ATC230522: Report of the Portfolio Committee on Higher Education, Science and Innovation on the Assessment of the 2023/24 Annual Performance Plans and Budget of the Department of Higher Education and Training and Entities, Vote 17, Dated 19 May 2023

Higher Education, Science and Innovation

Report of the Portfolio Committee on Higher Education, Science and Innovation on the Assessment of the 2023/24 Annual Performance Plans and Budget of the Department of Higher Education and Training and Entities, Vote 17, Dated 19 May 2023

 

1. INTRODUCTION AND MANDATE OF THE COMMITTEE

The Portfolio Committee on Higher Education, Science and Innovation (hereinafter referred to as the Portfolio Committee”), having assessed the 2023/24 Annual Performance Plans (APPs) and budget and the Medium-Term Expenditure Framework (MTEF) budget projections of the Department of Higher Education and Training (hereinafter the Department), Council on Higher Education (CHE), Quality Council for Trades and Occupations (QCTO), South African Qualifications Authority (SAQA) and National Student Financial Aid Scheme (NSFAS), reports as follows:

 

1.1.  Mandate of the Committee and Department

The Committee derives its mandate from Section 55(2) of the Constitution of the Republic of South Africa, which states that “the National Assembly (NA) must provide for mechanisms (a) to ensure that all executive organs of state in the national sphere of government are accountable to it; and (b) to maintain oversight of (i) national executive authority, including the implementation of the legislation; and (ii) any organ of state.”  Rule 227 of the Rules of the National Assembly (9th edition) provides for mechanisms contemplated in section 55(2) of the Constitution.

 

The Department derives its mandate from section 29 of the Constitution of the Republic of South Africa and the following legislation: Higher Education Act, 1997 (Act No.101 of 1997), National Student Financial Scheme Act, 1999 (Act No. 56 of 1999), Continuing Education and Training Act, 2006 (Act No. 16 of 2006), National Qualifications Framework Act, 2008 (Act No. 67 of 2008), Skills Development Act, 1998 (Act No. 97 of 1998), Skills Development Levies Act, 1999 (Act No. 9 of 1999) and the General and Further Education and Training Quality Assurance Act, 2001 (Act No. 58 of 2001). The Committee oversees the implementation of the abovementioned legislation.

 

 

1.2.  Purpose of the Budget Vote 17 Report

The Report accounts for the work done by the Portfolio Committee on Higher Education, Science and Innovation in assessing the 2023/24 Annual Performance Plans (APPs) and the 2023/24 budget, including the MTEF budget projections of the Department, Council on Higher Education (CHE), Quality Council for Trades and Occupations (QCTO), South African Qualifications Authority (SAQA) and National Financial Aid Scheme (NSFAS)  in accordance with Section 27(1) of the Public Finance Management Act, 1999 (Act No. 29 of 1999). On 31 March 2023, the Minister of Higher Education, Science and Innovation, tabled the Strategic Plans and the 2023/24 APPS of the Entities, including the Department. The Speaker of the National Assembly refereed the planning documents to the Portfolio Committee in terms of Rule 338 for consideration and reporting.

 

1.3.  Method

On 3rd and 10th May 2023, the Portfolio Committee convened briefing sessions with the Auditor-General South Africa (AGSA), Department, CHE, QCTO, SAQA and NSFAS where the tabled planning documents (the revised Strategic Plans, the 2023/24 APPs, and budgets, including the MTEF budget projections) were presented and scrutinized. The planning documents were assessed against the background of key government policy documents, including, amongst others, the National Development Plan (NDP), the revised 2019 – 2024 Medium Term Strategic Framework (MTSF), and the 2023 State of the Nation Address (SONA).

 

1. OVERVIEW OF THE KEY POLICY FOCUS AREAS RELEVANT FOR THE DEPARTMENT AND THE ENTITIES

1. Key government policies
   1. National Development Plan (NDP) Vision 2030

The NDP identifies the decent work, education and capacity of the state as particularly important priorities. For the post-school education and training sector, the NDP envisages that by 2030, South Africans should have access to education and training of the highest quality. The education, training and innovation system should cater for different needs and produce highly skilled individuals; and graduates of the post-school system should have adequate skills and knowledge to meet the current and future needs of the economy and society.

2.1.2.      White Paper for Post-School Education and Training (WPPSET)

The White Paper articulates a vision for an integrated system of post-school education and training, with all institutions playing their role as part of a coherent but differentiated system. The White Paper sets out strategies to expand the current provision of education and training in South Africa, improve its quality, and integrate the various strands of the post-school system. The White Paper sets interventions for implementation by different sectors within Post-School Education and Training. The Department has developed a Draft National Plan for Post Education and Training (PSET) from the White Paper, which will be an implementation plan with measurable targets for each sub-system of the sector. The main policy objectives are:

• A post-school system that can assist in building a fair, equitable, non-racial, non-sexist and democratic South Africa;
• A single, coordinated post-school education and training system, expanded access, improved quality and increased diversity of provision; and
• A post-school education and training that is responsive to the needs of individual citizens, employers in both public sectors, as well as broader societal and development objectives.

 

2.1.3.     Revised Medium-Term Strategic Framework (MTSF) 2019 – 2024

The 2019 – 2024 MTSF is a five-year strategic plan of Government and forms the second five-year implementation phase of the NDP. The Department of Higher Education and Training is responsible for contributing to the realisation of the policy priorities as outlined in the MTSF Priority 3: Education, Skills and Health. For the 2020 – 2025 planning period, the Department will focus on these outcomes as follows:

• Expanded access to PSET opportunities;
• Improved success and efficiency in the PSET system;
• Improved quality of PSET provisioning;
• A responsive PSET system; and
• Excellent business operations within the DHET

In implementing Priority 3,    the Department of Science and Innovation, the Department of Employment and Labour and the Department of Agriculture, Land Reform and Rural Development support the work of the Department.

2.1.4.      2023 State of the Nation Address (SONA)

The work of the Department for the 2023/24 financial is further informed by the priorities as pronounced by the President, Mr C Ramaphosa in his 2023 State of the Nation Address. The Department’s 2023 has aligned its output indicators and targets with the SONA priorities as follows:

• Skills Development in the digital and technology sector, the NSF will provide R800 million for this initiative in 2023/24 - the NSF targeted to fund 1 000 learners for skills development in response to innovation and technology.
• Presidential Youth Employment Initiative – in 2023/24, the university graduate assistants programme aims to provide employment to 2 559 unemployed graduates at 26 universities in fields related to their areas of study. The graduate assistants programme is allocated an amount of R99,2 million. Additionally, another 4 500 young people will receive demand-responsive training in priority growth sectors. This project, which is allocated R110 million in 2023/24, is co-funded by the National Skills Fund. Training providers will be paid based on the number of graduates from the programme who find permanent employment.
• Increased number of students entering artisan in TVET colleges – for the 2023/24 financial year, the Department targeted to train 30 000 artisans in TVET colleges from an estimated performance of 800 in 2022/23.
• The finalisation of the Comprehensive Student Funding Model for Higher Education, particularly for students who fall outside the current NSFAS criteria; reaching those who are known as the “missing middle” – for the 2023/24 financial year, The DHET targeted to have a Student Funding Implementation Framework approved by the Minister for submission to Cabinet by 31 October 2023.
• Gender-Based Violence – for 2023/24, the DHET plans to convene a minimum of eight (8) national /provincial workshops on Social Inclusion, including Equality and GBV in the Post-School Education and Training system. The DHET will further develop a report on the implementation of the Sexual Offences Amendment Act (Act 32 of 2007 and Related Matters) in the PSET system. The DHET will implement a new programme called the “Transforming MENtalities” Programme. The Programme seeks to address toxic masculinity in the PSET system. This will be a multi-stakeholder partnership within the PSET system, with a particular focus on mobilising men in the PSET sector to be part of championing a world free of gender biases, stereotypes, violence and discrimination. Working with Higher Health, curricular to ensure social support for survivors of toxic masculinity in the PSET system will be strengthened.
• Economic Empowerment of Women and determination to direct 40 per cent of public procurement to women-owned businesses – the DHET targets to have 40 per cent of public procurement set aside for women-owned businesses in 2023/24 and over the medium term.

 

1. 2023/24 MEDIUM-TERM EXPENDITURE FRAMEWORK (MTEF) BUDGET

1. Overview and assessment of the 2023/24 MTEF Budget

Table 1: Summary of the 2023/24 overall budget allocation and expenditure estimates

Programme	Budget		Nominal Increase / Decrease	Real Increase / Decrease	Nominal Percent change in	Real Percent change in
R million	2022/23	2023/24	2022/23 – 2023/24		2022/23 - 2023/24
Programme 1: Administration	492,0	517,5	25,5	1,3	5.18%	0.27%
Programme 2: Planning, Policy and Strategy	4 695,9	1 764,9	-2 931,0	-3 013,4	-62.42%	-64.17%
Programme 3: University Education	88 839,9	92 644,5	3 804,6	-522,9	4.28%	-0.59%
Programme 4: Technical and Vocational Education and Training	12 725,2	12 755,0	29,8	-566,0	0.23%	-4.45%
Programme 5: Skills Development	407,0	432,0	25,0	4,8	6.14%	1.18%
Programme 6: Community Education and Training	2 577,7	2 667,7	90,0	-34,6	3.49%	-1.34%
Sub-total	109 737,6	110 781,6	1 044,0	-4 130,7	0.95%	-3.76%
Direct Charges against National Revenue Fund	21 238,1	23 027,0	1 788,9	713,3	8.42%	3.36%
Total	130 975,7	133 808,6	2 832,9	-3 417,5	2.2%	-2.61%

           

3.2.  Overview and assessment of the 2023/24 MTEF budget allocation per programme and the 2023/24 performance targets

Over the MTEF period, the Department has been appropriated R432,4 billion, including direct charges against the National Revenue Fund. For the 2023/24 financial year, the Department received a budget of R133,8 billion, which comprises R110,7 billion of voted funds and R23 billion of direct charges. The total budget experienced a nominal increase of R2,8 billion or 2.2 per cent in nominal terms. When considering inflation-adjusted, the allocation decreased by R3,4 billion or 2.6 per cent. The budget is projected to grow at an average growth rate of 5.1 per cent between 2022/23 and 2025/26. The voted funds, excluding direct charges, increased nominally by R1,7 billion or 8.4 per cent.

 

In terms of economic classification, transfers and subsidies continue to dominate the Department’s budget, which accounts for 90.9 per cent of the total budget of R133,8 billion, including direct charges against the National Revenue Fund. For the 2023/24 financial year, the allocation for transfers and subsidies amounts to R121,6 billion, of which R71,431 billion is towards Departmental agencies as follows: R47,9 billion to the NSFAS (for student bursaries and administration), R89,7 million to SAQA, R21,4 million to Education, Training and Development Practices Sector Education and Training Authority (ETDP SETA), R83,887 million to CHE; R29,7 million to QCTO; R121,961 million to Public Service Sector Education and Training Authority (PSETA); R4,7 billion to the National Skills Fund (NSF) and R18,4 billion to the SETAs. An amount of R48,7 billion is toward Higher Education institutions, universities, TVET and CET colleges. 

 

The allocation for spending on the Compensation of Employees amounts to R11,1 billion. The bulk of the budget for the Compensation of Employees is allocated to TVET colleges, followed by CET colleges. The Goods and Services allocation amounts to R672,1 million. Goods and Services budget is projected to decrease slightly to R706 million and R736,8 million in 2022/25 and 2025/26.

 

3.2.1.      Programme 1: Administration

The programme provides strategic leadership, management and support services for the Department. The Programme structure has not been reviewed or changed. It has five budget sub-programmes, namely, Department Management, Corporate Management Services, Office of the Chief Financial Officer, Internal Audit and Office Accommodation.

 

Over the MTEF period, the programme is allocated R1,6 billion. For the 2023/24 financial year, the Programme received an allocation of R517,5 million, which is the second smallest allocation (0,47 per cent) of the Department’s total budget, excluding direct charges against the National Revenue Fund. The Programme budget increased by R25,5 million or 5.2 per cent from R492 million in 2022/23. When factoring in inflation, the budget has increased by R1,3 million or 0.27 per cent. The bulk of the budget of this Programme at 50.8 per cent is appropriated to Sub-programme 2: Corporate Services, followed by Sub-programme 3: Office of the Chief Financial Officer at 22.2 per cent and Sub-programme 4: Internal Audit at 16.8 per cent. Approximately 55.6 per cent of the Programme’s total budget will be for compensation of employee costs and 42.8 per cent is allocated for Goods and Services

 

The budget allocation for Sub-Programme 5: Office Accommodation has increased nominally by R3,8 million. However, when factoring in inflation, the budget decreased in real terms by R0,3 million or 0.32 per cent. During the 2023/24 financial year, the Department will be relocating its offices to the Council for Scientific and Industrial Research (CSIR) where a better and conducive and conducive will be provided and staff will be supported with additional travel and relocation costs. The Portfolio Committee raised concerns regarding the sufficiency of the Sub-programme budget, given the envisaged office relocation.

 

This Programme is responsible for the MTSF outcome focusing on excellent business operations within the DHET. The Programme has new output indicators and targets the 2023/24 APP, as follows:

Table 2: New Output Indicators and targets in the 2023/24 APP

Outputs	Output Indicators	2023/24 Targets
Policy directives on preferential procurement to achieve specific transformation goals implemented	Percentage of public procurement set aside for youth-owned businesses	30%
	Percentage of public procurement set aside for Black-owned businesses	60%
	Percentage of public procurement set aside to businesses owned by people living with disabilities	7%
	Percentage of public procurement set aside to Small, Medium and Macro Enterprises (SMMEs)	30%
Safety and Security at public universities and TVET colleges implemented	Implementation Plan for the phased rollout of the Safety and Security Minimum Norms and Standards at TVET colleges approved	Implementation Plan for the phased rollout of the Safety and Security Minimum Norms and Standards at TVET colleges approved by the Minister by 30 June 2023
	Number of reports on the Implementation of the Safety and Security Minimum Norms and Standards in selected TVET colleges approved	2 Reports on the Implementation of the Safety and Security Minimum Norms and Standards in selected TVET colleges approved by the Director General by 31 March 2024
	Minimum Norms and Standards for safety and security focusing on universities approved	Minimum Norms and Standards for safety and security focusing on universities approved by the Minister by 31 March 2024

Source: Department of Higher Education and Training, 2023

 

The Programme will continue to implement activities to achieve the targets relating to the payment of valid invoices received from creditors within 30 days, filling vacancies, resolving disciplinary cases, obtaining a clean audit outcome, and reducing the vacancy rate to below 10 per cent.

 

3.2.2.  Programme 2: Planning, Policy and Strategy

This programme provides a strategic direction in the development, implementation and monitoring of Departmental policies and the Human Resource Development Strategy for South Africa. The programme has six budget sub-programmes, namely, namely, Programme Management; Human Resource Development Council of South Africa; Policy, Planning, Monitoring and Evaluation; International Relations; Legal and Legislative Services and Social Inclusion and Quality.

 

Over the MTEF period, the programme is allocated R12,399 billion. For the 2023/24 financial year, the Programme received an allocation of R1,764 million, which is R2,931 billion less than the 2022/23 financial year’s allocation. Programme 2 budget accounts for 1,6 per cent of the Department’s total budget, excluding direct charges against the National Revenue Fund. The bulk of the budget decrease of 65.7 per cent is in Sub-programme 3: Policy, Planning, Monitoring and Evaluation. This Sub-programme is responsible for monitoring and evaluating the policy outputs of the Department, coordinating research in the fields of higher education and training, and ensuring that education policies, plans and legislation are developed into systems through monitoring their implementation.

 

It is noted in the Estimates of National Expenditure (ENE) 2023, that Cabinet has approved a decrease of R1,8 billion to the baseline in 2023/24 and an increase of R2,7 billion in 2024/25 and R104,9 billion in 2025/26. These changes result in a reduction of R900 million over the period ahead of infrastructure grants to the University of Mpumalanga and Sol Plaatje University to fund Early Childhood Development (ECD) in the basic education sector. Additionally, an amount of R2,2 billion is shifted from the university infrastructure and efficiency grants in 2023/24, of which R1,2 billion is moved to 2024/25 when universities will be better equipped to use these funds; R1,1 billion is reprioritised to Community Education and Training (CET) infrastructure.

 

Sub-programme 1: Programme Management: Planning, Policy and Strategy’s budget decreased marginally by R2 million or 32.8 per cent from the previous financial’s adjusted appropriation of R6,1 million.

 

In terms of economic classification, R146,0 million is allocated for current payments of which R115,2 million is for compensation of employees costs and R30,8 million for Goods and Services. Notably, the allocation for Goods and Services decreased marginally by R3,1 million from the previous year's adjusted appropriation of R33,9 million. Approximately R1,336 billion is allocated for transfer and subsidies to the Departmental agencies and accounts. Allocation for transfers and subsidies decreased significantly from R4,457 billion in 2022/23.

 

The Programme supports the Department’s work toward achieving the DHET’s five MTSF Outcomes, namely, an integrated and coordinated PSET System, expanded access to PSET opportunities, Improved success and efficiency of the PSET System, Improved Quality of PSET provisioning and a responsive PSET System.

The Programme has new output indicators and targets in the 2023/24 APP as follows:

 

Table 3: New Output Indicators and targets in the 2023/24 APP

Outputs	Output Indicators	2023/24 Targets
NQF Amendment Act, 2019 (Act No 12 of 2019) promulgated	NQF Amendment Act, 2019 published	NQF Amendment Act, 2019 published by 31 March 2024.
Revised Higher Education Act approved	Revised draft Higher Education Act approved for public comments	Revised draft Higher Education Act approved by the Minister by 31 March 2024 for public comments.
Integrated Infrastructure Development Support Programme (IIDSP) for PSET implementation	Number of Community Learning Centres built	3
	Number of TVET campuses built	2
Interventions implemented to support the “Transforming MENtalities” Programme in the PSET system	“Transforming MENtalities” Programme launched	“Transforming MENtalities” Programme launched by 31 August 2023
ICT infrastructure funding allocated to PSET institutions	Percentage of infrastructure budget allocated for ICT infrastructure at PSET institutions	10%
Students participating in work integrated learning construction	Number of students participating in work-integrated learning construction	1 500
PSET Integrated Planning Framework developed and implemented	PSET Integrated Planning Framework approved	PSET Integrated Planning Framework approved by the Director-General by 31 March 2024
PSET Information Management System revolutionised	A Plan for the integration of Information Management Systems used in PSET sector approved	A Plan for the integration of Information Management Systems used in PSET sector approved by the Director-General by 31 March 2024

Source: Department of Higher Education and Training, 2023

 

The following are key selected annual targets for the 2023/24 financial year:

• Revised Recognition of Prior Learning (RPL) Coordination Policy or Implementation Framework signed by the Director-General for submission to the Minister for publication;
• Publishing of the National Qualifications Framework Act, 2019;
• Revised draft Higher Education Act approved by the Minister for public comments;
• Detailed design of a Multi-Purpose Centre in Giyani, Limpopo approved by the Director-General;
• 3 000 student beds completed;
• Concept design for the construction of the two new universities approved by the Director-General for implementation;
• A minimum of eight (8) national/provincial workshops on Social Inclusion (including Gender Equality and GBV) in the PSET system held;
• 15 Modules of the Advanced Diploma in TVET developed for TVET lecturers available on NOLS and two TVET Subjects’ learner-teacher support materials (LTSM) available on NOLS; and
• A Country-Wide Master Skills Plan approved by the Minister;

 

3.2.3.      Programme 3: University Education

The programme develops and coordinates policy and regulatory frameworks for an effective and efficient university education system and provides financial and other support to universities, the National Student Financial Aid Scheme, the Council on Higher Education, and national institutes for higher education. The programme has six budget sub-programmes, namely; Programme Management, University Planning and Institutional Funding, University Governance and Management Support, Higher Education Policy Development and Research, Teaching, Learning and Research Development and Universities Subsidies.

 

Over the MTEF period, the programme is allocated R294,1 billion. For the 2023/24 financial year, the Programme received an allocation of R92,6 million, which is R3,8 billion higher than the 2022/23 financial year’s allocation. The University Education Programme budget accounts for 83.6 per cent of the Department’s total voted funds.

 

The significant increase is due to an increase in the National Student Financial Aid Scheme allocation meant to expand access of students from poor and working-class backgrounds to universities and TVET colleges. Sub-programme 3: Institutional Governance and Management Support, which is responsible for monitoring and supporting institutional governance management and provides sector liaison services and Sub-programme 6: University Subsidies received the bulk of the increase at R2,1 billion and R1,6 billion, respectively.

 

NSFAS allocation for 2023/24 amounts to R47,9 billion, of which R47,628 billion is for students’ bursaries and R318,5 million for Administration. Notably, NSFAS allocation accounts for 51.7 per cent of the University Education Programme budget for 2023/24. Notably, the allocation to NSFAS Administration decreased from R366.6 million adjusted appropriation in 2022/23 to R318,5 million in 2023/24. The allocation for spending on NSFAS Administration is projected to increase in the outer two years of the MTEF period, to R332,7 million in 2024/25 and R347,5 million in 2024/25 and 2025/26, respectively.

 

The allocation to higher education institutions amounts to R44,476 billion or 48 per cent of the Programme’s total budget allocation for 2023/24. The R44,476 billion is allocated to higher education institutions as follows: University of Mpumalanga: R464,6 million, Sol Plaatje University: R372,4 million, University subsidies: R42,816 billion, Universities subsidies: Academic Clinical training grants: R723,6 million and Universities subsidies: Presidential Employment Initiative: R99,2 million

 

The University Education Programme supports the Department in its intentions toward achieving expanded access to PSET opportunities; improved success and efficiency of the PSET system; improved quality of PSET provisioning; and a responsive PSET system.

 

University Education Programme has new output indicators and targets in the 2023/24 APP as follows:

 

Table 4: New Output Indicators and targets in the 2023/24 APP

Outputs	Output Indicators	2023/24 Targets
Well-managed public higher education institutions	Percentage of private higher education institutions complying with regulations	100%
Quality of research and creative and innovation outputs monitored	Progress report on the development of the Research Quality Framework (RQF) approved	Progress report on the development of the Research Quality Framework (RQF) approved by the Director- General by 31 March 2024
Language Policy in Higher Education developed and implemented	Establishment of the Advisory Panel on the implementation of Language Policy approved	Establishment of the Advisory panel on the implementation of the Language Policy approved by the Director-General by 30 November 2023

Source: Department of Higher Education and Training, 2023

 

The following are key selected annual targets for the 2023/24 financial year:

Outcome: Expanded access to PSET opportunities

• Revised Draft Fee Increase Regulatory Framework submitted to the Minister for approval;
• Updated Guidelines for the DHET Bursary Scheme at public universities submitted to the Minister for concurrency;
• Student Funding Implementation Framework approved by the Minister for submission to Cabinet;
• Number (1 110 360) students enrolled at universities; and
• Number (439 659) university students receiving funding through NSFAS bursaries.

 

Outcome: Improved success and efficiency of the PSET System

• Number (232 000) of students completing a university qualification;
• Number of graduates: Engineering: 14 477, Natural and Physical Sciences: 11 516, Human Health Sciences: 10 200, Initial Teacher Education: 29 500, Veterinary Sciences: 185, Master’s: 15 079, Doctoral: 3 477.

 

Outcome: Improved quality of provisioning

• Number (85) of new Generations of Academics Programme (nGAP) posts filled at universities;
• Number (40) of doctoral scholarships allocated to universities through the University Staff Doctoral Programme (USDP) for award to permanent instructional or research staff members;
• Proportion (51%) of university lecturers (permanent instruction or research staff) who hold doctoral degrees;
• Percentage (85%) of universities that meet the standard of good governance; and
• Two reports on the evaluation of creative and innovation outputs by public universities approved by the Director-General and two reports on the evaluation of the 2022 research outputs of public universities approved by the Director-General;

 

3.2.4.      Programme 4: Technical and Vocational Education and Training

The programme aims to plan, develop, implement, monitor, maintain, and evaluate national policy, programme assessment practices and systems for TVET colleges. It also provides financial and other support to TVET colleges and regional offices. The programme has six budget sub-programmes, namely, Programme Management: TVET, TVET System Planning and Institutional Support, Programmes and Qualifications, National Examinations and Assessment, Technical and Vocational Education and Training Financial Planning and Regional Offices.

 

Over the MTEF period, the programme is allocated R39,997 billion. For the 2023/24 financial year, Programme 4 received an allocation of R12,755 million, which accounts for 11,51 per cent of the Department’s total voted funds, excluding direct charges. The allocation increased marginally by R29.8 million from the adjusted appropriation in the 2022/23 allocation. Approximately 92.29 per cent of the Programme’s budget is appropriated to Sub-programme 2: Technical and Vocational Education and Training System Planning and Institutional Support, which provides support to management and councils, ensures that colleges have fully constituted and functioning councils, provides guidance and support for the planning processes at TVET colleges, monitors and evaluates the performance of the TVET system against set indicators, develops regulatory frameworks for the system, manages and monitors the procurement and distribution of learning and teaching support materials, provides leadership for TVET colleges to enter into partnerships for the use of infrastructure and funding resources, and maps out the institutional landscape for the rollout of the TVET college system.

 

Notably, Sub-programme 4: National Examination and Assessment’s allocation decreased by R12,3 million from the previous financial year adjusted appropriation of R686,5 million. In terms of economic classification, the Compensation of Employees received R8,093 billion, which increased by R361,7 million or 4,67 per cent from the previous year’s adjusted appropriation. Allocation for Compensation of Employees accounts for 63.45 per cent of the Programme’s total budget. Goods and Services received R387,7 million, which declined by R8,6 million from the adjusted appropriation of R396,3 million in 2022/23.

 

Transfers and subsidies to TVET colleges for 2023/24 amount to R4,2 million, which is less by R315,4 million from the 2022/23 adjusted appropriation.

 

Programme 4 supports the Department in its intentions toward achieving expanded access to PSET opportunities; improved success and efficiency of the PSET system; improved quality of PSET provisioning; and a responsive PSET system.

 

The Programme has a new output indicator and target in the 2023/24 APP as follows:

 

Table 5: New Output Indicators and targets in the 2023/24 APP

Outputs	Output Indicators	2023/24 Targets
Incentives to reward completion of TVET Occupational qualifications	Operating Model to incentivise TVET students to complete Occupational qualifications linked to Centres of Specialisation approved	Operating Model to incentivise TVET students to complete Occupational qualifications linked to Centres of Specialisation approved by the Director-General by 31 March 2024.

Source: Department of Higher Education and Training, 2023

 

The following are key selected annual targets for the 2023/24 financial year:

Outcome: Expanded access to PSET opportunities

• Establish an additional Disability Support Unit to support students with disabilities in TVET colleges;
• Enrol 520 000 students in TVET colleges;
• Fund 346 258 through NSFAS bursaries;
• Train 30 000 artisans in TVET colleges; and
• Place 20 000 unemployed TVET students in workplaces.

 

Outcome: Improved success and efficiency of the PSET System

• Release examination results to qualifying students within 40 days from the last exam timetable (per exam cycle);
• Number (73 743) of TVET college students completing N6 qualification;
• Number (13 823) TVET college students complete NC(V) Level 4; and
• Enrol 4 500 in PLP to improve success.

 

 

Outcome: Improved quality of PSET provisioning

• Percentage (75%) of TVET college lecturers with professional qualifications;
• Number (300) of TVET college lecturers holding appropriate qualifications supported to acquire professional qualifications; and
• Number (200) of lecturers participating in project-based lecturer capacity-building programmes in engineering (electrical, plumbing and mechanical).

 

Outcome: A responsive PSET System

• Number (35) of TVET colleges offering 4IR-aligned training;
• All 50 TVET colleges implementing student-focussed entrepreneurship development programmes;
• 10 new or revised curricula for TVET colleges approved by the Director-General; and
• Three additional new/reviewed TVET programmes with integrated digital skills training approved by the Director-General.

 

3.2.5.      Programme 5: Skills Development

This programme promotes and monitors the National Skills Development Strategy (NSDS). It develops skills development policies and regulatory frameworks for an effective skills development system. The programme has five budget sub-programme, namely, Programme Management: Skills Development, National Artisan Development, Sector Education and Training Authority Coordination, National Skills Authority Secretariat and Quality Development and Promotion.

 

Over the MTEF period, Programme 5 is allocated R1,1 billion. For the 2023/24 financial year, the Programme received an allocation of R432 million, which accounts for 0.39 per cent of the Department’s total voted funds, excluding direct charges. The allocation increased marginally by R25,1 million in nominal terms (R4,9 million in real terms increase) from the adjusted appropriation in 2022/23. Approximately 62,01 per cent of the Programme’s budget is appropriated to Sub-programme 2: Sector Education and Training Authority Coordination, followed by Sub-programme 5: National Artisan Development at 26.2 per cent.

 

In terms of economic classification, R149,8 million is allocated to the Compensation of Employees, which accounts for 34,67 per cent of the Department’s total voted funds, excluding direct charges. Goods and Services received R17,8 million, which decreased marginally by 0.5 per cent. Allocation for transfers and subsidies amounts to R261,7 million.

The Programme does not have new indicators and targets for 2023/24.

 

The following are key selected annual targets for the 2023/24 financial year:

 

Outcome: Expanded access to PSET opportunities

• 110 500 learners or students will be placed in work-based learning programmes;
• 149 000 learners will be registered in skills development programmes; and
• 23 00 learners will enter artisanal programmes.

 

Outcome: Improved success and efficiency of the PSET System

• Number (21 000) of artisans found competent;
• Number (32 550) of learners who completed learnerships; and
• Number (105 000) of learners who complete skills programmes.

 

Outcome: Improved quality of PSET provisioning

• Percentage (95%) of SETAs that meet the standard of good governance.
• Percentage (95%) of allocated SETA Mandatory Grants paid on time to employers

 

Outcome: A responsive PSET System

• Average lead time (40 days) from qualifying trade test applications received until the test is conducted.
• Number (21) of SETAs assessed to have developed credible Sector Skills Plans.

 

3.2.6.      Programme 6: Community Education and Training (CET)

The programme aims to plan, develop, implement, monitor, maintain and evaluate national policy, programme assessment practices and systems for community education and training. Provide financial and other support to community education and training colleges. The programme has four budget sub-programmes, namely, Programme Management: Community Education and Training; Community Education and Training Systems, Planning, Institutional Development and Support; Community Educating and Training College Financial Planning and Management; and Education, Training and Development Assessment.

 

Over the MTEF period, the CET Programme is allocated R8,366 billion. For the 2023/24 financial year, the Programme received an allocation of R2,667 which accounts for 2.41 per cent of the Department’s total voted funds, excluding direct charges. The allocation increased by R90 million in nominal terms (decreased by R34,6 million in real terms) from the adjusted appropriation in the 2022/23 allocation. Approximately 90.84 per cent or R2,423 billion of the Programme’s budget is appropriated to Sub-programme 2: Community Education and Training System Planning, Institutional Development and Support.

 

In terms of economic classification, R2,447 billion is allocated to the Compensation of Employees, which accounts for 91.73 per cent of the Department’s total voted funds, excluding direct charges. Goods and Services received R5,3 million, which decreased marginally by R2,4 million, from the adjusted appropriation of R7,7 million in 2022/23. Transfers and subsidies received an allocation of R214,8 million, which is less by R6,1 million from the previous financial year adjusted appropriation amounting to R220,9 million.

 

The Programme has a new output indicator and target in the 2023/24 APP as follows:

 

Table 6: New Output Indicators and targets in the 2023/24 APP

Outputs	Output Indicators	2023/24 Targets
Policy on National Norms and Standards for Funding CET Colleges implemented	Criteria to measure compliance with the implementation of the Policy on National Norms and Standards for Funding CET colleges approved	Criteria to measure compliance with the implementation of the Policy on National Norms and Standards for Funding CET colleges approved by the Director- General by 31 December 2023

Source: Department of Higher Education and Training, 2023

 

The following are key selected annual targets for the 2023/24 financial year:

Outcome: Expanded access to PSET opportunities

• Criteria to measure compliance with the implementation of the sustainable funding model for CET colleges approved by the Director-General;
• Criteria to measure compliance with the implementation of the Policy on National Norms and Standards for CET colleges approved by the Director-General; and
• Enrol 321 841 students at CET colleges.

 

Outcome: Improved success and efficiency of the PSET System

• Number (41 200) of CET college students completing the General Education and Training Certificate (GETC).
• Programmes and qualifications offered in TVET colleges will increase to five.

 

Outcome: Improved quality of PSET provisioning

• Percentage (95%) of CETCs that meet standards of good governance.
• Percentage (100%) of the CTECs compliant with the policy on the Conduct and Management of Examination and Assessment.

 

1. ENTITIES OF THE DEPARTMENT OF HIGHER EDUCATION AND TRAINING

4.1. Council on Higher Education (CHE)

The mandate of the CHE is premised on the Higher Education Act, 1997 (Act No. 101 as amended) and the National Qualifications Framework Act, 2008 (Act No. 67 of 2008 as amended). In terms of its mandate as per the two primary legislation, the CHE is responsible for the following:

• Advising the Minister of Higher Education and Training on all higher education matters upon request and at its own initiative;
• Promoting quality and quality assurance in higher education through its permanent sub-committee, the Higher Education Quality Committee (HEQC), including auditing the quality assurance mechanisms and accrediting programmes offered by higher education institutions;
• Monitoring the state of higher education and publishing information regarding developments in higher education regularly, including arranging and co-ordinating conferences on higher education issues;
• Developing and managing the qualification sub-framework for higher education, namely, the Higher Education Qualifications Sub-Framework (HEQSF), including the development of qualifications that are necessary for the higher education sector; and
• Advising the Minister of Higher Education and Training on matters relating to the HEQSF.

 

The mandate is further premised on key policies; namely the National Development Plan: Vision 2030, the White Paper for Post-School Education and Training, the National Plan for Higher Education, and the Medium-Term Strategic Framework 2019 – 2024: Priority 3: Education, Skills and Health, among others.

 

4.1.1. Overview and assessment of the CHE’s 2023/24 MTEF budget allocation and the 2023/24 performance targets

 

Over the MTEF, the CHE is allocated R290,735 million. For the 2023/24 financial year, the CHE’s total revenue amounts to R96,399 million, which is less by R9,699 million from the 2022/23 adjusted appropriation of R106,093 million. The CHE reported that the 2022/23 financial year adjusted appropriation was higher due to approved roll-overs, which saw a decrease in budget allocation to all Programmes. The budget is shared among the four budget programmes, namely, Management of the HEQSF, Quality Assurance, Research, Monitoring and Advice and Corporate.

 

Approximately, R41 million is apportioned to Programme 2; Quality Assurance, which accounts for 42.5 per cent of the Entity’s total 2023/24 budget, followed by Corporate at R36,9 million, which represents 38.3 per cent of the total budget. The Entity’s budget is projected to decrease marginally by R1,36 million in 2024/25 to R95 million. The Compensation of Employees received R38,6 million and Goods and Services received R57,7 million.

 

Programme 1: Management of Higher Education Qualifications Sub-Framework (HEQSF)

The Programme manages the development and implementation of the HEQSF policies, qualification standards and data in order to meet the goals of the NQF, NPPSET and the National Development Plan (NDP)

 

The following are key selected annual targets for the 2023/24 financial year:

 

• Three qualifications standards fully developed or reviewed or develop;
• Five events or projects for promoting the use of qualification standards undertaken
• 90% of data sets that are verified and validated to be accurate and reliable, from all data sets submitted by private higher education institutions, in a particular year;
• One report on the development of the CHE Management Information Systems (MIS);
• One reviewed and approved HEQSF;
• Eight higher education institutions were provided support with respect to the development and implementation of relevant institutional policies;
• Five national events and/or fora on qualification frameworks involved in;
• Two regional and/or international events on qualification frameworks involved in;
• Twenty-five quality promotion and capacity-building forums and/or workshops organised.

 

The Programme received R8,355 million for the 2023/24 financial year.

 

Programme 2: Quality Assurance

The programme contributes toward the fulfilment of the mandate of the CHE as the national authority for quality assurance in higher education. The programme develops and implements processes to inform, assure, promote and monitor quality in higher education institutions (HEIs).

 

The following are key selected annual targets for the 2023/24 financial year:

• 85% of programme accreditation applications received that go through the accreditation process and are presented to the HEQC within 8 months from the date of final submission of an application (and after receiving payment in case of applications from private institutions);
• 95% of site visits undertaken whose reports are presented to the HEQC within 8 months from the date of the receipt of reports from the site visit panels;
• Ten institutional site visits by CHE audit panels, within a particular financial year depending on individual institution’s agreed planning with the CHE
• Initiate two National Reviews;
• 100% completed National Reviews that have their reports finalised and approved; and
• Develop five Higher Education Practice Standards.

 

The Programme received R41,018 million for the 2023/24 financial year.

 

Programme 3: Research, Monitoring and Advice

The programme aims to revitalise and strengthen the research, monitoring, evaluation and advice capabilities of the CHE in order to advance the realisation of Outcome 3 in the Strategic Plan 2020 – 2025, namely, to make the CHE a reputable centre of intellectual discourse, knowledge generation and advancement on higher education.

 

The following are key selected annual targets for the 2023/24 financial year:

• Produce three research reports;
• Publish two journals/journal articles or book/book chapters;
• Produce four policy briefs or Briefly Speaking articles;
• Produce one Higher Education Monitor/Review;
• Produce one VitalStats; and
• Five requests for advice were responded to with the submission of advice and proactive advice produced and submitted.

 

The Programme received R10 million in 2023/24.

 

Programme 4: Corporate

The programme provides leadership, oversight, systems, activities and structures that enable the organisation to operate effectively and efficiently in fulfilment of its mandates and in pursuit of its outcomes.

 

The following are key selected annual targets for the 2023/24 financial year:

• Develop or review seven ICT policies, frameworks, guidelines and procedures;
• Develop or review eight financial management policies, frameworks, guidelines and procedures;
• Organise and hold 28 scheduled governance meetings to conclude 80 per cent of activities as per an approved annual ICT Operational Plan;
• Offer 15 staff training interventions;
• 85 per cent of approved posts on the organisational structure have incumbents;
• Pay 100 per cent of eligible suppliers within 30 days from the date of receipt of their invoices; and
• Conclude 80 per cent of activities as per the Communication and Advocacy Plan

 

The Programme is allocated R36,999 million for the 2023/24 financial year.

 

4.1.2. Key issues affecting the CHE

The CHE reported to the Committee that its budget allocation is not sufficient to enable it to undertake all the work it is responsible for, and to enable a sufficient number of staff to be in place to do the work in an expanding sector, including expansion resulting from the incorporation of public colleges into higher education. Resourcing of the additional transformation oversight function is needed for it to be taken forward effectively.

 

The stipulated Compensation of Employees to Goods and Services budget ratio is a factor that further limits the ability of the organisation to employ staff in permanent positions. This leads to too much reliance on the use of service-level contracts, of contracted staff, and on the use of peer academics for core work, and in critical support areas like IT.

 

4.2. Quality Council for Trades and Occupations (QCTO)

The Quality Council for Trades and Occupations derives its mandate from the Constitution of the Republic of South Africa, section 22 and section 29. It further derives its legislative mandate from the National Qualifications Framework Act, 2008 (Act No. 67 of 2008 as amended) and the Skills Development Act, 1998 (Act No 97 of 1998 as amended), Higher Education Laws Amendment Act, 2010 (Act No. 26 of 2010), Public Finance Management Act, 1999 (Act No. 1 of 1999). The mandate is further premised on key policies; namely the National Development Plan: Vision 2030, the White Paper for Post-School Education and Training, the National Skills Development Plan, the Medium-Term Strategic Framework 2019 – 2024: Priority 3: Education, Skills and Health; Ministerial Guidelines on Implementation of the NQF; Revised Strategic Plan 2020/21 to 2024/25 of the DHET; Industrial Action Plan; and the NQF Evaluation Plan.

The overall mandate of the QCTO is to develop and manage the OQSF of the NQF. This includes the development and quality assurance of occupational qualifications (including trades) and part qualifications registered on the OQSF, with a specific focus on occupational qualifications that address the national demand.

 

4.2.1. Overview and assessment of the QCTO’s 2023/24 MTEF budget allocation and the 2023/24 performance targets

 

Over the MTEF, QCTO is allocated R460,7 million. For the 2023/24 financial year, the QCTO’s total revenue amounts to R146,1 million, which increased by R16,9 million from R129,2 million in 2022/23. The budget is shared among the four budget programmes, namely, Administration, Occupational Qualifications Management and Certification, Occupational Qualifications Quality Assurance and Research Analysis and Quality Assurance.

 

Programme 1: Administration received approximately R75,6 million, which accounts for 51.7 per cent of the Entity’s total budget. The second largest allocation amounting to R40,7 million or 27.8 per cent is apportioned to Programme 3: Occupational Qualifications Quality Assurance, followed by Occupational Qualifications Management and Certification with an allocation of R25,4 million or 17.4 per cent. Research Analysis and Quality Assurance received the smallest allocation, R4,3 million, which represents 2.9 per cent of the Entity’s total budget for the 2023/24 financial year

 

The QCTO’s budget is projected to increase to R153,4 million and R161,1 million in the outer two years of the MTEF period, 2024/25 and 2025/26, respectively. In terms of economic classification, Compensation of Employees received R77,8 million and Goods and Services received R63,3 million and capital expenditure allocation amounts to R5 million.

 

 

 

Programme 1: Administration

This Programme enables the QCTO performance through strategic leadership and reliable delivery of management support services that will ensure a responsive and learning organisation.

 

The following are key selected annual targets for the 2023/24 financial year:

• Implement 20 per cent of the capacity-building strategy;
• Implement 20 per cent of the Marketing and Communications strategy;
• Implement 40 per cent Change Management strategy;

 

The Programme’s 2023/24 budget allocation is R75,6 million.

 

Programme 2: Occupational Qualifications Management and Certification

This Programme ensures that occupational qualifications, part-qualifications and skills programmes on the OQSF are available; assessed and certificates are issued to qualifying learners; verify the authenticity of certificates issued; and maintain stakeholder relationships.

 

The following are key selected annual targets for the 2023/24 financial year:

• Process 75 per cent of prioritized occupational qualifications (full/part) (Approved and/or declined for recommendation to SAQA for registration on the OQSF) within 90 working days;
• Recommend 200 of remaining Historically Registered Qualifications to SAQA for deactivation on the OQSF;
• Process 100 per cent of prioritised skills programmes (Approval and/or declined by the QCTO CEO) within 90 working days;
• Quality assures 90 per cent of assessments for occupational qualifications and part qualifications against the QCTO standards within 27 working turnaround time;
• Quality assures 90 per cent of Quality Partners (or Assessment Bodies) against the QCTO compliance standards;
• Verify within the turnaround time (5 working days) 95 per cent of verification authenticity of certificate requests received.

 

The Programme is allocated R25,4 million in 2023/24.

Programme 3: Occupational Qualifications Quality Assurance

 

This Programme establishes and maintains quality standards for Accreditation and Quality Assurance within the OQSF.

 

The following are key selected annual targets for the 2023/24 financial year:

• Process, within the turnaround time (90 working days) 90 per cent of Skills Development Providers (SDPs) accreditation applications for occupational qualifications and part-qualifications;
• Process, within the turnaround time (90 working days) 80 per cent of Skills Development Providers accreditation for historically registered qualifications (Trades, non-Trades, NATED Report 190/191, Skills Programmes);
• Quality assure 80 per cent of accredited SDPs with implemented occupational qualifications according to QCTO standards;
• Quality assure 75 per cent of SDPs implementing historically registered qualifications (excluding NATED Report 190/19 programmes) against QCTO compliance standards;
• Produce two reports on Quality Assurance of NATED Report 190/191 (N4 – N6) instructional offering exam sessions and marketing sessions against the QCTO standards; and
• Produce two reports on the compliance of accredited assessment centres conducting External Integrated Summative Assessments (EISAs) against QCTO Quality Assurance Standards.

 

Programme 3 received R40,7 million in 2023/24.

 

Programme 4: Research Analysis and Quality Assurance

The Programme establishes and maintains the QCTO Standards for quality assurance through research, monitoring, evaluation and analysis.

 

The following are key selected annual targets for the 2023/24 financial year:

• Approval of three research reports by the Chief Financial Officer.
• Publish one research bulletin online

The Programme received R4,3 million in 2023/24.

4.3. South African Qualifications Authority (SAQA)

SAQA derives its legislative mandate from the National Qualifications Framework Act, 2008 (Act No. 67 of 2008 as amended). In terms of the Act, SAQA is mandated to, among others:

• Provide advice, oversee NQF implementation and collaborate with the Quality Councils;
• Develop NQF policies and criteria;
• Maintain a National Learners’ Records Database (NLRD), and provide evaluation and advisory services with respect to foreign qualifications;
• Undertake research, collaborate with international counterparts, and drive the communication and advocacy strategy to promote the understanding of the NQF architecture; and
• Perform any function consistent with the NQF Act that the Minister of Higher Education and Training may determine.

 

SAQA further derives its policy mandate from the NDP Vision 2030, the White Paper on PSET, including the National Plan for the Post-School Education and Training and the Department’s five-year Strategic Plan. Additionally, SAQA’s mandate is further informed by the White Paper for Post-School Education and Training, the National Plan for PSET and the recent Economic reconstruction and Recovery Plan (ERRP). 

4.3.1. Overview and assessment of SAQA’s 2023/24 MTEF budget allocation and the 2023/24 performance targets

 

Over the MTEF, SAQA is allocated R440,1 million. For the 2023/24 financial year, the SAQA’s total revenue amounts to R141,7 million, which increased by R26,1 million from R115,6 million in 2022/23. SAQA’s budget is shared among the five budget programmes, namely, Administration, Registration and Recognition, ICT and NQF Management Information Systems (NQF MIS), Authentication and Ratification Services and Research.

 

Programme 1: Administration received approximately R70,7 million, which accounts for 49.8 per cent of the Entity’s total budget. Programme 4: Authentication and Ratification Services and Programme 3: ICT and NQF MIS received the second and third largest allocations at R26,6 million or 18.7 per cent and R23,1 million or 16.3 per cent, respectively.  Research receives the smallest allocation, R9,7 million, which represents 6.8 per cent of the Entity’s total budget for the 2023/24 financial year.

 

Transfers from the department account for an estimated 71.1 per cent (R282.3 million) of total revenue over the MTEF period, while revenue generated from operations accounts for 27.6 per cent (R107.8 million). In terms of economic classification, Compensation of Employees received R81 million and Goods and Services received R48 million and capital expenditure allocation amounts to R12,7 million.

 

Programme 1: Administration

The programme covers the activities under the Office of the CEO; Finance and Administration; and Governance, People, and Strategy divisions. Its purpose is to support the operations of SAQA

 

The following are key selected annual targets for the 2023/24 financial year:

• Implement two initiatives to promote the South African NQF;
• Identify and implement one initiative to promote best practices;
• Roll out the second-phase of the Refugee Pilot Plan;
• Advise the Executive Authority on NQF matters as required;
• Ensure that every staff member has at least two learning interventions;
• Obtain an unqualified audit opinion; and
• Ensure that the NQF MIS incorporating the National Learner Record Database contains 23 million learners with achievements

 

The Programme’s budget for 2023/24 amounts to R70,7 million, of which R29,6 million is allocated for compensation of employees, R28,3 million for Goods and Services and R12,7 million for capital expenditure. SAQA will continue to refurbish, repair and maintain its headquarters while its efforts to sell the building are underway.

 

Programme 2: Registration and Recognition

The programme is responsible for registering qualifications and part-qualifications, recognising professional bodies, and registering professional designations.

The following are key selected annual targets for the 2023/24 financial year:

• Register qualifications recommended by the Quality Councils (QCs) that meet all SAQA’s criteria within three months of submission;
• Test and implement an end-to-end electronic system for the evaluation of foreign qualifications;
• Make the public information on the NQF MIS easily accessible and usable by all stakeholders; and
• Seek funding for the digitisation of legacy achievement records.

 

The Programme received R11,5 million for 2023/24. Of this, R10,7 million is allocated for the Compensation of Employees and R800 000 for Goods and Services.

 

Programme 3: ICT and NQF Management Information Systems (NQF MIS)

The programme oversees all the ICT infrastructure of the organisation and is responsible for spearheading SAQA into the fourth industrial revolution (4IR). The major costs are software licence fees, IT security, connectivity as well as application development. This Programme is strategic to the organisation and is central to the successful completion of the SAQA automation project. The programme is also responsible for the maintenance and enhancement of all SAQA databases the major one being the NLRD, and the costs of maintenance of these databases are also significant.

 

The following are key selected annual targets for the 2023/24 financial year:

• Ensure that Quality Councils load learner achievements records on the NQF MIS;
• All recognised professional bodies load professional designation achievements that meet the requirements, on the NQF MIS; and
• Update the Register of Misrepresented Qualifications.

 

The Programme’s budget for 2023/24 amounts to R23,1 million, of which R12,2 is for Compensation of Employees and R10,8 million is for Goods and Services.

 

 

Programme 4: Authentication and Ratification Services

The Authentication Services unit is responsible for verifying South African qualifications and evaluating foreign qualifications. It also locates foreign qualifications on the SA NQF by comparing them to the relevant national qualifications. This Unit must ensure that it streamlines its processes where possible so that it can reduce the time that it takes to process applications and verification requests. The success of this unit in meeting turnaround times and servicing clients relies heavily on its processes being automated. The longer SAQA takes to introduce automation into this unit, the more public dissatisfaction with SAQA grows.

 

The following are key selected annual targets for the 2023/24 financial year:

• Request verification confirmation from foreign partners for all compliant applications received for the evaluation of foreign qualifications within 60 working days.
• Complete all compliant verification requests received for the verification of South African qualifications within 25 working days.

 

The 2023/24 budget allocation for the Programme amounts to R26,6 million, of which R22,8 million is for the Compensation of Employees, and R3,7 million is for Goods and Services.

 

Programme 5: Research

The unit is responsible for conducting evidence-based research to track the development and implementation of the NQF and to evaluate the impact of the NQF on the people in South Africa.

 

The following are key selected annual targets for the 2023/24 financial year:

 

• Review one NQF policy.
• Host one SAQA-QC engagement towards reporting on the implementation of one revised policy.

 

The 2023/24 allocation for the Programme amounts to R9,7 million. Of which, R5,5 million is for the Compensation of Employees, and R4,2 million is for Goods and Services.

 

4.4. NATIONAL STUDENT FINANCIAL AID SCHEME (NSFAS)

The National Student Financial Aid Scheme was established in terms of the National Student Financial Aid Scheme Act (1999). The scheme is responsible for providing bursaries and loans to students; developing criteria and conditions for the granting of loans and bursaries to eligible students in consultation with the minister; raising funds; recovering loans from debtors; maintaining and analysing a database of funded students; undertaking research for the better use of financial resources; advising the minister on matters relating to student financial aid; and undertaking other functions assigned to it by the act or by the minister.

 

The NSFAS’s main responsibility is to administer loans and bursaries and allocate these to eligible students, developing criteria and conditions for the granting of loans and bursaries to eligible students in consultation with the Minister of Higher Education (“the Minister”), raising funds, recovering loans, maintaining and analysing a database, undertaking research aimed at better utilisation of financial resources and for advising the Minister on matters relating to student financial aid.

 

The NDP commits the NSFAS to provide all students who qualify for the NSFAS with access to full funding through loans and bursaries to cover the costs of tuition, books, accommodation and other living expenses. In terms of loan recoveries, the NDP enjoins the NSFAS to recover through an arrangement with the South African Revenue Service. Furthermore, MSTF has identified Seven Apex Priorities, including Priority 3: Education, Skills and Health. There are four outcomes; namely, expanded access to PSET opportunities, improved success and efficiency of the PSET system, improved quality of the PSET provisioning and a responsive PSET system. The NSFAS directly contributes to Outcome 1: Expanded access to PSET opportunities. The MTSF commits the NSFAS to fund 420 000 and 400 000 university students and TVET college students by 2024, respectively.

 

4.4.1. Overview of the Revised 2020/21 – 2024/25 Strategic Plan, updated for 2022/23

NSFAS has revised its Strategic Plan and 2023/24 Annual Performance Plan (updated for 2022/23). NSFAS indicated that the reasons for reviewing the Strategy and APP were because the audit of performance information was disclaimed in the past two financial years. This resulted in the revised vision mission, and values, revised Strategic Outcome Oriented Goal, reduction in the number of Strategic Objectives from seven to four, Strategic Outcomes from seven to four and Increased Output indicators from 17 to 22.

 

4.4.2. Overview and assessment of SAQA’s 2023/24 MTEF budget allocation and the 2023/24 performance targets

 

The NSFAS total revenue for the 2023/24 financial year amounts to R51,0 billion. The budget comprises the Entity’s revenue of R977,7 million or 1.9 per cent, R47,9 billion or 94.0 per cent from DHET Grant (DHET bursaries: Universities and TVET colleges and NSFAS Administration) and R2,0 billion or 4.0 per cent from other grants. The overall revenue increased by R1,6 billion or 3.3 per cent from R49,3 billion in 2022/23. The DHET Grant allocation to the NSFAS increased from R45,7 billion in 2022/23 to R47,9 billion in 2023/24. The DHET grant allocation to the NSFAS is projected to grow in the two outer years of the MTEF period to R51,9 billion and R54,2 billion in 2024/25 and 2025/26, respectively. Notably, the allocation from other grants increased from R1,8 billion in 2022/23 to R2,0 billion in 2023/24.

 

In terms of projected expenditure for the 2023/24 financial year, the bulk of the projected expenditure of the NSFAS, R49,7 billion is apportioned to programme 1: Core Business. Programme 2: Administration’s projected expenditure amounts to R391,4 million. The administration budget will increase to R663,5 million in 2023/24 if the Department approves NSFAS’s request to utilise rollover funds amounting to R272 million.

 

The NSFAS’ projected expenditure is dominated by transfers to institutions (universities and TVET colleges) for student bursaries. For university and TVET college students, at R49,7 billion. Projected expenditure on the Compensation of employees is R224,1 million and for Goods and Services is R166,3 million. The work of NSFAS is divided into two programmes, namely, Core Business, which contribute towards students’ success by being a leading resources provider within the higher education ecosystem; and Administration, which aims to provide fair and equitable access to financial and other resources for eligible students in an efficient, transparent, professional and student-centric manner. The two Programmes combined 22 output indicators.

The following are key selected annual targets for the 2023/24 financial year:

• R300 million to be collected from loan book debtors;
• Unqualified audit opinion obtained from AGSA;
• Percentage (80%) of funded students disbursed within a specified period of the receipt of valid registration data;
• 44 per cent of the Matric Registered SASSA Beneficiaries;
• 346 258 TVET students, 439 659 university students and 15 000 others receiving NSFAS bursaries;
• Operating at level 3 Security Posture (Maturity);
• Adoption of digital culture while delivering these transformational projects at level 3;
• To appoint candidates within 90 days;
• Implement the 4 programmes to change the culture at NSFAS;
• To reach the 50 per cent target of women appointed in Band D and E management positions;
• Approve Eligibility Criteria issued before the earliest Registration Date of any institution of higher learning;
• Produce four research reports to enhance operational efficiencies at NSFAS;
• Ten Marketing and Communication awareness campaigns transcending both internal and external campaigns;

 

1. COMMITTEE OBSERVATIONS

The Committee, having assessed the 2023/24 Annual Performance Plans (APPs), budgets and MTEF budget projections of the Departments and Entities, made the following observations and key findings.

 

5.1. Department of Higher Education and Training

5.1.1. Programme 1: Administration

5.1.1.1. The Committee noted that the head office currently occupied by the Department is not conducive to its optimal operations, and the plan to relocate to new offices at the Council for Scientific and Industrial Research (CSIR) was welcomed. The Committee was interested in the financial feasibility of the relocation given the budget constraints of the Department. The Department indicated that in terms of its comparison analysis, the rental at the CSIR would be lower than what it pays in its existing office space.

5.1.1.2. The Committee commended the Department for putting measures in place to address the             safety and security challenges in TVET colleges and universities. However, the Committee             raised concerns regarding deferring the implementation of the Minimum Norms and             Standards focusing on universities to the next financial year, 2024/25, given the safety and             security challenges at universities. The Committee noted that not all TVET colleges will             implement the Minimum Norms and Standards in 2023/24. The Committee further             observed that the Community Education and Training colleges were excluded from the             Safety and Security Minimum Norms and Standards.

 

5.1.1.3. The utilisation of consultants to fulfil some of the key work of the Department was noted as a concern. The Committee was concerned that the money incurred in using consultants could have been better utilised to strengthen internal capacity. The Department indicated that it adheres to the cost containment measures on the usage of consultants, and all appointments of consultants are approved by the DG.

 

5.1.2. Programme 2: Planning, Policy and Strategy

5.1.2.1. The Committee welcomed the allocation of an Infrastructure Efficiency Grant (IEG) to the    CET colleges sector. Before 2023/24, the CET sector had not had Infrastructure Efficiency Grant allocations and this impacted the effective and efficient implementation of its         mandate, in particular enrolment numbers, and throughput rates. It is hoped that the allocation of the IEG will assist in addressing the many challenges that the sector faces in working towards becoming institutions of choice, especially for youth not in education, employment, or training.

5.1.2.2. The Committee has in the previous budget vote reports and Budgetary, Review and             Recommendations Reports recommended that Infrastructure Efficiency Grant be allocated           to the CET sector to address the lack of infrastructure and to give the sector its own identity. The Committee welcomed the plans of the Department to build three new CET learning         centres and two TVET college campuses in 2023/24, as this will expand access to education and training and contribute towards a skilled and capable workforce for the country.

5.1.2.3. The Committee further welcomed the plans of the Department to expand access to             education and training through the targeted infrastructure projects that will result in 3 000             beds in 2023/24, including the plans to develop a design concept for the construction of two new universities in Ekurhuleni and Hammanskraal, including Multi-purpose Centre in      Giyani and a satellite Campus in Ulundi. The Committee also resolved to call the     Department to brief it on the reports of the feasibility studies for the establishment of the two new universities.

5.1.2.4. It was noted that the reprioritisation of R900 million meant for Sol Plaatje University and University of Mpumalanga (UMP) in support of the Department of Basic Education (DBE) Early Childhood Development (ECD) could have been better utilised to advance programmes aimed at supporting maths and science education in basic education. The Department noted that the reprioritisation of R900 million to the DBE-ECD programme was not its decision and Treasury mentioned that one of the rationales for the proposal was that DBE assisted DHET with funding to build the University of Mpumalanga and Sol Plaatje University in the past years.

5.1.2.5. The investment made by the Department towards refurbishing and expanding infrastructure in higher education was acknowledged by the Committee. However, the poor management of infrastructure projects coupled with shoddy workmanship remains a serious concern. The Committee has observed in its oversight visits that some residences recently completed in some universities require major refurbishments and others were incomplete. Furthermore, there was little accountability by contractors responsible for the shoddy workmanship.

5.1.2.6. The planned “Transforming MENtalities” Programme is welcomed as it will assist in             addressing gender-based violence and femicide (GBVF) in the PSET sector as it seeks to             address toxic masculinity in the PSET system, by focusing on mobilising men in the PSET             sector to be part of championing a world free of gender biases, stereotypes, violence, and             discrimination.

5.1.2.7. The Committee has in previous engagements with the Department and its entities, highlighted the need to have an integrated management information system for the PSET sector to address challenges relating to learners in multiple Sector Education and Training Authorities (SETAs) skills interventions, learners funded by both SETAs and NSFAS, etc. The Committee welcomed the inclusion of a new output indicator and target in the 2023/24 APP by the Department to have a plan for the integration of Information Management Systems used in the PSET sector, which will be approved by the Director-General by 31 March 2024.

5.1.2.8. The Committee acknowledged that the PSET sector is huge in size and shape with many public institutions under the Department. However, the inadequate oversight played by the Department as an immediate oversight body over the PSET institutions remains a serious concern. Many institutions are still plagued by poor governance and corruption in the PSET sector. Compounding the situation is the increase in interest from external stakeholders or forums to access the PSET institutions' resources and this escalates corruption and safety and security risks.

5.1.2.9. The delays in the proclamation of the NQF Amendment Act, 2019 were noted as a serious concern. Notwithstanding, the delayed proclamation of the Act, the Department is planning to publish it by the end of the financial year. This is concerning, given that the proclamation had been delayed.

5.1.2.9. Concerns were raised with respect to the number of litigations against the Department and the costs involved in settling them.

 

5.1.3. Programme 3: University Education

5.1.3.1. The decline in the number of students enrolled in the natural, human and health sciences over the MTEF period was noted as a concern. Notably, the graduate numbers in Veterinary Science are projected to remain stagnant at 185 from 2022/23 to 2024/25 and to decrease to 181 in 2025/26, which is gravely concerning given the need for veterinarians in the country. The Committee was concerned that this decline is in scarce skills programmes which are critical for the country’s development, and scarcity will impact the economic growth. Furthermore, the decline poses a threat towards achieving the NDP 2030 targets.

5.1.3.2. The Committee noted with concern the report by the Department that some of the universities that had projected high numbers reduced them. Cape Peninsula University of Technology (CPUT), University of Limpopo, Nelson Mandela University, Stellenbosch University, TUT, Walter Sisulu University, University of Witwatersrand, and Sol Plaatje University projected a downward trajectory. Some of them ascribed the reason for the downward trajectory is that they have not completed the process of replacing the BTech with Advanced Diploma and were restricted by limited pool of Matriculants that can enter into these programmes.

5.1.3.3. The Committee reiterated its concern about the high drop-out rate of students in higher education considering the amount of investment that is made by Government in the sector.

5.1.3.4. The projected budget growth in (R51 billion in 2023/24 – R57 billion in 2025/26) in the NSFAS funding over the MTEF period is commendable. Notwithstanding, the Committee was concerned about the funding support for the missing middle students who do not qualify for the NSFAS funding, while at the same time do not afford to pay for higher education. Furthermore, the delays in the finalisation of the comprehensive student funding model for the PSET system compounded the situation.

5.1.3.5. The shortage of student accommodation in higher education, particularly on-campus accommodation remains a serious concern. Consequently, students have no choice but to choose off-campus accommodation which is not always academically conducive or well- regulated, and this results in the violation of their right to basic health and safety. The Committee welcomed the involvement of NSFAS in the accreditation of private and off-campus accommodation as this will contribute to improving the student living conditions in these privately owned accommodation facilities.

 

5.1.4. Programme 4: Technical and Vocational Education and Training

5.1.4.1. The Committee expressed concerns about the ability of TVET colleges to manage infrastructure projects due to a lack of capacity and skills. Consequently, a number of colleges have recorded underspending of the infrastructure efficiency grant.

5.1.4.2. A notable improvement was noted with respect to good governance and management at some colleges, which have produced good outcomes. The Committee also observed during its oversight visits the pockets of excellence within the sector, which could serve as the best model for sharing good practices.

5.1.4.3. Concerns were raised with regard to the outdated curriculum offered in the TVET sector which is not aligned with industry. The Committee was also concerned that the process of restructuring the TVET curriculum has been slow. Consequently, some colleges are developing innovative ways to catch up with industry needs. However, the curriculum/syllabus lacks behind the technological developments within the industry.

5.1.4.4. Concerns were raised with respect to inadequate data integration between the Department, NSFAS and colleges. Consequently, this contributes to delays in the disbursement of funding and allowances to students. The Department noted that the MyNSFAS information system is still in the process of being upgraded for improved performance.

5.1.4.5. The Committee was concerned that there are students in the TVET sector who still have not received their certificates despite meeting all the requirements. The Department noted that certificates are released to students within 90 days after the approval and release of results to colleges. The Department also undertakes quality assurance of the results, and when irregularities are reported, the certificates are not printed until investigations are concluded.

5.1.4.6. The TVET Programme is allocated R12 billion for 2023/24, of which 63.45per cent of the Programme’s total budget is allocated to the Compensation of Employees. Subsidies to TVET colleges allocation for the current financial year have also decreased, which is concerning as it limits the sector to increase enrolment as per the NDP targets. Without significant funding commitment, there will be little progress in expanding colleges and turning them into attractive institutions of choice for youth and adults.

 

5.1.5. Programme 5: Skills Development

5.1.5.1. The work done by the Department in increasing the number of artisans produced per annum through the TVET colleges and SETAs was highly commended. The Department has already met the National Development Plan (NDP) 2030 target of producing 30 000 artisans per annum. Furthermore, the Department used to have only one public trade test centre, INDLELA. The increase in public trade test facilities through the accreditation of TVET colleges as Centres of Specialisation with Trade Test Centres serves as a meaningful contribution to expanding artisan training and development.

5.1.5.2. The Committee acknowledged the role played by SETAs in providing skills development in the PSET system. However, the poor governance and financial management that continue to plague some of the SETAs remain a concern. Furthermore, there is poor coordination and monitoring of the impact of the skills development programmes offered by SETAs.

5.1.5.3. The Committee was concerned about the observations made by the AGSA that there was misalignment between the Department service level agreements (SLA) and the SETAs 2023/24 APPs. The Committee was concerned about the misalignment, which pointed to poor planning and oversight by the Skills Branch over SETAs.

 

5.1.6. Programme 6: Community Education and Training

5.1.6.1. The Committee was concerned that the budget for Goods and Services in the CET sector had been reduced, including subsidies to TVET colleges. A budget of R7.2 million was allocated during 2022/23, while R5.3 million was allocated for 2023/24.

 

5.2. Council on Higher Education

5.2.1 The Entity continues to play a critical role in promoting quality assurance in higher education and advising the Minister on higher education matters. However, its budget allocation is not sufficient to fulfil its expanded mandate and to operate optimally. The budget limitations also limit the ability of the Entity to employ staff in permanent positions. Consequently, the Entity relies on contracted staff and peer academics to deliver key functions.

5.2.2. The new Council of the Entity, which was appointed on 14 December 2022, was noted by the Committee. It further welcomed the appointment of a female Chairperson, which is in line with its call for gender equality in senior management of PSET institutions.

5.2.3. The proliferation of bogus private higher education institutions has been highlighted as a serious concern facing the PSET system. Despite the Department’s efforts to crack down on these unlicensed private institutions, they still largely operate in urban areas. The Committee noted that these institutions tend to attract the most disadvantaged populations who are not familiar with their accreditation status. These institutions also offer qualifications that do not advance the learning or prospects of students, and also leave them indebted.

5.2.4. The plans of the Entity to implement the new Quality Assurance Framework (QAF) were supported by the Committee. This process would also lead to the development of a Management Information System in support of the QAF.

5.2.5 It is noted that the traditional higher education model of contact learning is seriously challenged due to the limited capacity of universities to enrol and accommodate more students. Thus, online and blended learning offers alternative modes of teaching and learning through the use of technology, and enables increased access to higher education institutions. The Committee was of the view that the CHE has not invested sufficient resources to adapt to the speed of digital transformation of higher education which is essential going forward.

5.2.6. Notwithstanding that the CHE’s role is primarily focused on university education, the Committee was of the view that the TVET sector can acquire best practices from the expertise of the CHE for its advancement, and also improve articulation between TVETs and universities.

5.2.7. The CHE would be celebrating 25 years of its existence in September 2023 and the Committee noted the important role played by the Entity over the years, and its plans to expand its mandate for the advancement of higher education. The Entity was encouraged to compile its notable achievements over the years so that the public can be more informed about its mandate.

 

5.3. Quality Council for Trades and Occupations

5.3.1. The gazetting of the Revised OQSF by the Minister in 2021 was welcomed by the Committee since it will uniquely position the QCTO as an Entity mandated to manage and develop occupational qualifications that are credible and meet the demands of the economy. Furthermore, the revised OQSF will enable TVET colleges to offer NQF Level 6 - 8 qualifications that are at the same level as university qualifications.

5.3.2. Concerns were raised with respect to the time frame for the issuing of certificates to candidates who had met all the minimum requirements for occupational qualifications. The Committee was of the view that certificates could be offered timeously to candidates who had completed their programmes.

5.3.3. The Committee expressed concerns with regard to the low uptake of occupational qualifications, part-qualifications and skills programmes by TVET colleges. It was noted that the importance of occupational qualifications and their relevance are not well appreciated in the PSET system and society at large, as a result, the majority of school leavers still prefer to study at universities as they appear as prestigious institutions. However, occupational qualifications and skills programmes are the critical drivers of economic development.

5.3.4. Concerns were raised with respect to the articulation of candidates with occupational and skills programmes to higher education institutions in the PSET system.

5.3.5. The Committee was concerned about the narrative that the PSET system was not responsive to the demands of the economy and industry. The Entity indicated that the implementation and mainstreaming of the OQSF are expected to change the narrative associated with TVET and CET colleges.

 

5.4. South African Qualifications Authority

5.4.1. The Committee welcomed the automation project that has been implemented by SAQA to streamline its internal processes and enhance its digital solutions to improve service delivery.

5.4.2. The Committee expressed concern with regard to public awareness pertaining to the NQF and its importance in society. It was noted that the Entity could do more in terms of rolling out public outreach programmes aimed at educating members of the public about the NQF.

5.4.3. Concerns were raised with regard to the ability of the Entity to implement additional priorities considering its budget constraints. Furthermore, the funding model of the Entity was not ideal given that it receives 60 per cent of its budget from the Department.

5.4.4. Concerns were raised with the turn-around time for verification of qualifications by the Entity, especially from South African citizens. As a result, most companies are utilising the services of private verification providers who have a swift turn-around time, and this has an impact on the ability of the Entity to generate income from its verification and evaluation services.

5.4.5. The Committee was of the view that the Entity has the potential of generating more income by being innovative and investing in a block chain system for verification purposes.

5.4.6. Concerns were raised with regard to staff reduction and impact on the ability of the Entity to delivery on its additional priorities.

5.4.7. The Entity was commended for its commitment to gender equality and this was reflected in the representation of women at the leadership level.

 

5.5. National Student Financial Aid Scheme

5.51. The Committee has been supporting the Entity in its implementation of the close-out project which is aimed at formally reconciling data with institutions from the 2017 academic year till 2020.However, the Committee was of the view that the finalisation of the project has been very slow.

5.5.2. The progress made by the Entity in recovering up to R669 million owed by institutions was welcomed by the Committee. The Committee further noted that the Entity could still recover more monies if it could speed up the finalisation of the close-out project.

5.5.3. The Committee was concerned about considering the 2023/24 APP of the Entity while the Annual Report 2021/22 has not been submitted due to delays with the close-out projects and related matters.

5.5.4. The delays in the payment of funding and allowances to institutions and students for the 2023 academic year were noted as a concern. The Entity indicated that it had allocated R9.2 billion to universities and R2.2 billion to TVET colleges. However, there were student protests in some universities, which were related to the delays by NSFAS in confirming funding decisions.

5.5.5. Concerns were raised with respect to some key performance indicators (KPIs) that are not aligned with the core business of the Entity. Furthermore, the Committee noted that some of the KPIs were not properly articulated.

5.5.6. The Committee was of the view that the instabilities in the PSET institutions have the potential of further disrupting the 2023 academic year if NSFAS is not able to speedily resolve student grievances pertaining to their NSFAS funding and appeals.

5.5.7. The Committee noted that the poor integration of the NSFAS data with universities and TVET colleges remains a concern. The lack of synergy in the systems is not ideal for the smooth disbursement of funding and allowances to students.

5.5.8. The not fit-for-purpose ICT systems at NSFAS despite the additional allocations by the             Entity in 2021/22 and 2022/23 were noted with concern. The Committee was concerned that the Entity was not able to utilise the funds allocated to improve ICT systems and it         applied to the Department for a rollover amounting to R119 million in 2023/24.

5.5.9. The revised APP 2023/24 and strategy was welcomed given that the previous APP did not meet the AGSA SMART principles.

5.5.10. The Committee welcomed the work that has been done by the Special Investigative Unit (SIU) at the Entity that uncovered irregularities in the administration of the NSFAS bursary and also led to recoveries of monies owed by institutions.

 

6. SUMMARY

The Committee noted and welcomed the Departments’ APP 2023/24 and Budget which considered the need for the expansion and growth of the PSET system in line with government priorities. The Department’s budget for the 2023/24 financial year inclusive of the skills levy amounts to R133 billion. Of significance to note is that government is making massive investments of R92.6 billion in higher education, which supports 1.1 million students at universities. Similarly, the budget for the TVET sector amounted to R12.7 billion to support approximately 640 000 students in the sector and CET colleges received R2.6 billion. The budget for TVET and CET colleges is inadequate to enable the sectors to increase enrolment.

 

The Committee reiterated its concern about the disparities in the allocation of resources in the PSET system that is biased towards universities. The Committee has also been advocating for the expansion and improvement of TVET and CET colleges as they have a responsibility of offering basic and mid-level skills to young people and adults to drive economic development. The lack of new funding for TVET colleges has hindered the ability of the Department to rapidly increase enrolments in the TVET sector. However, the construction of eight (8) TVET college campuses over the MTEF period is expected to contribute positively towards changing the size and shape of the PSET system. In relation to other programmes of the Department, the Committee welcomed the milestone achieved by the Department of training 30 000 artisans per annum in TVET colleges in 2023/24 and this number is expected to increase to 36 000 artisans produced per annum by 2025/26. It is significant to note that the NDP Vision 2030 has a target of 30 000 artisans produced per annum by 2030, and this has already been achieved by the Department in 2023/24.

 

In relation to the entities (QCTO, SAQA and NSFAS), the Committee had a good impression with respect to their 2023/24 APPs and Budgets, which had performance indicators that were largely aligned to their core business and the objectives of the PSET system. Funding constraints were highlighted as having the potential to hinder the abilities of the entities (SAQA and QCTO) to implement additional priorities over the MTEF period. However, these entities undertook to utilise their budgets meaningfully so that they could achieve their strategic priorities.

 

7. RECOMMENDATIONS

The Committee having assessed the APPs 2023/24 of the Department and entities makes the following recommendations:

 

7.1. Department of Higher Education and Training

7.1.1. Programme 1: Administration

7.1.1.1. The Department should put measures in place to strengthen its human resource capacity so that it can eradicate the use of external service providers or consultants in delivering some of its critical functions.

7.1.1.2. The process of moving the Department’s Head Office to the CSIR site should be expedited and the Department should ensure that the Office Accommodation sub-programme in Administration is adequately resourced to ensure the smooth relocation.

7.1.1.3. The Department should ensure that CET colleges also benefit from the development of the norms and standards for safety and security in the PSET system.

 

7.1.2. Programme 2: Planning, Policy & Strategy

7.1.2.2. A programme of action should be developed to respond to the AGSA’s remarks concerning the misalignment between the Department’s service level agreements (SLAs) and SETA APPs 2023/24.

7.1.2.3. The Department should strengthen its oversight function over PSET institutions so that it is able to identify potential problems/challenges early on and put measures to immediately resolve them before they become a potential threat to the sector.

7.1.2.4. The Department should engage with the Presidency pertaining to the delays with the proclamation of the NQF Amendment Act, 2019 (Act No. 12 of 2019), and find solutions in resolving this matter.

7.1.2.4. The Department should expedite the implementation of measures put in place to support universities that are struggling to spend their infrastructure grants. Furthermore, universities must hold into account service providers / contractors that abandon infrastructure projects or implement shoddy workmanship.

7.1.2.5 The finalisation of the work of the Ministerial Task Team on the Comprehensive Student Funding Model for the PSET sector and the release of the report should be expedited.

 

7.1.3. Programme 3: University Education

7.1.3.1. The Department should assist universities in increasing enrolments in the sciences, programmes so that it is able to meet the targets of enrolments in scarce and critical skills programmes.

 

7.1.4. Programme 4: Technical and Vocational Education and Training

7.1.4.1. A concerted effort is required to improve the financial management skills and capacity of the TVET officials. This will enable colleges to improve their audit outcomes and spending on infrastructure grants.

7.1.4.2. The process of phasing out of the outdated and unresponsive TVET curricula should be expedited so that colleges can be better positioned to respond to the world of work and improve linkages with industry.

7.1.4.3. The Department should ensure that the remaining certification backlog is cleared so that students or graduates with outstanding certificates receive them. The Department should endeavour to achieve a day-zero certification backlog.

7.1.4.4. Additional funding is required for the sector to assist with the demand for increased enrolment over the MTEF period.

7.1.4.5. The Department should ensure that colleges are assisted with the modernisation of their training workshops and facilities and be responsive to the reality of rapid technological expansion.

7.1.4.6. The Department should expedite the process of improving articulation between TVET colleges and universities in terms of qualifications and pathways.

7.1.4.7. The Department should assist with the process of ensuring that TVET college students, especially those registered in civil and construction programmes are utilised in the colleges’ infrastructure programmes to gain experiential learning.

 

7.1.5. Programme 5: Skills Development

7.1.5.1. The Department should assist with the process of improving partnerships and collaborations between SETAs and TVET colleges so that they can facilitate pathways to the labour market.

7.1.5.2. The Department working with its entities should forge strategic partnerships and social compacting within the PSET sector for better coordination.

 

7.1.6. Programme 6: Community Education and Training

7.1.6.1. Additional funding is required to increase the access and success of CET colleges so that they can cater for the needs of unemployed youth and adults in their surroundings.

7.1.6.2. The Department should assist with the process of improving access for students with disabilities in the CET sector.

7.1.6.3. The Department should strengthen its collaborations with the Department of Public Works (DPW) and other key stakeholders with regard to the repurposing of under-utilised infrastructure for the CET sector.

 

7.2. Council on Higher Education

7.2.1. Consideration should be made to allocate additional funding to the CHE to implement the additional mandates given to it, such as the transformation oversight function and to appoint additional staff needed to fulfil the objectives of the organisation.

7.2.1. The Ministry of Higher Education and Training should ensure that the vacant council position at the CHE is filled urgently.

7.2.3. The CHE should consider expanding its public outreach programmes to include awareness about illegal private higher education institutions.

7.2.4. The Entity should prioritise investing in Information and Communication Technology (ICT) / 4IR to keep up with the transition into online and blended learning in higher education.

 

7.3. Quality Council for Trades and Occupations

7.3.1. The timeframe for issuing certificates to candidates that have met the minimum requirements for certification should be reduced.

7.3.2. The process of purchasing the QCTO head office should speedily be finalised given that the Entity could realise the potential savings.

7.3.3. The process of rolling-out the Specialised Occupational Diploma in TVET colleges should be expedited in line with the revised OQSF. This will also assist in making TVET colleges institutions of choice for many school leavers.

7.3.4. The QCTO should play an active role in assisting the Department with the review of the TVET sector curricula so that it can respond to industry and economic needs.

7.3.5. The Entity working with the Department should put mechanisms in place to improve the uptake of Occupational Qualifications and Skills Programmes in TVET colleges as they are critical for economic development.

7.3.6. The Entity should allocate more resources to marketing and branding in support of making TVET colleges institutions of choice.

 

7.4. South African Qualifications Authority

7.4.1. The Entity should strive to improve its turnaround time for verification of qualifications to improve competitiveness and generate more revenue.

7.4.2. The Entity should develop a programme of action to ensure its strategic imperatives are achieved during the MTEF period.

7.4.3. The Entity should articulate its funding requirements so that the Committee is able to motivate additional budget allocation.

7.4.4. The Entity should consider developing a database that will contain employees' personal, educational and employment history for recruitment purposes. This database could be made available to potential employers at a specific fee and SAQA would generate extra income.

7.4.5. The Entity should consider reviewing its staff culture and encourage a shift from the public servant go slow mentality to one that is more client-centric to improve its revenue generation.

7.4.6. The Entity should improve its public outreach programmes concerning its mandate and the significance of the NQF.

7.4.7. The Entity should consider the utilisation of already existing platforms that might already be employer marketplaces, such as the projects in the Presidential Youth Network.

 

7.5. NSFAS

7.5.1. The Entity should provide the Committee with an update on the payment of funding and allowances to institutions and students including the number of outstanding appeals.

7.5.2. The finalisation of the close-out project should be expedited so that the Entity is able to recoup of monies it is owed by institutions. This process will also enable the Entity to reconcile its records and be able to determine the funds that it is also owing to institutions and students.

7.5.3. The procurement of an ICT system that is fit for purpose should be prioritised so that the Entity can improve its disbursement processes and payment of funds to eligible students. A fit-for-purpose ICT system will also enable the Entity to minimise fraudulent activities related to its disbursement processes.

7.5.4. The Entity should consider decentralising some of its services to improve the turn-around time to student queries.

7.5.5. The Entity should urgently improve its disbursement of funding and allowances to students and institutions to avert a potential disruption of the 2023 academic year.

7.5.6. The Entity should put measures in place to improve data integration with PSET institutions.

 

Report to be considered.