PRESENTATION TO PORTFOLIO COMMITTEE DHET 05 June 2013

PRESENTATION TO PORTFOLIO COMMITTEE - DHET 05 June 2013

Presentation Outline Ø About TETA § Vision, Mission and Strategy § TETA Strategic Framework and Goals Ø Skills Planning – Outputs/Activities/Budgets § Research § FET/HET/Youth/Rural Development/ Support Ø ETQA § QCTO Activities § Provider activities and support § Institutes of Sectoral or Occupational Excellence § Recognition of Prior Learning Ø Monitoring and Evaluation Ø Financial Administration § Grant Regulations’ Impact on Budget and APP § Costed APP and DG Allocations Summary § Flagships

Vision and Mission Vision The Heart of Skills Innovation Mission We provide an innovative Quality Assurance and Skills Development Framework by our motivated and competent people, in a cost effective manner to exceed stakeholder/government SLA and requirements Driving Force Together with Enthusiasm and Trust we Accelerate and advance skills development Values Trust, Respect, Responsibility, Accountability, Positive Attitude, Commitment, Innovation Strategic Intent To create a credible and competent Institution in order to facilitate skills development in the transport sector

Strategic Framework Research Decent Work Career Guidance Green RPL TETA Management Development Access Skills Priorities Scarce Skills ISOEs Critical Skills

Strategic Goals 2013/16 Strategic Goal 1: Establish a credible institutional mechanism for skills planning, build and sustain Research capacity on labour markets within TETA Strategic Goal 2: Increase access to occupationally directed programmes Strategic Goal 3: Strengthening the quality assurance system Strategic Goal 4: Encourage better use of workplace based skills development Strategic Goal 5: Building career and vocational guidance Strategic Goal 6: Develop and sustain good corporate governance, leadership and operational effectiveness and efficiency.

Strategic Goal 1 - Research Ø Building a research culture and capacity § Develop R & D Strategy § Appointment of R&D Manager § Implementation of R&D strategy § Internal training /mentoring of 10 staff Ø Research Partnerships § Labour Market Intelligence Partnership Project ü three-year programme involving DHET and an HSRC research consortium § International Labour Organisation (ILO) and conferences § Department of Transport § Trade Unions and Employer Associations Ø Sector Skills Plan (SSP) Update § Subsector SSPs researched and Industry consulted § Sub sectors scarce and critical skills researched R 21, 525, 273. 27

Strategic Goal 2 – Middle level skills Ø Programmes Communicated to stakeholders § Projects, partnerships and MOU Ø Increase learner access to FET/HET institutions Multi-year funding to full qualification – up to 4 years Intervention Learners § § § Learnerships (18. 1) 1 500 Skills Programmes (18. 1) 4 000 Bursaries 400 Artisan 1 300 Roadshows/Workshops – Rural focus 18 (2 per province) § HIV/Aids Awareness Campaigns § Capacity Building R 381, 806, 378. 38

Strategic Goal 3 - ETQA Current Status Ø Development Quality Partner (DQP) with 17 Occupational Qualifications Ø Applied to become Assessment Quality Partner Ø Trained 17 Learner Quality Development Facilitator 2013/14 Ø Align sector needs with QCTO landscape requirements Ø Develop 5 occupational qualifications Ø Encourage providers to include Green Economy in training material through provincial road shows Ø Accredit providers, register assessors, moderators, Trade Test Officers

ETQA and QCTO Cont’d 2013/14 Cont’d Ø Capacity building and training provided to: • 200 Accredited / Prospective providers • 200 Assessors • 100 Moderators • 200 Learning Material Developers Ø A reliable provider database, linked directly to the TETA Seta Management System, is available on the TETA website Ø External Moderation of provider and support

Institute of Sectoral and Occupational Excellence TETA approached the following organisations to become ISOE • South Africa Airways in collaboration with Department of Public Enterprises (DPE) • DENEL in collaboration with DPE • TRANSNET School of Rail in collaboration with DPE • SAA Express in collaboration with DPE • South African National Taxi Council and National Taxi Alliance • PRASA in collaboration with DOT

Institute of Sectoral and Occupational Excellence Eight FET Colleges supported in collaboration with DOT to provide National Certificate Vocational and become ISOE

Recognition of Prior Learning § § RPL Model is researched RPL model is designed RPL model is work shopped Minimum of § 200 Assessors, Moderators & SDFs are trained per annum § 200 learners RPL’d per annum § 50 providers capacitated per annum R 14, 684, 623. 78

Strategic Goal 4 - Creating Employment Ø Encourage Youth and increase access to workplace learning Multi-year funding to full qualification – up to 4 years Intervention Learners § Learnerships (18. 2) 2 500 § Skills Programmes (18. 2) 1 000 § International Leadership Development Programme – middle managers § All Chambers § Strategic Projects through industry/stakeholder collaboration § Small Business Development – formal qualifications § Lay-off scheme for distressed companies R 210 305 513. 50

Strategic Goal 5 – Career Guidance Ø Increase student access to the transport related fields § Career Guide Booklets § Career Guide Exhibitions (minimum) § Train Career guide experts § Workplace Integrated Learning § School support on Maths and Science § Teacher Development projects § Partnership establishment § Direct learner support § School Camps R 71, 951, 513. 51 10 000 1 per province 12 1 000 learners 1 per province

Strategic Goal 6 - Organisational Development Ø Organisational development and performance strategy § Staff Skills Audit § Employee wellness § Staff Development § Team Building § Customer Survey § Marketing and Communication Ø Other imperatives § Building repairs and renovations § Integrated IT system R 29, 131, 000. 00

FET Support Ø In order to enable FET colleges to provide transport related studies, TETA has allocated funding to five FET colleges that piloted the NCV in Transport studies in 2012/2013. These colleges are: Ø Orbit (NW); Umfolozi and Ethekwini (KZN); Ekuhruleni West College (Gauteng); and Capricorn (Limpopo). For the 2013/2014 financial year three additional FET colleges have come on board (2 WC and Free State). Ø TETA has visited and had meetings with all FET Colleges whereby TETA is a lead SETA in Limpopo. 1. (Capricorn FET college, Polokwane , Bochum campus, Seshego campus) 2. ( Lephalale FET college) 3. (Vhembe FET colleges , Mavhoi campus, Mashamba campus). Ø TETA has since signed MOU’s with the colleges mentioned above.

FET Support Ø TETA has also been allocated some provinces to be a supporting SETA to the leading SETAs namely: 1. North West –supporting to EWSETA 2. Orbit FET colleges Rustenburg campus, Brits campus, Mogwase campus 3. Taletso FET college Mafikeng campus & other x 2 campuses Ø TETA has since distributed career guides, bursary application forms and booklet to the supporting SETAs § § Kwazulu/Natal – supporting to SASSETA Ethekwini FET college x 6 campuses Majuba FET College x 4 campuses Elangeni FET college x 6 campuses

Rural Development Geographical Location Province District Free State Maluti-a- phufung Number of Beneficiaries Project Name Budget ABET 10 30, 000. 00 10 R 17, 000. 00 Eastern Cape Amathole Driver Skills Programme Free State Maluti-a- phufung Bursary: Diploma Road 2 Trans Mgt R 60, 000. 00 Limpopo Tzaneen Learnership: Transport 6 operations R 239, 760. 00 Eastern Cape Amathole Learneship: Professional Driving 12 464, 880. 00 Eastern Cape Amathole Bursary: HRM 1 R 22, 000. 00 Limpopo Ellisrus Learneship: Professional Driving 20 R 630, 800. 00

Rural Development Kwazulu Natal Sisonke Kwazulu Natal Sisonke Limpopo Vhembe Operate a heavy rigid vehicle National certificate: professional driving New venture creation Aet NC: Professional Driving 10 10 10 R 117 379. 20 R 78 769. 50 R 464 076. 00 15 50 19 R 327 250. 00 R 200 000. 00 R 419 900. 00 Eastern Cape OR Tambo Workplace Experience & District Graduate Placements 9 R 45 000. 00 Eastern Cape OR Tambo Workplace Experience & District Professional Driving 20 R 300. 00 Eastern Cape Amathole District 10 R 387. 400. 00 Professional Driving Learnership

Monitoring and Evaluation Ø TETA adopted the Monitoring & Evaluation framework. § Government Wide M&E policy framework § Treasury regulations, Ø Evaluation of performance and service delivery at TETA § M&E of the process of SSP development § Strategic M&E of mandatory grant process § MG Process audit § Strategic M&E of TETAs discretionary spend § Strategic M&E of TETAs stakeholder relations § Monitor chamber / unit performance objectives and ensure effective capacity to deliver exists

Impact on 2013/14 Budget Previous grant legislation New grant legislation 518 581 096 64 822 637 68 063 768 Income Levies received § Admin(10%/10. 5%) § Discretionary (20%/49. 5%) 129 645 274 320 872 053 § Mandatory( 50%/20%) 324 113 185 129 645 274 Interest received 37 060 800 37 060 888 Total income 555 641 985 Admin expenditure (63 782 000) ( 60 541 000) 0 ( 3 241 132) Mandatory expenditure (324 113 185) (116 680 747) Discretionary Expenditure (167 746 800) (375 179 104) Total expenditure (555 641 985) 0 0 QCTO( Quality assurance) Surplus

Costed APP Summary § Budget taking into account the interest expected to be earned for 2013/14 financial year (R 37 m) § Budget also accounting for the additional funds that we expect to receive as a result of change in grant regulations re-allocation from MG. The new total DG funds available is R 375 m. § Accounting authority has approved on funding over the duration of the qualification (multi year) until completion § Total costed APP 2013/14 is therefore R 732 m based on the funds available R 729 m with additional funding expected to be funded from cancellations of contracts.

Costed APP Summary Funding availability: Detailed Costed APP: 2013/14 Description Amount Funds available as at 31/03/2013 available 800 000 Reallocation of funds to SARS ( PAYE paid to SETAs) (36 000) Accounts payables (100 000) Committed but not contracted (25 223 000) Contracts( before 31/03/2013) (327 116 000. 00) Interest revenue Funds Allocation to DG and projects ( 2013/14 Budgets) NSFAS MOU APP (2013/14) Capping 37 060 888 375 179 104 (30 000. 00) 693 900 992

DG allocations summary Ø DG allocations- The TETA costed APP at R 732 m and some projects are multi year. The adjustment for multi year projects is around R 171 m. Adjusting the TETA APP by this multi year portion will bring it down to R 561 m. Ø From an operations point of view there are three building blocks to operationalize the APP 2013/14 namely § DG- R 425 m- 80% pivotal, 75% (total of R 319 m) of this would be spent as follows. § § § R 84 m towards bursaries R 181 m artisan development R 54 m towards workplace experience § FLAGSHIPS PROJECTS/MOU-R 189 m § SPECIAL PROJECTS TO FUND SIPS- R 50 m § QUALITY ASSURANCE SYSTEM (ETQA)- R 14 m Ø The remainder, R 54 m which constitutes 7% of the APP is to fund research and other administration related projects

Flagship Projects Ø Stakeholder engagement/Collaborations § South African Graduates Development Agency § 1000 unemployed graduates to be placed § Career management § International Leadership Development Project § Supply Chain and Logistics § New Venture Creation for Taxi Industry § Adopt A School/Rural Development – 3 per province § Direct Bursaries § Top Achievers § Learner with financial needs § Project for the Disabled – Freestate § National Student Financial Aid Scheme – R 30 m

THANK YOU