I C A S A 2011-2012 Annual Report

I C A S AI C A S A2011-2012 Annual Report2011-2012 Annual Report

Presented by Dr Stephen Mncube Chairperson, Councillors, CEO and CFO

October 2012Parliamentary Portfolio Committee

on Communications, Cape Town

Presentation OutlinePresentation Outline

Part 1 Chairperson’s Overview

Part 2 Chief Executive Officer’s Overview

Part 3 Chief Financial Officer’s Overview

2

Part 1Part 1

Dr Stephen Mncube – Chairperson

1. ICASA Vision, Mission and Values2. ICASA Organogram3. Strategic Output Oriented Goals

(SOOGs)4. Core Programmes5. Predetermined Objectives

Part 1 - ContentPart 1 - Content

4

VISIONTo advance the building of a digital society

MISSIONTo ensure that all South Africans have access to a wide range of high quality communication services at affordable prices

Vision and MissionVision and Mission

5

NecessityNecessity

ICASA is committed to evidence-based regulation ensuring that regulation is only introduced where there is a

demonstrable need. The Authority furthermore intends to ensure that regulatory compliance does not become a barrier to the development of a sustainable ICT sector by simplifying

or reducing regulation, wherever possible or appropriate

EffectivenessEffectivenessICASA is committed to achieving its identified goals and to deliver on its mandate, taking into account the impact of

such decisions

ProportionalityProportionalityICASA aims to impose obligations in an objective, transparent and proportionate manner, where intervention is necessary

TransparencyTransparencyICASA strives to work within a consistent, fair and certain set of parameters, and to ensure decisions are evidence based and fully reasoned, and that any decision-making process is

open and accessible

AccountabilityAccountabilityICASA is formally accountable to the Parliament of South

Africa and, through the appeals system, to the courts. ICASA remains conscious that it ultimately serves end-users

ConsistencyConsistency ICASA pursues its legal responsibility to ensure consistency in its actions

ValuesValues

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CHIEF EXECUTIVE

OFFICERT DLAMINI

CHIEF EXECUTIVE

OFFICERT DLAMINI

GM: LICENSING & COMPLIANCES TSOTETSI

GM: LICENSING & COMPLIANCES TSOTETSI

GM: MARKETS &

COMPETITIONP GROOTES

GM: MARKETS &

COMPETITIONP GROOTES

GM: ENGINEERING

& TECHNOLOGY

P RUPLAL (ACTING)

GM: ENGINEERING

& TECHNOLOGY

P RUPLAL (ACTING)

GM: CONSUMER AFFAIRS

P MASHANGOANE

GM: CONSUMER AFFAIRS

P MASHANGOANE

OrganogramOrganogram

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CORPORATE SECRETARY

M MATHABATHE

CORPORATE SECRETARY

M MATHABATHE

CHIEF AUDIT EXECUTIVES SEKANO

CHIEF AUDIT EXECUTIVES SEKANO

GM: LEGAL AND CCC

B SEHLAPELO (ACTING)

GM: LEGAL AND CCC

B SEHLAPELO (ACTING)

GM: COMPLIANCE

, RISK & AUDIT

B JOOSTE

GM: COMPLIANCE

, RISK & AUDIT

B JOOSTE

CHIEF FINANCIAL OFFICER

C SIMPSON

CHIEF FINANCIAL OFFICER

C SIMPSON

SM: INFORMATION TECHNOLOGY

R ALGU

SM: INFORMATION TECHNOLOGY

R ALGU

SM: COMMUNICATI

ONS& IR

J MATLOU

SM: COMMUNICATI

ONS& IR

J MATLOU

GM: ADMINISTRATI

ONB NTULI

GM: ADMINISTRATI

ONB NTULI

GM: HUMAN RESOURCES

R MAHLABANA

(ACTING)

GM: HUMAN RESOURCES

R MAHLABANA

(ACTING)

SM: REGIONAL OFFICES

M RAMSEY

SM: REGIONAL OFFICES

M RAMSEY

COUNCILCOUNCIL

CLLR: STUCKECLLR: STUCKE

CLLR: LEBOOACLLR: LEBOOA

CLLR: SOCIKWACLLR: SOCIKWA

CLLR: CURRIECLLR: CURRIE

CLLR: SIBANDACLLR: SIBANDA

CLLR: NDHLOVUCLLR: NDHLOVU

CLLR: BATYICLLR: BATYI

CLLR: MAKHAKHE

CLLR: MAKHAKHE

CHAIRPERSON: DR S MNCUBE

CHAIRPERSON: DR S MNCUBE

SOOG-1: Transformation of the ICT Sector

SOOG-2: Ensure the provision of broadband services

SOOG-3: Optimise the use of the radiofrequency and numbering resource

to support the widest variety of services

SOOG-4: Promote the protection of consumers and accessibility for persons with disabilities

SOOGs (1)SOOGs (1)

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SOOG-5:Promote the development of public, community and commercial broadcasting services in the context of digital migration

SOOG-6:Ensure compliance with legislation and regulation

SOOG-7:Strengthen and modernise ICASA

SOOG-8:Promote Competition

SOOGs (2)SOOGs (2)

9

Core Programmes Core Programmes

10

Predetermined objectivesPredetermined objectives

Audit findings in auditor’s report:• Of the total number of planned targets, only 32 targets

were achieved during the year under review. This represents 56% of total planned targets that were not achieved during the year under review

• This was due to under spending of the budget relevant to the following divisions which were then reprioritised:Markets and CompetitionEngineering and TechnologyConsumer Affairs

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Part 2Part 2

Themba Dlamini Chief Executive Officer

1. CORE PROGRAMMES PERFORMANCELICENCE AND COMPLIANCEENGINEERING AND TECHNOLOGY MARKETS AND COMPETITION CONSUMER AFFAIRS

2. SUB PROGRAMMES PERFORMANCE (Governance and Administration)Human ResourcesInformation Technology


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Key Achievement Current or envisaged benefit/impact of achievement

Commercial Radio Stations For The Primary and Secondary Markets

Granted 3 licenses for the provision of commercial radio

broadcasting services for Gauteng, Cape Town and Durban

Increase diversity and choice in the broadcasting sector, as well as promotion of competition

Conducted public hearings to determine the feasibility of issuing Medium Wave licences

Explored opportunities to increase competition in thecommercial sound broadcasting market

The Authority has issued an Invitation To Apply for commercial radio broadcasting licences in the

FM frequencies for the geographical markets of the

Eastern Cape, Northern Cape and Free State provinces

In order to introduce competition, diversity of broadcasting content and to introduce more historically disadvantaged

individuals

Licensing & Compliance (1)Licensing & Compliance (1)

14


Compliance Reports

Development of Compliance Manual Procedure Regulations

• Effective Monitoring of Compliance by the Licensees• Improved compliance

• Streamlined reporting procedures

Compliance Report on Coverage of 2011 Municipal Elections

• Improved compliance by broadcasters with election coverage regulations

• Fair coverage by broadcasters


15


New Commercial Subscription Broadcasting Services

The Authority licensed one new commercial subscription services,

namely Top TV

Commercial Subscription Broadcasting market is another segment of the broadcasting sector that requires more

competition and liberalisation

The Authority granted and issued radio frequency spectrum licences for purposes of providing Mobile Television to existing licensees,

namely MultiChoice and e-TV

To further stimulate new market entry

The Authority has issued an Invitation To Apply for new subscription television services

To further stimulate new market entry


16


Community Radio Services

Licensed 19 community radio stations

To provide a voice for community development and empowerment

Issued one province with a Community Low Power

Broadcasting Service licence

To increase diversity and choice in the broadcasting sector, as well as promote competition

Issued 12 Community Special Event Broadcasting licences for

the areas/provinces

To allow communities in these areas to experiment with community radio broadcasting services through pilot initiatives during festivals and other events

Licensing & Compliance(5)Licensing & Compliance(5)

17


Class Electronic Communications Network And Services

Licensed 64 ECS and 68 ECNS operators

To provide small and emerging entrepreneurs with opportunities of entering the lucrative and expanding

electronic communications market


18


Unreserved Postal Services

Registered 34 Unreserved Postal operators bringing the total of 68

in operation

To open competition among hundreds of operators spread across the country. Provide an opportunity for historically disadvantaged individuals to enter this growing market


Transfers, Amendments, Private Electronic Networks and Electronic Communication Service Licence Exemptions

• 30 individual Electronic Communications Services and Individual Electronic Communications Network Service licence transfers

• 18 PECN Licence exemptions• Two ECS Licence exemptions• One Class Community Sound

Broadcasting Service licence amendment

• One reserved Postal Service licence amendment

• One individual Broadcasting Service licence transfer

• One individual Broadcasting Service licence amendment

To ensure that basic licence terms and conditions remain intact


19


Approved 40 Annual Compliance Reports in terms of compliance with

broadcasting regulations and legislation. This includes SABC public and commercial television and radio

services

Ensure that all licensees comply with licence terms and conditions and the regulations governing the respective

markets on an annual basis

Published the Compliance Procedure Manual Regulations

Approved 15 major ECS and ECNS Annual Compliance Reports in

compliance with General Licence Fees regulations; Code of Conduct

regulations; Code on People with Disabilities

Monitored broadcasting coverage of the 2011 Local Government Elections

Ensure Compliance with the Election broadcasts regulations

Approved the Annual Compliance Report of the South African Post Office

Ensure that South African Post Office comply with licence terms and conditions and the regulations


20


Frequency Spectrum

Broadcasting signal distribution market review discussion paper

and public hearings

A reduction in the charges faced by community licensees

Licensing of Spectrum Efficient use of high demand spectrum

Ensuring the provision of Broadband

New entrants to the market to stimulate competition and increased access to broadband services to rural areas

Engineering & Technology (1)Engineering & Technology (1)

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Frequency Spectrum

Updating of National Band Plan and Frequency Migration Plan in line with ITU-R Final Acts 2012

Greater access to mobile telecommunication spectrum

Desktop research on market -based licensing mechanism completed and preliminary report completed

Greater access to Radio Frequency (RF) spectrum by optimising spectrum usage

Participation in ITU and regional forums dealing with IMT, digital migration and cognitive radio and standardisation forums

Supports DTT migration process by coordinating inputs from regional forums


22


Radio Spectrum Licence Fees

The Authority commissioned a study to determine the new radio spectrum fees framework, specifically the economic value of the spectrum

The billing for the 2012/13 financial year was successfully completed based on the new radio frequency spectrum regulations

Increase the revenue base for the National fiscus


23


Licensing Framework For High-demand Frequencies

• The Authority identified the 800MHz and the remaining radio frequency spectrum in the 2 500 to 2 690MHz (2.6GHz) bands as high-demand bands which must be licensed through a competitive licensing process

• The draft industry consultations were completed

Greater access to high demand spectrum


24


Digital Terrestrial Television Re-planning

• The Authority commenced the development of a comprehensive Digital Terrestrial Television (DTT) Frequency plan

• The Authority commenced a detailed migration implementation strategy

To address the challenges faced by the Authority to roll out DDT using Digital Video Broadcast – T2. The re-planning process is to be undertaken taking cognisance and consideration of the ITU final act of 2007, the ITU’s Radio Regulations edition 2008 and the WRC-12 Final Acts 2012


25


Formation Of The Joint Spectrum Advisory Group

The Authority has establishes a joint spectrum advisory committee

To advise the Authority on spectrum management matters during the digital migration process


Participation In Regional And International Technical Fora • The Authority participated in

the work of the WRC-12To contribute to the development of the Final Acts and the ITU Radio Regulations


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Collaboration With Academic And Research Institutions

The Authority collaborated with academic and research institutions

To improve the administrative, regulatory and technical expertise of frequency management as well as the funding of frequency spectrum research


Radio Communications Frequency Licensing

• The Authority issues about fifty thousand (50 000) or more radio frequency spectrum licences every year to a wide variety of operators

The licences were issued to manage emergency, disaster, safety and security, aeronautical and maritime


Spectrum Licences

47 085 licenses were issues as at 31 March 2012

Promote competition and increase the revenue base


27


Equipment Type Approved

13209 licenses/certificate approved as at 31 March 2012

Promote compliance


Market and Competition Analysis

The publication of the Local Loop Unbundling (LLU) discussion

document and subsequent public hearings

• The impact/outcome of the public consultation regarding local loop unbundling was a price reduction in access to the

wholesale layer of Telkom’s network on the 1st April 2012 as well as the introduction of a new wholesale access layer product,

Bitstream in November

• The impact of these will a reduction in retail prices and new

• innovative services, resulting in increased take-up

Publication of a discussion document outlining the definition of Broadcasting transmission services for the provision of signal distribution services and the

holding of public hearings

• An average of 33% reduction for community television broadcasters

• An average of 65% reduction for community radio broadcasters

Interconnection and the Facilities Leasing provide the framework to

uphold the open-access provisions of the Electronic Communications Act to promote inter-operable networks and

competition in the electronic communications markets

The Authority noted and received forty-nine (49) interconnection agreements and fourteen (14) facilities leasing agreements

Ten (10) disputes regarding the conclusion of agreements were reported, and their resolution will be carried out in the new financial

year

Markets & Competition (1)Markets & Competition (1)

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Key Achievement Current or envisaged benefit/impact of achievementEconomic, Financial Analysis and Numbering

The Authority approved a 5,7% SAPO general price increase for

implementation in 2012/13

To protect consumers

The Authority revised the existing proposed regulations regarding the

introduction of a new numbering plan and engaged in further public

consultation

Resulting in more licensees becoming eligible to apply for numbers for purposes of providing communication services

A preliminary audit of the numbering resource allocations was conducted

To ensure efficient and effective utilisation of numbering resource by licensed operators in line with the numbering plan

regulationsThe authority initiated the

development of the regulatory financial reporting framework for

wholesale call termination

Establishment of a instrument to be used by established significant market power (SMP) operators

The Authority published the Code of Practice for the implementation of Carrier Pre-Selection (CPS) Phase

1

Promotion customer choice and different pricing options


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Key Achievement Current or envisaged benefit/impact of achievementBroadcasting Policy Development and Research

The Authority published an Issues Paper and engaged in extensive

regional public consultation on the necessity for the review of existing

analogue based regulatory framework for broadcasting

services

The purpose of the Issues Paper was to consult with the public and to identify the effective sequencing of the review

process

The Authority thereafter released revised regulations in March 2012

that incorporate the Ministerial Policy Directive and maps out the

regulatory process for Digital Terrestrial Television Migration

Developing regulations that allocate capacity for broadcasting services to existing and future licensees in the

digital era

The Authority submitted its recommendations to the Minister

of Communications in August 2011 on Ownership And Control

Of Broadcasting Services

The purpose of the review is to analyse the existing ownership and control of commercial broadcasting services with the purpose of determining whether the market can be

further opened up and enhance the participation of historically disadvantaged groups and individuals, including

women and persons with disabilities


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Received and handled 4 553 complaints

Receives and redresses consumer complaints regarding communications services in the field of fixed and mobile

telephony, broadcasting and postal services

Resolved 3 081 complaints and 1 472 are still pending

Receives and redresses consumer complaints regarding communications services in the field of fixed and mobile telephony, broadcasting and postal services

The Authority established a committee for analysing the

Consumer Protection Act (CPA) and the Electronic

Communications Act (ECA) in order to make recommendations

to Council on Application for Exemption

The outcome of the consultation process was that the Authority needs to focus strongly on price, quality of service and billing. The Authority analysed the data gathered and then compiled an Application for Exemption that was forwarded to the Minister of Trade and Industry to exempt the Authority of communications matters whereby it does not have jurisdiction

Consumer Affairs (1)Consumer Affairs (1)

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Public Education and Awareness

Raise their awareness using both print and electronic media,

community radio talk-shows and public presentations in all nine

provinces

Inform communities about accessibility, availability and affordability of communications as fundamental rights


32


Consumer Outreach Campaign

World Consumer Rights Day Campaigns

The theme of the campaign was “Advance the Building of a Digital Society, Reach out and Bridge the Digital Divide”

•The Authority hosted the campaigns in all nine provinces of South Africa from 15

to 28 March 2012

Consumer Outreach •A total number of one hundred and

nineteen (119) outreach programmes were conducted. These programmes were done through public presentations,

campaigns and radio interviews

To provide a platform for licensees to update communities about their vision on universal service and access to communications services

To provide a platform for the Authority to update communities on the regulation of the ICT sector

To provide an opportunity for consumers to lodge their complaints with the Authority at the campaign


33


Consumer Outreach Campaign

Publicity Material

The Authority developed and distributed pamphlets on the following:

•Consumer Guide – 30 000 copies. •Postal Customer Care Standards – 30

000 copies. •Reprint of the Code on People with Disabilities in Braille – 3 000 copies

The Authority published Consumer Alerts on roaming charges, data charges, wrongful billing, fraudulent billing and subscription of mobile competition in national papers

Consumer Alerts were published in national newspapers on roaming charges, data charges and billing

To increase consumer awareness


34


Human Resources

Implemented a cost-to company remuneration system company-wide

To ensure that employees have a variety of flexibility in managing their salary packages, taking into account their individual tax legislative obligations

Settled with organised labour at an 8% salary increase across the board for all employees in the bargaining unit

To enable employees to benchmark their salary packages with their peers in the electronic communications industry

Information Technology

Implemented electronic records and document management

system

To improve efficiency and effectiveness of tracking and accessibility of critical documents

Sub-programmesSub-programmes

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Human Resources (2)Human Resources (2)

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Part 3Part 3

Clarinda Simpson - Chief Financial Officer

1. Report of the Auditor-General2. Statement of Financial Performance3. Statement of Financial Position4. Compliance with Laws & Regulations5. Corrective Action Timelines


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Report of the Auditor-GeneralReport of the Auditor-General

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ISSUE CORRECTIVE ACTION

PROGRESS REPORT

NRF DEBTORS and RELATED NRF CREDITORS Timeline: February 2012- May 2013

The valuation, existence and completeness of the NRF debtors and related NRF creditors could not be confirmed

A Finance Turnaround Plan (FTP) has been developed and was implemented in February 2012. The FTP includes actions to address audit related issues as well as corrective measures to address gaps/shortcomings in Administered Revenue identified internally

To improve the internal control environment the Administered Revenue Management Policy was updated to address the shortcomings identified

Data Integrity issues emanating from the core departments and impacting on the accuracy and completeness of Revenue have been identified and corrective measures to address these shortcomings have been formulated and are expected to be resolved by 31 May 2013

A service provider has been appointed to deal with data related issues in Finance


40


PROGRESS REPORT

NRF DEBTORS and RELATED NRF CREDITORS Timeline: February 2012- March 2013

Due to the subjectivity of the General License Fee Regulations,

the audit team was unable to independently recalculate the correct value

paid and owed by the Licensee

The General Licensee Fee Regulations must be amended to provide for calculating the license fee on Turnover generated from licensed activities instead of Gross Profit

The amended regulations have been tabled at Council for approval and will be published for comment during October 2012. The amended regulations providing for licence fees to be calculated on Turnover will be effective 1 April 2013 to ensure the accuracy and completeness of license fees collected for the 13/14 financial year


PROGRESS REPORT

NRF DEBTORS and RELATED NRF CREDITORSTimeline: February 2012 - May 2013

Due to the incomplete submission of financial statements by licensees the audit team was unable to confirm the completeness of Revenue

License & Compliance Division to enforce compliance with regard to submission of annual financial statements by licensees

License & Compliance has commenced with sending letters to the respective licensees requesting the submission of the outstanding audited annual financial statements and a follow up is being made with licensees who have not responded failing which non compliant licensees will be referred to CCC for adjudication.


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Statement of Financial Performance Main Statement of Financial Performance Main AccountAccount

42

31 March 2012 31 March 2011

Revenue from non-exchange transactions 315 434 608

291 171 453

Revenue from exchange transactions 4 914 108

5 653 589

Total revenue 320 348 716

296 825 042

Administrative expenses (32 623 339)

(32 149 834)

Staff costs (186 210 004)

(170 958 691)

Audit fees (3 209 444)

(2 937 234)

Other operating expenses (82 585 428)

(86 485 587)

Finance costs (230 856)

(6 261)

Depreciation on owned assets (7 510 829)

(12 200 881)

Amortisation (1 496 995)

(1 193 135)

Total expenses (313 866 895)

(305 931 623)

Deficit for the period 6 481 821

(9 106 581)

Statement of Financial Position Statement of Financial Position Consolidated (1)Consolidated (1)

43

31 March 2012

31 March 2011

ASSETS Non-current assets 99 410 074 100 374 277 Property, plant and equipment 87 102 867 89 717 651 Intangible assets 12 307 207 10 656 626 Current assets 847 068 546 947 196 633 Trade and other receivables from exchange transactions 2 549 344

2 311 761

Other receivables from non-exchange transactions -

-

Current portion of operating lease assets 42 251 National Revenue Fund – Administered Assets 792 969 029

898 483 250

Prepayments 5 998 893 5 249 432 Cash and cash equivalents 45 551 280 41 109 939 TOTAL ASSETS 946 478 620 1 047 570 910

Statement of Financial Position Statement of Financial Position Consolidated (2)Consolidated (2)

44

Consolidated Statement of Cash FlowsConsolidated Statement of Cash Flows

45

31 March 2012 31 March 2011

CASH FLOWS FROM OPERATING ACTIVITIES

Receipts Cash received from DoC 313 378 000 290 923 000 Cash received by Administered

Revenue

986 842 320

771 571 464 Finance income 4 475 697 5 580 968 Payments Cash paid by Administered

Revenue

(985 581 181)

(790 323 084) Cash paid to suppliers (121 872 478) (126 171 662) Cash paid to employees (146 717 879) (137 157 073) Employees tax paid (36 349 610) (33 716 330) Finance costs (230 856) (6 261) Net cash flows from operating activities

13 944 013

(19 298 978)

CASH FLOWS FROM INVESTING ACTIVITIES

Purchase of plant and equipment (6 592 894) (15 378 185) Purchase of intangible assets (2 909 778) (5 475 670) Proceeds from sale of plant and equipment

-

118 420

Net cash flows from investing activities

(9 502 672)

(20 735 435)

Net (decrease)/ increase in cash and cash equivalents

4 441 341 (40 034 413)

Cash and cash equivalents at the beginning of the period

41 109 939

81 144 352

Cash and cash equivalents at the end of the period

45 551 280

41 109 939

Statement of Comparison of Budget and Statement of Comparison of Budget and Actual AmountsActual Amounts

46

31 March

2012

R

31 March

2012

R

31 March

2012

R

Difference

R

Budget

Approved

Budget

Final

Actual

REVENUE

Revenue from non-exchange services 313 378 000

313 378 000

315 434 608

(2 056 608)

Other income from exchange services 6 012 000

4 012 000

4 914 108

(902 108)

Total revenue 319 390 000 317 390 000 320 348 716 (2 958 716) Administrative expenses (29 040 405) (33 374 539) (32 623 339) (751 200) Staff costs (175 349 976) (184 687 546) (186 210 004) 1 522 458 Audit fees (2 400 000) (3 400 000) (3 209 444) (190 556) Other operating expenses (102 390 529) (100 506 675) (82 585 428) (17 921 247) Depreciation (8 641 118) (15 667 565) (7 510 829) (8 156 736) Amortisation (875 032) (1 878 811) (1 496 995) (381 816) Finance costs - - (230 856) 230 856

Total expenses (318 697 060) (339 515 136) (313 866 895) (25 648 241) Surplus/(deficit) 692 940 (22 125 136) 6 481 821 (28 606 957)

Add back: depreciation and amortisation 9 516 150

17 546 376

9 007 824

8 538 552

Surplus/(deficit) before depreciation and amortisation 10 209 090

(4 578 760)

15 489 645

(20 068 405)

Compliance with Laws & Regulations Compliance with Laws & Regulations

Finding Corrective Action

Material misstatements were identified in the financial statements submitted on 31 May 2012

• An internal Finance Department monthly closure timetable and

adequate internal controls i.e. review and monitoring of all finance daily;

monthly and year-end closure steps for completeness and accuracy by the

managers; Financial Manager and CFO have been implemented

• Finance has concluded Service Level Agreements with the core departments relating to information emanating from core departments and impacting the

financial statements. • Skilled staff have been recruited and

are being appointed in the Administered Revenue section

• A service provider has been appointed to deal with finance data-related

issues. • Compliance and enforcement action

being taken against defaulting licensees

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Compliance with Laws & Regulations Compliance with Laws & Regulations

Finding Corrective Action

The accounting officer did not take effective steps to prevent irregular; fruitless and wasteful expenditure

• The supply chain management policy is being updated to comply

with the principles of Treasury Regulations

• Employees found guilty of transgressing the supply chain

management procedures resulting in irregular or fruitless and

wasteful expenditure are being dealt with in terms of the HR

policies

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Corrective Action TimelinesCorrective Action Timelines

49

STRATEGY

Includes a preliminary assessment of the following:

1.Addressing the Audit Findings (January 31 2013)2.Financial Systems (31December 2012; 31 March 2014)3.Finance Skills and Requirements ( January 31 2012)4.Licence Fees Regulations (March 31 2013) and5.Enforcing Compliance (May 31 2013)

Financial SystemsFinancial Systems

Area Issues Current Status

Action Plan Date

Financial Systems

Interface of JDE &

Spectrum

LS system being

procured to manage

spectrum and interface with

JDE

Interface to be configured

once contract with service

provider concluded. In the interim

service provider on

board to assist with developing

program to upload

manually on a monthly basis

31 March 2014

31 December

2012

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Corrective Action TimelinesCorrective Action Timelines

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GENERAL LICENCE FEE REGULATIONS

Due to the subjectivity of the Regulation, the audit team was

unable to independently recalculate the correct value owed by the

Licensee

Publish Draft Amendment for Public Comment by 31st October 2012

Publish/Gazette Final Regulation by 28 February 2013

The amendment to calculate license fees on Turnover will address the

qualification on accuracy

Questions ?Questions ?

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Thank you Thank you

DankieDankie

Re a lebohaRe a leboha

Re a lebogaRe a leboga

SiyabongaSiyabonga

InkomuInkomu

Ro livhuwaRo livhuwa

EnkosiEnkosi

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I C A S A 2011-2012 Annual Report

Documents

Transcript of I C A S A 2011-2012 Annual Report