South African National Biodiversity Institute PRESENTATION TO PARLIAMENT PORTFOLIO COMMITTEE

1. South African National Biodiversity Institute PRESENTATION TO PARLIAMENT PORTFOLIO COMMITTEE 2007 / 2008

2. HIGHLIGHTS… The new SANBI Board was appointed in November 2007, chaired by Mr Tami Sokutu. Originally trained as a botanist at the University of the Western Cape & University of Cape Town, Mr Sokutu has a distinguished career in the private & public sectors Dr Tanya Abrahamse was appointed by Cabinet on 5 September 2007 as the first permanent Chief Executive Officer of SANBI. She holds a MSc degree from the University of London Imperial College, and a PhD from the University of Westminster, both in applied entomology.

3. The migration of the National Botanical Institute (NBI) to SANBI was finally completed, an exciting and challenging transformation point in our history A new organogram, reflecting our mandate, was approved by the Board, clearly showing SANBI’s key responsibilities of Research, Conservation, and Policy Development. It has proved to be a useful tool in our transformation phase. First management Lekgotla in 13years was held in February, which saw 80 management staff members come together to debate and discuss the future of SANBI, and draft SANBI’s new Corporate Strategic Plan

4. South African National Biodiversity Institute ( SANBI ) Minister of Environment & Tourism SANBI BOARD Chair CEO CFO Biodiversity Research Portfolio Management Biodiversity Knowledge, Policy & Network Management Conservation Management & Corporate Services Climate Change & Bio-adaptation Biosysytematics & Collections Applied Biodiversity Research Biodiversity Planning & Mainstreaming Biodiversity Human Capital Development Conservation Gardens & Tourism Human resources & Training Climate Change Co-ordination & Policy Managed Network Research Scientific Authority Biodiversity Policy Information Management International Liaison & research services Biodiversity education & Empowerment Kirstenbosch NBG Marketing &Communications Human Resources Zoology Systematics Plant Systematics Biodiversity Mainstreaming Fynbos Programme Grasslands Programme Succulent Karoo Programme Freshwater Programme Information Technology Finance Management Millenium Seed Bank Mary Gunn library Greening of the Nation Pretoria NBG Precis Data Management Ethnobotany Threatened Species Karoo Desert NBG Compton Herbarium Vegetation Mapping Threatened Ecosystems Kwa-Zulu natal NBG Kwa-Zulu Natal Herbarium Invasive Species Molecular ecology Harold Porter NBG BIOTA and SAEON - Fynbos Pollination & Ecosystems Molteno Library Free State NBG Flowering Plants of Africa SABIF SANBI website Lowveld NBG Bothalia, Strylizia Biodiversity Planning Working for Wetlands Walter Sisulu NBG GMO Monitoring CREW Marine Programme Hantam NBG

5. Financial controls were reviewed and tightened through, among other measures, the appointment of an Internal Audit facility. Systems are now in place for ensuring compliance with PFMA and Treasury regulations Another first for SANBI was the holding of a consultative Risk Assessment Workshop that formed the basis of a Risk Management Plan intended to guide the Internal Audit. Acclaimed approval by the Board was obtained SANBI led the development of the National Protected Areas Expansion Strategy, which is now going through the approval process

6. The Grasslands Programme was launched with funding from the Global Environment Fund (GEF) through the World Bank. This programme is a partnership of 14 institutions led by SANBI, and deals with the conservation of the South African Grasslands biome SANBI’s Human Capital Development Strategy was initiated and developed, and is set to address the transformation and scarce skills challenge. Co-ordinated the national event celebrating World Wetlands Day on 1 February in Soweto, the most ambitious celebration in SA to date Dr Guy Midgley, head of Climate Change, was part of a team that won the Nobel Peace Prize for his contribution to climate change, an area where SANBI’s leadership role is on the rise

7. BIODIVERSITY SECTOR HCD FRAMEWORK OUTPUTS More previously disadvantaged professionals & managers in the biodiversity sector More conservation managers More biodiversity professionals HET HET FET Strategic interventions through partnerships Strategic interventions through partnerships GET

8. With income of R111 million from DEAT, R123 million from other grants, donations and sponsorships, and over R35 million generated by SANBI’s scientific work and Gardens, we have managed over 100 local, national and international projects in the biodiversity field The Hantam National Botanical Garden (NBG), being the 9th NBG, was acquired in Niewoudtville in the Northern Cape, the first new NBG for 25 years, marking the start of SANBI’s ambition to have a national footprint, with a presence in all key biomes Over a million people visited the Gardens as tourists or learners, enjoying concerts, walks, talks, exhibitions, and admiring their natural beauty.

9. CHALLENGES FOR 2007/2008 1. The shift from NBI (which focused on the botanical and a more species approach) to SANBI (which has to include an ecosystem approach, be more applied, and fulfil the NEMBA mandate) with very little extra resources • Harnessing the national biodiversity capacity (working as a managed network with all appropriate institutions and organisations) 3. Access to biodiversity knowledge and information to a range of roleplayers • The suspension and subsequent dismissal of the previous CFO

10. ANNUAL FINANCIAL STATEMENTS

11. BACKGROUND The Public Finance Management Act, 1999 (Act No. 1 of 1999, as amended, requires the directors to ensure that the SANBI keeps full and proper records of its financial affair. The annual financial statements must fairly present the SANBI’s financial position, its performance against predetermined objectives and in terms of Generally Accepted Accounting Practice.

12. INCOME STATEMENT The SANBI generated Revenue of R34.826m in comparison to R35.230m in the previous financial year. This represents an decrease of 1.15% , mainly due the depressed economic conditions and high fuel prices resulting in low admission fees. Overall total income increased by 0.7% from R267.9m in the previous financial year to R269.6m in 2008. State Grant increase from R94.792m in 2007 to R110.696m in 2008. However sponsorships and donations declined from R100.471m in 2007 to R85.627 due to unfavourable economic conditions Total expenditure for the year amounted to R283.2m in comparison to R269.1m in the previous year. This is attributed the an increase of 16.4% and 20.2% in personnel cost and operating cost respectively.

13. WORKING CAPITAL MANAGEMENT Trade and Other Receivables as a percentage of own income generated increased from 6.02% in 2007 to 9.64% in the current year. This is ascribed to an increase in accounts receivable. Debtors older than 3 to 6 months are impaired and provided for. Trade Payables and Provisions as a percentage of total expenditure increased from 9.4% in the previous year to 16.6% in the current year. This is an indication of tight cash flow management. Notwithstanding the increase in Government Grant on a year-on-year basis, cash flow from operating activities declined in all income streams as a result of the unfavourable economic climate.

14. Ends.