the preparation of the project charter, defining the project approach, scope of pilot testing and work schedule. To ensure that the system being designed covers the needs of all stakeholders, the process of business requirement information gathering involved consultations with various Government Offices, Ministries and Agencies. The output was a set of Business Requirement Documents, on the existing approaches/ workflows and the project interventions. A prototype system was designed and has continued into the 2011/12 financial year.
Mid-term Review of the Third National Development Plan (NDP3)
The mid-term review of NDP3 was conducted during the period under review. The results of NDP3 mid-term implementation are mixed outputs, influenced both by internal and external factors. The NDP3 economic target is a growth between 5.0 and 6.5 percent per annum. On
245 average the GDP has grown by 3 percent during the first three years (2007 to 2009). This is mainly a result of the global financial crisis which was transferred to Namibia through international trade in goods and services and capital flows which led the domestic economy into recession in 2009.
Although no new poverty and inequality data were available at the time of review, progress has been noted on Government interventions to reduce poverty and income inequalities. These include provisions of more opportunities to the previously disadvantaged groups such as participation in Government tenders, access to finance through the Development Bank of Namibia, participation in resettlement programme, expanding access to income generating activities, better coverage of beneficiaries for social grants and zero-rating of some basic food commodities. The processes of business registration and applying for exporter permits were also simplified and sped up.
Namibia is faced with a number of challenges hampering the economic development including the high unemployment rates amounting to more than 50 percent, income inequality and high prevalence of HIV/AIDS which remains the leading cause of death in the country.
Activity 2: Research and Policy Analysis
Economic Research
As part of economic research, the 2009 State of National Economy and the Impact of Global Financial and Economic Crisis on the Namibia Economy Reports were prepared. The Gross Domestic Product (GDP) contracted by 0.4 per cent in 2009 due to the impact of the global economic downturn. The contraction was mainly attributed to a decline of 24.1 percent in primary industries, which suffered as export demand and commodity prices fell in the wake of the global crisis. Growth in both the secondary and tertiary industries slowed to 3.1 percent and 4.6 percent from the respective 3.2 and 5.6 percent recorded in 2008 and 2009.
Real Gross Capital Formation (investment expenditure) contracted by 4.2 per cent in 2009, from a growth rate of 7.2 percent recorded in 2008. This decline came as business confidence fell in light of the downturn in the economy. As a share of GDP, investment expenditure fell from 24.5 percent in 2008 to 23.6 in 2009.
Namibia continues to be net importer of goods and services such that the net external balance of goods and services has generally been negative over the last three years. As a result of global downturn the quantity and prices of exports fell sharply, leading to 8.7 percent contraction in exports in 2009, compared to a growth of 5.2 percent in 2008. Imports of goods and services recorded a lower growth rate of 3.7 percent in 2009 compared to 9.6
246 percent in 2008. This slower growth rate was due to lower domestic demand and subdued business activity.
Employment Creation Policy Intervention
The 2008 Labour Force Survey revealed that the unemployment rate in the country rose from 36.7 per cent in 2004 to 51.2 per cent in 2008. This is a great concern both to Government and the entire nation. Against this background, the Government organized a National Employment Creation Summit where stakeholders from the public sector, private sector and labour representatives deliberated on possible interventions to address the unemployment crisis facing the country. As a way forward, Government is committed to play an active role in economic development, create a conducive environment for private sector investment and aiding the private sector in the creation of jobs. Government is also committed to adapt its expenditure approach to economic development by further focusing on a few areas with higher potential to generate growth, more job opportunities and improved social welfare. These areas include agriculture, tourism, transport and logistics, and housing and sanitation.
The Government commitment are concretized in the 2011/ 12 to 2013/ 14 MTEF in which projects that have potential to contribute to employment creation and enhance economic growth were identified and grouped under the Targeted Intervention Programme for Employment and Economic Growth (TIPEEG). Such classification was necessary as it is accompanied by special modalities of enhanced resource allocation, procurement and monitoring to fast track implementation. It is estimated that an amount of N$ 14.7 billion would be spent on TIPEEG projects during the next three financial years that will result in creation of about 104 000 direct and indirect job opportunities.
Research on Poverty Reduction Strategies
A research report on Poverty and Social Impact Analysis of VAT Zero Rating of Basic Commodities on Poor Households and Government Revenue in Namibia was produced and provides recommendations on how such policy interventions can be improved in future to better target the needs of the poor. Activity 3: National Human Resources Planning
The formulation of a National Human Resources Plan for Namibia was initiated to enable the Government to meet its Vision 2030 objectives by providing a comprehensive overview of the human resources situation and allocating appropriate resources to respond to the emerging challenges. This project is jointly funded by GRN and the African Development Bank. By the end of the financial year, the structure and management for National Human Resources Plan was established with actual formulation started mid-April 2011.
247 Activity 4: Population and Development
The current Population Policy for Sustainable Human Development (1997) was reviewed during the first quarter of the financial year. The review noted with concern the drastic rise in maternal and infant mortality rates but also recorded the efforts to counteract these negative trends. These include: the roadmap on maternal and infant health; the programme on Male Involvement in Sexual and Reproductive Health programme; and the establishment of the Multi-purpose Youth Centres in all 13 regions of the country to address young people‟s reproductive health issues.
In terms of capacity development, it is noted that training in population and development at the University of Namibia has enhanced the capacity of GRN institutions through producing graduate statisticians and demographers, most of whom secured employment opportunities at the Central Bureau of Statistics and other ministries.
Institutional framework for coordinating population and development in the country was found to be weak and constitutes a major shortcoming. It was planned that the Policy would be revised following the review; however such a revision has been postponed pending the results of the forthcoming 2011 Population and Housing Census.
CONSTRAINTS AND CHALLENGES
(i) For a long time the NPC structure has not been commensurate with its functions and place unrealistic pressure on the incumbents, resulting in some main activities not carried out. (ii) None compliance of O/M/As to submit timely quarterly and annual capital progress reports causes delays in the compilation of the periodic capital progress reports.
(iii) Lack of data or asynchrony of reporting and production of relevant statistics hamper timely preparation of reports.
RECOMMENDATIONS/ INTERVENTIONS
(i) To ensure effective implementation of the planned activities, the NPC structure was reviewed. The new structure has been approved and is being operationalised. The onus is now on NPC to focus on creating the necessary expertise in all critical areas so as to improve delivery on core mandate.
(ii) NPC should institutionalize a mechanism that would ensure that senior managers in OMAs are supportive and provide regular programme performance reports. Result based
248 management approach should be cascaded to personnel performance system to facilitate accountability and seriousness towards implementation of development programmes.
(iii) Efforts to improve the capacity of the Central Bureau of Statistics would improve timely collection of data in response to national monitoring plans.
Budget execution (N$)
Programme Budget Expenditure % allocation Development Planning 15 339 000 11 789 555 77% Development Cooperation 27 089 000 25 819 116 95% Production of Official Statistics 75 994 000 68 469 834 90% Commission-wide 15 590 000 12 522 033 80% Total 134 012 000 114 600 536 88%
Explanation for variances
The National Planning Commission execution rate is 86% due to the fact that some of the appropriated funds were not utilized due to delays in tender processes and getting right consultants.
With respect to under spending under other services and expenses, the CBS had budgeted for some consultancies, workshops and trainings. The CBS was fortunate to source consultancy services both to support policy development and actual production from Development Cooperating partners, thus generating relative savings. In the area of training the Lux- Development and UNDP have taken over the funding of training for the CBS staff. In other words, the Government contribution to training financing was drastically reduced.
Capital Projects 2010/11
Name of project Budget Actual % National Monitoring, report and Evaluation 2 500 000 2 134 773 86% System 2011 Population and Housing Census 42 319 000 38 810 557 92% Namibia Household Income and Expenditure 11 700 000 11 700 000 100% Survey Implementation of Geographical Information 5 000 000 4 989 109 100% System Total 61 519 000 57 634 438 Aver
249 94%
Explanation of variances
The total amount of N$ 61,519,000 was allocated for development projects of which N$ 57,634,438.16 was spent giving the total variance of N$ 3,884,561.84. The financial execution rate for 2010/2011 on the capital projects was 94%.
Spending in the NHIES Project.
As expected, all activities under this project was carried out. Most of the activities was completed by June 2010 and the execution rate is 100%. The 8% under spending in the Census Project.
Due to resource constraint more especially vehicles, it was expedient to significantly delay the start of the Census field mapping operations until such a time when the vehicles stock are released from the NHIES field operations. As a result the implementation of the census mapping was slowly and carefully phased – in a staggered manner. This has generated some degree of under expenditure of 8%.
250
Revenue description Main Outturn % Estimate
Sale of Planning documents 30,000 28 430 94% Sale of Statistical Documents 20 000 3 823 19% 51 554 Private Telephone Calls 4 000 2 786 0.7% Miscellaneous 80 000 523 537 654% Total 134 200 555 818 415%
Revenue Collection 2010/2011
Explanation for variances
Sale of planning documents
The Sales of Planning Report was estimated due to previous year‟s trend, where the sales of planning report was very slow and we estimate it could be the same this year.
Sale of Statistical Documents
Few Statistical Documents were sold, this could be due to the fact that the public is not really aware of this document
Private Telephone Calls
Revenue from Private Telephone calls is below expectation due to implementation of providing credit limits to all the staff members of NPC.
Miscellaneous
Miscellaneous is made out of any payments such as rental fees for use of the Auditorium, recoveries from staff for overpayment and any loss of GRN items, and proceeds from elsewhere to NPC. The large amount is as a result of repayment from Bank Windhoek for a guarantee on a contractual agreement that was not completed as agreed.
251 MINISTRY OF YOUTH, NATIONAL SERVICE, SPORT AND CULTURE
Vote 27
Overall Summary
The Ministry committed itself to ten (10) Ministerial targets and progress have been made on all this targets and they will be met by the end of the MTEF period. However, delays in finalisation of feasibility studies and documentation, and late appointment of contractors hampered the implementation of capital projects during 2010/11 financial year and as a result there was a slow progress on target 1 and 5 respectively. The low expenditure outturn on the development budget should not necessarily be indicative about the low performance by the Ministry but rather a procedural aspect regarding the implementation of capital projects.
A remarkable achievement of 99% on the operational budget and 88% of revenue was recorded for the financial year 2010/11. Trainining of sub-receiver of revenue, proper management of resources, monitoring and auditing resulted in improved revenue collection for the State.
The Ministry further recorded significant national events such as the first ever National Consultative Youth Conference, Namibia‟s participation in the Commonwealth Games in India and Singapore, Hockey World Championship, culture & arts events. The Ministry will strive to improve performance with the approval of the proposed Ministerial structure, Headquarter construction and increase of the budgets ceiling.
Summary of Revenue (N$)
Revenue description Estimates Outturn Collections as % of Budget Private Telephone Calls 220 0 0 Unclaimed cheques 14 000 74 802 534 180 000 Miscellaneous 180 000 318 264 177 65 Sport Stadiums 65 000 11 700 18 Youth Centres 1700 000 1 464 213 86 College of the Arts 230 000 104 230 45
252 Culture Centres 245 000 179 850 73 Total 2 434 220 2 153 059 88
Explanation for variances 2010/11
Private Telephone Calls No collections are recorded for the financial year under review. The Ministry will put measures in place to strengthen the system to recover the cost incurred on private telephone calls.
Unclaimed cheques The collections under this revenue head represent cheques issued during 2009/10 financial year and not cashed but only returned to the Ministry for cancellation during 2010/11 financial year.
Miscellaneous This revenue head caters for any revenue that is not listed. The excess of N$138 000 is an overestimation as this type of revenue collection is un-predictable.
Sport Stadiums Less revenue was collected for the period as anticipated, because renovations on the Independence Stadium were not completed in time to accommodate the German Soccer
Team to camp in Namibia in preparations for 2010 FIFA World Cup hosted in the Republic of South Africa.
Youth Centres
Less revenue was collected because Katima, Mariental, Rundu and Outapi centres were under construction and training such as training on computer, tailoring, gym and music activities did not take place. Centres are utilized by the directorates within the Ministry at no cost.
College of the Arts
Collections under this revenue head depends on the number of registered students for different courses. Less revenue was collected during 2010/11 financial year because training such as cello, trumpet, violin and media arts were not offered due to limited skills in the Namibian market. Modern Music programme intake was put on hold pending accreditation. Student number increase was greater in the outreach programme than in the paid, course programmes.
253 Culture Centre
Collections of revenue under this revenue head are from Maria Mwengere Culture Centre for renting out of accommodation, letting of the conference and dining hall, use of kitchen and use of garden for events. Less revenue was collected during 2010/11 financial year because the centre was partly under renovation, therefore the demand for the use of the facility was low.
Expenditure Outturn (N$)
Programme Budget Outturn Expenditure as a % of Budget Youth Development 238 978 235 268 98 Sport 67 197 66 254 99 Arts 50 755 50 176 99 Culture 54 252 54 113 100 Total 411 180 405 811 99
Explanation for variances
Youth Development The under spending of 2% is attributed to vacancies of registered nurses and social workers that could not be filled because of lack of legal provisions for the clinical operation of the centres.
Sport The 1% variance is attributed to the vacancies that could not be filled during the year under review.
Arts The 1% variance is attributed to furnitures for the planned vacant positions that were not purchased due to the lack of office space. The scheduled national arts conference could not take place as preparations were not finalised, therefore funds could not be utilised because of the postponement of the conference.
254
Development Budget
Programme Budget Outturn Expend. as % of Budget Youth Development 33 580 16 465 49 Sport 9 000 5 364 60 Arts 3 000 1 477 49 Culture 2 500 1 295 52 Total 48 080 24 600 51
Explanation for variances
Youth Development 51% variance is attributed to delays in completion and non appointment of contractors for the following projects: Gobabis, Otjinene and Maria Mwengere Multipurpose Youth Resource Centres.
Sport variance of 40% is ascribed to the following reasons:
Sub standard fencing materials ordered for Swakopmund Sport Complex. Eenhana Sport Complex phase 2 could not be completed on time as per contract agreement due to lack of equipments and less personnel on site. Commencement of Windhoek Sports Training Centre construction is further delayed because of the land issue which is still under discussion with the City of Windhoek.
An art Variance of 51% which was on Boiler House Theatre and the National Theatre of Namibia as well as National Arts Gallery.
Culture The under spending of 48% is attributed to non completion of feasibility study for Brandberg National Monument and documentation for Omuthiya Multi-Purpose Cultural Centre.
Ministerial targets
Target 1 – Sixteen (16) operational youth centres
255 Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast
16 13 14 15 16 16
The target is measured at practical completion of phase 1 of a Multi-Purpose Youth Resource Centre (MPYRC) with the following facilities: administration block, conference and ablution facilities.
The Ministry managed to successfully complete the Rundu Multipurpose Youth Resource Centres during 2010/11 Financial year. The Target of 16 operational Youth Centres for the MTEF period will be met after completion of phase 1 of Gobabis Multipurpose Youth Resource Centre.
Target 2 – Ten thousand nine hundred (10 900) employable skilled youth
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast
10 900 5 156 7 631 9 100 10 000 12 000
The target measure is based on the accumulative annual enrolment and completion rates at the Youth Skills Training Centres and MPYRCs. The Ministry made progress through on-going training programmes in tailoring and computing (190), youth skills training (Kai //Ganaxab - 240 and Okahao – 80), Youth credit scheme (959). The target is well on track and will be reached by the end of the MTEF period.
Target 3 - Two thousand two hundred (2 200) economically active/self-employed skilled youth
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast
2 200 1 700 2 200 3 500 4 500 5 600
This target is measured by accumulative number of unemployed youth receiving training in business management and thereafter they apply for loans to start their own businesses. The target has been exceeded through the replication of the programme to additional Regions of Otjozondjupa (280), Kavango (250), Caprivi (220), Omaheke (200) and Kunene (350) with
256 an increase of loan recipients. The target for 2010/11 financial year is exceeded, and thus the target for the MTEF period will be overwhelmingly exceeded.
Target 4 - Development of at least thirty three (33) sports codes in the regions
Target 2008/09 2009/10 2010/11 2011/12 2012/2013 Actual Actual Actual Forecast Forecast
33 22 25 30 31 33
The target measure is based on the number of regional sport codes registered and affiliated to the recognised national federations/associations. The development of sport codes is not necessarily done by the Directorate of Sport, but also by organizations which receive funding through the Directorate such as NSSU, TISAN, NAWISA, DSN and the federations/associations of various sport codes.
The Programme is doing well with regard to the development of the sports codes in the regions. This is because of the efforts by the SOE‟s under their development programmes to introduce more codes in the regions. During 2010/11 financial year five new sport codes including; gymnastics, hockey, cricket, wrestling and rugby were developed in Otjozondjupa, Kunene, Karas, Caprivi and Kavango regions. Namibia has shown that it has potential in these codes and if developed properly it will make strides internationally. The target will be met by the end of the MTEF period.
Target 5 - Eleven (11) sport facilities constructed
Target 2008/09 2009/10 2010/11 2011/12 2012/2013 Actual Actual Actual Forecast Forecast
11 8 8 8 8 11
The target measure is based on the practical completion of a sport facility with the following components: pavilion with ablution blocks, standard soccer field with an athletic track, netball, volleyball and basketball courts, caretaker house and dressing rooms.
The programme is progressing slowly with the construction of Swakopmund Sport Complex because of sub standard fencing materials ordered. Eenhana Sport Complex phase 2 could not be completed on time as per contract agreement due to lack of equipments and less personnel on site.
257 The commencement of Windhoek Sports Training Centre construction is further delayed because of the land issue which is still under discussion with the City of Windhoek. Due to the reasons as advanced, the progress in meeting this target is slow. Efforts will be made by the Programme to ensure that the target is met at the end of the MTEF period.
Target 6 – Nine thousand (9 000) human resources, elite and professional athletes
Target 2008/09 2009/10 2010/11 2011/12 2012/2013 Actual Actual Actual Forecast Forecast
9 000 1 820 3 030 3 574 3 600 3 650
The target measure is based on sport human resource (such as managers, coaches, referees/umpires, medics etc) acquiring qualifications set by the national and international sporting bodies. The elite and professional athlete‟s measure is based on all athletes competing at continental and Inter-Continental, Commonwealth, Olympics, Paralympics and World Championships. This target measure is also based on all sports men and women that earn a living from sport activities.
The target for the MTEF period was erroneously recorded as 9000 instead of 3 650.The target for the MTEF period will be met, however according to research done by our stakeholders it was shown that despite the increase from 2009/2010 – 2010/2011 the total growth will decrease due to the high international qualification standards set by international sport organizations and the number of athletes retiring. A significant decrease in total numbers of human resource, elite and professional athletes is anticipated. Therefore the amount of people that were trained will also be monitored during 2010/2011 financial year by the stakeholders to ensure that they are active in their sports codes.
Target 7 – Sixty eighty thousand (68 000) people have access to arts activities and services
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast
68 000 53 190 60 000 80 000 100 000 120 000
The measure is based on data collection from the Ministry‟s own Arts centres as well as its key stakeholders.
The programme has done exceptionally well and reached 80 000 people participating in arts activities and benefiting from grants (526) as a result of the establishment of the Arts Council,
258 the increase in local authority initiatives, participation in expos (10) and new networks (9) established, such as the Namibia Choral Network and others. The target will be overwhelmingly exceeded by the end of the MTEF period.
Target 8 – Two thousand (2 000) arts organisations and individuals absorbed in the arts industry.
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast
2 000 735 780 830 850 900
The measure is based on project requests approved and funded through the NACN, Namibia Choral Network, School and Community Support Programmes as part of normal functions of the Arts Programme.
The target has been erroneously recorded, therefore the correct target for the MTEF period is 900 as reflected in PEMP measures. Therefore, the target of 900 will be met by the end of the MTEF period.
Target 9 – Four hundred thousand (400 000) people attending & participating in culture events and programme
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast
400 000 202 599 264 000 323 000 350 000 400 000
The target measure is based on the number of people attending the festivals.
The 323 000 people attended and participated in culture events and programmes during the financial year 2010/11. This represents an increase in attendance of 22% from 2009/10 to 2010/11 financial years. The increase is attributed to the appointment of more Culture Officers which led to efficiency in the organization of events. The programme is progressing well and will meet this target by the end of the MTEF period.
259 Target 10 – One hundred and ninety one thousand two hundred eighty two (191 282) people who visit museums, monuments and national heritage sites.
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast
191 282 317 986 174 093 153 157 200 000 220 000
The target measure is based on the actual number of people visiting museums, monuments and heritage sites.
The target for 2010/11 was based on the statistics of 2009/10 financial year. However, there was a decrease in the number of visitors and tourists due to international economic crisis which was not anticipated. The target is well on track and it will be exceeded at the end of the MTEF period.
State Owned Enterprises and Funds (SOE): 2010/2011 (N$ 000)
Programmes Funds Transferred Expenditure Balance Youth I56 704 101 661 55 043 Development Sport 23 691 23 691 0 Arts 12 926 12 926 0 Culture 6 472 6 472 0 Totals 199 793 144 750 55 043
SOE Activities And Achievements 2010/11
Programme 1: Youth Development
National Youth Service (Nys)
Subsidy transferred: N$147 811 000.00 Expenditure: N$92 768 000.00 Balance: N$55 043 000.00
Activities and Achievements Agricultural Activities (Planted: 266.46 hectares at Berg Aukas,Rietfontein and Omauni,Harvested: 265.15 tonnes of maize,6.45 tonnes of millet,5.4 tonnes of
260 sunflower,400 kg of white sorghum,200 kg of white beans and 1.4 tonnes of groundnuts. Sold 185.7 tonnes of maize to Government and 32.10 tonnes to Namib Mills). Stocking of NYS farm Germsbokpan (Purchased 312 cattle) Hentiesbay Project (Horticulture pilot project) Establishment of Regional Youth Employment Projects Eunda Project (Horticulture farming) Employment of Youth for Debushing Activities (71 trainees Omauni have commenced with debushing). Noordoewer Project
National Youth Council Subsidy transferred: N$8 893 000.00 Expenditure: N$8 893 000.00 Balance: N$0.00
Activities and Achievements International Festival of Youth and Students held in Johannesburg, South Africa. National Youth Week/Festival held in Keetmanshoop, Karas region. Regional training workshops on youth leadership World Assembly of Youth International Youth Dialogue -Maleka, Malaysia. Appointment of Regional Youth forum chairpersons attached to the regional offices of the MYNSSC. Hosting of the General Assembly of the Council. Launching of the youth mushroom cultivation and brick-making projects in Usakos 215 youth benefited from the Credit for Youth in business
Programme 2: Sport
Namibia Sports Commission: 2010/2011 Subsidy transferred: N$5 671 000.00 Expenditure: N$5 671 000.00 Balance: N$0.00
Activities and Achievements Launching of Dr. Sam Nujoma Windhoek Marathon on 10 August 2010. Launching of MTC/NSC Sports Awards Participation in the Commonwealth Games October 2010 in Delhi, India (One (1) Silver and two (2) bronze medals).
261 Participation in 2010 Youth Olympic Games – Singapore (Three (3), one (1) silver and th two (2) bronze medals).Team Namibia was ranked 28 overall at the games. Participation in Zone Six U/20 Youth Games 2010 - Swaziland (Two (2) gold, Nine (9) silver and 13 bronze medals).Team Namibia ended 6th overall.
Namibia Football Association
Subsidy transferred: N$8 700 000.00 Expenditure: N$8 700 000.00 Balance: N$0.00
Activities and Achievements Participation of Brave Warriors in African Cup of Nations qualifying matches. Participation of senior women team in international games against countries like Nigeria, South Africa and Angola. Hosted training for Coaches Participation of U/20 (silver medal) and U/17 at youth tournaments in Ghana, Botswana and South Africa. Soccer development programmes organized.
National Rugby Union Of Namibia Subsidy transferred: N$800 000.00 Expenditure: N$800 000.00 Balance: N$0.00
Activities and Achievements Preparation and Qualification for the Rugby World Cup 2011, New Zealand. Secured puma as kit sponsor Inclusion in the South African Vodacom Cup Senior National team won three Vodacom matches National Sevens team qualified for the Common Wealth Games, India. National Sevens team invited to Kenia in June 2010 National Senior 15 man side won the IRB Nations Cup
Namibia Women In Sport Association (Nawisa)
Subsidy transferred: N$473 000.00 Expenditure: N$473 000.00 Balance: N$0.00
262 Activities and Achievements Establishment of Ohangwena Women Soccer League Donations soccer kit, balls and whistles to Ohangwena Women Soccer League. Donations of balls, whistles and funding for the Season Closing Ceremony at Kapako constituency. Participation of Kavango Region in young and girls live soccer tournament under NFA Women Soccer desk. Donation of N$1 000 Kavango region towards Sport Awards Agreement concluded with SCORE to use NAWISA office at Ekongoro in order to improve the rendering of services to the Women and Girls who wish to participate in sport at development level. Qualification of two players from Kavango Netball Association to the national team. Mobilization of Women Ruby team among the girls in Karas region.
Namibia Professional Boxing And Wrestling Control Board (Npbwcb) Subsidy transferred: N$1 337 000.00 Expenditure: N$1 337 000.00 Balance: N$0.00
Activities and Achievements Hosted training and development programmes for boxing supervisors, referees/judges, managers/coaches and ring officials. Organized boxing competitions and providing training equipment to amateur boxing. Five Namibian boxers holding continental championship titles.
Tertiary Institute Of Sport In Namibia (Tisan)
Subsidy transferred: N$2 135 000.00 Expenditure: N$2 135 000.00 Balance: N$0.00
Activities and Achievements Participation of 190 student athletes in different sport codes at the CUCSA Zone VI games hosted Botswana, 03-11 July 2010. Team Namibia ended 3rd overall. Qualification and Participation of male Soccer for the World Student Games 2011 in China. Opportunities given to student athletes to develop into elite athletes for international participation for the national team.
263 Namibia Schools Sport Union (Nssu)
Subsidy transferred: N$3 075 000.00 Expenditure: N$3 075 000.00 Balance: N$0.00
Activities and Achievements Hosting of the COSSASA Athletics and won the competition. Co-hosted the Southern Africa Youth Athletics Championship. Team Namibia ended 2rd overall from thirteen countries that participated (3 gold, 3 silver and 10 bronze medals). Qualification and participation of two athletes at the Youth World Championship in France. Twenty five teachers attended the NVF umpires course level 1 & 2: Best male and female umpires in the country. Development of Sport in all 13 regions. Participation in 11 competitions hosted in South Africa (3 gold, 2 silver and 2 bronze medals).
Disability Sport Namibia (Dsn) Subsidy transferred: N$1 500 000.00 Expenditure: N$1 500 000.00 Balance: N$0.00
Activities and Achievements Participation at the African Athletic Championship and World Athletics Games (5 gold, 3 silver and 3 bronze medals). Hosted Football Coaches clinic and 5 a side unified tournament at Katutura football for Hope centre, 23-28 August 2010. Certificates were given to the participants who successfully completed the training. Hosted National Special Olympics Games in Windhoek, 14-17 September 2011, which attracted about 150 athletes from all regions, family and special invited guests of honour. Hosted World AIDS day tournament at Katutura Football for Hope Centre, 01 December 2010, with 300 participants. Hosted Coaching Training at Maria Mwengere Training Centre, Rundu, 23-26 March 2011 attended by 35 participants which included coaches, teachers and volunteers from Kavango region. 35 coaches were certified.
264 Programme 3:Arts
National Arts Council Of Namibia (Nacn)
Subsidy transferred: N$2 458 000.00 Expenditure: N$2 458 000.00 Balance: N$0.00
Activities and Achievements Payment of fees for artists to perform at Annual /Ae //Gams Arts and Culture Festival organised by the City of Windhoek. Payment of fees for local artists who participated in the Old Mutual Jazz Festival. Sponsored two awards at Namibia Music Awards organised by MTC and NBC. Contributed to Namibia Rock Music organized by the Windhoek Show Society.
National Theatre Of Namibia (Ntn)
Subsidy transferred: N$6 035 000.00 Expenditure: N$6 035 000.00 Balance: N$0.00
Activities and Achievements Diversification of programs and audience. Recorded an increase in collaborations and own productions such as: Artbeat – Schools Holiday Program (training for 35 young artists), Sistah Thang (training for 69 artists), the National Theatre & Film Awards and Premier Productions. Increase in the number of audience at the Theatre Improvement of Communication and HR tools and systems. Training courses offered in Light & Sound Engineering attended by 12 students in collaboration with DB Audio. 16 485 people attended 57 Productions held at the NTN. New vehicles acquired
National Arts Gallery Of Namiba (Nagn)
Subsidy transferred: N$3 933 000.00 Expenditure: N$3 933 000.00 Balance: N$0.00
265 Activities and Achievements Documentation of artists skills on video (Peter Mwahalukange: printmaking (Oshana Region April 2010); Albertina Kalofa: basketry and weaving (Oshana Region April 2010) and Magdalene Hartung: crafts (Karas Region September 2010). Mobile exhibition system (MES) programme visited schools, institutions and residencies (two schools in Oshana Region in April 2010 and 10 schools and centres in the Karas region). Exhibitions held in 2010: - April : JMAC final year students; - May : World Red Cross week Exhibition; - June : Adolph Jentsch & Fritz Krampe; - July : The Public Affairs of United State of America JAZZ Exhibition.
John Muafangejo Arts Centre (Jmac)
Subsidy transferred: N$500 000.00 Expenditure: N$500 000.00 Balance: N$0.00
Activities and Achievements Hosted a building workshop exhibition and two workshops on design Management - Mentorship Programme – Strategic Intent (31 artists participated). Conducted workshops in partnership with Namibian visual arts, craft and design related organisations (Penduka, Ohandje Cooperative, Kalahari Wild Silk, Otweya, Art and Crafts, Okahandja Fine Arts, COTA, Pambili Youth Designers and the Photographic Society Namibia (PSN).
Programme 4: Culture
National Heritage Council Of Namibia (Nhc)
Subsidy transferred: N$5 109 000.00 Expenditure: N$5 109 000.00 Balance: N$0.00
Activities and Achievements Upgrading the first phase of the Old Location Mass Grave Fencing of staff Dormitories at Petrified Forest Rehabilitation of ablution facility at Head Office and training of staff.
266 Pan Afrikan Centre (Pacon)
Subsidy transferred: N$771 000.00 Expenditure: N$771 000.00 Balance: N$0.00
Activities and Achievements Viewing of Documentaries Africa Day successfully organized Day of the African Child organized PACON Post Humous African Icon Award Ceremony Film viewing and sustaining the new wave of Pan Africanism workshop.
Museum Association Of Namibia
Subsidy transferred: N$592 000.00 Expenditure: N$592 000.00 Balance: N$0.0
267 ELECTORAL COMMISSION
Vote 28
Overall Summary
The Electoral Commission of Namibia is continuously making concerted efforts to increase citizens‟ awareness of the democratic processes through its voter education programme. During the year under review the Commission has successfully conducted 2010 Regional Council and Local Authority elections.
Ministerial Targets
Ensure that all by-elections are carried out within 90 days after occurrence of vacancy.
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast Within 90 Within 90 Within 90 Within 90 Within 90 Within 90 days days days days days days
There were no by-election held during the year under review. All by-elections would be held within 90 days from the date the position of Councillor became vacant in the respective constituency as stipulated in the Electoral Act, (Act no. 24 of 1992).
The target could be met if there was an occurrence of any vacancy in any constituency as stipulated in the Electoral Act, (Act no. 24 of 1992).
Register 96% of persons who become eligible for voting before 2010 elections.
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast 96% by 77% 90% 97% 97% 97% 2010/11
The Namibian population is estimated to have reached the figure of 2 184 091 by 2010. Of this figure, 1 180 925 were registered as voters during 2010 Regional Council and Local Authority elections while 967 712 were assumed to be under 18 years of age (Namibian Central Bureau of Statistics, CBS, January 2006). The estimated population 18 years and above in 2010 is assumed to be 1 214 374.
268
The target was met during 2010/2011 due to comprehensive voter education carried out in all the 107 Constituencies.
Increase level of understanding of eligible voters of democratic process to 96% by 2014 elections
The ECN launched a rigorous Voter Education campaign prior to the 2010 Regional Council and Local Authority elections which resulted in 1,180 925 and 418 292 people being registered as voters in Regional Councils and Local Authority elections respectively. Out of that figure, 452,915 had cast their votes in the said elections, representing 38% of the total number of registered voters.
The ECN has prepared Terms of Reference for the Baseline Survey but could not secure a suitable company to carry out the survey as planned to measure the success of the following objective:
Level of understanding of democracy and democratic processes. Level of public and voter confidence in the electoral system.
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast 96% by 2014/15 85% 85% 71% 90% 90%
Other main indicators
Indicator 1 Public Confidence
The ECN consider information dissemination to the electorate as a strategic initiative in building confidence in the election process. To this end, ECN has extended the contract of 13 Regional Voter Education Officers and 107 Assistant Voter Education Officers to serve another 12 months in January 2010 until 31 December 2010 due to timeframe as the ECN was preparing for the 2010 Regional Council and Local Authority Elections.
The voter education officers and assistant voter education officers conducted voter education through meetings, information sessions and community discussions in the constituencies and throughout the regions. It is through these meetings and discussions that ECN measures the public confidence in the electoral process. Furthermore discussions and debates on electoral processes are facilitated through the media: radio (call in programs) and print media
269 (newspapers). Moreover, the political tolerance demonstrated by electorate and readiness of political parties to accept the outcome of elections is a definite benchmark for public confidence.
Budget execution (N$)
Programme Budget allocation Expenditure % variance 1. Holding of Elections 165 856 000 140 731 750 15 2. Voter Education 16 142 000 16 141 921 0
Total 181 998 000 156 873 672 15
Explanation for variances
The favourable exchange rate during the payment of the Electronic Voting Machines resulted in savings.
The acquisition of the tents which were supposed to be used during the 2010 Regional Council and Local Authority elections was delayed due to unavailability of stock at the time when they were needed.
The Ministry of Works and Transport failed to sign the lease agreement with the City of Windhoek during the year under review. As a result, the City of Windhoek could not provide the invoices for the purchase and lease of the land.
The additional funds requested for the construction of ECN Head Quarters could not be utilised due to the fact that the anticipated additional requirements for the electrical installation could be accommodated within the original contract value.
Another big portion of savings on the construction of ECN Headquarters was realized on the costs for the aluminium windows and doors installation which was less than anticipated.
Capital Projects 2010/11 (N$)
Name of project Budget Actual Construction of ECN Head Quarters 39 592 000 24 540 690
270 Explanation of variances
The lease agreement between Ministry of Works and Transport and City of Windhoek was not signed, therefore the City of Windhoek could not issue the invoice for payment of lease and purchase of land. Aluminium windows and doors installations were cheaper than anticipated. Additional funds were requested for the electrical installation.
Revenue Collection 2010/11 (N$)
Revenue description Main Outturn Estimate Deposits made by political parties 10 700 30 101 Miscellaneous 100 5 746
Total 10 800 35 847
Explanation for variances
The variance of N$25,047.25 is as a result of refer-to-drawer cheques for 2008/09 financial year recovered during the year under review. More political parties registered to participate in the 2010 Regional Council and Local Authority elections than anticipated.
271 MINISTRY OF INFORMATION AND COMMUNICATION TECHNOLOGY
Vote 29
Overall Summary
The Ministry of Information and Communication Technology has a mandate to lay foundation for the accelerated use and development of ICT in Namibia, and coordinate information management within Government.
In spite of the economic down turn across the globe, and putting into consideration issues of limited resources in the Government, the overall performance of the Ministry for the period under review was satisfactory.
Included on this report is the budget execution on the achievements; challenges that caused variances and recommendations made for all the ministerial programmes/targets as well as revenue collected. Also, highlighted on this report is the information on how transfers to the State Owned Enterprises were executed as well as their investment plans.
Ministerial targets
Target 1 2008/9 2009/10 2010/11 2011/12 2012/13 2013/14 Actual Actual Forecast Forecast Forecast Forecast Ensure 80% access to GRN information 50% 60% 65% 70% 75% 80% materials by 2013/2014
This target is measured against people that have access to printed and audio-visual information, radio, television, video shows and information sharing sessions/workshops/groups. A target of 65% was met.
272 Target 2 2008/9 2009/10 2010/11 2012/12 2012/13 2013/14 Actual Actual Forecast Forecast Forecast Forecast Publish and distribute 18 6 6 6 6 6 6 issues each for both Namibia Review and GRN Information Bulletin by 2013/14
This target is measured against a number of Namibia Review and GRN Information Bulletin published and distributed each financial year. A target of 6 for both issues was met.
Target 3 2008/9 2009/10 2010/11 2011/12 2012/13 2013/14 Actual Actual Forecast Forecast Forecast Forecast Ensure 60% of the population understand 20% 30% 35% 40% 50% 60% GRN policies and programmes by 2013/2014
This target is measured by % of population which understand GRN policies and programmes. A target of 35% was met through outcome of 200 assessment questionnaires filled at the end of 62 video shows and 13 road shows conducted in various regional constituencies. Advertisements were placed in different newspapers to sensitise the public on national events. Media releases on decision taken by Cabinet were prepared and disseminated to the media, regional and local authorities and Namibian mission abroad.
Target 4 2008/9 2009/10 2010/11 2011/12 2012/13 2013/14 Actual Actual Forecast Forecast Forecast Forecast Support 26 Multi- Purpose Community 6 2 2 6 2 0 Centres by 2012
This target is measured against the number of Multi-Purpose Centres supported until 2012. The Ministry supported two centres during the period under review. A target in terms of consultation with regional leadership and communities, feasibility studies and procurement of the equipment‟s such as multi-media projectors, solar systems and accessories was met.
273 Target 5 2008/9 2009/10 2010/11 2011/12 2012/13 2013/14 Actual Actual Forecast Forecast Forecast Forecast Development of local film industry by 4 4 4 4 4 4 producing 10 short films by 2014/2015
This target is measured against a number of local films developed per financial year, 3 short local films and 1 feature film namely: I am My father‟s my son, The Tie that Binds, and Generation Kills were developed during the period under review
Budget execution (N$ 000)
Programme Budget Allocation Expenditure % Variance Media Accessibility 82 578 64 296 23% Disseminating GRN activities & policies 28 000 27 960 1% Information, Education and Communication 9 968 9 868 2% Media Sector benefit the Namibian Economy 124 442 124 442 0% Increasing the use of ICT 6 499 6 424 2%
Total 251 487 232 990 8%
274 Explanation for variances
Media accessibility
The process of constructing Head office and regional offices remain at documentation stage. Although there is an under-spending this was attributed to the replication of one building plan to all regional offices.
The process of constructing Head office and regional offices involves various role players and chain of activities and this causes delays.
Disseminating GRN policies and programmes
All payments were done based on invoices submitted. The remaining amount of N$40 000.00 was due to the fact that invoices amounts was lower than quoted.
Information, Education and Communication (IEC)
Since payments are done on exact amounts as indicated on invoices, it is not possible for the budgeted amount to be spent in whole. Therefore an amount of N$100 000.00 was left unspent.
Media sector benefit the Namibian economy
All the appropriated funds were transferred to the Parastatals upon receipt of expenditure reports per each disbursement of funds. There is no variance.
Increasing the use of Information Communication Technology
Payments were done based on exact amounts as reflected on invoices and this led to an amount of N$75 000.00 being left unspent.
275 Budget Execution Capital Projects
Expansion of NBC transmitter network and Upgrading of NBC Studios
Outcome Outputs Key Activities Status/Progress Increased Radio Expanded Installation of 13 stations No of Stations installed = and TV coverage transmitter increasing radio 9 countrywide network coverage from 94% to No. of stations upgraded 98% and TV coverage = 5 from 64% to 86% Upgrading of existing stations Second TV Analysis of NBC NBC is currently busy channel existing network and with implementation of (replaced by infrastructure the DTT-project (phase DTT-project) Feasibility to reuse the 1). existing system and make necessary amendments to accommodate the DTT infrastructure. Undertake detailed interference analysis studies between the proposed DTT and existing analogue transmitters Networks. Costing Analysis for both current and future infrastructure (replacement and Compatibilities).
Upgraded Digitalisation of all 14 All 14 broadcasting broadcasting broadcasting studios studios have been studios digitalised. Performance exceeded the target.
276 Indicators Baselines Targets Progress Radio coverage of total population (%) 94 98 99% TV coverage of total population (%) 64 85 82% Second channel coverage of total 0 60 5% population (%) Replaced by DTT- Project
In terms of radio coverage the progress exceeds the envisaged target for the mid-term review period. It is anticipated that by the end of the NDP3 period radio coverage as percentage of the total population is to be 100%.
The progress in terms of TV coverage exceeds the envisaged target for the mid-term review period.
The DTT-project is progressing well - The DTT contract has been signed and NBC is busy upgrading 11 analogue transmitters to comply with DVB-2.
The tender process has been complex involving digital terrestrial transmission equipment and implementation partners.
The SADC deadline for DTT switchover is by end 2013 and the international deadline is 2015.
Timing of cash flows – mismatch between when funds are needed and when funds are available.
MICT Head Office and Regional Offices
The process of constructing Head office and regional offices remain at documentation stage as it involves various role players and chain of activities. Invoices for payment from various role players have to go through ministry of Work and this causes delays.
Audiovisual Network Consolidation
A target to support two centres under the period under review was met.
The establishment of MICT does not make provision for occupational class (Project Management) specifically tasked with a responsibility to effectively and systematically plan, implement, and monitor and evaluate projects.
277 The project implementation is left to media officers who lack project management training or experience. Retention of experienced and skilled people is a challenge since salaries are not competitive.
Project Job Profiles Proposal was drafted via the HR office and submitted to Public Service Commission (PSC) for recommendation so that project profiles could be introduced into the job categories. Response is still awaited from PSC.
Revenue Collection (N$)
Items Budget (from detailed Revenue collected Revenue as % of estimates) Budget Sale of Photos 6 000 189 135 3152% Sales of Constitution 3 600 5 975 166% Namibia Review 2 600 2 392 92% Miscellaneous 60 000 253 321 422% Total 72 200 450 823 624%
Sale of photos More than 100% on the estimated revenue on sale of photos was achieved mainly during the Ongwediva Trade Fair and Windhoek show.
Sale of Constitution More than 100% on the estimated revenue on sale of Constitution was reached. The Namibian Constitution copies are provided free by other O/M/As and this leads to a decline in sales on some of the reporting periods.
Namibia Review Gathering and compilation of information, articles and photographs were completed and edited; the publication was printed and distributed.
Miscellaneous Most of revenue generated was from the hiring out of the Public Address System to private companies and individuals and as a result, the estimated budgeted amount was exceeded.
MICT‟s main revenue is generated through the hiring out of the PAS, which is ageing and there is a concern that the demand for hiring it out might decline since it needs to be repaired
278 from time to time. Also, there are many competitors on the market with Good quality Public Address Systems. New Public Address Systems are necessary provided possible additional funding is granted by MoF.
SOE performance versus O/M/A programs
NBC The corporation has informed, educated and entertained the Namibian public through radio and television broadcasts. All appropriated funds earmarked for the Namibia Broadcasting Corporation was transferred based on expenditure reports received. There is no balance to date.
New Era New Era and NamZim has gained market share by readership. All appropriated funds earmarked for New Era and NamZim were transferred based on expenditure reports received. There is no balance to date.
NAMPA
Programme 1:
This programme covers the core operations of NAMPA, i.e. To produce, collect and disseminate news and information to local, regional and international subscribers To ensure that the media is accessible to all To improve understanding of government policies
NAMPA has continued to promote GRN policies and programmes nationally and internationally through the provisioning of news and information services.
It has continued to serve as a vehicle that offers a balanced image of Namibia to the outside world through the exchange of news with regional and international news agencies.
Through such news exchanges the Agency is promoting Namibia as a viable tourist and investment destination.
Locally NAMPA, has contributed to the socio-economic development of the country by providing news and information products to the local media in the whole country. Programme 2: The objective of this programme is:
279 To diversify and add value to existing commercial products To venture into new commercial projects in order to reduce dependency on government funding a) Multi-Media Mobile Services
In June 2010, NAMPA introduced the first fulltime multi-media news service by a national media institution, featuring local and international real-time, breaking news including news photos, news videos, sports and entertainment on mobile. In a country, where Newspapers, Radio and TV have yet to reach all corners of the country, this is a very significant development as it is helping to narrow the information divide between the cities, the rural and remote areas.
This service will be an ideal means at the disposal of the Namibian public to receive customisable news services at any place and at any time.
It will also be a very useful medium for our Government, to reach the people through public announcements, disaster management information and alerts.
It will also serve as the best advertisement platform for businesses and public institutions.
Rather than as a competing service, it will compliment other public media efforts to reach as many people in Namibia as possible there by contributing to the socio-economic advancement of our people. b) Printing Venture
This project has been under consideration for some time now but could not be implemented largely due to lack of funds.
While government made an allocation of N$4 500 000 towards this project in 2007, the funds were being released over a three year period at a rate of N$1 500 000 per annum.
Thus, by the time all the funds were released in 2010, the cost of implementation had gone up considerably. All appropriated funds earmarked for the Namibia Press Agency was transferred based on expenditure reports received. There is no balance to date.
280 ANTI-CORRUPTION COMMISSION
Vote 30
Overall Summary
In respect of the financial year 2010/11 the Anti-Corruption Commission had two programmes with a total budget allocation of N$36,786,000. On 30 December 2010, N$7,000,000 of the budget allocation was suspended and as a result thereof the Commission‟s budget was reduced to 29,786,000. .
Considering the status of the Commission as a young institution it performed well, spending within the total ceiling and good progress made towards achieving its Ministerial Targets. It is also pleasing to note that during the financial year under review there had been a considerable reduction in the number of complaints lodged with the Commission. In comparison with the 928 complaints received during the 2008/09 financial year the Commission received only 445 during the 2009/10 financial year and 297 within the 2010/11 financial year.
This can be attributed to actions taken by the Commission against culprits and the numerous educational campaigns conducted by the Commission. Despite the challenges the Commission faced during the financial year 2010/11 the Commission managed to recommend 55 cases for criminal prosecution to the office of the Prosecutor-General.
Revenue collection (N$)
Items Budget estimates Actual revenue Revenue as % of for 2010/11 collected during budget 2010/11 001 Unclaimed 1 200 - - cheques
002 Private 20 000 - - * telephone calls
003 Miscellaneous 3 000 98 357 0.33%
*No collection. However, there will be once problems with the equipment that was installed have been sorted out.
281 Ministerial targets
Target 1 – Create 90% investigative capacity within the ACC within the next two years.
Target 2008/09 2009/10 2010/11 2011/12 2012/2013 Actual Actual Actual Forecast Forecast
Create 90% investigative 83% 64% 86% 90% 90% capacity within the next three years
At the end of the financial year 2010/11 the ACC had managed to create 86% investigative capacity as it had 19 out of the possible 22 investigating officers on board.
Target 2 – Ensure that 75% of cases are concluded within the shortest possible period within the next twelve months.
During the financial year 2010/11 297 reports of alleged corrupt practices were received by the Commission. Of these reports only 190 (64%) were concluded within the shortest possible period of three months. The ACC is of the view that once it achieves its target of having 90% investigative capacity on board it will be able to improve on its service delivery with regard to the finalisation of cases within the shortest possible period.
282
Target 2008/09 2009/10 2010/11 2011/12 2012/2013 Actual Actual Actual Forecast Forecast
Ensure that 75% of 65% 65% 64% 75% 75% cases are concluded within shortest possible period within the next twelve months
Target 3 – Ensure that 2 systems/policies/practices prone or conducive to corruption are revised every year as from the 2009/10 financial year.
During the period under review the Commission recommended once again to the policy makers to regulate party political funding as it is conducive to corruption if there is no transparency and accountability in respect of such funding. The Commission also recommended that legislation be initiated to provide for adequate witness protection as people are reluctant to report corruption in the absence of such protection. It is therefore regarded by the Commission that the absence of such legislation is conducive to corruption.
Target 2008/09 2009/10 2010/11 2011/12 2012/2013 Actual Actual Actual Forecast Forecast
Ensure that 2 Not listed 2 2* 2 2 systems/policies/practices as target prone or conducive to corruption are revised every year as from the 2009/10 financial year
*Practices/policies in the process of being revised.
Target 4 – Ensure sensitisation of at least 75% of the population on corruption by 2012/13
283 During the 2010/11 financial year the Commission continued with its sensitization, advertising and media campaigns in an effort to increase the levels of public knowledge on corruption.
Public awareness raising events
One of its successful public awareness raising events was “The March against Corruption in Commemoration of the International Day against Corruption”, which took place in Otjiwarongo. It was well attended and served as a clear demonstration of the public support that the Commission is enjoying in its fight against corruption.
Partnership with the churches The Commission also continued to strengthen its partnership with the churches. A church leader seminar was conducted in Ongwediva. The aim with the seminar was to enlist the support of the church leaders in the north of the country in the fight against corruption so as to instil and enhance moral and ethical values in their respective communities. The Church Leader Committee developed a brochure on corruption from a biblical point of view, which was distributed to the participants that attended the seminar.
Billboards
The Commission experienced the billboards to be an effective way to raise awareness on corruption. Therefore, in addition to the billboards that were provided for in the Khomas Region at the Hosea Kutako International Airport and in Oshakati in the Oshana Region, the Commission provided, during the period under review, for a billboard in Walvis Bay in the Erongo Region and for one in Lϋderitz in the Karas Region.
Adverts in the print and electronic media Educational advertisements on corruption were disseminated throughout the period under review in an effort to curb corruption in different languages and through different radio stations such as NBC Radio, Kosmos Radio, Radio Energy and Radio Omulunga.
Promotional material Promotional items containing anti-corruption messages were also distributed throughout the period under review at workshops, seminars, trade fares and shows to raise public awareness on corruption and enlist public support in the fight against corruption.
Representation at Expo, Trade Fair and Show During the 2010/11 financial year the Anti-Corruption Commission was also represented at the Eenhana Expo, the Ongwediva Trade Fair and the Windhoek Show. The ACC managed
284 to have questionnaires completed at both these events to determine the effectiveness of its sensitization and educational campaigns.
Educational workshops
Educational workshops were held for officials of the Swakopmund Municipality, the Henties Bay Municipality, the Tsumeb Municipality, the Ongwediva Town Council, the Helao Nafidi Town Council, the Ondangwa Town Council, the Oshakati Town Council, the Opuwo Town Council, the Khorixas Town Council and the Otavi Village Council. Workshops were also held for NDF Senior Officers, Internal Auditors and Accountants from various ministries and for Teachers from the Oshakati Circuit.
Website
The Anti-Corruption Commission also continuously updates its own website so as to sensitise the public on its latest anti-corruption activities.
The sensitisation campaigns, billboards and website all assist to sensitise the public on corruption.
Target 2008/09 2009/10 2010/11 2011/12 2012/2013 Actual Actual Actual Forecast Forecast
Ensure sensitisation Not listed as Not listed 50%* 70% 75% of at least 75% of a target as a target the population on corruption by 2012/13. * Estimate based on feedback received, amongst others, during the campaigns conducted in the review period.
Target 5 – Conduct an anti-corruption survey every five years as from the 2010/11 financial year
The Anti-Corruption Commission contracted the Polytechnic of Namibia to assist the ACC Public Education Officials to conduct an urban corruption perception survey country-wide. Interviews were conducted with, and data were collected from, representatives of households in urban areas in all of the thirteen regions.
285 The purpose of the survey was mainly to establish the public‟s perception on the levels of corruption in the country; assess the public‟s understanding of what conduct constitutes corruption; analyse how the public responds to corrupt practices; and assess the effectiveness of the work of the Anti-Corruption Commission. Although opinion-based the data so collected will assist the Commission in planning its anti-corruption strategies and programs.
Target 2008/09 2009/10 2010/11 2011/12 2012/2013 Actual Actual Actual Forecast Forecast
Conduct an anti- Not listed as Not listed 100% 100% 100% corruption survey a target as a target every five years as from the 2010/11 financial year
Budget execution (N$)
% Programme Budget allocation Expenditure variance
Investigation of allegations of 17 872 000 14 498 738 19% corruption
Establish and implement 11 914 000 9 865 825 17% measures to prevent corruption
Total 29 786 000 24 664 564 17%
Explanation for variances
Investigation of allegations of corruption
The underspending on this programme during the period under review can mainly be attributed to the delay in the execution of the ACC‟s development project*.
286 Establish and implement measures to prevent corruption
The underspending on this programme during the period under review can mainly be attributed to the delay in the execution of the ACC‟s development project*.
Operational budget 2010/11 (N$ 000)
Budget allocation Expenditure % Variance 23 786 20 577 13,49%
Development budget 2010/11 (N$)
Budget allocation Expenditure % Variance 6 000 4 136 31%
*Despite numerous requests, the occupants of the houses on the state erven (on which the construction of the ACC Headquarters was supposed to have taken place ) were not relocated timeously by the Ministry of Works and Transport. As a result of the aforementioned the construction activities budgeted for could not commence during the period under review.
287 MINISTRY OF VETERANS AFFAIRS
Vote 31
Overall Summary
The Ministry of Veterans Affairs for the financial year 2010/11 Budget was allocated based on two programmes namely: Veterans Welfare and Development and Liberation Struggle Heritage.
Notwithstanding the numerous challenges such as the passing of the Veterans Bill (now the Veterans Acts, 2008), the drafting of a Strategic plan and recruitment of essential staff, the Ministry of Veterans Affairs is well on track to meet its three ministerial targets during the 2010/2011 financial year that is being reviewed.
Despite the achievement made in meeting its targets, the Ministry of Veterans Affairs experienced some challenges in having the identification of the site where the monument to be erected for it to be declare as a national heritage site by the National Heritage Council Monument Council. In other instances, the limited funding allocated to implement some of the programmes and project are challenges to fully implementation of these initiatives.
Performance budgeting posed some challenges as there is limited understanding on the methodology and scope of the concept. However these challenges are now being addressed. The fact that performance budget and line items budget are running concurrently, has resulted in some degree of perplexity. This has been evident in respect of allocation of expenditure to certain programmes. The issue is however being attended to and therefore the ministry is re- aligning activities so as to best-fit with the programmes and better accounted to individual programmes.
Finally the Ministry has managed to utilise the funds, for lump sum to one thousand veterans, subvention payment, and secure the appointment of administrative staff members, assets were acquired in the form of Vehicles, Furniture and other Office Equipment and secure office accommodations in all thirteen regions.
288 Ministerial targets Target 1. Number of Veterans Registered
Target 2010/11 2011/12 2012/13 2013/2014 Actual Actual Forecast Forecast 15,000 40 000 41 200 42 500 45 000 veterans registered by 2012
To assist persons in apply/ register for veterans status, which will be granted by the Veterans Board. The target set for this was measured against the first registration exercise that started in 2008.
Target 2. Number of Projects Initiated and fully implemented by veterans
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast 50 Projects 0 0 72 300 300 initiated and fully implemented by veterans by 2013
Individual Veterans Projects
Among the initiatives taken by the Ministry of Veterans Affairs to ensure that the veterans of the liberation struggle are informed about the programmes and projects of the Ministry and that they meaningfully contribute to the country‟s economic growth. The funding of individual projects for veterans is meant to provide capital incentives to veterans aspiring to engage in economic activities that could help them to generate income for themselves and their families, but also to assist government to attain the national development objectives set out in Vision 2030. This means that individual projects undertaken by veterans are expected to ultimately contribute to the country‟s economic growth and reduce unemployment rate in the country.
289 During this period the Ministry has:
Funded seventy two (72) individual veterans projects. The projects funded so far ranges from farming (crops and livestock), manufacturing, hospitality, tailoring and many more.
Target 3. Construction of Veterans Houses
Target 2008/09 2009/10 2010/11 2011/12 2012/13 Actual Actual Actual Forecast Forecast 40 houses 0 0 4 85 100 to be constructed for veterans throughout the country by 2011
Construction of veteran’s houses There are three categories of veterans who are eligible for housing benefit. These are the old age veterans from the ages of 60 years and above, the severely disabled veterans who cannot move in the absence of mobility aids, as well as veterans who are seriously ill. The standard house provided by the Ministry consists of three bedrooms, a sitting room, a kitchen, a bathroom, a toilet and veranda. Moreover, the houses constructed are provided with water and energy by the Ministry.
The Ministry has developed five housing design from which each eligible veteran can choose. The house can be constructed at places of the veterans own choice, provided that the area chosen is habitable.
During the reported period, the Ministry:
Conducted the veterans housing assessment in all 13 regions to identify veterans that are in need of housing assistance; Verified the construction site of veteran‟s houses to ensure that the veteran houses are not build at sites prone to floods. The verification of construction sites had taken place in 12 regions excluding the Kunene region; Constructed three (3) houses for veterans in Khomas region.
290 Target 4. Number of Monuments erected
Target 2010/11 2011/12 2012/13 2013/14 Actual Forecast Forecast Forecast 4 0 0 4 13 monuments by 2009/10 and 13 by 2012
To keep the history of the national liberation struggle alive for the present and future generation. This will be done by erecting /constructing/preserving monuments and/or landmarks at the identified places where the activities of the war of national liberation struggle took place.
Budget execution (N$ 000)
Programme Budget allocation Expenditure % variance Veterans Welfare and 258 066 251 993 2.4% Development Liberation Struggle Heritage 16 472 16 085 2.4%
Total 274 538 268 078 2.4%
Explanation for variances
Veterans Welfare and Development: Ministerial Development Projects The Ministry has initiated and implemented development projects as income generating ventures for veterans. The development projects are meant to enable veterans to engage in sustainable economic activities that could contribute to the economic growth of the country. Some of the development projects currently implemented by the Ministry are inherited from the former Development Brigade Corporation (DBC).
For the period under review:
The Ministry has carried out feasibility studies on projects Developed a business plan
291 Acquire land from the Eenhana Town Council (ETC) from the development of the Veteran Bakery project at Enhana; Purchases agricultural equipments, seeds and fertilizers for the Veteran‟s project at Onandjandja settlement and Etaka in Omusati Region.
This programme was allocated 94% of the budgeted amount of N$ 258,066m and spending of N$ 251,993m resulting in a variance of 2, 4% .The main constrains that cause the variance of 2, 4% due to personnel expenditures because most of the vacant post that were budgeted could not be filled on time, due to the reason beyond control of the Ministry and that also hampers not to utilized the funds for the activities as budgeted for.
Sensitization on veteran’s benefits
The Ministerial staff members have gone out to regions to sensitize veterans about their benefits during the 2010/2011 financial year.
Liberation Struggle Heritage:
This programme was allocated 6% of the budget, which is N$ 16,472m and spending of N$ 16,085 resulting in a variance of 2, 4% due to personnel expenditures because most of the vacant post for the personnel to take care of the activities for this programme that were budgeted could not be filled on time due to the reason beyond control of the Ministry and that also hampers the utilization of funds for the activities as budgeted for. Problems have also been experienced in the accuracy of budgeting for this programme, due to a number of players involved. This also has led to under spending of in this programme.
Other variances were as a result of savings on salaries of staff, subsistence and travelling allowances and general office expense. The Ministry of Veterans Affairs spend 97, 6% of the total allocation resulting in under spending of 2, 4%, based on the constraints given.
The Ministry of Veterans Affairs has succeeded to remain within the approved budgeted amount for the financial year 2010/2011 and no overspending took place during the financial year under review.
292