ANNUAL PERFORMANCE PLAN 201415 1 201415 PROGRAMME Focus

ANNUAL PERFORMANCE PLAN 2014/15 1

201415 PROGRAMME Focus of this year is the creation of an enabling environment for social housing and a change in approach to delivery. Well managed and sustainable SHIs Capacitated stakeholders MOVING FROM REACTIVE APPROACH • Call for proposals • Grant submissions Planning Delivery of social housing units 10/20/2021 PRO-ACTIVE APPROACH • Pipeline of Projects • Aligning grants to the pipeline • Creating an enabling environment 2 2

201415 PROGRAMME Organisation wide • Building internal capacity • Reducing reliance on external consultants • Reducing risk and building internal control environment • Implementing new structure and revising processes Investment Programme • Two Call for Proposals (5 A and 5 B). 5 A to be advertised within the month. • Currently contracting on SHIP 4 B • Move to pipeline planning • Increase RCG quantum Regulatory Programme • Automating accreditation and other compliance functions • Legal enforcement framework • Retrospective regulation Institutional Investment Programme • Supporting Provinces ito social housing delivery • Supporting and resuscitating Provincial Steering Committees • Aligning grants to project pipeline • Assisting Provinces to develop rental housing strategies • Research and capacity building 10/20/2021 3 3

APPROVED ANNUAL PERFORMANCE PLAN FOR 2014/15 The SHRA’s target for 2013/14 was 5429 but only achieved approval of 2279 units. There have been a number of inadequate applications and withholding of applications as the quantum has not increased leading to project viability concerns. The current signed off APP targets are shown above. There is only one indicator as funding for the Institutional Investment programme has not been provided and the operational budget deemed insufficient. 10/20/2021 4 4

PERFORMANCE TARGETS, BUDGET & MTEF Financial Year 2014/15 2015/16 2016/17 Units Approved 5 668 5 979 6 330 Institutional Grants 39 50 50 Operational Budget (Rm) 33 480 34 560 36 392 Accredited Entities 55 60 65 Capital Budget (Rm) 827 543 1 195 860 1 287 049 These figures will have to be revised due to the SHRA’s request for a virement between capital and operational budget and virement to NHFC – see next slide. 10/20/2021 5 5

SHRA’S BUDGET 2012 2013 2014 2015 Capital Grant Budget R 226 169 000 R 647 401 000 R 904 103 000 R 827 543 000 Capital Grant Expenditure R 515 042 857 R 978 919 516 R 143 958 961 Current FY Since 2012 the entity has made generous investments in the social housing sector but in 2014, given the challenges the entity faced, performance on the expenditure has hampered due to the SNG forensic investigations undertaken. At the request of the NDo. HS, the SHRA has agreed to a R 230 m virement to NHFC against the 2015 capital grant allocation. 2012 2013 2014 2015 Operational Grant budget R 19 305 000 R 21 096 000 R 32 151 000 R 33 480 000 Operational Grant expenditure R 34 538 240 R 37 486 100 R 52 253 162 Current FY As a result of insufficient operational budget to fund operational requirements, the entity has dependent on the capital grant. The entity has submitted a formal virement application to the NDo. HS to move a portion of the capital budget for operational purposes. 10/20/2021 6 6

REVISED APPs 2014/15: OPTION 1 AND 2 OPTION 1 – APPROVE SHRA’S REQUEST FOR INCREASE IN OPERATIONAL BUDGET PLUS VIREMENT TO NHFC Capital budget (Rk) Target number of No. of II units for grants approval No. SHIs accredited No. recovered units Current 827 543 5668 No target Revised 548 753 3700 30 55 300 OPTION 2 – APPROVE SHRA’S REQUEST FOR INCREASE IN OPERATIONAL BUDGET Capital budget (Rk) Target number of No. of II units for grants approval No. SHIs accredited No. recovered units Current 827 543 5668 No target Revised 778 753 5328 30 55 300 10/20/2021 7 7