Ms Carmel Mbizvo Acting Chief Executive Officer - PowerPoint Presentation

1. Ms Carmel MbizvoActing Chief Executive OfficerSANBI ANNUAL REPORT 2019/20PORTFOLIO COMMITTEE ON ENVIRONMENT, FORESTRY AND FISHERIES (PCEFF) 26 JANUARY 20211

2. SANBI DELEGATION2Mrs Beryl Ferguson, SANBI Board ChairpersonMs Carmel Mbizvo, Acting Chief Executive OfficerMs Lorato Sithole, Chief Financial OfficerMr Elliot Mashile, Chief Operations Officer

3. PRESENTATION OUTLINEVision and Mission Slides 4SANBI’s Programmes Slide 5Performance against strategic objectives Slides 6 - 332019/20 Audited Annual Financial Statements Slides 34 - 593

4. SANBI VisionBiodiversity richness for all South Africans4

5. SANBI’s 7 Programmes51: Render effective and efficient corporate services (Administration) 2: Manage and unlock benefits of the network of National Botanical Gardens as windows into South Africa’s biodiversity3: Develop foundational biodiversity information through describing and classifying species and ecosystems in South Africa 4: Assess, monitor and report on the state of biodiversity and increase knowledge for decision making 5: Provide biodiversity policy advice and access to biodiversity information, and support climate resilience6: Provide human capital development, education and awareness in response to SANBI’s mandate7: Manage and unlock the biodiversity conservation contributions and benefits of the National Zoological Gardens

6. PROGRAMME 1 : ADMINISTRATION Strategic Objective: SANBI is positioned as an employer of choice in the biodiversity sectorPerformance indicatorAnnual target 2019/20Programme Annual Progress and AnalysisPercentage of payroll allocated and spent on staff development.1% of payroll spent on staff development.Achieved: 1.14% of annual payroll allocated and spent on staff development  (R4 111 545/R360 421 508 x 100)Actual for the quarter was R809 531.09. Annual target of 1% was R3 604 215, and annual achievement was R4 111 545.35. More staff bursaries were awarded in Q4, totalling R510 683.Percentage of compliance to the Employment Equity targets.47% female staff in full-time employmentPartially achieved: 46.4%Challenges: This target was missed by 0.6% (9 female appointments). There are positions up to middle-management level that have not as yet been advertised and filled.Corrective Measures: Concerted effort will be made in the new year financial year to target more female candidates. Professional search companies will be used for headhunting suitably qualified female candidates.= On target= work in progress= Off target= Nomilestone6

7. PROGRAMME 1 : ADMINISTRATION Strategic Objective: SANBI is positioned as an employer of choice in the biodiversity sectorPerformance indicatorAnnual target 2019/20Programme Annual Progress and AnalysisPercentage of compliance to the Employment Equity targets.50% female staff in top and senior management Partially achieved: 46.4%Challenges: This target was missed by 3.6% (2 female appointments) in top and senior management. There are senior management positions that have not as yet been advertised and filled.Corrective Measures: There are about 4 senior management position which will be advertised in the new financial year. Female candidates will be targeted to fill these positions. Succession development for females will be enhanced in the Institute. Professional search companies will be used for headhunting suitably qualified female candidates.Percentage of compliance to the Employment Equity targets.90% black staff in full-time employment Partially achieved: 87.9%Challenges: This target was missed by 2.1% (160 black appointments) . This target cannot be reached as we don’t have the number of vacancies that could be filled to meet this target.Corrective Measures: Concerted effort will be made to appoint more black staff in the current and future vacancies that will occur.Percentage of compliance to the Employment Equity targets.2% people with disabilities on full-time employment. Exceeded target: 3.9% people with disabilities7= On target= work in progress= Off target= Nomilestone

8. PROGRAMME 1 : ADMINISTRATION Strategic Objective: Implement an effective, efficient and transparent Supply Chain and Financial Management system as regulated by PFMAPerformance indicatorAnnual target 2019/20Programme Annual Progress and AnalysisGRAP and PFMA compliant Annual Financial Statements Unqualified external audit opinion.Achieved: SANBI was issued with an unqualified audit reportby the Auditor General South Africa.Strategic Objective: Improved financial sustainability SANBI Percentage increase income generated. 4% year-on year increase in income generated.Not achieved: Year on year income generated decreased by 11%. Challenges: Admission fees into the Gardens decreased by 18% due to reduced visitor numbers, especially international visitors. The National State of Disaster that was announced on 15 March 2020 followed by the lockdown on 26 March 2020 resulted in several events having to be postponed or cancelled. Visitors across Gardens in March 2020 were 40% down as compared to the same month in 2019.Corrective Measures: Developed a post COVID-19 Marketing and Commercialisation Revenue Initiatives Plan. In addition, SANBI has secured funding to address infrastructure backlogs at the National Zoological Gardens to create safe ecotourism for local and international visitors. 8= On target= work in progress= Off target= Nomilestone

9. PROGRAMME 1 : ADMINISTRATION Performance indicatorAnnual target 2019/20Programme Annual Progress and AnalysisStrategic Objective: Effective corporate services rendered to achieve the mandate of SANBIPercentage availability/uptime of ICT systems for internal and external customers.90% of ICT uptime for internal and external customers.Achieved: 90% of ICT uptime for internal and external customers was made available. Percentage of planned risk mitigation actions implemented. 100% of planned risk mitigation actions implemented.Achieved: 44 out of 44 action plans implemented for the period under review.Percentage of compliance with key legislative requirements and Corporate Governance requirements.100% compliance. Quarterly Performance report is monitored against the approved APP including PFMA, Cash and ENE reports on a quarterly basis by DEFF according to specified time frames set out by the Department.Achieved: 4 out of 4 reports were compiled and submitted as per the legislative requirements.9= On target= work in progress= Off target= Nomilestone

10. PROGRAMME 1 : ADMINISTRATION Strategic Objective: Building a compelling brand for all stakeholdersPerformance indicatorAnnual target 2019/20Programme Annual Progress and AnalysisNumber of marketing and brand communication platforms and initiatives identified and utilised for SANBI marketing and promotion. Stakeholder relations built and sustained for the benefit of SANBI. 170 marketing platformsExceeded target: Achieved 257 A number of National Botanical Gardens (NBG) performed well in terms of developing marketing collateral and increased efforts regarding hosting events and promotion through social media. Rand Value of Advertising Value Equipment(AVE).R55 m AVEExceeded target: R88 676 995.37 rand exposure for the year.The launch of the National Biodiversity Assessment generated a lot of interest and this increased both the value of the traditional media coverage as well as the social media coverage.Percentage result stakeholder satisfaction survey. Develop Stakeholder Relations Plan.50% result of stakeholder satisfaction surveyExceeded target: A visitor survey was done at Lowveld Botanical Gardens by the Tshwane University of Technology. The visitors recorded very high levels of satisfaction with the gardens. The flower show that was presented to celebrate the 50 years of existence provided a great deal of positive public sentiments. 10= On target= work in progress= Off target= Nomilestone

11. ANNUAL SUMMARY OF 2019/20 PROGRAMME 1 PERFORMANCE % Achieved% Partially Achieved% Not Achieved% No milestone69% (9/13)23% (3/13)8% (1/13)_11

12. PROGRAMME 2 : NATIONAL BOTANICAL GARDENSStrategic Objective: A network of National Botanical Gardens are managed and maintained in order to realise benefits to SANBI, civil society and other relevant stakeholdersPerformance indicatorAnnual target 2019/20Programme Annual Progress and AnalysisNumber of indigenous plant species added to the living collections of SANBI’s National Botanical Gardens or the Millennium Seed Bank Partnership (MSBP)20 indigenous plant species added to the living collections of the combined network of National Botanical Gardens and/or the MSBPExceeded target: 216 indigenous plant species added to the living collections of the Millennium Seed Bank Partnership (MSBP).SANBI was able to encourage and source additional field collecting support, in addition to the 4 MSBP seed collectors, from horticulturists, interns, volunteers and other conservation groups such as the Custodians of Rare and Endangered Wildflowers (CREW) in collecting seeds for the Millennium Seed Bank Partnership (MSBP).Number of new National Botanical Gardens established and operational.Thohoyandou: Basic Assessment Report(BAR) compiled for the planned infrastructural developments in the Thohoyandou Botanical GardensExceeded target: The original target was for a BAR. BAR target was replaced by an Environmental Management Programme (EMPr) and approved.12= On target= work in progress= Off target= Nomilestone

13. PROGRAMME 2 : NATIONAL BOTANICAL GARDENSStrategic Objective: A network of National Botanical Gardens are managed and maintained in order to realise benefits to SANBI, civil society and other relevant stakeholdersPerformance indicatorAnnual target 2019/20Programme Annual Progress and AnalysisNumber of new National Botanical Gardens established and operational.Kwelera: Planned boundary fence for 10ha portion of the Kwelera NBGs completedNot achieved. Service Provider appointed in March 2020 for construction of boundary fence. Insufficient time available to construct the boundary fence.Challenges: Environmental Authorisation for planned boundary fence granted by DEFF in July/August 2019. Failed tender processes (due to technical non-compliance) that started in September 2019 resulted in the appointment of the contractor required to construct the boundary fence only being made in March 2020. Boundary fence will be constructed in 2020/21.Corrective Measures: SANBI SCM has modified some of the compulsory tender requirements (whilst still complying with National Treasury regulations) that should result in more bidders being eligible for evaluation in future SANBI construction tenders.Number of maintenance, development and capital infrastructure projects completed across SANBI’s National Botanical Gardens.45 maintenance/development projects and two (2) SANBI capital infrastructure projects completed.Partially achieved: 44 maintenance/development projects and 2 capital infrastructure projects completedChallenges: The final maintenance project that was scheduled for completion in March 2020 could not be finalised by the end of the quarter as the maintenance work took longer than anticipated.Corrective Measures: Projects in 2020/21 will attempt to be completed by latest end February 2021.13= On target= work in progress= Off target= Nomilestone

14. PROGRAMME 2 : NATIONAL BOTANICAL GARDENSStrategic Objective: Nature-based tourism and recreational activities are strengthened in all National Botanical Gardens to contribute to SANBI’s sustainabilityPerformance indicatorAnnual target 2019/20Programme Annual Progress and AnalysisPercentage visitor numbers increased.Minimum of five per cent (5%) annual increase in visitor numbersPartially achieved: 3% annual increase in visitor numbers. Combined visitor number for the 12-month period 1 April 2019 to 31 March 2020 was 1,461,107 (compared with 1,413,974 for 2018/19)Challenges: National state of disaster announced on 15 March 2020 and lockdown on 26 March 2020 resulted in several events having to be postponed or cancelled due to restrictions on mass gatherings and events imposed by national government as from 16 March 2020. Visitors across Gardens in March 2020 were 40% down on the same month in 2019 as a result of the COVID-19 induced lockdown and restrictions on gatherings. Visitor numbers in February 2020 were 9% above the previous year's 11-month period. Corrective Measures: Negative impact of the coronavirus pandemic on the global and South African economy was unexpected and unprecedented.14= On target= work in progress= Off target= Nomilestone

15. ANNUAL SUMMARY OF 2019/20 PROGRAMME 2 PERFORMANCE % Achieved% Partially Achieved% Not Achieved% No milestone40% (2/5)40% (2/5)20% (1/5)_15

16. PROGRAMME 3 : FOUNDATIONAL BIODIVERSITY INFORMATIONStrategic Objective: Foundational biodiversity information is developed through describing and classifying species and ecosystems in South AfricaPerformance indicatorAnnual target 2019/20Programme Annual Progress and AnalysisNumber of animal and plant species for which descriptive and classification information has been compiled 3,200 South African species compiled.Achieved: 3304 south African species descriptions/pages were compiled.Number of version releases for ecosystem classification and maps1 version release for an ecosystem classification and map(terrestrial)Achieved: The version release for terrestrial ecosystems was finalised.Number of quality controlled records for plant specimens in SANBI’s Herbaria, and for animal specimens in museums or based on observations, added to databases.56,000 biodiversity records added to database.Exceeded target: 56 468 biodiversity records were added to the database. Annual Target Exceeded by 468 records due to partner institutions providing more records than anticipated. 16= On target= work in progress= Off target= Nomilestone

17. ANNUAL SUMMARY OF 2019/20 PROGRAMME 3 PERFORMANCE % Achieved% Partially Achieved% Not Achieved% No milestone100% (3/3)___17

18. PROGRAMME 4 :BIODIVERSITY ASSESSMENT AND KNOWLEDGE GENERATIONStrategic Objective: New knowledge created to inform assessments and decision making relating to biodiversityPerformance indicatorAnnual target 2019/20Programme Annual Progress and AnalysisNumber of research papers published in journals accredited by the Department of Higher Education and Training (DHET)85 papers published in DHET accredited journals.Exceeded target: Publications uploaded in Q4 bring the total to 86 Publications for the year, slightly exceeding the annual target of 85.Number of Invasive Species Project plans developed45 invasive species project plansAchieved: 45 project plans completedNumber of risk analysis conducted for Invasive species70 risk analysis for invasive speciesPartially achieved: The 13 completed risk analyses were substantially below the annual target of 70 due to further developments in best practice protocols and criteria for risk analyses. This resulted in delays in the actual assessments. Challenges: The development of risk analyses is taking place at the same time that national and international procedures and protocols are being developed and amended. SANBI is applying international best practice in order to avoid litigation and has therefore amended risk analysis protocols to align with best practice. It has taken longer than expected to put these systems in place and to appoint relevant experts to undertake the analyses.Corrective Measures: The protocols and systems are now in place, the analysis protocols have been tested and a new risk analysis committee (ASRARP) has been appointed. It is therefore expected that SANBI will make up the backlog in the next financial year.18= On target= work in progress= Off target= Nomilestone

19. PROGRAMME 4: BIODIVERSITY ASSESSMENT AND KNOWLEDGE GENERATIONStrategic Objective: New knowledge created to inform assessments and decision making relating to biodiversityPerformance indicatorAnnual target 2019/20Programme Annual Progress and AnalysisNumber of cooperative research networks established to generate knowledge linked to SANBI ‘s mandate2 cooperative research networks(marine, biodiversity economy)Achieved: Two networks establishedStrategic Objective: The status of biodiversity, including biological invasions, is systematically assessed to determine current state and trends and to identify risks or benefits to the environment and peopleNumber of national biodiversity synthesis or assessments produced1 assessment completed and report compiled (GMOs)Not Achieved: A completed assessment was not achieved due to delays in accessing data and the non-availability of volunteer authors who need to contribute critical sections to the report. The data has now been obtained and the assessment will be completed in the next financial year.Challenges: There were 2 challenges. i) The GMO assessment is the first of its kind in South Africa and has not been undertaken anywhere in the world. This has meant developing a framework for assessment from basics, which has taken additional time; ii) There is limited scientific capacity in South Africa to assess GMO impacts on biodiversity. These scientists can only contribute to the assessment when they have spare time and the assessment has therefore taken longer than scheduled.Corrective Measures: the assessment framework has been agreed and lead authors appointed. The work will be completed in 2020/2021.19= On target= work in progress= Off target= Nomilestone

20. PROGRAMME 4 :BIODIVERSITY ASSESSMENT AND KNOWLEDGE GENERATIONStrategic Objective: The status of biodiversity, including biological invasions, is systematically assessed to determine current state and trends and to identify risks or benefits to the environment and peoplePerformance indicatorAnnual target 2019/20Programme Annual Progress and AnalysisNumber of annual updates of species assessments to support NEMBA regulations1 update for Non-Detriment Findings for the Scientific authorityAchieved: One update for Non-detriment findings completed.20= On target= work in progress= Off target= Nomilestone

21. ANNUAL SUMMARY OF 2019/20 PROGRAMME 4 PERFORMANCE % Achieved% Partially Achieved% Not Achieved% No milestone67% (4/6)17%(1/6)16% (1/6)_21

22. PROGRAMME 5 : BIODIVERSITY POLICY ADVICE, CLIMATE MITIGATION AND ACCESS TO INFORMATION Strategic Objective: Tools to support management and conservation of biodiversity developed and appliedPerformance indicatorAnnual target 2019/20Programme Annual Progress and AnalysisNumber of tools and knowledge resources developed to support mainstreaming of biodiversity assets and ecological infrastructure in production sectors and natural resource management.Two decision support tools developed.Partially achieved: 1 decision support tools developed.1 Guideline for listed activities associated with the clearing of indigenous vegetation for orchard development (Ehlanzeni District Municipality, Mpumalanga); and 1 draft decision support tool on alien invasive mapping. Challenges: Following development of the first draft of the tool, a decision was made at an alien invasive species mapping expert workshop to change the methodology. Using a new unit of assessment took longer than anticipated and therefore resulted in a delay in developing the tool. Corrective Measures: The alien invasive mapping tools will be finalised by the end of Q1 of 2020-21. Number of tools and knowledge resources developed to support mainstreaming of biodiversity assets and ecological infrastructure in production sectors and natural resource management.Three knowledge resources to support biodiversity mainstreaming developed and disseminated.Achieved: 3 knowledge resources developed: Incorporating Biodiversity into Land Use Schemes; Biodiversity is a tourism asset; Case study on incorporating biodiversity priorities into the National Spatial Development Framework.22= On target= work in progress= Off target= Nomilestone

23. PROGRAMME 5 : BIODIVERSITY POLICY ADVICE, CLIMATE MITIGATION AND ACCESS TO INFORMATION Strategic Objective: Tools to support management and conservation of biodiversity developed and appliedPerformance indicatorAnnual target 2019/20Programme Annual Progress and AnalysisNumber of tools and knowledge resources developed to support mainstreaming of biodiversity assets and ecological infrastructure in production sectors and natural resource management.Four learning or coordination events convened for provincial, municipal or other relevant decision makers.Achieved: 4 learning or coordination events convened: Biodiversity Planning Forum; Joint Biodiversity Information Management - Foundational Biodiversity Information Programme Forum (BIM-FBIP Forum); EI Indaba; and Provincial and Metro Biodiversity Planning Working Group.4 training sessions convened for provincial, municipal or other relevant decision makers.Achieved: 4 training sessions convened: Mapping Biodiversity Priorities Learning Exchange; Fitness for Use Data Training; Biodiversity Offsets in South Africa; and Implementing Biodiversity Stewardship on Communal LandNumber of tools and knowledge resources developed to support mainstreaming of biodiversity assets and ecological infrastructure in production sectors and natural resource managementTwo coordination mechanisms convened in collaboration with DEFF to support the implementation of the EbA strategy Partially achieved: Only 1 coordination mechanisms convened.Challenges: The anticipated date for the joint Ecosystem-based Adaptation (EbA) Coordination Steering Committee meeting was 12 February 2020. This mechanism is convened in collaboration with DEFF. The Steering Committee meeting was postponed due to unforeseen circumstances. SANBI and DEFF met on 13 March 2020 to plan for the postponed meeting and a new date was scheduled for 31 March 2020. However, due to the lockdown announced on 16 March 2020, the Steering Committee Meeting was not able to proceed as planned. Corrective Measures: This joint EbA Coordination Steering Committee meeting will be held in the new financial year once a suitable date is identified (dependent on the COVID-19 situation in the country). 23= On target= work in progress= Off target= Nomilestone

24. PROGRAMME 5 : BIODIVERSITY POLICY ADVICE, CLIMATE MITIGATION AND ACCESS TO INFORMATION Strategic Objective: Access to biodiversity data, information and knowledge providedPerformance indicatorAnnual target 2019/20Programme Annual Progress and AnalysisNumber of biodiversity records published59 400 records published. Exceeded target: 72,732 biodiversity data records published.Annual target of biodiversity data records published = 59,400 was exceeded by 13,332 biodiversity records to give an annual total of 72,732. Datasets received from the University of Pretoria, an external partner, for the dung beetle collection was larger than originally projected. Strategic Objective: Scientific advice to support national and international policy processes providedPercentage of policy requests from DEFF and other organs of state responded to within timeframe stipulated in the request100% of relevant written requests from DEFF and other organs of state responded to within timeframe stipulatedAchieved: 100% (6 of 6) relevant written requests responded to: draft National Climate Change Adaptation Strategy; draft Western Cape Biodiversity Bill; Eastern Cape Environmental Management Bill; Eastern Cape Provincial Spatial Development Framework; draft amendments to the Mineral and Petroleum Resources Development Regulations; draft National Spatial Development Framework.24= On target= work in progress= Off target= Nomilestone

25. PROGRAMME 5 : BIODIVERSITY POLICY ADVICE, CLIMATE MITIGATION AND ACCESS TO INFORMATION Strategic Objective: An effective national accredited entity of global climate funds builds resilience and provide national and international policy supportPerformance indicatorAnnual target 2019/20Programme Annual Progress and AnalysisNumber and value of Adaptation Fund and Green Climate Projects funds approved for implementation2 First stage proposals with a total value of at least USD 20 million submitted to the GCF for considerationPartially achieved: 1 First stage proposal with a value of USD 20 million was submitted to the GCF for consideration Challenges: The second of the first stage GCF proposals, for a USD 10 million project proposal, has been developed based on an extensive review and stakeholder engagement process. Submission to the GCF is dependent on an endorsement from Department of Agriculture, Land Reform and Rural Development. This endorsement is still pending.Corrective Measures: SANBI requested a meeting with Department of Agriculture, Land Reform and Rural Development to clarify their concern about the project. 25= On target= work in progress= Off target= Nomilestone

26. ANNUAL SUMMARY OF 2019/20 PROGRAMME 5 PERFORMANCE % Achieved% Partially achieved% Not achieved% No milestone62.5% (5/8)37.5% (3/8)__26

27. PROGRAMME 6 : HUMAN CAPITAL DEVELOPMENT AND EDUCATIONStrategic Objective: A transformed and suitably skilled workforce for the biodiversity sector is developedPerformance indicatorAnnual target 2019/20Programme Annual Progress and AnalysisNumber of HCD interventions implemented in SANBI for black biodiversity professionals.140 HCD interventions.Exceeded target: 148 HCD interventions implementedNumber of beneficiaries who participated in ‘Kids in Gardens’ Programme to promote biodiversity awareness, education and recreation56 000 beneficiariesExceeded target: The annual target of 56 000 was exceeded by 7 554 as 63 554 beneficiaries were reachedNumber of Universities that are participating in the University Biodiversity Careers Programme aimed at attracting young people into the biodiversity sector.15 Universities.Exceeded target: The annual target of 15 universities was exceeded by 2 as 17 universities were reachedStrategic Objective: Civil society is engaged to contribute to science, monitoring & biodiversity conservation.Number of Citizens Science platforms implementedThree citizen science platforms (CREW, naturalist, Bird Atlas)Achieved: Citizen Science platforms implemented for CREW, iNaturalist and SABAP227= On target= work in progress= Off target= Nomilestone

28. ANNUAL SUMMARY OF 2019/20 PROGRAMME 6 PERFORMANCE % Achieved% Partially Achieved% Not Achieved% No milestone100% (4/4)___28

29. PROGRAMME 7 : NATIONAL ZOOLOGICAL GARDENSStrategic Objective: Build a centre of research / training excellence and an authoritative source of scientific information on the biodiversity of wild animals and their ecosystemsPerformance indicatorAnnual target 2019/20Programme Annual Progress and AnalysisNumber of research papers in journals accredited by the DHET.30 publications.Exceeded target: 39 papers published which exceeds the target of 30 by 9. The higher than expected achievement was due to finalising projects as part of the integration with other SANBI research sections. Strategic Objective: Create a dynamic platform that encourage utilisation by the public on the Science of Life (awareness, education & communication)Number of learners reached through visits to/by the NZG454 000 general visitorsPartially achieved: 268 665 visitorsChallenges: Current state of the NZG infrastructure, a number of empty enclosures and loss of market share were major challenges. Corrective Measures: Revamp of facilities, stocking of animals and a marketing campaign will be implemented to improve current infrastructure and to further market NZG. Additional lessons will be facilitated at schools; and additional science festivals held.29= On target= work in progress= Off target= Nomilestone

30. PROGRAMME 7 : NATIONAL ZOOLOGICAL GARDENSStrategic Objective: Create a dynamic platform that encourage utilisation by the public on the Science of Life (awareness, education & communication)Performance indicatorAnnual target 2019/20Programme Annual Progress and AnalysisNumber of learners reached through visits to/by the NZG 160 000 learnersPartially achieved: 159 498 learnersChallenges: 1. SciFest Africa in Grahams town, which was held in March, was moved to April and thus did not take place during the financial year.2. Schools not being able to travel at the beginning of 2020 due to the drowning accident at a Gauteng school, had a severe impact on reach.3. The coronavirus pandemic also had a severe impact on NZG's numbers e.g. in March 2020 there was a reduction of roughly 10 000 learners visiting compared to 2019. Corrective Measures: NZG attended other science festivals and also visited schools to facilitate education programmes. This enabled us to be within 0.3% of the target.Strategic Objective: Develop a zoological garden with a conservation focusNumber of studbooks published under PAAZA5 studbooks publishedAchieved: 5 studbooks30= On target= work in progress= Off target= Nomilestone

31. ANNUAL SUMMARY OF 2019/20 PROGRAMME 7 PERFORMANCE % Achieved% Partially achieved% Not achieved% No milestone50% (2/4)50% (2/4)__31

32. ANNUAL SUMMARY OF 2019/20 SANBI PERFORMANCEProgramme% Achieved% Partially achieved% Not achieved% No MilestoneAdministration69% (9/13)23% (3/13) 8% (1/13)_National Botanical Gardens40% (2/5)40% (2/5)20% (1/5)_Foundational Biodiversity Information100% (3/3)___Biodiversity Assessment and Knowledge Generation67% (4/6)17% (1/6)16%(1/6)_Biodiversity policy advice, climate, resilience and access to information62.5% (5/8)37.5% (3/8)__Human Capital Development and Education100% (4/4)___National Zoological Gardens50% (2/4)50% (2/4)__67% (29/43)26% (11/43)7% (3/43) _32

33. ANNUAL SUMMARY OF 2019/20 SANBI PERFORMANCE% Achieved% Partially Achieved% Not Achieved% No milestone67% (29/43)26% (11/43)7% (3/43)_33

34. 2019/20 AUDITED FINANCIAL STATEMENTS34

35. AUDIT OUTCOMEUnqualified audit opinion Emphasis of matter on:1. Restatement of corresponding figuresCorresponding figures for 31 March 2019 were restated as a result of errors in the financial statements of the entity at, and for the year ended, 31 March 2020.2. ContingenciesNational Treasury has conditionally approved for SANBI to retain a surplus amount of R105,1 million. Contingent asset of R7,146 million relating to a claim against a contractor for the construction of a new office building, repairs, renovations and upgrades at the KwaZulu-Natal Herbarium.35

36. AUDIT OUTCOME3. Events after the reporting dateSubsequent events and specifically the possible effects of the future implications of Covid-19 on the entity’s future prospects, performance and cash flows. Management have also described how they plan to deal with these events and circumstances. Our opinion is not modified in respect of this matter4. Irregular expenditureIrregular expenditure of R17,8 million relating to the current year and R106,8 million relating to prior years were identified during the current year. The irregular expenditure is still being investigated. This largely relates to procurement processes not followed or where the local content and production percentage were not stipulated. The Auditors opinion is not modified in respect of the above matters.36

37. AUDIT OUTCOME37Cause of irregular expenditureAmountLack evidence of procurement processes followed 80 071 877 Local content and production percentage not stipulated on the SBD 6.2 form 38 153 311 Minimum CIDB grading not stipulated on the ToR although appointed service providers have the minimum CIDB grading 4 544 130Non-procurement for banking services 1 847 081 Total 124 616 399 The following steps have been taken:An independent forensic investigation has been conducted. None of the items were identified as fraudulent and corrupt.The next steps to be followed with the above are Implementation of consequence management.Requests for condonation or removal by the Accounting Authority

38. AUDIT OUTCOME Report on the audit of compliance with legislation 1. Annual financial statements As a result of material amendments made to the financials during the audit. 2. Expenditure management Inadequate steps taken to prevent the occurrence of irregular expenditure of R17.8 million during the financial year. The majority of the irregular expenditure was caused by non-compliance with supply chain management regulations. 3. Procurement and contract management Some of the construction contracts were awarded to contractors that were not registered with the Construction Industry Development Board and/or did not qualify for the contract in accordance with section 18(1) of the CIDB Act. Some of the bid documentation for procurement of commodities designated for local content and production, did not stipulate the minimum threshold for local production and content as required by the 2017 preferential procurement regulation 8(2). 38

39. AUDIT OUTCOMEMaterial findings in respect of the usefulness of the selected programmes: 1. Programme 2 – National Botanical GardensIndicator 2.2 – Percentage visitor numbers increased through expanded tourism-related activities and events in National Botanical Gardens The auditors were unable to obtain sufficient appropriate audit evidence that clearly defined the predetermined source information and method of collection to be used when measuring the actual achievement for the indicator. This was due to a lack of a clearly defined technical indicator description. There were no material findings on the reliability of the same programme. 2. Programme 4 – Biodiversity assessment and knowledge generation There were no material findings on the usefulness and reliability of the reported performance information of programme 4.39

40. AUDIT OUTCOME Internal control deficiencies Action plans to address the previous year’s audit findings, did not yield the required results as findings identified in the previous year’s audit, relating to non-compliance and the performance report, reoccurred.Management did not adequately review the financial statements before submission, which resulted in material misstatements identified in the submitted financial statements. Management did not adequately review and monitor compliance with legislation to ensure fair, transparent and competitive procurement processes, specifically relating to the local content and construction procurement requirements.Management has done an in-year revision to the technical indicator description (TID) of the visitor numbers however deficiencies were still identified therein including the systems currently in place for reporting on this indicator, which therefore resulted in misstatements in relation thereto. 40

41. INTERNAL CONTROL DASHBOARD41

42. INTERNAL CONTROL DASHBOARD42

43. INTERNAL CONTROL DASHBOARD43

44. REMEDIAL ACTION ON AUDIT OUTCOMEImplement controls over daily and monthly processing and reconciling transactions 44Corrective MeasuresProgress as at 23 Nov 2020Develop and workshop standard chart of accounts to guide the classification of income and expenses at capturing stage Provide GRAP training to the Finance team.Implement controls to ensure that transactions are recorded in the correct accounting period.Review adequacy of the reconciliations performed on a monthly basis. Implement a monthly checklist when reviewing management accounts and reconciliations.The standard chart of accounts has been developed and workshopped to all the officers.GRAP training has been provided.Detailed review of all transactions is conducted monthly.Reconciliations have been reviewed for their adequacy.Monthly checklist is being developed for implementation.

45. REMEDIAL ACTION ON AUDIT OUTCOMEPrepare regular, accurate and complete financial and performance reports that are supported and evidenced by reliable information45Corrective MeasuresProgress as at 23 Nov 2020Implement further controls on movement of stock.Develop and implement a template for stock count by all managers within the organisation.Provide workshop sessions to capacitate staff handling and managing inventory.Stock movement template, stock receipt and issue form have been introduced as from 1 October 2020A circular was issued during September 2020 stocktaking as a guide on stocktaking procedure.A workshop session has been scheduled for December 2020.

46. REMEDIAL ACTION ON AUDIT OUTCOMEEstablish and communicate policies and procedures to enable and support the understanding and execution of internal control objectives, processes and responsibilities 46Corrective MeasuresProgress as at 23 Nov 2020Develop policy and standard operating procedures manual covering the management and administration of tariffs and revenue collection.The policy is being developed.

47. REMEDIAL ACTION ON AUDIT OUTCOMEReview and monitor compliance with applicable legislation 47Corrective MeasuresProgress as at 23 Nov 2020Implement GRAP checklist when reviewing the financials.Review the contracts register monthly.Develop an effective guideline on the prevention of irregular expenditure.Provide irregular expenditure training to all staff members.Review and regularly update the transaction checklists specifically for local content.  Provide local content and CIDB training to all SCM staff members.Will be implemented in quarter 4.Contract register is being reviewed monthly and project leaders notified accordingly.Development of the guideline is in progress.Training has been provided to the bid committees, management, project leaders and all administrators. All other staff members will be trained in Dec 2020. Checklists have been updated.Local content and CIDB training is being arranged for Dec 2020.

48. FINANCIAL PERFORMANCE48

49. TOTAL REVENUE49The growth of 3% in total revenue is attributable to the increased non-exchange revenue received from various funders and donors and funders as acknowledged and detailed on Annexure A to the financials.Revenue generated from own operations has decreased by R10.1 million as a result of tough economic conditions. Generally SANBI’s activities are reliant on personal disposable income. These commercial activities are admission fees to its gardens and guided tours, events and venue hiring, seminars and workshops hosted and book and plant sales.The main source of own revenue is admission fees to the gardens.

50. TOTAL REVENUE50

51. EXPENDITURE51Employee costs has remained flat year-on-year despite annual inflationary increase of salaries, remuneration to staff has increased by only R4.2 million (1%). Overall, the main cost drivers for the organisation include personnel and personnel-related costs, information technology, security and cash collection fees, electricity, repairs and maintenance, and vehicle-related costs.Depreciation costs is the systematic cost of the use of the assets over their useful lives.

52. EXPENDITURE52Total expenditure of R701million has decreased by R9.7 million (1.4%). Employee costs of 60% of the total expenditure has remained flat year-on-year. Despite annual inflationary increase of salaries, remuneration to staff has increased by only R4.2 million (1%). The main cost drivers for the organisation include personnel and personnel-related costs, information technology, security and cash collection fees, electricity, repairs and maintenance, and vehicle-related costs.Expenditure of R701 mil has decreased by R10 mil (1%) with 60% of the costs towards employee costs. Employee costs of R422 mil have increased by R2 mil (0,5%) and operating expenses of R232 mil decreased by R9,7 mil (4%). The decrease is primarily due to stricter controls being applied within the procurement process. Depreciation costs of R33,9 mil have increased with R1,5 mil (54,6%) and impairment costs have decreased by R2,5 mil.

53. EXPENDITURE53

54. SURPLUS54

55. SEGMENT REPORT55SANBI is structured on the basis of mandated areas as such the segments are organised around the type of service delivered and the target market

56. FINANCIAL POSITION56

57. FINANCIAL POSITION57Overall, Institute’s financial position is solvent with total assets exceeding total liabilities by R647 million and liquid with the cash reserves sufficient to meet the short-term needs as well as obligations arising from project funds received. Current assets have increased by R78 million from the previous financial year mainly due to the cash in bank received towards infrastructure and externally funded projects. The Institute has an obligation to fulfil the conditions of the projects as agreed with various funders.Non-current assets have grown by R39 million from the previous financial year emanating mainly from the additional items of property plant and equipment being acquired. Non-current liabilities have slightly increased by R1,5 million from the previous financial year. Current liabilities have increased by R40 million from the previous financial year. The transfers payable has increased significantly from the previous financial year due to challenges experienced by the implementer resulted in transfers not being made as planned.

58. FINANCIAL POSITION58

59. CASH FLOW 59The remaining cash at the end of the financial year was held against Externally funded projectsMulti-year infrastructure projectsCreditorsCommitments 2019/20 2018/19 In R'000 Cash flows from operating activities 109 393 60 280 Cash flows from investing activities (34 996) (42 129) Net increase in cash and cash equivalents 74 397 18 151

60. Thank You60

61. LIST OF ACRONYMS AND ABBREVIATIONSAfrican Botanic Gardens Network ABGNAfrican Plants Initiative APIApplied Biodiversity Research ABRBiodiversity Information Management BIMBiodiversity Planning and Mainstreaming BPMBiosystematics BIOSBiodiversity Geographic Information System BGISConvention on Biological Diversity CBDConvention on International Trade in Endangered Species CITESConvention of the Parties COPCommittee of Heads of Organisations of Research and Technology COHORTClimate Change and Bio-adaptation CCBCustodians or Rare and Endangered Wildflowers CREWDepartment of Science and Technology DSTDepartment of Water Affairs DWAGlobal Biodiversity Information Framework GBIFGenetically Modified Organism GMOGlobal Carbon Project GCPGlobal Environment Facility GEF5Global Taxonomy Initiative GTIHuman Capital Development HCDInternational Council for Local Environmental Initiatives ICLEIInter-governmental Panel on Climate Change IPCCInvasive Alien Species IASIntergovernmental Platform on Biodiversity and Ecosystem Services IPBESLearner Teacher Support Material LTSMManagement Committee MANCOMarine and Coastal Management MCMManagement, Research and Planning Forum MAREPMaster Systems Information Technology Plan MSTPMedium Term Expenditure Framework MTEFMedium Term Strategic Framework MTSFMinisters and Members of the Executive Council MINMECMeetings with Technical Officers and Heads of Departments MINTECHNational Biodiversity Framework NBFNational Biodiversity Strategy and Action Plan NBSAPNational Botanical Garden NBGNational Environmental Management Act NEMANational Environmental Management Biodiversity Act NEMBANational Implementing Entity NIENational Institute of Statistics Rwanda NISR National Research Foundation NRFNational Treasury NTNew Partnership for Africa’s Development NEPADProject Implementation Plan PIPPublic Finance Management Act PFMASkills Intelligent System SISSouth African National Biodiversity Institute SANBISouth African National Parks SANParksSouthern African Biodiversity Support Programme SABSP Southern African Development Community SADCSucculent Karoo Ecosystem Programme SKEPThreatened or Protected Species TOPSUnites Nations Convention to Combat Desertification UNCCDUnited Nations Framework Convention on Climate Change UNFCCCWildlife and Environment Society of South Africa WESSAWork Integrated Leadership WILWorld Wildlife Fund WWF61