2005/2006 - SANParks

2005South African National ParksACCOUNTING AUTHORITY’S REPORTfor the year ended 31 March 2006Since 2002 the Commercialisation Strategy has yielded an additionalR94 million for the funding of conservation, resulted in increased marketsegmentation and product differentiation with 380 additional guest beds,increased infrastructure of R270 million (in 2001 terms) as well as thetransfer of signifi cant commercial risk to the private sector. In addition thestrategy has resulted in broadening the participation of Black EconomicEmpowerment (BEE) partners in the tourism industry thereby contributingto the demographic restructuring of the industry and poverty alleviationwith 620 new jobs, average BEE equity on the concessions exceeding54%, 79% of employees recruited from BEE communities adjacent tothe parks and a guaranteed spend of R14 million per annum from localcommunity SMME’s.Subsequent to the implementation of the 2000 strategy, there has beensignifi cant developments in South African National Parks approach toPPP initiatives. Whilst the 2000 strategy was time-based and needed tobe updated in 2006, South African National Parks has identifi ed severalnew PPP opportunities that will enable the organisation to improve itsinfrastructure towards 2010. In order to accelerate private participation inthe state and improve on effi ciencies, the National Treasury has developedthe Eco-Tourism Toolkit (2005) which prescribes the processes for enteringinto PPPs.Accordingly, South African National Parks has developed a Strategic Planfor Commercialisation (2006 – 2011) that will be submitted to the Boardfor approval in June 2006. The Strategy will incorporate all requirementsas per the Tourism BEE Charter and Scorecard and will result in signifi cantadditional revenue for South African National Parks.96