annual report - national government · 2018. 11. 22. · nlrd national learners’ records...
TRANSCRIPT
Annual Report2017/2018
ANNUAL REPORT 2017/18
3
CONTENTS
Abbreviations and Acronyms 4
PART A:General Information 7
Vision, Mission And Values 9
Part B: Accounting Authority’s Review 11
Part C: ChiefExecutiveOfficer’sReview 15
Part D: CoreBusinessReport 53
Part E: Projects Report 77
Part F: CorporateServicesReport 83
Part G: Finance Report 97
Part H: Audit Committee Report 101
Part I: ReportOfTheAuditor-General 103
Part J: Annual Financial Statements 109
4
ABBREVIATIONS AND ACRONYMSAA Accounting AuthorityAPP Annual Performance PlanAPR Annual Performance ReportAQP Assessment Quality PartnerATR Annual Training ReportCBO Community-Based OrganisationCESA Civil Engineering South AfricaCETA Construction Education and Training AuthorityCIDB Construction Industry Development BoardCPD Corporation for Public DepositsCPUT Cape Peninsula University of TechnologyCUT Central University of TechnologyDEAFSA Deaf Federation of South AfricaDG Discretionary GrantDHET Department of Higher Education and TrainingDHS Department of Human SettlementsDoL Department of LabourDPSA Disabled People South AfricaDQP Development Quality PartnerETQA Education and Training Quality AssuranceFETC FurtherEducationandTrainingCertificateFITA Flooring Industry Training AssociationGCIS Government Communication Information and SystemHET Higher Education and TrainingICB InstituteofCertifiedBookkeepersICT Information Communication and TechnologyJPMT Joint Project Management TeamKPI Key Performance IndicatorKZN KwaZulu-NatalLGSETA Local Government Sector Education and Training AuthorityLMIP LabourMarketIntelligenceProgrammeLPQD Learning Pathways and Quality DevelopmentMBSA Master Builders South AfricaMG Mandatory GrantMIS Management Information SystemMOU Memorandum of UnderstandingMQA MiningQualificationsAuthorityMTEF MediumTermExpenditureFrameworkMTSF MediumTermStrategicFrameworkNAMB National Artisan Moderating BodyNARYSEC National Rural Youth Service Corps
ANNUAL REPORT 2017/18
5
NC NationalCertificateNCV NationalCertificate(Vocational)NGO Non-Governmental OrganisationNPO Non-ProfitOrganisationNHBRC National Home Builders Registration CouncilNLRD National Learners’ Records DatabaseNMMU Nelson Mandela Metropolitan UniversityNQF NationalQualificationsFrameworkNSDS NationalSkillsDevelopmentStrategyNSFAS National Student Financial Aid SchemeNVC New Venture CreationOFO OrganisingFrameworkforOccupationsPABX Private Automated Branch ExchangePFMA Public Finance Management ActPIVOTAL Professional Vocational Technical and Academic LearningPSET Post-School Education and TrainingQAP Quality Assurance PartnerQCTO Quality Council for Trades and OccupationsQMR Quarterly Monitoring ReportRPL Recognition of Prior LearningSAFCEC South African Federation of Civil Engineering ContractorsSANMVA South African National Military Veterans AssociationSANRAL South African National Roads Agency SOC LimitedSAQA SouthAfricanQualificationsAuthoritySARS South African Revenue ServicesSAWIC South African Women in ConstructionSDA SkillsDevelopmentActSDF SkillsDevelopmentFacilitatorSDLA SkillsDevelopmentLeviesActSETA Sector Education and Training AuthoritySLA Service Level AgreementSMME Small, Medium and Micro-sized EnterpriseSSETA Services Sector Education and Training AuthoritySSP SectorSkillsPlanSP Strategic PlanTETA Transport Education and Training AuthorityTVET Technical and Vocational Education and TrainingUKZN University of KwaZulu-NatalUniven University of VendaWITS University of the WitwatersrandWSP WorkplaceSkillsPlan
6
ANNUAL REPORT 2017/18
7
PART AGENERAL
INFORMATION
8
THE CETA GENERAL INFORMATION
Registered name of the public entity Construction Education and Training Authority
ISBN number 987-0-621-46283-8
RP number 116/2018
Registered office address183KerkStreet(CornerOldPretoriaMainRoad),
HalfwayHouse,Midrand,1685
Contact telephone numbers +27112655900
Email address [email protected]
Website address www.ceta.org.za
EXTERNAL AUDITOR’S INFORMATION
Auditor-General of South Africa
Physical address 300MiddelStreet
NewMuckleneuk
Pretoria, South Africa
Postal address Box 446
Pretoria
0001
Telephone +27 12 426 8000
Fax +27124268257
BANKER’S INFORMATION
Standard Bank 5SimmondsStreet
Johannesburg
2001
ANNUAL REPORT 2017/18
9
VisionTobeafirmpillarofskillsforallinconstructionandnation-building.
MissionTocreateasolidskillsbaseasafoundationforinfrastructuraldevelopmentandeconomicempowerment
Values » Responsiveness
» Respect
» Integrity
» Professionalism
10
Mrs GNM Pandor (MP)Minister of Higher Education and Training
Submission of the Annual Report to the Executive AuthorityTo theMinisterofHigherEducationandTraining,MrsGNMPandor (MP), Ihave thehonourofsubmitting toyouinaccordancewiththePublicFinanceManagementAct(1of1999),theAnnualReportoftheConstructionEducationandTrainingAuthority(CETA)fortheperiod1April2017to31March2018.
Mr Raymond Cele CETA Chairperson
ANNUAL REPORT 2017/18
11
PART BACCOUNTING
AUTHORITY’S OVERVIEW
12
It is the responsibility of the Accounting Authority to prepare financial Statements that fairly presenttheCETA’s financial positionaswell as thefinancialperformanceandsummaryofthecashflowactivitiesfor the year ending 31 March 2018. The financialstatements comply with GRAP, including any interpretations of such Statements issued by the Accounting Practice Board and with the prescribed Standards of Generally Recognised Accounting Practice(GRAP).
General review of the state of affairsThe Construction Education and Training Authority (CETA) is a Schedule 3A public entity that wasestablishedbytheMinisterofLabouron20March2000.In 2010 all SETAs’ functions were transferred to the DepartmentofHigherEducationandTraining(DHET),which resulted in the CETA subsequently being re-established by the Minister of Higher Education and Trainingwithitscurrentlicenseperiodexpiringon31March2020.
ThemandateoftheCETAistofacilitateandfundskillsdevelopmentintheconstructionsectorinSouthAfrica.
The following are the sub-sectors served by the CETA: • Building Construction• Built Environment Professionals• Materials Manufacturing• Roads and Civil Construction• ElectricalThe CETA maintained a clean audit opinion from the Auditor General for the year under review due to the fact that – among others – appropriate accounting policies which are supported by reasonable and prudent judgements and estimates have been applied on a consistentbasis.
The CETA is therefore responsible forBased on the extended National Skills DevelopmentStrategy(NSDS)III,includingitsownSectorSkillsPlan(SSP),StrategicPlanandAnnualPerformancePlanstheCETA is, mainly responsible for the following:
• Review, development and registration of qualifications
• Accreditation of providers and the registration of practitioners.
Mr Raymond Cele CETA Chairperson
REPORT OF THE ACCOUNTING AUTHORITY TO THE EXECUTIVE AUTHORITY AND PARLIAMENT OF THE REPUBLIC OF SOUTH AFRICA
ACCOUNTING AUTHORITY’S OVERVIEW
ANNUAL REPORT 2017/18
13
• The implementation of quality assurance processes that will enhance and ensure quality provision of training.
• Funding of critical and scarce skills in the sectorthroughtheallocationofdiscretionarygrants.
• The disbursements of mandatory grants based on the submission of Workplace Skills Plans (WSPs)andAnnualTrainingReports(ATRs)byqualifiedandregisteredcompaniesinitssector.
Financial overviewThetotalrevenuefortheyearending31March2018amounted to R740 million consisting of R597 fromleviesandR143millionfromotherincome.
Total expenditure for the year ending 31March 2018amountedtoR504million.Totalexpenditureismadeupof mandatory grants expenditure, discretionary grants expenditureandAdministrativeexpenditure.
The CETA committed R2.3 billion on discretionarygrants projectswhich is backed by reserves.All thereserves are banked with Corporation of PublicDeposits(CPD).
GovernanceThe Accounting Authority of the CETA is constituted in linewiththeprescriptsofitsConstitution.
The following are its Committees:• Executive Committee • Audit Committee • Finance Committee • Core Business Committee • Governance and Strategy Committee • Remuneration CommitteeAll the Committees of the Accounting Authority met as per the requirements of the Constitution and delivered ontheirrespectivemandates.
The CETA has an independent Audit Committee, which ensuresthatthenecessarychecksandbalancesarein place for the organisation to exercise its fiduciaryresponsibility andminimise risk. TheAudit and RiskCommitteefunctionsareinlinewiththeAuditandRiskCommittee Charter and comply with the principles of good corporate governance and with the requirements ofthePublicFinanceManagementAct.Thefunctions
of the Audit Committee include a review as well as an update of the risk analysis by management andinternal audit (Also refer to the Audit Committee’sreportfordetail).
A materiality framework is in place and no instanceoccurred during the year that required an implementation ofthepolicydevelopedinthematerialityframework.
The members of the Accounting Authority of the CETA for the reporting period are as follows:
NAME CONSTITUENCY
Mr Raymond Cele Chairperson
Ms Sibongile Nxumalo Organised Employer
Mr Malusi Ganiso Organised EmployerMr Webster Mfebe Organised EmployerMr Josias Mpe Organised Labour Mr Lesiba Shai Organised Labour Mr Bongani Dlamini Organised Labour MrBhekaniNgcobo Organised LabourMr Piet Matosa Organised Labour MsSankieMolefe Organised Labour Mr Roy Mnisi Organised Employer
In conclusion, I would like to reiterate that there isundoubtedly a need to professionalise the construction sector and this must be coupled with the opening up ofconstructionworkplaceastrainingspacestoallowbothemployedandunemployedpeopletogainskills.Such actions will go a long way in enabling us to deal withexistingskillsshortagesandmismatches. In theyearunder review,goodworkhasbeendoneby theCETA, particularly through the CETA’s consistent focus on achieving specific objectives. However, aswelooktothenewfinancialyear,oursightsarefirmlyset on enabling a Construction sector that grows the country’sskillsbase,aswellasshapingasectorthatis an inclusive and attractive training ground for the SouthAfricanyouth.
Mr Raymond Cele CETA Chairperson
14
AC
CO
UN
TIN
G A
UTH
OR
ITY
MEM
BER
S: B
ack
row
(L-R
): MrW
ebsterMfebe,M
rBhekaniNgcobo,MsSankieMolefe,MrR
aymondCele,MrP
iet
Matosa,MrJosiasMpe.F
ront
row
(L-R
):MrM
alusiG
aniso,MrB
onganiDlamini,MrLesibaShai.
ANNUAL REPORT 2017/18
15
PART CCHIEF EXECUTIVE
OFFICER’S REVIEW
16
Mr Robert SemenyaCETA Acting CEO
It is our pleasure to present the Annual Report of the ConstructionEducationandTrainingAuthority(CETA)fortheyear2017/18.
We are delighted to announce that the CETA maintained its clean audit opinion from theAuditor General (AG)for the year 2017/18. This third clean audit opinion isgrounded on the foundations of a clean administration based on the realisation that the CETA is a public entity in theserviceofhumanity.Thisserviceisrenderedthroughthe delivery of the CETA on its mandate – to fund and facilitateskillsdevelopmentintheconstructionsector.
Further to the above-mentioned clean audit achievement of the CETA, the organization maintained its R0 irregular expenditure as well as its R0 fruitless and wasteful expenditure which it reported over the last few financial years. This is a clear indication ofthe CETA’s commitment to addressing the areas of continuousimprovementsasidentifiedbytheAG.
The overall audit report of the CETA clearly demonstrates that the internal controls are in place, adequate and effective. This is the culmination of the aggressiveprocesses that the CETA put in place over the last few yearsinachievingacleanadministration.
The CETA did not only achieve a clean audit for the third time in a row but it also delivered very strongly on its mandate which is demonstrated through its achievementsinthenumberoflearnersreported.TheCETA reported 29 432 learners for the year underreview and had a commitment of R2,316 billion ofwhichR1,316billionwascommittedtopublicentitiestosupport theirskillsdevelopment.Outof thepublicsector support R474,2 million directly supported the public TVET colleges
The Auditor General audited the reported performance information of the CETA for the following selected programmes which are presented in the Annual Performance Report of the entity for the year ended 31March2018:
• Programme2:SkillsPlanningandReporting• Programme3:LearningProgrammesandProjects
CETA Strategic Imperatives In the delivery of its mandate the CETA identifiedWomen, People with Disability, Youth, Rural and Township Communities and Military Veterans as its strategic priorities through whom the CETA will have focusedskillsdevelopmentinitiatives.
CHIEF EXECUTIVE OFFICER’S REVIEW
ANNUAL REPORT 2017/18
17
In line with its objective to increase the meaningful participation of women within the construction sector, the CETA set a target of ensuring that through its various skills development initiatives, a minimum of40% of its beneficiaries are women. To this end, theprojects implemented in the Financial Year consisted of 51% of the beneficiaries being women. Similarly, inmeeting its strategic imperative with regards to people with disability and youth, 16% of the beneficiaries arepeople with disability for learners on learnership projects whilst 83% of the beneficiaries are young people. TheCETA’s achievements with regards to rural and township developmentaswellasmilitaryveteransisexemplary.Themilitary veterans are supported through Mamuhle projects with 80 learners in learnerships implemented in Ermelo, WitbankandNelspruit.Whilethe800SANMVAlearnerswho registered in various learnerships programmes are spread throughout the nine provinces. Through itsstructured focus in addressing the skills needsof thesedesignated populations, the CETA has ensured allocation of234projectsinruralareas.
Qualifications Development One of the mandates of the CETA is to ensure the review ofexistingandthedevelopmentofnewqualifications.TheCETA has signed MoUs with Industry bodies to develop and implement qualifications.The CETA responded to
thismandatebythedevelopmentfivenewqualificationsof which three are within the civil engineering sub-sectorandtheothertwobeinginthebuildingsubsector.CurrentlytheCETAhasatotaloffifty(50)qualificationsre-registeredontheNationalQualificationsFramework.
Inter-seta Collaboration In line with the envisaged post 2018 SETA landscape which focuses on the need for interSETA collaboration, SSETA and CETA have signed a memorandum of understanding (MoU) according to which selectedstrategic projects are jointly funded and managed by the two SETAs. The partnership is informed by therecognition that most occupations are cross sectoral and as such they are not always adequately served by focusing one sector. The joint projects are strategicalpositionedtoupliftbeneficiariesfrommarginalisedarealike rural areas and township while also embracingspecialiseddesignatedgroupslikepeoplewithdisability,municipalities, military veterans associations, NGOs and faith based organisations. There are currently 18entities jointly funded by the two SETAs to the value of R763millionintendingtobenefit19238learnersthroughvariouslearningpathwayslikelearnerships,Thefundedprojectsaremainly linked topublicentities,NGOsandfaithbasedorganisationsasoutlinedbelow.
No. Project Allocated Learners Allocated Budget Skills Centre
Allocation Total Budget
1 Setsquare Property Developers 10 000 R323215000 R323215000.002 Don Bosco Educational Project 545 R22147500 R5000000 R27147500.003 Beaufort West Local Municipality 971 R29380512.50 R 20 000 000 R49380512.504 Priska 41 R 1 476 000,00 R 26 000 000 R 27 476 000,005 Inxuba Yethemba 547 R23096000.00 R23096000.006 SakhisizweMunicipality 200 R15000000,00 R 21 000 000 R36000000,007 Kokstad 342 R 12 488 000,00 R 18 000 000 R30488000,008 Motheo TVET College 102 R 2 880 000,00 R 2 880 000,009 NorthWest-DepartmentofPublicWorks 577 R 20 920 000,00 R 20 920 000,0010 Namaqua District Municipality 204 R 4 994 000,00 R 8 000 000 R 12 994 000,0011 Mangaung Municipality 509 R 20 000 000,00 R 20 000 000,0012 MDA 1383 R21050500,00 R21050500,0013 DPSA 2200 R45450000,00 R45450000,0014 SANMVA 833 R30000000,00 R30000000,0015 SAHPF 683 R23153450,00 R23000000 R46153450,0016 CSCC 3 R 90 000,00 R 90 000,0017 Rand West City Local Municipality 500 R 18 000 000,00 R 18 000 000,0018 NkonkobeLocalMunicipality 44 R 468 000,00 R 28 466 822 R28934822,28
19684 R 613 809 962 R 149 466 822 R 763 275 784.28
18
Support to Higher Education Institutions As part of its transformation of the sector and its contribution to the development of new professionals in the sector, the CETA took a decision to supporthigher education institutions. This support to highereducation institutions, various from academic support, to programme development, bursaries and lecturer support.
To this end, the CETA supported the Universities of KwaZulu Natal, Witwatersrand, Johannesburg and Vendainvariousinitiatives.TheCETAfurthersupportedthe Cape Peninsula University of Technology, Durban University of Technology, Mangosuthu University of Technologyonvariousinitiatives.
Corporate Services In order to deliver on its mandate, the CETA has a national footprint with offices in all nine provinceswhich are located within public spaces and within easy accessforthevariouscommunitiesitismeanttoserve.
The CETA has a highly competent and committed staffcomplement,whichisverifiedbythecleanauditoutcomes for third consecutive year.TheCETAstaff
compliment of the CETA for the year under review is 110.
Pre-Determined Objectives AnalysisThe CETA’s Annual Performance Plan (APP) for2017/18 provided the plan of action for the year under review.Itwasbasedonanadaptationofthetemplateprescribed by National Treasury for government departments and public institutions. In terms ofstrategicgoalsitrespondsspecificallytothegoalsoftheNationalSkillsDevelopmentStrategy (NSDS) III,with the exception of project management, corporate management and corporate governance goals, which are unique goals aimed at addressing the corporate support management and corporate governance of the ConstructionSETA.
The CETA does not only measure performance against quantitative targets, but also considers qualitative factors that have an impact on the achievement of NSDSIIIobjectives.Furthermore, thereareactivitieswhicharenotpartoftheAPPwhichtheCETAundertookin the main based on requests from DHET, which are notpartofthisanalysis,butwhichwillbereflectedintheAnnualReportoftheCETA.
Mr Robert SemenyaCETA Acting CEO
ANNUAL REPORT 2017/18
19
PAR
T C
: Pr
ogra
mm
e an
d Su
b-Pr
ogra
mm
e Pl
ans
PR
OG
RA
MM
E 1
: AD
MIN
ISTR
ATIO
N
This
pro
gram
me
cons
ists
of t
he fo
llow
ing
sub-
prog
ram
mes
:
1.1CorporateServices
1.2Finance
1.3Governance
1.4Information,Com
municationsandTechnology
Goal:Toprovideethical,strategicleadershipandmanagem
ent.
1.1
Sub-
Prog
ram
me
Cor
pora
te S
ervi
ces
Stra
tegi
c O
bjec
tive
Prov
ide
Effe
ctiv
e H
uman
Cap
ital M
anag
emen
t
Obj
ectiv
e st
atem
ent
Toprovideeffectivehumanresourcemanagem
entw
ithintheCETAforthedeliveryofitsmandate.
Bas
elin
eA
ppro
ved
orga
nogr
am; S
taff
capa
city
; per
form
ance
man
agem
ent s
yste
m
Justification
TobuildrequiredcapacityinordertodeliveronthemandateoftheCETA
.
Links
KeyActsinclude;theO
ccupationalHealthandSafetyAct(OHS);LabourR
elationsAct(LR
A);BasicC
onditionsof
EmploymentA
ct(B
CEA);theEmploymentE
quityAct(E
EA);Com
pensationforInjuriesandDiseaseAct
1.2
Sub-
Prog
ram
me
Fina
nce
Stra
tegi
c O
bjec
tive
Soun
d Fi
nanc
ial M
anag
emen
t and
Acc
urat
e R
epor
ting
Obj
ectiv
e st
atem
ent
Toprovideeffectivefinancialmanagem
entinlinewiththerequirementsofthePFM
A.
Bas
elin
eUnqualifiedAuditOutcome
Justification
Toensureefficientandeffectivesystem
soffinancialm
anagem
ent,internalcontrols,riskmanagem
entandcom
pliance.
Links
PublicFinanceManagem
entA
ct(P
FMA),TreasuryRegulations,andCETAPoliciesandProcedures
20
PRO
GR
AM
ME
1: A
dmin
istr
atio
n
This
pro
gram
me
cons
ists
of t
he fo
llow
ing
sub-
prog
ram
mes
:
1.1
Cor
pora
te S
ervi
ces
1.2
Fina
nce
1.3
Gov
erna
nce
1.4
Info
rmat
ion,
Com
mun
icat
ions
and
Tec
hnol
ogy
Goa
l: To
pro
vide
eth
ical
, str
ateg
ic le
ader
ship
and
man
agem
ent.
1.3
Sub-
Prog
ram
me
Gov
erna
nce
Stra
tegi
c O
bjec
tive
Exem
plar
y C
orpo
rate
Gov
erna
nce
and
Man
agem
ent
Obj
ectiv
e st
atem
ent
Provideeffectivecorporategovernanceandmanagem
entoftheCETAinlinewiththeConstitutionandStrategicPlan.
Bas
elin
eC
ETA
Con
stitu
tion;
Stra
tegi
c P
lan;
PFM
A
Justification
GoodcorporategovernancetobeabletodeliveronthemandateoftheCETA
.
Links
NS
DS
; CE
TA C
onst
itutio
n; P
FMA
; Kin
g IV
; CE
TA P
olic
ies
1.4
Sub-
Prog
ram
me
Info
rmat
ion,
Com
mun
icat
ions
and
Tec
hnol
ogy
Stra
tegi
c ob
ject
ive
Effe
ctiv
e G
over
nanc
e of
ICT
Obj
ectiv
e st
atem
ent
ToprovideaneffectiveICTenvironm
entbasedontheDepartmentofP
ublicServiceandAdm
inistration(DPSA).Including
anIC
Tcorporategovernancefram
eworkinlinewithapplicablecorporategovernanceframew
orks.
Bas
elin
eCETAIC
TGovernanceFram
ework
Justification
Toensureareliable,effectiveandefficientITinfrastructureenvironm
entattheCETA
.
Links
DPSACorporateGovernanceFram
ework(IC
T)
ANNUAL REPORT 2017/18
21
1.1
Stra
tegi
c O
bjec
tive
Ann
ual T
arge
tsPurpose–Toprovidestrategicleadership,m
anagem
entandsupportservicestotheCETA
.
LIN
KS
TO S
TRAT
EGIC
O
BJE
CTI
VES
INPE
RFO
RM
AN
CE
IND
ICAT
OR
S
BA
SELI
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(AU
DIT
ED /
AC
TUA
L PE
RFO
RM
AN
CE)
20
16/2
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NN
ED
TAR
GET
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8
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CH
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T20
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ON
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OM
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NN
ED T
AR
GET
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L A
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R
2017
/201
8
1.1ProvideEffective
Hum
an C
apita
l M
anag
emen
t
95%ofthevacant
positions,arefilledas
per t
he o
rgan
ogra
m
(define“vacant”inTID)
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5%27
%
Targ
et N
ot A
chie
ved
Dur
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the
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ncia
l ye
ar
unde
r re
view
, re
crui
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t pr
iorit
ies
wer
e identifiedw
ithintheorganizationby
themanagem
entteam.
21new
vacancieswerefilled.Allof
thesevacancieswerefilledbyinternal
cand
idat
es,
shou
ld t
hese
vac
anci
es
hadbeenfilledexternalcandidates,
and
the
staf
f com
plim
ent w
ould
hav
e been131employeeswhichinturn
wou
ld h
ave
mea
nt t
hat
the
curr
ent
vacancyrateis14%
.
Furth
er
to
this
, th
ere
wer
e fo
ur
resi
gnat
ions
an
d on
e re
tirem
ent
withintheperiod.Therewerealso
two
posi
tions
adv
ertis
ed w
hich
wer
e unsuccessful.
22
1.1ProvideEffective
Hum
an C
apita
l M
anag
emen
t
Res
ourc
e ca
paci
tatio
n an
d hu
man
cap
ital
train
ing
and
deve
lopm
ent o
f C
ETA
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ff as
per
the
organizationalskills
matrix(define“skills
mat
rix –
num
ber o
f st
aff a
nd p
rogr
amm
es
listed”inTID)
93%
100%
90%
Targ
et N
ot A
chie
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Bur
sarie
s - 1
8 st
aff m
embe
rs h
ave
enrolledforaPIVOTA
Lqualification
thro
ugh
the
Cen
tral U
nive
rsity
of
Technology.
Bur
sarie
s –
14 m
anag
emen
t sta
ff m
embe
rs e
nrol
led
for a
PIV
OTA
L qualificationthroughWitsUniversity.
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rther
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sta
ff m
embe
rs a
re
bein
g fu
nded
by
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CE
TA o
n a
burs
ary
prog
ram
me
with
UN
ISA
and
ICB.
SCMlegislation(S
CMand
BidCom
mittee)training–tw
oin
terv
entio
ns
CapacityBuildingworkshops;
InductionsandPolicyWorkshops–
68interventions.
1.2SoundFinancial
Man
agem
ent a
nd
Acc
urat
e R
epor
ting
Sta
tuto
ry c
ompl
ianc
e re
quire
men
ts a
re
adhe
red
to m
aint
ain
anunqualifiedaudit
opinion.
UnqualifiedAudit
Opi
nion
– C
lean
A
udit
Unqualified
Aud
it O
pini
on
UnqualifiedAudit
Opi
nion
– C
lean
A
udit
Targ
et A
chie
ved
1.3ExemplaryCorporate
Gov
erna
nce
and
Man
agem
ent
Num
ber o
f fun
ctio
nal
gove
rnan
ce s
truct
ures
in
ope
ratio
n to
monitortheefficiency
and
func
tiona
lity
of
the
orga
niza
tion
in
line
with
sta
tuto
ry
requirements.
77
7Ta
rget
Ach
ieve
d
ANNUAL REPORT 2017/18
23
1.3ExemplaryCorporate
Gov
erna
nce
and
Man
agem
ent
Num
ber o
f G
over
nanc
e C
harte
r re
ports
sub
mitt
ed-
44
Targ
et A
chie
ved
1.4EffectiveGovernance
of IC
T
Qua
rterly
ICT
Pro
gres
s R
epor
ts a
re s
ubm
itted
to
the
Aud
it C
omm
ittee
an
d A
ccou
ntin
g Authority.
-4
4Ta
rget
Ach
ieve
d
1.4EffectiveGovernance
of IC
T
Avai
labi
lity
of IC
T sy
stem
s in
the
orga
niza
tion
as p
er th
e ICTplan.
-90
%95%
Targ
et E
xcee
ded
Sys
tem
s w
ere
stab
le a
nd th
e co
mm
itted
SLA
s w
ere
exce
eded
in
rela
tion
to th
e pr
ojec
ted
percentages.
Prog
ram
me
Perf
orm
ance
Indi
cato
rs a
nd A
nnua
l Tar
gets
for M
TEF
2017
/18
Goal:Toprovideethical,strategicleadershipandmanagem
ent.
LIN
KS
TO
STR
ATEG
IC
OB
JEC
TIVE
S IN
PER
FOR
MA
NC
E IN
DIC
ATO
RS
BA
SELI
NE
(AU
DIT
ED /
AC
TUA
L PE
RFO
RM
AN
CE)
20
16/2
017
PLA
NN
ED
TAR
GET
2017
/201
8
AC
TUA
L A
CH
IEVE
MEN
T20
17/2
018
DEV
IATI
ON
FR
OM
PLA
NN
ED T
AR
GET
TO
AC
TUA
L A
CH
IEVE
MEN
T FO
R
2017
/201
8
1.1Provide
Effe
ctiv
e H
uman
Cap
ital
Man
agem
ent
ReduceVacancyrateto5%
17%
5%27
%
Targ
et N
ot A
chie
ved
Dur
ing
the
Fina
ncia
l yea
r und
er
revi
ew, r
ecru
itmen
t prio
ritie
s w
ere
identifiedwithintheorganizationby
themanagem
entteam.
24
21new
vacancieswerefilled.A
llof
thesevacancieswerefilledbyinternal
candidates.S
houldthesevacancies
hadbeenfilledexternalcandidates,
the
staf
f com
plim
ent w
ould
hav
e be
en
thatof131employees,whichinturn
wou
ld h
ave
mea
nt th
at th
e cu
rren
t vacancyrateis14%
.
Furth
er to
this
, the
re w
ere
four
re
sign
atio
ns a
nd o
ne re
tirem
ent
withintheperiod.Therewerealso
two
posi
tions
adv
ertis
ed w
hich
wer
e unsuccessful.
1.1Provide
Effe
ctiv
e H
uman
Cap
ital
Man
agem
ent
% o
f sta
ff tra
ined
or e
nrol
led
in fu
rther
stu
dies
/ re
ceiv
ed
cont
inuo
us d
evel
opm
ent
aspertheskillsmatrix
(informedbythesignedPDP
andstatutoryrequirements).
93%
100%
90%
Targ
et N
ot A
chie
ved
Bur
sarie
s - 1
8 st
aff m
embe
rs h
ave
enrolledforaPIVOTA
Lqualification
thro
ugh
the
Cen
tral U
nive
rsity
of
Technology.
Bur
sarie
s –
14 m
anag
emen
t sta
ff m
embe
rs e
nrol
led
for a
PIV
OTA
L qualificationthroughWitsUniversity.
A fu
rther
two
staf
f mem
bers
are
bei
ng
fund
ed b
y th
e C
ETA
on
a bu
rsar
y programmewithUNISAandICB.
SCMlegislation(S
CMand
BidCom
mittee)training–tw
ointerventions.
CapacityBuildingworkshops;
InductionsandPolicyWorkshops–68
interventions.
ANNUAL REPORT 2017/18
25
1.1Provide
Effe
ctiv
e H
uman
Cap
ital
Man
agem
ent
% o
f em
ploy
ees
with
ap
prov
ed p
erfo
rman
ce p
lans
100%
100%
100%
Targ
et A
chie
ved
1.2Sound
Fina
ncia
l M
anag
emen
t an
d A
ccur
ate
Rep
ortin
g
Quarterlyfinancialreports
are
subm
itted
to D
HE
T-
44
Targ
et A
chie
ved
1.2Sound
Fina
ncia
l M
anag
emen
t an
d A
ccur
ate
Rep
ortin
g
Cre
dito
r pay
men
t age
as
per
theTreasuryRegulations.
30days
30days
30days
Targ
et A
chie
ved
1.3Exemplary
Cor
pora
te
Gov
erna
nce
and
Man
agem
ent
Num
ber o
f fun
ctio
nal
gove
rnan
ce c
omm
ittee
s m
eetin
g on
a q
uarte
rly b
asis
to
pro
vide
ove
rsig
ht o
n th
e de
liver
y of
the
CE
TA’s
m
anda
te a
nd p
rovi
de
guidance.
77
7Ta
rget
Ach
ieve
d
1.3Exemplary
Cor
pora
te
Gov
erna
nce
and
Man
agem
ent
Num
ber o
f Gov
erna
nce
Cha
rter r
epor
ts s
ubm
itted
-4
4Ta
rget
Ach
ieve
d
1.3Exemplary
Cor
pora
te
Gov
erna
nce
and
Man
agem
ent
App
rove
d de
lega
tion
of
AuthorityFram
ework
App
rove
d D
eleg
atio
n of
Aut
horit
y
App
rove
d D
eleg
atio
n of
A
utho
rity
App
rove
d D
eleg
atio
n of
A
utho
rity
Targ
et A
chie
ved
26
1.3Exemplary
Cor
pora
te
Gov
erna
nce
and
Man
agem
ent
Pol
icie
s an
d pr
oced
ures
ar
e re
view
ed a
nd a
ppro
ved
annually.
App
rove
d po
licie
s an
d pr
oced
ures
App
rove
d po
licie
s an
d pr
oced
ures
App
rove
d po
licie
s an
d pr
oced
ures
Targ
et A
chie
ved
1.4Effective
Gov
erna
nce
of
ICT
ICT
Cha
rter a
nd
ICT
Stra
tegi
c an
d Im
plem
enta
tion
Pla
n ar
e approvedannually.
1
App
rove
d IC
T C
harte
r an
d IC
T S
trate
gic
and
Impl
emen
tatio
n P
lan
App
rove
d IC
T C
harte
r and
ICT
Stra
tegi
c an
d Im
plem
enta
tion
Pla
n
Targ
et A
chie
ved
1.4Effective
Gov
erna
nce
of
ICT
Qua
rterly
ICT
Pro
gres
s R
epor
ts a
re s
ubm
itted
to
the
Aud
it C
omm
ittee
and
AccountingAuthority.
-4
4Ta
rget
Ach
ieve
d
PRO
GR
AM
ME
2: S
kills
Pla
nnin
g an
d R
epor
ting
This
pro
gram
me
cons
ists
of t
he fo
llow
ing
sub-
prog
ram
mes
: 1.
1 S
kills
Pla
nnin
g1.
2 R
epor
ting
Goa
l: To
ens
ure
a cr
edib
le m
echa
nism
for s
kills
pla
nnin
g an
d re
port
ing
in th
e co
nstr
uctio
n se
ctor
.
2.1
Sub-
Prog
ram
me
Skill
s Pl
anni
ng
Stra
tegi
c O
bjec
tive
Sect
or S
kills
Nee
ds A
ddre
ssed
Obj
ectiv
e st
atem
ent
Toensureeffectiveplanningandaddresstheskillsprioritiesinthesector.
Bas
elin
eSectorS
killsPlans;W
orkplaceSkillsPlan;AnnualTrainingReport
Justification
Suitablytrainedworkforceintheconstructionsector.
Links
LabourMarketIntelligenceProgram
me(LMIP);EmploymentE
quityReports(Labour);S
tatsSA(labourforcesurvey)
NSDSIIILink
4.1Establishingacredibleinstitutionalm
echanism
forskillsplanning.
4.2Increasingaccesstooccupationally-directedprogram
mes.
ANNUAL REPORT 2017/18
27
2.2
Sub-
Prog
ram
me
Rep
ortin
g
Stra
tegi
c O
bjec
tive
Skill
s Pe
rfor
man
ce R
epor
ting
Obj
ectiv
e st
atem
ent
Toensureaccuratereportingofsectorskillsdevelopmentinitiatives.
Bas
elin
eQ
uarte
rly P
erfo
rman
ce R
epor
t; A
nnua
l Per
form
ance
Rep
ort
Justification
Alltraininginterventionsareaccuratelyreportedtoensurefurtherskillsplanning.
Links
Trea
sury
Per
form
ance
Info
rmat
ion
Gui
delin
es; D
HE
T P
erfo
rman
ce In
form
atio
n G
uide
lines
NSDSIIILink
4.2Increasingaccesstooccupationally-directedprogram
mes.
Stra
tegi
c O
bjec
tive
Ann
ual T
arge
tsG
oal:
To e
nsur
e a
cred
ible
mec
hani
sm fo
r ski
lls p
lann
ing
and
repo
rtin
g in
the
cons
truc
tion
sect
or.
LIN
KS
TO S
TRAT
EGIC
O
BJE
CTI
VES
INPE
RFO
RM
AN
CE
IND
ICAT
OR
S
BA
SELI
NE
(AU
DIT
ED /
AC
TUA
L PE
RFO
RM
AN
CE)
20
16/2
017
PLA
NN
ED T
AR
GET
2017
/201
8A
CTU
AL
AC
HIE
VEM
ENT
2017
/201
8
DEV
IATI
ON
FR
OM
PL
AN
NED
TA
RG
ET T
O
AC
TUA
L A
CH
IEVE
MEN
T FO
R 2
017/
2018
2.1SectorS
killsNeeds
Add
ress
ed
Num
ber o
f lev
y pa
ying
mem
bers
w
ith s
ubm
itted
and
ap
prov
ed W
SP
s an
d AT
Rs
that
con
tribu
te to
th
e de
velo
pmen
t of t
he
SSP.
2 19
22050
2345
Targ
et E
xcee
ded
The
CE
TA c
ondu
cted
stakeholderengagem
ent
sess
ions
to s
uppo
rt le
vy p
ayin
g en
titie
s in
en
surin
g su
bmis
sion
of
theirW
SPsandAT
Rs.
This
ach
ieve
men
t ex
clud
es 9
non
levy
-pa
ying
ent
ities
that
subm
ittedW
SPs.
2.2SkillsPerformance
Rep
ortin
g
Ens
urin
g ac
cura
te a
nd
com
plia
nt re
porti
ng o
n C
ETA
Per
form
ance
In
form
atio
n
-4
4Ta
rget
Ach
ieve
d
28
Prog
ram
me
Perf
orm
ance
Indi
cato
rs a
nd A
nnua
l Tar
gets
for M
TEF
2017
/18
Goa
l: To
ens
ure
a cr
edib
le m
echa
nism
for s
kills
pla
nnin
g an
d re
port
ing
in th
e co
nstr
uctio
n se
ctor
.
LIN
KS
TO
STR
ATEG
IC
OB
JEC
TIVE
S IN
PER
FOR
MA
NC
E IN
DIC
ATO
RS
BA
SELI
NE
(AU
DIT
ED /
AC
TUA
L PE
RFO
RM
AN
CE)
20
16/2
017
PLA
NN
ED T
AR
GET
2017
/201
8A
CTU
AL
AC
HIE
VEM
ENT
2017
/201
8
DEV
IATI
ON
FR
OM
PL
AN
NED
TA
RG
ET T
O
AC
TUA
L A
CH
IEVE
MEN
T FO
R 2
017/
2018
2.1SectorS
kills
Nee
ds A
ddre
ssed
Num
ber o
f lev
y pa
ying
m
embe
rs w
ith s
ubm
itted
and
ap
prov
ed W
SP
s an
d AT
Rs
that
co
ntrib
ute
to th
e de
velo
pmen
t oftheSSP.
2 19
22050
2345
Targ
et E
xcee
ded
The
CE
TA c
ondu
cted
stakeholderengagem
ent
sess
ions
to s
uppo
rt le
vy p
ayin
g en
titie
s in
en
surin
g su
bmis
sion
of
theirW
SPsandAT
Rs.
This
ach
ieve
men
t ex
clud
es n
ine
non
levy
-pa
ying
ent
ities
that
subm
ittedW
SPs.
2.1SectorS
kills
Nee
ds A
ddre
ssed
OneSDFworkshopper
prov
ince
per
ann
um o
n W
SP
and
ATR
com
pila
tion
and
subm
ission.
99
10
Targ
et E
xcee
ded
The
CE
TA c
ondu
cted
oneadditionalw
orkshop
for t
he E
aste
rn C
ape
due
to th
e va
st lo
catio
n ofstakeholdersinthe
prov
ince
not
bei
ng
centralised.
ANNUAL REPORT 2017/18
29
LIN
KS
TO
STR
ATEG
IC
OB
JEC
TIVE
S IN
PER
FOR
MA
NC
E IN
DIC
ATO
RS
BA
SELI
NE
(AU
DIT
ED /
AC
TUA
L PE
RFO
RM
AN
CE)
20
16/2
017
PLA
NN
ED T
AR
GET
2017
/201
8A
CTU
AL
AC
HIE
VEM
ENT
2017
/201
8
DEV
IATI
ON
FR
OM
PL
AN
NED
TA
RG
ET T
O
AC
TUA
L A
CH
IEVE
MEN
T FO
R 2
017/
2018
2.1SectorS
kills
Nee
ds A
ddre
ssed
Pro
duce
an
upda
ted
and
approvedSectorS
killsPlan
alig
ned
to th
e D
HE
T S
SP
Fram
ework.
11
1Ta
rget
Ach
ieve
d
2.2Skills
Per
form
ance
R
epor
ting
Qua
rterly
Mon
itorin
g R
epor
ts
(QMR)aresubmittedtoDHET
andvalidationreportsarekept.
-4
4Ta
rget
Ach
ieve
d
PRO
GR
AM
ME
3: L
earn
ing
Prog
ram
mes
and
Pro
ject
sTh
is p
rogr
amm
e co
nsis
ts o
f the
follo
win
g su
b-pr
ogra
mm
es:
1.1
Impl
emen
tatio
n of
lear
ning
pro
gram
mes
e.g
.:•
Shor
t Ski
lls P
rogr
amm
es•
Lear
ners
hips
• A
ppre
ntic
eshi
ps
• R
ecog
nitio
n of
Prio
r Lea
rnin
g1.
2 G
radu
ate
Plac
emen
ts1.
3 D
evel
opm
ent o
f Ski
lls C
entr
es1.
4 D
evel
opm
ent a
nd S
uppo
rt o
f SM
ME’
s, C
o-op
s, N
GO
s, C
BO
s &
NPO
s1.
5 Pa
rtne
rshi
ps1.
6 B
ursa
ries
1.7
Car
eer a
nd v
ocat
iona
l gui
danc
e1.
8 C
ertifi
catio
n (e
xclu
ding
trad
es)
Goa
l: To
add
ress
ski
lls p
riorit
ies
with
in th
e co
nstr
uctio
n se
ctor
.
3.1
Sub-
Prog
ram
me
Impl
emen
tatio
n of
Lea
rnin
g Pr
ogra
mm
es
Stra
tegi
c O
bjec
tive
A sk
illed
and
cap
able
wor
kfor
ce w
ithin
con
stru
ctio
n se
ctor
.
Obj
ectiv
e st
atem
ent
Toensuretheskillsneedsinthesectorareaddressedwithadequatelyskilledworkforce.
Bas
elin
eStrategicPlan;AnnualPerformancePlan;SectorS
killsPlan
30
3.1
Sub-
Prog
ram
me
Impl
emen
tatio
n of
Lea
rnin
g Pr
ogra
mm
es
Stra
tegi
c O
bjec
tive
A sk
illed
and
cap
able
wor
kfor
ce w
ithin
con
stru
ctio
n se
ctor
.
Justification
Acapacitated,empoweredandappropriatelyskilledworkforcewithintheConstructionsphere
Links
CE
TA G
rant
s P
olic
y; P
IVO
TAL
List
NSDSIIILink
4.2Increasingaccesstooccupationally-directedprogram
mes.
3.2
Sub-
Prog
ram
me
Gra
duat
e Pl
acem
ents
Stra
tegi
c O
bjec
tive
A Tr
ansf
orm
ed B
uilt
Envi
ronm
ent P
rofe
ssio
n
Obj
ectiv
e st
atem
ent
To a
ddre
ss tr
ansf
orm
atio
n ch
alle
nges
with
in th
e bu
ilt e
nviro
nmen
t thr
ough
incr
easi
ng a
cces
s to
bui
lt en
viro
nmen
t professionsforindividualsfrom
previouslydisadvantagedgroups.
Bas
elin
eEmploymentE
quityReport;ConstructionIndustryCharter;SurveyReports;S
ectorS
killsPlan
Justification
Toaddressthecurrentdem
ographicim
balancesandtoachieveequitywithinthebuiltenvironm
entprofessions.
Links
BB
BE
E; C
onst
ruct
ion
Indu
stry
Cha
rter C
odes
NSDSIIILink
4.2Increasingaccesstooccupationally-directedprogram
mes.
3.3
Sub-
Prog
ram
me
Dev
elop
men
t of S
kills
Cen
tres
Stra
tegi
c O
bjec
tive
Gre
ater
Acc
ess
By
Mar
gina
lized
Com
mun
ities
To
Skill
s D
evel
opm
ent T
hrou
gh In
fras
truc
tura
l Sup
port
Obj
ectiv
e st
atem
ent
Toensureincreasedaccesstoskillsdevelopmentprogram
mesbymarginalisedcom
munitiesthroughtheconstructionof
skillsdevelopm
entcentres.
Bas
elin
eCETASituationalAnalysisResearchReport(SkillsDevelopmentInstitutes);SectorS
killsPlan
Justification
Toaddressthelackoftechnicalinfrastructurecapacityforskillstraininginmarginalizedcom
munities.
Links
SkillsDevelopmentA
ct;C
ETAGrantsPolicy;GrantRegulations;N
ationalD
evelopmentP
lan
3.4
Sub-
Prog
ram
me
Dev
elop
men
t and
Sup
port
Of S
MM
E’s,
CO
-OPs
, NG
Os,
CB
Os
& N
POs
Stra
tegi
c O
bjec
tive
A Vi
bran
t Civ
il So
ciet
y En
gage
men
t In
Skill
s D
evel
opm
ent W
ithin
The
Con
stru
ctio
n Se
ctor
Obj
ectiv
e st
atem
ent
ToachievesustainabledevelopmentthroughincreasedparticipationofSMME’S,C
o-ops,NGOs,CBOs,NPOsinskills
developm
entintheconstructionsector.
Bas
elin
eSectorS
killsPlan;CETASMMEProgram
me
Justification
Toaddresstheimbalanceswithintheconstructionsector.
Links
Nat
iona
l SM
ME
Stra
tegy
; Com
preh
ensi
ve R
ural
Dev
elop
men
t Pro
gram
me;
Sta
ts S
A S
urve
y of
Em
ploy
ers
and
Sel
f E
mpl
oyed
NSDSIIILink
4.6Encouragingandsupportingcooperatives,smallenterprises,w
orkerinitiated,NGOandcom
munitytraining
initiatives.
ANNUAL REPORT 2017/18
31
3.5
Sub-
Prog
ram
me
Part
ners
hips
Stra
tegi
c O
bjec
tive
Stre
ngth
ened
Col
labo
ratio
n an
d Pa
rtne
rshi
ps fo
r ski
lls d
evel
opm
ent i
n th
e co
nstr
uctio
n se
ctor
Obj
ectiv
e st
atem
ent
Toensureawiderim
pact,includingagreaterreachandamultisectorialapproachtoskillsdevelopment.
Bas
elin
eSignedMem
orandumofU
nderstanding(M
OU);SectorS
killsPlan
Justification
TogiveeffecttotheobjectiveoftheConstitutionofinter-Governm
entalcollaborations.
Links
NSDSIII;SectorS
killsPlan
NSDSIIILink
4.3Promotingthegrow
thofapublicTVETcollegesystemthatisresponsivetosector,local,regionalandnationalskills
need
s an
d pr
iorit
ies
4.5Encouragingbetteruseofw
orkplace-basedskillsdevelopment
4.7Increasingpublicsectorcapacityforimprovedservicedeliveryandsupportingthebuildingofadevelopmentalstate
Item6.B
uildingpartnershipsforaskillsrevolution
3.6
Sub-
Prog
ram
me
Bur
sarie
s
Stra
tegi
c O
bjec
tive
An
incr
ease
d po
ol o
f ski
lled
and
com
pete
nt g
radu
ates
to e
nter
the
cons
truc
tion
sect
or
Obj
ectiv
e st
atem
ent
Toprovidefinancialsupporttodeservingstudentsfrompreviouslydisadvantagedcommunitiesinth
emain,to
enrolfo
rstudiesrelevanttotheconstructionsector.
Bas
elin
eC
ETA
fund
ed b
ursa
ries
Justification
To a
ddre
ss s
ocio
eco
nom
ic c
halle
nges
face
d by
lear
ners
in th
e m
ain-
tow
nshi
p an
d ru
ral l
earn
ers
Links
RuralDevelopmentS
trategyoftheCountry;N
SDSIII;SectorS
killsPlan;#FeesMustFallcam
paign
NSDSIIILink
4.2Increasingaccesstooccupationally-directedprogram
mes.
3.7
Sub-
Prog
ram
me
Car
eer a
nd V
ocat
iona
l Gui
danc
e
Stra
tegi
c O
bjec
tive
Incr
ease
d kn
owle
dge
and
inte
rest
in th
e co
nstr
uctio
n ca
reer
s.
Obj
ectiv
e st
atem
ent
Toattractnew
entrantsintotheconstructionsectoroccupations.
Bas
elin
eC
ETA
Car
eer G
uide
; CE
TA c
aree
r exh
ibiti
ons
Justification
Promotepostschooleducationandtrainingopportunitieswithintheconstructionsector.
Links
NSDSIII;SectorS
killsPlan
NSDSIIILink
4.8Buildingcareerandvocationalguidance
32
3.8
Sub-
Prog
ram
me
CER
TIFI
CAT
ION
(EXC
LUD
ING
TR
AD
ES)
Stra
tegi
c O
bjec
tive
Incr
ease
d th
roug
hput
of l
earn
ers
on a
ccre
dite
d co
nstr
uctio
n pr
ogra
mm
es th
roug
h a
stre
ngth
ened
cer
tifica
tion
proc
ess.
Obj
ectiv
e st
atem
ent
ToawardsuccessfullearnerswithvalidrecognisedcertificatesandStatementofA
chievements.
Bas
elin
eNLR
DUploads,Q
MRReportingofcertifiedlearners
Justification
To c
ondu
ct e
xter
nal m
oder
atio
n of
the
asse
ssm
ents
in o
rder
to e
nsur
e th
at th
e qu
ality
sta
ndar
d is
mai
ntai
ned
by a
ccre
dite
d CETAtrainingproviders.A
swellasrewardqualifyinglearnerswithrecognizedcertificates.
Links
NSDSIII;SectorS
killsPlan
3.1
Prog
ram
me
Perf
orm
ance
Indi
cato
rs a
nd A
nnua
l Tar
gets
for M
TEF
2017
/18
Sub-
Prog
ram
me:
Impl
emen
tatio
n of
Lea
rnin
g Pr
ogra
mm
es
Purp
ose/
Stra
tegi
c O
bjec
tive:Askilledandcapableworkforceintheconstructionsector
NSD
S III
Lin
k: G
oal 4
.2 - Increasingaccesstooccupationally-directedprogram
mesintheconstructionSector.
LIN
KS
TO
STR
ATEG
IC
OB
JEC
TIVE
S IN
PER
FOR
MA
NC
E IN
DIC
ATO
RS
BA
SELI
NE
(AU
DIT
ED /
AC
TUA
L PE
RFO
RM
AN
CE)
20
16/2
017
PLA
NN
ED
TAR
GET
2017
/201
8
AC
TUA
L A
CH
IEVE
MEN
T20
17/2
018
DEV
IATI
ON
FR
OM
PLA
NN
ED T
AR
GET
TO
AC
TUA
L A
CH
IEVE
MEN
T FO
R 2
017/
2018
3.1.
2Le
arne
rshi
ps E
nter
ed
a)Unemployed
lear
ners
per
yea
r2821(funded)
2750(funded)
3420
Targ
et E
xcee
ded
The
CE
TA h
as e
nsur
ed in
crea
sed
supp
ort t
o en
titie
s im
plem
entin
g C
ETA
-fund
ed le
arne
rshi
p projectsthroughcapacitybuildingworkshopsby
theExecutiveforstakeholdersaswellasJPMTs.
This
resu
lted
in m
ore
entit
ies
bein
g co
mpl
iant
with
th
e re
quire
men
ts o
f the
CE
TA a
nd th
eref
ore
mor
e CETA
-fundedprojectsbeingimplem
ented.
ANNUAL REPORT 2017/18
33
832(Unfunded)
350(Unfunded)
1 17
8
Targ
et E
xcee
ded
The
CE
TA h
as in
crea
sed
supp
ort a
nd re
sour
ces
to
assi
st e
ntiti
es w
ith th
e re
gist
ratio
n of
lear
ners
for
unfundedprojects.
Outofthe1178learnersreported,only623
lear
ners
wer
e en
tere
d in
the
prev
ious
repo
rting
periodsbutwerenotreported.
b)Employed
lear
ners
per
yea
r
0(funded)
0(funded)
-N
ot m
easu
red
and
ther
efor
e th
ere
is n
o de
viat
ion
againstthistarget.Thisperformanceindicatoris
includedasperD
HETSLATem
plate.
329(Unfunded)
52(U
nfunded)
64
Targ
et E
xcee
ded
The
CE
TA h
as in
crea
sed
supp
ort a
nd re
sour
ces
to a
ssis
t ent
ities
with
regi
stra
tion
of le
arne
rs fo
r unfundedprojects.
Out
of t
he 6
4 le
arne
rs re
porte
d, o
nly
four
of t
he
lear
ners
wer
e en
tere
d in
the
prev
ious
per
iod
but
werenotreported.
Lear
ners
hips
Com
plet
ed
a)Unemployed
lear
ners
per
yea
r1745(funded)
1375(funded)
1 98
1
Targ
et E
xcee
ded
In s
uppo
rt of
the
deca
de o
f the
arti
san,
the
CE
TA
has
also
ens
ured
incr
ease
d su
ppor
t to
entit
ies
impl
emen
ting
CE
TA-fu
nded
app
rent
ices
hip
projectsthroughcapacitybuildingworkshopsby
theExecutiveforstakeholdersaswellasJPMTs.
The
CE
TA h
as th
us m
anag
ed to
exc
eed
the
targ
et
thro
ugh
ensu
ring
lear
ners
ent
ered
in th
e pr
evio
us
financialyearscom
pleteandexitprogrammes.
34
758(Unfunded)
175(Unfunded)
1 41
1
Targ
et E
xcee
ded
This
is d
ue to
the
CE
TAs
cons
tant
and
act
ive
role
inensuringmoderationandcertificationoflearners
that
hav
e co
mpl
eted
trai
ning
as
wel
l as
com
plia
nce
byindustryandtrainingproviders.
b)Employed
lear
ners
per
yea
r
0(funded)
0(funded)
0N
ot m
easu
red
and
ther
efor
e th
ere
is n
o de
viat
ion
againstthistarget.Thisperformanceindicatoris
includedasperD
HETSLATem
plate.
422(Unfunded)
25(U
nfunded)
97
Targ
et E
xcee
ded
This
is d
ue to
the
CE
TAs
cons
tant
and
act
ive
role
inensuringexternalmoderationandcertificationof
learnersthathavecompletedtraining.
Skill
s Pr
ogra
mm
es E
nter
ed
a)Unemployed
lear
ners
per
yea
r 1170(funded)
1200(funded)
2605
Targ
et E
xcee
ded
The
CE
TA h
as e
nsur
ed in
crea
sed
supp
ort
toentitiesim
plem
entingCETA
-fundedskills
prog
ram
me
proj
ects
thro
ugh
capa
city
bui
ldin
g workshopsbytheExecutiveforstakeholdersas
wellasJPMTs.Thisresultedinmoreentities
bein
g co
mpl
iant
with
the
requ
irem
ents
of t
he C
ETA
an
d th
eref
ore
mor
e C
ETA
-fund
ed p
roje
cts
bein
g implem
ented.
846(Unfunded)
250(Unfunded)
736
Targ
et E
xcee
ded
The
CE
TA h
as in
crea
sed
supp
ort a
nd re
sour
ces
to a
ssis
t ent
ities
with
regi
stra
tion
of le
arne
rs fo
r unfundedprojects.
ANNUAL REPORT 2017/18
35
b)Employed
lear
ners
per
yea
r
147(funded)
0(funded)
129
Notmeasured.How
ever,theCETAhadnotarget
for t
his
indi
cato
r yet
it m
anag
ed to
ach
ieve
a to
tal
of 1
29 le
arne
rs e
nter
ed a
s a
resu
lt of
pro
ject
s fundedthroughdiscretionarygrants.
115(Unfunded)
125(Unfunded)
344
Targ
et E
xcee
ded
The
CE
TA h
as in
crea
sed
supp
ort a
nd re
sour
ces
to
assi
st e
ntiti
es w
ith th
e re
gist
ratio
n of
lear
ners
for
unfundedprojects.
Skill
s Pr
ogra
mm
es C
ompl
eted
a)Unemployed
lear
ners
per
yea
r
369(funded)
600(funded)
2073
Targ
et E
xcee
ded
This
is d
ue to
the
CE
TAs
cons
tant
and
act
ive
role
inensuringexternalmoderationandcertificationof
learnersthathavecompletedtraining.
1982(Unfunded)
125(Unfunded)
639
Targ
et E
xcee
ded
This
is d
ue to
the
CE
TAs
cons
tant
and
act
ive
role
inensuringmoderationandcertificationoflearners
that
hav
e co
mpl
eted
trai
ning
as
wel
l as
com
plia
nce
byindustryandtrainingproviders.
b)Employed
lear
ners
per
yea
r 0(funded)
0(funded)
0N
ot m
easu
red,
ther
efor
e th
ere
is n
o de
viat
ion
againstthistarget.Thisperformanceindicatoris
includedasperD
HETSLATem
plate.
2654(Unfunded)
63(U
nfunded)
668
Targ
et E
xcee
ded
This
is d
ue to
the
CE
TAs
cons
tant
and
act
ive
role
inensuringexternalmoderationandcertification
of le
arne
rs th
at h
ave
com
plet
ed tr
aini
ng a
s w
ell a
s compliancebyindustryandtrainingproviders.
36
Art
isan
Ent
ered
a)Unemployed
lear
ners
per
yea
r
2595(funded)
3000(funded)
5801
Targ
et E
xcee
ded
In s
uppo
rt of
the
deca
de o
f the
arti
san,
the
CE
TA
has
also
ens
ured
incr
ease
d su
ppor
t to
entit
ies
impl
emen
ting
CE
TA-fu
nded
app
rent
ices
hip
projectsthroughcapacitybuildingworkshopsby
theExecutiveforstakeholdersaswellasJPMTs.
This
has
resu
lted
in m
ore
entit
ies
bein
g co
mpl
iant
w
ith th
e re
quire
men
ts o
f the
CE
TA a
nd th
eref
ore
moreCETA
-fundedprojectsbeingimplem
ented.
634(Unfunded)
500(Unfunded)
1 62
6
Targ
et E
xcee
ded
The
CE
TA h
as e
nsur
ed s
uppo
rt an
d re
sour
ces
to a
ssis
t ent
ities
with
regi
stra
tion
of le
arne
rs fo
r unfundedprojects.769oftheselearnerswere
unem
ploy
ed le
arne
rs fu
nded
by
the
Ser
vice
s S
ETA
th
roug
h jo
int p
artn
ersh
ip p
roje
cts
and
repo
rted
as
unfunded.
b)Employed
lear
ners
per
yea
r
426(funded)
0(funded)
490
Not
mea
sure
d, a
lthou
gh th
e C
ETA
had
no
targ
et,
it ac
hiev
ed 4
90 le
arne
rs w
ho w
ere
ente
red
due
to
proj
ect a
lloca
tions
from
pre
viou
s ye
ars
and
thos
e undergoingtradetesting.
1026(Unfunded)
0(Unfunded)
413
Not
mea
sure
d, a
lthou
gh th
e C
ETA
had
no
targ
et,
itmanagedtoachieve413learnerswhowere
ente
red
due
to s
ubm
issi
ons
mos
tly fo
r tra
de te
stin
g asreceivedfrom
industry.
ANNUAL REPORT 2017/18
37
Art
isan
Com
plet
ed
a)Unemployed
lear
ners
per
yea
r 15(funded)
1500(funded)
1511
Targ
et N
ot A
chie
ved
The
CE
TA h
as p
rovi
ded
incr
ease
d su
ppor
t by
esta
blis
hing
an
Arti
sana
l Dev
elop
men
t Uni
t as
per
the
new
app
rove
d or
gano
gram
to e
nsur
e co
ntin
ued
supp
ort t
o en
titie
s im
plem
entin
g ar
tisan
al p
roje
cts
aswellassupportthroughJPMTs.
Thi
s is
due
to fu
nded
lear
ners
hav
ing
com
plet
ed
theirfinalyearapprenticeshipandwerefound
com
pete
nt th
roug
h tra
de te
stin
g w
ith s
ome
bein
g certificatedbytheQCTO
.
Outofthe1511learnersreported,49ofthese
lear
ners
com
plet
ed in
the
prev
ious
repo
rting
periodsbutwereneverreported.
159(Unfunded)
250(Unfunded)
265
Targ
et E
xcee
ded
The
CE
TA h
as in
crea
sed
supp
ort a
nd re
sour
ces
toassistentitieswithcertificationoflearnersfor
unfundedprojects.
Outofthe265learnersreported,tw
oofthese
lear
ners
com
plet
ed in
the
prev
ious
repo
rting
periodsbutwerenotreported.
b)Employed
lear
ners
per
yea
r17(funded)
0(funded)
124
Not
mea
sure
d, a
lthou
gh th
e C
ETA
had
no
targ
et,
the
CE
TA h
as a
chie
ved
124
lear
ners
who
had
co
mpl
eted
due
to p
roje
ct a
lloca
tions
from
pre
viou
s ye
ars
and
are
repo
rted
as c
ompl
eted
in th
e financialyearunderreview
.
Outofthe124learnersreported,32ofthese
lear
ners
com
plet
ed in
the
prev
ious
repo
rting
periodsbutwerenotreported.
38
723(Unfunded)
-(Unfunded)
60
Not
mea
sure
d al
thou
gh th
e C
ETA
had
no
targ
et,
the
CE
TA h
as a
chie
ved
60 le
arne
rs c
ompl
eted
du
e to
com
pete
nt le
arne
rs tr
aine
d by
indu
stry
and
requestsforcertificationsubm
ittedforlearners
throughtheCETA
.
3.1.2
Num
ber o
f bu
rsar
ies
ente
red:
Une
mpl
oyed
le
arne
rs p
er y
ear
652
600(funded)
759
Targ
et E
xcee
ded
Ove
r and
abo
ve th
e bu
rsar
y su
ppor
t to
publ
ic
Uni
vers
ities
and
ent
ities
in th
e co
nstru
ctio
n se
ctor
, th
e C
ETA
has
ext
ende
d th
e bu
rsar
y su
ppor
t topublicTVETlearnersundertakingNational
CertificateVocationalqualifications.CETA
has
also
ens
ured
incr
ease
d su
ppor
t to
entit
ies
impl
emen
ting
CE
TA-fu
nded
bur
sary
pro
ject
s throughcapacitybuildingworkshopsbythe
Executiveforstakeholders.
3.1.2
Num
ber o
f bu
rsar
ies
com
plet
ed:
Une
mpl
oyed
le
arne
rs p
er y
ear
6680(funded)
94
Targ
et E
xcee
ded
This
is d
ue to
pre
viou
s fu
nded
lear
ners
hav
ing
had
successfullycom
pletedtheirqualificationsasa
resu
lt of
fund
ing
oppo
rtuni
ties
mad
e av
aila
ble
by
theCETA
.
3.1.2
Num
ber o
f in
tern
ship
s en
tere
d:
Une
mpl
oyed
le
arne
rs p
er y
ear
187
500(funded)
537
Targ
et E
xcee
ded
Inthe2016/17financialyear,theCETAhas
adve
rtise
d fo
r dis
cret
iona
ry g
rant
s fo
r int
erns
hips
fo
r im
plem
enta
tion
whi
ch c
ontri
bute
d to
the
achievem
ent.Thisalsoincludesprojectswithold
allo
catio
ns th
at w
ere
revi
ved
thro
ugh
mot
ivat
ed
supportbytheCETA
.TheCETAhasalsoensured
incr
ease
d su
ppor
t to
entit
ies
impl
emen
ting
CE
TA-
fund
ed b
ursa
ry p
roje
cts
thro
ugh
capa
city
bui
ldin
g workshopsbytheExecutiveforstakeholders.
ANNUAL REPORT 2017/18
39
3.1.2
Num
ber o
f in
tern
ship
s co
mpl
eted
:
Une
mpl
oyed
le
arne
rs p
er y
ear
117
250(funded)
82
Targ
et N
ot A
chie
ved
This
is d
ue to
the
low
num
ber o
f int
erns
com
plet
ed
in li
ne w
ith th
ose
that
ent
ered
in th
e pr
evio
us
year/s.
Outofthe82learnersreported,36ofthese
lear
ners
com
plet
ed in
the
prev
ious
repo
rting
periodsbutwereneverreported.
3.1.2
Num
ber o
f TV
ET
Stu
dent
/Gra
duat
e P
lace
men
ts
ente
red
per
yea
r
162
100(funded)
227
Targ
et E
xcee
ded
The
CE
TA h
as p
rovi
ded
incr
ease
d su
ppor
t to
publ
ic T
VE
T C
olle
ges
impl
emen
ting
CE
TA-fu
nded
co
nstru
ctio
n pr
ojec
ts th
roug
h ca
paci
ty b
uild
ing
workshopsbytheExecutiveforstakeholdersas
wellasJPMTs.ThishasresultedinmoreTV
ET
Col
lege
s be
ing
com
plia
nt w
ith th
e re
quire
men
ts
of th
e C
ETA
and
ther
efor
e m
ore
CE
TA-fu
nded
projectsbeingim
plem
ented.
3.1.2
Num
ber o
f TV
ET
Stu
dent
/Gra
duat
e P
lace
men
ts
com
plet
ed p
er
year
4650(funded)
57
Targ
et E
xcee
ded
The
CE
TA h
as p
rovi
ded
incr
ease
d su
ppor
t to
publ
ic T
VE
T C
olle
ges
impl
emen
ting
CE
TA-
fundedconstructionprojects.Thishasresulted
in m
ore
TVE
T C
olle
ges
bein
g co
mpl
iant
with
the
requ
irem
ents
of t
he C
ETA
and
ther
efor
e m
ore
CE
TA-fu
nded
pro
ject
s be
ing
impl
emen
ted
and
completed.
40
3.1.2
Num
ber o
f HE
T S
tude
nts
ente
red
peryear(P1,
P2
/ Lea
rner
pl
acem
ent i
n workplaces)
100
100(funded)
188
Targ
et E
xcee
ded
The
CE
TA h
as p
rovi
ded
incr
ease
d su
ppor
t to
UniversitiesofTechnology(UoT)implem
enting
CE
TA-fu
nded
con
stru
ctio
n pr
ojec
ts th
roug
h capacitybuildingworkshopsbytheExecutivefor
stakeholdersaswellasJPMTs.Thishasresulted
in m
ore
UoT
’s a
pply
ing
and
bein
g fu
nded
for
DiscretionaryGrants.
3.1.2
Num
ber o
f H
ET
Stu
dent
s co
mpl
eted
peryear(P1,
P2
/ Lea
rner
pl
acem
ent i
n workplaces)
2250(funded)
94
Targ
et E
xcee
ded
The
CE
TA h
as e
nsur
ed c
ontin
ued
supp
ort
to U
nive
rsiti
es o
f Tec
hnol
ogy
and
thus
the
impl
emen
tatio
n of
pro
ject
s in
line
with
the
CE
TA
requ
irem
ents
, with
lear
ners
ent
erin
g an
d ex
iting
programmessuccessfully.
Num
ber o
f ca
ndid
acy
prog
ram
mes
en
tere
d pe
r yea
r
392
300(funded)
332
Targ
et E
xcee
ded
The
CE
TA h
as p
rovi
ded
incr
ease
d su
ppor
t to
entit
ies
impl
emen
ting
CE
TA-fu
nded
can
dida
cy
programmethroughcapacitybuildingworkshops
bytheExecutiveforstakeholdersaswellas
JPMTs.Thishasresultedinmoreentitiesbeing
com
plia
nt w
ith th
e re
quire
men
ts o
f the
CE
TA
and
ther
efor
e m
ore
CE
TA-fu
nded
pro
ject
s be
ing
implem
ented.
ANNUAL REPORT 2017/18
41
Num
ber o
f ca
ndid
acy
prog
ram
mes
co
mpl
eted
per
ye
ar
3550(funded)
57
Targ
et N
ot A
chie
ved
In li
ne w
ith th
e C
ETA
tran
sfor
mat
ion
obje
ctiv
e,
the
CE
TA h
as in
crea
sed
supp
ort t
o th
e fu
nded
candidacyentities.ThishasresultedinCETA
-fu
nded
can
dida
tes
bein
g su
cces
sful
ly re
gist
ered
as
pro
fess
iona
ls w
ith th
eir r
espe
ctiv
e pr
ofes
sion
al
coun
cils
and
thei
r in
form
atio
n su
bmitt
ed to
the
CETAintheyearunderreview
.
Outofthe57learnersreported,39learnerswere
regi
ster
ed in
the
prev
ious
repo
rting
per
iods
but
werenotreported.How
ever18learnerswere
regi
ster
ed w
ith th
eir p
rofe
ssio
nal c
ounc
ils in
theyearunderreview
.ThisCETAprogram
me
contributessignificantlytowardstheachievem
ent
oftransformationwithintheconstructionindustry.
3.1.2Initiate
and
impl
emen
t skills
deve
lopm
ent
cent
ers
in
sele
ct a
reas
in
line
with
th
e C
ETA
’s
Stra
tegi
c P
lan
and
Ann
ual
Per
form
ance
P
lan
Num
berofskills
deve
lopm
ent
cent
res
in th
e co
nstru
ctio
n se
ctor
sup
porte
d
138
13
Targ
et E
xcee
ded
AlthoughtheCETAhasopenedanumberofskills
cent
res,
the
Acc
ount
ing
Aut
horit
y m
ade
a de
cisi
on
to fu
rther
enh
ance
the
serv
ices
of t
he c
entre
s throughtheconstructionofworkshopsforlearners
toconductsimulations.
42
3.2
Prog
ram
me
Perf
orm
ance
Indi
cato
rs a
nd A
nnua
l Tar
gets
for M
TEF
2017
/18
Sub-
Prog
ram
me:
Par
tner
ship
sPu
rpos
e/St
rate
gic
Obj
ectiv
e:S
trengthenedC
ollaborationandPartnershipsforskillsdevelopm
entinthe
cons
truct
ion
sect
orN
SDS
III L
inka
ge:
Goa
l 4.3
: P
rom
otin
g th
e gr
owth
of P
ublic
TV
ET
Col
lege
sys
tem
that
is re
spon
sive
to s
ecto
r, local,regionalandnationalskillsneedsandprioritiespartnerships
LIN
KS
TO
STR
ATEG
IC
OB
JEC
TIVE
S IN
PER
FOR
MA
NC
E IN
DIC
ATO
RS
BA
SELI
NE
(AU
DIT
ED /
AC
TUA
L PE
RFO
RM
AN
CE)
20
16/2
017
PLA
NN
ED
TAR
GET
2017
/201
8
AC
TUA
L A
CH
IEVE
MEN
T20
17/2
018
DEV
IATI
ON
FR
OM
PLA
NN
ED
TAR
GET
TO
AC
TUA
L A
CH
IEVE
MEN
T FO
R
2017
/201
8
3.2.1Supporting
and
Pro
mot
ing
the
grow
th o
f P
ublic
TV
ET
Col
lege
s
Num
ber o
f SE
TA/U
nive
rsity
pa
rtner
ship
s fu
nded
by
the
CE
TA th
roug
h th
e di
scre
tiona
ry
gran
ts fo
r con
stru
ctio
n se
ctor
pr
ogra
mm
es
-25
6
Targ
et N
ot A
chie
ved
The
CE
TA c
ould
onl
y en
sure
six
par
tner
ship
s w
ith U
nive
rsiti
es w
illin
g to
implem
entconstructionskills
deve
lopm
ent p
rogr
amm
es
throughdiscretionarygrants.
3.2.1Supporting
and
Pro
mot
ing
the
grow
th o
f P
ublic
TV
ET
Col
lege
s
Num
ber o
f SE
TA/T
VE
T C
olle
ge
partn
ersh
ips
supp
orte
d an
d ac
cred
ited
with
CE
TA to
deliverandim
plem
entskills
deve
lopm
ent p
rogr
amm
es in
the
constructionsector.
3550
48
Targ
et N
ot A
chie
ved
Alth
ough
the
targ
et w
as
not a
chie
ved,
the
CE
TA
man
aged
to e
ngag
e 48
TV
ET
Col
lege
s th
roug
h va
rious
par
tner
ship
mod
els
forimplem
entationofskills
developm
entprogram
mes.
3.2.1Supporting
and
Pro
mot
ing
the
grow
th o
f P
ublic
TV
ET
Col
lege
s
Num
berofC
ETAOfficesopened
in T
VE
T C
olle
ges
-20
12
Targ
et N
ot A
chie
ved
The
CE
TA w
ill e
ngag
e w
ith
mor
e TV
ET
colle
ges
to
rega
rdin
g th
e o
peni
ng o
f satelliteofficestoenhance
deliv
ery
and
reac
h to
CE
TA
stakeholdersalike.
ANNUAL REPORT 2017/18
43
3.3
Prog
ram
me
Perf
orm
ance
Indi
cato
rs a
nd A
nnua
l Tar
gets
for M
TEF
2017
/18
Sub-
Prog
ram
me:
Dev
elop
men
t and
Sup
port
of S
MM
E’s,
CO
-OPs
, NG
Os,
CB
Os
& N
POs
Purp
ose/
Str
ateg
ic O
bjec
tive:
AVibrantCivilSocietyEngagem
entInSkillsDevelopmentW
ithinTheConstructionSector
NSD
S III
Lin
k:Goal4.6:Encouragingandsupportingcooperatives,smallenterprises,w
orkerinitiated,NGOandcom
munitytraininginitiatives.
LIN
KS
TO
STR
ATEG
IC
OB
JEC
TIVE
S IN
PER
FOR
MA
NC
E IN
DIC
ATO
RS
BA
SELI
NE
(AU
DIT
ED /
AC
TUA
L PE
RFO
RM
AN
CE)
20
16/2
017
PLA
NN
ED T
AR
GET
2017
/201
8A
CTU
AL
AC
HIE
VEM
ENT
2017
/201
8
DEV
IATI
ON
FR
OM
PLA
NN
ED
TAR
GET
TO
AC
TUA
L A
CH
IEVE
MEN
T FO
R
2017
/201
8
3.3.
1 E
ncou
rage
an
d su
ppor
t co
oper
ativ
es,
smal
l ent
erpr
ises
, worker-initiated,
NG
O, a
nd
com
mun
ity
train
ing
initi
ativ
es
in th
e co
nstru
ctio
n se
ctor
Num
ber o
f SM
ME
s in
the
cons
truct
ion
sect
or s
uppo
rted
with
acc
redi
tatio
n53
1834
Targ
et E
xcee
ded
Targ
et e
xcee
ded
due
to s
uste
nanc
e of
the
CE
TA’s
est
ablis
hed
SM
ME
pr
ojec
t thr
ough
sup
port
withaccreditation.Ofthe
53totalC
ETASMMEs
supportedtodate,51have
achi
eved
acc
redi
tatio
n status.
3.3.
1 E
ncou
rage
an
d su
ppor
t co
oper
ativ
es,
smal
l ent
erpr
ises
, worker-initiated,
NG
O, a
nd
com
mun
ity
train
ing
initi
ativ
es
in th
e co
nstru
ctio
n se
ctor
Num
ber o
f cap
acity
buildingworkshopsinSkills
Dev
elop
men
t for
Tra
de U
nion
su
ppor
t-
22
Targ
et A
chie
ved
44
LIN
KS
TO
STR
ATEG
IC
OB
JEC
TIVE
S IN
PER
FOR
MA
NC
E IN
DIC
ATO
RS
BA
SELI
NE
(AU
DIT
ED /
AC
TUA
L PE
RFO
RM
AN
CE)
20
16/2
017
PLA
NN
ED T
AR
GET
2017
/201
8A
CTU
AL
AC
HIE
VEM
ENT
2017
/201
8
DEV
IATI
ON
FR
OM
PLA
NN
ED
TAR
GET
TO
AC
TUA
L A
CH
IEVE
MEN
T FO
R
2017
/201
8
3.3.
1 E
ncou
rage
an
d su
ppor
t co
oper
ativ
es,
smal
l ent
erpr
ises
, worker-initiated,
NG
O, a
nd
com
mun
ity
train
ing
initi
ativ
es
in th
e co
nstru
ctio
n se
ctor
Two
trade
uni
ons
in
the
cons
truct
ion
sect
or
aresupportedforskills
deve
lopm
ent r
elat
ed
interventions.
22
2Ta
rget
Ach
ieve
d
3.3.
1 E
ncou
rage
an
d su
ppor
t co
oper
ativ
es,
smal
l ent
erpr
ises
, worker-initiated,
NG
O, a
nd
com
mun
ity
train
ing
initi
ativ
es
in th
e co
nstru
ctio
n se
ctor
Par
tner
ship
pro
ject
s to
pro
vide
tra
inin
g an
d de
velo
pmen
t su
ppor
t to
coop
erat
ives
are
supported.
59
23
Targ
et E
xcee
ded
This
is d
ue to
the
CE
TAs
cont
inue
d su
ppor
t fo
r dev
elop
men
t of
cooperativesthroughskills
developm
entactivities.
3.3.
1 E
ncou
rage
an
d su
ppor
t co
oper
ativ
es,
smal
l ent
erpr
ises
, worker-initiated,
NG
O, a
nd
com
mun
ity
train
ing
initi
ativ
es
in th
e co
nstru
ctio
n se
ctor
Num
ber o
f NG
Os
supp
orte
d withskillsdevelopment
inte
rven
tions
/pro
gram
mes
withintheconstructionsector.
63
12
Targ
et E
xcee
ded
This
is d
ue to
the
CE
TAs
cont
inue
d ef
forts
to
supp
ort n
on-le
vy p
ayin
g entitiesinensuringskills
deve
lopm
ent a
ctiv
ities
w
ithin
the
cons
truct
ion
sector.
ANNUAL REPORT 2017/18
45
3.4
Prog
ram
me
Perf
orm
ance
Indi
cato
rs a
nd A
nnua
l Tar
gets
for M
TEF
2017
/18
Sub-
Prog
ram
me:
Par
tner
ship
sPu
rpos
e/St
rate
gic
Obj
ectiv
e: StrengthenedCollaborationandPartnershipsforskillsdevelopmentintheconstructionsector
NSD
S III
Lin
k: Goal4.3:Promotingthegrow
thofP
ublicTVETCollegesystemthatisre
sponsivetosector,local,regionalandnationalskillsneedsand
prio
ritie
s pa
rtner
ship
s
LIN
KS
TO
STR
ATEG
IC
OB
JEC
TIVE
S IN
PER
FOR
MA
NC
E IN
DIC
ATO
RS
BA
SELI
NE
(AU
DIT
ED /
AC
TUA
L PE
RFO
RM
AN
CE)
20
16/2
017
PLA
NN
ED T
AR
GET
2017
/201
8A
CTU
AL
AC
HIE
VEM
ENT
2017
/201
8
DEV
IATI
ON
FR
OM
PLA
NN
ED
TAR
GET
TO
AC
TUA
L A
CH
IEVE
MEN
T FO
R
2017
/201
8
3.4.
1 In
crea
sing
pu
blic
sec
tor
capa
city
for
impr
oved
se
rvic
e de
liver
y
Par
tner
ship
s en
tere
d w
ith
publ
ic in
stitu
tions
to im
prov
e servicedeliverythroughskills
developm
ent.
4010
57
Targ
et E
xcee
ded
In li
ne w
ith th
e C
ETA
pub
lic
sect
or s
uppo
rt st
rate
gy,
the
CE
TA h
as a
lloca
ted
disc
retio
nary
gra
nt fu
ndin
g to57publicinstitutions
and
stat
e ag
enci
es fo
r th
e im
plem
enta
tion
of
constructionrelatedskills
developm
entprojects.
3.4.
1 In
crea
sing
pu
blic
sec
tor
capa
city
for
impr
oved
se
rvic
e de
liver
y
Num
ber o
f CE
TA ru
ral b
ased
pr
ojec
ts p
lann
ed fo
r del
iver
y of
skillsdevelopm
entprogram
mes
intheconstructionsector.
-233
234
Targ
et E
xcee
ded
In li
ne w
ith th
e C
ETA
’s
prio
ritie
s to
add
ress
le
arne
rs fr
om ru
ral a
reas
, C
ETA
has
allo
cate
d di
scre
tiona
ry g
rant
fund
ing
for t
he im
plem
enta
tion
of
constructionrelatedskills
developm
entprojects.
46
3.5
Prog
ram
me
Perf
orm
ance
Indi
cato
rs a
nd A
nnua
l Tar
gets
for M
TEF
2017
/18
Sub-
Prog
ram
me:
Impl
emen
tatio
n of
Lea
rnin
g Pr
ogra
mm
esPu
rpos
e/St
rate
gic
Obj
ectiv
e:Askilledandcapableworkforceintheconstructionsector
NSD
S III
Lin
k:Goal4.2-Increasingaccesstooccupationally-directedprogram
mesintheConstructionSector
LIN
KS
TO
STR
ATEG
IC
OB
JEC
TIVE
S IN
PER
FOR
MA
NC
E IN
DIC
ATO
RS
BA
SELI
NE
(AU
DIT
ED /
AC
TUA
L PE
RFO
RM
AN
CE)
20
16/2
017
PLA
NN
ED T
AR
GET
2017
/201
8A
CTU
AL
AC
HIE
VEM
ENT
2017
/201
8
DEV
IATI
ON
FR
OM
PL
AN
NED
TA
RG
ET T
O
AC
TUA
L A
CH
IEVE
MEN
T FO
R 2
017/
2018
3.5.
1
Faci
litat
ing
and
supp
ortin
g em
ploy
ed a
nd
unem
ploy
ed
lear
ners
with
R
ecog
nitio
n of
P
rior L
earn
ing
prog
ram
mes
Num
ber o
f Lea
rner
s R
PLe
d (assessed)throughRecognition
of P
rior L
earn
ing
1223
1200
1371
Targ
et E
xcee
ded
The
CE
TA h
as p
rovi
ded
incr
ease
d su
ppor
t to
entit
ies
impl
emen
ting
proj
ects
und
er th
e qualificationsoftheCETA
forcertificationsunder
RPL.Thisresultedinan
incr
ease
d un
ders
tand
ing
of th
e re
quire
men
ts fo
r RPLcertificationam
ongst
train
ing
prov
ider
s w
hich
le
d to
incr
ease
d nu
mbe
r of
learnersbeingcertificated
bytheCETA
.
ANNUAL REPORT 2017/18
47
3.6
Prog
ram
me
Perf
orm
ance
Indi
cato
rs a
nd A
nnua
l Tar
gets
for M
TEF
2017
/18
Sub-
Prog
ram
me:
Car
eer a
nd V
ocat
iona
l Gui
danc
ePu
rpos
e/ S
trat
egic
Obj
ectiv
e:Increasedknow
ledgeandinterestintheconstructioncareers
NSD
S III
Lin
k:Goal4.8:B
uildingcareerandvocationalguidance.
LIN
KS
TO
STR
ATEG
IC
OB
JEC
TIVE
S IN
PER
FOR
MA
NC
E IN
DIC
ATO
RS
BA
SELI
NE
(AU
DIT
ED /
AC
TUA
L PE
RFO
RM
AN
CE)
20
16/2
017
PLA
NN
ED T
AR
GET
2017
/201
8A
CTU
AL
AC
HIE
VEM
ENT
2017
/201
8
DEV
IATI
ON
FR
OM
PLA
NN
ED
TAR
GET
TO
AC
TUA
L A
CH
IEVE
MEN
T FO
R
2017
/201
8
3.6.
1 B
uild
ing
care
er a
nd
voca
tiona
l gu
idan
ce in
the
cons
truct
ion
sect
or
Num
ber o
f car
eer g
uida
nce
even
ts22
1830
Targ
et E
xcee
ded
The
CE
TA h
as c
ondu
cted
an
d en
sure
d pa
rtici
patio
n at
car
eer g
uida
nce
even
ts
for t
he p
rom
otio
n of
qualificationsandcareers
intheconstructionsector.
Num
ber o
f car
eer g
uida
nce
bookletsupdatedforthe
cons
truct
ion
sect
or1
11
Targ
et A
chie
ved
PRO
GR
AM
ME
4: Q
UA
LITY
ASS
UR
AN
CE
This
pro
gram
me
cons
ists
of t
he fo
llow
ing
sub-
prog
ram
mes
:
1.1
NQ
F Pr
ovid
er A
ccre
dita
tions
1.2
Qua
lifica
tions
revi
ew a
nd D
evel
opm
ent
1.3
Mon
itorin
g Ev
alua
tion
Goa
l: Im
plem
enta
tion
of q
ualit
y as
sura
nce
proc
esse
s th
at w
ill e
nhan
ce a
nd e
nsur
e qu
ality
pro
visi
on o
f tra
inin
g.
4.1
Sub-
Prog
ram
me
NQ
F Pr
ovid
er A
ccre
dita
tions
Stra
tegi
c O
bjec
tive
Acc
redi
ted
skill
s tr
aini
ng in
the
cons
truc
tion
sect
or
Obj
ectiv
e st
atem
ent
Toensurethedeliveryofqualityaccreditedtrainingbyskillsdevelopmentprovidersintheconstructionsector
Bas
elin
eD
atab
ase
of a
ccre
dite
d tra
inin
g pr
ovid
ers
Justification
Toensurequalitytrainingwithintheconstructionsector.
48
4.1
Sub-
Prog
ram
me
NQ
F Pr
ovid
er A
ccre
dita
tions
Stra
tegi
c O
bjec
tive
Acc
redi
ted
skill
s tr
aini
ng in
the
cons
truc
tion
sect
or
Links
QCTO
;NQFAct;S
killsDevelopmentA
ct
NSDSIILink
4.2Increasingaccesstooccupationally-directedprogram
mes.
4.3Promotingthegrow
thofa
publicFETcollegesystemth
atisresponsivetosector,local,regionalandnationalskills
needsandpriorities.
4.2
Sub-
Prog
ram
me
Qua
lifica
tions
Rev
iew
and
Dev
elop
men
t
Stra
tegi
c O
bjec
tive
Qua
lifica
tions
dev
elop
men
t
Obj
ectiv
e st
atem
ent
Todevelopqualificationsthatmeetstheskillsneedsoftheindustry.
Bas
elin
eRegisteredCETAqualifications
Justification
Qualificationsthatmeetsindustryneedsareregisteredandim
plem
ented.
Links
QCTO
;NQFAct;S
ectorS
killsPlan
NSDSIIILink
4.2Increasingaccesstooccupationally-directedprogram
mes
4.3
Sub-
Prog
ram
me
Mon
itorin
g &
Eva
luat
ion
Stra
tegi
c O
bjec
tive
Incr
ease
d an
d im
prov
ed m
onito
ring
and
eval
uatio
n of
CET
A pr
ogra
mm
es
Obj
ectiv
e st
atem
ent
Toensurethequalityoftrainingprovisionwithintheconstructionsector.
Bas
elin
eC
ETA
Qua
lity
Ass
uran
ce P
olic
y; C
ETA
Mon
itorin
g an
d E
valu
atio
n P
olic
y
Justification
Toensureefficiencyandtheeffectivenessofprojectim
plem
entationandtraining.
Links
Governm
entm
onitoringandevaluationpolicyframew
ork;NSDSIII
NSDSIIILink
4.2Increasingaccesstooccupationally-directedprogram
mes.
4.5Encouragingbetteruseofw
orkplace-basedskillsdevelopment.
Item8.M
onitoringandEvaluation
ANNUAL REPORT 2017/18
49
Stra
tegi
c O
bjec
tive
Ann
ual T
arge
tsGoal:Implem
entationofqualityassuranceprocessesthatwillenhanceandensurequalityprovisionoftraining.
STR
ATEG
IC O
BJE
CTI
VE5
YEA
R S
TRAT
EGIC
PLA
N T
AR
GET
BA
SELI
NE
(AU
DIT
ED /
AC
TUA
L PE
RFO
RM
AN
CE)
20
16/2
017
PLA
NN
ED
TAR
GET
2017
/201
8
AC
TUA
L A
CH
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MEN
T20
17/2
018
DEV
IATI
ON
FR
OM
PL
AN
NED
TA
RG
ET T
O
AC
TUA
L A
CH
IEVE
MEN
T FO
R 2
017/
2018
4.1Accreditedskills
train
ing
in th
e co
nstru
ctio
n se
ctor
Num
ber o
f tra
ined
ac
cred
ited
prov
ider
s-
100
103
Targ
et E
xcee
ded
The
CE
TA h
as
ensu
red
capa
cita
tion
of tr
aini
ng p
rovi
ders
th
roug
h ca
paci
ty
build
ing
sess
ions
and
ex
perie
nced
eve
n m
ore
than
exp
ecte
d in
term
s of
attendance.
4.2Qualifications
deve
lopm
ent
Des
ign,
dev
elop
an
d re
gist
er n
ew
occu
patio
nal
qualificationsand
curr
icul
um
52
13
Targ
et E
xcee
ded
The
CE
TA th
roug
h its
par
tner
ship
with
FI
TA, h
as e
nsur
ed
the
deve
lopm
ent o
f qualificationtoaddress
the
new
tran
sitio
nal
arra
ngem
ents
in li
ne w
ith
theQCTO
requirements.
50
Prog
ram
me
Perf
orm
ance
Indi
cato
rs a
nd A
nnua
l Tar
gets
for M
TEF
2017
/18
Sub-
Prog
ram
me:
NQ
F Pr
ovid
er A
ccre
dita
tions
Purp
ose/
Stra
tegi
c O
bjec
tive:Accreditedskillstrainingintheconstructionsector
NSD
S III
Lin
k:
4.2Increasingaccesstooccupationally-directedprogram
mes.
4.3Promotingthegrow
thofapublicTVETcollegesystemthatisresponsivetosector,local,regionalandnational
skillsneedsandpriorities.
LIN
KS
TO S
TRAT
EGIC
O
BJE
CTI
VES
INPE
RFO
RM
AN
CE
IND
ICAT
OR
S
BA
SELI
NE
(AU
DIT
ED /
AC
TUA
L PE
RFO
RM
AN
CE)
20
16/2
017
PLA
NN
ED T
AR
GET
2017
/201
8A
CTU
AL
AC
HIE
VEM
ENT
2017
/201
8
DEV
IATI
ON
FR
OM
PL
AN
NED
TA
RG
ET T
O
AC
TUA
L A
CH
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MEN
T FO
R 2
017/
2018
4.1Accredited
skillstraininginthe
cons
truct
ion
sect
or
Num
ber o
f tra
ined
acc
redi
ted
prov
ider
s-
100
103
Targ
et E
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ded
The
CE
TA h
as e
nsur
ed
ongo
ing
supp
ort
and
capa
cita
tion
of
train
ing
prov
ider
s th
roug
h ca
paci
ty
build
ing
sess
ions
and
ex
perie
nced
eve
n m
ore
than
exp
ecte
d in
term
s ofattendance.
4.1Accredited
skillstraininginthe
cons
truct
ion
sect
or
Mai
ntai
n a
data
base
of C
ETA
ac
cred
ited
train
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prov
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s-
11
Targ
et A
chie
ved
4.1Accredited
skillstraininginthe
cons
truct
ion
sect
or
Mai
ntai
n a
data
base
of Q
CTO
re
gist
ered
con
stru
ctio
n qualifications
-1
1Ta
rget
Ach
ieve
d
Sub-
Prog
ram
me
Qua
lifica
tions
Rev
iew
and
Dev
elop
men
t
Stra
tegi
c O
bjec
tive
Qua
lifica
tions
dev
elop
men
t
Obj
ectiv
e st
atem
ent
Todevelopqualificationsthatmeetstheskillsneedsoftheindustry.
Bas
elin
eRegisteredCETAqualifications
Justification
Qualificationsthatmeetindustryneedsareregisteredandim
plem
ented
ANNUAL REPORT 2017/18
51
Sub-
Prog
ram
me
Qua
lifica
tions
Rev
iew
and
Dev
elop
men
t
Stra
tegi
c O
bjec
tive
Qua
lifica
tions
dev
elop
men
t
Links
QCTO
;NQFAct;S
ectorS
killsPlan
NSDSIIILink
4.2Increasingaccesstooccupationally-directedprogram
mes.
LIN
KS
TO S
TRAT
EGIC
O
BJE
CTI
VES
INPE
RFO
RM
AN
CE
IND
ICAT
OR
S
BA
SELI
NE
(AU
DIT
ED /
AC
TUA
L PE
RFO
RM
AN
CE)
20
16/2
017
PLA
NN
ED T
AR
GET
2017
/201
8A
CTU
AL
AC
HIE
VEM
ENT
2017
/201
8
DEV
IATI
ON
FR
OM
PL
AN
NED
TA
RG
ET T
O
AC
TUA
L A
CH
IEVE
MEN
T FO
R 2
017/
2018
4.2Qualifications
deve
lopm
ent
Sig
ned
SLA
with
QC
TO fo
r the
C
ETA
to b
e th
e D
QP
-1
3
Targ
et E
xcee
ded
This
is d
ue to
the
CE
TA
havi
ng s
igne
d S
LA’s
w
ith th
e Q
CTO
for
deve
lopm
ent o
f thr
ee
qualifications.
4.2Qualifications
deve
lopm
ent
Num
ber o
f DQ
P P
roje
cts
appr
oved
42
2Ta
rget
Ach
ieve
d
4.3Increasedand
impr
oved
mon
itorin
g an
d ev
alua
tion
of
CE
TA p
rogr
amm
es
Mon
itorin
g an
d E
valu
atio
n P
olic
y is
revi
ewed
and
app
rove
d by
A
ccou
ntin
g A
utho
rity
annu
ally
-1
1Ta
rget
Ach
ieve
d
4.3Increasedand
impr
oved
mon
itorin
g an
d ev
alua
tion
of
CE
TA p
rogr
amm
es
Ext
erna
l Mod
erat
ion
Visi
ts
Sch
edul
e fo
r CE
TA p
rogr
amm
es
iscom
piledandapproved.
84
7
Targ
et E
xcee
ded
This
is d
ue to
the
incr
ease
d fo
cus
on a
nd
in m
onito
ring
CE
TA-
fund
ed p
roje
cts
by th
e organization.
52
ANNUAL REPORT 2017/18
53
PART DCORE BUSINESS REPORT
54
CETA Core Business division has two distinct and interlinkeddepartmentstoenableittofulfilitsmandateof facilitating and funding skills development in theconstructionsector.
The CETA Core Business performs the following functions: • Conducts research and analysis of the labour
market within the construction sector includingmanagement of research on skills supply anddemand, as well as being a trusted advisor on skillsplanningwithinthesector.
• Undertakes skills planning in line with LabourMarketInformationIntelligenceProgramme(LMIP)andPSETsystem,SkillsPlanningandMonitoringFramework,Goal4.1oftheNSDSIIIasextendedandtheMediumTermStrategicFramework(MTSF)ontheidentificationofmediumto long-termskillsshortages.
• Develop,reviewandupdatetheSectorSkillsPlan(SSP)foracrediblemechanismforskillsplanningintheconstructionsector.
• Coordinate mechanisms such as ATR-WSP, for
claiming of mandatory grants from the CETA by levypayingconstructionentities.
• TheproductionoftheStrategicPlan(SP)andtheAnnualPerformancePlan(APP)andServiceLevelAgreement(SLA)oftheCETA.
• The preparation and submission of quarterly progress reports against the APP and the APR of theCETA.
• Coordinate the design, development and/or revision of specified occupational standards andqualifications and/or part qualifications accordingtotheQCTOprocedure.
• Accredit providers for the qualifications or partqualifications listed in the schedule in terms ofcriteriadeterminedbytheQCTO.
• Register assessors to undertake assessment forspecified qualifications or part qualifications intermsofcriteriadeterminedbytheQCTO.
• Maintain a comprehensive learner information managementsystem.
• Upload learner data to the NLRD according to the NLRDloadspecifications.
Mr Thapelo MadibengCETA Core Business Executive
1976-2018 [May his soul rest in peace]
CORE BUSINESS REPORT
ANNUAL REPORT 2017/18
55
Research, Skills Planning and ReportingThe Research, Skills Planning and Reporting (P&R)department is responsible for conducting research; developing the Sector Skills Plan (SSP) and careerguides; analysis of Workplace Skills Plans (WSPs)and Annual Training Reports (ATRs) submitted byemployers; and compiling Quarterly Monitoring Reports(QMR)submittedtotheDepartmentofHigherEducationandTraining.
ResearchThe CETA has developed a Strategic Research Framework informed by the Sector Skills Plan. TheCETA has approved funding to conduct research in linewiththeresearchagendasapprovedbyAA.Thisresearch agenda includes:• Conductingtracerstudies(destinationsurveys)for
CETA funded learners as at the end of NSDS III periodin2016.
• Conductsectoralanalysisandmodellabourmarketskills using LabourMarket Information (LMI) andproduce a List of Occupations in High Demand withintheconstructionsector.
• Develop models for skills forecasting andmethodologies to identify skills needs within theconstruction sector covering: » Economic State of the Construction Industry » Supply Side Research » Demand Side Research » Partnership Development » Project Development » Progression of learners in the Construction
Sector
Review and Development of the 2017/18 Sector Skills PlanThe CETA engages and promotes current and future
skillsneeds,trendsanddevelopmentsonsupplyanddemand within the construction sector. In the yearunder review, the CETA reviewed and maintained skills-planning mechanism framework consisting ofskills supply; skills demand; skills imbalances andthe context of the economy, demography and labour force (within construction sector) for consideration indeveloping policies on skills planning and in actualstrategic planning processes of the CETA. TheCETA Sector Skills Plan (SSP) was updated in linewith LabourMarket IntelligenceFrameworkandwasapprovedbyDHETduringthefinancialyear2017/18.This SSP includes the introduction of a new chapter threeentitled,“occupationalshortagesandskillsgaps”whichwas previously referred to as “Extent ofSkillsMismatch”andithasthefollowingsub-sections:• Occupationalshortagesandskillsgaps• Extent and nature of Supply• PIVOTAL listThis SSP contains a list of priority occupations and qualificationsandhas included recommendations forpriorityinterventionsfortheCETA.
The Workplace Skills Plan and Annual Training Report Submissions to CETAThe CETA Indicium system was duly opened for SDFs to commence the capturing process of the WSP on the1stFebruary2018,forthe2018/19financialyear. The annual stakeholder capacity building sessionscommenced on the 6th February 2018 and concluded onthe23rd February 2018 for all nine provinces as per the table below:
TABLE 2: CETA WSP/ATR WorkshopsProvince Workshop Date Focus Area
Gauteng
06 February 2018 WSP/ATR&SSP
07 February 2018 Qualificationsdevelopment,accreditationsandCertification
08 February 2018 Projects processes and discretionary grants
Western Cape
07 February 2018 WSP/ATR&SSP
08 February 2018 Qualificationsdevelopment,accreditationsandCertification
09 February 2018 Projects processes and discretionary grants
56
Province Workshop Date Focus Area
Northern Cape08 February 2018 WSP/ATR&SSP
09 February 2018Qualificationsdevelopment,accreditationsandCertification;Projects processes and discretionary grants
KwaZulu-Natal
13February2018 WSP/ATR&SSP
14 February 2018 Qualificationsdevelopment,accreditationsandCertification
15February2018 Projects processes and discretionary grants
Limpopo
14 February 2018 WSP/ATR&SSP
15February2018 Qualificationsdevelopment,accreditationsandCertification
16 February 2018 Projects processes and discretionary grants
North West15February2018 WSP/ATR&SSP
16 February 2018Qualificationsdevelopment,accreditationsandCertification;Projects processes and discretionary grants
Eastern Cape(PortElizabeth&EastLondon)
20 February 2018 WSP/ATR&SSP
21 February 2018 Qualificationsdevelopment,accreditationsandCertification
22 February 2018 Projects processes and discretionary grants
Mpumalanga
21 February 2018 WSP/ATR&SSP
22 February 2018 Qualificationsdevelopment,accreditationsandCertification
23February2018 Projects processes and discretionary grants
Free State
22 February 2018 Projects processes and discretionary grants
23February2018Qualificationsdevelopment,accreditationsandCertification;Projects processes and discretionary grants
Skills Development Facilitator Registration StatusThe CETA has capacitated the Skills DevelopmentFacilitators (SDFs) in the sector on the compilationandsubmissionofWorkplaceSkillsPlans (WSPs)andAnnual Training Reports (ATRs). The CETA’s WSPadministrativephaserequiresthattheSkillsDevelopmentFacilitators SDFs submitting WSPs are duly appointed by the submitting entity and are approved and registered withtheCETAontheSkillsSystem.Thetablebelowisa statistical summary of SDFs registered on the CETA system as at year-end for the compilation and submission of the WSP-ATR:
Table 3:Status No of SDF’s
Approved 5006
Pending 619
Rejected 2757
Other 258
Grand Total 8 640
WSP Submissions Status Report TheCETAconductedstakeholderengagementsessionsandsupportin2017withallparticipatingstakeholders,theresultsbelowwereachievedby30April2017intermsofsubmission of applications for Mandatory Grants for the 2017/18 Financial Year:
ANNUAL REPORT 2017/18
57
Table 4:
Organisation WSP Status
Large (>149)
Medium (50-149)
Small (1-49)
Grand Total
Total Created
397 613 1435 2445
Total Submitted
386 584 1384 2354
Pending-not submitted
11 29 51 91
Graph 1: WSP Submissions by Organisational size
16%
25%59%
Breakdown of WSP/ATR Submissions by Size
Small Medium Large
The table below provides an overview of WSP submissions per province:
Table 5:WSP/ATR Status 2017/18
Province Small Medium Large Total
Eastern Cape 156 50 33 239Free State 44 19 12 75Gauteng 520 204 178 902KwaZulu-Natal 239 110 67 416Limpopo 24 9 4 37Mpumalanga 44 29 13 86North West 36 18 13 67Northern Cape 22 8 4 34Western Cape 298 137 63 498Total 1 383 584 387 2 354
Graph 2: Percentage WSP Participation by Organisational size per Province
600
500
400
300
200
100
0
Easte
rn C
ape
Free
Sta
te
Gau
teng
KwaZ
ulu
Nat
al
Lim
popo
Mpu
mal
anga
Nor
th W
est
Nor
ther
n Cap
e
Wes
tern
Cap
e
156
50 443319 12
520
204178
239
110
67
249 4
4429
13
36
18 1322
8 4
298
137
63
WSP/ATR Submission Status 2017/18
Small Medium Large
58
DHET Update on development of a new uniform system for Mandatory Grant applications DHET has initiated a process to engage SETAs on thereviewofthecurrentWSP/ATRsystem/form.Theproposal through a discussion document proposes that the WSP and ATR should be replaced by a modifiedinstrument,calledtheWorkplaceSkillsSurvey(WSS),whichismorerelevantforskillsplanning.
The WSS requires employers to provide individual employee data to their designated SETA, instead of aggregated employee data as required by the current WSP/ATR template. By migrating to a system ofcollecting and providing individual employee data, the accuracy, reliability and consistency of data received fromemployerswillbestrengthened.
Performance Information ReportingThe CETA produced validated Quarterly Performance Reports as per DHET Compliance Calendar as well as AnnualPerformanceReportfortheyearunderreview.
In line with the DHET analysis requirements, the CETA achieved31ofthe34indicatorsthataremeasurableor have targets – this indicates that the CETA achieved 91%of itsannual targetsby theendof thefinancialyear.
Baseline Comparison of 2016/17 and 2017/18 CETA Performance: Learners Entered and CompletedThis comparative analysis demonstrates that in 2016/17,12434learnerswereregisteredandreportedbytheCETA.Inthe2017/18financialyearatotalof18849learnerswereentered.Thepercentageprogressbetween these financial years of learners enteredis 34%. In terms of completions comparison, in the2016/17financialyear,atotalof10353learnershadcompleted CETA programmes whereas in 2017/18, the totalcompletionswas10584indicatingapercentageprogressof2%frompreviousyear.Theoveralllearnerenrolment and completions in 2016/17 was 22 787 and in the year under review was 29 433 showingpercentage progress of 23% compared to previousyear.
Graph 3: Learning Pathways Entered - 2016/17 vs 2017/18
Learning Pathways Entered - 2016/17 vs 2017/18
900080007000600050004000300020001000
0
Lear
ners
hip
Une
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oyed
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ips
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rtisa
n Ent
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Lear
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Skills
Pro
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Wor
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Can
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cy P
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amm
e Ent
ered
Tvet
Stu
dent
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ent E
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ed
Uni
vers
ity S
tude
nt P
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t Ent
ered
3653
4565
652 759187
537
2016
3341
4681
8330
32964 262
473 392 332162 227 100 188
2016/17 2017/18
4598
10000
20003000400050006000700080009000
ANNUAL REPORT 2017/18
59
Graph 4: Learning Pathways Completed - 2016/17 vs 2017/18
Learning Pathways Completed - 2016/17 vs 2017/18
350030002500200015001000
5000
Lear
ners
hip
Une
mpl
oyed
...
Bursa
ry U
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ed C
ompl
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ips
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...
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Can
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Rec
ogni
tion
Of P
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..
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.
2503
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2351
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2016/17 2017/18
117 82
Uni
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Learning Pathways and Quality Development (LPQD)The CETA is accredited with the South African QualificationsAuthority(SAQA)asperETQARegulations,of 1998 and under quality assurance delegation from the QualityCouncil forTrades andOccupations (QCTO) toperformEducationandTrainingQualityAssurance(ETQA)functions in theconstructionsectoruntil31March2020forconstructionNQFqualifications.Pre-NQFconstructionskillsdevelopmentprovidersareaccreditedbytheQCTO.
Occupational Qualifications developmentThe QCTO has introduced a basic operational methodologyofassigningoccupationalqualifications,
curriculum design and development as well as quality assurancethereof.Thisnewmethodologyintroducednew entities called Development Quality Partners (DQP-coordinates occupational qualification andcurriculumdesignanddevelopment)andAssessmentQualityPartners(AQP-performsthequalityassurancefunction).
CETA Occupational Qualifications Development StatusIn the year under review, the CETA and QCTO signed the SLA to facilitate the registration of the following qualifications on the Occupational QualificationsFramework(OQF):
Table 6: CETA Occupational Qualifications Development Status
Occupational Qualification DQP Industry Partner Completed and Submitted to QCTO
Civil Structures Construction Constructor
CETA SAFCECCurriculum;assessmentspecifications;andthequalification
Civil Road Construction Constructor
CETA SAFCECCurriculum;assessmentspecifications;andthequalification
Civil Services Constructor CETA SAFCECCurriculum;assessmentspecifications;andthequalification
ItisplannedthattheabovequalificationswillberecommendedbyQCTOandregisteredbySAQAontheNQFinthe2018/19financialyearforimplementationwithintheconstructionindustry.
60
New Occupational Qualifications DevelopedIn the year under review, the CETA as a DQP completed the design and development of Floor Finisher – OFO Code-642202occupationalqualificationanditsassociatedspecialisations.Intotal,14flooringqualificationswerecompletedandsubmittedtoQCTOforregistrationontheOccupationalQualificationsFramework:
Occupational Qualification Qualifications to be replaced DQP Industry
Partner Completed and submitted to QCTO
Floor Finisher: OFO Code 642202
24296-NC: Construction: Installation of Floor Coverings L149022-NC: Floor Covering Installation L2
CETA FITACurriculum; assessment specifications;andthequalification
Occupational Qualifications Registered with SAQA on the NQF – DQP Building TradesHistorically Registered Qualification Registered Occupational Qualification
21853NC:ConstructionPlumbingL391782OccupationalCertificate:PlumberL4
58782FETC:PlumbingL4
73313NC:ElectricalEngineeringL2
91761OccupationalCertificate:ElectricianL472051NC:ElectricalEngineeringL3
72052FETC:ElectricalEngineeringL4
20717NC:BricklayingL3 93627OccupationalCertificate:BricklayerL4
20718NC:CarpentryL3 94022OccupationalCertificate:CarpenterL4
Occupational Qualifications awaiting Registration on the NQF Historically Registered Qualification Occupational Qualification Developed
24133NC:ConstructionRoadworksL224173NC:ConstructionRoadworksL3
OccupationalCertificate:RoutineRoadMaintenanceManager(QualificationIDwillbeavailableafterregistration)
65409NC:BuildingandCivilConstructionL3
Civil Road Construction ConstructorCivil Services ConstructorCivil Structures Construction ConstructorQualificationIDswillbeavailableafterregistration
New Qualification Development and Re-alignment Application Submitted to QCTOTheCETAhassubmitteditsDQPapplicationtotheQCTOtore-alignanddevelopthequalificationsbelowintooccupationalqualificationsfortheconstructionsector:
QID Number Qualification Title
48940 NationalCertificate:ConstructionPlantOperations,NQFLevel2
49081 NationalCertificate:Construction:AdvancedPlantOperations,NQFLevel3
48961 NationalCertificate:ConstructionCraneOperations,NQFLevel2
49080 NationalCertificate:Construction:AdvancedCraneOperations,NQFLevel3
ANNUAL REPORT 2017/18
61
CETA Assessment Quality Partner StatusIn the year under review, the CETA was nominated by industry to become the AQP for the following occupational constructionqualificationsandsubmittedtheAQPapplicationtotheQCTOforendorsementandapproval:
Occupational Qualification AQP Industry Partner
Civil Engineering: Structures, Roads and Services CETA SAFCEC
Flooring Installer/Finisher CETA FITA
ConstructionRoadworks CETA SANRAL
Historically Registered NQF Qualifications Quality Assured by the CETASAQAhasre-registered50CETAqualificationsontheNQFincludingthetransitionalandteachoutapplicableperiods.Oncenewoccupationalqualificationsareregistered,thehistoricallyregisteredNQFqualificationswillbereplacedandphasedout.TheNQFqualificationsre-alignmentprocesshasbegunforhistoricallyregisteredqualifications. The LPQD Department has drafted an OFO-aligned qualification framework to map thesequalificationstoOFOCodeanddetermineareasthatneedqualifications.ThiswillinformtheCETAregardingthenumberofDQPprojectsrequiredtodevelopreplacementqualifications.
Below is the CETA list of qualifications with learner intake that was submitted to the QCTO to verify whichqualificationstore-register;alignorde-register.Someofthequalificationswererecommendedforde-registrationastheyarereplacedbyoccupationalqualifications.Otherqualificationswithnolearnerintakewererecommendedforde-registrationbytheQCTOsubjecttoCETA’sapproval.
62
Tabl
e 7:
CET
A: L
ist o
f Qua
lifica
tions
Qua
lifica
tion/
LP
ID (S
AQ
A)
LP ID
(S
AQ
A)
Qua
lifica
tion
Title
(S
AQ
A)
Rel
ated
Le
arni
ng
Prog
ram
me
Title
(SA
QA
)
NQ
F Le
vel
Cre
dits
QA
PIn
itial
R
egis
trat
ion
Dat
e
Reg
istr
atio
n En
d D
ate
De-
regi
ster
/
Re
-reg
iste
r
2048
620
486
Nat
iona
l Certificate:
Sur
veyi
ngN
/A4
153
CE
TA20
01/1
0/10
2018/06/30
De-
regi
ster
: re
plac
ed b
y O
ccup
atio
nal
Qua
lifica
tion
2048
720
487
Nat
iona
l Certificate:
Hyd
rogr
aphi
c S
urve
ying
N/A
4145
CE
TA20
01/1
0/10
2018/06/30
De-
regi
ster
2048
820
488
Nat
iona
l Certificate:
Pho
togr
amm
etry
S
urve
ying
N/A
414
1C
ETA
2001
/10/
102018/06/30
De-
regi
ster
20813
20813
Nat
iona
l Certificate:
Con
stru
ctio
n C
ontra
ctin
g
N/A
219
0C
ETA
2001/12/05
2018/06/30
In
Dev
elop
men
t
2299
122
991
Nat
iona
l Certificate:
Ref
ract
orie
s In
stal
latio
n
N/A
212
0C
ETA
2002
/12/
042018/06/30
De-
regi
ster
2299
222
992
Nat
iona
l Certificate:
Ref
ract
orie
s M
ason
ry
N/A
312
0C
ETA
2002
/12/
042018/06/30
De-
regi
ster
ANNUAL REPORT 2017/18
63
23675
23675
Nat
iona
l Certificate:
Man
agem
ent
of B
uild
ing
Con
stru
ctio
n P
roce
sses
N/A
520
4C
ETA
2003/06/11
2018/06/30
Dev
elop
ed
23683
23683
Nat
iona
l D
iplo
ma:
M
anag
emen
t of
Civ
il E
ngin
eerin
g C
onst
ruct
ion
Pro
cess
es
N/A
527
1C
ETA
2003/06/11
2018/06/30
To b
e de
velo
ped
24133
24133
Nat
iona
l Certificate:
Con
stru
ctio
n:
Roadw
orks
N/A
212
0C
ETA
2003/02/19
2018/06/30
To b
e de
velo
ped
24173
24173
Nat
iona
l Certificate:
Con
stru
ctio
n:
Roadw
orks
N/A
3155
CE
TA2003/02/19
2018/06/30
To b
e de
velo
ped
2419
424
194
Nat
iona
l Certificate:
Con
stru
ctio
n M
ater
ial
Man
ufac
turin
g
N/A
4130
CE
TA2003/08/13
2018/06/30
To b
e de
velo
ped
2419
624
196
Nat
iona
l Certificate:
Con
stru
ctio
n M
ater
ial
Man
ufac
turin
g
N/A
312
0C
ETA
2003/08/13
2018/06/30
To b
e de
velo
ped
64
Qua
lifica
tion/
LP
ID (S
AQ
A)
LP ID
(S
AQ
A)
Qua
lifica
tion
Title
(S
AQ
A)
Rel
ated
Le
arni
ng
Prog
ram
me
Title
(SA
QA
)
NQ
F Le
vel
Cre
dits
QA
PIn
itial
R
egis
trat
ion
Dat
e
Reg
istr
atio
n En
d D
ate
De-
regi
ster
/
Re
-reg
iste
r
2419
824
198
Nat
iona
l Certificate:
Con
stru
ctio
n M
ater
ial
Man
ufac
turin
g
N/A
212
0C
ETA
2003/08/13
2018/06/30
To b
e de
velo
ped
24273
24273
Nat
iona
l Certificate:
Com
mun
ity
Hou
se B
uild
ing
N/A
212
4C
ETA
2003/06/11
2018/06/30
Com
mun
ity
Hou
se
Bui
lder
oc
cupa
tiona
l qu
alifi
catio
n de
velo
ped.
To
com
e ba
ck to
Q
CTO
24295
24295
Nat
iona
l Certificate:
Tim
ber R
oof
Ere
ctin
g
N/A
312
0C
ETA
2003/06/11
2018/06/30
De-
regi
ster
2429
624
296
Nat
iona
l Certificate:
Con
stru
ctio
n:
Inst
alla
tion
of
Floo
r Cov
erin
gs
N/A
112
0C
ETA
2003/06/11
2018/06/30
Floo
r in
stal
ler i
n de
velo
pmen
t
48636
48636
Nat
iona
l D
iplo
ma:
S
truct
ural
Steelwork
Det
ailin
g
N/A
5257
CE
TA20
04/0
4/07
2018/06/30
To b
e de
velo
ped
ANNUAL REPORT 2017/18
65
48734
48734
Nat
iona
l Certificate:
Arc
hite
ctur
al
Tech
nolo
gy
N/A
512
0C
ETA
2004
/06/
092018/06/30
To b
e de
velo
ped
4881
748
817
Furth
er
Edu
catio
n an
d Tr
aini
ng
Certification:
Con
stru
ctio
n M
ater
ials
Tes
ting
N/A
414
2C
ETA
2004
/02/
112018/06/30
To b
e de
velo
ped
4896
148
961
Nat
iona
l Certificate:
Con
stru
ctio
n:
Cra
ne
Ope
ratio
ns
N/A
212
1C
ETA
2004
/12/
022018/06/30
To b
e de
velo
ped
4901
649
016
Nat
iona
l Certificate:
Con
stru
ctio
n-
Con
cret
ing
N/A
3152
CE
TA2005/04/13
2018/06/30
To b
e de
velo
ped
4901
749
017
Nat
iona
l Certificate:
Con
stru
ctio
n M
ater
ials
Tes
ting
N/A
312
0C
ETA
2005/04/13
2018/06/30
To b
e de
velo
ped
4902
249
022
Nat
iona
l Certificate:
Floo
r Cov
erin
g In
stal
latio
n
N/A
214
1C
ETA
2004
/06/
092018/06/30
In
deve
lopm
ent
49058
49058
Nat
iona
l Certificate:
Con
stru
ctio
n M
ater
ials
Tes
ting
N/A
212
0C
ETA
2004
/08/
112018/06/30
To b
e de
velo
ped
66
Qua
lifica
tion/
LP
ID (S
AQ
A)
LP ID
(S
AQ
A)
Qua
lifica
tion
Title
(S
AQ
A)
Rel
ated
Le
arni
ng
Prog
ram
me
Title
(SA
QA
)
NQ
F Le
vel
Cre
dits
QA
PIn
itial
R
egis
trat
ion
Dat
e
Reg
istr
atio
n En
d D
ate
De-
regi
ster
/
Re
-reg
iste
r
49063
49063
Nat
iona
l Certificate:
Geo
grap
hica
l In
form
atio
n S
cien
ces
N/A
512
1C
ETA
2005/08/17
2018/06/30
De-
regi
ster
4908
049
080
Nat
iona
l Certificate:
Con
stru
ctio
n:
Adv
ance
d C
rane
O
pera
tions
N/A
3123
CE
TA20
04/1
2/02
2018/06/30
To b
e de
velo
ped
4908
149
081
Nat
iona
l Certificate:
Con
stru
ctio
n:
Adv
ance
d P
lant
O
pera
tions
N/A
3123
CE
TA20
04/1
2/02
2018/06/30
To b
e de
velo
ped
4941
049
410
Nat
iona
l Certificate:
Con
stru
ctio
nN
/A2
120
CE
TA2005/04/13
2018/06/30
To b
e de
velo
ped
4941
149
411
Gen
eral
E
duca
tion
and
Trai
ning
Certificate:
Con
stru
ctio
n
N/A
112
0C
ETA
2005/04/13
2018/06/30
To b
e de
velo
ped
4960
249
602
Nat
iona
l Certificate:
Con
stru
ctio
n-
Geo
tech
nica
l
N/A
3145
CE
TA2005/08/17
2018/06/30
De-
regi
ster
ANNUAL REPORT 2017/18
67
50022
50022
Nat
iona
l Certificate:
Gen
eral
D
raug
htin
g
N/A
312
1C
ETA
2006
/02/
092018/06/30
De-
regi
ster
57162
57162
Nat
iona
l Certificate:
Alu
min
ium
Fa
bric
atio
n an
d In
stal
latio
n
N/A
2153
CE
TA20
06/1
1/16
2018/06/30
De-
regi
ster
58247
58247
Nat
iona
l Certificate:
Cei
ling
and
Par
titio
ning
In
stal
latio
n
N/A
312
9C
ETA
2007/05/02
2018/06/30
Re-
alig
nmen
t
58780
58780
Furth
er
Edu
catio
n an
d Tr
aini
ng
Certificate:
Qua
ntity
S
urve
ying
N/A
4145
CE
TA20
09/1
2/02
2018/06/30
To b
e de
velo
ped
63589
63589
Nat
iona
l D
iplo
ma:
G
eogr
aphi
cal
Info
rmat
ion
Sci
ence
N/A
524
0C
ETA
2009
/02/
182018/06/30
De-
regi
ster
65409
65409
Nat
iona
l Certificate:
Bui
ldin
g an
d C
ivil
Con
stru
ctio
n
N/A
314
0C
ETA
2009/03/12
2018/06/30
Dev
elop
ed
68
Qua
lifica
tion/
LP
ID (S
AQ
A)
LP ID
(S
AQ
A)
Qua
lifica
tion
Title
(S
AQ
A)
Rel
ated
Le
arni
ng
Prog
ram
me
Title
(SA
QA
)
NQ
F Le
vel
Cre
dits
QA
PIn
itial
R
egis
trat
ion
Dat
e
Reg
istr
atio
n En
d D
ate
De-
regi
ster
/
Re
-reg
iste
r
65709
65709
Nat
iona
l Certificate:
Con
stru
ctio
n-
Steelwork
N/A
312
0C
ETA
2009/05/13
2018/06/30
To b
e de
velo
ped
65769
65769
Nat
iona
l Certificate:
Gla
zing
N/A
2138
CE
TA20
09/0
4/08
2018/06/30
De-
regi
ster
65789
65789
Nat
iona
l Certificate:
Con
stru
ctio
n P
lant
Ope
ratio
ns
N/A
212
0C
ETA
2009
/04/
082018/06/30
To b
e de
velo
ped
65877
65877
Furth
er
Edu
catio
n an
d Tr
aini
ng
Certificate:
Con
stru
ctio
n-
Tim
ber V
ocat
ions
N/A
412
0C
ETA
2009
/01/
272018/06/30
De-
regi
ster
65878
65878
Furth
er
Edu
catio
n an
d Tr
aini
ng
Certificate:
Con
stru
ctio
n-
Trow
el V
ocat
ions
N/A
412
0C
ETA
2009
/01/
272018/06/30
De-
regi
ster
65879
65879
Dip
lom
a:
Con
stru
ctio
n Te
chno
logy
N/A
624
0C
ETA
2009
/01/
272018/06/30
De-
regi
ster
ANNUAL REPORT 2017/18
69
65891
65891
Furth
er
Edu
catio
n an
d Tr
aini
ng
Certificate:
Con
stru
ctio
n-
Plu
mbi
ng
N/A
412
0C
ETA
2009
/01/
272018/06/30
De-
regi
ster
: re
plac
ed b
y O
ccup
atio
nal
Qua
lifica
tion
65892
65892
Furth
er
Edu
catio
n an
d Tr
aini
ng
Certificate:
Con
stru
ctio
n-
Pai
ntin
g an
d D
ecor
atin
g
N/A
412
0C
ETA
2009
/01/
272018/06/30
De-
regi
ster
65895
65895
Dip
lom
a:
Con
stru
ctio
n-
Plu
mbi
ngN
/A6
240
CE
TA20
09/0
1/27
2018/06/30
De-
regi
ster
65896
65896
Dip
lom
a:
Con
stru
ctio
n-
Pai
ntin
g an
d D
ecor
atin
g
N/A
624
0C
ETA
2009
/01/
272018/06/30
De-
regi
ster
65897
65897
Dip
lom
a:
Con
stru
ctio
n-
Trow
el V
ocat
ions
N/A
624
0C
ETA
2009
/01/
272018/06/30
De-
regi
ster
65898
65898
Dip
lom
a:
Con
stru
ctio
n-
Tim
ber V
ocat
ions
N/A
624
0C
ETA
2009
/01/
272018/06/30
De-
regi
ster
70
Qua
lifica
tion/
LP
ID (S
AQ
A)
LP ID
(S
AQ
A)
Qua
lifica
tion
Title
(S
AQ
A)
Rel
ated
Le
arni
ng
Prog
ram
me
Title
(SA
QA
)
NQ
F Le
vel
Cre
dits
QA
PIn
itial
R
egis
trat
ion
Dat
e
Reg
istr
atio
n En
d D
ate
De-
regi
ster
/
Re
-reg
iste
r
65949
65949
Furth
er
Edu
catio
n an
d Tr
aini
ng
Certificate:
Sup
ervi
sion
of
Con
stru
ctio
n P
roce
sses
N/A
418
1C
ETA
2009
/04/
082018/06/30
Re-
alig
nmen
t
65969
65969
Gen
eral
E
duca
tion
and
Trai
ning
Certificate:
Hum
an
Set
tlem
ents
D
evel
opm
ent
N/A
112
0C
ETA
2009/05/13
2018/06/30
To b
e de
velo
ped
65989
65989
Furth
er
Edu
catio
n an
d Tr
aini
ng
Certificate:
Hum
an
Set
tlem
ents
D
evel
opm
ent
N/A
412
1C
ETA
2009/05/13
2018/06/30
To b
e de
velo
ped
6607
166
071
Furth
er
Edu
catio
n an
d Tr
aini
ng
Certificate:
Com
pute
r Aid
ed
DrawingOffice
Practice(CAD)
N/A
4131
CE
TA20
09/0
4/08
2018/06/30
To b
e de
velo
ped
ANNUAL REPORT 2017/18
71
6608
966
089
Nat
iona
l Certificate:
Hum
an
Set
tlem
ents
D
evel
opm
ent
N/A
5130
CE
TA2009/05/13
2018/06/30
To b
e de
velo
ped
77063
77063
Nat
iona
l Certificate:
Con
stru
ctio
n H
ealth
and
S
afet
y
N/A
3133
CE
TA2010/03/11
2018/06/30
To b
e de
velo
ped
8094
683391
Nat
iona
l Certificate:
Com
mun
ity
Dev
elop
men
t
Nat
iona
l Certificate:
Com
mun
ity
Dev
elop
men
t- H
uman
S
ettle
men
ts
514
7C
ETA
2011
/04/
21S
ame
as
pare
nt
qualification
To b
e de
velo
ped
9640
265858
Nat
iona
l Certificate:H
ot
Wat
er S
yste
m
Inst
alla
tion
Nat
iona
l Certificate:
Hot
Wat
er
Sys
tem
In
stal
latio
n
212
2C
ETA
2009
/04/
08S
ame
as
pare
nt
qualification
To b
e de
velo
ped
49053
49053
Nat
iona
l Certificate:
Sup
ervi
sion
of
Con
stru
ctio
n P
roce
sses
N/A
417
6C
ETA
unt
il La
st D
ate
for
Ach
ieve
men
t20
04/0
6/09
2018/06/30
Re-
alig
nmen
t
72
Accreditation 0f Training ProvidersThe LPQD department has two functional units handling accreditation process: Accreditation Applications and Accreditation Approvals Units. The departmenthas made a number of notable achievements during the year under review some of which are reflectedhereunder:
Accreditation Applications Status ReportThis report covers Administration - Accreditation and practitioner applications received by the CETA as well as Accreditation Site visits conducted by the CETA in theyearunderreview.
Administration of Accreditation Applications for CETA NQF QualificationsAccreditation applications received and processed by the CETAThe Accreditation Applications Unit ensures that upon receipt of an application, the necessary acknowledgements are processed to the applicants.A total of 514 acknowledgements of receipt werecommunicatedtoapplicantsintheyearunderreview.Desktopevaluationswereconductedonthesubmittedapplications and the entities found compliant were scheduledforaccreditationsiteauditvisits.
Graph 5: Accreditation Application received in 2017/18 FY
600500400300200100
0Apr-17 May-17 Jun-17 Jul-17 Aug-17 Sep-17 Oct-17 Nov-17 Dec-17 Jan-17 Feb-17 Mar-17 Total
Accreditation Applications received in 2017/18 FY
600500400300200100
0Apr-17 May-17 Jun-17 Jul-17 Aug-17 Sep-17 Oct-17 Nov-17 Dec-17 Jan-17 Feb-17 Mar-17 Total
Accreditation Applications received in 2017/18 FY
600500400300200100
0Apr-17 May-17 Jun-17 Jul-17 Aug-17 Sep-17 Oct-17 Nov-17 Dec-17 Jan-17 Feb-17 Mar-17 Total
Accreditation Applications received in 2017/18 FY
600500400300200100
0
Accreditation Site Audit Visits scheduled and conducted for Quarter 1- 4 by ProvinceThe table below depicts the total number of accreditation site audit visits conducted by the CETA in the 2017/18 financialyear:
Table 8:Province Number of sites
Eastern Cape 14
Free State 19
Gauteng 130
KwaZulu-Natal 33
Limpopo 31
Mpumalanga 51
North West 22
Northern Cape 3
Western Cape 19Total Number of Entities Audited:
322
ANNUAL REPORT 2017/18
73
Practitioner and moderator applications status report
Month Applications received- Assessors/Practitioners Applications received-Moderators
April 2017 10 5
May 2017 24 12
June 2017 27 3
July 2017 21 9
August 2017 21 5
September 2017 26 2
October 2017 12 3
November 2017 15 12
December 2017 7 1
January 2018 11 2
February 2018 22 -
March 2018 25 -
Total: 221 54
Table 9:Practitioners: Number registered: % Progress
Registered Compliant Assessors 102 46%
Registered Compliant Moderators 54 100%
Accreditation Approvals Status ReportCETANQFqualificationsaccreditationstatusThe CETA quality assurance policy requires all CETA accredited training providers to re-apply for accreditationwhen theaccreditation lapses.The lastdateofpreviouslyaccreditedtrainingproviderswas31March2016.TheNSDSIIIperiodhasbeenextendeduntil31March2020.
The following is the current status of CETA accredited trainingproviders since31March2016 to31March2020. The statistical summary includes private
accredited training providers, Public TVET Colleges and theCETAestablishedSMMEs. In summary, theaccreditation status is as follows:
• 51SMMEsareaccreditedwiththeCETAwithintheyear under review;
• 359privatetrainingprovidersareaccreditedbytheCETA to date;
• 34 Public TVET Colleges are accredited by theCETAtoofferconstructionrelatedprogrammes.
Total accredited training providers with the CETA as at 31March2018,is444.
74
Public TVET Colleges Accreditation Status
ThetablebelowdepictstotalnumberofPublicTVETCollegesaccreditedbytheCETAtodate.
Table 10:
Province TVET Colleges per Province
TVET Colleges not Accredited with the CETA to date
TVET Colleges Accredited by the CETA
Eastern Cape 08 05
03
Port Elizabeth TVET College
King Hintsa TVET College
IkhalaTVETCollege
Free State 04 01
03
GoldfieldsTVETCollege
Maluti TVET College
Motheo TVET College
Gauteng 08 04
04Central Johannesburg TVET College
EkurhuleniEastTVETCollege
Tshwane North TVET College
Tshwane South TVET College
KwaZulu Natal 09 00
09Coastal KZN TVET College
Elangeni TVET College
Esayidi TVET College
Majuba TVET College
Mnambithi TVET College
Mthashana TVET College
ThekwiniTVETCollege
Umfolozi TVET College
Umgungundlovu TVET College
Limpopo 07 02
05Capricon TVET College
Lephalale TVET College
Mopani South East TVET College
SekhukhuneTVETCollege
Waterberg TVET College
Mpumalanga 03 0201Gert Sibande TVET College
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Northern Cape 02 00
02
Northern Cape Urban TVET College
Northern Cape Rural TVET College
North West 03 01
02Orbit TVET College
Vuselela TVET College
Western cape 06 01
05Boland TVET College
College of Cape Town
False Bay TVET College
NorthlinkTVETCollege
West Coast TVET College
TOTAL 50 16 34
CETA established SMMEs Accreditation StatusThetablebelowindicates51CETAestablishedSMMEsaccredited by the CETA per province:
Table 11:
PROVINCE NO. OF ACCREDITED SMMEs
Eastern Cape 09
Gauteng 07
KZN 13
Limpopo 05
Mpumalanga 06
North West 02
Western Cape 09
TOTAL 51
Private Providers Accreditation StatusThe table below depicts total number of private providers accredited by the CETA per province:
Table 12:Province No
Eastern Cape 20
Free State 28
Gauteng 140
KwaZulu Natal 42
Limpopo 45
Mpumalanga 40
North West 20
Northern Cape 07
Western Cape 17
TOTAL 359
76
ANNUAL REPORT 2017/18
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PART EPROJECTS REPORT
78
Overview of the Projects DivisionThe core function of the Department, is to ensure the implementation of Discretionary Grants through special (targeted at meeting national and transformationalobjectives) and regular projects for infrastructuredevelopment.
The division remains driven towards meeting the objectives of the CETA in terms of its strategic priority areas as per the Strategic Plan to:
• Support skills development for the youth andworkersintheConstructionSector.
• Create and promote greater opportunities for womenintheConstructionSector.
• Create and promote greater participation of people withdisabilitieswithintheConstructionSector.
• Create and promote greater participation of rural and township communities in the Construction Sector.
• Create and promote greater participation of military veteransintheConstructionSector.
• CreateandpromotegreaterparticipationofworkerledtraininginitiativesintheConstructionSector.
• In the allocation of discretionary funding, the division has endeavoured to ensure that a criteria
exists for measuring the extent to which these priority groups are addressed under Programme 3: Learning Programmes and Projects e.g. 40%of CETA funded learners must include women and 2% of the overall enrolled and supported learners mustbelearnerswithdisabilities.
The division supports and enhances the implementation of accredited construction training in the rural areas, townships and peri-urban areas by providing additional rural and disabilities discretionary grant allowances for qualifying CETA funded learners for the learning pathwaysasapprovedbytheAccountingAuthority.
These programmes are geared at addressing scarce andPIVOTAL interventionsas identified in theCETASectorSkillsPlan.
In the year under review, the Accounting Authority approved the restructuring of the division to ensure enhanced visibility of the CETA through project delivery ofservice,monitoringandevaluationofprojects.
The division now boasts capacity through three Departments, each with its reformed service offering:
PROJECTS REPORT
Mr Innocent NgenziCETA Projects Manager
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Learner Contracting and Data Management• Contract Management• Data Management
Graduate Development• Bursaries• Internships• Candidacy• Higher Education Institution (HEI/HET) Student
Placement • Technical, Vocational, Education and Training
(TVET)StudentPlacement
Monitoring and Evaluation• Site Audits• WorkplaceApprovals• Inductions• Project Monitoring• External Moderation• Certification• SkillsDevelopmentCentres• SMMEs
The projects division is responsible for the implementation of the CETA-funded projects and the reporting of the industry-funded projects related to the construction sector.TheCETA identifiedprojectsto fund in line with its Sector Skills Plan, StrategicPlan and Annual Performance Plan. These skillsdevelopment interventions include among others the following: Learnerships,Apprenticeships,ShortSkillsProgrammes, Recognition of Prior Learning, Bursaries, Candidacy programmes, Internships, Higher Education Training(HET)GraduatePlacement,TVETsGraduatePlacements, Work Integrated Learning, Lecturessupportand theestablishmentofSkillsDevelopmentCentres. To this end, the CETA had an auditedcommitmentscheduleofR2,316billion asat31March2018.
In the year under review, the CETA reported an achievement of 29 432 learners reached throughvariouslearninginterventions.
This achievement represents an overall increase of 22%fromthepreviousfinancialyear.
Out of these learners 18 848 are new entrants into theCETAprogrammesand10584are learnerswho
completed their programmes during the 2017/18 financial year.The total number of learners entered the system has increased from 12 434 to 18 848betweenthefinancialyear2016/17and2017/18.Thelearning pathway that has dramatically increased is apprenticeships which has nearly doubled with an increaseof3649newlearnersenteringtheartisanalprogramme(78%increase)fromthelastfinancialyearto theoneunder review.Thisconfirms the targetwehave set ourselves of being an artisanal SETA during this decade of artisans launched four years ago by DHET.
The number of learners entering graduate development support programmes, (which are comprised ofcandidacy, universities graduate placements, TVET colleges graduates placements, internships and bursaries), has an overall increase of 37% from thefinancial year 2016/17 to 2017/18. This increase isparticularly high for internship programmes which saw the number of learners enrolled in internships in different construction companies increasing by 187% betweenthetwofinancialyears(2016/17and2017/18).
The number of universities graduate placements has alsoincreasedsubstantiallyby88%duringthefinancialyear under review compared to the previous year.TVETplacementslearnersaswellasbursariesintakehave also increased by 40% and 16% respectively.The learning pathway, which will need more emphasis andattention in thenextfinancialyear, iscandidacy.The number of learners/candidates who entered the programme decreased by 15% in this financial yearwhencomparedtothepreviousone.
80
Graph 6: Number of learners who entered the system since 2014/15 - 2017/18
Learnerships Artisans Short Skillsprogrammes
Candidacy Bursaries Universitiesgraduates
placements
TVET Studentplacement
Internships
3433
5045
3982
4629
2982
4498
4681
8330
1289
2205
3814
342
507392
332
581653 652
759
342
111100
188
58 29162
227
686
128187
537
2014/15 2015/16 2016/17 2017/18
2278
Learnerships Artisans Short Skillsprogrammes
Candidacy Bursaries Universitiesgraduates
placements
TVET Studentplacement
Internships
3433
5045
3982
4629
2982
4498
4681
8330
1289
2205
3814
342
507392
332
581653 652
759
342
111100
188
58 29162
227
686
128187
537
2014/15 2015/16 2016/17 2017/18
2278
4662
TheCETAhasfivedesignatedgroups in itsstrategicpriorities and these have been targeted in the discretionary grants allocations. These designatedgroups are:• Women• People with Disabilities• Youth• Military Veterans• Rural Populations
Theperformanceofthefiveareasintheperiodunderreviewaredescribedbelow.
WomenThe conditions of the offer letter in relation to discretionary grants funding indicates that in their recruitment, entities have to make sure that 40%of learners entering the programme are women.In 2017/18 financial year, out of the 4 565 learnerswho had enrolled in learnerships programmes.TheAfrican women represented 97% of the total number of women who enrolled in CETA-funded learnerships programmes.
The percentage of female learners that were enrolled in short skills programmes reached 61%of the totalnumber of 3 341 registered in 2017/18. Out of the
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total number of women enrolled for short skills
programmes 59% wereAfrican.
The apprenticeship learning pathway, which ordinarily attracts more men than women, has registered 46% of women who enrolled in that programme during the 2017/18financialyear.Thenumberofwomenenrolledin artisanship programmes has nearly doubled with anincreaseof93%incomparisontothelastfinancialyear.In2016/17,1895womenenteredtheprogrammewhile in 2017/18 that number increased dramatically, reaching3652.
With regard to graduates development support programmes, women registered in higher numbers than men in internships, holding a record of 54%and the percentage of women that entered TVET placementswas 55%of the totalTVETplacements.The number of women entered in HET placements was however lower than of themen, with a 38% ofthetotalenteredinthatlearningpathway.Womenthatentered candidacy programmes were fewer compared to men with 40% of the total candidates registered with professional councils and funded by CETA in the financialyearunderreview.
People with Disabilities The discretionary grants allocations require that funded entities have to include in their recruited learners 2% of people living with disability. The learnershipsprogrammes have registered 16% of learners with disabilities, allowing the learners in that category the oppurtunity to access in high number the skillsdevelopmentthesamewayasthosewhoablebodied.
Targets have also been reached in entering learners living with disability in short skills programmes aswellas inHETplacements.Other learningpathwayshave also enrolled learners living with disability but in relativelylowernumbers.
Youth The youth are the main beneficiaries of CETAdiscretionarygrantsinallimplementedprojects.Duringthefinancial yearunder this review, theunemployedyouth that entered all CETA projects was on average 83% across all projects. The Youth is the obvioustarget in graduate development support as most of them are still in universities and other institutions of
higher learning.TheYouthisalsohighlyrepresentedin the unemployed learnerships with 94% of learners whoenteredthedifferentqualificationsbeingyoungerthan35yearsofage.
Duringthe2017/18financialyear,learnerswhoenrolledinapprenticeshipsreached8330ashighlightedearlierwithamongthem6120youth,representing73%ofthetotal enrolledapprentices. It is necessary to indicatethatahighnumberofpeoplego throughshort skillsprogrammes than learnerships and ultimately enrol in apprenticeships to become artisans. In betweenthose trainings, they findwork but at the endaspireto become artisans which then leads them towards enrolling for artisanship programmes. Therefore, itbecomes evident that people’s age increases in that process.Whichbringsustothereasonastowhytheyouth dominates the apprenticeship programme for the 2017/18financialyearbyonly73%.Aslightincreasefrom the 72% youth representation during the 2016/17 financialyear.
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Graph 7:
Learnerships Unemployed
Bursary Unemployed
Internships
Short Skills Unemployed
Artisans
Candidacy
Tvet Students Placement
University Students Placement
94%
98%
98%
87%
73%
80%
96%
97%
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
YOUTH LEARNERS ENTERED IN 2017/18
Rural populationThe rural areas are one of the strategic areas that the CETA is targeting in order to ensure that under-servicedandremoteareasarealsobenefitinginskillsdevelopment. The CETA allocated 127 projects toentitieslocatedinruralareasinthelastfinancialyear,which represent 56%of all projects allocated in thatperiod.Thesewerenottheonlyprojectsimplementedin rural areas but also the projects that were allocated to entities located in urban areas have targeted rural areas in their implementation. About 99,7% of thelearners who entered into the learnerships programmes comefromruralareas,while98,5%enrolled inshortskillsprogrammesand67,5%inapprenticeships.Thepercentage of artisans implemented in rural areas was lower due to the fact some trades’ workplaces areconcentratedinurbanareasmorethanruralplaces.
Military veteransThe military veterans are supported through Mamuhle projects with 80 learners in learnerships
implemented inErmelo,WitbankandNelspruit.Whilethe 800 SANMVA learners who registered in various learnerships programmes are spread throughout the nineprovinces.
The quarterly reports scheduled are compiled and approved by the CETA to monitor CETA-funded and industry-funded training programmes. In our pursuitto conduct credible monitoring visits, the CETA has appointed an independent monitoring and evaluation entity with subject matters per learning pathway to ensure proper reporting on project implementation and conductingofexternalmoderation.
In the year under review, the CETA has increased the number of entered learners to 18 848, and that number representsa34%increasecomparedtothepreviousyear. In total, 29 432 learnerswere reportedwhichrepresents an increase of 22% from the previous financialyear
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PART FCORPORATE SERVICES
REPORT
84
Corporate Services is an integral part of the support structuresoftheorganisation.Itistheaxilonwhichthevarious departments in the organisation rely to carry out their various functions and roles. The corporateservices department is strategically positioned to enabletheorganisationtoachieveitsmandate.Withouta strong-functioning corporate services department to support the organisation to carry out its mandate and mission,theorganisationwouldcollapse.
The role of corporate services in the organisation is to manage and oversee the following Departments in the organisation:
• Human Resources Management• StakeholderandPublicRelationships
Management• Information and Communication Technology• Corporate Services
Human Resources Management DepartmentThe CETA Human Resources Department (HR)provides overall direction on human resource management issues and administrative support functions related to the management of employees of the CETA. The Department endeavours to be astrategic partner to the CETA by providing human resources programmes that attract, develop, retain,
andengageaskilledanddiverseworkforce,therebypositioningtheCETAasanemployerofchoice.
• The Human Resources department is responsible forthefollowingfunctions.
• Workforce planning, including recruitment,selectionandtalentmanagement.
• Employeewellness.• Learninganddevelopment.• Employeerelationsmanagement.• HR service delivery, including HR administration
andbenefitsadministration.• PerformanceManagement.• Rewardandrecognitionmanagement.
TheCETAhasanestablishedHeadOfficeinMidrand,Gauteng.Theorganisation alsomaintains a nationalfootprintwithprovincialandsatelliteofficesinallnineprovinces.
CETA Organisational Structure The CETA organogram was restructured during the year under review. This process was undertakenwithaview toensuring that theCETA issufficientlyresourcedtocompetentlydeliveronitsmandate.
The CETA’s approved organogram provides for staff complement of 226 employees and 88 interns to enableittoadequatelydeliveronitsmandate.
CORPORATE SERVICES REPORT
Mr Jabulani JiyaniCETA Corporate Services Manager
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TheCETAorganogramisreflectedhereunder:
OFFICE OF THE CHIEF EXECUTIVE OFFICER
EXECUTIVEAUTHORITY
ACCOUNTINGAUTHORITY
CHIEF EXECUTIVEOFFICER
MANAGER IN THE OFFICE OF THE CEO
MANAGER PROVINCIAL OPERATIONS
BOARDSECRETARIAT
EXECUTIVEASSISTANT TO CEO
CORE BUSINESSEXECUTIVE
CHIEF FINANCIALOFFICER
PROJECTSEXECUTIVE
SENIOR MANAGERLEGAL SERVICES
CORE BUSINESS DIVISION
FINANCEDIVISION
CORPORATESERVICES DIVISION
PROJECTSDIVISION
LEGALDEPARTMENT
MANAGEMENT
86
CORE BUSINESSEXECUTIVE
PA TO CORE BUSINESS EXECUTIVE
SENIOR MANAGERCORE BUSINESS
LEARNINGPATHWAYS
AND QUALITY DEVELOPMENT
MANAGER
RESEARCH PLANNING AND
REPORTING MANAGER
ACCREDITATION APPLICATION PROCESSING
ACCREDITATION APPROVALS
QUALITY DEVELOPMENT PLANNING REPORTING RESEARCH
CORE BUSINESS DIVISION
CORE BUSINESS DIVISION
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PROJECTS DIVISION
LEARNERCONTRACTING
AND INFORMATION MANAGEMENT
MANAGER
PROJECTS EXECUTIVE
PA TO PROJECTS EXECUTIVE
SENIOR MANAGER PROJECTS
MONITORING AND
EVALUATION MANAGER
GRADUATE DEVELOPMENT
SUPPORT MANAGER
CETA-FUNDED PROJECTS
MONITORINGSITE AUDITS
EXTERNAL MODERATIONCANDIDACYBURSARY
WORKINTERGRATED
LEARNING
INTERNSHIPS & GRADUATE PLACEMENTS
DATA MANAGEMENT CERTIFICATION ARTISANAL
DEVELOPMENT
PROJECTS DIVISION
88
CHIEF EXECUTIVE
OFFICER
CORPORATE SERVICES MANAGER
INFORMATION AND COMMUNICATION
TECHNOLOGY MANAGER
HUMAN RESOURCES MANAGER
PUBLIC AND STAKEHOLDER
RELATIONSHIPSMANAGER
MARKETINGCOMMUNICATIONSHUMAN
RESOURCES ADMINISTRATION
EMPLOYEE WELLNESS
TRAINING AND DEVELOPMENTAPPLICATIONSINFRASTRUCTUREREGISTRY AND
LOGISTICSTRAVEL AND
ADMINISTRATION
CORPORATE SERVICES DIVISION
CORPORATE SERVICES DIVISION
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CHIEF FINANCIAL OFFICER
PA TO CHIEF FINANCIAL
OFFICER
SUPPLY CHAIN MANAGER FINANCE MANAGER
ACQUISITIONDEMAND AND
CONTRACT MANAGEMENT
FINANCIAL ACCOUNTING
& ASSET MANAGEMENT
GRANTS ACCOUNTING
INVOICE PROCESS MANAGEMENT
FINANCE DIVISION
FINANCE DIVISION
90
PROVINCIAL NODES
Learning and Development The CETA is committed to developing a workforcethat is skilled and competent in their respectiveperformanceareas.To ensure that the organisation receives a return on investment, bursary applications are considered based on each applicant’s current position and the relevancy
of the proposed qualification to their position withinthe organisation, to ensure that the organisation can receive a return on investment. The organisationgranted bursaries to 35 employeesduring the periodunderreview.
Employees also participated in capacity building sessions, andmentoringandcoachinginterventions.
MANAGER PROVINCIAL OPERATIONS
LIMPOPO PROVINCIAL
NODE
KWAZULU NATAL PROVINCIAL
NODE
WESTERN CAPE PROVINCIAL
NODE
EASTERN CAPE PROVINCIAL
NODE
NORTHERN CAPE PROVINCIAL
NODE
FREE STATE PROVINCIAL
NODE
GAUTENG PROVINCIAL
NODE
NORTH WEST PROVINCIAL
NODE
MPUMALANGAPROVINCIAL
NODE
CHIEF EXECUTIVE
OFFICER
PROVINCIAL STAFF
ANNUAL REPORT 2017/18
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Table 13:Bursaries
African Coloured Indian White Total
Profile Male Female Male Female Male Female Male Female Male Female
Executive 1 2 0 0 0 0 0 0 1 2
Senior Manager 1 0 0 0 0 0 0 0 1 0
Manager 5 3 0 1 0 0 1 0 6 4
Specialist 2 5 0 0 0 0 0 0 2 5
Officer 3 3 0 0 0 0 0 0 3 3Administrator 2 5 0 0 0 0 0 1 2 6TOTAL 14 18 0 1 0 0 1 1 15 20
Workforce PlanningStaff Establishment
Profile
African Indian White Coloured Total
Male Female Male Female Male Female Male Female Male Female
Executive 1 2 0 0 0 0 0 0 1 2Senior Manager
1 0 0 0 0 0 0 0 1 0
Manager 5 3 0 1 0 0 1 0 6 4
Coordinator 1 2 0 0 0 0 0 0 1 2
Specialist 7 11 0 1 0 0 0 0 7 12
Officer 12 18 0 0 0 0 0 1 12 19
Administrator 8 14 0 0 0 1 1 2 9 17
Other 1 11 0 0 0 0 0 0 1 11Temporary staff/Intern
1 4 0 0 0 0 0 0 1 4
TOTAL 37 65 0 2 0 1 2 3 39 71
Appointments
ProfileAfrican Coloured Indian White Total
Male Female Male Female Male Female Male Female Male Female
Manager 2 2 1 0 0 1 0 0 3 3
Specialist 3 2 0 0 0 0 0 0 3 2
Administrator 1 3 0 0 0 0 0 0 1 3
Data Capturer 0 3 0 0 0 0 0 0 0 3
Housekeeper 1 1 0 0 0 0 0 0 1 1
Intern 2 4 0 0 0 0 0 0 2 4
TOTAL 9 15 1 0 0 1 0 0 10 16
92
PromotionsPromotions
ProfileAfrican Coloured Indian White Total
Male Female Male Female Male Female Male Female Male FemaleOfficer 0 1 0 0 0 0 0 0 0 1
TOTAL 0 1 0 0 0 0 0 0 0 1
AttritionResignation/ Retirements
ProfileAfrican Coloured Indian White Total
Male Female Male Female Male Female Male Female Male Female
Coordinator 0 1 0 0 0 0 0 0 0 1
Specialist 0 1 0 0 0 0 0 0 0 1
Officer 1 0 0 0 1 0 0 0 2 0
Housekeeper 0 1 0 0 0 0 0 0 0 1
Intern 1 0 0 0 0 0 0 0 1 0
TOTAL 2 3 0 0 1 0 0 0 3 3
Stakeholder and Public Relationship Management DepartmentThe department plays a critical role in ascertaining effectivecommunicationandstakeholder satisfactioninternallyandexternally.TheDepartment’sroleisthatofabroadone,as it includes incorporating freeflowofinformationdisseminationtotheCETAstakeholdersandbrandmanagement.InitsroletheDepartmentisablysupportedbyCETAsnineprovincialnodes.
During thefinancialYear2017/2018, theDepartmentenjoyed continued support from CETA provincial nodes and was able to make significant strides infulfilling its career guidancemandate amongst othervariousstakeholdersupportactivities.Belowisaguideindicating the strides made in the period under review:
Table 14: Name of Event No. of Schools/Organizations
1 Fochville Parliamentary Constituency 84 Learners
2 Athlone Deputy Minister’s career expo 119 Learners
3 Taletso TVET College 119 Learners
4 DouglasCommunityParkExpo 188 Learners
5 Badplaas Community Expo 79 Learners
6 Sasol Mpumalanga Node Sasol Techno 1 008 Learners
7 Vhembe District 68 Learners
8 GoldsfieldTVETCollegeMiniexpo 129 Learners
9 KwakwatsiYouthFeebackMeeting 129 Learners
10CareerGuidanceandexhibitionlaunch&VTDSSkillsDevelopmentLekgotla
94 Learners
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93
11 Beaufort West Graduation Ceremony Expo 305Learners
12 MBSA Conference and Exhibition 59Corporates
13 Services CETA Grade 9 Career Seminar 4072 Learners
14UmfoloziCollegeEsikhaweniCampus/ServicesSETA Career Expo
137Learners
15 DPSA Project Launch 371Learners
16 Mandela Day 228 Learners
17 East Cape Midlands College Career Fair 85Learners
18 Ben W Mashigo Secondary School 124 Learners
19 NUM Conference 48 Learners
20 Urban TVET and GCIS Career Exhibition 101 Learners
21 BWI World Congress 160 Delegates
22 Department Labour Exhibition 52Learners
23 King Hintsa 113Learners
24 Lovedale TVET College 107 Learners
25 Gert Sibande 79 Learners
26 Gert Sibande 1083Learners
27 Orbit TVET 86 Learners
28 NAFBI 15Learners
29 Maluti TVET College 215Learners
30 FP&MSETACareerExhibition 56Learners
One of the department’s achievements is doubling the number of career guidance activities conducted during theyear2016/17 from14careerexhibitions to30 inthefinancialyear2017/18.
Other stakeholder support activities for 2017/18 financial year.
• South African Forum of Civil Engineering South Africa• Master Builders of South Africa conference• South African Construction Awards• BuildingWoodWorker’sInternationalcongress• Beaufort West Local Business Forum• Disable People South Africa Graduation
Information and Communication Technology DepartmentICT Department assists the organisation in the delivery of overall business strategy, and facilitates delivery of services as well as communicating with internal and external stakeholders.TheDepartment oversees several
keysystemsusedtoprotectandfacilitatetheorganisation’sintellectualproperty.
Financial year 2017/18 was a challenging and yet productive year for ICT, and many of the turnkey projects wereconcluded.ICTrecruitedaninternwhoplayedthecrucialroleintheday-to-dayoperationsandprojectssupport.
ICT deliverables during the year under review• Implementation of cloud firewall with the Internet
Service Provider was completed. This platformprotects all internet traffic for all CETA provincialoffices, and acts as a second layer security forCETA head office. The project was completed inMay2017.
• ImplementationofAnti-Virus(Sophos)whichreplacedthe existing outdated antivirus program. All CETAworkstations (laptops and desktops) were deployedwith an agent for protection and updating of the product, and the deployment was completed in August2017.
94
• Physicalofficesecuritymeasureswereimplementedand configured in June 2017. This included theBiometric access control, and Closed-Circuit TV (CCTV) systems.These systemsaredeployed intheirownnetworks,anddonotinterconnectwiththeCETAcoreICTinfrastructuretopromotesecurity.
• Created a dedicated link to Deloitte (AX andIndicium)systems,whichwasaimedatdrawingaresponsibility demarcation and increase bandwidth forthesystems’traffic.TheprojectwascompletedinAugust2017.
• Reviewed ICT governance policy and procedure documents to continue strengthening Systems of CorporateGovernance.
• Successfully deployed (Jan 2018) the DisasterRecoveryequipmentattheCETAheadoffice,andensured readiness to integrate with equipment at therecoverysite.Theintegrationisexpectedtobecompletedinthe2018/19financialyear.
• Successfully upgraded the Mimecast email services forredundancyandemailperpetualarchiving.Thisservice provides the CETA with a failover and high-availability email services on the cloud, and all CETA users can directly connect to this service in an eventofitsdatacentreservices’outage.ThiswascompletedinFeb2018.
• Successfully deployed the end-user workstationbackupsolution,wherebyCETAusersarebacked
up frequently on the network. This is a crucialservice and it ensures the CETA information is protected from loss, and productivity is not lost in caseofdamages,failure,orlossofequipment.ThisprojectwascompletedinSeptember2017.
• Successfully deployed Desktop Central manageengine, which is the central infrastructure management system for ICT support, updates, deployments,automation,monitoringandsoforth.This is an invaluable ICT tool, which enabled a twomanresourcestomanageover150computersystemswithease.ThedeploymentwascompletedinOctober2017.
• Installed network cabling for the CETA provincialoffices(Durban,CapeTown,andMpumalanga).
• Procuredandinstalledadditionalnetworkswitches,which were to accommodate growth and office(head office) expansion. This was completed inFebruary2018.
Administration and Travel UnitThe purpose of the Travel Unit is to give support to the Core Business of the organisation by internal travel coordination with the implementation of the Travel policy guidedbytheNationalTreasuryTravelFramework.Inline with the above, the CETA vigorously implemented the cost containment measures as per the Treasury Regulations.
ANNUAL REPORT 2017/18
95
Graph 8: Total travel expenditure
The unit further gave administrative support in terms of inventory management and facilities ensuring management ofrefurbishmentsandofficemovestoensuretheyallrunsmoothlyandaccordingtoplan.Generalupkeepandmaintenanceofbuildingstoensurethattheymeethealthandsafetystandardsandthelegalrequirements.
Administration Governance Projects
281340.38
88685.31
1965738.08
FlightExpenditure
AccommodationExpenditure
FuelReimbursements
CarRentalExpenditure
SubsistanceAllowance
"The total overall Travel Expenditure for Projects in the Financial year 2017/2018 was R 4 839 772.62 Followed by Admin travel costs R 645 324.97 AND Governance travel costs R 121 539.54"
"Total Travel Expenditure Financial Year 2017/ 2018
R5 606 637.13"
Category Flight Expenditure Accommodation Expenditure Fuel Reimbursements Car Rental Expenditure Subsistance Allowance TOTAL Administration R281,340.38 R205,953.15 R12,476.57 R28,304.87 R117,250.00 R645,324.97Governance R88,685.31 R24,216.03 R8,638.20 R121,539.54Projects R1,965,738.08 R1,570,404.04 R42,532.97 R574,961.07 R686,136.46 R4,839,772.62GrandTotal R2,335,763.77 R1,800,573.22 R55,009.54 R611,904.14 R803,386.46 R5,606,637.13
96
ANNUAL REPORT 2017/18
97
PART GFINANCE REPORT
98
General overviewCETA remains committed to sound management of funds in terms of PFMA, Treasury Regulations and SkillsDevelopment LeviesAct 9 of 1999 in order tomaintainanunqualifiedauditopinion.CETAcontinuesto implement its policies and procedures to ensure that financialstatementspresentedareaccurate,validandcomplete.
Internal controlsInternal controls include a risk-based system ofinternal accounting and administrative controls designed to provide reasonable assurance that assets are safeguarded and that transactions are executed and recorded in accordance with generally acceptable accounting practice, as well as policies and procedures established by the Accounting Authority and independent oversight by the Audit and Risk committees. The system contains self-monitoring mechanisms and actions are taken tocorrectdeficienciesastheyareidentified.
Financial PerformanceRevenueThetotalrevenuefortheyearended31March2018amounted toR740millionwhich is1.4%higher thanR730millionofthe2016/17financialyear.Levyincomedecreased by 1.2% from R604million for the year2016/17 toR598million for the 2017/18 because ofSARSlevyreversals.Interestreceivedoninvestments,increasedby15%fromR124milliontoR142millionasaresultofincreaseinthebankbalance.Allfundsarecurrently invested with CPD and the average interest ratesarequotedat7.1%.
ExpenditureTotal expenditure for the year ended 2017/18 amounted toR504million increasingby10%fromR449millionintheyear2016/17.Totalexpenditureismadeupofmandatory grants expenditure, Discretionary grants expenditureandadministrativeexpenditure.Mandatorygrant expenditure increased from R80 million to R84 millionrepresentinga5%increase.Thisisattributableto increase in submissions by the companies.Discretionary grants expenditure increased by 14% fromR303millionin2016/17toR345millionfor
Ms Velile NdlovuCETAChiefFinancialOfficer
FINANCE REPORT
ANNUAL REPORT 2017/18
99
theyear2017/18.Theincreaseisattributedtopaymentsmadeforprojectsimplementedinthecurrentyear.
Administration expenditure increased from R64 million in2016/17toR74millionduringtheyear2017/18.CETAkeptitsadministrativeexpenditurebelowtheregulatedthreshold of 10.5%. Employee costs increased fromR24million(2016/17)toR38million(2017/18)becauseofvacantpositionsthatwerefilled.
Major Cost DriversCETA’s major cost driver is the cost of employment as human resource is required for the execution of the mandate. TheCETA uses provincial node offices foreasieraccesstoourstakeholdersintheprovinces.
Graph 9: Major cost drivers
CommitmentsCETAhasacommitmentbalanceofR2,3billion.Thisamountsarecommittedtofundscarceandcriticalskillsintheconstructionsector.
Financial PositionsAssetsTotalassetsincreasedby13%fromR2,044billioninthe2016/17toR2,311millionin2017/18.Theincreaseis attributable to capital assets purchased during thefinancial yearand the increase incashandcashequivalents due to delays in disbursements because of internal controls in place to ensure that all payments
made are valid.All funds are currently invested withCorporationforPublicDeposits(SouthAfricanReserveBank).
LiabilitiesCETA’s liabilities are made up of mandatory grants payables not disbursed, due to lack of bank details.Another major part relates to projects payments not yet paidatyear-end.ThetotalliabilitiesisR176millionfor2017/18,depictinga18%increase.
ReservesThe12%increaseintotalreservesfromR1,895billionin2016/17toR2,135billionin2017/18wasbecauseoftheincreaseininterestfrominvestments.
Irregular expenditure and fruitless and wasteful expenditureNo irregular, fruitless and wasteful expenditure were incurredbytheCETAinthecurrentandprioryear.
Supply Chain Management DepartmentThe Accounting Authority has implemented effective and efficient SCM systems through policies andprocedures that are aligned to the Public Finance ManagementActof1999(ActNo.1of1999),NationalTreasuryregulationsandotherrelatedlegislation.
All relevant bid committees are in place.As a result,there were no identified irregular expenditures inthe year under review that were caused by non-compliance to the supply chain policies and procedures oftheorganisation.Nounsolicitedbidproposalswerereceivedfortheyearunderreview.
100
ANNUAL REPORT 2017/18
101
PART HAUDIT COMMITTEE
REPORT
102
Wearepleasedtopresentourreport forthefinancialyearended31March2018.TheCETAhasachieveda clean audit according to the Auditor General’s report and the Audit Committee is pleased to see the fruits of the assurance that internal controls are in place and effective.
Audit Committee members and attendanceThe Audit Committee consists of the members listed here under and should meet 4 times per annum as peritsapprovedtermsofreference.Duringthecurrentyear4numberofmeetingswereheld.
Table 15:Name of member Number of meetings
attendedMogadimeJ(Chairperson) 4RankoeMD 3Danisa M 4Mutwanamba N 4Fihlani Z 1
Audit Committee responsibilityThe Audit Committee reports that it has complied with itsresponsibilitiesarisingfromsection38(10)(1)of thePFMAandTreasuryRegulation3.1.TheAuditCommittee also reports that it has adopted appropriate formal terms of reference as its audit committee charter, has regulated its affair in compliance with this charter and has discharged all its responsibilities as contained therein.
The effectiveness of internal controlTheAuditCommitteeissatisfiedthat:
• TheriskmanagementprocessisinplaceandthatCETA’smajorrisksareproperlymanaged
• The internal control systems are effective• The internal auditors are operating objectively and
independently• Matters requiring management attention are being
addressed
Evaluation of financial statementsThe Audit Committee has:
• reviewed and discussed the audited financialstatements to be included in the annual report, with the Auditor General and members;
• reviewed the Auditor General of South Africa’s management report and management’s response thereto;
• reviewed the entities compliance with legal and regulatory provisions;
The Audit Committee concur with and accept the AuditorGeneralofSouthAfrica’sreportonthefinancialstatements, and are of the opinion that the audited financial statements should be accepted and readtogether with the report of the Auditor General of South Africa.
Internal AuditThe Audit Committee is satisfied that the internalaudit function is operating effectively and that it has addressed the riskspertinent to theorganizationanditsaudits.
Auditor General of South AfricaThe Audit Committee has met with the Auditor General of South Africa to ensure that there are no unresolved issues.
Ms Jabu MogadimeChairperson of the Audit Committee
AUDIT COMMITTEE REPORT
ANNUAL REPORT 2017/18
103
PART IREPORT OF THE
AUDITOR-GENERAL
104
Report on the audit of the financial statements
Opinion1. I have audited the financial statements of the
Construction Education and Training Authority set outonpages96to131, which comprise statement of financial position as at 31 March 2018, thestatement of financial performance, statement ofchanges in net assets, statement of cash flowsand the statement of comparison of budget and actual amounts for the year then ended, as well as thenotes to thefinancial statements, includingasummaryofsignificantaccountingpolicies.
2. In my opinion, the financial statements presentfairly,inallmaterialrespects,thefinancialpositionof the Construction Education and Training Authority as at 31March 2018, and its financialperformance and cash flows for the year thenended in accordance with Standards of Generally Recognised Accounting Practice ( Standards ofGRAP)andtherequirementsofthePublicFinanceManagementActofSouthAfrica,1999(ActNo.1of1999) (PFMA)and theSkillsDevelopmentActofSouthAfrica,1998(ActNo.97of1998)(SDA).
Basis for opinion3. I conducted my audit in accordance with the
International Standards on Auditing (ISAs). Myresponsibilities under those standards are further described in the Auditor-General’s responsibilities fortheauditofthefinancialstatementssectionofthisauditor’sreport.
4. I am independent of the public entity in accordance with the International Ethics Standards Board for Accountants’ Code of ethics for professional accountants (IESBA code) and the ethicalrequirements that are relevant to my audit in South Africa.Ihavefulfilledmyotherethicalresponsibilitiesin accordance with these requirements and the IESBAcode.
5. I believe that the audit evidence I have obtained is sufficientandappropriatetoprovideabasisformyopinion.
Emphasis of matter6. Idrawattentiontothematterbelow.Myopinionis
notmodifiedinrespectofthismatter.
Restatement of corresponding figures7. Asdisclosedinnote18tothefinancialstatements,
thecorrespondingfiguresfor31March2017wererestated as a result of an error in the financialstatements of the entity at, and for the year ended, 31March2018.
Responsibilities of the accounting authority for the financial statements8. The board of directors, which constitutes the
accounting authority, is responsible for the preparation and fair presentation of the financialstatements in accordance with Standards of GRAP and the requirements of the PFMA and the SDA and, and for such internal control as the accounting authority determines is necessary to enable the preparation of financial statements that are freefrom material misstatement, whether due to fraud orerror.
9. In preparing the financial statements, theaccounting authority is responsible for assessing the Construction Education and Training Authority’s ability to continue as a going concern, disclosing, as applicable, matters relating to going concern and using the going concern basis of accounting unless the accounting authority either intends to liquidate the public entity or to cease operations, or hasnorealisticalternativebuttodoso.
Auditor-General’s responsibilities for the audit of the financial statements10.My objectives are to obtain reasonable assurance
aboutwhetherthefinancialstatementsasawholeare free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includesmy opinion.Reasonable assuranceis a high level of assurance, but is not a guarantee that an audit conducted in accordance with the ISAs will always detect a material misstatement whenitexists.Misstatementscanarisefromfraudor error and are considered material if, individually or in aggregate, they could reasonably be expected
REPORT OF THE AUDITOR-GENERAL TO PARLIAMENT ON THE CONSTRUCTION EDUCATION AND TRAINING AUTHORITY
ANNUAL REPORT 2017/18
105
toinfluencetheeconomicdecisionsofuserstakenonthebasisofthesefinancialstatements.
11.A further description of my responsibilities for the auditofthefinancialstatementsisincludedintheannexuretothisauditor’sreport.
Report on the audit of the annual performance report
Introduction and scope12.In accordance with the Public Audit Act of South
Africa, 2004 (ActNo.25of 2004) (PAA)and thegeneral notice issued in terms thereof, I have a responsibility to report material findings onthe reported performance information against predetermined objectives for selected programmes presented in the annual performance report. Iperformedprocedures to identify findingsbutnottogatherevidencetoexpressassurance.
13.My procedures address the reported performance information, which must be based on the approved performance planning documents of the public entity.Ihavenotevaluatedthecompletenessandappropriateness of the performance indicators/ measuresincludedintheplanningdocuments.Myprocedures also did not extend to any disclosures or assertions relating to planned performance strategies and information in respect of future periods that may be included as part of the reported performanceinformation.Accordingly,myfindingsdonotextendtothesematters.
14.I evaluated the usefulness and reliability of the reported performance information in accordance with the criteria developed from the performance managementandreportingframework,asdefinedin the general notice, for the following selected programmes presented in the annual performance report of the public entity for the year ended 31March 2018:
Table 16:Programmes Pages in the annual
performance reportProgramme2–Skillsplanning and reporting
26 – 29
Programme3–Learningprogrammes and projects
29–32
15.I performed procedures to determine whether the reported performance information was properly presented and whether performance was consistent with the approved performance planning documents. I performed further procedures todetermine whether the indicators and related targets were measurable and relevant, and assessed the reliability of the reported performance information to determine whether it was valid, accurate and complete.
16.I did not raise any material findings on theusefulness and reliability of the reported performance information for the following programmes:• Programme2–Skillsplanningandreporting• Programme 3 – Learning programmes and
projects
Other matter17.Idrawattentiontothematterbelow.
Achievement of planned targets18.Refer to the annual performance report on pages
19 to 44 for information on the achievement of planned targets for the year and explanations provided for the under-/ overachievement of a significantnumberoftargets.
Report on the audit of compliance with legislation
Introduction and scope19.In accordance with the PAA and the general notice
issued in terms thereof, I have a responsibility to reportmaterial findingson thecomplianceof thepublicentitywithspecificmattersinkeylegislation.Iperformedprocedurestoidentifyfindingsbutnottogatherevidencetoexpressassurance.
106
20.IdidnotraisematerialfindingsoncompliancewiththespecificmattersinkeylegislationsetoutinthegeneralnoticeissuedintermsofthePAA.
Other information21.The accounting authority is responsible for the
otherinformation.Theotherinformationcomprisesthe information included in the annual report, which includes foreword by the acting chairperson of the board,chiefexecutiveofficer’soverview,statementof responsibility and confirmation of accuracy forthe annual report, strategic overview and the audit committee’s report. The other information doesnot includethefinancialstatements, theauditor’sreport and those selected programmes presented in the annual performance report that have been specificallyreportedinthisauditor’sreport.
22.Myopiniononthefinancialstatementsandfindingson the reported performance information and compliance with legislation do not cover the other information and I do not express an audit opinion oranyformofassuranceconclusionthereon.
23.In connection with my audit, my responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistentwiththefinancialstatementsandtheselected programmes presented in the annual performance report, or my knowledge obtainedin the audit, or otherwise appears to be materially misstated.
24.If,basedontheworkIhaveperformed,Iconcludethat there is a material misstatement in this other information,Iamrequiredtoreportthatfact.Ihavenothingtoreportinthisregard.
Internal control deficiencies25.I considered internal control relevant to my audit
ofthefinancialstatements,reportedperformanceinformation and compliance with applicable legislation; however, my objective was not to express any form of assurance on it. I did notidentify any significant deficiencies in internalcontrol.
Pretoria
31July2018
ANNUAL REPORT 2017/18
107
Annexure – Auditor-General’s responsibility for the audit26.As part of an audit in accordance with the ISAs,
I exercise professional judgement and maintain professional scepticism throughout my audit of the financial statements, and the proceduresperformed on reported performance information for selected programmes and on the public entity’s compliance with respect to the selected subject matters.
Financial statements27. Inadditiontomyresponsibilityfortheauditofthe
financialstatements,asdescribedintheauditor’sreport, I also:
• identify and assess the risks of materialmisstatementof thefinancialstatementswhetherdue to fraud or error, design and perform audit procedures responsive to those risks,andobtainaudit evidence that is sufficient and appropriatetoprovideabasis formyopinion.Theriskofnotdetecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations or the override of internalcontrol.
• obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectivenessofthepublicentity’sinternalcontrol.
• evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the board of directors, which constitutes the accounting authority.
• conclude on the appropriateness of the board of directors, which constitutes the accounting authority’s use of the going concern basis of accounting in the preparation of the financialstatements. I also conclude, based on the auditevidence obtained, whether a material uncertainty exists relating to events or conditions that may cast significant doubt on Construction Education andTraining Authority’s ability to continue as a going concern. If I conclude that amaterial uncertainty
exists, I am required to draw attention in my auditor’s report to the related disclosures in the financialstatementsaboutthematerialuncertaintyor, if such disclosures are inadequate, to modify the opiniononthefinancialstatements.Myconclusionsare based on the information available to me at the dateoftheauditor’sreport.However,futureeventsor conditions may cause a public entity to cease operatingasagoingconcern.
• evaluate the overall presentation, structure and content of the financial statements, including thedisclosures,andwhetherthefinancialstatementsrepresent the underlying transactions and events inamannerthatachievesfairpresentation.
Communication with those charged with governanceI communicate with the accounting authority regarding, among other matters, the planned scope and timing of theauditandsignificantauditfindings, includinganysignificantdeficienciesininternalcontrolthatIidentifyduringmyaudit.
Ialsoconfirm to theaccountingauthority that Ihavecomplied with relevant ethical requirements regarding independence, and communicate all relationships and other matters that may reasonably be thought to have a bearing on my independence and, where applicable, relatedsafeguards.
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ANNUAL REPORT 2017/18
109
PART JANNUAL FINANCIAL
STATEMENTS
110
Construction Education and Training Authority Annual Financial Statements
for the Year Ended 31 March 2018
Contents Statement of Financial Performance 112StatementofFinancialPosition 113 Statement of Changes in Net Assets 114 StatementCashFlows 115 Statement of Comparisons of Budget and Actual Amounts 116 Notes to the Annual Financial Statements 126 RemunerationtoExecutiveManagementandAccountingAuthority 145
ANNUAL FINANCIAL STATEMENTS
ANNUAL REPORT 2017/18
111
AUDITED ANNUAL FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2018
TheAuditedFinancialStatements for theyearended31March2018havebeenapprovedby theAccountingAuthorityon31July2018intermsofsection51(1)ofthePublicFinanceManagementAct(PFMA),No1of1999as amended, and are signed on the CETA’s behalf by:
Mr Robert SemenyaCETA Acting CEO
MR Raymond Cele CETA Chairperson
112
STATEMENT OF FINANCIAL PERFORMANCE
NOTEMARCH2017/18
R ‘000
RESTATEDMARCH2016/17
R ‘000
Revenue
Revenue from non-exchange transactions
Transfer revenue
Levies 2 575,609 582,247
Fines, Penalties and Forfeits 3 21,274 21,598
Total revenue from non-exchange transactions 596,883 603,845
Revenue from exchange transactions
Other Income 4 1,012 2,046
Interest received - CPD 5 142,169 123,987
Total revenue from exchange transactions 143,181 126,033
Total revenue 740,064 729,878
Expenditure
Administration Expenses 6 -73,615 -64,467
Employer Grant and Project Expenses 7 -430,643 -384,331
Total expenditure -504,258 -448,798
Operating surplus 235,806 281,080
Surplus for the year 1 235,806 281,080
ANNUAL REPORT 2017/18
113
STATEMENT OF FINANCIAL POSITION
NOTEMARCH2017/18
R ‘000
RESTATEDMARCH2016/17
R ‘000Assets
Current AssetsCash and Cash equivalents 8 2,292,861 2,025,205
Receivables from non-exchange transactions 9.1 6,018 6,432
Receivables from exchange transactions 9.2 3,715 2,692
Consumables 10 385 296
2,302,980 2,034,626
Non-Current AssetsProperty, Plant and Equipment 11 8,134 9,855
Intangible Assets 12 371 151
8,506 10,006
Total Assets 2,311,485 2,044,631
LiabilitiesCurrent LiabilitiesPayables from non-exchange transactions 13.1 21,881 18,996
Payables from exchange transactions 13.2 56,416 38,783
NARYSEC Funds 14 725 -
Provisions 15 97,149 91,400
Total Liabilities 176,170 149,179 2,135,315 1,895,453
Funds and ReservesAdministration reserve 8,506 10,006
Employer Grant reserve 352 617
Discretionary reserve 2,126,457 1,884,830
Total Net Assets 2,135,315 1,895,453
114
STAT
EMEN
T O
F C
HA
NG
ES IN
NET
ASS
ETS
NO
TEA
dmin
istr
atio
n re
serv
eR
‘000
Empl
oyer
G
rant
re
serv
eR
‘000
Dis
cret
iona
ry
Gra
nt re
serv
eR
‘000
Tota
l res
erve
sR
‘000
Una
ppro
pria
ted
surp
lus
R ‘0
00
Bal
ance
at 0
1 A
pril
2016
7,8
96
485
1,60
5,99
2 1,
614,
373
-
Cha
nges
in n
et a
sset
sur
plus
for t
he y
ear
-
- -
- 28
1,08
0
Allo
catio
n of
una
ppro
pria
ted
surp
lus
113,644
61,950
205,486
28
1,08
0 -2
81,0
80
Excessreservestransferred(to)/from
-11,534
-61,
817
73,352
Tota
l Cha
nges
2,2
09
132
300,949
303,290
-
Res
tate
d B
alan
ce a
t 31
Mar
ch 2
017
1
0,00
6 61
7 1,
884,
830
1,89
5,45
3
Adj
ustm
ents
to o
peni
ng b
alan
ce
-A
lloca
tion
to o
peni
ng b
alan
ce52
4 4,
001
4,057
-
Bal
ance
at 0
1 A
pril
2017
1
0,05
8 62
1 1,
888,
831
1,89
9,50
9 -
Cha
nges
in n
et a
sset
sur
plus
for t
he y
ear
-
- -
- 235,806
Allo
catio
n of
una
ppro
pria
ted
surp
lus
13,040
59,905
172,
861
235,806
-235,806
Excessreservestransferred(to)/from
-4,592
-60,
174
64,7
66
Tota
l Cha
nges
-1,500
-265
241,
628
239,863
-
Bal
ance
at 3
1 M
arch
201
8
8
,506
35
2 2,
126,
457
2,13
5,31
5
ANNUAL REPORT 2017/18
115
STATEMENT OF CASH FLOWS
NOTEMARCH2017/18
R ‘000
RESTATEDMARCH2016/17
R ‘000Cash flow from operating activities
ReceiptsGrants 596,185 604,492Interest and Other Income 143,181 126,033
739,366 730,524
PaymentsEmployee costs -37,614 -24,056Paymentstosuppliersandstakeholders -430,940 -393,712
-468,553 -417,768
Net cash flow from operating activities 16 270,813 312,757
Cash flow from investing activitiesPurchase of property, plant and equipment 11 -2,701 -6,404Netcashflowsfromloss/saleofproperty,plantandequipment 12 144Purchase of other intangible assets 12 -468 -277Net cash flows from investing activities -3,157 -6,537
Cash flow from financing activities - -Net cash flow from financing activities - -
Net increase in cash and cash equivalents 267,656 306,220Cash and cash equivalents at the beginning of the year 2,025,205 1,718,985Cash and cash equivalents at the end of the year 8 2,292,861 2,025,205
116
STAT
EMEN
T O
F C
OM
PAR
ISO
N O
F B
UD
GET
AN
D A
CTU
AL
AM
OU
NTS
N
OTE
Fina
l Bud
get a
s at
Mar
ch 2
018
R ‘0
00
Act
ual a
mou
nts
as a
t Mar
ch
2018
R ‘0
00
Diff
eren
ceR
‘000
Stat
emen
t of F
inan
cial
Per
form
ance
Rev
enue
Rev
enue
from
exc
hang
e tr
ansa
ctio
nsO
ther
Inco
me
- 1,
012
1,01
2
Inte
rest
rece
ived
- C
PD
71,855
142,
169
70,314
Tota
l rev
enue
from
exc
hang
e tr
ansa
ctio
ns71,855
143,181
71,326
Rev
enue
from
non
-exc
hang
e tr
ansa
ctio
nsTr
ansf
er re
venu
eLe
vies
644,
618
575,609
-69,
009
Fine
s, P
enal
ties
and
Forfe
its32,490
21,2
74
-11,215
Tota
l rev
enue
from
non
-exc
hang
e tr
ansa
ctio
ns67
7,10
7 596,883
-80,
224
Tota
l Rev
enue
748,
962
740,
064
-8,8
98
Expe
nditu
reA
dmin
istra
tion
Exp
ense
s-8
7,17
0 -73,615
13,555
Em
ploy
er G
rant
and
Pro
ject
Exp
ense
s-661,793
-430,643
-231,149
Tota
l exp
ense
s-7
48,9
62
-504,258
-217,594
Surp
lus
-0
235,806
-226
,492
ANNUAL REPORT 2017/18
117
Accounting Policies
1. Presentation of Financial StatementsThe Financial statements have been prepared in accordance with the Standards of Generally RecognisedAccounting Practice (GRAP), issued bythe Accounting Standards Board in accordance with Section91(1)ofthePublicFinanceManagementAct(Act1of1999).These Financial statements have been prepared on an accrual basis of accounting and are in accordance with historical cost convention unless specifiedotherwise.TheyarepresentedinSouthAfricanRand.Comparativefiguresaredisclosed.
In the absence of an issued and effective Standard of GRAP, accounting policies for material transactions, events or conditions were developed in accordance with paragraphs 8, 10 and 11 ofGRAP 3 readwithDirective5.Assets,liabilities,revenuesandexpenseswere not offset, except where offsetting is either requiredorpermittedbyaStandardofGRAP.Asummaryofthesignificantaccountingpolicies,whichhave been consistently applied in the preparation of theseFinancialStatements,aredisclosedbelow.
1.1 Going concern assumptionThese Financial statements have been prepared based on the expectation that the CETA will continue to operate as a going concern for at least the next 12 months.
2. Revenue from non-exchange transactions
2.1 Skills Development Levy Income The accounting policy for the recognition and measurement of skills development levy income isbased on the Skills DevelopmentAct,Act No 97 of1998,asamendedandtheSkillsDevelopmentLeviesAct,ActNo9of1999,asamended.
In terms of section 3(1) and 3(4) of the SkillsDevelopmentLeviesAct,1999(ActNo.9of1999)asamended, registered member companies of the CETA payaskillsdevelopmentlevyof1%ofthetotalpayrollcosttotheSouthAfricanRevenueServices(SARS),
who collect the levies on behalf of the Department.CompanieswithanannualpayrollcostlessthanR500000areexemptedinaccordancewithsection4(b)oftheLeviesActasamended,effective1August2005.80% of Skills Development Levies are paid over totheCETA(netofthe20%contributiontotheNationalSkillsFund(NSF)).TheCETAwasnotinapositiontoverifythatSARShascollectedallpotentialskillslevyincome.
Skills Development Levy (SDL) transfers arerecognised on an accrual basis when it is probable thatfutureeconomicbenefitsorservicepotentialwillflowtotheCETAandthesebenefitscanbemeasuredreliably.ThisoccurswhentheDepartmentmakesanallocation to the CETA as required by Section 8 of the Skills Development Levies Act, 1999 (Act No. 9 of1999)asamended.
Revenue is adjusted for transfers between the SETAs due to employers changing SETAs. Suchadjustments are separately disclosed as inter-SETA transfers. The amount of the inter-SETA adjustmentis calculated according to the most recent Standard OperatingProcedureissuedbytheDepartment.SkillsDevelopment Levy (SDL) transfers are recognisedon an accrual basis when it is probable that future economic benefits or service potential will owe theCETA and these benefits can bemeasured reliably.This occurs when the Department of Higher Education makes an allocation to the CETA, as required bySection8oftheSkillsDevelopmentLeviesAct,1999(ActNo.9of1999)asamended.
2.2 Interest and penaltiesInterestandpenaltiesareeconomicbenefitsorservicepotential received or receivable by CETA, asdetermined by legislation, as a consequence of the breach of laws or regulations and is recognised on an accrualbasis.
2.3 Conditional Grants and receiptsRevenue received from conditional grants, donations and funding are recognised as revenue to the extent that the CETA has complied with any of the conditions embodied in the agreement. To the extent that theconditionshavenotbeenmet,aliabilityisrecognised.
118
2.4 Funds allocated by the National Skills Fund for Special ProjectsFunds transferred by theNationalSkills Fund (NSF)are accounted for in the financial statements of theCETA as a liability until the related eligible special projectexpensesareincurred.Theliabilityisreducedby any project expenditure incurred and recognised as revenue.Property, plant andequipment acquired forNSFSpecial Projects are capitalised in the financialstatements of the CETA, as the CETA controls such assetsforthedurationoftheproject.Suchassetsmayhowever only be disposed of in terms of agreement andspecificwritteninstructionsbytheNSF.
2.5 Inter-SETA TransfersRevenue is adjusted for transfers of employers between SETAs that arise due to incorrect allocation toaSETAon registration forskillsdevelopment levyor changes to their business that result in a need to change SETAs. Such adjustments are disclosedseparately as inter-SETA transfers. The amount ofthe inter-SETA transfers is calculated according to the most recent Standard Operating Procedure as issued bytheDepartmentofHigherEducationandTraining.
2.6 Discretionary grantsThe funding for discretionary grants and projects stems fromthe49.5%ofthetotalleviespaidbytheemployers,levy grants that are not claimed by employers, the surplus of administration levies not utilised, investment income,andotherincomegeneratedbytheCETA.
CETA may out of any surplus monies determine and allocate discretionary grants to employers, education and trainingprovidersandworkersof theemployerswho have submitted an application for a discretionary grant in the prescribed form within the agreed upon cut - off period. The grant payable and the relatedexpenditure are recognised when the application has beenapproved, implementationhas takenplaceandthe conditions have been met, creating an obligation to pay. Up to a maximum of 7.5% of the allocateddiscretionary grant amount shall be budgeted to administer the project by the employer or training provider.
Discretionary grant support costsThe7.5%limitshallnotbeapplicabletothefollowing:
• Consulting to support CETA strategic goals• Expenditure incurred as a result of support to
conceptualisation, implementation and conclusion• Launches• Legal costs• Salaries of core business staff• Travel and accommodation
3. Revenue from exchange transactionsRevenue from exchange transactions is recognised when it is probable that future economic benefits orservicepotentialwillflowtotheCETAandthesebenefitscanbemeasuredreliably.Revenueismeasuredatthefairvalueoftheconsiderationreceivedorreceivable.The only exchange revenue received by the CETA is the interest earned on the investment when the conditionsaremet.
3.1 Investment incomeInterest income is accrued on a time proportion basis, taking intoaccount theprincipaloutstandingand theeffectiveinterestrateovertheperiodtomaturity.
4. Project expenditureProject expenditure comprise:• Coststhatrelatedirectlytothespecificcontract;• Costs that are attributable to contract activity in
general and can be allocated to the project; and• Suchothercostsasarespecificallychargeableto
CETAunderthetermsofthecontract.
Such costs are allocated using methods that are systematic and rational and are applied consistently to allcostshavingsimilarcharacteristics.
Project costs are recognised as expenses in the period theinvoiceisreceivedandapproved.AReceivableisrecognised net of a provision for irrecoverable amounts for incentive and other payments made to the extent of expensesnotyetincurredintermsofthecontract.
At the end of the financial period any unspent oruncommitted funds must be transferred to the National SkillsFundAuthoritywithanallowanceof5%of theuncommitted funds that will be carried over to the next financialyear,exceptwherearequesttocarryforwardthe uncommitted funds has been lodged as per the Grant Regulations requirements. The unspent funds
ANNUAL REPORT 2017/18
119
aredeterminedbytakingthesurplusasstatedintheStatement of Financial Performance for the financialperiod under review less the commitments for training of learners in programmes funded from discretionary funds.
4.1 Mandatory grantsThe grants payable and the related expenditure are recognised when the employer has submitted an application for a grant in the prescribed form within the prescribed cut off period as the payment then becomes probable.Thegrant isequivalentof20%of the totallevies paid by the employer during the corresponding financial period for the skills implementation grantrespectively.
4.2 Administrative expenditureThe funding for administrative expenditure is derived from10.5%ofthetotal leviespaidbytheemployers.Administration expenses consist of the operational expenditure incurred by the CETA in delivering its mandate.
5. Property, plant and equipment RecognitionProperty, plant and equipment are tangible non-current assets(includinginfrastructureassets)thatareheldforuse in the production or supply of goods or services, rental to others, or for administrative purposes, and are expectedtobeusedduringmorethanoneperiod.
The cost of an item of property, plant and equipment is recognised as an asset when it is probable that future economicbenefitsorservicepotentialassociatedwiththeitemwillflowtotheentityandthecostoftheitemcanbemeasuredreliably.
Initial MeasurementProperty, plant and equipment is initially measured at cost. The cost of an item of property, plant andequipment is the purchase price and any other costs attributable to bring the asset to the location and condition necessary for it to be capable of operating in themannerintendedbymanagement.Tradediscountsandrebatesaredeductedinarrivingatthecost.
Property, plant and equipment which has a cost price
less thanR2000areexpensedandnotcapitalised.Where an asset is acquired through a non-exchange transaction, its cost is its fair value as at date of acquisition. Where an item of property, plant andequipment is acquired in exchange for a non-monetary asset or monetary assets, or a combination of monetary and non-monetary assets, the asset acquired is initially measuredatfairvalue(thecost).Iftheacquireditem’sfair value was not determinable, it’s deemed cost is the carryingamountoftheasset(s)givenup.
The initial estimate of the costs of dismantling and removing the item and restoring the site on which it is located is also included in the cost of property, plant and equipment, where the entity is obligated to incur such expenditure, and where the obligation arises as a result of acquiring the asset or using it for purposes otherthantheproductionofinventories.
Recognition of costs in the carrying amount of an item of property, plant and equipment ceases when the item is in the location and condition necessary for it to be capable of operating in the manner intended by management.Major spare parts of equipmentwhichare expected to be used for more than one period are includedinproperty,plantandequipment.
Subsequent measurementBuilding machinery, furniture and fixtures, motorvehicle, office equipment, computer equipment andcomputernetworkarecarriedatcostlessaccumulateddepreciation and any impairment losses except for land and buildings which are carried at revalued amount being the fair value at the date of revaluation less any subsequent accumulated depreciation and subsequentaccumulatedimpairmentlosses.
RevaluationWhen an item of property, plant and equipment is revalued, any accumulated depreciation at the date of the revaluation is eliminated against the gross carrying amount of the asset and the net amount restated to therevaluedamountoftheasset.Anyincreaseinanasset’s carrying amount, as a result of a revaluation, is crediteddirectlytoarevaluationsurplus.Theincreaseisrecognised insurplusordeficit totheextent that itreverses a revaluation decrease of the same asset previouslyrecognisedinsurplusordeficit.
120
Any decrease in an asset’s carrying amount, as a result ofa revaluation, is recognised insurplusordeficit inthe current period. The decrease is debited directlyto a revaluation surplus to the extent of any credit balance existing in the revaluation surplus in respect ofthatasset.Therevaluationsurplusinequityrelatedto a specific item of property, plant and equipmentis transferred directly to retained earnings when the assetisderecognised.
DepreciationProperty, plant and equipment are depreciated on the straight line basis over their expected useful lives to their estimated residual value. The depreciationof assets commences on the date that the asset is availableforuse,evenifitisnotyetinuse.
Depreciation is calculated and provided for on an annualbasis.Iftheresidualvalueofanassetisatleastequal to its carrying amount, depreciation amount is zero.Depreciationofanassetceasesatthedatethattheassetisderecognised.Anygainsorlossesarisingfromde-recognitionofanassetisincludedinprofitorlosswhen the item isderecognised.Useful livesarereviewedonanannualbasis.
Depreciation ratesThe depreciation methods and average useful lives of property, plant and equipment have been assessed as follows: Item Depreciation
methodAverage useful life
Furniture and fixtures
Straight line 4-16 years
Motor vehicles Straight line 5years
Officeequipment Straight line 4-16 years
Computer equipment
Straight line 3-9years
Computer software
Straight line 2-9 years
Residual valuesResidual values of other assets are determined by considering the second hand values of similar items which are already at the age the asset is expected to
beattheendofitsusefullife.Thiswouldbeapplicableespeciallytovehicles.
CETAreviewstheresidualvaluesonanannualbasis.The review revealed that the residual values used in the currentorpriorperiodswerestillvalid.Nosignificantvarianceswereidentified.
De-recognitionThe carrying amount of an item of property, plant and equipmentshallbederecognisedondisposal(includingdisposalthroughanon-exchangetransaction)orwhenno future economic benefits or service potential areexpected from its useor disposal. Thegain or lossarising from de-recognition of an item of property, plant andequipmentshallbe included insurplusordeficitwhentheitemisderecognised.
6. Intangible assetsAnintangibleassetisanidentifiablenon-monetaryassetwithoutphysicalsubstance.Anassetisidentifiableifiteitherseparable,i.e.iscapableofbeingseparatedordivided from an entity and sold, transferred, licensed, rented or exchanged, either individually or together with a related contract, identifiable assets or liability,regardless of whether the entity intends to do so or arises from binding arrangements (including rightsfromcontracts),regardlessofwhetherthoserightsaretransferable or separable from the CETA or from other rightsandobligations.
RecognitionThe recognition of an item as an intangible asset requires an entity to demonstrate that the item meets thedefinitionofanintangibleassetandtherecognitioncriteria.An intangible asset is recognised when it isprobablethattheexpectedfutureeconomicbenefitsorservice potential that are attributable to the asset will flowtotheCETA;andthecostorfairvalueoftheassetcanbemeasuredreliably.
CETA assesses the probability of expected future economic benefits or service potential usingreasonable and supportable assumptions that represent management’s best estimate of the set of economic conditions that will exist over the useful life oftheasset.
ANNUAL REPORT 2017/18
121
Where an intangible asset is acquired through a non-exchange transaction, its initial cost at the date of acquisitionismeasuredatitsfairvalueasatthatdate.
Initial MeasurementAn intangible asset is initially measured at its cost and where an intangible asset is acquired at no cost or for a nominal cost, the cost is measured at its fair value as attheacquisitiondate.Intangible assets which has a cost price less than R 2 000areexpensedandnotcapitalised.
Subsequent measurementIntangible assets are carried at cost less any accumulatedamortisationandanyimpairmentlosses.
AmortisationThe amortisation period and the amortisation method for intangible assets are reviewed at each reporting date. Internally generated goodwill is not recognisedasanintangibleasset.Amortisationisprovidedtowritedown the intangible assets, on a straight line basis, to their residual values.Theuseful livesaredetailed inthenoteforPropertyPlantandEquipment.
DerecognitionIntangible assets are derecognised when no future economic benefits or service potential are expectedfrom its use or disposal. The gain or loss is thedifference between the net disposal proceeds, if any, andthecarryingamount.Itisrecognisedinsurplusordeficitwhentheassetisderecognised.
7. Related partiesMembers of the Accounting Authority and employees are required to disclose their interest in any contracts thatCETAisenteringintowithanoutsideparty.Inter-SETA transactions and balances arise due to the movement of employers from one SETA to another.Transactions with related parties are supposed to occur under terms and conditions that are no less favourable than those available under similar arm’s lengthdealings.
8. Financial instrumentsFinancial instruments are broadly defined as thosecontractsthatresultsinafinancialassetinoneentityandafinancial liabilityor residual interest inanother
entity. A key distinguishing factor between financialassets and financial liabilities and other assetsand liabilities, is that they are settled in cash or by exchangingfinancial instruments rather than throughtheprovisionofgoodsorservices.
Financial assets and financial liabilities are initiallyrecognisedatfairvalue.Whereanentitysubsequentlymeasures financial assets and financial liabilities atamortised cost or cost, transactions costs are included inthecostoftheassetorliability.
Financialassetsandfinancial liabilities thatarenon-derivative instruments with fixed or determinablepayments,forexampledepositswithbanks,receivablesandpayables,aremeasuredatamortisedcost.Atinitialrecognition, an entity can however designate such an instrument to be measured at fair valueAn entity cannot offset financial assets and financialliabilities in thestatementoffinancialpositionunlessa legal right of set-off exists, and the parties intend to settleonanetbasis.
GRAP 104 requires extensive disclosures on the significance of financial instruments for an entity’sstatement of financial position and performance, aswellasthenatureandextentoftherisksthatanentityisexposed toasa resultof itsfinancial instruments.Some disclosures, for example the disclosure of fair values for instruments measured at amortised cost or cost and the preparation of a sensitivity analysis, are encouragedratherthanrequired.
The effective interest method is a method of calculating the amortised cost of a financial asset or aFinancialliability (or group of financial assets or financialliabilities) and of allocating the interest income orinterestexpenseovertherelevantperiod.Theeffectiveinterest rate is the rate that exactly discounts estimated future cash payments or receipts through the expected lifeofthefinancialinstrumentor,whenappropriate,ashorterperiodtothenetcarryingamountofthefinancialassetorfinancialliability.Thereisapresumptionthatthe cash flows and the expected life of a group ofsimilarfinancialinstrumentscanbeestimatedreliably.However, in those rare cases when it is not possible to reliablyestimatethecashflowsortheexpectedlifeofafinancialinstrument(orgroupoffinancialinstruments),
122
the CETA shall use the contractual cash flows overthefullcontractualtermofthefinancialinstrument(orgroupoffinancialinstruments).
Afinancialasset iscash, residual interestofanotherentity, a contractual right to receive cash or another financialassetfromanotherentityexchangefinancialassetsorfinancial liabilitieswithanotherentityunderconditionsthatarepotentiallyfavourabletotheCETA.
Afinancial liability isany liability that isacontractualobligation to deliver cash or another financial assetto another entity or exchange financial assets orfinancialliabilitiesunderconditionsthatarepotentiallyunfavourabletotheCETA.
ClassificationTheCETAhasthefollowingtypesoffinancialassets(classesandcategory)asreflectedonthefaceofthestatementoffinancialpositionorinthenotesthereto:
Class CategoryReceivables from non-exchange transactions
Financial assets measured at initial recognition at fair value, and are subsequently measured at amortised cost using the effective interestratemethod.
Receivables from exchange transactions
Financial assets measured at initial recognition value, and are subsequently measured at amortised cost using the effective interestratemethod.
Cash and cash equivalents
Financial assets which comprise of cash on hand and demand deposits, and other short-term highly liquid investments that are readily convertible to a knownchangesinvalue.
TheCETAhasthefollowingtypesoffinancialliabilities(classesandcategory)asreflectedonthefaceofthestatementoffinancialpositionorinthenotesthereto:
Class CategoryProvisions Financial liabilities are initially
measured at fair value, and are subsequently measured at amortisedcost.
Payables from exchange transactions
Financial liabilities are initially measured at fair value, and are subsequently measured at amortisedcost.
Payables from non-exchange transactions
Financial liabilities are initially measured at fair value, and are subsequently measured at amortisedcost.
9. OffsettingFinancial assets and financial liabilities are offset ifthere is any intention to realise the asset and settle the liability simultaneously and a legally enforceable right tosetoffexists.
10. LeasesLeasesofassetsunderwhichalltherisksandbenefitsof ownership are effectively retained by the lessor are classified as operating leases. Payments madeunder operating leases are charged to the statement of financial performance based on the straight-linemethod.Whenanoperatingleaseisterminatedbeforethe lease period has expired, any payment required to be made to the lessor by way of penalty is recognised asanexpenseintheperiodinwhichterminationtakeplace.TheCETAdoesnotholdanyfinanceleases.
11. ConsumablesConsumables are recognised as an asset on the date of acquisition and are measured at the cost on theacquisitiondate.Consumablesare valuedat thelowerofcostornetreplacementvalue.Consumablesare recognised as an asset if it is probable that future economic benefits or service potential associatedwith the itemwill flow to the entity and they can bemeasuredreliably.
12. ReservesReserves are sub-classified in the Statement offinancial position between the following funds andreserves:• Administration reserve
ANNUAL REPORT 2017/18
123
• Employer grant reserve• Discretionary reserve
Thissub-classificationismadebasedontherestrictionsplaced on the distribution of monies received in accordance with the Regulations issued in terms of theSkillsDevelopmentAct,ActNo97of1998asamended.Memberemployercompanylevypaymentsaresetaside in termsof theSkillsDevelopmentAct,Act No 97 of 1998, as amended and the regulations issued in terms of the Act, for the purpose of:
2018%
2017%
Administration costs of the CETA 10.50 10.50Discretionary Grant 49.50 49.50Mandatory Grant 20 20NationalSkillsFund 20 20
100 100
In addition, contributions received from public service employers in the national or provincial spheres of government may be used to pay for CETA administration costs.
Interest and penalties received from South African Revenue Services as well as interest received onInvestments are utilised for discretionary grants and projects. Other income received are utilised inaccordancewiththeoriginalsourceoftheincome.
Surplus funds in the administration reserve and unallocated funds in the employer grant reserve are movedtothediscretionaryfundreserve.Reservesarecreatedbasedontheaccrualbasisofaccounting. Contributions from Public Service SplitAdministration 1/3Discretionary Grants 2/3
13. Employee benefits
Defined contribution plansTheCETA provides for retirement benefits for all itspermanentemployees throughadefinedcontributionscheme that is subject to the Pension Funds Act, 1956 as amended. Contributions are at a rate of
15% of pensionable emoluments of whichmemberscontribute7.5%.TheCETA’scontributiontothedefinedcontribution plans are charged to the Statement of Financial Performance in the year to which they relate andthereisnofurtherliabilityfortheCETA.TheCETApays for the medical aid of the staff members and there is no obligation to the CETA over and above medical aidcontributions.
14. Provisions, accruals and contingenciesProvisions are recognised when CETA has a present obligation as a result of a past event and it is probable thatthiswillresultinanoutflowofeconomicbenefitsthatcan be estimated reliably. Provisions are recognisedwhen the CETA has a present legal or constructive obligation as a result of past events, and it is probable thatthiswillresult inanoutflowofeconomicbenefitsthat can be estimated reliably. Long-term provisionsarediscountedtonetpresentvalue.
14.1 Provision for levies exempt companiesExempt companies’ provision includes employers whocontinuedpayingskillsdevelopment levieseventhoughtheyareexemptintermsofSkillsDevelopmentAct.
14.2 Provision for employee entitlementsThe cost of other employee benefits is recognisedduring the period in which the employee renders the related service employee entitlements are recognised whentheyaccruetoemployees.Aprovisionismadefor the estimated liability as a result of services rendered by employees up to the last day of the financial year. Leave provision are included underpayables from exchange transactions in the statement offinancialpositionbasedonthecurrentsalaryratesandlatestapprovedincreases.Provisionforbonusisalsoincluded.
15. Provisions for grants
15.1 MandatoryA provision is recognised for grant payments due once the specific criteria set out in the regulations to theSkillsDevelopmentAct,97of1998,asamendedhasbeen complied with by member companies and it is probablethattheCETAwillapprovethepayment.Themeasurement of the obligation involves an estimate,
124
based on the established pattern of past practice of approvalforeachtypeofgrant.
15.2 DiscretionaryNo provision is made for projects approved at year-end, unless the service in terms of the contract has beendeliveredorthecontractisofanonerousnature.Where a project has been approved, but has not been accrued for or provided for, it is disclosed as commitmentinthenotestothefinancialstatements.
16. Contingent assets and contingent liabilitiesA contingent liability is a possible obligation that arises from past events, and whose existence will be confirmedonlybytheoccurrenceornon-occurrenceofone or more uncertain future events not wholly in the controloftheentity.
A contingent asset is a possible asset that arises from past events, and whose existence will be confirmedonly by the occurrence or non-occurrence of one or more uncertain future events not wholly in the control of theentity.Contingentassetsandcontingent liabilitiesarenotrecognised.
17. Borrowing costsBorrowing costs are interest and other expenses incurred by an entity in connection with the borrowing of funds.Borrowingcostsarerecognisedasanexpenseintheperiodinwhichtheyareincurred.
18. Comparative figuresWhere necessary, comparative figures have beenadjusted to conform to changes in presentation in the currentyear.
19. Irregular, fruitless and wasteful expenditureIrregular expenditure means expenditure incurred in contravention of, or not in accordance with, a requirement of any applicable legislation, including:
• The PFMA,• TheSkillsDevelopmentAct,ActNo97of1998as
amended,
Where irregular expenditure was incurred in the
previous financial year and is only condoned in thefollowingfinancialyear,theregisterandthedisclosurenotetothefinancialstatementsmustbeupdatedwiththeamountcondoned.
Irregularexpenditure thatwas incurredand identifiedduring the current financial year and which was notcondoned by the National Treasury or the relevant authority must be recorded appropriately in the irregularexpenditureregister.Ifliabilityfortheirregularexpenditure can be attributed to a person, a debt account must be created if such a person is liable in law.
Immediatestepsmust thereafterbe taken to recoverthe amount from the person concerned. If recoveryis not possible, the accounting officer or accountingauthority may write off the amount as debt impairment anddisclosesuchintherelevantnotetothefinancialstatements. The irregular expenditure registermust also be updated accordingly. If the irregularexpenditure has not been condoned and no person is liable in law, the expenditure related thereto must remain against the relevant programme/expenditure item,bedisclosedassuchinthenotetothefinancialstatements and updated accordingly in the irregular expenditureregister.
Fruitless and wasteful expenditure means expenditure that was made in vain and would have been avoided hadreasonablecarebeenexercised.
All irregular, fruitless and wasteful expenditure is charged against income in the period to which it relates anddisclosedintheperioditwasfirstdiscovered.
20. TaxationNo provision has been made for taxation, as CETA is exempt from income tax In terms of Section 10 of the IncomeTaxAct,(Act58of1962).
21. Value Added Taxation (VAT)The Revenue Laws Amendment Act, (Act No.45 of2003)commencedon22December2003.PreviouslythedefinitionofenterpriseplacedSectorialEducationandTrainingAuthorities(SETA)inSchedule3AwithinthescopeofVAT.TheAmendmentAct,howeverhasamended this definition of enterprise and effectively
ANNUAL REPORT 2017/18
125
places the public entity outside the scope of VAT; effective1April2005.
22. Subsequent eventsSubsequent events are all events that occur between thereportingdateandthedateonwhichthefinancialstatements are authorised for tabling in parliament.Adjusting events are all the events that confirm thefinancial performance and position of the SETA atyearend and if material the financial statements areadjustedaccordingly.
23. ErrorsMaterial prior period errors are corrected retrospectively in the first set of financial statements authorised forissue after their discovery by:• (a)Restatingthecomparativeamountsfortheprior
period(s)presentedinwhichtheerroroccurred;or• (b) If the error occurred before the earliest prior
period presented, restating the opening balances of assets, liabilities and net assets for the earliest priorperiodpresented.
24. BudgetTheapprovedbudgetcovers thefiscalperiod from1April2017to31March2018.Thefinancialstatementsand the budget are on the same basis of accounting therefore a comparison with the budgeted amounts for the reporting period have been included in the Statement of comparison of budget and actual amounts.Therearenoentityortimingdifferencesonthebudgettoactualinformation.
126
NO
TES
TO T
HE
FIN
AN
CIA
L ST
ATEM
ENTS
1A
lloca
tion
of u
napp
ropr
iate
d su
rplu
sR
esta
ted
2017
2018
Adm
inis
trat
ion
Empl
oyer
gra
nt re
serv
eD
iscr
etio
nary
gra
nt
rese
rve
Tota
l per
S
tate
men
t of
Fin
anci
al
Per
form
ance
R ‘0
00
Tota
l per
S
tate
men
t of
Fin
anci
al
Per
form
ance
R ‘0
00
Adm
inis
tratio
n re
serv
eR
‘000
Mandatoryskills
gran
tR
‘000
Tota
lR
‘000
Dis
cret
iona
ry
gran
tsR
‘000
Tota
lR
‘000
Rev
enue
Skillsdevelopmentlevy:income
Adm
inlevyincome(10.5%
)
7
8,11
1 76,655
76,655
-
-
-
- Grantlevyincome(69.5%
)504,135498,954
-
145,055
145,055
353,899353,899
Skillsdevelopmentlevy:penaltiesand
inte
rest
21,598
21,
274
-
-
-
21,
274
2
1,27
4
Inte
rest
rece
ived
- C
PD
123,987
1
42,1
69
-
-
-
1
42,1
69
14
2,16
9 O
ther
inco
me
2
,046
1,0
12
-
-
-
1
,012
1
,012
To
tal
7
29,8
78
7
40,0
64
76,6
55
145,
055
145,
055
5
18,3
54
51
8,35
4
Expe
nses
Adm
inis
tratio
n ex
pens
es
-6
4,46
7 -73,615
-73,615
-
-
-
- E
mpl
oyer
gra
nts
and
proj
ect e
xpen
ses
-384,331-430,643
-
-85,150
-85,150
-345,493-345,493
Tota
l
-448
,798
-504,258
-73,615
-85,150
-85,150
-345,493-345,493
2
81,0
80
2
35,8
06
3,0
40
59
,905
59
,905
172
,861
172,
861
ANNUAL REPORT 2017/18
127
NOTES TO THE FINANCIAL STATEMENTS
NOTEMARCH2017/18
R ‘000
RESTATEDMARCH2016/17
R ‘0002 Levies
Levy income: AdministrationLevies in cash 76,862 78,313Levies received from SARS 74,599 75,474Government levies received 1,925 2,825Inter-seta transfers in 338 14 Levies provision -207 -201
76,655 78,111 Levy income: Employer GrantsLevies in cash 144,120 142,552Levies received from SARS 143,443 142,525Inter-seta transfers in 677 27 Levies provision 935 983
145,055 143,535 Levy income: Discretionary GrantsLevies in cash 356,042 362,748Levies received from SARS 350,500 357,030Government levies received 3,850 5,651Inter-seta transfers in 1,692 68 Levies provision -2,143 -2,148
353,899 360,600
Total 575,609 582,247 3 Fines, Penalties and Forfeits
SkillsDevelopmentLevy:Interest 9,466 9,436SkillsDevelopmentLevy:Penalties 11,808 12,163
21,274 21,598 4 Other Income
Other income comprises of:Income from Recoveries by Attorneys 952 2,045ProfitonWrite-OffofAsset 60 1
1,012 2,046
5 Interest received - CPDReserveBank(CPD) 142,169 123,987
142,169 123,987
128
6 Administration Expenses
6.1 Employee cost
BasicSalaries 13,963 10,921NetBonuses 6,094 2,845PAYE 10,088 5,629UIF 135 135Pension 3,506 1,066MedicalAid 2,957 1,559Bond Subsidy 429 280 Other 440 1,621
37,614 24,056
Defined Contribution Plan TheCETA’scontributiontothedefinedcontributionplanarechargedtotheStatementofFinancialPerformanceintheyeartowhichtheyrelateandthereisnofurtherliabilityfortheCETA.
Fringe Benefits Inthenewfinancialyear,theCETAintroducednewfringebenefitsforitsemployeesnamelytheBondSubsidyandcontributiontowardsMedicalAid.
Included in other operating expenses are Garnishee orders, Leave pay, Compensation fund, employee wellness,unionfees,recruitmentfees,bursariesetc.
6.2 Depreciation and amortisation Depreciation 4,362 3,258 Amortisation 247 749 4,609 4,007 6.3 Operating Expenses QCTO 4,763 3,008 BoardandBoardCommittees 2,442 2,505 Travel,SubsistenceandAccommodation 645 569 Communication,PRandMarketing 7,910 4,961 AuditRelatedCosts 3,034 3,716 ConsultingandOutsourcing 316 1,406 CostofOccupancy 3,782 7,478 LegalCosts 3,326 4,428 OtherOperationalExpenses 5,174 8,334 31,392 36,405 Total 73,615 64,467
ANNUAL REPORT 2017/18
129
7 Employer Grant and Project Expenses MandatoryGrants 85,150 81,585 -Expensed 80,039 80,628 -Movementinprovision 5,111 957 DiscretionaryGrants 345,493 302,745 - Core expenditure 229,961 212,642 - Admin expenditure 115,533 90,103 -Employeecost 54,222 37,599 -ProjectAdministrationcosts 61,311 52,504 430,643 384,331
8 Cash and Cash equivalents Cashonhand 2 3 Bankbalance 2,292,859 2,025,202 2,292,861 2,025,205 9 Receivables 9.1 Receivables from non-exchange transactions SARS Employer receivables - current year 14 199 SARSEmployerreceivables-prioryears 7,996 7,343 Provision for bad debts -1,992 -1,109 6,018 6,432 9.2 Receivables from exchange transactions 9.2.1 Sundrydebtors 546 518 Provision for bad debts -96 -96 450 422 9.2.2 Staffdebtors 255 1639.2.3 Projectdebtors 3,004 2,0529.2.4 Prepaidexpenses 6 54 Total Receivables from exchange transactions 3,715 2,692
ProjectdebtorsrelatetocasessuccessfullyconcludedinfavouroftheCETAduringthefinancialyear.Theinteresteffectontheamountisimmaterialastheamountequalsthecost.
10 Consumables Openingbalance 296 473 Movement 89 -177 Closing balance 385 296
130
11Pr
oper
ty, P
lant
and
Equ
ipm
ent
2018
2017
(Res
tate
d)C
ost
Acc
umul
ated
de
prec
iatio
n an
d im
pairm
ent
Car
ryin
g am
ount
Cos
tA
ccum
ulat
ed
depr
ecia
tion
and
impa
irmen
t
Car
ryin
g am
ount
Furnitureandfittings
3,826
-1,
998
1,8
28
3,707
-1,
161
2,546
Mot
or v
ehic
les
5,401
-3,567
1,834
5,401
-2,
487
2
,914
Officeequipment
3,865
-2,
616
1,2
49
3,745
-1,850
1
,896
Com
pute
r equ
ipm
ent
7,050
-3,827
3,223
4,755
-2,256
2
,499
Tota
l
2
0,14
2
-1
2,00
8
8
,134
1
7,60
8
-
7,75
3
9,8
55
Rec
onci
liatio
n of
Pro
pert
y, P
lant
and
Equ
ipm
ent -
201
8O
peni
ng b
alan
ceA
dditi
ons
Dis
posa
lsW
rite-
off
Dep
reci
atio
nTo
tal
Furnitureandfittings
2,546
119
-0
-838
1,82
8M
otor
veh
icle
s2,
914
--
0-1
,080
1,834
Officeequipment
1,89
616
2-
-13
-795
1,24
9C
ompu
ter e
quip
men
t2,
499
2,42
0-
-46
-1,6
493,223
Tota
l9,
855
2,70
1-
-59
-4,3
628,
134
Rec
onci
liatio
n of
Pro
pert
y, P
lant
and
Equ
ipm
ent -
201
7O
peni
ng b
alan
ceA
dditi
ons
Dis
posa
lsW
rite-
off
Dep
reci
atio
nTo
tal
Furnitureandfittings
551
2,97
9-364
--6
192,546
Mot
or v
ehic
les
3,994
--
--1
,080
2,91
4Officeequipment
1,08
41,564
-47
--705
1,89
6C
ompu
ter e
quip
men
t1,545
1,86
2-30
-24
-854
2,49
9To
tal
7,17
46,
404
-441
-24
-3,2
589,
855
ANNUAL REPORT 2017/18
131
12In
tang
ible
Ass
ets
20
1820
17 (R
esta
ted)
Cos
tA
ccum
ulat
ed
amor
tisat
ion
and
impa
irmen
t
Car
ryin
g am
ount
Cos
tA
ccum
ulat
ed
amor
tisat
ion
and
impa
irmen
t
Car
ryin
g am
ount
Com
pute
r sof
twar
e2,175
-1,8
04371
1,70
7-1,556
151
Tota
l2,
175
-1,8
0437
11,
707
-1,5
5615
1
Rec
onci
liatio
n of
Inta
ngib
le A
sset
s - 2
018
Ope
ning
bal
ance
Add
ition
sA
mor
tizat
ion
Tota
lC
ompu
ter s
oftw
are
151
468
-247
371
Tota
l15
146
8-2
4737
1
Rec
onci
liatio
n of
Inta
ngib
le A
sset
s - 2
017
Ope
ning
bal
ance
Add
ition
sA
mor
tizat
ion
Tota
lC
ompu
ter s
oftw
are
623
277
-749
151
Tota
l62
327
7-7
4915
1
Rem
aini
ng a
vera
ge u
sefu
l liv
es:
Year
s
Furnitureandfittings
3M
otor
veh
icle
s 2
Officeequipment
3Com
puterequipment
3C
ompu
ter s
oftw
are
1
132
13 Payables
13.1 Payables from non-exchange transactionsLevy creditors 14,952 11,937SARS payables 180 822Skillsdevelopmentmandatorygrants 6,749 6,238
21,881 18,99613.2 Payables from exchange transactions
Trade payables - Projects 19,968 7,682Trade payables - Administration 6,267 3,877Accrued expenses - Administration 1,612 2,781Accrued expenses - Projects 26,849 22,497Lease liability 562 598NSF Lay-off scheme 37 37Other creditors 1,120 1,311
56,416 38,78314 NARYSEC Funds
Opening balance - 1,120Amount received 1,001 -Amount paid -277 -1,120
725 -NARYSEC funds was made up of external funds received for the payment of an RPL program falling withintheCETA’sscope.
15 Provisions
15.1 Employer refundOpening balance 18,761 17,395transfers to discretionary grants -3,437 -3,564Current year 3,842 3,528Change in provision 1,010 1,402Closing balance 20,176 18,761
TheprovisionforemployerrefundR20176’(2017:R18761’)relatestoleviesincorrectlycontributedbyemployers.PaidbySARS/DHETtotheCETAdespitebeingexemptedfromcontributingtheSkillsDevelopmentLevyduetoalegislationwhichcameintoeffecton1August2005.TherehassincebeenaSkillsDevelopmentCircularno.09/2013whichstatesthatSETAsshouldprovidefornolongerthanfiveyearsasstipulatedintermssection190(4).
ANNUAL REPORT 2017/18
133
15.2 Other Mandatory Grant provisionsOpening balance 3,166 4,251Change in provision 4,792 -1,085Closing balance 7,958 3,166
15.3 Other provisionsOpening balance 707 -Change in estimate 1,900 707Closing balance 2,607 707
15.4 Discretionary grantsOpening balance 67,237 63,745Utilised -19,011 -25,542Change in provision 16,277 29,034Closing balance 64,503 67,237
15.5 Leave PayOpening balance 1,529 985Additions 6 112Utilised -46 -14Change in provision 415 446Closing balance 1,904 1,529
Total 97,149 91,400
16 Cash generated from operationsSurplus 235,806 281,080Adjusted for:Depreciation and amortisation 4,609 4,007Write-off of asset 48 -Profitonwrite-offofasset - -1Loss Disposal of assets - 323Prior year Adjustments - 22,211Adjustment to Opening Balances 4,057 -Changes in working capital:Consumables -89 177Receivables from exchange transactions -1,023 -937Receivables from non-exchange transactions 415 1,407Movement in provisions 5,749 5,023Deferred Income 725 -1,120Payables from exchange transactions 17,633 1,081Payables from non-exchange transactions 2,885 -492
270,813 312,757
134
17C
omm
itmen
ts
17
.1D
iscr
etio
nary
Gra
nts
Pr
ogra
mm
esN
OTE
Res
tate
d B
alan
ce
31/0
3/20
17R
‘000
App
rove
d A
fter
31/0
3/20
17
Proj
ects
C
ance
lled
Adj
ustm
ents
R ‘0
00A
lloca
tions
R ‘0
00
2017
/18
Util
ized
R
‘000
Bal
ance
c/
fwd
R ‘0
00A
cade
mic
Dev
elop
men
t: Jn
r Lec
ture
rs-
--
2,00
0-
-2,
000
Add
ition
of a
Con
stru
ctio
n D
evel
opm
ent W
ing
in th
e in
cuba
tion
cent
re1,
000
--1
,000
--
--
App
rent
ices
hips
394,693
73,000
-42,915
27,2
12156,970
-88,
168
520,793
Ass
ocia
te le
ctur
er p
ositi
ons
(Transportplanning/GIS/CADfor
planning)
1,48
0-
-1,
920
46,0
00-3,076
46,324
Bur
sarie
s56,474
19,560
-11,520
-1,254
79,1
20-1
7,01
1125,369
Can
dida
cy113,661
9,60
0-6
,720
4,14
042
,400
-8,0
92154,989
Dev
elop
men
t Of A
cade
mic
P
rogr
amm
e74
7-
--
--
747
DQ
P S
tatu
s7,
049
--3,000
--
-175
3,874
Ent
repr
eneu
rshi
p A
nd M
ento
rshi
p72
0-
--
--
720
Equ
ity D
evel
opm
ent P
ost
2,92
6-
-2,
880
--3,216
2,590
Est
ablis
hmen
t And
Dev
elop
men
t Of
Coo
pera
tives
12,9
97-
--
--1
,228
11,7
69
Est
ablis
hmen
t of a
Con
stru
ctio
n LaboratoryandW
orkshop
8,92
0-
--
--
8,92
0
Est
ablis
hmen
t of a
coo
pera
tive
500
--
--
-500
Est
ablis
hmen
t or E
nhan
cem
ent o
f C
onst
ruct
ion
Dep
artm
ents
in P
ublic
FE
T C
olle
ges
2,
967
--
--
-2,
967
Inte
rnsh
ips
51,187
4,500
-5,976
-45,000
-4,9
9189
,719
JointP
rojects(JPMT)
--
--
7,00
0-2
,296
4,70
4Le
arne
rshi
ps40
8,91
077
,040
-43,971
7,14
2231,200
-72,
422
607,
899
Placementoflearnersinworkplaces
56,157
8,46
0-2
0,01
6-
--5,846
38,754
Pro
gram
me
Dev
elop
men
t12
9-
--
--
129
Rec
ogni
tion
Of P
rior L
earn
ing
22,845
--8
,740
-3,122
-1,6
8915,539
ShortSkillsProgram
mes
102,932
27,905
-17,
886
796
41,2
80-1
7,02
9137,997
ANNUAL REPORT 2017/18
135
SkillsDevelopmentC
entre
112,239
--
-300,000
-2,7
84409,455
Trad
e Te
stin
g10
,669
--4,932
--
-226
5,511
Trai
ning
of F
ET
colle
ge s
taff
in a
sses
smen
t an
d m
oder
atio
n300
--
--
-300
Spe
cial
Pro
ject
s-0
--
-7,
974
-1,7
126,
262
Vario
us P
roje
cts
1,77
6-
-1,4
72-
--
304
WorkplaceIntegratedlearning
5,040
12,0
60-7
204
60,300
-76
,684
Con
tem
pora
ry L
eade
rs d
evel
opm
ent
--
--
581
-581
Futu
re le
ader
s-
--
-1,
882
-1,
882
Aca
dem
ic In
frast
ruct
ure
and
lect
ure
supp
ort
--
--
25,680
-25,680
Rur
al C
omm
unity
dev
elop
men
t pro
ject
--
--
11,360
-11,360
New
Lea
ders
Dev
elop
men
t -
--
-2,030
-2,030
Tota
l Dis
cret
iona
ry G
rant
Cor
e Ex
pend
iture
1,37
6,31
823
2,12
5-1
68,8
6744
,840
1,06
1,89
8-2
29,9
612,
316,
354
Offe
r let
ters
issu
es b
y 31
Mar
ch 2
018
and
acce
pted
by
entit
ies
afte
r 31
Mar
ch 2
018:
Pr
ogra
mm
esTo
tal
R
‘000
App
rent
ices
hips
3,575
Bur
sarie
s4,
400
Can
dida
cy2,500
Inte
rnsh
ips
4,00
0Le
arne
rshi
ps2,500
Rec
ogni
tion
Of P
rior L
earn
ing
140
ShortSkillsProgram
mes
900
Workintegratedlearning
250
18,2
65
136
17.2 Operating leases
Total of minimum lease payments under none cancellable leases
- within one year 2,628 2,419 - within two years 2,838 -
5,466 2,419
Theoperating lease commitmentshavebeenstraight linedover theperiodof the lease to take intoaccountany escalation clauses contained therein. The operating lease relates to business premises used for officeaccommodation.
17.3 Administration Commitments
Company NameMARCH 2017/18
R ‘000
MARCH 2016/17
R ‘000ACCTECH Systems - 465AfricanDawnRiskSolutions - 59Blue Dove Projects and Services - 21,059Business Connexion 124 496CasperCombrinkElectronicsT/ASecurityIntegratedSystems - 157CornastoneEnterpriseSystems(Pty)Ltd 1,464 -Creative Consulting - 175CtrackMzansi(DigicoreManagementServices(Pty)Ltd - 57Deloitte&Touche 633 3,077EOH Mthombo27 5 1,046Fidelity Security Services 42 531GalixNetworking(Pty)Ltd 451 97Jasco Power - 258Key Moves - 68Konica Minolta South Africa 1,074 -Ngubane&Co(Jhb)Inc - 1,349Oyana Business Services - 4,998Prosperosa Consulting - 138Servest(Pty)Ltd 119 -SteinerHygiene(Pty)Ltd - 8The Vuvuzela Hotline - 49Tipp Focus Consulting - 580Clefele Holdings 16 -First Hope Group Of Companies 21 -Jos South African 5 -Macman’s Inteligent Systems 236 -MatlamaTrading&Projects 46 -Thabitech 221-Xon Systems 295 -
5,023 34,668
ANNUAL REPORT 2017/18
137
18 Prior year errors
a During theMarch 2018 financial year, itwas discoveredwhile preparing reconciliations that discretionarygrantexpenditure,accrualsandprovisionsfortheyearended31March2017wereoverstated,neededtobereclassified.Thecorrectionthereofresultedinaprioryearerror.
b DuringtheMarch2018financialyear,itwasdiscoveredthataleaseamount,insuranceamount,assetamount,debtoramounts,provisionsandleaveamountneededtobecorrected.Thecorrectionthereofresultedinaprioryearerror.
c DuringtheMarch2018financialyear,itwasdiscoveredthatSARSaccountreceivablesneededtobeadjusted.Thecorrectionthereofresultedinaprioryearerror.
Impact on account balances: a DecreaseinAssociatelecturerpositionsExpenditure - -5 Decrease in Apprenticeships Expenditure - -9,018 DecreaseinBursaryExpenditure - -73 DecreaseinCandidacyProgrammeExpenditure - -5,813 DecreaseinInternshipsExpenditure - -599 DecreaseinLearnershipExpenditure - -8,631 Decrease in RPL Expenditure - -640 DecreaseinSkillsProgrammesExpenditure - -1,291 DecreaseinTradetestExpenditure - -57 DecreaseinEstablishment&SupportofSMMESExpenditure - -212 Decrease in Establ/Enhan of Cons Dpt FET Collg Expenditure - -471 IncreaseinSkillsDevelopmentCentreExpenditure - 471 DecreaseinPlaceofLearnersinWorkplacesExpenditure - -183 Increasediscretionarygrantreserves - -15,175 Decrease in Discretionary Grant Accruals - 7,477 DecreaseinDiscretionaryGrantProvisions - 34,220 Increase in Discretionary Grant Commitments - 27,676 Decrease Retention of surplus funds Disclosure - -27,676 b Increase in Rent Paid Expenditure - 61 DecreaseinShortTermInsuranceExpenditure - -54 Decrease in Administration Reserves - 17 Decrease in Sundry Debtors - -100 IncreaseinPrepayment - 54 Increase in Lease Liability - -17 Decrease in Other Provisions - 40 DecreaseinTelephoneDepreciationExpenditure - -3 Decrease in Telephone Asset Additions - -92 DecreaseinTelephoneAccumulatedDepreciation - 3 Decrease in Administration Creditors Accruals - 92 Increase in Leave Pay Expenditure - 2 Increase in Leave Pay Provision - -2 c Increase in SARS Provision for Bad Debts Expenditure - 1,109 Increase in Provision for Bad Debts - SARS - -1,109
138
19 Change in Accounting Estimates
Duringthefinancialyear,theExpectedUsefulLivesofallassetsthatwereboughtbefore1April2013,wereallreviewed as follows:
Class of Asset Useful life extension Furnitureandfittings 2 Officeequipment 2 Computer equipment 2
Movements are as follows:IncreaseinDepreciation(Officeequipment) - 25IncreaseinAccumulatedDepreciation(Officeequipment) - -25IncreaseinDepreciation(Furnitureandfittings) - 79IncreaseinAccumulatedDepreciation(Furnitureandfittings) - -79
20 Related Parties
Transactions with entities under common control
By virtue of the CETA being a National Public Entity related to entities and departments in the National sphere of government, it is considered related to Telkom, Eskom, SouthAfricanAirways, other Seta’s andNationalSkillsFund.Thetransactionsareconsistentwithnormaloperatingrelationshipsbetweentheentities,andareundertakenontermsandconditionsthatarenormalforsuchtransactions.Wherethereweretransactionsandbalances arising due to the movement of funds between entities under common control for the department, these amountsweredisclosedasbelow.
2018 2017
R ‘000 R ‘000Transaction
AmountAmount
receivable/(payables)
Transaction Amount
Amount receivable/(payables)
MERSETA 2,708 - 109 -2,708 - 109 -
Note: Relating to Inter SETA transfers that the amount of the transaction, where applicable, includes interest and penaltiestransferredtoorfromtheSETA.
Note: Emanating from the collaboration between the Services and Construction SETA, the SETAs share joint projectsandresourcessuchasofficespace,generatoretc.
21 Irregular, fruitless and wasteful expenditure TherewerenoIrregular,fruitlessandwastefulexpenditureincuredduringthefinancialyear.
22 Financial Instruments InthecourseofCETAoperations,itisexposedtointerestrate,credit,liquidityandmarketrisk.CETAhasdevelopedacomprehensiveriskstrategyintermsofTreasuryRegulation28.1inordertomonitorandcontroltheserisks.
ANNUAL REPORT 2017/18
139
Theriskmanagementprocessrelatingtoeachoftheserisksisdiscussedundertheheadingsbelow.
Financialinstrumentshavenotbeendiscountedastheywillallbesettledorrecoveredwithin6months.Effectofdiscountingwasconsideredandfoundnottobematerial.
Interest rate risk CETAmanages its interest rate riskbyeffectively investingCETAsurplus theCorporation forPublicDeposits(CPD)asperTreasuryRegulation31.3.3.
Credit risk Floating rate Non-interest bearing
2018
Assets AmountEffective
interest rateAmount
Weighted average
period until maturity in
years
Total
Cash and cash equivalents 2,292,861 7.1% - 2,292,861Receivables from non-exchange transactions
- 6,018 6,018
Receivables from exchange transactions
- 3,715 3,715
Total financial assets 2,292,861 9,733 2,302,5942017
Assets AmountEffective
interest rateAmount
Weighted average
period until maturity in
years
Total
Cash and cash equivalents 2,025,205 7.3% - 2,025,205Receivables from non-exchange transactions
- 6,432 6,432
Receivables from exchange transactions
- 2,692 2,692
Total financial assets 2,025,205 9,124 2,034,330
Financialassets,whichpotentiallysubjectCETAtotheriskofnon-performancebycounterpartiesandtherebysubjecttocreditconcentrationsofcreditrisk,consistmainlyofcashandcashequivalents,investmentsandaccountsreceivable.
CETAlimitsitstreasurycounter-partyexposurebyonlydealingwithwell-establishedfinancialinstitutionsapprovedbyNationalTreasurythroughtheapprovaloftheirinvestmentpolicyintermsofTreasuryRegulation28.CETA’sexposureiscontinuous.
Creditriskwithrespecttolevypayingemployersislimitedduetothenatureoftheincomereceived.CETAdoesnothaveanymaterialexposuretoanyindividualorcounter-party.CETA’sconcentrationofcreditriskislimitedtotheindustry(Financial).
140
Creditriskwithrespecttolevypayingemployersislimitedduetothenatureoftheincomereceived.CETAdoesnothaveanymaterialexposuretoanyindividualorcounter-party.CETA’sconcentrationofcreditriskislimitedto the industry (Construction related industries) inwhichCETAoperates.No events occurred in the industry(Constructionandrelatedindustries)duringthefinancialyearthatmayhaveanimpactontheaccountsreceivablethathasnotbeenadequatelyprovidedfor.Accountsreceivablearepresentednetofallowancefordoubtfuldebts.
Liquidity risk
CETAmanages liquidity risk through propermanagement of working capital, capital expenditure (and actualversus forecasted cash flowsand its cashmanagement policy).Adequate reserves and liquid resources aremaintained.
2018Carrying Amount
Contractual Cash Flows
6 months or less
Payables from non-exchange transactions 21,881 21,881 21,881Payables from exchange transactions 56,416 56,416 56,416
78,297
2017Carrying Amount
Contractual Cash Flows
6 months or less
Payables from non-exchange transactions 18,996 18,996 18,996Payables from exchange transactions 38,783 38,783 38,783
57,779
In case of liquidity problems, funding resources might be available in the terms of DHET and National Treasury approvalforborrowingrequirementsintheopenmarket.
Market risk CETAisexposedtofluctuationsintheemploymentmarket,forexample,suddenincreasesinunemploymentandchangesinthewagerates.NosignificanteventsoccurredduringtheyearthatCETAisawareof.
Fair values CETA’sfinancialinstrumentsconsistmainlyofcashandcashequivalents,accountsandotherreceivablesandaccountandotherpayables.Nofinancialinstrumentswerecarriedatanamountinexcessofitsfairvalue.Fairvaluescouldbereliablymeasuredforallfinancialinstruments.Thefollowingmethodsandassumptionsareusedtodeterminethefairvalueofeachclassoffinancialinstruments:Cash and cash equivalent CashandcashequivalentscompriseofcashheldbyCETAandshort-termbankdepositswithanoriginalmaturityoflessthanthreemonths.Thecarryingamountoftheseassetsapproximatestheirfairvalues. Accounts receivable The carrying amount of accounts receivable is net of allowance for any doubtful debt, estimated by the Accounting Authoritybasedonpriorexperience.Thecarryingamountoftheseassetsapproximatestheirfairvalue.Theeffectofdiscountingisconsideredandfoundtobeimmaterial. Investments Thefairvalueofpubliclytradedinvestmentsisbasedonquotedmarketpricesforthoseinvestments.
ANNUAL REPORT 2017/18
141
Accounts payables The carrying amount of account and other payables approximate their fair value due to the relatively short term maturityofthesefinancialliabilities.Borrowings Thefairvalueofinterest-bearingborrowingsisbasedonthequotedmarketpriceforthesameorsimilarissuesoronthecurrentratesavailablefordebtwiththesamematurityprofileandeffectiveinterestratewithsimilarcashflows(onlyifapplicable)Theeffectofdiscountingwasconsideredandfoundtobeimmaterial. 23 New accounting pronouncements Atthedateofauthorisationofthesefinancialstatements,thereareStandardsandInterpretationsinissuebutnotyeteffective.TheseincludethefollowingStandardsandInterpretationsthatareapplicabletotheCETAandmayhaveanimpactonfuturefinancialstatements.
Related Party Disclosures GRAP 20 Not yet effectiveService Concession Arrangements: Grantor GRAP32 Not yet effectiveSeparate Financial Statements GRAP34 Not yet effectiveConsolidated Financial Statements GRAP35 Not yet effectiveInvestments in Associates and Joint Ventures GRAP36 Not yet effectiveJoint Arrangements GRAP37 Not yet effectiveDisclosure of Interests in Other Entities GRAP38 Not yet effectiveStatutory Receivables GRAP 108 Not yet effectiveAccounting by Principals and Agents GRAP 109 Not yet effectiveLiving and Non-living Resources GRAP 110 Not yet effective
24 Contingencies
Contingent Assets
a Litigations Description R ‘000Ms R Malatji Employee related recoveries 22 African Haze Trading 8 CC t/a Tshamaano Construction
Recoveries claim by CETA for monies paid to the entity
466
Busi Ntuli Communications Recoveries claim by CETA for monies paid to the entity
100
KwambanjwaCarpentry&ConstructionServicesCC
Recoveries claim by CETA for monies paid to the entity
171
LekamvaAcademy-CaseNo:11965/2013 Recoveries claim by CETA for monies paid to the entity
11,381
LotNokoMolokoCC Recoveries claim by CETA for monies paid to the entity
198
MasakhaneProjectsManagers Recoveries claim by CETA for monies paid to the entity
312
Matodzi and Thibo Construction and Projects CC Recoveries claim by CETA for monies paid to the entity
698
Moseme Road Construction Recoveries claim by CETA for monies paid to the entity
1,446
142
Ndlwana Business Enterprises Recoveries claim by CETA for monies paid to the entity
109
PA Letsoalo Construction Enterprises Recoveries claim by CETA for monies paid to the entity
442
Selematsela Empowerment Projects CC Recoveries claim by CETA for monies paid to the entity
1,446
Thabang Property Development Recoveries claim by CETA for monies paid to the entity
1,040
TshedzaConsultingEngineers&Desto(Pty)Ltd Recoveries claim by CETA for monies paid to the entity
2,101
Vharanani Properties CC Recoveries claim by CETA for monies paid to the entity
767
ZenzulwaziPlumbing&ConstructionServicesCC Recoveries claim by CETA for monies paid to the entity
111
Zingwazi Contractors Recoveries claim by CETA for monies paid to the entity
273
21,083
b SARS Reversal R ‘000
Aveng Africa (Pty) Ltd 165,370
TheSouthAfricanRevenueServices(SARS)reversedthe levythatwaspaidtotheCETAinJuly2015,leavingtheCETAwiththeaboveamountsasapossiblerecoveryfromAveng.
Contingent Liabilities
a Retention of surplus funds R ‘000
IntermsoftheGrantRegulation3(11),SETAsareexpectedtohavespentorcommitted(throughactualcontractualobligations)atleast95%ofdiscretionaryfundsavailabletouseasat31Marchofeachyear.Thepossible liability is calculated as follows:
Discretionary grant reserves 2,126,457Less: Commitments -2,298,089Less:Allowable5% -106,323
-
b SARS Reversal R ‘000
Department of Higher Education and Training
217,557
TheSouthAfricanRevenueServices(SARS)reversedthe levythatwaspaidtotheCETAinJuly2015,leavingtheCETAwiththeaboveamountsasapossibleliabilityowedtotheDepartment’ssystem.
ANNUAL REPORT 2017/18
143
c Litigations Description R ‘000SAYEP Summons against the CETA claiming payment to entity 120
ABANGUNI Summons against the CETA claiming payment to entity Not AvailableONTIME DESIGNS Summons against the CETA claiming payment to entity Not Available MOHOTJI Employee related claims Not Available MOTHOA Employee related claims Not Available NDOVELA Employee related claims Not Available RASHIDA MALATJI Employee related claims Not Available TAU MALATJI Employee related claims Not Available
120
25 Going concern Thefinancialstatementshavebeenpreparedonthebasisofaccountingpoliciesapplicabletoagoingconcern.Thisbasispresumesthatfundswillbeavailabletofinancefutureoperationsandthattherealisationofassetsandsettlementofliabilities,contingentobligationsandcommitmentswilloccurintheordinarycourseofbusiness. 26 Events after the reporting period Management is not aware of any matters or circumstances that arose from the end of the date of this reporting financialyearwhichwouldrequireadjustmentstoordisclosureinthefinancialstatements. 27 Presentation of Budget Information Basis of preparation: The budget was prepared on an accrual basis and presented hereto on a comparable basis since expenditure in thebudgetiscomparabletotheincomestatement. Analysis of variances: Revenue Levy Income is less than the budgeted amount, this is due to a material SARS reversal that happened during the financialyear.OtherincomesuchasInterestfromCPDassistedthetotalincomefortheyear. Employer grant expenses TheEmployergrantexpenditurewerelowerthanthebudgetedamountwithapay-outratioof59%,thisduetothelowerlevyincomereceivedandSARSreversals. Project expenses Themovement in discretionary grant expenditure is influencedby stricter controls anda performancebasedpaymentmodel. Administration expenditure Admin expenditure were less than the budgeted amount during the year, the CETA has monitored its spending closely,especiallysincetheprojectedlevyincomewasnotachieved.
144
28 Segment reporting TheCETAhasidentifiedthecoreoperationsoftheCETAasreportablesegmentsbasedonservicesrendered.Programme 1: is for Ensuring compliance with relevant laws and regulations governing the CETA, Ensuring good corporategovernance,EnsuringgoodcorporatemanagementandRiskManagement.Programme2:representsCore Business which is responsible for Management of projects cost effectively, timely and productively, Ensure effective skills planning and reporting for theConstructionSector,Registration of qualifications and ensuringquality delivery of skills development programmes and Sound monitoring and evaluation of CETA skillsdevelopmentprogrammes.Programme3:isSkillsDevelopmentProvisioningandisresponsibleforIncreasingaccess to Occupationally-Directed Programmes in the Construction Sector, Building project-based partnerships withTVETColleges,SMMEs,NGOs,Cooperativesandworkerinitiatives,Enhancementofpublicsectorcapacityfor improved service delivery, Facilitate and support learners with RPL programmes in the Construction Sector, Buildingcareerandvocationalguidance.Theassetsand liabilitiesof theCETAcannotbeseparated into thesegmentsdisclosed,andhencearenotdisclosedundersegmentreporting.
PROGRAMME 1
R ‘000
PROGRAMME 3
R ‘000
PROGRAMME 2
R ‘000
TOTAL
R ‘000
Revenue
Revenue from non-exchange transactionsTransfer revenueLevies 2 76,655 145,055 353,899 575,609Fines, Penalties and Forfeits 3 - - 21,274 21,274Total revenue from non-exchange transactions
76,655 145,055 375,173 596,883
Revenue from exchange transactions
4 - - 1,012 1,012Interest received - investment 5 - - 142,169 142,169Total revenue from exchange transactions
- - 143,181 143,181
Total revenue 76,655 145,055 518,354 740,064ExpenditureAdministration Expenses 6 -73,615 - - -73,615Employer Grant and Project Expenses
7 - -85,150 -345,493 -430,643
Total expenditure -73,615 -85,150 -345,493 -504,258Operating surplus 3,040 59,905 172,861 235,806Surplus for the year 1 3,040 59,905 172,861 235,806
ANNUAL REPORT 2017/18
145
REM
UN
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01,713
146
CETA Offices
Head Office
Midrand Builders Centre183 Kerk Street (cnr Old PretoriaMain Road) Halfway HouseMidrand,1685
Gauteng
Tshwane South TVET College207 Quagga RoadPretoria West0183
Ms.CeciliaGumede012 942 7140 [email protected]
Limpopo
Capricorn TVET CollegeCorner Dorp and College StreetAdminBlockPolokwaneCampusPolokwane0699
Mr Vincent [email protected]
Mpumalanga
37BrownStreetMidcity Building 4th FloorNelspruitMpumalanga1200
Eastern Cape
75HavezockStreetPE CentralPort Elizabeth 6001
Free State
152NelsonMandelaDrive,WestdeneBloemfontein 9300
MrSibusisoNkabinde0713713351018 011 7071/70/[email protected]
KwaZulu-Natal
73RamsayAvenue,MusgraveKwaZulu-Natal4001
North West
Provincial Node74 Boom Street KlerksorpNorth West2570
SatelliteOfficeTaletso TVET CollegeDr Albert Luthuli Drive,NexttoSABC(KgoraBuilding)Mmabatho2735
Mr Peter Ntsowe0713711176018 011 7071/70/[email protected]
ANNUAL REPORT 2017/18
147
Western Cape
False Bay CollegeWestlakeDriveWestlakeCampus(HouseNo7)Western Cape7760
MrSiphoMasombuka0713713454021 202 7081/[email protected]
Northern Cape
Advocates chambers38aSidneyStreetKimberley 8301
Ms.LeratoMarx07137099240530500701/[email protected]
148
NOTES
