SocioEconomic Impact Assessment System SEIAS February 2017 Presentation

Socio-Economic Impact Assessment System (SEIAS) February 2017

Presentation Outline 1. Introduction and background 2. SEIAS within Policy and Planning Framework 3. Application of SEIAS and Process Map 4. Implementation Progress 5. Key Learning Points on implementation 2

1. Introduction and background The NDP, MTSF and Outcome 4 prioritise: Ø A reduction in the burden placed on inclusive growth resulting from unintended consequences of government actions as well as inefficient and/or inappropriate regulations Ø A need to improve compliance burden , complexity of policy development, laws and regulations as well as removing unnecessary obstacles to growth and development such as : § Costs that exceed the hoped-for benefits; § Protracted turnaround times to deliver services; § Excessive risks leading to implementation failure; § Policy proposals that require capacity that the state doesn’t have; and § Delays on implementation of laws and regulations due litigations or lack of buy in from affected stakeholders Ø SEIAS was then introduced by Cabinet in February 2015, to replace RIA and to assess policies, laws and regulations in line with NDP priorities 3

Introduction cont…(2) The primary objective of SEIAS is to assists departments to better formulate policies, legislation & regulations and ensure: • Alignment with national priorities in promoting inclusive growth, addressing inequality, spatial imbalances, and environmental degradation • Risks associated with the implementation of such laws are thereof mitigated, thus unintended consequences are minimised • Costs of implementing such prescripts are reduced while benefits by the deprived service recipients are optimised; and • Regulatory burden is reduced, thus a better and efficient administrative mechanisms of implementing the national priorities Ø All new/ review/ amendment Policies, Legislations and Regulations –Cabinet/ Internally approved by EAs Ø Implementation Date: 01 October 2015 Ø 4

Introduction…SEIAS, RIA and CBA (3) 5

Introduction…. (4) Ø Thought through process and NOT a compliance driven mechanism with another “tick-box” to complete Ø The rationale behind policy/ legislation development or review Ø Anticipate the implementation and readiness Ø We are always looking at socio-economic costs/benefits and risks and not only at quantifiable economic costs. Ø If there is quantification the level of quantification should be proportionate to the need for it 6

2. SEIAS within Policy and Planning Framework Constitutional and Legislative Mandates e id W t. ns ov Pla G National, Provincial and Local Planning Frameworks (NDP, MTSF, PGDS, IDPs, Sector Policies) SEIAS Vision, Mission and Values t. ra n St la P Strategic Goals-5 Year targets, Budget Programme Structures A PP s Programme KPIs and MTEF Targets Institution’s operational plans and individual performance agreements Adapted from Framework for Strategic Plans and APPs 7

SEIAS within Policy and Planning… (2) Ø Strategic Plans are tools to assist entities to prioritise and plan the progressive implementation of their legislative mandates, policies and programmes. Ø Policies- both internal (sector) and external-such as the NDP, MTSF and etc. Ø SEIAS prepares policy makers/ law drafters to proactively /anticipate/ think upfront the implications and implementation in relation to the problems identified. Ø Poor policy/law making result in poor programme design and other related interventions and thus persisting inequality, poverty, spatial imbalances and environmental degradation. 8

3. Application of SEIAS- Assessment Templates Final Impact Assessment Initial Impact Assessment 1. What is the problem and why it should be addressed? 2. What causes the problem and whose behaviour must change 3. Scoping optionsdealing with the problem-benefits, implementation costs, risks and impact on national priorities 4. Mitigation of risks 5. Conclusion : Which option is most desirable, and why? Most Desirable Option Is the option still relevant as the policy advances-ito development stages? Significant time lag between the two assessments Summary of the proposal (policy/bill/ regulations) 2. Problem and root causes 3. Intended Outcomes (achieved) 4. Benefits/ Incur costs/ lose 5. Behaviours to change and mechanisms 6. Consultations 7. Disputes that might arise and mechanisms for settling them 8. Impact Assessment. Implementation/ Cost of changing behaviour and benefits 9. Risks and mitigation measures 10. Monitoring and Evaluation 11. Further minimising risks, cost and maximising benefits 9

Process Map: SEIAS and Policy/ Legislation Development Mandate to Develop Policy Phase 1 SEIA by Policy making team Review of SEIA by DPME and the implementing Dept. Review by DPME Team and initiating Dep Phase 2 SEIA by Policy / Law making Team Development of a Bill/ White Paper Revise if required and supported by DPME Issue a sign off form: Assessment and QA Policy Development and Research Consultation process on policy Submit to Minister and/or Cabinet 10

4. SEIAS implementation SEIAS unit was established within DPME- Capacity, Coordination, Quality Assurance Ø Cabinet Office-Ensure that all Policies/ Bills are accompanied by SEIAS reports Ø Interdepartmental Steering Committee: Guidance, support, training and facilitation Ø Depts. SEIAS Champions- coordination and ensure that all policies/ bills and regulations are subjected to SEIAS by initiating units Ø Provided training to 136 officials-33 Depts. (Legal Services, Policy Dev, M & E and Research) Ø As at 31 March 2016: 117 Prescripts subjected to SEIAS- 65 Bills, 16 Regulations, 25 policies and 11 plans/frameworks- 581 officials were exposed to inductions on actual application of SEIAS Ø 11

Implementation… (2)-June 2015 -31 March 2016 Item Total Progress up to 31 March 2016 Sign off forms issued by DPME after analysis, feedback and final reports by Depts. Facilitated/ Pending analysis/ provided feedback sign off by DPME and awaiting for the reports from Departments Bills Regulations Policies Plans Frameworks Strategies Others (Charter) 65 16 25 5 2 3 1 36 12 14 2 1 1 0 22 2 7 2 0 0 0 7 2 4 1 1 2 1 Total % 117 66 56% 33 28% 18 15% 12

Implementation… (2)-01 April-30 June 2016 Item Number of submissions Total Submissions by Depts. 1. Bills 2. Regulations 3. Policies 4. Plans 5. Frameworks 6. Strategies 7. Others : Business Case, Concept Document, Norms and Standards, Research Document Total First time submissions by Depts. Progress Revised submissions by Depts. Feedback on analyses sent to Departments per submission QA Sign off Forms issued Pending analysis and feedback to departments 32 9 12 6 9 6 26 0 6 28 6 10 14 0 4 4 3 2 6 1 2 1 4 0 5 1 2 0 1 0 2 5 2 1 0 4 2 5 2 3 0 0 67 27 40 57 27 10 13

Implementation (3) : 01 July-30 September 2016 Item Number of submissions Total Submissions by Depts. 1. Bills 2. Regulations 3. Policies 4. Plans 5. Frameworks 6. Strategies 7. Others : Project Review, Norms and Standards, Charter, Rules and International Agreement Total Progress First time submissions by Depts. Revised submissions by Depts. Feedback on QA Sign off analyses sent Forms to issued Departments per submission Pending analysis and feedback to departments 23 17 30 2 1 7 6 11 10 14 0 0 3 2 12 7 16 2 1 4 4 17 12 26 2 1 5 4 6 3 5 1 1 0 1 6 5 4 0 0 2 2 86 40 46 67 17 19 14

Implementation (4) : 01 Oct to 31 Dec 2016 Item Number of submissions Total Submissions by Depts. First time submissions by Depts. Progress Revised submission s by Depts. Feedback on analyses sent to Departments per submission QA Sign off Pending Forms analysis and issued feedback to departments 1. Bills 29 13 16 27 7 2 2. Regulations 15 2 13 13 6 2 3. Policies 24 7 17 22 8 2 4. Strategies 8 4 4 8 1 0 5. Business Case 3 1 2 3 0 0 17 11 6 15 4 2 96 38 58 88 26 8 6. Others: Other, Norms and Standards, Charter, Rules, Project, Programme and Ratification Total 15

5. Implementation-Key Learning Points (Cross cutting) Ø The system brought officials from different disciplines within departments to have dialogue and input on policies and legislations i. e. M & E, Policy & Research, Line function (content) and Legal Services Ø SEIAS allows for better coordination in policy and legislative development within and across departments where there are overlapping mandates, roles and responsibilities Ø Unevenness in the quality of SEIAS reports 16

Key Learning Points…(2) Ø In some instances, challenges were on problem identification and the root causes i. e. the rationale behind developing/ amending policies and legislations and strategic linkages to the NDP Ø Unrealistic assumptions or mismatch between that the objectives of the proposed policy/ bill and identified problems and root causes Ø Lack of adequate identification and analysis of the risks that may impede implementation Ø Alternative options not sufficiently thought through Ø Need to strengthen communication and awareness of NDP priorities across different levels in departments by Management, Strategic Planning & M & E units Ø Better coordination on the implementation of the Legislative Programme to adhere to timelines 17

Ke ya leboga Ke a leboha Ke a leboga Ngiyabonga Ndiyabulela Ngiyathokoza Ngiyabonga Inkomu Ndi khou livhuha Thank you Dankie seias@dpme. gov. za 18